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EXHIBIT 4.1    
  

As adopted on October 25, 2002  

SMALL TOWN RADIO, INC.  

2003 STOCK INCENTIVE PLAN  

 
 

ARTICLE 1
  GENERAL    
  

        1.1    Establishment, Purpose.    This Plan establishes the Company's
Stock Incentive Plan. This Plan has been designed to promote the Company's long-term growth and profitability by providing eligible persons with incentives to improve stockholder value,
and thereby to attract, retain, and motivate the best available persons for positions of substantial responsibility. 

        1.2    Defined Terms.    Capitalized terms used herein and not
otherwise defined herein shall have the meanings given to such terms in Appendix A hereto. 

        1.3    Types of Awards.    Awards may be made in the form of: 

        Section
2.3    Options, which provide Participants with the long-term right to purchase Shares. 

        Section
2.4    Equity Units (aka SARs), which provide Participants with a right to receive the appreciation on Common Stock
between the award date and the exercise date. 

        Section
2.6    Restricted Shares, which provide Participants with a short-term right to purchase or receive Shares,
subject to certain restrictions. 

        Section
2.7    Deferred Shares, which provide Participants with the opportunity to defer compensation with respect to vested
Awards. 

        Section
2.8    Other Stock-Based Awards. 

        Section
2.9    Non-Stock Awards, in the form of cash bonuses and credits to deferred compensation accounts. 

        1.4    Persons Eligible for Awards.    

        1.4.1    General Rule.    Directors, Officers, Employees, or Consultants are eligible for Awards, subject to the
restrictions set forth in Section 2.7.1 hereto regarding the eligibility of Employees to make deferred compensation elections. 

        1.4.2    No Employment Rights.    This Plan shall not confer upon any Participant any right to continue in an
employment, service, or consulting relationship with the Company, nor shall it affect in any way a Participant's right or the Company's right to terminate his or her employment, service, or consulting
relationship at any time, with or without Cause. 

        1.5    Administration.    

        1.5.1    General.    This Plan shall be administered by the Board until the Board shall appoint the members of the
Committee pursuant to Section 1.5.2 below; thereafter, it shall be administered by the Committee, but the Board may act in lieu of the Committee on any matter within the Committee's discretion
or authority and may eliminate the Committee at any time in its discretion. 

        1.5.2    Committee Members.    If created, the Committee shall consist of not less than two Directors. The members of
the Committee shall be appointed by, and serve at the pleasure of, the Board. To the extent required for transactions under this Plan to qualify for the exemptions available under
Rule 16b-3, all actions relating to Awards to persons subject to Section 16 of the Securities Act shall be taken by the Board unless each person who serves on the Committee
is a "non-employee director" within the meaning of Rule 16b-3, or such actions are taken by a sub-committee of the Committee (or the Board) comprised solely
of "non-employee directors." Furthermore, all actions relating to Awards to Named Executives shall be made by a sub-committee of the Committee (or the Board) comprised solely
of "outside directors" within the meaning of Section 162(m) of the Code. 

        1.5.3    Powers of the Committee.    Subject to the provisions of this Plan, the Committee shall have full authority
and discretion to take any actions that it may deem necessary or advisable for the administration of this Plan, including (a) selecting individual recipients for Awards, making Awards, and
documenting such Awards through Award Agreements, (b) determining the Fair 

 

Market Value of the Common Stock, (c) prescribing administrative forms to be used under this Plan, (d) construing and interpreting the terms of this Plan and any Award Agreements;
(e) modifying Awards to Participants who are foreign nationals or employed outside of the United States in order to recognize differences in local law, tax policies or customs; and
(f) requiring that stock certificates evidencing Shares issued pursuant to this Plan bear a legend setting forth applicable restrictions on transferability. 

        1.5.4    Committee Action.    Actions of the Committee shall be taken by a vote of a majority of its members. Any
action may be taken by a written instrument signed by a majority of the Committee members, and action so taken shall be fully as effective as if it had been taken by a vote at a meeting. 

        1.5.5    Committee Determinations Final.    The determination of the Committee on all matters relating to this Plan or
any Award Agreement shall be final, binding and conclusive. 

        1.5.6    No Liability of Committee Member.    No member of the Committee shall be liable for any action or
determination made in good faith with respect to this Plan or any Award. 

        1.6.    Shares Available for Awards.    Subject to Section 1.7
hereof, the maximum number of shares of the Company's Common Stock which may be transferred pursuant to Awards granted under this Plan is three million (3,000,000) Shares. These Shares may be
authorized but unissued Common Stock, authorized and issued Common Stock held in the Company's treasury, Common Stock acquired by the Company for the purposes of this Plan, or Common Stock held in a
grantor trust established by the Company. 

        1.7.    Adjustments for Changes in Capitalization.    Subject to any
required action by the Company's stockholders, the number of Shares covered by each outstanding Award, the number of Shares available for Awards, the number of Shares that may be subject to Awards to
any one Participant, and the price per Share covered by each such outstanding Award shall be proportionately adjusted for any increase or decrease in the number of issued Shares resulting from a stock
split, reverse stock split, stock dividend, combination or reclassification of Common Stock, or any other increase or decrease in the number of issued Shares effected without receipt of consideration
by the Company other than the conversion of any convertible securities. Such adjustments shall be made by the Committee, whose determination in that respect shall be final. Except as expressly
provided herein, no issuance by the Company of shares of stock of any class, or securities convertible into shares of stock of any class, shall affect, and no adjustment by reason thereof shall be
made with respect to, the number or price of
Shares subject to an Award. After any adjustment made pursuant to this Section 1.7, the number of Shares subject to each outstanding Award shall be rounded to the nearest whole number. 

        1.8.    No Limit on Shares Subject to Award.    Any Award made to a
Participant during the term of this Plan may be granted with respect to a number of Shares up to the full number of Shares specified herein, provided, however, that no Awards may be made to any one
Employee in excess of one million (1,000,000) Shares during any calendar year. 

 
 

ARTICLE 2
  AWARDS    
  

        2.1.    Agreements Evidencing Awards.    Each Award granted under this
Plan (except an Award of unrestricted stock) shall be evidenced by a written Award Agreement, which shall contain such provisions as the Committee in its discretion deems necessary or desirable,
including (a) a requirement that the Participant become party to a Stockholders Agreement in connection with being granted an Award and again as a condition for receiving Shares pursuant to an
Award, (b) the Participant's acknowledgement that such Shares are acquired for investment purposes only, (c) a right of first refusal exercisable by the Company, (d) a call right
exercisable by the Company, and (e) a provision allowing 

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the Participant to designate a beneficiary to his or her interest in any Award and the Shares granted by the Award. By accepting an Award pursuant to this Plan, a Participant agrees that the Award
shall be subject to all of the terms and provisions of this Plan and the applicable Award Agreement. 

        2.2.    Acquiring Stockholder Rights.    A Participant shall not have
any of the rights of a Company stockholder with respect to Shares subject to an Award until such person has: (a) if required by the Committee or by the applicable Award Agreement to which such
Shares are subject, become party to any Stockholders Agreement reasonably required by the Committee pursuant to Section 2.1 hereto; and (b) been issued a stock certificate by the Company
for such Shares. 

        2.3.    Option Awards.    The Committee may grant Incentive Stock
Options and Non-Incentive Stock Options to purchase Shares in such amounts and subject to such terms and conditions, as the Committee shall determine in its discretion, subject to the
provisions of this Plan. ISOs may only be granted to a person who is an Employee on the date of grant. 

        2.3.1    ISO $100,000 Limitation.    To the extent that the aggregate Fair Market Value of Shares (determined as of
the grant date of the Option) with respect to which Options designated as ISOs are exercisable for the first time by an Optionee during any calendar year (under all plans of the Company or any
Parent or Subsidiary) exceeds $100,000, such excess Options shall be treated as NQSOs. For this purpose, ISOs shall be taken into account in the order in which they were granted, and the Fair Market
Value of the Shares subject to an ISO shall be determined as of the date of the Option's grant. 

        2.3.2    Term.    Each Award Agreement shall set forth the periods during which the Options evidenced thereby shall be
exercisable, as determined by the Committee in its discretion. No ISO (or an Equity Unit granted in connection with an ISO) shall be exercisable more than 10 years after the date of grant. The
term of an ISO granted to an Employee who is a Ten Percent Holder on the grant date shall not exceed 5 years. 

        2.3.3    Exercise Price.    Each Award Agreement with respect to an Option shall set forth the Option Exercise Price
the Optionee must pay to exercise the Option. The Option Exercise Price per Share shall be determined by the Committee in its discretion, subject to the following special rules: 

        (a)    General Option Rules.    In no event shall the Option Exercise Price be less than the par value of a Share. 

        (b)    ISO Rules.    If an ISO is granted to an Employee who at the time of grant is a Ten Percent Holder, the per
Share Option Exercise Price shall be no less than 110% of the Fair Market Value per Share on the date of grant. If an ISO is granted to any other Employee, the per Share Option Exercise Price shall be
no less than 100% of the Fair Market Value per Share on the date of grant. 

        (c)    NQSO Rules.    The per Share Option Exercise Price shall be no less than (i) 110% of the Fair Market
Value per Share on the date of grant if required by Applicable Laws for a grant to a person who is a Ten Percent Holder at the time of grant, and (ii) 85% of the Fair Market Value per Share on
the date of grant, but only if required by Applicable Laws, for a grant to any other eligible person. In all other cases, the per Share Option Exercise Price shall be no less than 50% of the
percentage of Fair Market Value per Share. 

        (d)    Named Executives.    The per Share Option Exercise Price shall be no less than 100% of the Fair Market Value on
the date of grant if (i) the Optionee is a Named Executive at the time of the grant of such Option, and (ii) the grant is intended to qualify as performance-based compensation under
Section 162(m) of the Code. 

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        2.3.4    Exercise of Option.    Subject to the provisions of this Article 2, the Committee shall determine the
times, circumstances, and conditions under which an Option shall be exercisable, and shall specify this
in the applicable Award Agreement. Once an Option becomes exercisable it shall remain exercisable until expiration, cancellation, or termination of the Award. An Option shall be exercised by the
filing of a written notice with the Company, on such form and in such manner as the Committee shall prescribe. The number of Shares thereafter available under the Option and this Plan shall be
decreased by the number of Shares as to which the Option is exercised. 

        2.3.5    Minimum Exercise Requirements.    An Option must be exercised for a whole number of Shares. The Committee may
require in an Award Agreement that an Option be exercised as to a minimum number of Shares, provided that such requirement shall not prevent an Optionee from exercising an Option with respect to the
full number of Shares as to which the Option is then exercisable. 

        2.3.6    Methods of Payment upon Exercise.    Payment of the Option Exercise Price and any applicable withholding
taxes shall be accompanied by a properly executed exercise notice, together with such other documentation as the Committee shall require. Unless otherwise provided in an Award Agreement, the Company
will accept payment of the Option Exercise Price by any of the following methods: (a) cash; (b) certified or official bank check (or the equivalent thereof acceptable to the Company);
(c) delivery of a promissory note by the Optionee with such recourse, interest, security and redemption provisions as the Committee determines to be appropriate; (d) cancellation of
Company indebtedness to the Participant exercising the Option; or (e) any combination of the foregoing methods of payment or, at the discretion of the Committee and to the extent permitted by
law, by such other provision as the Committee may from time to time prescribe. In addition, the Committee may provide in an Award Agreement for the payment of the Option Exercise Price on a cashless
basis, by stating in the exercise notice the number of Shares the Optionee elects to purchase pursuant to such exercise (in which case the Optionee shall receive a number of Shares equal to the number
the Optionee would have received upon such exercise for cash less such number of Shares as shall then have a Fair Market Value in the aggregate equal to the Option Exercise Price due in respect of
such exercise). The Committee may, in its discretion and for any reason, refuse to accept a particular form of consideration (other than cash or a certified or official bank check) at the time of any
Option exercise. 

        2.3.7    Delivery of Shares.    Promptly after receiving payment of the full Option Exercise Price and any Consents
that may be required pursuant to Section 4.7.2 hereto, the Committee shall deliver to the Optionee, a certificate or certificates for the Shares for which the Award has been exercised. If the
method of payment employed upon the exercise of the Option so requires, and if Applicable Laws permit, an Optionee may direct the Company to deliver the certificate(s) to the Optionee's stockbroker. 

        2.3.8    Additional Options.    The Committee may in its discretion include in any Award Agreement with respect to an
Option (the "Original Option") a provision awarding an Additional Option to any Optionee who delivers Shares in partial or full payment of the Option
Exercise Price of the Original Option. The Additional Option shall be for a number of Shares equal to the number of Shares so delivered, shall have an Option Exercise Price equal to the Fair Market
Value of a Share on the date of exercise of the Original Option, and shall have an expiration date no later than the expiration date of the Original Option. In the event that an Award Agreement
provides for the grant of an Additional Option, such Award Agreement shall also provide that the Option Exercise Price of the Original Option be no less than the Fair Market Value of a Share on its
date of grant, and that any Shares that are delivered pursuant to Section 2.3.6(e) hereto in payment of such Option Exercise Price shall have been held for at least 6 months. 

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        2.3.9    Reverse Vesting.    The Committee may allow, at its discretion, for a Participant to exercise unvested
Options in accordance with this Section 2.3, in which case the Shares issued pursuant to Section 2.3.7 hereto shall be Restricted Shares having the same vesting restrictions as the
unvested Options. A Participant wishing to exercise unvested Options for Restricted Shares shall make a request to the Committee in writing specifying the number of unvested Options he or she wishes
to exercise for Restricted Shares. The Committee will thereafter notify the Participant of its decision within 30 days. 

        2.3.10    Buyout Provisions.    The Committee may at any time offer to buy out for a payment in cash or Shares an
Option based on such terms and conditions as the Committee shall establish and communicate to the Optionee at the time that such offer is made. 

        2.4    Equity Units.    

        2.4.1    Grants.    The Committee may grant Equity Units to Participants, in such amounts and subject to such terms
and conditions as the Committee shall determine in its discretion, subject to the provisions of this Plan. Equity Units may be granted in connection with Options or independently, but an Equity Unit
granted in connection with an ISO only may be granted at the same time the ISO is granted. 

        2.4.2    Pricing Limits.    The pricing restrictions applicable to Options under Section 2.3 hereto shall also
apply to the exercise price of Equity Units granted under this Plan; provided that in the case of Equity Units not granted in connection with an Option, the exercise price for Equity Units may be any
price (including no price) determined by the Committee. 

        2.4.3    Exercise of Equity Units.    An Equity Unit related to an Option will be exercisable at such time or times,
and to the extent, that the related Option is exercisable. An Equity Unit granted independent of any other Award will be exercisable pursuant to the terms of the Award Agreement granting the Equity
Unit. 

        2.4.4    Effect on Available Shares.    Upon the exercise of an Option in connection with which an Equity Unit has
been granted, the number of Shares subject to the Equity Unit shall be correspondingly reduced by the number of Shares with respect to which the Option is exercised. 

        2.4.5    Calculation of Payment Amount.    Unless the Committee otherwise provides, upon exercise of an Equity Unit
and the attendant surrender of an exercisable portion of any related Award, the Participant will be entitled to receive payment of an amount equal to (a) the excess of the Fair Market Value of
a Share on the date of exercise of the Equity Unit over (b) the exercise price of such right as set forth in the Award Agreement (or over the Option Exercise Price if the Equity Unit is granted
in connection with an Option), multiplied by (c) the number of Shares with respect to which the Equity Unit is exercised. 

        2.4.6    Form and Terms of Payment.    The Committee, in its discretion, will determine whether to pay the amount
determined under Section 2.4.5 hereto solely in cash, solely in Shares (valued at Fair Market Value on the date of exercise of the Equity Unit), or partly in such Shares and partly in cash,
subject to such other terms and conditions as the Committee may impose in the Award Agreement. 

        2.4.7    Limited Equity Units.    The Committee may grant Equity Units exercisable only on or in respect of a Change
of Control, or any other specified event. Such limited Equity Units may relate to or operate in tandem or combination with or substitution for Options, or other Equity Units or on a stand-alone basis,
and may be payable in cash or Shares based on the spread between the exercise price of such right as set forth in the Award Agreement (or Option Exercise Price if the Equity Unit is granted in
connection with an Option to which the Equity Unit relates) and a price based on or equal to the Fair Market Value of the Shares granted under such Option during a 

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specified period, or a price related to consideration payable to stockholders generally in connection with the event. 

        2.5    Termination of Director, Employment or Consultant
Relationship.    

        2.5.1    Committee Determinations.    The Committee may in its discretion determine (a) whether any leave of
absence (including a disability absence) constitutes a termination of Continuous Service, and (b) the impact, if any, of any such leave of absence on Awards theretofore made under this Plan.
The Committee shall have the right to determine whether the termination of a Participant's service to the Company is a dismissal for Cause and the date of termination in such case, which date the
Committee may retroactively deem to be the date of the action that is cause for dismissal. 

        2.5.2    Effect of Termination on Options and Equity Units.    Except to the extent otherwise provided in the
applicable Award Agreement, an Option or Equity Unit may be exercised at any time during a Participant's Continuous Service or within 90 days thereafter; provided that (a) if the
Committee determines that the Participant's Continuous Service terminates due to Cause, the Participant's Option or Equity Unit shall lapse immediately and the Participant shall return to the Company
any payments received under dividend equivalent rights pursuant to Section 2.11 hereto, extending back to the date the Committee determines that Cause existed; (b) if a Participant dies
while an Option or Equity Unit remains exercisable, the Option or Equity Unit may be exercised at any time within 12 months following the Participant's death by the Participant's estate or by a
person who acquired the right to exercise the
Option or Equity Unit by bequest or inheritance, but only to the extent the Participant was entitled to exercise the Option or Equity Unit at the time of his or her death, and (c) no Option or
Equity Unit shall be exercisable after expiration of its term or to an extent greater than the Participant was entitled to exercise it when the Participant's Continuous Service terminated. 

        2.5.3    Termination of Award.    To the extent that the Participant is not entitled to exercise an Option or Equity
Unit at the time of his or her termination of Continuous Service, or if the Participant does not exercise the Option or Equity Unit within the time specified in the applicable Award Agreement, the
Award shall terminate in full and in the case of Options, no rights thereunder may be exercised, and in all other cases, no payment will be made with respect thereto. 

        2.6    Restricted Stock Awards.    

        2.6.1    Awards.    The Committee may award Restricted Shares to Participants, in such amounts, and subject to such
terms and conditions as the Committee shall determine in its discretion, subject to the provisions of this Plan. The purchase price, if any, of Restricted Shares shall be determined by the Committee.
A Participant shall have no rights with respect to a Restricted Stock Award unless the Participant accepts the Award within the time period the Committee specifies by executing the Award Agreement
prescribed by the Committee and, if applicable, pays the purchase price for the Restricted Shares by any method that is both listed in Section 2.3.6 and acceptable to the Company. 

        2.6.2    Issuance of Award.    The Company shall issue in the Participant's name a certificate or certificates for the
appropriate number of Shares upon the Participant's exercise of the Restricted Stock Award pursuant to the terms of the applicable Award Agreement and this Plan. 

        2.6.3    Plan and Regulatory Exceptions.    Any certificate issued evidencing Restricted Shares shall remain in the
Company's possession until those Shares are free of restrictions, except as otherwise determined by the Committee. 

        2.6.4    Deferral Elections.    The Participant may elect in accordance with Section 2.7.1 hereto, with the
Committee's consent, to exchange Restricted Shares for an equivalent Deferred Share 

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Award under Section 2.7 hereto (or a deferred compensation provision under another Company plan), but subject to such vesting restrictions as the Committee may prescribe. 

        2.6.5    Forfeiture.    During the 120 days following termination of the Participant's Continuous Service for
any reason, the Company shall have the right to repurchase Shares to which restrictions on transferability apply, in exchange for which the Company shall repay to the Participant the lesser of the
amount paid
by the Participant for such Shares or the Fair Market Value of such Shares at the time of repurchase by the Company. 

        2.7    Deferred Shares.    

        2.7.1    Deferral Elections.    The Committee may permit any Director, Consultant, or Employee to irrevocably elect to
receive the credits described in Section 2.7.2 below in lieu of fees, salary, or other income from the Company that the Participant earns after the election; provided that Employees will only
be permitted to make deferral elections if the Committee determines they are members of a select group of management or highly compensated employees (within the meaning of the Employee Retirement
Income Security Act of 1974). Any election pursuant to this Section 2.7.1 shall be made before the Participant becomes legally entitled to the fees, salary, or other income being deferred;
provided that (a) a deferral election with respect to Restricted Shares of previously Deferred Shares must be made more than 12 months before a Participant's Restricted Shares vest or
Deferred Shares are scheduled to be distributed to a Participant pursuant to this Section 2.7; and provided further that (b) the Committee will honor an election made within
12 months of a scheduled vesting date (or distribution date for Deferred Shares) if the Participant consents in the election to irrevocably forfeit 5% of the Restricted or Deferred Shares to
which the Participant would otherwise be entitled. 

        2.7.2    Deferred Share Credits and Earnings.    The Committee shall establish an internal Plan account for each
Participant who makes an election under Section 2.7.1 hereto. At the end of each calendar year thereafter (or such more frequent periods as the Committee may direct or approve), the Committee
shall credit the Participant's account with a number of Deferred Shares having a Fair Market Value on that date equal to the compensation deferred during the year, and any cash dividends paid during
the year on Deferred Shares previously credited to the Participant's account. The Committee shall hold each Participant's Deferred Shares until distribution is required pursuant to
Section 2.7.4 hereto. 

        2.7.3    Rights to Deferred Shares.    Except as provided in Section 2.6.4 hereto, a Participant shall at all
times be 100% vested in his or her right to any Deferred Shares and any associated cash earnings. A Participant's right to Deferred Shares shall at all times constitute an unsecured promise of the
Company to pay benefits as they come due. 

        2.7.4    Distributions of Deferred Shares and Earnings.    The Committee shall distribute a Participant's Deferred
Shares in five substantially equal annual installments in real Shares commencing as of the first day of the calendar year beginning after the Participant's Continuous Service terminates, provided that
the Committee will honor a Participant's election of a different time and manner of distribution if the election is made on a form approved by the Committee pursuant to Section 2.6.4 hereto.
Fractional shares shall not be distributed, and instead shall be paid out in cash. 

        2.7.5    Hardship Withdrawals.    A Participant may apply to the Committee for an immediate distribution of all or a
portion of his or her Deferred Shares on account of hardship. The hardship must result from a sudden and unexpected illness or accident of the Participant or dependent, casualty loss of property, or
other similar conditions beyond the control of the Participant. School expenses or residence purchases, for example, will not be considered hardships. Distributions will not be made to the extent a
hardship could be relieved through insurance or by liquidation of the 

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Participant's nonessential assets. The amount of any distribution hereunder shall be limited to the amount necessary to relieve the Participant's financial hardship. The determination of whether a
Participant has a qualifying hardship and the amount to be distributed, if any, shall be made by the Committee in its discretion. The Committee may require evidence of the purpose and amount of the
need, and may establish such application or other procedures as it deems appropriate. 

        2.8    Other Stock-Based Awards.    The Board may grant stock-based
Awards other than those specified in Sections 2.3 (Options), 2.4 (Equity Units), 2.6 (Restricted Stock Awards), and 2.7 (Deferred Shares) hereto (including the grant of unrestricted shares), which the
Committee may grant to Participants, and in such amounts and subject to such terms and conditions as the Committee shall determine, subject to the provisions of this Plan. Examples of types of Awards
not specified in this Plan include Stock Unit Awards and Performance Share Awards. 

