Document:

Exhibit
10.3

 

EXECUTION
COPY

 

AMENDED AND
RESTATED

CONTRIBUTION AGREEMENT

 

between

 

HUNTSMAN
INTERNATIONAL LLC,

as Contributor and Originator

 

and

 

HUNTSMAN
RECEIVABLES FINANCE LLC,

as the Company

 

Dated as of
April 18, 2006.

 

 

TABLE OF
CONTENTS

 

	
   

  	
   

  	
  Page

  
	
   

  	
   

  	
   

  
	
  1.

  	
  DEFINITIONS

  	
  1

  
	
   

  	
   

  	
   

  
	
   

  	
  1.01

  	
  Defined Terms

  	
  1

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  1.02

  	
  Other Definitional Provisions

  	
  1

  
	
   

  	
   

  	
   

  	
   

  
	
  2.

  	
  CONTRIBUTION OF RECEIVABLES

  	
  2

  
	
   

  	
   

  	
   

  
	
   

  	
  2.01

  	
  Contribution of Receivables

  	
  2

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  2.02

  	
  Contribution Value

  	
  4

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  2.03

  	
  Intentionally Omitted

  	
  5

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  2.04

  	
  No Repurchase

  	
  5

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  2.05

  	
  Rebates, Adjustments, Returns,
  Reductions and Modifications

  	
  5

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  2.06

  	
  Payments in Respect of Ineligible
  Receivables and Originator Indemnification Payments

  	
  5

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  2.07

  	
  Certain Charges

  	
  6

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  2.08

  	
  Certain Allocations

  	
  6

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  2.09

  	
  Power of Attorney

  	
  6

  
	
   

  	
   

  	
   

  	
   

  
	
  3.

  	
  CONDITIONS TO CONTRIBUTIONS

  	
  7

  
	
   

  	
   

  	
   

  
	
   

  	
  3.01

  	
  Conditions Precedent to
  Contribution

  	
  7

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  3.02

  	
  Conditions Precedent to all
  Contributions of Receivables

  	
  8

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  3.03

  	
  Conditions Precedent to the
  Contributor’s Obligations on the Initial Contribution Date and each
  Contribution Date thereafter

  	
  9

  
	
   

  	
   

  	
   

  	
   

  
	
  4.

  	
  REPRESENTATIONS AND WARRANTIES

  	
  9

  
	
   

  	
   

  	
   

  
	
   

  	
  4.01

  	
  Representations and Warranties of
  the Contributor

  	
  9

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  4.02

  	
  Representations and Warranties of
  the Contributor Relating to the Contributed Receivables

  	
  14

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  4.03

  	
  Representations and Warranties of
  the Company

  	
  15

  
	
   

  	
   

  	
   

  	
   

  
	
  5.

  	
  AFFIRMATIVE COVENANTS

  	
  15

  
	
   

  	
   

  	
   

  
	
   

  	
  5.01

  	
  Financial Statements, Reports, etc.

  	
  16

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  5.02

  	
  Compliance with Law and Policies

  	
  16

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  5.03

  	
  Preservation of Company Existence

  	
  17

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  5.04

  	
  Separate Company Existence

  	
  17

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  5.05

  	
  Inspection of Property; Books and
  Records; Discussions

  	
  18

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  5.06

  	
  Location of Records

  	
  18

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  5.07

  	
  Computer Files and other Documents

  	
  18

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  5.08

  	
  Obligations

  	
  18

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  5.09

  	
  Collections

  	
  18

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  5.10

  	
  Furnishing Copies, Etc.

  	
  18

  

 

i

 

	
   

  	
   

  	
  Page

  
	
   

  	
   

  	
   

  
	
   

  	
  5.11

  	
  Intentionally Omitted

  	
  19

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  5.12

  	
  Assessments

  	
  19

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  5.13

  	
  Intentionally Omitted

  	
  19

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  5.14

  	
  Notices

  	
  19

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  5.15

  	
  Bankruptcy

  	
  19

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  5.16

  	
  Further Action

  	
  19

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  5.17

  	
  Marking of Records

  	
  20

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  5.18

  	
  Intentionally Omitted

  	
  20

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  5.19

  	
  Enforcement of Agreements

  	
  20

  
	
   

  	
   

  	
   

  	
   

  
	
  6.

  	
  NEGATIVE COVENANTS

  	
  20

  
	
   

  	
   

  	
   

  
	
   

  	
  6.01

  	
  Limitations on Transfers of
  Contributed Receivables, Etc.

  	
  20

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  6.02

  	
  Extension or Amendment of
  Contributed Receivables

  	
  20

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  6.03

  	
  Change in Payment Instructions to
  Obligors

  	
  20

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  6.04

  	
  Change in Name

  	
  20

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  6.05

  	
  Policies

  	
  21

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  6.06

  	
  Modification of Legend

  	
  21

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  6.07

  	
  Accounting for Contributions

  	
  21

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  6.08

  	
  Instruments

  	
  21

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  6.09

  	
  Ineligible Receivables

  	
  21

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  6.10

  	
  Business of the Contributor

  	
  21

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  6.11

  	
  Intentionally Omitted.

  	
  21

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  6.12

  	
  Offices

  	
  21

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  6.13

  	
  Intentionally Omitted

  	
  21

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  6.14

  	
  Amendment of Transaction Documents
  or Other Material Documents

  	
  21

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  6.15

  	
  Additional Equity

  	
  22

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  6.16

  	
  Receivables Purchase Agreements

  	
  22

  
	
   

  	
   

  	
   

  	
   

  
	
  7.

  	
  TERMINATION EVENTS

  	
  22

  
	
   

  	
   

  	
   

  
	
   

  	
  7.01

  	
  Originator Termination Events

  	
  22

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  7.02

  	
  Program Termination Events

  	
  23

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  7.03

  	
  Remedies

  	
  23

  
	
   

  	
   

  	
   

  	
   

  
	
  8.

  	
  MISCELLANEOUS

  	
  25

  
	
   

  	
   

  	
   

  
	
   

  	
  8.01

  	
  Payments

  	
  25

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  8.02

  	
  Costs and Expenses

  	
  25

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  8.03

  	
  Successors and Assigns

  	
  25

  

 

ii

 

	
   

  	
   

  	
  Page

  
	
   

  	
   

  	
   

  
	
   

  	
  8.04

  	
  Intentionally Omitted

  	
  25

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  8.05

  	
  Intentionally Omitted

  	
  25

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  8.06

  	
  Governing Law

  	
  25

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  8.07

  	
  No Waiver; Cumulative Remedies

  	
  25

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  8.08

  	
  Amendments and Waivers

  	
  26

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  8.09

  	
  Severability

  	
  26

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  8.10

  	
  Notices

  	
  26

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  8.11

  	
  Counterparts

  	
  27

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  8.12

  	
  Submission to Jurisdiction; Service
  of Process

  	
  27

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  8.13

  	
  No Bankruptcy Petition

  	
  28

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  8.14

  	
  Termination

  	
  28

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  8.15

  	
  Responsible Officer Certificates;
  No Recourse

  	
  28

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  8.16

  	
  Confidential Information

  	
  28

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  8.17

  	
  Effectiveness of this Agreement

  	
  29

  
	
   

  	
   

  	
   

  	
   

  
	
  SCHEDULES

  	
   

  	
   

  
	
  Schedule 1

  	
  Form of Solvency Certificate

  	
   

  
	
  Schedule 2

  	
  Location of Books and Records

  	
   

  
					

 

iii

 

AMENDED AND RESTATED CONTRIBUTION AGREEMENT, dated as
of April 18, 2006 (this “Agreement”), between Huntsman
International LLC, a limited liability company organized under the laws of the
State of Delaware, as contributor (the “Contributor”) and Huntsman
Receivables Finance LLC, a limited liability company organized under the laws
of the State of Delaware, as the Company (the ”Company”).

 

W I T N E S S E T H:

 

WHEREAS, the parties are entering into this Agreement
under which the Contributor may contribute to the Company, as a capital
contribution, its right, title and interest in, to and under certain accounts
receivable originated by the Contributor, existing and hereafter arising from
time to time;

 

WHEREAS, the Contributor shall purchase additional
accounts receivable pursuant to certain receivables purchase agreements between
the Contributor and one or more of its affiliates, and, if it purchases the
same, shall contribute such purchased accounts receivable, together with
certain accounts receivable originated by the Contributor, to the Company, as a
capital contribution;

 

WHEREAS, the Company will grant a participation and a
security interest in the accounts receivable contributed to it to J.P.Morgan
Bank (Ireland) plc, not in its individual capacity but solely as trustee, as
Trustee (the “Trustee”) of the Huntsman Master Trust, established
pursuant the Second Amended and Restated Pooling Agreement, dated as of the date
hereof (such agreement, as it may be amended, modified or otherwise
supplemented from time to time, the “Pooling Agreement”), among the
Trustee, the Company and Huntsman (Europe) BVBA, as Master Servicer (the “Master
Servicer”); and

 

WHEREAS, the Master Servicer, the Company, Huntsman
International LLC, as Servicer Guarantor, the Liquidation Servicer, the Local
Servicers party thereto from time to time and the Trustee have entered into a
Second Amended and Restated Servicing Agreement, dated as of the date hereof
(such agreement, as it may be amended, restated, modified or otherwise
supplemented from time to time, the ”Servicing Agreement”),
pursuant to which the Master Servicer will agree to service and administer or
cause to be serviced or administered such accounts receivable on behalf of the
Company.

 

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

 

1.             DEFINITIONS

 

1.01         Defined Terms. Capitalized terms
used herein shall, unless otherwise defined or referenced herein, have the
meanings assigned to such terms in Annex X attached to the Pooling
Agreement which Annex X is incorporated by reference herein.

 

1.02         Other Definitional Provisions.

 

(a)           The words “hereof”, “herein”, “hereunder”
and words of similar import when used in this Agreement shall refer to this
Agreement as a whole and not to any particular provision of this Agreement, and
article, section, subsection, schedule and exhibit references are to this
Agreement unless otherwise specified.

 

(b)           As used herein and in any certificate
or other document made or delivered pursuant hereto, accounting terms relating
to the Contributor and the Company, unless otherwise defined or incorporated by
reference herein, shall have the respective meanings given to them under GAAP.

 

 

(c)           The meanings given to terms defined
or incorporated by reference herein shall be equally applicable to both the
singular and plural forms of such terms.

 

(d)           Any reference herein to a Schedule or
Exhibit to this Agreement shall be deemed to be a reference to such Schedule or
Exhibit as it may be amended, modified or supplemented from time to time to the
extent that such Schedule or Exhibit may be amended, modified or supplemented
(or any term or provision of any Transaction Document may be amended that would
have the effect of amending, modifying or supplementing information contained
in such Schedule or Exhibit) in compliance with the terms of the Transaction
Documents.

 

(e)           Any reference in this Agreement to
any representation, warranty or covenant “deemed” to have been made is intended
to encompass only representations, warranties or covenants that are expressly
stated to be repeated on or as of dates following the execution and delivery of
this Agreement, and no such reference shall be interpreted as a reference to
any implicit, inferred, tacit or otherwise unexpressed representation, warranty
or covenant.

 

(f)            The words “include”, “includes” or “including”
shall be interpreted as if followed, in each case, by the phrase “without
limitation”.

 

(g)           Any reference herein to a provision
of the Bankruptcy Code, Code, ERISA, 1940 Act or the UCC shall be deemed a
reference to any successor provision thereto.

 

2.             CONTRIBUTION
OF RECEIVABLES

 

2.01         Contribution of Receivables.

 

(a)           On the date hereof and on any
Business Day thereafter, the Contributor shall contribute, transfer, assign,
and convey, without recourse (except as expressly provided herein), to the
Company, as a capital contribution (which the Company shall accept), all of its
present and future right, title and interest in, to and under:

 

(i)            such Eligible Receivables originated
by the Contributor from time to time prior to but not including the date on
which an Early Program Termination occurs, or an Early Originator Termination
occurs with respect to the Contributor and included in the Originator Daily
Report transmitted to the Master Servicer and included in the Daily Report
generated by the Master Servicer and transmitted to the Trustee electronically
or by telecopier on the applicable date of contribution (any such date, a “Contribution
Date”);

 

(ii)           all Purchased Receivables (as defined
in the applicable Receivables Purchase Agreement) purchased by the Contributor
from an Originator on the Contribution Date pursuant to the terms of a
Receivables Purchase Agreement from time to time (such Purchased Receivables,
together with any Eligible Receivables contributed pursuant to clause (i),
the “Contributed Receivables”);

 

(iii)          the Related Property;

 

(iv)          all collections in respect of such
Contributed Receivables;

 

(v)           all rights (including rescission,
replevin or reclamation) of the Contributor relating to any such Contributed
Receivable or arising therefrom;

 

2

 

(vi)          all rights of the Contributor under
each of the Receivables Purchase Agreements including, in respect of each such
agreement, (A) all rights of the Contributor to receive monies due and to
become due under or pursuant to such agreement, whether payable as fees,
expenses, costs or otherwise, (B) all rights of the Contributor to receive
proceeds of any insurance, indemnity, warranty or guaranty with respect to such
agreement, (C) claims of the Contributor for damages arising out of or for
breach of or default under such agreement, (D) the right of the
Contributor to amend, waive or terminate such agreement, to perform thereunder
and to compel performance and otherwise exercise all remedies thereunder and
(E) all other rights, remedies, powers, privileges and claims of the
Contributor under or in connection with such agreement (whether arising
pursuant to such agreement or otherwise available to the Contributor at law or
in equity), including the rights of the Contributor to enforce such agreement
and to give or withhold any and all consents, requests, notices, directions,
approvals, extensions or waivers under or in connection therewith;

 

(vii)         all “accounts,” “general intangibles,” “chattel
paper” and/or “instruments” (each as defined in the UCC as in effect in any
applicable jurisdiction) arising from, relating to or consisting of any of the
foregoing property; and

 

(viii)        all proceeds of or payments in respect
of any and all of the foregoing clauses (i) through (iv) (including
Collections).

 

Such property described in the foregoing
clauses (i) through (viii) shall be referred to collectively herein as the
“Receivable Assets” and shall be considered to be assets that have been
contributed, transferred, assigned, set over and otherwise conveyed by the
Contributor to the Company immediately upon completion of the purchase of any
Receivables referred to in Section 2.01(a)(ii) above, in accordance with
the terms of any Receivables Purchase Agreement, and in relation to those
Receivables referred to in Section 2.01(a)(i) above, upon delivery to the
Company of a Daily Report.

 

(b)           The Contributor and the Company
hereby acknowledge and agree that it is their mutual intent that (a) every
transfer by way of capital contribution of Receivable Assets to the Company
hereunder shall be an absolute, unconditional, “true” conveyance and not a mere
granting of a security interest to secure a loan to or from the Company,
(b) the Contributor shall not retain any interest in the Receivable Assets
after the contribution thereof hereunder, (c) the Receivable Assets
originated, or purchased from an Originator, by the Contributor shall not be
part of the Contributor’s insolvency or bankruptcy estate in the event an
insolvency or delinquency proceeding or a bankruptcy petition or other action
shall be commenced or filed by or against the Contributor under any insolvency
or bankruptcy law and (d) the Purchased Receivables originated by any
Originator shall not be part of such Originator’s insolvency or bankruptcy
estate in the event an insolvency or delinquency proceeding or a bankruptcy or
other action shall be commenced or filed by or against such Originator under
any insolvency or bankruptcy law. In the event, however, that notwithstanding
such intent and agreement, such transfers are deemed by any relevant
Governmental Authority for any reason whatsoever, whether for limited purposes
or otherwise, to be a security interest granted to secure indebtedness of the
Contributor, the Contributor shall be deemed to have granted to the Company a
perfected first priority security interest under Article 9 of the UCC in
the applicable jurisdiction in all of its right, title and interest in, to and
under, in each case, whether now owned or existing, or hereafter acquired or arising,
and wherever located, the Receivable Assets originated or purchased by the
Contributor and this Agreement shall constitute a security agreement under
applicable law, securing the repayment of the amounts paid hereunder, subject
to the other terms and conditions of this Agreement, together with such other
obligations or interests as may arise hereunder in favor of the parties hereto.

 

3

 

(c)           In connection with any transfer,
assignment, conveyance and contribution pursuant to subsection 2.01(a),
the Contributor hereby agrees to record and file, or cause to be recorded and
filed, at its own expense, financing statements or other similar filings (and
continuation statements with respect to such financing statements or other
similar filings when applicable), (i) with respect to the Contributed
Receivables and (ii) with respect to any other Receivable Assets for which
an assignment or the creation of a security interest (as defined in the
applicable UCC or other similar applicable laws, legislation or statute) may be
perfected under the applicable UCC or other applicable laws, legislation or
statute by such filing, in each case meeting the requirements of applicable law
in such manner and in such jurisdictions as are necessary to perfect and
maintain the perfection of the transfer, assignment, conveyance and
contribution of such Contributed Receivables and any other Receivable Assets
related thereto to the Company, and to deliver to the Company (a) on or
prior to the date hereof, a photocopy, certified by a Responsible Officer of
the Contributor to be a true and correct copy, of each such financing statement
or other filing to be made on or prior to the date hereof and (b) within
ten (10) days after the date hereof, a file-stamped copy or certified
statement of such financing statement (or the similar filing) or other evidence
of such filing.

 

(d)           In connection with the transfer,
assignment, conveyance and contribution pursuant to subsection 2.01(a),
the Contributor agrees at its own expense, with respect to the Contriubted
Receivables, that it will or will cause, as agent of the Company,
(A) (i) on the date hereof and thereafter, direct (or cause the
Master Servicer to direct) each Originator to identify on its extraction
records relating to Receivables from its master database of receivables, that
the Contributed Receivables and all other Receivable Assets related thereto
have been transferred, assigned, conveyed and contributed to the Company in
accordance with this Agreement and (ii) acknowledge, deliver or transmit
or cause to be delivered or transmitted to the Master Servicer a Daily Report
as to all such Contributed Receivables, as of the applicable date of
contribution and (B) use its reasonable best efforts to cause the
applicable Originator of the Receivables purchased by the Contributor to
(i) on the date hereof and thereafter to identify on its extraction
records relating to Purchased Receivables from its master database of
receivables, that all such Purchased Receivables and all other Receivable
Assets related thereto have been transferred, assigned, conveyed and
contributed to the Company in accordance with this Agreement and
(ii) acknowledge, deliver or transmit or cause to be delivered or
transmitted to the Master Servicer an Originator Daily Report as to all such
Purchased Receivables, as of the applicable Contribution Date.

 

(e)           All Contributed Receivables hereunder
shall be without recourse to, or any representation or warranty of any kind
(express or implied) by, the Contributor except as otherwise specifically
provided herein. The foregoing contribution, assignment, transfer and
conveyance does not constitute and is not intended to result in the creation or
assumption by the Company of any obligation of the Contributor or any other
person in connection with the Contributed Receivables or any agreement or
instrument relating thereto, including any obligation to any Obligor, except as
expressly provided herein or in the Servicing Agreement.

 

2.02         Contribution Value. The
contribution value (the “Contribution Value”) for the Contributed
Receivables and the other Receivable Assets related thereto shall be deemed to
be the product of (a) the aggregate outstanding Principal Amount of such
Contributed Receivables as set forth in the applicable Originator Daily Report
identifying such Contributed Receivables and (b) one (1) minus the
Discounted Percentage applicable to Contributed Receivables. The Company shall
cause to Master Servicer to calculate the Contribution Value on each
Contribution Date, and in the absence of manifest error such amount shall be
deemed to be conclusive. The Company shall cause to Master Servicer to maintain
in its books and records a ledger entitled the “distributable assets ledger.”  For each Contributed Receivable, the Company
shall credit to the distributable assets ledger an amount equal to the
Contribution Value of such Contributed Receivable (net of the deductions
referred to in Section 2.02(b), Section 2.06(a) or Section 2.06(b)).

 

4

 

2.03         Intentionally Omitted.

 

2.04         No Repurchase. Subject to
Section 2.06, the Contributor shall not have any right or obligation under
this Agreement, by implication or otherwise, to repurchase from the Company any
Receivable Assets or to rescind or otherwise retroactively effect any purchase
of any Receivable Assets after the related Contribution Date; provided
that the foregoing shall not be interpreted to limit the right of the Company
to receive a Contributor Dilution Adjustment Payment, a Contributor Adjustment
Payment or a Contributor Indemnification Payment.

 

2.05         Rebates, Adjustments, Returns,
Reductions and Modifications. From time to time the Contributor may make a
Dilution Adjustment to a Contributed Receivable in accordance with this
Section 2.05 and Section 6.02; provided that if the
Contributor or any Originator cancels an invoice related to such Contributed
Receivable, either (i) such invoice must be replaced, or caused to be
replaced, by the Contributor as part of a “credit and re-bill” (as defined in
the definition of Dilution Adjustment) with an invoice relating to the same
transaction of equal or greater Principal Amount within 5 Business Days of such
cancellation, (ii) such invoice must be replaced, or caused to be
replaced, by the Contributor as part of a “credit and re-bill” (as defined in
the definition of Dilution Adjustment) with an invoice relating to the same
transaction of a lesser Principal Amount within 5 Business Days of such
cancellation and the Contributor must make a Contributor Dilution Adjustment
Payment, to the Company Concentration Account, in an amount equal to the
difference between such cancelled and replacement invoices or (iii) the
Contributor must make a Contributor Dilution Adjustment Payment, to the
relevant Company Receipts Account in an amount equal to the full value of such
cancelled invoice pursuant to this Section 2.05. The Contributor agrees to
pay to the Company, on the Contribution Date immediately succeeding the date
any Dilution Adjustment is granted or made pursuant hereto, the amount of any
such Dilution Adjustment (a “Contributor Dilution Adjustment Payment”). The
amount of any Dilution Adjustment shall be set forth on the first Daily Report
prepared after the date on which such Dilution Adjustment was granted or made.

 

2.06         Payments in Respect of Ineligible
Receivables and Originator Indemnification Payments.

 

(a)           Adjustment Payment Obligation.
In the event of a breach of any of the representations and warranties contained
in Sections 4.02(a), 4.02(b), 4.02(c), 4.02(d) or 4.02(f) in respect of
any Contributed Receivable or if the Company’s interest in any Contributed
Receivable is not a full legal and beneficial ownership, the Contributor shall,
within 30 days of the earlier of its knowledge or receipt of written
notice of such breach or defect from the Company, remedy the matter giving rise
to such breach of representation or warranty if such matter is capable of being
remedied. If such matter is not capable of being remedied or is not so remedied
within said period of 30 days, the Contributor upon request of the Company
shall repurchase the relevant Contributed Receivable from the Company at a
repurchase price (without duplication of any Contributor Dilution Adjustment
Payments made pursuant to Section 2.05 hereof), equal to the original
Principal Amount of such Contributed Receivable less Collections received by
the Company in respect of such Contributed Receivable (the “Contributor
Adjustment Payment”), which payment shall be in the same currency as such
Contributed Receivable. Upon the payment of a Contributor Adjustment Payment
hereunder, the Company shall pay to the Contributor all Collections received
subsequent to such repurchase with respect to such repurchased Receivable. The
parties agree that if there is a breach of any of the representations and
warranties of a Contributor contained in Section 4.02(a), 4.02(b) or
4.02(c) in respect of or concerning any Contributed Receivable, the Contributor’s
obligation to pay the Contributor Adjustment Payment under this
Section 2.06 is a reasonable pre-estimate of loss and not a penalty (and
neither the Company nor any other person or entity having an interest in this
Agreement through the Company shall be entitled to any other remedies as a
consequence of any such breach).

 

5

 

(b)           Special Indemnification. In
addition to its obligations under Section 8.02 hereunder, the Contributor
agrees to pay, indemnify and hold harmless (without duplication of any
Contributor Dilution Adjustment Payments made pursuant to Section 2.05
hereof) the Company from any loss, liability, expense, damage or injury which
may at any time be imposed on, incurred by or asserted against the Company in any
way relating to or arising out of (i) any Contributed Receivable becoming
subject to any defense, dispute, offset or counterclaim of any kind (other than
as expressly permitted by this Agreement or the Pooling Agreement or any
Supplement) or (ii) the Contributor breaching any covenant contained
herein with respect to any Contributed Receivable and such Contributed
Receivable (or a portion thereof) ceasing to be an Eligible Receivable (each of
the foregoing events or circumstances being a “Contributor Indemnification
Event”). The amount of such indemnification shall be equal to the original
Principal Amount of such Contributed Receivable less Collections received by
the Company in respect of such Contributed Receivable (the “Contributor
Indemnification Payment”). Such payment shall be made on or prior to the
10th Business Day after the day the Company requests such payment or the
Contributor obtains knowledge thereof unless such Contributor Indemnification
Event shall have been cured on or before such 10th Business Day; provided,
however, that in the event that (x) an Originator Termination Event
with respect to the Contributor has occurred and is continuing or (y) the
Company shall be required to make a payment with respect to such Contributed
Receivable pursuant to Section 2.05 of the Pooling Agreement and the
Company has insufficient funds to make such a payment, the Contributor shall
make such payment immediately. The Company shall have no further remedy against
the Contributor in respect of such a Contributor Indemnification Event unless
the Contributor fails to make a Contributor Indemnification Payment on or prior
to such 10th Business Day or on such earlier day in accordance with the proviso
set forth in this subsection 2.06(b). Upon receiving a Contributor
Indemnification Payment, the Company shall pay to the Contributor all
Collections received subsequent to such payment with respect to the Contributed
Receivable in respect of which a Contributor Indemnification Payment is made.

