Document:

Advisory Agreement dated July 1, 2009

 Exhibit 10.17 
 ADVISORY AGREEMENT 
 ADVISORY AGREEMENT (this “Agreement”) dated as of the
1st day of July 1, 2009, by and among WORLD MONITOR TRUST III – Series J (hereafter, the “Client”), a separate series of World Monitor Trust III, a Delaware statutory trust (the “Trust”),
KENMAR PREFERRED INVESTMENTS CORP., a Delaware corporation (the “Managing Owner”), and CRABEL CAPITAL MANAGEMENT, LLC a Wisconsin limited liability company (the “Advisor”). 
 W I T N E S S E T H: 
 WHEREAS,
the Trust has been organized primarily for the purpose of trading, buying, selling, spreading or otherwise acquiring, holding or disposing of commodities, forward contracts, future contracts and foreign currencies (collectively referred to as
“Commodities”); and 
 WHEREAS, the Managing Owner is the managing owner of the Trust; and 
 WHEREAS, the Managing Owner is authorized to utilize the services of one or more professional commodity trading advisors in connection with the
Commodities trading activities of Series J; and 
 WHEREAS, the Advisor’s present business includes the management of Commodities
accounts for its clients; and 
 WHEREAS, the Advisor is either (a) registered as a commodity trading advisor under the United
States Commodity Exchange Act, as amended (the “CE Act”), and is a member of the National Futures Association (the “NFA”) as a commodity trading advisor and will maintain such registration and membership for the
term of this Agreement, or (b) is exempt from registration as a commodity trading advisor under the CE Act and will maintain such exempt status for the term of this Agreement; and 
 WHEREAS, the Trust is making a private offering pursuant to Regulation D under the Securities Act of 1933, as amended (the “1933
Act”) of beneficial interests (the “Offering”) in the Trust (the “Interests”) evidenced by different series of Interests (each, a “Series”) and in connection therewith, the Trust has
prepared a Confidential Private Placement Memorandum and Disclosure Document (the “Memorandum”) for the offering of Series J Interests; and 
 WHEREAS, Client and the Advisor desire to enter into this Agreement in order to set forth the terms and conditions upon which the Advisor will render and implement advisory services on behalf of the Client during the
term of this Agreement. 
 NOW, THEREFORE, the parties agree as follows: 
 1. Appointment of Advisor. The Client hereby appoints the Advisor, and the Advisor hereby accepts such appointment, as its limited attorney-in-fact to
exercise discretion to invest and reinvest in Commodities during the term of this Agreement the portion of the Client’s Net Asset Value (as defined in the Memorandum) allocated to the Advisor which initially shall not be less than $30 million
trading level (which includes notional funding) (the “Allocated Assets”) on the terms and conditions and for the purposes set forth herein. Client authorizes Advisor to place orders, in Advisor’s complete discretion, with one
or more brokers for the execution of transactions with respect to the Allocated Assets in the same manner and with the same effect as if Client placed the order. If Client, its affiliates or agents places an order that is not authorized in advance
and in writing by the Advisor, this Agreement shall be 

  

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terminated effective on the last business day before the order was placed. All fees will become due and be computed as of the termination date. Liquidation
of the account shall proceed as specified in Section 14(f). Client agrees to establish the trading Account in which such transactions will be cleared, at Newedge USA, LLC. 
 2. Allocated Assets. 
 (a) Change in Allocated Assets. Client agrees to notify Advisor
in writing of any intent to change the amount of Allocated Assets by noon U.S. Eastern Time one business day before the change is to take effect. This notification will disclose the increase or decrease of the Allocated Assets and the resulting
amount of Allocated Assets. To effect an increase in the Allocated Assets, Client must obtain prior approval of the Advisor, which may withhold such approval in its sole discretion. Any profit or loss generated with respect to the Allocated Assets
shall not be automatically added or deducted to or from the Allocated Assets. 
 (b) Decrease in Allocated Assets. A decrease in
Allocated Assets will result in the immediate realization of any incentive fees due on the amount decreased or a pro-rata reduction any carry-forward losses if the account is not at new highs. 
 (c) Minimum Allocated Assets. Client agrees that the Allocated Assets with respect to the Allocated Assets shall be rounded to even million dollar
increments and shall not fall below the $30 million USD minimum. 
 3. Advisor’s Duties. 
 (a) Trading Approach and Trading Policies and Procedures. Advisor will manage the Allocated Assets pursuant to the investment program described in
Appendix A (the “Trading Approach”) and will comply with the trading policies and restriction set forth in Appendix B (the “Trading Policies and Limitations”), as the same may be modified from time to time by not
less than 30 days’ prior written notice to the Advisor. Advisor will use its reasonable best efforts to generate profits for Client pursuant to this Agreement, but makes no guarantee that its trading activities will be profitable or that Client
will not incur losses. In the event that the Client shall, in its sole discretion, determine in good faith following consultation appropriate under the circumstances with the Advisor that any trading instruction issued by the Advisor violates the
Trading Policies and Limitations, then the Client, following reasonable notice to the Advisor appropriate under the circumstances, may override such trading instruction and shall be responsible therefore. 
 (b) Gains From Trading Approach. The Advisor will endeavor that at least 90% of the annual gross income and gain, if any, generated by its Trading
Approach for Allocated Assets will be “qualifying income” within the meaning of Section 7704(d) of the Code (it being understood that such income will largely result from buying and selling Commodities and that the Trading Approach is
not intended primarily to generate interest income). The Advisor also agrees that it will attempt to trade in such a manner as to allow non-U.S. Limited Owners (as defined below) to qualify for the safe harbors found in Section 864(b)(2) of the
Code and as interpreted in the regulations promulgated or proposed thereunder. 
 (c) Modification of Trading Approach. In the event
the Advisor requests to use, or the Client requests the Advisor to use, a trading program, system, method or strategy other than or in addition to the trading programs, systems, methods or strategies comprising the Trading Approach in connection
with trading for the Client (including, without limitation, the deletion or addition of an agreed upon trading program, system, method or strategy to the then agreed upon Trading Approach), either in whole or in part, the Advisor may not do so
and/or shall not be required to do so, as appropriate, unless both the Client and the Advisor consent thereto in writing. 
  

