Document:

EXHIBIT 4.1

 

WORLD
FINANCIAL NETWORK CREDIT CARD MASTER NOTE TRUST

 

Issuer

 

And

 

BNY MIDWEST
TRUST COMPANY

 

Indenture Trustee

 

 

Series
2003-A INDENTURE SUPPLEMENT

 

Dated as of June 19, 2003

 

 

TABLE OF CONTENTS

 

	
  ARTICLE I.

  	
  Creation of the
  Series 2003-A Notes

  
	
   

  
	
   

  	
  Section 1.1

  	
  Designation

  
	
   

  
	
  ARTICLE
  II.

  	
  Definitions

  
	
   

  
	
   

  	
  Section 2.1

  	
   

  	
  Definitions

  
	
   

  
	
  ARTICLE
  III.

  	
  Noteholder
  Servicing Fee; Additional Representations and Warranties

  
	
   

  
	
   

  	
  Section 3.1

  	
  Servicing
  Compensation

  
	
   

  
	
   

  	
  Section 3.2

  	
  Representations
  and Warranties

  
	
   

  
	
  ARTICLE IV.

  	
  Rights
  of Series 2003-A Noteholders and Allocation and Application of Collections

  
	
   

  
	
   

  	
  Section 4.1

  	
  Collections
  and Allocations

  
	
   

  
	
   

  	
  Section
  4.2

  	
  Determination
  of Monthly Interest

  
	
   

  
	
   

  	
  Section
  4.3

  	
  Determination
  of Monthly Principal

  
	
   

  
	
   

  	
  Section
  4.4

  	
  Application
  of Available Finance Charge Collections and Available Principal Collections

  
	
   

  
	
   

  	
  Section 4.5

  	
  Investor Charge-Offs

  
	
   

  
	
   

  	
  Section
  4.6

  	
  Reallocated
  Principal Collections

  
	
   

  
	
   

  	
  Section
  4.7

  	
  Excess
  Finance Charge Collections

  
	
   

  
	
   

  	
  Section 4.8

  	
  Shared
  Principal Collections

  
	
   

  
	
   

  	
  Section 4.9

  	
  Certain Series
  Accounts

  
	
   

  
	
   

  	
  Section 4.10

  	
  Reserve Account

  
	
   

  
	
   

  	
  Section 4.11

  	
  Cash Collateral
  Account

  
	
   

  
	
   

  	
  Section 4.12

  	
  Spread Account

  
	
   

  
	
   

  	
  Section 4.13

  	
  Investment
  Instructions

  
	
   

  
	
   

  	
  Section
  4.14

  	
  Controlled
  Accumulation Period

  
	
   

  
	
   

  	
  Section
  4.15

  	
  Suspension
  of Controlled Accumulation Period

  
	
   

  
	
   

  	
  Section 4.16

  	
  Determination of
  LIBOR

  
	
   

  
	
   

  	
  Section
  4.17

  	
  Class
  A-1 Swap and Class C-1 Swap

  
	
   

  
	
  ARTICLE V.

  	
  Delivery
  of Series 2003-A Notes; Distributions; Reports to Series 2003-A Noteholders

  
	
   

  
	
   

  	
  Section
  5.1

  	
  Delivery
  and Payment for the Series 2003-A Notes

  
	
   

  
	
   

  	
  Section 5.2

  	
  Distributions

  
	
   

  
	
   

  	
  Section
  5.3

  	
  Reports
  and Statements to Series 2003-A Noteholders

  

 

i

 

	
  ARTICLE VI.

  	
  Series 2003-A
  Early Amortization Events

  
	
   

  	 

	
   

  	
  Section
  6.1

  	
  Series
  2003-A Early Amortization Events

  
	
   

  
	
  ARTICLE
  VII.

  	
  Redemption
  of Series 2003-A Notes; Final Distributions; Series Termination

  
	
   

  
	
   

  	
  Section
  7.1

  	
  Optional
  Redemption of Series 2003-A Notes; Final Distributions

  
	
   

  
	
   

  	
  Section 7.2

  	
  Series Termination

  
	
   

  
	
  ARTICLE
  VIII.

  	
  Additional Issuance Date

  
	
   

  
	
   

  	
  Section 8.1

  	
  Additional
  Collateral Amounts

  
	
   

  
	
  ARTICLE IX.

  	
  Miscellaneous Provisions

  
	
   

  
	
   

  	
  Section
  9.1

  	
  Ratification
  of Indenture; Amendments

  
	
   

  
	
   

  	
  Section
  9.2

  	
  Form
  of Delivery of the Series 2003-A Notes

  
	
   

  
	
   

  	
  Section 9.3

  	
  Counterparts

  
	
   

  
	
   

  	
  Section 9.4

  	
  GOVERNING LAW

  
	
   

  
	
   

  	
  Section 9.5

  	
  Limitation of
  Liability

  
	
   

  
	
   

  	
  Section 9.6

  	
  Rights of
  the Indenture Trustee

  
	
   

  
	
   

  	
  Section 9.7

  	
  Additional Provisions

  
	
   

  
	
   

  	
  Section
  9.8

  	
  Additional
  Requirements for Registration of and Limitations on Transfer and Exchange of
  Notes

  
	
   

  
	
   

  	
  Section
  9.9

  	
  Provisions
  Applicable If No Additional Issuance Date

  
					

 

	
  EXHIBITS

  	
   

  
	
   

  	
   

  
	
  EXHIBIT A-1

  	
  FORM
  OF CLASS A-1 NOTE

  
	
   

  	
   

  
	
  EXHIBIT A-2

  	
  FORM
  OF CLASS C-1 NOTE

  
	
   

  	
   

  
	
  EXHIBIT B

  	
  FORM
  OF MONTHLY PAYMENT INSTRUCTIONS AND NOTIFICATION TO INDENTURE TRUSTEE

  
	
   

  	
   

  
	
  EXHIBIT C

  	
  FORM OF MONTHLY
  NOTEHOLDERS’ STATEMENT

  
	
   

  	
   

  
	
  EXHIBIT D

  	
  FORM OF MONTHLY
  SERVICER’S CERTIFICATE

  
	
   

  	
   

  
	
  EXHIBIT E-1

  	
  FORM OF CLASS A-1 SWAP

  
	
   

  	
   

  
	
  EXHIBIT E-2

  	
  FORM OF CLASS C-1 SWAP

  
	
   

  	
   

  
	
  EXHIBIT F

  	
  ALTERNATIVE PROVISIONS

  
	
   

  	
   

  
	
  SCHEDULE I

  	
  PERFECTION REPRESENTATIONS,
  WARRANTIES AND COVENANTS

  

 

ii

 

SERIES 2003-A INDENTURE
SUPPLEMENT, dated as of June 19, 2003 (the “Indenture Supplement”),
between WORLD FINANCIAL NETWORK CREDIT CARD MASTER NOTE TRUST, a statutory
trust organized and existing under the laws of the State of Delaware (herein,
the “Issuer” or the “Trust”), and BNY MIDWEST TRUST COMPANY, a
trust company organized and existing under the laws of the State of Illinois,
not in its individual capacity, but solely as indenture trustee (herein,
together with its successors in the trusts thereunder as provided in the Master
Indenture referred to below, the “Indenture Trustee”) under the Master
Indenture, dated as of August 1, 2001 (the “Indenture”), between the
Issuer and the Indenture Trustee (the Indenture, together with this Indenture
Supplement and any Issuance Supplement to this Indenture Supplement, the “Agreement”).

 

Pursuant to Section 2.11
of the Indenture, the Transferor may direct the Issuer to issue one or more
Series of Notes.  The Principal Terms of
this Series are set forth in this Indenture Supplement to the Indenture.

 

ARTICLE I.

 

Creation of the Series
2003-A Notes

 

Section
1.1                                      Designation.

 

(a)                                  There is hereby created and designated a
Series of Notes to be issued on the Closing Date and an Additional Issuance
Date pursuant to the Indenture, this Indenture Supplement and an Issuance
Supplement to this Indenture Supplement to be known as “World Financial
Network Credit Card Master Note Trust, Series 2003-A” or the “Series
2003-A Notes.”  The Series 2003-A
Notes shall be issued in up to three Classes, known generally as the “Class
A Series 2003-A Asset Backed Notes,” the “Class B Series 2003-A Asset
Backed Notes,” and the “Class C Series 2003-A Asset Backed Notes.”  The Class A-1 Notes shall be issued in up to
two subclasses designated as the Class A-1 Asset Backed Notes, Series 2003-A
(the “Class A-1 Notes”) and the Class A-2 Asset Backed Notes, Series
2003-A (the “Class A-2 Notes”). 
The Class C Notes shall be issued in up to two subclasses designated as
the Class C-1 Asset Backed Notes, Series 2003-A (the “Class C-1 Notes”)
and the Class C-2 Asset Backed Notes, Series 2003-A (the “Class C-2 Notes”).

 

(b)                                 The Class A-1 Notes and Class C-1 Notes shall
be issued on the Closing Date.  The
Class A-2 Notes, the Class B Notes and the Class C-2 Notes shall be issued on
an Additional Issuance Date pursuant to an Issuance Supplement, which shall
supplement the terms of the Indenture and this Indenture Supplement and shall
specify certain supplemental terms relating to the Class A-2 Notes, the Class B
Notes and the Class C-2 Notes.

 

(c)                                  Series 2003-A shall be included in Group One
and shall be a Principal Sharing Series. 
Series 2003-A shall be an Excess Allocation Series with respect to Group
One only.  Series 2003-A shall not be
subordinated to any other Series.

 

 

ARTICLE II.

 

Definitions

 

Section
2.1                                      Definitions.

 

(a)                                  Whenever used in this Indenture Supplement,
the following words and phrases shall have the following meanings, and the
definitions of such terms are applicable to the singular as well as the plural
forms of such terms and the masculine as well as the feminine and neuter
genders of such terms.

 

“Accumulation Shortfall”
means (a) for the first Distribution Date during the Controlled Accumulation
Period, zero; and (b) thereafter, for any Distribution Date during the
Controlled Accumulation Period, the excess, if any, of the Controlled Deposit
Amount for the previous Distribution Date over the amount deposited into the
Principal Accumulation Account pursuant to subsection 4.4(c)(i) for the
previous Distribution Date.

 

“Additional Cash
Collateral Deposit” will be defined in the Issuance Supplement.

 

“Additional Collateral
Amount” is defined in Section 8.1.

 

“Additional Interest”
means, for any Distribution Date, Class A Additional Interest, Class B
Additional Interest and Class C Additional Interest for such Distribution Date.

 

“Additional Issuance Date”
is defined in Section 8.1.

 

“Additional Minimum
Transferor Amount” means (a) as of any date of determination falling in
November, December and January of each calendar year, the product of (i) 2% and
(ii) the sum of (A) the Aggregate Principal Receivables and (B) if such date of
determination occurs prior to the Certificate Trust Termination Date, the
amount on deposit in the Excess Funding Account and (b) as of any date of
determination falling in any other month, zero; provided that the amount
specified in clause (a) shall be without duplication with the amount
specified as the “Additional Minimum Transferor Amount” in the supplements to
the Pooling and Servicing Agreement relating to the Series 1996-B Certificates
and Series 2003-VFC Certificates issued by the Certificate Trust (or in any
future supplement to the Pooling and Servicing Agreement that specifies such an
amount and indicates that such amount is without duplication of the amount
specified in clause (a)) and in the Indenture Supplements relating to
the Series 2001-A Notes, the Series 2002-A Notes and the Series 2002-VFN Notes
(or in any future Indenture Supplement that specifies such an amount and
indicates that such amount is without duplication of the amount specified in clause
(a)).  The Additional Minimum
Transferor Amount is specified pursuant to Section 9.7 of this Indenture
Supplement as an additional amount to be considered part of the Minimum
Transferor Amount.

 

“Additional Spread
Account Amount” means an amount equal to the Spread Account Deficiency
after giving effect to any increase of the Collateral Amount on the Additional
Issuance Date and any deposit to the Spread Account pursuant to Section 4.12(f)
on the Additional Issuance Date.

 

2

 

“Aggregate Investor
Default Amount” means, as to any Monthly Period, the sum of the Investor
Default Amounts in respect of such Monthly Period.

 

“Allocation Percentage”
means, with respect to any Monthly Period, the percentage equivalent of a
fraction:

 

(a)                                  the numerator of which shall be equal to:

 

(i)                                     for Principal Collections during the
Revolving Period and for Finance Charge Collections and Default Amounts at any
time, the Collateral Amount at the end of the last day of the prior Monthly
Period (or, in the case of the Monthly Period in which the Closing Date occurs,
on the Closing Date), less any
reductions to be made to the Collateral Amount on account of principal payments
or deposits to the Principal Accumulation Account to be made on the
Distribution Date falling in the Monthly Period for which the Allocation
Percentage is being calculated; or

 

(ii)                                  for Principal Collections during the Early
Amortization Period and the Controlled Accumulation Period, the Collateral
Amount at the end of the last day of the Revolving Period, provided,  however,  that the Transferor may, by written notice to the Indenture
Trustee, the Servicer and the Rating Agencies, reduce the numerator used for
purposes of allocating Principal Collections to Series 2003-A at any time if
(x) the Rating Agency Condition shall have been satisfied with respect to such
reduction and (y) the Transferor shall have delivered to the Indenture Trustee
an Officer’s Certificate to the effect, based on the facts known to such
officer at that time, in the reasonable belief of the Transferor, such
designation will not cause an Early Amortization Event or an event that, after
the giving of notice or the lapse of time, would cause an Early Amortization
Event to occur with respect to Series 2003-A, and

 

(b)                                 the denominator of which shall be the greater
of (x) the Aggregate Principal Receivables determined as of the close of
business on the last day of the prior Monthly Period and (y) the sum of the
numerators used to calculate the allocation percentages for allocations with
respect to Finance Charge Collections, Principal Collections or Default
Amounts, as applicable, for all outstanding Series and all outstanding Series
under (and as defined in) the Pooling and Servicing Agreement (other than any
Series represented by the Collateral Certificate) on such date of
determination;

 

provided, that if
one or more Reset Dates occur in a Monthly Period, the Allocation Percentage
for the portion of the Monthly Period falling on and after such Reset Date and
prior to any subsequent Reset Date will be recalculated for such period as of
the close of business on the subject Reset Date.

 

“Available Cash
Collateral Amount” means with respect to any Transfer Date, an amount equal
to the lesser of (a) the amount on deposit in the Cash Collateral Account
(before giving effect to any deposit to, or withdrawal from, the Cash Collateral
Account made or to be made with respect to such date) and (b) the Required Cash
Collateral Amount for such Transfer Date.

 

3

 

“Available Finance Charge
Collections” means, for any Monthly Period, an amount equal to the sum of
(a) the Investor Finance Charge Collections for such Monthly Period, plus (b) the Excess Finance Charge
Collections allocated to Series 2003-A for such Monthly Period, plus (c) Principal Accumulation Investment
Proceeds, if any, with respect to the related Transfer Date, plus (d) interest and earnings on funds on
deposit in the Reserve Account, Cash Collateral Account and Spread Account
which will be deposited into the Finance Charge Account on the related Transfer
Date to be treated as Available Finance Charge Collections pursuant to subsections
4.10(b), 4.11(b) and 4.12(b), respectively, plus (e) amounts, if any, to be withdrawn
from the Reserve Account which will be deposited into the Finance Charge
Account on the related Transfer Date to be treated as Available Finance Charge
Collections pursuant to subsection 4.10(d), plus (f) any Net Swap Receipts for the related Distribution
Date.

 

“Available Principal
Collections” means, for any Monthly Period, an amount equal to the sum of
(a) the Investor Principal Collections for such Monthly Period, minus (b) the amount of Reallocated
Principal Collections with respect to such Monthly Period which pursuant to Section
4.6 are required to be applied on the related Distribution Date, plus (c) any Shared Principal Collections
with respect to other Principal Sharing Series (including any amounts on
deposit in the Excess Funding Account that are allocated to Series 2003-A for
application as Shared Principal Collections), plus
(d) the aggregate amount to be treated as Available Principal Collections
pursuant to subsections 4.4(a)(v) and (vi) for the related
Distribution Date.

 

“Available Reserve
Account Amount” means, for any Transfer Date, the lesser of (a) the amount
on deposit in the Reserve Account (after taking into account any interest and
earnings retained in the Reserve Account pursuant to subsection 4.10(b)
on such date, but before giving effect to any deposit made or to be made
pursuant to subsection 4.4(a)(viii) to the Reserve Account on such date)
and (b) the Required Reserve Account Amount.

 

“Available Spread Account
Amount” means, for any Transfer Date, an amount equal to the lesser of (a)
the amount on deposit in the Spread Account (before giving effect to any
deposit to, or withdrawal from, the Spread Account made or to be made with
respect to such date) and (b) the Required Spread Account Amount, in each case
on such Transfer Date.

 

“Base Rate” means,
for any Monthly Period, the annualized percentage equivalent of a fraction, the
numerator of which is equal to the sum of (a) the Monthly Interest, (b) the Net
Swap Payments and (c) the Noteholder Servicing Fee, each with respect to the
related Distribution Date, and the denominator of which is the Collateral
Amount plus amounts on deposit in the Principal Accumulation Account, each as
of the close of business on the last day of such Monthly Period.

 

“Cash Collateral Account”
is defined in Section 4.11(a).

 

“Class A Additional
Interest” means, with respect to any Distribution Date, the sum of the
Class A-1 Additional Interest, plus the Class A-2 Additional Interest.

 

“Class A Counterparty”
means (i) the Class A-1 Counterparty or (ii) the Class A-2 Counterparty, as the
context requires.

 

4

 

“Class A Deficiency
Amount” means, with respect to any Distribution Date, the sum of the Class
A-1 Deficiency Amount, plus the Class A-2 Deficiency Amount.

 

 “Class A Monthly Interest” means, with respect to any
Distribution Date, the sum of the Class A-1 Monthly Interest, plus the Class
A-2 Monthly Interest.

 

“Class A Net Swap Payment”
means, with respect to any Distribution Date, the sum of any Class A-1 Net Swap
Payment, plus any Class A-2 Net Swap Payment.

 

“Class A Note Initial
Principal Balance” means the sum of the Class A-1 Note Initial Principal
Balance, plus the Class A-2 Note Initial Principal Balance.

 

“Class A Note Principal
Balance” means, on any date of determination, an amount equal to (a) the
Class A Note Initial Principal Balance, minus
(b) the aggregate amount of principal payments made to the Class A Noteholders
on or prior to such date.

 

“Class A Noteholder”
means the Person in whose name a Class A Note is registered in the Note
Register.

 

“Class A Notes” means
each of the Class A-1 Notes and the Class A-2 Notes.

 

“Class A Required Amount”
means, for any Distribution Date, an amount equal to the excess of the amounts
described in subsection 4.4(a)(i) over the sum of (a) Available Finance
Charge Collections applied to pay such amount pursuant to Section 4.4(a)
and (b) any amount withdrawn from the Cash Collateral Account and applied to
pay such amount pursuant to subsection 4.11(c).

 

 “Class A-1 Additional Interest” is defined in subsection
4.2(a).

 

“Class A-1 Counterparty”
means JPMorgan Chase Bank or the counterparty under any interest rate swap with
respect to the Class A-1 Notes obtained pursuant to Section 4.17.

 

“Class A-1 Deficiency
Amount” is defined in subsection 4.2(a).

 

“Class A-1 Monthly
Interest” is defined in subsection 4.2(a).

 

“Class A-1 Net Interest
Obligation” means, for any Distribution Date: (a) if there are Class A-1
Net Swap Payments due on that Distribution Date, the sum of the Class A-1 Net
Swap Payments and the Class A-1 Monthly Interest for that Distribution Date;
(b) if there are Class A-1 Net Swap Receipts due on that Distribution Date, the
result of the Class A-1 Monthly Interest for that Distribution Date, minus the Class A-1 Net Swap Receipts for
that Distribution Date; and (c) if the Class A-1 Swap has terminated for any
reason, the Class A-1 Monthly Interest for that Distribution Date.

 

“Class A-1 Net Swap
Payment” means, with respect to any Distribution Date, any net amount
payable by the Issuer under the Class A-1 Swap as a result of LIBOR being less
than the Class A-1 Swap Rate.  For the
avoidance of doubt, Class A-1 Net Swap Payments do not include early
termination payments or payment of breakage or other miscellaneous costs.

 

5

 

“Class A-1 Net Swap
Receipt” means, with respect to any Distribution Date, any net amount
payable by the Class A-1 Counterparty as a result of LIBOR being greater than
the Class A-1 Swap Rate.  For the
avoidance of doubt, Class A-1 Net Swap Receipts do not include early
termination payments.

 

“Class A-1 Note Initial
Principal Balance” means $100,000,000.

 

“Class A-1 Note Interest
Rate” means a per annum rate of 0.42% in excess of LIBOR as determined on
the LIBOR Determination Date for the applicable Distribution Period.

 

“Class A-1 Note Principal
Balance” means, on any date of determination, an amount equal to (a) the
Class A-1 Note Initial Principal Balance, minus
(b) the aggregate amount of principal payments made to the Class A-1
Noteholders on or prior to such date.

 

“Class A-1 Note Purchase
Agreement” means the Note Purchase Agreement, dated as of June 19, 2003
among WFN, the Transferor and the initial purchaser of the Class A-1 Notes.

 

“Class A-1 Noteholder”
means the Person in whose name a Class A-1 Note is registered in the Note
Register.

 

“Class A-1 Notes”
means any one of the Notes executed by the Issuer and authenticated by or on
behalf of the Indenture Trustee, substantially in the form of Exhibit A-1.

 

“Class A-1 Swap”
means an interest rate swap agreement with respect to the Class A-1 Notes
between the Issuer and the Class A-1 Counterparty substantially in the form of Exhibit
E-1 to this Indenture Supplement, or such other form as shall have
satisfied the Rating Agency Condition.

 

“Class A-1 Swap Rate”
means, with respect to any Distribution Date, the fixed rate per annum
indicated on Schedule I to the ISDA confirmation for the Class A-1 Swap for the
period end date falling on such Distribution Date.

 

“Class A-2 Additional
Interest” is defined in subsection 4.2(b).

 

“Class A-2 Counterparty”
will, if the Issuer enters into a Class A-2 Swap in connection with the
issuance of the Class A-2 Notes, be defined in the Issuance Supplement.

 

“Class A-2 Deficiency
Amount” is defined in subsection 4.2(b).

 

“Class A-2 Monthly
Interest” is defined in subsection 4.2(b).

 

“Class A-2 Net Interest
Obligation” means, for any Distribution Date: (a) if there are Class A-2
Net Swap Payments due on that Distribution Date, the sum of the Class A-2 Net
Swap Payments and the Class A-2 Monthly Interest for that Distribution Date;
(b) if there are Class A-2 Net Swap Receipts due on that Distribution Date, the
result of the Class A-2 Monthly Interest for that Distribution Date, minus the Class A-2 Net Swap Receipts for
that Distribution Date; and (c) if the Issuer does not enter into a Class A-2
Swap in connection with the issuance of the Class A-2 Notes

 

6

 

or if the Class A-2 Swap has terminated for
any reason, the Class A-2 Monthly Interest for that Distribution Date.

 

“Class A-2 Net Swap
Payment” means, with respect to any Distribution Date, any net amount
payable by the Issuer under the Class A-2 Swap (if any) as a result of LIBOR
being less than the Class A-2 Swap Rate. 
For the avoidance of doubt, Class A-2 Net Swap Payments do not include
early termination payments or payment of breakage or other miscellaneous costs.

 

“Class A-2 Net Swap
Receipt” means, with respect to any Distribution Date, any net amount
payable by the Class A-2 Counterparty under the Class A-2 Swap (if any) as a
result of LIBOR being greater than the Class A-2 Swap Rate.  For the avoidance of doubt, Class A-2 Net
Swap Receipts do not include early termination payments.

 

“Class A-2 Note Initial
Principal Balance” means the aggregate initial principal amount of the
Class A-2 Notes, which will be specified in the Issuance Supplement.

 

“Class A-2 Note Interest
Rate” will be defined in the Issuance Supplement; provided that the
Class A-2 Note Interest Rate shall not exceed the rate specified as the maximum
Class A-2 Note Interest Rate in the letter agreement signed by the Transferor
and delivered to the Rating Agencies on the Closing Date.

 

“Class A-2 Note Principal
Balance” means, on any date of determination, an amount equal to (a) the
Class A-2 Note Initial Principal Balance, minus
(b) the aggregate amount of principal payments made to the Class A-2
Noteholders on or prior to such date.

 

“Class A-2 Noteholder”
means the Person in whose name a Class A-2 Note is registered in the Note
Register.

 

“Class A-2 Notes”
means any one of the Notes executed by the Issuer and authenticated by or on
behalf of the Indenture Trustee, as part of Series 2003-A that are designated
as Class A-2 Notes in the Issuance Supplement.

 

“Class A-2 Swap”
means any interest rate swap agreement entered into with respect to the Class
A-2 Notes between the Issuer and the Class A-2 Counterparty designated in the
Issuance Supplement.

 

“Class A-2 Swap Rate”
will, if the Issuer enters into a Class A-2 Swap in connection with the issuance
of the Class A-2 Notes, be defined in the Issuance Supplement.

 

“Class A/B Expected
Principal Payment Date” means the May 2008 Distribution Date.

 

“Class B Additional
Interest” is defined in subsection 4.2(c).

 

“Class B Counterparty”
will, if the Issuer enters into a Class B Swap in connection with the issuance
of the Class B Notes, be defined in the Issuance Supplement.

 

“Class B Deficiency
Amount” is defined in subsection 4.2(c).

 

7

 

“Class B Monthly Interest”
is defined in subsection 4.2(c).

 

“Class B Net Interest
Obligation” means, for any Distribution Date: (a) if there are Class B Net
Swap Payments due on that Distribution Date, the sum of the Class B Net Swap
Payments and the Class B Monthly Interest for that Distribution Date; (b) if
there are Class B Net Swap Receipts due on that Distribution Date, the result
of the Class B Monthly Interest for that Distribution Date, minus the Class B Net Swap Receipts for
that Distribution Date; and (c) if the Issuer does not enter into a Class B
Swap in connection with the issuance of the Class B Notes or if the Class B
Swap has terminated for any reason, the Class B Monthly Interest for that
Distribution Date.

 

“Class B Net Swap Payment”
means, with respect to any Distribution Date, any net amount payable by the
Issuer under the Class B Swap (if any) as a result of LIBOR being less than the
Class B Swap Rate.  For the avoidance of
doubt, Class B Net Swap Payments do not include early termination payments or
payment of breakage or other miscellaneous costs.

 

“Class B Net Swap Receipt”
means, with respect to any Distribution Date, any net amount payable by the
Class B Counterparty under the Class B Swap (if any) as a result of LIBOR being
greater than the Class B Swap Rate.  For
the avoidance of doubt, Class B Net Swap Receipts do not include early
termination payments.

 

“Class B Note Initial
Principal Balance” means the aggregate initial principal amount of the
Class B Notes, which will be specified in the Issuance Supplement.

 

“Class B Note Interest
Rate” will be defined in the Issuance Supplement; provided that the
Class B Note Interest Rate shall not exceed the rate specified as the maximum
Class B Note Interest Rate in the letter agreement signed by the Transferor and
delivered to the Rating Agencies on the Closing Date.

 

“Class B Note Principal
Balance” means, on any date of determination, an amount equal to (a) the
Class B Note Initial Principal Balance, minus
(b) the aggregate amount of principal payments made to the Class B Noteholders
on or prior to such date.

 

“Class B Noteholder”
means the Person in whose name a Class B Note is registered in the Note
Register.

 

“Class B Notes” means
any one of the Notes executed by the Issuer and authenticated by or on behalf
of the Indenture Trustee, as part of Series 2003-A that are designated as Class
B Notes in the Issuance Supplement.