 

2.07         Certain Charges. The Contributor
and the Company hereby agree that late charge revenue, reversals of discounts,
other fees and charges and other similar items, whenever created, accrued in
respect of a Contributed Receivable shall be the property of the Company
notwithstanding the occurrence of an Early Originator Termination or Early
Program Termination and all collections with respect thereto shall continue to
be allocated and treated as collections in respect of such Contributed
Receivable.

 

2.08         Certain Allocations. The
Contributor, as Local Servicer, hereby agrees that if the Contributor can
attribute a Collection to a specific Obligor and a specific Receivable, then
such Collection shall be applied to pay such Receivable of such Obligor; provided,
however, that if the Contributor cannot attribute a Collection to a
specific Receivable, then such Collection shall be applied to pay the
Receivables of such Obligor in the order of maturity of such Receivables,
beginning with the Receivable that has been outstanding the longest and ending
with the Receivable that has been outstanding the shortest.

 

2.09         Power of Attorney. The
Contributor authorizes each of the Company and the Trustee, and hereby
irrevocably appoints each of the Company and the Trustee, as its attorney-in-fact
coupled with an interest, with full power of substitution and with full
authority in place of the Contributor, to take any and all steps in the
Contributor’s name and on behalf of the Contributor, that are necessary or
desirable, in the determination of the Company or the Trustee (as applicable),
to collect amounts due under the Contributed Receivables, including:  (a) endorsing the Contributor’s name on
checks and other instruments representing Collections of Contributed
Receivables and enforcing the Receivable Assets related thereto;
(b) taking any of the actions provided for under Section 7.03; and
(c) enforcing the Receivable Assets, including to ask, demand, collect,
sue for, recover, compromise, receive and give aquittance and receipts for
moneys due and to become due under or in connection with therewith and to 

 

6

 

file any claims or take any action or institute any
proceedings that the Company or the Trustee (as applicable) (or any designee
thereof) may deemed to be necessary or desirable for the collection thereof or
to enforce compliance with the other terms and conditions of, or to perform any
obligations or enforce any rights of the Contributor in respect of, the
Receivable Assets. The rights under this Section 2.09 shall not be
exercisable with respect to the Contributor unless an Originator Termination
Event has occurred and is continuing with respect to the Contributor or a
Program Termination Event as set forth in Section 7.02(a) hereof or an Early
Amortization Event has occurred and is continuing.

 

3.             CONDITIONS
TO CONTRIBUTIONS

 

3.01         Conditions Precedent to Contribution.
The Contributor shall not be entitled to contribute Eligible Receivables to the
Company and the Company shall not be obliged to accept such contribution unless
the following conditions precedent have been satisfied on or prior to the date
hereof:

 

(a)           the Company shall have received
copies of duly adopted resolutions (or, if applicable, a unanimous consent) of
the Board of Directors of the Contributor, as in effect on the date hereof,
authorizing the execution of this Agreement and the consummation of the
Transactions pursuant to the Transaction Documents;

 

(b)           the Company shall have received
copies of a Certificate of Good Standing for the Contributor issued by the
Secretary of State of Delaware;

 

(c)           the Company shall have received
copies of a certificate of a Responsible Officer of the Contributor certifying
(i) the names and signatures of the officers or any managers authorized on
its behalf to execute this Agreement and the other Transaction Documents to
which it is a party and any other documents to be delivered by it hereunder or
thereunder, (ii) that attached thereto is a true, correct, and complete
copy of the Contributor’s certificate of formation and its operating agreement,
(iii) that attached thereto is a true correct and complete copy of the
document referred to in clause (a) above and (iv) that attached
thereto is a true, correct and complete copy of the document referred to in
clause (b) above;

 

(d)           the Company shall have received
copies of fully executed counterparts of this Agreement, the Pooling Agreement,
the Servicing Agreement, the Series 2000-1 Supplement, the U.S.
Receivables Purchase Agreement, the U.K. Receivables Purchase Agreement, the
Omnibus Receivables Purchase Agreement and the Investor Certificates;

 

(e)           the Company shall have received
copies of legal opinions, in each case, dated the date hereof and addressed to
each Funding Agent, the Company and the Trustee:

 

(i)            from Counsel to each Originator in
form and substance satisfactory to the Company, the Trustee and each Funding
Agent; and

 

(ii)           from Counsel to the Contributor, in
form and substance satisfactory to the Company, the Trustee and each Funding
Agent.

 

(f)            the Company shall have received, to
the extent in writing, the Policies of the Contributor and each Originator;

 

(g)           the Company shall have received
copies of proper financing statements, which will be filed on or prior to the
date hereof, naming the Contributor and each Originator as the debtor in favor
of, in each case, the Company as the secured party or other similar instruments
or documents as 

 

7

 

may be necessary or in the reasonable opinion of the
Company or any Funding Agent, desirable under the UCC of all appropriate
jurisdictions to perfect the Company’s ownership interest in the Receivable
Assets contributed hereunder;

 

(h)           the Company shall have received
certified copies of requests for information or copies (or a similar search
report certified by parties acceptable to the Trustee and each Funding Agent)
dated a date reasonably near the date hereof listing all effective financing
statements or charges which name the Contributor (under its present name and
any previous name) as debtor and which are filed in jurisdictions in which the
filings were made pursuant to clause (h) above, together with copies of
such financing statements (none of which shall cover any Receivables or Receivable
Assets related thereto, if so requested by the Company or any Funding Agent);

 

(i)            the Company shall have received a
solvency certificate delivered by the Contributor with respect to the
Contributor’s solvency in the form of Schedule 1;

 

(j)            the Company shall have received the
most recent audited consolidated financial statements of the Contributor and
its consolidated Subsidiaries;

 

(k)           the Company shall be satisfied that
the Contributor’s and any Originator’s systems, procedures and record keeping
relating to the Contributed Receivables are sufficient and satisfactory in
order to permit the contribution, assignment, transfer and conveyance of such
Contributed Receivables and the administration of such Contributed Receivables
in accordance with the terms and intent of this Agreement;

 

(l)            the Company shall have received a
solvency certificate delivered by each Originator with respect to each
Originator’s solvency in the form attached to the applicable Receivables
Purchase Agreement;

 

(m)          Intentionally Omitted;

 

(n)           the Company shall have received such
other approvals, opinions or documents as the Company may reasonably request;
and

 

(o)           if applicable, all conditions
precedent to the sale of the Purchased Receivables from the related Originator
to the Contributor contained in the related Receivables Purchase Agreement
shall have been satisfied.

 

3.02         Conditions Precedent to all
Contributions of Receivables. The obligation of the Company to accept a
contribution of Receivable Assets on each Contribution Date is subject to the
satisfaction of the following conditions precedent, that, on and as of the
related Contribution Date, the following statements shall be true (and the
delivery by or on behalf of the Contributor of the Originator Daily Report for
such Contributed Receivables on such Contribution Date shall constitute a
representation and warranty by the Contributor that on such Contribution Date
the statements in clauses (a) and (b) below are true):

 

(a)           the representations and warranties of
the Contributor contained in Sections 4.01 shall be true and correct on
and as of such Contribution Date as though made on and as of such date, except
insofar as such representations and warranties are expressly made only as of
another date (in which case they shall be true and correct as of such other
date);

 

8

 

(b)           after giving effect to such
contribution, no Originator Termination Event or Potential Originator
Termination Event with respect to the Contributor or any Originator and no
Potential Termination Event or Program Termination Event shall have occurred
and be continuing;

 

(c)           after giving effect to such
contribution, no Early Amortization Event or Potential Early Amortization Event
with respect to any Outstanding Series shall have occurred and be continuing;

 

(d)           since the date hereof, no material
adverse change has occurred in the overall rate of collection of the
Contributed Receivables;

 

(e)           the Company shall have received such
other approvals, opinions or documents as the Company may reasonably request;
and

 

(f)            if applicable, all conditions
precedent to the sale of such Eligible Receivables from the related Originator
to the Contributor contained in the related Receivables Purchase Agreement
shall have been satisfied;

 

provided, however, that the
failure of the Contributor to satisfy any of the foregoing conditions shall not
prevent the Contributor from subsequently contributing Eligible Receivables
originated by it, or purchased by it pursuant to a Receivables Purchase
Agreement, upon satisfaction of all such conditions.

 

3.03         Conditions Precedent to the
Contributor’s Obligations on the Initial Contribution Date and each
Contribution Date thereafter. The obligations of the Contributor on the
date hereof and each Contribution Date thereafter shall be subject to the
conditions precedent, which may be waived by the Contributor, that the
Contributor shall have received on or before the date hereof (with respect to
the initial contribution hereunder) and for subsequent contributions, the
relevant Contribution Date, the following, each in form and substance
satisfactory to the Contributor:

 

(a)           a Certificate of Good Standing for
the Company issued by the Secretary of State of Delaware; and

 

(b)           a certificate of a Responsible Officer
of the Company certifying (i) the names and signatures of the managers
authorized on its behalf to execute this Agreement and the other Transaction
Documents to which it is a party and any other documents to be delivered by it
hereunder or thereunder, (ii) that attached thereto is a true, correct and
complete copy of the Company’s Certificate of Formation and Limited Liability
Company Agreement, and (iii) that attached thereto is a true correct and
complete copy of duly adopted resolutions of the Shareholders of the Company,
authorizing the execution of this Agreement and the consummation of the
Transactions pursuant to the Transaction Documents.

 

4.             REPRESENTATIONS
AND WARRANTIES

 

4.01         Representations and Warranties of
the Contributor. The Contributor represents and warrants to the Company as
of the date hereof that:

 

(a)           Organization; Powers. It
(i) is a limited liability company duly organized, validly existing and in
good standing under the laws of the State of Delaware, (ii) has all
requisite power and authority to own its property and assets and to carry on
its business as now conducted and as proposed to be conducted, (iii) is
qualified to do business in, and is in good standing in, every jurisdiction
where the nature of its business so requires, except where the failure so to
qualify could not reasonably be expected to result in a Material Adverse Effect
with respect to it and (iv) has the limited liability company power and
authority to execute, deliver and perform its obligations under this Agreement
and each of the other 

 

9

 

Transaction Documents to which it is a party and each
other agreement or instrument contemplated hereby or thereby to which it is or
will be a party.

 

(b)           Authorization. The execution,
delivery and performance by the Contributor of each of the Transaction
Documents to which it is a party and the performance of the Transactions
(i) have been duly authorized by all requisite or limited liability
company and, if applicable and required, member action and (ii) will not
(A) violate (1) any Requirement of Law applicable to it or
(2) any provision of any Transaction Document or other material
Contractual Obligation to which it is a party or by which it or any of its
property is or may be bound, (B) be in conflict with, result in a breach
of or constitute (alone or with notice or lapse of time or both) a default
under, or give rise to any right to accelerate or to require the prepayment,
repurchase or redemption of any obligation under any Transaction Document or
any other material Contractual Obligation to which it is a party or by which it
or any of its property is or may be bound except where any such conflict,
violation, breach or default referred to in clause (A) or (B), individually
or in the aggregate, could not reasonably be expected to have a Material
Adverse Effect with respect to it or (C) result in the creation or
imposition of any Lien upon the Contributed Receivables (other than Permitted
Liens).

 

(c)           Enforceability. Each of this
Agreement and the other Transaction Documents to which it is a party have been
duly executed and delivered by the Contributor and constitutes a legal, valid
and binding obligation of the Contributor enforceable against such Contributor
in accordance with its respective terms, subject (a) to applicable
bankruptcy, insolvency, reorganization, moratorium and other similar laws
affecting the enforcement of creditors’ rights generally, from time to time in
effect and (b) to general principles of equity.

 

(d)           Governmental Approvals. No
action, consent or approval of, registration or filing with or any other action
by any Governmental Authority is or will be required in connection with the
execution and delivery of this Agreement or the consummation of the Transactions
contemplated hereby, except for (i) the filing of UCC financing statements
(or other similar filings) in any applicable jurisdictions necessary to perfect
the Company’s ownership interest in the Contributed Receivables pursuant to
subsection 3.01(h), (ii) such as have been made or obtained and are
in full force and effect and (iii) such actions, consents, approvals and
filings the failure of which to obtain or make could not reasonably be expected
to result in a Material Adverse Effect with respect to it.

 

(e)           Litigation; Compliance with Laws.

 

(i)            There are no actions, suits or
proceedings at law or in equity or by or before any Governmental Authority now
pending or, to the knowledge of the Contributor, threatened in writing against
the Contributor or any Originator in respect of which there exists a reasonable
possibility of an outcome that would result in a Material Adverse Effect with
respect to it; and

 

(ii)           neither it nor any Originator is in
default with respect to any judgment, writ, injunction, decree or order of any
Governmental Authority, where such violation or default could reasonably be
expected to result in a Material Adverse Effect with respect to it.

 

(f)            Agreements.

 

(i)            Neither it, nor any Originator is a
party to any agreement or instrument or subject to any corporate restriction
that has resulted or could reasonably be expected to result in a Material
Adverse Effect with respect to it; and

 

10

 

(ii)           neither it, nor any Originator is in
default in any manner under any provision of any Contractual Obligation to
which it is a party or by which it or any of its properties or assets are
bound, where such default could reasonably be expected to result in a Material
Adverse Effect with respect to it.

 

(g)           Federal Reserve Regulations. Neither
it nor any Originator is engaged principally, or as one of its important
activities, in the business of extending credit for the purpose of buying or
carrying Margin Stock.

 

(h)           Investment Company Act. It is
not an “investment company” as defined in, or subject to regulation under, the
1940 Act.

 

(i)            Tax Returns. It has filed or
caused to be filed all material tax returns and has paid or caused to be paid
or made adequate provision for all taxes due and payable by it and all
assessments received by it except to the extent that its obligations to make
such payment (i) is being contested in good faith or (ii) such
failure with respect to such filing or payment could not reasonably be expected
to result in a Material Adverse Effect with respect to it.

 

(j)            ERISA Matters.

 

(i)            it and each of its ERISA Affiliates
is in compliance in all material respects with the applicable provisions of
ERISA and the regulations and published interpretations thereunder with respect
to any Plan of the Contributor or any of its ERISA Affiliates, except for such
noncompliance which could not reasonably be expected to result in a Material
Adverse Effect with respect to it;

 

(ii)           no Reportable Event has occurred as
to which the Contributor or any of its ERISA Affiliates was required to file a
report with the PBGC, other than reports for which the 30-day notice
requirement is waived, reports that have been filed and reports the failure of
which to file would not reasonably be expected to result in a Material Adverse
Effect with respect to it;

 

(iii)          as of the date hereof, the present
value of all benefit liabilities under each Plan of the Contributor or any of
its ERISA Affiliates (on an ongoing basis and based on those assumptions used
to fund such Plan) did not, as of the last valuation report applicable thereto,
exceed the value of the assets of such Plan;

 

(iv)          neither it nor any of its ERISA
Affiliates has incurred any Withdrawal Liability that could reasonably be
expected to result in a Material Adverse Effect with respect to it; and

 

(v)           neither it nor any of its ERISA
Affiliates has received any notification that any Multiemployer Plan is in
reorganization or has been terminated within the meaning of Title IV of
ERISA, or that a reorganization or termination has resulted or could reasonably
be expected to result, through increases in the contributions required to be
made to such Plan or otherwise, in a Material Adverse Effect with respect to
it.

 

(k)           Accounting Treatment. Except to
the extent otherwise required by law, the Contributor will not prepare any
financial statements that shall account for the transactions contemplated
hereby, nor will it in any other respect account for the transactions
contemplated hereby, in a manner that is inconsistent with the Company’s
ownership interest in the Receivable Assets. The Contributor intends 

 

11

 

to treat the contribution of the Contributed
Receivables as a contribution of such Receivables for all tax, accounting and
regulatory purposes.

 

(l)            Intentionally Omitted.

 

(m)          Intentionally Omitted.

 

(n)           Books and Records. The offices
at which the Contributor keeps its records concerning the Contributed
Receivables (x) are located as set forth on Schedule 1 hereto or
(y) are in locations as to which the Contributor has notified the Company
of the location thereof in accordance with Section 5.06.

 

(o)           Bulk Sales Act. No transaction
contemplated hereby with respect to the Contributor requires compliance with,
or will be subject to avoidance under, any bulk sales act or similar law in the
United States.

 

(p)           Names. On the date hereof, the
legal name of the Contributor is as set forth in this Agreement. The
Contributor does not have any trade names, fictitious names, assumed names or “doing
business as” names.

 

(q)           Solvency. No Insolvency Event
with respect to the Contributor or any Originator has occurred and the
contribution, assignment, conveyance and transfer of the Contributed
Receivables by the Contributor to the Company has not been made in
contemplation of the occurrence thereof. Both prior to and after giving effect
to the transactions occurring on the date hereof and after giving effect to
each subsequent transaction contemplated hereunder, including any contribution
of Contributed Receivables (i) the fair value of the assets of the
Contributor and each Originator, taken individually at a fair valuation, will
exceed the debts and liabilities, subordinated, contingent or otherwise, of the
Contributor or such Originator, as applicable; (ii) the present fair
saleable value of the property of the Contributor and each Originator, taken
individually and not on a consolidated basis, will be greater than the amount
that will be required to pay the probable liability of the Contributor or such
Originator, as applicable, on its debts and other liabilities, subordinated,
contingent or otherwise, as such debts and other liabilities become absolute
and matured; (iii) the Contributor will be able to pay its debts and
liabilities, subordinated, contingent or otherwise, as such debts and
liabilities become absolute and matured; and (iv) the Contributor will not
have unreasonably small capital with which to conduct the business in which it
is engaged as such business is now conducted and is proposed to be conducted. For
all purposes of clauses (i) through (iv) above, the amount of contingent
liabilities at any time shall be computed as the amount that, in the light of
all the facts and circumstances existing at such time, represents the amount
that can reasonably be expected to become an actual or matured liability. The
Contributor does not intend to, nor does it believe that it will nor that any
Originator will, incur debts beyond its or their ability to pay such debts as
they mature, taking into account the timing of and amounts of cash to be
received by the Contributor or each Originator, as the case may be, and the
timing of the amounts of cash to be payable on or in respect of its
Indebtedness.

 

(r)            No Originator Termination Event.
No Potential Originator Termination Event or Originator Termination Event with
respect to the Contributor or any Originator has occurred and is continuing.

 

(s)           No Program Termination Event. No
Potential Program Termination Event or Program Termination Event shall have
occurred and be continuing.

 

12

 

(t)            No Fraudulent Transfer. It is
not entering into this Agreement with the actual or constructive intent to
hinder, delay, or defraud its present or future creditors and is receiving
reasonably equivalent value and fair consideration for the Contributed
Receivables.

 

(u)           Collection Procedures. It, and
each Originator of Contributed Receivables, has in place the Policies and has
not acted in contravention of any such Policies with respect to the Contributed
Receivables.

 

(v)           No Early Amortization Event. No
Early Amortization Event or Potential Early Amortization Event has occurred and
is continuing.

 

(w)          No Material Adverse Effect. Since
December 31, 2005, no event has occurred which has had a Material Adverse
Effect with respect to it.

 

(x)            No Foreclosure Act. No action
or proceeding has been brought seeking to foreclose on the Contributor’s
membership interest in the Company.

 

(y)           Anti-Terrorism Law.

 

(i)            Neither the Contributor nor, to the
actual knowledge of a Responsible Officer of the Contributor, any of its
Affiliates is in violation of any laws relating to terrorism or money
laundering (“Anti-Terrorism Law”), including Executive Order No. 13224
on Terrorist Financing, effective September 24, 2001 (the “Executive
Order”), and the Uniting and Strengthening America by Providing Appropriate
Tools Required to Intercept and Obstruct Terrorism Act of 2001, Public Law 107-56.

 

(ii)           Neither the Contributor nor, to the
actual knowledge of a Responsible Officer of the Contributor, any Affiliate or
broker or other agent of the Contributor, acting or benefiting in any capacity
in connection with its obligations hereunder is any of the following:

 

(A)          A person that is listed in the annex
to, or it otherwise subject to the provisions of, the Executive Order;

 

(B)           A person owned or controlled by, or
acting for on or behalf of, any person that is listed in the annex to, or is
otherwise subject to the provisions of, the Executive Order;

 

(C)           A person with which the Contributor
is prohibited form dealing or otherwise engaging in any transaction by any Anti-Terrorism
Law;

 

(D)          A person that commits, threatens or
conspires to commit or supports “terrorism” as defined in the Executive Order;
or

 

(E)           A person that is named as a “specially
designated national and blocked person” on the most current list published by
the US Treasury Department, Office of Foreign Assets Control at its official
website or any replacement website or other replacement official publication of
such list.

 

The representations and warranties as of the date made
set forth in this Section 4.01 shall survive the transfer, assignment,
conveyance and contribution of the Contributed Receivables and the other
Receivable Assets related thereto to the Company. Upon discovery by a
Responsible Officer of the 

 

13

 

Company or the Master Servicer or by a Responsible
Officer of the Contributor of a breach of any of the foregoing representations
and warranties, the party discovering such breach shall give prompt written
notice to the Master Servicer, the Company or the Contributor, as the case may
be.

 

4.02         Representations and Warranties of
the Contributor Relating to the Contributed Receivables. The Contributor
hereby represents and warrants to the Company on each Contribution Date with
respect to the Contributed Receivables as of the relevant Contribution Date:

 

(a)           Receivables Description. Each
Originator Daily Report delivered, transmitted or received by the Contributor
and referred to in subsection 2.01(a) of this Agreement sets forth in all
material respects an accurate and complete listing of all Contributed
Receivables to be contributed to the Company on such Contribution Date [or (as
the case may be) offered for sale to the Contributor] on such Contribution Date
and the information contained therein in accordance with Exhibit B to the
Pooling Agreement with respect to each such Contributed Receivable is true and
correct as of such date.

 

(b)           No Liens. Each Contributed
Receivable existing on the date hereof or, in the case of Receivables
contributed, transferred, assigned and conveyed to the Company after the date
hereof, on such Contribution Date, has been contributed, transferred, assigned
and conveyed to the Company free and clear of any Liens, (other than Permitted
Liens).

 

(c)           Eligible Receivable. On the
date hereof, each Contributed Receivable that is included in the Daily Reports
dated as of the date hereof is an Eligible Receivable on the date hereof and,
in the case of Contributed Receivables contributed to the Company on a
Contribution Date after the date hereof, each such Contributed Receivable
contributed to the Company on such Contribution Date is an Eligible Receivable
on such Contribution Date.

 

(d)           Filings. All filings and other
acts (including notifying related Obligors of the assignment of a Contributed
Receivable, if applicable) necessary or advisable under the UCC or under other
applicable laws of jurisdictions outside the United States (to the extent
applicable) shall have been made or performed in order to grant the Company on
the applicable Contribution Date a full legal and beneficial ownership interest
in respect of such Contributed Receivables then existing or thereafter arising
free and clear of any Liens (except for Permitted Liens).

 

(e)           Policies. Since the date
hereof, there have been no material changes in the Policies, other than as
permitted hereunder.

 

(f)            True Contribution. Title to
each Contributed Receivable will be vested in the Company as contemplated in
subsection 4.02(b) and subsection 4.02(d), and such Contributed
Receivables will not form part of the estate of the Contributor or relevant
Originator upon a bankruptcy of the Contributor.

 

The representations and warranties as of the date made
set forth in this Section 4.02 shall survive the contribution, transfer,
assignment and conveyance of the Contributed Receivables to the Company. Upon
discovery by a Responsible Officer of the Company or the Master Servicer or a
Responsible Officer of the Contributor of a breach of any of the
representations and warranties (or of any Contributed Receivable encompassed by
the representation and warranty in subsection 4.02(c) not being an Eligible
Receivable as of the relevant Contribution Date), the party discovering such
breach shall give prompt written notice to the respective other parties.

 

14

 

4.03         Representations and Warranties of
the Company. The Company represents and warrants as to itself as follows:

 

(a)           Organization; Powers. The
Company (i) is a limited liability company duly organized, validly
existing and in good standing under the laws of the State of Delaware,
(ii) has all requisite power and authority to own its property and assets
and to carry on its business as now conducted and as proposed to be conducted,
(iii) is qualified to do business in, and is in good standing in, each
jurisdiction where the nature of its business so requires, except where the
failure so to qualify would not have a Material Adverse Effect with respect to
it and (iv) has the limited liability company power and authority to
execute, deliver and perform its obligations under this Agreement and each of the
other Transaction Documents to which it is a party and each other agreement or
instrument contemplated hereby or thereby to which it is or will be a party.

 

(b)           Authorization. The execution,
delivery and performance by the Company of each of the Transaction Documents to
which it is a party and the performance of the Transactions (i) have been
duly authorized by all requisite limited liability company and, if applicable
and required, Shareholder action and (ii) will not (A) violate
(1) any Requirement of Law or (2) any provision of any Transaction
Document or any other material Contractual Obligation to which the Company is a
party or by which it or any of its property is or may be bound, (B) be in
conflict with, result in a breach of or constitute (alone or with notice or
lapse of time or both) a default under, or give rise to any right to accelerate
or to require the prepayment, repurchase or redemption of any obligation under
any Transaction Document or any other material Contractual Obligation to which
it is a party or by which it or any of its properties is or may be bound,
except where any such conflict, violation, breach or default referred to in
clauses (A) or (B), individually or in the aggregate, could not reasonably
be expected to have a Material Adverse Effect with respect to it or
(C) result in the creation or imposition of any Lien upon the Contributed
Receivables (other than Permitted Liens).

 

(c)           Enforceability. This Agreement
and each other Transaction Document to which it is a party have been duly executed
and delivered by the Company and constitutes, a legal, valid and binding
obligation of the Company enforceable against the Company in accordance with
its respective terms, subject (a) to applicable bankruptcy, insolvency,
reorganization, moratorium and other similar laws affecting the enforcement of
creditors’ rights generally, from time to time in effect and (b) to
general principles of equity.

