Document:

exv10w14

 

Exhibit 10.14

HORIZON BANCORP

2005 SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN

(Effective as of January 1, 2005)

Krieg DeVault LLP

One Indiana Square, Suite 2800

Indianapolis, IN 46204-2079

www.kriegdevault.com

 

 

HORIZON BANCORP

2005 SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN

TABLE OF CONTENTS

	 	 	 	 	 	 	 	 	 
	 	 	 	 	PAGE
	ARTICLE I INTRODUCTION 1	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	Section 1.1
	 	Purpose
	 	 	1	 
	 

	 	Section 1.2
	 	Effective Date; Plan Year
	 	 	1	 
	 

	 	Section 1.3
	 	Administration
	 	 	1	 
	 

	 	Section 1.4
	 	Affiliates
	 	 	1	 
	 

	 	Section 1.5
	 	Supplements
	 	 	1	 
	 

	 	Section 1.6
	 	Definitions
	 	 	1	 
	 
	 	 	 	 	 	 	 	 
	ARTICLE II ELIGIBILITY AND PARTICIPATION	 	 	2	 
	 
	 	 	 	 	 	 	 	 
	 

	 	Section 2.1
	 	Eligibility
	 	 	2	 
	 

	 	Section 2.2
	 	Participation
	 	 	2	 
	 
	 	 	 	 	 	 	 	 
	ARTICLE III CONTRIBUTIONS AND ALLOCATIONS	2	 
	 
	 	 	 	 	 	 	 	 
	 

	 	Section 3.1
	 	Employee Deferral Contributions
	 	 	2	 
	 

	 	Section 3.2
	 	Deferral Elections
	 	 	3	 
	 

	 	Section 3.3
	 	Company Matching Contributions
	 	 	4	 
	 

	 	Section 3.4
	 	Supplemental Contributions
	 	 	5	 
	 

	 	Section 3.5
	 	Plan Account
	 	 	5	 
	 

	 	Section 3.6
	 	Investment Credits
	 	 	5	 
	 

	 	Section 3.7
	 	Account Allocations
	 	 	5	 
	 

	 	Section 3.8
	 	Allocation of Forfeitures
	 	 	5	 
	 

	 	Section 3.9
	 	Military Service
	 	 	5	 
	 
	 	 	 	 	 	 	 	 
	ARTICLE IV BENEFIT PAYMENTS	 	 	6	 
	 
	 	 	 	 	 	 	 	 
	 

	 	Section 4.1
	 	Time of Payment of Benefits
	 	 	6	 
	 

	 	Section 4.2
	 	Method of Payment
	 	 	7	 
	 

	 	Section 4.3
	 	Method of Payment Elections
	 	 	8	 
	 

	 	Section 4.4
	 	Forfeitures on Separation from Service
	 	 	8	 
	 

	 	Section 4.5
	 	Disability and Death
	 	 	8	 
	 

	 	Section 4.6
	 	Unforeseeable Emergency
	 	 	9	 
	 

	 	Section 4.7
	 	Acceleration of Time of Payment
	 	 	9	 

i

 

	 	 	 	 	 	 	 	 	 
	 	 	 	 	
	ARTICLE V PLAN ADMINISTRATION	 	 	11	 
	 
	 	 	 	 	 	 	 	 
	 

	 	Section 5.1
	 	Appointment of the Committee
	 	 	11	 
	 

	 	Section 5.2
	 	Powers and Responsibilities of the Committee
	 	 	11	 
	 

	 	Section 5.3
	 	Liabilities
	 	 	12	 
	 

	 	Section 5.4
	 	Income and Employment Tax Withholding
	 	 	12	 
	 
	 	 	 	 	 	 	 	 
	ARTICLE VI BENEFIT CLAIMS	 	 	13	 
	 
	 	 	 	 	 	 	 	 
	ARTICLE VII FUNDING AND TRANSFERS	 	 	13	 
	 
	 	 	 	 	 	 	 	 
	 

	 	Section 7.1
	 	Unfunded Status
	 	 	13	 
	 

	 	Section 7.2
	 	Trust
	 	 	13	 
	 

	 	Section 7.3
	 	Change in Control
	 	 	13	 
	 
	 	 	 	 	 	 	 	 
	ARTICLE VIII AMENDMENT AND TERMINATION OF THE PLAN	15	 
	 
	 	 	 	 	 	 	 	 
	 

	 	Section 8.1
	 	Amendment of the Plan
	 	 	16	 
	 

	 	Section 8.2
	 	Termination of the Plan
	 	 	16	 
	 
	 	 	 	 	 	 	 	 
	ARTICLE IX PARTICIPATION BY AFFILIATES	 	 	16	 
	 
	 	 	 	 	 	 	 	 
	 

	 	Section 9.1
	 	Affiliate Participation
	 	 	16	 
	 

	 	Section 9.2
	 	Horizon Bancorp Action Binding on Other Employers
	 	 	16	 
	 
	 	 	 	 	 	 	 	 
	ARTICLE X MISCELLANEOUS	 	 	16	 
	 
	 	 	 	 	 	 	 	 
	 

	 	Section 10.1
	 	Governing Law
	 	 	16	 
	 

	 	Section 10.2
	 	Headings and Gender
	 	 	16	 
	 

	 	Section 10.3
	 	Spendthrift Clause
	 	 	16	 
	 

	 	Section 10.4
	 	Counterparts
	 	 	16	 
	 

	 	Section 10.5
	 	No Enlargement of Employment Rights
	 	 	17	 
	 

	 	Section 10.6
	 	Limitations on Liability
	 	 	17	 
	 

	 	Section 10.7
	 	Incapacity of Participant or Beneficiary
	 	 	17	 
	 

	 	Section 10.8
	 	Evidence
	 	 	17	 
	 

	 	Section 10.9
	 	Action by Company or Committee
	 	 	17	 
	 

	 	Section 10.10
	 	Severability
	 	 	17	 
	 

	 	Section 10.11
	 	Information to be Furnished by a Participant
	 	 	17	 
	 

	 	Section 10.12
	 	Binding on Successors
	 	 	17	 

ii

 

ARTICLE 1

INTRODUCTION

     Section 1.1 Purpose. The purpose of the Horizon Bancorp 2005 Supplemental
Executive Retirement Plan (the “Plan”) is to provide certain management or highly compensated
employees of Horizon Bancorp (the “Company”) and its Affiliates supplemental retirement benefits to
help recompense the employees for benefits reduced under the Horizon Bancorp Employees’ Thrift Plan
(the “Thrift Plan”) due to benefit limits imposed by the Internal Revenue Code of 1986, as amended
(the “Code”) and to permit the deferral of additional compensation. It is the intention of the
Company that the Plan constitute an unfunded arrangement maintained for the purpose of providing
deferred compensation for a select group of management or highly compensated employees for federal
income tax purposes and for purposes of Title I of the Employee Retirement Income Security Act of
1974, as amended (“ERISA”), and a deferred compensation arrangement that complies with Code
Section 409A. Consequently, the Plan will be administered and its provisions interpreted
consistently with that intention.

     Section 1.2 Effective Date; Plan Year. The “Effective Date” of the Plan is
January 1, 2005. The “Plan Year” is the 12-month period beginning on each January 1 and ending on
the next following December 31.

     Section 1.3 Administration. The Plan will be administered by the Compensation
Committee (the “Committee”) of the Company’s Board of Directors (the “Board”). The Committee, from
time to time, may adopt any rules and procedures it deems necessary or desirable for the proper and
efficient administration of the Plan that are consistent with the terms of the Plan. Any notice or
document required to be given or filed with the Committee will be properly given or filed if
delivered to or mailed, by registered mail, postage paid, to the Compensation Committee of the
Board of Directors, Horizon Bancorp, 515 Franklin Square, Michigan City, Indiana 46360, Attention:
Human Resource Department.

     Section 1.4 Affiliates. Any corporation or trade or business whose employees
are treated as being employed by the Company under Code Sections 414(b), 414(c), 414(m) or 414(o)
(an “Affiliate”) may adopt the Plan with the Company’s consent in accordance with Section 9.1.

     Section 1.5 Supplements. The provisions of the Plan may be modified by
supplements to the Plan. The terms and provisions of each supplement are a part of the Plan and
supersede any other provisions of the Plan to the extent necessary to eliminate any inconsistencies
between the supplement and any other Plan provisions.

     Section 1.6 Definitions. The following terms are defined in the Plan in the
following Sections:

	 	 	 
	Term	 	Plan Section
	Acceleration Event
	 	4.7
	Account
	 	3.5
	Adverse Benefit Determination
	 	A-3
	Affiliate
	 	1.4
	Benefit Claim
	 	A-1

1

 

	 	 	 
	Term	 	Plan Section
	Board
	 	1.3
	Claimant
	 	A-1
	Code
	 	1.1
	Committee
	 	1.3
	Company
	 	1.1
	Company Matching Contributions
	 	3.3(a)
	Compensation
	 	3.1
	Disabled
	 	4.5(b)
	Effective Date
	 	1.2
	Employee Deferral Contributions
	 	3.1
	ERISA
	 	1.1
	FICA Amount
	 	4.7(c)
	Identification Date
	 	4.1(d)
	Key Employee
	 	4.1(d)
	Matching Contribution
	 	3.3(c)
	Participant
	 	2.2
	Plan
	 	1.1
	Plan Year
	 	1.2
	Separation from Service
	 	4.1(b)
	Specified Employee
	 	4.1(d)
	Supplemental Contribution
	 	3.4
	Termination of Employment
	 	4.1(b)
	Thrift Plan
	 	1.1
	Unforeseeable Emergency
	 	3.2(f)

ARTICLE II

ELIGIBILITY AND PARTICIPATION

     Section 2.1 Eligibility. Any salaried employee who is employed by the Company
or Horizon Bank, N.A. or another “Affiliate” that has adopted the Plan under Article IX is eligible
to become a “Participant” in the Plan provided the employee is designated as a Participant by the
Committee in writing.

     Section 2.2 Participation. A designated employee will become a “Participant”
as of the later of the Effective Date or the date specified by the Committee. A Participant may be
removed as an active Participant by the Committee, effective as of any date, so that the
Participant will not be entitled to accrue additional benefits under Sections 3.3 or 3.4 on or
after that date.

ARTICLE III

CONTRIBUTIONS AND ALLOCATIONS

     Section 3.1 Employee Deferral Contributions. Subject to the terms and limitations of
this Article, a Participant may elect, pursuant to Section 3.2, to have a portion of the
Participant’s Compensation payable in any Plan Year withheld by the Company or an Affiliate

2

 

and credited as an “Employee Deferral Contribution” under the Plan. The term “contribution”
is used for ease of reference; however, contributions are merely credits to each Participant’s
Account, which is a bookkeeping account.

     The term “Compensation,” for purposes of the Plan, means the total cash compensation paid to
the Participant by the Company or an Affiliate during a Plan Year (including the compensation that,
but for the deferral election made under this Section or an election made under a Code Section 125
Plan or the Thrift Plan would have been paid to the Participant) for services rendered as an
employee, including overtime pay, commissions and bonuses, but excluding fringe benefits, welfare
benefits, deferred compensation and reimbursements (including moving expenses) and expense
allowances. Compensation does not include wages received upon the exercise by a Participant of a
stock appreciation right received under any plan provided by the Company or its Affiliates.

     Section 3.2 Deferral Elections. Employee Deferral Contributions will be
withheld from a Participant’s Compensation in accordance with the following terms and conditions.

	 	(a)	 	Requirement for Deferral Elections. As a condition to the Company’s or
an Affiliate’s obligation to withhold and the Committee’s obligation to credit Employee
Deferral Contributions for the benefit of a Participant pursuant to Section 3.1, the
Participant must complete and file a deferral election form with the Committee (in a
format prescribed by the Committee).
	 
	 	(b)	 	Timing of Execution and Delivery of Elections. To be effective to
defer any portion of a Participant’s Compensation, a deferral election form must be
filed with the Committee on or prior to the last day of the calendar year preceding the
Plan Year in which the services giving rise to the Compensation are performed. For
example, to defer Compensation payable with respect to services performed during the
2007 Plan Year, an election must be filed on or before December 31, 2006.
	 
	 	(c)	 	Maximum Deferral. For Plan Years beginning on and after January 1,
2007, the Participant may elect to defer as an Employee Deferral Contribution for a
Plan Year, up to 25 percent of the Participant’s Compensation. For Plan Years ending
prior to January 1, 2007, the Participant could elect to defer an overall percentage
(or dollar amount) which represented the total amount of deferrals to both the Thrift
Plan and the Plan, and such amount could not exceed 75 percent of such Participant’s
Compensation for such Plan Year.
	 
	 	(d)	 	Initial Eligibility. In the case of the first Plan Year in which an
individual becomes a Participant, the deferral election form may be filed with the
Committee at any time within 30 days of the date the individual becomes a Participant
(rather than the date specified under subsection 3.2 (b)). This initial election will
only apply to Compensation paid for services performed after the filing of the deferral
election form. This special initial eligibility election rule will not apply if the
Participant is or has been a participant in a deferred compensation arrangement
required to be aggregated with the Plan under the rules of Code Section 409A.
	 
	 	(e)	 	Change of Deferral Elections. Subject to the provisions of subsection
3.2(f), once made, a deferral election will remain in effect for a Plan Year unless and
until the election is revoked or a new election filed. The revocation or new

3

 

	 	 	 	election must be filed in accordance with the requirements of subsection 3.2(b). No
deferral election may be changed for Compensation payable for a Plan Year after the
last day of the election period described in subsection 3.2 (b). For example,
except as provided in Section 3.2(f), any election in place for 2007 Compensation
may not be changed after December 31, 2006.

	 	(f)	 	Unforeseeable Emergency. The Committee, in its sole discretion, may
cancel a Participant’s election to defer Compensation if the Committee determines the
Participant has suffered an “Unforeseeable Emergency.” The cancellation will apply to
the period after the Committee’s determination. The Participant must submit a signed
statement of the facts causing the severe financial hardship and any other information
required by the Committee, in its sole discretion. An “Unforeseeable Emergency” is a
severe financial hardship of the Participant or beneficiary resulting from an illness
or accident of the Participant or beneficiary, the Participant’s or beneficiary’s
spouse, or the Participant’s or beneficiary’s dependent (as defined in Code Section
152(a)); loss of the Participant’s or beneficiary’s property due to casualty (including
the need to rebuild a home following damage to a home not otherwise covered by
insurance, for example, not as a result of a natural disaster); imminent foreclosure of
or eviction from the Participant’s primary residence; the need to pay for medical
expenses, including non-refundable deductibles, as well as for the costs of
prescription drug medication; the need to pay for the funeral expenses of a spouse or a
dependent (as defined in Code Section 152(a)) or other similar extraordinary and
unforeseeable circumstances arising as a result of events beyond the control of the
Participant or beneficiary. An Unforeseeable Emergency will be deemed to occur if a
Participant receives a hardship withdrawal from the Thrift Plan pursuant to Code
Section 401(k) and Treasury Regulation Section 1.401(k)-1(d)(3).

     Section 3.3 Company Matching Contributions.

	 	(a)	 	Amount of Company Matching Contribution. The Company and its
Affiliates may, as determined by the Committee, in its sole discretion, make “Company
Matching Contributions” to Participant Accounts each Plan Year, in an amount determined
by the Committee in its sole discretion.
	 
	 	(b)	 	Allocation of Company Matching Contribution. Any Company Matching
Contributions made under subsection 3.3(a) for a Plan Year will be allocated and
credited to the Accounts of Participants, according to the Employee Deferral
Contributions credited under Section 3.1 for the Plan Year.
	 
	 	(c)	 	Timing of Contribution. A Company Matching Contribution contributed
for the benefit of a Participant for a Plan Year will be credited to a Participant’s
Account monthly.
	 
	 	(d)	 	Maximum Company Matching Contribution. Company Matching Contributions
made for the benefit of a Participant for any Plan Year will not exceed $25,000. This
limit can be changed prior to the beginning of any Plan Year by Resolution of the
Committee.

4

 

     Section 3.4 Supplemental Contributions. The Company and its Affiliates may,
as determined by the Committee in its sole discretion, make “Supplemental Contributions” under the
Plan, in accordance with subsections 3.4(a) and (b).

	 	(a)	 	Amount of Contribution. The Company may, but is not required to,
credit to a Participant’s Account such amount as the Committee may in its discretion
determine from time to time, which amount will constitute a Supplemental Contribution
under the Plan.
	 
	 	(b)	 	Timing of Contribution. A Supplemental Contribution may be credited to
a Participant’s Account at any time.

     Section 3.5 Plan Account. The Committee will establish and maintain an
“Account” under the Plan for each Participant and will increase and decrease a Participant’s
Account as provided in Section 3.7.

     Section 3.6 Investment Credits.. A Participant’s Account will be increased or
decreased to reflect the increase or decrease in the value of the Account established for the
Participant. The amount of interest credited will be determined based on the investment earnings
under the funding method(s) used by the Company pursuant to Section 7.2. However, if no such
method is used, earnings and losses on the Participant’s Account will be determined by treating the
Participant’s Account as if such balance were hypothetically invested in five-year U.S. Treasury
Bonds, at the rate published in the Wall Street Journal as in effect as of the first business day
of each calendar month, plus 200 basis points, but not to exceed 120% of the Applicable Long Term
Federal rate for monthly compounding. In the event any Participant is entitled to a distribution
of the Account under Article IV, the increase or decrease in the value of the Account will be
allocated as of the last day of the month immediately preceding the month in which the payment to
the Participant will be made.

     Section 3.7 Account Allocations. As of each accounting date, each
Participant’s Account will be:

	 	(i)	 	Increased by the amount credited to the Account under Sections
3.1, 3.3, 3.4 and 3.8 since the last accounting;
	 
	 	(ii)	 	Increased or decreased by the amount determined under Section
3.6 since the last accounting; and
	 
	 	(iii)	 	Decreased by any payment made under Article IV.

The accounting date under this Section will be any date determined by the Committee. However, the
accounting required under this Section must be made, at a minimum, as of the last day of each Plan
Year.

     Section 3.8 Allocation of Forfeitures The amount, if any, of a Participant’s
Company Matching Contributions and Supplemental Contributions forfeited under Section 4.4 will
revert to the Company and its Affiliates.

     Section 3.9 Military Service. Notwithstanding any provision of this Plan to
the contrary, contributions and benefits with respect to qualified military service will be
provided in accordance with Code Section 414(u).

5

 

ARTICLE IV

BENEFIT PAYMENTS

     Section 4.1 Time of Payment of Benefits. Except as provided in Sections 4.5
through 4.7, a Participant will receive or will begin to receive payment of his vested Account
balance within 90 days following the date specified for payment or the commencement of payment
effectively elected by the Participant, as provided in this Section.

	 	(a)	 	Timing of Execution and Delivery of Payment Election. A Participant
may elect the date his vested Account balance will be paid or will begin to be paid by
completing and filing with the Committee a payment election form approved by the
Committee. The specified date must be a date at least two years from the beginning of
the Plan Year for which the first deferral under the Plan is made. To be effective,
the election under this Section must be filed with the Committee no later than the
later of: (i) the time the Participant first makes a deferral election under this Plan
(or under any other plan required to be aggregated with this Plan pursuant to the
requirements of Code Section 409A); or (ii) December 31, 2006. In lieu of specifying a
date certain, a Participant may elect to have payment made or commenced within a
specified period of time following the date the Participant experiences a Separation
from Service (as defined in subsection 4.1(b)). If no date is specified, payment will
be made or commenced within 90 days following the Participant’s Separation from
Service.
	 
	 	(b)	 	Separation from Service. “Separation from Service” means the date on
which the Participant dies, retires or otherwise experiences a Termination of
Employment with the Company. Provided, however, a Separation from Service does not
occur if the Participant is on military leave, sick leave, or other bona fide leave of
absence (such as temporary employment by the government) if the period of such leave
does not exceed six months, or if the leave is for a longer period, so long as the
individual’s right to reemployment with the Company is provided either by statute or by
contract. If the period of leave exceeds six months and the Participant’s right to
reemployment is not provided either by statute or contract, there will be a Separation
from Service on the first date immediately following such six-month period. A
Participant will incur a “Termination of Employment” when a termination of employment
is incurred under Proposed Treasury Regulation 1.409A-1(h)(ii) or any final version of
such Proposed Regulation.
	 
	 	(c)	 	Change of Payment Election. An election as to the date payment will be
made or commenced may be changed by a Participant by filing a new payment election form
with the Committee; provided, however, that: (i) the new election will not take effect
until at least 12 months after the date the new election is filed, (ii) the single
lump-sum payment or the commencement of installment payments will be delayed for a
period of not less than five years from the date the payment or first payment would
otherwise have been made, and (iii) the new election is filed with the Committee at
least 12 months prior to the date of the first scheduled payment under the Plan.
	 
	 	(d)	 	Suspension of Payments to Specified Employees. If a benefit is payable
to a Participant under the Plan due to the Participant’s Separation from Service, for

6

 

	 	 	 	any reason other than death, and if at the time of the Separation from Service the
Participant is a “Specified Employee,” payment of all amounts to the Participant under
the Plan will be suspended for six months following the Participant’s Separation from
Service. If the Participant elected to receive payment of his benefit in the form of
installments, payment of any installments that the Participant was otherwise entitled
to receive during the six-month suspension period will be accumulated and paid in the
form of a lump sum on the first day following the six-month suspension period. The
remainder of the Participant’s benefit will then continue distribution in the manner
and at the time elected by the Participant. If the Participant elected to receive
payment of his benefit in the form of a lump sum, he will receive payment of that
amount on the first day following the six-month suspension period. If the Participant
incurs a Separation from Service due to death, regardless of whether the Participant
meets the definition of a Specified Employee, payment of his benefit will not be
suspended.

	 	(i)	 	A “Specified Employee” means a Participant who is a “Key
Employee” at a time when the Company’s stock is publicly traded on an
established securities market. A Participant will be a Specified Employee on
the first day of the fourth month following any Identification Date on which
the Participant is a Key Employee.
	 
	 	(ii)	 	A Participant is a “Key Employee” if at any time during the
12-month period ending on an “Identification Date” the Participant is: (A) an
officer of the Company or an Affiliate having annual compensation greater than
$130,000 (as adjusted in the same manner as under Code Section 415(d) except
that the base period will be the calendar quarter beginning July 1, 2001, and
any increase under this sentence which is not a multiple of $5,000 will be
rounded to the next lower multiple of $5,000); (B) a five-percent owner of the
Company; or (C) a one-percent owner of the Company having an annual
compensation greater than $150,000. For purposes of determining whether a
Participant is an officer under clause (A), nor more than 50 employees (or, if
lesser, the greater of 3 or 10 percent of the employees) will be treated as
officers, and those categories of employees listed in Code Section 414(q)(5)
will be excluded.
	 
