Document:

exv10w13

 

Exhibit 10.13

WELLMAN, INC.

Sixth Amended and Restated

Management Incentive Compensation Plan for the Executive Group

			
	ARTICLE I	 	NAME

1.1 The Plan shall be known as the “Wellman, Inc. Management Incentive Compensation Plan for the
Executive Group.”

			
	ARTICLE II	 	STATEMENT OF PURPOSE

2.1 The purpose of the Plan is to provide a system of incentive compensation that will promote
the maximization of shareholder value over the long-term. In order to align management incentives
with shareholder interests, this Plan will tie incentive compensation to (i) an EBITDA Return and
(ii) certain performance goals. The EBITDA Return and the performance goals are stated in Exhibits
A & B respectively. Both of these are designed to reward management for taking appropriate actions
to increase shareholder value.

			
	ARTICLE III	 	DEFINITIONS

3.1 Plan Year means the fiscal year of the Company which is the calendar year.

3.2 Effective Date means (a) January 1, 1992 with respect to the original Plan, (b) January 1,
1999 with respect to the amended and restated Plan, and (c) January 1, 2001 with respect to the
second amended and restated Plan, (d) January 1, 2005 with respect to the third amended and
restated Plan, (e) July 1, 2007 with respect to the fourth amended and restated Plan,(f) October 1,
2007 with respect to the fifth amended and restated plan (g) January 1, 2008 with respect to the
sixth amended and restated plan.

3.3 Committee means the Compensation Committee of the Board of Directors of Wellman, Inc. or any
successor committee.

3.4 Cause means, when used with respect to the termination of the employment of the Executive by
the Company, termination due to (a) an act or acts of personal dishonesty taken by the Executive
and intended to result in substantial personal enrichment of the Executive at the expense of the
Company; (b) the Executive’s continued failure to substantially perform his employment duties
(other than any such failure resulting from the Executive’s incapacity due to physical or mental
illness) which are demonstrably willful and deliberate on the Executive’s part and which are not
remedied in a reasonable period of time after receipt of written notice from the Company; or (c)
conviction of, or a plea of guilty or no contest by, the Executive to a crime that constitutes a
felony involving moral turpitude. No act or failure to act on the part of the Executive shall be
considered “willful”

 

 

unless it is done, or omitted to be done, by the Executive in bad faith or without reasonable
belief that the Executive’s action or omission was in the best interests of the Company.

3.5 Change of Control means:

	 	(i)	 	The acquisition (whether by tender offer, exchange offer or other business
combinations or by the purchase of shares or other securities, and whether in a single
transaction or multiple transactions), by any Person or group (within the meaning of
Section 13(d)(3) or 14(d)(2) of the Exchange Act) of beneficial ownership (within the
meaning of Rule 13d-3 promulgated under the Exchange Act) of 50% or more of either the
then outstanding shares of common stock of the Company (the “Outstanding Company
Common Stock”) or the combined voting power of the then outstanding voting securities
of the Company entitled to vote generally in the election of directors (the “Company
Voting Securities”), provided, however, that any acquisition by the Company or its
subsidiaries, or any employee benefit plan (or related trust) of the Company or its
subsidiaries, or any corporation with respect to which, following such acquisition,
more than 50% of, respectively, the then outstanding shares of common stock of such
corporation and the combined voting power of the then outstanding voting securities of
such corporation entitled to vote generally in the election of directors is then
beneficially owned, directly or indirectly, by all or substantially all of the
individuals and entities who were the beneficial owners, respectively, of the
Outstanding Company Common Stock and Company Voting Securities immediately prior to
such acquisition in substantially the same proportion as their ownership, immediately
prior to such acquisition, of the Outstanding Company Common Stock and Company Voting
Securities, as the case may be, shall not constitute a Change of Control and provided
further, however, that for the purposes of this Agreement the Convertible Preferred
Stock shall be considered Company Voting Securities based on the equivalent number of
common shares that could be voted at that time; or

(ii) Individuals who, as of January 1, 2007, constitute the Board (the
“Incumbent Board”) cease for any reason to constitute at least a majority
of the Board, provided that any individual becoming a director subsequent
to January 1, 2007 who is elected by the Company’s shareholders or was
approved by a vote of at least a majority of the directors then comprising
the Incumbent Board shall be considered as though such individual were a
member of the Incumbent Board, but excluding, for this purpose, any such
individual whose initial assumption of office is in connection with an
actual or threatened election contest relating to the election of the
directors of

 

 

the Board (as such terms are used in Rule 14a-11 of Regulation 14A
promulgated under the Exchange Act); or

(iii) Approval by the stockholders of the Company of (x) a reorganization,
merger or consolidation, in each case, with respect to which all or
substantially all of the Persons who were the respective beneficial owners
of the Outstanding Company Common Stock and Company Voting Securities
immediately prior to such reorganization, merger or consolidation do not,
following such reorganization, merger or consolidation, beneficially own,
directly or indirectly, more than 50% of, respectively, the then
outstanding shares of common stock and the combined voting power of the
then outstanding voting securities entitled to vote generally in the
election of directors, as the case may be, of the corporation resulting
from such reorganization, merger or consolidation, or (y) a complete
liquidation or dissolution of the Company, or (z) the sale or other
disposition of all or substantially all of the assets of the Company in one
transaction or series of related transactions.

(iv) Anything in this Agreement to the contrary notwithstanding, if an event that
would, but for this paragraph, constitute a Change of Control results from or arises
out of a purchase or other acquisition of the Company, directly or indirectly, by a
Person in which the Executive has a direct or indirect equity interest, such event
shall not constitute a Change of Control; provided, however, that the limitation
contained in this sentence shall not apply to any direct or indirect equity interest
in a Person (1) which equity interest is part of a class of equity interests which
are publicly traded on any national securities exchange or other market system, (2)
received by the Executive, without the Executive’s concurrence or consent, as a
result of a purchase or other acquisition of the Company by such corporation or
other entity, or (3) received by the Executive, without the Executive’s concurrence
or consent, in connection with a purchase or other acquisition of the Company by
such Person in respect of any stock options or performance awards granted to the
Executive by the Company.

3.6 Company means Wellman, Inc., a Delaware corporation.

	3.7	 	Additional Definitions, specifically related to the computation of the EBITA Return are in
Exhibit C.

			
	ARTICLE IV	 	PLAN ADMINISTRATION

4.1 The Plan shall be administered by the Committee which shall have exclusive and absolute
authority and discretion to interpret the Plan, to establish and modify rules for the
administration of the Plan, to impose such conditions and restrictions as it determines appropriate
with respect to the Plan and to take such other actions and make such other

 

 

determinations as it may deem necessary or advisable for the implementation and administration of
the Plan. All actions taken and all interpretations and determinations made by the Committee in
good faith shall be final and binding upon the participants, the Company and all other interested
persons. The Committee may delegate certain responsibilities to the Chief Executive Officer or
Chief Financial Officer as the Committee so designates. No member of the Committee shall be
personally liable for any action, determination or interpretation made in good faith with respect
to the Plan.

4.2 This Plan may be amended, suspended or terminated any time at the sole discretion of the
Board of Directors of Wellman, Inc., provided, however, that no such change in the Plan shall be
effective to eliminate or diminish the distribution of any award earned by a Plan participant
before the date of such amendment, suspension or termination. Notice of any such amendment,
suspension or termination shall be given promptly to each Plan participant.

			
	ARTICLE V	 	PARTICIPATION

5.1 The participants in the Plan consist of those employees who are executives identified by the
Committee.

			
	ARTICLE VI	 	DESCRIPTION OF PLAN OPERATION

6.1 A target percentage will be assigned to each Plan participant by the Committee annually (the
“target percentage”). The target percentage will be the percentage of salary a Plan participant
will be eligible to earn in bonus if he achieves (i) corporate performance goals measured by an
EBITDA return on assets and (ii) performance goals. These targets will be determined in the sole
discretion of the Committee. The targeted bonus percentages for the CEO and other positions that
may be named executive officers are listed in Exhibit D.

The amount of the bonus payable hereunder to each Plan participant will be calculated annually in
2007 and quarterly in 2008 and the Committee determination of the Compensation Committee will be
final.

Bonuses hereunder will be calculated annually in 2007 and quarterly in 2008. Bonuses for 2007
will be paid on March 15, 2008 and bonus thereafter will be paid on the first payday following the
filing of the Form 10-Q or 10-K for that quarter as applicable.

			
	ARTICLE VII	 	CHANGE IN STATUS DURING THE PLAN YEAR

7.1 Disability means that the Executive has been unable, for the period specified in the
Company’s disability plan for senior executives, but not less than a period of 180 consecutive
days, to perform the Executive’s duties under this Agreement, as a result of physical or mental
illness or injury. A participant shall receive a pro rata bonus based on
the number of full months worked for the year in which the disability started. The payment shall
be made at the regular time for making bonus payments.

 

 

7.2 Death. A participant’s beneficiary (as designated for this plan or if not specifically
designated for this plan, the beneficiary(ies) designated for the corporate life insurance program)
shall receive a pro rata bonus based on the number of full months worked for the Plan Year in which
they die. The payment will be made at the regular time for making bonus payments.

7.3 Retirement. A participant who retires from the Company upon or after reaching age 55 shall
receive a pro rata bonus based on the number of full months worked for the Plan Year in which
he/she retires. The payment will be made at the regular time for making bonus payments.

7.4 Resignation or Termination for Cause. Termination of employment for Cause or voluntary
termination by a participant results in the forfeiture of any award for the Plan Year in which
employment terminates.

7.5 Termination without Cause. A participant who is terminated for reasons other than those
described above will receive a pro rata portion of that Plan Year’s award. The payment will be
made at the regular time for making bonus payments or as mutually agreed by the Committee and the
terminated participant.

7.6 No Guarantee. Participation in the Plan provides no guarantee that a bonus under the Plan
will be paid in any Plan Year. Similarly, the payment of a bonus under the Plan in one Plan Year
or selection as a participant is no guarantee that a bonus under the Plan will be paid in any
subsequent Plan Year.

			
	ARTICLE VIII	 	GENERAL PROVISIONS

8.1 Withholding of Taxes. The Company shall have the right to withhold the amount of taxes
which, in the determination of the Company, are required to be withheld under law with respect to
any amount due or paid under the Plan.

8.2 Expenses. All expenses and costs in connection with the adoption and administration of the
Plan shall be borne by the Company.

8.3 No Prior Right or Offer. Except and until expressly granted pursuant to the Plan, nothing in
the Plan shall be deemed to give any employee any contractual or other right to participate in the
benefits of the Plan.

8.4 Disputed Claims for Benefits. In the event a participant (a “claimant”) has a dispute with
respect to any of the benefits provided hereunder, the claimant shall submit evidence satisfactory
to the Committee of facts establishing his entitlement to a payment under the
Plan. Any claim with respect to any of the benefits provided under the Plan shall be made in
writing within ninety (90) days of the payment date. Failure by
the claimant to submit his or her claim within such ninety (90) day period

 

 

shall bar the claimant from any claim for benefits under the Plan. In reaching its decision, the
Committee shall have complete discretionary authority to determine all questions arising in the
interpretation and administration of the Plan, to construe the terms of the Plan, including any
doubtful or disputed terms and the eligibility of a participant for benefits.

8.5 Rights Personal to Employee. Any rights provided to an employee under the Plan shall be
personal to such employee, shall not be transferable (except by will or pursuant to the laws of
descent or distribution), and shall be exercisable, during his or her lifetime, only by such
employee.

8.6 Confidentiality. Specific details of any calculations under the Plan must remain
confidential and because of the individuality of the awards, participants should not share
information with each other.

8.7 Wellman, Inc. Profit Sharing Plan or Other Plans. Participants in the Wellman, Inc.
Management Incentive Compensation Plan are not eligible to participate in the Wellman, Inc. Bonus
or Profit Sharing Plan.

8.8 Change of Control. Upon any Change of Control, unless the Committee in its sole discretion
determines otherwise prior to the Change of Control, the benefits of the Plan will be paid to all
participants within 45 days of the Change of Control date. Plan payments will be based on the full
Plan Year’s forecasted results as defined in the most recent financial forecast presented to the
Board prior to the Change of Control date using the most recent annual base salary of each
participant.

8.9 No Continued Employment. Neither the establishment of the Plan, the assignment of targets
nor the grant of an award hereunder shall be deemed to constitute an express or implied contract of
employment for any period of time or in any way abridge the rights of the Company to determine the
terms and conditions of employment or to terminate the employment of any employee with or without
cause at any time.