 

(d)           Accounting Treatment. Except
to the extent otherwise required by law, the Company will not prepare any
financial statements that shall account for the transactions contemplated
hereby, nor will it in any other respect account for the transactions
contemplated hereby, in a manner that is inconsistent with the Company’s
ownership interest in the Contributed Receivables.

 

(e)           Contributor. The Contributor
is a Shareholder in the Company, and the Contributor’s Shares in the Company
are owned free and clear of all Liens, other than any liens in favor of the
Company arising under the Limited Liability Company Agreement, provided
that the Contributor may pledge any or all of its Shares to the Collateral
Agent under the Credit Agreement.

 

5.             AFFIRMATIVE
COVENANTS

 

The Contributor hereby agrees that, so long as there
are any amounts outstanding with respect to Contributed Receivables or until an
Early Program Termination, whichever is later, the Contributor shall, and shall
cause each Originator to:

 

15

 

5.01         Financial Statements, Reports, etc.:

 

(a)           Furnish to the Company, within
150 days after the end of each fiscal year, the balance sheet and related
statements of income, members’ equity and cash flows showing the financial
condition of the Contributor as of the close of such fiscal year and the
results of its operations during such year, all audited by the Contributor’s
Independent Public Accountants and accompanied by an opinion of such
accountants (which shall not be qualified in any material respect) to the
effect that such financial statements fairly present in all material respects
the financial condition and results of operations of the Contributor in
accordance with GAAP consistently applied;

 

(b)           Furnish to the Company, within
60 days after the end of each of the first three fiscal quarters of each
fiscal year, the Contributor’s unaudited balance sheet and related statements
of income, members’ equity and cash flows for the period from the beginning of
such fiscal year to the end of such quarter, all certified by a Responsible
Officer of the Contributor;

 

(c)           Furnish to the Company, together with
the financial statements required pursuant to clauses (i) and (ii) above,
a compliance certificate signed by a Responsible Officer of the Company stating
that (x) the attached financial statements have been prepared in accordance
with GAAP and accurately reflect the financial condition of the Company and
(y) to the best of such Responsible Officer’s knowledge, no Early
Amortization Event or Potential Early Amortization Event exists, or if any
Early Amortization Event or Potential Early Amortization Event exists, stating
the nature and status thereof;

 

(d)           Furnish to the Company upon request,
promptly upon the furnishing thereof to the Shareholders of the Contributor,
copies of all financial statements, financial reports and proxy statements so
furnished;

 

(e)           Furnish to the Company, promptly, all
information, documents, records, reports, certificates, opinions and notices
received by the Contributor from an Originator under any Receivables Purchase
Agreement;

 

(f)            Intentionally Omitted;

 

(g)           Furnish to the Company, promptly,
from time to time, such historical information, including aging and liquidation
schedules, as the Company or Funding Agent may reasonably request; and

 

(h)           Furnish to the Company, promptly,
from time to time, such other information regarding the operations, business
affairs and financial condition of the Contributor, or compliance with the
terms of any Transaction Document, in each case as the Company or any Funding
Agent may reasonably request.

 

5.02         Compliance with Law and Policies.

 

(a)           Comply with all Requirements of Law
and material Contractual Obligations to which it is subject and which are
applicable to it except to the extent that non-compliance would not reasonably
be likely to result in a Material Adverse Effect with respect to it; and

 

(b)           Perform its obligations in accordance
with the Policies, as amended from time to time in accordance with the
Transaction Documents, in regard to the Contributed Receivables and the other
Receivable Assets.

 

16

 

5.03         Preservation of Company Existence.
(i) Preserve and maintain its company existence, rights and privileges, if
any, in the jurisdiction of its organization and (ii) qualify and remain
qualified in good standing as a foreign company in each jurisdiction where the
nature of its business so requires, except where the failure so to qualify
would not, individually or in the aggregate with other such failures, have a
Material Adverse Effect with respect to it.

 

5.04         Separate Company Existence.

 

(a)           Except as set forth in the
Transaction Documents, maintain its deposit account or accounts, separate from
those of the Company and ensure that its funds will not be diverted to the
Company, nor will such funds be commingled with the funds of the Company;

 

(b)           To the extent that it shares any
officers or other employees with the Company, the salaries of and the expenses
related to providing benefits to such officers and other employees shall be
fairly allocated among it and the Company, and it and the Company shall bear
their fair shares of the salary and benefit costs associated with all such
common officers and employees;

 

(c)           To the extent that it jointly
contracts with the Company to do business with vendors or service providers or
to share overhead expenses, the costs incurred in so doing shall be allocated
fairly between it and the Company and it and the Company shall bear their fair
shares of such costs. To the extent that it contracts or does business with
vendors or service providers where the goods and services provided are
partially for the benefit of the Company, the costs incurred in so doing shall
be fairly allocated between it and the Company in proportion to the benefit of
the goods or services each is provided, and it and the Company shall bear their
fair shares of such costs. All material transactions between it and the
Company, whether currently existing or hereafter entered into, shall be only on
an arm’s length basis;

 

(d)           Maintain office space separate from
the office space of the Company (but which may be located at the same address
as the Company). To the extent that it and the Company have offices in the same
location, there shall be a fair and appropriate allocation of overhead costs
between them, and each shall bear its fair share of such expenses;

 

(e)           Issue financial statements separate
from any financial statements issued by the Company;

 

(f)            Conduct its affairs strictly in
accordance with its organizational documents and observe all necessary,
appropriate and customary company formalities, including, but not limited to,
holding regular and special members’ and directors’ meetings appropriate to
authorize all action, keeping separate minutes of its meetings, passing all
resolutions or consents necessary to authorize actions taken or to be taken,
and maintaining separate books, records and accounts, including, but not
limited to, payroll and intercompany transaction accounts;

 

(g)           Except as set forth in the
Transaction Documents, not assume or guarantee any of the liabilities of the
Company; and

 

(h)           Take, or refrain from taking, as the
case may be, all other actions that are necessary to be taken or not to be
taken in order (x) to ensure that the assumptions and factual recitations
set forth in the Specified Bankruptcy Opinion Provisions remain true and
correct with respect to it (and, to the extent within its control, to ensure
that the assumptions and factual recitations set forth in the Specified
Bankruptcy Opinion Provisions remain true and correct with respect to the
Company) and (y) to comply with those procedures described in such
provisions that are applicable to it.

 

17

 

5.05         Inspection of Property; Books and
Records; Discussions. Keep proper books of records and account in which
entries in conformity with GAAP shall be made of all dealings and transactions
in relation to its business and activities; and permit representatives of the
Company and the Funding Agents upon reasonable advance notice to visit and
inspect any of its properties and examine and make abstracts from any of its
books and records during normal business hours on any Local Business Day and as
often as may reasonably be requested, subject to the Contributor’s or such
Originator’s security and confidentiality requirements and to discuss the
business, operations, properties and financial condition of the Contributor and
each Originator with officers and employees of the Contributor and with its
Independent Public Accountants.

 

5.06         Location of Records. Keep the
offices where it keeps the records concerning the Receivable Assets (and all
original documents relating thereto), at the locations referred to for it on
Schedule 2 hereto or upon 60 days’ prior written notice to the
Company, at such other location as specified in such notice.

 

5.07         Computer Files and other Documents.
At its own cost and expense, retain the ledger used by it as a master record of
the Obligors and retain copies of all documents relating to each Obligor as
custodian and agent for the Company and other Persons with interests in the
Contributed Receivables originated by it, as well as retain all Originator
Documents.

 

5.08         Obligations. Pay, discharge or
otherwise satisfy at or before maturity or before they become delinquent, as
the case may be, all its obligations of whatever nature (including, without
limitation, all taxes, assessments, levies and other governmental charges
imposed on it), except where the amount or validity thereof is currently being
contested in good faith by appropriate proceedings and reserves in conformity
with GAAP with respect thereto have been provided on the books of the
Contributor. Defend the right, title and interest of the Company in, to and
under the Receivable Assets, whether now existing or hereafter created, against
all claims of third parties claiming through the Contributor. The Contributor
will duly fulfill all obligations on its part to be fulfilled under or in
connection with each Receivable and will do nothing to materially impair the
rights of the Company in such Receivable.

 

5.09         Collections. Instruct each
Obligor to make payments in respect of its Contributed Receivables to a
Collection Account and to comply in all material respects with procedures with
respect to Collections reasonably specified from time to time by the Company. In
the event that any payments in respect of any such Contributed Receivables are
made directly to the Contributor or an Originator (including, without
limitation, any employees thereof or independent contractors employed thereby),
the Contributor shall, and shall cause such Originator to, within
one (1) Local Business Day of receipt thereof, deliver or deposit
such amounts to a Collection Account and, prior to forwarding such amounts, the
Contributor shall, or shall cause such Originator to, as applicable, hold such
payments in trust for the account and benefit of the Company.

 

5.10         Furnishing Copies, Etc.  Furnish to the Company:

 

(a)           Within five (5) Local
Business Days of the Company’s request, a certificate of a Responsible Officer
of the Contributor, certifying, as of the date thereof, to the knowledge of
such officer, that no Potential Originator Termination Event or Originator
Termination Event with respect to it or of any Potential Program Termination
Event or Program Termination Event has occurred
and is continuing or if one has so occurred, specifying the nature and extent
thereof and any corrective action taken or proposed to be taken with respect
thereto;

 

18

 

(b)           Promptly after a Responsible Officer
of the Contributor obtains knowledge of the occurrence of any Originator
Termination Event or Potential Originator Termination Event with respect to it
and no Potential Program Termination Event or Program Termination Event,
written notice thereof;

 

(c)           Promptly following request therefor,
such other information, documents, records or reports regarding or with respect
to the Contributed Receivables purchased from an Originator, as the Company may
from time to time reasonably request; and

 

(d)           Promptly upon determining that any
Contributed Receivable was not an Eligible Receivable as of the date provided
therefor, written notice of such determination.

 

5.11         Intentionally Omitted:

 

5.12         Assessments. Pay before the same
become delinquent and discharge all taxes, assessments, levies and other
governmental charges imposed on it except such taxes, assessments, levies and
governmental charges which are being contested in good faith and for which the
Contributor has set aside on its books adequate reserves.

 

5.13         Intentionally Omitted.

 

5.14         Notices. Promptly give written
notice to the Trustee, the Company and each Funding Agent for any Outstanding
Series of the occurrence of any Liens on any Contributed Receivables (other
than Permitted Liens), Early Amortization Event or Potential Early Amortization
Event, including the statement of a Responsible Officer of the Contributor
setting forth the details of such Early Amortization Event or Potential Early
Amortization Event and the action taken, or which the Contributor proposes to
take, with respect thereto.

 

5.15         Bankruptcy. Cooperate with the
Company, each Funding Agent and the Trustee in making any amendments to the
Transaction Documents and take, or refrain from taking, as the case may be, all
other actions deemed reasonably necessary by such Funding Agent and/or Trustee
in order to comply with the structured finance statutory exemption set forth in
legislative amendments to the U.S. Bankruptcy Code at or any time after such
amendments are enacted into law; provided, however, that it shall
not be required to make any amendment or to take, or omit from taking, as the
case may be, any action which it reasonably believes would have the effect of
materially changing the economic substance of the transaction contemplated by
the Transaction Documents on the date hereof.

 

5.16         Further Action. In addition to
the foregoing:

 

(a)           The Contributor agrees that from time
to time, at its expense, it will promptly execute and deliver all further
instruments and documents, and take all further action (including notifying the
related Obligors to the extent necessary to perfect the ownership interest of
the Company in the Contributed Receivables) that may be necessary in the
Contributor’s reasonable judgment or that the Company may reasonably request,
in order to protect the Company’s right, title and interest in the Contributed
Receivables, or to enable the Company to exercise or enforce any of its rights
in respect thereof. Without limiting the generality of the foregoing, the
Contributor will, and will cause each Originator to, upon the request of the
Company (i) execute and file such financing or continuation statements, or
amendments thereto, and such other instruments or notices, as may be necessary
or, in the opinion of the Company, advisable to protect the Company’s ownership
interest in the Contributed Receivables and (ii) obtain the agreement of
any Person having a Lien on any Contributed Receivables owned by the
Contributor or an Originator (other than any Permitted Lien) to release such
Lien upon the contribution of any such Contributed Receivables to the Company;

 

19

 

(b)           Until the termination of this
Agreement, the Contributor hereby irrevocably authorizes the Company to file
one or more financing or continuation statements (and other similar
instruments), and amendments thereto, relative to all or any part of the
Receivable Assets; and

 

(c)           If the Contributor fails to perform any
of its agreements or obligations under this Agreement, following notice to the
Contributor detailing such delinquency, the Company may (but shall not be
required to) perform, or cause performance of, such agreements or obligations,
and the expenses of the Company incurred in connection therewith shall be
payable by the Contributor as provided in Section 8.02. The Company agrees
promptly to notify the Contributor after any such performance; provided,
however, that the failure to give such notice shall not affect the
validity of any such performance.

 

5.17         Marking of Records. The
Contributor will, and will cause each Originator to, identify on its extraction
records relating to the Contributed Receivables from its master database of
receivables that the Contributed Receivables and the Receivable Assets related
thereto have been contributed to the Company, and thereupon a Participation and
security interest granted by the Company to the Trustee. The Contributor agrees
that from time to time it will promptly execute and deliver all instruments and
documents, and take all further action, that Company may reasonably request in
order to perfect, protect or more fully evidence the Contributor’s ownership
interest and the Trustee’s first priority perfected security interest in the
Contributed Receivables.

 

5.18         Intentionally Omitted.

 

5.19         Enforcement of Agreements. The
Contributor shall enforce its rights under each Origination Agreement,
including, without limitation, the right to receive Adjustment Payments and indemnification
thereunder.

 

6.             NEGATIVE
COVENANTS

 

Except as otherwise provided in Section 6.11, the
Contributor hereby agrees that, so long as there are any amounts outstanding
with respect to Contributed Receivables or until an Early Program Termination, whichever
is the later, the Contributor shall not, and shall not permit any Originator
to:

 

6.01         Limitations on Transfers of
Contributed Receivables, Etc.  At any
time attempt to re-contribute, reconvey, reassign, re-transfer or otherwise
purport to dispose of or attempt to sell, convey assign, transfer or otherwise
disperse any of the Contributed Receivables or any Receivable Assets relating
thereto, except as contemplated by the Transaction Documents.

 

6.02         Extension or Amendment of
Contributed Receivables. Extend payment terms, make any Dilution Adjustment
to, rescind, cancel, amend or otherwise modify, or attempt or purport to
extend, amend or otherwise modify, the terms of any Contributed Receivables
except in accordance with Section 2.05.

 

6.03         Change in Payment Instructions to
Obligors. Instruct any Obligor to make any payments with respect to any
Contributed Receivables originated by it other than, in accordance with
Section 5.09, by check or wire transfer to a Collection Account.

 

6.04         Change in Name. Change its name,
use an additional name, change its identity or company structure or change its
form or jurisdiction of organization unless at least 60 days’ prior to the
date hereof of any such change it delivers to the Company such documents,
instruments or agreements as 

 

20

 

are necessary to reflect such change and to continue
the perfection of the Company’s ownership interest in the Contributed
Receivables.

 

6.05         Policies. Make any change or
modification (or permit any change or modification to be made) in any material
respect to the Policies, except (i) if such changes or modifications are
necessary under any Requirement of Law, or (ii) if such change or
modification, other than a change or modification permitted pursuant to
clause (i) above, would reasonably be expected to have a Material Adverse
Effect with respect to a Series, with the consent of each Funding Agent.

 

6.06         Modification of Legend. Delete
or otherwise modify the marking on the legend referred to in
subsection 2.01(b) of the Pooling Agreement.

 

6.07         Accounting for Contributions. Except
as otherwise required by law, prepare any financial statements which shall
account for the transactions contemplated hereby in any manner other than as a
contribution of the Contributed Receivables to the Company or in any other
respect account for or treat the transactions contemplated hereby (including
for financial accounting purposes, except as required by law) in any manner
other than as contribution of the Contributed Receivables to the Company.

 

6.08         Instruments. Unless delivered to
the Trustee pursuant to Section 2.01(b) of the Pooling Agreement, take any
action to cause any Contributed Receivable not evidenced by an “instrument” (as
defined in Section 9-102(a)(47) of the applicable UCC) upon origination to
become evidenced by an instrument, except in connection with the enforcement or
collection of a Defaulted Receivable.

 

6.09         Ineligible Receivables. Without
the prior written approval of the Company, take any action relating to such
Contributed Receivable which to its knowledge would cause, or would permit such
Contributed Receivable to such Receivable to cease to be an Eligible
Receivable, except as otherwise expressly provided by this Agreement.

 

6.10         Business of the Contributor. Fail
to maintain and operate the business currently conducted by the Contributor and
the business activities reasonably incidental or related thereto in the
chemical business, if such failure would reasonably be expected to result in a
Material Adverse Effect with respect to it.

 

6.11         Intentionally Omitted..

 

6.12         Offices. Move the location of
the Contributor’s offices where it keeps its records with respect to the
Contributed Receivables without (i) providing thirty (30) days’
prior written notice to the Company, the Trustee and each Funding Agent and
(ii) taking all actions reasonably requested by the Trustee (including but
not limited to all filings and other acts necessary or advisable under the
applicable UCC or other applicable laws or similar statute of each relevant
jurisdiction) in order to continue the Trust’s first priority perfected
security interest in all Contributed Receivables now owned or hereafter
created.

 

6.13         Intentionally Omitted.

 

6.14         Amendment of Transaction Documents
or Other Material Documents. Other than as set forth in the Transaction
Documents, amend any Transaction Document or other material document related to
any transactions contemplated hereby or thereby.

 

21

 

6.15         Additional Equity. Permit the
Company to issue or sell any additional Shares, membership interests or equity
interests in the Company to any Person until after the Trust Termination Date.

 

6.16         Receivables Purchase Agreements.
Take any action under the Receivables Purchase Agreements that could reasonably
be expected to have a Material Adverse Effect.

 

7.             TERMINATION
EVENTS

 

7.01         Originator Termination Events. If
any of the following events (herein called “Originator Termination Events”)
shall have occurred and be continuing with respect to the Contributor:

 

(a)           the Contributor shall fail to pay any
amount due hereunder in accordance with the provisions hereof and such failure
shall continue unremedied for a period of two (2) Business Days from
the earlier to occur of (i) the date upon which a Responsible Officer of
the Contributor obtains actual knowledge of such failure or (ii) the date
on which written notice of such failure, requiring the same to be remedied,
shall have been given (A) to the Contributor by the Company or the Trustee
or (B) to the Company, to the Trustee and to the Contributor by any
Funding Agent; or

 

(b)           the Contributor shall fail to observe
or perform any other covenant or agreement applicable to it contained herein
(other than as specified in paragraph (a) of this Section 7.01) that
has a Material Adverse Effect with respect to it and that continues unremedied
until ten (10) Local Business Days after the date on which written
notice of such failure, requiring the same to be remedied shall have been given
(A) to the Contributor by the Company or the Trustee or (B) to the
Company, to the Trustee and to the Contributor by, provided that if such
failure may be cured and the Contributor is diligently pursing such cure, such
event shall not constitute an Originator Termination Event for an additional
thirty (30) days; or

 

(c)           any representation or warranty made
by the Contributor in this Agreement or in any certificate delivered pursuant
to this Agreement shall prove to have been incorrect in any material respect
when made or deemed made, and which continues unremedied until
ten (10) Local Business Days after the date on which written notice
thereof, requiring the same to be remedied, shall have been given (A) to
the Contributor by the Company or the Trustee or (B) to the Company, to
the Trustee and to the Contributor by any Funding Agent, provided that
if such incorrectness may be cured and the Contributor is diligently pursuing
such cure, such event shall not constitute an Originator Termination Event for
an additional thirty (30) days and provided  further
that an Originator Termination Event shall not be deemed to have occurred under
this paragraph (c) based upon a breach of any representation or warranty
set forth in Section 4.02 if the Contributor shall have complied with the
provisions of Section 2.06 in respect thereof; or

 

(d)           a notice of Lien shall have been
filed by the PBGC against an Originator under Section 412(n) of the Code
or Section 302(f) of ERISA for a failure to make a required installment or
other payment to a plan to which Section 412(n) of the Code or
Section 302(f) of ERISA applies unless there shall have been delivered to
the Trustee and the Funding Agents proof of release of such Lien; or

 

(e)           a Federal (or equivalent) tax notice
of Lien shall have been filed against an Originator unless there shall have
been delivered to the Trustee and the Funding Agents proof of release of such
Lien; or

 

then, in the case of any Originator Termination Event,
so long as such Originator Termination Event shall be continuing, the Company
shall not to accept a contribution of Receivables from the Contributor and 

 

22

 

the Contributor shall be terminated as an Originator
upon 10 days written notice (the date on which such notice becomes
effective, the “Originator Termination Date”) to the Contributor (any
such termination, an ”Early
Originator Termination”); provided that such removal or termination
shall be in accordance with Section 2.10 of the Pooling Agreement.

 

7.02         Program Termination Events. If
any of the following events (herein called “Program Termination Events”)
shall have occurred and be continuing:

 

(a)           an Insolvency Event shall have
occurred with respect to the Contributor; or

 

(b)           there shall have occurred and be
continuing (i) an Early Amortization Event set forth in Section 7.01
(a) through (e) of the Pooling Agreement or (ii) the Amortization Period
with respect to all Outstanding Series; or

 

(c)           a notice of Lien shall have been
filed by the PBGC against the Contributor under Section 412(n) of the Code
or Section 302(f) of ERISA for a failure to make a required installment or
other payment to a plan to which Section 412(n) of the Code or Section 302(f)
of ERISA applies unless there shall have been delivered to the Trustee and the
Funding Agents proof of release of such Lien or that the filing of such Lien
shall not have a Material Adverse Effect with respect to the Contributor; or

 

(d)           a Federal (or equivalent) tax notice
of Lien shall have been filed against the Contributor unless there shall have
been delivered to the Trustee and the Funding Agents proof of release of such
Lien or that the filing of such Lien shall not have a Material Adverse Effect
with respect to the Contributor; or

 

(e)           an Originator Termination Date shall
have occurred (other than those provided in subsection 7.01(d) and
subsection 7.01(e)) with respect to an Originator that, as of the last
Monthly Settlement Report, had originated more than 10% of the Aggregate
Receivables Amount reflected on such report; or

 

(f)            an Originator Termination Event
(other than those provided in subsection 7.01(d) shall have occurred but
such Originator has not been terminated within 10 calendar days in accordance
with Section 2.10 of the Pooling Agreement;

 

then, after the expiration of any applicable cure
period, the obligation of the Company to accept contributions shall terminate
without notice (such date of termination, the “Program Termination Date”
and any such termination, an “Early Program Termination”), and there
shall be an Early Amortization Event pursuant to Section 7.01 of the
Pooling Agreement.

 

7.03         Remedies.

 

(a)           If an Originator Termination Date or
Program Termination Date has occurred and is continuing, the Company (and its
assignees) shall have all of the rights and remedies provided to an owner of
accounts under applicable law in respect thereto.

 

(b)           The Contributor agrees that, upon the
occurrence and during the continuation of a Program Termination Event as
described in subsection 7.02(a) or (b)(i):

 

(i)            the Company (and its assignees)
shall have the right at any time to notify, or require that the Contributor, at
its expense, notify, the respective Obligors of the grant by the Company of a
Participation of and grant in a security interest in the Contributed 

 

23

 

Receivables and the Receivable Assets related thereto
and may direct that payment of all amounts due or to become due under the
Contributed Receivables be made directly to the relevant Company Concentration
Accounts;

 

(ii)           the Company (and its assignees) shall
have the right to (A) sue for collections on any Contributed Receivables
or (B) sell any Contributed Receivables to any Person (other than the
Contributor or any of its Affiliates) for a price that is acceptable to the
Company. If required by the applicable UCC (or analogous provisions of any
other similar law, statute or legislation applicable to the Contributed
Receivables), the Company (and its assignees) may offer to sell any Contributed
Receivable to any Person (other than the Contributor or any of its Affiliates),
together, at its option, with all other Contributed Receivables created by the
same Obligor. Any Contributed Receivable sold in accordance with this
clause (ii) shall cease to be a Contributed Receivable for all purposes
under this Agreement as of the effective date of such sale;

 

(iii)          the Contributor in such capacity or in
its capacity as Local Servicer, shall, and shall cause each Originator to, upon
the Company’s (or its assignees’) written request and at the Contributor’s
expense, (A) assemble all of its documents, instruments and other records
(including credit files and computer tapes or disks) that (1) evidence or
will evidence or record Contributed Receivables and (2) are otherwise
necessary or desirable to effect Collections of such Contributed Receivables
including (i) Receivable specific information including, when applicable,
invoice number, invoice due date, invoice value, purchase order reference,
shipping date, shipping address, shipping terms, copies of delivery notes,
bills of lading, insurance documents, copies of letters of credit, bills of
exchange or promissory notes, other security documents, and (ii) Obligor
specific information, including copy of the Contract, correspondence file and
details of any security held (collectively, the “Originator Documents”)
and (B) deliver such Originator Documents to the Company or its designee
at a place designated by the Company. In recognition of the Contributor’s need
to have access to any Originator Documents which may be transferred to the
Company hereunder, whether as a result of its continuing business relationship
with any Obligor under the Contributed Receivables or as a result of its
responsibilities as Local Servicer, the Company hereby grants to the
Contributor a license to access the Originator Documents transferred by the
Contributor to the Company and to access any such transferred computer software
in connection with any activity arising in the ordinary course of the
Contributor’s business or in performance of the Contributor’s duties as Local
Servicer; provided that the Contributor shall not disrupt or otherwise
interfere with the Company’s use of and access to the Originator Documents and
its computer software during such license period; and

 

(iv)          upon written request of the Company,
the Contributor will (A) deliver to the Company all licenses, rights,
computer programs, related material, computer tapes, disks, cassettes and data
necessary for the immediate collection of the Contributed Receivables by the
Company, with or without the participation of the Contributor (excluding
software licenses which by their terms are not permitted to be so delivered; provided
that the Contributor shall use reasonable efforts to obtain the consent of the
relevant licensor to such delivery but shall not be required, to the extent it
has an ownership interest in any electronic records, computer software or
licenses, to transfer, assign, set-over or otherwise convey such ownership
interests to the Company) and (B) make such arrangements with respect to
the collection of the Contributed Receivables as may be reasonably required by
the Company.