        2.9    Non-Stock Awards.    The Committee may grant Awards
payable only in cash pursuant to the provisions hereof. 

        2.10    Non-Transferability.    

        2.10.1    General.    Except as set forth in Section 2.10.3 below, Awards may not be sold, pledged, assigned,
hypothecated, transferred, or otherwise encumbered or disposed of other than by will or by the laws of descent or distribution, and except as specifically provided in this Plan or the applicable Award
Agreement. Furthermore, unless the applicable Award Agreement provides otherwise, additional Shares or other property distributed to the Participant in respect of Awards, as dividends or otherwise,
shall be subject to the same restrictions applicable to such Award. An Award may be exercised, during the lifetime of the Participant, only by such Participant or a transferee permitted by
Section 2.10.3 below. 

        2.10.2    Special Rule for Beneficiaries.    The designation of a beneficiary by a Participant will not constitute a
transfer. 

        2.10.3    Limited Transferability Rights.    

        (a)    Awards Other than ISOs.    Unless otherwise specifically authorized by the Committee, any Participant may
transfer Awards (other than ISOs, except as permitted by Section 422 of the Code) either by gift to Immediate Family, or by instrument to an inter
vivos or testamentary trust in which the Awards (other
than ISOs, except as permitted by Section 422 of the Code) are to be passed, upon the death of the grantor, to beneficiaries who are Immediate Family (or otherwise approved by the Committee). 

        (b)    ISOs.    ISOs are transferable only by will or by the laws of descent and distribution, and during the
Participant's lifetime, may only be exercised by the Participant. 

        2.11    Grant of Dividend Equivalent Rights.    The Committee may
award dividend equivalent rights entitling the Participant to receive amounts equal to the ordinary dividends that would be paid on Shares subject to an unexercised Award as if such Shares were then
outstanding. In the event such a provision is included in an Award Agreement, the Committee shall determine whether such payments shall be made in cash, in Shares, or in another form, whether they
shall be conditioned upon the exercise of the Award to which they relate, the time or times at which they shall be made, and such other terms and conditions as the Committee shall deem appropriate. 

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ARTICLE 3
  TAXES    
  

        3.1    Tax Withholding.    

        3.1.1    General.    As a condition of the transfer of Shares pursuant to this Plan, the Participant shall make such
arrangements as the Committee may require for the satisfaction of any federal, state, local, or foreign withholding tax obligations that may arise in connection with an Award or the issuance of
Shares. The Company shall not be required to issue any Shares until such obligations are satisfied. If the Committee allows the withholding or surrender of Shares to satisfy a Participant's tax
withholding obligations, the Committee need not allow Shares to be withheld in an amount that exceeds the minimum statutory withholding rates, including payroll taxes. 

        3.1.2    Default Rule.    An Employee, in the absence of any other arrangement, shall be deemed to have directed the
Company to withhold or collect from his or her compensation an amount sufficient to satisfy such tax withholding obligations from the next payroll payment otherwise payable after the date of the
exercise of an Award. 

        3.1.3    Cashless Withholding.    If permitted by the Committee, a Participant may satisfy his or her minimum
statutory tax withholding obligations by surrendering to the Company Shares (which may be Shares already owned or subject to the Award) that have a Fair Market Value equal to the amount required to be
withheld. 

        3.2    Requirement of Notification of Election Under Section 83(b) of the
Code.    A Participant who elects under Section 83(b) of the Code to include in gross income unvested Awards in the year of transfer shall notify the Company
of such election within 10 days of filing that election with the Internal Revenue Service. 

        3.3    Requirement of Notification Upon Disqualifying Disposition Under Section 421(b) of the
Code.    If a Participant disposes of Shares issued pursuant to the exercise of an ISO under the circumstances described in Section 421(b) of the Code
(relating to disqualifying dispositions), the Participant shall notify the Company of such disposition within 10 days. 

 
 

ARTICLE 4
  MISCELLANEOUS    
  

        4.1    Amendment and Termination of Plan; Modification of Awards.    

        4.1.1    Amendments to Plan.    The Board may at any time amend, alter, suspend, or discontinue this Plan, but no
amendment, alteration, suspension or discontinuation (other than an adjustment pursuant to Section 1.7 hereto) shall be made that would materially and adversely affect the rights of any
Participant under any outstanding Award, without his or her written consent. 

        4.1.2    Stockholder Approval.    Stockholder approval of any amendment shall be obtained to the extent necessary to
comply with (a) Section 422 of the Code relating to ISOs unless the Board decides that continued qualification under Section 422 of the Code is not desired, or (b) other
Applicable Laws or regulations. 

        4.1.3    Modification of Awards.    The Committee may modify an Award, accelerate the rate at which an Award may be
exercised, extend or renew outstanding Shares under an Award, or cancel outstanding Shares under an Award and substitute new Shares for them. Without the written consent of the Participant, no such
change shall materially reduce the Participant's rights or materially increase the Participant's obligations as determined by the Committee. 

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        4.2    Adjustments Upon Corporate Dissolution, Merger and Other Special
Transactions.    

        4.2.1    Change of Control.    

        (a)    General Rule.    In the event of a Change of Control and unless otherwise provided in the applicable Award
Agreement, any Awards that are Options or Equity Units shall accelerate and become immediately exercisable, all other Awards shall become fully vested and the Shares underlying the Awards shall be
distributed to the Participant immediately before consummation of the Change of Control, unless more than 90 days beforehand the Participant has executed and delivered to the Committee an
election pursuant to Section 2.6.4 hereto, directing that his or her Shares be distributed in installments over a period longer than 10 years and not commencing more than 2 years
after the Change of Control, in which case the Committee shall make distributions in accordance with the Participant's election). In each case covered by the preceding sentence, any repurchase right
of the Company applicable to any Shares shall lapse on consummation of the Change of Control. To the extent that an Option or Equity Unit is not exercised prior to consummation of a Change of Control
in which the Award is not being assumed or substituted, the Award shall terminate upon such consummation. 

        (b)    Special Rule for Termination of Employees.    In the event a Participant who holds a Transferred Award is
Involuntarily Terminated in connection with, or within 12 months following consummation of, a Change of Control, then any Transferred Award held by the terminated Participant at the time of
termination shall accelerate and become exercisable, and any repurchase right of the Company applicable to any Shares shall lapse. The acceleration of vesting and lapse of repurchase rights provided
for in the previous sentence shall occur immediately prior to the effective date of the Participant's termination. 

        4.2.2    Golden Parachute Limitation.    In the event that the vesting, acceleration or lapse of a repurchase right
provided for in Section 4.2.1 hereto (a) constitutes a "parachute payment" within the meaning of Section 280G of the Code, and (b) as a result of Section 4.2.1
hereto would be subject to the excise tax imposed by Section 4999 of the Code (or any corresponding provisions of state income tax law), then the Company shall make any gross-up
payments that is necessary to hold the Participant harmless from the excise taxes payable under Section 4999 of the Code; provided that this Section 4.2.2 shall be null and void with
respect to a particular Participant to the extent necessary or appropriate pursuant to any agreement entered into between the Company (including any Affiliate) and the Participant. Any determination
required under this Section shall be made in writing by the Company's independent accountants, whose determination shall be conclusive and binding for all purposes on the Company and any affected
Participant. 

        4.3    Nature of Payments.    

        4.3.1    Consideration.    Issuances of Shares and cash payments pursuant to this Plan are in consideration of past
services for the Company and the payment of exercise prices. 

        4.3.2    Awards Separate from Salary.    Awards a Participant receives under this Plan shall be in addition to salary
and other compensation payable to the Participant, but shall not be taken into account for determining any benefits under any pension, retirement, profit-sharing, bonus, life insurance, or other
benefit plan of the Company or under any agreement between the Company and the Participant, unless such plan or agreement specifically provides otherwise. 

        4.4    Non-Uniform Determinations..    The Committee's
determinations under this Plan need not be uniform. The Committee shall be entitled, among other things, to make non-uniform and selective determinations, and to enter into
non-uniform and selective Award Agreements, as to (a) the persons to receive awards under this Plan, (b) the terms and provisions of awards under this Plan, and
(c) the treatment of leaves of absence pursuant to Section 2.5.1 hereto. 

10

 

        4.5    Effective Date and Term of Plan.    

        4.5.1    Adoption.    Subject to Section 4.8 hereto, this Plan became effective on the Effective Date. 

        4.5.2    Termination.    Unless sooner terminated by the Board, ISOs may not be granted under this Plan after the
10thanniversary of the Effective Date. 

        4.6    Substitution of Options.    Notwithstanding any inconsistent
provisions or limits under this Plan, in the event the Company acquires (whether by purchase, merger, or otherwise) all or substantially all of the outstanding capital stock or assets of another
corporation, or in the event of any reorganization or other transaction qualifying under Section 424 of the Code, the Committee may, in accordance with the provisions of that Section,
substitute Options under this Plan for options issued under a plan of the acquired company, provided (a) the excess of the aggregate Fair Market Value of the shares subject to an Option
immediately after the substitution over the aggregate exercise price of such Shares is not more than the similar excess immediately before such substitution and (b) the new option does not give
persons additional benefits, including a longer exercise period. 

        4.7    Conditions Incident to Issuance of Shares.    

        4.7.1    Representations and Warranties.    As a condition to the exercise of an Award, the Committee may require the
person exercising the Award to represent and warrant at the time of any such exercise that the Shares are being purchased only for investment and without any present intention to sell or distribute
such Shares if, in the opinion of counsel for the Company, such a representation is required by law. 

        4.7.2    Consents.    If the Committee shall at any time determine that any Consent is necessary or desirable as a
condition of, or in connection with, the granting of any Award under this Plan, the issuance or purchase of Shares or other rights hereunder, or the taking of any other action hereunder (each such
action being hereinafter referred to as a "Plan Action"), then such Plan Action shall not be taken until the Consent has been done or obtained to the
full satisfaction of the Committee. 

        4.7.3    No Obligation to Issue Shares.    The Company shall not be obligated, and shall have no liability for
failure, to issue or deliver any Shares under this Plan unless such issuance or delivery would comply with Applicable Laws, with such compliance determined by the Committee in consultation with the
Company's legal counsel. 

        4.8    Stockholder Approval.    The Board shall seek stockholder
approval of this Plan and any ISOs issued under it within 12 months before or after the Effective Date. If stockholder approval is not obtained, the Plan and any Awards shall remain in full
force and effect, subject to (I) the treatment of any ISOs as NQSOs, and (II) the granting of no further ISOs. 

        4.9    Information and Documents to Optionees and Purchasers.    If
required by Applicable Laws, the Company shall provide financial statements no less than annually to each Participant who has an Award or holds Shares acquired pursuant to this Plan. 

        4.10    Section Headings.    Section headings do not define or limit
the contents of the sections. 

        4.11    Governing Law and Litigation Expenses.    This Plan shall be
interpreted, administered and otherwise subject to the laws of the State of Georgia (disregarding choice-of-law provisions). The Company shall reimburse a Participant for
reasonable legal fees and expenses that the Participant incurs in order to enforce or defend his or her rights under this Plan, but only if the Participant receives a judgment or settlement
substantially in the Participant's favor. Reimbursements that are due under this Section 4.11 shall be paid promptly. 

11

 

        4.12    Severability.    Every provision of this Plan is intended to
be severable. Any illegal or invalid term shall not affect the validity or legality of the remaining terms of this Plan. 

12

   SAMLL TOWN RADIO, INC.

STOCK INCENTIVE PLAN  

 Appendix A: Definitions  

        "Additional Option" means an Option issued by the Company in exchange for Shares delivered by an Optionee as full or partial payment of
the Option Exercise Price of an Original Option pursuant to Section 2.3.8 of this Plan. 

        "Affiliate" means an entity other than a Subsidiary which, together with the Company, is under common control of a third person or entity. 

        "Applicable Laws" means the legal or Stock Exchange requirements governing the Plan and Awards, including Section 422 of the Code. 

        "Award" means any award made pursuant to Section 2 of this Plan, including Options, Equity Units, Restricted Shares, and Deferred
Shares, other stock-based Awards, and non-stock Awards. 

        "Award Agreement" means any written document setting forth the terms and conditions of an Award, as prescribed by the Committee. 

        "Beneficial Owner" has the meaning set forth in Rule 13d-3 under the Securities Act. 

        "Board" means the Board of Directors of the Company. 

        "Cause" means a Participant's termination by the Company (or resignation in lieu thereof) when "Cause" to terminate exists. "Cause" shall
have the meaning explicitly set forth in any then-effective written employment or consulting agreement between the Participant and the Company. In all other cases, "Cause" includes, but it
is not limited to: (i) the Participant's commission of a willful act of fraud or dishonesty, the purpose or effect of which materially and adversely affects the Company; (ii) the
Participant's conviction of a felony or any violation of any federal or state securities law (whether by plea of nolo contendere or otherwise) or the Participant's being enjoined from violating any
federal or state securities law or being determined to have violated any such law; (iii) the Participant's engaging in willful or reckless misconduct or gross negligence in connection with any
property or activity of the Company; (iv) the Participant's repeated and intemperate use of alcohol or illegal drugs after written notice from the Board or the Committee that such use, if
continued, would result in the termination of the Participant's employment or consulting relationship with the Company; (v) the Participant's material breach of any of its obligations to the
Company (other than by reason of physical or mental illness, injury, or condition) that is or could reasonably be expected to result in material harm to the Company; (vi) the Participant's
failure or refusal to perform any material duty or responsibility under any written employment or consulting agreement with the Company (other than by reason of physical or mental illness, injury, or
condition); or (vii) the Participant's breach any covenant to the Company relating to noncompetition, nonsolicitation, nondisclosure of proprietary information or surrender of records,
inventions or patents. The determination as to whether a Participant is being terminated for Cause shall be made in good faith by the Board or the Committee and shall be final and binding on the
Participant. The foregoing definition does not in any way limit the Company's ability to terminate a Participant's employment or consulting relationship at any time, and, for the purposes of this
definition, the term "Company" includes any Subsidiary, parent, Affiliate, or successor thereto, if appropriate. 

        "Change of Control" means a change in control of the Company of a nature that would be required to be reported in response to Item 6(e) of
Schedule 14A of Regulation 14A under the Exchange Act, 

1

 

whether or not the Company is subject to the Exchange Act at such time, including any of the following events: 

        (i)    Acquisition of Controlling Interest.    Any Person becomes the Beneficial Owner, directly or indirectly, of
securities of the Company representing a majority of the combined voting power of or equity interest in the Company in connection with a merger or otherwise. In applying the preceding sentence,
(i) securities acquired directly from the Company or its Parent, Subsidiaries, or Affiliates by or for the Person shall not be taken into account, and (ii) an agreement to vote
securities shall be disregarded unless the Plan Administrator reasonably determines that its ultimate purpose is to cause what otherwise would be a Change in Control or to replace one or more
Directors or members of senior management (other than pursuant to a recommendation adopted by an at least two-thirds vote of the Company's board of directors). 

        (ii)    Change in Board Control.    Individuals who constituted the Board when this Plan was adopted (or their
approved replacements, as defined in the next sentence) cease for any reason to constitute a majority of the Board. A new Director shall be considered an "approved replacement" Director if his or her
election (or nomination for election) was approved by a vote of at least two-thirds of the Directors then still in office who either were Directors when this Plan was adopted or were
themselves approved replacement Directors, but in either case excluding any Director whose initial assumption of office occurred as a result of an actual or threatened solicitation of proxies or
consents by or on behalf of any Person other than the Board. 

        (iii)    Merger Approved.    The stockholders of the Company approve a merger or consolidation of the Company with any
other corporation or entity or any other form of business combination pursuant to which the outstanding stock of the Company is exchanged for cash, securities or other property paid, issued or caused
to be issued by the surviving or acquiring corporation or entity unless the stockholders immediately before the merger or consolidation would continue to own equity securities that represent (either
by remaining outstanding or by being converted into equity securities of the surviving entity) at least a majority of the combined voting power of or equity interest in the Company or such surviving
or acquiring entity corporation immediately after such merger or consolidation. If such a merger or consolidation is canceled, it shall cease to be a Change of Control with as much retroactive effect
as the Plan Administrator determines to be practicable. 

        (iv)    Sale of Assets.    The stockholders of the Company approve an agreement for the sale, transfer or lease by the
Company of all, or substantially all, of the Company's assets. If such a sale or disposition is canceled, it shall cease to be a Change of Control with as much retroactive effect as the Plan
Administrator determines to be practicable. 

        (v)    Liquidation or Dissolution.    The stockholders of the Company approve a plan or proposal for liquidation or
dissolution of the Company. If such a liquidation or dissolution is canceled, it shall cease to be a Change of Control with as much retroactive effect as the Plan Administrator determines to be
practicable. 

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

        "Committee" means one or more committees or subcommittees of the Board appointed to administer this Plan in accordance with
Section 1.5 of this Plan, or the Board itself, when it is acting in place of the Committee. 

        "Common Stock" means the Company's common stock. 

        "Company" means Samll Town Radio, Inc. 

        "Consent" with respect to any Plan Action means (i) any listings, registrations, or qualifications on any Stock Exchange or under
any federal, state or local law, rule, or regulation, (ii) any written 

2

 

agreements and representations by the Participant with respect to the disposition of Shares, or with respect to any other matter, which the Committee shall deem necessary or desirable to comply with
the terms of any such listing, registration, or qualification or to obtain an exemption from the requirement that any such listing, qualification, or registration be made, and (iii) any
consents, clearances and approvals in respect of a Plan Action by any governmental or other regulatory bodies. 

        "Consultant" means any person, including an advisor, who is compensated by the Company or any Parent, Subsidiary, or Affiliate for
consulting services. 

        "Continuous Service" means uninterrupted service as a Director, Employee or Consultant. Continuous Service shall not be considered
interrupted (unless an Award Agreement otherwise specifies) in the case of: (i) any approved or legally-mandated leave of absence, provided that such leave is for a period of not more than
90 days, unless reemployment upon the expiration of such leave is guaranteed by contract or statute, or unless provided otherwise pursuant to Company policy; (ii) changes in status from
Director, Employee, or Consultant to any other aforementioned position with the Company (including changes to advisory or emeritus status); or (iii) in the case of transfers between locations
of the Company or between the Company, its Parents, Subsidiaries, Affiliates, or their respective successors. 

        "Deferred Shares" means shares of Common Stock credited under Section 2.7.2 of this Plan. 

        "Director" means a member of the Board, as well as a member of the board of directors of a Parent, Subsidiary, or Affiliate. 

        "Effective Date" means the date on which the Board approves the Plan (i.e. August 8, 2001). 

        "Employee" means any person employed by the Company or any Parent, Subsidiary, or Affiliate, as determined by the Committee. An outside
Director is not an Employee. 

        "Equity Unit" means the right to receive appreciation in value of Common Stock pursuant to Section 2.4 of this Plan. 

        "Expiration Date" means the date on which an Award expires pursuant to the Award Agreement. 

        "Fair Market Value" means the fair market value of the Common Stock, as determined by the Committee in good faith on such basis as it
deems appropriate and applied consistently with respect to the Participants. Whenever possible, the determination of Fair Market Value shall be based upon the closing price for the Shares as reported
on Nasdaq or in the Wall Street Journal for the applicable date. 

        "Immediate Family" means any natural or adopted child, stepchild, grandchild, parent, stepparent, grandparent, spouse, sibling,
mother-in-law, father-in-law, son-in-law, daughter-in-law, brother-in-law, or
sister-in-law. 

        "Incentive Stock Option" means an Option that is intended to qualify for special federal income tax treatment pursuant to Sections 421 and
422 of the Code, and which is so designated in the applicable Award Agreement. Any Option that is not specifically designated as an ISO shall not be an ISO. Any Option that is not an ISO is referred
to herein as a "NQSO." 

        "Involuntarily Terminated" means that a Participant's Continuous Service terminated under the following circumstances:
(i) termination without Cause by the Company or a Subsidiary, Parent, Affiliate, or successor thereto, as appropriate; or (ii) voluntary termination by the Participant within
60 days following (A) a material reduction in the Participant's job responsibilities (however, a mere change in title alone or reassignment following a Change of Control to a position
that is substantially similar to the position held prior to the Change of Control shall not constitute a material reduction in job responsibilities), (B) relocation by the Company or a
Subsidiary, Parent, Affiliate, or successor thereto, as appropriate, of the Participant's work site to a facility or location more than 50 miles from 

3

 

the Participant's principal work site for the Company at the time of the Change of Control, or (C) a reduction in Participant's then-current total compensation by at least 10%,
other than as a result of an across-the-board reduction in the compensation of all other Employees, Directors, or Consultants in positions similar to the Participant's position
by the same percentage amount. 

        "ISO" means Incentive Stock Option. 

        "Management Action" means any event, circumstance, or transaction occurring during the 6-month period following a Potential
Change of Control that results from the action of a Management Group. 

        "Management Group" means any entity or group that includes, is affiliated with, or is wholly or partly controlled by one or more executive
officers of the Company in office before a Potential Change of Control. 

        "Named Executive" means any individual who, on the last day of the Company's fiscal year, is the chief executive officer of the Company
(or is acting in such capacity) or among the four most highly compensated officers of the Company (other than the chief executive officer), as determined under the Securities Act's executive
compensation disclosure rules. 

        "Non-Qualified Stock Option" means an Option not intended to qualify as an ISO, as designated in the applicable Award
Agreement. 

        "NQSO" means Non-Qualified Stock Option. 

        "Option" means a stock option granted pursuant to Section 2.3 of this Plan. 

        "Optionee" means a Participant who receives an Option. 

        "Option Exercise Price" means the price for the Shares to be issued by the Company upon an exercise of an Option by an Optionee. 

        "Original Option" has the meaning given to such term in Section 2.3.8 of this Plan. 

        "Parent" means a "parent corporation," whether now or hereafter existing, as defined in Section 424(e) of the Code, or any
successor provision. 

        "Participant" means any holder of one or more Awards, or the Shares issuable or issued upon exercise of such Awards, under this Plan. 

        "Performance Share Award" means an Award granting a right to receive Shares contingent on the achievement of performance or other
objectives during a specified period. 

        "Person" has the meaning given in Section 3(a)(9) of the Securities Act, as modified and used in Section 13(d) of that Act,
and shall include a "group," as defined in Rule 13d-5 promulgated thereunder. However, a person shall not include: (i) the Company or any of its Subsidiaries; (ii) a
trustee or other fiduciary holding securities under this Plan or the employee benefit plan of any of the Company's Subsidiairies; (iii) an underwriter temporarily holding securities pursuant to
an offering of such securities; or (iv) a corporation owned, directly or indirectly, by the stockholders of the Company in substantially the same proportions as their ownership of shares of the
Company. 

        "Plan" means this Samll Town Radio, Inc. Stock Incentive Plan. 

        "Plan Action" has the meaning given to such term in Section 4.7.2 of this Plan. 

        "Potential Change of Control" means any of the following has occurred during the term of this Plan and all Awards issued under this Plan,
excluding any event that is Management Action: 

        (i)    Agreement Signed.    The Company enters into an agreement that will result in a Change of Control. 

4

 

        (ii)    Notice of Intent to Seek Change of Control.    The Company or any Person publicly announces an intention to
take or to consider taking actions that will result in a Change of Control. 

        (iii)    Board Declaration.    With respect to this Plan, the Board adopts a resolution declaring that a Potential
Change of Control has occurred. 

        "Restricted Shares" means Shares subject to restrictions imposed pursuant to Section 2.6 of this Plan. 

        "Restricted Stock Award" means an Award granted pursuant to Section 2.6 of this Plan. 

        "Rule 16b-3" means Rule 16b-3 promulgated under the Securities Act, as amended from time to time, or
any successor provision. 

        "Securities Act" means the Securities Exchange Act of 1934, as amended. 

        "Share" means a share of Common Stock. 

        "Stock Exchange" means any stock exchange or consolidated stock price reporting system on which prices for the Common Stock are quoted at
any given time. 

        "Stockholders Agreement" means any stockholders agreement adopted by the Company. 