 

“Class B Required Amount”
means, for any Distribution Date, an amount equal to the excess of the amount
described in subsection 4.4(a)(ii) over the sum of (a) Available Finance
Charge Collections applied to pay such amount pursuant to subsection 4.4(a)
and (b) any amount withdrawn from the Cash Collateral Account and applied to
pay such amount pursuant to subsection 4.11(c).

 

8

 

“Class B Swap” means
any interest rate swap agreement entered into with respect to the Class B Notes
between the Issuer and the Class B Counterparty designated in the Issuance
Supplement.

 

“Class B Swap Rate”
will, if the Issuer enters into a Class B Swap in connection with the issuance
of the Class B Notes, be defined in the Issuance Supplement.

 

“Class C Additional
Interest” means, with respect to any Distribution Date, the sum of the
Class C-1 Additional Interest, plus the Class C-2 Additional Interest.

 

“Class C Counterparty”
means (i) the Class C-1 Counterparty or (ii) the Class C-2 Counterparty, as the
context requires.

 

“Class C Deficiency
Amount” means, with respect to any Distribution Date, the sum of the Class
C-1 Deficiency Amount, plus the Class C-2 Deficiency Amount.

 

“Class C Expected
Principal Payment Date” means the June 2008 Distribution Date.

 

“Class C Monthly Interest”
means, with respect to any Distribution Date, the sum of the Class C-1 Monthly
Interest, plus the Class C-2 Monthly Interest.

 

“Class C Net Swap Payment”
means, with respect to any Distribution Date, the sum of any Class C-1 Net Swap
Payment, plus any Class C-2 Net Swap Payment.

 

“Class C Note Initial
Principal Balance” means the sum of the Class C-1 Note Initial Principal
Balance, plus the Class C-2 Note Initial Principal Balance.

 

“Class C Note Principal
Balance” means, on any date of determination, an amount equal to (a) the
Class C Note Initial Principal Balance, minus
(b) the aggregate amount of principal payments made to the Class C Noteholders
on or prior to such date.

 

“Class C Noteholder”
means the Person in whose name a Class C Note is registered in the Note
Register.

 

“Class C Notes” means
each of the Class C-1 Notes and the Class C-2 Notes.

 

“Class C Swap Required
Amount” means, for any Distribution Date, an amount equal to the excess of
the Class C Net Swap Payment for such Distribution Date over the sum of (a)
Available Finance Charge Collections applied to pay such Class C Net Swap
Payment pursuant to subsections 4.4(a)(iv)(C) and (D), (b) any
amount withdrawn from the Cash Collateral Account and applied to pay such Class
C Net Swap Payment pursuant to subsection 4.11(c) and (c) any amount
withdrawn from the Spread Account and applied to pay such Class C Net Swap
Payment pursuant to subsection 4.12(c).

 

“Class C-1 Additional
Interest” is defined in subsection 4.2(d).

 

“Class C-1 Counterparty”
means JPMorgan Chase Bank or the counterparty under any interest rate swap with
respect to the Class C-1 Notes obtained pursuant to Section 4.17.

 

9

 

“Class C-1 Deficiency
Amount” is defined in subsection 4.2(d).

 

“Class C-1 Monthly
Interest” is defined in subsection 4.2(d).

 

“Class C-1 Net Interest
Obligation” means, for any Distribution Date: (a) if there are Class C-1
Net Swap Payments due on that Distribution Date, the sum of the Class C-1 Net
Swap Payments and the Class C-1 Monthly Interest for that Distribution Date;
(b) if there are Class C-1 Net Swap Receipts due on that Distribution Date, the
result of the Class C-1 Monthly Interest for that Distribution Date, minus the Class C-1 Net Swap Receipts for
that Distribution Date; and (c) if the Class C-1 Swap has terminated for any
reason, the Class C-1 Monthly Interest for that Distribution Date.

 

“Class C-1 Net Swap
Payment” means, with respect to any Distribution Date, any net amount
payable by the Issuer under the Class C-1 Swap as a result of LIBOR being less
than the Class C-1 Swap Rate.  For the
avoidance of doubt, Class C-1 Net Swap Payments do not include early
termination payments or payment of breakage or other miscellaneous costs.

 

“Class C-1 Net Swap
Receipt” means, with respect to any Distribution Date, any net amount
payable by the Class C-1 Counterparty as a result of LIBOR being greater than
the Class C-1 Swap Rate.  For the
avoidance of doubt, Class C-1 Net Swap Receipts do not include early
termination payments.

 

“Class C-1 Note Initial
Principal Balance” means $40,000,000.

 

“Class C-1 Note Interest
Rate” means a per annum rate of 2.95% in excess of LIBOR as determined on
the LIBOR Determination Date for the applicable Distribution Period.

 

“Class C-1 Note Principal
Balance” means, on any date of determination, an amount equal to (a) the
Class C-1 Note Initial Principal Balance, minus
(b) the aggregate amount of principal payments made to the Class C-1
Noteholders on or prior to such date.

 

“Class C-1 Note Purchase
Agreement” means the Note Purchase Agreement, dated as of June 19, 2003
among WFN, the Transferor and the initial purchaser of the Class C-1 Notes.

 

“Class C-1 Noteholder”
means the Person in whose name a Class C-1 Note is registered in the Note
Register.

 

“Class C-1 Notes”
means any one of the Notes executed by the Issuer and authenticated by or on
behalf of the Indenture Trustee, substantially in the form of Exhibit A.

 

“Class C-1 Swap”
means an interest rate swap agreement with respect to the Class C-1 Notes
between the Issuer and the Class C-1 Counterparty substantially in the form of Exhibit
E-2 to this Indenture Supplement, or such other form as shall have
satisfied the Rating Agency Condition.

 

“Class C-1 Swap Rate”
means, with respect to any Distribution Date, the fixed rate per annum
indicated on Schedule I to the ISDA confirmation for the Class C-1 Swap for the
period end date falling on such Distribution Date.

 

10

 

“Class C-2 Additional
Interest” is defined in subsection 4.2(e).

 

“Class C-2 Counterparty”
will, if the Issuer enters into a Class C-2 Swap in connection with the
issuance of the Class C-2 Notes, be defined in the Issuance Supplement.

 

“Class C-2 Deficiency
Amount” is defined in subsection 4.2(e).

 

“Class C-2 Monthly
Interest” is defined in subsection 4.2(e).

 

“Class C-2 Net Interest
Obligation” means, for any Distribution Date: (a) if there are Class C-2
Net Swap Payments due on that Distribution Date, the sum of the Class C-2 Net
Swap Payments and the Class C-2 Monthly Interest for that Distribution Date;
(b) if there are Class C-2 Net Swap Receipts due on that Distribution Date, the
result of the Class C-2 Monthly Interest for that Distribution Date, minus the Class C-2 Net Swap Receipts for
that Distribution Date; and (c) if the Issuer does not enter into a Class C-2
Swap in connection with the issuance of the Class C-2 Notes or if the Class C-2
Swap has terminated for any reason, the Class C-2 Monthly Interest for that
Distribution Date.

 

“Class C-2 Net Swap
Payment” means, with respect to any Distribution Date, any net amount
payable by the Issuer under the Class C-2 Swap (if any) as a result of LIBOR
being less than the Class C-2 Swap Rate. 
For the avoidance of doubt, Class C-2 Net Swap Payments do not include
early termination payments or payment of breakage or other miscellaneous costs.

 

“Class C-2 Net Swap
Receipt” means, with respect to any Distribution Date, any net amount
payable by the Class C-2 Counterparty under the Class A-2 Swap (if any) as a
result of LIBOR being greater than the Class C-2 Swap Rate.  For the avoidance of doubt, Class C-2 Net
Swap Receipts do not include early termination 
payments.

 

“Class C-2 Note Initial
Principal Balance” means the aggregate initial principal amount of the
Class C-2 Notes, which will be specified in the Issuance Supplement.

 

“Class C-2 Note Interest
Rate” will be defined in the Issuance Supplement; provided that the
Class C-2 Note Interest Rate shall not exceed the rate specified as the maximum
Class C-2 Note Interest Rate in the letter agreement signed by the Transferor
and delivered to the Rating Agencies on the Closing Date.

 

“Class C-2 Note Principal
Balance” means, on any date of determination, an amount equal to (a) the
Class C-2 Note Initial Principal Balance, minus
(b) the aggregate amount of principal payments made to the Class C-2
Noteholders on or prior to such date.

 

“Class C-2 Noteholder”
means the Person in whose name a Class C-2 Note is registered in the Note
Register.

 

“Class C-2 Notes”
means any one of the Notes executed by the Issuer and authenticated by or on
behalf of the Indenture Trustee, as part of Series 2003-A that are designated
as Class C-2 Notes in the Issuance Supplement.

 

11

 

“Class C-2 Swap”
means any interest rate swap agreement entered into with respect to the Class
C-2 Notes between the Issuer and the Class C-2 Counterparty designated in the
Issuance Supplement.

 

“Class C-2 Swap Rate”
will, if the Issuer enters into a Class C-2 Swap in connection with the
issuance of the Class C-2 Notes, be defined in the Issuance Supplement.

 

“Closing Date” means
June 19, 2003.

 

“Collateral Amount”
means, as of any date of determination, an amount equal to the result of (a)
the Initial Collateral Amount, minus
(b) the amount of principal previously paid to the Series 2003-A Noteholders
(other than any principal payments made from funds on deposit in the Spread
Account), minus (c) the balance
on deposit in the Principal Accumulation Account, minus (d) the excess, if any, of the aggregate amount of
Investor Charge-Offs and Reallocated Principal Collections over the reimbursements of such amounts
pursuant to subsection 4.4(a)(vi) prior to such date.

 

“Controlled Accumulation
Amount” means, (a) for any Transfer Date with respect to the Controlled Accumulation
Period occurring prior to the May 2008 Distribution Date, the quotient obtained
by dividing the sum of the Class A Note Initial Principal Balance plus the
Class B Note Initial Principal Balance, by 12 and (b) on the Transfer Date
immediately preceding the Class C Expected Principal Payment Date, the Class C
Note Principal Balance; provided, however,
that if the Controlled Accumulation Period Length is determined to be less than
12 months pursuant to Section 4.14 or 4.15, the amount described
in clause (a) of this definition shall be equal to (i) the sum of the
Class A Note Initial Principal Balance and the Class B Note Initial Principal
Balance divided by (ii) the
Controlled Accumulation Period Length; provided, further, that
the Controlled Accumulation Amount for any Distribution Date shall not exceed
the Note Principal Balance minus any amount already on deposit in the Principal
Accumulation Account on such Transfer Date.

 

“Controlled Accumulation
Period” means, unless an Early Amortization Event shall have occurred prior
thereto, the period commencing at the opening of business on May 1, 2007 or
such later date as is determined in accordance with Sections 4.14 and 4.15,
and ending on the first to occur of (a) the commencement of the Early Amortization
Period and (b) the Series Termination Date.

 

“Controlled Accumulation
Period Length” is defined in subsection 4.14.

 

“Controlled Deposit
Amount” means, for any Transfer Date with respect to the Controlled
Accumulation Period, an amount equal to the sum of the Controlled Accumulation
Amount for such Transfer Date and any existing Accumulation Shortfall.

 

“Counterparty” means
the Class A-1 Counterparty, the Class A-2 Counterparty, the Class B
Counterparty, the Class C-1 Counterparty or the Class C-2 Counterparty.

 

“Covered Amount”
means an amount, determined as of each Transfer Date for any Distribution
Period, equal to the sum of (a) the product of (i) the Class A Net Interest
Obligation times (ii) a fraction,
(A) the numerator of which is equal to the aggregate amount on deposit in

 

12

 

the Principal Accumulation Account, up to the
Class A Note Principal Balance as of the Record Date preceding such Transfer
Date, and (B) the denominator of which is equal to the Class A Note Principal
Balance as of the Record Date preceding such Transfer Date plus  (b)
the product of (i) the Class B Net Interest Obligation times (ii) a fraction (A) the numerator of
which is equal to the aggregate amount on deposit in the Principal Accumulation
Account in excess of the Class A Note Principal Balance as of the Record Date
preceding such Transfer Date, up to the Class B Note Principal Balance as of
the Record Date preceding such Transfer Date, and (B) the denominator of which is
equal to the Class B Note Principal Balance as of the Record Date preceding
such Transfer Date.

 

“Default Amount”
means, as to any Defaulted Account, the amount of Principal Receivables (other
than Ineligible Receivables, unless there is an Insolvency Event with respect
to WFN or the Transferor) in such Defaulted Account on the day it became a
Defaulted Account.

 

“Defaulted Account”
means an Account in which there are Defaulted Receivables.

 

“Designated Maturity”
means, for any LIBOR Determination Date, one month; provided that LIBOR
for the initial Distribution Period will be determined by straight-line
interpolation (based on the actual number of days in the initial Distribution
Period) between two rates determined in accordance with the definition of LIBOR,
one of which will be determined for a Designated Maturity of one month and the
other of which will be determined for a Designated Maturity of two months; provided
further that the Additional Issuance Supplement may specify a different
Designated Maturity for the purpose of determining LIBOR used in the
calculation of the Class A-2 Note Interest Rate, the Class B Note Interest Rate
or the Class C-2 Note Interest Rate, as applicable, for the Distribution Period
preceding the initial Distribution Date for the Class A-2 Notes, the Class B
Notes and the Class C-2 Notes.

 

“Dilution” means any
downward adjustment made by Servicer in the amount of any Receivable (a)
because of a rebate, refund or billing error to an accountholder, (b) because
such Receivable was created in respect of merchandise which was refused or
returned by an accountholder or because such Receivable is an Excess Fraud
Receivable or (c) for any other reason other than receiving Collections
therefor or charging off such amount as uncollectible.

 

“Distribution Account”
is defined in subsection 4.9(a).

 

“Distribution Date”
means August 15, 2003 and the 15th day of each calendar month
thereafter, or if such 15th day is not a Business Day, the next succeeding
Business Day; provided that the initial Distribution Date for the Class
A-2 Notes, the Class B Notes and the Class C-2 Notes shall be specified in the
Additional Issuance Supplement.

 

“Distribution Period”
means, for any Distribution Date, the period from and including the
Distribution Date immediately preceding such Distribution Date (or, (i) with
respect to the Class A-1 Notes and the Class C-1 Notes, in the case of the
first Distribution Date following the Closing Date, from and including the
Closing Date and (ii) with respect to the Class A-2 Notes, the Class B Notes
and the Class C-2 Notes, in the case of the initial Distribution Date for the
Class A-2 Notes, the Class B Notes and the Class C-2 Notes, from and including
the Additional Issuance Date) to but excluding such Distribution Date.

 

13

 

“Early Amortization
Period” means the period commencing on the date on which a Trust Early
Amortization Event or a Series 2003-A Early Amortization Event is deemed to
occur and ending on the Series Termination Date.

 

“Eligible Investments”
is defined in Annex A to the Indenture; provided that solely for purposes of
Section 4.12(b), references to the “highest investment category” of S&P
shall mean A-2 and of Moody’s shall mean P-2.

 

“Excess Spread Percentage”
means, for any Monthly Period, a percentage equal to the Portfolio Yield for
such Monthly Period, minus the
Base Rate for such Monthly Period.

 

“Finance Charge Account”
is defined in Section 4.9(a).

 

“Finance Charge
Collections” means Collections of Finance Charge Receivables.

 

“Finance Charge Shortfall”
is defined in Section 4.7.

 

“Group One” means
Series 2001-A, Series 2002-A, Series 2002-VFN, Series 2003-A, the outstanding
Series under (and as defined in) the Pooling and Servicing Agreement (other than
Series represented by the Collateral Certificate) and each other Series
hereafter specified in the related Indenture Supplement to be included in Group
One.

 

“Initial Collateral
Amount” means $140,000,000, plus the amount of any Additional Collateral Amount
designated in the Issuance Supplement.

 

“Investment Earnings”
means, for any Distribution Date, all interest and earnings on Eligible
Investments included in the Spread Account (net of losses and investment
expenses) during the period commencing on and including the Distribution Date
immediately preceding such Distribution Date and ending on but excluding such
Distribution Date.

 

“Investor Charge-Offs”
is defined in Section 4.5.

 

“Investor Default Amount”
means, with respect to any Defaulted Account, an amount equal to the product of
(a) the Default Amount and (b) the Allocation Percentage on the day such
Account became a Defaulted Account.

 

“Investor Finance Charge
Collections” means, for any Monthly Period, an amount equal to the
aggregate amount of Finance Charge Collections (including Net Recoveries
treated as Finance Charge Collections) retained or deposited in the Finance
Charge Account for Series 2003-A pursuant to subsection 4.1(b)(i) for
such Monthly Period.

 

“Investor Principal
Collections” means, for any Monthly Period, an amount equal to the
aggregate amount of Principal Collections retained or deposited in the
Principal Account for Series 2003-A pursuant to subsection 4.1(b)(ii)
for such Monthly Period.

 

“Investor Uncovered
Dilution Amount” means an amount equal to the product of (x) the Series
Allocation Percentage for the related Monthly Period (determined on a weighted
average basis, if a Reset Date occurs during that Monthly Period), times (y) the aggregate Dilutions

 

14

 

occurring during that Monthly Period as to
which any deposit is required to be made to the Excess Funding Account pursuant
to Section 3.9(a) of the Transfer and Servicing Agreement or Section
3.9(a) of the Pooling and Servicing Agreement but has not been made, provided
that,  if the Transferor Amount is
greater than zero at the time the deposit referred to in clause (y) is
required to be made, the Investor Uncovered Dilution Amount for such amount to
be deposited shall be deemed to be zero.

 

“Issuance Supplement”
shall mean a supplement to this Indenture Supplement entered into among the
Issuer and the Indenture Trustee to specify the terms of the Class A-2 Notes,
the Class B Notes and the Class C-2 Notes to be included as part of Series
2003-A.

 

“LIBOR” means, for
any Distribution Period, an interest rate per annum for each Distribution
Period determined by the Indenture Trustee in accordance with the provisions of
Section 4.16.

 

“LIBOR Determination Date”
means (i) June 17, 2003 for the period from and including the Closing Date
through and including August 14, 2003, (ii) the second London Business Day
prior to the commencement of the second and each subsequent Distribution Period
and (iii) for purposes of determining the Class A-2 Note Interest Rate, the
Class B Note Interest Rate or the Class C-2 Note Interest Rate, if
applicable, any other date specified in the Issuance Supplement as a “LIBOR
Determination Date”.

 

“London Business Day”
means any day on which dealings in deposits in United States dollars are
transacted in the London interbank market.

 

“Minimum Transferor
Amount” means (a) prior to the Certificate Trust Termination Date, the
“Minimum Transferor Amount” under (and as defined in) the Pooling and Servicing
Agreement and (b) on and after the Certificate Trust Termination Date, the
“Minimum Transferor Amount” as defined in Annex A to the Indenture.

 

“Monthly Interest”
means, for any Distribution Date, the sum of the Class A Monthly Interest, the
Class B Monthly Interest, and the Class C Monthly Interest for such
Distribution Date.

 

“Monthly Period”
means the period from and including the first day of the calendar month
preceding a related Distribution Date to and including the last day of such
calendar month; provided that the Monthly Period related to the August
2003 Distribution Date shall mean the period from and including the Closing
Date to and including the last day of July 2003.

 

“Monthly Principal”
is defined in Section 4.3.

 

“Monthly Principal
Reallocation Amount” means, for any Monthly Period, an amount equal to the
sum of:

 

(a)                                  the lower of (i) the Class A Required Amount
and (ii) the greater of (A)(x) the sum of the Class B Note Initial Principal
Balance and the Class C Note Initial Principal Balance, minus (y) the amount of unreimbursed
Investor Charge-Offs (after

 

15

 

giving effect to Investor
Charge-Offs for the related Monthly Period) and unreimbursed Reallocated
Principal Collections (as of the previous Distribution Date) and (B) zero; and

 

(b)                                 the lower of (i) the sum of the Class B
Required Amount, the Servicing Fee Required Amount and the Class C Swap
Required Amount and (ii) the greater of (A)(x) the Class C Note Initial
Principal Balance, minus (y) the
amount of unreimbursed Investor Charge-Offs (after giving effect to Investor
Charge-Offs for the related Monthly Period) and unreimbursed Reallocated
Principal Collections (as of the previous Distribution Date and as required in clause
(a) above) and (B) zero.

 

“Net Interest Obligation”
means, for any Distribution Date, the sum of the Class A-1 Net Interest
Obligation, the Class A-2 Net Interest Obligation, the Class B Net Interest
Obligation, the Class C-1 Net Interest Obligation and the Class C-2 Net Interest
Obligation for such Distribution Date.

 

“Net Swap Payments”
means, with respect to any Distribution Date, collectively, the Class A Net
Swap Payment, the Class B Net Swap Payment and the Class C Net Swap Payment for
such Distribution Date.

 

“Net Swap Receipts”
means, collectively, the Class A-1 Net Swap Receipt, the Class A-2 Net Swap
Receipt, the Class B Net Swap Receipt, the Class C-1 Net Swap Receipt and the
Class C-2 Net Swap Receipt for such Distribution Date.

 

“Note Principal Balance”
means, on any date of determination, an amount equal to the sum of the Class A
Note Principal Balance, the Class B Note Principal Balance and the Class C Note
Principal Balance.

 

“Noteholder Servicing Fee”
is defined in Section 3.1.

 

“Percentage Allocation”
is defined in subsection 4.1(b)(ii)(y).

 

“Portfolio Yield”
means, for any Monthly Period, the annualized percentage equivalent of a
fraction, (a) the numerator of which is equal to (i) the Available Finance
Charge Collections (excluding any Excess Finance Charge Collections), minus (ii) the Aggregate Investor Default
Amount and the Uncovered Dilution Amount for such Monthly Period and (b) the
denominator of which is the Collateral Amount plus amounts on deposit in
Principal Accumulation Account, each as of the close of business on the last
day of such Monthly Period; provided that if the Additional Issuance
Date occurs during such Monthly Period, the denominator shall equal the average
Collateral Amount during such Monthly Period.

 

“Principal Account”
is defined in subsection 4.9(a).

 

“Principal Accumulation
Account” is defined in subsection 4.9(a).

 

“Principal Accumulation
Account Balance” means, for any date of determination, the principal
amount, if any, on deposit in the Principal Accumulation Account on such date
of determination.

 

16

 

“Principal Accumulation
Investment Proceeds” means, with respect to each Transfer Date, the
investment earnings on funds in the Principal Accumulation Account (net of
investment expenses and losses) for the period from and including the
immediately preceding Transfer Date to but excluding such Transfer Date.

 

“Principal Collections”
means Collections of Principal Receivables.

 

“Principal Shortfall”
is defined in Section 4.8.

 

“Qualified Maturity
Agreement” means an agreement whereby an Eligible Institution agrees to
make a deposit into the Principal Accumulation Account on the Class A/B
Expected Principal Payment Date in an amount equal to the initial Note
Principal Balance (excluding the Class C Note Initial Principal Balance) and a
further deposit into the Principal Accumulation Account on the Class C Expected
Principal Payment Date in an amount equal to the Class C Note Initial Principal
Balance.

 

“Quarterly Excess Spread
Percentage” means (a) with respect to the August 2003 Distribution Date,
the Excess Spread Percentage for such Distribution Date, (b) with respect to
the September 2003 Distribution Date, the percentage equivalent of a fraction
the numerator of which is the sum of (i) the Excess Spread Percentage for the
September 2003 Distribution Date and (ii) the Excess Spread Percentage with
respect to the August 2003 Distribution Date and the denominator of which is
two, (c) with respect to the October 2003 Distribution Date, the percentage
equivalent of a fraction the numerator of which is the sum of (i) the Excess
Spread Percentage for the October 2003 Distribution Date (ii) the Excess Spread
Percentage with respect to the September 2003 Distribution Date and (iii) the
Excess Spread Percentage with respect to the August 2003 Distribution Date and
the denominator of which is three and (d) with respect to the November 2003
Distribution Date and each Distribution Date thereafter, the percentage
equivalent of a fraction the numerator of which is the sum of the Excess Spread
Percentages determined with respect to such Distribution Date and the
immediately preceding two Distribution Dates and the denominator of which is
three.

 

“Rating Agency” means
each of Fitch, Moody’s and Standard & Poor’s.

 

“Reallocated Principal
Collections” means, for any Transfer Date, Investor Principal Collections
applied in accordance with Section 4.6 in an amount not to exceed the
Monthly Principal Reallocation Amount for the related Monthly Period.

 

“Reassignment Amount”
means, for any Transfer Date, after giving effect to any deposits and
distributions otherwise to be made on the related Distribution Date, the sum of
(i) the Note Principal Balance on the related Distribution Date, plus (ii) Monthly Interest for the related
Distribution Date and any Monthly Interest previously due but not distributed
to the Series 2003-A Noteholders, plus
(iii) the amount of Additional Interest, if any, for the related Distribution
Date and any Additional Interest previously due but not distributed to the
Series 2003-A Noteholders on a prior Distribution Date.

 

“Reference Banks”
means four major banks in the London interbank market selected by the Servicer.

 

17

 

“Required Cash Collateral
Amount” means, for any Transfer Date, the greatest of (a) an amount equal
to 2.5% of the Collateral Amount (after taking into account deposits to the
Principal Accumulation Account on such Transfer Date and payments to be made on
the related Distribution Date),  (b) an
amount equal to 1.0% of the Initial Collateral Amount and (c) for any Transfer
Date occurring on or after the commencement of the Early Amortization Period,
an amount equal to 2.5% of the Collateral Amount as of the close of business on
the last day of the Revolving Period; provided that the Required Cash
Collateral Amount will never exceed the Note Principal Balance, minus the Principal Accumulation Account
Balance (after taking into account deposits to the Principal Accumulation Account
on such Transfer Date and payments to be made on the related Distribution
Date); and provided, further, that the Transferor may reduce the
Required Cash Collateral Amount at any time if the Indenture Trustee has been
provided evidence that the Rating Agency Condition has been satisfied.

 

“Required Draw Amount”
is defined in subsection 4.11(c).

 

“Required Reserve Account
Amount” means, for any Transfer Date on or after the Reserve Account
Funding Date, an amount equal to (a) 0.50% of the sum of the Class A Note
Principal Balance and the Class B Note Principal Balance or (b) any other
amount designated by the Transferor; provided, however, that if such designation is of a lesser
amount, the Transferor shall (i) provide the Servicer and the Indenture Trustee
with evidence that the Rating Agency Condition shall have been satisfied and
(ii) deliver to the Indenture Trustee a certificate of an Authorized Officer to
the effect that, based on the facts known to such officer at such time, in the
reasonable belief of the Transferor, such designation will not cause an Early
Amortization Event or an event that, after the giving of notice or the lapse of
time, would cause an Early Amortization Event to occur with respect to Series
2003-A.

 

“Required Retained
Transferor Percentage” means, for purposes of Series 2003-A, 4%.

 

“Required Spread Account
Amount” means, for any Distribution Date, (a) the product of (i) the Spread
Account Percentage in effect on such date and (ii) during (x) the Revolving
Period, the Collateral Amount, and (y) thereafter, the Collateral Amount as of
the last day of the Revolving Period; provided that after the occurrence
of an Event of Default resulting in acceleration of the Series 2003-A Notes,
the Required Spread Account Amount shall equal the Note Principal Balance
(after taking into account any payments to be made on such Distribution Date);
and provided  further, that, except as described in the preceding proviso
following the acceleration of the Series 2003-A Notes, in no event will the Required
Spread Account Amount exceed the Class C Note Principal Balance (after taking
into account any payments to be made on such Distribution Date).

 

“Reserve Account” is
defined in subsection 4.10(a).