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 (d) Notification of Material Changes. The Advisor also agrees to give the Client prior written
notice of any proposed material change in its Trading Approach, and agrees not to make any material change in such Trading Approach (as applied to the Client) over the objection of the Client, it being understood that the Advisor shall be free to
institute non-material changes in its Trading Approach (as applied to the Client) without prior written notification. Without limiting the generality of the foregoing, refinements to the Advisor’s Trading Approach, and the deletion (but not the
addition) of Commodities (other than the addition of Commodities then being traded (i) on organized domestic commodities exchanges, (ii) on foreign commodities exchanges recognized by the CFTC as providing customer protections comparable
to those provided on domestic exchanges, or (iii) in the interbank foreign currency market) to or from the Advisor’s Trading Approach, and variations in the leverage principles and policies utilized by the Advisor, shall not be deemed a
material change in the Advisor’s Trading Approach, and prior approval of the Client shall not be required therefore. 
 Subject to
adequate assurances of confidentiality, the Advisor agrees that it will discuss with the Client upon request any trading methods, programs, systems or strategies used by it for trading customer accounts which differ from the Trading Approach used
for the Client, provided that nothing contained in this Agreement shall require the Advisor to disclose what it deems to be proprietary or confidential information. 
 (e) Request for Information. The Advisor agrees to provide the Client with any reasonable information concerning the Advisor that the Client may
reasonably request (other than the identity of its customers or proprietary or confidential information concerning the Trading Approach), subject to receipt of adequate assurances of confidentiality by the Client, including, but not limited to,
information regarding any change in control, key personnel, Trading Approach; the Advisor also shall notify the Client of any such matters the Advisor, in its reasonable judgment, believes may be material to the Client relating to the Advisor and
its Trading Approach. During the term of this Agreement, the Advisor agrees to provide the Client with updated monthly information related to the Advisor’s performance results within a reasonable period of time after the end of the month to
which it relates. 
 (f) Notice of Errors. The Advisor is responsible for promptly reviewing all oral and written confirmations it
receives to determine that the Commodities trades were made in accordance with the Advisor’s instructions. If the Advisor determines that a material error was made in connection with a trade or that a trade was made other than in accordance
with the Advisor’s instructions, the Advisor shall promptly notify the Client of this fact and shall utilize its commercially reasonable efforts to cause the error or discrepancy to be corrected. 
 (g) Delivery of Disclosure Document. The Advisor shall not be required to provide a Disclosure Document since it is exempted from doing so based
on CFTC Rule 4.7. 
 (h) The Memorandum. The Advisor agrees to make reasonable disclosures regarding itself, its officers and
principals, trading performance and Trading Approach, as may be required, in the reasonable judgment of counsel to the Managing Owner, to be made in the Memorandum. Except as required by applicable law or regulations, no description of, or other
information relating to, the Advisor may be distributed by the Managing Owner or the Client without the prior written consent of the Advisor; provided that distribution of performance information relating to the Client’s account shall not
require consent of the Advisor. Notwithstanding the foregoing, the Advisor agrees that the Trust and Client shall have the right to include in the Memorandum the information relating to the Advisor set forth in Appendix C to the extent that such
information is included without any alteration whatsoever by the Trust or Client. 
  