 

24

 

8.             MISCELLANEOUS

 

8.01         Payments. All payments to be
made by a party (“payor”) hereunder shall be made in Dollars on the
applicable due date and in immediately available funds to the recipient’s (“payee”)
account set forth in Schedule 3 to the Servicing Agreement or to such
other account as may be specified by such payee from time to time in a notice
to such payor. Wherever any payment to be made under this Agreement shall be
stated to be due on a day other than a Business Day, such payment shall be made
on the next succeeding Business Day.

 

8.02         Costs and Expenses. The
Contributor agrees to pay, indemnify, and hold the Company harmless from and
against any and all other liabilities, obligations, losses, damages, penalties,
actions, judgments, suits, costs, expenses or disbursements of any kind or
nature whatsoever (i) which may at any time be imposed on, incurred by or
asserted against the Company in any way relating to or arising out of this
Agreement or the other Transaction Documents or the transactions contemplated
hereby and thereby or in connection herewith or any action taken or omitted by
the Company under or in connection with any of the foregoing (all such other
liabilities, obligations, losses, damages, penalties, actions, judgments, suits,
costs, expenses and disbursements being herein called “Originator
Indemnified Liabilities”) or (ii) which would not have been imposed
on, incurred by or asserted against the Company but for its having acquired the
Contributed Receivables hereunder; provided, however, that such
indemnity shall not be available to the extent that such Originator Indemnified
Liabilities are finally judicially determined to have resulted from the gross
negligence or willful misconduct of the Company. The agreements of the
Contributor in this Section 8.02 shall survive the collection of all
Contributed Receivables, the termination of this Agreement and the payment of
all amounts payable hereunder; provided, further, that in no
event shall the Contributor be required to make any indemnity payments
resulting from the lack of performance or collectibility of the Contributed
Receivables (unless such loss results from a breach of a representation or
undertaking by the Contributor with respect to any such Contributed Receivable).

 

8.03         Successors and Assigns. This
Agreement shall be binding upon and inure to the benefit of the Contributor and
the Company and their respective successors (whether by merger, consolidation
or otherwise) and permitted assigns. The Contributor agrees that it will not
assign or transfer all or any portion of its rights or obligations hereunder
without the prior written consent of the Company. The Contributor acknowledges
that, pursuant to the Pooling Agreement, the Company shall grant the
Participation to the Trustee as well as granting to the Trustee a security
interest in, among other things, all of its rights hereunder. The Contributor
further agrees that, in respect of its obligations hereunder, it will act at
the direction of and in accordance with all requests and instructions from the
Trustee until all amounts due to the Investor Certificate holders are paid in
full.

 

8.04         Intentionally Omitted.

 

8.05         Intentionally Omitted.

 

8.06         Governing Law. THIS AGREEMENT
SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE
OF NEW YORK AND WITHOUT REFERENCE TO ANY CONFLICT OF LAWS PRINCIPLES (OTHER
THAN SECTION 5-1401 OF THE NEW YORK GENERAL OBLIGATIONS LAW), SUBJECT TO
THE APPLICATION OF THE LAWS OF ANY OTHER JURISDICTION THAT MAY BE APPLICABLE TO
THE PERFECTION OF ANY CONTRIBUTION OR GRANT OF A SECURITY INTEREST HEREUNDER.

 

8.07         No Waiver; Cumulative Remedies. No
failure to exercise and no delay in exercising, on the part of the Company, any
right, remedy, power or privilege hereunder, shall operate as a waiver 

 

25

 

thereof, nor shall any single or partial exercise of
any right, remedy, power or privilege hereunder preclude any other or further
exercise thereof or the exercise of any other right, remedy, power or privilege.
The rights, remedies, powers and privileges herein provided are cumulative and
not exhaustive of any rights, remedies, powers and privileges provided by law.

 

8.08         Amendments and Waivers. Neither
this Agreement nor any terms hereof may be amended, supplemented or modified
except in a writing signed by the Company and the Contributor and that
otherwise complies with any applicable provision in the other Transaction
Documents.

 

8.09         Severability. Any provision of
this Agreement which is prohibited or unenforceable in any jurisdiction shall,
as to such jurisdiction, be ineffective to the extent of such prohibition or
unenforceability without invalidating the remaining provisions hereof, and any
such prohibition or unenforceability in any jurisdiction shall not invalidate
or render unenforceable such provision in any other jurisdiction.

 

8.10         Notices. All notices, requests
and demands to or upon the respective parties hereto to be effective shall be
in writing (including by telecopy), and, unless otherwise expressly provided
herein, shall be deemed to have been duly given or made when delivered by hand,
or three (3) days after being deposited in the mail, postage prepaid,
or, in the case of telecopy notice, when received, addressed as follows in the
case of the Company and the Contributor, or to such other address as may be
hereafter notified by the respective parties hereto:

 

	
  With respect to
  the Company:

  	
  Huntsman
  Receivables Finance LLC

  
	
   

  	
  500 Huntsman Way

  
	
   

  	
  Salt Lake City

  
	
   

  	
  Utah 84108, USA

  
	
   

  	
   

  
	
   

  	
  Attention:
  Office of the General Counsel

  
	
   

  	
  Telecopy: 1
  (801) 584-5782

  
	
   

  	
   

  
	
  Copy to:

  	
  Huntsman
  (Europe) BVBA

  
	
   

  	
  Everslaan 45

  
	
   

  	
  B-3078 Everberg

  
	
   

  	
  Belgium

  
	
   

  	
   

  
	
   

  	
  Attention:
  Treasury Department

  
	
   

  	
  Telecopy: 32
  2759 5501

  
	
   

  	
   

  
	
  With respect to
  the Contributor:

  	
  Huntsman
  International LLC

  
	
   

  	
  500 Huntsman Way

  
	
   

  	
  Salt Lake City

  
	
   

  	
  Utah 84108, USA

  
	
   

  	
   

  
	
   

  	
  Attention:
  Office of the General Counsel

  
	
   

  	
  Telecopy: 1
  (801) 584-5782

  

 

26

 

	
  Copy to:

  	
  Huntsman
  (Europe) BVBA

  
	
   

  	
  Everslaan 45

  
	
   

  	
  B-3078 Everberg

  
	
   

  	
  Belgium

  
	
   

  	
   

  
	
   

  	
  Attention:
  Treasury Department

  
	
   

  	
  Telecopy: 32
  2759 5501

  
	
   

  	
   

  
	
  With respect to
  the Trustee:

  	
  J.P. Morgan Bank
  (Ireland) plc,

  
	
   

  	
  JPMorgan House

  
	
   

  	
  International
  Financial Services Centre

  
	
   

  	
  Dublin 1,
  Ireland

  
	
   

  	
   

  
	
   

  	
  Attention: Michael
  Drew

  
	
   

  	
  Telecopy: 353 1
  612 5777

  

 

8.11         Counterparts. This Agreement may
be executed by one or more of the parties to this Agreement on any number of
separate counterparts (including by telecopy), and all of said counterparts
taken together shall be deemed to constitute one and the same instrument. A set
of the copies of this Agreement signed by all the parties shall be lodged with
the Company.

 

8.12         Submission to Jurisdiction; Service
of Process.

 

(a)           Each of the parties hereto hereby
submits to the nonexclusive jurisdiction of the United States District Court
for the Southern District of New York and of any New York State court sitting
in the Borough of Manhattan, City of New York for purposes of all legal
proceedings arising out of or relating to this Agreement or the transactions
contemplated hereby. Each of the parties hereto hereby irrevocably waives, to
the fullest extent it may effectively do so, any objection which it may now or
hereafter have to the laying of the venue of any such proceeding brought in
such a court, any claim that any such proceeding brought in such a court has
been brought in an inconvenient forum and any claim based on its immunity from
suit. Nothing in this Section 8.12(a) shall affect the right of any party
hereto to bring any action or proceeding against another or its property in the
courts of other jurisdictions.

 

(b)           EACH PARTY WAIVES ITS RIGHTS TO A
TRIAL BY JURY OF ANY CLAIM OR CAUSE OF ACTION BASED UPON OR ARISING OUT OF OR
RELATED TO THIS AGREEMENT, OR THE TRANSACTIONS CONTEMPLATED HEREBY, IN ANY
ACTION, PROCEEDING OR OTHER LITIGATION OF ANY TYPE BROUGHT BY EITHER PARTY
AGAINST THE OTHER PARTY, WHETHER WITH RESPECT TO CONTRACT CLAIMS, TORT CLAIMS,
OR OTHERWISE. EACH PARTY HERETO AGREES THAT ANY SUCH CLAIM OR CAUSE OF ACTION
SHALL BE TRIED BY A COURT TRIAL WITHOUT A JURY. WITHOUT LIMITING THE FOREGOING,
THE PARTIES HERETO FURTHER AGREE THAT THEIR RESPECTIVE RIGHT TO A TRIAL BY JURY
IS WAIVED BY OPERATION OF THIS SECTION 8.12(b) AS TO ANY ACTION,
COUNTERCLAIM OR OTHER PROCEEDING WHICH SEEKS, IN WHOLE OR IN PART, TO CHALLENGE
THE VALIDITY OR ENFORCEABILITY OF THIS AGREEMENT OR ANY PROVISIONS HEREOF. THIS
WAIVER SHALL APPLY TO ANY SUBSEQUENT AMENDMENTS, RENEWALS, SUPPLEMENTS OR
MODIFICATIONS TO THIS AGREEMENT.

 

27

 

8.13         No Bankruptcy Petition.

 

(a)           The Contributor, by entering into
this Agreement, covenants and agrees, to the extent permissible under
applicable law, that it will not solely in its capacity as a creditor of the Company
institute against, or join any other Person in instituting against, the Company
any involuntary bankruptcy, reorganization, arrangement, insolvency or
liquidation proceedings, or other involuntary proceedings (including, but not
limited to, petitioning for the declaration of the Company’s assets en
désastre) under any Applicable Insolvency Laws; and

 

(b)           Notwithstanding anything elsewhere
herein contained, the sole remedy of the Contributor or any other Person in
respect of any obligation, covenant, representation, warranty or agreement of
the Company under or related to this Agreement shall be against the assets of
the Company. Neither the Contributor nor any other Person shall have any claim
against the Company to the extent that such assets are insufficient to meet
such obligation, covenant, representation, warranty or agreement (the
difference being referred to herein as a “shortfall”) and all claims in
respect of the shortfall shall be extinguished.

 

8.14         Termination. This Agreement will
terminate at such time as (a) the commitment of the Company to accept a
contribution of Receivables from the Contributor hereunder shall have
terminated and (b) all Contributed Receivables have been collected, and
the proceeds thereof turned over to the Company and all other amounts owing to
the Company hereunder shall have been paid in full or, if Contributed
Receivables have not been collected, such Contributed Receivables have become
Defaulted Receivables and the Company shall have completed its collection efforts
in respect thereto; provided, however, that the indemnities of
any Contributor to the Company set forth in this Agreement shall survive such
termination and provided  further that, to the extent any amounts
remain due and owing to the Company hereunder, the Company shall remain
entitled to receive any Collections on Contributed Receivables which have
become Defaulted Receivables after it shall have completed its collection
efforts in respect thereof. Notwithstanding anything to the contrary contained
herein, if at any time, any payment made by the Contributor is rescinded or
must be restored or returned by the Company as a result of any Insolvency Event
with respect to the Contributor then the Contributor’s obligations with respect
to such payment shall be reinstated as though such payment had never been made.

 

8.15         Responsible Officer Certificates; No
Recourse. Any certificate executed and delivered by a Responsible Officer
of the Contributor or the Company pursuant to the terms of the Transaction
Documents shall be executed by such Responsible Officer not in an individual
capacity but solely in his or her capacity as an officer of the Contributor or
the Company, as applicable, and such Responsible Officer will not be subject to
personal liability as to the matters contained in the certificate. A director,
officer, manager, employee, or member or Shareholder, as the case may be, as
such, of the Contributor or Company shall not have liability for any obligation
of the Contributor or the Company hereunder or under any Transaction Document
or for any claim based on, in respect of, or by reason of, any Transaction
Document, unless such claim results from the gross negligence, fraudulent acts
or willful misconduct of such director, officer, employee, manager or member or
Shareholder, as the case may be.

 

8.16         Confidential Information.

 

(a)           Unless otherwise required by
applicable law, and subject to Subsection 8.16(b) below, each of the
parties hereto undertakes to maintain the confidentiality of this Agreement in
its communications with third parties and otherwise. None of the parties shall
disclose to any person any information of a confidential nature of or relating
to either the Contributor, the Trustee or Company, which such party may have
obtained as a result of the Transaction (the “Confidential Information”).
For the avoidance of doubt, the Company shall restrict disclosure of
Confidential Information to its officers, 

 

28

 

employees, agents and advisers who need to receive
such information to ensure the proper functioning of the Transaction. The
Trustee shall procure that such officers, employees, agents and advisers shall
keep confidential all of the Confidential Information received; and

 

(b)           The provisions of this
Section 8.15(b) shall not apply:

 

(i)            to the disclosure of any information
which is or becomes public knowledge otherwise than as a result of the conduct
of the recipient;

 

(ii)           to the disclosure of Confidential
Information to the Trustee’s assigns (provided that such information is
disclosed subject to the condition that such party will hold it confidential on
the same basis);

 

(iii)          to the disclosure of any information
with the written consent of the parties hereto;

 

(iv)          to the disclosure of any information
in response to any order of any court or Governmental Authority; or

 

(v)           to the disclosure of any information
reasonably required for the completion and filing of any financing statements
pursuant to Sections 2.01(c), 3.01(h), 4.01(d), 5.13(a) and 5.13(b).

 

8.17         Effectiveness of this Agreement.
This Agreement shall come into effect only upon the occurrence of the
Series 2001-1 Redemption Date, at which time the original Contribution
Agreement, dated as of December 21, 2000, between the Contributor and the
Company, will be of no further force and effect except as the evidence of
ownership and security interests thereunder and the incurrence of obligations
thereunder. Notwithstanding anything in this Section 8.17 to the contrary,
Section 5.18(b) of the Original Agreement shall continue to have force and
effect but only in relation to Relevant Documents (as defined for the purposes
of the Original Agreement) executed before 1 December 2003.

 

[SIGNATURES
COMMENCE ON NEXT PAGE]

 

29

 

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

 

	
   

  	
  Huntsman
  Receivables Finance LLC,

  
	
   

  	
  as the Company

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ SEAN DOUGLAS

  
	
   

  	
   

  	
  Name: Sean Douglas

  
	
   

  	
   

  	
  Title: Vice President and Treasurer

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  Huntsman
  International LLC,

  
	
   

  	
  as the
  Contributor

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ J. KIMO ESPLIN

  
	
   

  	
   

  	
  Name: J. Kimo Esplin

  
	
   

  	
   

  	
  Title: Chief Financial Officer

  

 

30Exhibit
10.4

 

Dated as of April 18, 2006

 

HUNTSMAN RECEIVABLES FINANCE LLC,

as the Company

 

HUNTSMAN (EUROPE) BVBA,

as Master Servicer

 

TIOXIDE
AMERICAS INC.,

HUNTSMAN HOLLAND B.V.,

TIOXIDE EUROPE LIMITED,

HUNTSMAN INTERNATIONAL LLC,

HUNTSMAN PETROCHEMICALS (UK) LIMITED,

HUNTSMAN PROPYLENE OXIDE LTD.,

HUNTSMAN INTERNATIONAL FUELS, L.P.,

TIOXIDE EUROPE S.R.L.,

HUNTSMAN SURFACE SCIENCES lTALIA S.R.L.,

HUNTSMAN PATRICA S.R.L.,

TIOXIDE EUROPE S.L.,

HUNTSMAN PERFORMANCE PRODUCTS SPAIN, S.L.,

TIOXIDE EUROPE S.A.S.,

HUNTSMAN SURFACE SCIENCES (FRANCE) S.A.S.,

HUNTSMAN SURFACE SCIENCES UK LIMITED,

HUNTSMAN ETHYLENEAMINES LTD.,

HUNTSMAN PETROCHEMICAL CORPORATION

HUNTSMAN
POLYMERS CORPORATION

HUNTSMAN EXPANDABLE POLYMERS COMPANY, LC

as
Local Servicers

 

J.P. MORGAN BANK (IRELAND) plc, 

as Trustee

 

PRICEWATERHOUSECOOPERS LLP, 

as Liquidation Servicer

 

and

 

HUNTSMAN INTERNATIONAL LLC,

as Servicer Guarantor

 

 

SECOND AMENDED AND RESTATED

SERVICING AGREEMENT

 

 

SIDLEY
AUSTIN

WOOLGATE
EXCHANGE

25 BASINGHALL STREET

LONDON EC2V 5HA

TELEPHONE 020 7360 3600

FACSIMILE 020 7626 7937

 

 

TABLE OF
CONTENTS

 

	
  ARTICLE I DEFINITIONS

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 1.01.

  	
  Definitions

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 1.02.

  	
  Other Definitional Provisions

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE II ADMINISTRATION AND SERVICING OF RECEIVABLES

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 2.01.

  	
  Appointment of Master Servicer and Local Servicers; Delegation

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 2.02.

  	
  Servicing Procedures

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 2.03.

  	
  Collections

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 2.04.

  	
  Reconciliation of Deposits

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 2.05.

  	
  Servicing Compensation

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 2.06.

  	
  Advances by the Master Servicer

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE III REPRESENTATIONS AND WARRANTIES

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 3.01.

  	
  Representations and Warranties of the Master Servicer, Local Servicers
  and the Servicer Guarantor

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 3.02.

  	
  Additional Representations and Warranties of the Master Servicer

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE IV COVENANTS OF THE MASTER SERVICER AND THE SERVICER GUARANTOR

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 4.01.

  	
  Delivery of Daily Reports

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 4.02.

  	
  Delivery of Monthly Settlement Report

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 4.03.

  	
  Delivery of Quarterly Master Servicer’s Certificates

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 4.04.

  	
  Delivery of Independent Public Accountants’ Letter Related to Annual
  Review of Originator Daily Reports, Daily Reports and Monthly Settlement
  Reports

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 4.05.

  	
  Extension, Amendment and Adjustment of Receivables; Amendment of
  Policies

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 4.06.

  	
  Protection of Holders’ Rights

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 4.07.

  	
  Security Interest

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 4.08.

  	
  Location of Records

  	
   

  

 

 

	
  SECTION 4.09.

  	
  Inspection Rights

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 4.10.

  	
  Delivery of Financial Reports

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 4.11.

  	
  Notices

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 4.12.

  	
  Servicing Standard

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 4.13.

  	
  Delivery of Information or Documents Requested by the Company

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 4.14.

  	
  Maintenance of Records

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 4.15.

  	
  Compliance with FX Hedging Policy

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 4.16.

  	
  Designated Lines of Business

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 4.17.

  	
  Notice, Reports, Directions by Master Servicer

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE V OTHER MATTERS
  RELATING TO THE MASTER SERVICER

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 5.01.

  	
  Merger, Consolidation, etc.

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 5.02.

  	
  Indemnification of the Company, Liquidation Servicer, Trust and the
  Trustee

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 5.03.

  	
  Master Servicer Not to Resign

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 5.04.

  	
  Access to Certain Documentation and Information Regarding the
  Receivables

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE VI MASTER SERVICER DEFAULTS; MASTER SERVICER TERMINATION

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 6.01.

  	
  Master Servicer Defaults

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 6.02.

  	
  Trustee To Act; Appointment of Successor

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 6.03.

  	
  Waiver of Past Defaults

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE VII GUARANTY

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 7.01.

  	
  Guaranty

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 7.02.

  	
  Scope of Guarantor’s Liability

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 7.03.

  	
  The Company and the Trustee’s Right to Amend this Agreement

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 7.04.

  	
  Waiver of Certain Rights by Guarantor

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 7.05.

  	
  Master Servicer’s Obligations to Guarantor and Guarantor’s Obligations
  to Master Servicer Subordinated

  	
   

  

 

ii

 

	
  SECTION 7.06.

  	
  Guarantor to Pay the Company and the Trustee’s Expenses

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 7.07.

  	
  Reinstatement

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE VIII MISCELLANEOUS PROVISIONS

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 8.01.

  	
  Amendment

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 8.02.

  	
  Termination

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 8.03.

  	
  Governing Law

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 8.04.

  	
  WAIVER OF TRIAL BY JURY AND SUBMISSION TO JURISDICTION

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 8.05.

  	
  Notices

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 8.06.

  	
  Counterparts

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 8.07.

  	
  Third-Party Beneficiaries

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 8.08.

  	
  Merger and Integration

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 8.09.

  	
  Headings

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 8.10.

  	
  No Set-Off

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 8.11.

  	
  No Bankruptcy Petition

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 8.12.

  	
  Responsible Officer Certificates; No Recourse

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 8.13.

  	
  Consequential Damages

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 8.14.

  	
  Liquidation Servicer

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 8.15.

  	
  Effectiveness of this Agreement

  	
   

  

 

SCHEDULES

 

	
  Schedule 1

  	
   

  	
  Form of
  Quarterly Master Servicer’s Certificate

  
	
  Schedule 2

  	
   

  	
  Form of
  Annual Agreed-Upon Procedures for Report Auditors

  
	
  Schedule 3

  	
   

  	
  Location of
  Records

  
	
  Schedule 4

  	
   

  	
  Liquidation
  Servicer Duties

  

 

iii

 

This SECOND AMENDED
AND RESTATED SERVICING AGREEMENT, dated as of April 18, 2006 (this “Agreement”), among (i) HUNTSMAN RECEIVABLES FINANCE LLC, a
limited liability company organized under the laws of the State of Delaware
(the “Company”), (ii) HUNTSMAN (EUROPE) BVBA,
a company organized under the laws of Belgium, as the master servicer (the “Master Servicer”), (iii) HUNTSMAN INTERNATIONAL LLC, a
Delaware limited liability company, TIOXIDE AMERICAS, INC., a company organized
under the laws of the Cayman Islands, HUNTSMAN PROPYLENE OXIDE LTD., a limited
partnership organized under the laws of Texas, HUNTSMAN INTERNATIONAL FUELS,
L.P., a limited partnership organized under the laws of Texas, HUNTSMAN HOLLAND
B.V., a limited liability company organized under the laws of the Netherlands,
TIOXIDE EUROPE LIMITED, a corporation organized under the laws of England and
Wales, HUNTSMAN PETROCHEMICALS (UK) LIMITED, a corporation organized under the
laws of England and Wales, TIOXIDE EUROPE S.R.L., a limited liability company
organized under the laws of Italy, HUNTSMAN SURFACE SCIENCES ITALIA S.R.L., a
limited liability company organized under the laws of Italy, HUNTSMAN PATRICA
S.R.L., a limited liability company organized under the laws of Italy, TIOXIDE
EUROPE S.L., a closed limited liability company organized under the laws of
Spain, HUNTSMAN PERFORMANCE PRODUCTS SPAIN S.L., a closed limited liability
company organized under the laws of Spain, TIOXIDE EUROPE S.A.S., a closed,
simplified limited liability company organized under the laws of France,
HUNTSMAN SURFACE SCIENCES (FRANCE) S.A.S., a closed, simplified limited
liability company organized under the laws of France, HUNTSMAN SURFACE SCIENCES
UK LIMITED, a private limited company organized under the laws of England and
Wales, HUNTSMAN ETHYLENEAMINES LTD., a limited partnership organized under the
laws of Texas, HUNTSMAN PETROCHEMICAL CORPORATION, a corporation organized
under the laws of Delaware, HUNTSMAN POLYMERS CORPORATION, a corporation
organized under the laws of Delaware, and HUNTSMAN EXPANDABLE POLYMERS COMPANY,
LC, a limited liability company organized under the laws of Utah, as Local
Servicers (defined below), (iv) HUNTSMAN INTERNATIONAL LLC, a limited liability
company established under the laws of the State of Delaware, as Servicer
Guarantor (the “Servicer Guarantor” and, from time
to time “Huntsman International”, and (v) J.P.
MORGAN BANK (IRELAND) plc selected, not in its individual capacity, but solely
as trustee (in such capacity, the “Trustee”) and
(vi) PRICEWATERHOUSECOOPERS LLP, a limited liability partnership incorporated
under the laws of England and Wales (registered number OC303525), as
Liquidation Servicer (the “Liquidation Servicer”),
amends and restates the AMENDED AND RESTATED SERVICING AGREEMENT, dated as of October
21, 2002 (the “Original Agreement”) among (i) the
Company, (ii) the Master Servicer, (iii) TIOXIDE AMERICAS, INC., HUNTSMAN
HOLLAND B.V., TIOXIDE EUROPE LIMITED, HUNTSMAN INTERNATIONAL LLC, HUNTSMAN
PETROCHEMICALS (UK) LIMITED, HUNTSMAN PROPYLENE OXIDE LTD., HUNTSMAN
INTERNATIONAL FUELS, L.P., TIOXIDE EUROPE S.R.L., HUNTSMAN SURFACE SCIENCES
ITALIA S.R.L., HUNTSMAN PATRICA S.R.L., TIOXIDE EUROPE S.L., HUNTSMAN
PERFORMANCE PRODUCTS SPAIN, S.L., TIOXIDE EUROPE S.A.S., HUNTSMAN SURFACE
SCIENCES (FRANCE) S.A.S., HUNTSMAN SURFACE SCIENCES UK LTD, and HUNTSMAN
ETHYLENEAMINES LTD., as Local Servicers thereunder, (iv) the Servicer
Guarantor, (v) the Trustee and (vi) the Liquidation Servicer.