        "Stock Unit Award" means an Award granting the right to receive Shares in the future. 

        "Subsidiary" means a "subsidiary corporation," whether now or hereafter existing, as defined in Section 424(f) of the Code, or any
successor provision. 

        "Successor Corporation" means the corporation resulting after a Change of Control. 

        "Ten Percent Holder" means a Person who owns stock representing more than 10% of the voting power of all classes of stock of the Company
or any Parent or Subsidiary (as such ownership may be determined for purposes of Section 422(b)(6) of the Code). 

        "Transferred Award" means an Award assumed or substituted for another award by a Successor Corporation pursuant to Section 4.2 of
this Plan. 

5

QuickLinks

EXHIBIT 4.1

ARTICLE 1 GENERAL

ARTICLE 2 AWARDS

ARTICLE 3 TAXES

ARTICLE 4 MISCELLANEOUS<PAGE>

                                                                     Exhibit 4.1

                   ===========================================

                        OAKWOOD MORTGAGE INVESTORS, INC.,

                       OAKWOOD ACCEPTANCE CORPORATION, LLC

                                       AND

                              JPMORGAN CHASE BANK,
                                     TRUSTEE

                                   __________

             RESTATED SERIES 2002-C POOLING AND SERVICING AGREEMENT

                           Dated as of August 1, 2002

                                   __________

                        OAKWOOD MORTGAGE INVESTORS, INC.

                               SENIOR/SUBORDINATED

                    PASS-THROUGH CERTIFICATES, SERIES 2002-C

                   ===========================================

<PAGE>

                               Table of Contents

<TABLE>
<CAPTION>
                                                                            Page
                                                                            ----
<S>                                                                        <C>
SECTION 1.     STANDARD TERMS ...........................................      2
SECTION 2.     DEFINED TERMS ............................................      3
SECTION 3.     CERTIFICATES, SUBACCOUNTS AND SUBSIDIARY INTERESTS .......     18
SECTION 4.     DENOMINATIONS ............................................     21
SECTION 5.     DISTRIBUTIONS ............................................     22
SECTION 6.     ESTABLISHMENT OF CERTIFICATEHOLDERS' INTEREST CARRYOVER
               ACCOUNT ..................................................     29
SECTION 7.     SERVICING TRANSITION ACCOUNT .............................     29
SECTION 8.     ALLOCATION OF WRITEDOWN AMOUNTS ..........................     30
SECTION 9.     PRE-FUNDING ACCOUNT ......................................     31
SECTION 10.    CAPITALIZED INTEREST ACCOUNT .............................     32
SECTION 11.    REMITTANCE REPORTS .......................................     33
SECTION 12.    LIMITED RIGHT OF SERVICER TO RETAIN SERVICING FEES FROM
               COLLECTIONS ..............................................     35
SECTION 13.    REMIC ADMINISTRATION .....................................     35
SECTION 14.    OPTIONAL TERMINATION AND AUCTION CALL ....................     36
SECTION 15.    CONCERNING THE CONTRACT OF INSURANCE HOLDER ..............     36
SECTION 16.    VOTING RIGHTS ............................................     38
SECTION 17.    TRUSTEE CERTIFICATION ....................................     39
SECTION 18.    AMENDMENTS TO THE STANDARD TERMS .........................     39
SECTION 19.    GOVERNING LAW ............................................     43
SECTION 20.    FORMS OF CERTIFICATES ....................................     43
SECTION 21.    COUNTERPARTS .............................................     43
SECTION 22.    ENTIRE AGREEMENT .........................................     44
</TABLE>

                                       i

<PAGE>

     THIS RESTATED SERIES 2002-C POOLING AND SERVICING AGREEMENT (this
"Agreement"), dated as of August 1, 2002, is made with respect to the formation
of OMI Trust 2002-C (the "Trust") among OAKWOOD MORTGAGE INVESTORS, INC., a
Nevada corporation ("OMI"), OAKWOOD ACCEPTANCE CORPORATION, LLC, a Delaware
limited liability company ("OAC" and, in its capacity as servicer, the
"Servicer"), and JPMORGAN CHASE BANK, a New York banking corporation, as trustee
(the "Trustee"), under this Agreement and the Standard Terms to Pooling and
Servicing Agreement, September 2001 Edition (the "Standard Terms"), all the
provisions of which are incorporated herein as modified hereby and shall be a
part of this Agreement as if set forth herein in full (this Agreement with the
Standard Terms so incorporated, the "Pooling and Servicing Agreement").
Capitalized terms used and not otherwise defined herein shall have the
respective meanings given them in the Standard Terms.

                              PRELIMINARY STATEMENT

     The Board of Directors of OMI has duly authorized the formation of the
Trust to issue a Series of Certificates with an aggregate initial principal
amount of $208,550,000 without regard to the notional principal balance of the
Class A-IO Certificates (defined below), to be known as the Senior/Subordinated
Pass-Through Certificates, Series 2002-C (the "Certificates"). The Certificates
consist of eight Classes that in the aggregate evidence the entire beneficial
ownership interest in the Trust.

     In accordance with Section 10.01 of the Standard Terms, the Trustee will
make an election to treat all of the assets of the Trust (except the Pre-Funding
Account, the Capitalized Interest Account, the Certificateholders' Interest
Carryover Account, the Servicing Transition Account, and the Certificate
Account), as three real estate mortgage investment conduits (each, a "REMIC"
and, individually, the "Pooling REMIC," the "Intermediate REMIC" and the
"Issuing REMIC") for federal income tax purposes. The Pooling REMIC will consist
of the Distribution Account and the Assets listed on the Asset Schedules
attached as Schedule I and Schedule II hereto. The Intermediate REMIC will
consist of the uncertificated Subsidiary Interests designated as provided
herein. The Issuing REMIC will consist of the Subaccounts designated as provided
herein. The "startup day" of each REMIC for purposes of the REMIC Provisions is
the Closing Date.

                                GRANTING CLAUSES

     To provide for the distribution of the principal of and interest on the
Certificates in accordance with their terms, all of the sums distributable under
this Pooling and Servicing Agreement with respect to the Certificates and the
performance of the covenants contained in this Pooling and Servicing Agreement,
OMI hereby bargains, sells, conveys, assigns and transfers to the Trustee, in
trust and as provided in this Pooling and Servicing Agreement, without recourse
and for the exclusive benefit of the Holders of the Certificates, all of OMI's
right, title and interest in and to, and any and all benefits accruing to OMI
from the following to make distributions on the Certificates as specified herein
(collectively referred to herein as the "Trust Estate"):

                                       1

<PAGE>

     (a) the Contracts listed in Schedule IA and Schedule IIA hereto and the
Mortgage Loans (together with the Contracts, the "Assets") listed in Schedule IB
and Schedule IIB hereto, (Schedule IA and Schedule IB shall be collectively
referred to herein as "Schedule I", and Schedule IIA and Schedule IIB shall be
collectively referred to herein as "Schedule II"), including the Subsequent
Assets transferred to the trust from time to time, together with the related
Asset Documents, and all payments thereon and proceeds of the conversion,
voluntary or involuntary, of the foregoing, including, without limitation, all
rights to receive all principal and interest payments due on the Assets after
the applicable Cut-off Date, including such scheduled payments received by OMI
or the respective sellers on or prior to the applicable Cut-off Date, and
Principal Prepayments, Net Insurance Proceeds, Net Liquidation Proceeds,
Repurchase Prices and other unscheduled collections received on the Assets on
and after the applicable Cut-off Date;

     (b) the security interests in the Manufactured Homes, Mortgaged Properties
and Real Properties granted by the Obligors pursuant to the related Assets;

     (c) all funds, other than investment earnings, relating to the Pre-Funding
Account, to the assets on deposit in the Capitalized Interest Account, the
Certificateholders' Interest Carryover Account, the Servicing Transition
Account, the Certificate Account or the Distribution Account for the
Certificates and all proceeds thereof, whether in the form of cash, instruments,
securities or other properties;

     (d) any and all rights, privileges and benefits accruing to OMI under the
Sales Agreement and the Servicer's Representations Agreement with respect to the
Assets (provided that OMI shall retain its rights to indemnification from the
Seller under such Sales Agreement and the Servicer's Representations Agreement,
but also hereby conveys its rights to such indemnification to the Trustee as its
assignee), including the rights and remedies with respect to the enforcement of
any and all representations, warranties and covenants under such Sales
Agreement; and

     (e) proceeds of all the foregoing (including, but not by way of limitation,
all proceeds of any Standard Hazard Insurance Policy or FHA Insurance, or any
other insurance policy relating to any of the Assets, cash proceeds, accounts,
accounts receivable, notes, drafts, acceptances, chattel paper, checks, deposit
accounts, rights to payment of any and every kind, and other forms of
obligations and receivables that at any time constitute all or part or are
included in the proceeds of any of the foregoing).

     The Trustee acknowledges the foregoing, accepts the trusts hereunder in
accordance with the provisions hereof and the Standard Terms and agrees to
perform the duties herein or therein required to the best of its ability to the
end that the interests of the Holders of the Certificates may be adequately and
effectively protected.

     Section 1.  Standard Terms.

     OMI, the Servicer and the Trustee acknowledge that the Standard Terms
prescribe certain obligations of OMI, the Servicer and the Trustee with respect
to the Certificates. OMI, the Servicer and the Trustee agree to observe and
perform such prescribed duties, responsibilities

                                       2

<PAGE>

and obligations, and acknowledge that, except to the extent inconsistent with
the provisions of this Pooling and Servicing Agreement, the Standard Terms are
and shall be a part of this Pooling and Servicing Agreement to the same extent
as if set forth herein in full.

     Section 2.  Defined Terms.

     With respect to the Certificates and in addition to or in replacement for
the definitions set forth in Section 1.01 of the Standard Terms, the following
definitions shall be assigned to the defined terms set forth below:

     "Accelerated Principal Distribution Amount": With respect to any
Distribution Date, the positive difference, if any, between the Target
Overcollateralization Amount and the Current Overcollateralization Amount.

     "Accrual Date": The Accrual Date shall be August 1, 2002.

     "Adjusted Certificate Principal Balance": With respect to each Class of
Subordinated Certificates on any date of determination, its Certificate
Principal Balance immediately following the most recently preceding Distribution
Date reduced by all Writedown Amounts allocated to such Class on such
Distribution Date and all prior Distribution Dates.

     "Adjusted Subaccount Principal Balance": With respect to each of the
Corresponding Subaccounts relating to the Subordinated Certificates, on any date
of determination, its Subaccount Principal Balance immediately following the
most recently preceding Distribution Date reduced by all Writedown Amounts
allocated to such Subaccount on such Distribution Date and all prior
Distribution Dates.

     "Adjusted Weighted Average Net Asset Rate": For any Distribution Date, a
fraction expressed as a percentage, (a) the numerator of which is the sum of (i)
the Weighted Average Net Asset Rate multiplied by the Subsidiary Interest
Principal Balance of the Class S-1 Interest and (ii) the Weighted Average Net
Asset Rate multiplied by the aggregate Subsidiary Interest Principal Balance of
the Class S-2 Interests, less (iii) (A) 6.00% (six hundred basis points)
multiplied by the sum of the Subsidiary Interest Principal Balance of the

     (1)   Class S-2(1) Interest through and including the November 2002
           Distribution Date,
     (2)   Class S-2(2) Interest through and including the February 2003
           Distribution Date,
     (3)   Class S-2(3) Interest through and including the May 2003
           Distribution Date,
     (4)   Class S-2(4) Interest through and including the August 2003
           Distribution Date,
     (5)   Class S-2(5) Interest through and including the November 2003
           Distribution Date,
     (6)   Class S-2(6) Interest through and including the February 2004
           Distribution Date,
     (7)   Class S-2(7) Interest through and including the May 2004
           Distribution Date,
     (8)   Class S-2(8) Interest through and including the August 2004
           Distribution Date,
     (9)   Class S-2(9) Interest through and including the November 2004
           Distribution Date,
     (10)  Class S-2(10) Interest through and including the February 2005
           Distribution Date,
     (11)  Class S-2(11) Interest through and including the May 2005
           Distribution Date,
     (12)  Class S-2(12) Interest through and including the August 2005
           Distribution Date,
     (13)  Class S-2(13) Interest through and including the November 2005
           Distribution Date,
     (14)  Class S-2(14) Interest through and including the February 2006
           Distribution Date,

                                       3

<PAGE>

     (15)  Class S-2(15) Interest through and including the May 2006
           Distribution Date,
     (16)  Class S-2(16) Interest through and including the August 2006
           Distribution Date,
     (17)  Class S-2(17) Interest through and including the November 2006
           Distribution Date,
     (18)  Class S-2(18) Interest through and including the February 2007
           Distribution Date,
     (19)  Class S-2(19) Interest through and including the May 2007
           Distribution Date,
     (20)  Class S-2(20) Interest through and including the August 2007
           Distribution Date,
     (21)  Class S-2(21) Interest through and including the November 2007
           Distribution Date,
     (22)  Class S-2(22) Interest through and including the February 2008
           Distribution Date,
     (23)  Class S-2(23) Interest through and including the May 2008
           Distribution Date,
     (24)  Class S-2(24) Interest through and including the August 2008
           Distribution Date,
     (25)  Class S-2(25) Interest through and including the November 2008
           Distribution Date,
     (26)  Class S-2(26) Interest through and including the February 2009
           Distribution Date,
     (27)  Class S-2(27) Interest through and including the May 2009
           Distribution Date,
     (28)  Class S-2(28) Interest through and including the August 2009
           Distribution Date,
     (29)  Class S-2(29) Interest through and including the November 2009
           Distribution Date,
     (30)  Class S-2(30) Interest through and including the February 2010
           Distribution Date,
     (31)  Class S-2(31) Interest through and including the May 2010
           Distribution Date,
     and
     (32)  Class S-2(32) Interest through and including the August 2010
           Distribution Date,

and (B) 0% after the August 2010 Distribution Date, and (b) the denominator of
which is the sum of the Subsidiary Interest Principal Balances of the Class S-1
and Class S-2 Interests.

     "Average Sixty-Day Delinquency Ratio": With respect to any Distribution
Date, the arithmetic average of the Sixty-Day Delinquency Ratios for such
Distribution Date and the two preceding Distribution Dates. The "Sixty-Day
Delinquency Ratio" for a Distribution Date is the percentage derived from the
fraction, the numerator of which is the aggregate Scheduled Principal Balance
(as of the end of the preceding Prepayment Period) of all Assets (including
Assets in respect of which the related Manufactured Home, Real Property or
Mortgaged Property has been repossessed or foreclosed upon but not yet disposed
of, but exclusive of the Pooled Certificates) as to which a Monthly Payment
thereon is delinquent 60 days or more as of the end of the related Prepayment
Period, and the denominator of which is the Pool Scheduled Principal Balance for
such Distribution Date. For purposes of this definition only, the Pool Scheduled
Principal Balance shall be calculated as of the close of the related Collection
Period.

     "Book-Entry Certificates": The Class A, Class M and Class B Certificates.

     "Call Option Date": Any Distribution Date occurring on or after the
Distribution Date on or after the later of (a) the Distribution Date on which,
after taking into account distributions of principal to be made on such
Distribution Date, the aggregate Certificate Principal Balance of the
Certificates is less than 10% of the sum of the initial aggregate Certificate
Principal Balance of the Certificates and (b) August 2010.

     "Capitalized Interest Amount": $361,000, as adjusted from time to time
pursuant to Section 10 hereof.

                                       4

<PAGE>

     "Capitalized Interest Account": The account so designated and established
pursuant to Section 10 hereof, which shall not be an asset of any of the Pooling
REMIC, the Intermediate REMIC or the Issuing REMIC.

     "Capitalized Interest Account Distribution Date": Any or all, as
appropriate, of the Distribution Dates occurring during the Pre-Funding Period
and on the Distribution Date immediately following the Pre-Funding Period.

     "Capitalized Interest Account Withdrawal Amount": On each Capitalized
Interest Account Distribution Date, the lesser of (i) the then-remaining
Capitalized Interest Amount, and (ii) the positive difference, if any, between
(x) the amount necessary to make all distributions required under Section
5(b)(i)-(v) herein, and (y) the Available Distribution Amount for such
Distribution Date (calculated without reference to the Capitalized Interest
Account Withdrawal Amount for purposes hereof).

     "Carryover Interest Distribution Amount": For each Distribution Date and
with respect to each Class of Certificates, except the Class X Certificates and
the Residual Certificates, all amounts that were distributable on the previous
Distribution Date, but were not distributed, as (a) Interest Distribution
Amounts and (b) unpaid Interest Distribution Amounts from previous Distribution
Dates with interest thereon at the related Pass-Through Rate. For each
Distribution Date and with respect to each Subaccount, all amounts that were
allocable on the previous Distribution Date, but were not allocated, as (a)
Priority Interest Distribution Amounts and (b) unpaid Priority Interest
Distribution Amounts from previous Distribution Dates with interest thereon at
the related Pass-Through Rate in effect for the Corresponding Certificates with
respect to such Subaccount. With respect to each Class of Subsidiary Interests
on each Distribution Date, all amounts that were allocable to such Subsidiary
Interests as Interest Distribution Amounts on the previous Distribution Date but
not previously distributed, together with interest accrued on any such amount at
the Weighted Average Net Asset Rate.

     "Carryover Non-Priority Interest Distribution Amount": For any Subaccount,
on any Distribution Date, all amounts that were distributable on such Subaccount
as Non-Priority Interest Distribution Amounts on previous Distribution Dates
that remain unpaid.

     "Carryover Writedown Interest Distribution Amount": With respect to each
Distribution Date and each Class of Subordinated Certificates (other than the
Class X and Class R Certificates) or Subaccounts, all amounts that were
distributable, but were not distributed, as (a) Writedown Interest Distribution
Amounts and (b) unpaid Writedown Interest Distribution Amounts from previous
Distribution Dates with interest accrued thereon at the related Pass-Through
Rate.

     "Certificateholders' Interest Carryover Account": The account maintained
pursuant to Section 6 hereof, which shall not be an asset of any of the Pooling
REMIC, the Intermediate REMIC or the Issuing REMIC.

     "Claims Administrator": The Servicer, or any successor thereof.

     "Class A Certificates": The Class A-1 and Class A-IO Certificates.

                                       5

<PAGE>

     "Class A Percentage": With respect to each Distribution Date, the
percentage derived from the fraction (which shall not be greater than 1), the
numerator of which is the Certificate Principal Balance of the Class A-1
Certificates immediately prior to such Distribution Date and the denominator of
which is the aggregate Certificate Principal Balances for all Classes of
Certificates (other than the Class A-IO Certificates), as reduced by all
Writedown Amounts, immediately prior to such Distribution Date.

     "Class A Principal Distribution Amount": For any Distribution Date, will
equal (i) prior to the Cross-over Date, the entire Principal Distribution
Amount, (ii) on any Distribution Date as to which the Principal Distribution
Tests are not met, the entire Principal Distribution Amount, or (iii) on any
other Distribution Date, the Class A Percentage of the Principal Distribution
Amount, subject to increase as described in the last sentence of the definition
of "Class B-2 Principal Distribution Amount." For any Distribution Date, if the
Class A Principal Distribution Amount exceeds the Class A Certificate Principal
Balance less the Principal Distribution Shortfall Carryover Amount with respect
to such Class and Distribution Date, then such excess amount shall be allocated
to the Class M-1 Principal Distribution Amount.

     "Class A Subaccounts": Any or all, as appropriate, of the Class A-1 and
Class A-IO Subaccounts.

     "Class A-IO Notional Principal Balance": For any Distribution Date, an
amount equal to (a) through and including the Distribution Date in August 2010,
the lesser of (i) the Class A-IO Scheduled Notional Principal Balance and (ii)
the Pool Scheduled Principal Balance, and (b) thereafter, zero.

     "Class A-IO Scheduled Notional Principal Balance": For any Distribution
Date, the Class A-IO Notional Principal Balance as reflected on the Class A-IO
Scheduled Notional Principal Balance Schedule.

     "Class A-IO Scheduled Notional Principal Balance Schedule": Schedule III
annexed hereto.

     "Class B Certificates": The Class B-1 Certificates and Class B-2
Certificates.

     "Class B Subaccounts": Any or all, as appropriate, of the Class B-1 or
Class B-2 Subaccounts.

     "Class B-1 Certificateholders' Interest Carryover Amount": For the Class
B-1 Certificates on any Distribution Date and to the extent of available Class X
Strip Amounts and Class X Carryover Strip Amounts, the sum of (i) if on that
Distribution Date the Pass-Through Rate for such Class of Certificates is based
upon the Adjusted Weighted Average Net Asset Rate, the positive difference of
(A) the amount of interest on the sum of the Interest Computational Components
that the Class B-1 Certificates would be entitled to receive on such
Distribution Date had interest been calculated at a rate equal to 8.50% per
annum, over (B) the amount of interest on the sum of the Interest Computational
Components that the Class B-1 Certificates will receive on such Distribution
Date at the Adjusted Weighted Average Net Asset Rate, plus (ii) the unpaid
portion of any such excess from prior Distribution Dates (and interest thereon
at the Pass-Through Rate for the Class B-1 Certificates, without giving effect
to the cap of the Adjusted

                                       6

<PAGE>

Weighted Average Net Asset Rate). No Class B-1 Certificateholders' Interest
Carryover Amount shall be paid after the Class Principal Balance of the Class
B-1 Certificates is reduced to zero.

     "Class B-1 Percentage": With respect to each Distribution Date, the
percentage derived from the fraction (which shall not be greater than 1), the
numerator of which is the Adjusted Certificate Principal Balance of the Class
B-1 Certificates immediately prior to such Distribution Date and the denominator
of which is the aggregate Certificate Principal Balance for all Classes of
Certificates (other than the Class A-IO Certificates), as reduced by all
Writedown Amounts, immediately prior to such Distribution Date.

     "Class B-1 Principal Distribution Amount": For any Distribution Date will
equal (i) as long as the Class A-1 Certificate Principal Balance, the Class M-1
Certificate Principal Balance and the Class M-2 Certificate Principal Balance
have not been reduced to zero and prior to the Cross-over Date, zero, (ii) on
any Distribution Date as to which the Principal Distribution Tests are not met
and the Class A-1 Certificate Principal Balance, the Class M-1 Certificate
Principal Balance and the Class M-2 Certificate Principal Balance have not been
reduced to zero, zero, (iii) on any Distribution Date as to which the Principal
Distribution Tests are not met and the Class A-1 Certificate Principal Balance,
the Class M-1 Certificate Principal Balance and the Class M-2 Certificate
Principal Balance each have been reduced to zero, the Principal Distribution
Amount, or (iv) on any other Distribution Date, the Class B-1 Percentage of the
Principal Distribution Amount (subject to increase as described in sections (b)
and (c) of the definition of "Class B-2 Principal Distribution Amount") and the
Class B-2 Percentage of the Principal Distribution Amount (subject to decrease
as described in sections (b) and (c) of the definition of "Class B-2 Principal
Distribution Amount"). For any Distribution Date, if the Class B-1 Principal
Distribution Amount exceeds the Class B-1 Certificate Principal Balance less the
Principal Distribution Shortfall Carryover Amount with respect to such Class and
Distribution Date, then such excess amount shall be allocated to the Class B-2
Principal Distribution Amount.

     "Class B-2 Certificateholders' Interest Carryover Amount": For the Class
B-2 Certificates on any Distribution Date and to the extent of available Class X
Strip Amounts and Class X Carryover Strip Amounts, the sum of (i) if on that
Distribution Date the Pass-Through Rate for such Class of Certificates is based
upon the Adjusted Weighted Average Net Asset Rate, the positive difference of
(A) the amount of interest on the sum of the Interest Computational Components
that the Class B-2 Certificates would be entitled to receive on such
Distribution Date had interest been calculated at a rate equal to 9.49% per
annum, over (B) the amount of interest on the sum of the Interest Computational
Components that the Class B-2 Certificates will receive on such Distribution
Date at the Adjusted Weighted Average Net Asset Rate, plus (ii) the unpaid
portion of any such excess from prior Distribution Dates (and interest thereon
at the Pass-Through Rate for the Class B-2 Certificates, without giving effect
to the cap of the Adjusted Weighted Average Net Asset Rate). No Class B-2
Certificateholders' Interest Carryover Amount shall be paid after the Class
Principal Balance of the Class B-2 Certificates is reduced to zero.