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 4. Representations, Warranties and Acknowledgments. 
 (a) Of the Client 
 (i) Client and not
Advisor is responsible for making all margin and other payments, and paying all brokerage commissions and other fees, costs and expenses charged by any broker relating to the Allocated Assets. Any losses from transactions effected hereunder are the
sole responsibility of Client and not the Advisor. Advisor shall not be liable to Client for any loss, liability or expense resulting from any error of any broker. 
 (ii) All transactions shall be subject to the rules and orders of the exchange where executed, and to the CE Act, as amended, and the rules and regulations thereunder. 
 (iii) Client is able, financially and otherwise, to assume the risks of commodity trading and to bear the loss of the entire Allocated Assets, including
the Allocated Assets. Client acknowledges that, because of the leverage available in commodity trading (and the additional leverage resulting from trading at a Allocated Assets greater than the actual amount of Allocated Assets), Client could
sustain losses in excess of the amount of the Allocated Assets. Client is able to bear such losses. 
 (iv) Advisor may manage other accounts
and Advisor and its principals may trade Commodities for their own accounts. The advice that Advisor gives to other clients, as well as the actions which Advisor takes in respect to its own accounts, may differ from advice given or the timing or
nature of action taken for Client. 
 (b) Client consents to being treated as an exempt account under Commodity Futures Trading Commission
(“CFTC”) Rule 4.7, and acknowledges that it has not received a commodity trading advisor disclosure document from Advisor that has been filed with or reviewed by the CFTC or the National Futures Association. 
 (c) In connection with the account being exempt under Rule 4.7, Client represents and warrants that it is a Qualified Eligible Person
(“QEP”) as defined in CFTC Rule 4.7 because it meets one or more of the QEP criteria in Appendix D. 
 (v) Client represents
that the Allocated Assets shall not be deemed to constitute the assets of a “Benefit Plan Investor” as described in Appendix E. 
 (vi) Client, its affiliates, agents or administrators shall not disclose to any person any information arising out of or relating to the transactions effected by the Advisor, regardless of whether the source of such information was the
Advisor or a third party. Notwithstanding the foregoing, the Client may disclose such information or any portion thereof (i) pursuant to any subpoena, civil investigative demand or similar demand or request of any court, regulatory authority,
arbitrator, or tribunal, or (ii) to any government or regulatory or self-regulatory body having authority to regulate or oversee their business; provided, however, that they will give the Advisor prior written notice of the information
to be disclosed to the extent that such notice is permissible and the Client will cooperate with the Advisor to seek to obtain confidential treatment of such information by the persons to whom it is disclosed. The Client, its affiliates, agents or
administrators acknowledge and agree that the Advisor’s trading systems and the methodology utilized by such systems are unique, proprietary to the Advisor, and have been developed at a significant cost to the Advisor through extensive research
and development efforts. The Client, its affiliates, agents and administrators hereby agree that they shall not, directly or indirectly, take any steps or make any attempt to reverse engineer or analyze the Advisor’s trading systems or the
methodology utilized by such systems. 
  

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 (vii) Any report or information provided by the Advisor will be considered to be confidential and may not
be shared with anyone including affiliates without prior written consent, other than: (a) as required by law, regulation or legal process (b) to investor shareholders, agents or representatives (including attorneys or accountants thereof),
who are bound by a duty of confidentiality in relation to such information. 
 (viii) Client has procedures in place which comply with all
relevant anti-money laundering and privacy principles applicable to it. 
 (ix) Client is duly organized, in good standing and validly
existing under the laws of its jurisdiction of organization. 
 (x) Client has the right, power and authority to execute and deliver this
Agreement and undertake the obligations contemplated hereby. The execution, delivery and performance by the Client of this Agreement and all obligations contemplated hereby have been duly and properly authorized by all requisite action in accordance
with Applicable Law and with the Client’s organizational documents. This Agreement has been duly executed and delivered by the Client, and constitutes the legal, valid and binding obligation of the Client, enforceable against the Client in
accordance with its terms. 
 (xi) The execution, delivery and performance of this Agreement and the incurrence of the obligations set forth
in this Agreement will not violate, conflict with or constitute a breach of, or default under, any instrument by which the Client is bound or any law, statute, order, rule or regulation applicable to the Client of any court or any governmental body,
administrative agency, regulatory or self-regulatory organization having jurisdiction over the Client that would have a material adverse effect on the Client’s ability to perform its duties under this Agreement or conduct its business as
presently conducted. 
 (xii) The Client is in compliance and will continue to comply in all material respects with all applicable law.