	 	(iii)	 	The Identification Date for purposes of this Plan is December
31 of each Plan Year.

     Section 4.2 Method of Payment. Except as provided in Sections 4.5 through
4.7, the balance of a Participant’s vested Account will be distributed in cash in one of the
following methods effectively elected by the Participant:

	 	(a)	 	A single lump sum payment;
	 
	 	(b)	 	Annual installment payments over a period of 3 to 12 years; or
	 
	 	(c)	 	A combination of the methods specified in subsections (a) and (b).

7

 

     Section 4.3 Method of Payment Elections.

	 	(a)	 	Initial Election. A Participant may elect the manner in which his
vested Account balance will be paid to him under Section 4.2 in accordance with the
terms and conditions of this Section. To make an election, a Participant must file an
election with the Committee (on a form or forms prescribed by the Committee). To be
effective, the election under this Section must be filed with the Committee no later
than the later of: (i) the time the Participant first makes a deferral election under
the Plan (or under any other plan required to be aggregated with this Plan pursuant to
the requirements of Code Section 409A); or (ii) December 31, 2006. If no election is
made or if the election is not timely or properly made, distribution will be made in
the form of three substantially equal annual installments.
	 
	 	(b)	 	Change of Method of Payment Election. An election as to the manner of
payment may not be changed after the payment has been made or payments have commenced.
Prior to that time, a Participant may change his election by filing a new election form
with the Committee; provided, however, that: (i) the new election will not take effect
until at least 12 months after the date the new election is filed; (ii) the single lump
sum payment or the commencement of installment payments with respect to which such
election is made must be deferred for a period of not less than five years from the
date such payment would otherwise have been made; and (iii) the new election is filed
at least 12 months prior to the date of the first scheduled payment under the Plan.
	 
	 	(c)	 	Installments. If installment distributions are elected, the initial
annual installment amount will be the Account balance otherwise payable in a single sum
multiplied by a fraction, the numerator of which is one and the denominator of which is
the total number of installment payments. Subsequent annual installments will also be
a fraction of the unpaid Account balance, the numerator of which is always one but the
denominator of which is the denominator used in calculating the previous installment
minus one. For example, if five annual installment payments are elected, the initial
installment will be one-fifth of the vested single sum Account balance, the second
installment will be one-fourth of the remaining vested Account balance and the third
installment will be one-third of the remaining vested Account balance, and so on.

     Section 4.4 Forfeitures on Separation from Service. A Participant’s Account
will not be subject to forfeiture or reversion to the Company hereunder. Provided, however, to the
extent specified by the Committee, the Participant’s Company Matching Contributions and
Supplemental Contributions under the Plan will be subject to forfeiture upon the Participant’s
Separation from Service, prior to his completion of such number of “Years of Service” as determined
by the Committee, under circumstances other than any one of the following: (i) the death of the
Participant while still employed; (ii) the Committee’s determination that the Participant is
Disabled; or (iii) a Participant’s retirement on or after attaining age sixty-five (65). For
purposes of this Section, a Year of Service means each Plan Year (commencing on and after the
date of the Participant’s first day of participation in this Plan) during which the employee has
completed one thousand (1,000) Hours of Service for the Employer, as defined in the Thrift Plan.

     Section 4.5 Disability and Death. Subject to the provisions of subsection
4.1(d), in the event a Participant Separates from Service due to the Participant’s Disability or if
the Participant

8

 

dies or becomes Disabled before he has received his entire Account balance, the unpaid balance
will be paid to the Participant, or in the event of his death to his designated beneficiary or
beneficiaries, in a single lump sum within 90 days of a determination by the Committee that the
Participant is Disabled or within 90 days of the Participant’s death.

	 	(a)	 	Beneficiary Designations. A Participant may designate a beneficiary or
beneficiaries to receive any amount payable under this Section as a result of his
death. A Participant may change his designation of beneficiaries at any time by filing
with the Committee a written notice of the change on a form approved by the Committee.
Each beneficiary designation filed with the Committee will cancel all previously filed
beneficiary designations. If no designation is in effect on the Participant’s death,
or if the designated beneficiary does not survive the Participant, his beneficiary will
be his surviving spouse, if any, and then his estate.
	 
	 	(b)	 	Disabled. A Participant is “Disabled” for purposes of the Plan if the
Participant in question is unable to engage in any substantial gainful activity by
reason of any medically determinable physical or mental impairment which can be
expected to result in death or can be expected to last for a continuous period of not
less than 12 months. A Participant who, by reason of any medically determinable
physical or mental impairment that can be expected to result in death or last for a
continuous period of not less than 12 months, is receiving income replacement benefits
for a period of not less than three months under an accident and health plan sponsored
by an Employer will be deemed to be Disabled. The Committee will be the sole and final
judge of whether a Participant is Disabled for purposes of this Plan, after
consideration of any evidence it may require, including the reports of any physician or
physicians it may designate.

     Section 4.6 Unforeseeable Emergency. In the event the Committee determines in
its sole discretion that a Participant has experienced an Unforeseeable Emergency, all or a portion
of a Participant’s vested Account may be distributed no later than 90 days following such
determination, in a single lump sum payment. The Participant must submit a signed statement of the
facts causing the severe financial hardship and any other information required by the Committee, in
its sole discretion. Payment under this Section is subject to the following conditions:

	 	(a)	 	The emergency must not be able to be relieved through reimbursement or
compensation from insurance or otherwise, by liquidation of the Participant’s assets,
to the extent liquidation of such assets would not cause severe financial hardship, or
by cessation of deferrals under this Plan.
	 
	 	(b)	 	The amount of the distribution must be limited to the amount reasonably
necessary to satisfy the emergency need (which may include amounts necessary to pay any
Federal, state, or local income taxes or penalties reasonably anticipated to result
from the distribution) and must take into account any additional compensation available
due to cancellation of a deferral election under subsection 3.2(f).

     Section 4.7 Acceleration of Time of Payment. Except as provided in Section
4.6 or this Section, the time or schedule of payment of a Participant’s Account provided in
Sections 4.1 through 4.5 may not be accelerated. The time and schedule of payment of a
Participant’s

9

 

Account may be accelerated in the following circumstances, each of which is an “Acceleration
Event,” to a time that is no later than 90 days following the Committee’s determination that one of
the Acceleration Events has occurred and payment will be made in the form of a single lump sum:

	 	(a)	 	Domestic Relations Order. The time or schedule of a payment from a
Participant’s Account may be accelerated to make a payment to an individual other than
the Participant as may be necessary to fulfill a domestic relations order (as defined
in Code Section 414(p)(1)(B)).
	 
	 	(b)	 	Conflicts of Interest. The time or schedule of a payment from a
Participant’s Account may be accelerated as may be necessary to comply with a
certificate of divestiture (as defined in Code Section 1043(b)(2)).
	 
	 	(c)	 	Payment of Employment Taxes. The time or schedule of a payment from a
Participant’s Account may be accelerated to pay the Federal Insurance Contribution Act
tax imposed under Code Sections 3101, 3121(a) and 3121(v)(a), where applicable, on
compensation deferred under the Plan (the “FICA Amount”) as well as to pay the income
tax at source on wages imposed under Code Section 3401 or the corresponding withholding
provisions of state or local tax laws as a result of payment of the FICA Amount;
provided, however, the total payment under this paragraph (c) will not exceed the
aggregate of the FICA Amount and the related income tax withholding.
	 
	 	(d)	 	Income Inclusion Under Code Section 409A. The time or schedule of a
payment from a Participant’s Account may be accelerated to pay the income tax, interest
and penalties imposed if the Plan fails to meet the requirements of Code Section 409A;
provided, however, such payment will not exceed the amount required to be included in
income as a result of the failure to comply with the requirements of Code Section 409A.
	 
	 	(e)	 	Plan Termination. The time or schedule of payment or commencement of
payments from a Participant’s Account may be accelerated when the Plan is terminated in
accordance with one of the following:

	 	(i)	 	The Company terminates the Plan within 12 months of a corporate
dissolution taxed under Code Section 331, or with the approval of a bankruptcy
court pursuant to 11 U.S.C. §503(b)(1)(A), provided that the amounts deferred
under the Plan are included in the Participants’ gross incomes in the latest
of:

	 	(A)	 	The calendar year in which the Plan termination
occurs;
	 
	 	(B)	 	The calendar year in which the amount is no
longer subject to a substantial risk of forfeiture; or
	 
	 	(C)	 	The first calendar year in which the payment is
administratively practicable.

	 	(ii)	 	The Company’s termination of the Plan within the 30 days
preceding or the 12 months following a change in control event (as defined in
Treasury

10

 

	 	 	 	Regulation §1.409A-2(g)(4)(i)). For purposes of this paragraph the Plan may
be terminated only if all substantially similar arrangements sponsored by
the Company are terminated, so that the Participants in the Plan and all
Participants under substantially similar arrangements are required to
receive all amounts of compensation deferred under the terminated Plan and
other arrangements within 12 months of the date of termination of the Plan
and other arrangements.

	 	(iii)	 	The Company’s termination of the Plan, provided that:

	 	(A)	 	All arrangements sponsored by the Company, that
would be aggregated with any terminated arrangement under Treasury
Regulation §1.409A-1(c) if the Participant participated in all of the
arrangements, are terminated;
	 
	 	(B)	 	No payments other than payments that would be
payable under the terms of the arrangements if the termination had not
occurred are made within 12 months of the termination of the
arrangements;
	 
	 	(C)	 	All payments are made within 24 months of the
termination of the arrangements; and
	 
	 	(D)	 	The Company does not adopt a new arrangement
that would be aggregated with any terminated arrangement under
§1.409A-1(c) if the same Participant participated in both arrangements,
at any time within five years following the date of termination of the
Plan.

	 	(iv)	 	Such other events and conditions as the Internal Revenue
Service may prescribe in generally applicable guidance published in the
Internal Revenue Bulletin.

ARTICLE V

PLAN ADMINISTRATION

     Section 5.1 Appointment of the Committee. The Committee, or a duly authorized
officer or officers of the Company empowered by the Committee to act on its behalf, will be
responsible for administering the Plan, and the Committee will be charged with the full power and
the responsibility for administering the Plan in all its details.

     Section 5.2 Powers and Responsibilities of the Committee.

	 	(a)	 	Committee Powers. The Committee will have all powers
necessary to administer the Plan, including the power to construe and interpret
the Plan documents; to decide all questions relating to an individual’s
eligibility to participate in the Plan; to determine the amount, manner and
timing of any distribution of benefits or withdrawal under the Plan; to resolve
any claim for benefits in accordance with Article VI and Supplement A, and to
appoint or employ advisors, including legal

11

 

	 	 	 	counsel, to render advice with respect to any of the Committee’s
responsibilities under the Plan. Any construction, interpretation, or
application of the Plan by the Committee will be final, conclusive and
binding.
	 
	 	(b)	 	Records and Reports. The Committee will be responsible
for maintaining sufficient records to determine each Participant’s eligibility
to participate in the Plan, and for purposes of determining the amount of
contributions that may be made on behalf of the Participant under the Plan.
	 
	 	(c)	 	Rules and Decisions. The Committee may adopt such
rules as it deems necessary, desirable, or appropriate in the administration of
the Plan. All rules and decisions of the Committee will be applied uniformly
and consistently to all Participants in similar circumstances. When making a
determination or calculation, the Committee will be entitled to rely upon
information furnished by a Participant or beneficiary, the Company or the legal
counsel of the Company.
	 
	 	(d)	 	Application for Benefits. The Committee may require a
Participant or beneficiary to complete and file with it an application for a
benefit, and to furnish all pertinent information requested by it. The
Committee may rely upon all such information so furnished to it, including the
Participant’s or beneficiary’s current mailing address.
	 
	 	(e)	 	Delegation. The Committee may authorize one or more
officers of the Company to perform administrative responsibilities on its
behalf under the Plan. Any such duly authorized officer will have all powers
necessary to carry out the administrative duties delegated to such officer by
the Committee.

     Section 5.3 Liabilities. The individual members of the Committee will be
indemnified and held harmless by the Company with respect to any alleged breach of responsibilities
performed or to be performed hereunder.

     Section 5.4 Income and Employment Tax Withholding. The Company and its
Affiliates will be responsible for withholding from the Participant’s Compensation, from the
contribution to the Plan, or from the distribution of the Participant’s benefit under the Plan, of
all applicable federal, state, city and local taxes.

12

 

ARTICLE VI

BENEFIT CLAIMS

     While a Participant or beneficiary need not file a claim to receive his benefit under the
Plan, if he wishes to do so, a claim must be made in writing and filed with the Committee. If a
claim is denied, the Committee will furnish the claimant with written notice of its decision. A
claimant may request a review of the denial of a claim for benefits by filing a written request
with the Committee. The Committee will afford the claimant a full and fair review of such request.
The claim and claim review process will be conducted in accordance with the provisions of
Supplement A.

ARTICLE VIII

FUNDING AND TRANSFERS

     Section 7.1 Unfunded Status. The Plan will be maintained in such a fashion
that at all times for purposes of ERISA and the Code it will be unfunded and will constitute a mere
promise by the Company to make Plan benefit payments in the future. Any and all rights created
under this Plan will be unsecured contractual rights against the Company.

     Section 7.2 Trust. Notwithstanding the provisions of Section 7.1, the
Committee may, in its discretion, satisfy all or any part of the Company’s obligations under the
Plan from a trust established by the Company in connection with the Plan or from an insurance
contract, annuity or similar vehicle owned by the Company or by setting aside and investing amounts
deferred under the Plan as an asset of the Company. Any such trust or other vehicle will
constitute solely a means to assist the Company in meeting its promised obligations under the Plan
and will not constitute a funded account within the meaning of ERISA or the Code, nor will it
create a security interest for the benefit of any Participant or beneficiary. Any trust created
hereunder will conform in substantially all respects to the terms of the Model Trust, as described
in Revenue Procedure 92-64.

     Section 7.3 Change in Control.

	 	(a)	 	Establishment of a Trust Due to Change in Control of the Company.
Notwithstanding the provisions of Sections 7.1 and 7.2, upon a Change in Control of the
Company, as defined in subsection 7.3(b), the Company will, as soon as possible, but in
no event later than 90 days following the Change in Control, establish a trust that
will substantially conform to the model trust, as described in Revenue Procedure 92-64.
Upon the creation of such trust, the Company will make an irrevocable lump sum
contribution to the trust in an amount that is sufficient to pay all Plan Participants
and beneficiaries the benefits to which Plan Participants or their beneficiaries would
be entitled pursuant to the terms of the Plan as of the date on which the Change in
Control occurred.
	 
	 	(b)	 	Definition of Change in Control: A Change in Control occurs when there
is a change in ownership as described in (i), a change in effective control as
described in (ii) or a change in the ownership of a substantial portion of the
Company’s assets as described in (iii) of this subsection 7.3(b).

13

 

	 	(i)	 	Change in Ownership. A change in the ownership of the Company
occurs on the date that any person, or group of persons, as defined in
subparagraph (b), acquires ownership of stock of the Company that, together
with stock held by the person or group, constitutes more than 50 percent of the
total fair market value or total voting power of the stock.

	 	(A)	 	However, if any person or group is considered
to own more than 50 percent of the total fair market value or total
voting power of the stock, the acquisition of additional stock by the
same person or group is not considered to cause a change in the
ownership of the Company.
	 
	 	(B)	 	An increase in the percentage of stock owned by
any person or group, as a result of a transaction in which the Company
acquires its stock in exchange for property will be treated as an
acquisition of stock.

	 	(ii)	 	Change in the Effective Control. A change in the effective
control of the Company will occur when:

	 	(A)	 	Any person or group, acquires, or has acquired
during the twelve-month period ending on the date of the most recent
acquisition by such person(s), ownership of stock of the Company
possessing 35 percent or more of the total voting power; or
	 
	 	(B)	 	A majority of members of the Board is replaced
during any twelve-month period by directors whose appointment or
election is not endorsed by a majority of the members of the Board
prior to the date of the appointment or election.
	 
	 	 	 	However, if any person or group is considered to effectively control the
Company, the acquisition of additional control of the Company by the same
person(s) is not considered to cause a change in the effective control.

	 	(iii)	 	Change in the Ownership of a Substantial Portion of the
Company’s Assets. A change in the ownership of a substantial portion of the
Company’s assets occurs on the date that any person or group acquires, or has
acquired during the 12-month period ending on the date of the most recent
acquisition by such person(s), assets from the Company that have a total gross
fair market value equal to or more than 40 percent of the total gross fair
market value of all of the assets immediately prior to such acquisition(s).

	 	(A)	 	Gross fair market value means the value of the
assets of the Company, or the value of the assets being disposed of,
determined without regard to any liabilities associated with such
assets.
	 
	 	(B)	 	However, there is no Change in Control under
this subparagraph when there is a transfer to an entity that is
controlled by the

14

 

	 	 	 	shareholders of the Company immediately after the transfer. A
transfer of assets by the Company is not treated as a change in the
ownership of such assets if the assets are transferred to: (i) a
shareholder of the Company (immediately before the asset transfer) in
exchange for or with respect to its stock; (ii) an entity, 50 percent
or more of the total value or voting power of which is owned,
directly or indirectly, by the Company; (iii) a person, or group of
persons, that owns, directly or indirectly, 50 percent or more of the
total value or voting power of all the outstanding stock of the
Company or (iv) an entity, at least 50 percent of the total value or
voting power of which is owned, directly or indirectly, by a person
described in (iii). For purposes of this subsection, and except as
otherwise provided, a person’s status is determined immediately after
the transfer of the assets. For example, a transfer to a corporation
in which the Company has no ownership interest before the
transaction, but which is a majority-owned subsidiary of the Company
after the transaction is not treated as a change in the ownership of
the assets of the Company.

	 	(iv)	 	Acting as a Group. For purposes of this Section, persons will
not be considered to be acting as a group solely because they purchase or own
stock of the Company at the same time, or as a result of the same public
offering. However, persons will be considered to be acting as a group if they
are owners of a corporation that enters into a merger, consolidation, purchase
or acquisition of stock or similar business transaction with the Company. If a
person, including an entity, owns stock in both corporations that enter into a
merger, consolidation, purchase or acquisition of stock or similar transaction,
such shareholder is considered to be acting as a group with other shareholders
in a corporation prior to the transaction giving rise to the change and not
with respect to the ownership interest in the other corporation.
	 
	 	(v)	 	Exceptions. Notwithstanding the foregoing, a Change in Control
of the Company (i) will not occur as a result of the issuance of stock by the
Company in connection with any public offering of its stock; (ii) will not be
deemed to have occurred with respect to any transaction unless such transaction
has been approved or shares have been tendered by a majority of the
shareholders who are not Section 16 Persons; and (iii) will not occur due to
stock ownership by either the Horizon Bancorp Employees’ Stock Bonus Plan
Trust, which forms a part of the Horizon Bancorp Employees’ Stock Bonus Plan,
or any other employee benefit plan sponsored by the Company or an Affiliate.
“Section 16(b) Person” means a person subject to potential liability under
Section 16(b) of the 1934 Act with respect to transactions which involve equity
securities of the Company.

ARTICLE VIII

AMENDMENT AND TERMINATION OF THE PLAN

15

 

     Section 8.1 Amendment of the Plan. The Company may amend the Plan at any time
in its sole discretion. Notwithstanding the foregoing, the Company may not amend the Plan to
reduce a Participant’s Account balance as determined on the day preceding the effective date of the
amendment.

     Section 8.2 Termination of the Plan. The Company may terminate the Plan at
any time in its sole discretion. Absent an amendment to the contrary, Plan benefits that had
accrued prior to the termination will be paid at the times and in the manner provided for by the
Plan at the time of the termination.

ARTICLE IX

PARTICIPATION BY AFFILIATES

     Section 9.1 Affiliate Participation. Any Affiliate may adopt the Plan and
become a participating Company under the Plan by filing with the Committee:

     (a) A certified copy of a resolution of its board of directors to that effect; and

     (b) A written document signed by an authorized officer of Horizon Bancorp which
indicates the consent of Horizon Bancorp to that action.

Notwithstanding any provision herein to the contrary, Horizon Bank shall automatically be a
participating Company as of the Effective Date.

     Section 9.2 Horizon Bancorp Action Binding on Other Employers. As long as
Horizon Bancorp is a Company under the Plan, it is empowered to act for any other Company in all
matters relating to the Plan or the Committee.

ARTICLE X

MISCELLANEOUS Section 10.1 Governing Law. The Plan will be construed,
regulated and administered according to the laws of the State of Indiana, without reference to that
state’s choice of law principles, except in those areas preempted by the laws of the United States
of America in which case the federal laws will control.

     Section 10.2 Headings and Gender. The headings and subheadings in the Plan
have been inserted for convenience of reference only and will not affect the construction of the
Plan provisions. In any necessary construction, the masculine will include the feminine and the
singular the plural, and vice versa.

     Section 10.3 Spendthrift Clause. No benefit or interest available under the
Plan will be subject in any manner to anticipation, alienation, sale, transfer, assignment, pledge,
encumbrance, attachment or garnishment by creditors of a Participant or a Participant’s
beneficiary, either voluntarily or involuntarily.

     Section 10.4 Counterparts. This Plan may be executed in any number of
counterparts, each one constituting but one and the same instrument, and may be sufficiently
evidenced by any one counterpart.

16

 

     Section 10.5 No Enlargement of Employment Rights. Nothing contained in the
Plan may be construed as a contract of employment between the Company and any person, nor may the
Plan be deemed to give any person the right to be retained in the employ of the Company or limit
the right of the Company to employ or discharge any person with or without cause.

     Section 10.6 Limitations on Liability. Notwithstanding any other provision of
the Plan, neither the Company nor any individual acting as an employee or agent of a Company will
be liable to a Participant or any beneficiary for any claim, loss, liability or expense incurred in
connection with the Plan, except when the same has been judicially determined to be due to the
gross negligence or willful misconduct of that person.