 

“Reserve Account Funding
Date” means the Transfer Date designated by the Servicer which occurs not
later than the Transfer Date with respect to the Monthly Period which commences
3 months prior to the commencement of the Controlled Accumulation Period (which
commencement shall be subject to postponement pursuant to Section 4.15);
(b) the first Transfer Date for which the Quarterly Excess Spread Percentage is
less than 2%, but in such event the Reserve Account Funding Date shall not be
required to occur earlier than the Transfer Date with

 

18

 

respect to the Monthly Period which commences 12 months prior to the
commencement of the Controlled Accumulation Period; (c) the first Transfer Date
for which the Quarterly Excess Spread Percentage is less than 3%, but in such
event the Reserve Account Funding Date shall not be required to occur earlier
than the Transfer Date with respect to the Monthly Period which commences 6
months prior to the commencement of the Controlled Accumulation Period; and (d)
the first Transfer Date for which the Quarterly Excess Spread Percentage is
less than 4%, but in such event the Reserve Account Funding Date shall not be
required to occur earlier than the Transfer Date with respect to the Monthly
Period which commences 4 months prior to the commencement of the Controlled
Accumulation Period; provided, however, that subject to
satisfaction of the Rating Agency Condition, the Reserve Account Funding Date
may be any date selected by the Servicer.

 

“Reserve Account Surplus”
means, as of any Transfer Date following the Reserve Account Funding Date, the
amount, if any, by which the amount on deposit in the Reserve Account exceeds
the Required Reserve Account Amount.

 

“Reserve Draw Amount”
means, with respect to each Transfer Date relating to the Controlled
Accumulation Period or the first Transfer Date relating to the Early
Amortization Period, the amount, if any, by which the Principal Accumulation
Investment Proceeds for such Distribution Date are less than the Covered Amount
determined as of such Transfer Date.

 

“Reset Date” means:

 

(a)                                  each Addition Date and each “Addition Date”
(as such term is defined in the Pooling and Servicing Agreement), in each case
relating to Supplemental Accounts;

 

(b)                                 each Removal Date and each “Removal Date” (as
such term is defined in the Pooling and Servicing Agreement) on which, if any
Series of Notes or any Series under (and as defined in) the Pooling and
Servicing Agreement has been paid in full, Principal Receivables equal to the
Initial Collateral Amount for that Series are removed from the Receivables
Trust;

 

(c)                                  each date on which there is an increase in
the outstanding balance of any Variable Interest or “Variable Interest” (as
such term is defined in the Pooling and Servicing Agreement); and

 

(d)                                 each date on which a new Series, Class or
subclass of Notes is issued and each date on which a new “Series” or “Class”
(each as defined in the Pooling and Servicing Agreement) of investor
certificates is issued by the Certificate Trust.

 

“Revolving Period”
means the period beginning on the Closing Date and ending at the close of
business on the day immediately preceding the earlier of the day the Controlled
Accumulation Period commences or the day the Early Amortization Period
commences.

 

“Series 2003-A” means
the Series of Notes the terms of which are specified in this Indenture
Supplement.

 

“Series 2003-A Early
Amortization Event” is defined in Section 6.1.

 

19

 

“Series 2003-A Final
Maturity Date” means the March 2012 Distribution Date.

 

“Series 2003-A Note”
means a Class A Note, a Class B Note or a Class C Note.

 

“Series 2003-A Noteholder”
means a Class A Noteholder, a Class B Noteholder or a Class C Noteholder.

 

“Series Allocation
Percentage” means, with respect to any Monthly Period, the percentage
equivalent of a fraction, the numerator of which is the Allocation Percentage
for Finance Charge Collections for that Monthly Period and the denominator of
which is the sum of the Allocation Percentages for Finance Charge Receivables
for all outstanding Series on such date of determination; provided that
if one or more Reset Dates occur in a Monthly Period, the Series Allocation
Percentage for the portion of the Monthly Period falling on and after each such
Reset Date and prior to any subsequent Reset Date will be determined using a
denominator which is equal to the sum of the numerators used in determining the
Allocation Percentage for Finance Charge Receivables for all outstanding Series
as of the close of business on the subject Reset Date.

 

“Series Servicing Fee
Percentage” means 2% per annum.

 

“Series Termination Date”
means the earliest to occur of (a) the date on which the Note Principal Balance
is paid in full, (b) the date on which the Collateral Amount is reduced to zero
and (c) the Series 2003-A Final Maturity Date.

 

“Servicing Fee Required
Amount” means, for any Distribution Date, an amount equal to the excess of
the amount described in subsection 4.4(a)(iii) over the (a) Available
Finance Charge Collections applied to pay such amount pursuant to subsection
4.4(a) and (b) any amount withdrawn from the Cash Collateral Account and
applied to pay such amount pursuant to subsection 4.11(c).

 

“Specified Transferor
Amount” means, at any time, the Minimum Transferor Amount (including the
Additional Minimum Transferor Amount, if any) at that time.

 

“Spread Account” is
defined in subsection 4.12(a).

 

“Spread Account
Deficiency” means the excess, if any, of the Required Spread Account Amount
over the Available Spread Account Amount.

 

“Spread Account
Percentage” means, for any Distribution Date, (i) 1.00% if the Quarterly
Excess Spread Percentage on such Distribution Date is greater than or equal to
6.0%, (ii) 1.25% if the Quarterly Excess Spread Percentage on such Distribution
Date is less than 6.0% and greater than or equal to 5.5%, (iii) 1.5% if the
Quarterly Excess Spread Percentage on such Distribution Date is less than 5.5%
and greater than or equal 5.0%, (iv) 2.25% if the Quarterly Excess Spread
Percentage on such Distribution Date is less than 5.0% and greater than or
equal to 4.5%, (v) 2.75% if the Quarterly Excess Spread Percentage on such
Distribution Date is less than 4.5% and greater than or equal to 4.0%, (vi)
3.25% if the Quarterly Excess Spread Percentage on such Distribution Date is
less than 4.0% and greater than or equal to 3.0%, (vii) 3.75% if the Quarterly
Excess Spread Percentage on such Distribution Date is less than 3.0% and

 

20

 

greater than or equal to 2.5%, and (viii)
4.25% if the Quarterly Excess Spread Percentage on such Distribution Date is
less than 2.5%; provided, that:

 

(a)                                  if the Spread Account Percentage for a
Distribution Date is greater than 1.5%, then the Spread Account Percentage
shall not decrease to a lower percentage until the first subsequent
Distribution Date on which the arithmetic mean of the Quarterly Excess Spread
Percentages for such subsequent Distribution Date and for the two Distribution
Dates immediately prior to such subsequent Distribution Date is greater than or
equal to the lowest Quarterly Excess Spread Percentage associated with a lower
Spread Account Percentage;

 

(b)                                 if the Spread Account Percentage for a
Distribution is equal 1.5%, then the Spread Account Percentage shall not
decrease to a lower percentage until the first subsequent Distribution Date on
which the arithmetic mean of the Quarterly Excess Spread Percentages for such
subsequent Distribution Date and for the Distribution Date immediately prior to
such subsequent Distribution Date is greater than or equal to the lowest
Quarterly Excess Spread Percentage associated with a lower Spread Account
Percentage;

 

(c)                                  in no event will the Spread Account
Percentage decrease by more than one of the levels specified above between any
two Distribution Dates;(1) and

 

(d)                                 if an Early Amortization Event is deemed to
occur with respect to Series 2003-A, the Spread Account Percentage shall be
13.5%.

 

“Target Amount” is
defined in subsection 4.1(b)(i).

 

“Telerate Page 3750”
means the display page currently so designated on the Moneyline Telerate
Service (or such page as may replace that page in that service for the purpose
of displaying comparable rates or prices).

 

“Uncovered Dilution
Amount” means an amount equal to the product of (x) the Series Allocation
Percentage for the related Monthly Period (determined on a weighted average
basis, if a Reset Date occurs during that Monthly Period), times (y) the aggregate Dilutions
occurring during that Monthly Period as to which any deposit is required to be
made to the Excess Funding Account pursuant to Section 3.9(a) of the
Transfer and Servicing Agreement or Section 3.9(a) of the Pooling and
Servicing Agreement but has not been made; provided that, if the
Transferor Amount is greater than zero at the time the deposit referred to in
clause (y) is required to be made, the Uncovered Dilution Amount for such
amount to be deposited shall be deemed to be zero.

 

(1)  For example, if the Spread
Account Percentage on one Distribution Date were 1.5%, then the Spread Account
Percentage for the next Distribution Date could not be less than 1.25%, even if
the Quarterly Excess Spread Percentage on such next Distribution Date were
greater than or equal to 6.0%

 

21

 

(b)                                 Each capitalized term defined herein shall
relate to the Series 2003-A Notes and no other Series of Notes issued by the
Trust, unless the context otherwise requires. 
All capitalized terms used herein and not otherwise defined herein have
the meanings ascribed to them in Annex A to the Master Indenture.

 

(c)                                  The interpretive rules specified in Section
1.2 of the Master Indenture also apply to this Indenture Supplement.  If any term or provision contained herein
shall conflict with or be inconsistent with any term or provision contained in
the Master Indenture, the terms and provisions of this Indenture Supplement
shall be controlling.

 

ARTICLE III.

 

Noteholder Servicing Fee;
Additional Representations and Warranties

 

Section 3.1                                      Servicing Compensation.  The
share of the Servicing Fee allocable to Series 2003-A for any Transfer Date
(the “Noteholder Servicing Fee”) shall be equal to one-twelfth of the
product of (a) the Series Servicing Fee Percentage and (b) the Collateral
Amount as of the last day of the Monthly Period preceding such Transfer Date; provided, however, that with respect to the first Transfer Date, the
Noteholder Servicing Fee shall be equal to $326,667; and provided  further
that for the first Transfer Date following the last day of the Monthly Period
in which the Additional Issuance Date occurs, the Noteholder Servicing Fee
shall equal one-twelfth the product of (i) the Series Servicing Fee Percentage
and (ii) the average Collateral Amount during the Monthly Period preceding such
Transfer Date.  The remainder of the
Servicing Fee shall be paid by the holders of the Transferor Interest or the
noteholders of other Series (as provided in the related Indenture Supplements)
and in no event shall the Trust, the Indenture Trustee or the Series 2003-A
Noteholders be liable for the share of the Servicing Fee to be paid by the
holders of the Transferor Interest or the noteholders of any other Series.

 

Section 3.2                                      Representations and Warranties.  The parties hereto agree that
the representations, warranties and covenants set forth in Schedule I shall be
a part of this Indenture Supplement for all purposes.

 

ARTICLE IV.

 

Rights of Series 2003-A
Noteholders and Allocation and Application of Collections

 

Section 4.1                                      Collections and Allocations.

 

(a)                                  Allocations.  Finance Charge Collections,
Principal Collections and Defaulted Receivables allocated to Series 2003-A
pursuant to Article VIII of the Indenture shall be allocated and
distributed as set forth in this Article.

 

(b)                                 Allocations to the Series 2003-A Noteholders.  The
Servicer shall on the Date of Processing, allocate to the Series 2003-A
Noteholders the following amounts as set forth below:

 

(i)                                     Allocations of Finance Charge Collections. The Servicer shall allocate to the Series
2003-A Noteholders an amount equal to the product of (A) the Allocation
Percentage and (B) the aggregate Finance Charge Collections processed on such
Date of

 

22

 

Processing and shall deposit
such amount into the Finance Charge Account, provided that, with respect
to each Monthly Period falling in the Revolving Period (and with respect to
that portion of each Monthly Period in the Controlled Accumulation Period
falling on or after the day on which Collections of Principal Receivables equal
to the related Controlled Deposit Amount have been allocated pursuant to Section
4.1(b)(ii) and deposited pursuant to Section 4.1(c)), so long as the
Available Cash Collateral Amount is not less than the Required Cash Collateral
Amount on such Date of Processing, Collections of Finance Charge Receivables
shall be transferred into the Finance Charge Account only until such time as
the aggregate amount so deposited equals the sum (the “Target Amount”)
of (A) the Net Interest Obligation for the related Distribution Date, (B)  if WFN is not the Servicer, the Noteholder
Servicing Fee (and if WFN is the Servicer, then amounts that otherwise would
have been transferred into the Finance Charge Account pursuant to this clause
(B) shall instead by returned to WFN as payment of the Noteholder Servicing
Fee), (C) any amount required to be deposited in the Reserve Account, the
Spread Account and the Cash Collateral Account on the related Transfer Date and
(D) if the Excess Spread Percentage for the preceding Monthly Period was less
than 3%, the sum of Default Amounts and any Uncovered Dilution Amounts for the
portion of the current Monthly Period that has elapsed through such Date of
Processing; provided  further, that, notwithstanding the preceding
proviso, if on any Business Day the Servicer determines that the Target Amount
for a Monthly Period exceeds the Target Amount for that Monthly Period as
previously calculated by Servicer, then (x) Servicer shall (on the same
Business Day) inform Transferor of such determination, and (y) within two
Business Days of receiving such notice Transferor shall deposit into the
Finance Charge Account funds in an amount equal to the amount of Collections of
Finance Charge Receivables allocated to the Noteholders for that Monthly Period
but not deposited into the Finance Charge Account due to the operation of the
preceding proviso (but not in excess of the amount required so that the
aggregate amount deposited for the subject Monthly Period equals the Target
Amount);  and provided  further,
if on any Transfer Date the Transferor Amount is less than the Specified
Transferor Amount after giving effect to all transfers and deposits on that
Transfer Date, Transferor shall, on that Transfer Date, deposit into the
Principal Account funds in an amount equal to the amounts of Available Finance
Charge Collections that are required to be treated as Available Principal
Collections pursuant to Section 4.4(a)(v) and (vi) but are not
available from funds in the Finance Charge Account as a result of the operation
of second preceding proviso.

 

With respect to any Monthly
Period when deposits of Collections of Finance Charge Receivables into the
Finance Charge Account are limited to deposits up to the Target Amount in
accordance with clause (i) above, notwithstanding such limitation: (1)
“Reallocated Principal Collections” for the related Transfer Date shall be
calculated as if the full amount of Finance Charge Collections allocated to the
Noteholders during that Monthly Period had been deposited in the Finance Charge
Account and applied on such Transfer Date in accordance with Section 4.4(a);
and (2) Collections of Finance Charge Receivables released to Transferor
pursuant to such Section 4.1(b)(i) shall be deemed, for purposes of all
calculations under this Indenture Supplement, to have been retained in the
Finance Charge Account and applied to the items specified in Sections 4.4(a)
to which such amounts would have been applied (and in the priority in which
they would have been applied) had such amounts been available in the Finance
Charge

 

23

 

Account on such Transfer Date.  To avoid doubt, the calculations referred to
in the preceding clause (2) include the calculations required by clause
(d) of the definition of Collateral Amount and by the definition of
Portfolio Yield.

 

(ii)                                  Allocations of Principal Collections.  The
Servicer shall allocate to the Series 2003-A Noteholders the following amounts
as set forth below:

 

(x)                                   Allocations During the Revolving Period.

 

(1)                                  During the Revolving Period an amount equal
to the product of the Allocation Percentage and the aggregate amount of
Principal Collections processed on such Date of Processing, shall be allocated
to the Series 2003-A Noteholders and first, if any other Principal Sharing
Series is outstanding and in its accumulation period or amortization period,
retained in the Principal Account for application, to the extent necessary, as
Shared Principal Collections to other Principal Sharing Series on the related
Distribution Date, second deposited in the Excess Funding Account to the extent
necessary so that the Transferor Amount is not less than the Specified
Transferor Amount and third paid to the holders of the Transferor Interest.

 

(2)                                  With respect to each Monthly Period falling
in the Revolving Period, to the extent that Collections of Principal
Receivables allocated to the Series 2003-A Noteholders pursuant to this subsection
4.1(b)(ii) are paid to Transferor, Transferor shall make an amount equal to
the Reallocated Principal Collections for the related Transfer Date available
on that Transfer Date for application in accordance with Section 4.6.

 

(y)                                 Allocations During the Controlled
Accumulation Period.  During the Controlled Accumulation Period an
amount equal to the product of the Allocation Percentage and the aggregate
amount of Principal Collections processed on such Date of Processing (the
product for any such date is hereinafter referred to as a “Percentage
Allocation”) shall be allocated to the Series 2003-A Noteholders and
transferred to the Principal Account until applied as provided herein; provided, however, that if the sum of such Percentage Allocation and all
preceding Percentage Allocations with respect to the same Monthly Period
exceeds the Controlled Deposit Amount during the Controlled Accumulation Period
for the related Distribution Date, then such excess shall not be treated as a
Percentage Allocation and shall be first, if any other Principal Sharing Series
is outstanding and in its accumulation period or amortization period, retained
in the Principal Account for application, to the extent necessary, as Shared
Principal Collections to other Principal Sharing Series on the related
Distribution Date, second deposited in the Excess Funding Account to the extent
necessary so that the Transferor Amount is not less than the Specified
Transferor Amount and third paid to the holders of the Transferor Interest.

 

(z)                                   Allocations During the Early Amortization
Period.  During the Early Amortization Period, an
amount equal to the product of the Allocation

 

24

 

Percentage and the aggregate
amount of Principal Collections processed on such Date of Processing shall be
allocated to the Series 2003-A Noteholders and transferred to the Principal
Account until applied as provided herein; provided, however, that after the date on which an amount of such Principal
Collections equal to the Note Principal Balance has been deposited into the
Principal Account such amount shall be first, if any other Principal Sharing
Series is outstanding and in its accumulation period or amortization period,
retained in the Principal Account for application, to the extent necessary, as
Shared Principal Collections to other Principal Sharing Series on the related
Distribution Date, second deposited in the Excess Funding Account to the extent
necessary so that the Transferor Amount is not less than the Specified
Transferor Amount and third paid to the holders of the Transferor Interest.

 

(c)                                  During any period when Servicer is permitted
by Section 4.3 of the Pooling and Servicing Agreement or Section 8.4
of the Indenture to make a single monthly deposit to the Collection Account,
amounts allocated to the Noteholders pursuant to Sections 4.1(a) and (b)
with respect to any Monthly Period need not be deposited into the Collection
Account or any Series Account prior to the related Transfer Date, and, when so
deposited, (x) may be deposited net of any amounts required to be distributed
to Transferor and, if WFN is Servicer, Servicer, and (y) shall be deposited
into the Finance Charge Account (in the case of Collections of Finance Charge
Receivables) and the Principal Account (in the case of Collections of Principal
Receivables (not including any Shared Principal Collections allocated to Series
2003-A pursuant to Section 4.15 of the Pooling and Servicing Agreement
or Section 8.5 of the Indenture)).

 

(d)                                 On any date, Servicer may withdraw from the
Collection Account or any Series Account any amounts inadvertently deposited in
such account that should have not been so deposited.

 

Section 4.2                                      Determination of Monthly Interest.

 

(a)                                  The amount of monthly interest (“Class A-1
Monthly Interest”) distributable from the Distribution Account with respect
to the Class A-1 Notes on any Distribution Date shall be an amount equal to the
product of (i) (A) a fraction, the numerator of which is the actual number of
days in the related Distribution Period and the denominator of which is 360,
times (B) the Class A-1 Note Interest Rate in effect with respect to the
related Distribution Period and (ii) the Class A-1 Note Principal Balance as of
the close of business on the last day of the preceding Monthly Period (or, with
respect to the first Distribution Date following the Additional Issuance Date,
the Class A-1 Note Initial Principal Balance).

 

On the Determination Date
preceding each Distribution Date, the Servicer shall determine the excess, if
any (the “Class A-1 Deficiency Amount”), of (x) the aggregate amount accrued
pursuant to this Section 4.2(a) as of the prior Distribution Date over
(y) the amount actually transferred from the Distribution Account for payment
of such amount.  If the Class A-1
Deficiency Amount for any Distribution Date is greater than zero, on each
subsequent Distribution Date until such Class A-1 Deficiency Amount is fully
paid, an additional amount (“Class A-1 Additional Interest”) equal to
the product of (i) (A) a fraction, the numerator of which is the actual number
of days in the related Distribution Period and the denominator of

 

25

 

which is 360, times (B) the Class A-1 Note
Interest Rate in effect with respect to the related Distribution Period plus 2% per annum and (ii) such Class A-1 Deficiency
Amount (or the portion thereof which has not been paid to the Class A-1
Noteholders) shall be payable as provided herein with respect to the Class A-1
Notes.  Notwithstanding anything to the
contrary herein, Class A-1 Additional Interest shall be payable or distributed
to the Class A-1 Noteholders only to the extent permitted by applicable law.

 

(b)                                 The amount of monthly interest (“Class A-2
Monthly Interest”) distributable from the Distribution Account with respect
to the Class A-2 Notes on any Distribution Date shall be an amount equal to the
product of (i) (A) a fraction, the numerator of which is the actual number of
days in the related Distribution Period and the denominator of which is 360,
times (B) the Class A-2 Note Interest Rate in effect with respect to the
related Distribution Period and (ii) the Class A-2 Note Principal Balance as of
the close of business on the last day of the preceding Monthly Period (or, with
respect to the first Distribution Date following the Additional Issuance Date,
the Class A-2 Note Initial Principal Balance).

 

On the Determination Date
preceding each Distribution Date, the Servicer shall determine the excess, if
any (the “Class A-2 Deficiency Amount”), of (x) the aggregate amount
accrued pursuant to this Section 4.2(b) as of the prior Distribution
Date over (y) the amount actually transferred from the Distribution Account for
payment of such amount.  If the Class
A-2 Deficiency Amount for any Distribution Date is greater than zero, on each
subsequent Distribution Date until such Class A-2 Deficiency Amount is fully
paid, an additional amount (“Class A-2 Additional Interest”) equal to
the product of (i) (A) a fraction, the numerator of which is the actual number
of days in the related Distribution Period and the denominator of which is 360,
times (B) the Class A-2 Note Interest Rate in effect with respect to the
related Distribution Period plus
2% per annum and (ii) such Class A-2 Deficiency Amount (or the portion thereof
which has not been paid to the Class A-2 Noteholders) shall be payable as
provided herein with respect to the Class A-2 Notes.  Notwithstanding anything to the contrary herein, Class A-2
Additional Interest shall be payable or distributed to the Class A-2 Noteholders
only to the extent permitted by applicable law.

 

(c)                                  The amount of monthly interest (“Class B
Monthly Interest”) distributable from the Distribution Account with respect
to the Class B Notes on any Distribution Date shall be an amount equal to the
product of (i) (A) a fraction, the numerator of which is the actual number of
days in the related Distribution Period and the denominator of which is 360,
times (B) the Class B Note Interest Rate in effect with respect to the related
Distribution Period and (ii) the Class B Note Principal Balance as of the close
of business on the last day of the preceding Monthly Period (or, with respect
to the first Distribution Date following the Additional Issuance Date, the
Class B Note Initial Principal Balance).

 

On the Determination Date
preceding each Distribution Date, the Servicer shall determine the excess, if
any (the “Class B Deficiency Amount”), of (x) the aggregate amount
accrued pursuant to this Section 4.2(c) as of the prior Distribution
Date over (y) the amount of funds
actually transferred from the Distribution Account for payment of such
amount.  If the Class B Deficiency
Amount for any Distribution Date is greater than zero, on each subsequent
Distribution Date until such Class B Deficiency Amount is fully paid, an
additional amount (“Class B Additional Interest”) equal to the product
of (i) (A) a fraction, the numerator of which

 

26

 

is the actual number of days in the related
Distribution Period and the denominator of which is 360, times (B) the Class B
Note Interest Rate in effect with respect to the related Distribution Period plus 2% per annum and (ii) such Class B
Deficiency Amount (or the portion thereof which has not been paid to the Class
B Noteholders) shall be payable as provided herein with respect to the Class B
Notes.  Notwithstanding anything to the
contrary herein, Class B Additional Interest shall be payable or distributed to
the Class B Noteholders only to the extent permitted by applicable law.

 

(d)                                 The amount of monthly interest (“Class C-1
Monthly Interest”) distributable from the Distribution Account with respect
to the Class C-1 Notes on any Distribution Date shall be an amount equal to the
product of (i) (A) a fraction, the numerator of which is the actual number of
days in the related Distribution Period and the denominator of which is 360,
times (B) the Class C-1 Note Interest Rate in effect with respect to the
related Distribution Period and (ii) the Class C-1 Note Principal Balance as of
the close of business on the last day of the preceding Monthly Period (or, with
respect to the first Distribution Date following the Closing Date, the Class
C-1 Note Initial Principal Balance).

 

On the Determination Date
preceding each Distribution Date, the Servicer shall determine the excess, if
any (the “Class C-1 Deficiency Amount”), of (x) the aggregate amount
accrued pursuant to this Section 4.2(d) as of the prior Distribution
Date over (y) the amount of funds
actually transferred from the Distribution Account for payment of such amount.  If the Class C-1 Deficiency Amount for any
Distribution Date is greater than zero, on each subsequent Distribution Date
until such Class C-1 Deficiency Amount is fully paid, an additional amount (“Class
C-1 Additional Interest”) equal to the product of (i) (A) a fraction, the
numerator of which is the actual number of days in the related Distribution
Period and the denominator of which is 360, times
(B) the Class C-1 Note Interest Rate in effect with respect to the related
Distribution Period plus 2% per
annum and (ii) such Class C-1 Deficiency Amount (or the portion thereof which
has not been paid to the Class C-1 Noteholders) shall be payable as provided
herein with respect to the Class C-1 Notes. 
Notwithstanding anything to the contrary herein, Class C-1 Additional
Interest shall be payable or distributed to the Class C-1 Noteholders only to
the extent permitted by applicable law.

 

(e)                                  The amount of monthly interest (“Class C-2
Monthly Interest”) distributable from the Distribution Account with respect
to the Class C-2 Notes on any Distribution Date shall be an amount equal to the
product of (i) (A) a fraction, the numerator of which is the actual number of
days in the related Distribution Period and the denominator of which is 360,
times (B) the Class C-2 Note Interest Rate in effect with respect to the
related Distribution Period and (ii) the Class C-2 Note Principal Balance as of
the close of business on the last day of the preceding Monthly Period (or, with
respect to the first Distribution Date following the Additional Issuance Date,
the Class C-2 Note Initial Principal Balance).

 

On the Determination Date
preceding each Distribution Date, the Servicer shall determine the excess, if
any (the “Class C-2 Deficiency Amount”), of (x) the aggregate amount
accrued pursuant to this Section 4.2(e) as of the prior Distribution
Date over (y) the amount of funds
actually transferred from the Distribution Account for payment of such
amount.  If the Class C-2 Deficiency
Amount for any Distribution Date is greater than zero, on each subsequent
Distribution Date until such Class C-2 Deficiency Amount is fully paid, an
additional amount

 

27

 

(“Class C-2 Additional Interest”)
equal to the product of (i) (A) a fraction, the numerator of which is the
actual number of days in the related Distribution Period and the denominator of
which is 360, times (B) the Class
C-2 Note Interest Rate in effect with respect to the related Distribution
Period plus 2% per annum and (ii)
such Class C-2 Deficiency Amount (or the portion thereof which has not been
paid to the Class C-2 Noteholders) shall be payable as provided herein with
respect to the Class C-2 Notes. 
Notwithstanding anything to the contrary herein, Class C-2 Additional
Interest shall be payable or distributed to the Class C-2 Noteholders only to
the extent permitted by applicable law.