 (xiii) The Client shall not include any information in the Memorandum relating to the Advisor or any of its affiliates or principals
except as expressly permitted herein. 
 The foregoing representations and warranties shall be continuing during the term of this Agreement
and if at any time any of the foregoing representations or warranties become untrue or inaccurate in any material respect, the Client shall promptly notify Advisor in writing of that fact. 
 (d) Of the Advisor. The Advisor hereby represents and warrants to the Client and the Managing Owner that: 
 (i) it has full capacity and authority to enter into this Agreement, and to provide the services required of it hereunder; 
 (ii) it will not by entering into this Agreement and by acting as a commodity trading advisor to Client, (i) be required to take any action contrary
to its incorporating or other formation documents or, to the best of its knowledge, any applicable statute, law or regulation of any jurisdiction or (ii) breach or cause to be breached any undertaking, agreement, contract or to the best of its
knowledge, statute, rule or regulation to which it is a party or by which it is bound which, in the case of (i) or (ii), would materially limit or materially adversely affect its ability to perform its duties under this Agreement; 

(iii) either (i) it is duly registered as a commodity trading advisor under the CE Act and is a member of the NFA as a commodity trading advisor
and it will maintain and renew such registration and membership during the term of this Agreement, or (ii) it is exempt from registration as a commodity trading advisor under the CE Act and it will maintain its exempt status during the term of
this Agreement; 
  

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 (iv) the amount of Allocated Assets should not, in the reasonable judgment of the Advisor, result in the
Advisor being required to manage funds in an amount which will exceed the Advisor’s Capacity; and 
 (v) neither the Advisor, nor its
stockholders, directors, officers, employees, agents, principals, affiliates, nor any of its or their respective successors or assigns: (i) shall knowingly use or distribute for any purpose whatsoever any list containing the names and/or
residence addresses of, and/or other information about, the Limited Owners; nor (ii) shall solicit any person it or they know is a Limited Owner for the purpose of soliciting commodity business from such Limited Owner, unless such Limited Owner
shall have first contacted the Advisor or is already a client of the Advisor or a prospective client with which the Advisor has commenced discussions or is introduced to or referred to the Advisor by an unaffiliated agent other than in violation of
clause (i). 
 (vi) all references in the Appendix C as of the date of this Agreement to (i) the Advisor and its affiliates and the
controlling persons, shareholders, directors, officers and employees of any of the foregoing, (ii) the Advisor’s Trading Approach and (iii) the actual past performance the Crabel Fund, Ltd. Class H accounts directed by the Advisor or
any principal thereof, including the notes to the tables reflecting such actual past performance (hereinafter referred to as the Advisor’s “Past Performance History”) are complete and accurate in all material respects, and do
not contain an untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary to make the statements therein in light of the circumstances in which they were made, not misleading. The Advisor also
represents and warrants as to the accuracy and completeness in all material respects of the underlying data made available by the Advisor to Client and the Managing Owner for purposes of preparing the pro forma performance tables, it being
understood that no representation or warranty is being made with respect to the calculations used to execute the pro forma performance tables or notes thereto. 
 (vii) This Agreement has been duly and validly authorized, executed and delivered on behalf of the Advisor and is a valid and binding agreement enforceable in accordance with its terms. The performance of the
Advisor’s obligations under this Agreement and the consummation of the transactions set forth in this Agreement and in the Memorandum as of the date of this Agreement are not contrary to the provisions of the Advisor’s formation documents,
or to the best of its knowledge, any applicable statute, law or regulation of any jurisdiction, and will not result in any violation, breach or default under any term or provision of any undertaking, contract, agreement or order to which the Advisor
is a party or by which the Advisor is bound. 
 (viii) The Advisor has all governmental and regulatory licenses, registrations and approvals
required by law as may be necessary to perform its obligations under this Agreement and to act as described in the Appendix C as of the date hereof including, without limitation, registration as a commodity trading advisor under the CE Act and
membership as a commodity trading advisor with the NFA and it will maintain and renew any required licenses, registrations, approvals or memberships during the term of the Advisory Agreement. 
 (ix) On the date hereof the Advisor is, and at all times during the term of this Agreement will be, a limited liablity company duly formed and validly
existing and in good standing under the laws of its jurisdiction of organization and in good standing and qualified to do business in each jurisdiction in which the nature or conduct of its business requires such qualifications and the failure to be
so qualified would materially adversely affect the Advisor’s ability to perform its obligations hereunder or under the Advisory Agreement. The Advisor has full capacity and authority to conduct its business and to perform its obligations under
this Agreement, and to act as described in the Appendix C. 
  