     Section 10.7 Incapacity of Participant or Beneficiary. If any person entitled
to receive a distribution under the Plan is physically or mentally incapable of personally
receiving and giving a valid receipt for any payment due (unless a prior claim for the distribution
has been made by a duly qualified guardian or other legal representative), then, unless and until a
claim for the distribution has been made by a duly appointed guardian or other legal representative
of the person, the Committee may provide for the distribution to be made to any other individual or
institution then contributing toward or providing for the care and maintenance of the person. Any
payment made for the benefit of the person under this Section will be a payment for the account of
such person and a complete discharge of any liability of the Company and the Plan.

     Section 10.8 Evidence. Evidence required of anyone under the Plan may be by
certificate, affidavit, document or other information which the person relying on the evidence
considers pertinent and reliable, and signed, made or presented by the proper party or parties.

     Section 10.9 Action by Company or Committee. Any action required of or
permitted by the Company or Committee under the Plan will be by resolution of the Company’s Board
or by the Committee or by a person or persons authorized by resolution of the Board or the
Committee.

     Section 10.10 Severability. In the event any provisions of the Plan are held
to be illegal or invalid for any reason, the illegality or invalidity will not affect the remaining
parts of the Plan, and the Plan will be construed and endorsed as if the illegal or invalid
provisions had never been contained in the Plan.

     Section 10.11 Information to be Furnished by a Participant. A Participant, or
any other person entitled to benefits under the Plan, must furnish the Committee with any and all
documents, evidence, data or other information the Committee considers necessary or desirable for
the purpose of administering the Plan. Benefit payments under the Plan are conditioned on a
Participant (or other person who is entitled to benefits) furnishing full, true and complete data,
evidence or other information to the Committee, and on the prompt execution of any document
reasonably related to the administration of the Plan requested by the Committee.

     Section 10.12 Binding on Successors. The Plan will be binding upon and inure
to the benefit of the Company and its successors and assigns, and the successors, assigns,
designees and estates of a Participant. The Plan will also be binding upon and inure to the
benefit of any successor organization succeeding to substantially all of the assets and business
of the Company, but nothing in the Plan will preclude the Company from merging or
consolidating into or with, or transferring all or substantially all of its assets to, another
organization which assumes the Plan and all obligations of the Company hereunder. The Company
agrees that it will make appropriate provision for the preservation of a Participant’s

17

 

rights under
the Plan in any agreement or plan which it may enter into to effect any merger, consolidation,
reorganization or transfer of assets. Upon such a merger, consolidation, reorganization, or
transfer of assets and assumption of Plan obligations of the Company, the term “Company” will refer
to such other organization and the Plan will continue in full force and effect.

18

 

SUPPLEMENT A

CLAIMS AND REVIEW PROCEDURES

     Section A-1 Procedures Governing the Filing of Benefit Claims. All Benefit
Claims must be filed on the appropriate claim forms available from the Committee or in accordance
with the procedures established by the Committee for claim purposes. The term “Benefit Claim”
means a request for a Plan benefit or benefits, made by a Claimant or by an authorized
representative of a Claimant, that complies with the Plan’s procedures for making benefit claims.
The term “Claimant” means a Participant, a Surviving Spouse of a Participant, a Beneficiary, or an
Alternate Payee, who is claiming entitlement to the payment of any benefit payable under the Plan.

     Section A-2 Notification of Benefit Determinations. The Committee will notify
a Claimant, in accordance with Section A-3, of the Plan’s benefit determination within a reasonable
period of time after receipt of a Benefit Claim, but not later than 90 days (45 days in the case of
a Disability Claim) after receipt of the Benefit Claim by the Plan.

     If special circumstances require an extension of time for processing the Benefit Claim, the
Committee will notify the Claimant of the extension prior to the termination of the initial period
described above. The notice will indicate the special circumstances requiring the extension of
time and the date by which the Plan expects to make the benefit determination. In no event will
the extension exceed a period of 90 days from the end of the initial period.

     In the case of a Disability Claim, the extension period will not exceed 30 days, unless prior
to the end of first 30-day extension period, the Committee determines that, due to matters beyond
its control, a decision cannot be rendered within the extension period, in which case the period
for making the determination may be extended for an additional 30 days. Every Disability Claim
notice will specifically explain the standards on which entitlement to a benefit is based, the
unresolved issues that prevent a decision on the claim, the additional information needed to
resolve those issues and the Claimant’s right to provide the specified information within 45 days.
If the extension is in effect due to the Claimant’s failure to submit information necessary to
decide a Disability Claim, the period for making the benefit determination will be tolled from the
date on which the notice of the extension is sent to the Claimant until the date on which the
Claimant responds to the request for information. The term “Disability Claim” means a request for
a Plan benefit made by a Claimant due to the purported Total and Permanent Disability of a Plan
Participant.

     Section A-3 Manner And Content of Notification of Benefit Determinations. All
notices given by the Committee will be given to a Claimant, or to his authorized representative, in
a manner that satisfies the standards of 29 CFR 2520.104b-1(b) as appropriate with respect to the
particular material required to be furnished or made available to that individual. The Committee
may provide a Claimant with either a written or an electronic notice of the Plan’s benefit
determination. Any electronic notification will comply with the standards imposed by 29 CFR
2520.104b-1(c)(1)(i), (ii), (iii) and (iv). In the case of an Adverse Benefit Determination, the
notice will set forth, in a manner calculated to be understood by the Claimant:

	 	(a)	 	The specific reasons for the adverse determination;
	 
	 	(b)	 	Reference to the specific Plan provisions (including any internal rules,
guidelines, protocols, criteria, etc.) on which the determination is based;
	 
	 	(c)	 	A description of any additional material or information necessary for the
Claimant

19

 

	 	 	 	to complete the claim and an explanation of why such material or information is
necessary;

	 	(d)	 	For a Disability Claim, the identification of any medical or vocational experts
whose advice was obtained on behalf of the Plan in connection with Claimant’s Adverse
Benefit Determination, without regard to whether the advice was relied upon; and
	 
	 	(e)	 	A description of the Plan’s review procedures and the time limits applicable to
such procedures.

The term “Adverse Benefit Determination” means a denial, reduction, or termination of, or a failure
to provide or make payment (in whole or in part) for, any benefit payable under the Plan.

     Section A-4 Appeal of Adverse Benefit Determinations. A Claimant who receives
an Adverse Benefit Determination and desires a review of that determination must file, or his
authorized representative must file on his behalf, a written request for a review of the Adverse
Benefit Determination, not later than 60 days 180 days for a Disability Claim after receiving the
determination.

     The written request for a review must be filed with the Committee. Upon receiving the written
request for review, the Committee will advise the Claimant, or his authorized representative, in
writing that:

	 	(a)	 	The Claimant, or his authorized representative, may submit written comments,
documents, records, and any other information relating to the claim for benefits; and
	 
	 	(b)	 	The Claimant will be provided, upon request of the Claimant or his authorized
representative, reasonable access to, and copies of, all documents, records, and other
information relevant to the Claimant’s Benefit Claim, without regard to whether those
documents, records, and information were considered or relied upon in making the
Adverse Benefit Determination that is the subject of the appeal.

     Section A-5 Benefit Determination on Review. All appeals by a Claimant of an
Adverse Benefit Determination will receive a full and fair review by an appropriate named fiduciary
of the Plan. In the case of a Disability Claim, the named fiduciary will not be: (i) the party who
made the Adverse Benefit Determination that is the subject of the appeal, nor (ii) the subordinate
of that party. In performing this review for a Disability Claim, the named fiduciary will take
into account all comments, documents, records, and other information submitted by the Claimant (or
the Claimant’s authorized representative) relating to the claim, without regard to whether the
information was submitted or considered in the initial benefit determination, and will not afford
deference to the initial Adverse Benefit Determination. For a Disability Claim, the named
fiduciary will consult with a healthcare professional who has appropriate training and experience
in the field of medicine involved in the medical judgment and who was not consulted in connection
with the Adverse Benefit Determination and who is not the subordinate of such an individual if the
named fiduciary believes that such a consultation is necessary to properly complete the review
process.

     Section A-6 Notification of Benefit Determination on Review. The Committee
will notify a Claimant, in accordance with Section A-7, of the Plan’s benefit determination on
review within a reasonable period of time, but not later than 60 days (45 days in the case of a
Disability Claim) after the Plan’s receipt of the Claimant’s request for review of an Adverse
Benefit Determination. If, however, special circumstances require an extension of time for
processing the review by the named fiduciary, the Claimant will be notified, prior to the
termination of the

20

 

initial 60-day (or 45 day) period, of the special circumstances requiring the extension and
the date by which the Plan expects to render the Plan’s benefit determination on review, which will
not be later than 120 days (90 days in the case of a Disability Claim) after receipt of a request
for review. Provided, however, in the case of a Plan with a Committee or other group designated as
the appropriate named fiduciary that holds regularly scheduled meetings at least quarterly, the
time limit of this Section will be modified in accordance with 29 CFR 2560.503-1(i)(1)(ii) or 29
CFR 2560.503-1(i)(3)(ii), whichever is applicable.

     If the extension period is in effect for a Disability Claim but the extension is due to the
Claimant’s failure to submit information necessary to decide a claim, the period for making the
benefit determination on review will be tolled from the date on which notification of the extension
is sent to the Claimant until the date on which the Claimant responds to the request for additional
information.

     Section A-7 Manner and Content of Notification of Benefit Determination on
Review. The Committee will provide a Claimant with notification of its benefit determination
on review in a method described in Section A-3.

     In the case of an Adverse Benefit Determination on review, the notification must set forth, in
a manner calculated to be understood by the Claimant:

	 	(a)	 	The specific reasons for the adverse determination on review;
	 
	 	(b)	 	Reference to the specific Plan provisions (including any internal rules,
guidelines, protocols, criteria, etc.) on which the benefit determination on review is
based;
	 
	 	(c)	 	A statement that the Claimant is entitled to receive, upon request and free of
charge, reasonable access to, and copies of, all documents, records and other
information relevant to the Claimant’s Benefit Claim, without regard to whether those
records were considered or relied upon in making the Adverse Benefit Determination on
review, including any reports, and the identities, of any experts whose advice was
obtained.

21EX-4.1

 

EXHIBIT 4.1

 

NATIONAL CITY CREDIT CARD MASTER NOTE TRUST

as Issuer

and

THE BANK OF NEW YORK

as Indenture Trustee

SERIES 2007-1 INDENTURE SUPPLEMENT

dated as of March 20, 2007

to

INDENTURE

dated as of August 23, 2005

 

 

 

TABLE OF CONTENTS

	 	 	 	 	 	 	 
	 	 	 	 	Page
	ARTICLE I
	 	 	 	 
	DEFINITIONS AND OTHER PROVISIONS OF GENERAL APPLICATION
	 	 	 	 
	 
	 	 	 	 	 	 
	Section 1.01.

	 	Definitions
	 	 	1	 
	 
	 	 	 	 	 	 
	Section 1.02.

	 	Governing Law
	 	 	11	 
	 
	 	 	 	 	 	 
	Section 1.03.

	 	Counterparts
	 	 	11	 
	 
	 	 	 	 	 	 
	Section 1.04.

	 	Ratification of Indenture
	 	 	12	 
	 
	 	 	 	 	 	 
	ARTICLE II
	 	 	 	 
	THE NOTES
	 	 	 	 
	 
	 	 	 	 	 	 
	Section 2.01.

	 	Creation and Designation
	 	 	13	 
	 
	 	 	 	 	 	 
	Section 2.02.

	 	Form of Delivery of the Series 2007-1 Notes; Depository; Denominations
	 	 	13	 
	 
	 	 	 	 	 	 
	Section 2.03.

	 	Delivery and Payment for the Series 2007-1 Notes
	 	 	13	 
	 
	 	 	 	 	 	 
	ARTICLE III
	 	 	 	 
	ALLOCATIONS, DEPOSITS AND PAYMENTS
	 	 	 	 
	 
	 	 	 	 	 	 
	Section 3.01.

	 	Allocations of Series 2007-1 Finance Charge Amounts
	 	 	14	 
	 
	 	 	 	 	 	 
	Section 3.02.

	 	Determination of Monthly Interest
	 	 	15	 
	 
	 	 	 	 	 	 
	Section 3.03.

	 	Amounts to be Treated as Series 2007-1 Finance Charge Amounts; Other
Deposits to the Collection Account
	 	 	16	 
	 
	 	 	 	 	 	 
	Section 3.04.

	 	Allocations of Reductions from Investor Charge-Offs to the Nominal
Liquidation Amount due to Investor Charge-Offs
	 	 	17	 
	 
	 	 	 	 	 	 
	Section 3.05.

	 	Allocations of Reimbursements of Nominal Liquidation Amount Deficits
	 	 	17	 
	 
	 	 	 	 	 	 
	Section 3.06.

	 	Application of Series 2007-1 Available Principal Amounts
	 	 	18	 
	 
	 	 	 	 	 	 
	Section 3.07.

	 	Computation of Reductions to the Nominal Liquidation Amount from
Reallocations of Series 2007-1 Available Principal Amounts
	 	 	19	 
	 
	 	 	 	 	 	 
	Section 3.08.

	 	Targeted Deposits of Series 2007-1 Available Principal Amounts to the
Principal Funding Account
	 	 	19	 
	 
	 	 	 	 	 	 
	Section 3.09.

	 	Amounts to be Treated as Series 2007-1 Available Principal Amounts; Other
Deposits to the Principal Funding Account
	 	 	20	 
	 
	 	 	 	 	 	 
	Section 3.10.

	 	Withdrawals from Principal Funding Account
	 	 	21	 
	 
	 	 	 	 	 	 
	Section 3.11.

	 	Calculation of Nominal Liquidation Amount
	 	 	21	 
	 
	 	 	 	 	 	 
	Section 3.12.

	 	Sale of Receivables
	 	 	23	 
	 
	 	 	 	 	 	 
	Section 3.13.

	 	Targeted Deposits to the Spread Account
	 	 	24	 
	 
	 	 	 	 	 	 
	Section 3.14.

	 	Withdrawals from the Spread Account
	 	 	24	 

-i-

 

TABLE OF CONTENTS
(continued)

	 	 	 	 	 	 	 
	 	 	 	 	Page
	Section 3.15.

	 	Targeted Deposits to the Reserve Account
	 	 	25	 
	 
	 	 	 	 	 	 
	Section 3.16.

	 	Withdrawals from the Reserve Account
	 	 	25	 
	 
	 	 	 	 	 	 
	Section 3.17.

	 	Excess Finance Charge Amounts Sharing
	 	 	25	 
	 
	 	 	 	 	 	 
	Section 3.18.

	 	Excess Principal Amount Sharing
	 	 	25	 
	 
	 	 	 	 	 	 
	Section 3.19.

	 	Payments of Interest and Principal
	 	 	26	 
	 
	 	 	 	 	 	 
	Section 3.20.

	 	Calculation Agent; Determination of LIBOR
	 	 	26	 
	 
	 	 	 	 	 	 
	ARTICLE IV
	 	 	 	 
	EARLY REDEMPTION OF NOTES
	 	 	 	 
	 
	 	 	 	 	 	 
	Section 4.01.

	 	Early Redemption Events
	 	 	28	 
	 
	 	 	 	 	 	 
	ARTICLE V
	 	 	 	 
	ACCOUNTS AND INVESTMENTS
	 	 	 	 
	 
	 	 	 	 	 	 
	Section 5.01.

	 	Accounts
	 	 	29	 
	 
	 	 	 	 	 	 
	ARTICLE VI
	 	 	 	 
	REPRESENTATIONS AND WARRANTIES
	 	 	 	 
	 
	 	 	 	 	 	 
	Section 6.01.

	 	Issuer’s Representations and Warranties
	 	 	30	 

-ii-

 

EXHIBITS

	 	 	 
	EXHIBIT A-1

	 	[FORM OF] CLASS A NOTE
	 
	 	 
	EXHIBIT A-2

	 	[FORM OF] CLASS B NOTE
	 
	 	 
	EXHIBIT A-3

	 	[FORM OF] CLASS C NOTE
	 
	 	 
	EXHIBIT B

	 	[FORM OF] SERIES 2007-1 SCHEDULE TO PAYMENT INSTRUCTIONS
	 
	 	 
	EXHIBIT C

	 	[FORM OF] SERIES 2007-1 SCHEDULE TO MONTHLY NOTEHOLDERS’ STATEMENT

-iii-

 

          This SERIES 2007-1 INDENTURE SUPPLEMENT (this “Indenture Supplement”), by and between
NATIONAL CITY CREDIT CARD MASTER NOTE TRUST, a statutory trust created under the laws of the State
of Delaware (the “Issuer”), having its principal office at Rodney Square North, 1100 North
Market Street, Wilmington, Delaware 19890, and THE BANK OF NEW YORK, a New York banking corporation
(the “Indenture Trustee”), is made and entered into as of March 20, 2007.

          Pursuant to this Indenture Supplement, the Issuer and the Trust shall create a new series of
Notes and shall specify the principal terms thereof.

ARTICLE I

Definitions and Other Provisions of General Application

     Section 1.01. Definitions. For all purposes of this Indenture Supplement, except as
otherwise expressly provided or unless the context otherwise requires:

	 	(1)	 	the terms defined in this Article have the meanings assigned to
them in this Article, and include the plural as well as the singular;
	 
	 	(2)	 	all other terms used herein which are defined in the Indenture
(as defined in this Section 1.01), either directly or by reference therein,
have the meanings assigned to them therein;
	 
	 	(3)	 	all accounting terms not otherwise defined herein have the
meanings assigned to them in accordance with generally accepted accounting
principles and, except as otherwise herein expressly provided, the term
“generally accepted accounting principles” with respect to any computation
required or permitted hereunder shall mean such accounting principles as are
generally accepted in the United States of America at the date of such
computation;
	 
	 	(4)	 	all references in this Indenture Supplement to designated
“Articles,” “Sections” and other subdivisions are to the designated Articles,
Sections and other subdivisions of this Indenture Supplement as originally
executed. The words “herein,” “hereof” and “hereunder” and other words of
similar import refer to this Indenture Supplement as a whole and not to any
particular Article, Section or other subdivision;
	 
	 	(5)	 	in the event that any term or provision contained herein shall
conflict with or be inconsistent with any term or provision contained in the
Indenture, the terms and provisions of this Indenture Supplement shall be
controlling;
	 
	 	(6)	 	each capitalized term defined herein shall relate only to the
Series 2007-1 Notes and no other Series of Notes issued by the Issuer; and
	 
	 	(7)	 	“including” and words of similar import will be deemed to be
followed by “without limitation.”

1

 

          “Accumulation Commencement Date” means, March 1, 2011; provided,
however, that, if the Accumulation Period Length is less than twelve (12) months, the
Accumulation Commencement Date will be the first Business Day of the month that is the number of
whole months prior to the Scheduled Principal Payment Date at least equal to the Accumulation
Period Length and, as a result, the number of Monthly Periods during the period from the
Accumulation Commencement Date to the Scheduled Principal Payment Date will at least equal the
Accumulation Period Length.

          “Accumulation Period Factor” means, for each Monthly Period, a fraction, the numerator
of which is equal to the sum of the initial Invested Amounts of all outstanding Series (as defined
in the Pooling and Servicing Agreement) of Investor Certificates including the Collateral
Certificate, and the denominator of which is equal to the sum of (a) the Initial Dollar Principal
Amount of the Series 2007-1 Notes, (b) the initial Invested Amounts of all outstanding Series of
Investor Certificates issued by the Master Trust (other than the Collateral Certificate) which are
not expected to be in their revolving periods (as such terms are defined in the Pooling and
Servicing Agreement and any Supplements thereto), (c) the initial Invested Amounts of all
outstanding Series of Investor Certificates issued by the Master Trust (other than the Collateral
Certificate) which are not allocating Shared Principal Collections to other Series of Investor
Certificates issued by the Master Trust and are in their revolving periods (as such terms are
defined in the Pooling and Servicing Agreement and any Supplements thereto), and (d) the Initial
Dollar Principal Amount of any Series of notes (other than the Series 2007-1 Notes) of the Issuer
for which amounts are targeted to be deposited into a principal funding account with respect to
such Monthly Period; provided, however, that this definition may be changed at any
time if the Note Rating Agencies provide prior written confirmation that a Ratings Effect will not
occur with respect to such change.

          “Accumulation Period Length” is defined in Section 3.08(b)(ii).

          “Adjusted Outstanding Dollar Principal Amount” means, at any time, (i) with respect to
the Class A Notes, an amount, not less than zero, equal to the Outstanding Dollar Principal Amount
of the Class A Notes at such time, minus the aggregate amount on deposit in the Principal Funding
Account, (ii) with respect to the Class B Notes, an amount, not less than zero, equal to the
Outstanding Dollar Principal Amount of the Class B Notes at such time, minus the excess, if any, of
the aggregate amount on deposit in the Principal Funding Account over the Outstanding Dollar
Principal Amount of the Class A Notes at such time, (iii) with respect to the Class C Notes, an
amount, not less than zero, equal to the Outstanding Dollar Principal Amount of the Class C Notes
at such time, minus the excess, if any, of the aggregate amount on deposit in the Principal Funding
Account over the sum of the Outstanding Dollar Principal Amount of the Class A Notes and the
Outstanding Dollar Principal Amount of the Class B Notes at such time, and (iv) with respect to the
Series 2007-1 Notes, the sum of the Adjusted Outstanding Dollar Principal Amount of the Class A
Notes, the Adjusted Outstanding Dollar Principal Amount of the Class B Notes and the Adjusted
Outstanding Dollar Principal Amount of the Class C Notes, each at such time.

          “Aggregate Investor Default Amount” is defined in the Series 2005-CC Supplement.

2

 

          “Aggregate Series Finance Charge Shortfall” means the sum of the Series Finance Charge
Shortfalls (as such term is defined in each of the related Indenture Supplements) for each Excess
Finance Charge Sharing Series in Excess Finance Charge Sharing Group A.

          “Aggregate Series Principal Amounts Shortfall” means the sum of the Series Principal
Amounts Shortfalls (as such term is defined in each of the related Indenture Supplements) for each
Excess Principal Amounts Sharing Series in Excess Principal Amounts Sharing Group A.

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

          “Available Reserve Account Amount” means, with respect to any Distribution Date, the
lesser of (a) the amount on deposit in the Reserve Account on such date (after taking into account
any interest and earnings retained in the Reserve Account pursuant to Section 403 of the
Indenture on such date, but before giving effect to any deposit made or to be made pursuant to
Section 3.01(g) to the Reserve Account on such date) and (b) the Required Reserve Account
Amount.