 

Section 4.3                                      Determination of Monthly Principal.  The
amount of monthly principal to be transferred from the Principal Account with
respect to the Notes on each Transfer Date (the “Monthly Principal”),
beginning with the Transfer Date in the month following the month in which the
Controlled Accumulation Period or, if earlier, the Early Amortization Period,
begins, shall be equal to the least of (i) the Available Principal Collections
on deposit in the Principal Account with respect to such Transfer Date, (ii)
for each Transfer Date with respect to the Controlled Accumulation Period, the
Controlled Deposit Amount for such Transfer Date, (iii) the Collateral Amount
(after taking into account any adjustments to be made on such Distribution Date
pursuant to Sections 4.5 and 4.6) prior to any deposit into the
Principal Accumulation Account on such Transfer Date, and (iv) the Note
Principal Balance, minus any amount already on deposit in the Principal
Accumulation Account on such Transfer Date.

 

Section 4.4                                      Application of Available Finance Charge
Collections and Available Principal Collections.  On or before each Transfer
Date, the Servicer shall instruct the Indenture Trustee in writing (which
writing shall be substantially in the form of Exhibit B) to withdraw and
the Indenture Trustee, acting in accordance with such instructions, shall
withdraw on such Transfer Date or related Distribution Date, as applicable, to
the extent of available funds, the amount required to be withdrawn from the
Finance Charge Account, the Principal Account, the Principal Accumulation
Account and the Distribution Account as follows:

 

(a)                                  On each Transfer Date, an amount equal to the
Available Finance Charge Collections with respect to the related Distribution
Date will be distributed or deposited in the following priority:

 

(i)                                     on a pari passu basis based on the amounts
owing to the Class A-1 Noteholders, the Class A-2 Noteholders and each Class A
Counterparty pursuant to this subsection 4.4(a)(i): (A) an amount equal
to Class A-1 Monthly Interest for such Distribution Date, plus any Class A-1 Deficiency Amount, plus the amount of any Class A-1
Additional Interest for such Distribution Date, plus the amount of any Class
A-1 Additional Interest previously due but not distributed to the Class A-1
Noteholders on a prior Distribution Date shall be deposited by the Servicer or
Indenture Trustee into the Distribution Account, (B) an amount equal to Class
A-2 Monthly Interest for such Distribution Date, plus any Class A-2 Deficiency Amount, plus the amount of any Class A-2
Additional Interest for such Distribution Date, plus the amount of any Class
A-2 Additional Interest previously due but not distributed to the Class A-2
Noteholders on a prior Distribution Date shall be deposited by the Servicer or
Indenture Trustee into the Distribution Account, (C) any Class A-1 Net Swap
Payment for such Distribution Date

 

28

 

shall be paid to the Class
A-1 Counterparty, and (D) any Class A-2 Net Swap Payment for such Distribution
Date shall be paid to the Class A-2 Counterparty;

 

(ii)                                  on a pari passu basis based on the amounts
owing to the Class B Noteholders and the Class B Counterparty pursuant to this subsection
4.4(a)(ii): (A) an amount equal to Class B Monthly Interest for such
Distribution Date, plus any Class
B Deficiency Amount, plus the
amount of any Class B Additional Interest for such Distribution Date, plus the amount of any Class B Additional
Interest previously due but not distributed to Class B Noteholders on a prior
Distribution Date shall be deposited by the Servicer or Indenture Trustee into
the Distribution Account, and (B) any Class B Net Swap Payment for such
Distribution Date shall be paid to the Class B Swap Counterparty;

 

(iii)                               an amount equal to the Noteholder Servicing
Fee for such Transfer Date, plus
the amount of any Noteholder Servicing Fee previously due but not distributed
to the Servicer on a prior Transfer Date, shall be distributed to the Servicer;

 

(iv)                              on a pari passu basis based on the amounts
owing to the Class C-1 Noteholders, the Class C-2 Noteholders and each Class C
Counterparty pursuant to this subsection 4.4(a)(iv): (A) an amount equal
to Class C-1 Monthly Interest for such Distribution Date, plus any Class C-1 Deficiency Amount, plus the amount of any Class C-1
Additional Interest for such Distribution Date, plus the amount of any Class C-1 Additional Interest previously
due but not distributed to the Class C-1 Noteholders on a prior Distribution
Date shall be deposited by the Servicer or Indenture Trustee into the
Distribution Account, (B) an amount equal to Class C-2 Monthly Interest for
such Distribution Date, plus any
Class C-2 Deficiency Amount, plus
the amount of any Class C-2 Additional Interest for such Distribution Date, plus the amount of any Class C-2
Additional Interest previously due but not distributed to the Class C-2
Noteholders on a prior Distribution Date shall be deposited by the Servicer or
Indenture Trustee into the Distribution Account, (C) any Class C-1 Net Swap
Payment for such Distribution Date shall be paid to the Class C-1 Counterparty,
and (D) any Class C-2 Net Swap Payment for such Distribution Date shall be paid
to the Class C-2 Counterparty;

 

(v)                                 an amount equal to the Aggregate Investor
Default Amount and any Investor Uncovered Dilution Amount for such Distribution
Date shall be treated as a portion of Available Principal Collections for such
Distribution Date and, during the Controlled Accumulation Period or the Early
Amortization Period, deposited into the Principal Account on the related
Transfer Date;

 

(vi)                              an amount equal to the sum of the aggregate
amount of Investor Charge-Offs and the amount of Reallocated Principal
Collections which have not been previously reimbursed pursuant to this subsection
(vi) shall be treated as a portion of Available Principal Collections for
such Distribution Date;

 

(vii)                           an amount equal to the excess, if any, of the
Required Cash Collateral Amount over
the Available Cash Collateral Amount shall be deposited into the Cash
Collateral Account;

 

29

 

(viii)                        on each Transfer Date from and after the
Reserve Account Funding Date, but prior to the date on which the Reserve
Account terminates as described in subsection 4.10(f), an amount up to
the excess, if any, of the Required Reserve Account Amount over the Available Reserve Account Amount
shall be deposited into the Reserve Account;

 

(ix)                                an amount equal to the amounts required to be
deposited in the Spread Account pursuant to Section 4.12(f) shall be
deposited into the Spread Account as provided in Section 4.12(f);

 

(x)                                   on a pari passu basis based on the amounts
owing to each Counterparty pursuant to this Section 4.4(a)(x): (A) an
amount equal to any partial or early termination payments or other additional
payments owed to the Class A-1 Counterparty under the Class A-1 Swap shall be
paid to the Class A-1 Counterparty, (B) an amount equal to any partial or early
termination payments or other additional payments owed to the Class A-2
Counterparty under the Class A-2 Swap shall be paid to the Class A-2
Counterparty, (C) an amount equal to any partial or early termination payments
or other additional payments owed to the Class B Counterparty under the Class B
Swap shall be paid to the Class B Counterparty, (D) an amount equal to any
partial or early termination payments or other additional payments owed to the
Class C-1 Counterparty under the Class C-1 Swap shall be paid to the Class C-1
Counterparty and (E) an amount equal to any partial or early termination
payments or other additional payments owed to the Class C-2 Counterparty under
the Class C-2 Swap shall be paid to the Class C-2 Counterparty;

 

(xi)                                any amounts designated in writing by the
Transferor to the Servicer and Indenture Trustee as amounts to be paid from
Available Finance Charge Collections shall be paid in accordance with the
Transferor’s instructions; and

 

(xii)                             the balance, if any, will constitute a
portion of Excess Finance Charge Collections for such Distribution Date.

 

(b)                                 On each Transfer Date with respect to the
Revolving Period, an amount equal to the Available Principal Collections for
the related Monthly Period shall be treated as Shared Principal Collections and
applied in accordance with Section 8.5 of the Indenture.

 

(c)                                  On each Transfer Date with respect to the
Controlled Accumulation Period or the Early Amortization Period, an amount
equal to the Available Principal Collections for the related Monthly Period
shall be distributed or deposited in the following order of priority:

 

(i)                                     during the Controlled Accumulation Period, an
amount equal to the Monthly Principal for such Transfer Date shall be deposited
into the Principal Accumulation Account;

 

(ii)                                  during the Early Amortization Period, an
amount equal to the Monthly Principal for such Transfer Date shall be deposited
into the Distribution Account on such Transfer Date and on each subsequent
Transfer Date for payment to the Class A Noteholders on the related
Distribution Date until the Class A Note Principal Balance has been paid in
full (provided that, to the extent there are not sufficient funds to pay
all

 

30

 

amounts described in this subsection
4.4(c)(ii) in full on any Distribution Date, the funds available for
distribution to the Class A Noteholders shall be paid to the Class A-1
Noteholders and the Class A-2 Noteholders pro  rata, based on the
amounts owing to the Class A-1 Noteholders and the Class A-2 Noteholders,
respectively, pursuant to this subsection 4.4(c)(ii));

 

(iii)                               during the Early Amortization Period, after
giving effect to the distribution referred to in clause (ii) above, an
amount equal to the Monthly Principal remaining, if any, shall be deposited
into the Distribution Account on such Transfer Date and on each subsequent
Transfer Date for payment to the Class B Noteholders on the related
Distribution Date until the Class B Note Principal Balance has been paid in
full;

 

(iv)                              during the Early Amortization Period, after
giving effect to the distributions referred to in clauses (ii) and (iii)
above, an amount equal to the Monthly Principal remaining, if any, shall be
deposited into the Distribution Account on such Transfer Date and on each
subsequent Transfer Date for payment to the Class C Noteholders on the related
Distribution Date until the Class C Note Principal Balance has been paid in
full (provided that, to the extent there are not sufficient funds to pay
all amounts described in this subsection 4.4(c)(iv) in full on any
Distribution Date, the funds available for distribution to the Class C
Noteholders shall be paid to the Class C-1 Noteholders and the Class C-2
Noteholders pro  rata, based on the amounts owing to the Class C-1
Noteholders and the Class C-2 Noteholders, respectively, pursuant to this subsection 4.4(c)(iv));
and

 

(v)                                 in the case of each of the Controlled
Accumulation Period and the Early Amortization Period, the balance of such
Available Principal Collections remaining after application in accordance with clauses
(i) through (iv) above shall be treated as Shared Principal
Collections and applied in accordance with Section 8.5 of the Indenture.

 

(d)                                 On each Distribution Date, the Indenture
Trustee shall pay in accordance with Section 5.2 to the Class A
Noteholders from the Distribution Account, the amount deposited into the
Distribution Account pursuant to Section 4.4(a)(i) on the preceding
Transfer Date, to the Class B Noteholders from the Distribution Account, the
amount deposited into the Distribution Account pursuant to Section
4.4(a)(ii) and to the Class C Noteholders from the Distribution Account,
the amount deposited into the Distribution Account pursuant to Section
4.4(a)(iv).

 

(e)                                  On the earlier to occur of (i) the first
Transfer Date with respect to the Early Amortization Period and (ii) the
Transfer Date immediately preceding the Class A/B Expected Principal Payment
Date, the Indenture Trustee, acting in accordance with instructions from the
Servicer, shall withdraw from the Principal Accumulation Account and deposit
into the Distribution Account amounts necessary to pay first, to the Class A
Noteholders, until paid in full, second, to the Class B Noteholders, until paid
in full, and, if the Early Amortization Period has commenced, any remainder to
the Class C Noteholders, the amounts deposited into the Principal Accumulation
Account pursuant to subsection 4.4(c)(i). On the Class C Expected
Principal Payment Date, the Indenture Trustee, acting in accordance with
instructions from the Servicer, shall withdraw from the Principal Accumulation
Account and deposit into the Distribution Account for payment to the Class C
Noteholders the amounts deposited into the

 

31

 

Principal Accumulation Account pursuant to subsection
4.4(c)(i) on the related Transfer Date. 
The Indenture Trustee, acting in accordance with the instructions of the
Servicer, shall in accordance with Section 5.2 pay from the Distribution
Account to the Class A-1 Noteholders, the Class A-2 Noteholders, the Class
B Noteholders, the Class C-1 Noteholders and the Class C-2 Noteholders, as
applicable, the amounts deposited for the account of such Noteholders into the
Distribution Account pursuant to this subsection 4.4(e) (provided
that, (x) to the extent there are not sufficient funds to pay all amounts owing
to the Class A Noteholders pursuant to this subsection 4.4(e) in full,
the funds available for distribution to the Class A Noteholders shall be paid
to the Class A-1 Noteholders and the Class A-2 Noteholders pro  rata,
based on the amounts owing to the Class A-1 Noteholders and the Class A-2
Noteholders, respectively, pursuant to this subsection 4.4(e) and (y) to
the extent there are not sufficient funds to pay all amounts owing to the Class
C Noteholders pursuant to this subsection 4.4(e) in full, the funds
available for distribution to the Class C Noteholders shall be paid to the
Class C-1 Noteholders and the Class C-2 Noteholders pro rata, based on
the amounts owing to the Class C-1 Noteholders and the Class C-2 Noteholders,
respectively, pursuant to this subsection 4.4(e)).

 

Section
4.5                                      Investor Charge-Offs.  On
each Determination Date, the Servicer shall calculate the Aggregate Investor
Default Amount and any Investor Uncovered Dilution Amount for the related
Distribution Date.  If, on any
Distribution Date, the sum of the Aggregate Investor Default Amount and any
Investor Uncovered Dilution Amount for such Distribution Date exceeds the sum
of the amount of Available Finance Charge Collections and the amount withdrawn
from the Cash Collateral Account allocated with respect thereto pursuant to subsection
4.4(a)(v) and 4.11(c), respectively, with respect to such
Distribution Date, the Collateral Amount will be reduced (but not below zero)
by the amount of such excess (such reduction, an “Investor Charge-Off”).

 

Section 4.6                                      Reallocated Principal Collections.  On
each Transfer Date, the Servicer shall apply, or shall instruct the Indenture
Trustee in writing to apply, Reallocated Principal Collections with respect to
that Transfer Date, to fund any deficiency pursuant to and in the priority set
forth in subsections 4.4(a)(i), (ii), (iii), (iv)(C) and (iv)(D)
after giving effect to any withdrawal from the Cash Collateral Account or the
Spread Account to cover such payments. 
On each Transfer Date, the Collateral Amount shall be reduced by the
amount of Reallocated Principal Collections for such Transfer Date.

 

Section 4.7                                      Excess Finance Charge Collections. 
Series 2003-A shall be an Excess Allocation Series with respect to Group
One only.  For this purpose, each
outstanding series of certificates issued by World Financial Network Master
Trust (other than series represented by the Collateral Certificate) shall be
deemed to be a Series in Group One. Subject to Section 8.6 of the
Indenture, Excess Finance Charge Collections with respect to the Excess
Allocation Series in Group One for any Transfer Date will be allocated to
Series 2003-A in an amount equal to the product of (x) the aggregate amount of
Excess Finance Charge Collections with respect to all the Excess Allocation
Series in Group One for such Distribution Date and (y) a fraction, the
numerator of which is the Finance Charge Shortfall for Series 2003-A for such
Distribution Date and the denominator of which is the aggregate amount of
Finance Charge Shortfalls for all the Excess Allocation Series in Group One for
such Distribution Date.  The “Finance
Charge Shortfall” for Series 2003-A for any Distribution Date will be equal
to the excess, if any, of (a) the full amount required to be paid, without
duplication, pursuant to subsections 4.4(a)(i)

 

32

 

through (xi) on such Distribution Date
over (b) the Available Finance
Charge Collections with respect to such Distribution Date (excluding any
portion thereof attributable to Excess Finance Charge Collections).

 

Section 4.8                                      Shared Principal Collections. 
Subject to Section 4.4 of the Pooling and Servicing Agreement and
Section 8.5 of the Indenture, Shared Principal Collections
allocable to Series 2003-A on any Transfer Date will be equal to the product of
(x) the aggregate amount of Shared Principal Collections with respect to all
Principal Sharing Series for such Transfer Date and (y) a fraction, the
numerator of which is the Principal Shortfall for Series 2003-A for such
Transfer Date and the denominator of which is the aggregate amount of Principal
Shortfalls for all the Series which are Principal Sharing Series for such
Transfer Date.  For this purpose, each
outstanding series of certificates issued by World Financial Network Master
Trust (other than series represented by the Collateral Certificate) shall be
deemed to be a Principal Sharing Series. 
The “Principal Shortfall” for Series 2003-A will be equal to (a)
for any Transfer Date with respect to the Revolving Period or the Early
Amortization Period, zero, and (b) for any Transfer Date with respect to the
Controlled Accumulation Period, the excess, if any, of the Controlled Deposit
Amount with respect to such Transfer Date over
the amount of Available Principal Collections for such Transfer Date (excluding
any portion thereof attributable to Shared Principal Collections).

 

Section 4.9                                      Certain Series Accounts.

 

(a)                                  The Indenture Trustee shall establish and
maintain with an Eligible Institution, which may be the Indenture Trustee in
the name of the Trust, on behalf of the Trust, for the benefit of the
Noteholders, four segregated trust accounts with such Eligible Institution (the
“Finance Charge Account”, the “Principal Account”, the “Principal
Accumulation Account” and the “Distribution Account”), bearing a
designation clearly indicating that the funds deposited therein are held for
the benefit of the Series 2003-A Noteholders. 
The Indenture Trustee shall possess all right, title and interest in all
funds on deposit from time to time in the Finance Charge Account, the Principal
Account, the Principal Accumulation Account and the Distribution Account and in
all proceeds thereof.  The Finance
Charge Account, the Principal Account, the Principal Accumulation Account and
the Distribution Account shall be under the sole dominion and control of the
Indenture Trustee for the benefit of the Series 2003-A Noteholders.  If at any time the institution holding the
Finance Charge Account, the Principal Account, the Principal Accumulation
Account and the Distribution Account ceases to be an Eligible Institution, the
Transferor shall notify the Indenture Trustee in writing, and the Indenture
Trustee upon being notified (or the Servicer on its behalf) shall, within ten
(10) Business Days, establish a new Finance Charge Account, a new Principal
Account, a new Principal Accumulation Account and a new Distribution Account
meeting the conditions specified above with an Eligible Institution, and shall
transfer any cash or any investments to such new Finance Charge Account, new
Principal Account, new Principal Accumulation Account and new Distribution
Account.  The Indenture Trustee, at the
written direction of the Servicer, shall (i) make withdrawals from the Finance
Charge Account, the Principal Account, the Principal Accumulation Account and
the Distribution Account from time to time, in the amounts and for the purposes
set forth in this Indenture Supplement, and (ii) on each Transfer Date (from
and after the commencement of the Controlled Accumulation Period) prior to the
termination of the Principal Accumulation Account, make deposits into the
Principal Accumulation Account in the amounts specified in,

 

33

 

and otherwise in accordance with, subsection
4.4(c)(i).  Indenture Trustee at all
times shall maintain accurate records reflecting each transaction in the
Finance Charge Account, the Principal Account, the Principal Accumulation
Account and the Distribution Account.

 

(b)                                 Funds on deposit in the Finance Charge
Account, the Principal Account, the Principal Accumulation Account and the Distribution
Account, from time to time shall be invested and reinvested at the direction of
the Servicer by the Indenture Trustee in Eligible Investments that will mature
so that such funds will be available for withdrawal on or prior to the
following Transfer Date.

 

The Indenture Trustee shall
hold such of the Eligible Investments as consists of instruments, deposit
accounts, negotiable documents, money, goods, letters of credit, and advices of
credit in the State of New York and/or Illinois. The Indenture Trustee shall
hold such of the Eligible Investments as constitutes investment property
through a securities intermediary, which securities intermediary shall agree
with the Indenture Trustee that (a) such investment property shall at all times
be credited to a securities account of the Indenture Trustee, (b) such
securities intermediary shall treat the Indenture Trustee as entitled to
exercise the rights that comprise each financial asset credited to such
securities account, (c) all property credited to such securities account shall
be treated as a financial asset, (d) such securities intermediary shall comply
with entitlement orders originated by the Indenture Trustee without the further
consent of any other person or entity, (e) such securities intermediary will
not agree with any person or entity other than the Indenture Trustee to comply
with entitlement orders originated by such other person or entity, (f) such
securities accounts and the property credited thereto shall not be subject to
any lien, security interest or right of set-off in favor of such securities
intermediary or anyone claiming through it (other than the Indenture Trustee),
and (g) such agreement shall be governed by the laws of the State of New York.
Terms used in the preceding sentence that are defined in the New York UCC and
not otherwise defined herein shall have the meaning set forth in the New York
UCC.

 

On each Transfer Date with
respect to the Controlled Accumulation Period and on the first Transfer Date
with respect to the Early Amortization Period, the Indenture Trustee, acting at
the Servicer’s direction given on or before such Transfer Date, shall transfer
from the Principal Accumulation Account to the Finance Charge Account the
Principal Accumulation Investment Proceeds on deposit in the Principal
Accumulation Account for application as Available Finance Charge Collections in
accordance with Section 4.4.

 

Principal Accumulation
Investment Proceeds (including reinvested interest) shall not be considered
part of the amounts on deposit in the Principal Accumulation Account for
purposes of this Indenture Supplement.

 

Section
4.10                                Reserve Account.

 

(a)                                  The Indenture Trustee shall establish and
maintain with an Eligible Institution, which may be the Indenture Trustee in
the name of the Trust, on behalf of the Trust, for the benefit of the Series
2003-A Noteholders, a segregated trust account (the “Reserve Account”),
bearing a designation clearly indicating that the funds deposited therein are
held for the benefit of the Series 2003-A Noteholders.  The Indenture Trustee shall possess all
right, title and interest

 

34

 

in all funds on deposit from time to time in
the Reserve Account and in all proceeds thereof.  The Reserve Account shall be under the sole dominion and control
of the Indenture Trustee for the benefit of the Series 2003-A Noteholders.  If at any time the institution holding the
Reserve Account ceases to be an Eligible Institution, the Transferor shall
notify the Indenture Trustee, and the Indenture Trustee upon being notified (or
the Servicer on its behalf) shall, within ten (10) Business Days, establish a
new Reserve Account meeting the conditions specified above with an Eligible
Institution, and shall transfer any cash or any investments to such new Reserve
Account.  The Indenture Trustee, at the
direction of the Servicer, shall (i) make withdrawals from the Reserve Account
from time to time in an amount up to the Available Reserve Account Amount at
such time, for the purposes set forth in this Indenture Supplement, and (ii) on
each Transfer Date (from and after the Reserve Account Funding Date) prior to
termination of the Reserve Account, make a deposit into the Reserve Account in
the amount specified in, and otherwise in accordance with, subsection 4.4(a)(viii).

 

(b)                                 Funds on deposit in the Reserve Account shall
be invested at the written direction of the Servicer by the Indenture Trustee
in Eligible Investments.  Funds on
deposit in the Reserve Account on any Transfer Date, after giving effect to any
withdrawals from the Reserve Account on such Transfer Date, shall be invested
in such investments that will mature so that such funds will be available for
withdrawal on or prior to the following Transfer Date.

 

The Indenture Trustee shall
hold such of the Eligible Investments as consists of instruments, deposit
accounts, negotiable documents, money, goods, letters of credit, and advices of
credit in the State of New York. The Indenture Trustee shall hold such of the
Eligible Investments as constitutes investment property through a securities
intermediary, which securities intermediary shall agree with the Indenture
Trustee that (a) such investment property shall at all times be credited to a
securities account of the Indenture Trustee, (b) such securities intermediary
shall treat the Indenture Trustee as entitled to exercise the rights that
comprise each financial asset credited to such securities account, (c) all
property credited to such securities account shall be treated as a financial
asset, (d) such securities intermediary shall comply with entitlement orders
originated by the Indenture Trustee without the further consent of any other
person or entity, (e) such securities intermediary will not agree with any
person or entity other than the Indenture Trustee to comply with entitlement
orders originated by such other person or entity, (f) such securities accounts
and the property credited thereto shall not be subject to any lien, security
interest, or right of set-off in favor of such securities intermediary or
anyone claiming through it (other than the Indenture Trustee), and (g) such
agreement shall be governed by the laws of the State of New York. Terms used in
the preceding sentence that are defined in the New York UCC and not otherwise
defined herein shall have the meaning set forth in the New York UCC.

 

On each Transfer Date, all
interest and earnings (net of losses and investment expenses) accrued since the
preceding Transfer Date on funds on deposit in the Reserve Account shall be
retained in the Reserve Account (to the extent that the Available Reserve
Account Amount is less than the Required Reserve Account Amount) and the
balance, if any, shall be deposited into the Finance Charge Account and
included in Available Finance Charge Collections for such Transfer Date.  For purposes of determining the availability
of funds or the balance in the Reserve Account for any reason under this
Indenture Supplement, except as otherwise provided

 

35

 

in the preceding sentence, investment
earnings on such funds shall be deemed not to be available or on deposit.

 

(c)                                  On or before each Transfer Date with respect
to the Controlled Accumulation Period and on or before the first Transfer Date
with respect to the Early Amortization Period, the Servicer shall calculate the
Reserve Draw Amount; provided, however,
that such amount will be reduced to the extent that funds otherwise would be
available for deposit in the Reserve Account under Section 4.4(a)(viii)
with respect to such Transfer Date.

 

(d)                                 If for any Transfer Date the Reserve Draw
Amount is greater than zero, the Reserve Draw Amount, up to the Available
Reserve Account Amount, shall be withdrawn from the Reserve Account on such
Transfer Date by the Indenture Trustee (acting in accordance with the written
instructions of the Servicer) and deposited into the Finance Charge Account for
application as Available Finance Charge Collections for such Transfer Date.

 

(e)                                  If the Reserve Account Surplus on any
Transfer Date, after giving effect to all deposits to and withdrawals from the
Reserve Account with respect to such Transfer Date, is greater than zero, the
Indenture Trustee, acting in accordance with the written instructions of the
Servicer, shall withdraw from the Reserve Account an amount equal to such
Reserve Account Surplus and (i) deposit such amounts in the Spread Account, to
the extent that funds on deposit in the Spread Account are less than the
Required Spread Account Amount, and (ii) distribute any such amounts remaining
after application pursuant to subsection 4.10(e)(i) to the holders of
the Transferor Interest.

 

(f)                                    Upon the earliest to occur of (i) the
termination of the Trust pursuant to Article VIII of the Trust
Agreement, (ii) the first Transfer Date relating to the Early Amortization
Period and (iii) the Transfer Date immediately preceding the Class A/B Expected
Principal Payment Date, the Indenture Trustee, acting in accordance with the
instructions of the Servicer, after the prior payment of all amounts owing to
the Series 2003-A Noteholders that are payable from the Reserve Account as
provided herein, shall withdraw from the Reserve Account all amounts, if any,
on deposit in the Reserve Account and (i) deposit such amounts in the Spread
Account, to the extent that funds on deposit in the Spread Account are less
than the Required Spread Account Amount, and (ii) distribute any such amounts
remaining after application pursuant to subsection 4.10(f)(i) to the
holders of the Transferor Interest.  The
Reserve Account shall thereafter be deemed to have terminated for purposes of
this Indenture Supplement.  Funds on
deposit in the Reserve Account at any time that the Controlled Accumulation
Period is suspended pursuant to Section 4.15 shall remain on deposit
until applied in accordance with subsection 4.10(d), (e) or (f).

 

Section 4.11                                Cash Collateral Account.

 

(a)                                  The Indenture Trustee shall establish and
maintain with an Eligible Institution, which may be the Indenture Trustee in
the name of the Trust, on behalf of the Trust, for the benefit of the Series
2003-A Noteholders, a segregated trust account (the “Cash Collateral Account”),
bearing a designation clearly indicating that the funds deposited therein are
held for the benefit of the Series 2003-A Noteholders.  The Indenture Trustee shall possess all
right, title and interest in all funds on deposit from time to time in the Cash
Collateral Account and in all

 

36

 

proceeds thereof.  The Cash Collateral Account shall be under the sole dominion and
control of the Indenture Trustee for the benefit of the Series 2003-A
Noteholders.  If at any time the
institution holding the Cash Collateral Account ceases to be an Eligible
Institution, the Transferor shall notify the Indenture Trustee, and the
Indenture Trustee upon being notified (or the Servicer on its behalf) shall,
within ten (10) Business Days, establish a new Cash Collateral Account meeting
the conditions specified above with an Eligible Institution, and shall transfer
any cash or any investments to such new Cash Collateral Account.