8.10 No Vested Rights. Except as otherwise provided herein, no employee or other person shall
have any claim or right (legal, equitable, or otherwise) to any award, allocation, or distribution
and no officer or employee of the Company or any other person shall have any authority to make
representations or agreements to the contrary. No interest conferred herein to a participant shall
be assignable or subject to claim by a participant’s creditors.

	8.11	 	Not Part of Other Benefits. The benefits provided in this Plan shall not be deemed a part of
any other benefit provided by the Company to its employees. The Company
assumes no obligation to Plan participants except as specified herein. This is a complete
statement of the terms and conditions of the Plan.

 

 

Exhibit A —

Plan — Payout Percentages Based on EBITDA Return

	 	 	 	 	 
	EBITDA	 	Payout
	Return	 	Percentage
	11% or less
	 	 	0	%
	11.7%
	 	 	5	%
	13.5%
	 	 	8	%
	14.6%
	 	 	15	%
	15.8%
	 	 	40	%
	17.0%
	 	 	100	%
	18.1%
	 	 	140	%
	19.3%
	 	 	175	%
	20.5%
	 	 	200	%
	21.7%
	 	 	225	%
	22.8%
	 	 	245	%

Payout Percentages for Performance Goals

The amounts an individual can earn based on achieving performance goals are between 0 and 245% of
the targeted bonus relating to performance goals. Performance goals have a minimum, a target and a
maximum objective. If all the maximum performance goals are achieved or exceeded an individual
will earn 245% of their targeted bonus based on performance goals. If all of the targeted
performance goals are achieved an individual will earn 100% of their targeted bonus based on
performance goals. If all of the targeted performance goals are at or below the minimum levels
specified an individual will not earn any bonus for their performance goals. Results between
these levels will be determined proportionally based on the table — Payout Percentage Based on
EBITDA Return.

The payout percentage determines the amount of the incentive payment that is based on the EBITDA
return (as opposed to the performance portion). The portion of the incentive payment that is based
on the EBITDA return is computed by multiplying the executives salary times the Target Award
Percentage (See Exhibit D) times the allocation of the target award to the EBITDA return portion
(see Exhibit D) times the payout percentage above.

 

 

Exhibit B

Performance Goals

	 	 	 	 	 
	2007
	Goal	 	Weighting
	Safety Targets based on OSHA ratings
	 	 	15.0	%
	Sales Volume Targets for PET resin
	 	 	7.5	%
	Sales Volume Targets for polyester staple fiber
	 	 	7.5	%
	Operational and SG&A spending (non-plant)
	 	 	15.0	%
	Direct Plant Cash Spending — Fibers
	 	 	7.5	%
	Direct Plant Cash Spending — Resins
	 	 	7.5	%
	Customer Satisfaction
	 	 	15.0	%
	Debt Reduction
	 	 	25.0	%

	 	 	 	 	 
	2008
	Goal	 	Weighting
	Safety Targets based on OSHA ratings
	 	 	15.0	%
	Operational and SG&A spending (non-plant)
	 	 	15.0	%
	Direct Plant Spending
	 	 	15.0	%
	Customer Satisfaction
	 	 	15.0	%
	Raw Material Margin dollars
	 	 	25.0	%
	Cash Flow — DSO
	 	 	5.0	%
	Cash Flow — DSI
	 	 	5.0	%

 

 

Exhibit C

Definitions

Accounts Payable are the Accounts Payable reported on the balance sheet for the applicable period
in the Company’s Public Filings

Accrued Liabilities are the Accrued Liabilities reported on the balance sheet for the applicable
period in the Company’s Public Filings

Adjusted EBITDA is the Gross Profit less SG&A Expense plus D&A plus Incentive Compensation.

Average Net Assets are the Net Assets for December 31st of the previous fiscal year plus
the Net Assets at the end of each fiscal period in the current year divided by thirteen.

Bonus Plan is the plan that provides incentive compensation to all employees that are not
participants in the MIP or similar plans.

Cash is the cash reported on the balance sheet for the applicable period in the Company’s Public
Filings.

CIP is construction in progress reported on the balance sheet for the applicable period in the
Company’s Public Filings.

Current Assets are the current assets reported on the balance sheet for the applicable period in
the Company’s Public Filings.

D&A is the depreciation and amortization reported on the statement of cash flows for the applicable
period in the Company’s public filings but only to the extent is reduces Gross Profit or increases
SG&A Expense.

EBITDA Return is a percentage which is calculated by dividing Adjusted EBITDA for a fiscal year
divided by the Average Net Assets.

Environmental Reserves are the estimated future liabilities that are recorded on the balance sheet
for the applicable period in the Company’s Pubic Filings.

Executive Officers are the officers designated as executive officers in the Company’s most recently
filed Form 10-K.

Gross Profit is the Gross Profit reported on the income statement for the applicable period in the
Company’s Public Filings.

Idle Assets are any property plant and equipment that has not been utilized for 28 consecutive days
on the last day of each Fiscal Period.

 

 

Incentive Compensation is the sum of the any amounts reflected as an expense reducing gross profit
or increasing SG&A expenses relating to incentive compensation earned in the MIP and the Bonus Plan
and the Profit Sharing Plan.

Long Term Receivables are any amounts due from either current or former customers that are included
in Other Assets as reported in the Company’s Public Filings.

MIP is a plan that provides incentive compensation to senior management including the Executive
Officers that is accrued pursuant to the MIP or similar plan.

Net Assets are the Current Assets less Cash plus Net PP&E less CIP less Idle Assets plus the
Prepaid Raw Material Contract plus Long Term Receivables less Accounts Payable less Accrued
Liabilities less Environmental Reserves.

Net PP&E is the Property Plant and Equipment less the related accumulated depreciation reported on
the balance sheet for the applicable period in the Company’s Public Filings.

Prepaid Raw Material Contract is the amount related to a prepayment for a raw material contract
that are included in Other Current Asset and Other Assets reduced by the related amortization, all
as reported in the Company’s Public Filings.

Profit Sharing Plan is the plan that provides incentive compensation to all exempt employees that
are not participants in the MIP, Wellman Bonus Plan or similar plans.

Public Filings are the applicable Form 10-K or 10-Q that is initially filed with the SEC.

SG&A Expense is the selling, general and administrative expense reported on the income statement
for the applicable period in the Company’s Public Filings.

 

 

Exhibit D

Targeted Award Percentages of Named Executive Officers

	 	 	 	 	 
	Chief Executive Officer
	 	 	65	%
	 
	 	 	 	 
	Chief Financial Officer, Chief Accounting Officer, Vice President of
Manufacturing, Vice President of Operations, Vice President of Sales, and
Vice President of Strategic Planning and Raw Material Procurement.
	 	 	50	%

Allocation of Targeted Awards

	 	 	 	 	 	 	 	 	 
	 	 	2007	 	2008
	EBITDA Return
	 	 	75	%	 	 	50	%
	Performance Objectives
	 	 	25	%	 	 	50	%exv4w1

 

Exhibit 4.1

Execution Copy

 

SERIES 2008-CP-1 SUPPLEMENT

Dated as of March 20, 2008

among

TEXTRON FINANCIAL FLOORPLAN MASTER NOTE TRUST, 

as Issuer

TEXTRON FINANCIAL CORPORATION, 

as Servicer

and

THE BANK OF NEW YORK, 
as
Indenture Trustee

to

AMENDED AND RESTATED INDENTURE

Dated as of May 26, 2005

between

TEXTRON FINANCIAL FLOORPLAN MASTER NOTE TRUST,

 as Issuer

and

THE BANK OF NEW YORK, 

as Indenture Trustee

 

TEXTRON FINANCIAL FLOORPLAN MASTER NOTE TRUST

SERIES 2008-CP-1 VARIABLE FUNDING NOTES

 

 

Series 2008-CP-1 Supplement

 

 

	 	 	 	 	 
	ARTICLE I Definitions
	 	 	1	 
	 
	Section 1.01 Definitions
	 	 	1	 
	 
	ARTICLE II Creation of the Series 2008-CP-1 Notes
	 	 	11	 
	 
	Section 2.01 Designation
	 	 	11	 
	Section 2.02 Form, Execution, Authentication and Delivery of Series 2008-CP-1 Notes
	 	 	12	 
	Section 2.03 Issuance of Additional Series 2008-CP-1 Notes
	 	 	12	 
	Section 2.04 Incremental Fundings
	 	 	13	 
	Section 2.05 Procedure for Decreasing the Invested Amount
	 	 	13	 
	Section 2.06 Transfer of Class B Notes
	 	 	13	 
	 
	ARTICLE III Servicing Fee
	 	 	13	 
	 
	Section 3.01 Servicing Compensation
	 	 	13	 
	 
	ARTICLE IV Rights of Series 2008-CP-1 Noteholders and Allocation and Application of Collections
	 	 	13	 
	 
	Section 4.01 Daily Allocations; Payments to Residual Interestholder
	 	 	14	 
	Section 4.02 Monthly Interest
	 	 	14	 
	Section 4.03 Determination of Monthly Principal
	 	 	15	 
	Section 4.04 Establishment of Accounts
	 	 	15	 
	Section 4.05 Application of Collections
	 	 	16	 
	Section 4.06 Distributions to Series 2008-CP-1 Noteholders
	 	 	18	 
	Section 4.07 Investor Charge-Offs
	 	 	18	 
	Section 4.08 Excess Funding Account
	 	 	18	 
	Section 4.09 Reallocated Principal Collections
	 	 	19	 
	Section 4.10 Reserve Account
	 	 	19	 
	Section 4.11 Investment of Amounts on Deposit in Series Accounts
	 	 	20	 
	Section 4.12 Scheduled Amortization Period
	 	 	20	 
	 
	ARTICLE V Distributions and Reports to Series 2008-CP-1 Noteholders
	 	 	20	 
	 
	Section 5.01 Distributions
	 	 	20	 
	Section 5.02 Reports and Statements to Series 2008-CP-1 Noteholders
	 	 	20	 
	 
	ARTICLE VI Early Amortization Events
	 	 	21	 
	 
	Section 6.01 Additional Early Amortization Events
	 	 	21	 
	Section 6.02 Recommencement of the Revolving Period
	 	 	22	 
	 
	ARTICLE VII Optional Purchase
	 	 	22	 
	 
	Section 7.01 Optional Purchase
	 	 	22	 
	 
	ARTICLE VIII Final Distributions
	 	 	23	 
	 
	Section 8.01 Acquisition of Notes Pursuant to Section 10.1 of the Indenture; Distributions
pursuant to Section 7.01 of this Series Supplement or Section 5.4 of the
Indenture
	 	 	23	 

Series 2008-CP-1 Supplement

 i

 

	 	 	 	 	 
	Section 8.02 Series Termination
	 	 	23	 
	 
	ARTICLE IX Other Series Provisions
	 	 	24	 
	 
	Section 9.01 Additional Covenants
	 	 	24	 
	Section 9.02 Tax Treatment of the Series 2008-CP-1 Notes
	 	 	24	 
	Section 9.03 Supplemental Indentures
	 	 	24	 
	Section 9.04 Waiver of Past Defaults
	 	 	24	 
	 
	ARTICLE X Miscellaneous Provisions
	 	 	24	 
	 
	Section 10.01 Ratification of Agreement
	 	 	24	 
	Section 10.02 Counterparts
	 	 	24	 
	Section 10.03 GOVERNING LAW
	 	 	24	 

Series 2008-CP-1 Supplement

 ii

 

EXHIBITS

Exhibit A       Form of Class A Note

Exhibit B       Form of Class B Note

Series 2008-CP-1 Supplement

iii

 

     SERIES
SUPPLEMENT, dated as of March 20, 2008 (as amended from time to
time, this “Series
Supplement”) between TEXTRON FINANCIAL FLOORPLAN MASTER NOTE TRUST (the “Issuer” or the “Trust”),
TEXTRON FINANCIAL CORPORATION (the “Servicer”) and THE BANK OF NEW YORK, as Indenture Trustee (as
indenture trustee and not in its individual capacity, the “Indenture Trustee”) to the Amended and
Restated Indenture, dated as of May 26, 2005, between the Issuer and the Indenture Trustee (as
amended, restated, supplemented or otherwise modified from time to time, the “Indenture”).

     Section 2.1 of the Indenture provides that the Issuer may from time to time issue one or more
new Series of Investor Interests. The Principal Terms of any new Series of Investor Interests are
to be set forth in a Series Supplement. Pursuant to this Series Supplement, the Issuer and the
Indenture Trustee shall create the Series 2008-CP-1 Notes and specify the Principal Terms thereof.
The Servicer is acknowledging this Series Supplement to agree to the terms hereof applicable to the
Servicer. The parties hereto acknowledge that the Issuer is not a separate entity for tax purposes
and that the overall transaction is being structured so that the Class A Notes, if held by Persons
other than the Seller, will be characterized as debt for federal income tax purposes.