          “Base Rate” means, with respect to any Monthly Period, the annualized percentage
equivalent of a fraction, the numerator of which is equal to the sum of the Class A Monthly
Interest, the Class B Monthly Interest, the Class C Monthly Interest and the Series 2007-1 Monthly
Servicing Fee with respect to the related Distribution Date and the denominator of which is the
Nominal Liquidation Amount for Series 2007-1 as of the last day of the preceding Monthly Period.

          “Class A Additional Interest” shall have the meaning specified in Section
3.02(a).

          “Class A Interest Shortfall” shall have the meaning specified in Section
3.02(a).

          “Class A Monthly Interest” shall have the meaning specified in Section
3.02(a).

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

          “Class A Note Rate” means, with respect to the Class A Notes, for the period from and
including the Closing Date through but excluding May 15, 2007, and for each Interest Period
thereafter, a per annum rate of 0.05% above LIBOR determined on the related LIBOR Determination
Date, calculated on the basis of actual days elapsed and a 360-day year.

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

          “Class B Additional Interest” shall have the meaning specified in Section
3.02(b).

3

 

          “Class B Interest Shortfall” shall have the meaning specified in Section
3.02(b).

          “Class B Monthly Interest” shall have the meaning specified in Section
3.02(b).

          “Class B Note” means any one of the Notes executed by the Issuer and authenticated by
or on behalf of the Indenture Trustee, substantially in the form of Exhibit A-2.

          “Class B Note Rate” means, with respect to the Class B Notes, for the period from and
including the Closing Date through but excluding May 15, 2007, and for each Interest Period
thereafter, a per annum rate of 0.12% above LIBOR determined on the related LIBOR Determination
Date, calculated on the basis of actual days elapsed and a 360-day year.

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

          “Class C Additional Interest” shall have the meaning specified in Section
3.02(c).

          “Class C Interest Shortfall” shall have the meaning specified in Section
3.02(c).

          “Class C Monthly Interest” shall have the meaning specified in Section
3.02(c).

          “Class C Note” means any one of the Notes executed by the Issuer and authenticated by
or on behalf of the Indenture Trustee, substantially in the form of Exhibit A-3.

          “Class C Note Rate” means, with respect to the Class C Notes, for the period from and
including the Closing Date through but excluding May 15, 2007, and for each Interest Period
thereafter, a per annum rate of 0.30% above LIBOR determined on the related LIBOR Determination
Date, calculated on the basis of actual days elapsed and a 360-day year.

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

          “Closing Date” means March 20, 2007.

          “Controlled Accumulation Amount” means, for any Transfer Date, $35,416,666.67;
provided, however, that if the Accumulation Period Length with respect to such
Series is determined to be less than twelve (12) months pursuant to Section 3.08(b)(ii),
the Controlled Accumulation Amount for any Distribution Date will be
equal to (i) the product of (x) the Initial Dollar Principal Amount of the Series 2007-1 Notes and (y) the Accumulation
Period Factor for such Monthly Period divided by (ii) the Required Accumulation Factor Number.

          “Covered Amount” means an amount, determined as of each Distribution Date with respect
to any Interest Period, equal to the sum of (a) the product of (i) a fraction, the numerator of
which is the actual number of days in such Interest Period and the denominator of which is 360,
times (ii) the Class A Note Rate in effect with respect to such Interest Period, times (iii) the
aggregate amount on deposit in the Principal Funding Account with respect to the Outstanding Dollar
Principal Amount of Class A Notes as of the Record Date
preceding such

4

 

Distribution Date, plus (b) the product of (i) a fraction, the numerator of which is the
actual number of days in such Interest Period and the denominator of which is 360, times (ii) the
Class B Note Rate in effect with respect to such Interest Period, times (iii) the aggregate amount
on deposit in the Principal Funding Account with respect to the Outstanding Dollar Principal Amount
of Class B Notes as of the Record Date preceding such Distribution Date, plus (c) the product of
(i) a fraction, the numerator of which is the actual number of days in such Interest Period and the
denominator of which is 360, times (ii) the Class C Note Rate in effect with respect to such
Interest Period, times (iii) the aggregate amount on deposit in the Principal Funding Account with
respect to the Outstanding Dollar Principal Amount of Class C Notes as of the Record Date preceding
such Distribution Date.

          “Excess Finance Charge Percentage” means, with respect to any Distribution Date, an
amount equal to the Portfolio Yield for the preceding Monthly Period minus the Base Rate for such
Monthly Period.

          “Finance Charge Receivables” is defined in the Pooling and Servicing Agreement.

          “Indenture” means the Indenture, dated as of August 23, 2005 (as the same may be
supplemented, modified or amended from time to time), between the Issuer and the Indenture Trustee.

          “Initial Dollar Principal Amount” means (i) with respect to the Series 2007-1 Notes,
$425,000,000, (ii) with respect to the Class A Notes, $371,875,000, (iii) with respect to the Class
B Notes, $25,500,000, and (iv) with respect to the Class C Notes, $27,625,000.

          “Interest Payment Date” means the fifteenth day of each month commencing May 15, 2007,
or if such fifteenth day is not a Business Day, the next succeeding Business Day.

          “Interest Period” means, with respect to any Interest Payment Date, the period from
and including the previous Interest Payment Date (or in the case of the initial Interest Payment
Date, from and including the Issuance Date) through the day preceding such Interest Payment Date.

          “Investor Charge-Offs” means, with respect to any Distribution Date, the aggregate
amount, if any, by which the Series 2007-1 Investor Default Amount, if any, for the preceding
Monthly Period exceeds the Series 2007-1 Finance Charge Amounts for such Distribution Date
available after giving effect to clauses (a) through (d) of Section 3.01.

          “Issuance Date” means March 20, 2007.

          “Legal Maturity Date” means March 17, 2014.

          “LIBOR” means, for any Interest Period, the London interbank offered rate for
one-month United States dollar deposits determined by the Indenture Trustee for each Interest
Period in accordance with the provisions of Section 3.20.

5

 

          “LIBOR Determination Date” means (i) March 16, 2007 for the period from and including
the Closing Date through but excluding May 15, 2007, and (ii) thereafter, the second London
Business Day prior to the commencement of each Interest Period.

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

          “Monthly Interest” means, with respect to any Distribution Date, the Class A Monthly
Interest, the Class B Monthly Interest and the Class C Monthly Interest for such Distribution Date.

          “Nominal Liquidation Amount” means, with respect to any Class of Series 2007-1 Notes,
the amount calculated pursuant to Section 3.11 of this Indenture Supplement. The Nominal
Liquidation Amount for the Series 2007-1 will be the sum of the Nominal Liquidation Amounts of all
of the Classes of Notes of the Series 2007-1.

          “Nominal Liquidation Amount Deficit” means, with respect to any Class of Series 2007-1
Notes, the excess of the Adjusted Outstanding Dollar Principal Amount of that Class over the
Nominal Liquidation Amount of that Class.

          “Outstanding Dollar Principal Amount” means, at any time, (i) with respect to any
Class of Series 2007-1 Notes, the Initial Dollar Principal Amount of such Class of Series 2007-1
Notes at such time, less the amount of any withdrawals from the Principal Funding Account for the
Series 2007-1 Notes for payment of principal to the Holders of such Class of Notes and
(ii) with respect to the Series 2007-1 Notes, the sum of the Outstanding Dollar Principal
Amount of the Class A Notes, the Outstanding Dollar Principal Amount of the Class B Notes and the
Outstanding Dollar Principal Amount of the Class C Notes, each at such time.

          “Paying Agent” means The Bank of New York.

          “Portfolio Adjusted Yield” means, with respect to any Transfer Date, the average of
the percentages obtained for each of the three preceding Monthly Periods by subtracting the Base
Rate from the Portfolio Yield for such Monthly Period.

          “Portfolio Yield” means, with respect to any Monthly Period, the annualized percentage
equivalent of a fraction, the numerator of which is (a) the amount of Finance Charge Amounts
allocated to Series 2007-1 pursuant to Section 501 of the Indenture, plus (b) the Principal
Funding Investment Proceeds on the distribution date related to such Monthly Period plus (c) the
amount of the Reserve Draw Amount (up to the Available Reserve Account Amount) plus any amounts of
interest and earnings described in Section 403 of the Indenture, each deposited into the
Collection Account on the Distribution Date relating to such Monthly Period, minus (d) the Series
2007-1 Investor Default Amount for such Monthly Period, and the denominator of which is the
Weighted Average Finance Charge Allocation Amount for Series 2007-1 for such Monthly Period.

          “Principal Funding Account” means the trust account designated as such and established
pursuant to Section 5.01(a).

6

 

          “Principal Funding Account Amount” means, as of any date, the amount on deposit in the
Principal Funding Account on such date.

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

          “Quarterly Excess Finance Charge Percentage” means (a) with respect to the May 2007
Distribution Date, the Excess Finance Charge Percentage for such Payment Date, (b) with respect to
the June 2007 Distribution Date, the percentage equivalent of a fraction, the numerator of which is
the sum of (i) the Excess Finance Charge Percentage for the May 2007 Distribution Date and (ii) the
Excess Finance Charge Percentage with respect to the June 2007 Distribution Date and the
denominator of which is two, (c) with respect to the July 2007 Distribution Date, the percentage
equivalent of a fraction, the numerator of which is the sum of (i) the Excess Finance Charge
Percentage for the May 2007 Distribution Date (ii) the Excess Finance Charge Percentage with
respect to the June 2007 Distribution Date and (iii) the Excess Finance Charge Percentage with
respect to the July 2007 Distribution Date and the denominator of which is three and (d) with
respect to the August 2007 Distribution Date and each Distribution Date thereafter, the percentage
equivalent of a fraction, the numerator of which is the sum of the Excess Finance Charge
Percentages determined with respect to such Distribution Date and the immediately preceding two
Distribution Dates and the denominator of which is three.

          “Receivables Sales Proceeds” means the proceeds of any sale of Receivables pursuant to
Section 3.12. Receivables Sales Proceeds do not constitute Available Principal Amounts.

          “Receivables Sales Proceeds Deposit Amount” means the amount, if any, of Receivables
Sales Proceeds on deposit in the Principal Funding Account.

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

          “Required Accumulation Factor Number” means a number equal to a fraction, rounded
upwards to the nearest whole number, the numerator of which is one and the denominator of which is
equal to the lowest monthly principal payment rate on the Accounts (as defined in the Pooling and
Servicing Agreement), expressed as a decimal, for the twelve (12) months preceding the date of such
calculation; provided, however, that this definition may be changed at any time if
the Note Rating Agencies provide prior written confirmation that a Ratings Effect with respect to
any Outstanding Notes will not occur with respect to such change.

          “Required Reserve Account Amount” means, with respect to any Distribution Date on or
after the Reserve Account Funding Date, an amount equal to (a) 0.50% of the aggregate Outstanding
Dollar Principal Amount of the Notes or (b) any other amount designated by the Issuer; provided,
however, that if such designation is of a lesser amount, the Issuer shall (i) provide the Servicer
and the Indenture Trustee with evidence that such designation will not cause a Ratings Effect and
(ii) deliver to the Indenture Trustee a certificate of an authorized

7

 

officer to the effect that, based on the facts known to such officer at such time, in the
reasonable belief of the Issuer, such designation will not cause an Early Redemption Event or an
event that, after the giving of notice or the lapse of time, would cause an Early Redemption Event
to occur with respect to Series 2007-1.

          “Required Spread Account Amount” means, for each Distribution Date, the product of (i)
the Spread Account Percentage in effect for such date and (ii) the Initial Dollar Principal Amount
of the Series 2007-1 Notes; provided that if an Early Redemption Event or any Event of
Default with respect to Series 2007-1 shall occur and be continuing, then the Required Spread
Account Amount shall equal the Outstanding Dollar Principal Amount (after taking into account any
payments to be made on a related Distribution Date) of the Class C Notes; provided
further, in no event will the Required Spread Account Amount exceed the Outstanding Dollar
Principal Amount (after taking into account any payments to be made on the related Distribution
Date) of the Class C Notes.

          “Reserve Account” means the trust account designated as such and established pursuant
to Section 5.01(a).

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

          “Reserve Account Funding Date” means the Distribution Date which occurs not later than
the earliest of (a) the Distribution Date with respect to the Monthly Period which commences 3
months prior to the Accumulation Commencement Date; (b) the first Distribution Date for which the
Portfolio Adjusted Yield is less than 2.0%, but in such event the Reserve Account Funding Date
shall not be required to occur earlier than the Distribution Date with respect to the Monthly
Period which commences twelve (12) months prior to the Accumulation Commencement Date; (c) the
first Distribution Date for which the Portfolio Adjusted Yield is less than 3.0%, but in such event
the Reserve Account Funding Date shall not be required to occur earlier than the Distribution Date
with respect to the Monthly Period which commences six (6) months prior to the Accumulation
Commencement Date; and (d) the first Distribution Date for which the Portfolio Adjusted Yield is
less than 4.0%, but in such event the Reserve Account Funding Date shall not be required to occur
earlier than the Distribution Date with respect to the Monthly Period which commences four (4)
months prior to the Accumulation Commencement Date.

          “Reserve Draw Amount” means, with respect to each Distribution Date following any
Monthly Period during which amounts targeted to be deposited into the Principal Funding Account
pursuant to Section 3.08 for any prior Monthly Period remain on deposit in the Principal
Funding Account or the first Distribution Date after an Early Redemption Event or an Event of
Default and acceleration occurs, the amount, if any, by which the Principal Funding Investment
Proceeds for such Distribution Date are less than the Covered Amount determined as of such
Distribution Date.

          “Scheduled Principal Payment Date” means the March 2012 Distribution Date.

8

 

          “Series 2007-1 Available Principal Amounts” means the sum of (a) Available Principal
Amounts allocated to the Series 2007-1 pursuant to Section 502 of the Indenture, (b) any
amounts to be treated as Series 2007-1 Available Principal Amounts pursuant to Section
3.09(a) and (c) any Shared Excess Available Principal Amounts allocable to
Series 2007-1 pursuant to Section 3.18.

          “Series 2007-1 Finance Charge Amounts” means, with respect to any Distribution Date,
the sum of (a) Finance Charge Amounts allocated to the Series 2007-1 pursuant to Section
501 of the Indenture and (b) any amounts to be treated as Series 2007-1 Finance Charge Amounts
pursuant to Sections 3.03(a) and 3.17(a).

          “Series 2007-1 Investor Default Amount” means, with respect to any Monthly Period, the
sum, for each day during such Monthly Period, of the product of the Investor Default Amounts (as
such term is defined in the Series 2005-CC Supplement) with respect to each such day and a fraction
the numerator of which is the Finance Charge Allocation Amount for Series 2007-1 for such day and
the denominator of which is the Finance Charge Allocation Amount for all series of Notes for such
day.

          “Series 2007-1 Servicer Interchange” means, with respect to any Monthly Period, an
amount equal to the product of (a) the Servicer Interchange (as such term is defined in the Series
2005-CC Supplement) with respect to such Monthly Period and (b) a fraction the numerator of which
is the Weighted Average Finance Charge Allocation Amount for Series 2007-1 for such Monthly Period
and the denominator of which is the Weighted Average Finance Charge Allocation Amount for all
series of Notes for such Monthly Period.

          “Series 2007-1 Servicing Fee” means, with respect to any Monthly Period, the pro rata
portion of the Monthly Servicing Fee (as such term is defined in the Series 2005-CC Supplement)
allocable Series 2007-1 based on the Weighted Average Finance Charge Allocation Percentage for
Series 2007-1 for such Monthly Period.

          “Series 2007-1 Termination Date” means the earliest to occur of (a) the Principal
Payment Date on which the Outstanding Dollar Principal Amount of the Series 2007-1 Notes is paid in
full, (b) the Legal Maturity Date and (c) the date on which the Indenture is discharged and
satisfied pursuant to Article VI thereof.

          “Series Finance Charge Amounts Shortfall” means, with respect to any Distribution Date
with respect to the Series 2007-1, the excess, if any, of (a) the aggregate amount targeted to be
paid or applied pursuant to Sections 3.01(a) through (f) for any Distribution Date
over (b) the Series 2007-1 Finance Charge Amounts (excluding any amounts to be treated as Series
2007-1 Finance Charge Amounts pursuant to Section 3.17(a)) for such Distribution Date.

          “Series Finance Charge Collections Shortfall” means, with respect to any Distribution
Date with respect to the Series 2007-1, the excess, if any, of (a) the aggregate amount targeted to
be paid or applied pursuant to Sections 3.01(a) through (i) for any Distribution
Date over (b) the Series 2007-1 Finance Charge Amounts (including any amounts to

9

 

be treated as Series 2007-1 Finance Charge Amounts pursuant to Section 3.17(a)) for
such Distribution Date.

          “Series Principal Amounts Shortfall” means, with respect to any Distribution Date with
respect to Series 2007-1, the excess, if any, of (a) the aggregate amount targeted to be paid or
applied pursuant to Sections 3.06(a) through (d) for any Distribution Date over (b)
the Series 2007-1 Available Principal Amounts (excluding any amounts to be treated as Series 2007-1
Available Principal Amounts pursuant to Section 3.18(a)) for such Distribution Date.

          “Series Principal Collections Shortfall” means, with respect to any Distribution Date
with respect to Series 2007-1, the excess, if any, of (a) the aggregate amount targeted to be paid
or applied pursuant to Sections 3.06(a) through (d) for any Distribution Date over
(b) the Series 2007-1 Available Principal Amounts (including any amounts to be treated as
Series 2007-1 Available Principal Amounts pursuant to Section 3.18(a)) for such
Distribution Date.

          “Shared Excess Available Principal Amounts” means, with respect to any Distribution
Date, (a) with respect to Series 2007-1, the amount of Series 2007-1 Available Principal Amounts
for such Distribution Date available after application in accordance with Sections 3.06(a)
through (d) and (b) with respect to any other Series of Notes, the amounts allocated to
such other Series of Notes which the applicable Indenture Supplements for such Series specify are
to be treated as “Shared Excess Available Principal Amounts.”

          “Shared Excess Finance Charge Amounts” means, with respect to any Distribution Date,
(a) with respect to Series 2007-1, the amount of Series 2007-1 Finance Charge Amounts for such
Distribution Date available after application in accordance with Sections 3.01(a) through
(i) and (b) with respect to any other Series of Notes identified as an Excess Finance
Charge Sharing Series in Excess Finance Charge Sharing Group A, the amounts allocated to such other
Series of Notes which the applicable Indenture Supplements for such series specify are to be
treated as “Shared Excess Finance Charge Amounts.”

          “Spread Account” means the trust account designated as such and established pursuant
to Section 5.01(a).

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

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

          “Spread Account Percentage” means (i) 0.0% if the Quarterly Excess Finance Charge
Percentage on such Payment Date is greater than or equal to 4.75%, (ii) 1.25% if the Quarterly
Excess Finance Charge Percentage on such Payment Date is less than 4.75% and greater than or equal
to 4.50%, (iii) 1.75% if the Quarterly Excess Finance Charge Percentage on such Payment Date is
less than 4.50% and greater than or equal to 4.00%, (iv) 2.75% if the

10

 

Quarterly Excess Finance Charge Percentage on such Payment Date is less than 4.00% and greater
than or equal to 3.50%, (v) 4.00% if the Quarterly Excess Finance Charge Percentage on such Payment
Date is less than 3.50% and greater than or equal to 3.00%, (vi) 5.00% if the Quarterly Excess
Finance Charge Percentage on such Payment Date is less than 3.00% and greater than or equal to
2.00% and (vii) 6.00% if the Quarterly Excess Finance Charge Percentage on such Payment Date is
less than 2.00%; provided, however, that after the Spread Account Percentage has
been increased to a percentage above 0.00% pursuant to any of clauses (ii) through (vii) above, the
Spread Account Percentage shall remain at that percentage until (a) further increased to a higher
required percentage specified in clauses (iii) through (vii) above or (b) the Distribution Date on
which the Quarterly Excess Finance Charge Percentage has increased to a level above that for the
then current Spread Account Percentage, in which case the Spread Account Percentage shall be
decreased to the appropriate percentage in clauses (i) through (vi) of the definition thereof;
provided further, however, that no such decrease in the Spread Account
Percentage shall be made until the Quarterly Excess Finance Charge Percentage has increased to a
level above that for the then current Spread Account Percentage for three (3) consecutive
Distribution Dates. Notwithstanding the foregoing, if an Early Redemption Event with respect to
Series 2007-1 has occurred and is continuing, the Spread Account Percentage shall no longer be
subject to reduction.

          “Targeted Interest Deposit Amount” means, with respect to the Series 2007-1 Notes for
any Distribution Date, the aggregate amount due and payable pursuant to Sections 3.01(a),
(b) and (d) for such Distribution Date.

          “Targeted Principal Deposit Amount” means, with respect to the Series 2007-1 Notes for
any Distribution Date, the aggregate amount targeted to be deposited in the Principal Funding
Account pursuant to Section 3.08 for such Distribution Date.

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

          “Weighted Average Finance Charge Allocation Amount” means, with respect to any Monthly
Period for any series of Notes, the sum of the Finance Charge Allocation Amount for such series, as
of the close of business on each day during such Monthly Period divided by the actual number of
days in such period.

     Section 1.02. Governing Law. THIS INDENTURE SUPPLEMENT WILL BE CONSTRUED IN
ACCORDANCE WITH AND GOVERNED BY THE LAWS OF THE STATE OF NEW YORK WITHOUT REFERENCE TO ITS CONFLICT
OF LAW PROVISIONS AND THE OBLIGATIONS, RIGHTS AND REMEDIES OF THE PARTIES HEREUNDER SHALL BE
DETERMINED IN ACCORDANCE WITH SUCH LAWS.

     Section 1.03. Counterparts. This Indenture Supplement may be executed in any number
of counterparts, each of which so executed will be deemed to be an original, but all such
counterparts will together constitute but one and the same instrument.

11

 

     Section 1.04. Ratification of Indenture. As supplemented by this Indenture
Supplement, the Indenture is in all respects ratified and confirmed and the Indenture as so
supplemented by this Indenture Supplement shall be read, taken and construed as one and the same
instrument.

[END OF ARTICLE I]

12

 

ARTICLE II

The Notes

     Section 2.01. Creation and Designation.