 

(b)                                 On the Closing Date, Transferor shall deposit
$3,500,000 in immediately available funds into the Cash Collateral
Account.  On the Additional Issuance
Date, Transferor shall deposit an amount equal to the Additional Cash
Collateral Deposit in immediately available funds into the Cash Collateral
Account.  Funds on deposit in the Cash
Collateral Account shall be invested at the written direction of the Servicer
by the Indenture Trustee in Eligible Investments.  Funds on deposit in the Cash Collateral Account on any Transfer
Date, after giving effect to any withdrawals from the Cash Collateral Account
on such Transfer Date, shall be invested in such investments that will mature
so that such funds will be available for withdrawal on or prior to the
following Transfer Date.

 

The Indenture Trustee shall
hold such of the Eligible Investments as consists of instruments, deposit
accounts, negotiable documents, money, goods, letters of credit, and advices of
credit in the State of New York. The Indenture Trustee shall hold such of the
Eligible Investments as constitutes investment property through a securities
intermediary, which securities intermediary shall agree with the Indenture
Trustee that (a) such investment property shall at all times be credited to a
securities account of the Indenture Trustee, (b) such securities intermediary
shall treat the Indenture Trustee as entitled to exercise the rights that
comprise each financial asset credited to such securities account, (c) all
property credited to such securities account shall be treated as a financial
asset, (d) such securities intermediary shall comply with entitlement orders
originated by the Indenture Trustee without the further consent of any other
person or entity, (e) such securities intermediary will not agree with any
person or entity other than the Indenture Trustee to comply with entitlement
orders originated by such other person or entity, (f) such securities accounts
and the property credited thereto shall not be subject to any lien, security
interest, or right of set-off in favor of such securities intermediary or
anyone claiming through it (other than the Indenture Trustee), and (g) such
agreement shall be governed by the laws of the State of New York. Terms used in
the preceding sentence that are defined in the New York UCC and not otherwise
defined herein shall have the meaning set forth in the New York UCC.

 

On each Transfer Date, all
interest and earnings (net of losses and investment expenses) accrued since the
preceding Transfer Date on funds on deposit in the Cash Collateral Account
shall be retained in the Cash Collateral Account (to the extent that the
Available Cash Collateral Account Amount is less than the Required Cash
Collateral Account Amount) and the balance, if any, shall be deposited into the
Finance Charge Account and included in Available Finance Charge Collections for
such Transfer Date.  For purposes of
determining the availability of funds or the balance in the Cash Collateral
Account for any reason under this Indenture Supplement, except as otherwise
provided in the preceding sentence, interest and earnings on such funds shall
be deemed not to be available or on deposit.

 

37

 

(c)                                  On each Determination Date, Servicer shall
calculate the amount (the “Required Draw Amount”) by which the sum of
the amounts required to be distributed pursuant to Sections 4.4(a)(i)
through (v) with respect to the related Transfer Date exceeds the amount
of Available Finance Charge Collections with respect to the related Monthly
Period.  If the Required Draw Amount for
any Transfer Date is greater than zero, Servicer shall give written notice to
the Indenture Trustee of such positive Required Draw Amount on the related
Determination Date.  On the related
Transfer Date, the Required Draw Amount, if any, up to the Available Cash
Collateral Amount, shall be withdrawn from the Cash Collateral Account and
distributed to fund any deficiency pursuant to Section 4.4(a)(i) through
(v) (in the order of priority set forth in Section 4.4(a)).

 

(d)                                 If, after giving effect to all deposits to
and withdrawals from the Cash Collateral Account with respect to any Transfer
Date, the amount on deposit in the Cash Collateral Account exceeds the Required
Cash Collateral Amount, the Indenture Trustee acting in accordance with the
instructions of the Servicer, shall withdraw an amount equal to such excess
from the Cash Collateral Account and (i) deposit such amounts in the Spread
Account, to the extent that funds on deposit in the Spread Account are less
than the Required Spread Account Amount and (ii) distribute such amounts
remaining after application pursuant to subsection 4.11(d) to the
Transferor.

 

Section
4.12                                Spread Account.

 

(a)                                  On or prior to the Closing Date, the
Indenture Trustee shall establish and maintain with an Eligible Institution,
which may be the Indenture Trustee in the name of the Trust, on behalf of the
Trust, for the benefit of the Class C Noteholders and the Transferor, a
segregated account (the “Spread Account”), bearing a designation clearly
indicating that the funds deposited therein are held for the benefit of the
Class C Noteholders and the Transferor. 
Except as otherwise provided in this Section 4.12, the Indenture
Trustee shall possess all right, title and interest in all funds on deposit
from time to time in the Spread Account and in all proceeds thereof.  The Spread Account shall be under the sole
dominion and control of the Indenture Trustee for the benefit of the Class C
Noteholders and the holder of the Transferor Interest.  If at any time the institution holding the
Spread Account ceases to be an Eligible Institution, the Servicer shall notify
the Indenture Trustee in writing, and the Indenture Trustee upon being notified
(or the Servicer on its behalf) shall, within ten (10) Business Days (or such
longer period as to which the Rating Agencies may consent) establish a new
Spread Account meeting the conditions specified above with an Eligible
Institution and shall transfer any cash or any investments to such new Spread
Account.  The Indenture Trustee, at the
written direction of the Servicer, shall (i) make withdrawals from the Spread
Account from time to time in an amount up to the Available Spread Account
Amount at such time, for the purposes set forth in this Indenture Supplement,
and (ii) on each Transfer Date prior to termination of the Spread Account, make
a deposit into the Spread Account in the amount specified in, and otherwise in
accordance with, subsection 4.12(f).

 

(b)                                 On the Closing Date, the Transferor shall
deposit $1,400,000 in immediately available funds into the Spread Account.  Funds on deposit in the Spread Account shall
be invested at the written direction of the Servicer by the Indenture Trustee
in Eligible Investments.  Funds on
deposit in the Spread Account on any Transfer Date, after giving effect to any

 

38

 

withdrawals from and deposits to the Spread
Account on such Transfer Date, shall be invested in such investments that will
mature so that such funds will be available for withdrawal on or prior to the
following Transfer Date.

 

The Indenture Trustee shall
hold such of the Eligible Investments as consists of instruments, deposit
accounts, negotiable documents, money, goods, letters of credit, and advices of
credit in the State of New York. The Indenture Trustee shall hold such of the
Eligible Investments as constitutes investment property through a securities
intermediary, which securities intermediary shall agree with the Indenture
Trustee that (a) such investment property shall at all times be credited to a
securities account of the Indenture Trustee, (b) such securities intermediary
shall treat the Indenture Trustee as entitled to exercise the rights that
comprise each financial asset credited to such securities account, (c) all
property credited to such securities account shall be treated as a financial
asset, (d) such securities intermediary shall comply with entitlement orders
originated by the Indenture Trustee without the further consent of any other
person or entity, (e) such securities intermediary will not agree with any
person or entity other than the Indenture Trustee to comply with entitlement
orders originated by such other person or entity, (f) such securities accounts
and the property credited thereto shall not be subject to any lien, security
interest, or right of set-off in favor of such securities intermediary or
anyone claiming through it (other than the Indenture Trustee), and (g) such
agreement shall be governed by the laws of the State of New York. Terms used in
the preceding sentence that are defined in the New York UCC and not otherwise
defined herein shall have the meaning set forth in the New York UCC. Except as
permitted by this subsection 4.12(b), the Indenture Trustee shall not
hold Eligible Investments through an agent or a nominee.

 

On each Transfer Date (but
subject to subsection 4.12(c)), the Investment Earnings, if any, accrued
since the preceding Transfer Date on funds on deposit in the Spread Account
shall be retained in the Spread Account (to the extent that the Available
Spread Account Amount is less than the Required Spread Account Amount) and the
balance, if any, shall be deposited into the Finance Charge Account and
included in Available Finance Charge Collections for such Transfer Date.  For purposes of determining the availability
of funds or the balance in the Spread Account for any reason under this Indenture
Supplement (subject to subsection 4.12(c)), all Investment Earnings
shall be deemed not to be available or on deposit.

 

(c)                                  If, on any Transfer Date, the aggregate
amount of Available Finance Charge Collections and the amount, if any,
withdrawn from the Cash Collateral Account available for deposit into the
Distribution Account pursuant to subsection 4.4(a)(iv) and 4.11(c),
respectively, is less than the aggregate amount required to be deposited
pursuant to subsection 4.4(a)(iv), the Indenture Trustee, at the written
direction of the Servicer, shall withdraw from the Spread Account the amount of
such deficiency up to the Available Spread Account Amount and, if the Available
Spread Account Amount is less than such deficiency, Investment Earnings credited
to the Spread Account, and deposit such amount in the Distribution Account to
fund any deficiency pursuant to subsection 4.4(a)(iv).

 

(d)                                 On the earlier of Series 2003-A Final
Maturity Date and the date on which the Class A Note Principal Balance and the
Class B Note Principal Balance have been paid in full, after applying any funds
on deposit in the Spread Account as described in Section 4.12(c), the
Indenture Trustee at the written direction of the Servicer shall withdraw from
the Spread

 

39

 

Account an amount equal to the lesser of (i)
the Class C Note Principal Balance (after any payments to be made pursuant to subsection 4.4(c)
on such date) and (ii) the Available Spread Account Amount and, if the Available
Spread Account Amount is not sufficient to reduce the Class C Note Principal
Balance to zero, Investment Earnings credited to the Spread Account up to the
amount required to reduce the Class C Note Principal Balance to zero, and the
Indenture Trustee upon the written direction of the Servicer or the Servicer
shall deposit such amounts into the Collection Account for distribution to the
Class C Noteholders in accordance with subsection 5.2(e).

 

(e)                                  On any day following the occurrence of an
Event of Default with respect to Series 2003-A and acceleration of the maturity
of the Series 2003-A Notes pursuant to Section 5.3 of the Indenture,
Servicer shall withdraw from the Spread Account an amount equal to the
Available Spread Account Amount and Indenture Trustee or Servicer shall deposit
such amounts into the Distribution Account for distribution to the Class C
Noteholders, the Class A Noteholders and the Class B Noteholders, in that order
of priority, in accordance with Section 5.2, to fund any shortfalls in amounts
owed to such Noteholders.

 

(f)                                    If on any Transfer Date, after giving effect
to all withdrawals from the Spread Account, the Available Spread Account Amount
is less than the Required Spread Account Amount then in effect, Available
Finance Charge Collections shall be deposited into the Spread Account pursuant
to subsection 4.4(a)(ix) up to the amount of the Spread Account
Deficiency.  The Transferor shall make a
deposit in an amount equal to the Additional Spread Account Amount (calculated
after giving effect to any deposit pursuant to the preceding sentence) on the
Additional Issuance Date.

 

(g)                                 If, after giving effect to all deposits to
and withdrawals from the Spread Account with respect to any Transfer Date, the
amount on deposit in the Spread Account exceeds the Required Spread Account
Amount, the Indenture Trustee acting in accordance with the instructions of the
Servicer, shall withdraw an amount equal to such excess from the Spread Account
and distribute such amount to the Transferor. 
On the date on which the Class C Note Principal Balance has been paid in
full, after making any payments to the Noteholders required pursuant to subsections
4.12(c), (d) and (e), the Indenture Trustee, at the written
direction of Servicer, shall withdraw from the Spread Account all amounts then
remaining in the Spread Account and pay such amounts to the holders of the
Transferor Interest.

 

Section 4.13                                Investment Instructions.  Any
investment instructions required to be given to the Indenture Trustee pursuant
to the terms hereof must be given to the Indenture Trustee no later than 11:00
a.m., New York City time, on the date such investment is to be made.  In the event the Indenture Trustee receives
such investment instruction later than such time, the Indenture Trustee may,
but shall have no obligation to, make such investment.  In the event the Indenture Trustee is unable
to make an investment required in an investment instruction received by the
Indenture Trustee after 11:00 a.m., New York City time, on such day, such
investment shall be made by the Indenture Trustee on the next succeeding
Business Day.  In no event shall the
Indenture Trustee be liable for any investment not made pursuant to investment
instructions received after 11:00 a.m., New York City time, on the day such
investment is requested to be made.

 

40

 

Section 4.14                                Controlled Accumulation Period.  The
Controlled Accumulation Period is scheduled to commence at the beginning of
business on May 1, 2007; provided that if the Controlled Accumulation
Period Length (determined as described below) on any Determination Date on or
after the April 2007 Determination Date is less than 12 months, upon written
notice to the Indenture Trustee, Transferor and, each Rating Agency, Servicer,
at its option, may elect to modify the date on which the Controlled
Accumulation Period actually commences to the first Business Day of the month
that is the number of whole months prior to the month in which the Class A/B
Expected Principal Payment Date occurs at least equal to the Controlled
Accumulation Period Length (so that, as a result of such election, the number
of Monthly Periods in the Controlled Accumulation Period will at least equal
the Controlled Accumulation Period Length); provided that (i) the length
of the Controlled Accumulation Period will not be less than two months, (ii)
such determination of the Controlled Accumulation Period Length shall be made
on each Determination Date on and after the April 2007 Determination Date but
prior to the commencement of the Controlled Accumulation Period, and any
election to shorten the Controlled Accumulation Period shall be subject to the
subsequent lengthening of the Controlled Accumulation Period to the Controlled
Accumulation Period Length determined on any subsequent Determination Date, but
the Controlled Accumulation Period shall in no event commence prior to the
Controlled Accumulation Date, and (iii) notwithstanding any other provision of
this Indenture Supplement to the contrary, no election to postpone the
commencement of the Controlled Accumulation Period shall be made after an Early
Amortization Event shall have occurred and be continuing with respect to any
other Series.  The “Controlled
Accumulation Period Length” will mean a number of whole months such that
the amount available for distribution of principal on the Class A Notes and the
Class B Notes on the Class A/B Expected Payment Date is expected to equal or
exceed the sum of the Class A Note Principal Balance and the Class B Note
Principal Balance, assuming for this purpose that (1) the payment rate with
respect to Principal Collections remains constant at the lowest level of such
payment rate during the twelve preceding Monthly Periods (or such lower payment
rate as Servicer may select), (2) the total amount of Principal Receivables in
the Trust (and the principal amount on deposit in the Excess Funding Account,
if any) remains constant at the level on such date of determination, (3) no
Early Amortization Event with respect to any Series will subsequently occur and
(4) no additional Series (other than any Series being issued on such date of
determination) will be subsequently issued. 
Any notice by Servicer electing to modify the commencement of the
Controlled Accumulation Period pursuant to this Section 4.14 shall
specify (i) the Controlled Accumulation Period Length, (ii) the commencement
date of the Controlled Accumulation Period and (iii) the Controlled
Accumulation Amount with respect to each Monthly Period during the Controlled
Accumulation Period.  The Servicer shall
calculate the Controlled Accumulation Period Length on each Determination Date
prior to the April 2007 Determination Date as necessary to determine the
Reserve Account Funding Date.

 

Section 4.15                                Suspension of Controlled Accumulation Period.  (a)
The Servicer may elect to suspend the commencement of the Controlled
Accumulation Period with prior notice to the Rating Agencies.  The commencement of the Controlled Accumulation
Period shall be suspended upon delivery by the Servicer to the Indenture
Trustee of (i) an Officer’s Certificate stating that the Servicer has elected
to suspend the commencement of the Controlled Accumulation Period and that all
conditions precedent to such suspension set forth in this Section 4.15
have been satisfied, (ii) a copy of an executed Qualified Maturity Agreement
and (iii) an Opinion of Counsel addressed to the Indenture Trustee as to the
due authorization,

 

41

 

execution and delivery and the validity and
enforceability of such Qualified Maturity Agreement.  The Issuer does hereby transfer, assign, set-over, and otherwise
convey to the Indenture Trustee for the benefit of the Series 2003-A
Noteholders, without recourse, all of its rights under any Qualified Maturity
Agreement obtained in accordance with this Section 4.15 and all proceeds
thereof.  Such property shall constitute
part of the Trust Estate for all purposes of the Indenture.  The foregoing transfer, assignment, set-over
and conveyance does not constitute and is not intended to result in a creation
or an assumption by the Indenture Trustee or any Noteholder of any obligation
of the Issuer or any other Person in connection with a Qualified Maturity
Agreement or under any agreement or instrument relating thereto.

 

The Indenture Trustee hereby
acknowledges its acceptance, to the extent validly transferred, assigned,
set-over or otherwise conveyed to the Indenture Trustee, for the benefit of the
Series 2003-A Noteholders, of all of the rights previously held by the Issuer
under any Qualified Maturity Agreement obtained by the Issuer and all proceeds
thereof, and declares that it shall hold such rights upon the trust set forth
herein and in the Agreement, and subject to the terms hereof and thereof, for
the benefit of the Series 2003-A Noteholders.

 

(b)                                 The Issuer shall cause the provider of each
Qualified Maturity Agreement to deposit into the Principal Accumulation Account
on or before the Class A/B Expected Principal Payment Date an amount equal to
the initial Note Principal Balance (excluding the Class C Note Initial
Principal Balance) and a further deposit into the Principal Accumulation
Account on the Class C Expected Principal Payment Date in an amount equal to
the Class C Note Initial Principal Balance; provided, however,
that the Issuer may, if provided in the related Qualified Maturity Agreement,
fund all or a portion of such deposits with the proceeds of the issuance of a
new Series or with the Available Principal Collections with respect to such
Transfer Date.  The amounts so
deposited  shall be applied on the Class
A/B Expected Principal Payment Date and the Class C Expected Principal Payment
Date, respectively, pursuant to subsection 4.4(c) as if the commencement
of the Controlled Accumulation Period had not been suspended.

 

(c)                                  Each Qualified Maturity Agreement shall
terminate at the close of business on the Class C Expected Principal Payment
Date; provided, however, that the Issuer may terminate a
Qualified Maturity Agreement prior to such Distribution Date, with notice to
each Rating Agency, if (i) the Available Reserve Account Amount equals the
Required Reserve Account Amount and (ii) one of the following events occurs:
(A) the Issuer obtains a substitute Qualified Maturity Agreement, (B) the
provider of the Qualified Maturity Agreement ceases to qualify as an Eligible
Institution and the Issuer is unable to obtain a substitute Qualified Maturity
Agreement or (C) an Early Amortization Event occurs.  In addition, the Issuer may terminate a Qualified Maturity
Agreement prior to the later of (i) the date on which the Controlled
Accumulation Period was scheduled to begin, before giving effect to the
suspension of the Controlled Accumulation Period, and (ii) the date to which
the commencement of the Controlled Accumulation Period may be postponed
pursuant to Section 4.14 (as determined on the Determination Date
preceding the date of such termination), in which case the commencement of the
Controlled Accumulation Period shall be determined as if the Issuer had not
elected to suspend such commencement; provided, however, that the
available Reserve Account Amount equals the Required Reserve Account
Amount.  In the event that the provider
of a Qualified Maturity Agreement ceases to qualify as an Eligible Institution,
the Issuer shall use its best efforts to obtain a substitute Qualified Maturity
Agreement.

 

42

 

(d)                                 If a Qualified Maturity Agreement is
terminated prior to the earlier of the Class C Expected Principal Payment Date
and the commencement of the Early Amortization Period and the Issuer does not
obtain a substitute Qualified Maturity Agreement, the Controlled Accumulation
Period shall commence on the latest of (i) the beginning of business on May 1,
2007, (ii) at the election of the Servicer, the date to which the commencement
of the Controlled Accumulation Period may be postponed pursuant to Section 4.l4
(as determined on the date of such termination) and (iii) the first day of the
Monthly Period following the date of such termination.

 

Section 4.16                                Determination of LIBOR.

 

(a)                                  On each LIBOR Determination Date in respect
of a Distribution Period, the Indenture Trustee shall determine LIBOR on the
basis of the rate for deposits in United States dollars for a period of the
Designated Maturity which appears on Telerate Page 3750 as of 11:00 a.m.,
London time, on such date.  If such rate
does not appear on Telerate Page 3750, the rate for that Distribution Period
Determination Date shall be determined on the basis of the rates at which
deposits in United States dollars are offered by the Reference Banks at
approximately 11:00 a.m., London time, on that day to prime banks in the London
interbank market for a period of the Designated Maturity.  The Indenture Trustee shall request the
principal London office of each of the Reference Banks to provide a quotation
of its rate.  If at least two (2) such
quotations are provided, the rate for that Distribution Period shall be the
arithmetic mean of the quotations.  If
fewer than two (2) quotations are provided as requested, the rate for that
Distribution Period will be the arithmetic mean of the rates quoted by major
banks in New York City, selected by the Servicer, at approximately 11:00 a.m.,
New York City time, on that day for loans in United States dollars to leading
European banks for a period of the Designated Maturity.

 

(b)                                 The Class A Note Interest Rate, the Class B
Note Interest Rate and the Class C Note Interest Rate applicable to the then
current and the immediately preceding Distribution Periods may be obtained by
telephoning the Indenture Trustee at its corporate trust office at (312)
827-8500 or such other telephone number as shall be designated by the Indenture
Trustee for such purpose by prior written notice by the Indenture Trustee to
each Series 2003-A Noteholder from time to time.

 

(c)                                  On each LIBOR Determination Date, the
Indenture Trustee shall send to the Servicer by facsimile transmission,
notification of LIBOR for the following Distribution Period.

 

Section 4.17                                Class A-1 Swap and Class C-1 Swap.  (a) On or prior to the Closing
Date, the Issuer shall enter into a Class A-1 Swap with the Class A-1
Counterparty and a Class C-1 Swap with the Class C-1 Counterparty for the benefit
of the Class A-1 Noteholders and Class C-1 Noteholders, respectively.  The aggregate notional amount under the
Class A-1 Swap shall, at any time, be equal to the Class A-1 Note Principal
Balance at such time.  The aggregate
notional amount under the Class C-1 Swap shall, at any time, be equal to the
Class C-1 Note Principal Balance at such time. 
Net Swap Receipts payable by the Class A-1 Counterparty or the Class C-1
Counterparty shall be deposited by the Indenture Trustee in the Collection
Account on the day received and treated as Available Finance Charge
Collections.  On any Distribution Date
when there shall be a Class A-1 Net Swap Payment, such Class A-1 Net Swap
Payment shall be paid as provided in subsection 4.4(a)(i).  On any Distribution Date when there shall be
a Class C-1

 

43

 

Net Swap Payment, such Class C-1 Net Swap Payment shall be paid as
provided in subsection 4.4(a)(iv). 
On any Distribution Date when there shall be early termination payments
or any other miscellaneous payments payable by the Issuer to the
Counterparties, such amounts shall be paid as provided in subsection
4.4(a)(x).

 

(b)                                 The Servicer may, upon satisfaction of the
Rating Agency Condition, and, when required under the terms of the existing
Class A-1 Swap or Class C-1 Swap, shall obtain a replacement Class A-1 Swap or
Class C-1 Swap, as applicable.

 

(c)                                  If the Issuer enters into a Class A-2 Swap, a
Class B Swap or a Class C-2 Swap in connection with the issuance of the Class
A-2 Notes, the Class B Notes or the Class C-2 Notes, respectively, certain
terms with respect to such Class A-2 Swap, such Class B Swap or such Class C-2
Swap, as applicable, will be specified in the Issuance Supplement.

 

ARTICLE V.

 

Delivery of Series 2003-A
Notes; Distributions; Reports to Series 2003-A Noteholders

 

Section 5.1                                      Delivery and Payment for the Series 2003-A
Notes.

 

The Issuer shall execute and
issue, and the Indenture Trustee shall authenticate, the Series 2003-A Notes in
accordance with Section 2.3 of the Indenture.  The Indenture Trustee shall deliver the Series 2003-A Notes to or
upon the written order of the Trust when so authenticated.

 

Section
5.2                                      Distributions.

 

(a)                                  On each Distribution Date, the Indenture
Trustee shall distribute to each Class A-1 Noteholder of record on the related
Record Date (other than as provided in Section 11.2 of the Indenture)
such Class A-1 Noteholder’s pro rata
share of the amounts on deposit in the Distribution Account that are allocated
and available on such Distribution Date and as are payable to the Class A-1
Noteholders pursuant to this Indenture Supplement.

 

(b)                                 On each Distribution Date, the Indenture
Trustee shall distribute to each Class A-2 Noteholder of record on the related
Record Date (other than as provided in Section 11.2 of the Indenture)
such Class A-2 Noteholder’s pro rata
share of the amounts on deposit in the Distribution Account that are allocated
and available on such Distribution Date and as are payable to the Class A-2
Noteholders pursuant to this Indenture Supplement.

 

(c)                                  On each Distribution Date, the Indenture
Trustee shall distribute to each Class B Noteholder of record on the related
Record Date (other than as provided in Section 11.2 of the Indenture)
such Class B Noteholder’s pro rata
share of the amounts on deposit in the Distribution Account that are allocated
and available on such Distribution Date and as are payable to the Class B
Noteholders pursuant to this Indenture Supplement.

 

(d)                                 On each Distribution Date, the Indenture
Trustee shall distribute to each Class C-1 Noteholder of record on the related
Record Date (other than as provided in Section 11.2 of the Indenture)
such Class C-1 Noteholder’s pro rata share
of the amounts on deposit in the Distribution Account (including amounts
withdrawn from the Spread Account (at the times and

 

44

 

in the amounts specified in Section 4.12))
that are allocated and available on such Distribution Date and as are payable
to the Class C-1 Noteholders pursuant to this Indenture Supplement.

 

(e)                                  On each Distribution Date, the Indenture
Trustee shall distribute to each Class C-2 Noteholder of record on the related
Record Date (other than as provided in Section 11.2 of the Indenture)
such Class C-2 Noteholder’s pro rata
share of the amounts on deposit in the Distribution Account (including amounts
withdrawn from the Spread Account (at the times and in the amounts specified in
Section 4.12)) that are allocated and available on such Distribution Date
and as are payable to the Class C-2 Noteholders pursuant to this Indenture
Supplement.

 

(f)                                    The distributions to be made pursuant to this
Section 5.2 are subject to the provisions of Sections 2.6, 6.1
and 7.1 of the Transfer and Servicing Agreement, Section 11.2 of
the Indenture and Section 7.1 of this Indenture Supplement.

 

(g)                                 Except as provided in Section 11.2 of
the Indenture with respect to a final distribution, distributions to Series
2003-A Noteholders hereunder shall be made by (i) check mailed to each Series
2003-A Noteholder (at such Noteholder’s address as it appears in the Note
Register), except that for any Series 2003-A Notes registered in the name of
the nominee of a Clearing Agency, such distribution shall be made by wire
transfer of immediately available funds and (ii) without presentation or
surrender of any Series 2003-A Note or the making of any notation thereon.

 

Section 5.3                                      Reports and Statements to Series 2003-A
Noteholders.

 

(a)                                  On each Distribution Date, the Indenture
Trustee shall forward to each Series 2003-A Noteholder a statement
substantially in the form of Exhibit C prepared by the Servicer.

 

(b)                                 Not later than the second Business Day
preceding each Distribution Date, the Servicer shall deliver to the Owner
Trustee, the Indenture Trustee and each Rating Agency (i) a statement
substantially in the form of Exhibit B prepared by the Servicer and
(ii)  a certificate of an Authorized
Officer substantially in the form of Exhibit D; provided that the
Servicer may amend the form of Exhibit B from time to time, with the
prior written consent of the Indenture Trustee.

 

(c)                                  A copy of each statement or certificate
provided pursuant to paragraph (a) or (b) may be obtained by any
Series 2003-A Noteholder by a request in writing to the Servicer.