     "Class B-2 Floor Amount": With respect to any Distribution Date, either (a)
1.00% of the Pool Scheduled Principal Balance as of the Cut-off Date, if the
Class A-1 Certificate Principal Balance, the Class M-1 Certificate Principal
Balance, the Class M-2 Certificate

                                       7

<PAGE>

Principal Balance and the Class B-1 Certificate Principal Balance have not been
reduced to zero prior to such Distribution Date, and (b) zero, if the Class A-1
Certificate Principal Balance, the Class M-2 Certificate Principal Balance and
the Class B-1 Certificate Principal Balance have been reduced to zero prior to
such Distribution Date.

     "Class B-2 Percentage": With respect to any Distribution Date, the
percentage derived from the fraction (which shall not be greater than 1), the
numerator of which is the sum of the Class B-2 Adjusted Certificate Principal
Balance and the Overcollateralization Amount, each immediately prior to such
Distribution Date and the denominator of which is the aggregate Certificate
Principal Balance for all Classes of Certificates (other than the Class A-IO
Certificates), as reduced by all Writedown Amounts, immediately prior to such
Distribution Date.

     "Class B-2 Principal Distribution Amount":

     (a) For any Distribution Date will equal (i) as long as the Class A-1
Certificate Principal Balance, the Class M-1 Certificate Principal Balance, the
Class M-2 Certificate Principal Balance and the Class B-1 Certificate Principal
Balance have not been reduced to zero and prior to the Cross-over Date, zero,
(ii) on any Distribution Date as to which the Principal Distribution Tests are
not met and the Class A-1 Certificate Principal Balance, the Class M-1
Certificate Principal Balance, the Class M-2 Certificate Principal Balance and
the Class B-1 Certificate Principal Balance have not been reduced to zero and
prior to the Cross-over Date, zero, (iii) on any Distribution Date as to which
the Principal Distribution Tests are not met and the Class A-1 Certificate
Principal Balance, the Class M-1 Certificate Principal Balance, the Class M-2
Certificate Principal Balance and the Class B-1 Certificate Principal Balance
each have been reduced to zero, the Principal Distribution Amount, (iv) on any
Distribution Date as to which the Class B-1 Certificate Principal Balance has
not been reduced to zero, zero, or (v) on any other Distribution Date, the Class
B-2 Percentage of the Principal Distribution Amount. On any Distribution Date,
the Class B-2 Principal Distribution Amount shall not exceed the Class B-2
Certificate Principal Balance less the Principal Distribution Shortfall
Carryover Amount with respect to such Class and such Distribution Date.

     (b) If the Class A-1 Certificate Principal Balance, the Class M-1
Certificate Principal Balance, the Class M-2 Certificate Principal Balance and
the Class B-1 Certificate Principal Balance have not been reduced to zero on or
before a Distribution Date, then amounts otherwise allocable as Class B-2
Principal Distribution Amounts shall be allocated first to the Class B-1
Principal Distribution Amount, then to the Class M-2 Principal Distribution
Amount, then to the Class M-1 Principal Distribution Amount, then to the Class A
Principal Distribution Amount, and finally to the Class B-2 Principal
Distribution Amount, to the extent that allocation of such amounts to the Class
B-2 Principal Distribution Amount would reduce the Class B-2 Certificate
Principal Balance below the Class B-2 Floor Amount.

     (c) If the Class A-1 Certificate Principal Balance, the Class M-1
Certificate Principal Balance, the Class M-2 Certificate Principal Balance and
the Class B-1 Certificate Principal Balance have not been reduced to zero on or
before a Distribution Date, then the amounts otherwise allocable to the Class
B-2 Principal Distribution Amount shall be allocated first to the Class B-1
Principal Distribution Amount, next to the Class M-2 Principal Distribution
Amount,

                                       8

<PAGE>

next to the Class M-1 Principal Distribution Amount, next to the Class A
Principal Distribution Amount, and finally to the Class B-2 Principal
Distribution Amount, to the extent that allocation of these amounts to the Class
B-2 Principal Distribution Amount would reduce the sum of the Class B-2
Certificate Principal Balance and the Current Overcollateralization Amount below
the Total Floor Amount.

     "Class M Certificates": The Class M-1 and Class M-2 Certificates.

     "Class M Subaccounts": Any or all, as appropriate, of the Class M-1 or
Class M-2 Subaccounts.

     "Class M-1 Percentage": With respect to any Distribution Date, the
percentage derived from the fraction (which shall not be greater than 1), the
numerator of which is the Class M-1 Adjusted Certificate Principal Balance
immediately prior to such Distribution Date and the denominator of which is the
aggregate Certificate Principal Balance for all Classes of Certificates (other
than the Class A-IO Certificates), as reduced by all Writedown Amounts,
immediately prior to such Distribution Date.

     "Class M-1 Principal Distribution Amount": For any Distribution Date will
equal (i) as long as the Class A-1 Certificate Principal Balance has not been
reduced to zero, and prior to the Cross-over Date, zero, (ii) on any
Distribution Date as to which the Principal Distribution Tests are not met and
the Class A-1 Certificate Principal Balance has not been reduced to zero, zero,
(iii) on any Distribution Date as to which the Principal Distribution Tests are
not met and the Class A-1 Certificate Principal Balance has been reduced to
zero, the Principal Distribution Amount, or (iv) on any other Distribution Date,
the Class M-1 Percentage of the Principal Distribution Amount, in any case
subject to increase as described in sections (b) and (c) of the definition of
"Class B-2 Principal Distribution Amount." For any Distribution Date, if the
Class M-1 Principal Distribution Amount exceeds the Class M-1 Certificate
Principal Balance less the Principal Distribution Shortfall Carryover Amount
with respect to such Class and Distribution Date, then such amounts shall be
allocated to the Class M-2 Principal Distribution Amount.

     "Class M-2 Certificateholders' Interest Carryover Amount": For the Class
M-2 Certificates on any Distribution Date and to the extent of available Class X
Strip Amounts and Class X Carryover Strip Amounts, the sum of (i) if on that
Distribution Date the Pass-Through Rate for such Class of Certificates is based
upon the Adjusted Weighted Average Net Asset Rate, the positive difference of
(A) the amount of interest on the sum of the Interest Computational Components
that the Class M-2 Certificates would be entitled to receive on such
Distribution Date had interest been calculated at a rate equal to 8.18% per
annum, over (B) the amount of interest on the sum of the Interest Computational
Components that the Class M-2 Certificates will receive on such Distribution
Date at the Adjusted Weighted Average Net Asset Rate, plus (ii) the unpaid
portion of any such excess from prior Distribution Dates (and interest thereon
at the Pass-Through Rate for the Class M-2 Certificates, without giving effect
to the cap of the Adjusted Weighted Average Net Asset Rate). No Class M-2
Certificateholders' Interest Carryover Amount shall be paid after the Class
Principal Balance of the Class M-2 Certificates is reduced to zero.

                                       9

<PAGE>

     "Class M-2 Percentage": With respect to any Distribution Date, the
percentage derived from the fraction (which shall not be greater than 1), the
numerator of which is the Class M-2 Adjusted Certificate Principal Balance
immediately prior to such Distribution Date and the denominator of which is the
aggregate Certificate Principal Balance for all Classes of Certificates (other
than the Class A-IO Certificates), as reduced by all Writedown Amounts,
immediately prior to such Distribution Date.

     "Class M-2 Principal Distribution Amount": For any Distribution Date will
equal (i) as long as the Class A-1 Certificate Principal Balance and the Class
M-1 Certificate Principal Balance have not been reduced to zero and prior to the
Cross-over Date, zero, (ii) on any Distribution Date as to which the Principal
Distribution Tests are not met and the Class A-1 Certificate Principal Balance
and the Class M-1 Certificate Principal Balance have not been reduced to zero,
zero, (iii) on any Distribution Date as to which the Principal Distribution
Tests are not met and the Class A-1 Certificate Principal Balance and the Class
M-1 Certificate Principal Balance each have been reduced to zero, the Principal
Distribution Amount, or (iv) on any other Distribution Date, the Class M-2
Percentage of the Principal Distribution Amount, in any case subject to increase
as described in sections (b) and (c) of the definition of "Class B-2 Principal
Distribution Amount." For any Distribution Date, if the Class M-2 Principal
Distribution Amount exceeds the Class M-2 Certificate Principal Balance less the
Principal Distribution Shortfall Carryover Amount with respect to such Class and
Distribution Date, then such amounts shall be allocated to the Class B-1
Principal Distribution Amount.

     "Class R Certificates": The Class R Certificates, which represent
beneficial ownership of each of the Pooling REMIC Residual Interest, the
Intermediate REMIC Residual Interest and the Issuing REMIC Residual Interest.

     "Class R-1 Certificates": Following the division of the Class R
Certificates into three separately transferable, certificated and fully
registered certificates in accordance with Section 13(b) hereof, the Class R-1
Certificates, which will represent the Issuing REMIC Residual Interest.

     "Class R-2 Certificates": Following the division of the Class R
Certificates into three separately transferable, certificated and fully
registered certificates in accordance with Section 13(b) hereof, the Class R-2
Certificates, which will represent the Intermediate REMIC Residual Interest.

     "Class R-3 Certificates": Following the division of the Class R
Certificates into three separately transferable, certificated and fully
registered certificates in accordance with Section 13(b) hereof, the Class R-3
Certificates, which will represent the Pooling REMIC Residual Interest.

     "Class S-1 Interest," "Class S-2(1) Interest," "Class S-2(2) Interest,"
"Class S-2(3) Interest," "Class S-2(4) Interest," "Class S-2(5) Interest,"
"Class S-2(6) Interest," "Class S-2(7) Interest," "Class S-2(8) Interest,"
"Class S-2(9) Interest," "Class S-2(10) Interest," "Class S-2(11) Interest,"
"Class S-2(12) Interest," "Class S-2(13) Interest," "Class S-2(14) Interest,"
"Class S-2(15) Interest," "Class S-2(16) Interest," "Class S-2(17) Interest,"
"Class S-2(18) Interest," "Class S-2(19) Interest," "Class S-2(20) Interest,"
"Class S-2(21) Interest," "Class S-

                                       10

<PAGE>

2(22) Interest," "Class S-2(23) Interest," "Class S-2(24) Interest," "Class
S-2(25) Interest," "Class S-2(26) Interest," "Class S-2(27) Interest," "Class
S-2(28) Interest," "Class S-2(29) Interest," "Class S-2(30) Interest," "Class
S-2(31) Interest" or "Class S-2(32) Interest": means, respectively, a regular
interest in the Pooling REMIC which is held as an asset of the Intermediate
REMIC, is entitled to monthly distributions as provided in Section 3 hereof, and
has the Subsidiary Interest Principal Balance and bears interest at the
Pass-Through Rate specified in Section 3 hereof.

     "Class S-2 Interest": Any of the Class S-2(1) Interest, Class S-2(2)
Interest, Class S-2(3) Interest, Class S-2(4) Interest, Class S-2(5) Interest,
Class S-2(6) Interest, Class S-2(7) Interest, Class S-2(8) Interest, Class
S-2(9) Interest, Class S-2(10) Interest, Class S-2(11) Interest, Class S-2(12)
Interest, Class S-2(13) Interest, Class S-2(14) Interest, Class S-2(15)
Interest, Class S-2(16) Interest, Class S-2(17) Interest, Class S-2(18)
Interest, Class S-2(19) Interest, Class S-2(20) Interest, Class S-2(21)
Interest, Class S-2(22) Interest, Class S-2(23) Interest, Class S-2(24)
Interest, Class S-2(25) Interest, Class S-2(26) Interest, Class S-2(27)
Interest, Class S-2(28) Interest, Class S-2(29) Interest, Class S-2(30)
Interest, Class S-2(31) Interest or Class S-2(32) Interest.

     "Class X Carryover Strip Amount": With respect to the Class X Certificates
on each Distribution Date, all amounts that were distributable on such Class as
Class X Strip Amounts on previous Distribution Dates that remain unpaid.

     "Class X Certificates": The Class X Certificates created pursuant to
Section 3 hereof.

     "Class X Strip Amount": With respect to any Distribution Date, 30 days'
interest on the Subaccount Principal Balance of the Class A (other than the
Class A-IO), Class M and Class B Subaccounts, at a rate equal to the positive
difference, if any, between (i) the Adjusted Weighted Average Net Asset Rate and
(ii) the weighted average of the Pass-Through Rates on the Class A (other than
the Class A-IO), Class M and Class B Subaccounts. Solely for the purposes of
those calculations, the Pass-Through Rates on the Class A (other than the Class
A-IO), Class M and Class B Subaccounts shall be the Pass-Through Rates on the
respective Corresponding Certificates.

     "Closing Date": August 30, 2002.

     "Contract of Insurance Holder": JPMorgan Chase Bank, a New York banking
corporation, or any successor appointed as herein provided. Notices to the
Contract of Insurance Holder shall be sent to JPMorgan Chase Bank, 450 West 33rd
Street, 14th floor New York, NY 10001, Attn: OMI Trust 2002-C, or its successor
in interest.

     "Corporate Trust Office": The address set forth hereinbelow under
"Trustee."

     "Corresponding Certificates": For any Subaccount, the Class of Certificates
bearing the same letter and numerical designation as that borne by such
Subaccount.

     "Corresponding Subaccount" For any Class of Certificates, the Subaccount
bearing the same letter and numerical designation as that borne by such Class.

                                       11

<PAGE>

     "Cross-over Date": The later to occur of (a) the Distribution Date
occurring in March 2007 or (b) the first Distribution Date on which the
percentage equivalent of a fraction (which shall not be greater than 1) the
numerator of which is the sum of the aggregate Adjusted Certificate Principal
Balance of the Subordinated Certificates and the Current Overcollateralization
Amount, for such Distribution Date and the denominator of which is the Pool
Scheduled Principal Balance on such Distribution Date, equals or exceeds 1.90
times the percentage equivalent of a fraction (which shall not be greater than
1) the numerator of which is the sum of the initial aggregate Adjusted
Certificate Principal Balance of the Subordinated Certificates and the Current
Overcollateralization Amount as of August 1, 2002 and the denominator of which
is the Pool Scheduled Principal Balance as of August 1, 2002.

     "Cumulative Realized Losses": With respect to any Distribution Date, the
aggregate Realized Losses incurred on the Assets during the period from August
1, 2002 through the end of the related Prepayment Period.

     "Current Overcollateralization Amount": As of any Distribution Date, the
positive difference, if any, between the Pool Scheduled Principal Balance and
the Certificate Principal Balance of all then outstanding Classes of
Certificates (other than the Class A-IO Certificates).

     "Current Realized Loss Ratio": With respect to any Distribution Date, the
annualized percentage derived from the fraction, the numerator of which is the
sum of the aggregate Realized Losses in respect of the Assets for the three
preceding Prepayment Periods and the denominator of which is the arithmetic
average of the Pool Scheduled Principal Balances for such Distribution Date and
the preceding two Distribution Dates.

     "Cut-off Date": With respect to the Initial Assets, August 1, 2002, and
with respect to the Subsequent Assets, the date such subsequent assets are
transferred to the Trust.

     "Distribution Date": The first Business Day occurring on or after the 15th
of each month, commencing in September 2002.

     "Excess Subaccount Principal Balance": With respect to each Subaccount, the
excess, if any, of the Subaccount Principal Balance over the Certificate
Principal Balance of the Corresponding Certificates.

     "ERISA Restricted Certificates": The Class B-1, Class B-2, Class X and
Class R Certificates.

     "Initial Assets": The Assets identified on Schedule I hereto.

     "Institutional Holder": An insurance company whose long-term debt is rated
at least A- (or equivalent rating) by a Rating Agency, or an equivalent rating
from any other nationally recognized statistical rating organization.

     "Interest Accrual Period": With respect to each Distribution Date, the
calendar month preceding the month in which the Distribution Date occurs.
Interest on Certificates will be computed on the basis of a 360-day year
consisting of twelve 30-day months.

                                       12

<PAGE>

     "Interest Computational Components": For each Distribution Date and with
respect to each Class of Certificates (i) the Certificate Principal Balance, if
any, (ii) the unpaid Interest Distribution Amount and Carryover Interest
Distribution Amount from the prior Distribution Date, if any, (iii) the
Writedown Amount, if any, and (iv) the Carryover Writedown Interest Distribution
Amount, if any.

     "Interest Deficiency Amount": With respect to the Class M Certificates or
the Class B Certificates and any Distribution Date, the sum of any of the
Interest Distribution Amount, Carryover Interest Distribution Amount, Writedown
Interest Distribution Amount and Carryover Writedown Interest Distribution
Amount for such Class that would remain unpaid after application of the
Available Distribution Amount in accordance with Section 5 hereof.

     "Interest Deficiency Withdrawal": With respect to any Distribution Date and
the:

     (i)   Class M-1 Certificates, the least of (A) the applicable Interest
Deficiency Amount, (B) the positive difference, if any, between $383,170.13
(three months of interest coverage) and the sum of all previous Interest
Deficiency Withdrawals made with respect to the Class M-1 Certificates and (C)
the amount remaining on deposit in the Certificate Account as of the fourth
Business Day prior to that Distribution Date after excluding the Remittance
Amount;

     (ii)  Class M-2 Certificates, the least of (A) the applicable Interest
Deficiency Amount, (B) the positive difference, if any, between $329,817.60
(three months of interest coverage) and the sum of all previous Interest
Deficiency Withdrawals made with respect to the Class M-2 Certificates and (C)
the amount remaining on deposit in the Certificate Account as of the fourth
Business Day prior to that Distribution Date after excluding the Remittance
Amount;

     (iii) Class B-1 Certificates, the least of (A) the applicable Interest
Deficiency Amount, (B) the positive difference, if any, between $153,637.50
(three months of interest coverage) and the sum of all previous Interest
Deficiency Withdrawals made with respect to the Class B-1 Certificates and (C)
the amount remaining on deposit in the Certificate Account as of the fourth
Business Day prior to that Distribution Date after excluding the Remittance
Amount; and

     (iv)  Class B-2 Certificates, the least of (A) the applicable Interest
Deficiency Amount, (B) the positive difference, if any, between $549,747.79
(five months of interest coverage) and the sum of all previous Interest
Deficiency Withdrawals made with respect to the Class B-2 Certificates and (C)
the amount remaining on deposit in the Certificate Account as of the fourth
Business Day prior to that Distribution Date after excluding the Remittance
Amount.

     "Interest Distribution Amount": On each Distribution Date, an amount equal
to interest accrued at the applicable Pass-Through Rate for the related Interest
Accrual Period on (i) in the case of each Class of the Class A Certificates or
the Class A Subaccounts, the Certificate Principal Balance or Class A-IO
Notional Principal Balance, as applicable, of such Class or the Subaccount
Principal Balance or Subaccount Notional Balance, as applicable, of such
Subaccount, respectively, immediately prior to that Distribution Date, (ii) in
the case of the Subordinated Certificates or the Corresponding Subaccounts, on
the Adjusted Certificate Principal Balance of such Class or the Subaccount
Principal Balance of such Subaccount, respectively, immediately prior to that
Distribution Date, and (iii) in the case of the Subsidiary

                                       13

<PAGE>

Interests, the related Subsidiary Interest Principal Balance immediately prior
to that Distribution Date.

     "Intermediate REMIC": The Trust REMIC consisting of the Subsidiary
Interests.

     "Intermediate REMIC Residual Interest": The residual interest (as defined
in Code section 860G(a)(2)) in the Intermediate REMIC.

     "Issuing REMIC": The Trust REMIC consisting of the Subaccounts.

     "Issuing REMIC Residual Interest": The residual interest (as defined in
Code section 860G(a)(2)) in the Issuing REMIC.

     "Non-Priority Interest Distribution Amount": For any Subaccount, on any
Distribution Date, an amount equal to the positive difference, if any, between
(i) the related Interest Distribution Amount for such Subaccount and (ii) the
related Priority Interest Distribution Amount for such Subaccount.

     "Notional Principal Balance": The Notional Principal Balance of the Class X
Certificates on any date shall equal the sum of all of the Subaccount Principal
Balances on such date.

     "Overcollateralization Reduction Amount": With respect to each Distribution
Date, the positive difference, if any, between the Current Overcollateralization
Amount and the Target Overcollateralization Amount; provided, however, that if
on any Distribution Date the Principal Distribution Tests are not satisfied,
then the Overcollateralization Reduction Amount shall equal zero.

     "Pass-Through Rate": With respect to each Class of Certificates (except the
Class X Certificates and the Residual Certificates) on any Distribution Date,
the per annum rate for such Class set forth in the table in Section 3(a) hereof.
With respect to any Subaccount on any Distribution Date, the per annum rate for
such Subaccount set forth in the table in Section 3(b) hereof. With respect to
any Subsidiary Interest on any Distribution Date, the per annum rate for such
Subsidiary Interest set forth in the table in Section 3(c) hereof.

     "Pooling REMIC": The Trust REMIC consisting of the Assets and the
Distribution Account.

     "Pooling REMIC Residual Interest": The residual interest (as defined in
Code section 860G(a)(2)) in the Pooling REMIC.

     "Pre-Funded Amount": $52,137,500, as reduced from time to time.

     "Pre-Funding Account": The account so designated and established pursuant
to Section 9 hereof, which shall not be an asset of any of the Pooling REMIC,
the Intermediate REMIC or the Issuing REMIC.

                                       14

<PAGE>

     "Pre-Funding Period": The period beginning on the Closing Date and ending
on the earlier of (i) November 14, 2002 or (ii) the date on which there is
$100,000 or less (exclusive of investment earnings) remaining in the Pre-Funding
Account.

     "Principal Distribution Shortfall Carryover Amount": With respect to each
Distribution Date and each Class of Certificates, an amount equal to all
Principal Distribution Amounts distributable on such Class from previous
Distribution Dates that have not yet been distributed on such Class of
Certificates. With respect to each Distribution Date and each Corresponding
Subaccount, an amount equal to all Principal Distribution Amounts distributable
on the Corresponding Certificates from previous Distribution Dates that have not
yet been distributed on such Corresponding Certificates. With respect to each
Distribution Date and each Class of Subsidiary Interests, an amount equal to all
Principal Distribution Amounts distributable on such Class from previous
Distribution Dates that have not yet been distributed on such Class of
Subsidiary Interests.

     "Principal Distribution Tests": With respect to each Distribution Date: (a)
the Average Sixty-Day Delinquency Ratio as of such Distribution Date does not
exceed 7.0%; (b) the Cumulative Realized Losses as of such Distribution Date do
not exceed an amount equal to the percentage set forth below of the initial
aggregate Certificate Principal Balance of all the Certificates:

     Distribution Dates                                            Percentage
     ------------------                                            ----------

     March 2007 through August 2008                                     8.50%

     September 2008 through August 2009                                 9.75%

     September 2009 through February 2012                              12.75%

     March 2012 and after                                              14.50%;

and (c) the Current Realized Loss Ratio as of such Distribution Date does not
exceed 4.0%.

     "Priority Interest Distribution Amount": For any Subaccount, on any
Distribution Date, an amount equal to the Interest Distribution Amount for the
Corresponding Certificates.

     "Private Certificates": The Class B-2, Class X and Class R Certificates.

     "Qualified Bidders": Firms and institutions that are engaged in the
business of buying and selling manufactured housing paper.