ARTICLE I

Definitions

     Section 1.01 Definitions. (a) Whenever used in this Series Supplement, the following words and
phrases have the following meanings.

     “Agent” means any “Managing Agent” as defined in the Class A Note Purchase Agreement.

     “Agreement” means the Amended and Restated Sale and Servicing Agreement, dated as of May 26,
2005, among Textron Financial Corporation, as Servicer, Textron Receivables Corporation III, as
Seller, the Indenture Trustee and Textron Financial Floorplan Master Note Trust, as amended,
restated, supplemented or otherwise modified from time to time.

     “Allocable Defaulted Amount” means for any Collection Period, the product of (a) the average
daily Series 2008-CP-1 Allocation Percentage for that Collection Period and (b) the Defaulted
Amount for that Collection Period (after giving effect to any allocation of a portion of the
Defaulted Amount to the Residual Interestholder pursuant to Section 4.2 of the Agreement).

      “Allocable Miscellaneous Payments” means, with respect to any day, an amount equal to the
product of (i) the Series 2008-CP-1 Allocation Percentage for such day and (ii) Miscellaneous
Payments on such day.

      “Allocable Non-Principal Collections” means, with respect to any day, an amount equal to the
product of (i) the Series 2008-CP-1 Allocation Percentage for such day and (ii) the aggregate
amount of Non-Principal Collections deposited in the Collection Account on such day (after giving
effect to any allocation of a portion of Non-Principal Collections to the Residual Interestholder
pursuant to Section 4.2 of the Agreement).

     “Allocable Principal Collections” means, with respect to any day, an amount equal to the
product of (i) the Series 2008-CP-1 Allocation Percentage for such day and (ii) the aggregate
amount of Principal Collections deposited in the Collection Account on such day (after giving
effect to any allocation of a portion of Principal Collections to the Residual Interestholder
pursuant to Section 4.2 of the Agreement).

Series 2008-CP-1 Supplement

 

 

      “Alternate Purchasers” has the meaning specified in the Class A Note Purchase Agreement.

     “Applicable LIBO Percentage” means 0.60%.

     “Available Investor Non-Principal Collections” means, with respect to any Payment Date, the
Investor Non-Principal Collections for the related Collection Period.

     “Available Investor Principal Collections” means, with respect to any Payment Date, the sum of
the Investor Principal Collections for the related Collection Period and the amount, if any, of
Available Investor Non-Principal Collections and Investment Proceeds allocated to cover the
Investor Defaulted Amount, Investor Dilution Amount or to reverse Investor Charge-Offs on such
Payment Date.

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

     “Base Rate” means with respect to any member of an Ownership Group and with respect to amounts
funded by such Ownership Group, a rate per annum equal to the corporate base rate, prime rate or
base rate of interest, as applicable, announced by the Managing Agent for such Ownership Group (or,
if applicable, by the primary bank affiliate of such Managing Agent) from time to time, changing
when and as such rate changes.

     “Breakage Costs” has the meaning specified in the Class A Note Purchase Agreement.

     “BTMU” means The Bank of Tokyo-Mitsubishi UFJ, Ltd., New York Branch.

     
“Class A Additional Interest” has the meaning
specified in Section 4.02(a).

     
“Class A Decrease” has the meaning specified in
Section 2.05.

     “Class A Interest Rate” means, with respect to any Interest Period, (a) with respect to any
portion of the Series 2008-CP-1 Notes owned by a Conduit Purchaser and funded through the issuance
of Commercial Paper, the CP Rate applicable to such Conduit Purchaser for such Interest Period per
annum, (b) with respect to any portion of the Series 2008-CP-1 Notes not subject to clause (a)
above owned by a Conduit Purchaser or an Alternate Purchaser, the LIBO Rate applicable to such
Conduit Purchaser or Alternate Purchaser for such Interest Period plus the Applicable LIBO
Percentage per annum as the same may be adjusted pursuant to Section 2.05(b) of the Class A Note
Purchase Agreement; provided, however that any such Series 2008-CP-1 Notes subject to clause (b)
shall bear interest at the Base Rate for the first two Business Days following the purchase
thereof, and (c) at all times following the occurrence of an Early Amortization Event, the Base
Rate plus 1% per annum.

     “Class A
Interest Shortfall” has the meaning specified in
Section 4.02(a).

     “Class A
Monthly Interest” has the meaning specified in
Section 4.02(a).

     “Class A
Note” has the meaning specified in
Section 2.01(a).

     “Class A Note Purchase Agreement” means the Class A Note Purchase Agreement dated as of the
date hereof among the Seller, the Issuer, the Servicer, the Conduit Purchasers, Alternate
Purchasers and

Series 2008-CP-1 Supplement

2

 

Managing Agents from time to time party thereto, and BTMU as the Funding Agent, as amended,
restated, supplemented or otherwise modified from time to time

     “Class A
Noteholder” means any Holder of a Class A Note, and
“Class A Noteholders” means the
Holders of the Class A Notes.

     “Class A Note Principal Balance” means, at any time, the outstanding principal balance of the
Class A Notes at such time.

     
“Class B Decrease” has the meaning specified in
Section 2.05.

      “Class B Interest Rate” means the Base Rate plus 1.10%.

     “Class B
Interest Shortfall” has the meaning specified in
Section 4.02(b).

     
“Class B Monthly Interest” has the meaning
specified in Section 4.02(b).

     “Class B
Note” has the meaning specified in
Section 2.01(a).

     “Class B Note Purchase Agreement” means the Class B Note Purchase Agreement dated as of the
date hereof between the Seller and the Issuer, as amended from time to time.

     “Class B
Noteholder” means any Holder of a Class B Note, and
“Class B Noteholders” means the
Holders of the Class B Notes.

      “Class B Note Principal Balance” means, at any time, the outstanding principal balance of the
Class B Notes at such time.

      “Closing Date” means March 20, 2008, and each date on which the principal amount of the Series
2008-CP-1 Notes is increased pursuant to Section 2.03.

     “Commercial Paper” has the meaning specified in the Class A Note Purchase Agreement.

      “Commitment Termination Date” means the earliest of (i) the Scheduled Termination Date, (ii)
the occurrence of an Early Amortization Event or an Event of Default and (iii) in the event that
the average CP Rate applicable to a Conduit Purchaser (without giving effect to any amounts
incurred in respect of dealer’s fees or commissions) during any consecutive 60 day period is more
than 0.25% over the benchmark commercial paper rate published by Bloomberg on page
ACPB030Y<INDEX> for A-1/P-1 issuers during such period prior to such written notice being
delivered, thirty days following receipt of written notice from the Seller.

     “Conduit Purchaser” has the meaning specified in the Note Purchase Agreement.

     “Control Investors” means (i) Class A Noteholders representing at least a majority of the
Outstanding Amount of the Class A Notes, and (ii) from and after the payment in full of the Class A
Notes, Class B Noteholders representing at least a majority of the Outstanding Amount of the Class
B Notes. For purposes of clause (i) above, any Class A Notes owned or beneficially owned by the
Seller or its Affiliates will be disregarded and deemed not Outstanding.

     “CP Rate” shall mean, with respect to any Conduit Purchaser for any Interest Period, (i)
unless the applicable Managing Agent has determined that the Pooled CP Rate shall be applicable,
the rate per annum calculated by such Managing Agent to reflect the Conduit Purchaser’s cost of
funding the share of

Series 2008-CP-1 Supplement

3

 

Class A Notes held by such Conduit Purchaser during such Interest Period, taking into account the
weighted daily average interest rate payable in respect to such Commercial Paper during such period
(determined in the case of discount Commercial Paper by converting the discount to an interest
bearing equivalent per annum), and applicable placement fees and commissions; and (ii) to the
extent the applicable Managing Agent has determined that the Pooled CP Rate shall be applicable,
the Pooled CP Rate.

     “Decrease”
has the meaning specified in Section 2.05.

     “Early Amortization Event” means any Early Amortization Event specified in Section 5.17 of the
Indenture, together with any additional Early Amortization Event
specified in Section 6.01 of this
Series Supplement.

     “Early Amortization Period” means a period beginning on the date on which an Early
Amortization Event specified in Section 5.17 of the Indenture or
Section 6.01 of this Series
Supplement shall have occurred with respect to the Series 2008-CP-1 Notes and terminating on the
earliest of: (a) the payment in full of the outstanding principal amount of and all accrued and
unpaid interest on the Series 2008-CP-1 Notes; and (b) the Series 2008-CP-1 Stated Maturity Date.
Notwithstanding anything to the contrary in this Series Supplement, an Early Amortization Period
that commences before the scheduled end of the Revolving Period shall be terminated, and the
Revolving Period may recommence, if the Rating Agency Condition is satisfied.

      “Enhancement Base Percentage” means, with respect to any Determination Date, a fraction
(expressed as a percentage (annualized)), the numerator of which is the sum of (a) the amount of
interest on the Class A Notes due on the related Payment Date plus (b) the Investor Monthly
Servicing Fee due on the related Payment Date, and the denominator of which is the Outstanding
Amount of the Series 2008-CP-1 Notes as of the beginning of the related Collection Period.

      “Enhancement Trigger Event” means the occurrence of any of the following event(s): (a)(i) on
any Determination Date, the average of the Monthly Payment Rates for the three preceding Collection
Periods is less than 14% for the Determination Dates falling in February through May, less than 16%
for the Determination Date falling in June, less than 18% for the Determination Dates falling in
July through October or less than 16% for the Determination Dates falling in November through
January or (ii) on any Determination Date, the Portfolio Yield is less than the sum of the
Enhancement Base Percentage plus 1.00% or (b) on any Determination Date, the average of the Monthly
Payment Rates for the three preceding Collection Periods is less than 13% for the Determination
Dates falling in February through May, less than 15% for the Determination Date falling in June,
less than 17% for the Determination Dates falling in July through October or less than 15% for the
Determination Dates falling in November through January.

     “Enhancement Trigger Period” means a period beginning on the date on which an Enhancement
Trigger Event shall have occurred and terminating on the date on which no Enhancement Trigger Event
shall be continuing; provided that if the Early Amortization Period has commenced during the
continuance of an Enhancement Trigger Period, such Enhancement Trigger Period shall be deemed to be
continuing during the Early Amortization Period.

     “Final Payment Date” means the earlier of (i) the Series 2008-CP-1 Stated Maturity Date and
(ii) the first Payment Date following the Commitment Termination Date on which, after giving effect
to all payments to be made on that Payment Date, the outstanding principal amount of the Series
2008-CP-1 Notes will be paid in full.

Series 2008-CP-1 Supplement

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      “Fixed Allocation Percentage” means, with respect to any day, the percentage equivalent (which
percentage shall never exceed 100%) of a fraction, the numerator of which is the Invested Amount as
of the last day of the Revolving Period, and the denominator of which is the product of the Series
2008-CP-1 Allocation Percentage for the day for which the Fixed Allocation Percentage is being
calculated times the greater of (A) the sum of (x) the Net Pool Balance as of the most recent Reset
Date and (y) the Series 2008-CP-1 Excess Funding Amount at the end of such most recent Reset Date
and (B) the sum of the numerators used to calculate the allocation percentage for all outstanding
Series of Investor Interests as of the date of determination.

     “Floating Allocation Percentage” means, with respect to any day, the percentage equivalent
(which percentage shall never exceed 100%) of a fraction, the numerator of which is the Invested
Amount as of the most recent Reset Date and the denominator of which is the product of the Series
2008-CP-1 Allocation Percentage for the day for which the Floating Allocation Percentage is being
calculated times the greater of (A) the sum of (x) the Net Pool Balance as of the most recent Reset
Date and (y) the Excess Funding Amount at the end of such most recent Reset Date and (B) the sum of
the numerators used to calculate the allocation percentage for all outstanding Series of Investor
Interests as of the date of determination.

     “Group One” means Series 2005-A, Series 2006-A, Series 2007-A, Series 2008-CP-1 and each other
outstanding Series hereafter specified in the related Series Supplement to be included in Group
One.

     “Group Purchase Limit Excess” has the meaning specified in the Class A Note Purchase
Agreement.

      “Increased Cost Amount” has the meaning specified in the Class A Note Purchase Agreement.

     “Incremental Funding” has the meaning specified in the Class A Note Purchase Agreement with
respect to the Class A Notes and the meaning specified in the Class B Note Purchase Agreement with
respect to the Class B Notes.

     “Indemnified Amounts” has the meaning specified in the Class A Note Purchase Agreement.

     “Indenture” has the meaning set forth in the recitals to this Series Supplement.

     “Indenture Trustee” has the meaning set forth in the recitals to this Series Supplement.