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 (x) Subject to adequate written assurances of confidentiality, and as requested by the Managing Owner,
the Advisor has supplied to or made available for review by the Managing Owner (and if requested by the Managing Owner to its designated auditor) all documents, statements, agreements and workpapers requested by them relating to all accounts
referred to in Appendix C which are in the Advisor’s possession or to which it has access, provided, however, that the Advisor may, in its sole discretion, withhold from any such inspection the identity of the clients for whom any such accounts
are maintained. 
 (xi) As of the date hereof, there has been no material adverse change in the Advisor’s Past Performance History as
set forth in Appendix C which has not been communicated in writing to and received by the Managing Owner or its counsel. 
 (xii) There is no
pending, or to the best of its knowledge, threatened or contemplated action, suit or proceeding before or by any court, governmental, administrative or self-regulatory body or arbitration panel to which the Advisor or its principals is a party, or
to which any of the assets of the Advisor is subject which reasonably might be expected to result in any material adverse change in the condition (financial or otherwise), business or prospects of the Advisor or which reasonably might be expected to
materially adversely affect any of the material assets of the Advisor or which reasonably might be expected to (A) impair materially the Advisor’s ability to discharge its obligations to Client; furthermore, the Advisor has not received
any notice of an investigation by (i) the NFA regarding non-compliance with its rules or the CE Act, (ii) the CFTC regarding non-compliance with the CE Act, or the rules and regulations thereunder, or (iii) any exchange regarding
non-compliance with the rules of such exchange which investigation reasonably might be expected to materially impair the Advisor’s ability to discharge its obligations under this Agreement. 
 The within representations and warranties shall be continuing during the term of this Agreement, and, if at any time, any event has occurred which would
make or tend to make any of the foregoing not true in any material respect with respect to the Advisor, the Advisor promptly will notify Client in writing thereof. 
 5. Covenants. 
 If, at any time during the term of this Agreement, the Advisor discovers any fact, omission, event or
that a change of circumstances has occurred, which would make the Advisor’s representations and warranties in Section 4 of this Agreement inaccurate or incomplete in any material respect, or which might reasonably be expected to render
Appendix C, with respect to (i) the Advisor or its principals, (ii) the Advisor’s Trading Approach, or (iii) the Advisor’s Past Performance History, untrue or misleading in any material respect, the Advisor will provide
prompt written notification to Client and the Managing Owner of any such fact, omission, event or change of circumstance, and the facts related thereto, and it is agreed that the failure to provide such notification or the failure to continue to be
in compliance with the foregoing representations and warranties during the term of this Agreement as soon as possible following such notification shall be cause for Client to terminate this Agreement with the Advisor on prior written notice to the
Advisor. The Advisor also agrees that, during the term of this Agreement, it will provide the Client and the Managing Owner with updated month-end information relating to the Advisor’s Past Performance History, as disclosed in the performance
tables relating to the performance of the Advisor in the Appendix C beyond the periods disclosed therein. The Advisor shall use its best efforts to provide such information within a reasonable period of time after the end of the month to which such
updated information relates and the information is available to it. 
  

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 6. Liability. 
 (a) Neither the Advisor nor any employee, director, officer or shareholder of the Advisor, nor any person who controls the Advisor, shall be liable to the Client, its officers, directors, Members, shareholders or
employees, or any person who controls the Client, any of their respective successors or assignees under this Agreement, the Trust, or the Managing Owner for any losses which arise out of the Advisor’s performance of this Agreement except in the
case of willful misconduct or gross negligence; it being understood that the Advisor makes no guarantee of profit nor offers any protection against loss. 
 (b) Except as provided in Section 7(b), the Advisor agrees that for any obligations due and owing to it by the Client, the Advisor will look solely and exclusively to the Allocated Assets to satisfy its claims
and will not seek to attach or otherwise assert a claim against the other assets of the Trust or the Client. 
 7. Indemnification. 

(a) By the Advisor. In any action in which the Client, or the Managing Owner, or their respective controlling persons, shareholders, partners,
members, managers, directors, officers and/or employees of any of the foregoing are parties, the Advisor agrees to indemnify and hold harmless the foregoing persons against any loss, damage, charge, liability or expense (including, without
limitation, reasonable attorneys’ and accountants’ fees) (“Losses”) to which such persons may become subject, insofar as such Losses arise out of or result from a material breach of this Agreement by the Advisor.