     "Rating Agency": Each of Standard & Poor's Ratings Services (55 Water
Street, New York, New York 10041) and Moody's Investors Service (99 Church
Street, New York, New York 10007).

     "Record Date": With respect to each Distribution Date, the last Business
Day of the month immediately preceding the month in which such Distribution Date
occurs.

                                       15

<PAGE>

     "Regular Certificates": The Class A Certificates, Class M Certificates,
Class B Certificates and Class X Certificates.

     "Residual Certificates": The Class R Certificates or, following the
division of the Class R Certificates into three separately transferable,
certificated and fully registered certificates in accordance with Section 13(b)
hereof, the Class R-1 Certificates, Class R-2 Certificates and Class R-3
Certificates.

     "Seller": OMI Note Trust 2001-A, a Delaware business trust.

     "Series Transactions": The transactions identified on Schedule IV hereto.

     "Servicer's Representations Agreement": The Servicer's Representations
Agreement, dated as of August 1, 2002, by and between OMI and OAC.

     "Servicing Fee Rate": (a) As long as OAC is the Servicer, 1.00% per annum,
or (b) if any other Person is the Servicer, 1.50% per annum, or such lesser
amount as may be agreed to by such successor Servicer and the Trustee.

     "Servicing Transition Account": The account so designated and established
pursuant to Section 7 hereof, which shall not be an asset of any of the Pooling
REMIC, the Intermediate REMIC or the Issuing REMIC.

     "Subaccount": Each of the Class A-1, Class A-IO, Class M-1, Class M-2,
Class B-1 and Class B-2 Subaccounts described in Section 3 hereof.

     "Subaccount Notional Balance": With respect to the Class A-IO Subaccount,
on any date of determination, an amount equal to the Class A-IO Notional
Principal Balance.

     "Subaccount Principal Balance": With respect to each Subaccount, on any
date of determination, the amount identified as the "Initial Subaccount
Principal Balance" of such Subaccount in Section 3 hereof, minus all amounts
allocated to such Subaccount in reduction of its Subaccount Principal Balance
pursuant to Sections 5(a) and 8 hereof.

     "Subordinated Certificates": The Class M-1, Class M-2, Class B-1, Class
B-2, Class X and Residual Certificates.

     "Subsequent Assets": The Assets identified on Schedule II hereto, if any,
as may be acquired from time to time following the Closing Date.

     "Subsequent Transfer Date": The date on which Subsequent Assets are
transferred to the Trust pursuant to the Sales Agreement and Section 9 hereof.

     "Subsidiary Interest Principal Balance": For any Distribution Date and each
Class of Subsidiary Interests, the amount identified as the Initial Subsidiary
Interest Principal Balance of such Class in Section 3 hereof, less all amounts
previously distributed to such Class pursuant to Section 5 hereof.

                                       16

<PAGE>

     "Subsidiary Interest Writedown Amount": With respect to each Distribution
Date, the amount, if any, by which (i) the aggregate Subsidiary Interest
Principal Balance of all the Subsidiary Interests after all distributions have
been made on such Subsidiary Interests of such Distribution Date pursuant to
Sections 5(g)(i) and 5(g)(ii) hereof exceeds (ii) the Pool Scheduled Principal
Balance for the next Distribution Date.

     "Subsidiary Interests": Each of the Class S-1 and Class S-2 Interests
described in Section 3 hereof.

     "Target Overcollateralization Amount": With respect to (i) any Distribution
Date prior to the Cross-over Date, shall equal 9.25% of the Pool Scheduled
Principal Balance as of August 1, 2002, and (ii) for any other Distribution
Date, shall equal the lesser of (x) 9.25% of the Pool Scheduled Principal
Balance as of August 1, 2002, and (y) 16.1875% of the then current Pool
Scheduled Principal Balance; provided, however, that in no event shall the
Target Overcollateralization Amount be less than 1.00% of the Pool Scheduled
Principal Balance as of August 1, 2002.

     "Total Floor Amount": With respect to any Distribution Date, either (a)
1.00% of the aggregate Pool Scheduled Principal Balance as of August 1, 2002, if
(x) the Class A-1 Certificate Principal Balance, the Class M-1 Certificate
Principal Balance, the Class M-2 Certificate Principal Balance and the Class B-1
Certificate Principal Balance have not been reduced to zero immediately prior to
such Distribution Date, and (y) the sum of the Current Overcollateralization
Amount and the Class B-2 Floor Amount is less than 1.00% of the Pool Scheduled
Principal Balance as of August 1, 2002 or (b) zero, in any other case.

     "Trustee": JPMorgan Chase Bank, a New York banking corporation, not in its
individual capacity but solely as Trustee under this Pooling and Servicing
Agreement, or any successor trustee appointed as herein provided. Notices to the
Trustee shall be sent to 450 West 33rd Street, 14th Floor, New York, NY
10001/OMI Trust 2002-C (the "Corporate Trust Office"), or its successor in
interest.

     "Trustee Fee": On each Distribution Date, the sum of (a) the product
obtained by multiplying one-twelfth of the Trustee Fee Rate by the aggregate
Pool Scheduled Principal Balance immediately prior to the preceding Collection
Period (without giving effect to any Principal Prepayments, Net Liquidation
Proceeds and Repurchase Prices received (or Realized Losses incurred) on the day
preceding the beginning of such Collection Period), and (b) the reasonable
out-of-pocket expenses of the Trustee, pursuant to Section 8.05 of the Standard
Terms.

     "Trustee Fee Rate": 0.050% per annum.

     "Trust REMIC": Each of the Pooling REMIC, the Intermediate REMIC and the
Issuing REMIC.

     "Underwriter": Credit Suisse First Boston Corporation (whose address is 11
Madison Avenue, New York, New York 10010).

                                       17

<PAGE>

     "Voting Rights": With respect to each Class of Certificates, the voting
rights set forth in Section 16 hereof.

     "Weighted Average Net Asset Rate": With respect to any Distribution Date,
the weighted average of the Asset Rates applicable to the Monthly Payments that
were due during the related Collection Period on Assets that were Outstanding at
the beginning of the related Prepayment Period, less the sum of the Servicing
Fee Rate and the Trustee Fee Rate.

     "Writedown Amount": With respect to each Distribution Date, the amount, if
any, by which (i) the aggregate Certificate Principal Balance of all the
Certificates, after all distributions have been made on the Certificates on such
Distribution Date pursuant to Section 5(b) hereof, exceeds (ii) the Pool
Scheduled Principal Balance for the next Distribution Date.

     "Writedown Interest Distribution Amount": With respect to each Distribution
Date and each Class of Subordinated Certificates, interest accrued during the
related Interest Accrual Period at the applicable Pass-Through Rate on any
related Writedown Amount. With respect to each Distribution Date and each
Corresponding Subaccount, interest accrued during the related Interest Accrual
Period on any related Writedown Amount at the Pass-Through Rate applicable to
the Corresponding Certificates.

     Section 3. Certificates, Subaccounts and Subsidiary Interests.

     (a)  The aggregate initial principal amount of Certificates that may be
executed and delivered under this Pooling and Servicing Agreement is limited to
$208,550,000, except for Certificates executed and delivered upon registration
of transfer of, or in exchange for, or in lieu of, other Certificates pursuant
to Sections 5.04 or 5.07 of the Standard Terms. The Certificates shall be issued
in eight Classes having the designations, initial Certificate Principal
Balances, Pass-Through Rates and Final Scheduled Distribution Dates set forth or
described below:

<TABLE>
<CAPTION>
                     Initial Certificate      Pass Through          Final Scheduled
    Designation       Principal Balance           Rate           Distribution Dates(9)
    -----------       -----------------           ----           ------------------
    <S>              <C>                      <C>                <C>
      A-1               $149,044,000              (1)                November 2032

      A-IO                   (2)                  (2)                 August 2010

      M-1               $22,245,000               (3)                November 2032

      M-2               $16,128,000               (4)                November 2032

      B-1               $ 7,230,000               (5)                  June 2025

      B-2               $13,903,000               (6)                November 2032

      X                      (7)                  (7)                November 2032

      R                      (8)                  (8)                November 2032
</TABLE>

          (1) The Pass-Through Rate on the Class A-1 Certificates for any
Distribution Date shall be equal to the lesser of (i) 5.41% per annum and (ii)
the Adjusted Weighted Average Net Asset Rate.

          (2) The Class A-IO Certificates are interest only certificates that
have no principal balance but are entitled to distributions of interest at a
Pass-Through Rate for any Distribution Date equal to 6.00% per annum on the
Class A-IO Notional Principal Balance.

                                       18

<PAGE>

          (3) The Pass-Through Rate on the Class M-1 Certificates for any
Distribution Date shall be equal to the lesser of (i) 6.89% per annum and (ii)
the Adjusted Weighted Average Net Asset Rate.

          (4) The Pass-Through Rate on the Class M-2 Certificates for any
Distribution Date shall be equal to the lesser of (i) 8.18% per annum and (ii)
the Adjusted Weighted Average Net Asset Rate.

          (5) The Pass-Through Rate on the Class B-1 Certificates for any
Distribution Date shall be equal to the lesser of (i) 8.50% per annum and (ii)
the Adjusted Weighted Average Net Asset Rate.

          (6) The Pass-Through Rate on the Class B-2 Certificates for any
Distribution Date shall be equal to the lesser of (i) 9.49% per annum and (ii)
the Adjusted Weighted Average Net Asset Rate.

          (7) The Class X Certificates shall have no Certificate Principal
Balance and no Pass-Through Rate. The Class X Certificates will represent the
right to receive, on each Distribution Date, the applicable Class X Strip Amount
and any Class X Carryover Strip Amount.

          (8) The Class R Certificates shall have no Certificate Principal
Balance and no Pass-Through Rate, and shall represent the residual interest in
each of the Pooling REMIC, the Intermediate REMIC and the Issuing REMIC.
Following the division of the Class R Certificates into three separately
transferable, certificated and fully registered certificates in accordance with
Section 13(b) hereof, the Class R-1, Class R-2 and Class R-3 Certificates shall
have no Certificate Principal Balances and no Pass-Through Rates and shall
represent the residual interest in the Issuing REMIC, the Intermediate REMIC and
the Pooling REMIC, respectively.

          (9) For purposes of Treasury Regulation ss.1.860G-1(a)(4), the latest
possible maturity date of each Class of Certificates shall be the Final
Scheduled Distribution Date.

     (b)  The Subaccounts are being issued in six classes and are hereby
designated as constituting the "regular interests" in the Intermediate REMIC for
the purposes of Section 860G(a)(1) of the Code. The following terms of the
Subaccounts are irrevocably established as of the Closing Date:

<TABLE>
<CAPTION>
                                                              Initial Subaccount             Final Scheduled
    Subaccount               Pass-Through Rate                Principal Balance             Distribution Date
-------------------   --------------------------------    ---------------------------    ------------------------
<S>                   <C>                                 <C>                            <C>
Class A-1             Adjusted Weighted Average Net              $149,044,000                 November 2032
                      Asset Rate

Class A-IO            6.00% per annum through and                    (1)                       August 2010
                      including the Distribution
                      Date in August 2010 and 0%
                      thereafter

Class M-1             Adjusted Weighted Average Net               22,245,000                  November 2032
                      Asset Rate

Class M-2             Adjusted Weighted Average Net               16,128,000                  November 2032
                      Asset Rate

Class B-1             Adjusted Weighted Average Net               7,230,000                     June 2025
                      Asset Rate

Class B-2             Adjusted Weighted Average Net               13,903,000                  November 2032
                      Asset Rate
</TABLE>

          (1) The Class A-IO Subaccount has no Subaccount Principal Balance and
is entitled only to distributions of interest at a Pass-Through Rate for any
Distribution Date equal to 6.00% per annum on the Subaccount Notional Balance.

     For purposes of Treasury Regulation (S) 1.860G-1(a)(4), the latest possible
maturity date of each Class of Subaccounts shall be the Final Scheduled
Distribution Date.

                                       19

<PAGE>

     (c) The Subsidiary Interests are being issued in 33 classes and are hereby
designated as constituting the "regular interests" in the Pooling REMIC for the
purposes of Section 860G(a)(1) of the Code. The following terms of the
Subsidiary Interests are irrevocably established as of the Closing Date:

<TABLE>
<CAPTION>
   Subsidiary                                    Initial Subsidiary Interest       Final Scheduled
    Interest           Pass-Through Rate             Principal Balance            Distribution Date
-----------------   ------------------------    ------------------------------   -------------------
<S>                 <C>                         <C>                              <C>
Class S-1           Weighted Average Net               $166,853,586                November 2032
                    Asset Rate

Class S-2(1)        Weighted Average Net                  1,100,000                November 2032
                    Asset Rate

Class S-2(2)        Weighted Average Net                  1,300,000                November 2032
                    Asset Rate

Class S-2(3)        Weighted Average Net                  1,300,000                November 2032
                    Asset Rate

Class S-2(4)        Weighted Average Net                  1,400,000                November 2032
                    Asset Rate

Class S-2(5)        Weighted Average Net                  1,500,000                November 2032
                    Asset Rate

Class S-2(6)        Weighted Average Net                  1,500,000                November 2032
                    Asset Rate

Class S-2(7)        Weighted Average Net                  1,500,000                November 2032
                    Asset Rate

Class S-2(8)        Weighted Average Net                  1,500,000                November 2032
                    Asset Rate

Class S-2(9)        Weighted Average Net                  1,500,000                November 2032
                    Asset Rate

Class S-2(10)       Weighted Average Net                  1,500,000                November 2032
                    Asset Rate

Class S-2(11)       Weighted Average Net                  1,400,000                November 2032
                    Asset Rate

Class S-2(12)       Weighted Average Net                  1,400,000                November 2032
                    Asset Rate

Class S-2(13)       Weighted Average Net                  1,300,000                November 2032
                    Asset Rate

Class S-2(14)       Weighted Average Net                  1,300,000                November 2032
                    Asset Rate

Class S-2(15)       Weighted Average Net                  1,200,000                November 2032
                    Asset Rate

Class S-2(16)       Weighted Average Net                  1,200,000                November 2032
                    Asset Rate

Class S-2(17)       Weighted Average Net                  1,200,000                November 2032
                    Asset Rate
</TABLE>

                                       20

<PAGE>

<TABLE>
<CAPTION>
   Subsidiary                                    Initial Subsidiary Interest       Final Scheduled
    Interest           Pass-Through Rate             Principal Balance            Distribution Date
-----------------   ------------------------    ------------------------------   -------------------
<S>                 <C>                         <C>                              <C>
Class S-2(18)       Weighted Average Net                 1,100,000                   November 2032
                    Asset Rate

Class S-2(19)       Weighted Average Net                 1,100,000                   November 2032
                    Asset Rate

Class S-2(20)       Weighted Average Net                 1,100,000                   November 2032
                    Asset Rate

Class S-2(21)       Weighted Average Net                 1,000,000                   November 2032
                    Asset Rate

Class S-2(22)       Weighted Average Net                 1,000,000                   November 2032
                    Asset Rate

Class S-2(23)       Weighted Average Net                 1,000,000                   November 2032
                    Asset Rate

Class S-2(24)       Weighted Average Net                   900,000                   November 2032
                    Asset Rate

Class S-2(25)       Weighted Average Net                   900,000                   November 2032
                    Asset Rate

Class S-2(26)       Weighted Average Net                   900,000                   November 2032
                    Asset Rate

Class S-2(27)       Weighted Average Net                   800,000                   November 2032
                    Asset Rate

Class S-2(28)       Weighted Average Net                   800,000                   November 2032
                    Asset Rate

Class S-2(29)       Weighted Average Net                   800,000                   November 2032
                    Asset Rate

Class S-2(30)       Weighted Average Net                   800,000                   November 2032
                    Asset Rate

Class S-2(31)       Weighted Average Net                   700,000                   November 2032
                    Asset Rate

Class S-2(32)       Weighted Average Net                19,600,000                   November 2032
                    Rate
</TABLE>

     For purposes of Treasury Regulation ss. 1.860G-1(a)(4), the latest possible
maturity date of each Class of Subsidiary Interests shall be the Final Scheduled
Distribution Date.

     Section 4. Denominations.

     The Book-Entry Certificates will be registered as one or more certificates
in the name of the Clearing Agency or its nominee. Beneficial interests in the
Book-Entry Certificates will be held by the Beneficial Owners through the
book-entry facilities of the Clearing Agency, in minimum denominations of $1,000
and integral multiples of $1 in excess thereof.

                                       21

<PAGE>

     The Class X Certificates and the Residual Certificates will be issued in
certificated, fully registered form. The Class X Certificates and the Residual
Certificates will be issued in minimum Percentage Interests equal to 10%.

     Section 5. Distributions.

     (a) On each Distribution Date, after allocation of the Available
Distribution Amount to the Subsidiary Interests in accordance with Section 5(g)
hereof and, where applicable, to OAC, to the extent of the amount thereof
remaining after application pursuant to clauses (1) through (5) of Section 4.03
of the Standard Terms, the Trustee (or the Paying Agent on behalf of the
Trustee) shall withdraw all amounts allocated to the various Subsidiary
Interests and shall allocate such amounts to the various Subaccounts, in the
following manner and in the following order of priority as directed in writing
by the Servicer:

          (i) First, to each Class A Subaccount, (A) first, its Priority
     Interest Distribution Amount for such Distribution Date, in each case with
     the Available Distribution Amount being allocated among the Class A
     Subaccounts pro rata based on their respective Priority Interest
     Distribution Amounts, and (B) second, the related Carryover Interest
     Distribution Amount for such Distribution Date, if any, plus interest on
     such Carryover Interest Distribution Amount, in each case with the
     Available Distribution Amount being allocated among the Class A Subaccounts
     pro rata based on their respective Carryover Interest Distribution Amounts,
     each at the related Pass-Through Rate;

          (ii) Second, to the Class M-1 Subaccount, (A) first, the related
     Priority Interest Distribution Amount for such Distribution Date, and (B)
     second, any related Carryover Interest Distribution Amount for such
     Distribution Date plus interest on such Carryover Interest Distribution
     Amount, each at the related Pass-Through Rate;

          (iii) Third, to the Class M-2 Subaccount, (A) first, the related
     Priority Interest Distribution Amount for such Distribution Date, and (B)
     second, any related Carryover Interest Distribution Amount for such
     Distribution Date plus interest on such Carryover Interest Distribution
     Amount, each at the related Pass-Through Rate;

          (iv) Fourth, to the Class B-1 Subaccount, (A) first, the related
     Priority Interest Distribution Amount for such Distribution Date, and (B)
     second, any related Carryover Interest Distribution Amount for such
     Distribution Date plus interest on such Carryover Interest Distribution
     Amount, each at the related Pass-Through Rate;

          (v) Fifth, to the Class B-2 Subaccount, (A) first, the related
     Priority Interest Distribution Amount for such Distribution Date, and (B)
     second, any related Carryover Interest Distribution Amount for such
     Distribution Date plus interest on such Carryover Interest Distribution
     Amount, each at the related Pass-Through Rate;

          (vi) Sixth, to the Class A-1 Subaccount, the Principal Distribution
     Shortfall Carryover Amount for the Class A-1 Subaccount, if any, for such
     Distribution Date;

                                      22

<PAGE>

          (vii) Seventh, to the Class A-1 Subaccount, the Class A Principal
     Distribution Amount, in reduction of the Class A-1 Subaccount Principal
     Balance until the Class A-1 Certificate Principal Balance has been reduced
     to zero;

          (viii) Eighth, to the Class M-1 Subaccount, (A) first, any related
     Writedown Interest Distribution Amount for such Distribution Date, (B)
     second, any related Carryover Writedown Interest Distribution Amount for
     such Distribution Date plus interest on such Carryover Writedown Interest
     Distribution Amount at the related Pass-Through Rate, (C) third, the
     related Principal Distribution Shortfall Carryover Amount for the Class M-1
     Subaccount, if any, for such Distribution Date, and (D) fourth, the Class
     M-1 Principal Distribution Amount, in reduction of the Subaccount Principal
     Balance of such Class, until the Class M-1 Certificate Principal Balance is
     reduced to zero;

          (ix) Ninth, to the Class M-2 Subaccount, (A) first, any related
     Writedown Interest Distribution Amount for such Distribution Date, (B)
     second, any related Carryover Writedown Interest Distribution Amount for
     such Distribution Date plus interest on such Carryover Writedown Interest
     Distribution Amount at the related Pass-Through Rate, (C) third, the
     related Principal Distribution Shortfall Carryover Amount for the Class M-2
     Subaccount, if any, for such Distribution Date, and (D) fourth, the Class
     M-2 Principal Distribution Amount, in reduction of the Subaccount Principal
     Balance of such Class, until the Class M-2 Certificate Principal Balance is
     reduced to zero;

          (x) Tenth, to the Class B-1 Subaccount, (A) first, any related
     Writedown Interest Distribution Amount for such Distribution Date, (B)
     second, any related Carryover Writedown Interest Distribution Amount for
     such Distribution Date plus interest on such Carryover Writedown Interest
     Distribution Amount at the related Pass-Through Rate, (C) third, the
     related Principal Distribution Shortfall Carryover Amount for the Class B-1
     Subaccount, if any, for such Distribution Date, and (D) fourth, the Class
     B-1 Principal Distribution Amount, in reduction of the Subaccount Principal
     Balance of such Class, until the Class B-1 Certificate Principal Balance is
     reduced to zero;

          (xi) Eleventh, to the Class B-2 Subaccount, (A) first, any related
     Writedown Interest Distribution Amount for such Distribution Date, (B)
     second, any related Carryover Writedown Interest Distribution Amount for
     such Distribution Date plus interest on such Carryover Writedown Interest
     Distribution Amount at the related Pass-Through Rate, (C) third, the
     related Principal Distribution Shortfall Carryover Amount for the Class B-2
     Subaccount, if any, for such Distribution Date, and (D) fourth, the Class
     B-2 Principal Distribution Amount, in reduction of the Subaccount Principal
     Balance of such Class, until the Class B-2 Certificate Principal Balance is
     reduced to zero;

          (xii) Twelfth, to each Subaccount, (A) first, its Carryover
     Non-Priority Interest Distribution Amount for such Distribution Date, (B)
     second, its Non-Priority Interest Distribution Amount for such Distribution
     Date, and (C) its remaining Subaccount Principal Balance in each case with
     the Available Distribution Amount being allocated

                                       23

<PAGE>

     among the Subaccounts pro rata based upon the total Excess Subaccount
     Principal Balance remaining to be paid with respect to each Subaccount; and

          (xiii) Finally, any remainder to the Holders of the Intermediate REMIC
     Residual Interest.