 

4

 

W I T N E S S
E T H :

 

WHEREAS,
Tioxide Americas Inc., Huntsman Propylene Oxide Ltd., Huntsman International
Fuel L.P., Huntsman Ethyleneamines Ltd., Huntsman Petrochemical Corporation,
Huntsman Polymers Corporation and Huntsman Expandable Polymers Company, LC
(each a “U.S. Originator” and together the “U.S. Originators”) and Huntsman International have entered
into the Second Amended and Restated U.S. Receivables Purchase Agreement, dated
as of the date hereof (as amended, restated or otherwise modified and in effect
from time to time, the “U.S. Receivables Purchase
Agreement”);

 

WHEREAS,
pursuant to the U.S. Receivables Purchase Agreement, the U.S. Originators shall
sell to Huntsman International and Huntsman International shall purchase from
the U.S. Originators all of the U.S. Originators’ right, title and interest in,
to and under certain Receivables now existing and hereafter arising from time
to time and other Receivable Assets (as defined in the U.S. Receivables
Purchase Agreement) related to such Receivables;

 

WHEREAS, Huntsman
Surface Sciences UK Limited, Tioxide Europe Limited and Huntsman Petrochemicals
(UK) Limited (each a “UK Originator”
and together the “UK Originators”)
and Huntsman International have entered into the Second Amended and Restated UK
Receivables Purchase Agreement, dated as of the date hereof (as amended,
restated or otherwise modified and in effect from time to time, the “UK Receivables Purchase Agreement”);

 

WHEREAS,
pursuant to the UK Receivables Purchase Agreement, the UK Originators shall
sell to Huntsman International and Huntsman International shall purchase from
the UK Originators all of the UK Originators’ right, title and interest in, to
and under certain Receivables now existing and hereafter arising from time to
time and other Receivable Assets (as defined in the UK Receivables Purchase
Agreement) related to such Receivables;

 

WHEREAS,
Huntsman Holland B.V. (the “Dutch Originator”),
Tioxide Europe Srl, Huntsman Surface Sciences Italia Srl and Huntsman Patrica
Srl, (each an “Italian Originator” and together
the “Italian Originators”), Tioxide Europe
S.L., and Huntsman Surface Sciences Ibérica, S.L., (each a “Spanish Originator” and together the “Spanish
Originators”), Tioxide Europe SAS, and Huntsman Surface Sciences
(France) S.A.S., (each a “French Originator”
and together the “French Originators”
and, together with the Dutch Originator, the Italian Originators and the
Spanish Originators, the “European Originators”),
Huntsman International and the Company have entered into an Amended and
Restated Omnibus Receivables Purchase Agreement, dated as of the date hereof (as
amended, restated or otherwise modified and in effect from time to time, the “Omnibus Receivables Purchase Agreement”);

 

WHEREAS,
pursuant to the Omnibus Receivables Purchase Agreement, the European
Originators (except for the French Originators) shall sell to Huntsman
International and Huntsman International shall purchase from the European
Originators (except for the French Originators), all of such European
Originators’ right, title and interest in, to and under certain Receivables
originated by such European Originator now existing and hereafter arising from
time to time and the other Receivable Assets related to such Receivables;

 

WHEREAS,
pursuant to the Omnibus Receivables Purchase Agreement, the French Originators shall
sell to the Company, and the Company shall purchase from the French
Originators, all of the French Originators’ right, title and interest in, to
and under certain

 

5

 

Receivables
originated by the French Originators now existing and hereafter arising from
time to time and the other Receivable Assets related to such Receivables;

 

WHEREAS,
Huntsman International (collectively with the U.S. Originators, the UK
Originators and the European Originators, the “Originators”)
and the Company have entered into an Amended and Restated Contribution Agreement,
dated as of the date hereof (as amended, restated or otherwise modified and in
effect from time to time, the “Contribution Agreement”
and, collectively with the Receivables Purchase Agreements, the “Origination Agreements”);

 

WHEREAS, the
Company, the Master Servicer and the Trustee have entered into the Second Amended
and Restated Pooling Agreement, dated as of April 18, 2006 (as amended,
restated or otherwise modified and in effect from time to time, the “Pooling Agreement”);

 

WHEREAS,
pursuant to the Pooling Agreement, (i) the Company shall grant to the Trust,
and the Trust will receive from the Company, a Participation (without effecting
any transfer or conveyance of any right, title or interest thereunder) in the
Company’s right, title and interest in, to and under the Receivables, and the
related other Participation Assets owned by the Company, and (ii) the Company
grants to the Trust a security interest in all of its right, title and interest
in, to and under the Receivables and the related other Participation Assets and
the Origination Agreements; and

 

WHEREAS, in
accordance with Section 6.02(b) and Schedule 4 of this Agreement, the Liquidation Servicer may commence
the performance of its services for the Company;

 

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

 

ARTICLE
I

 

DEFINITIONS

 

SECTION 1.01.                                                           Definitions.

 

Capitalized
terms used herein shall, unless otherwise defined or referenced herein, have
the meanings assigned to such terms in Annex X attached to the Pooling
Agreement which Annex X is incorporated by reference herein.

 

SECTION 1.02.                                                           Other Definitional Provisions.

 

(a)                                  All terms defined in this Agreement (directly or by incorporation by
reference pursuant to Section 1.01)
shall have the defined meanings when used in any certificates or other document
made or delivered pursuant hereto unless otherwise defined therein.

 

(b)                                 As used herein and in any certificate or other document made or
delivered pursuant hereto or thereto, accounting terms not defined herein
(directly or by incorporation by reference pursuant to Section 1.01)
and accounting terms partly defined herein (directly or by incorporation by
reference pursuant to Section 1.01),
to the extent not defined, shall have the respective meanings given to them
under GAAP. To the extent that the definitions of accounting terms herein or
incorporated by reference herein are inconsistent with the

 

6

 

meanings of such terms under GAAP, the definitions
contained herein or incorporated by reference herein shall control.

 

(c)                                  The words “hereof”, “herein” and “hereunder” and words of similar
import when used in this Agreement shall refer to this Agreement as a whole and
not to any particular provision of this Agreement, and Section, Schedule and
Exhibit references contained in this Agreement are references to Sections,
Schedules and Exhibits in or to this Agreement unless otherwise specified.

 

(d)                                 The definitions contained herein or incorporated by reference herein
are applicable to the singular as well as the plural forms of such terms and to
the masculine, the feminine and the neuter genders of such terms.

 

(e)                                  Any reference herein or in any other Transaction Document to a provision
of the Code, 1940 Act, ERISA or the applicable UCC shall be deemed to be also a
reference to any successor provision thereto.

 

(f)                                    Any reference herein to a Schedule or Exhibit to this Agreement
shall be deemed to be a reference to such Schedule or Exhibit as it may be
amended, modified or supplemented from time to time to the extent that such
Schedule or Exhibit may be amended, modified or supplemented (or any term or
provision of any Transaction Document may be amended that would have the effect
of amending, modifying or supplementing information contained in such Schedule
or Exhibit) in compliance with the terms of the Transaction Documents.

 

(g)                                 Any reference in this Agreement to any representation, warranty or
covenant “deemed” to have been made is intended to encompass only
representations, warranties or covenants that are expressly stated to be
repeated on or as of dates following the execution and delivery of this
Agreement, and no such reference shall be interpreted as a reference to any
implicit, inferred, tacit or otherwise unexpressed representation, warranty or
covenant.

 

(h)                                 The words “include”, “includes” or “including” shall be interpreted
as if followed, in each case, by the phrase “without limitation”.

 

ARTICLE
II

 

ADMINISTRATION
AND SERVICING OF RECEIVABLES

 

SECTION 2.01.                                                           Appointment of Master Servicer and Local Servicers; Delegation.

 

(a)                                  (i) The Company hereby appoints the Master Servicer to act as, and
the Master Servicer hereby accepts its appointment and agrees to act as, Master
Servicer under the Pooling and Servicing Agreements. The Master Servicer shall
have responsibility for the management of the servicing and receipt of
Collections in respect of the Receivables originated by the Originators and
owned by the Company. The Master Servicer shall have the authority to make any
management decisions relating to each such Receivable to the extent such
authority is granted to the Master Servicer hereunder and under any Pooling and
Servicing Agreement. Unless and until the Master Servicer has been

 

7

 

replaced as Master Servicer in accordance with the
provisions hereof, the Company, the Trustee and the Holders shall treat the
Master Servicer as Master Servicer and may conclusively rely on the
instructions, notices and reports of the Master Servicer for so long as the
Master Servicer continues in its appointment as Master Servicer.

 

(b)                                 In addition to the appointment of each of the Local Servicers
pursuant to Section 2.01(c), and without
limiting the generality of Section 2.02
and subject to Section 6.02, each of the Master
Servicer and any Local Servicer is hereby further authorized and empowered to
delegate or assign any or all of its servicing, collection, enforcement and
administrative duties hereunder with respect to the Receivables to one or more
Persons who agree to conduct such duties in accordance with the Policies; provided, however, that,
with respect to any such Person, the Master Servicer or such Local Servicer shall
give prior written notice to the Company, the Trustee and each Funding Agent
prior to any such delegation or assignment. Prior to such delegation or
assignment being effective, the Master Servicer shall have received the written
consent of the Company, the Trustee and the Funding Agent(s) representing more
than 50% of the Aggregate Invested Amount to such delegation or assignment. No
delegation or assignment of duties by the Master Servicer permitted hereunder (including
any sub-delegation by a Local Servicer) shall relieve the Master Servicer of
its liability and responsibility with respect to such duties.

 

(c)                                  In order to perform the obligations hereunder, the Master Servicer
may from time to time appoint one or more Originators or other Affiliates as a
local servicer (each entity, in such capacity, “Local
Servicer”) for the Receivables owned by the Company; provided that the Master Servicer may appoint an Affiliate
which is not an Originator of the Receivables that are to be serviced only with
the prior written consent of the Funding Agent(s) representing more than 50% of
the Aggregate Invested Amount. References to the servicing covenants, duties
and obligations of the Master Servicer hereunder shall also be deemed to refer
to the Local Servicers’ covenants, duties and obligations; provided,
however, that in the event that a Local
Servicer shall resign or be removed from its position, unless an alternate
Local Servicer is appointed by the Master Servicer, the Master Servicer shall
itself service the Receivables previously serviced by such Local Servicer.

 

(d)                                 Each of the Local Servicers shall manage the servicing and
administration of Receivables to be serviced by it, the collection of payments
due under such Receivables, the preparation and submission of the Originator
Daily Report, and the charging off of any such Receivables as uncollectible,
all in accordance with the Policies and the terms of the Pooling and Servicing
Agreements. To the extent any Originator or other Affiliate of the Master
Servicer is appointed as a Local Servicer, such Local Servicer shall, with
respect to the Receivables to be serviced by it, have all the rights and privileges
provided hereunder to the Master Servicer with respect to the servicing of
Receivables (subject to the limitations and conditions set forth herein).

 

8

 

SECTION 2.02.                                                           Servicing Procedures.

 

(a)                                  The Master Servicer shall have full power and authority, acting
alone or through any party properly appointed or otherwise designated by it hereunder,
to do any and all things in connection with such servicing and administration
that it may deem necessary or desirable, but subject to the terms of this
Agreement and the other Transaction Documents. Without limiting the generality
of the foregoing and subject to Section 6.01,
the Master Servicer and its designees are hereby authorized and empowered (i)
to execute and deliver, any and all instruments of satisfaction or
cancellation, or of partial or full release or discharge, and all other comparable
instruments, with respect to the Receivables and, after the delinquency of any
Receivable and to the extent permitted under and in compliance with the
Policies and with applicable Requirements of Law, to commence enforcement
proceedings with respect to Receivables and (ii) to make any filings, reports,
notices, applications, registrations with, and to seek any consents or
authorizations from the United States Securities and Exchange Commission, any
state securities authority and any foreign securities authority on behalf of
the Trust as may be necessary or advisable to comply with any Federal, state or
foreign securities or reporting requirements or laws.

 

(b)                                 Without limiting the generality of the foregoing and subject to Section 6.02, the Master Servicer and its designees are
hereby authorized and empowered to give written direction to the Trustee with
respect to transfers within and withdrawals from the Company Concentration
Accounts and payments to the Company Receipts Accounts (which directions may be
in the form of a Daily Report) and as otherwise specified in the Pooling and
Servicing Agreements.

 

(c)                                  The Master Servicer and its designees shall, at the Master Servicer’s
own cost and expense and as agent for the Company, collect, and in accordance
with the Policies, as and when the same becomes due, the amount owing on each
Receivable. The Master Servicer and its designees shall not make any material
change in its administrative, servicing and collection systems that deviates
from the Policies, except as expressly permitted by the terms of the Pooling
and Servicing Agreements and after giving written notice to the Trustee of any
such change. In the event of default under any Receivable, the Master Servicer and
its designees shall have the power and authority, on behalf of the Company, to
take such action in respect of such Receivable as the Master Servicer and its designees
may deem advisable. In the enforcement or collection of any Receivable, the
Master Servicer and any of its designees shall be entitled, but not required,
to sue thereon in (i) its own name or (ii) if, but only if, the Company
consents in writing (which shall not be unreasonably withheld), as agent for
the Company. In no event shall the Master Servicer or any of its designees be
entitled to take any action that would make the Company, the Trustee, any
Funding Agent or any Investor Certificateholder a party to any litigation
without the express prior written consent of such Person.

 

(d)                                 Except as provided in any Pooling and Servicing Agreements, neither
the Master Servicer, its designees nor the Liquidation Servicer or any
Successor Master Servicer shall be obligated to use separate servicing
procedures, offices, employees or accounts for servicing the Receivables
transferred to the

 

9

 

Company from the procedures, offices, employees and
accounts used by the Master Servicer or any Local Servicer or Successor Master Servicer,
as the case may be, in connection with servicing other receivables.

 

(e)                                  The Master Servicer and its designees shall comply with and perform
its servicing obligations with respect to the Receivables in accordance with
the Contracts relating to the Receivables and the Policies.

 

(f)                                    The Master Servicer and its designees shall not take any action to
cause any U.S. Receivable not evidenced by any “instrument” or which does not
constitute “chattel paper” (each as defined under the applicable UCC or other
similar applicable law, statute or legislation) upon origination to become
evidenced by an “instrument” or become “chattel paper” and the Master Servicer
or its designee shall not take any action to cause any interest in any U.S.
Receivable to be evidenced by any title documents in bearer form, except in
connection with its enforcement or collection of such Receivable. If any U.S.
Receivable is evidenced by an “instrument” or “chattel paper” (as defined under
the applicable UCC), the Master Servicer or its designee shall either (i)
deliver such instrument or title documents to the Trustee as soon as reasonably
practicable, but in no event more than three (3) calendar days after execution
thereof or (ii) appropriately mark the Contract relating to such Receivable
with words substantially to the following effect: “THIS RECEIVABLE HAS BEEN
PLEDGED TO J.P. MORGAN BANK (IRELAND) PLC, AS TRUSTEE PURSUANT TO THE TERMS AND
CONDITIONS OF THE SECOND AMENDED AND RESTATED POOLING AGREEMENT, DATED AS OF APRIL
18, 2006, AMONG HUNTSMAN RECEIVABLES FINANCE, LLC, HUNTSMAN (EUROPE) BVBA AND
J.P. MORGAN BANK (IRELAND) PLC.”

 

SECTION 2.03.                                                           Collections.

 

(a)                                  The Master Servicer and its designees shall instruct all Obligors to
make all payments in respect of the Receivables to one of the Collection
Accounts. Each of the Company and the Master Servicer represents, warrants and
agrees that all Collections shall be collected, processed and deposited by it
pursuant to, and in accordance with the terms of, the Pooling and Servicing
Agreements. Without limiting the generality of the foregoing, the Master Servicer
shall comply with the provisions of Section 3.01(f)
of the Pooling Agreement as to remittance of funds available in any Collection
Account or Master Collection Account. All Collections in the Collection
Accounts or Master Collection Accounts shall be transferred to the applicable
Company Concentration Accounts by no later than 12:30 p.m. London time on the
next Business Day following the day of receipt of Collections in the Collection
Accounts. In the event that any payments in respect of any Receivable are made
directly to the Master Servicer or any Local Servicer, the Master Servicer or such
Local Servicer shall, within one (1) Business Day of receipt thereof, deliver
or deposit such amounts to the appropriate currency Company Concentration
Account and, prior to forwarding such amounts, the Master Servicer or the Local
Servicer shall hold such payments on behalf of the Company.

 

10

 

(b)                                 The Master Servicer shall administer amounts on deposit in the
Collection Accounts and the Master Collection Accounts in accordance with the
terms of the Pooling and Servicing Agreements. The Trustee (at the direction of
the Master Servicer) shall administer amounts on deposit in the Company
Concentration Accounts in accordance with the terms of the Pooling and
Servicing Agreements. Each of the Company and the Master Servicer acknowledges
and agrees that (i) it shall not have any right to withdraw any funds on
deposit in any Collection Account and the Master Collection Account except
pursuant to the terms of the Pooling and Servicing Agreements and (ii) all
amounts deposited in any Company Concentration Account shall be under the sole
dominion and control of the Trustee (in each case pursuant to the security
interest granted by the Company under the Pooling Agreement), subject to the
Master Servicer’s rights to direct the applications and transfers of any such
amounts as provided by the terms of any Pooling and Servicing Agreements, such
directions to be included in the Daily Report.

 

(c)                                  If the Collections received in respect of a Receivable that is not
set forth in a Daily Report can be identified by the Master Servicer within
five (5) Local Business Days of receipt, the Master Servicer shall send written
notice to the Trustee identifying such Receivable and setting forth the amount
of Collections attributable to such Receivable. If the Trustee shall have
received such written notice within five (5) Local Business Days of the Local
Business Day on which such Collections have been deposited into a Collection
Account, such Collections shall be transferred to the relevant Company Receipts
Account by the Trustee.

 

(d)                                 The Master Servicer hereby agrees that if the Master Servicer can
attribute a Collection to a specific Obligor and a specific Receivable, then
such Collection shall be applied to pay such Receivable of such Obligor; provided, however, that
if the Master Servicer cannot attribute a Collection to a specific Receivable,
then such Collection shall be applied to pay the Receivables of such Obligor in
the order of maturity of such Receivables, beginning with the Receivable that
has been outstanding the longest period of time and ending with the Receivable
that has been outstanding the shortest period of time.

 

(e)                                  The Master Servicer shall procure the Forward Rates from the FX
Counterparty in order to prepare the Daily Report and the Monthly Settlement
Report and the Master Servicer shall procure the Spot Rates from the FX
Counterparty in order to make the distributions from the Series Concentration
Accounts set forth in Sections 3.01(f),
(g), (h)
and (i) of the Pooling Agreement.

 

SECTION 2.04.                                                           Reconciliation of Deposits.

 

If, in respect
of Collections on account of a Receivable, the Master Servicer deposits into a
Collection Account, or a Company Concentration Account (a) a check or
electronic payment request that is not honored for any reason or (b) an amount
that is less than or more than the actual amount of such Collections, the
Master Servicer shall, in lieu of making a reconciling withdrawal or deposit
(and any related bookkeeping entries), as the case may be, adjust the amount
subsequently deposited into such Collection Account or Company Concentration

 

11

 

Account to
reflect such dishonored check or electronic payment re-claim or deposit
mistake. Any Receivable in respect of which a dishonored check or electronic
payment re-claim is received shall be deemed not to have been paid; provided, that no adjustments made pursuant to this Section 2.04 shall change any amount previously reported
pursuant to Section 4.02.

 

SECTION 2.05.                                                           Servicing Compensation.

 

(a)                                  Prior to the Liquidation Servicer Commencement Date, as compensation
for the administration and servicing activities hereunder, the Master Servicer
shall be entitled to receive on each Distribution Date in arrears, for the
preceding Settlement Period prior to the termination of the Trust pursuant to Section 9.01 of the Pooling Agreement, a portion (expressed
as a percentage) of a servicing fee (the “Servicing Fee”),
which shall be a maximum amount equal to the product of (A) the Servicing Fee
Percentage, (B)(i) the average aggregate Principal Amount of the Receivables
for such Settlement Period or (ii) with respect to the initial Accrual Period,
the average aggregate Principal Amount of the Receivables from (and including)
the Series 2000-1 Issuance Date to (but excluding) the last day of the initial
Settlement Period and (C) the number of days in such Settlement Period divided  by 360. The Company
and the Initial Master Servicer may from time to time agree in writing to a
reduced Servicing Fee. If there is a Master Servicer Default and a Successor
Master Servicer Default is appointed by the Trustee, the servicing fee for such
Successor Master Servicer shall be the fee agreed upon between the Trustee and
such Successor Master Servicer; provided, however, that such servicing fee shall not exceed the
maximum Servicing Fee payable hereunder to the Master Servicer. The servicing
fee payable to the Liquidation Servicer shall be the Liquidation Servicing Fee.
Except as otherwise set forth in the related Supplement, the share of the
Servicing Fee allocable to Certificates of each Outstanding Series for any
Settlement Period shall be an amount equal to the product of (i) the Servicing
Fee for such Settlement Period and (ii) a fraction (expressed as a percentage)
(A) the numerator of which is the daily average Invested Amount for such
Settlement Period with respect to such Outstanding Series and (B) the
denominator of which is the daily average Aggregate Invested Amount for such
Settlement Period (with respect to any such Series, the “Monthly
Servicing Fee”). The Master Servicer (acting in such capacity) shall
be entitled to retain 10% of the Servicing Fee and shall pay each Local
Servicer a percentage of the remaining Servicing Fee in an amount equal to the
percentage obtained by dividing the aggregate Principal Amount of Receivables serviced
by such Local Servicer by the Aggregate Receivables Amount. The Servicing Fee
shall be payable to the Master Servicer (and by the Master Servicer to the
Local Servicers) solely pursuant to the terms of, and to the extent amounts are
available for payment under, Article III of
the Pooling Agreement. The Company and the Trustee shall have no liability to
pay any amount of the Servicing Fee or any other fee or expense to the Local
Servicers. Any such fee which is payable to a Local Servicer belonging in the
United Kingdom shall be inclusive of United Kingdom value added tax and the
application of Section 89 of the United Kingdom Value Added Tax Act 1994 shall
be excluded in relation to such fee.

 

12

 

(b)                                 The Company hereby directs the Master Servicer to pay (from funds of
the Company only) amounts due to the Liquidation Servicer, in the event it has
been appointed to commence performance of its services, including the
Liquidation Servicer’s reasonable out-of-pocket expenses relating to the
Liquidation Servicer’s inspections, if any, of the Master Servicer’s servicing
facilities. In no event shall the Master Servicer or the Liquidation Servicer,
in the event it has been appointed to commence performance of its services, be
liable for any Federal, state or local income or franchise tax, or any interest
or penalties with respect thereto, assessed on the Trust, the Trustee or the
Investor Certificateholders or the Liquidation Servicer except in accordance
with Section 5.02. Notwithstanding anything
to the contrary in any other Pooling and Servicing Agreements, in the event
that the Master Servicer fails to pay any amount due to the Liquidation
Servicer pursuant to Section 8.05 of
the Pooling Agreement, or following the commencement and continuation (for a
period greater than any applicable grace period) of an Early Amortization
Period, the Liquidation Servicer shall be entitled, in addition to any other
rights it may have under law and under the Pooling Agreement, to receive
directly such amounts owing to it under the Pooling and Servicing Agreements
from, and in the same order of priority as, the Servicing Fee before payment to
the Master Servicer or Local Servicer of any portion thereof. The Master
Servicer shall be required to pay its own and any Local Servicer’s expenses for
its own account and shall not be entitled to any payment therefor other than
the Servicing Fee. Nothing contained herein shall be construed to limit the
obligation of the Company to pay any amounts due to the Liquidation Servicer
pursuant to Section 8.05 of the Pooling
Agreement. Other than as provided herein or in any other Transaction Document,
the Trustee may not set-off or apply funds except as permitted by Article III of the Pooling Agreement or any Supplement
thereto and the Trustee hereby agrees that it shall have no right of setoff or
banker’s lien against, and no right to otherwise deduct from, the Servicing Fee
for any amount owed to it by the Master Servicer, in its capacities the Master
Servicer or otherwise, pursuant to the Transaction Documents.

 

SECTION 2.06.                                                           Advances by the Master Servicer.

 

(a)                                  The Master Servicer to the extent it determines that such Servicer Advance
would be recoverable from subsequent Collections may deposit into the
applicable Series Principal Concentration Subaccount or applicable Series
Non-Principal Concentration Subaccount monies in an Approved Currency in an
amount equal to any projected liquidity shortfall as determined by the Master
Servicer. The Master Servicer shall set forth in the Daily Report and the Monthly
Settlement Report the amount of all Servicer Advances made by the Master
Servicer during the related reporting period.

 

(b)                                 On each Distribution Date, the Trustee shall reimburse the Master
Servicer for the Outstanding Amount Advanced in accordance with the provisions
of each Supplement.

 

13

 

ARTICLE
III

 

REPRESENTATIONS
AND WARRANTIES

 

SECTION 3.01.                                                           Representations and Warranties of the Master Servicer, Local
Servicers and the Servicer Guarantor.