     “Initial Invested Amount” means, with respect to the Series 2008-CP-1 Notes, $111,732,000,
$100,000,000 of which is the Initial Invested Amount of the Class A Notes and $11,732,000 of which
is the Initial Invested Amount of the Class B Notes, plus the amount of any increase in the
principal amount of the Series 2008-CP-1 Notes pursuant to Section 2.03 or otherwise pursuant to an
amendment hereto.

      “Initial Payment Date” means April 14, 2008.

      “Interest Period” means, for any Payment Date, the period from and including the Payment Date
preceding such Payment Date to but excluding such Payment Date (or in the case of the Initial
Payment Date, the period from and including the Closing Date to but excluding the Initial Payment
Date).

      “Interest Rate” means, with respect to the Class A Notes, the Class A Interest Rate and with
respect to the Class B Notes, the Class B Interest Rate.

Series 2008-CP-1 Supplement

5

 

     “Invested Amount” means, when used with respect to any date, an amount equal to (a) the
Initial Invested Amount of the Series 2008-CP-1 Notes, plus (b) the amount of any increase in the
principal amount of the Series 2008-CP-1 Notes pursuant to
Section 2.04 prior to such date, minus
(c) the amount, without duplication, of principal payments made to Series 2008-CP-1 Noteholders
prior to such date, minus (d) the excess, if any, of the aggregate amount of Investor Charge-Offs
prior to such date over Investor Charge-Offs reimbursed pursuant to
Section 4.05 prior to such
date, provided that the Invested Amount shall in no event be less than zero.

      “Investment Proceeds” means, with respect to any Determination Date and any Payment Date, an
amount equal to all interest and other investment earnings (net of losses and investment expenses)
on funds held in the Principal Account and the Reserve Account and the Series 2008-CP-1 Allocation
Percentage of the interest and other investment earnings (net of losses and investment expenses) on
funds held in the Collection Account and the Excess Funding Account credited to the Collection
Account pursuant to Section 4.1 of the Agreement.

     “Investor
Charge-Offs” has the meaning specified in
Section 4.07.

     “Investor Defaulted Amount” means, with respect to any Payment Date, an amount equal to the
product of (a) the Allocable Defaulted Amount for the related Collection Period and (b) the average
daily Floating Allocation Percentage for the related Collection Period.

     “Investor Dilution Amount” means, with respect to any Payment Date, an amount equal to the
average daily Series 2008-CP-1 Allocation Percentage for the related Collection Period of any
Dilution Amount.

     
“Investor Monthly Servicing Fee” has the meaning
specified in Section 3.01.

     “Investor Non-Principal Collections” means, with respect to any Deposit Date, an amount equal
to the sum of (a) the product of the Floating Allocation Percentage and Allocable Non-Principal
Collections for such day plus (b) any Allocable Miscellaneous Payments that are treated as Investor
Non-Principal Collections pursuant to Section 4.01(d).

      “Investor Principal Collections” means, with respect to any Deposit Date, (i) falling in the
Revolving Period, the sum of (a) the product of the Floating Allocation Percentage and Allocable
Principal Collections for such day plus (b) any Allocable Miscellaneous Payments that are treated
as Investor Principal Collections for such day and (ii) occurring after the last day of the
Revolving Period, the sum of (a) the product of the Fixed Allocation Percentage and Allocable
Principal Collections for such day plus (b) any Allocable Miscellaneous Payments that are treated
as Investor Principal Collections for such day.

     “Issuer” has the meaning set forth in the recitals to this Series Supplement.

      “LIBO Rate” means, with respect to any Interest Period, the rate per annum equal to the (i)
the applicable British Bankers’ Association Interest Settlement Rate for deposits in U.S. dollars
appearing on Reuters Screen FRBD as of 11:00 a.m. (London time) two Business Days prior to the
first day of the relevant Interest Period, and having a maturity equal to such Interest Period,
provided that, (1) if Reuters Screen FRBD is not available to BTMU for any reason, the applicable
LIBO Rate for the relevant Interest Period shall instead be the applicable British Bankers’
Association Interest Settlement Rate for deposits in U.S. dollars as reported by any other
generally recognized financial information service as of 11:00 a.m. (London time) two Business Days
prior to the first day of such Interest Period, and having a maturity equal to such Interest
Period, and (2) if no such British Bankers’ Association Interest Settlement Rate is

Series 2008-CP-1 Supplement

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available to BTMU, the applicable LIBO Rate for each member of an Ownership Group for the relevant
Interest Period shall instead be the rate determined by BTMU to be the rate at which the Managing
Agent of such Ownership Group (or, if applicable, the primary bank affiliate of such Managing
Agent) offers to place deposits in U.S. dollars with first-class banks in the London interbank
market at approximately 11:00 a.m. (London time) two Business Days prior to the first day of such
Interest Period, in the approximate amount to be funded at the LIBO Rate and having a maturity
equal to such Interest Period, divided by (ii) one minus the maximum aggregate reserve requirement
(including all basic, supplemental, marginal or other reserves) which is imposed against BTMU in
respect of Eurocurrency liabilities, as defined in Regulation D of the Board of Governors of the
Federal Reserve System as in effect from time to time (expressed as a decimal), applicable to such
Interest Period. The LIBO Rate shall be rounded, if necessary, to the next higher 1/16 of 1%.

      “Managing Agent” has the meaning specified in the Class A Note Purchase Agreement.

      “Monthly Payment Rate” means, for any Collection Period, the percentage derived from dividing
(a) Principal Collections for such Collection Period minus Principal Collections allocated to the
Residual Interestholder pursuant to Sections 4.2(f), (g) and (h) of the Agreement by (b) the
beginning Net Pool Balance for such Collection Period.

     
“Monthly Principal” has the meaning specified in
Section 4.03.

     “Monthly Principal Reallocation Amount” means, for any Collection Period, an amount equal to
the lesser of (i) the excess of (x) the amount needed to
make the payments described in Sections 4.05(a)(i) and
(ii) over (y) the amount of Non-Principal Collections, Investment Proceeds and
amounts withdrawn from the Reserve Account that are available to cover the payments described in
Sections 4.05(a)(i) and (ii), and (ii) the excess, if any, of (x) the Outstanding Amount of the
Class B Notes as of the related Payment Date (after giving effect to any reduction in principal on
such Payment Date) over (y) the amount of unreimbursed Investor Charge-Offs after giving effect to
Investor Charge-Offs for the related Collection Period.

      “Monthly Servicing Fee” has the meaning specified in Section 3.2 of the Agreement.

     “Note Purchase Agreements” means the Class A Note Purchase Agreement and the Class B Note
Purchase Agreement.

     “Other Costs” has the meaning set forth in the Class A Note Purchase Agreement.

      “Other Fees” means, for any Collection Period, the fees and amounts payable for such
Collection Period as described in the Fee Letter (as defined in the Class A Note Purchase
Agreement).

      “Other Monthly Amounts” means, for any Collection Period, the Increased Cost Amount, Other
Fees, Other Costs, Breakage Costs and Indemnified Amounts payable to the Series 2008-CP-1
Interestholders for such Collection Period, together with any other amounts due to any
Interestholder under any of the Basic Documents or the Class A Note Purchase Agreements.

     “Ownership Group” has the meaning specified in the Class A Note Purchase Agreement.

     “Partial Amortization Period” means a period after the date on which a Group Purchase Limit
Excess exists and ending on the earlier of (a) the earliest date on which no Group Purchase Limit
Excess exists or (b) the commencement of the Scheduled Amortization Period or the Early
Amortization Period.

Series 2008-CP-1 Supplement

7

 

     
“Payment Date Shortfall” has the meaning specified in
Section 4.05(a).

     
“Payment Date Statement” has the meaning specified in
Section 5.02.

     “Pooled Commercial Paper” means Commercial Paper of a Conduit Purchaser which is subject to
any particular pooling arrangement, as determined by the applicable Managing Agent (it being
recognized that a Conduit Purchaser may have more than one distinct group of Pooled Commercial
Paper at any time).

      “Pooled CP Rate” means, for each day with respect to the share of the Class A Notes held by a
Conduit Purchaser as to which the Pooled CP Rate is applicable, the sum of (i) discount or yield
accrued (including, without limitation, any associated with financing the discount or interest
component on the roll over of any Pooled Commercial Paper) on such Conduit Purchaser’s Pooled
Commercial Paper on such day, plus (ii) any and all accrued commissions in respect of its placement
agents and commercial paper dealers, and issuing and paying agent fees incurred, in respect of such
Pooled Commercial Paper for such day, plus (iii) other costs (including without limitation those
associated with funding small or odd lot amounts) with respect to all receivable purchase, credit
and other investment facilities which are funded by the applicable Pooled Commercial Paper for such
day. The Pooled CP Rate shall be determined for such Conduit Purchaser by the applicable Managing
Agent, whose determination shall be conclusive absent manifest error.

      “Portfolio Yield” means, with respect to any Determination Date, a fraction (expressed as a
percentage (annualized)), the numerator of which is an amount equal to Allocable Non-Principal
Collections for the related Collection Period, and the denominator of which is the Invested Amount
less amounts on deposit in the Principal Account and the Series 2008-CP-1 Excess Funding Amount, in
each case as of the beginning of the related Collection Period.

      “Principal Account” means the account designated as such, established and maintained pursuant
to Section 4.04.

     “Rating Agency Condition” means, in relation to any proposed action, amendment or waiver, that
the Issuer (or applicable Person) has obtained prior written consent to such action, amendment or
waiver, from the Control Investors.

      “Reallocated Principal Collections” means, for any Payment Date, Investor Principal
Collections applied in accordance with Section 4.09 in an amount not to exceed the Monthly
Principal Reallocation Amount for the related Collection Period.

     “Record Date” means, with respect to any Payment Date, the close of business on the last day
of the Collection Period preceding such Payment Date.

     “Redemption Price” means, with respect to any Payment Date, the sum of (a) the aggregate
Outstanding Amount of the Series 2008-CP-1 Notes to be redeemed on the Determination Date preceding
the Payment Date on which such redemption is to be made, (b) accrued and unpaid interest on the
unpaid balance of the Series 2008-CP-1 Notes (calculated on the basis of the Outstanding Amount of
each Class of the Series 2008-CP-1 Notes at the Interest Rate as in effect during the applicable
Interest Periods through the day preceding such Payment Date), (c) without duplication with respect
to any amounts due under clause (b) of this definition, any Class A Additional Interest with
respect to the Class A Notes to be repurchased, (c) the aggregate amount of unreimbursed Investor
Charge-Offs and Investor Defaulted Amounts with respect to the Series 2008-CP-1 Notes to be
redeemed and (d) accrued and unpaid Investor Monthly Servicing Fees.

Series 2008-CP-1 Supplement

8

 

     “Required Reserve Account Amount” means, for any day, an amount equal to (a) the product of
(i) the Required Reserve Account Percentage and (ii) the Initial Invested Amount or (b) any other
amount designated by the Seller; provided, however, that if such designation is of a lesser amount,
the Seller shall (i) provide 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 Seller, such designation will not cause an Early Amortization Event to
occur with respect to Series 2008-CP-1.

      “Required Reserve Account Percentage” means (a) 0% so long as an Enhancement Trigger Period
has not occurred and (b) if an Enhancement Trigger Event has occurred, the Required Reserve Account
Percentage shall be the aggregate of (i) 0.75%, if an Enhancement Trigger Event under clause (a)(i)
of the definition thereof has occurred, plus (ii) 1.00%, if an Enhancement Trigger Event under
clause (a)(ii) of the definition thereof has occurred, plus (iii) 1.00% if an Enhancement Trigger
Event under clause (b) of the definition thereof has occurred.

      “Required Residual Percentage” means, with respect to Series 2008-CP-1, 103%.

      “Required Subordination Percentage” means 10.50%.

     “Reserve Account” means the account designated as such, established and maintained pursuant to
Section 4.04.

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

     “Reset Date” means (a) the last day of a Collection Period, (b) any Addition Date, (c) any
date of issuance of an additional Series of Investor Interests (including the Closing Date) or any
date of issuance of additional Investor Interests of any outstanding Series occurs or (d) any
Removal Commencement Date.

     “Residual Interestholder” means the holder of the Residual Interest.

     “Residual Interestholder’s Percentage” means, with respect to any day, a percentage (which
percentage shall never be less than 0% nor more than 100%) equal to 100% minus (a) the Floating
Allocation Percentage on such day, when used with respect to Allocable Non-Principal Collections
and Allocable Defaulted Amounts and with respect to Allocable Principal Collections during the
Revolving Period, and (b) the Fixed Allocation Percentage on such day, when used with respect to
Allocable Principal Collections during a Scheduled Amortization Period, a Partial Amortization
Period or an Early Amortization Period.