 

(d)                                 On or before January 31 of each calendar
year, beginning with January 31, 2004, the Indenture Trustee shall furnish or
cause to be furnished to each Person who at any time during the preceding
calendar year was a Series 2003-A Noteholder, a statement prepared by the
Servicer containing the information which is required to be contained in the
statement to Series 2003-A Noteholders, as set forth in paragraph (a)
above, aggregated for such calendar year or the applicable portion thereof
during which such Person was a Series 2003-A Noteholder, together with other
information as is required to be provided by an issuer of indebtedness under
the Code.  Such obligation of the
Indenture Trustee shall be deemed to have been satisfied to the extent that
substantially comparable information shall be provided by the Servicer pursuant
to any requirements of the Code as from time to time in effect.

 

45

 

ARTICLE VI.

 

Series 2003-A Early
Amortization Events

 

Section 6.1                                      Series 2003-A Early Amortization Events.  If
any one of the following events shall occur with respect to the Series 2003-A
Notes:

 

(a)                                  failure on the part of Transferor or the
“Transferor” under the Pooling and Servicing Agreement (i) to make any payment
or deposit required to be made by it by the terms of the Pooling and Servicing
Agreement, the Collateral Series Supplement, the Transfer and Servicing
Agreement, the Indenture or this Indenture Supplement on or before the date
occurring five (5) Business Days after the date such payment or deposit is
required to be made therein or herein or (ii) duly to observe or perform in any
material respect any other of its covenants or agreements set forth in the
Transfer and Servicing Agreement, the Pooling and Servicing Agreement, the
Indenture or this Indenture Supplement, which failure has a material adverse
effect on the Series 2003-A Noteholders and which continues unremedied for a
period of sixty (60) days after the date on which written notice of such
failure, requiring the same to be remedied, shall have been given to the
Transferor by the Indenture Trustee, or to the Transferor and the Indenture
Trustee by any Holder of the Series 2003-A Notes;

 

(b)                                 any representation or warranty made by
Transferor or the “Transferor” under the Pooling and Servicing Agreement, in
the Transfer and Servicing Agreement or the Pooling and Servicing Agreement or
any information contained in a computer file or microfiche list required to be
delivered by it pursuant to Section 2.1 or subsection 2.6(c) of
the Transfer and Servicing Agreement or Section 2.1 or subsection
2.6(c) of the Pooling and Servicing Agreement shall prove to have been
incorrect in any material respect when made or when delivered, which continues
to be incorrect in any material respect for a period of sixty (60) days after
the date on which written notice of such failure, requiring the same to be
remedied, shall have been given to the Transferor by the Indenture Trustee, or
to the Transferor and the Indenture Trustee by any Holder of the Series 2003-A
Notes and as a result of which the interests of the Series 2003-A Noteholders
are materially and adversely affected for such period; provided, however, that a Series 2003-A Early Amortization Event pursuant to
this subsection 6.1(b) shall not be deemed to have occurred hereunder if
the Transferor has accepted reassignment of the related Receivable, or all of
such Receivables, if applicable, during such period in accordance with the
provisions of the Transfer and Servicing Agreement or the Pooling and Servicing
Agreement;

 

(c)                                  a failure by Transferor or the “Transferor”
under the Pooling and Servicing Agreement to convey Receivables in Additional
Accounts or Participations to the Receivables Trust within five (5) Business Days
after the day on which it is required to convey such Receivables pursuant to subsection
2.6(b) of the Transfer and Servicing Agreement or subsection 2.8(b)
of the Pooling and Servicing Agreement, respectively, provided that such
failure shall not give rise to an Early Amortization Event if, prior to the
date on which such conveyance was required to be completed, Transferor causes a
reduction in the invested amount of any Variable Interest to occur, so that,
after giving effect to that reduction (i) the Transferor Amount is not less
than the Minimum Transferor Amount (including the Additional Minimum Transferor
Amount, if any) and (ii) the sum of the aggregate amount of Principal
Receivables plus amounts on deposit in the Excess Funding Account is not less
than the Required Principal Balance;

 

46

 

(d)                                 any Servicer Default or any “Servicer
Default” under the Pooling and Servicing Agreement shall occur;

 

(e)                                  the Portfolio Yield averaged over three
consecutive Monthly Periods is less than the Base Rate averaged over such
period;

 

(f)                                    the Class A Note Principal Balance or the
Class B Note Principal Balance shall not be paid in full on the Class A/B
Expected Principal Payment Date or the Class C Note Principal Balance shall not
be paid in full on the Class C Expected Principal Payment Date, respectively;

 

(g)                                 any Counterparty shall fail to pay any net
amount payable by such Counterparty under the Class A-1 Swap, the Class A-2
Swap, the Class B Swap, the Class C-1 Swap or the Class C-2 Swap, as
applicable, as a result of LIBOR being greater than the Class A-1 Swap Rate,
the Class A-2 Swap Rate, the Class B Swap Rate, the Class C-1 Swap Rate or the
Class C-2 Swap Rate, as applicable, and such failure is not cured within five
Business Days;

 

(h)                                 the Class A-1 Swap shall terminate prior to
the earlier of the payment in full of the Class A-1 Notes and the Series
Termination Date and the Issuer shall fail to enter into a replacement Class
A-1 Swap in accordance with the Issuance Supplement; the Class A-2 Swap (if
any) shall terminate prior to the earlier of the payment in full of the Class
A-2 Notes and the Series Termination Date and the Issuer shall fail to enter
into a replacement Class A-2 Swap in accordance with the Issuance Supplement;
the Class B Swap (if any) shall terminate prior to the earlier of the payment
in full of the Class B Notes and the Series Termination Date and the Issuer
shall fail to enter into a replacement Class B Swap in accordance with the
Issuance Supplement; the Class C-1 Swap shall terminate prior to the earlier of
the payment in full of the Class C-1 Notes and the Series Termination Date and
the Issuer shall fail to enter into a replacement Class C-1 Swap in accordance
with subsection 4.17(b); or the Class C-2 Swap (if any) shall terminate
prior to the earlier of the payment in full of the Class C-2 Notes and the
Series Termination Date and the Issuer shall fail to enter into a replacement
Class C-2 Swap in accordance with the Issuance Supplement.

 

(i)                                     without limiting the foregoing, the
occurrence of an Event of Default with respect to Series 2003-A and
acceleration of the maturity of the Series 2003-A Notes pursuant to Section
5.3 of the Indenture; or

 

(j)                                     the occurrence of an Early Amortization Event
as defined in the Pooling and Servicing Agreement and specified in Section
9.1 of that Agreement;

 

then, in the case of any
event described in subsection (a), (b) or (d), after the
applicable grace period, if any, set forth in such subparagraphs, either the
Indenture Trustee or the holders of Series 2003-A Notes evidencing more than
50% of the aggregate unpaid principal amount of Series 2003-A Notes by notice
then given in writing to the Transferor and the Servicer (and to the Indenture
Trustee if given by the Series 2003-A Noteholders) may declare that a “Series
Early Amortization Event” with respect to Series 2003-A (a “Series 2003-A
Early Amortization Event”) has occurred as of the date of such notice, and,
in the case of any event described in subsection (c), (e), (f),
(g), (h), (i) or (j) a Series 2003-A Early
Amortization Event shall occur

 

47

 

without any notice or other action on the
part of the Indenture Trustee or the Series 2003-A Noteholders immediately upon
the occurrence of such event.

 

ARTICLE VII.

 

Redemption of Series 2003-A
Notes; Final Distributions; Series Termination

 

Section 7.1                                      Optional Redemption of Series 2003-A Notes;
Final Distributions.

 

(a)                                  On any day occurring on or after the date on
which the outstanding principal balance of the Series 2003-A Notes is reduced
to 5% or less of the Initial Collateral Amount, the Servicer shall have the
option to redeem the Series 2003-A Notes, at a purchase price equal to (i) if
such day is a Distribution Date, the Reassignment Amount for such Distribution
Date or (ii) if such day is not a Distribution Date, the Reassignment Amount
for the Distribution Date following such day.

 

(b)                                 Servicer shall give the Indenture Trustee at
least thirty (30) days prior written notice of the date on which Servicer
intends to exercise such optional redemption. 
Not later than 12:00 noon, New York City time, on such day Servicer
shall deposit into the Collection Account in immediately available funds the
excess of the Reassignment Amount over the amount, if any, on deposit in the
Principal Accumulation Account.  Such
redemption option is subject to payment in full of the Reassignment
Amount.  Following such deposit into the
Collection Account in accordance with the foregoing, the Collateral Amount for
Series 2003-A shall be reduced to zero and the Series 2003-A Noteholders shall
have no further security interest in the Receivables.  The Reassignment Amount shall be distributed as set forth in subsection
7.1(d).

 

(c)                                  (i) 
The amount to be paid by the Transferor with respect to Series 2003-A in
connection with a reassignment of Receivables to the Transferor pursuant to Section
2.4(e) of the Transfer and Servicing Agreement shall equal the Reassignment
Amount for the first Distribution Date following the Monthly Period in which
the reassignment obligation arises under the Transfer and Servicing Agreement.

 

(ii)                                  The amount to be paid by the Transferor with
respect to Series 2003-A in connection with a repurchase of the Notes pursuant
to Section 7.1 of the Transfer and Servicing Agreement shall equal the
Reassignment Amount for the Distribution Date of such repurchase.

 

(d)                                 With respect to (a) the Reassignment Amount
deposited into the Distribution Account pursuant to Section 7.1 or (b)
the proceeds of any sale of Receivables pursuant to Section 5.5(a)(iii)
of the Indenture with respect to Series 2003-A, the Indenture Trustee shall, in
accordance with the written direction of the Servicer, not later than 12:00
noon, New York City time, on the related Distribution Date, make distributions
of the following amounts (in the priority set forth below and, in each case,
after giving effect to any deposits and distributions otherwise to be made on
such date) in immediately available funds: 
(i) (x) the Class A Note Principal Balance on such Distribution Date
will be distributed to the Class A Noteholders and (y) an amount equal to the
sum of (A) Class A Monthly Interest for such Distribution Date, (B) any Class A
Deficiency Amount for such Distribution Date and (C) the amount of Class A

 

48

 

Additional Interest, if any, for such
Distribution Date and any Class A Additional Interest previously due but not
distributed to the Class A Noteholders on any prior Distribution Date, will be
distributed to the Class A Noteholders (provided that, to the extent
there are not sufficient funds to pay all amounts described in this subsection
7.1(d)(i) in full, the funds available for distribution to the Class A
Noteholders shall be paid to the Class A-1 Noteholders and the Class A-2
Noteholders pro  rata, based on the amounts owing to the Class A-1
Noteholders and the Class A-2 Noteholders, respectively, pursuant to this subsection
7.1(d)(i)), (ii) (x) the Class B Note Principal Balance on such
Distribution Date will be distributed to the Class B Noteholders and (y) an
amount equal to the sum of (A) Class B Monthly Interest for such Distribution
Date, (B) any Class B Deficiency Amount for 
such Distribution Date and (C) the amount of Class B Additional
Interest, if any, for such Distribution Date and any Class B Additional
Interest previously due but not distributed to the Class B Noteholders on any
prior Distribution Date, will be distributed to the Class B Noteholders,
(iii)  (x) the Class C Note Principal
Balance on such Distribution Date will be distributed to the Class C
Noteholders and (y) an amount equal to the sum of (A) Class C Monthly Interest
for such Distribution Date, (B) any Class C Deficiency Amount for such
Distribution Date and (C) the amount of Class C Additional Interest, if any,
for such Distribution Date and any Class C Additional Interest previously due
but not distributed to the Class C Noteholders on any prior Distribution Date
will be distributed to the Class C Noteholders (provided that, to the
extent there are not sufficient funds to pay all amounts described in this subsection
7.1(d)(iii) in full, the funds available for distribution to the Class C
Noteholders shall be paid to the Class C-1 Noteholders and the Class C-2
Noteholders pro  rata, based on the amounts owing to the Class C-1
Noteholders and the Class C-2 Noteholders, respectively, pursuant to this subsection
7.1(d)(iii)) and (iv) on a pari passu basis, (A) any amounts owed to the
Class A-1 Counterparty under the Class A-1 Swap will be paid to the Class A-1
Counterparty, (B) any amounts owed to the Class A-2 Counterparty under the
Class A-2 Swap will be paid to the Class A-2 Counterparty, (C) any amounts owed
to the Class B Counterparty under the Class B Swap will be paid to the Class B
Counterparty, (D) any amounts owed to the Class C-1 Counterparty under the
Class C-1 Swap will be paid to the Class C-1 Counterparty and (E) any amounts
owed to the Class C-2 Counterparty under the Class C-2 Swap will be paid to the
Class C-2 Counterparty and (v) any excess shall be released to the Issuer.

 

Section
7.2                                      Series Termination.

 

On the Series 2003-A Final
Maturity Date, the unpaid principal amount of the Series 2003-A Notes shall be
due and payable, and the right of the Series 2003-A Noteholders to receive
payments from the Issuer will be limited solely to the right to receive
payments pursuant to Section 5.5 of the Indenture.

 

ARTICLE VIII.

 

Additional Issuance Date

 

Section 8.1                                      Additional Collateral Amounts.  The Transferor may, on any
date (the “Additional Issuance Date”) occurring after the Closing Date
and prior to the earlier of (i) the opening of business on May 1, 2007 and (ii)
the last day of the Revolving Period, cause the

 

49

 

Issuer to issue the Class A-2 Notes, the
Class B Notes and the Class C-2 Notes, subject to the following limitations:

 

(a)                                  The issuance of Class A-2 Notes, Class B
Notes and the Class C-2 Notes will cause an increase in the Collateral Amount
(an “Additional Collateral Amount”) in an amount equal to the sum of the
Class A-2 Note Initial Principal Balance, the Class B Note Initial Principal
Balance and the Class C-2 Note Initial Principal Balance.

 

(b)                                 No additional Notes may be issued unless (i)
the Rating Agency Condition shall have been satisfied with respect to the
issuance of the additional Notes; (ii) the Transferor shall have deposited an
amount equal to the Additional Cash Collateral Deposit into the Cash Collateral
Account and an amount equal to the Additional Spread Account Amount into the
Spread Account on the Additional Issuance Date; (iii) a Tax Opinion shall have
been delivered with respect to the issuance of the additional Notes, (iv)
before giving effect to such issuance, the Collateral Amount shall not be less
than the Initial Collateral Amount and (v) no Trust Early Amortization Event or
Series 2003-A Early Amortization Event shall have occurred and be continuing as
of the Additional Issuance Date, and no event which, with the passage of time,
would constitute a Trust Early Amortization Event or Series 2003-A Early
Amortization Event shall have occurred and be continuing.

 

(c)                                  On or before the fifth Business Day
immediately preceding the Additional Issuance Date, the Transferor shall give
the Owner Trustee, Indenture Trustee, Servicer and each Rating Agency notice
(unless such notice requirement is otherwise waived) of such issuance and
Additional Issuance Date.

 

ARTICLE IX.

 

Miscellaneous Provisions

 

Section 9.1                                      Ratification of Indenture; Amendments.  As
supplemented by this Indenture Supplement, the Indenture is in all respects
ratified and confirmed and the Indenture as so supplemented by this Indenture
Supplement shall be read, taken and construed as one and the same
instrument.  This Indenture Supplement
may (subject to the following proviso) be amended only by a Supplemental
Indenture entered in accordance with the terms of Section 10.1 or 10.2
of the Indenture and with the written consent of the Class A-1 Counterparty,
the Class A-2 Counterparty, the Class B Counterparty, the Class C-1
Counterparty or the Class C-2 Counterparty prior to the date on which such
Supplemental Indenture takes effect if any provision of such Supplemental
Indenture materially and adversely affects the timing, amount or priority of
distributions to be made to such Class A-1 Counterparty, Class A-2
Counterparty, Class B Counterparty, Class C-1 Counterparty or Class C-2
Counterparty, respectively; provided that, in connection with the
issuance of additional Notes on the Additional Issuance Date, the Issuer and
the Indenture Trustee may, upon satisfaction of the conditions precedent
described in Section 8.1, enter into the Issuance Supplement for the purpose of
specifying additional terms and provisions applicable to the Class A-2 Notes,
the Class B Notes and the Class C-2 Notes, which Issuance Supplement may also
amend or modify the terms of this Indenture Supplement with respect to the
Class A-1 Notes, the Class C-1 Notes or any other Class of Series 2003-A
Notes.  For purposes of the application
of Section 10.2 to any amendment of this Indenture

 

50

 

Supplement, the Series 2003-A Noteholders
shall be the only Noteholders whose vote shall be required.

 

Section 9.2                                      Form of Delivery of the Series 2003-A Notes.

 

(a)                                  The Class A-2 Notes, the Class B Notes and
the Class C-2 Notes shall be delivered in the form and in such minimum
denominations specified in the Issuance Supplement.

 

(b)                                 The Class A-1 Certificates shall be
Definitive Notes and shall be registered in the Note Register in the name of
the initial purchaser of the Class A-1 Notes identified in the Class A-1 Note
Purchase Agreement.  The Class C-1
Certificates shall be Definitive Notes and shall be registered in the Note
Register in the name of the initial purchaser of the Class C-1 Notes identified
in the Class C-1 Note Purchase Agreement.

 

Section
9.3                                      Counterparts.  This Indenture Supplement 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 shall
constitute one and the same instrument.

 

Section
9.4                                      GOVERNING LAW. 
THIS INDENTURE SUPPLEMENT SHALL BE CONSTRUED IN ACCORDANCE WITH THE LAWS
OF THE STATE OF NEW YORK, WITHOUT REFERENCE TO ITS CONFLICT OF LAW PROVISIONS,
AND THE OBLIGATIONS, RIGHTS AND REMEDIES OF THE PARTIES HEREUNDER SHALL BE
DETERMINED IN ACCORDANCE WITH SUCH LAWS.

 

Section 9.5                                      Limitation of Liability.  Notwithstanding any other provision herein
or elsewhere, this Agreement has been executed and delivered by Chase Manhattan
Bank USA, National Association, not in its individual capacity, but solely in
its capacity as Owner Trustee of the Trust, in no event shall Chase Manhattan
Bank USA, National Association in its individual capacity have any liability in
respect of the representations, warranties, or obligations of the Trust
hereunder or under any other document, as to all of which recourse shall be had
solely to the assets of the Trust, and for all purposes of this Agreement and
each other document, the Owner Trustee (as such or in its individual capacity)
shall be subject to, and entitled to the benefits of, the terms and provisions
of the Trust Agreement.

 

Section 9.6                                      Rights of the Indenture Trustee.  The
Indenture Trustee shall have herein the same rights, protections, indemnities
and immunities as specified in the Master Indenture.

 

Section 9.7                                      Additional Provisions.  The
Additional Minimum Transferor Amount is hereby specified as an additional
amount to be considered part of the Minimum Transferor Amount pursuant to clause
(b) of the definition of Minimum Transferor Amount.

 

Section 9.8                                      Additional Requirements for Registration of
and Limitations on Transfer and Exchange of Notes.

 

(a)                                  All transfers will be subject to the transfer
restrictions set forth on the Notes.

 

51

 

(b)                                 The Class A-1 Notes will be subject to
limitations on transfer and exchange set forth in the Class A-1 Note Purchase
Agreement.  The Class C-1 Notes will be
subject to limitations on transfer and exchange set forth in the Class C-1 Note
Purchase Agreement.

 

(c)                                  The Class A-2 Notes, the Class B Notes and
the Class C-2 Notes will be subject to the limitations, if any, on transfer and
exchange set forth in the Issuance Supplement.

 

Section 9.9                                      Provisions Applicable If No Additional
Issuance Date.  If
the Additional Issuance Date does not occur prior to the earlier of the opening
of business on May 1, 2007 and no Early Amortization Period has commenced by
such date, this Indenture Supplement shall be deemed to be amended as follows:

 

(a)                                  The definitions of “Controlled Accumulation
Amount”, “Covered Amount” and “Required Reserve Account Amount” in Section
2.1 shall be replaced by the respective definitions therefor set forth in Exhibit
F.

 

(b)                                 The reference to “Class A/B Expected
Principal Payment Date” in Section 4.10(f) shall be replaced with a
reference to “Class C Expected Principal Payment Date”.

 

(c)                                  Section 4.14 shall be replaced with the “Section 4.14”
set forth in Exhibit F.

 

 

[SIGNATURE PAGE FOLLOWS]

 

52

 

IN WITNESS WHEREOF, the
undersigned have caused this Indenture Supplement to be duly executed and
delivered by their respective duly authorized officers on the day and year
first above written.

 

	
   

  	
  WORLD FINANCIAL NETWORK CREDIT

  CARD MASTER NOTE TRUST, as Issuer

  
	
   

  
	
   

  
	
   

  	
  By:  Chase Manhattan Bank USA,
  National

  Association, not in its individual capacity, but

  solely as Owner Trustee

  
	
   

  
	
   

  	
  By:

  	
    /s/ John J. Cashin

  
	
   

  	
   

  	
    Name:  John J. Cashin

  
	
   

  	
   

  	
    Title:  Vice President

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  BNY MIDWEST TRUST COMPANY, as

  Indenture Trustee

  
	
   

  	
   

  
	
   

  	
  By:

  	
    /s/ Sally Tokich

  
	
   

  	
   

  	
    Name:  Sally Tokich

  
	
   

  	
   

  	
    Title:  Assistant Treasurer

  
	
   

  
	
   

  
	
  Acknowledged and Accepted:

  
	
   

  
	
  WORLD FINANCIAL NETWORK NATIONAL BANK,
  as Servicer

  
	
   

  
	
  By:

  	
    /s/ Robert Armiak

  	
   

  
	
   

  	
   Name:  Robert Armiak

  
	
   

  	
   Title:  Senior Vice President and Treasurer

  
	
   

  
	
  WFN CREDIT COMPANY, LLC
  as Transferor

  
	
   

  
	
  By:

  	
    /s/ Robert Armiak

  	
   

  
	
   

  	
   Name:  Robert Armiak

  
	
   

  	
   Title:  Senior Vice President and Treasurer

  
					

 

Series
2003-A Indenture

Supplement

 

S-1

 

EXHIBIT A-1

 

FORM OF CLASS A-1 SERIES
2003-A FLOATING RATE ASSET BACKED NOTE

 

THIS NOTE HAS NOT BEEN
REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”),
IN RELIANCE UPON EXEMPTIONS PROVIDED BY THE SECURITIES ACT.  NO RESALE OR OTHER TRANSFER OF THIS NOTE MAY
BE MADE EXCEPT IN COMPLIANCE WITH THE REGISTRATION PROVISIONS OF THE SECURITIES
ACT AND ANY APPLICABLE PROVISIONS UNDER STATE BLUE SKY OR SECURITIES LAWS OR
PURSUANT TO AN AVAILABLE EXEMPTION FROM SUCH PROVISIONS.  THE TRANSFER OF THIS NOTE IS SUBJECT TO
CERTAIN CONDITIONS SET FORTH IN A NOTE PURCHASE AGREEMENT RELATING HERETO.

 

THE HOLDER OF THIS NOTE BY
ITS ACCEPTANCE HEREOF COVENANTS AND AGREES THAT IT WILL NOT AT ANY TIME
INSTITUTE AGAINST WORLD FINANCIAL NETWORK CREDIT CARD MASTER TRUST, A COMMON
LAW TRUST ORGANIZED UNDER THE LAWS OF NEW YORK (“WFNMT”), THE TRANSFEROR OR THE
ISSUER, OR SOLICIT OR JOIN OR COOPERATE WITH OR ENCOURAGE OR ENCOURAGE ANY
INSTITUTION IN INSTITUTING AGAINST WFNMT, THE TRANSFEROR OR THE ISSUER, ANY
BANKRUPTCY, REORGANIZATION, ARRANGEMENT, INSOLVENCY OR LIQUIDATION PROCEEDINGS,
OR OTHER PROCEEDINGS UNDER ANY UNITED STATES FEDERAL OR STATE BANKRUPTCY OR
SIMILAR LAW IN CONNECTION WITH ANY OBLIGATION RELATING TO THE NOTES, THE
INDENTURE OR ANY OF THE TRANSACTION DOCUMENTS.

 

THE HOLDER OF THIS CLASS A-1
NOTE, BY ACCEPTANCE OF THIS NOTE, AND EACH HOLDER OF A BENEFICIAL INTEREST
THEREIN, AGREE TO TREAT THE CLASS A-1 NOTES AS INDEBTEDNESS OF THE ISSUER FOR
APPLICABLE FEDERAL, STATE, AND LOCAL INCOME AND FRANCHISE TAX LAW AND FOR
PURPOSES OF ANY OTHER TAX IMPOSED ON, OR MEASURED BY, INCOME.

 

A-1-1

 

	
  REGISTERED

  	
   

  	
  $[  ]

  
	
   

  	
   

  	
   

  
	
  No. R-1

  	
   

  	
  CUSIP NO. [  ]

  

 

WORLD FINANCIAL NETWORK
CREDIT CARD

MASTER NOTE TRUST SERIES 2003-A

 

CLASS A-1 SERIES 2003-A
FLOATING RATE ASSET BACKED NOTE

 

World Financial Network
Credit Card Master Note Trust (herein referred to as the “Issuer” or the
“Trust”), a Delaware statutory trust governed by an Amended and Restated Trust
Agreement dated as of August 1, 2001, for value received, hereby promises to
pay to [               ],
or registered assigns, subject to the following provisions, the principal sum
of
[               ],
or such greater or lesser amount as determined in accordance with the Indenture,
on the March 2012 Distribution Date, except as otherwise provided below or in
the Indenture.  The Issuer will pay
interest on the unpaid principal amount of this Note at the Class A-1 Note
Interest Rate on each Distribution Date until the principal amount of this Note
is paid in full.  Interest on this Note
will accrue for each Distribution Date from and including the most recent
Distribution Date on which interest has been paid to but excluding such
Distribution Date or, for the initial Distribution Date, from and including the
Closing Date to but excluding such Distribution Date.  Interest will be computed on the basis of a 360-day year and the
actual number of days elapsed. 
Principal of this Note shall be paid in the manner specified in the
Indenture Supplement referred to on the reverse hereof.

 

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

 

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

 

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

 

A-1-2

 

IN WITNESS WHEREOF, the
Issuer has caused this Class A-1 Note to be duly executed.

 

	
   

  	
  WORLD FINANCIAL NETWORK CREDIT

  CARD MASTER NOTE TRUST,

  as Issuer

  
	
   

  
	
   

  	
  By:  Chase Manhattan Bank USA,
  National

  Association, not in its individual capacity but solely

  as Owner Trustee under the Trust Agreement

  
	
   

  
	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  
	
  Dated:  [  ], 2003

  
					

 

A-1-3

 

INDENTURE TRUSTEE’S
CERTIFICATE OF AUTHENTICATION

 

This is one of the Class A-1 Notes described in the within-mentioned
Indenture.

 

	
   

  	
  BNY MIDWEST TRUST COMPANY, as

  Indenture Trustee

  
	
   

  
	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
   Authorized Signatory

  
	
   

  	
   

  	
   

  
	
   

  	
  Dated:

  	
   

  
				

 

A-1-4

 

WORLD FINANCIAL NETWORK
CREDIT CARD

MASTER NOTE TRUST SERIES 2003-A

 

CLASS A-1 SERIES 2003-A
FLOATING RATE ASSET BACKED NOTE

 

Summary of Terms and Conditions

 

This Class A-1 Note is one
of a duly authorized issue of Notes of the Issuer, designated as World
Financial Network Credit Card Master Note Trust, Series 2003-A (the “Series
2003-A Notes”), issued under a Master Indenture dated as of August 1, 2001 (the
“Master Indenture”), between the Issuer and BNY Midwest Trust Company, as
indenture trustee (the “Indenture Trustee”), as supplemented by the Indenture
Supplement dated as of June 19, 2003 (the “Indenture Supplement”), and
representing the right to receive certain payments from the Issuer.  The term “Indenture,” unless the context
otherwise requires, refers to the Master Indenture as supplemented by the
Indenture Supplement and any Issuance Supplement to the Indenture Supplement
executed in accordance with the terms of the Indenture Supplement.  The Notes are subject to all of the terms of
the Indenture.  All terms used in this
Note that are defined in the Indenture shall have the meanings assigned to them
in or pursuant to the Indenture.  In the
event of any conflict or inconsistency between the Indenture and this Note, the
Indenture shall control.