 

As of (i) the
date hereof and (ii) each Issuance Date, each of the Master Servicer, each
Local Servicer and the Servicer Guarantor hereby severally makes the following
representations and warranties to the Company and the Trustee:

 

(a)                                  Organization; Powers. It
(i) is duly organized or formed, validly existing and, to the extent
applicable, in good standing under the laws of the jurisdiction of its
formation or organization, (ii) has all requisite power and authority to own
its property and assets and to carry on its business as now conducted and as
proposed to be conducted, (iii) is qualified to do business in, and, to the
extent applicable, in good standing in, every jurisdiction where the nature of
its business so requires, except where the failure so to qualify could not
reasonably be expected to result in a Material Adverse Effect with respect to
it and (iv) has the power and authority to execute, deliver and perform its
obligations under each of the Transaction Documents and each other agreement or
instrument contemplated hereby or thereby to which it is or will be a party.

 

(b)                                 Authorization; No Conflict. The execution, delivery and performance by it of each of the
Transaction Documents to which it is a party and performance of the
Transactions contemplated thereby (i) have been duly authorized by all
requisite corporate and, if applicable and required, stockholder, member or
partner action as applicable and (ii) will not (A) violate (l) any Requirement
of Law applicable to it or (2) any provision of any Transaction Document or
other material Contractual Obligation to which it is a party or by which it or
any of its property is or may be bound, (B) be in conflict with, result in a
breach of or constitute (alone or with notice or lapse of time or both) a
default under, or give rise to any right to accelerate or to require the
prepayment, repurchase or redemption of any obligation under any Transaction
Document or any other material Contractual Obligation to which it is a party or
by which its property is or may be bound, except where any such conflict,
violation, breach or default referred to in clause (A) or (B), individually or
in the aggregate, could not reasonably be expected to have a Material Adverse
Effect with respect to it, or (C) result in the creation or imposition of any
Lien upon the Receivables (other than Permitted Liens).

 

(c)                                  Enforceability. This
Agreement and each other Transaction Document to which it is a party has been
duly executed and delivered by it and constitutes a legal, valid and binding obligation
enforceable against it in accordance with such document’s terms, subject (a) to
applicable bankruptcy, insolvency, reorganization, moratorium and other similar
laws affecting the enforcement of creditors’ rights generally, from time to
time in effect and (b) to general principles of equity (whether enforcement is
sought by a proceeding in equity or at law).

 

14

 

(d)                                 Governmental Approvals.
No action, consent or approval of, registration or filing with or any other
action by any Governmental Authority is or will be required in connection with
the Transactions, except for (i) the filing of UCC financing statements (or
other applicable similar filings) in any applicable jurisdictions necessary to
perfect the Company’s ownership interest in the Receivables and the Trust’s
Participation and security interest in the Receivables, and (ii) such as have
been made or obtained and are in full force and effect.

 

(e)                                  Litigation; Compliance with Laws.

 

(i)                                     There are no actions, suits or proceedings at law or in equity or by
or before any Governmental Authority now pending or, to its knowledge,
threatened against it (i) in connection with the execution and delivery of the
Transaction Documents and the consummation of the Transactions contemplated
thereunder or (ii) as to which there is a reasonable possibility of an adverse
determination and that, if adversely determined, could reasonably be expected,
individually or in the aggregate, to result in a Material Adverse Effect with
respect to it.

 

(ii)                                  It is not in default with respect to any judgment, writ, injunction,
decree or order of any Governmental Authority, where such violation or default
could reasonably be expected to result in a Material Adverse Effect with respect
to it.

 

(iii)                               It is not in default under or with respect to any Requirement of Law
applicable to the collection and servicing of Receivables where such default
would be reasonably likely to have a Material Adverse Effect with respect to
it.

 

(f)                                    Agreements.

 

(i)                                     It is not a party to any agreement or instrument or subject to any
corporate, restriction in its organizational documents that has resulted or
could reasonably be expected to result in a Material Adverse Effect with
respect to it.

 

(ii)                                  It is not in default in any manner under any provision of any
Contractual Obligation to which it is a party or by which it or any of its
properties or assets are bound, where such default could reasonably be expected
to result in a Material Adverse Effect with respect to it.

 

(g)                                 No Master Servicer Default. No Master Servicer Default or Potential Master Servicer Default
has occurred and is continuing.

 

(h)                                 Servicing Ability. As
of the related Issuance Date, there has not been since the date of this
Agreement any adverse change in its ability to perform its obligations as
Master Servicer under any Transaction Document to which it is a party.

 

15

 

(i)                                     Location of Records. The
office at which it keeps its records concerning any Receivables either is
located (i) at the address set forth in Schedule 3 of
this Agreement or (ii) at another address of which the Master Servicer has
notified the Company and the Trustee in accordance with the provisions of Section 4.08.

 

(j)                                     Responsibilities of each Local Servicer. Notwithstanding anything herein to the contrary, (i) each Local
Servicer shall perform or cause to be performed all of its obligations under
the Policies related to the Receivables serviced by it to the same extent as if
such Receivables had not been sold, assigned, transferred and conveyed to the
Company under the applicable Origination Agreement, (ii) the exercise by the
Company of any of its rights under the applicable Origination Agreement shall
not relieve any Local Servicer of its obligations with respect to such
Receivables and (iii) except as provided by law, the Company shall not have any
obligation or liability with respect to any Receivables, nor shall the Company
be obligated to perform any of the obligations or duties of any Local Servicer.

 

(k)                                  Anti-Terrorism Law.

 

(A)                              Neither it nor, to the actual knowledge of a Responsible Officer,
any of its Affiliates is in violation of any laws relating to terrorism or
money laundering (“Anti-Terrorism Law”),
including Executive Order No. 13224 on Terrorist Financing, effective September
24, 2001 (the “Executive Order”), and the Uniting
and Strengthening America by Providing Appropriate Tools Required to Intercept
and Obstruct Terrorism Act of 2001, Public Law 107-56 (as amended) (the “Patriot Act”).

 

(B)                                Neither it nor, to the actual knowledge of a Responsible Officer,
any of its Affiliates or brokers or other agents,
acting or benefiting in any capacity in connection with its obligations
hereunder is any of the following:

 

(i)                                     a person that is listed in the annex to, or is otherwise subject to
the provisions of, the Executive Order;

 

(ii)                                  a person owned or controlled by, or acting for or on behalf of, any
person that is listed in the annex to, or is otherwise subject to the
provisions of, the Executive Order;

 

(iii)                               a person with which it is prohibited from dealing or otherwise
engaging in any transaction by any Anti-Terrorism Law;

 

(iv)                              a person that commits, threatens or conspires to commit or supports “terrorism”
as defined in the Executive Order; or

 

(v)                                 a person that is named as a “specially designated national and
blocked person” on the most current list published by the US Treasury
Department, Office of Foreign Assets Control at its

 

16

 

official website or any replacement website or other
replacement official publication of such list.

 

SECTION 3.02.                                                           Additional Representations and Warranties of the Master Servicer.

 

As of (i) the
Series 2000-1 Issuance Date and (ii) each Series 2000-1 Increase Date, the
Master Servicer shall be deemed to represent and warrant that it has
determined, in accordance with the requirements for the calculations and
determinations provided for under the Transaction Documents, that the following
conditions have been satisfied:

 

(a)                                  (1) in respect of the Series 2000-1 U.S. Dollar VFC Certificates,
the related aggregate Series 2000-1 Initial U.S. Dollar Invested Amount or
Series 2000-1 Increase Amount in respect thereof is equal to $1,000,000 or an integral
multiple of $100,000 in excess thereof and (2) in respect of the Series 2000-1
Euro VFC Certificates the related aggregate Series 2000-1 Initial Euro Invested
Amount or Series 2000-1 Increase Amount in respect thereof is equal of
€1,000,000 or an integral multiple of €100,000 in excess thereof;

 

(b)                                 after giving effect to the Series 2000-1 Initial Invested Amount or
the Series 2000-1 Increase Amount, as applicable,

 

(i)                                     the Series 2000-1 Invested Amount (calculated without regard to clauses (c)(iv) and (v) of the
definitions of Series 2000-1 Purchaser U.S. Dollar Invested Amount and Series
2000-1 Purchaser Euro Invested Amount) would not exceed the Series 2000-1
Maximum Invested Amount on the Series 2000-1 Issuance Date or such Series
2000-1 Increase Date, as the case may be,

 

(ii)                                  the Series 2000-1 Allocated Receivables Amount would not be less
than the Series 2000-1 Target Receivables Amount on the Series 2000-1 Issuance
Date or such Series 2000-1 Increase Date, as the case may be, as set forth in
the Daily Report delivered on such date,

 

(iii)                               with respect to any VFC Purchaser Group, the Series 2000-1 Purchaser
U.S. Dollar Invested Amount and the Series 2000-1 Purchaser Euro Invested
Amount (calculated without regard to clauses (c)(iv) and (v) of the definition of Series 2000-1 Purchaser U.S.
Dollar Invested Amount and Series 2000-1 Purchaser Euro Invested Amount,
respectively) with respect to such VFC Purchaser Group would not exceed its VFC
Pro Rata Share of the Series 2000-1 Purchaser U.S. Dollar Invested Amount and
Series 2000-1 Purchaser Euro Invested Amount on the Series 2000-1 Issuance Date
or such Series 2000-1 Increase Date, and

 

(iv)                              so long as any Series 2000-1 Euro VFC Certificate is outstanding,
the Company maintains outstanding the Series 2000-1 Purchaser U.S. Dollar
Invested Amount equal to or greater than the Series 2000-1 Required Purchaser
U.S. Dollar Invested Amount;

 

17

 

(c)                                  no Series 2000-1 Early Amortization Event or Potential Series 2000-1
Early Amortization Event under the Agreement or this Supplement shall have
occurred and be continuing; and

 

(d)                                 all of the representations and warranties made by the Master
Servicer in each Transaction Document to which it is a party are true and
correct in all material respects on and as of the Series 2000-1 Issuance Date
or such Series 2000-1 Increase Date, as the case may be, as if made on and as
of such date (except to the extent such representations and warranties are
expressly made as of another date).

 

ARTICLE
IV

 

COVENANTS
OF THE MASTER SERVICER AND THE SERVICER GUARANTOR

 

SECTION 4.01.                                                           Delivery of Daily Reports.

 

Unless
otherwise specified in the Supplement with respect to any Series, on each Local
Business Day and with respect to each Outstanding Series, each Originator shall
deliver to the Master Servicer, a written report (an “Originator
Daily Report”) by 10 a.m. London time on the Local Business Day
following each date of sale or contribution of Receivables, setting forth for
such date of sale or offer, as the case may be, a description of Receivables
sold or offered for sale, as the case may be, to Huntsman International or
conveyed to the Company, as the case may be.

 

On each
Business Day, the Master Servicer or its designee shall deliver to the Trustee,
the Liquidation Servicer and each Funding Agent no later than 12:30 p.m. London
time, a written report substantially in the form attached as Exhibit B to the
Pooling Agreement (the “Daily Report”)
setting forth, for such Business Day the amount of Aggregate Daily Collections
appearing in the Company Concentration Accounts, the amount of initial
Collections received on the previous Business Day (the “Reported Day”)
and appearing in the Collection Accounts; the amount of Receivables contributed
by the Contributor to the Company, and for which a Participation and security
interest has been granted by the Company to the Trust; the amount of Ineligible
Receivables (if any) identified on the Reported Day; the amount of Servicer
Advances deposited in the Series Principal Concentration Subaccount or the
Series Non-Principal Concentration Subaccount on such day, plus the total
amount of Servicer Advance outstanding and not yet repaid as of such date; and
such other information as the Company, the Trustee or such Funding Agent may
reasonably request. The Daily Report must be delivered in an electronic format
mutually agreed upon by the Master Servicer, the Liquidation Servicer, the
Trustee and the Funding Agent, or if such electronic copy is not available, by
facsimile (electronic form of such Daily Report to be provided as soon as it is
available). By delivery of a Daily Report, the Master Servicer shall be deemed
to have made a representation and warranty that it has determined in accordance
with the requirements for calculations and determinations provided for under
the Transaction Documents, all information set forth therein is true and
correct.

 

SECTION 4.02.                                                           Delivery of Monthly Settlement Report.

 

Unless
otherwise specified in the Supplement with respect to any Outstanding Series,
the Master Servicer hereby covenants and agrees that it shall deliver to each
Funding Agent, the Liquidation Servicer, the Company and the Trustee by 12:30
p.m. London time, on each

 

18

 

Settlement
Report Date, a certificate of a Responsible Officer of the Master Servicer
substantially in the form of Exhibit C to the Pooling Agreement (a “Monthly Settlement Report”) setting forth, as of the last
day of the Settlement Period most recently ended and for such Settlement
Period, to the best of the Master Servicer’s knowledge, (a) the information
described in the form of the Monthly Settlement Report including such changes
as may be agreed to by the Master Servicer, the Liquidation Servicer, the
Company, the Trustee and each Funding Agent (if any), (b) a list of any
Obligors or Approved Obligor Countries with debt ratings that have been either
reduced or withdrawn during such Settlement Period, (c) the amount of Servicer
Advances made by the Master Servicer during the related Settlement Period and
the Outstanding Amount Advanced as of the end of the related Settlement Period,
(d) Day Sales Outstanding for the reported Settlement Period, and (e) such
other information as the Trustee, the Liquidation Servicer or any Funding Agent
may reasonably request. Such certificate shall include a certification by a
Responsible Officer of the Master Servicer (subject to Section 8.11
hereof) that, (i) to such Responsible Officer’s knowledge, the information
contained therein is true and correct in all material respects and (ii) the
Master Servicer has performed all of its obligations in all material respects
under each Transaction Document to which it is a party throughout such
preceding Settlement Period (or, if there has been a default in the performance
of any such obligation, specifying each such default known to such Responsible
Officer and the nature and status thereof). A copy of each Monthly Settlement
Report may be obtained by any Holder by a request in writing to the Trustee
addressed to the Corporate Trust Office. The Monthly Settlement Report must be
delivered in an electronic format mutually agreed upon by the Master Servicer,
the Trustee, the Liquidation Servicer and each Funding Agent, or if such
electronic copy is not available, by facsimile (electronic form of such Monthly
Settlement Report to be provided as soon as it becomes available).

 

SECTION 4.03.                                                           Delivery of Quarterly Master Servicer’s Certificates.

 

The Master
Servicer shall deliver to the Company, the Trustee and each Funding Agent,
subject to Section 8.12 hereof, a certificate
of a Responsible Officer of the Master Servicer substantially in the form of Schedule 1 hereto, certifying that:

 

(a)                                  a review of its and the Company’s activities during the preceding
calendar year (or in the case of the first such certificate issued after the
Effective Date, during the period from the Effective Date through and including
the last day of the preceding calendar quarter), and of its performance under
each Transaction Document was made under the supervision of such Responsible
Officer;

 

(b)                                 to the best of such Responsible Officer’s knowledge, based on such
review, it and the Company have each performed their respective obligations in
all material respects under each Transaction Document throughout the period
covered by such certificate (or, if there has been a material default in the
performance of any such obligation, specifying each such default known to such
Responsible Officer and the nature and status thereof); and

 

(c)                                  to the best of such Responsible Officer’s knowledge, each Daily
Report and Monthly Settlement Report was at the time when delivered correct in
all material respects.

 

19

 

Such
certificate shall be delivered by the Master Servicer within 45 days after the
end of each calendar year. A copy of each such certificate may be obtained by
any Holder by a request in writing to the Trustee addressed to the Corporate
Trust Office.

 

SECTION 4.04.                                                           Delivery of Independent Public Accountants’ Letter Related to Annual
Review of Originator Daily Reports,
Daily Reports and Monthly Settlement Reports.

 

The Master
Servicer shall, at the expense of the Company, cause Independent Public
Accountants to furnish to the Company, the Trustee, the Liquidation Servicer
and each Funding Agent within 120 days following the last day of the Master
Servicer’s fiscal year, beginning with the fiscal year ending December 31,
2000, a letter to the effect that such Independent Public Accountants have
performed the agreed-upon procedures set forth in Schedule 2
hereto relating to the (a) review of the Master Servicer’s performance related
to (i) the preparation of the Daily Reports and (ii) the preparation of the
Monthly Settlement Reports, and (b) review of the preparation of the Originator
Daily Reports prepared by the Originators, during the preceding fiscal year and
describing such accountants’ findings with respect to such procedures; provided, however, that
so long as the Variable Funding Certificates are the only Investor Certificates
outstanding, the requirement to deliver the foregoing letter shall be at the
option of the Administrative Agent. A copy of any such report may be obtained
by any Holder by a request in writing to the Trustee addressed to the Corporate
Trust Office.

 

SECTION 4.05.                                                           Extension, Amendment and Adjustment of Receivables; Amendment of
Policies.

 

(a)                                  The Master Servicer hereby covenants and agrees with the Company and
the Trustee that it shall not extend, rescind, cancel, amend or otherwise
modify, or attempt or purport to extend, rescind, cancel, amend or otherwise
modify the terms of, or grant any Dilution Adjustment in respect of, any Receivable,
or otherwise take any action that is intended to cause or permit a Receivable
that is an Eligible Receivable to cease to be an Eligible Receivable, except in
any such case (a) (i) such cancellation, termination, amendment, modification,
or waiver is made in accordance with the Servicing Standard set forth in Section 4.12 and in accordance with terms of the Policies
(and would have been made in the ordinary course of business), (ii) if such
cancellation, termination, amendment, modification or waiver arose as a result
of a request from an Obligor, (iii) if any such amendment, modification or
waiver does not cause such Receivable to cease to be an Eligible Receivable and
(iv) such cancellation, termination, amendment, modification or waiver would
not have a material and prejudicial effect on the collectibility of the
relevant Receivable, or (b) such Dilution Adjustment is the result of a
pre-existing contractual obligation between the Contributor, the Company or any
Originator, as the case may be, and the related Obligor with respect to such
Receivable, provided, that in the event the
Originator cancels an invoice related to a Receivable, the Originator must make
an Originator Dilution Adjustment Payment in accordance with Section 2.05 or 2.06 (or the
applicable corresponding section) of the related Origination Agreement. If the
Master Servicer or the Originator cancels an invoice related to a Receivable,
either (1) such invoice must be replaced as part of a “credit and re-bill” (as
defined in the definition of Dilution Adjustment) with an invoice relating to

 

20

 

the same transaction as the cancelled invoice of equal
or greater Principal Amount within 5 Business Days of such cancellation, (2)
such invoice must be replaced as part of a “credit and re-bill” (as defined in
the definition of Dilution Adjustment) with an invoice relating to the same
transaction as the cancelled invoice of a lesser Principal Amount within 5
Business Days of such cancellation and the Originator must make an Originator
Dilution Adjustment Payment to the Company, in an amount equal to the
difference between such cancelled and replacement invoices or (3) the
Originator must make an Originator Dilution Adjustment Payment to the Company in
an amount equal to the full value of such cancelled invoice pursuant to Section 2.05 or 2.06 (or the
applicable corresponding section) of the related Origination Agreement. Any
Dilution Adjustment authorized to be made pursuant to the preceding sentence shall
result in the reduction, on the Business Day on which such Dilution Adjustment
arises or is identified, in the aggregate Principal Amount of Receivables and
if as a result of such a reduction the Aggregate Target Receivables Amount
exceeds the Aggregate Receivables Amount, the Company (in addition to the
obligations of the Originators under the related Origination Agreement in
respect of such Dilution Adjustment) will be required to pay into relevant the
Series Principal Concentration Subaccount with respect to each Outstanding
Series in immediately available funds, within one (1) Business Day of such
determination, the pro rata share for such Series (based on a percentage equal
to the Invested Amount for such Series divided by the Aggregate Invested Amount) of the Adjustment Payment.

 

(b)                                 The Master Servicer shall not change or modify the Policies in any
material respect, except (i) if such change or modification is necessary under
any Requirement of Law or (ii) if such change or modification would not reasonably
be expected to have a Material Adverse Effect is satisfied with respect thereto.
The Master Servicer shall provide notice to the Company, the Trustee, each
Funding Agent and the Liquidation Servicer of any change or modification of the
Policies.

 

(c)                                  The Master Servicer shall perform its obligations in accordance with
and comply in all material respects with the Policies.

 

SECTION 4.06.                                                           Protection of Holders’ Rights.

 

The Master
Servicer hereby agrees with the Company and the Trustee that it shall take no
action, nor intentionally omit to take any action (provided
that the Master Servicer shall have no obligation to make any payments on
behalf of an Obligor that has defaulted under any Receivable except to the
extent otherwise required pursuant to Section 5.02)
that would reasonably be expected to result in a Material Adverse Effect in
respect of the Receivables or any Related Property, nor shall it reschedule,
revise or defer payments due on any Receivable except in accordance with the
Policies or Section 4.05 above.

 

SECTION 4.07.                                                           Security Interest.

 

The Master
Servicer hereby covenants and agrees that it shall not sell, pledge, assign or
transfer to any other Person, or grant, create, incur, assume or suffer to
exist any Lien (other than Permitted Liens) on any Receivable, whether now
existing or hereafter created, or any interest therein, and the Master Servicer
shall defend the right, title and interest of the

 

21

 

Company and
the Trust in, to and under any Receivable, whether now existing or hereafter
created, against all claims of third parties claiming through the Master
Servicer or the Company.

 

SECTION 4.08.                                                           Location of Records.

 

The Master
Servicer hereby covenants and agrees that it shall not move any of the offices
where it keeps its records with respect to any Receivables (including any
office of a Local Servicer) outside of the location specified in respect
thereof on Schedule 3 to the related
Origination Agreement, in any such case, without giving thirty (30) days prior
written notice to the Company, the Trustee, the Liquidation Servicer and each
Funding Agent.

 

SECTION 4.09.                                                           Inspection Rights.

 

(a)                                  Subject to the provisions of any Supplement, the Master Servicer
shall, at any reasonable time during normal business hours on any Local
Business Day and from time to time, upon reasonable prior notice, and as often
as may reasonably be requested, subject to their respective security and
confidentiality requirements, (i) permit the Company, the Trustee, the
Liquidation Servicer, any Funding Agent or any of their respective agents or representatives,
(A) to examine and make copies of and abstracts from its records, books of
account and documents (including computer tapes and disks) relating to the Receivables
and (B) following the occurrence of a Master Servicer Default or the
termination of the Master Servicer’s appointment as Master Servicer to be
present at its offices and properties to administer and control the Collection
of the Receivables and to allow the Trustee and the Liquidation Servicer access
to documents, instruments and other records (including the documents,
instruments and other records required to be transferred to a successor
pursuant to Section 6.01 upon a Master
Servicer Transfer), equipment and personnel that are necessary to enable the
Liquidation Servicer or Successor Master Servicer, as applicable, to continue
servicing operations in accordance with the terms of the Transaction Documents
and (ii) permit the Company, the Trustee, any Funding Agent or any of their
respective agents or representatives to visit its properties to discuss its
affairs, finances and accounts relating to the Receivables or its performance
hereunder or under any of the other Transaction Documents to which it is a
party with any of its officers or directors and with its independent certified
public accountants.

 

(b)                                 The Master Servicer shall provide the Trustee with such other
information as the Trustee may reasonably request in connection with the fulfilment
of the Trustee’s obligations under any Pooling and Servicing Agreements.

 

SECTION 4.10.                                                           Delivery of Financial Reports.

 

The Master
Servicer shall furnish to the Company, the Trustee and each Funding Agent:

 

(a)                                  copies of the following financial reports, notices and information:

 

(i)                                     within 90 days after the end of each fiscal year, the Servicer
Guarantor’s consolidated balance sheet and related Reports of income,
stockholders’ equity and cash flows showing the consolidated financial

 

22

 

condition of the Servicer Guarantor and its
consolidated subsidiaries as of the close of such fiscal year and the
consolidated results of its operations and the operations of such subsidiaries
during such year (and showing, on a comparative basis, the figures for the
previous year), all audited by Independent Public Accountants and accompanied
by an opinion of such accountants (which shall not be qualified in any material
respect except that qualifications relating to (i) preacquisition balance sheet
accounts of Persons acquired by the Master Servicer and (ii) Reports in
reliance on another accounting firm shall be permitted) to the effect that such
consolidated financial reports fairly present in all material respects the financial
condition and results of operations of the Servicer Guarantor and its
consolidated subsidiaries on a consolidated basis in accordance with GAAP
consistently applied;

 

(ii)                                  within 60 days after the end of each of the first three fiscal quarters
of each fiscal year, the Servicer Guarantor’s unaudited consolidated balance
sheet and related Reports of income, stockholders’ equity and cash flows
showing the consolidated financial condition of the Servicer Guarantor, each of
the European Originators and each of their consolidated subsidiaries as of the
close of such fiscal quarter and the consolidated results of the Servicer
Guarantor’s operations and the operations of such subsidiaries during such
fiscal quarter and the then elapsed portion of the fiscal year (and showing, on
a comparative basis, such information as of and for the corresponding dates and
periods of the preceding fiscal year), all certified by a Responsible Officer
of the Servicer Guarantor as fairly presenting in all material respects the consolidated
financial condition and results of operations of the Servicer Guarantor and its
consolidated subsidiaries on a consolidated basis in accordance with GAAP
(except for the absence of footnote disclosure) consistently applied, subject
to year-end audit adjustments;

 

(iii)                               within 150 days after the end of each fiscal year audited balance
sheet and related reports statements of income, stockholders’ equity and cash
flows showing the financial condition of the Servicer Guarantor each of its
consolidated subsidiaries;

 

(iv)                              within 300 days after the end of each fiscal year audited balance
sheet and related reports statements of income, stockholders’ equity and cash
flows showing the financial condition of each of the European Originators and
each of their consolidated subsidiaries;

 

(b)                                 concurrently with any delivery of financial reports under Section 4.10(a)(ii), subject to Section 8.11
hereof, a certificate of the Responsible Officer certifying such Reports and
stating to the best of such person’s knowledge (i) no Early Amortization Event
or Potential Early Amortization Event exists, or (ii) if any Early Amortization
Event or Potential Early Amortization Event exists, stating the nature and
status thereof;

 

(c)                                  promptly after the filing thereof, copies of any registration
statement (other than the exhibits thereto and excluding any registration
statements on Form S-8

 

23

 

and any other registration statement relating
exclusively to stock, bonus, option, 401(k) and other similar plans for
officers, directors and employees) of each Originator and the Servicer Guarantor
or any of its respective Subsidiaries or Affiliates;

 

(d)                                 promptly upon the furnishings thereof to the shareholders of each
Originator, copies of all financial statements, financial reports and proxy
statements so furnished;

 

(e)                                  (i) within ten (10) days after the date of any material change in
the Policies, a copy of the Policies then in effect and (ii) within ten (10)
calendar days after the date of the Master Servicer’s receipt of notice of or
the publication of any change in each Originator’s public or private debt
ratings by a Rating Agency, if any, a written certification of such Originator’s
public or private debt ratings by a Rating Agency after giving effect to such
change; and

 

(f)                                    promptly, from time to time, such other information regarding the
operations, business affairs and financial condition of each Originator, or
compliance with the terms of any Transaction Document, in each case as any
Funding Agent or any Trustee may reasonably request.