     (a) There is hereby created a series of Notes to be issued pursuant to the Indenture and this
Indenture Supplement to be known as “National City Credit Card Master Note Trust, Series 2007-1,”
or the “Series 2007-1 Notes.” The Series 2007-1 Notes will be issued in three classes, the first
of which shall be known as the “Series 2007-1 Class A Notes,” the second of which shall be known as
the “Series 2007-1 Class B Notes,” and the third of which shall be known as the “Series 2007-1
Class C Notes.”

     (b) The Series 2007-1 shall be an Excess Finance Charge Sharing Series in Excess Finance
Charge Sharing Group A and shall not be in any other group. The Series 2007-1 shall not be
subordinated to any other series of Notes.

     Section 2.02. Form of Delivery of the Series 2007-1 Notes; Depository; Denominations.

          (a) The Series 2007-1 Notes shall be delivered in the form of a global Note as provided in
Sections 202 and 301(i) of the Indenture, respectively.

          (b) The Depository for the Series 2007-1 Notes shall be The Depository Trust Company, and the
Series 2007-1 Notes shall initially be registered in the name of Cede & Co., its nominee.

          (c) The Series 2007-1 Notes will be issued in minimum denominations of $5,000 and multiples of
$1,000 in excess of that amount.

     Section 2.03. Delivery and Payment for the Series 2007-1 Notes. The Issuer shall
execute and deliver the Series 2007-1 Notes to the Indenture Trustee for authentication, and the
Indenture Trustee shall deliver the Series 2007-1 Notes when authenticated, each in accordance with
Section 303 of the Indenture.

[END OF ARTICLE II]

13

 

ARTICLE III

Allocations, Deposits and Payments

     Section 3.01. Allocations of Series 2007-1 Finance Charge Amounts. On each
Distribution Date, the Indenture Trustee will apply Series 2007-1 Finance Charge Amounts, as
follows:

     (a) first, an amount equal to Class A Monthly Interest for such Distribution Date, plus the
amount of any Class A Monthly Interest previously due but not distributed to Class A Noteholders on
a prior Distribution Date, plus the amount of any Class A Additional Interest for such Distribution
Date and any Class A Additional Interest previously due but not distributed to Class A Noteholders
on a prior Distribution Date, shall be distributed to the Paying Agent for payment to the Class A
Noteholders;

     (b) second, an amount equal to Class B Monthly Interest for such Distribution Date, plus the
amount of any Class B Monthly Interest previously due but not distributed to Class B Noteholders on
a prior Distribution Date, plus the amount of any Class B Additional Interest for such Distribution
Date and any Class B Additional Interest previously due but not distributed to Class B Noteholders
on a prior Distribution Date, shall be distributed to the Paying Agent for payment to the Class B
Noteholders;

     (c) third, an amount equal to the Series 2007-1 Servicing Fee for such Distribution Date, plus
the amount of any Series 2007-1 Servicing Fee previously due but not distributed to the Servicer on
a prior Distribution Date, shall be distributed to the Servicer (unless such amount or any portion
thereof has been netted against deposits to the Collection Account in accordance with Section
4.03 of the Pooling and Servicing Agreement);

     (d) fourth, an amount equal to Class C Monthly Interest for such Distribution Date, plus the
amount of any Class C Monthly Interest previously due but not distributed to Class C Noteholders on
a prior Distribution Date, plus the amount of any Class C Additional Interest for such Distribution
Date and any Class C Additional Interest previously due but not distributed to Class C Noteholders
on a prior Distribution Date, shall be distributed to the Paying Agent for payment to the Class C
Noteholders;

     (e) fifth, an amount equal to the Series 2007-1 Investor Default Amount for such Distribution
Date shall be treated as a portion of Series 2007-1 Available Principal Amounts for such
Distribution Date;

     (f) sixth, an amount equal to the aggregate Nominal Liquidation Amount Deficit, if any, for
such Distribution Date shall be treated as a portion of Series 2007-1 Available Principal Amounts
for such Distribution Date;

     (g) seventh, on each Distribution Date from and after the Reserve Account Funding Date, an
amount up to the excess, if any, of the Required Reserve Account Amount over the Available Reserve
Account Amount shall be deposited into the Reserve Account;

14

 

     (h) eighth, on each Distribution Date, an amount equal to the Spread Account Deficiency shall
be deposited into the Spread Account;

     (i) ninth, if an Event of Default and acceleration of the maturity of the Series 2007-1 Notes
pursuant to Section 7.02 of the Indenture has occurred on or prior to such Distribution
Date, an amount up to the Series 2007-1 Outstanding Dollar Principal Amount on such Distribution
Date minus the amount of Series 2007-1 Available Principal Amounts (not taking into account
amounts available under this clause (i)) and amounts, if any, on deposit in the Principal
Funding Account available to pay principal on the Class A Notes, the Class B Notes, and the Class C
Notes on such Distribution Date, shall be treated as a portion of Series 2007-1 Available Principal
Amounts for such Distribution Date;

     (j) tenth, an amount, if any, to be treated as Shared Excess Finance Charge Amounts for
application in accordance with Section 506 of the Indenture; and

     (k) eleventh, to be paid to the Servicer and treated as Excess Finance Charge Collections for
application in accordance with Section 4.05 of the Pooling and Servicing Agreement.

     Section 3.02. Determination of Monthly Interest.

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

     On the Determination Date preceding each Distribution Date, the Servicer shall determine the
excess, if any (the “Class A Interest Shortfall”), of (x) the Class A Monthly Interest for
such Distribution Date over (y) the aggregate amount of funds allocated and available to pay such
Class A Monthly Interest on such Distribution Date. If the Class A Interest Shortfall with respect
to any Distribution Date is greater than zero, an additional amount (“Class A Additional
Interest”) equal to the product of (i) (A) a fraction, the numerator of which is the actual
number of days in the related Interest Period and the denominator of which is 360, times (B) the
Class A Note Rate and (ii) such Class A Interest Shortfall (or the portion thereof which has not
been paid to the Class A Noteholders) shall be payable as provided herein with respect to the Class
A Notes on each Distribution Date following such Distribution Date to and including the
Distribution Date on which such Class A Interest Shortfall is paid to the Class A Noteholders.

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

15

 

     On the Determination Date preceding each Distribution Date, the Servicer shall determine the
excess, if any (the “Class B Interest Shortfall”), of (x) the Class B Monthly Interest for
such Distribution Date over (y) the aggregate amount of funds allocated and available to pay such
Class B Monthly Interest on such Distribution Date. If the Class B Interest Shortfall with respect
to any Distribution Date is greater than zero, an additional amount (“Class B Additional
Interest”) equal to the product of (i) (A) a fraction, the numerator of which is the actual
number of days in the related Interest Period and the denominator of which is 360, times (B) the
Class B Note Rate and (ii) such Class B Interest Shortfall (or the portion thereof which has not
been paid to the Class B Noteholders) shall be payable as provided herein with respect to the Class
B Notes on each Distribution Date following such Distribution Date to and including the
Distribution Date on which such Class B Interest Shortfall is paid to the Class B Noteholders.

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

     On the Determination Date preceding each Distribution Date, the Servicer shall determine the
excess, if any (the “Class C Interest Shortfall”), of (x) the Class C Monthly Interest for
such Distribution Date over (y) the aggregate amount of funds allocated and available to pay such
Class C Monthly Interest on such Distribution Date. If the Class C Interest Shortfall with respect
to any Distribution Date is greater than zero, an additional amount (“Class C Additional
Interest”) equal to the product of (i) (A) a fraction, the numerator of which is the actual
number of days in the related Interest Period and the denominator of which is 360, times (B) the
Class C Note Rate and (ii) such Class C Interest Shortfall (or the portion thereof which has not
been paid to the Class C Noteholders) shall be payable as provided herein with respect to the Class
C Notes on each Distribution Date following such Distribution Date to and including the
Distribution Date on which such Class C Interest Shortfall is paid to the Class C Noteholders.

     Section 3.03. Amounts to be Treated as Series 2007-1 Finance Charge Amounts; Other
Deposits to the Collection Account. The following deposits and payments will be made on the
following dates:

     (a) Amounts
to be Treated as
Series 2007-1 Finance Charge Amounts. In addition to
Finance Charge Amounts allocated to the
Series 2007-1 pursuant to Section 501 of the
Indenture, the following amounts shall be treated as Series 2007-1 Finance Charge Amounts for
application in accordance with this Article III for any Monthly Period:

     (i) Reserve Draw Amount. The aggregate amount withdrawn from the Reserve
Account pursuant to Section 3.16 will be treated as Series 2007-1 Finance Charge
Amounts for such Monthly Period.

     (ii) Shared Excess Finance Charge Amounts. Any Shared Excess Finance Charge
Amounts allocable to the Series 2007-1 will be treated as Series 2007-1 Finance Charge
Amounts pursuant to Section 3.17.

16

 

     (b) Other Deposits to the Collection Account for Series 2007-1.

     (i) Spread Account. Withdrawals made from the Spread Account pursuant to
Section 3.14(a) will be deposited into the Collection Account for Series 2007-1 on
the Distribution Date.

     (ii) Receivables Sales Proceeds. Receivables Sales Proceeds received by the
Issuer pursuant to Section 3.12(c)(ii) will be deposited into the Collection Account
for Series 2007-1 on the date of receipt by the Issuer.

     Section 3.04. Allocations of Reductions from Investor Charge-Offs to the Nominal
Liquidation Amount due to Investor Charge-Offs.

     (a) On each Distribution Date when there is an Investor Charge-Off with respect to the related
Monthly Period, the amount of such Investor Charge-Off will be allocated on that date to each Class
of Series 2007-1 Notes as set forth in this Section 3.04. The amount of each Investor
Charge-Off will be allocated to each Class of Series 2007-1 Notes to reduce its Nominal Liquidation
Amount. If such allocation (or any portion of it) would reduce the Nominal Liquidation Amount of a
Class of Series 2007-1 Notes below zero, the amount that would cause the Nominal Liquidation Amount
to be reduced below zero will be allocated (subject to the restriction set forth in this sentence)
to other Classes of Series 2007-1 Notes. In no event will the Nominal Liquidation Amount (after
giving effect to this clause (a)) of any Class of Series 2007-1 Notes be reduced below zero.

     (b) On each Distribution Date, the amount of each Investor Charge-Off will be allocated in the
following order of priority:

     (i) first, to the Class C Notes until the Nominal Liquidation Amount of the Class C
Notes has been reduced to zero;

     (ii) second, after the Nominal Liquidation Amount of the Class C Notes has been reduced
to zero, to the Class B Notes until the Nominal Liquidation Amount of the Class B Notes has
been reduced to zero; and

     (iii) third, after the Nominal Liquidation Amount of the Class B Notes has been reduced
to zero, to the Class A Notes until the Nominal Liquidation Amount of the Class A Notes has
been reduced to zero.

     Section 3.05. Allocations of Reimbursements of Nominal Liquidation Amount Deficits.
If, as of any Distribution Date, there are Series 2007-1 Finance Charge Amounts available pursuant
to Section 3.01(f) to reimburse any Nominal Liquidation Amount Deficits as of such
Distribution Date, such funds will be allocated to each Class of Series 2007-1 Notes as follows:

     (a) first, to the Class A Notes, but in no event will the Nominal Liquidation Amount of the
Class A Notes be increased above the Adjusted Outstanding Dollar Principal Amount of the Class A
Notes;

17

 

     (b) second, to the Class B Notes, but in no event will the Nominal Liquidation Amount of the
Class B Notes be increased above the Adjusted Outstanding Dollar Principal Amount of the Class B
Notes; and

     (c) third, to the Class C Notes, but in no event will the Nominal Liquidation Amount of the
Class C Notes be increased above the Adjusted Outstanding Dollar Principal Amount of the Class C
Notes.

     Section 3.06. Application of Series 2007-1 Available Principal Amounts. On each
Distribution Date, the Indenture Trustee will apply Series 2007-1 Available Principal Amounts as
follows:

     (a) first, with respect to each Monthly Period, if after giving effect to deposits to be made
with respect to such Monthly Period pursuant to Section 3.01(a), the Class A Notes have not
received the full amount due and payable pursuant to Section 3.01(a) with respect to that
Monthly Period, then Series 2007-1 Available Principal Amounts in an amount equal to the amount of
such insufficiency (such amount not to exceed the aggregate Nominal Liquidation Amounts of the
Class C Notes and Class B Notes as of such Distribution Date (calculated after giving effect to
Section 3.04 with respect to such Monthly Period)) shall be distributed to the Paying Agent
for payment to the Class A Noteholders;

     (b) second, with respect to each Monthly Period, if after giving effect to deposits to be made
with respect to such Monthly Period pursuant to Section 3.01(b), the Class B Notes have not
received the full amount due and payable pursuant to Section 3.01(b) with respect to that
Monthly Period, then Series 2007-1 Available Principal Amounts in an amount equal to the amount of
such insufficiency (such amount not to exceed the Nominal Liquidation Amount of the Class C Notes
as of such Distribution Date (calculated after giving effect to a Section 3.04 with respect
to such Monthly Period) minus the aggregate amount of Series 2007-1 Available Principal Amounts
reallocated pursuant to clause (a) above) shall be distributed to the Paying Agent for payment to
the Class B Noteholders;

     (c) third, with respect to each Monthly Period, if after giving effect to deposits to be made
with respect to such Monthly Period pursuant to Section 3.01(c), the Servicer has not
received the full amount to be paid pursuant to Section 3.01(c) with respect to that
Monthly Period, then Series 2007-1 Available Principal Amounts in an amount equal to the amount of
such insufficiency (such amount not to exceed the aggregate Nominal Liquidation Amounts of the
Class C Notes and Class B Notes as of such Distribution Date (calculated after giving effect to any
Investor Charge-Offs with respect to such Monthly Period) minus the aggregate amount of Series
2007-1 Available Principal Amounts reallocated pursuant to clauses (a) and (b) above) will be paid
to the Servicer;

     (d) fourth, to make the targeted deposits to the Principal Funding Account pursuant to
Section 3.08;

     (e) fifth, to be treated as Shared Excess Available Principal Amounts for application in
accordance with Section 505 of the Indenture; and

18

 

     (f) sixth, to be paid to the Servicer and treated as Shared Principal Collections for
application in accordance with Section 4.04 of the Pooling and Servicing Agreement.

     Section 3.07. Computation of Reductions to the Nominal Liquidation Amount from
Reallocations of Series 2007-1 Available Principal Amounts.

     (a) Each reallocation of Series 2007-1 Available Principal Amounts pursuant to Section
3.06(a) will reduce the Nominal Liquidation Amount of the Class C Notes; provided,
however, that the amount of such reduction shall not exceed the Nominal Liquidation Amount
of the Class C Notes (after giving effect to any reductions pursuant to Section 3.04).

     (b) Each reallocation of Series 2007-1 Available Principal Amounts pursuant to Section
3.06(a) which does not reduce the Nominal Liquidation Amount of Class C Notes pursuant to
clause (a) above will reduce the Nominal Liquidation Amount of the Class B Notes; provided,
however, that the amount of such reduction shall not exceed the Nominal Liquidation Amount
of the Class B Notes (after giving effect to any reductions pursuant to Section 3.04).

     (c) Each reallocation of Series 2007-1 Available Principal Amounts pursuant to Section
3.06(b) will reduce the Nominal Liquidation Amount (determined after giving effect to clause
(a) above and Section 3.04) of the Class C Notes.

     (d) Each reallocation of Series 2007-1 Available Principal Amounts pursuant to Section
3.06(c) will reduce the Nominal Liquidation Amount (determined after giving effect to clauses
(a) and (c) above) of the Class C Notes; provided, however, that the amount of such
reduction shall not exceed the Nominal Liquidation Amount of the Class C Notes (after giving effect
to clauses (a) and (c) above and Section 3.04).

     (e) Each reallocation of Series 2007-1 Available Principal Amounts pursuant to Section
3.06(c) which does not reduce the Nominal Liquidation Amount of Class C Notes pursuant to
clause (d) above will reduce the Nominal Liquidation Amount (determined after giving effect to
clause (b) above) of the Class B Notes; provided, however, that the amount of such
reduction shall not exceed the Nominal Liquidation Amount of the Class B Notes (after giving effect
to clause (b) above and Section 3.04).

     Section 3.08. Targeted Deposits of Series 2007-1 Available Principal Amounts to the
Principal Funding Account. The amount targeted to be deposited into the Principal Funding
Account with respect to any Monthly Period will be the sum of (i) the amount determined pursuant to
clause (a), (b) or (c) below for such Monthly Period, as applicable, or if more than one such
clause is applicable, the highest amount determined pursuant to any one of such clauses, and (ii)
any deposit targeted pursuant to clause (i) for any prior Monthly Period but for which the full
targeted deposit was not made, but in no case more than the Nominal Liquidation Amount of Series
2007-1 (computed immediately before giving effect to such deposit but after giving effect to
Sections 3.04 and 3.06 on such date).

     (a) Scheduled Principal Payment Date. With respect to the Monthly Period immediately
preceding the Scheduled Principal Payment Date, the deposit targeted is equal to the Nominal
Liquidation Amount of Series 2007-1 as of the close of business on the last day of the Monthly
Period preceding such Monthly Period (determined after giving effect to Section 

19

 

3.04 with respect to such Monthly Period and any applications, payments or deposits on
the following Distribution Date).

     (b) Accumulation Deposits.

     (i) Subject to Section 3.08(c), with respect to each Monthly Period, beginning
with the Accumulation Commencement Date, the deposit targeted to be made into the Principal
Funding Account will be the Controlled Accumulation Amount.

     (ii) Notwithstanding anything to the contrary in clause (i), on or before the
Distribution Date immediately preceding the first Business Day of the month that is twelve
(12) months prior to the Scheduled Principal Payment Date, and each Determination Date
thereafter until the Accumulation Commencement Date, the Issuer will determine the
“Accumulation Period Length” which will equal the number of whole months such that
the sum of the Accumulation Period Factors for each month during such period will be equal
to or greater than the Required Accumulation Factor Number; provided,
however, that the Accumulation Period Length will not be determined to be less than
one month; provided further, however, that the determination of the
Accumulation Period Length may be changed at any time if the Note Rating Agencies provide
prior written confirmation that a Ratings Effect will not occur with respect to such change.

     (c) Event of Default, Early Redemption Event, Other Optional or Mandatory Redemption.
If the Series 2007-1 Notes have been accelerated during a Monthly Period after the occurrence of an
Event of Default, or if an Early Redemption Event with respect to the Series 2007-1 Notes occurs
during such Monthly Period, or with respect to the Monthly Period immediately preceding any other
date fixed for any other optional or mandatory redemption of the Series 2007-1 Notes, the deposit
targeted with respect to that Monthly Period and each following Monthly Period is equal to Nominal
Liquidation Amount of the Series 2007-1 Notes as of the close of business on the last day of the
preceding Monthly Period (after taking into account any applications, payments or deposits on the
following Distribution Date).

     Section 3.09. Amounts to be Treated as Series 2007-1 Available Principal Amounts; Other
Deposits to the Principal Funding Account. The following deposits and payments will be made on
the following dates:

     (a) Amounts to be Treated as Series 2007-1 Available Principal Amounts. In addition
to Available Principal Amounts allocated to the Series 2007-1 pursuant to Section 502 of
the Indenture, Series 2007-1 Available Principal Amounts will include Series 2007-1 Finance Change
Amounts reallocated to be treated as Series 2007-1 Available Principal Amounts pursuant to
Section 3.01(e), 3.01(f) or 3.01(i) for application with this Article III
for any Monthly Period.

     (b) Spread Account. Withdrawals made from the Spread Account pursuant to Section
3.14(b) will be deposited into the Principal Funding Account on the Distribution Date.

20

 

     (c) Receivables Sale Proceeds. Receivables Sales Proceeds received pursuant to
Section 3.12(c)(i) for the Series 2007-1 Notes will be deposited into the Principal Funding
Account on the date of receipt by the Issuer.

     Section 3.10. Withdrawals from Principal Funding Account. On each Principal Payment
Date with respect to the Series 2007-1 Notes, the aggregate amount on deposit in the Principal
Funding Account will be withdrawn from the Principal Funding Account and remitted to the Paying
Agent; provided, however, that the aggregate amount remitted to the Paying Agent will not exceed
the Outstanding Dollar Principal Amount of the Series 2007-1 Notes. Payments made by the Paying
Agent on each Principal Payment Date shall be made first to the Class A Noteholders until paid in
full, second to the Class B Noteholders until paid in full and third to the Class C Noteholders
until paid in full, each in accordance with Section 3.19.

     Section 3.11. Calculation of Nominal Liquidation Amount.

     (a) On or prior to each Distribution Date, the Issuer shall calculate the Nominal Liquidation
Amount of the Class A Notes which shall be the following amount:

     (i) the Initial Dollar Principal Amount of the Class A Notes, plus

     (ii) the aggregate amount of all reimbursements of the Nominal Liquidation Amount
Deficit for the Class A Notes pursuant to Section 3.01(f) on or prior to such date,
determined as set forth in Section 3.05; minus

     (iii) the aggregate amount of the reduction of the Nominal Liquidation Amount of Class
A Notes resulting from an allocation of Investor Charge-Offs on or prior to such date,
determined as set forth in Section 3.04; minus

     (iv) an amount equal to the lesser of (x) the aggregate amount on deposit in the
Principal Funding Account (after giving effect to any deposits, allocations, reallocations
or withdrawals to be made on such date) and (y) the Outstanding Dollar Principal Amount of
the Class A Notes; minus

     (v) the aggregate amount of principal payments made to the Class A Noteholders on or
prior to such date;

provided, however, that (1) the Nominal Liquidation Amount of the Class A Notes may
never be less than zero, (2) the Nominal Liquidation Amount of the Class A Notes may never be
greater than the Outstanding Dollar Principal Amount of the Class A Notes and (3) the Nominal
Liquidation Amount of the Class A Notes following a sale of Receivables pursuant to Section
3.12 will be zero.