 

The Class B Notes and the
Class C Notes will also be issued under the Indenture.

 

The Noteholder, by its
acceptance of this Note, agrees that it will look solely to the property of the
Issuer allocated to the payment of this Note for payment hereunder and that
neither the Owner Trustee nor the Indenture Trustee is liable to the
Noteholders for any amount payable under the Notes or the Indenture or, except
in the case of the Indenture Trustee as expressly provided in the Indenture,
subject to any liability under the Indenture.

 

This Note does not purport
to summarize the Indenture and reference is made to the Indenture for the
interests, rights and limitations of rights, benefits, obligations and duties
evidenced thereby, and the rights, duties and immunities of the Indenture
Trustee.

 

THIS CLASS A-1 NOTE DOES NOT
REPRESENT AN OBLIGATION OF, OR AN INTEREST IN, THE ISSUER, WORLD FINANCIAL
NETWORK NATIONAL BANK, WFN CREDIT COMPANY, LLC, OR ANY OF THEIR AFFILIATES, AND
IS NOT INSURED OR GUARANTEED BY THE FEDERAL DEPOSIT INSURANCE CORPORATION OR
ANY OTHER GOVERNMENTAL AGENCY OR INSTRUMENTALITY.

 

The Issuer, the Transferor,
the Indenture Trustee and any agent of the Issuer, the Transferor or the
Indenture Trustee shall treat the person in whose name this Class A-1 Note is
registered as the owner hereof for all purposes, and neither the Issuer, the
Transferor, the Indenture Trustee nor any agent of the Issuer, the Transferor
or the Indenture Trustee shall be affected by notice to the contrary.

 

THIS CLASS A-1 NOTE SHALL BE
CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK, WITHOUT
REFERENCE TO ITS CONFLICT OF LAW PROVISIONS, AND THE OBLIGATIONS, RIGHTS AND REMEDIES
OF THE

 

A-1-5

 

PARTIES HEREUNDER SHALL BE DETERMINED IN
ACCORDANCE WITH SUCH LAWS.

 

A-1-6

 

ASSIGNMENT

 

Social Security or other identifying number of assignee

 

FOR VALUE RECEIVED, the
undersigned hereby sells, assigns and transfers unto
                               
(name and address of assignee) the within certificate and all rights
thereunder, and hereby irrevocably constitutes and appoints
                       
attorney, to transfer said certificate on the books kept for registration
thereof, with full power of substitution in the premises.

 

	
  Dated:

  	
   

  	
   

  	
   

  	
  **

  
	
   

  	
   

  	
  Signature Guaranteed:

  

 

 

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

 

A-1-7

 

EXHIBIT A-2

 

FORM OF CLASS C-1 FLOATING
RATE ASSET BACKED NOTE, SERIES 2003-A

 

THIS NOTE HAS NOT BEEN
REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”),
IN RELIANCE UPON EXEMPTIONS PROVIDED BY THE SECURITIES ACT.  NO RESALE OR OTHER TRANSFER OF THIS NOTE MAY
BE MADE EXCEPT IN COMPLIANCE WITH THE REGISTRATION PROVISIONS OF THE SECURITIES
ACT AND ANY APPLICABLE PROVISIONS UNDER STATE BLUE SKY OR SECURITIES LAWS OR
PURSUANT TO AN AVAILABLE EXEMPTION FROM SUCH PROVISIONS.  THE TRANSFER OF THIS NOTE IS SUBJECT TO
CERTAIN CONDITIONS SET FORTH IN A NOTE PURCHASE AGREEMENT RELATING HERETO.

 

THE HOLDER OF THIS CLASS C-1
NOTE BY ITS ACCEPTANCE HEREOF COVENANTS AND AGREES THAT IT WILL NOT AT ANY TIME
INSTITUTE AGAINST WORLD FINANCIAL NETWORK CREDIT CARD MASTER TRUST, A COMMON
LAW TRUST ORGANIZED UNDER THE LAWS OF NEW YORK (“WFNMT”), THE TRANSFEROR OR THE
ISSUER, OR SOLICIT OR JOIN OR COOPERATE WITH OR ENCOURAGE OR ENCOURAGE ANY
INSTITUTION IN INSTITUTING AGAINST WFNMT, THE TRANSFEROR OR THE ISSUER, ANY
BANKRUPTCY, REORGANIZATION, ARRANGEMENT, INSOLVENCY OR LIQUIDATION PROCEEDINGS,
OR OTHER PROCEEDINGS UNDER ANY UNITED STATES FEDERAL OR STATE BANKRUPTCY OR
SIMILAR LAW IN CONNECTION WITH ANY OBLIGATION RELATING TO THE NOTES, THE
INDENTURE OR ANY OF THE TRANSACTION DOCUMENTS.

 

THE HOLDER OF THIS CLASS C-1
NOTE, BY ACCEPTANCE OF THIS NOTE, AND EACH HOLDER OF A BENEFICIAL INTEREST
THEREIN, AGREE TO TREAT THE CLASS C-1 NOTES AS INDEBTEDNESS OF THE ISSUER FOR
APPLICABLE FEDERAL, STATE, AND LOCAL INCOME AND FRANCHISE TAX LAW AND FOR
PURPOSES OF ANY OTHER TAX IMPOSED ON, OR MEASURED BY, INCOME.

 

THE HOLDER OF THIS CLASS C-1
NOTE SHALL BE DEEMED TO REPRESENT AND WARRANT THAT EITHER (I) IT IS NOT
ACQUIRING THE NOTE WITH THE PLAN ASSETS OF AN “EMPLOYEE BENEFIT PLAN” AS
DEFINED IN SECTION 3(3) OF THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974,
AS AMENDED (“ERISA”), WHICH IS SUBJECT TO TITLE I OF ERISA, A “PLAN” AS DEFINED
IN SECTION 4975 OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED (THE “CODE”),
AN ENTITY DEEMED TO HOLD THE PLAN ASSETS OF ANY OF THE FOREGOING BY REASON OF
INVESTMENT BY AN EMPLOYEE BENEFIT PLAN OR PLAN IN SUCH ENTITY, OR A
GOVERNMENTAL PLAN SUBJECT TO APPLICABLE LAW THAT IS SUBSTANTIALLY SIMILAR TO
THE FIDUCIARY RESPONSIBILITY PROVISIONS OF ERISA OR SECTION 4975 OF THE CODE
(EACH SUCH ENTITY A “BENEFIT PLAN”); OR (II) THE ACQUISITION AND HOLDING OF THE
CLASS C-1 NOTE WILL NOT GIVE RISE TO A NON-EXEMPT PROHIBITED TRANSACTION

 

A-2-1

 

UNDER SECTION 406 OF ERISA OR SECTION 4975 OF
THE CODE (OR, IN THE CASE OF A GOVERNMENTAL PLAN, ANY SUBSTANTIALLY SIMILAR
APPLICABLE LAW).

 

A-2-2

 

	
  REGISTERED

  	
   

  	
  $[  ]

  
	
   

  	
   

  	
   

  
	
  No. R-1

  	
   

  	
  CUSIP NO. [  ]

  

 

WORLD FINANCIAL NETWORK
CREDIT CARD

MASTER NOTE TRUST SERIES 2003-A

 

CLASS C-1 FLOATING RATE
ASSET BACKED NOTE, SERIES 2003-A

 

World Financial Network
Credit Card Master Note Trust (herein referred to as the “Issuer” or the
“Trust”), a Delaware statutory trust governed by an Amended and Restated Trust
Agreement dated as of August 1, 2001, for value received, hereby promises to
pay to
[                      ],
or registered assigns, subject to the following provisions, the principal sum
of
[                                       ]
MILLION DOLLARS, or such greater or lesser amount as determined in accordance
with the Indenture, on the March 2012 Distribution Date, except as otherwise
provided below or in the Indenture.  The
Issuer will pay interest on the unpaid principal amount of this Note at the
Class C-1 Note Interest Rate on each Distribution Date until the principal
amount of this Note is paid in full. 
Interest on this Note will accrue for each Distribution Date from and
including the most recent Distribution Date on which interest has been paid to
but excluding such Distribution Date or, for the initial Distribution Date,
from and including the Closing Date to but excluding such Distribution
Date.  Interest will be computed on the
basis of a 360-day year and the actual number of days elapsed.  Principal of this Note shall be paid in the
manner specified in the Indenture Supplement referred to on the reverse hereof.

 

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

 

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

 

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

 

THIS CLASS C-1 NOTE IS
SUBORDINATED TO THE EXTENT NECESSARY TO FUND PAYMENTS ON THE CLASS A AND CLASS
B NOTES TO THE EXTENT SPECIFIED IN THE INDENTURE SUPPLEMENT.

 

A-2-3

 

IN WITNESS WHEREOF, the
Issuer has caused this Class C-1 Note to be duly executed.

 

	
   

  	
  WORLD FINANCIAL NETWORK CREDIT

  CARD MASTER NOTE TRUST,

  as Issuer

  
	
   

  
	
   

  	
  By:  Chase Manhattan Bank USA,
  National

  Association, not in its individual capacity but solely

  as Owner Trustee under the Trust Agreement

  
	
   

  
	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  
	
   

  
	
   

  
	
  Dated: 
  [                        ],
  2003

  

 

A-2-4

 

INDENTURE TRUSTEE’S
CERTIFICATE OF AUTHENTICATION

 

This is one of the Class C-1 Notes described in the within-mentioned
Indenture.

 

	
   

  	
  BNY MIDWEST TRUST COMPANY,

  as Indenture Trustee

  
	
   

  
	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Authorized Signatory

  
	
   

  	
   

  	
   

  
	
   

  	
  Dated:

  	
   

  
				

 

A-2-5

 

WORLD FINANCIAL NETWORK
CREDIT CARD

MASTER NOTE TRUST SERIES 2003-A

 

CLASS C-1 FLOATING RATE ASSET
BACKED NOTE, SERIES 2003-A

 

Summary of Terms and
Conditions

 

This Class C-1 Note is one
of a duly authorized issue of Notes of the Issuer, designated as World
Financial Network Credit Card Master Note Trust, Series 2003-A (the “Series
2003-A Notes”), issued under a Master Indenture dated as of August 1, 2001 (the
“Master Indenture”), between the Issuer and BNY Midwest Trust Company, as
indenture trustee (the “Indenture Trustee”), as supplemented by the Indenture
Supplement dated as of June 19, 2003 (the “Indenture Supplement”), and
representing the right to receive certain payments from the Issuer.  The term “Indenture,” unless the context
otherwise requires, refers to the Master Indenture as supplemented by the
Indenture Supplement and any Issuance Supplement to the Indenture Supplement
executed in accordance with the terms of the Indenture Supplement.  The Notes are subject to all of the terms of
the Indenture.  All terms used in this
Note that are defined in the Indenture shall have the meanings assigned to them
in or pursuant to the Indenture.  In the
event of any conflict or inconsistency between the Indenture and this Note, the
Indenture shall control.

 

The Class A Notes, the Class
B Notes and the Class C-2 Notes will also be issued under the Indenture.

 

The Noteholder, by its
acceptance of this Note, agrees that it will look solely to the property of the
Issuer allocated to the payment of this Note for payment hereunder and that
neither the Owner Trustee nor the Indenture Trustee is liable to the Noteholders
for any amount payable under the Notes or the Indenture or, except in the case
of the Indenture Trustee as expressly provided in the Indenture, subject to any
liability under the Indenture.

 

This Note does not purport
to summarize the Indenture and reference is made to the Indenture for the
interests, rights and limitations of rights, benefits, obligations and duties
evidenced thereby, and the rights, duties and immunities of the Indenture
Trustee.

 

THIS CLASS C-1 NOTE DOES NOT
REPRESENT AN OBLIGATION OF, OR AN INTEREST IN, THE ISSUER, WORLD FINANCIAL
NETWORK NATIONAL BANK, WFN CREDIT COMPANY LLC, OR ANY OF THEIR AFFILIATES, AND
IS NOT INSURED OR GUARANTEED BY THE FEDERAL DEPOSIT INSURANCE CORPORATION OR
ANY OTHER GOVERNMENTAL AGENCY OR INSTRUMENTALITY.

 

The Issuer, the Transferor,
the Indenture Trustee and any agent of the Issuer, the Transferor or the
Indenture Trustee shall treat the person in whose name this Class C-1 Note is
registered as the owner hereof for all purposes, and neither the Issuer, the
Transferor, the Indenture Trustee nor any agent of the Issuer, the Transferor
or the Indenture Trustee shall be affected by notice to the contrary.

 

THIS CLASS C-1 NOTE SHALL BE
CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK, WITHOUT
REFERENCE TO ITS CONFLICT OF LAW PROVISIONS, AND THE OBLIGATIONS, RIGHTS AND
REMEDIES OF THE

 

A-2-6

 

PARTIES HEREUNDER SHALL BE DETERMINED IN
ACCORDANCE WITH SUCH LAWS.

 

 

 

 

A-2-7

 

ASSIGNMENT

 

Social Security or other identifying number of assignee

 

FOR VALUE RECEIVED, the
undersigned hereby sells, assigns and transfers unto
                                  
(name and address of assignee) the within certificate and all rights
thereunder, and hereby irrevocably constitutes and appoints
                          
attorney, to transfer said certificate on the books kept for registration
thereof, with full power of substitution in the premises.

 

	
  Dated:

  	
   

  	
   

  	
   

  	
  **

  
	
   

  	
   

  	
  Signature Guaranteed:

  

 

 

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

 

A-2-8

 

EXHIBIT B

 

FORM OF MONTHLY PAYMENT
INSTRUCTIONS AND

NOTIFICATION TO INDENTURE TRUSTEE

 

WORLD FINANCIAL NETWORK
CREDIT CARD MASTER NOTE TRUST

SERIES 2003-A

 

The undersigned, a duly
authorized representative of World Financial Network National Bank (“WFN”),
as Servicer pursuant to the Transfer and Servicing Agreement, dated as of
August 1, 2001 (the “Transfer and Servicing Agreement”) between WFN, as
Servicer, WFN Credit Company, LLC, as transferor (the “Transferor”) and
World Financial Network Credit Card Master Note Trust, as issuer (the “Issuer”),
does hereby certify as follows:

 

(A)                              Capitalized terms used in this certificate
have their respective meanings set forth in the Master Indenture dated as of
August 1, 2001 (the “Indenture”) between the Issuer and BNY Midwest
Trust Company, as indenture trustee (the “Indenture Trustee”) as
supplemented by the 2002-A Indenture Supplement dated as of June 19, 2003
between the Issuer and Indenture Trustee (as amended and supplemented, the “Indenture
Supplement”).

 

(B)                                WFN is the Servicer.

 

(C)                                The undersigned is an Authorized Officer of
the Servicer.

 

I.                                         INSTRUCTION TO MAKE A WITHDRAWAL

 

Pursuant to Section 4.4, the
Servicer does hereby instruct the Indenture Trustee (i) to make a withdrawal
from the Distribution Account (or other Series Account as specified below) on
                   ,
200  , which date is a Distribution Date under the Indenture
Supplement, in an aggregate amount (equal to the Available Finance Charge
Collections) as set forth below in respect of the following amounts and (ii) to
apply the proceeds of such withdrawal in accordance with Section 4.4(a):

 

	
   

  	
  A.

  	
  Pursuant to Subsection 4.4(a)(i):

  	
   

  	
   

  
	
   

  	
   

  	
  Class A-1 Monthly Interest for the preceding Interest Period

  	
   

  	
  $

  
	
   

  	
   

  	
  Class A-2 Monthly Interest for the preceding Interest Period

  	
   

  	
  $

  
	
   

  	
   

  	
  Monthly Interest previously due but not distributed to Class A-1
  Noteholders

  	
   

  	
  $

  
	
   

  	
   

  	
  Monthly Interest previously due but not distributed to Class A-2
  Noteholders

  	
   

  	
  $

  
	
   

  	
   

  	
  Additional Interest previously due but not distributed to Class A-1
  Noteholders

  	
   

  	
  $

  
	
   

  	
   

  	
  Additional Interest previously due but not distributed to Class A-2
  Noteholders

  	
   

  	
  $

  

 

B-1

 

	
   

  	
   

  	
  Class A-1 Net Swap Payment

  	
   

  	
  $

  
	
   

  	
   

  	
  Class A-2 Net Swap Payment

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  B.

  	
  Pursuant to Subsection 4.4(a)(ii):

  	
   

  	
   

  
	
   

  	
   

  	
  Class B Monthly Interest for the preceding Interest Period

  	
   

  	
  $

  

 

B-2

 

	
   

  	
   

  	
  Monthly Interest previously due but not distributed to Class B
  Noteholders

  	
   

  	
  $

  
	
   

  	
   

  	
  Additional Interest previously due but not distributed to Class B
  Noteholders

  	
   

  	
  $

  
	
   

  	
   

  	
  Class B Net Swap Payment

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  C.

  	
  Pursuant to Subsection 4.4(a)(iii):

  	
   

  	
   

  
	
   

  	
   

  	
  Noteholder Servicing Fee for such Distribution Date, plus the amount of any Noteholder
  Servicing Fee previously due but not distributed to the Servicer on a prior
  Distribution Date

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  D.

  	
  Pursuant to Subsection 4.4(a)(iv):

  	
   

  	
   

  
	
   

  	
   

  	
  Class C-1 Monthly Interest for the preceding Interest Period

  	
   

  	
  $

  
	
   

  	
   

  	
  Class C-2 Monthly Interest for the preceding Interest Period

  	
   

  	
  $

  
	
   

  	
   

  	
  Monthly Interest previously due but not distributed to Class C-1
  Noteholders

  	
   

  	
  $

  
	
   

  	
   

  	
  Monthly Interest previously due but not distributed to Class C-2
  Noteholders

  	
   

  	
  $

  
	
   

  	
   

  	
  Additional Interest previously due but not distributed to Class C-1
  Noteholders

  	
   

  	
  $

  
	
   

  	
   

  	
  Additional Interest previously due but not distributed to Class C-2
  Noteholders

  	
   

  	
  $

  
	
   

  	
   

  	
  Class C-1 Net Swap Payment

  	
   

  	
  $

  
	
   

  	
   

  	
  Class C-2 Net Swap Payment

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  E.

  	
  Pursuant to Subsection 4.4(a)(v) from the Principal Account:

  	
   

  	
   

  
	
   

  	
   

  	
  Investor Default Amount to be treated as Available Principal
  Collections

  	
   

  	
  $

  
	
   

  	
   

  	
  Investor Uncovered Dilution Amount for such Distribution Date to be
  treated as Available Principal Collections

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  F.

  	
  Pursuant to Subsection 4.4(a)(vi):

  	
   

  	
   

  
	
   

  	
   

  	
  Investor Charge Offs and the amount of Reallocated Principal
  Collections not previously reimbursed to be treated as Available Principal
  Collections

  	
   

  	
  $

  

 

B-3

 

	
   

  	
  G.

  	
  Pursuant to Subsection 4.4(a)(vii):

  	
   

  	
   

  
	
   

  	
   

  	
  Amount to be deposited into the Cash Collateral Account

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  H.

  	
  Pursuant to Subsection 4.4(a)(viii):

  	
   

  	
   

  
	
   

  	
   

  	
  Amount to be deposited into the Reserve Account

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  I.

  	
  Pursuant to Subsection 4.4(a)(ix):

  	
   

  	
   

  
	
   

  	
   

  	
  Amount to be deposited in the Spread Account

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  J.

  	
  Pursuant to Subsection 4.4(a)(x):

  	
   

  	
   

  
	
   

  	
   

  	
  Early termination payments or other additional payments owed to be
  paid to the Class A Counterparty

  	
   

  	
  $

  
	
   

  	
   

  	
  Early termination payments or other additional payments owed to be
  paid to the Class B Counterparty

  	
   

  	
  $

  
	
   

  	
   

  	
  Early termination payments or other additional payments owed to be
  paid to the Class C Counterparty

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  K.

  	
  Pursuant to Subsection 4.4(a)(xi):

  	
   

  	
   

  
	
   

  	
   

  	
  Additional amounts designated by the Servicer to be paid from
  Available Finance Charge Collections

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  L.

  	
  Pursuant to Subsection 4.4(a)(xii):

  	
   

  	
   

  
	
   

  	
   

  	
  The balance will constitute Excess Finance Charge Collections for
  such Distribution Date

  	
   

  	
  $

  

 

Pursuant to Subsections
4.4(b) and (c), the Servicer does hereby instruct the Indenture
Trustee (i) to make a withdrawal from the Distribution Account (or other Series
Account specified below) on
                     ,
200  , which date is a Distribution Date under the Indenture
Supplement, in an aggregate amount (equal to the Available Principal
Collections) as set forth below in respect of the following amounts and (ii) to
apply the proceeds of such withdrawal in accordance with Subsections 4.4(b)
and (c):

 

	
   

  	
  A.

  	
  Pursuant to Subsection 4.4(b):

  	
   

  	
   

  
	
   

  	
   

  	
  During the Revolving Period, amount equal to the Available Principal
  Collections to be treated as Shared Principal Collections and applied in
  accordance with Section 8.5 of the Indenture

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  B.

  	
  Pursuant to Subsection 4.4(c)(i):

  	
   

  	
   

  
	
   

  	
   

  	
  During the Controlled Accumulation Period, Monthly Principal for such
  Distribution Date to be deposited into the Principal Accumulation Account

  	
   

  	
  $

  

 

B-4

 

	
   

  	
  C.

  	
  Pursuant to Subsection 4.4(c)(ii):

  	
   

  	
   

  
	
   

  	
   

  	
  During the Early Amortization Period, Monthly Principal for such
  Distribution Date for payment to the Class A Noteholders on such Distribution
  Date until the Class A Note Principal Balance has been paid in full

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  D.

  	
  Pursuant to Subsection 4.4(c)(iii):

  	
   

  	
   

  
	
   

  	
   

  	
  During the Early Amortization Period, after giving effect to Clause
  (C) above, if any remaining Monthly Principal, to the Class B Noteholders on
  such Distribution Date until the Class B Note Principal Balance has been paid
  in full

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  E.

  	
  Pursuant to Subsection 4.4(c)(iv):

  	
   

  	
   

  
	
   

  	
   

  	
  During the Early Amortization Period, after giving effect to Clause
  (D) above, if any remaining Monthly Principal, to the Class C Noteholders, on
  such Distribution Date until the Class C Note Principal Balance has been paid
  in full

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  F.

  	
  Pursuant to Subsection 4.4(c)(v):

  	
   

  	
   

  
	
   

  	
   

  	
  Amount, if any, remaining after giving effect to Clauses (B) through
  (E) above, to be treated as Shared Principal Collections

  	
   

  	
  $

  

 

Pursuant to Section 4.6,
the Servicer does hereby instruct the Indenture Trustee (i) to make a
withdrawal from the Distribution Account on
                     ,
200  , which date is a Distribution Date under the Indenture
Supplement, in an aggregate amount (equal to the Available Principal
Collections) as set forth below in respect of the following amounts and (ii) to
apply the proceeds of such withdrawal in accordance with Section 4.6:

 

	
   

  	
   

  	
  Reallocated Principal Collections to fund any deficiency pursuant to
  and in the priority set forth subsections 4.4(a)(i), (ii), (iii)
  and (iv)(B) of the Indenture Supplement

  	
   

  	
  $

  

 

Pursuant to Section 4.9,
the Servicer does hereby instruct the Indenture Trustee to transfer from the
Principal Accumulation Account to the Collection Account, the Principal
Accumulation Investment Proceeds on deposit in the Principal Accumulation
Account for application as Available Finance Charge Collections in the
following amount.

 

B-5

 

	
   

  	
   

  	
   

  	
   

  	
  $

  

 

Pursuant to Section 4.10,
the Servicer does hereby instruct the Indenture Trustee to withdraw from the
Reserve Account an amount equal to any Reserve Account Surplus to be deposited
into the Spread Account in accordance with Section 4.10(e), in the
following amount.

 

	
   

  	
   

  	
   

  	
   

  	
  $

  

 

Pursuant to Section 4.12,
the Servicer does hereby instruct the Indenture Trustee to withdraw from the
Spread Account an amount equal to a deficiency in Class C Monthly Interest and
Class C Net Swap Payments up to the Available Spread Account Amount, in the
following amount.

 

	
   

  	
   

  	
   

  	
   

  	
  $

  

 

II.                                     INSTRUCTIONS TO MAKE CERTAIN PAYMENTS

 

Pursuant to Section 5.2,
the Servicer does hereby instruct the Indenture Trustee or the Paying Agent as
the case may be, to pay in accordance with Section 5.2 from the
Collection Account or the Principal Accumulation Account, as applicable, on
                 ,
which date is a Distribution Date under the Indenture Supplement, the following
amounts:

 

	
   

  	
  A.

  	
  Pursuant to Subsection 5.2(a):

  	
   

  	
   

  
	
   

  	
  (1)

  	
  Class A-1 Noteholder’s pro rata
  share of the amounts on deposit in the Distribution Account that are
  allocated and available on such Distribution Date to pay interest on the
  Class A-1 Notes pursuant to the Indenture Supplement

  	
   

  	
  $

  
	
   

  	
  (2)

  	
  Class A-1 Noteholder’s pro rata
  share of the amounts on deposit in the Distribution Account that are
  allocated and available on such Distribution Date to pay principal of the
  Class A-1 Notes pursuant to the Indenture Supplement

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  B.

  	
  Pursuant to Subsection 5.2(b):

  	
   

  	
   

  
	
   

  	
  (1)

  	
  Class A-2 Noteholder’s pro rata
  share of the amounts on deposit in the Distribution Account that are
  allocated and available on such Distribution Date to pay interest on the Class
  A-2 Notes pursuant to the Indenture Supplement

  	
   

  	
  $

  
	
   

  	
  (2)

  	
  Class A-2 Noteholder’s pro rata
  share of the amounts on deposit in the Distribution Account that are
  allocated and available on such Distribution Date to pay principal of the
  Class A-2 Notes pursuant to the Indenture Supplement

  	
   

  	
  $

  

 

B-6

 

	
   

  	
  C.

  	
  Pursuant to Subsection 5.2(c):

  	
   

  	
   

  
	
   

  	
  (1)

  	
  Class B Noteholder’s pro rata
  share of the amounts on deposit in the Distribution Account that are
  allocated and available on such Distribution Date to pay interest on the
  Class B Notes pursuant to the Indenture Supplement

  	
   

  	
  $

  
	
   

  	
  (2)

  	
  Class B Noteholder’s pro rata
  share of the amounts on deposit in the Distribution Account that are
  allocated and available on such Distribution Date to pay principal of the
  Class B Notes pursuant to the Indenture Supplement

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  D.

  	
  Pursuant to Subsection 5.2(d):

  	
   

  	
   

  
	
   

  	
  (1)

  	
  Class C-1 Noteholder’s pro rata
  share of the amounts on deposit in the Distribution Account that are
  allocated and available on such Distribution Date to pay interest of the
  Class C-1 Notes pursuant to the Indenture Supplement, including amounts
  withdrawn from the Spread Account

  	
   

  	
  $

  
	
   

  	
  (2)

  	
  Class C-1 Noteholder’s pro rata
  share of the amounts on deposit in the Distribution Account that are
  allocated and available on such Distribution Date to pay principal on the
  Class C-1 Notes pursuant to the Indenture Supplement

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  E.