     (b)  On each Distribution Date, after all Subaccount allocations have been
made as described in Section 5(a) above and Section 8 below, the Trustee (or the
Paying Agent on behalf of the Trustee) shall withdraw all amounts allocated to
the various Subaccounts, and shall distribute such amounts in the following
manner and in the following order of priority:

          (i)    First to each Class of Class A Certificates, (A) first, its
     Interest Distribution Amount for such Distribution Date, in each case with
     the Available Distribution Amount being allocated among such Classes pro
     rata based on their respective Interest Distribution Amounts, and (B)
     second, the related Carryover Interest Distribution Amount, if any, for
     such Distribution Date, plus interest on such Carryover Interest
     Distribution Amount, in each case with the Available Distribution Amount
     being allocated among the Classes of Class A Certificates pro rata based on
     their respective Carryover Interest Distribution Amounts, each at the
     related Pass-Through Rate;

          (ii)   Second, to the Class M-1 Certificates, (A) first, the related
     Interest Distribution Amount for such Distribution Date, and (B) second,
     any related Carryover Interest Distribution Amount for such Distribution
     Date plus interest on such Carryover Interest Distribution Amount, each at
     the related Pass-Through Rate;

          (iii)  Third, to the Class M-2 Certificates, (A) first, the related
     Interest Distribution Amount for such Distribution Date, and (B) second,
     any related Carryover Interest Distribution Amount for such Distribution
     Date plus interest on such Carryover Interest Distribution Amount, each at
     the related Pass-Through Rate;

          (iv)   Fourth, to the Class B-1 Certificates, (A) first, the related
     Interest Distribution Amount for such Distribution Date, and (B) second,
     any related Carryover Interest Distribution Amount for such Distribution
     Date plus interest on such Carryover Interest Distribution Amount, each at
     the related Pass-Through Rate;

          (v)    Fifth, to the Class B-2 Certificates, (A) first, the related
     Interest Distribution Amount for such Distribution Date, and (B) second,
     any related Carryover Interest Distribution Amount for such Distribution
     Date plus interest on such Carryover Interest Distribution Amount, each at
     the related Pass-Through Rate;

          (vi)   Sixth, to the Class A-1 Certificates, the related Principal
     Distribution Shortfall Carryover Amount for the Class A-1 Certificates, if
     any, for such Distribution Date;

          (vii)  Seventh, to the Class A-1 Certificates, the Class A Principal
     Distribution Amount, in reduction of the Class A-1 Certificate Principal
     Balance until it has been reduced to zero;

                                       24

<PAGE>

          (viii) Eighth, to the Class M-1 Certificates, (A) first, any related
     Writedown Interest Distribution Amount for such Distribution Date, (B)
     second, any related Carryover Writedown Interest Distribution Amount for
     such Distribution Date plus interest on such Carryover Writedown Interest
     Distribution Amount at the related Pass-Through Rate, (C) third, the
     related Principal Distribution Shortfall Carryover Amount for the Class M-1
     Certificates, if any, for such Distribution Date, and (D) fourth, the Class
     M-1 Principal Distribution Amount, in reduction of the Certificate
     Principal Balance of such Class, until it is reduced to zero;

          (ix)   Ninth, to the Class M-2 Certificates, (A) first, any related
     Writedown Interest Distribution Amount for such Distribution Date, (B)
     second, any related Carryover Writedown Interest Distribution Amount for
     such Distribution Date plus interest on such Carryover Writedown Interest
     Distribution Amount at the related Pass-Through Rate, (C) third, the
     related Principal Distribution Shortfall Carryover Amount for the Class M-2
     Certificates, if any, for such Distribution Date, and (D) fourth, the Class
     M-2 Principal Distribution Amount, in reduction of the Certificate
     Principal Balance of such Class, until it is reduced to zero;

          (x)    Tenth, to the Class B-1 Certificates, (A) first, any related
     Writedown Interest Distribution Amount for such Distribution Date, (B)
     second, any related Carryover Writedown Interest Distribution Amount for
     such Distribution Date plus interest on such Carryover Writedown Interest
     Distribution Amount at the related Pass-Through Rate, (C) third, the
     related Principal Distribution Shortfall Carryover Amount for the Class B-1
     Certificates, if any, for such Distribution Date, and (D) fourth, the Class
     B-1 Principal Distribution Amount, in reduction of the Certificate
     Principal Balance of such Class, until it is reduced to zero;

          (xi)   Eleventh, to the Class B-2 Certificates, (A) first, any related
     Writedown Interest Distribution Amount for such Distribution Date, (B)
     second, any related Carryover Writedown Interest Distribution Amount for
     such Distribution Date plus interest on such Carryover Writedown Interest
     Distribution Amount at the related Pass-Through Rate, (C) third, the
     related Principal Distribution Shortfall Carryover Amount for the Class B-2
     Certificates, if any, for such Distribution Date, and (D) fourth, the Class
     B-2 Principal Distribution Amount, in reduction of the Certificate
     Principal Balance of such Class, until it is reduced to zero;

          (xii)  Twelfth, sequentially, (A) first, for deposit in the
     Certificateholders' Interest Carryover Account, the Class X Strip Amounts
     in an amount equal to the Class M-2 Certificateholders' Interest Carryover
     Amount in respect of the Class M-2 Certificates, if any, for such
     Distribution Date, and (B) second, to the Class M-2 Certificates, the Class
     M-2 Certificateholders' Interest Carryover Amount in respect of the Class
     M-2 Certificates, if any, for such Distribution Date;

          (xiii) Thirteenth, sequentially, (A) first, for deposit in the
     Certificateholders' Interest Carryover Account, the Class X Strip Amounts
     in an amount equal to the Class B-1 Certificateholders' Interest Carryover
     Amount in respect of the Class B-1 Certificates, if any, for such
     Distribution Date, and (B) second, to the Class B-1

                                       25

<PAGE>

     Certificates, the Class B-1 Certificateholders' Interest Carryover Amount
     in respect of the Class B-1 Certificates, if any, for such Distribution
     Date;

          (xiv)   Fourteenth, sequentially, (A) first, for deposit in the
     Certificateholders' Interest Carryover Account, the Class X Strip Amounts
     in an amount equal to the Class B-2 Certificateholders' Interest Carryover
     Amount in respect of the Class B-2 Certificates, if any, for such
     Distribution Date, and (B) second, to the Class B-2 Certificates, the Class
     B-2 Certificateholders' Interest Carryover Amount in respect of the Class
     B-2 Certificates, if any, for such Distribution Date;

          (xv)    Fifteenth, sequentially (A) to the Class A-1 Certificates, (B)
     to the Class M-1 Certificates, (C) to the Class M-2 Certificates, (D) to
     the Class B-1 Certificates and (E) to the Class B-2 Certificates, in that
     order, the Accelerated Principal Distribution Amount for such Distribution
     Date, in reduction of the Certificate Principal Balance of each Class until
     it has been reduced to zero;

          (xvi)   Sixteenth, to the Class X Certificates (less amounts deposited
     in the Certificateholders' Interest Carryover Account on such Distribution
     Date), in the following sequential order:

                  (A) the current Class X Strip Amount; and

                  (B) any Class X Carryover Strip Amount;

          (xvii)  Sixteenth, to the Class X Certificates, any amounts remaining
     in the Certificateholders' Interest Carryover Account after all payments
     made pursuant to Section 5(b)(xii)-(xiv) above; and

          (xviii) Finally, any remainder to the Holders of the Issuing REMIC
     Residual Interest.

     (c)  On each Distribution Date for which the applicable Remittance Report
indicates that one or more Interest Deficiency Withdrawals is required, after
making the withdrawals and applications described in Section 5(a) and (b) above,
the Trustee (or the Paying Agent on behalf of the Trustee) shall withdraw from
the Certificate Account and allocate the Interest Deficiency Withdrawal, based
upon the information set forth in the related Remittance Report, in the
following manner and in the following order of priority:

          (i)     to the Class M-1 Subaccount, the Interest Deficiency
     Withdrawal for such Class, if any;

         (ii)     to the Class M-2 Subaccount, the Interest Deficiency
     Withdrawal for such Class, if any;

         (iii)    to the Class B-1 Subaccount, the Interest Deficiency
     Withdrawal for such Class, if any;

                                       26

<PAGE>

          (iv)  to the Class B-2 Subaccount, the Interest Deficiency Withdrawal
     for such Class, if any; and

          (v)   Finally, any remainder to Holders of the Intermediate REMIC
     Residual Interest.

     (d)  On each Distribution Date, after all Subaccount allocations have been
made as described in Section 5(c) above, the Trustee (or the Paying Agent on
behalf of the Trustee) shall withdraw all amounts allocated to the various
Subaccounts pursuant to Section 5(c) above, and shall distribute such amounts in
the following manner and in the following order of priority all in accordance
with the related Remittance Report:

          (i)   to the Class M-1 Certificates, the Interest Deficiency
     Withdrawal for such Class, if any;

          (ii)  to the Class M-2 Certificates, the Interest Deficiency
     Withdrawal for such Class, if any;

          (iii) to the Class B-1 Certificates, the Interest Deficiency
     Withdrawal for such Class, if any;

          (iv)  to the Class B-2 Certificates, the Interest Deficiency
     Withdrawal for such Class, if any; and

          (v)   Finally, any remainder to the holders of the Issuing REMIC
     Residual Interest.

     (e)  All distributions or allocations made with respect to each Class on
each Distribution Date shall be allocated pro rata among the outstanding
Certificates of such Class based on their respective Percentage Interests. So
long as the Book-Entry Certificates are registered in the name of a Clearing
Agency or its nominee, the Trustee shall make all distributions or allocations
on such Certificates by wire transfers of immediately available funds to the
Clearing Agency or its nominee. In the case of Certificates issued in
fully-registered, certificated form, payment shall be made either (i) by check
mailed to the address of each Certificateholder as it appears in the Certificate
Register on the Record Date immediately prior to such Distribution Date or (ii)
by wire transfer of immediately available funds to the account of a Holder at a
bank or other entity having appropriate facilities therefor, if such Holder
shall have so notified the Trustee in writing at least five Business Days prior
to the Record Date immediately prior to such Distribution Date and such Holder
is (A) with respect to any Class A, Class M or Class B Certificates issued after
the Closing Date in certificated, fully-registered form, the registered owner of
Class A, Class M or Class B Certificates with an aggregate initial Certificate
Principal Balance (or with respect to the Class A-IO Certificates, a notional
principal balance) of at least $1,000,000, and (B) with respect to the Residual
Certificates or Class X Certificates, the registered owner of the Residual
Certificates or Class X Certificates evidencing an aggregate Percentage Interest
of at least 50%. The Trustee may charge any Holder its standard wire transfer
fee for any payment made by wire transfer. Final distribution on the
Certificates will be made only upon surrender of the Certificates at the offices
of the Trustee set forth in the notice of such final distribution sent by the
Trustee to all Certificateholders pursuant

                                       27

<PAGE>

to Section 9.01 of the Standard Terms. All sums distributed on the Certificates
shall be payable in the coin or currency of the United States of America as at
the time of payment is legal tender for the payment of public and private debts.

     (f)  (i)    Any amounts remaining in the Distribution Account on any
     Distribution Date after all allocations and distributions required to be
     made by this Pooling and Servicing Agreement have been made, and any
     amounts remaining in the Pooling REMIC after payment in full of all of the
     Regular Interests therein and any administrative expenses associated with
     the Trust, will be distributed to the Holders of the Pooling REMIC Residual
     Interest.

          (ii)   Any amounts remaining in the Subsidiary Interests on any
     Distribution Date after all allocations and distributions required to be
     made by this Pooling and Servicing Agreement have been made, and any
     amounts remaining in the Intermediate REMIC after payment in full of all of
     the Regular Interests therein and any administrative expenses associated
     with the Trust, will be distributed to the Holders of the Intermediate
     REMIC Residual Interest.

          (iii)  Any amounts remaining in the Subaccounts on any Distribution
     Date after all distributions required to be made by this Pooling and
     Servicing Agreement have been made, and any amounts remaining in the
     Issuing REMIC after payment in full of the Regular Interests therein and
     any administrative expenses associated with the Trust, will be distributed
     to the Holders of the Issuing REMIC Residual Interest.

     (g)  On each Distribution Date, the Subsidiary Interests shall receive
distributions, to the extent of the Available Distribution Amount, in the
following order of priority:

          (i)    first, each of the Class S-1 and Class S-2 Interests shall
     receive pro rata, based on their respective entitlements, (i) their
     Interest Distribution Amounts, plus (ii) any Carryover Interest
     Distribution Amount with respect to such Class;

          (ii)   second, distributions of principal (including any Principal
     Distribution Shortfall Carryover Amounts) shall be made to the Class S-1
     and Class S-2 Interests sequentially, first to the Class S-1 Interest until
     the Subsidiary Interest Principal Balance of such Class has been reduced to
     zero, and second to the Class S-2 Interests, sequentially in numeric order,
     until the Subsidiary Interest Principal Balance of each such Class has been
     reduced to zero, provided, that for purposes of this Section 5(g)(ii), any
     Subsidiary Interest Writedown Amounts shall be treated as distributions of
     principal, and shall reduce the Subsidiary Interest Principal Balance of
     the Class S-1 Interest until its Subsidiary Interest Principal Balance has
     been reduced to zero, and then shall reduce the Subsidiary Interest
     Principal Balances of the Class S-2 Interests, in numeric order, until the
     Subsidiary Interest Principal Balances thereof have been reduced to zero;
     and

          (iii)  third, any amounts remaining to the Holders of the Pooling
     REMIC Residual Interest.

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<PAGE>

     Section 6. Establishment of Certificateholders' Interest Carryover Account.

     No later than the Closing Date, the Trustee will establish and maintain the
Certificateholders' Interest Carryover Account as a non-interest bearing trust
account. The Certificateholders' Interest Carryover Account shall be an Eligible
Account. The Certificateholders' Interest Carryover Account will not be an asset
of any of the Pooling REMIC, the Intermediate REMIC, or the Issuing REMIC. For
federal income tax purposes, the holders of the Class X Certificates will be
treated as the owners of the Certificateholders' Interest Carryover Account and
the Trustee and the holders of the Class X Certificates shall treat amounts
distributed by the Issuing REMIC to the Certificateholders' Interest Carryover
Account as having been distributed with respect to the Class X Certificates and
as reducing the Class X Strip Amount or the Class X Carryover Strip Amount, as
applicable. Distributions to the holders of the Class X Certificates out of the
Certificateholders' Interest Carryover Account shall not be considered to be
distributions from any of the Pooling REMIC, the Intermediate REMIC, or the
Issuing REMIC. The parties hereto intend and agree to treat the
Certificateholders' Interest Carryover Account as an arrangement described in
Treasury Regulations Section 1.61-13(b); provided, that if the Internal Revenue
Service does not permit such treatment, the parties hereto intend and agree
that, solely for federal and, to the extent applicable, state and local tax
purposes, (i) if the Class X Certificates are held by a single Holder, that the
assets and liabilities of the Certificateholders' Interest Carryover Account be
treated solely for federal income tax purposes as assets and liabilities of the
Class X Certificateholder pursuant to Treasury Regulations Section
301.7701-3(b)(ii), and (ii) if the Class X Certificates are held by more than
one Holder, the Certificateholders' Interest Carryover Account be treated solely
for federal income tax purposes as a partnership pursuant to Treasury
Regulations Section 301.7701-3(b)(ii), in which event each Class X
Certificateholder, including all successors to the original Class X
Certificateholder, irrevocably elects under Section 761 of the Code to exclude
the Certificateholders' Interest Carryover Account from the application of
Subchapter K of the Code. In accordance with the provisions of Treasury
Regulation section 1.80G-2(i), the Trustee shall account for the rights of the
Class M-2, Class B-1 and Class B-2 Certificateholders to payments from the
Certificateholders' Interest Carryover Account as property held separate and
apart from the related REMIC regular interests. In addition, the Trustee shall
separately report to any Class X Certificateholders amounts deposited into and
paid to Class X Certificateholders from the Certificateholders' Interest
Carryover Account. Amounts on deposit in the Certificateholders' Interest
Carryover Account shall not be reinvested.

     Section 7. Servicing Transition Account.

     (a) The Trustee shall establish and maintain at the Corporate Trust Office
a separate trust account titled "JPMorgan Chase Bank, as Trustee of OMI Trust
2002-C, Servicing Transition Account" (the "Servicing Transition Account").

     (b) On the Closing Date, the Servicer shall deposit $175,000 into the
Servicing Transition Account.

     (c) For each Series Transaction, the Trustee shall release amounts on
deposit in the Servicing Transition Account to the successor Servicer of OAC, if
any, or to the Trustee, from time to time upon the receipt of written
certification of such successor Servicer that OAC has not

                                       29

<PAGE>

reimbursed to such successor Servicer costs and expenses incurred by such
successor Servicer pursuant to Section 7.02 of the Standard Terms or, with
respect to the Trustee, to reimburse the Trustee for its costs and expenses
(including, without limitation, the fees and expenses of its counsel and agents)
incurred in connection with such servicing transition. Each such certification
shall list such reimbursable expenses in reasonable detail.

     (d) On the earlier of (i) the date that all of the Series Transactions have
terminated or (ii) the date the long-term senior debt rating of OHC is rated at
least "Baa3" by Moody's and "BBB-" by Standard & Poor's, the Trustee shall
withdraw (or direct the holder of the applicable account to withdraw) all
amounts on deposit in the Servicing Transition Account and pay such amounts to
OAC and at such time the Servicing Transition Account shall be closed.

     (e) The Servicing Transition Account shall be part of the Trust, but not
part of the Pooling REMIC, the Intermediate REMIC or the Issuing REMIC. The
Trustee, on behalf of the Trust, shall be the legal owner of the Servicing
Transition Account. The Servicing Transition Account shall be an "outside
reserve fund" within the meaning of Treasury regulation ss. 1.860G-2(h) and
shall be treated as beneficially owned for federal income tax purposes by OAC.

     Section 8. Allocation of Writedown Amounts.

     On each Distribution Date, after all required distributions have been made
on the Certificates pursuant to Section 5 above, the Writedown Amount, if any,
shall be allocated on such Distribution Date in the following manner and in the
following order of priority:

     (a) First, to the Class B-2 Subaccount, to be applied in reduction of the
Adjusted Subaccount Principal Balance of such Subaccount, until the Adjusted
Subaccount Principal Balance has been reduced to zero;

     (b) Second, to the Class B-1 Subaccount, to be applied in reduction of the
Adjusted Subaccount Principal Balance of such Subaccount, until the Adjusted
Subaccount Principal Balance has been reduced to zero;

     (c) Third, to the Class M-2 Subaccount, to be applied in reduction of the
Adjusted Subaccount Principal Balance of such Subaccount, until the Adjusted
Subaccount Principal Balance has been reduced to zero; and

     (d) Finally, to the Class M-1 Subaccount, to be applied in reduction of the
Adjusted Subaccount Principal Balance of such Subaccount, until the Adjusted
Subaccount Principal Balance has been reduced to zero;

     (e) Writedown Amounts allocated to the Class B-2, Class B-1, Class M-2 and
Class M-1 Subaccounts pursuant to this Section 8 shall be allocated to the Class
B-2, Class B-1, Class M-2 and Class M-1 Certificates, respectively, until the
Adjusted Certificate Principal Balance of each such Class has been reduced to
zero.

                                       30

<PAGE>

     Section 9. Pre-Funding Account.

     (a)   On or before the Closing Date, the Trustee shall establish a
pre-funding account (the "Pre-Funding Account"), which must be an Eligible
Account. The Pre-Funding Account is to be held by and for the benefit of the
Trustee on behalf of the Certificateholders, and shall be either in the
Trustee's name or designated in a manner that reflects the custodial nature of
the account and that all funds (excluding investment earnings thereon) in such
account are held for the benefit of the Trustee.

     (b)   On or before the Closing Date, OMI shall deposit $52,137,500 in the
Pre-Funding Account. Amounts on deposit in the Pre-Funding Account shall be
withdrawn by the Trustee as follows:

          (i)   Pursuant to and in accordance with the Sales Agreement and a
     notice of direction from an officer of OMI substantially in the form of
     Exhibit PF attached hereto, on any Subsequent Transfer Date, the Trustee
     shall withdraw an amount equal to 100% of the Scheduled Principal Balance
     as of the related Subsequent Transfer Date of each Subsequent Asset
     transferred and assigned to the Trustee on such Subsequent Transfer Date
     and pay such amount to or upon the order of OMI with respect to such
     transfer and assignment.

          (ii)  On each Subsequent Transfer Date, OMI shall sell to the Trustee,
     without recourse, the Subsequent Assets referred to on the related Exhibit
     PF pursuant to the provisions of Article II of the Standard Terms, and this
     Agreement. On each Subsequent Transfer Date Servicer shall execute and
     deliver a Servicer Custodial Certification pursuant to Section 2.02(b) of
     the Standard Terms, and the Trustee shall execute and deliver an Initial
     Certification pursuant to Section 2.03(c)(1) of the Standard Terms.

          (iii) On the last day of the Pre-Funding Period, the Trustee shall
     deposit into the Distribution Account any amounts then remaining in the
     Pre-Funding Account, net of investment earnings, which amounts shall be
     held uninvested in the Distribution Account and will be included in the
     Available Distribution Amount for the immediately following Distribution
     Date and distributed as an additional prepayment of principal to
     Certificateholders in accordance with the Remittance Report prepared by the
     Servicer then entitled to such distributions.

     (c)  The Pre-Funding Account shall be part of the Trust, but not part of
the Pooling REMIC, the Intermediate REMIC or the Issuing REMIC. The Trustee, on
behalf of the Trust, shall be the legal owner of the Pre-Funding Account. OMI
shall be the beneficial owner of the Pre-Funding Account, subject to the
foregoing power of the Trustee to transfer amounts in the Pre-Funding Account to
the Distribution Account. Funds in the Pre-Funding Account shall, at the
direction of the Servicer, be invested in Eligible Investments that mature no
later than the Business Day prior to the next occurring Distribution Date. All
amounts earned on deposits in the Pre-Funding Account shall be taxable to OMI.
The Trustee shall release to OMI all investment earnings in the Pre-Funding
Account on the Business Day immediately following the end of the Pre-Funding
Period.

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<PAGE>

     (d)  The Trustee shall clear and terminate the Pre-Funding Account upon the
earlier to occur of (i) the Distribution Date immediately following the end of
the Pre-Funding Period and (ii) the date on which an Event of Default occurs
under this Agreement, with any amounts remaining on deposit therein being paid
to the holders of Certificates then entitled to distributions in respect of
principal. Withdrawals pursuant to clauses (b)(i)-(iii) and this clause (d)
shall be treated as contributions of cash to the Pooling REMIC on the date of
withdrawal.

     (e)  Each Subsequent Asset acquired by the Trust with funds from the
Pre-Funding Account shall be acquired pursuant to a fixed price contract within
the meaning of I.R.C.ss. 860G(a)(3)(A)(ii).

     Section 10. Capitalized Interest Account.

     (a)  On or before the Closing Date, the Trustee shall establish the
Capitalized Interest Account, which must be an Eligible Account. The Capitalized
Interest Account is to be held by and for the benefit of the Trustee on behalf
of the Certificateholders, and shall be either in the Trustee's name or
designated in a manner that reflects the custodial nature of the account and
that all funds (including investment earnings thereon) in such account are held
for the benefit of the Trustee.

     (b)  On or before the Closing Date, OMI shall deposit $361,000 in the
Capitalized Interest Account. The Trustee shall, on the Business Day immediately
preceding each Capitalized Interest Account Distribution Date, withdraw the
Capitalized Interest Account Withdrawal Amount (as calculated by the Servicer
and set forth in the related Remittance Report pursuant to Section 11(a)(ix)
hereof), if any, from the Capitalized Interest Account for deposit in the
Distribution Account in order to pay:

          (i)   first, any deficiency in the Available Distribution Amount to
     pay the related Interest Distribution Amount and any related Carryover
     Interest Distribution Amount for the Class A Certificates for such
     Distribution Date,

          (ii)  second, any deficiency in the Available Distribution Amount to
     pay the related Interest Distribution Amount and any related Carryover
     Interest Distribution Amount for the Class M-1 Certificates for such
     Distribution Date,

          (iii) third, any deficiency in the Available Distribution Amount to
     pay the related Interest Distribution Amount and any related Carryover
     Interest Distribution Amount for the Class M-2 Certificates for such
     Distribution Date,

          (iv)  fourth, any deficiency in the Available Distribution Amount to
     pay the related Interest Distribution Amount and any related Carryover
     Interest Distribution Amount for the Class B-1 Certificates for such
     Distribution Date,

          (v)   fifth, any deficiency in the Available Distribution Amount to
     pay the related Interest Distribution Amount and any related Carryover
     Interest Distribution Amount for the Class B-2 Certificates for such
     Distribution Date; and

                                       32

<PAGE>

          (vi)  sixth, any deficiency in the Available Distribution Amount to
     pay the related Interest Distribution Amount and any related Class X
     Carryover Strip Amount for the Class X Certificates for such Distribution
     Date.