     (b) On or prior to each Distribution Date, the Issuer shall calculate the Nominal Liquidation
Amount of the Class B Notes which shall be the following amount:

     (i) the Initial Dollar Principal Amount of the Class B Notes, plus

21

 

     (ii) the aggregate amount of all reimbursements of the Nominal Liquidation Amount
Deficit for the Class B Notes pursuant to Section 3.01(f) on or prior to such date,
determined as set forth in Section 3.05; minus

     (iii) the amount of the reduction of the Nominal Liquidation Amount of Class B Notes
resulting from any reallocations of Series 2007-1 Available Principal Amounts pursuant to
Section 3.06(a) or (c) on or prior to such date, determined as set forth in
Section 3.07; minus

     (iv) the aggregate amount of the reduction of the Nominal Liquidation Amount of Class B
Notes resulting from an allocation of Investor Charge-Offs on or prior to such date,
determined as set forth in Section 3.04; minus

     (v) an amount equal to the lesser of (x) the aggregate amount on deposit in the
Principal Funding Account (after giving effect to any deposits, allocations, reallocations
or withdrawals to be made on such date) minus the Adjusted Outstanding Dollar Principal
Amount of the Class A Notes and (y) the Outstanding Dollar Principal Amount of the Class B
Notes; minus

     (vi) the aggregate amount of principal payments made to the Class B Noteholders on or
prior to such date;

provided, however, that (1) the Nominal Liquidation Amount of the Class B Notes may
never be less than zero, (2) the Nominal Liquidation Amount of the Class B Notes may never be
greater than the Outstanding Dollar Principal Amount of the Class B Notes and (3) the Nominal
Liquidation Amount of the Class B Notes following a sale of Receivables pursuant to Section
3.12 will be zero.

     (c) On or prior to each Distribution Date, the Issuer shall calculate the Nominal Liquidation
Amount of the Class C Notes which shall be the following amount:

     (i) the Initial Dollar Principal Amount of the Class C Notes, plus

     (ii) the aggregate amount of all reimbursements of the Nominal Liquidation Amount
Deficit for the Class C Notes pursuant to Section 3.01(f) on or prior to such date,
determined as set forth in Section 3.05; minus

     (iii) the amount of the reduction of the Nominal Liquidation Amount of Class C Notes
resulting from any reallocations of Series 2007-1 Available Principal Amounts pursuant to
Section 3.06(a), (b) or (c) on or prior to such date, determined as
set forth in Section 3.07; minus

     (iv) the aggregate amount of the reduction of the Nominal Liquidation Amount of Class C
Notes resulting from an allocation of Investor Charge-Offs on or prior to such date,
determined as set forth in Section 3.04; minus

     (v) an amount equal to the lesser of (x) the aggregate amount on deposit in the
Principal Funding Account (after giving effect to any deposits, allocations, reallocations

22

 

or withdrawals to be made on such date) minus the aggregate of the Adjusted Outstanding
Dollar Principal Amounts of the Class A Notes and the Class B Notes and (y) the Outstanding
Dollar Principal Amount of the Class C Notes; minus

     (vi) the aggregate amount of principal payments made to the Class C Noteholders on or
prior to such date;

provided, however, that (1) the Nominal Liquidation Amount of the Class C Notes may
never be less than zero, (2) the Nominal Liquidation Amount of the Class C Notes may never be
greater than the Outstanding Dollar Principal Amount of the Class C Notes and (3) the Nominal
Liquidation Amount of the Class C Notes following a sale of Receivables pursuant to Section
3.12 will be zero.

     (d) The Nominal Liquidation Amount for Series 2007-1 will be the sum of the Nominal
Liquidation Amounts of the Class A Notes, the Class B Notes and the Class C Notes.

     Section 3.12. Sale of Receivables.

(a) (i) If the Series 2007-1 Notes have been accelerated pursuant to Section 702 of
the Indenture following an Event of Default, the Indenture Trustee may, and at the direction
of the Majority Holders will, cause the Master Trust to sell Principal Receivables and the
related Finance Charge Receivables (or interests therein) in an amount up to the Nominal
Liquidation Amount of Series 2007-1 plus any accrued, past due and additional interest on
the Series 2007-1 Notes.

     (ii) Such a sale will be permitted only if at least one of the following conditions is
met:

     (A) the Holders of 90% of the aggregate Outstanding Dollar Principal Amount of
Series 2007-1 Notes consent; or

     (B) the net proceeds of such sale (plus amounts on deposit in the applicable
Issuer Accounts) would be sufficient to pay all amounts due on the Series 2007-1
Notes; or

     (C) if the Indenture Trustee determines that the funds to be allocated to the
Series 2007-1 Notes, including (1) Series 2007-1 Finance Charge Amounts and Series
2007-1 Available Principal Amounts and (2) amounts on deposit in the applicable
Issuer Accounts, may not be sufficient on any ongoing basis to make payments on the
Series 2007-1 Notes as such payments would have become due if such obligations had
not been declared due and payable, and
662/3% of the Holders of the Series 2007-1
Notes consent to the sale.

     (b) If the principal of or interest on the Series 2007-1 Notes has not been paid in full on
the Legal Maturity Date (after giving effect to any adjustments, deposits and distributions
otherwise to be made on the Legal Maturity Date), the Issuer will cause the Master Trust to sell
Principal Receivables and the related Finance Charge Receivables (or interests therein) on the

23

 

Legal Maturity Date in an amount up to the Nominal Liquidation Amount of the Series 2007-1
Notes plus any accrued, past due and additional interest on the Series 2007-1 Notes.

     (c) Sales proceeds received pursuant to clause (a) or (b) will be allocated in the following
priority:

     (i) first, to be deposited in the Principal Funding Account, an amount up to the amount
that would be necessary to increase the aggregate amount on deposit in the Principal Funding
Account to the Outstanding Dollar Principal Amount of the Series 2007-1 Notes; and

     (ii) second, to pay any accrued, past due or additional interest on the Series 2007-1
Notes.

     Section 3.13. Targeted Deposits to the Spread Account. The aggregate deposit targeted
to be made to the Spread Account with respect to each Distribution Date is equal to the Spread
Account Deficiency.

     Section 3.14. Withdrawals from the Spread Account. Withdrawals for the Class C Notes
will be made from the Spread Account as specified below:

     (a) Payments of Interest. If Series 2007-1 Finance Charge Amounts available after
giving effect to Section 3.01(a) through (c) are insufficient to pay the full
amount payable on the Class C Notes pursuant to Section 3.01(d), on the Distribution Date
immediately preceding the date of such payment an amount equal to the amount of the insufficiency
will be withdrawn from the Spread Account, to the extent available, and distributed to the Paying
Agent for payment to Class C Noteholders.

     (b) Payments of Principal. If, on and after the earliest to occur of (i) the date on
which the Series 2007-1 Notes are accelerated pursuant to Section 702 of the Indenture
following an Event of Default with respect to Series 2007-1, (ii) any date on or after the
Scheduled Principal Payment Date on which the Class A Notes and the Class B Notes have been paid in
full and the amount on deposit in the Principal Funding Account available to pay principal of the
Class C Notes plus the aggregate amount on deposit in the Spread Account equals or exceeds the
Outstanding Dollar Principal Amount of the Class C Notes and (iii) the Legal Maturity Date, the
amount on deposit in the Principal Funding Account is insufficient to pay in full the amounts for
which withdrawals are required under Section 3.10, an amount equal to that deficiency in
the Principal Funding Account for the payment of principal of the Class C Notes will be withdrawn
from the Spread Account and deposited into that Principal Funding Account for the Class C Notes on
the Distribution Date before the date of the applicable withdrawal required pursuant to Section
3.10.

     (c) Withdrawal of Excess Amounts. If the aggregate amount on deposit in the Spread
Account exceeds the amount required to be on deposit in the Spread Account, the amount of such
excess will be withdrawn from the Spread Account and will be treated as Series 2007-1 Finance
Charge Amounts and applied in accordance with Sections 3.01(i) through (k).

24

 

     Section 3.15. Targeted Deposits to the Reserve Account. The aggregate deposit
targeted to be made to the Reserve Account with respect to each Distribution Date on or after the
Reserve Account Funding Date is equal to the excess, if any, of the Required Reserve Account Amount
then in effect over the Available Reserve Account Amount.

     Section 3.16. Withdrawals from the Reserve Account. Withdrawals for any Class of
Notes will be made from the Reserve Account as specified below:

     (a) Interest. On or prior to each Distribution Date the Issuer will calculate the
Reserve Draw Amount (if any). If there is any Reserve Draw Amount for that Distribution Date, the
Issuer will withdraw such amount from the Reserve Account, to the extent available, for treatment
as Series 2007-1 Finance Charge Amounts for such Monthly Period.

     (b) Withdrawal of Excess Amounts. On the earlier to occur of the date on which the
Series 2007-1 Notes are paid in full and the first Distribution Date occurring on or immediately
following the date on which an Early Redemption Event occurs with respect to Series 2007-1, after
giving effect to any withdrawal from the Reserve Account pursuant to Section 3.16(a) above,
the amount on deposit in the Reserve Account will be withdrawn from the Reserve Account and will be
treated as Series 2007-1 Finance Charge Amounts and applied in accordance with Sections
3.01(h) through (k).

     Section 3.17. Excess Finance Charge Amounts Sharing.

     (a) Shared Excess Finance Charge Amounts allocable to the Series 2007-1 on any Distribution
Date shall be treated as Series 2007-1 Finance Charge Amounts for such Distribution Date.

     (b) Shared Excess Finance Charge Amounts allocable to the Series 2007-1 with respect to any
Distribution Date shall mean an amount equal to the Series Finance Charge Amounts Shortfall, if
any, with respect to the Series 2007-1 for such Distribution Date; provided,
however, that if the aggregate amount of Shared Excess Finance Charge Amounts for all
Excess Finance Charge Amounts Sharing Series in Excess Finance Charge Amounts Sharing Group A for
such Distribution Date is less than the Aggregate Series Finance Charge Amounts Shortfall for such
Distribution Date, then Shared Excess Finance Charge Amounts allocable to the Series 2007-1 on such
Distribution Date shall equal the product of (i) Shared Excess Finance Charge Amounts for all
Excess Finance Charge Amounts Sharing Series in Excess Finance Charge Amounts Sharing Group A for
such Distribution Date and (ii) a fraction, the numerator of which is the Series Finance Charge
Amounts Shortfall with respect to the Series 2007-1 for such Distribution Date and the denominator
of which is the Aggregate Series Finance Charge Amounts Shortfall for all Excess Finance Charge
Amounts Sharing Series in Excess Finance Charge Amounts Sharing Group A for such Distribution Date.

     Section 3.18. Excess Principal Amount Sharing.

     (a) Shared Excess Available Principal Amounts allocable to the Series 2007-1 on any
Distribution Date shall be treated as Series 2007-1 Available Principal Amounts for such
Distribution Date.

25

 

     (b) Shared Excess Available Principal Amounts allocable to the Series 2007-1 with respect to
any Distribution Date shall mean an amount equal to the Series Principal Amounts Shortfall, if any,
with respect to the Series 2007-1 for such Distribution Date; provided, however,
that if the aggregate amount of Shared Excess Available Principal Amounts for all Excess Principal
Amounts Sharing Series in Excess Principal Amounts Sharing Group A for such Distribution Date is
less than the Aggregate Series Principal Amounts Shortfall for such Distribution Date, then Shared
Excess Available Principal Amounts allocable to Series 2007-1 on such Distribution Date shall equal
the product of (i) Shared Excess Available Principal Amounts for all Excess Principal Amounts
Sharing Series in Excess Principal Amounts Sharing Group A for such Distribution Date and (ii) a
fraction, the numerator of which is the Series Principal Amounts Shortfall with respect to Series
2007-1 for such Distribution Date and the denominator of which is the Aggregate Series Principal
Amounts Shortfall for all Excess Principal Amounts Sharing Series in Excess Principal Amounts
Sharing Group A for such Distribution Date.

     Section 3.19. Payments of Interest and Principal.

          (a) Any installment of interest or principal, if any, payable on any Series 2007-1 Note which
is punctually paid or duly provided for by the Issuer and the Indenture Trustee on the applicable
Interest Payment Date or Principal Payment Date shall be paid by the Paying Agent to the Person in
whose name such Series 2007-1 Note (or one or more Predecessor Notes) is registered on the Record
Date, by wire transfer of immediately available funds to such Person’s account as has been
designated by written instructions received by the Paying Agent from such Person not later than the
close of business on the third Business Day preceding the date of payment or, if no such account
has been so designated, by check mailed first-class, postage prepaid to such Person’s address as it
appears on the Note Register on such Record Date, except that with respect to Notes registered on
the Record Date in the name of the nominee of Cede & Co., payment shall be made by wire transfer in
immediately available funds to the account designated by such nominee.

          (b) The right of the Series 2007-1 Noteholders to receive payments from the Issuer will
terminate on the first Business Day following the Series 2007-1 Termination Date.

     Section 3.20. Calculation Agent; Determination of LIBOR.

          (a) The Issuer hereby agrees that for so long as any Series 2007-1 Notes are Outstanding,
there shall at all times be an agent appointed to calculate LIBOR for each Interest Period (the
“Calculation Agent”). The Issuer hereby initially appoints the Indenture Trustee as the
Calculation Agent for purposes of determining LIBOR for each Interest Period. The Calculation
Agent may be removed by the Issuer at any time. If the Calculation Agent is unable or unwilling to
act as such or is removed by the Issuer, or if the Calculation Agent fails to determine LIBOR for
an Interest Period, the Issuer shall promptly appoint a replacement Calculation Agent that does not
control or is not controlled by or under common control with the Issuer or its Affiliates. The
Calculation Agent may not resign its duties, and the Issuer may not remove the Calculation Agent,
without a successor having been duly appointed.

          (b) On each LIBOR Determination Date, the Calculation Agent shall

26

 

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

          (c) The Class A Note Rate, the Class B Note Rate and the Class C Note Rate applicable to the
then current and the immediately preceding Interest Periods may be obtained by any Noteholder or
beneficial owner of any Note by telephoning the Indenture Trustee at its corporate trust office at
(212) 815-3247 or such other telephone number as shall be designated by the Indenture Trustee for
such purpose by prior written notice by the Indenture Trustee to each Noteholder from time to time.
The Indenture Trustee hereby agrees to provide such information to each such Noteholder or
beneficial owner of any Note.

          (d) On each LIBOR Determination Date, the Calculation Agent shall send to the Indenture
Trustee and the Beneficiary, by facsimile transmission, notification of LIBOR for the following
Interest Period.

[END OF ARTICLE III]

27

 

ARTICLE IV

Early Redemption of Notes

     Section 4.01. Early Redemption Events. In addition to the events identified as Early
Redemption Events in Section 1201 of the Indenture, if the average Portfolio Yield for any
three consecutive Monthly Periods is less than the average Base Rate for such three consecutive
Monthly Periods, an “Early Redemption Event” with respect to the Series 2007-1 Notes will be deemed
to have occurred.

[END OF ARTICLE IV]

28

 

ARTICLE V

Accounts and Investments

     Section 5.01. Accounts.

     (a) On or before the Closing Date, the Indenture Trustee will cause to be established and
maintained three Qualified Accounts denominated as follows: the “Principal Funding
Account,” the “Reserve Account” and the “Spread Account” in the name of the
Indenture Trustee, bearing a designation clearly indicating that the funds deposited therein are
held for the benefit of the Series 2007-1 Noteholders (or, in the case of the Spread Account, for
the benefit of the Class C Noteholders). The Principal Funding Account, the Reserve Account and
the Spread Account constitute Issuer Accounts and shall be under the sole dominion and control of
the Indenture Trustee for the benefit of the Series 2007-1 Noteholders (or, in the case of the
Spread Account, for the benefit of the Class C Noteholders). If, at any time, any institution
holding the Principal Funding Account, the Reserve Account or the Spread Account ceases to be a
Qualified Institution, the Issuer will within ten (10) Business Days (or such longer period, not to
exceed thirty (30) calendar days, as to which each Note Rating Agency may consent) establish a new
Principal Funding Account, Reserve Account or Spread Account, as the case may be, that is a
Qualified Account and shall transfer any cash and/or investments to such new Principal Funding
Account, Reserve Account or Spread Account, as the case may be. From the date such new Principal
Funding Account, Reserve Account or Spread Account is established, it will be the “Principal
Funding Account,” “Reserve Account” or “Spread Account,” as the case may be. The Principal Funding
Account, the Reserve Account and the Spread Account will receive deposits pursuant to Article
III.

     (b) All payments to be made from time to time by the Indenture Trustee to Noteholders out of
funds in the Principal Funding Account, the Reserve Account or the Spread Account pursuant to this
Indenture Supplement will be made by the Indenture Trustee to the Paying Agent not later than 12:00
noon, New York City time, on the applicable Interest Payment Date or Principal Payment Date but
only to the extent of available funds in the applicable Issuer Account or as otherwise provided in
Article III.

     (c) On each Distribution Date, all interest and earnings (net of losses and investment
expenses) accrued since the preceding Distribution Date on funds on deposit in the Spread Account
will be retained in the Spread Account (to the extent that the sum of the amount on deposit in the
Spread Account with respect to the related Monthly Period is less than the required balance for the
Spread Account for that Monthly Period) and the excess, if any, will be paid to the Issuer.

[END OF ARTICLE V]

29

 

ARTICLE VI

Representations and Warranties

     Section 6.01. Issuer’s Representations and Warranties. The Issuer makes the following
representations and warranties as to the Collateral Certificate on which the Indenture Trustee is
deemed to have relied in acquiring the Collateral Certificate. Such representations and warranties
speak as of the execution and delivery of this Indenture Supplement, but shall survive until the
termination of this Indenture Supplement. Such representations and warranties shall not be waived
by any of the parties to this Indenture Supplement unless the Issuer has obtained written
confirmation from each Note Rating Agency that there will be no Ratings Effect with respect to such
waiver.

          (a) The Indenture creates a valid and continuing security interest (as defined in the New York
UCC) in the Collateral Certificate in favor of the Indenture Trustee, which security interest is
prior to all other liens, and is enforceable as such as against creditors of and purchasers from
the Issuer.

          (b) The Collateral Certificate constitutes either an “account,” a “general intangible,” an
“instrument,” or a “certificated security,” each within the meaning of the Delaware UCC and the New
York UCC.

          (c) At the time of the transfer and assignment of the Collateral Certificate to the Indenture
Trustee pursuant to the Indenture, the Issuer owned and had good and marketable title to the
Collateral Certificate free and clear of any lien, claim or encumbrance of any Person.

          (d) The Issuer has caused, within ten days of the execution of the Indenture, the filing of
all appropriate financing statements in the proper filing office in the appropriate jurisdictions
under applicable law in order to perfect the security interest in the Collateral Certificate
granted to the Indenture Trustee pursuant to the Indenture.

          (e) Other than the security interest granted to the Indenture Trustee pursuant to the
Indenture, the Issuer has not pledged, assigned, sold, granted a security interest in, or otherwise
conveyed the Collateral Certificate. The Issuer has not authorized the filing of and is not aware
of any financing statements against the Issuer that include a description of collateral covering
the Collateral Certificate other than any financing statement relating to the security interest
granted to the Indenture Trustee pursuant to the Indenture or any financing statement that has been
terminated. The Issuer is not aware of any judgment or tax lien filings against the Issuer.

          (f) All original executed copies of the Collateral Certificate have been delivered to the
Indenture Trustee.

          (g) At the time of the transfer and assignment of the Collateral Certificate to the Indenture
Trustee pursuant to the Indenture, the Collateral Certificate had no marks or notations indicating
that it has been pledged, assigned or otherwise conveyed to any Person other than the Indenture
Trustee.

[END OF ARTICLE VI]

30

 

          IN WITNESS WHEREOF, the parties hereto have caused this Indenture Supplement to be duly
executed, and their respective corporate seals to be hereunto affixed and attested, all as of the
day and year first above written.

	 	 	 	 	 	 	 
	 	 	NATIONAL CITY CREDIT CARD MASTER NOTE TRUST, as Issuer
	 
	 	 	 	 	 	 
	 	 	By: WILMINGTON TRUST COMPANY, not in its individual capacity
but solely as Owner Trustee	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	/s/ J. Christopher Murphy	 	 
	 

	 	 
	 	 	 	 
	 

	 	 	 	Name: J. Christopher Murphy	 	 
	 

	 	
	 	Title: Financial Services
Officer	 	 
	 
	 	 	 	 	 	 
	 	 	THE BANK OF NEW YORK, as Indenture Trustee
and not in its individual capacity	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	/s/ John Bobko	 	 
	 

	 	 
	 	 	 	 
	 

	 	
	 	Name: John Bobko	 	 
	 

	 	
	 	Title: Vice President	 	 

[Signature Page to Indenture Supplement]

 

EXHIBIT A-1

FORM OF

CLASS A FLOATING RATE ASSET BACKED NOTE

     UNLESS THIS NOTE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY,
A NEW YORK CORPORATION (“DTC”), TO THE ISSUER OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE
OR PAYMENT, AND ANY NOTE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS IS
REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR TO SUCH
OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC) — ANY TRANSFER, PLEDGE OR
OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED
OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.

     THE HOLDER OF THIS NOTE BY ITS ACCEPTANCE HEREOF COVENANTS AND AGREES THAT IT WILL NOT AT ANY
TIME INSTITUTE AGAINST THE ISSUER OR THE TRANSFEROR, OR JOIN IN INSTITUTING AGAINST THE ISSUER OR
THE TRANSFEROR, ANY BANKRUPTCY, REORGANIZATION, ARRANGEMENT, INSOLVENCY OR LIQUIDATION PROCEEDINGS,
OR OTHER PROCEEDINGS UNDER ANY UNITED STATES FEDERAL OR STATE BANKRUPTCY OR SIMILAR LAW.

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

A-1-1

 

			
	REGISTERED
	 	up to $371,875,0001/
	 
	No. R-[_]
	 	CUSIP NO. [_]

NATIONAL CITY CREDIT CARD MASTER NOTE TRUST

CLASS A SERIES 2007-1 FLOATING RATE ASSET BACKED NOTE

     NATIONAL CITY CREDIT CARD MASTER NOTE TRUST (herein referred to as the “Issuer” or the
“Trust”), a Delaware statutory trust governed by a Trust Agreement dated as of July 13,
2005, as amended and restated as of August 23, 2005, and as amended by the First Amendment dated as
of March 20, 2007, for value received, hereby promises to pay to CEDE & CO., or registered assigns,
subject to the following provisions, the principal sum of THREE HUNDRED SEVENTY-ONE MILLION EIGHT
HUNDRED SEVENTY-FIVE THOUSAND DOLLARS on the Series 2007-1 Scheduled Principal Payment Date (which
is the March 2012 Distribution Date), except as otherwise provided below or in the Indenture;
provided, however, that the entire unpaid principal amount of this Note shall be
due and payable on the March 2014 Payment Date (the “Legal Maturity Date”). The Issuer
will pay interest on the unpaid principal amount of this Note at the Class A Note Rate on each
Interest Payment Date until the principal amount of this Note is paid in full. Interest on this
Note will accrue for each Interest Payment Date from and including the most recent Interest Payment
Date on which interest has been paid to but excluding such Interest Payment Date or, for the
initial Interest Payment Date, from and including the Issuance Date to but excluding such Interest
Payment Date. Interest will be computed on the basis of a 360-day year and the actual number of
days elapsed. Such principal of and interest on this Note shall be paid in the manner specified on
the reverse hereof.