 (b) The Trust, the Managing Owner, and the Client (collectively, the “Indemnifying Parties”) will indemnify, hold harmless, and
defend Advisor and its directors, officers, owners, employees and agents from and against any Loss incurred by Advisor in connection with the Allocated Assets or this Agreement, except to the extent that any of the foregoing arose directly from
Advisor’s gross negligence, fraud or intentional misconduct. The Advisor and the Indemnifying Parties agree that the limitations set forth in Section 6(b) shall not apply to the foregoing provision;,provided, however, that the aggregate
liability of the Indemnifying Parties under this Section 7(b) shall not exceed $30 million. 
 (c) Default Judgments and Confessions
of Judgment. None of the foregoing provisions for indemnification shall be applicable with respect to default judgments or confessions of judgment, or to settlements entered into by an indemnified party claiming indemnification without the prior
written consent of the indemnifying party. 
 (d) Procedure. Promptly after receipt by an indemnified party under this Section 7
of notice of any claim or dispute or commencement of any action or litigation, such indemnified party will, if a claim in respect thereof is to be made against an indemnifying party under this Section 7, notify the indemnifying party of the
commencement thereof, but the omission to notify the indemnifying party will not relieve it from any liability which it may have to any indemnified party otherwise than under this Section 7 except to the extent, if any, that such failure or
delay prejudiced the indemnifying party in defending against the claim. In case any such claim, dispute, action or litigation is brought or asserted against any indemnified party, and it timely notifies the indemnifying party of the commencement
thereof, the indemnifying party will be entitled to participate in the defense therein, and to the extent that it may wish, to assume such defense thereof, with counsel specifically approved in writing by such indemnified party, such approval not to
be unreasonably withheld, following notice from the indemnifying party to such indemnified party of its election so to assume the defense thereof, in which event, the indemnifying party will not be liable to such indemnified party under this
Section 7 for any legal or other expenses subsequently incurred by such indemnified party in connection with the defense thereof, but shall continue to be liable to the indemnified party in all other respects as heretofore set forth in this
Section 7. Notwithstanding any other provisions of this Section 7, if, in any claim, dispute, action or litigation as to which indemnity is or may be available, any indemnified party reasonably determines 

  

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that its interests are or may be, in whole or in part, adverse to the interests of the indemnifying party, the indemnified party may retain its own counsel
in connection with such claim, dispute, action or litigation and shall continue to be indemnified by the indemnifying party for any legal or any other expenses reasonably incurred in connection with investigating or defending such claim, dispute,
action or litigation. 
 (e) Expenses. Expenses incurred by an indemnified party in defending a threatened or asserted claim or a
threatened or pending civil, administrative or criminal action, suit or proceeding shall be paid by the indemnifying party in advance of final disposition or settlement of such action, suit or proceeding, if and to the extent that (i) the legal
action, suit or proceeding, if sustained, would entitle the indemnified party to indemnification pursuant to the terms of this Section 7 and (ii) the person on whose behalf such expenses are paid shall agree in writing to reimburse the
indemnifying party in the event indemnification is not permitted under this Section 7 upon final disposition or settlement. 
 8. Limits on
Claims. 
 (a) Limited Assets Available. The Advisor agrees that for any obligations due and owing to it by the Client, the
Advisor will look solely and exclusively to the Allocated Assets to satisfy its claims and will not seek to attach or otherwise assert a claim against the other assets of the Client, whether Client has (i) sought a decree or order by a court
having jurisdiction (A) for relief in respect of the Client in an involuntary case or proceeding under the Federal Bankruptcy Code or any other federal or state bankruptcy, insolvency, reorganization, rehabilitation, liquidation or similar law
or (B) adjudging the Client a bankrupt or insolvent, or seeking reorganization, rehabilitation, liquidation, arrangement, adjustment or composition of or in respect of the Client under the Federal Bankruptcy Code or any other applicable federal
or state law, or appointing a custodian, receiver, liquidator, assignee, trustee, sequestrator (or other similar official) of the Client or of any substantial part of any of their properties, or ordering the winding up or liquidation of any of their
affairs, (ii) sought a petition for relief, reorganization or to take advantage of any law referred to in the preceding clause or (iii) filed a petition for bankruptcy (collectively, “Bankruptcy or Insolvency Action”) or
otherwise. The parties agree that this provision will survive the termination of this Agreement, whether terminated in a Bankruptcy or Insolvency Action or otherwise. 
 (b) No Limited Owner Liability. This Agreement has been made and executed by and on behalf of the Client for the benefit of Series J and the obligations of Series J set forth herein are not binding upon any of
the owners of any Series (“Limited Owners”) individually, but are binding only upon the assets and property identified above and no resort shall be had to the assets of the Client or any other Series issued by the Trust or the
Limited Owners’ personal property for the satisfaction of any obligation or claim hereunder. 
 9. Advisor’s Compensation.