     “Revolving Period” means the period beginning on the Closing Date and terminating on the
earliest of (a) the close of business on the day preceding the Commitment Termination Date, (b) the
close of business on the day preceding the day on which a Partial Amortization Period commences and
(c) the close of business on the day preceding the day on which an Early Amortization Period
commences; provided, however, that, if a Partial Amortization Period ends and an Early Amortization
Period has not commenced, the Revolving Period will recommence as of the open of business on the
day after such Partial Amortization Period ends and if any Early Amortization Period ends as
described in Section 6.02 hereof, the Revolving Period will recommence as of the open of business
on the day after such Early Amortization Period ends.

Series 2008-CP-1 Supplement

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      “Scheduled Amortization Period” means, unless an Early Amortization Event shall have occurred
prior thereto, the period commencing at the close of business on the Scheduled Termination Date and
ending on the earliest to occur of (a) the commencement of the Early Amortization Period, (b) the
Series 2008-CP-1 Stated Maturity Date, and (c) the date on which the Outstanding Amount of the
Series 2008-CP-1 Notes has been reduced to zero.

      “Scheduled Termination Date” means September 14, 2009, as such date may be extended pursuant
to the terms of the Note Purchase Agreement.

      “Securities Act” means the Securities Act of 1933, as amended.

      “Series 2005-A” means the Series 2005-A Notes, the Principal Terms of which are specified in
the Series Supplement dated as of May 26, 2005, by and among the Issuer, the Servicer and the
Indenture Trustee.

      “Series 2006-A” means the Series 2006-A Notes, the Principal Terms of which are specified in
the Series Supplement dated as of April 19, 2006, by and among the Issuer, the Servicer and the
Indenture Trustee.

     “Series 2007-A” means the Series 2007-A Notes, the Principal Terms of which are specified in
the Series Supplement dated as of March 29, 2007, by and among the Issuer, the Servicer and the
Indenture Trustee.

      “Series 2008-CP-1” means the Series 2008-CP-1 Notes, the Principal Terms of which are
specified in this Series Supplement.

     “Series 2008-CP-1 Allocation Percentage” means the Series Allocation Percentage with respect
to Series 2008-CP-1.

     “Series 2008-CP-1 Excess Funding Amount” means, with respect to the Series 2008-CP-1 Notes,
for any day, the product of (a) the Series 2008-CP-1 Allocation Percentage on such day and (b) the
amount on deposit in the Excess Funding Account (other than Investment Proceeds) on such day.

     “Series 2008-CP-1 Excess Non-Principal Collections” means Excess Non-Principal Collections
allocated from other Series in Group One to Series 2008-CP-1 pursuant to Section 4.3 of the Sale
and Servicing Agreement.

      “Series 2008-CP-1 Non-Principal Shortfall” means, with respect to any Payment Date, an amount
equal to the excess, if any, of (a) the full amount required to be paid, without duplication,
pursuant to Sections 4.05(a)(i) through (vi) on such Payment Date over (b) the Available Investor
Non-Principal Collections (excluding any portion thereof attributable to Excess Non-Principal
Collections) and Investment Proceeds with respect to such Payment Date.

      “Series 2008-CP-1 Principal Shortfall” means, with respect to any Payment Date prior to the
Scheduled Termination Date, an amount equal to the excess, if any, of (a) the full amount required
to be paid, without duplication, pursuant to Sections 4.05(c)(i) through (iii) on such Payment Date
over (b) the Available Investor Principal Collections with respect to such Payment Date (excluding
any portion thereof attributable to Reallocated Principal Collections) and, with respect to any
Payment Date thereafter, the Outstanding Amount of the Series 2008-CP-1 Notes.

      “Series 2008-CP-1 Noteholder” means the Holders of the Series 2008-CP-1 Notes.

Series 2008-CP-1 Supplement

10

 

     “Series 2008-CP-1 Notes” has the meaning specified in Section 2.01(a).

     “Series 2008-CP-1 Stated Maturity Date” means the Payment Date falling in the 3rd calendar
month after the then current Commitment Termination Date.

     “Series Supplement” has the meaning set forth in the recitals to this Series Supplement.

     “Servicer” has the meaning set forth in the recitals to this Series Supplement.

      “Servicing Fee Rate” means, with respect to Series 2008-CP-1, 1.5%, or such other percentage
as may be approved by the Control Investors in writing.

     “Subordinated Interest Percentage” means, as of any date of determination, a percentage
calculated by dividing (a) an amount equal to (i) the Invested Amount as of such date minus (ii)
the aggregate outstanding principal balance of the Class A Notes plus the Series 2008-CP-1 Excess
Funding Amount on such date by (b) the sum of the aggregate outstanding principal balance of the
Class A Notes plus the aggregate outstanding principal balance of the Class B Notes as of such
date.

     “Termination Date” means, with respect to Series 2008-CP-1, the day after the Payment Date
falling in the 2nd calendar month after the Series 2008-CP-1 Stated Maturity Date.

     “Trust” has the meaning set forth in the recitals to this Series Supplement.

     (b) Notwithstanding anything to the contrary in this Series Supplement or the other
Documents, the term “Rating Agency” whenever used in this Series Supplement or such other
Basic Documents shall mean (i) to the extent Moody’s and/or Standard & Poor’s has assigned
a rating to any class of Series 2008-CP-1 Notes, Moody’s and/or Standard & Poor’s, as
applicable and (ii) in all other circumstances with respect to Series 2008-CP-1, the Series
2008-CP-1 Noteholders. As used in this Series Supplement and the other Basic Documents with
respect to Series 2008-CP-1, “highest investment category” means (i) in the case of
Standard & Poor’s, A-1+ or AAA, as applicable, and (ii) in the case of Moody’s, P-1 or Aaa,
as applicable.

     (c) All capitalized terms used herein and not otherwise defined herein have the
meanings ascribed to them in the Agreement. The definitions in this Section 1.01 are
applicable to the singular as well as to the plural forms of such terms and to the
masculine as well as to the feminine and neuter genders of such terms.

     (d) The words “hereof”, “herein” and “hereunder” and words of similar import when used
in this Series Supplement shall refer to this Series Supplement as a whole and not to any
particular provision of this Series Supplement; references to any Article, Section or
Exhibit are references to Articles, Sections and Exhibits in or to this Series Supplement
unless otherwise specified; and the term “including” means “including without limitation”.

ARTICLE II

 Creation of the Series 2008-CP-1 Notes

     Section 2.01 Designation. (a) There is hereby created a Series of Investor Interests to be
issued pursuant to the Indenture and this Series Supplement and shall be comprised of two classes:
the Class A Floating Rate Floorplan Receivables Secured Notes, Series 2008-CP-1 (the “Class A
Notes”), and the

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Class B Floating Rate Floorplan Receivables Secured Notes, Series 2008-CP-1 (the “Class B Notes”;
and together with the Class A Notes, the “Series 2008-CP-1 Notes”.

     (b) If any term or provision contained herein shall conflict with or be inconsistent
with any term or provision contained in the Indenture, the terms and provisions of this
Series Supplement shall govern.

     (c) As described in Section 2.15 of the Indenture, the Series 2008-CP-1 Notes shall be
Unregistered Interests.

     (d) Series 2008-CP-1 shall be included in Group One and shall be a Principal Sharing
Series. Series 2008-CP-1 shall be an Excess Allocation Series with respect to Group One
only. Series 2008-CP-1 shall not be subordinated to any other Series.

     Section 2.02 Form, Execution, Authentication and Delivery of Series 2008-CP-1 Notes.

     (a) The Class A and Class B Notes shall be represented by notes in substantially the
forms set forth in Exhibits A and B, respectively, with such appropriate insertions,
omissions, substitutions and other variations as are required or permitted by the
Indenture. The terms of the Series 2008-CP-1 Notes set forth in Exhibits A and B are part
of the terms of this Series Supplement and the Indenture.

     (b) The Issuer shall execute and issue and the Indenture Trustee shall authenticate
and deliver the Class A Note with a maximum principal amount of $500,000,000 and the Class
B Note with a maximum principal amount of $58,660,000.

     (c) Each Class A Note shall be issued in minimum denominations of $1,000,000 and
integral multiples of $1,000 in excess thereof and the Class B Notes shall be issued in
minimum denominations of $1,000.

     Section 2.03 Issuance of Additional Series 2008-CP-1 Notes. At the request of the Series
2008-CP-1 Noteholders from time to time and with the consent of the Issuer, the Issuer shall issue
additional principal amounts of Series 2008-CP-1 Notes and this Series Supplement may be amended to
reflect such issuance by the Servicer, the Indenture Trustee and the Issuer, such amendment to be
subject to the approval of the Series 2008-CP-1 Noteholders but without the consent of the Residual
Interestholder.

     (a) Prior to the issuance of any additional principal amount of Series 2008-CP-1
Notes, the following conditions shall have been satisfied: (i) the Rating Agency Condition
shall have been satisfied with respect to such issuance and amendment; and (ii) after
giving effect to the issuance of such additional Series 2008-CP-1 Notes, the Subordinated
Interest Percentage shall be equal to or greater than the Required Subordination
Percentage; and (iii) the Net Pool Balance shall be not less than the Required Net Pool
Balance after giving effect to the issuance of such additional Series 2008-CP-1 Notes.

     (b) The Issuer hereby covenants to take all action necessary to satisfy the conditions
precedent specified in clause (a) above to effect an increase in the principal amount of
the Series 2008-CP-1 Notes.

     (c) Upon the issuance of any additional Series 2008-CP-1 Notes, the Issuer, the
Indenture Trustee and the Servicer shall each make notations in its records to evidence
such increase.

Series 2008-CP-1 Supplement

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     Section 2.04 Incremental Fundings. The Issuer may increase the principal amount
outstanding under the Series 2008-CP-1 Notes by requesting Incremental Fundings under the Series
2008-CP-1 Notes pursuant to the terms of the Note Purchase Agreements.

     Section 2.05 Procedure for Decreasing the Invested Amount. On any Payment Date during
the Revolving Period, upon the written request of the Servicer or the Issuer, the Invested Amount
may be reduced (a “Decrease”) which Decrease shall be allocated by the Servicer or the
Issuer between (a) the amount to be used to ratably reduce the outstanding principal balance of the
Class A Notes (such amount, the “Class A Decrease”) and (b) the amount to be used to reduce
the outstanding principal balance of the Class B Notes (such amount, the “Class B Decrease”) and
such allocation shall be set forth in such notice; provided that (i) the Servicer or the
Issuer shall have given the Indenture Trustee and each applicable Class A Noteholder (or its agent)
irrevocable written notice (effective upon receipt) thereof, prior to 12:00 noon, New York time, no
later than the third Business Day preceding the date of such Decrease, if the requested amount of
the Class A Decrease is $20,000,000 or less, or no later than the fifth Business Day preceding the
date of such Decrease in all other cases, (ii) the minimum amount of such Decrease shall be
$1,000,000; (iii) no Decrease may be made if, after giving effect to the reduction of the Invested
Amount that would result from such requested Decrease, the Subordinated Interest Percentage would
be less than the Required Subordination Percentage.

     Section 2.06 Transfer of Class B Notes. Neither the Class B Notes nor any interest
therein may be sold, pledged, participated, transferred, disposed of or otherwise alienated (each,
a “Transfer”), and the Registrar will not recognize any Transfer or purported Transfer of a
Class B Note, unless prior to such Transfer or purported Transfer the Indenture Trustee and the
Registrar have received an Opinion of Counsel to the effect that, for federal income tax purposes,
such Transfer will not cause the Issuer to be characterized as an association or publicly traded
partnership as a corporation. Any Transfer or purported Transfer of a Class B Note in violation of
the preceding sentence shall be void ab initio and of no effect.

ARTICLE III

Servicing Fee 

     Section 3.01 Servicing Compensation. The Monthly Servicing Fee with respect to Series
2008-CP-1 (the “Investor Monthly Servicing Fee”) shall be payable to the Servicer, in
arrears, on each Payment Date in respect of any Collection Period (or portion thereof) occurring
prior to the earlier of the first Payment Date following the Series 2008-CP-1 Stated Maturity Date
and the first Payment Date on which the Invested Amount is permanently reduced to zero, in an
amount equal to the product of (a) the Servicing Fee Rate, (b) the Invested Amount as of the last
day of such Collection Period and (c) a fraction, the numerator of which is the actual number of
days elapsed in the related Collection Period and the denominator of which is 360;
provided, however, that with respect to the first Payment Date, the Investor
Monthly Servicing Fee shall be equal to the product of (a) the Servicing Fee Rate, (b) Invested
Amount as of the Closing Date and (c) a fraction, the numerator of which is the number of days from
and including the Closing Date to and including the last day of the Collection Period immediately
preceding the first Payment Date occurs and the denominator of which is 360. The Investor Monthly
Servicing Fee shall be payable to the Servicer solely to the extent amounts are available for
distribution therefor in accordance with the terms of this Series Supplement.