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

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

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

 

 

			
	1/	 	Denominations of $5,000 and integral multiples of $1,000 in excess thereof.

A-1-2

 

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

	 	 	 	 	 	 	 
	 	 	NATIONAL CITY CREDIT CARD MASTER NOTE	 	 
	 	 	TRUST, as Issuer	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	WILMINGTON TRUST COMPANY, not in its	 	 
	 

	 	 	 	individual capacity but solely as Owner Trustee under	 	 
	 

	 	 	 	the Trust Agreement	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 

Dated: March [_], 2007

 

 

INDENTURE TRUSTEE’S CERTIFICATE OF AUTHENTICATION

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

	 	 	 	 	 	 	 
	 	 	THE BANK OF NEW YORK,	 	 
	 	 	as Indenture Trustee	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Authorized Signatory	 	 

Dated: March [_], 2007

 

 

[REVERSE OF NOTE]

     This Class A Note is one of a duly authorized issue of Notes of the Issuer, designated as
NATIONAL CITY CREDIT CARD MASTER NOTE TRUST, Series 2007-1 (the “Series 2007-1 Notes”),
issued under an Indenture dated as of August 23, 2005, as amended by the First Amendment dated as
of March 20, 2007 (the “Master Indenture”), between the Issuer and The Bank of New York, as
indenture trustee (the “Indenture Trustee,” which term includes any successor Indenture
Trustee under the Indenture), as supplemented by the Series 2007-1 Indenture Supplement, dated as
of March 20, 2007 (the “Indenture Supplement”), and representing the right to receive
certain payments from the Issuer. The term “Indenture,” unless the context otherwise requires,
refers to the Master Indenture as supplemented by the Indenture Supplement. The Notes are subject
to all of the terms of the Indenture. All terms used in this Note that are defined in the
Indenture, as supplemented or amended, shall have the meanings assigned to them in or pursuant to
the Indenture, as so supplemented or amended. In the event of any conflict or inconsistency
between the Indenture and this Note, the Indenture shall control.

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

     The Noteholder, by its acceptance of this Note, agrees that it will look solely to the
property of the Trust allocated to the payment of this Note for payment hereunder and that the
Indenture Trustee is not liable to the Noteholders for any amount payable under the Note or the
Indenture or, except as expressly provided in the Indenture, subject to any liability under the
Indenture.

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

     The Class A Note Initial Dollar Principal Amount is $371,875,000. The Outstanding Dollar
Principal Amount of the Class A Note on any date of determination will be an amount equal to (a)
the Class A Note Initial Principal Balance, minus (b) the aggregate amount of principal payments
made to the Class A Noteholders on or prior to such date.

     The Scheduled Principal Payment Date is the March 2012 Distribution Date, but principal with
respect to the Class A Notes may be paid earlier or later under certain circumstances described in
the Indenture. As described above, the entire unpaid principal amount of this Note shall be due
and payable on the Legal Maturity Date. Payments of principal of the Notes shall be payable in
accordance with the provisions of the Indenture.

     Subject to the terms and conditions of the Indenture, the Beneficiary on behalf of the Trust
may, from time to time issue, or direct the Owner Trustee, on behalf of the Trust, to issue one or
more new Series of Notes.

     On each Distribution Date, the Paying Agent shall distribute to each Class A Noteholder of
record on the related Record Date (except for the final distribution in respect of this Class A
Note) such Class A Noteholder’s share of the amounts held by the Paying Agent that are allocated
and available on such Distribution Date to pay interest and principal on the Class A

A-1-5

 

Notes pursuant to the Indenture Supplement. Except as provided in the Indenture with respect
to a final distribution, distributions to Series 2007-1 Noteholders shall be made by (i) check
mailed to each Series 2007-1 Noteholder (at such Noteholder’s address as it appears in the Note
Register), except that with respect to any Series 2007-1 Notes registered in the name of the
nominee of a Clearing Agency, such distribution shall be made in immediately available funds and
(ii) without presentation or surrender of any Series 2007-1 Note or the making of any notation
thereon. Final payment of this Class A Note will be made only upon presentation and surrender of
this Class A Note at the office or agency specified in the notice of final distribution delivered
by the Indenture Trustee to the Series 2007-1 Noteholders in accordance with the Indenture.

     On any day occurring on or after the date on which the outstanding principal balance of the
Series 2007-1 Notes is reduced to 5% or less of the initial outstanding principal balance of the
Series 2007-1 Notes, the Servicer shall have the right but not the obligation to direct the Trust
to redeem, or cause to be redeemed, the Series 2007-1 Notes, at a redemption price equal to the
outstanding principal amount of Series 2007-1 plus interest accrued and unpaid or principal
accreted and unpaid to the Series 2007-1 Notes to but excluding the date of redemption, the payment
of which is subject to the Indenture and the allocations, deposits and payments in the Indenture
Supplement.

     This Class A Note does not represent an obligation of, or an interest in, National City Bank
or any Affiliate thereof and is not insured or guaranteed by the Federal Deposit Insurance
Corporation or any other governmental agency or instrumentality.

     Each Noteholder, by accepting a Note, hereby covenants and agrees that it will not at any time
institute against the Issuer or the Transferor, or join in instituting against the Issuer or the
Transferor, any bankruptcy, reorganization, arrangement, insolvency or liquidation proceedings, or
other proceedings under any United States federal or state bankruptcy or similar law.

     Except as otherwise provided in the Indenture Supplement, the Class A Notes are issuable only
in minimum denominations of $5,000 and integral multiples of $1,000. The transfer of this Class A
Note shall be registered in the Note Register upon surrender of this Class A Note for registration
of transfer at any office or agency maintained by the Transfer Agent and Registrar accompanied by a
written instrument of transfer, in a form satisfactory to the Indenture Trustee or the Transfer
Agent and Registrar, duly executed by the Class A Noteholder or such Class A Noteholder’s attorney,
and duly authorized in writing with such signature guaranteed, and thereupon one or more new Class
A Notes in any authorized denominations of like aggregate principal amount will be issued to the
designated transferee or transferees.

     As provided in the Indenture and subject to certain limitations therein set forth, Class A
Notes are exchangeable for new Class A Notes in any authorized denominations and of like aggregate
principal amount, upon surrender of such Notes to be exchanged at the office or agency of the
Transfer Agent and Registrar. No service charge may be imposed for any such exchange but the
Issuer or Transfer Agent and Registrar may require payment of a sum sufficient to cover any tax or
other governmental charge that may be imposed in connection therewith.

A-1-6

 

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

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

A-1-7

 

ASSIGNMENT

Social Security or other identifying number of assignee                                                             

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

 (name and address of assignee)

the within certificate and all rights thereunder, and hereby irrevocably constitutes and appoints
                                        , attorney, to transfer said certificate on the books kept for registration
thereof, with full power of substitution in the premises.

	 	 	 	 	 	 	 	 	 	 	 
	Dated:

	 	 	 	 	 	 	 	1/
	 	 
	 

	 	 

	 	 
	 	 

	 	 	 	 
	 

	 	 	 	 	 	Signature Guaranteed:

	 	 	 	 
	 

	 	 	 	 	 	 	 	 	 	 
	 
	 

	 	 	 	 	 	 	 	 	 	 

 

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

A-1-8

 

EXHIBIT A-2

FORM OF

CLASS B FLOATING RATE ASSET BACKED NOTE

     UNLESS THIS NOTE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY,
A NEW YORK CORPORATION (“DTC”), TO THE ISSUER OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE
OR PAYMENT, AND ANY NOTE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS IS
REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR TO SUCH
OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC) — ANY TRANSFER, PLEDGE OR
OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED
OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.

     THE HOLDER OF THIS NOTE BY ITS ACCEPTANCE HEREOF COVENANTS AND AGREES THAT IT WILL NOT AT ANY
TIME INSTITUTE AGAINST THE ISSUER OR THE TRANSFEROR, OR JOIN IN INSTITUTING AGAINST THE ISSUER OR
THE TRANSFEROR, ANY BANKRUPTCY, REORGANIZATION, ARRANGEMENT, INSOLVENCY OR LIQUIDATION PROCEEDINGS,
OR OTHER PROCEEDINGS UNDER ANY UNITED STATES FEDERAL OR STATE BANKRUPTCY OR SIMILAR LAW.

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

A-2-1

 

			
	REGISTERED
	 	up to $[_]1/
	 
	No. R-[_]
	 	CUSIP NO. [_]

NATIONAL CITY CREDIT CARD MASTER NOTE TRUST

CLASS B SERIES 2007-1 FLOATING RATE ASSET BACKED NOTE

     NATIONAL CITY CREDIT CARD MASTER NOTE TRUST (herein referred to as the “Issuer” or the
“Trust”), a Delaware statutory trust governed by a Trust Agreement dated as of July 13,
2005, as amended and restated as of August 23, 2005, and as amended by the First Amendment dated as
of March 20, 2007, for value received, hereby promises to pay to CEDE & CO., or registered assigns,
subject to the following provisions, the principal sum of TWENTY-FIVE MILLION FIVE HUNDRED THOUSAND
DOLLARS on the Series 2007-1 Scheduled Principal Payment Date (which is the March 2012 Distribution
Date), except as otherwise provided below or in the Indenture; provided, however,
that the entire unpaid principal amount of this Note shall be due and payable on the March 2014
Payment Date (the “Legal Maturity Date”). The Issuer will pay interest on the unpaid
principal amount of this Note at the Class B Note Rate on each Interest Payment Date until the
principal amount of this Note is paid in full. Interest on this Note will accrue for each Interest
Payment Date from and including the most recent Interest Payment Date on which interest has been
paid to but excluding such Interest Payment Date or, for the initial Interest Payment Date, from
and including the Issuance Date to but excluding such Interest Payment Date. Interest will be
computed on the basis of a 360-day year and the actual number of days elapsed. Such principal of
and interest on this Note shall be paid in the manner specified on the reverse hereof.

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

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

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

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

 

 

			
	1/	 	Denominations of $5,000 and integral multiples of $1,000 in excess thereof.

A-2-2

 

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

	 	 	 	 	 	 	 
	 	 	NATIONAL CITY CREDIT CARD MASTER NOTE	 	 
	 	 	TRUST, as Issuer	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	WILMINGTON TRUST COMPANY, not in its	 	 
	 

	 	 	 	individual capacity but solely as Owner Trustee under	 	 
	 

	 	 	 	the Trust Agreement	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 

Dated: March [_], 2007

 

 

INDENTURE TRUSTEE’S CERTIFICATE OF AUTHENTICATION

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

	 	 	 	 	 	 	 
	 	 	THE BANK OF NEW YORK,	 	 
	 	 	as Indenture Trustee	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Authorized Signatory	 	 

Dated: March [_], 2007

 

 

[REVERSE OF NOTE]

               This Class B Note is one of a duly authorized issue of Notes of the Issuer, designated as
NATIONAL CITY CREDIT CARD MASTER NOTE TRUST, Series 2007-1 (the “Series 2007-1 Notes”),
issued under an Indenture dated as of August 23, 2005, as amended by the First Amendment dated as
of March 20, 2007 (the “Master Indenture”), between the Issuer and The Bank of New York, as
indenture trustee (the “Indenture Trustee,” which term includes any successor Indenture
Trustee under the Indenture), as supplemented by the Series 2007-1 Indenture Supplement, dated as
of March 20, 2007 (the “Indenture Supplement”), and representing the right to receive
certain payments from the Issuer. The term “Indenture,” unless the context otherwise requires,
refers to the Master Indenture as supplemented by the Indenture Supplement. The Notes are subject
to all of the terms of the Indenture. All terms used in this Note that are defined in the
Indenture, as supplemented or amended, shall have the meanings assigned to them in or pursuant to
the Indenture, as so supplemented or amended. In the event of any conflict or inconsistency
between the Indenture and this Note, the Indenture shall control.

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

               The Noteholder, by its acceptance of this Note, agrees that it will look solely to the
property of the Trust allocated to the payment of this Note for payment hereunder and that the
Indenture Trustee is not liable to the Noteholders for any amount payable under the Note or the
Indenture or, except as expressly provided in the Indenture, subject to any liability under the
Indenture.

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

               The Class B Note Initial Dollar Principal Amount is $25,500,000. The Outstanding Dollar
Principal Amount of the Class B Note on any date of determination will be an amount equal to (a)
the Class B Note Initial Principal Balance, minus (b) the aggregate amount of principal payments
made to the Class B Noteholders on or prior to such date.

               The Scheduled Principal Payment Date is the March 2012 Distribution Date, but principal with
respect to the Class B Notes may be paid earlier or later under certain circumstances described in
the Indenture. As described above, the entire unpaid principal amount of this Note shall be due
and payable on the Legal Maturity Date. Payments of principal of the Notes shall be payable in
accordance with the provisions of the Indenture.

               Subject to the terms and conditions of the Indenture, the Beneficiary on behalf of the Trust
may, from time to time issue, or direct the Owner Trustee, on behalf of the Trust, to issue one or
more new Series of Notes.

               On each Distribution Date, the Paying Agent shall distribute to each Class B Noteholder of
record on the related Record Date (except for the final distribution in respect of this Class B
Note) such Class B Noteholder’s share of the amounts held by the Paying Agent that are

A-2-5

 

 

allocated and available on such Distribution Date to pay interest and principal on the Class B
Notes pursuant to the Indenture Supplement. Except as provided in the Indenture with respect to a
final distribution, distributions to Series 2007-1 Noteholders shall be made by (i) check mailed to
each Series 2007-1 Noteholder (at such Noteholder’s address as it appears in the Note Register),
except that with respect to any Series 2007-1 Notes registered in the name of the nominee of a
Clearing Agency, such distribution shall be made in immediately available funds and (ii) without
presentation or surrender of any Series 2007-1 Note or the making of any notation thereon. Final
payment of this Class B Note will be made only upon presentation and surrender of this Class B Note
at the office or agency specified in the notice of final distribution delivered by the Indenture
Trustee to the Series 2007-1 Noteholders in accordance with the Indenture.

               On any day occurring on or after the date on which the outstanding principal balance of the
Series 2007-1 Notes is reduced to 5% or less of the initial outstanding principal balance of the
Series 2007-1 Notes, the Servicer shall have the right but not the obligation to direct the Trust
to redeem, or cause to be redeemed, the Series 2007-1 Notes, at a redemption price equal to the
outstanding principal amount of Series 2007-1 plus interest accrued and unpaid or principal
accreted and unpaid to the Series 2007-1 Notes to but excluding the date of redemption, the payment
of which is subject to the Indenture and the allocations, deposits and payments in the Indenture
Supplement.

               This Class B Note does not represent an obligation of, or an interest in, National City Bank
or any Affiliate thereof and is not insured or guaranteed by the Federal Deposit Insurance
Corporation or any other governmental agency or instrumentality.

               Each Noteholder, by accepting a Note, hereby covenants and agrees that it will not at any time
institute against the Issuer or the Transferor, or join in instituting against the Issuer or the
Transferor, any bankruptcy, reorganization, arrangement, insolvency or liquidation proceedings, or
other proceedings under any United States federal or state bankruptcy or similar law.

               Except as otherwise provided in the Indenture Supplement, the Class B Notes are issuable only
in minimum denominations of $5,000 and integral multiples of $1,000. The transfer of this Class B
Note shall be registered in the Note Register upon surrender of this Class B Note for registration
of transfer at any office or agency maintained by the Transfer Agent and Registrar accompanied by a
written instrument of transfer, in a form satisfactory to the Indenture Trustee or the Transfer
Agent and Registrar, duly executed by the Class B Noteholder or such Class B Noteholder’s attorney,
and duly authorized in writing with such signature guaranteed, and thereupon one or more new Class
B Notes in any authorized denominations of like aggregate principal amount will be issued to the
designated transferee or transferees.

               As provided in the Indenture and subject to certain limitations therein set forth, Class B
Notes are exchangeable for new Class B Notes in any authorized denominations and of like aggregate
principal amount, upon surrender of such Notes to be exchanged at the office or agency of the
Transfer Agent and Registrar. No service charge may be imposed for any such exchange but the
Issuer or Transfer Agent and Registrar may require payment of a sum sufficient to cover any tax or
other governmental charge that may be imposed in connection therewith.

A-2-6

 

 

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

               THIS CLASS B NOTE SHALL BE CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK,
WITHOUT REFERENCE TO ITS CONFLICT OF LAW PROVISIONS, AND THE OBLIGATIONS, RIGHTS AND REMEDIES OF
THE PARTIES HEREUNDER SHALL BE DETERMINED IN ACCORDANCE WITH SUCH LAWS.

A-2-7

 

 

ASSIGNMENT

Social Security or other identifying number of assignee                                        

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

 

(name and address of assignee)

the within certificate and all rights thereunder, and hereby irrevocably constitutes and appoints
                                        , attorney, to transfer said certificate on the books kept for registration
thereof, with full power of substitution in the premises.

	 	 	 
	Dated:

	 	
	 

	 	                                        1/
	 
	 	 
	 

	 	Signature Guaranteed:
	 
	 	 
	 

	 	                                        
	                                        
	 	 
	 
	 	 

 

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

A-2-8

 

 

EXHIBIT A-3

FORM OF

CLASS C FLOATING RATE ASSET BACKED NOTE

     UNLESS THIS NOTE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY,
A NEW YORK CORPORATION (“DTC”), TO THE ISSUER OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE
OR PAYMENT, AND ANY NOTE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS IS
REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR TO SUCH
OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC) — ANY TRANSFER, PLEDGE OR
OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED
OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.

     THE HOLDER OF THIS NOTE BY ITS ACCEPTANCE HEREOF COVENANTS AND AGREES THAT IT WILL NOT AT ANY
TIME INSTITUTE AGAINST THE ISSUER OR THE TRANSFEROR, OR JOIN IN INSTITUTING AGAINST THE ISSUER OR
THE TRANSFEROR, ANY BANKRUPTCY, REORGANIZATION, ARRANGEMENT, INSOLVENCY OR LIQUIDATION PROCEEDINGS,
OR OTHER PROCEEDINGS UNDER ANY UNITED STATES FEDERAL OR STATE BANKRUPTCY OR SIMILAR LAW.

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

A-3-1

 

 

	 	 	 
	REGISTERED

	 	up to $[_]1/

	 
	 	 
	No. R-[_]

	 	CUSIP NO. [_]

NATIONAL CITY CREDIT CARD MASTER NOTE TRUST

CLASS C SERIES 2007-1 FLOATING RATE ASSET BACKED NOTE

     NATIONAL CITY CREDIT CARD MASTER NOTE TRUST (herein referred to as the “Issuer” or the
“Trust”), a Delaware statutory trust governed by a Trust Agreement dated as of July 13,
2005, as amended and restated as of August 23, 2005, and as amended by the First Amendment dated as
of March 20, 2007 for value received, hereby promises to pay to CEDE & CO., or registered assigns,
subject to the following provisions, the principal sum of TWENTY-SEVEN MILLION SIX HUNDRED
TWENTY-FIVE THOUSAND DOLLARS on the Series 2007-1 Scheduled Principal Payment Date (which is the
March 2012 Distribution Date), except as otherwise provided below or in the Indenture;
provided, however, that the entire unpaid principal amount of this Note shall be
due and payable on the March 2014 Payment Date (the “Legal Maturity Date”). The Issuer
will pay interest on the unpaid principal amount of this Note at the Class C Note Rate on each
Interest Payment Date until the principal amount of this Note is paid in full. Interest on this
Note will accrue for each Interest Payment Date from and including the most recent Interest Payment
Date on which interest has been paid to but excluding such Interest Payment Date or, for the
initial Interest Payment Date, from and including the Issuance Date to but excluding such Interest
Payment Date. Interest will be computed on the basis of a 360-day year and the actual number of
days elapsed. Such principal of and interest on this Note shall be paid in the manner specified on
the reverse hereof.

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

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

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

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

 

			
	1/	 	Denominations of $5,000 and integral
multiples of $1,000 in excess thereof.

A-3-2

 

 

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

	 	 	 	 	 	 	 
	 	 	NATIONAL CITY CREDIT CARD MASTER NOTE

TRUST,
as Issuer	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	WILMINGTON TRUST COMPANY, not in its

individual capacity but solely as Owner Trustee under

the Trust Agreement	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 

Name:

Title:
	 	 

Dated: March [_], 2007

 

 

INDENTURE TRUSTEE’S CERTIFICATE OF AUTHENTICATION

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

	 	 	 	 	 	 	 
	 	 	THE BANK OF NEW YORK,

as Indenture Trustee	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 

Authorized Signatory
	 	 

Dated: March [_], 2007

 

 

[REVERSE OF NOTE]

               This Class C Note is one of a duly authorized issue of Notes of the Issuer, designated as
NATIONAL CITY CREDIT CARD MASTER NOTE TRUST, Series 2007-1 (the “Series 2007-1 Notes”),
issued under an Indenture dated as of August 23, 2005, as amended by the First Amendment dated as
of March 20, 2007 (the “Master Indenture”), between the Issuer and The Bank of New York, as
indenture trustee (the “Indenture Trustee,” which term includes any successor Indenture
Trustee under the Indenture), as supplemented by the Series 2007-1 Indenture Supplement, dated as
of March 20, 2007 (the “Indenture Supplement”), and representing the right to receive
certain payments from the Issuer. The term “Indenture,” unless the context otherwise requires,
refers to the Master Indenture as supplemented by the Indenture Supplement. The Notes are subject
to all of the terms of the Indenture. All terms used in this Note that are defined in the
Indenture, as supplemented or amended, shall have the meanings assigned to them in or pursuant to
the Indenture, as so supplemented or amended. In the event of any conflict or inconsistency
between the Indenture and this Note, the Indenture shall control.

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

               The Noteholder, by its acceptance of this Note, agrees that it will look solely to the
property of the Trust allocated to the payment of this Note for payment hereunder and that the
Indenture Trustee is not liable to the Noteholders for any amount payable under the Note or the
Indenture or, except as expressly provided in the Indenture, subject to any liability under the
Indenture.