 (a) Client will pay Advisor a monthly management fee as of the end of each month, which is non-refundable, equal to 1% per annum
of the sum of: (i) the beginning of month Allocated Assets, plus (ii) the net of all realized profits and losses on Account positions liquidated during the month, plus (iii) the change in net unrealized profits and losses on Account
open positions between the beginning and end of the month, plus (iv) interest earned on Account during the month; minus: (v) all brokerage and transaction expenses paid during the month. The management fee will be pro-rated in the event
the Account begins trading on a date other than the first business day of the month or if the Allocated Assets is changed intra-month. 
 Client will pay Advisor a quarterly incentive fee equal to 25% of the “New High Net Trading Profits “ (if any) of the Account as of the end of each calendar quarter. New High Net Trading Profits are calculated and accrued monthly
and billed quarterly as of the last trading day of the calendar quarter and are the sum of: (i) the net of all realized profits and losses on Account positions liquidated during the 

  

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quarter, plus (ii) the change in net unrealized profits and losses on Account positions open between the beginning and end of the end of the quarter,
plus (iii) interest earned on Account during the quarter; minus: (iv) the management fee accrued or paid for the quarter, (v) all brokerage commissions and transaction expenses paid for the quarter, and (vi) any cumulative net
losses, if any, (which shall not include incentive fee expenses or payments) carried forward from all previous periods since the last quarter for which an incentive fee was payable. The quarterly incentive fee shall not be rebated by virtue of
subsequent losses. 
 The full cumulative net loss shall not be carried over where a reduction in Allocated Assets has occurred. Instead, a
portion of the loss (calculated by multiplying the cumulative net loss at the time of the reduction by the ratio of the decrease in Allocated Assets divided by the former Allocated Assets) shall be deducted from the cumulative net loss. For purposes
of clarity, any reduction of the carry-forward loss shall not be recovered if there are subsequent increases in Allocated Assets. Where there is a reduction in Allocated Assets and there are cumulative New High Net Trading Profits , the incentive
fees on the reduction (calculated by multiplying the cumulative New High Net Trading Profits by the ratio of the decrease in Allocated Assets divided by the former Allocated Assets) shall become payable within twenty business days of the reduction.

 If the Account does not have New High Net Trading Profits in a given quarter, no incentive fee shall be paid unless and until the Account
experiences New High Net Trading Profits in a subsequent quarter or Allocated Assets reduction. The amount of the Incentive Fee payable, if any, shall be determined independently with respect to each quarter, and the amount of any such fee paid
shall not be affected by subsequent losses experienced in Client’s Account (i.e. the quarterly fee shall not be rebated by virtue of subsequent losses.) 
 If this Agreement is terminated before the period-ends described above, the termination date shall be deemed the end of the period for purposes of calculating any and all fees. 
 An example of the Advisor’s compensation calculation is provided in Appendix F. 
 (b) Timing of Payment. Management Fees and Incentive Fees shall be paid within twenty (20) business days following the end of the period for
which they are payable. The first incentive fee which may be due and owing to the Advisor in respect of any New High Net Trading Profits will be due and owing as of the end of the first calendar quarter during which the Trading Advisor managed the
Allocated Assets. If an Incentive Fee shall have been paid by the Client to the Advisor in respect of any calendar quarter and the Advisor shall incur subsequent losses on the Allocated Assets the Advisor shall nevertheless be entitled to retain
amounts previously paid to it in respect of New High Net Trading Profits. 
 (c) Fee Data. The Client will provide the Advisor with
the data used by the Client to compute the foregoing fees within fifteen (15) business days of the end of the relevant period. The Advisor shall be free to contest the calculations if in its reasonable judgment they are inaccurate. 

(d) Third Party Payments. Neither the Advisor, nor any of its officers, directors, employees or stockholders, shall receive any commissions,
compensation, remuneration or payments whatsoever from any broker with which the Client carries an account for transactions executed in the Client’s account. The parties acknowledge that a spouse of any of the foregoing persons may receive
floor brokerage commissions in respect of trades effected pursuant to the Advisor’s Trading Approach on behalf of the Client, which payment shall not violate the preceding sentence. 
 10. Commodity Broker. All Commodities traded for the account of the Client shall be made through such commodity broker or brokers or counterparty or counterparties as the Client directs or otherwise in
accordance with such order execution procedures as are agreed upon between the Advisor and the Client. 

  