  	
  Pursuant to Subsection 5.2(e):

  	
   

  	
   

  
	
   

  	
  (1)

  	
  Class C-2 Noteholder’s pro rata
  share of the amounts on deposit in the Distribution Account that are
  allocated and available on such Distribution Date to pay interest of the
  Class C-2 Notes pursuant to the Indenture Supplement, including amounts
  withdrawn from the Spread Account

  	
   

  	
  $

  
	
   

  	
  (2)

  	
  Class C-2 Noteholder’s pro rata
  share of the amounts on deposit in the Distribution Account that are
  allocated and available on such Distribution Date to pay principal on the
  Class C-2 Notes pursuant to the Indenture Supplement

  	
   

  	
  $

  

 

B-7

 

IN WITNESS WHEREOF, the
undersigned has duly executed this certificate this
             day of
                             ,
200  .

 

	
   

  	
  WORLD FINANCIAL NETWORK NATIONAL

  BANK, as Servicer

  
	
   

  
	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  

 

B-8

 

EXHIBIT C

 

FORM OF MONTHLY NOTEHOLDERS’
STATEMENT

 

WORLD FINANCIAL NETWORK
CREDIT CARD MASTER NOTE TRUST

SERIES 2003-A

 

Pursuant to the Master
Indenture, dated as of August 1, 2001, (as amended and supplemented, the “Indenture”)
between World Financial Network Credit Card Master Note Trust (the “Issuer”)
and BNY Midwest Trust Company, as indenture trustee (the “Indenture Trustee”),
as supplemented by the Series 2003-A Indenture Supplement (the “Indenture
Supplement”), dated as of June 19, 2003, between the Issuer and the
Indenture Trustee, World Financial Network National Bank, as Servicer (the “Servicer”)
under the Transfer and Servicing Agreement, dated as of August 1, 2002 (the “Transfer
and Servicing Agreement”) between the Servicer, WFN Credit Company, as LLC,
as Transferor and the Issuer is required to prepare certain information each
month regarding current distributions to the Series 2003-A Noteholders and the
performance of the Trust during the previous month.  The information required to be prepared with respect to the
Distribution Date of
                          ,
and with respect to the performance of the Trust during the month of
             is set
forth below.  Capitalized terms used
herein are defined in the Indenture and the Indenture Supplement.

 

A.                                   Information regarding distributions in
respect of the Notes

 

	
   

  	
  1.

  	
  The total amount of the distribution in respect of Class A Notes

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  2.

  	
  The amount of the distribution set forth in paragraph 1 above in
  respect of principal of the Class A-1 Notes

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  3.

  	
  The amount of the distribution set forth in paragraph 1 above in
  respect of principal of the Class A-2 Notes

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  4.

  	
  The amount of the distribution set forth in paragraph 1 above in
  respect of interest on the Class A-1 Notes

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  5

  	
  The amount of the distribution set forth in paragraph 1 above in
  respect of interest on the Class A-2 Notes

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  6.

  	
  The total amount of the distribution in respect of Class B Notes

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  7.

  	
  The amount of the distribution set forth in paragraph 6 above in
  respect of principal of the Class B Notes

  	
   

  	
  $

  

 

C-1

 

	
   

  	
  8.

  	
  The amount of the distribution set forth in paragraph 6 above in
  respect of interest on the Class B Notes

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  9.

  	
  The total amount of the distribution in respect of Class C Notes

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  10.

  	
  The amount of the distribution set forth in paragraph 9 above in
  respect of principal of the Class C-1 Notes

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  11.

  	
  The amount of the distribution set forth in paragraph 9 above in
  respect of principal of the Class C-2 Notes

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  12.

  	
  The amount of the distribution set forth in paragraph 9 above in
  respect of interest on the Class C-1 Notes

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  13.

  	
  The amount of the distribution set forth in paragraph 9 above in
  respect of interest on the Class C-2 Notes

  	
   

  	
  $

  

 

	
   

  	
  RECEIVABLES -

  	
   

  	
   

  
	
   

  	
  Beginning of the Month Principal Receivables:

  	
   

  	
  $

  
	
   

  	
  Beginning of the Month Finance Charge Receivables:

  	
   

  	
  $

  
	
   

  	
  Beginning of the Month Discount Option Receivables:

  	
   

  	
  $

  
	
   

  	
  Beginning of the Month Total Receivables:

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Removed Principal Receivables:

  	
   

  	
  $

  
	
   

  	
  Removed Finance Charge Receivables:

  	
   

  	
  $

  
	
   

  	
  Removed Total Receivables:

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Additional Principal Receivables:

  	
   

  	
  $

  
	
   

  	
  Additional Finance Charge Receivables:

  	
   

  	
  $

  
	
   

  	
  Additional Total Receivables:

  	
   

  	
  $

  

 

C-2

 

	
   

  	
  Discount Option Receivables Generated this Period:

  	
   

  	
  $

  
	
   

  	
  Net Recoveries for month of
                
  200  :

  	
   

  	
  $

  
	
   

  	
  End of the Month Principal Receivables:

  	
   

  	
  $

  
	
   

  	
  End of the Month Finance Charge Receivables:

  	
   

  	
  $

  
	
   

  	
  End of the Month Discount Option Receivables:

  	
   

  	
  $

  
	
   

  	
  End of the Month Total Receivables:

  	
   

  	
  $

  
	
   

  	
  Excess Funding Account Balance:

  	
   

  	
  $

  
	
   

  	
  Aggregate Principal Balance:

  	
   

  	
  $

  
	
   

  	
  Minimum Aggregate Principal Balance:

  	
   

  	
  $

  
	
   

  	
  End of the Month Transferor Amount:

  	
   

  	
  $

  
	
   

  	
  Minimum Transferor Amount:

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  DELINQUENCIES AND LOSSES -

  	
   

  	
   

  
	
   

  	
  End of the Month Delinquencies:

  	
   

  	
  RECEIVABLES

  
	
   

  	
  30-59 Days Delinquent

  	
   

  	
  $

  
	
   

  	
  60-89 Days Delinquent

  	
   

  	
  $

  
	
   

  	
  90+ Days Delinquent

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Total 30+ Days Delinquent

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Defaulted Receivables During the Month

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  NOTE PRINCIPAL BALANCES -

  	
   

  	
   

  
	
   

  	
  Class A-1 Note Principal Balance

  	
   

  	
  $

  
	
   

  	
  Class A-2 Note Principal Balance

  	
   

  	
  $

  
	
   

  	
  Class B Note Principal Balance

  	
   

  	
  $

  
	
   

  	
  Class C-1 Note Principal Balance

  	
   

  	
  $

  
	
   

  	
  Class C-2 Note Principal Balance

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  SERIES 2003-A

  	
   

  	
   

  
	
   

  	
  ALLOCATION PERCENTAGE

  	
   

  	
  %

  	
   

  
	
   

  	
  AVAILABLE FINANCE CHARGE COLLECTIONS

  	
   

  	
  $

  
	
   

  	
  INVESTOR DEFAULT AMOUNT

  	
   

  	
  $

  

 

C-3

 

	
   

  	
  INVESTOR UNCOVERED DILUTION AMOUNT

  	
   

  	
  $

  
	
   

  	
  NOTEHOLDER SERVICING FEES

  	
   

  	
  $

  
	
   

  	
  AVAILABLE PRINCIPAL COLLECTIONS

  	
   

  	
  $

  
	
   

  	
  EXCESS FINANCE CHARGE COLLECTIONS

  	
   

  	
  $

  
	
   

  	
  SHARED PRINCIPAL COLLECTIONS

  	
   

  	
  $

  
	
   

  	
  CASH COLLATERAL ACCOUNT BALANCE

  	
   

  	
  $

  
	
   

  	
  RESERVE ACCOUNT BALANCE

  	
   

  	
  $

  
	
   

  	
  SPREAD ACCOUNT BALANCE

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  APPLICATION OF COLLECTIONS -

  	
   

  	
   

  
	
   

  	
  CLASS A-1 MONTHLY INTEREST

  	
   

  	
  $

  
	
   

  	
  CLASS A-1 NET SWAP PAYMENT

  	
   

  	
  $

  
	
   

  	
  CLASS A-2 MONTHLY INTEREST

  	
   

  	
  $

  
	
   

  	
  CLASS A-2 NET SWAP PAYMENT

  	
   

  	
  $

  
	
   

  	
  CLASS B MONTHLY INTEREST

  	
   

  	
  $

  
	
   

  	
  CLASS B NET SWAP PAYMENT

  	
   

  	
  $

  
	
   

  	
  CLASS C-1 MONTHLY INTEREST

  	
   

  	
  $

  
	
   

  	
  CLASS C-1 NET SWAP PAYMENT

  	
   

  	
  $

  
	
   

  	
  CLASS C-2 MONTHLY INTERESTS

  	
   

  	
  $

  
	
   

  	
  CLASS C-2 NET SWAP PAYMENT

  	
   

  	
  $

  
	
   

  	
  INVESTOR DEFAULT AMOUNT

  	
   

  	
  $

  
	
   

  	
  INVESTOR UNCOVERED DILUTION AMOUNT

  	
   

  	
  $

  
	
   

  	
  INVESTOR CHARGEOFFS AND REALLOCATED PRINCIPAL COLLECTIONS NOT
  PREVIOUSLY REIMBURSED

  	
   

  	
  $

  
	
   

  	
  AMOUNTS TO BE DEPOSITED IN THE CASH COLLATERAL ACCOUNT

  	
   

  	
  $

  
	
   

  	
  AMOUNTS TO BE DEPOSITED IN THE RESERVE ACCOUNT

  	
   

  	
  $

  
	
   

  	
  AMOUNTS TO BE DEPOSITED IN THE SPREAD ACCOUNT

  	
   

  	
  $

  

 

C-4

 

	
   

  	
  EXCESS FINANCE CHARGES COLLECTIONS -

  	
   

  	
   

  
	
   

  	
  TOTAL EXCESS FINANCE CHARGE COLLECTIONS FOR ALL ALLOCATION SERIES

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  SHARED PRINCIPAL COLLECTIONS -

  	
   

  	
   

  
	
   

  	
  TOTAL SHARED PRINCIPAL COLLECTIONS FOR ALL ALLOCATIONS SERIES

  	
   

  	
  $

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  YIELD AND BASE RATE -

  	
   

  	
   

  
	
   

  	
  Base Rate (Current Month)

  	
  %

  	
   

  
	
   

  	
  Base Rate (Prior Month)

  	
  %

  	
   

  
	
   

  	
  Base Rate (Two Months Ago)

  	
  %

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  THREE MONTH AVERAGE BASE RATE

  	
   

  	
  %

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Portfolio Yield (Current Month)

  	
  %

  	
   

  
	
   

  	
  Portfolio Yield (Prior Month)

  	
  %

  	
   

  
	
   

  	
  Portfolio Yield (Two Months Ago)

  	
  %

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  THREE MONTH AVERAGE PORTFOLIO YIELD

  	
   

  	
  %

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  PRINCIPAL COLLECTIONS -

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  MONTHLY PRINCIPAL

  	
   

  	
  %

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  PRINCIPAL ACCUMULATION ACCOUNT BALANCE

  	
   

  	
  $

  
	
   

  	
  SERIES 2003-A PRINCIPAL SHORTFALL

  	
   

  	
  $

  
	
   

  	
  SHARED PRINCIPAL COLLECTIONS ALLOCABLE FROM OTHER PRINCIPAL SHARING
  SERIES

  	
   

  	
  $

  

 

C-5

 

	
   

  	
  INVESTOR CHARGE OFFS AND REDUCTIONS -

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  INVESTOR CHARGE OFFS

  	
   

  	
  $

  
	
   

  	
  REALLOCATED PRINCIPAL COLLECTIONS

  	
   

  	
  $

  
	
   

  	
  REDUCTIONS IN COLLATERAL AMOUNT(OTHER THAN BY PRINCIPAL PAYMENTS)

  	
   

  	
  $

  
	
   

  	
  REDUCTIONS IN COLLATERAL AMOUNT DUE TO APPLICATION OF AVAILABLE
  PRINCIPAL COLLECTIONS AS SHARED PRINCIPAL COLLECTIONS

  	
   

  	
  $

  
	
   

  	
  PREVIOUS REDUCTIONS IN COLLATERAL AMOUNT REIMBURSED

  	
   

  	
  $

  

 

	
   

  	
   

  
	
   

  	
  as Indenture Trustee

  
	
   

  
	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  

 

C-6

 

EXHIBIT D

 

FORM OF MONTHLY SERVICER’S
CERTIFICATE

 

WORLD FINANCIAL NETWORK NATIONAL
BANK

 

WORLD FINANCIAL NETWORK
CREDIT CARD MASTER NOTE TRUST SERIES 2003-A

 

The undersigned, a duly
authorized representative of World Financial Network National Bank (“WFN”),
as Servicer pursuant to the Transfer and Servicing Agreement, dated as of August
1, 2001 (as amended and supplemented, the “Transfer and Servicing Agreement”),
among WFN Credit Company, LLC, as Transferor, World Financial Network National
Bank, as Servicer and World Financial Network Master Note Trust (the “Trust”),
as Issuer, does hereby certify as follows:

 

1.                                       Capitalized terms used in this Certificate
have their respective meanings set forth in the Transfer and Servicing
Agreement or the Master Indenture dated as of August 1, 2001 (as amended or
supplemented, the “Master Indenture”), between the Trust and BNY Midwest
Trust Company, as indenture trustee (the “Indenture Trustee”) as
supplemented by the Series 2003-A Indenture Supplement, dated as of June 19,
2003, between the Trust and the Indenture Trustee (as amended and supplemented,
the “Indenture Supplement”) and together with the Master Indenture, the
“Indenture”), as applicable.

 

2.                                       WFN is, as of the date hereof, the Servicer
under the Transfer and Servicing Agreement.

 

3.                                       The undersigned is an Authorized Officer of
the Servicer.

 

4.                                       This Certificate relates to the Distribution
Date occurring on
                
    , 200  .

 

5.                                       As of the date hereof, to the best knowledge
of the undersigned, the Servicer has performed in all material respects all of
its obligations under the Transfer and Servicing Agreement and the Indenture
through the Monthly Period preceding such Distribution Date [or, if there has
been a default in the performance of any such obligation, set forth in detail
the (i) nature of such default, (ii) the action taken by the Servicer, if any,
to remedy such default and (iii) the current status of each such default]; if
applicable, insert “None”.

 

6.                                       As of the date hereof, to the best knowledge
of the undersigned, no Early Amortization Event occurred on or prior to such
Distribution Date.

 

D-1

 

IN WITNESS WHEREOF, the
undersigned has duly executed and delivered this Certificate this
      day of
                            
    , 20    .

 

	
   

  	
  WORLD FINANCIAL NETWORK NATIONAL

  BANK, as Servicer

  
	
   

  
	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  

 

 

D-2

 

EXHIBIT E-1

 

Form of Class A-1 Swap

 

[ON FILE WITH THE PARTIES TO
THE SWAP]

 

E-1-1

 

EXHIBIT E-2

 

Form of Class C-1 Swap

 

[ON FILE WITH THE PARTIES TO
THE SWAP]

 

 

E-2-1

 

EXHIBIT F

 

ALTERNATIVE PROVISIONS

 

The following provisions
shall become effective on the date specified in Section 9.9 in the
circumstances described therein without an further action by the parties to
this Indenture Supplement:

 

Alternative Definitions

 

“Controlled Accumulation
Amount” means, for any Transfer Date with respect to the Controlled
Accumulation Period, the quotient obtained by dividing (a) the sum of the Class
A-1 Note Initial Principal Balance and the Class C-1 Note Initial Principal
Balance by (b) 12; provided, however,
that if the Controlled Accumulation Period Length is determined to be less than
12 months pursuant to Section 4.14 or 4.15, the amount described
in clause (a) of this definition shall be equal to (i) the sum of the
Class A-1 Note Initial Principal Balance and the Class C-1 Note Initial
Principal Balance divided by (ii)
the Controlled Accumulation Period Length; provided, further,
that the Controlled Accumulation Amount for any Distribution Date shall not
exceed the Note Principal Balance minus any amount already on deposit in the
Principal Accumulation Account on such Transfer Date.

 

“Covered Amount”
means an amount, determined as of each Transfer Date for any Distribution
Period, equal to the sum of (a) the product of (i) the Class A-1 Net Interest
Obligation times (ii) a fraction,
(A) the numerator of which is equal to the aggregate amount on deposit in the
Principal Accumulation Account, up to the Class A-1 Note Principal Balance as
of the Record Date preceding such Transfer Date, and (B) the denominator of
which is equal to the Class A-1 Note Principal Balance as of the Record Date
preceding such Transfer Date plus  (b) the product of (i) the
Class C-1 Net Interest Obligation times
(ii) a fraction (A) the numerator of which is equal to the aggregate amount on
deposit in the Principal Accumulation Account in excess of the Class A-1 Note
Principal Balance as of the Record Date preceding such Transfer Date, up to the
Class C-1 Note Principal Balance as of the Record Date preceding such Transfer
Date, and (B) the denominator of which is equal to the Class C-1 Note Principal
Balance as of the Record Date preceding such Transfer Date.

 

“Required Reserve Account
Amount” means, for any Transfer Date on or after the Reserve Account
Funding Date, an amount equal to (a) 0.50% of the sum of the Class A-1 Note
Principal Balance and the Class C-1 Note Principal Balance or (b) any other
amount designated by the Transferor; provided, however, that if such designation is of a lesser
amount, the Transferor shall (i) provide the Servicer and the Indenture Trustee
with evidence that the Rating Agency Condition shall have been satisfied and
(ii) deliver to the Indenture Trustee a certificate of an Authorized Officer to
the effect that, based on the facts known to such officer at such time, in the
reasonable belief of the Transferor, such designation will not cause an Early
Amortization Event or an event that, after the giving of notice or the lapse of
time, would cause an Early Amortization Event to occur with respect to Series
2003-A.

 

Alternative Section 4.14

 

Section 4.14 Controlled
Accumulation Period.  The Controlled
Accumulation Period is scheduled to commence at the beginning of business on
May 1, 2007; provided that if the

 

F-1

 

Controlled Accumulation Period Length
(determined as described below) on any Determination Date on or after the April
2007 Determination Date is less than 12 months, upon written notice to the
Indenture Trustee, Transferor and, each Rating Agency, Servicer, at its option,
may elect to modify the date on which the Controlled Accumulation Period
actually commences to the first Business Day of the month that is the number of
whole months prior to the month in which the Class A/B Expected Principal
Payment Date occurs at least equal to the Controlled Accumulation Period Length
(so that, as a result of such election, the number of Monthly Periods in the
Controlled Accumulation Period will at least equal the Controlled Accumulation
Period Length); provided that (i) the length of the Controlled
Accumulation Period will not be less than one month, (ii) such determination of
the Controlled Accumulation Period Length shall be made on each Determination
Date on and after the April 2007 Determination Date but prior to the
commencement of the Controlled Accumulation Period, and any election to shorten
the Controlled Accumulation Period shall be subject to the subsequent
lengthening of the Controlled Accumulation Period to the Controlled
Accumulation Period Length determined on any subsequent Determination Date, but
the Controlled Accumulation Period shall in no event commence prior to the
Controlled Accumulation Date, and (iii) notwithstanding any other provision of
this Indenture Supplement to the contrary, no election to postpone the
commencement of the Controlled Accumulation Period shall be made after an Early
Amortization Event shall have occurred and be continuing with respect to any
other Series.  The “Controlled
Accumulation Period Length” will mean a number of whole months such that
the amount on deposit in the Principal Accumulation Account is expected to
equal or exceed the sum of the Class A-1 Note Principal Balance and the Class
C-1 Note Principal Balance, assuming for this purpose that (1) the payment rate
with respect to Principal Collections remains constant at the lowest level of
such payment rate during the twelve preceding Monthly Periods (or such lower
payment rate as Servicer may select), (2) the total amount of Principal
Receivables in the Trust (and the principal amount on deposit in the Excess
Funding Account, if any) remains constant at the level on such date of
determination, (3) no Early Amortization Event with respect to any Series will
subsequently occur and (4) no additional Series (other than any Series being
issued on such date of determination) will be subsequently issued.  Any notice by Servicer electing to modify
the commencement of the Controlled Accumulation Period pursuant to this Section
4.14 shall specify (i) the Controlled Accumulation Period Length, (ii) the
commencement date of the Controlled Accumulation Period and (iii) the
Controlled Accumulation Amount with respect to each Monthly Period during the
Controlled Accumulation Period.  The
Servicer shall calculate the Controlled Accumulation Period Length on each
Determination Date prior to the April 2007 Determination Date as necessary to
determine the Reserve Account Funding Date.

 

F-2

 

SCHEDULE 1

 

PERFECTION REPRESENTATIONS, WARRANTIES

AND COVENANTS

 

(a)                                  In addition to the representations,
warranties and covenants contained in the Indenture, the Issuer hereby
represents, warrants and covenants to the Indenture Trustee as follows as of
the Closing Date:

 

(1)                                  The Indenture creates a valid and continuing
security interest (as defined in the applicable Uniform Commercial Code) in the
Class A-1 Net Swap Receipts and the Class C-1 Net Swap Receipts in favor of the
Indenture Trustee, which security interest is prior to all other Liens, and is
enforceable as such against creditors of and purchasers from Issuer.

 

(2)                                  The Class A-1 Net Swap Receipts and the Class
C-1 Net Swap Receipts constitute “general intangibles” within the meaning of
the applicable Uniform Commercial Code.

 

(3)                                  Issuer owns and has good and marketable title
to the Class A-1 Net Swap Receipts and the Class C-1 Net Swap Receipts free and
clear of any Lien, claim or encumbrance of any Person.

 

(4)                                  There are no consents or approvals required
by the terms of the Class A-1 Swap or the Class C-1 Swap, for the pledge of the
Class A-1 Net Swap Receipts or Class C-1 Net Swap Receipts, respectively, to
the Indenture Trustee pursuant to the Indenture.

 

(5)                                  Issuer (or the Administrator on behalf of the
Issuer) has caused the filing of all appropriate financing statements in the
proper filing office in the appropriate jurisdictions under applicable law in
order to perfect the security interest granted to the Indenture Trustee under
the Indenture in the Class A-1 Net Swap Receipts and the Class C-1 Net Swap
Receipts.

 

(6)                                  Other than the pledge of the Class A-1 Net
Swap Receipts and the Class C-1 Net Swap Receipts to Indenture Trustee pursuant
to the Indenture, Issuer has not pledged, assigned, sold, granted a security
interest in, or otherwise conveyed the Class A-1 Net Swap Receipts or Class C-1
Net Swap Receipts.  Issuer has not
authorized the filing of and is not aware of any financing statements against
Issuer that include a description of the Class A-1 Net Swap Receipts or Class
C-1 Net Swap Receipts, except for the financing statement filed pursuant to the
Indenture.

 

(7)                                  Notwithstanding any other provision of the
Indenture, the representations and warranties set forth in this Schedule 1
shall be continuing, and remain in full force and effect, until such time as
the Series 2003-A Notes are retired.

 

(a)                                  Indenture Trustee covenants that it shall
not, without satisfying the Rating Agency Condition, waive a breach of any
representation or warranty set forth in this Schedule 1.

 

(b)                                 The Servicer covenants that in order to
evidence the interests of Issuer and Indenture Trustee under the Indenture,
Servicer shall take such action, or execute and deliver such instruments as may
be necessary or advisable (including, without limitation, such actions as are
requested by Indenture Trustee) to maintain and perfect, as a first priority
interest, Indenture

 

Sch - 1

 

Trustee’s security interest in the Class A-1
Net Swap Receipts or the Class C-1 Net Swap Receipts.

 

Sch - 2EXHIBIT 4.2

 

SUPPLEMENTAL INDENTURE NO. 1 TO MASTER
INDENTURE

 

This
SUPPLEMENTAL INDENTURE NO. 1 TO MASTER INDENTURE, dated as of August 13, 2003
(this “Supplemental Indenture”)
is to the Master Indenture, dated as of August 1, 2001, as amended as of March
31, 2003 (the “Master Indenture”),
between the World Financial Network Credit Card Master Note Trust, as Issuer
(the “Issuer”) and BNY Midwest Trust Company, as Indenture Trustee (the
“Indenture Trustee”).  Capitalized terms
used and not otherwise defined in this Supplemental Indenture are used as
defined in the Master Indenture.

 

WHEREAS, the
Issuer and the Indenture Trustee desire to amend the Master Indenture in
certain respects set forth below;

 

NOW,
THEREFORE, in consideration of the premises and for other good and valuable
consideration (the receipt and sufficiency of which are hereby acknowledged),
the parties hereto agree as follows:

 

1.                                       Amendment
of the Master Indenture.  Section 6.14
of the Master Indenture is hereby amended by replacing the “.”  at the end of such section with the
following: “; provided, however, that physical possession of the
Collateral Certificate may be held by an agent on behalf of the Indenture
Trustee.”

 

2.                                       Binding
Effect; Ratification. (a)  This
Supplemental Indenture shall become effective, as of the date first set forth
above, when counterparts hereof shall have been executed and delivered by the
parties hereto, and thereafter shall be binding on the parties hereto and their
respective successors and assigns.

 

(b)                                 On
and after the execution and delivery hereof, this Supplemental Indenture shall
be a part of the Master Indenture and each reference in the Master Indenture to
“this Agreement” or “hereof”, “hereunder” or words of like import, and each
reference in any other Transaction Document to the Master Indenture shall mean
and be a reference to the Master Indenture as amended hereby.

 

(c)                                  Except
as expressly amended hereby, the Master Indenture shall remain in full force
and effect and is hereby ratified and confirmed by the parties hereto.

 

3.                                       Miscellaneous. (a)  THIS SUPPLEMENTAL INDENTURE SHALL BE
GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW
YORK, WITHOUT REFERENCE TO ITS CONFLICT OF LAW PROVISIONS. EACH OF THE PARTIES
TO THIS SUPPLEMENTAL INDENTURE HEREBY AGREES TO THE JURISDICTION OF THE UNITED
STATES DISTRICT COURT FOR THE SOUTHERN DISTRICT OF NEW YORK AND ANY APPELLATE
COURT HAVING JURISDICTION TO REVIEW THE JUDGMENTS THEREOF. EACH OF THE PARTIES
HEREBY WAIVES ANY OBJECTION BASED ON FORUM
NON CONVENIENS AND ANY OBJECTION TO VENUE OF ANY ACTION INSTITUTED
HEREUNDER IN

 

Supplemental Indenture No. 1

to Master Indenture

 

 

ANY OF THE AFOREMENTIONED
COURTS AND CONSENTS TO THE GRANTING OF SUCH LEGAL OR EQUITABLE RELIEF AS IS
DEEMED APPROPRIATE BY SUCH COURT.

 

(b)                                 Headings
used herein are for convenience of reference only and shall not affect the
meaning of this Supplemental Indenture.

 

(c)                                  This
Supplemental Indenture may be executed in any number of counterparts, and by
the parties hereto on separate counterparts, each of which shall be an original
and all of which taken together shall constitute one and the same agreement.

 

[Signature Page Follows]

 

2

 

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

 

	
   

  	
  BNY MIDWEST
  TRUST COMPANY, as

  Indenture Trustee

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Sally Tokich

  
	
   

  	
   

  	
  Name:  Sally Tokich

  
	
   

  	
   

  	
  Title:  Assistant Treasurer

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  WORLD
  FINANCIAL NETWORK CREDIT

  CARD MASTER NOTE TRUST, as Issuer

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:  Chase Manhattan Bank USA, National

  Association,

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  not in its
  individual capacity, but solely as Owner Trustee on behalf of Issuer

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ John J. Cashin

  
	
   

  	
   

  	
  Name:  John J. Cashin

  
	
   

  	
   

  	
  Title:  Vice-President

  

 

S-1

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