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

               The Class C Note Initial Dollar Principal Amount is $27,625,000. The Outstanding Dollar
Principal Amount of the Class C Note on any date of determination will be an amount equal to (a)
the Class C Note Initial Principal Balance, minus (b) the aggregate amount of principal payments
made to the Class C Noteholders on or prior to such date.

               The Scheduled Principal Payment Date is the March 2012 Distribution Date, but principal with
respect to the Class C Notes may be paid earlier or later under certain circumstances described in
the Indenture. As described above, the entire unpaid principal amount of this Note shall be due
and payable on the Legal Maturity Date. Payments of principal of the Notes shall be payable in
accordance with the provisions of the Indenture.

               Subject to the terms and conditions of the Indenture, the Beneficiary on behalf of the Trust,
may, from time to time issue, or direct the Owner Trustee, on behalf of the Trust, to issue one or
more new Series of Notes.

               On each Distribution Date, the Paying Agent shall distribute to each Class C Noteholder of
record on the related Record Date (except for the final distribution in respect of this Class C
Note) such Class C Noteholder’s share of the amounts held by the Paying Agent that are

A-3-5

 

 

allocated and available on such Distribution Date to pay interest and principal on the Class C
Notes pursuant to the Indenture Supplement. Except as provided in the Indenture with respect to a
final distribution, distributions to Series 2007-1 Noteholders shall be made by (i) check mailed to
each Series 2007-1 Noteholder (at such Noteholder’s address as it appears in the Note Register),
except that with respect to any Series 2007-1 Notes registered in the name of the nominee of a
Clearing Agency, such distribution shall be made in immediately available funds and (ii) without
presentation or surrender of any Series 2007-1 Note or the making of any notation thereon. Final
payment of this Class C Note will be made only upon presentation and surrender of this Class C Note
at the office or agency specified in the notice of final distribution delivered by the Indenture
Trustee to the Series 2007-1 Noteholders in accordance with the Indenture.

               On any day occurring on or after the date on which the outstanding principal balance of the
Series 2007-1 Notes is reduced to 5% or less of the initial outstanding principal balance of the
Series 2007-1 Notes, the Servicer shall have the right but not the obligation to direct the Trust
to redeem, or cause to be redeemed, the Series 2007-1 Notes, at a redemption price equal to the
outstanding principal amount of Series 2007-1 plus interest accrued and unpaid or principal
accreted and unpaid to the Series 2007-1 Notes to but excluding the date of redemption, the payment
of which is subject to the Indenture and the allocations, deposits and payments in the Indenture
Supplement.

               This Class C Note does not represent an obligation of, or an interest in, National City Bank
or any Affiliate thereof and is not insured or guaranteed by the Federal Deposit Insurance
Corporation or any other governmental agency or instrumentality.

               Each Noteholder, by accepting a Note, hereby covenants and agrees that it will not at any time
institute against the Issuer or the Transferor, or join in instituting against the Issuer or the
Transferor, any bankruptcy, reorganization, arrangement, insolvency or liquidation proceedings, or
other proceedings under any United States federal or state bankruptcy or similar law.

               Except as otherwise provided in the Indenture Supplement, the Class C Notes are issuable only
in minimum denominations of $5,000 and integral multiples of $1,000. The transfer of this Class C
Note shall be registered in the Note Register upon surrender of this Class C Note for registration
of transfer at any office or agency maintained by the Transfer Agent and Registrar accompanied by a
written instrument of transfer, in a form satisfactory to the Indenture Trustee or the Transfer
Agent and Registrar, duly executed by the Class C Noteholder or such Class C Noteholder’s attorney,
and duly authorized in writing with such signature guaranteed, and thereupon one or more new Class
C Notes in any authorized denominations of like aggregate principal amount will be issued to the
designated transferee or transferees.

               As provided in the Indenture and subject to certain limitations therein set forth, Class C
Notes are exchangeable for new Class C Notes in any authorized denominations and of like aggregate
principal amount, upon surrender of such Notes to be exchanged at the office or agency of the
Transfer Agent and Registrar. No service charge may be imposed for any such exchange but the
Issuer or Transfer Agent and Registrar may require payment of a sum sufficient to cover any tax or
other governmental charge that may be imposed in connection therewith.

A-3-6

 

 

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

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

A-3-7

 

 

ASSIGNMENT

Social Security or other identifying number of assignee                                         

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

 

(name and address of assignee)

the within certificate and all rights thereunder, and hereby irrevocably constitutes and appoints
                                        , attorney, to transfer said certificate on the books kept for registration
thereof, with full power of substitution in the premises.

	 	 	 
	Dated:

	 	
	 

	 	                                        1/
	 
	 	 
	 

	 	Signature Guaranteed:
	 
	 	 
	 

	 	                                        
	 
	 	 
	                                        
	 	 
	 
	 	 

 

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

A-3-8

 

 

EXHIBIT B

[FORM OF] SERIES 2007-1 SCHEDULE TO PAYMENT INSTRUCTIONS

NATIONAL CITY BANK

 

NATIONAL CITY CREDIT CARD MASTER NOTE TRUST, SERIES 2007-1

MONTHLY PERIOD ENDING _________ __, ____

 

     Capitalized terms used in this notice have their respective meanings set forth in the
Indenture and the Indenture Supplement. Unless otherwise qualified, references herein to certain
sections and subsections are references to the respective sections and subsections of the Indenture
Supplement. This instruction is delivered pursuant to Section 908 of the Indenture.

     The Servicer does hereby instruct the Issuer to instruct the Indenture Trustee, and the Issuer
does hereby instruct the Indenture Trustee, to make the following allocations and payments for the
related Monthly Period on ___, ___,
___, which date is a Transfer Date under the Pooling and
Servicing Agreement, in aggregate amounts set forth below in respect of the following amounts:

I. Allocations and Payments of Series 2007-1 Finance Charge Amounts.

	A.	 	Allocation of Series 2007-1 Finance Charge Amounts from the Collection Account pursuant to
Section 3.01, to be applied on each Transfer Date by the Indenture Trustee in the
following priority:

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	1.	 	 	Class A Monthly Interest
	 	 	$	 	 	 
 

	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	2.	 	 	Class A Monthly Interest previously due but not paid,
if any
	 	 	$	 	 	 
 

	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	3.	 	 	Class A Additional Interest, if any, and any Class A
Additional Interest previously due but not paid
	 	 	$	 	 	 
 

	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	4.	 	 	Class B Monthly Interest
	 	 	$	 	 	 
 

	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	5.	 	 	Class B Monthly Interest previously due but not paid,
if any
	 	 	$	 	 	 
 

	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	6.	 	 	Class B Additional Interest, if any, and any Class B
Additional Interest previously due but not paid
	 	 	$	 	 	 
 

	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	7.	 	 	Series 2007-1 Servicing Fee
	 	 	$	 	 	 
 

	 	 

B-1

 

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	8.	 	 	Series 2007-1 Servicing Fee previously due but not
paid, if any
	 	 	$	 	 	 
 

	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	9.	 	 	Class C Monthly Interest
	 	 	$	 	 	 
 

	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	10.	 	 	Class C Monthly Interest previously due but not paid,
if any
	 	 	$	 	 	 
 

	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	11.	 	 	Class C Additional Interest, if any, and any Class C
Additional Interest previously due but not paid
	 	 	$	 	 	 
 

	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	12.	 	 	Series 2007-1 Investor Default Amount to be treated
as Available Principal Amounts, if any
	 	 	$	 	 	 
 

	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	13.	 	 	Aggregate Nominal Liquidation Amount Deficit, if any,
to be treated as a Available Principal Amounts
	 	 	$	 	 	 
 

	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	14.	 	 	Amount up to the excess, if any of the Required
Reserve Account Amount over the Available Reserve
Account Amount to be deposited into the Reserve
Account
	 	 	$	 	 	 
 

	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	15.	 	 	Amount equal to the Spread Account Deficiency to be
deposited into the Spread Account
	 	 	$	 	 	 
 

	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	16.	 	 	If an Event of Default and acceleration of the
maturity of the Series 2007-1 Notes has occurred on
or prior to the related Distribution Date, an amount
up to the Series 2007-1 Outstanding Dollar Principal
Amount on such Distribution Date minus the amount of
Series 2007-1 Available Principal Amounts (not taking
into account amounts available under this clause) and
amounts, if any, on deposit in the Principal Funding
Account available to pay principal on the Class A
Notes, the Class B Notes, and the Class C Notes on
such Distribution Date, to be treated as a portion of
Available Principal Amounts for such Distribution
Date
	 	 	$	 	 	 
 

	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	17.	 	 	Amount to be treated as Shared Excess Finance Charge
Amounts for application in accordance with Section
3.17
	 	 	$	 	 	 
 

	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	18.	 	 	Amount to be paid to the Servicer and treated as
Excess Finance Charge Collections for application in
accordance with the Series 2005-CC Supplement and the
Pooling and Servicing Agreement
	 	 	$	 	 	 
 

	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	     Total
	 	 	$	 	 	 
 

	 	 

B-2

 

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	B.	 	Amounts to be treated as Series 2007-1 Finance Charge Amounts and deposited into the
Collection Account pursuant to Section 3.03:	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	1.	 	 	Amount withdrawn from the Reserve Account	 	$	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	2.	 	 	Any Shared Excess Finance Charge Amounts allocable to
Series 2007-1	 	$	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	3.	 	 	Amount withdrawn from the Spread Account and deposited
into the Collection Account for the Class C Notes	 	$	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	4.	 	 	Receivables Sales Proceeds received by the Issuer
pursuant to Section 3.12(c)(ii) and deposited into the
Collection Account for Series 2007-1	 	$	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	II. Allocations and Payments of Series 2007-1 Available Principal Amounts.
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	A.	 	Re-allocation of Series 2007-1 Available Principal Amounts pursuant to Section 3.06(a),
(b) and (c) to be applied on the next Transfer Date by the Indenture Trustee:	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	1.	 	 	 	 	 	 	 	 	Reallocated Class C Principal Collections:	 	$	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	2.	 	 	 	 	 	 	 	 	Reallocated Class B Principal Collections:	 	$	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	B.	 	Targeted Deposits of Series 2007-1 Available Principal Amounts to the Principal Funding
Account pursuant to Section 3.08, to be made by the Indenture Trustee on the following
dates:	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	1.	 	 	 	 	 	 	 	 	On the applicable Principal Payment Date prior to any payment,
the Nominal Liquidation Amount for the related Class of Notes:	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	a.
	 	Class A
	 	$	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	b.
	 	Class B
	 	$	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	c.
	 	Class C
	 	$	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	        Total
	 	$	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	2.	 	 	 	 	 	 	 	 	In the Principal Funding Account for each Class of the Series
2007-1 Notes, the Controlled Accumulation Amount or the amount
specified in Section 3.08(b)(ii):	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	a.
	 	Class A
	 	$	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 

B-3

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	b.
	 	Class B
	 	$	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	c.
	 	Class C
	 	$	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	        Total
	 	$	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	3.	 	 	 	 	 	 	 	 	In the case of an Event of Default, Early Redemption Event or
other optional or mandatory redemption, on the applicable
Transfer Date, the Nominal Liquidation Amount for the related
Class of Notes:	 	 	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	a.
	 	Class A
	 	$	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	b.
	 	Class B
	 	$	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	c.
	 	Class C
	 	$	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	        Total
	 	$	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	C.	 	Payments and deposits pursuant to Section 3.09, to be received on the following
dates:	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	1.	 	 	 	 	 	 	 	 	Withdrawals from the Spread Account deposited into the
Principal Funding Account on the Distribution Date
pursuant to Section 3.14(b)	 	$	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	2.	 	 	 	 	 	 	 	 	As of the date of receipt, Receivables Sales Proceeds
received pursuant to Section 3.12(c)(i) deposited in
the Principal Funding Account as of the date of receipt
by the Issuer	 	$	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	D.	 	Withdrawals from the Principal Funding Account pursuant to Section 3.10, and remitted
to the Paying Agent for payment on the Notes in the following priority:	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	1.	 	 	 	 	 	 	 	 	Principal payment to Class A Noteholders	 	$	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	2.	 	 	 	 	 	 	 	 	Principal payment to Class B Noteholders	 	$	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	3.	 	 	 	 	 	 	 	 	Principal payment to Class C Noteholders	 	$	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	E.	 	Allocations of reductions from Investor Charge-Offs to the Nominal Liquidation Amount of
subordinated classes pursuant to Section 3.04:	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	1.	 	 	 	 	 	 	 	 	Initial allocation of Investor
Charge-Offs to each Class of Series
2007-1 Notes	 	$	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	Class A
	 	$	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	Class B
	 	$	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 

B-4

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	Class C
	 	$	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	2.	 	 	 	 	 	 	 	 	Amount reallocated to the Class C
Notes, subject to the restrictions set
forth in Section 3.04(b)(i)	 	$	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	3.	 	 	 	 	 	 	 	 	Amount reallocated to the Class B
Notes, subject to the restrictions set
forth in  Section 3.04(b)(ii)	 	$	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	4.	 	 	 	 	 	 	 	 	Amount reallocated to the class A
Notes, subject to the restrictions set
forth in Section 3.04(b)(iii)	 	$	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	F.	 	Net proceeds from sales of Receivables for Accelerated
Series 2007-1 Notes pursuant to Section 3.12	 	$	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	III. Targeted deposits to, and withdrawals of funds on deposit from, the Spread Account.
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	A. Targeted deposit to the Spread Account for the Class C Notes pursuant to
Section 3.13:	$ 	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	B. Withdrawals from the Spread Account pursuant to Section 3.14:
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	1.	 	 	 	 	 	 	 	 	Amount withdrawn from
the Spread Account
and deposited in the
Collection Account
for the Class C Notes
pursuant to Section
3.14(a):	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	2.	 	 	 	 	 	 	 	 	Amount withdrawn from
the Spread Account
and deposited in the
Principal Funding
Account pursuant to
Section 3.14(b):	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	IV. Targeted deposits to, and withdrawals of funds on deposit from, the Reserve Account.
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	A. Targeted deposit to the Reserve Account pursuant to Section 3.15:	$ 	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	B. Withdrawals from the Reserve Account pursuant to Section 3.16:
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	1.	 	 	 	 	 	 	 	 	Amount withdrawn from
the Reserve Account
and deposited in the
Collection Account to
be treated as Series
2007-1 Finance Charge
Amounts pursuant to
Section 3.16(a):	 	$	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	2.	 	 	 	 	 	 	 	 	Amount withdrawn from
the Reserve Account
and paid to the Issuer
pursuant to Section 3.16(b):	 	$	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 

B-5

 

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

	 	 	 	 	 	 	 
	 	 	NATIONAL CITY BANK,	 	 
	 	 	as Servicer	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 

B-6

 

EXHIBIT C

FORM OF SERIES 2007-1 SCHEDULE TO MONTHLY NOTEHOLDERS’ STATEMENT

NATIONAL CITY CREDIT CARD MASTER NOTE TRUST

SERIES 2007-1

     Reference is made to the Series 2005-CC Supplement dated as of August 23, 2005 (the
“Series 2005-CC Supplement”), between NATIONAL CITY BANK, as Seller and Servicer, and The
Bank of New York (Delaware), as Trustee, the Indenture dated as of August 23, 2005, as amended by
the First Amendment thereto dated as of March 20, 2007 (the “Indenture”), as supplemented
by the Series 2007-1 Indenture Supplement, dated as of March 20, 2007 (the “Indenture
Supplement”), each between NATIONAL CITY CREDIT CARD MASTER NOTE TRUST, as issuer (the
“Issuer”) and The Bank of New York, as indenture trustee (the “Indenture Trustee”).
Capitalized terms used in this Monthly Noteholders’ Statement have their respective meanings set
forth in the Series 2005-CC Supplement, the Master Indenture and the Indenture Supplement, as
applicable.

	 	 	 	 	 	 	 
	      Information
Regarding the Current Monthly Distribution	 	 	 	 
	 
	 	 	 	 	 	 
	1.

	 	The amount of the current monthly principal payment
in respect of the Class A Notes
	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	2.

	 	The amount of the current monthly principal payment
in respect of the Class B Notes
	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	3.

	 	The amount of the current monthly principal payment
in respect of the Class C Notes
	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	4.

	 	The amount of the current monthly distribution in
respect of Class A Monthly Interest
	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	5.

	 	The amount of the current monthly distribution in
respect of Class A Additional Interest
	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	6.

	 	The amount of the current monthly distribution in
respect of Class B Monthly Interest
	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	7.

	 	The amount of the current monthly distribution in
respect of Class B Additional Interest
	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	8.

	 	The amount of the current monthly distribution in
respect of Class C Monthly Interest
	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	9.

	 	The amount of the current monthly distribution in
respect of Class C Additional Interest
	 	$	 	 
	 

	 	 	 	 	 	 

C-1

 

	 	 	 	 	 	 	 
	10.

	 	Series 2007-1 Investor Default Amount	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	(a) The Series 2007-1 Investor Default Amount for
the related Monthly Period

	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	 (b) Series 2007-1 Investor Default Amount allocated
to the Class A Notes for the related Monthly Period

	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	(c) Series 2007-1 Investor Default Amount allocated
to the Class B Notes for the related Monthly Period

	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	 (d) Series 2007-1 Investor Default Amount allocated
to the Class C Notes for the related Monthly Period

	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	11.

	 	 Investor Charge-Offs	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	(a) The aggregate amount of Investor Charge-Offs
allocated to the Class A Notes for the related
Monthly Period

	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	(b) The aggregate amount of Investor Charge-Offs
allocated to the Class B Notes for the related
Monthly Period

	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	(d) The aggregate amount of Investor Charge-Offs
allocated to the Class C Notes for the related
Monthly Period

	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	(e) The aggregate amount of the Nominal Liquidation
Amount Deficit of the Class A Notes reimbursed on
the Transfer Date immediately preceding this
Distribution Date 

	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	(f) The aggregate amount of the Nominal Liquidation
Amount Deficit of the Class B Notes reimbursed on
the Transfer Date immediately preceding this
Distribution Date 

	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	(g) The aggregate amount of the Nominal Liquidation
Amount Deficit of the Class C Notes reimbursed on
the Transfer Date immediately preceding this
Distribution Date 

	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	12.

	 	Investor Servicing Fee	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	 (a) The amount of the Master Trust Investor
Servicing Fee payable by the Trust on behalf of the
Series 2007-1 Noteholders to the Servicer for the
related Monthly Period 

	 	$	 	 
	 

	 	 	 	 	 	 

C-2

 

	 	 	 	 	 	 	 
	 

	 	(b) The amount of Servicer Interchange payable by
the Trust to the Servicer for the related Monthly
Period 

	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	13.

	 	Reallocations	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	 (a) The amount of Reallocated Class C Principal
Collections with respect to this Distribution Date 

	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	(b) The amount of Reallocated Class B Principal
Collections with respect to this Distribution Date

	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	(c) The Class C Nominal Liquidation Amount as of the
close of business on this Distribution Date 

	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	(d) The Class B Nominal Liquidation Amount as of the
close of business on this Distribution Date 

	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	14.

	 	Reserve Account	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	(a) The Reserve Draw Amount on the related Transfer
Date 

	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	(b) The amount of the Reserve Draw Amount deposited
in the Collection Account on the related Transfer
Date to be treated as Series 2007-1 Finance Charge
Amounts for the Class A Notes 

	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	 (c) The amount of the Reserve Draw Account deposited
in the Collection Account on the related Transfer
Date to be treated as Series 2007-1 Finance Charge
Amounts for the Class B Notes 

	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	(d) The amount of the Reserve Draw Account deposited
in the Collection Account on the related Transfer
Date to be treated as Series 2007-1 Finance Charge
Amounts for the Class C Notes 

	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	(e) The amount on deposit in the Reserve Account
that exceeds the amount required to be on deposit in
the Reserve Account and is then paid to the Issuer

	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	15.

	 	Spread Account	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	(a) The Spread Account Deficiency on the related
Transfer
Date 

	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 

C-3

 

	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	(b) The amount withdrawn from the Spread Account and
deposited in the Collection Account on the related
Transfer Date to be treated as Series 2007-1 Finance
Charge Amounts for the Class C Notes 

	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	(c) The amount withdrawn from the Spread Account and
deposited in the Principal Funding Account on the
related Transfer Date to be treated as Series 2007-1
Finance Charge Amounts for the Class C Notes 

	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	16.

	 	Series 2007-1 Finance Charge Amounts	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	(a) The amount of Series 2007-1 Finance Charge
Amounts on deposit in the Collection Account
allocated to the Class A Notes on the related
Transfer Date 

	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	(b) The amount of Series 2007-1 Finance Charge
Amounts on deposit in the Collection Account
allocated to the Class B Notes on the related
Transfer Date 

	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	(c) The amount of Series 2007-1 Finance Charge
Amounts on deposit in the Collection Account
allocated to the Class C Notes on the related
Transfer Date 

	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	(d) The amount of Shared Excess Finance Charge
Amounts for other Series of Notes in Group A 

	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	17.

	 	Series 2007-1 Available Principal Amounts after Reallocations	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	(a) The amount of Series 2007-1 Available Principal
Amounts on deposit in the Principal Funding Account
allocated to the Class A Notes on the related
Transfer Date

	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	 (b) The amount of Series 2007-1 Available Principal
Amounts on deposit in the Principal Funding Account
allocated to the Class B Notes on the related
Transfer Date

	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	(c) The amount of Series 2007-1 Available Principal
Amounts on deposit in the Principal Funding Account
allocated to the Class C Notes on the related
Transfer Date 

	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	(d) The amount of Shared Excess Principal Amounts
for other Series of Notes in Group A 

	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 

C-4

 

	 	 	 	 	 	 	 
	18.

	 	Base Rate	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	(a) The Base Rate for the related Monthly Period

	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	19.

	 	Portfolio Yield	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	(a) The Portfolio Yield for the related Monthly
Period 

	 	$	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	(b) The Portfolio Adjusted Yield for the related
Monthly Period 

	 	$	 	 
	 

	 	 	 	 	 	 

C-5

 

     IN WITNESS WHEREOF, the undersigned has duly executed and delivered this Monthly Noteholders’
Statement this                      day of                                         ,                     .

	 	 	 	 	 
	 	 	NATIONAL CITY BANK, as Administrator on behalf of the
National City Credit Card Master Note Trust and as Servicer
of the National City Credit Card Master Trust
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:
	 

	 	 	 	Title:

C-6

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00120-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00120-of-00352.parquet"}]]