After the Closing Date, OMI shall deposit additional amounts in the Capitalized
Interest Account to the extent that, after the withdrawal and application of
funds from the Capitalized Interest Account pursuant to this Section 10, any
deficiency described in clauses (i)-(vi) above remains.

     (c) The Capitalized Interest Account shall be part of the Trust, but not
part of the Pooling REMIC, the Intermediate REMIC or the Issuing REMIC. The
Trustee, on behalf of the Trust, shall be the legal owner of the Capitalized
Interest Account. OMI shall be the beneficial owner of the Capitalized Interest
Account, subject to the foregoing power of the Trustee to withdraw amounts from
the Capitalized Interest Account. Funds in the Capitalized Interest Account
shall, at the direction of the Servicer, be invested in Eligible Investments
that mature no later than the Business Day prior to the related Capitalized
Interest Account Distribution Date. All amounts earned on deposits in the
Capitalized Interest Account shall be taxable to OMI. The Trustee shall release
to OMI all investment earnings in the Capitalized Interest Account upon written
notice from an officer of OMI to the Trustee that all of the Subsequent Assets
have been transferred to the Trust. The Capitalized Interest Account shall be an
"outside reserve fund" within the meaning of Treasury regulation (S)
1.806G-2(h). The owner of the Capitalized Interest Account for tax purposes
shall be OMI. For all federal tax purposes, amounts transferred by any of the
Pooling REMIC, the Intermediate REMIC, or the Issuing REMIC to the Capitalized
Interest Account shall be treated as amounts distributed by the applicable REMIC
to OMI.

     (d) The Trustee shall release to OMI all funds remaining in the Capitalized
Interest Account on the Distribution Date immediately following the final
transfer of Subsequent Assets to the Trust upon written notice from an officer
of OMI to the Trustee (which may be contained in the Notice and Direction to the
Trustee under Section 9(b)(i) hereof) that all of the Subsequent Assets have
been transferred to the Trust.

     Section 11. Remittance Reports.

     (a)  The Remittance Report for each Distribution Date shall identify the
following items, in addition to the items specified in Section 4.01 of the
Standard Terms:

          (i)  the Interest Distribution Amount for each Class of the
     Certificates for such Distribution Date (which shall equal the Priority
     Interest Distribution Amount for the Corresponding Subaccount) and the
     Carryover Interest Distribution Amount, as well as any Writedown Interest
     Distribution Amount and any Carryover Writedown Interest Distribution
     Amount, for each Class of the Certificates for such Distribution Date, and
     the amount of interest of each such category to be distributed on each such
     Class based upon the Available Distribution Amount for such Distribution
     Date;

          (ii) the amount to be distributed on such Distribution Date on each
     Class of the Certificates to be applied to reduce the Certificate Principal
     Balance of such Class (which will be equal to the amount to be allocated on
     such Distribution Date on the Corresponding Subaccount to be applied to
     reduce the Subaccount Principal Balance of

                                       33

<PAGE>

     such Subaccount), separately identifying any portion of such amount
     attributable to any prepayments, the amount to be distributed to reduce the
     Principal Distribution Shortfall Carryover Amount on each such Class based
     upon the Available Distribution Amount for such Distribution Date and
     separately identifying any Accelerated Principal Distribution Amount to be
     distributed on the Certificates, the Current Overcollateralization Amount
     and the Target Overcollateralization Amount;

          (iii)  the aggregate amount, if any, to be distributed on the Residual
     Certificates;

          (iv)   the amount of any Writedown Amounts to be allocated to reduce
     the Certificate Principal Balance of any Class of Subordinated Certificates
     (which will be equal to the amount of any Writedown Amount to be allocated
     to the Corresponding Subaccount) on such Distribution Date;

          (v)    the Certificate Principal Balance of each Class of the
     Certificates (which will be equal to the Subaccount Principal Balance of
     the Corresponding Subaccount) and the Adjusted Certificate Principal
     Balance of each Class of the Offered Subordinated Certificates (which will
     be equal to the Adjusted Subaccount Principal Balance of the Corresponding
     Subaccount) after giving effect to the distributions to be made (and any
     Writedown Amounts to be allocated) on such Distribution Date;

          (vi)   the aggregate Interest Distribution Amount remaining unpaid, if
     any, and the aggregate Carryover Interest Distribution Amount remaining
     unpaid, if any, for each Class of Certificates (which will be equal to the
     Priority Interest Distribution Amount and Carryover Interest Distribution
     Amount remaining unpaid on the Corresponding Subaccount), after giving
     effect to all distributions to be made on such Distribution Date;

          (vii)  the aggregate Writedown Interest Distribution Amount remaining
     unpaid, if any, and the aggregate Carryover Writedown Interest Distribution
     Amount remaining unpaid, if any, for each Class of Certificates (which will
     be equal to such amounts remaining unpaid on the Corresponding Subaccount),
     after giving effect to all distributions to be made on such Distribution
     Date;

          (viii) the aggregate Principal Distribution Shortfall Carryover Amount
     remaining unpaid, if any, for each Class of Certificates, after giving
     effect to the distributions to be made on such Distribution Date;

          (ix)   the Pre-Funded Amount, if any, in the Pre-Funding Account on
     such Distribution Date, the amount of funds, if any, used to purchase
     Subsequent Assets during the Pre-Funding Period, the Capitalized Interest
     Account Withdrawal Amount, and the amount of funds, if any, allocated as a
     prepayment of principal at the end of the Pre-Funding Period; and

          (x)    the Class M-2 Certificateholders' Interest Carryover Amount in
     respect of the Class M-2 Certificates, the Class B-1 Certificateholders'
     Interest Carryover Amount in respect of the Class B-1 Certificates and the
     Class B-2 Certificateholders' Interest Carryover Amount in respect of the
     Class B-2 Certificates.

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<PAGE>

     In the case of information furnished pursuant to clauses (i), (ii) and
(iii) above, the amounts shall be expressed, with respect to any Class A, Class
M or Class B Certificate, as a dollar amount per $1,000 denomination.

     (b) In addition to making available a copy of the related Remittance Report
to each Certificateholder on each Distribution Date in accordance with Section
4.01 of the Standard Terms, on each Distribution Date, the Trustee shall make
available a copy of the related Remittance Report to the Underwriter (to the
attention of the person, if any, reported to the Trustee by the Underwriter).

     Section 12. Limited Right of Servicer to Retain Servicing Fees from
Collections.

     The Servicer may retain its Servicing Fee and any other servicing
compensation provided for herein and in the Standard Terms from gross interest
collections on the Assets prior to depositing such collections into the
Certificate Account.

     Section 13. REMIC Administration.

     (a) For purposes of the REMIC Provisions, all of the Certificates (except
the Residual Certificates) will be designated as the "regular interests" in the
Issuing REMIC; provided, however, that the Class M-2 Certificates, the Class B-1
Certificates and the Class B-2 Certificates will represent beneficial ownership
of a "regular interest" and the right to receive the Class M-2
Certificateholders' Interest Carryover Amount, the Class B-1 Certificateholders'
Interest Carryover Amount and the Class B-2 Certificateholders' Interest
Carryover Amount, respectively. The Subaccounts will be designated as the
"regular interests" in the Intermediate REMIC, and the Subsidiary Interests will
be designated as the "regular interests" in the Pooling REMIC. The Class R
Certificates represent beneficial ownership of the "residual interest" in each
of the Issuing REMIC, the Intermediate REMIC and the Pooling REMIC and,
following the division of the Class R Certificates into three separately
transferable, certificated and fully registered certificates in accordance with
Section 13(b) below, the Class R-1 Certificates will be designated as the
"residual interest" in the Issuing REMIC, the Class R-2 Certificates will be
designated as the "residual interest" in the Intermediate REMIC, and the Class
R-3 Certificates will be designated as the "residual interest" in the Pooling
REMIC.

     (b) Upon the request of any registered Holder of a Class R Certificate, the
Trustee shall issue to such Holder three separately transferable, certificated
and fully registered Certificates (a Class R-1 Certificate, a Class R-2
Certificate and a Class R-3 Certificate), in substantially the forms of Exhibit
R-1, Exhibit R-2 and Exhibit R-3 attached hereto. In the event that the Class R
Certificates are exchanged for separately transferable Class R-1, Class R-2 and
Class R-3 Certificates: (1) the Class R-1 Certificates will be designated as the
residual interest in the Issuing REMIC, (2) the Class R-2 Certificates will be
designated as the residual interest in the Intermediate REMIC, (3) the Class R-3
Certificates will be designated as the residual interest in the Pooling REMIC,
and (4) the restrictions on the transfer of a Residual Certificate provided in
the Standard Terms will apply to each of the Class R-1, Class R-2 and the Class
R-3 Certificates.

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<PAGE>

     Section 14. Optional Termination and Auction Call.

     (a)  Section 9.01(b) of the Standard Terms is hereby amended by inserting
"the earlier of (A)" after "(2)" and by inserting, "or (B) August 2010" at the
end of the paragraph.

     (b)  If the Servicer does not exercise its optional termination right as
described in Section 9.01 of the Standard Terms within 90 days after it first
becomes entitled to do so, the Trustee shall use commercially reasonable efforts
to solicit bids for the purchase of all Assets, REO Properties and Repo
Properties remaining in the Trust from no fewer than two prospective purchasers
that it believes to be Qualified Bidders. If OAC is then the Servicer of the
Assets, the solicitation of bids shall be conditioned upon the continuation of
OAC as the servicer of the Assets on terms and conditions substantially similar
to those in the Pooling and Servicing Agreement, except that it shall not be
required to pay Compensating Interest or make Advances.

     (c)  If the Trustee receives bids from at least two Qualified Bidders and
the net proceeds of the highest bid are equal to or greater than the Termination
Price, the Trustee shall promptly advise the Servicer of the highest bid and the
terms of purchase, and the Servicer shall have three Business Days, at its
option, to match the terms of such bid. The Trustee shall thereafter sell the
Assets, REO Properties and Repo Properties either (i) to the Servicer, if it
shall so elect, or (ii) to the highest bidder, and in either case the Trustee
shall distribute the net proceeds of such sale in redemption of the Certificates
in compliance with Article IX of the Standard Terms and Section 5 hereof. Any
such sale must also comply with the requirements applicable to a Terminating
Purchase set forth in Section 9.02 of the Standard Terms.

     (d)  Any costs incurred by the Trustee in connection with such sale
(including without limitation any legal opinions or consents required by Section
9.02 of the Standard Terms) shall be deducted from the bid price of the Assets,
REO Properties and Repo Properties in determining the net proceeds therefrom.

     (e)  If the Trustee does not obtain bids from at least two Qualified
Bidders, or does not receive a bid such that the net proceeds therefrom would at
least equal the Termination Price, it shall not sell the Assets, REO Properties
and Repo Properties, and shall thereafter have no obligation to attempt to sell
same.

     (f)  The Servicer shall cooperate with and provide necessary information to
the Trustee in connection with any auction sale as described herein.

     Section 15. Concerning the Contract of Insurance Holder.

     (a)  Compliance with FHA Regulations and Filing of FHA Claims.

          (i) The Contract of Insurance Holder shall at all times be reflected
     as the lender of record solely for FHA regulatory purposes with respect to
     each FHA Asset and shall maintain its status as a HUD approved lender. To
     the extent applicable to the duties of the Contract of Insurance Holder
     hereunder, the Contract of Insurance Holder shall take or refrain from
     taking such actions as directed by the Claims Administrator, as necessary
     or appropriate to maintain FHA Insurance for the FHA Assets.

                                       36

<PAGE>

          (ii)  As of the Closing Date and at all times thereafter, FHA
     Insurance will cover the FHA Assets. The Servicer and Claims Administrator,
     in each such capacity, covenants and agrees that it shall not take any
     action that would reduce or otherwise diminish the protection of the FHA
     Insurance. On or before March 1 of each year after the date of this
     Agreement, the Servicer shall submit to the Trustee a certification letter
     substantially in the form attached hereto as Exhibit SC.

          (iii) The Trustee hereby appoints the Claims Administrator to
     facilitate the servicing of FHA Assets. The Claim Administrator shall
     perform on behalf of the Contract of Insurance Holder the duties associated
     with the submission of FHA claims in connection with the FHA Insurance,
     except to the extent that certain documents must be signed by the Contract
     of Insurance Holder (in which case the Contract of Insurance Holder may
     appoint an attorney-in-fact to sign on its behalf) and shall not, in its
     capacity as Claims Administrator or as Servicer, take any action or omit to
     take any action that would cause the Contract of Insurance Holder to
     violate this Section 15 or otherwise fail to maintain valid FHA Insurance
     or cause any denial by FHA of an insurance claim.

          (iv)  The Contract of Insurance Holder shall not be deemed to have
     violated this Section 15 and shall otherwise incur no liability hereunder
     if any failure to maintain valid FHA Insurance or to comply with FHA
     regulations requirements or any denial by FHA of an insurance claim shall
     have been caused by any act or omission of the Servicer or Claims
     Administrator in the performance of its duties hereunder.

          (v)   No Certificateholder, by virtue of holding a Certificate that
     evidences a beneficial interest in any FHA Asset, shall have any right
     against FHA or HUD with respect to the FHA Insurance applicable to any FHA
     Asset, and each Certificateholder, by its acceptance of such Certificate,
     or any interest therein, shall be deemed to have agreed to the foregoing.

     (b)  Regarding the Contract of Insurance Holder, the Servicer and the
Trustee.

          (i)   The Contract of Insurance Holder, the Servicer and the Trustee
     (including any successor Trustee) shall at all times be approved by HUD as
     Title I lender. The Contract of Insurance Holder shall not resign from the
     obligations and duties imposed on it by this Agreement as Contract of
     Insurance Holder except upon a determination that by reason of a change in
     legal requirements or requirements imposed by the FHA (including, without
     limitation, loss of its status as a HUD approved lender) the performance of
     its duties under this Agreement would cause it to be in violation of such
     legal requirements or FHA imposed requirements in a manner which would
     result in a material adverse effect on the Contract of Insurance Holder or
     cause it to become ineligible to hold the FHA Insurance. Any such
     determination permitting the resignation of the Contract of Insurance
     Holder shall be evidenced by an Opinion of Counsel to such effect delivered
     and acceptable to the Trustee. Upon receiving such notice of resignation,
     the FHA Insurance shall be transferred to a qualified successor appointed
     by the Servicer (which qualified successor must be a HUD approved Title I
     lender) by written instrument, in duplicate, one copy of which instrument
     shall be delivered to the resigning Contract of Insurance Holder and one
     copy to the successor contract of insurance holder.

                                       37

<PAGE>

          (ii)  If at any time the Contract of Insurance Holder shall become
     incapable of acting, or shall fail to perform its obligations hereunder or
     shall be adjudged as bankrupt or insolvent, or a receiver of the Contract
     of Insurance Holder or of its property shall be appointed, or any public
     officer shall take charge or control of the Contract of Insurance Holder or
     of its property or affairs for the purpose of rehabilitation, conservation
     or liquidation, or the Contract of Insurance Holder shall fail to be "well
     capitalized" within the meaning of the Federal Deposit Insurance Act and
     the regulations thereunder, then, in any such case the Servicer shall
     remove the Contract of Insurance Holder and appoint a successor contract of
     insurance holder (which successor must be a HUD approved lender) by written
     instrument, in duplicate, one copy of which instrument shall be delivered
     to the Contract of Insurance Holder so removed and one copy to the
     successor contract of insurance holder. Upon removal of the Contract of
     Insurance Holder, the outgoing Contract of Insurance Holder shall take all
     action required to maintain the benefits of the FHA Insurance; provided
     that, if the Contract of Insurance Holder is removed because it has failed
     to be "well capitalized" as provided in the preceding sentence, the
     Depositor and Servicer each shall bear the expenses incurred in connection
     with such transfer.

          (iii) Any resignation or removal of the Contract of Insurance Holder
     and appointment of a successor contract of insurance holder pursuant to any
     of the provisions of this Section 15 shall become effective upon acceptance
     of appointment by the successor contract of insurance holder.

          (iv)  The Servicer shall be liable for and shall indemnify, defend and
     hold harmless the Trustee and the Contract of Insurance Holder and its
     officers, directors, employees, representatives and agents, from and
     against and reimburse the Trustee and the Contract of Insurance Holder for
     any and all claims, expenses, obligations, liabilities, losses, damages,
     injuries (to person, property, or natural resources), penalties, stamp or
     other similar taxes, actions, suits, judgments, reasonable costs and
     expenses (including reasonable attorney's and agent's fees and expenses) of
     whatever kind or nature regardless of their merit, demanded, asserted or
     claimed against the Trustee and the Contract of Insurance Holder directly
     or indirectly relating to, or arising from, claims against the Trustee and
     the Contract of Insurance Holder by reason of its participation in the
     transactions contemplated under this Section 15 and in connection with the
     FHA Asset, including without limitation all reasonable costs required to be
     associated with claims for damages to persons or property, and reasonable
     attorneys' and consultants' fees and expenses and court costs, except to
     the extent caused by the Trustee's or the Contract of Insurance Holder's
     gross negligence or willful misconduct. The provisions of this Section
     15(b)(iv) shall survive the termination of this Agreement or the earlier
     resignation or removal of the Trustee or the Contract of Insurance Holder.

     Section 16. Voting Rights.

     The Voting Rights applicable to the Certificates shall be allocated 0.5% to
the Class R Certificates, 0.5% to the Class X Certificates, 1.0% to the Class
A-IO Certificates, and 98% to the other Certificates in proportion with their
respective Certificate Principal Balance; provided, however, that the Class B-2
Certificates, the Class X Certificates and the Class R Certificates

                                       38

<PAGE>

shall not be entitled to any voting rights in respect of any matter concerning
the resignation, termination, appointment or any other matters in respect of the
service or duties of the Trustee.

     Section 17. Trustee Certification.

     Section 2.03(c)(1)(C) of the Standard Terms is hereby amended by inserting
"(other than the Cut-off Date Principal Balance and the original Mortgage
Loan-to-Value Ratio of each Mortgage Loan)" after "Mortgage Loan Schedule."

     Section 18. Amendments to the Standard Terms

     (a) Section 1.01 of the Standard Terms, the definition of "Business Day" is
hereby amended by replacing "the Trustee's Corporate Trust Office is" with "the
Servicer's offices or the Trustee's Corporate Trust Office are."

     (b) Section 1.01 of the Standard Terms, the definition of "OAC" is hereby
amended by replacing "a North Carolina corporation" with "LLC, a Delaware
limited liability company."

     (c) Section 1.01 of the Standard Terms, the definition of "Trustee Mortgage
Loan File" is hereby amended by adding after "Documents" the following: "except
proof of maintenance of a Standard Hazard Insurance Policy (and a flood
insurance policy, if applicable) as to the related Mortgaged Property."

     (d) Section 3.04 of the Standard Terms is hereby amended by adding a new
subsection (f) as follows:

     Section 3.04(f). Advance Facility.

          (1)  The Servicer is hereby authorized to enter into a financing or
     other facility (any such arrangement, an "Advance Facility"), the
     documentation for which complies with Section 3.04(f)(5) below, under which
     (1) the Servicer assigns or pledges its rights under this Agreement to be
     reimbursed for any or all P&I Advances and/or Servicing Advances to a
     special-purpose bankruptcy-remote entity (an "SPV"), which in turn,
     directly or through other assignees and/or pledgees, assigns or pledges
     such rights to a Person, which may include a trustee acting on behalf of
     holders of debt instruments (any such Person, an "Advance Financing
     Person"), and/or (2) an Advance Financing Person agrees to fund some or all
     P&I Advances and/or Servicing Advances required to be made by the Servicer
     pursuant to this Agreement. No consent of the Trustee, Certificateholders
     or any other party is required before the Servicer may enter into an
     Advance Facility. Notwithstanding the existence of any Advance Facility
     under which an Advance Financing Person agrees to fund P&I Advances and/or
     Servicing Advances on the Servicer's behalf, the Servicer shall remain
     obligated pursuant to this Agreement to make P&I Advances and Servicing
     Advances pursuant to and as required by this Agreement, and shall not be
     relieved of such obligations by virtue of such Advance Facility. If the
     Servicer enters into an Advance Facility, and for so long as an Advance
     Financing Person remains entitled to receive reimbursement for any P&I
     Advances or Servicing Advances outstanding and previously unreimbursed
     pursuant to this Agreement, then the Servicer shall not be permitted to
     reimburse itself for P&I Advances and/or Servicing Advances,

                                       39

<PAGE>

     as applicable, pursuant to Sections 3.04(b), 3.04(c), and/or 3.07(a) of
     this Agreement, but instead the Servicer's assignee and designee (the
     "Servicer's Assignee") shall have the right to withdraw from the
     Certificate Account collections that the Servicer would otherwise have the
     right to withdraw from the Certificate Account, pursuant to Section
     3.07(a)(1) of this Agreement, amounts available to reimburse previously
     unreimbursed P&I Advances ("P&I Advance Reimbursement Amounts") and/or
     previously unreimbursed Servicing Advances ("Servicing Advance
     Reimbursement Amounts" and together with P&I Advance Reimbursement Amounts,
     "Reimbursement Amounts") (in each case to the extent such type of Advance
     is included in the Advance Facility). Notwithstanding anything to the
     contrary herein, in no event shall P&I Advance Reimbursement Amounts or
     Servicing Advance Reimbursement Amounts be included in the "Available
     Distribution" or distributed to Certificateholders. In addition, the
     Trustee shall remit Reimbursement Amounts which are deposited into the
     Distribution Account for a Series pursuant to Section 4.03(2).

          (2) If the Servicer enters into an Advance Facility, the Servicer and
     the related Advance Financing Person shall deliver to the Trustee a written
     notice of the existence of such Advance Facility (an "Advance Facility
     Notice"), stating the identity of the Advance Financing Person and the
     related Servicer's Assignee, and specifying what P&I Advances and/or
     Servicing Advances are covered by the Advance Facility. An Advance Facility
     Notice may only be terminated by the joint written direction of the
     Servicer and the related Advance Financing Person.

          (3) Reimbursement Amounts shall consist solely of amounts in respect
     of P&I Advances and/or Servicing Advances made with respect to the Assets
     for which the Servicer would be permitted to reimburse itself in accordance
     with Sections 3.04(b), 3.04(c), and/or 3.07(a) hereof, assuming the
     Servicer had made the related P&I Advance(s) and/or Servicing Advance(s).

          (4) An Advance Financing Person who receives an assignment or pledge
     of rights to receive Reimbursement Amounts and/or whose obligations
     hereunder are limited to the funding of P&I Advances and/or Servicing
     Advances shall not be required to meet the criteria for qualification of
     Section 6.07 hereof.