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ARTICLE IV

Rights of Series 2008-CP-1 Noteholders and

Allocation and Application of Collections 

     Section 4.01 Daily Allocations; Payments to Residual Interestholder. On each Deposit
Date, Non-Principal Collections, Principal Collections and Miscellaneous Payments will be allocated
to Series 2008-CP-1 based on the Series 2008-CP-1 Allocation Percentage and shall be further
allocated and distributed as set forth in this Section 4.01.

     (a) Non-Principal Collections. On each Deposit Date, the Servicer shall allocate to
Series 2008-CP-1 and retain in the Collection Account (until applied as provided herein) an amount
equal to the Floating Allocation Percentage then in effect of Allocable Non-Principal Collections
deposited in the Collection Account for such Deposit Date.

     (b) Principal Collections — Revolving Period. On each Deposit Date during the
Revolving Period, the Servicer shall cause an amount equal to the Investor Principal Collections
for such Deposit Date to be allocated to Series 2008-CP-1 and such amount shall be applied as
provided in Section 4.05(b).

     (c) Principal Collections — Scheduled Amortization Period, Partial Amortization Period and
Early Amortization Period. On each Deposit Date during the Scheduled Amortization Period, the
Partial Amortization Period and the Early Amortization Period, the Servicer shall cause an amount
equal to the Investor Principal Collections for such Deposit Date to be allocated to Series
2008-CP-1 for application as provided in Section 4.05(c).

     (d) Miscellaneous Payments.  On each Deposit Date, the Servicer shall treat any
Allocable Miscellaneous Payments as Investor Principal Collections and apply them as provided in
Section 4.01(b) or 4.01(c), as appropriate, except that any Allocable Miscellaneous
Payments consisting of (i) Adjustment Payments that were paid after their due date as per Section
3.9(a) of the Agreement, if the amount of such overdue Adjustment Payments has been included in the
Investor Dilution Amount for any prior Collection Period and (ii) the interest portion of Transfer
Deposit Amounts resulting from the Servicer’s purchase of Receivables pursuant to Section 3.3(d) of
the Agreement, shall, in each case, be treated as Allocable Non-Principal Collections and applied
as provided in Section 4.01(a). 

     The withdrawals to be made from the Collection Account pursuant to this Section 4.01 do not
apply to deposits into the Collection Account that do not represent Collections, including payment
of the Redemption Price for the Series 2008-CP-1 Notes pursuant to Section 10.1(b) of the Indenture
and Section 7.01 of this Series Supplement and proceeds from the sale, disposition or liquidation
of Conveyed Receivables pursuant to Section 5.4 of the Indenture.

     Section 4.02 Monthly Interest.

     (a) The amount of monthly interest (“Class A Monthly Interest”) accrued during any
Interest Period with respect to the Class A Notes, shall be equal to the product of (A) the
Class A Interest Rate, (B) the average daily Outstanding Amount of the Class A Notes during
such Interest Period and (C) a fraction, the numerator of which is the actual number of
days elapsed in the related Interest Period and the denominator of which is 360 plus
amounts payable pursuant to Section 2.05(c) of the Class A Note Purchase Agreement;
provided, however that with respect to the first such Payment Date, Class A Monthly
Interest shall be calculated based on the outstanding principal amount of the Class A Notes
on the Closing Date.

     On the Determination Date preceding each Payment Date, the Servicer shall determine
the excess, if any (the “Class A Interest Shortfall”), of (x) the aggregate Class A Monthly
Interest for the Interest Period applicable to such Payment Date over (y) the amount that
will be available

Series 2008-CP-1 Supplement

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to be distributed to Class A Noteholders on such Payment Date in respect thereof pursuant
to this Series Supplement. If the Class A Interest Shortfall with respect to any Payment
Date is greater than zero, an additional amount (“Class A Additional Interest”) equal to
the product of (A) the Class A Interest Rate for the Interest Period commencing on such
Payment Date (or, for subsequent Interest Periods, the Class A Interest Rate for such
subsequent Interest Period), (B) such Class A Interest Shortfall (or the portion thereof
that has not been paid to Class A Noteholders) and (C) a fraction, the numerator of which
is the amount of days elapsed in such Interest Period (or in a subsequent Interest Period)
and the denominator of which is 360, shall be payable as provided herein with respect to
Class A Notes on each Payment Date following such Payment Date to and including the Payment
Date on which such Class A Interest Shortfall is paid to Class A Noteholders.
Notwithstanding anything to the contrary herein, Class A Additional Interest shall be
payable or distributed to Class A Noteholders only to the extent permitted by applicable
law.

     (b) The amount of monthly interest (“Class B Monthly Interest”) accrued during any
Interest Period with respect to the Class B Notes, shall be equal to the product of (A) the
Class B Interest Rate in effect on the first Business Day of such Interest Period, (B) the
Outstanding Amount of the Class B Notes as of the close of business on the last day of the
preceding Interest Period and (C) a fraction, the numerator of which is the actual number
of days elapsed in the related Interest Period and the denominator of which is 360;
provided, however that with respect to the first such Payment Date, Class B Monthly
Interest shall be calculated based on the outstanding principal amount of the Class B Notes
on the Closing Date.

     On the Determination Date preceding each Payment Date, the Servicer shall determine
the excess, if any (the “Class B Interest Shortfall”), of (x) the aggregate Class B Monthly
Interest for the Interest Period applicable to such Payment Date over (y) the amount that
will be available to be distributed to Class B Noteholders on such Payment Date in respect
thereof pursuant to this Series Supplement.

     Section 4.03 Determination of Monthly Principal. Beginning with the Payment Date in the month
following the month in which a Partial Amortization Period, the Scheduled Amortization Period or
the Early Amortization Period begins, the amount of principal with respect to Series 2008-CP-1 on
each Payment Date (the “Monthly Principal”) shall be equal to (a) in the case of a Partial
Amortization Period the lesser of (i) the Available Investor Principal Collections on deposit in
the Collection Account with respect to such Payment Date and (ii) an amount equal to the aggregate
Group Purchase Limit Excess that exists prior to any deposit into the Collection Account on such
Payment Date and (b) in the case of a Scheduled Amortization Period or an Early Amortization
Period, the least of (i) the Outstanding Amount of the Series 2008-CP-1 Notes on such Payment Date
(minus, during the Scheduled Amortization Period, any amount already in the Principal Account on
such Payment Date); and (ii) the Invested Amount (after taking into account any adjustments to be
made to the Invested Amount on such Payment Date pursuant to Section 4.07). Subject to Section
4.2(b) of the Agreement, during the Scheduled Amortization Period and the Early Amortization
Period, Investor Principal Collections shall be deposited into the Collection Account on a daily
basis in accordance with and subject to the provisions of Section 4.2 of the Agreement and the
Scheduled Amortization Period shall be treated as a Controlled Accumulation Period for purposes of
Section 4.2(c)(ii)(b) of the Agreement.

     Section 4.04 Establishment of Accounts. The Issuer has previously caused to be established and
covenants to hereafter maintain the Collection Account and the Excess Funding Account. The Issuer
hereby establishes and covenants to hereafter maintain the Principal Account and the Reserve
Account which shall be Trust Accounts and Eligible Deposit Accounts in accordance with Section 4.1
of the

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Agreement under the sole dominion and control of the Indenture Trustee for the benefit of the
Series 2008-CP-1 Noteholders and the Residual Interestholder.

     Section 4.05 Application of Collections.

     (a) Available Investor Non-Principal Collections and Investment Proceeds. On each
Payment Date, the Servicer shall direct the Indenture Trustee in writing to apply an amount
equal to the sum of Available Investor Non-Principal Collections, any Investment Proceeds
deposited in the Collection Account for the related Collection Period, any amounts on
deposit in the Reserve Account and Excess Non-Principal Collections allocated to Series
2008-CP-1 in accordance with Section 4.10 for distribution, to the extent of funds
available therefor, in the following priority:

     (i) first, an amount equal to the Investor Monthly Servicing Fee for such Payment Date
(to the extent not previously paid), plus any unpaid Servicer Advances and accrued and
unpaid interest thereon, shall be distributed to the Servicer;

     (ii) second, an amount equal to Class A Monthly Interest for such Payment Date, plus
the amount of any Class A Monthly Interest previously due but not distributed to the Class
A Noteholders on a prior Payment Date, plus the amount of any Class A Additional Interest
for such Payment Date and any Class A Additional Interest previously due but not
distributed to the Class A Noteholders on a prior Payment Date; plus the Other Monthly
Amounts previously due but not distributed to the Class A Noteholders on a prior Payment
Date, shall be paid to the Class A Noteholders, pro rata;

     (iii) third, an amount equal to Class B Monthly Interest for such Payment Date, plus
the amount of any Class B Monthly Interest previously due but not distributed to the Class
B Noteholders on a prior Payment Date, shall be paid to the Class B Noteholders, pro rata;

     (iv) fourth, an amount equal to the Investor Defaulted Amount and the Investor
Dilution Amount, if any, for such Payment Date shall be treated as a portion of Available
Investor Principal Collections for such day and, during a Partial Amortization Period, the
Scheduled Amortization Period or the Early Amortization Period, shall be deposited into the
Principal Account;

     (v) fifth, an amount equal to the aggregate amount of Investor Charge-Offs that have
not been previously reimbursed as provided in Section 4.07 and this Section 4.05(a)(v)
shall be treated as Available Investor Principal Collections with respect to such day and
shall increase the Invested Amount and, during a Partial Amortization Period, the Scheduled
Amortization Period or the Early Amortization Period, shall be deposited into the Principal
Account;

     (vi) sixth, an amount, if any, equal to the amount required to be deposited in the
Reserve Account pursuant to Section 4.12 shall be deposited into the Reserve Account during
the Revolving Period and the Scheduled Amortization Period;

     (vii) seventh, if none of a Partial Amortization Period, the Scheduled Amortization
Period or the Early Amortization Period has occurred and is continuing, the balance, if
any, will constitute a portion of Excess Non-Principal Collections for such Payment Date
and will be applied in accordance with Section 4.3 of the Agreement;

     (viii) eighth, during a Partial Amortization Period, the balance, if any, shall be
used to make principal payments to the Class A Notes (with application of such amount being
made pro

Series 2008-CP-1 Supplement

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rata among the Class A Noteholders based upon each of their respective Group Purchase Limit Excess,
if any, rather than based upon the Outstanding Amount of the Class A Notes) until no
Group Purchase Limit Excess shall exist, and the remaining amount, if any, will constitute a
portion of Excess Non-Principal Collections for such Payment Date and will be applied in accordance
with Section 4.3 of the Agreement; and

     (ix) ninth, during the Scheduled Amortization Period or the Early Amortization Period, the
remaining balance, if any, will be used to make principal payments first, to the Class A Notes
until the Class A Note Principal Balance is paid in full and, second, to the Class B Notes until
the Class B Note Principal Balance is paid in full.

     On each Payment Date, to the extent that there is a shortfall (a “Payment Date Shortfall”) in
the amounts to be paid or deposited pursuant to clauses(a)(ii) and (a)(iii) of this Section 4.05,
the Paying Agent on behalf of the Issuer, shall withdraw from the Collection Account, from any
Servicer Advance on deposit therein, an amount equal to the lesser of (i) the Payment Date
Shortfall for such Payment Date and (ii) the product of (x) such Servicer Advance and (y) the
Floating Allocation Percentage for the previous Collection Period, and apply such withdrawn amount
to make the payments and deposits contemplated by such clauses of this Section 4.05.

     (b) Available Investor Principal Collections — Revolving Period. On each Payment Date during
the Revolving Period, an amount equal to the Available Investor Principal Collections deposited
into the Collection Account for the related Collection Period shall be applied as follows:

     (i) first, such amount shall be deposited into the Excess Funding Account to the extent
necessary so that the amount on deposit in the Excess Funding Account plus the Net Pool Balance is
at least equal to the Required Net Pool Balance;

     (ii) second, to the Class A Noteholders, the amount of any Class A Decrease (which satisfies
the requirements of Section 2.05) to reduce the outstanding principal amount of the Class A Notes;

     (iii) third, to the Class B Noteholders, the amount of any Class B Decrease (which satisfies
the requirements of Section 2.05) to reduce the outstanding principal amount of the Class B Notes;
and

     (iv) fourth, shall be treated as Excess Principal Collections and applied in accordance with
Section 4.3 of the Agreement.