 

SECTION 4.11.                                                           Notices.

 

The Master
Servicer shall furnish written notice of the following events to the Company,
the Trustee and each Funding Agent, promptly upon a Responsible Officer of such
Person obtaining actual knowledge thereof: (i) the reduction or withdrawal of a
relevant applicable rating of an Obligor, an Approved Obligor Country or an
Approved Currency by a Rating Agency or (ii) the occurrence of any Originator
Termination Event, Potential Originator Termination Event, Early Amortization
Event, Potential Early Amortization Event, Master Servicer Default, Potential
Master Servicer Default or Program Termination Event.

 

SECTION 4.12.                                                           Servicing Standard.

 

The Master
Servicer hereby agrees with the Trustee that as Master Servicer it shall
exercise the same degree of skill and care in managing the administration and
servicing of the Receivables, and performing its obligations hereunder, as it
would exercise if it were the beneficial owner of all such Receivables (the “Servicing Standard”).

 

SECTION 4.13.                                                           Delivery of Information or Documents Requested by the Company.

 

The Master
Servicer shall promptly furnish to the Company and each other Person identified
by the Company all information and documents reasonably requested by the
Company that are necessary in order for the Company to fulfill its obligations
under the Transaction Documents.

 

SECTION 4.14.                                                           Maintenance of Records.

 

The Master
Servicer shall obtain and maintain the original copies of all documents
delivered pursuant to or in connection with the Origination Agreements,
including offers and acceptances, Originator Daily Reports, assignments,
subrogation receipts or any similar instruments. The Master Servicer shall
retain copies of all documents and instruments

 

24

 

required to be
delivered under Section 2.2(g) of the Italian
Receivables Purchase Agreement and Section 4.9 of
the Spanish Receivables Purchase Agreement.

 

SECTION 4.15.                                                           Compliance with FX Hedging Policy.

 

The Master
Servicer shall ensure that the FX Hedging Policy is complied with at all times,
including by making the determinations necessary to assess compliance with the
FX Hedging Policy and by delivering all necessary instructions to the Trustee
to ensure that the Trustee enters into FX Forward Agreements as required by the
Pooling Agreement.

 

SECTION 4.16.                                                           Designated Lines of Business.

 

The Master
Servicer shall ensure that the Receivables originated with respect to an Excluded
Designated Line of Business or Designated Line of Business are at all times
identified and distinguished from all other Receivables.

 

SECTION 4.17.                                                           Notice, Reports, Directions by Master Servicer.

 

Any
information, notice or report to be delivered by, or any instructions,
requests, demands, elections or directions to be given by, the Master Servicer
under this Agreement is, unless otherwise indicated, being delivered or given
by the Master Servicer on behalf of the Company in accordance with the provisions
of this Agreement, the Pooling Agreement and the related Supplement.

 

ARTICLE
V

 

OTHER
MATTERS RELATING TO THE MASTER SERVICER

 

SECTION 5.01.                                                           Merger, Consolidation, etc.

 

The Master
Servicer shall not enter into any merger, consolidation or amalgamation, or
liquidate, wind up or dissolve itself (or suffer any liquidation or
dissolution), or convey, sell, transfer, lease, assign or otherwise dispose of,
all or substantially all of its property, business or assets other than the
assignments and transfers contemplated hereby; provided
that the Master Servicer may merge into or consolidate with any other Person or
convey, sell or transfer its property, business or assets substantially as an
entirety to another Person, if:

 

(a)                                  (i) the Master Servicer is the surviving entity or (ii) the
surviving Person (A) expressly assumes, without execution or filing of any
paper or any further act on the part of any of the parties hereto, the
performance of every one of its covenants and obligations hereunder and (B) no
Material Adverse Effect with respect to such Person shall result from such
merger, consolidation, sale, lease, transfer or disposal of assets;

 

(b)                                 subject to Section 8.11
hereof, it has delivered to the Trustee a Responsible Officer’s certificate and
an Opinion of Counsel addressed to the Trust and the Trustee (i) each stating
that such consolidation, merger, conveyance or transfer complies with this Section 5.01 and (ii) further stating in the Responsible
Officer’s certificate that all conditions precedent herein provided for
relating to such transaction have been complied with; and

 

25

 

(c)                                  either (x) the corporation formed by such consolidation or into
which the Master Servicer is merged or the Person which acquired by conveyance
or transfer the properties and assets of the Master Servicer substantially as
an entirety shall be an eligible Successor Master Servicer as determined by the
Master Servicer with the consent of the Funding Agents (such consent not to be
unreasonably withheld or delayed) (taking into account, in making such
determination, the experience and operations of the predecessor Master
Servicer) or (y) upon the effectiveness of such consolidation, merger,
conveyance or transfer, a Successor Master Servicer shall have assumed the
obligations of the Master Servicer in accordance with this Agreement.

 

SECTION 5.02.                                                           Indemnification of the Company, Liquidation Servicer, Trust and the
Trustee.

 

(a)                                  The Master Servicer hereby agrees to indemnify and hold harmless
each of the Company, the Liquidation Servicer and the Trustee for the benefit
of the Investor Certificateholders, and each of their affiliates, and
respective directors, managing members, officers, employees and agents and each
person who controls any of them or their affiliates within the meaning of the
Securities Act and any successors thereto (a “Master
Servicer Indemnified Person”) from and against any loss, liability,
claim, expense, damage, penalty, judgment, or injury suffered or sustained by
such Master Servicer Indemnified Person by reason of any acts, omissions or
alleged acts or omissions arising out of, or relating to, the Master Servicer’s
or Local Servicer’s activities pursuant to any Pooling and Servicing Agreement
including but not limited to any judgment, award, settlement, reasonable
attorneys’ fees and other reasonable costs or expenses incurred in connection
with the defense of any actual or threatened action, proceeding or claim; provided that the Master Servicer shall not indemnify any
Master Servicer Indemnified Person for any liability, cost or expense of such
Master Servicer Indemnified Person (i) arising from a default by an Obligor
with respect to any Receivable (except that indemnification shall be made to
the extent that such default arises out of the Master Servicer’s failure to
perform its duties or obligations as Master Servicer under this Agreement), or
(ii) to the extent that such loss, liability, claim, damage, penalty, injury,
judgment, liability or expense is finally judicially determined to have
resulted primarily from the gross negligence or wilful misconduct of, or wilful
breach of this Agreement by, such Master Servicer Indemnified Person. The
provisions of this indemnity shall run directly to, and be enforceable by, the
applicable Master Servicer Indemnified Person and shall survive the
termination, in whole or in part, of the Agreement and the resignation or
removal, as applicable, of the Master Servicer.

 

(b)                                 In addition to Section (a)
above, the Master Servicer shall indemnify and hold harmless each Master
Servicer Indemnified Person from and against any loss, liability, expense,
damage or injury suffered or sustained by reason of a breach by the Master
Servicer or Local Servicer of any covenant contained in Sections
2.02(e), 2.02(f), 4.05, 4.06, 4.07 or 4.12 that
materially adversely affects the interest of the Company, the Trust or the
Investor Certificateholders under the Transaction Documents with respect to any
Receivable or the collectibility of any Receivable (a “Master
Servicer Indemnification

 

26

 

Event”), by
paying such Master Servicer Indemnified Person a payment in an amount equal to
the outstanding Principal Amount of such Receivable at the time of such event. Payment
shall occur on or prior to the 30th Business Day after the day such Master
Servicer Indemnification Event becomes known to the Master Servicer unless such
Master Servicer Indemnification Event shall have been cured on or before such
day.

 

SECTION 5.03.                                                           Master Servicer Not to Resign.

 

The Master
Servicer shall not resign from the obligations and duties hereby imposed on it
except (a) upon determination that (i) the performance of its duties hereunder
is no longer permissible under applicable law, and (ii) there is no commercially
reasonable course of action that it could take to make the performance of its
duties hereunder permissible under applicable law or (b) if the Master Servicer
is terminated as Master Servicer pursuant to Section 6.01
or (c) if the Master Servicer obtains the prior written consent of each Funding
Agent; provided, however,
that such resignation shall not in any way affect the Servicer Guarantor’s
obligations hereunder or under any other Transaction Document. Any such determination
permitting the resignation of the Master Servicer shall be evidenced as to clause (a)(i) above by an Opinion of Counsel to such effect
delivered to the Company, the Trustee and each Funding Agent. No such
resignation shall become effective until the Servicer Guarantor, or in the
event of a default under the Servicing Guarantee, a Successor Master Servicer
shall have assumed the responsibilities and obligations of the Master Servicer
in accordance with Section 6.02.
The Trustee, the Company and each Funding Agent shall be notified of such
resignation (or termination) by the Master Servicer.

 

SECTION 5.04.                                                           Access to Certain Documentation and Information Regarding the
Receivables.

 

The Master
Servicer shall retain and hold in trust for the Company, each Originator, each
Funding Agent, and the Trustee at the office of the Master Servicer all hard
copies of the Originator Daily Reports and the Quittance Subrogatives (as
defined in the French Receivables Purchase Agreement) and such computer
programs, books of account and other records as are reasonably necessary to
enable the Trustee to determine at any time the status of the Receivables and
all collections and payments in respect thereof (including an ability to
recreate records evidencing the Receivables in the event of the destruction of
the originals thereof).

 

ARTICLE
VI

 

MASTER
SERVICER DEFAULTS; MASTER SERVICER TERMINATION

 

SECTION 6.01.                                                           Master Servicer Defaults.

 

If any one of
the following events (a “Master Servicer Default”)
shall occur and be continuing:

 

(a)                                  failure by the Master Servicer to deliver within one (1) Business
Day of when due, any Daily Report or, within three (3) Business Days of when
due, any Monthly Settlement Report, in each case conforming in all material
respects to the requirement of Section 4.01 or
4.02;

 

27

 

(b)                                 failure by the Master Servicer or any Local Servicer to pay any
amount required to be paid by it under any Pooling and Servicing Agreement
(which, with respect to such Local Servicer, has not been paid by the Master
Servicer by way of a Servicing Advance) or to give any direction with respect
to the allocation or transfer of funds under any Pooling and Servicing
Agreement, on the date such payment is due or such allocation or transfer is
required to be made;

 

(c)                                  failure on the part of the Master Servicer or any Local Servicer
duly to observe or to perform in any material respect any other of their
respective covenants or agreements set forth in any Pooling or Servicing Agreement
if such failure has a Material Adverse Effect on the Holders of any Outstanding
Investor Certificates and continues unremedied until five (5) Business Days
after the earlier of (i) the date on which a Responsible Officer of the Master
Servicer has knowledge of such failure and (ii) the date on which written
notice of such failure, requiring the same to be remedied, shall have been
given (A) to the Master Servicer by the Company or the Trustee, or (B) to the
Company, the Trustee and to the Master Servicer by any Funding Agent; provided that if such failure may be cured and the Master
Servicer or the Servicer Guarantor is diligently pursuing such cure, such event
shall not constitute a Master Servicer Default for an additional five (5) calendar
days; and provided, further,
that no Master Servicer Default shall be deemed to occur under this subsection
with respect to a failure on the part of the Master Servicer if the Master
Servicer shall have complied with the provisions of Section 5.02(b)
with respect thereto;

 

(d)                                 any representation, warranty or certification made by the Master
Servicer, Local Servicer or Servicer Guarantor in any Pooling or Servicing
Agreement or in any certificate delivered pursuant thereto shall prove to have
been incorrect in any material respect when made or deemed made, which
incorrectness has a Material Adverse Effect on the Holders of any Outstanding
Investor Certificates or on the collectibility of the Receivables as a whole
and which Material Adverse Effect continues unremedied until five (5) Business
Days after the earlier of (i) the date on which a Responsible Officer of the
Master Servicer has knowledge of such failure and (ii) the date on which
written notice thereof, requiring the same to be remedied, shall have been given
(A) to the Master Servicer by the Company or the Trustee, or (B) to the
Company, to the Trustee and to the Master Servicer by any Funding Agent; provided, that if such incorrectness may be cured and the
Master Servicer is diligently pursuing such cure, such event shall not
constitute a Master Servicer Default for an additional five (5) calendar days;

 

(e)                                  an Insolvency Event shall have occurred with respect to the Master
Servicer or the Servicer Guarantor;

 

(f)                                    there shall have occurred and be continuing a Program Termination
Event under any Origination Agreement;

 

(g)                                 any Pooling and Servicing Agreement or Origination Agreement shall
cease, for any reason, to be in full force and effect, or the Company, the
Master Servicer,

 

28

 

any Local Servicer or any Affiliate of any of the
foregoing, shall so assert in writing;

 

(h)                                 any action, suit, investigation or proceeding at law or in equity
(including injunctions, writs or restraining orders) shall be brought or
commenced or filed by or before any arbitrator, court or Governmental Authority
against the Company, the Master Servicer or any Local Servicer or any
properties, revenues or rights of any thereof which could reasonably be
expected to have a Material Adverse Effect on the Holders of any Outstanding
Series of Investor Certificates; or

 

(i)                                     (a) the Servicer Guarantor or any of its Subsidiaries shall default
in the observance or performance of any agreement or condition relating to any
of its outstanding Indebtedness or contained in any instrument or agreement
evidencing, securing or relating thereto, or (b) any other event shall occur or
condition exist, the effect of which default or other event or condition is to
cause such Indebtedness to become due prior to its stated maturity; provided, however, that
no Master Servicer Default shall be deemed to occur under this paragraph unless
the aggregate amount of Indebtedness in respect of which any default or other
event or condition referred to in this paragraph shall have occurred shall be
equal to at least $50,000,000;

 

then, so long
as the Master Servicer Default shall not have been remedied (or waived in
accordance with the terms of the Transaction Documents), the Trustee may, and
at the written direction of the Funding Agent(s) representing more than 50% of
the Aggregate Invested Amount, the Trustee shall, by notice then given in
writing to the Master Servicer (a “Termination Notice”),
terminate all or any part of the rights and obligations of the Master Servicer
and each Local Servicer hereunder and under the Pooling Agreement and Servicing
Agreements (other than rights and obligations of the Master Servicer under the
Pooling and Servicing Agreements existing prior to a Master Servicer Default); provided that so long as an Affiliate of the Company is the
Master Servicer, unless otherwise designated in writing by the Company to the
Trustee, any act or omission of the Master Servicer shall not constitute a
Master Servicer Default hereunder if and to the extent that such act or
omission results only in a failure to transfer to the Company Receipts Account
(or otherwise to pay to the Company) any amount which should have been so
transferred (or paid). Notwithstanding anything to the contrary in this Section 6.01, a delay in or failure of performance referred
to under clause (a) or (b)
above for a period of five (5) Business Days after the applicable grace period
shall not constitute a Master Servicer Default, if such delay or failure could
not have been prevented by the exercise of commercially reasonable diligence by
the Master Servicer and such delay or failure was caused by a Force Majeure
Delay with respect to the Master Servicer. After receipt by the Master Servicer
of a Termination Notice or delivery by the Master Servicer of a Resignation
Notice, on the date that the Liquidation Servicer or the Successor Master
Servicer, as applicable, shall have been notified by the Trustee of the
commencement of its services to be provided pursuant to Section 6.02,
all authority and power of the Master Servicer and each Local Servicer under
any Pooling and Servicing Agreement to the extent specified in such Termination
Notice shall pass to and be vested in the Liquidation Servicer (a “Service Transfer”) or the Successor Master Servicer, as
applicable, and the Trustee is hereby directed, authorized and empowered (upon
the failure of the Master Servicer to cooperate) to execute and deliver, on
behalf of the Master Servicer, as attorney-in-fact or otherwise, all documents
and other instruments upon the refusal of the

 

29

 

Master Servicer to execute or to deliver
such documents or instruments, and to do and to accomplish all other acts or
things necessary or appropriate to effect the purposes of such Service Transfer
and the Trustee shall incur no liability in connection with effecting such
Service Transfer. The Master Servicer and each Local Servicer agrees to
cooperate with the Company, the Trustee or the Liquidation Servicer or the
Successor Master Servicer, as applicable, in effecting the termination of the
responsibilities and rights of the Master Servicer and each Local Servicer to
conduct their duties hereunder, including the transfer to the Liquidation
Servicer or the Successor Master Servicer, as applicable, of all authority of
the Master Servicer and each Local Servicer to service the Receivables,
provided for under the Pooling and Servicing Agreements (including all
authority over all Collections that shall on the date of transfer be held by
the Master Servicer for deposit, or that have been deposited by the Master Servicer,
in any Collection Account, Master Collection Account or Company Concentration
Account or that shall thereafter be received with respect to the Receivables),
and in assisting the Liquidation Servicer or the Successor Master Servicer, as
the case may be. Upon a Service Transfer, the terminated Master Servicer and
each Local Servicer shall promptly (x) assemble all of its documents,
instruments and other records (including credit files, licenses (to the extent
transferable), rights, copies of all relevant computer programs and any
necessary licenses (to the extent transferable) for the use thereof, related
material, computer tapes, disks, cassettes and data) that (i) evidence or
record Receivables and (ii) are otherwise necessary to enable the Liquidation
Servicer or the Successor Master Servicer, as the case may be, to coordinate
servicing of all such Receivables and to prepare and deliver Daily Reports and
Monthly Settlement Reports, (iii) are otherwise necessary to immediately enable
the Liquidation Servicer or the Successor Master Servicer, as the case may be,
to effect the Collection of such Receivables, with or without the participation
of an Originator or the Master Servicer and (y) deliver to the extent permitted
by law or license (to the extent transferable) the use of all of the foregoing
documents, instruments and other records to such Liquidation Servicer or the
Successor Master Servicer, as the case may be, at a place designated by the Liquidation
Servicer or the Successor Master Servicer, as the case may be; provided, however, that
the Master Servicer shall not be required, to the extent it has an ownership
interest in any electronic records, computer software or licenses, to transfer,
assign, set-over or otherwise convey such ownership interests to the Liquidation
Servicer or the Successor Master Servicer, as the case may be. In recognition
of the terminated Master Servicer’s need to have access to any such documents,
instruments and other records that may be transferred to the Liquidation Servicer
or the Successor Master Servicer, as the case may be, hereunder, whether as a
result of its continuing responsibility as a servicer of accounts receivable
that are not the subject of the Participation or otherwise, the Liquidation
Servicer or the Successor Master Servicer, as the case may be, shall provide to
such terminated Master Servicer reasonable access to such documents,
instruments and other records transferred by such terminated Master Servicer to
it in connection with any activity arising in the ordinary course of the
terminated Master Servicer’s business; provided that
the terminated Master Servicer shall not disrupt or otherwise interfere with
the Liquidation Servicer’s or the Successor Master Servicer’s, as the case may
be, use of and access to such documents, instruments and other records. To the
extent that compliance with this Section 6.01
shall require the terminated Master Servicer to disclose to such Successor
Master Servicer information of any kind that the terminated Master Servicer
reasonably deems to be confidential, the Liquidation Servicer or the Successor
Master Servicer, as the case may be, shall be required to enter into such
customary licensing and confidentiality agreements as the terminated Master
Servicer shall reasonably deem necessary to protect its interests. All costs
and expenses incurred by the terminated Master Servicer and the Trustee in
connection with any Service Transfer shall be for the account of the terminated
Master Servicer and to the

 

30

 

extent any costs or expenses incurred by
the Trustee are not so paid, the Trustee shall be entitled to be paid such
items from amounts that would otherwise be distributable to the Company under
Article III of the Pooling Agreement.

 

SECTION
6.02.                                                           Trustee To Act; Appointment of Successor.

 

(a)                                  Upon (i) in the case of a termination of the Master Servicer, the
receipt by the Master Servicer of a Termination Notice pursuant to Section 6.01 or (ii) in the case of a resignation of the
Master Servicer, notification by the Master Servicer to the Trustee, the
Company and each Funding Agent in writing of its resignation pursuant to Section 5.03 (the “Resignation Notice”),
the Master Servicer shall continue to perform all servicing functions under the
Pooling and Servicing Agreements until (1) in the case of a termination of the
Master Servicer, the earlier of (A) the date on which the Liquidation Servicer is
appointed in accordance with Section 6.02(b) and
(B) the date occurring five (5) Business Days after delivery of the Termination
Notice by the Trustee to the Master Servicer or, (2) in the case of a
resignation of the Master Servicer, the earlier of (X) the date on which a
Successor Master Servicer accepts its appointment and (Y) 60 days after the
delivery of such Resignation Notice, as the case may be. In the case of a
resignation of the Master Servicer, upon the receipt by the Trustee of a
Resignation Notice, the Trustee shall endeavor to appoint an eligible Successor
Master Servicer subject to the consent of each Funding Agent (the “Successor Master Servicer”) and such Successor Master
Servicer shall accept its appointment by a written assumption in a form
acceptable to the Trustee.

 

(b)                                 In the case of a resignation of the Master Servicer, in the event
that a Successor Master Servicer has not been appointed or has not accepted its
appointment at the time when the Master Servicer ceases to act as Master
Servicer and in the case of the termination of the Master Servicer, the Trustee,
without further action, shall in each case notify the Liquidation Servicer (in
the case of a termination, concurrent with giving the Termination Notice) to
activate the commencement of servicing by the Liquidation Servicer and to
establish the Liquidation Servicer Commencement Date. The Liquidation Servicer’s
duties and services (both before and after the Liquidation Servicer
Commencement Date) shall be as provided in Schedule 4. Notwithstanding
any other provision to the contrary in this Agreement or any other Transaction
Document, the Liquidation Servicer’s obligations, responsibilities and
liability will be solely as specified and subject to the terms set out in Schedule 4.

 

(c)                                  Upon its appointment, the Successor Master Servicer shall be the
successor in all respects to the Master Servicer and each Local Servicer with
respect to servicing functions under the Pooling and Servicing Agreements (with
such changes as are agreed to between such Successor Master Servicer and the
Company (with the consent of the Funding Agent(s) representing Holders of more
than 50% of the Aggregate Invested Amount) or the Company and the Trustee) and
shall be subject to all the responsibilities, duties and liabilities relating
thereto placed on the Master Servicer by the terms and provisions hereof, and
all references in any Pooling or Servicing Agreement to the Master Servicer
shall be deemed to refer to such Successor Master Servicer. The Successor
Master Servicer shall not be liable for, and the replaced Master 

 

31

 

Servicer
shall indemnify the Successor Master Servicer against costs incurred by the
Successor Master Servicer as a result of, any acts or omissions of such
replaced Master Servicer or any events or occurrences occurring prior to the
Successor Master Servicer’s acceptance of its appointment as successor to the
Master Servicer. Any Successor Master Servicer shall manage the servicing and
administration of the Receivables in accordance with the Policies and the terms
of the Pooling and Servicing Agreements.

 

(d)                                 The Company and the Trustee hereby agree that the Successor Master
Servicer shall receive the Servicing Fee as its servicing compensation and that
the Trustee shall not be liable for any Servicing Fee differential arising as a
result of engaging a Successor Master Servicer.

 

SECTION
6.03.                                                           Waiver of Past Defaults.

 

Any continuing default by the Master
Servicer or the Company in the performance of its respective obligations
hereunder and its consequences may be waived with the consent of the Funding
Agent(s) representing Holders of more than 50% of the Aggregate Invested Amount,
except a default in the failure to make any required deposits or payments in
respect of any Series of Investor Certificates, which shall require a waiver by
Funding Agents of all of the affected Investor Certificates. Upon any such
waiver of a past default, such default shall cease to exist, and any default
arising therefrom shall be deemed to have been remedied for every purpose of
the Pooling and Servicing Agreements. No such waiver shall extend to any
subsequent or other default or impair any right consequent thereon except to
the extent expressly so waived.

 

ARTICLE VII

 

GUARANTY

 

SECTION
7.01.                                                           Guaranty.

 

In order to induce the Company and the
Trustee to execute and deliver this Agreement, and in consideration thereof,
the Servicer Guarantor hereby (i) unconditionally and irrevocably guarantees to
the Company and the Trustee the obligations of the Master Servicer and each
Local Servicer to perform all of the terms, conditions, covenants and
agreements to be made by the Master Servicer and each Local Servicer under this
Agreement, the Pooling Agreement or the Origination Agreements, (ii) agrees to
cause the Master Servicer and each Local Servicer to perform and observe duly
and punctually all of the foregoing, and (iii) agrees that, if for any reason
whatsoever the Master Servicer and each Local Servicer fails to so perform and
observe such terms, conditions, covenants and agreements, the Servicer
Guarantor will duly and punctually perform and observe the same (the
obligations referred to in clauses (i)
through (iii) above are collectively referred
to as the “Guaranteed Obligations”). The
liabilities and obligations of the Servicer Guarantor under the guaranty
contained in this Article VII
(this “Guaranty”) will be absolute and
unconditional under all circumstances. Notwithstanding anything to the contrary
contained herein, the Company and the Trustee acknowledge and agree that this
Guaranty shall be a guaranty of performance and not of payment.