          (5) The documentation establishing any Advance Facility shall require
     that Reimbursement Amounts distributed with respect to each Series be
     allocated to outstanding unreimbursed P&I Advances or Servicing Advances
     (as the case may be) made with respect to that Series on a "first-in, first
     out" ("FIFO") basis. In the event that, as a result of this FIFO
     allocation, some or all of a Reimbursement Amount for a Series relates to
     P&I Advances or Servicing Advances that were made by a Person other than
     Oakwood Acceptance Corporation, LLC (successor by merger to Oakwood
     Acceptance Corporation) or the Advance Financing Person, then the
     Servicer's Assignee shall be required to remit any portion of such
     Reimbursement Amount to each person entitled to such portion of such
     Reimbursement Amount. At any time when the Advance Financing Person shall
     have ceased funding P&I Advances and/or Servicing Advances (as the case may
     be) with respect to a Series, and the Servicer's Assignee shall have
     withdrawn from the related Certificate Account Reimbursement Amounts
     sufficient to reimburse all P&I

                                       40

<PAGE>

     Advances and/or Servicing Advances (as the case may be), the right to
     reimbursement for which were assigned to the Servicer's Assignee, then the
     Servicer's Assignee and the Advance Financing Person and the Servicer shall
     deliver a written notice to the Trustee terminating the Advance Facility
     Notice with respect to the Series, whereupon the Servicer shall again be
     entitled to withdraw the related Reimbursement Amounts from the Certificate
     Account pursuant to Section 3.07(a)(1). Without limiting the generality of
     the foregoing, the Servicer shall remain entitled to be reimbursed by the
     Advance Financing Person for all P&I Advances and Servicing Advances funded
     by the Servicer to the extent the related Reimbursement Amount(s) have not
     been assigned or pledged to an Advance Financing Person or related
     Servicer's Assignee. By way of illustration, and not by way of limiting the
     generality of the foregoing, if a Servicer who is a party to an Advance
     Facility resigns or is terminated, and is replaced by a successor Servicer,
     and the successor Servicer directly funds P&I Advances or Servicing
     Advances with respect to a Series and does not assign or pledge the related
     Reimbursement Amounts to the Advance Financing Person, then after all
     Reimbursement Amounts attributable to such Series that are owed to the
     predecessor Servicer and the Advance Financing Person, which were made
     prior to any Advances made by the successor Servicer, have been reimbursed
     in full, then the successor Servicer shall be entitled to receive all
     Reimbursement Amounts subsequently collected with respect to that Series.

          (6) The parties hereto acknowledge that Oakwood Acceptance
     Corporation, LLC (successor by merger to Oakwood Acceptance Corporation) as
     Servicer, has assigned, conveyed and transferred all of its rights to
     reimbursement, pursuant to Sections 3.04(b), 3.04(c), 3.07(a)(1) and
     4.03(2) hereof, in respect of now existing outstanding P&I Advances and, to
     the extent described in the P&I Advance Facility Indenture referred to
     below, P&I Advances that may be disbursed by the Servicer in the future, to
     Oakwood Advance Receivables Company, L.L.C. (the "Advance SPV"). The
     Advance SPV is the Servicer's Assignee with respect to this Advance
     Facility, and shall be entitled to withdraw P&I Advance Reimbursement
     Amounts from the Certificate Account pursuant to this Section 3.04(f) and
     Section 3.07(a)(1). The Advance SPV shall remit P&I Advance Reimbursement
     Amounts that it withdraws from the Certificate Account, subject to Section
     3.04(f)(5) above, to JPMorgan Chase Bank (formerly known as The Chase
     Manhattan Bank), as Trustee (the "P&I Advance Facility Trustee") under the
     Indenture (the "P&I Advance Facility Indenture"), dated as of September 28,
     2001, by and among the Advance SPV, as issuer, JPMorgan Chase Bank
     (formerly known as The Chase Manhattan Bank), as trustee, calculating agent
     and paying agent, and Oakwood Acceptance Corporation, LLC (successor by
     merger to Oakwood Acceptance Corporation) as REMIC Servicer. The P&I
     Advance Facility Trustee is the Advance SPV's pledgee with respect to the
     right to be reimbursed for such P&I Advances, and is the "Advance Financing
     Person" for purposes of the other provisions of this Section 3.04(f) with
     respect to the Advance Facility described in this subsection (f). The
     parties hereto further agree that any rights of set-off that the Trust may
     otherwise have against Oakwood Acceptance Corporation, LLC (successor by
     merger to Oakwood Acceptance Corporation) or the Servicer hereunder shall
     not attach to any rights to be reimbursed for P&I Advances that have been
     sold, transferred, conveyed and otherwise assigned to the Advance SPV. The
     parties hereto further covenant and agree that this Subsection 3.04(f)(6)
     may not be amended or otherwise modified without the prior written consent
     of

                                       41

<PAGE>

     100% of the holders of the notes issued pursuant to the P&I Advance
     Facility Indenture, unless and until such notes shall have been paid in
     full or the P&I Advance Facility Indenture shall have been discharged and
     terminated.

     (e)  Subsection 3.07(a)(1) of the Standard Terms is hereby deleted and
replaced in its entirety with the following:

          (1)  to reimburse itself for any Advances previously made, which
     Advances remain unreimbursed, pursuant to the provisions of Section 3.04(c)
     (including, without limitation, if such Advances have been determined by
     the Servicer to have become Non-Recoverable Advances, out of any funds on
     deposit in the Certificate Account);

     (f)  Subsection 3.07(c) of the Standard Terms is hereby amended by adding
as the last sentence of the subsection: "Any Early Payments used by the Servicer
to cover delinquencies shall be replaced by the Servicer or from Early Payments
when they become part of the Available Distribution Amount."

     (g)  Section 3.11 of the Standard Terms is hereby amended by adding "(a)"
before the first paragraph and adding as a second paragraph the following:

          (b)  Neither OMI nor the Trust shall organize under the law of any
     jurisdiction other than the State under which each is organized as of the
     Closing Date (whether changing its jurisdiction of organization or
     organizing under an additional jurisdiction) without giving 30 days prior
     written notice of such action to its immediate and mediate transferee,
     including the Trustee. Before effecting such change, each of OMI or the
     Trust proposing to change its jurisdiction of organization shall prepare
     and file in the appropriate filing office any financing statements or other
     statements necessary to continue the perfection of the interests of its
     immediate and mediate transferees, including the Trustee, in the Mortgage
     Loans. In connection with the transactions contemplated by the Pooling and
     Servicing Agreement, each of OMI and the Trust authorizes its immediate or
     mediate transferee, including the Trustee, to file in any filing office any
     initial financing statements, any amendments to financing statements, any
     continuation statements, or any other statements or filings necessary to
     comply with this Section 3.11(b).

     (h)  Subsection 4.03(3) of the Standard Terms is hereby deleted and
replaced in its entirety with the following:

          (3)  without duplication, to reimburse the Servicer or pay to the
     Servicer's Assignee, as appropriate, from any amounts on deposit in the
     Distribution Account for any Advance previously made which has become a
     Non-Recoverable Advance, and to reimburse the Servicer or pay to the
     Servicer's Assignee, as appropriate, for any other Advance pursuant to the
     provisions of Section 3.04(c), to the extent not previously withdrawn from
     the Certificate Account by the Servicer or the Servicer's Assignee;

                                       42

<PAGE>

     (i)  Section 4.06(a) of the Standard Terms is hereby amended by adding the
following as the penultimate sentence:

          A senior officer of the Servicer shall include with any submission to
     the Commission on Form 10-K a certification in the form attached as Exhibit
     10 hereto (as such form may be modified by the Servicer to comply with the
     requirements of the Commission).

     (j)  Section 3.07(a)(2) of the Standard Terms is hereby deleted and
replaced in its entirety with the following:

          (2)  to pay any Servicing Fees and other servicing compensation
     provided for herein due to the Servicer, to the extent not previously
     retained by such Servicer; and

     (k)  Section 4.03(2) of the Standard Terms is hereby deleted and replaced
in its entirety with the following:

          (2)  to pay the Servicer its monthly Servicing Fee, to the extent not
     previously retained or withdrawn from the Certificate Account by such
     Servicer;

     Section 19. Governing Law.

     The Pooling and Servicing Agreement shall be construed in accordance with
and governed by the laws of the State of North Carolina applicable to agreements
made and to be performed therein, except that the rights, duties, immunities and
indemnities of the Trustee shall be construed in accordance with and governed by
the laws of the State of New York. The parties hereto agree to submit to the
personal jurisdiction of all federal and state courts sitting in the State of
North Carolina and hereby irrevocably waive any objection to such jurisdiction.
In addition, the parties hereto hereby irrevocably waive any objection that they
may have to the laying of venue of any suit, action or proceeding arising out of
or relating to this Agreement in any federal or state court sitting in the State
of North Carolina, and further irrevocably waive any claim that any such suit,
action or proceeding brought in any such court has been brought in an
inconvenient forum.

     Section 20. Forms of Certificates.

     Each of the Schedules and Exhibits attached hereto or referenced herein are
incorporated herein by reference as contemplated by the Standard Terms. Each
Class of Certificates shall be in substantially the related form attached
hereto, as set forth in the Index to Schedules and Exhibits attached hereto.

     Section 21. Counterparts.

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

                                       43

<PAGE>

     Section 22. Entire Agreement.

     This Pooling and Servicing Agreement constitutes the entire agreement among
the parties hereto with respect to the subject matter hereof, and fully
supersedes any prior or contemporaneous agreements relating to such subject
matter.

                  [Remainder of Page Intentionally Left Blank]

                                       44

<PAGE>

     IN WITNESS WHEREOF, OMI, the Servicer and the Trustee have caused this
Restated Pooling and Servicing Agreement to be duly executed by their respective
officers thereunto duly authorized and their respective signatures duly attested
all as of the day and year first above written.

                                              OAKWOOD MORTGAGE INVESTORS, INC.

                                              By:  /s/ Dennis W. Hazelrigg
                                                  ------------------------------
                                                  Name:  Dennis W. Hazelrigg
                                                  Title: President

                                              OAKWOOD ACCEPTANCE CORPORATION,
                                              LLC

                                              By: /s/ Douglas R. Muir
                                                 -------------------------------
                                                 Name:  Douglas R. Muir
                                                 Title: Vice President

                                              JPMORGAN CHASE BANK,
                                              as Trustee and as Contract of
                                              Insurance Holder

                                              By: /s/ Kevin Crombie
                                                 -------------------------------
                                                 Name:  Kevin Crombie
                                                 Title: Assistant Vice President

              [Restated Pooling and Servicing Agreement - 2002-C]

<PAGE>

STATE OF ARIZONA           )
                           )  s.
COUNTY OF MARICOPA         )

     The foregoing instrument was acknowledged before me in the County of
Maricopa this 27th day of September, 2002 by Dennis W. Hazelrigg, President of
Oakwood Mortgage Investors, Inc., a Nevada corporation, on behalf of the
corporation.

                                                       /s/ Patti S. Ringler
                                               ---------------------------------
                                                       Notary Public

My Commission expires:   November 14, 2004

              [Restated Pooling and Servicing Agreement - 2002-C]

<PAGE>

STATE OF NORTH CAROLINA          )
                                 ) s.
COUNTY OF GUILFORD               )

     The foregoing instrument was acknowledged before me in the County of
Guilford this 27th day of September, 2002 by Douglas R. Muir, Vice President of
Oakwood Acceptance Corporation, LLC, a Delaware limited liability company (as
successor to Oakwood Acceptance Corporation, a North Carolina corporation), on
behalf of the company.

                                                     /s/ Dena E. Bailey
                                           -------------------------------------
                                                     Notary Public

My Commission expires: 11-30-05

               [Restated Pooling and Servicing Agreement - 2002-C]

<PAGE>

STATE OF NEW YORK           )
                            ) s.
CITY OF NEW YORK            )

     The foregoing instrument was acknowledged before me in the City of New
York, this 27th day of September, 2002 by Kevin Crombie, Assistant Vice
President of JPMorgan Chase Bank, a New York banking corporation, on behalf of
the corporation.

                                                    /s/ Jonathan P. Ravens
                                             -----------------------------------
                                                    Notary Public

My Commission expires: August 7, 2006

               [Restated Pooling and Servicing Agreement - 2002-C]

<PAGE>

                         INDEX TO SCHEDULES AND EXHIBITS

Schedule IA     Initial Contract Schedule
Schedule IB     Initial Mortgage Loan Schedule
Schedule IIA    Subsequent Contract Schedule
Schedule IIB    Subsequent Mortgage Loan Schedule
Schedule III    Class A-IO Scheduled Notional Principal Balance Schedule
Schedule IV     Series Transactions

Exhibit A-1     Form of Class A-1 Certificate
Exhibit A-IO    Form of Class A-IO Certificate
Exhibit M-1     Form of Class M-1 Certificate
Exhibit M-2     Form of Class M-2 Certificate
Exhibit B-1     Form of Class B-1 Certificate
Exhibit B-2     Form of Class B-2 Certificate
Exhibit X       Form of Class X Certificate
Exhibit R       Form of Class R Certificate
Exhibit PF      Form of Notice and Direction to Trustee under Section 9(b)(i)
Exhibit SC      Form of Servicer Certification Letter
Exhibit 10      Form of 10-K Certification

                                       1

<PAGE>

                                                                     SCHEDULE IA

                            Initial Contract Schedule

                         [On File at Hunton & Williams]

                                  Schedule IA-1

<PAGE>

                                                                     SCHEDULE IB

                         Initial Mortgage Loan Schedule

                         [On File at Hunton & Williams]

                                  Schedule IB-1

<PAGE>

                                                                    SCHEDULE IIA

                          Subsequent Contract Schedule

                                 Schedule IIA-2

<PAGE>

                                                                    SCHEDULE IIB

                        Subsequent Mortgage Loan Schedule

                                 Schedule IIB-1

<PAGE>

                                                                    SCHEDULE III

           Class A-IO Certificate Notional Principal Balance Schedule

<TABLE>
<CAPTION>
 Distribution         Notional       Distribution        Notional       Distribution       Notional
    Date              Balance            Date            Balance            Date           Balance
    ----              -------            ----            -------            ----           -------
<S>                 <C>             <C>                <C>             <C>                <C>
September 2002      $55,600,000     May 2005           $41,500,000     January 2008       $28,200,000
October 2002         55,600,000     June 2005           40,100,000     February 2008       28,200,000
November 2002        55,600,000     July 2005           40,100,000     March 2008          27,200,000
December 2002        54,500,000     August 2005         40,100,000     April 2008          27,200,000
January 2003         54,500,000     September 2005      38,700,000     May 2008            27,200,000
February 2003        54,500,000     October 2005        38,700,000     June 2008           26,200,000
March 2003           53,200,000     November 2005       38,700,000     July 2008           26,200,000
April 2003           53,200,000     December 2005       37,400,000     August 2008         26,200,000
May 2003             53,200,000     January 2006        37,400,000     September 2008      25,300,000
June 2003            51,900,000     February 2006       37,400,000     October 2008        25,300,000
July 2003            51,900,000     March 2006          36,100,000     November 2008       25,300,000
August 2003          51,900,000     April 2006          36,100,000     December 2008       24,400,000
September 2003       50,500,000     May 2006            36,100,000     January 2009        24,400,000
October 2003         50,500,000     June 2006           34,900,000     February 2009       24,400,000
November 2003        50,500,000     July 2006           34,900,000     March 2009          23,500,000
December 2003        49,000,000     August 2006         34,900,000     April 2009          23,500,000
January 2004         49,000,000     September 2006      33,700,000     May 2009            23,500,000
February 2004        49,000,000     October 2006        33,700,000     June 2009           22,700,000
March 2004           47,500,000     November 2006       33,700,000     July 2009           22,700,000
April 2004           47,500,000     December 2006       32,500,000     August 2009         22,700,000
May 2004             47,500,000     January 2007        32,500,000     September 2009      21,900,000
June 2004            46,000,000     February 2007       32,500,000     October 2009        21,900,000
July 2004            46,000,000     March 2007          31,400,000     November 2009       21,900,000
August 2004          46,000,000     April 2007          31,400,000     December 2009       21,100,000
September 2004       44,500,000     May 2007            31,400,000     January 2010        21,100,000
October 2004         44,500,000     June 2007           30,300,000     February 2010       21,100,000
November 2004        44,500,000     July 2007           30,300,000     March 2010          20,300,000
December 2004        43,000,000     August 2007         30,300,000     April 2010          20,300,000
January 2005         43,000,000     September 2007      29,200,000     May 2010            20,300,000
February 2005        43,000,000     October 2007        29,200,000     June 2010           19,600,000
March 2005           41,500,000     November 2007       29,200,000     July 2010           19,600,000
April 2005           41,500,000     December 2007       28,200,000     August 2010         19,600,000
</TABLE>

                                 Schedule III-1

<PAGE>

                                                                     SCHEDULE IV

                               SERIES TRANSACTIONS

<TABLE>
<CAPTION>
                                                                Date of Original
                      Series                             Pooling & Servicing Agreement
                      ------                             -----------------------------
<S>                                                      <C>
Oakwood Mortgage Investors, Inc., Series 1995-B                 October 1, 1995
Oakwood Acceptance Corporation, Series 1996-1                    April 1, 1996
Oakwood Mortgage Investors, Inc., Series 1996-A                 February 1, 1996
Oakwood Mortgage Investors, Inc., Series 1996-B                   July 1, 1996
Oakwood Mortgage Investors, Inc., Series 1996-C                 October 1, 1996
Oakwood Mortgage Investors, Inc., Series 1997-A                 February 1, 1997
Oakwood Mortgage Investors, Inc., Series 1997-B                   May 1, 1997
Deutsche Financial Capital Securitization LLC,
  Series 1997-I                                                   June 1, 1997
Oakwood Mortgage Investors, Inc., Series 1997-C                  August 1, 1997
Oakwood Mortgage Investors, Inc., Series 1997-D                 November 1, 1997
Deutsche Financial Capital Securitization, LLC,
  Series 1998-I                                                 January 1, 1998
Oakwood Mortgage Investors, Inc., Series 1998-A                 February 1, 1998
Oakwood Mortgage Investors, Inc., Series 1998-B                   May 1, 1998
Oakwood Mortgage Investors, Inc., Series 1998-C                  August 1, 1998
Oakwood Mortgage Investors, Inc., Series 1998-D                 October 1, 1998
Oakwood Mortgage Investors, Inc., Series 1999-A                 January 1, 1999
Oakwood Mortgage Investors, Inc., Series 1999-B                  April 1, 1999
Oakwood Mortgage Investors, Inc., Series 1999-C                   June 1, 1999
Oakwood Mortgage Investors, Inc., Series 1999-D                  August 1, 1999
Oakwood Mortgage Investors, Inc., Series 1999-E                 November 1, 1999
Oakwood Mortgage Investors, Inc., Series 2000-A                  March 1, 2000
Oakwood Mortgage Investors, Inc., Series 2000-B                   June 1, 2000
Oakwood Mortgage Investors, Inc., OMI Note Trust
  2001-A                                                       February 26, 2001
Oakwood Mortgage Investors, Inc., Series 2001-B                 February 1, 2001
Oakwood Mortgage Investors, Inc., Series 2001-C                   May 1, 2001
Oakwood Mortgage Investors, Inc., Series 2001-D                  August 1, 2001
Oakwood Mortgage Investors, Inc., Series 2001-E                 November 1, 2001
Oakwood Mortgage Investors, Inc., Series 2002-A                 February 1, 2002
Oakwood Mortgage Investors, Inc., Series 2002-B                   May 1, 2002
Oakwood Mortgage Investors, Inc., Series 2002-C                  August 1, 2002
</TABLE>

                                 Schedule IV-1

<PAGE>

                                                                      EXHIBIT PF

          Form of Notice and Direction to Trustee under Section 9(b)(i)

                                   __________
                                      date

JPMorgan Chase Bank,
as Trustee
450 West 33/rd/ Street
New York, New York 10001

                 Oakwood Mortgage Investors, Inc., Series 2002-C
               Notification and Direction to the Trustee Regarding
                   Transfer of Subsequent Assets to the Trust

Ladies and Gentlemen:

     Pursuant to Section 9(b)(i) of the Pooling and Servicing Agreement, dated
as of August 1, 2002, by and among Oakwood Mortgage Investors, Inc., a Nevada
corporation ("OMI"), Oakwood Acceptance Corporation, LLC, a Delaware limited
liability company, and JPMorgan Chase Bank, as Trustee (the "Trustee"), the
undersigned hereby notify and direct you, as Trustee, that on ___________, 2002
(the "Subsequent Transfer Date") OMI will transfer to the Trustee on behalf of
the Trust the additional assets identified on Schedule A attached hereto (the
"Subsequent Assets") with a principal balance as of the Subsequent Transfer Date
of $______________ (the "Subsequent Asset Balance"). In consideration for the
delivery by OMI to the Trust of the Subsequent Assets, the undersigned hereby
direct you to withdraw an amount from the Pre-Funding Account equal to the
Subsequent Asset Balance on the Subsequent Asset Transfer Date and pay such
amount to or upon the order of OMI with respect to this transfer and assignment.
Capitalized terms used but not defined herein shall have the meanings assigned
to such terms in the Pooling and Servicing Agreement.

                                                OAKWOOD MORTGAGE INVESTORS, INC.

                                                By: ____________________________
                                                    Name:
                                                    Title:

                                  Exhibit PF-1

<PAGE>

                                                                      Exhibit SC

                      Form of Servicer Certification Letter

                                   __________
                                      date

JPMorgan Chase Bank,
as Trustee
450 West 33/rd/ Street
New York, New York 10001

                 Oakwood Mortgage Investors, Inc., Series 2002-C
               Notification and Direction to the Trustee Regarding
                   Transfer of Subsequent Assets to the Trust

Ladies and Gentlemen:

     For the year ending on December 31, 20__ and in accordance with Section
15(a)(ii) of the Pooling and Servicing Agreement, dated as of August 1, 2002, by
and among Oakwood Mortgage Investors, Inc., a Nevada corporation ("OMI"),
Oakwood Acceptance Corporation, LLC, a Delaware limited liability company, and
JPMorgan Chase Bank, as Trustee (the "Trustee"), we hereby certify the following
matters concerning the following matters for the Oakwood Mortgage Investors,
Inc., Senior/Subordinated Pass-Through Certificates, Series 2002-C, that we
service for JPMorgan Chase Bank:

     1.   Taxes, MIP and Insurance premiums and reserve for replacement
          repayments have been properly collected and applied in accordance with
          the mortgage, regulatory agreement and other appropriate documents.

     2.   Property Insurance is at FHA required levels and is in full force.

     3.   All payments due under the terms of the mortgage have been properly
          collected and applied to a Custodial Account titled ("Servicer" in
          trust for JPMorgan Chase Bank and name of the specific mortgagor).
          Enclose a copy of the most recent bank statement for the account.

     4.   Our servicer's fidelity bond and errors and omissions insurance are
          current and comply with the requirements of the insurance. Attached is
          a copy of the current binder.

     5.   Our qualification as a FHA approved Mortgagee is in full force and
          effect.

     6.   An annual property inspection has been completed for the year ending
          December 31, 20__ and is attached.

                                  Exhibit SC-1

<PAGE>

     7.   All U.C.C.s required under the terms of the mortgage loan documents
          are current.

                                        Oakwood Acceptance Corporation, LLC

                                        By:_________________________________
                                           Name:
                                           Title:

                                  Exhibit SC-2

<PAGE>

                                                                      Exhibit 10

                           Form of 10-K Certification

                                  CERTIFICATION

I, [identify the certifying individual], certify that:

     1.   I have reviewed this annual report on Form 10-K, and all reports on
          Form 8-K containing distribution of servicing reports filed in respect
          of periods included in the year covered by this annual report, of OMI
          Trust ____ - _____;

     2.   Based on my knowledge, the information in these reports, taken as a
          whole, does not contain any untrue statements of a material fact or
          omit to state a material fact necessary to make the statements made,
          in light of the circumstances under which such statements were made,
          not misleading as of the last day of the period covered by this annual
          report;

     3.   Based on my knowledge, the distribution or servicing information
          required to be provided to the trustee by the servicer under the
          pooling and servicing agreement is included in these reports;

     4.   I am responsible for reviewing the activities performed by the
          servicer under the pooling and servicing agreement and based upon the
          review required under the pooling and servicing agreement, and except
          as disclosed in the report, the servicer has fulfilled its obligations
          under the pooling and servicing agreement; and

     5.   I have disclosed to the registrant's certified public accountants all
          significant deficiencies relating to the servicer's compliance with
          the minimum servicing standards in accordance with a review conducted
          in compliance with the Uniform Single Attestation Program for Mortgage
          Bankers or similar standard as set forth in the pooling and servicing
          agreement.

Date:  ____________________

                                           ________________________
                                                  [Signature]
                                                    [Title]

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