     (c) Available Investor Principal Collections — Partial Amortization Period, Scheduled
Amortization Period or Early Amortization Period. On each Payment Date during a Partial
Amortization Period, the Scheduled Amortization Period or the Early Amortization Period, an amount
equal to Available Investor Principal Collections deposited in the Collection Account for the
related Collection Period plus Excess Principal Collections allocated to Series 2008-CP-1 in
accordance with Section 4.11 shall be applied as follows:

     (i) during a Partial Amortization Period, first, until no Group Purchase Limit Excess exists
(with application of such amount being made pro rata among the Class A Noteholders based upon each
of their respective Group Purchase Limit Excess, if any, rather than based upon the Outstanding
Amount of the Class A Notes); and second, until the Outstanding Amount of the Class B Notes has
been reduced to the extent necessary to reduce the Subordinated Interest

Series 2008-CP-1 Supplement

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Percentage to the Required Subordination Percentage (but not less than the Required
Subordination Percentage);

     (ii) during the Scheduled Amortization Period or the Early Amortization Period, an
amount equal to the least of (a) the Available Investor Principal Collections on deposit in
the Collection Account for the related Collection Period and (b) the Monthly Principal for
such Payment Date shall be distributed on each Payment Date and on the related Payment
Date: first, to the Class A Noteholders on the related Payment Date until the Class A Note
Principal Balance has been paid in full; and second, to the Class B Noteholders until the
Class B Note Principal Balance has been paid in full; and

     (iii) the balance of such Available Investor Principal Collections remaining after
application in accordance with clauses (i) and (ii) above and subject to the prior payment
of any outstanding unpaid obligations of the Issuer pursuant to Section 6.7 of the
Indenture, any remaining amount shall be paid to the Residual Interestholder.

     (d) Payment of Available Investor Principal Collections. On the Series 2008-CP-1
Stated Maturity Date, the Servicer shall pay all Available Investor Principal Collections
first, to the Class A Noteholders, until the Class A Note Principal Balance is paid in
full, and second to the Class B Noteholders until the Class B Note Principal Balance is
paid in full.

     Section 4.06 Distributions to Series 2008-CP-1 Noteholders. On each Payment Date, the
Servicer shall direct the Indenture Trustee in writing to make the following distributions at the
following times from the Collection Account, the Reserve Account, the Principal Account and the
Excess Funding Account, as applicable:

     (a) on each Payment Date, all amounts on deposit in such Trust Accounts that are
payable to the Class A Noteholders with respect to accrued interest and principal shall be
distributed to the Class A Noteholders in accordance with Section 4.05; and

     (b) on each Payment Date, all amounts on deposit in such Trust Accounts that are
payable to the Class B Noteholders with respect to accrued interest and principal shall be
distributed to the Class B Noteholders in accordance with Section 4.05.

     Section 4.07 Investor Charge-Offs. On each Determination Date, the Servicer shall calculate
the Investor Defaulted Amount and the Investor Dilution Amount, if any, for the related Payment
Date. If, on any Payment Date, the sum of the Investor Defaulted Amount, the Investor Dilution
Amount and Reallocated Principal Collections for such Payment Date exceeds the sum of Available
Investor Non-Principal Collections, amounts withdrawn from the Reserve Account on such Payment Date
and Investment Proceeds allocated with respect thereto pursuant to Section 4.05(a)(iv) on such
Payment Date (after giving effect to the allocations, distributions, withdrawals and deposits to be
made on such Payment Date), the Invested Amount shall be reduced by the amount of such excess, but
not by more than the lesser of (i) the sum of the Investor Defaulted Amount, the Investor Dilution
Amount and Reallocated Principal Collections for such Payment Date, and (ii) the Invested Amount on
such Payment Date (an “Investor Charge-Off”). Investor Charge-Offs shall thereafter be reimbursed
and the Invested Amount increased (but not by an amount in excess of the aggregate unreimbursed
Investor Charge-Offs on any Payment Date) by the amount of Available Investor Non-Principal
Collection and Investment Proceeds allocated and available for that purpose pursuant to Section
4.05(a)(v).

     Section 4.08 Excess Funding Account. On the business day after the last day of the Revolving
Period, the Series 2008-CP-1 Excess Funding Amount shall, pursuant to Servicer written instruction,
be

Series 2008-CP-1 Supplement

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deposited in the Collection Account on such date and distributed in accordance with Section 4.06.
Thereafter, the Series 2008-CP-1 Noteholders shall not be entitled to any funds on deposit in the
Excess Funding Account.

     Section 4.09 Reallocated Principal Collections. On each Payment Date, after giving effect to
Section 4.12(a), the Servicer shall apply Reallocated Principal Collections with respect to that
Payment Date to fund any deficiency pursuant to and in the priority set forth in Sections
4.05(a)(i) through (iii). On each Payment Date, the Invested Amount shall be reduced by the amount
of Reallocated Principal Collections for such Payment Date. Reallocated Principal Collections
shall become part of Investor Charge-Offs pursuant to Section 4.07.

     Section 4.10 Excess Non-Principal Collections. Series 2008-CP-1 shall be an Excess Allocation
Series with respect to Group One only. Subject to Section 4.3 of the Agreement, Excess
Non-Principal Collections with respect to the Excess Allocation Series in Group One for
any Payment Date will be allocated to Series 2008-CP-1 in an amount equal to the product of
(x) the aggregate amount of Excess Non-Principal Collections with respect to all the Excess
Allocation Series in Group One for the related Payment Date and (y) a fraction, the numerator of
which is the Series 2008-CP-1 Non-Principal Shortfall for such Payment Date and the denominator of
which is the aggregate amount of Non-Principal Shortfalls for all the Excess Allocation Series in
Group One for such Payment Date.

     Section 4.11 Excess Principal Collections. Subject to Section 4.3 of the Agreement, Excess
Principal Collections allocable to Series 2008-CP-1 on any Payment Date will be equal to the
product of (x) the aggregate amount of Excess Principal Collections with respect to all Principal
Sharing Series for such Payment Date and (y) a fraction, the numerator of which is the Series
2008-CP-1 Principal Shortfall for such Payment Date and the denominator of which is the aggregate
amount of Principal Shortfalls for all the Series which are Principal Sharing Series for such
Payment Date.

     Section 4.12 Reserve Account.

     (a) On each Payment Date, if the aggregate amount of Available Investor Non-Principal
Collections is less than the aggregate amount required to be paid or deposited pursuant to
clauses (i) through (iv) of Section 4.05(a), the Issuer shall withdraw from the Reserve
Account the amount of such deficiency up to the Available Reserve Account Amount and shall
apply such amount in accordance with such clauses of Section 4.05(a).

     (b) On the Series 2008-CP-1 Stated Maturity Date, and on any day following the
occurrence of an Event of Default with respect to Series 2008-CP-1 that has resulted in the
acceleration of the Series 2008-CP-1 Notes, the Servicer shall withdraw from the Reserve
Account the Available Reserve Account Amount for payment to the Series 2008-CP-1
Noteholders to fund any shortfalls in amounts owed to the Series 2008-CP-1 Noteholders.

     (c) If on any Payment Date, after giving effect to all withdrawals from the Reserve
Account, the Available Reserve Account Amount is less than the Required Reserve Account
Amount then in effect, Available Investor Non-Principal Collections shall be deposited into
the Reserve Account pursuant to Section 4.05(a)(vi) up to the amount of the Reserve Account
Deficiency.

     (d) If, after giving effect to all deposits to and withdrawals from the Reserve
Account with respect to any Payment Date, the amount on deposit in the Reserve Account
exceeds the Required Reserve Account Amount, the Servicer shall withdraw an amount equal to
such excess from the Reserve Account and distribute such amount to the Residual
Interestholder

Series 2008-CP-1 Supplement

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on the related Payment Date. On the date on which the Reserve Account has been terminated,
after giving effect to any withdrawal on such date pursuant to Section 4.12(a) and making
any payments to the Series 2008-CP-1 Noteholders required pursuant to this Series
Supplement, all amounts then remaining in the Reserve Account shall be released to the
Residual Interestholder.

     (e) The Reserve Account will terminate on the earliest to occur of (i) the date on
which the Outstanding Amount of the Series 2008-CP-1 Notes has been reduced to zero and all
other amounts payable to the Series 2008-CP-1 Noteholders have been paid in full and (ii)
the Series 2008-CP-1 Stated Maturity Date.

Section 4.13 Investment of Amounts on Deposit in Series Accounts.

     (a) To the extent there are uninvested amounts deposited in the Series Accounts, the
Servicer shall cause such amounts to be invested in Eligible Investments selected by the
Servicer that mature no later than the following Payment Date.

     (b) On each Payment Date, the Investment Proceeds, if any, accrued since the preceding
Payment Date on funds on deposit in the Reserve Account or the Principal Account shall be
treated as Available Investor Non-Principal Collections and paid or deposited in accordance
with Section 4.05(a). Subject to the foregoing, for purposes of determining the
availability of funds or the balance in the Reserve Account for any reason under this
Series Supplement, all Investment Proceeds shall be deemed not to be available or on
deposit.

     Section 4.14 Scheduled Amortization Period. The Scheduled Amortization Period shall commence
on the Scheduled Termination Date and shall continue until the earliest of (i) the date on which an
Early Amortization Period commences and (ii) the Final Payment Date.

ARTICLE V

Distributions and Reports to Series 2008-CP-1 Noteholders

     Section 5.01 Distributions. (a) On each Payment Date, the Indenture Trustee shall
distribute to each Series 2008-CP-1 Noteholder of record on the preceding Record Date
(other than as provided in Section 2.7(c) of the Indenture with respect to a final
distribution) such Interestholder’s pro rata share (based on the aggregate fractional
undivided interests represented by the Series 2008-CP-1 Notes held by such Interestholder,
except during a Partial Amortization Period to the extent provided in Section 4.05(c)(i))
of the amounts on deposit in the Collection Account, the Excess Funding Account, the
Principal Account or the Reserve Account as is payable to the Series 2008-CP-1 Noteholders
on such Payment Date according to the written instructions of the Servicer given pursuant
to Sections 4.05 and 4.06.

     (b) Except as provided in Section 2.7(c) of the Indenture with respect to a final
distribution, distributions to Series 2008-CP-1 Noteholders hereunder shall be made in
immediately available funds wired to each Series 2008-CP-1 Interestholder in accordance
with such Interestholder’s wiring information appearing in the Register without
presentation or surrender of any Series 2008-CP-1 Notes or the making of any notation
thereon.

     Section 5.02 Reports and Statements to Series 2008-CP-1 Noteholders. (a) At least two
Business Days prior to each Payment Date, the Servicer will provide to the Indenture
Trustee, and on each such Payment Date, the Indenture Trustee shall forward to each Series
2008-CP-1 Interestholder of record a statement (the “Payment Date Statement”) prepared by
the Servicer

Series 2008-CP-1 Supplement

20

 

setting forth certain information relating to the Issuer, the Series 2008-CP-1 Notes and
the Required Net Pool Balance.

     (b) A copy of each statement provided pursuant to paragraph (a) will be made available
for inspection by any Series 2008-CP-1 Interestholder at the Corporate Trust Office.

     (c) Within the prescribed period for tax reporting purposes after the end of each
calendar year, 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 2008-CP-1 Noteholder and
the Residual Interestholder, a statement prepared by the Servicer containing such
information as may be required by the Code and applicable U.S. treasury regulations to
enable the Series 2008-CP-1 Noteholders or Residual Interestholder to prepare their federal
income tax returns. 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
Indenture Trustee pursuant to any requirements of the Code as from time to time in effect.