 

32

 

SECTION
7.02.                                                           Scope of Guarantor’s Liability.

 

The Guaranteed Obligations are independent
of the obligations of the Master Servicer, any other guarantor or any other
Person, and the Company and the Trustee may enforce any of their rights
hereunder independently of any other right or remedy that the Company and the
Trustee may at any time hold with respect to the Guaranteed Obligations or any
security or other guaranty therefor. Without limiting the generality of the
foregoing, the Company and the Trustee may bring a separate action against the
Servicer Guarantor without first proceeding against the Master Servicer or any
Local Servicer, any other guarantor or any other Person, and regardless of
whether the Master Servicer or any other guarantor or any other Person is
joined in any such action. The Servicer Guarantor’s liability hereunder shall
at all times remain effective with respect to Guaranteed Obligations and the
obligations of the Master Servicer and each Local Servicer under the Pooling
Agreement, notwithstanding any limitations on the liability of any Master
Servicer or any Local Servicer to the Company and the Trustee contained in any
of the Transaction Documents or elsewhere. The Company and the Trustee’s rights
hereunder shall not be exhausted by any action taken by the Company and the
Trustee until all Guaranteed Obligations have been fully performed.

 

SECTION
7.03.                                                           The Company and the Trustee’s Right to Amend this Agreement.

 

The Servicer Guarantor authorizes the
Company, the Funding Agents and the Trustee, at any time and from time to time
without notice, without affecting the liability of the Servicer Guarantor
hereunder, to: (a) alter the terms of all or any part of the Guaranteed
Obligations; (b) waive, release, terminate, abandon, subordinate and enforce
all or any part of the Guaranteed Obligations and any security or guaranties
therefor, (c) release the Master Servicer, any guarantor or any other Person
from any personal liability with respect to all or any part of the Guaranteed
Obligations; and (d) assign its rights under this Guaranty in whole or in part.

 

SECTION
7.04.                                                           Waiver of Certain Rights by Guarantor.

 

The Servicer Guarantor hereby waives each
of the following to the fullest extent allowed by law:

 

(a)                                  any defense based upon:

 

(i)                                     any act or omission of the Company and the Trustee or any other
Person that directly or indirectly results in the discharge or release of any
of the Master Servicer or any other Person or any of the Guaranteed Obligations
or any security therefor; or

 

(ii)                                  any disability or any other defense of the Master Servicer with
respect to the Guaranteed Obligations, whether consensual or arising by
operation of law or any bankruptcy, insolvency or debtor-relief proceeding, or
from any other cause;

 

(b)                                 any right (whether now or hereafter existing) to require the Company
and the Trustee, as a condition to the enforcement of this Guaranty, to proceed
against the Master Servicer;

 

33

 

(c)                                  presentment, demand, protest and notice of any kind, including
notices of default and notice of acceptance of this Guaranty; and

 

(d)                                 all other rights and defenses the assertion or exercise of which
would in any way diminish the liability of the Servicer Guarantor hereunder in
respect of the Guaranteed Obligations.

 

SECTION
7.05.                                                           Master Servicer’s Obligations to Guarantor and Guarantor’s
Obligations to Master Servicer Subordinated.

 

Until all of the Guaranteed Obligations
have been performed, the Servicer Guarantor agrees that all existing and future
payment obligations (whether arising by subrogation or otherwise) of the Master
Servicer or Local Servicer to the Servicer Guarantor or the Servicer Guarantor
to the Master Servicer or Local Servicer shall be and hereby are expressly
subordinated to the full performance of the Guaranteed Obligations, on the
terms set forth in clauses (a)
through (d) below, and the performance or
payment of any such obligation of the Master Servicer or any Local Servicer to
the Servicer Guarantor is expressly deferred in right to the full performance
of the Guaranteed Obligations.

 

(a)                                  The Servicer Guarantor authorizes and directs the Master Servicer
and each Local Servicer and each of the Company and the Trustee authorizes and
directs the Servicer Guarantor to take such action as may be necessary or
appropriate to effectuate and maintain the subordination provided herein.

 

(b)                                 No right of any holder of the Guaranteed Obligations to enforce the
subordination herein shall at any time or in any way be prejudiced or impaired
by any act or failure to act on the part of the Servicer Guarantor, the Company
and the Trustee or any other Person or by any non-compliance by the Servicer
Guarantor, the Trustee, the Company and the Trustee or any other Person with
the terms, provisions and covenants hereof or of the Transaction Documents
regardless of any knowledge thereof that any such holder of the Guaranteed
Obligations may have or be otherwise charged with.

 

(c)                                  Nothing express or implied herein shall give any Person other than
the Master Servicer, the Company, the Trustee, and the Servicer Guarantor any
benefit or any legal or equitable right, remedy or claim hereunder.

 

(d)                                 If the Servicer Guarantor shall institute or participate in any
suit, action or proceeding against the Company or the Trustee or the Company or
the Trustee shall institute or participate in any suit, action or proceeding
against the Servicer Guarantor, in violation of the terms hereof, the Company
or the Trustee or the Servicer Guarantor, as the case may be may interpose as a
defense or dilatory plea this subordination, either the Company or the Trustee
are irrevocably authorized to intervene and to interpose such defense or plea
in their name or in the name of the Company or the Trustee, or the Servicer
Guarantor, as the case may be.

 

SECTION
7.06.                                                           Guarantor to Pay the Company and the Trustee’s Expenses.

 

The Servicer Guarantor agrees to pay to the
Company and the Trustee, on demand, all reasonable costs and expenses,
including reasonable attorneys’ fees, incurred by the Company

 

34

 

and the Trustee in exercising any right,
power or remedy conferred by this Guaranty, or in the enforcement of this
Guaranty, whether or not any action is filed in connection therewith. Until
paid to the Company and the Trustee, such amounts shall bear interest,
commencing with the Company and the Trustee’s demand therefor, for each Settlement
Period during the period from the date of such demand until paid, at a rate
equal to One-Month LIBOR plus 1.00% (calculated on the basis of a 360-day
year).

 

SECTION
7.07.                                                           Reinstatement.

 

This Guaranty shall continue to be
effective or be reinstated, as the case may be, and the rights of the Company
and the Trustee shall continue, if at any time performance of the General
Obligations is discontinued by the Servicer Guarantor upon an event of
bankruptcy, dissolution, liquidation or reorganization of the Company, the
Trustee, the Servicer Guarantor, any other guarantor or any other Person or
upon or as a result of the appointment of a receiver, intervener or conservator
of, or trustee or similar officer for the foregoing, or any substantial part of
their respective property, or they become otherwise insolvent.

 

ARTICLE VIII

 

MISCELLANEOUS
PROVISIONS

 

SECTION
8.01.                                                           Amendment.

 

This Agreement may only be amended,
supplemented or otherwise modified from time to time if such amendment,
supplement or modification is effected in accordance with the provisions of Section 10.01 of the Pooling Agreement and any applicable
provision of a Supplement with respect to a Series.

 

SECTION
8.02.                                                           Termination.

 

(a)                                  The respective obligations and responsibilities of the parties
hereto shall terminate on the Trust Termination Date (unless such obligations
or responsibilities are expressly stated to survive the termination of this
Agreement).

 

(b)                                 All authority and power granted to the Master Servicer under any
Pooling or Servicing Agreement shall automatically cease and terminate on the
Trust Termination Date, and shall pass to and be vested in the Company and the
Company is hereby authorized and empowered to execute and deliver, on behalf of
the Master Servicer as attorney-in-fact or otherwise, all documents and other
instruments, and to do and accomplish all other acts or things necessary or
appropriate to effect the purposes of such transfer of rights from and after
the Trust Termination Date. The Master Servicer shall cooperate with the
Company in effecting the termination of its responsibilities and rights to
conduct servicing of the Receivables on their respective behalf. The Master
Servicer shall transfer all of its records relating to the Receivables to the
Company in such form as the Company may reasonably request and shall transfer
all other records, correspondence and documents to the Company in the manner
and at such times as the Company will reasonably request. To the extent that
compliance with this Section 8.02(b)
shall require the Master Servicer to disclose to the Company information of any
kind that the Master 

 

35

 

Servicer
deems to be confidential, the Company will be required to enter into such
customary licensing and confidentiality agreements as the Master Servicer shall
reasonably deem necessary to protect its interests.

 

SECTION
8.03.                                                           Governing Law.

 

THIS AGREEMENT SHALL BE GOVERNED BY, AND
CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK WITHOUT
REFERENCE TO ANY CONFLICTS OF LAWS PRINCIPLES (OTHER THAN SECTION 5-1401 OF THE
NEW YORK GENERAL OBLIGATIONS LAW).

 

SECTION
8.04.                                                           WAIVER OF TRIAL BY JURY AND SUBMISSION TO JURISDICTION.

 

(a)                                  THE PARTIES HERETO EACH WAIVE THEIR RESPECTIVE
RIGHTS TO A TRIAL BY JURY OF ANY CLAIM OR CAUSE OF ACTION BASED UPON OR ARISING
OUT OF OR RELATED TO THIS AGREEMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY, IN
ANY ACTION, PROCEEDING OR OTHER LITIGATION OF ANY TYPE BROUGHT BY ANY PARTY
AGAINST THE OTHER PARTY, WHETHER WITH RESPECT TO CONTRACT CLAIMS, TORT CLAIMS
OR OTHERWISE. THE PARTIES HERETO EACH AGREE THAT ANY SUCH CLAIM OR CAUSE OF
ACTION SHALL BE TRIED BY A COURT TRIAL WITHOUT A JURY. WITHOUT LIMITING THE
FOREGOING, THE PARTIES FURTHER AGREE THAT THEIR RESPECTIVE RIGHT TO A TRIAL BY
JURY IS WAIVED BY OPERATION OF THIS SECTION AS TO ANY ACTION, COUNTERCLAIM OR
OTHER PROCEEDING WHICH SEEKS, IN WHOLE OR IN PART, TO CHALLENGE THE VALIDITY OR
ENFORCEABILITY OF THIS PLACEMENT AGREEMENT OR ANY PROVISION HEREOF. THIS WAIVER
SHALL APPLY TO ANY SUBSEQUENT AMENDMENTS, RENEWALS, SUPPLEMENTS OR
MODIFICATIONS TO THIS AGREEMENT.

 

(b)                                 ANY LEGAL ACTION OR PROCEEDING WITH RESPECT TO THIS AGREEMENT MAY BE
BROUGHT IN THE COURTS OF THE STATE OF NEW YORK OR OF THE UNITED STATES FOR THE
SOUTHERN DISTRICT OF NEW YORK, AND BY EXECUTION AND DELIVERY OF THIS AGREEMENT,
EACH OF THE PARTIES HERETO CONSENTS, FOR ITSELF AND IN RESPECT OF ITS PROPERTY,
TO THE NON-EXCLUSIVE JURISDICTION OF THOSE COURTS. EACH OF THE PARTIES HERETO
IRREVOCABLY WAIVES ANY OBJECTION, INCLUDING ANY OBJECTION TO THE LAYING OF
VENUE OR BASED ON THE GROUNDS OF FORUM NON CONVENIENS,
OR ANY LEGAL PROCESS WITH RESPECT TO ITSELF OR ANY OF ITS PROPERTY, WHICH IT
MAY NOW OR HEREAFTER HAVE TO THE BRINGING OF ANY ACTION OR PROCEEDING IN SUCH
JURISDICTION IN RESPECT OF THIS AGREEMENT OR ANY DOCUMENT RELATED HERETO. EACH
OF THE PARTIES HERETO WAIVES PERSONAL SERVICE OF ANY SUMMONS, COMPLAINT OR

 

36

 

OTHER
PROCESS, WHICH MAY BE MADE BY ANY OTHER MEANS PERMITTED BY NEW YORK LAW.

 

(c)                                  THE PROVISIONS OF THIS SECTION 8.04
SHALL SURVIVE THE TERMINATION OF THIS AGREEMENT, IN WHOLE OR IN PART, AND THE
ISSUANCE, PAYMENT AND DELIVERY OF THE CERTIFICATES.

 

SECTION
8.05.                                                           Notices.

 

All notices, requests and demands to or
upon the respective parties hereto to be effective shall be in writing
(including by telecopy), and, unless otherwise expressly provided herein, shall
be deemed to have been duly given or made when delivered by hand, or three days
after being deposited in the mail, postage prepaid, or, in the case of telecopy
notice, when received, addressed as set forth in Section
10.05 of the Pooling Agreement or the Applicable Notice Provision of
the related Origination Agreement, or to such other address as may be hereafter
notified by the respective parties hereto.

 

SECTION
8.06.                                                           Counterparts.

 

This Agreement may be executed in two or
more counterparts (and by different parties on separate counterparts), each of
which shall be an original, but all of which together shall constitute one and
the same instrument. Delivery of an executed counterpart of a signature page to
this Agreement by facsimile transmission shall be effective as delivery of a
manually executed counterpart of this Agreement.

 

SECTION
8.07.                                                           Third-Party Beneficiaries.

 

This Agreement shall inure to the benefit
of and be binding upon the parties hereto and the Investor Certificateholders
and their respective successors and permitted assigns. Except as provided in
this Article VIII, no other person shall
have any right or obligation hereunder.

 

SECTION
8.08.                                                           Merger and Integration.

 

Except as specifically stated otherwise
herein, this Agreement sets forth the entire understanding of the parties
relating to the subject matter hereof, and all prior understandings, written or
oral, are superseded by this Agreement. This Agreement may not be modified,
amended, waived, or supplemented except as provided herein.

 

SECTION
8.09.                                                           Headings.

 

The headings herein are for purposes of
reference only and shall not otherwise affect the meaning or interpretation of
any provision hereof.

 

SECTION
8.10.                                                           No Set-Off.

 

Except as expressly provided in this
Agreement, each of the Master Servicer and the Servicer Guarantor agrees that
it shall have no right of set-off or banker’s lien against, and no right to
otherwise deduct from, any funds held in any Collection Account, Master
Collection Accounts or Company Concentration Accounts for any amount owed to it
by the Company, the Trust, the Trustee or any Holder.

 

37

 

SECTION
8.11.                                                           No Bankruptcy Petition.

 

(a)                                  The Servicer Guarantor hereby covenants and agrees that solely in
its capacity as a creditor of the Company it shall not institute against, or
join any other Person in instituting against the Company any involuntary
bankruptcy, reorganization, arrangement, insolvency or liquidation proceedings,
or other proceedings (including, but not limited to, petitioning for the
declaration of the Company’s assets en  désastre) under any Applicable Insolvency Laws.

 

(b)                                 The Master Servicer hereby covenants and agrees that solely in its
capacity as a creditor of the Company it shall not institute against, or join
any other Person in instituting against the Company any bankruptcy, reorganization,
arrangement, insolvency or liquidation proceedings, or other proceedings
(including, but not limited to, petitioning for the declaration of the Company’s
assets en  désastre) under
any Applicable Insolvency Laws.

 

(c)                                  Notwithstanding anything elsewhere herein, the sole remedy of the
Trust, the Trustee, the Holders, the Master Servicer and the Servicer Guarantor
or of any other Person in respect of any obligation, covenant, representation,
warranty or agreement of the Company under or related to this Agreement shall
be against the assets of the Company, subject to the payment priorities
contained in the Pooling Agreement and the related Supplement. Neither the
Trust, the Trustee, the Holders, the Master Servicer, the Servicer Guarantor,
nor any other Person shall have any claim against the Company to the extent
that such assets are insufficient to meet any such obligation, covenant,
representation, warranty or agreement (the difference being referred to herein
as “shortfall”) and all claims in respect
of the shortfall shall be extinguished.

 

SECTION
8.12.                                                           Responsible Officer Certificates; No Recourse.

 

Any certificate executed and delivered by a
Responsible Officer of the Master Servicer or the Servicer Guarantor, as the
case may be pursuant to the terms of the Transaction Documents shall be
executed by such Responsible Officer not in an individual capacity but solely
in his or her capacity as an officer of the Master Servicer or the Servicer
Guarantor, and such Responsible Officer will not be subject to personal
liability as to the matters contained in the certificate. A director, officer,
employee or shareholder, as such, of the Master Servicer, the Servicer
Guarantor or the Company shall not have liability for any obligation of the
Master Servicer, the Servicer Guarantor or the Company (as the case may be)
hereunder or under any Transaction Document or for any claim based on, in
respect of, or by reason of, any Transaction Document, unless such claim
results from the gross negligence, fraudulent acts or wilful misconduct of such
director, officer, employee or shareholder.

 

SECTION
8.13.                                                           Consequential Damages.

 

In no event shall the Master Servicer or the
Trustee be liable for special, indirect or consequential loss or damage of any
kind whatsoever (including, but not limited to, lost profits), even if it has
been advised of the likelihood of such loss or damage and regardless of the
form of action.

 

38

 

SECTION
8.14.                                                           Liquidation Servicer.

 

The Liquidation Servicer is a party to this
Agreement solely to receive the benefit of the warranties, covenants,
undertakings and indemnities expressed in its favor hereunder (as expressly
provided in Section 2.02, Section 2.05(b),
Article IV  Section 5.02
and Article VI) and shall assume no
obligation or incur any liability to any other party hereto except to the
Company (subject to the terms of the contract agreed between the Company and
the Liquidation Servicer) for the performance of its obligations in accordance
with Schedule 4.

 

SECTION
8.15.                                                           Effectiveness of this Agreement.

 

This Agreement shall come into effect only
upon the occurrence of the Series 2001-1 Redemption Date, at which time the
existing Amended and Restated Servicing Agreement dated October 21, 2002 will
be of no further force and effect except as to evidence the incurrence of
obligations thereunder.

 

39

 

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

 

HUNTSMAN
RECEIVABLES FINANCE LLC,

as Company

 

	
  By:

  	
  /s/ SEAN
  DOUGLAS

  	
   

  
	
   

  	
  Name: Sean Douglas

  
	
   

  	
  Title: Vice President and Treasurer

  
	
   

  
	
  HUNTSMAN EUROPE BVBA,

  
	
  as Master
  Servicer

  
	
   

  
	
  By:

  	
  /s/
  CHRISTOPHE STRUYVELT

  	
   

  
	
   

  	
  Name:
  Christophe Struyvelt

  	
   

  
	
   

  	
  Title:
  Manager

  	
   

  
	
   

  	
   

  	
   

  
	
  By:

  	
  /s/ FRANCIS
  DE CARRIÈRE

  	
   

  
	
   

  	
  Name:
  Francis De Carrière

  	
   

  
	
   

  	
  Title:
  Manager

  	
   

  
	
   

  	
   

  
	
   

  
	
  HUNTSMAN INTERNATIONAL LLC,

  
	
   

  
	
   

  
	
  By:

  	
  /s/ SEAN
  DOUGLAS

  	
   

  
	
   

  	
  Name: Sean Douglas

  
	
   

  	
  Title: Vice President and Treasurer

  
	
   

  
	
  TIOXIDE AMERICAS INC.,

  
	
   

  
	
   

  
	
  By:

  	
  /s/ L.
  RUSSELL HEALY

  	
   

  
	
   

  	
  Name: L.
  Russell Healy

  
	
   

  	
  Title: Vice President and Treasurer

  
	
   

  
	
  HUNTSMAN PROPYLENE OXIDE LTD.,

  
	
   

  
	
   

  
	
  By:

  	
  /s/ SEAN
  DOUGLAS

  	
   

  
	
   

  	
  Name: Sean Douglas

  
	
   

  	
  Title: Vice President

  
	
   

  
	
  HUNTSMAN INTERNATIONAL FUELS, L.P.,

  
	
   

  
	
   

  
	
  By:

  	
  /s/ SEAN
  DOUGLAS

  	
   

  
	
   

  	
  Name: Sean Douglas

  
	
   

  	
  Title: Vice President

  

 

40

 

	
  HUNTSMAN HOLLAND B.V.,

  
	
   

  
	
   

  
	
  By:

  	
  /s/ BEN DE
  JONG

  	
   

  
	
   

  	
  Name: Ben De
  Jong

  
	
   

  	
  Title:
  Attorney and Director

  
	
   

  
	
  TIOXIDE EUROPE LIMITED,

  
	
   

  
	
   

  
	
  By:

  	
  /s/ J. KIMO
  ESPLIN

  	
   

  
	
   

  	
  Name: J.
  Kimo Esplin

  
	
   

  	
  Title:
  Director

  
	
   

  
	
  HUNTSMAN PETROCHEMICALS (UK) LIMITED,

  
	
   

  
	
   

  
	
  By:

  	
  /s/ J. KIMO
  ESPLIN

  	
   

  
	
   

  	
  Name: J.
  Kimo Esplin

  
	
   

  	
  Title:
  Director

  
	
   

  
	
  TIOXIDE EUROPE SRL,

  
	
   

  
	
   

  
	
  By:

  	
  /s/ VALTER
  MUSSO

  	
   

  
	
   

  	
  Name: Valter
  Musso

  
	
   

  	
  Title:
  President of the Board of Directors

  
	
   

  
	
  HUNTSMAN SURFACE SCIENCES ITALIA SRL,

  
	
   

  
	
   

  
	
  By:

  	
  /s/ DANIELLE
  FERRARI

  	
   

  
	
   

  	
  Name:
  Danielle Ferrari

  
	
   

  	
  Title:
  Director

  
	
   

  
	
  HUNTSMAN PATRICA S.R.L.,

  
	
   

  
	
   

  
	
  By:

  	
  /s/ DANIELLE
  FERRARI

  	
   

  
	
   

  	
  Name:
  Danielle Ferrari

  
	
   

  	
  Title: Director

  
	
   

  
	
  TIOXIDE EUROPE S.L.,

  
	
   

  
	
   

  
	
  By:

  	
  /s/ NEIL
  JONATHAN GRAHAM

  	
   

  
	
   

  	
  Name: Neil
  Jonathan Graham

  
	
   

  	
  Title:
  Managing Director

  

 

41

 

	
  HUNTSMAN PERFORMANCE PRODUCTS SPAIN, S.L.,

  
	
   

  
	
   

  
	
  By:

  	
  /s/ DANIELLE
  FERRARI

  	
   

  
	
   

  	
  Name: Danielle
  Ferrari

  
	
   

  	
  Title:
  Director

  
	
   

  
	
  TIOXIDE EUROPE SAS,

  
	
   

  
	
   

  
	
  By:

  	
  /s/
  DOMINIQUE VANNESTE

  	
   

  
	
   

  	
  Name:
  Dominique Vanneste

  
	
   

  	
  Title:
  President

  
	
   

  
	
  HUNTSMAN SURFACE SCIENCES (FRANCE),

  
	
   

  
	
   

  
	
  By:

  	
  /s/ JOHN
  SMYTH

  	
   

  
	
   

  	
  Name: /s/
  John Smyth

  
	
   

  	
  Title:
  President

  
	
   

  
	
  HUNTSMAN SURFACE SCIENCES UK LIMITED,

  
	
   

  
	
   

  
	
  By:

  	
  /s/ MICHAEL
  CARTER

  	
   

  
	
   

  	
  Name: Michael Carter

  
	
   

  	
  Title: Director

  
	
   

  
	
  HUNTSMAN ETHYLENEAMINES LTD.,

  
	
   

  
	
  By:

  	
  /s/ SEAN
  DOUGLAS

  	
   

  
	
   

  	
  Name: Sean Douglas

  
	
   

  	
  Title: Vice President

  
	
   

  
	
  HUNTSMAN PETROCHEMICAL CORPORATION,

  
	
   

  
	
   

  
	
  By:

  	
  /s/ SEAN
  DOUGLAS

  	
   

  
	
   

  	
  Name: Sean Douglas

  
	
   

  	
  Title: Vice President and Treasurer

  

 

42

 

	
  HUNTSMAN POLYMERS CORPORATION,

  
	
   

  
	
   

  
	
  By:

  	
  /s/ SEAN
  DOUGLAS

  	
   

  
	
   

  	
  Name: Sean Douglas

  
	
   

  	
  Title: Vice President and Treasurer

  
	
   

  
	
  HUNTSMAN EXPANDABLE POLYMERS COMPANY, LC

  
	
   

  
	
  By: HUNTSMAN INTERNATIONAL CHEMICALS CORPORATION,

  
	
  its Manager

  
	
   

  
	
   

  
	
  By:

  	
  /s/ SEAN
  DOUGLAS

  	
   

  
	
   

  	
  Name: Sean Douglas

  
	
   

  	
  Title: Vice President 

  
	
   

  
	
  J.P. MORGAN BANK (IRELAND) plc,

  
	
  not in its
  individual capacity but solely as Trustee

  
	
   

  
	
  By:

  	
  /s/
  [ILLEGIBLE]

  	
   

  
	
   

  	
  Name:

  
	
   

  	
  Title:

  
	
   

  
	
  HUNTSMAN INTERNATIONAL LLC,

  
	
  as Servicer
  Guarantor

  
	
   

  
	
  By:

  	
  /s/ SEAN
  DOUGLAS

  	
   

  
	
   

  	
  Name: Sean Douglas

  
	
   

  	
  Title: Vice President and Treasurer

  
	
   

  
	
  PRICEWATERHOUSECOOPERS LLP,

  
	
  as
  Liquidation Servicer

  
	
   

  
	
  By:

  	
  /s/
  [ILLEGIBLE]

  	
   

  
	
   

  	
  Name:

  
	
   

  	
  Title:

  

 

43

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