ARTICLE VI

Early Amortization Events

     Section 6.01 Additional Early Amortization Events. (a) In addition to the Early Amortization
Events set forth in Section 5.17 of the Indenture and except as provided in Section 6.01(b), the
occurrence of any of the following events shall, immediately upon the occurrence thereof without
notice or other action on the part of the Indenture Trustee or the Series 2008-CP-1 Noteholders, be
deemed to be an Early Amortization Event solely with respect to Series 2008-CP-1:

     (i) on any Determination Date, the average of the Monthly Payment Rates for the three
preceding Collection Periods is less than 12% for the Determination Dates falling in
February through May, less than 14% for the Determination Date falling in June, less than
16% for the Determination Dates falling in July through October, or less than 14%, for the
Determination Dates falling in November through January;

     (ii) any Servicing Default occurs;

     (iii) the occurrence of an Event of Default with respect to the Series 2008-CP-1 Notes
and the declaration that the Series 2008-CP-1 Notes are due and payable pursuant to Section
5.2 of the Indenture;

     (iv) on the Series 2008-CP-1 Stated Maturity Date, the Series 2008-CP-1 Notes are not
paid in full;

     (v) the sum of all investments (other than Receivables) held in Trust Accounts of the
Issuer and, without duplication, amounts held in the Excess Funding Account, represents
more than fifty percent (50%) of the dollar amount of the assets of the Issuer on each of
six (6) or more consecutive monthly Determination Dates, after giving effect to all
payments made or to be made on the Payment Dates relating to those Determination Dates;

     (vi) on any Payment Date, there exists (a) Investor Charge-Offs or (b) a withdrawal
from the Reserve Account, in each case relating to a shortfall in Non-Principal Collections
on a prior Payment Date that has not been reimbursed as of such Payment Date after
application of all Collections on such date or (ii) there exists (a) Investor Charge-Offs
or (b) a withdrawal from the

Series 2008-CP-1 Supplement

21

 

Reserve Account, in an aggregate amount in excess of 0.25% of the Initial Invested Amount,
in each case relating to a shortfall in Non-Principal Collections on such Payment Date;

     (vii) the Subordinated Interest Percentage is less than the Required Subordinated
Interest Percentage for five consecutive Business Days;

     (viii) on any Payment Date after the occurrence of an Enhancement Trigger Event under
clause (b) of the definition thereof, the Seller has not deposited an amount into the
Reserve Account equal to 1.0% of the Initial Invested Amount; or

     (ix) on any Payment Date, the amount on deposit in the Reserve Account is less than
the Required Reserve Account Amount for such Payment Date after application of all
Collections on such date and for the two consecutive Payment Dates immediately preceding
such Payment Date.

     (b) In the case of any event described in Section 6.01(a)(ii) above or in Section
5.17(d) or (e) of the Indenture, an Early Amortization Event with respect to Series
2008-CP-1 shall be deemed to have occurred only if either (i) the Indenture Trustee or (ii)
the Control Investors, by written notice to the Issuer, the Seller and the Servicer (and
the Indenture Trustee, if such notice is given by Series 2008-CP-1 Noteholders) declare
that an Early Amortization Event has occurred as of the date of such notice. In the case of
any other event described above or in Section 5.17 of the Indenture, an Early Amortization
Event will occur without any notice or other action on the part of the Indenture Trustee or the Series 2008-CP-1 Noteholders immediately upon the
occurrence of such event.

     Section 6.02 Recommencement of the Revolving Period. If any Early Amortization Event (other
than an Early Amortization Event described in Section 5.17(a) of the Indenture) occurs, the
Revolving Period shall recommence following satisfaction of the Rating Agency Condition and if the
Control Investors consent thereto; provided, however, that no other Early Amortization Event that
has not been cured or waived as described herein has occurred and the scheduled termination of the
Revolving Period has not occurred.

ARTICLE VII

Optional Purchase

     Section 7.01 Optional Purchase.

     (a) On any Payment Date occurring after the date on which the aggregate outstanding
principal amount of the Series 2008-CP-1 Notes is reduced to an amount less than or equal
to 10% of the maximum outstanding principal amount of the Series 2008-CP-1 Notes as of the
date hereof, the Servicer shall have the option to purchase the Series 2008-CP-1 Notes in
whole but not in part at a purchase price equal to the Redemption Price for such Payment
Date.

     (b) The Servicer shall give the Indenture Trustee at least 20 days’ prior written
notice of the Payment Date on which the Servicer intends to exercise such purchase option.
Not later than 12:00 noon, New York City time, on such Payment Date, the Servicer shall
deposit an amount equal to the sum of (i) the Series 2008-CP-1 Excess Funding Amount (in a
maximum amount not exceeding the Redemption Price), (ii) the Reserve Account Amount (in a
maximum amount not exceeding the Redemption Price), (iii) the amount on deposit in the
Principal Account (in a maximum amount not exceeding the Redemption Price) and (iv) the
excess, if any, of the

Series 2008-CP-1 Supplement

22

 

Redemption Price over the amounts calculated in clauses (i), (ii) and (iii) into the
Collection Account in immediately available funds. Such purchase option is subject to
payment in full of the Redemption Price. The Redemption Price shall be distributed as set
forth in Section 8.01.

ARTICLE VIII

Final Distributions

     Section 8.01 Acquisition of Notes Pursuant to Section 10.1 of the Indenture; Distributions
pursuant to Section 7.01 of this Series Supplement or Section 5.4 of the Indenture.

     (a) The amount to be paid by the Seller to the Collection Account with respect to
Series 2008-CP-1 Notes in connection with a redemption of the Series 2008-CP-1 Notes
pursuant to Section 10.1(b) of the Indenture shall equal the Redemption Price for the
Payment Date on which such redemption occurs.

     (b) With respect to the Redemption Price deposited into the Collection Account
pursuant to Section 7.01 or 8.01(a) of
this Series Supplement or any amount distributable
to the Series 2008-CP-1 Noteholders pursuant to Section 5.4(a)(iv) or 5.4(b) of the
Indenture following a sale of Receivables by the Issuer, the Indenture Trustee shall, not
later than 12:00 noon, New York City time, on the Payment Date on which such amounts are
deposited (or, if such date is not a Payment Date, on the immediately following Payment
Date), based upon information provided by the Servicer (which shall include specific
instructions with respect to the following amounts), 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) first, (x) an amount equal to the Outstanding Amount of the Class A Notes shall be
distributed to the Class A Noteholders and (y) an amount equal to the sum of (A) Class A
Monthly Interest for such Payment Date, (B) any Class A Monthly Interest previously due but
not distributed on a prior Payment Date, (C) the amount of Class A Additional Interest, if
any, for such Payment Date and any Class A Additional Interest previously due but not
distributed on a prior Payment Date, shall be distributed to the Class A Noteholders and
(D) any Other Monthly Amounts owing to the Class A Noteholders which are due and unpaid;

     (ii) second, (x) an amount equal to the Outstanding Amount of the Class B Notes shall
be distributed to the Class B Noteholders and (y) an amount equal to the sum of (A) Class B
Monthly Interest for such Payment Date and (B) any Class B Monthly Interest previously due
but not distributed on a prior Payment Date, shall be distributed to the Class B
Noteholders; and

     (iii) third, any excess will be released to the Residual Interestholder.

     (c) Notwithstanding anything to the contrary in this Series Supplement or the
Indenture, any distribution made pursuant to 
Section 8.01(b) shall be deemed to be a final
distribution pursuant to Section 2.7(c) of the Indenture with respect to the Series
2008-CP-1 Notes.

     Section 8.02 Series Termination. On the Series 2008-CP-1 Stated Maturity Date, if the Invested
Amount is greater than zero (after giving effect to deposits and distributions otherwise to be made
on such Series 2008-CP-1 Stated Maturity Date), the Indenture Trustee will sell or cause to be sold
on such Series 2008-CP-1 Stated Maturity Date in accordance with the Indenture an amount of
Principal Receivables (or

Series 2008-CP-1 Supplement

23

 

interests therein) equal to 110% of the Invested Amount on such Series 2008-CP-1 Stated Maturity
Date (after giving effect to such deposits and distributions); provided, however, that in no event
shall the amount of Principal Receivables sold exceed the product of the Series 2008-CP-1
Allocation Percentage (for the Collection Period in which such Payment Date occurs) and Principal
Receivables on such Payment Date. The proceeds from such sale shall be paid first, to the Class A
Noteholders until the outstanding principal amount and unpaid interest on the Class A Notes is paid
in full; second, to the Class B Noteholders until the outstanding principal amount and unpaid
interest on the Class B Notes is paid in full; and then any remaining proceeds shall be allocated
and distributed as Principal Collections in accordance with the terms of Section 4.06. On and after
the Termination Date, no distributions will be made pursuant to this Supplement except as otherwise
expressly provided for in the Indenture.

ARTICLE IX

Other Series Provisions

     Section 9.01 Additional Covenants. Except for the conveyance hereunder to the Indenture
Trustee, the Issuer shall not sell, pledge, assign or transfer to any other Person any rights it
might have to funds on deposit in the Collection Account, the Principal Account, the Reserve
Account or the Excess Funding Account or Investment Proceeds with respect thereto.

     Section 9.02 Tax Treatment of the Class A Notes. The Issuer and the purchasers of the Class A
Notes intend, and will take all actions consistent with and refrain from any action inconsistent
with the intention, that the Class A Notes be treated as indebtedness which is solely secured by
the Collateral for all federal, state, local, and foreign income and franchise tax purposes and
that the Issuer be disregarded as an entity separate from the Seller for federal income tax
purposes. The Issuer, by entering into this Series Supplement, and each Class A Noteholder, by its
acceptance of its Class A Note, agrees to treat the Class A Notes for federal, state and local
income, single business and franchise tax purposes as indebtedness of the Issuer.

     Section 9.03 Supplemental Indentures. It is expressly understood by the parties hereto that
with respect to Series 2008-CP-1, no action may be taken under Section 9.1(b) of the Indenture
unless the Rating Agency Condition has been satisfied.

     Section 9.04 Waiver of Past Defaults. Any default by the Servicer as described in Section 7.4
of the Agreement may be waived by only by the Control Investors.

ARTICLE X

Miscellaneous Provisions

     Section 10.01 Ratification of Agreement. As supplemented by this Series Supplement, the
Agreement is in all respects ratified and confirmed and the Agreement as so supplemented by this
Series Supplement shall be read, taken and construed as one and the same instrument.

     Section 10.02 Counterparts. This Series Supplement may be executed by the parties hereto in
any number of counterparts, each of which shall be an original, but all of which together shall
constitute one and the same instrument.

     Section 10.03 GOVERNING LAW. THIS SERIES SUPPLEMENT SHALL BE CONSTRUED IN ACCORDANCE WITH, THE
LAWS OF THE STATE OF NEW YORK WITHOUT GIVING EFFECT TO THE CHOICE OF LAW PRINCIPLES THEREOF (OTHER
THAN SECTION 5-1401 OF

Series 2008-CP-1 Supplement

24

 

THE NEW YORK GENERAL OBLIGATIONS LAW), AND THE OBLIGATIONS, RIGHTS AND REMEDIES OF THE PARTIES
HEREUNDER SHALL BE DETERMINED IN ACCORDANCE WITH SUCH LAWS.

[signature pages follow]

Series 2008-CP-1 Supplement

25

 

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

	 	 	 	 	 	 	 
	 	 	TEXTRON FINANCIAL FLOORPLAN MASTER	 	 
	 	 	NOTE TRUST, as Issuer	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	U.S. Bank Trust National Association, not in	 	 
	 

	 	 	 	its individual capacity, but solely as Owner	 	 
	 

	 	 	 	Trustee on behalf of the Trust	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Jack Ellerin
 

	 	 
	 

	 	 	 	Name: Jack Ellerin	 	 
	 

	 	 	 	Title: Vice President	 	 
	 
	 	 	 	 	 	 
	 	 	TEXTRON FINANCIAL CORPORATION,	 	 
	 	 	as Servicer	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	THE BANK OF NEW YORK, not in its individual	 	 
	 	 	capacity but solely as Indenture Trustee	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 

Signature Page to

Series 2008-CP-I Supplement

 

 

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

	 	 	 	 	 	 	 
	 	 	TEXTRON FINANCIAL FLOORPLAN MASTER

NOTE TRUST, as Issuer	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	U.S. Bank Trust National Association,
not in
 its individual capacity, but solely as Owner	 	 
	 

	 	 	 	Trustee on behalf of the Trust	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 

Name:
	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	TEXTRON FINANCIAL CORPORATION,
 as Servicer	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Brian F. Lynn	 	 
	 

	 	 	 	 

Name: Brian F. Lynn
	 	 
	 

	 	 	 	Title: Senior VP and Treasurer	 	 
	 
	 	 	 	 	 	 
	 	 	THE BANK OF NEW YORK, not in its individual

capacity but solely as Indenture Trustee	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 

Name:
	 	 
	 

	 	 	 	Title:	 	 

Signature Page to

Series 2008-CP-l Supplement

 

 

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

	 	 	 	 	 	 	 
	 	 	TEXTRON FINANCIAL FLOORPLAN MASTER
NOTE TRUST, as Issuer	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	U.S. Bank Trust National Association, not in

its individual capacity, but solely as Owner

Trustee on behalf of the Trust	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 

Name:
	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	TEXTRON FINANCIAL CORPORATION,
as Servicer	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 

Name:
	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	THE BANK OF NEW YORK, not in its individual

capacity but solely as Indenting Trustee	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Jacqueline Kuhn	 	 
	 

	 	 	 	 

Name: JACQUELINE KUHN
	 	 
	 

	 	 	 	Title: ASSISTANT TREASURER	 	 

Signature Page to

Series 2Q08-CP-1 Supplement

 

 

EXHIBIT A

[Please see attached.]

 

 

EXHIBIT B

[Please see attached.]

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