 10 

 
At the present time it is contemplated that the Advisor will clear all Commodities trades for the Client through Newedge USA LLC. The Advisor may, however,
with the consent of Series J, such consent not to be unreasonably withheld, execute transactions at such other firm(s), and upon such terms and conditions, as the Advisor and the Client agree if such firm(s) agree to “give up” all such
transactions to Newedge USA LLC for clearance. To the extent that the Client determines to utilize a broker or counterparty other than the parties listed in Appendix G, the Client will consult with the Advisor prior to directing it to utilize such
broker or counterparty, and will not retain the services of such firm(s) over the reasonable objection of the Advisor. 
 11. Error Policy.
When an error is discovered, the Advisor will take action to correct the error to the extent possible and as soon as possible. If the Broker or executing broker makes an error, the Advisor will request the Broker or
executing broker to make the Client whole. Trading errors not resolved by the Broker or executing broker, including errors by the Advisor, either to the benefit or detriment to the Client, are borne by the Client. 
 12. Electronic Order Entry Risks. The Advisor or Broker may place trades via electronic order platforms for the Client. In such instances, trading through
an electronic trading or order routing system may expose the Client to risks associated with system or component failure. Examples of risk include, but are not limited to, the possibility that a trade may not be placed, a trade may be placed at a
later time than originally desired, or a trade may not be able to be cancelled. In the event a failure occurs, it will be considered a trading error, and will be treated in the same manner as described in Section 1(f). 
 13. Advisor Independence. The Advisor shall for all purposes herein be deemed to be an independent contractor with respect to the Client, the Managing
Owner and each other commodity trading advisor that may in the future provide commodity trading advisory services to the Client and the Managing Owner and its affiliates, and shall, unless otherwise expressly authorized, have no authority to act for
or to represent the Client, the Managing Owner or any other commodity trading advisor in any way or otherwise be deemed to be a general agent, joint venturer or partner of the Client, the Managing Owner, any other commodity trading advisor, or in
any way be responsible for the acts or omissions of the Client, the Managing Owner, any other commodity trading advisor as long as it is acting independently of such persons. 
 14. Termination. 
 (a) Term. This Agreement shall commence on the date hereof and,
unless sooner terminated pursuant to paragraphs (b), (c) or (d) of this Section 14, shall continue in effect until the close of business on the last day of the month ending twelve (12) full months following the date hereof.
Thereafter, unless this Agreement is terminated pursuant to paragraphs (b), (c) or (d) of this Section 14, this Agreement shall be renewed automatically on the same terms and conditions set forth herein for successive additional
twelve-month terms, each of which shall commence on the first day of the month subsequent to the conclusion of the preceding term. Subject to Section 14(d)(iv) hereof, the automatic renewal(s) set forth in the preceding sentence hereof shall
not be affected by (i) any allocation of the Allocated Assets away from the Advisor pursuant to this Agreement, or (ii) the retention of Other Advisors following a reallocation, or otherwise. 
 (b) Automatic Termination. This Agreement shall terminate automatically in the event that the Client is dissolved. In addition, this Agreement
shall terminate automatically in the event that the Allocated Assets decline as of the end of any business day by at least 40% from the Allocated Assets (i) as of the date hereof, or (ii) as of the first day of any calendar year, as
adjusted in each instance on an ongoing basis by (A) any decline(s) in the Allocated Assets caused by distributions, redemptions, reallocations, and withdrawals, and (B) additions to the Allocated Assets caused by additional allocations.

  

 11 

 (c) Optional Termination Right of the Client. This Agreement may be terminated at any time at the
election of the Client in its sole discretion upon at least thirty (30) days’ prior written notice to the Advisor. The Client will use its best efforts to cause any termination to occur as of a month-end. This Agreement also may be
terminated upon prior written notice, appropriate under the circumstances, to the Advisor in the event that: (i) the Client determines in good faith following consultation appropriate under the circumstances with the Advisor that the Advisor is
unable to use its agreed upon Trading Approach to any material extent, as such Trading Approach may be refined or modified in the future in accordance with the terms of this Agreement for the benefit of the Client; (ii) either (A) the
Advisor’s registration as a commodity trading advisor under the CE Act or membership as a commodity trading advisor with the NFA is revoked, suspended, terminated or not renewed, or (B) the Advisor is no longer exempt from registration
status as a commodity trading advisor under the CE Act; (iii) the Client determines in good faith following consultation appropriate under the circumstances with the Advisor that the Advisor has failed to conform, and after receipt of written
notice, continues to fail to conform in any material respect, to (A) any of the Client’s Trading Policies and Limitations, or (B) the Advisor’s Trading Approach; (iv) there is an unauthorized assignment of this Agreement by
the Advisor; (v) the Advisor dissolves, merges or consolidates with another entity, or sells a substantial portion of its assets, or a change in any material respect in any portion of the Advisor’s Trading Approach utilized by the Advisor
for the Client, without the consent of the Client; (vi) Toby Crabel is not in control of the Advisor’s trading activities for Series J; (vii) the death, incapacity or disability of Toby Crabel, (ix) the Advisor becomes bankrupt
(admitted or decreed) or insolvent, or (x) for any other reason, the Client determines in good faith that such termination is essential for the protection of the Client, including without limitation a good faith determination by the Client that
the Advisor has breached a material obligation to the Client under this Agreement relating to the trading of the Allocated Assets. 
 (d)
Optional Termination Right of Advisor. The Advisor shall have the right to immediately terminate this Agreement at any time upon notice in the event: (i) of the receipt by the Advisor of an opinion of independent counsel reasonably
satisfactory to the Advisor and the Client that by reason of the Advisor’s activities with respect to the Client it is required to register as an investment adviser under the Investment Advisers Act of 1940 and it is not so registered;
(ii) that the registration of the Managing Owner as a commodity pool operator under the CE Act or its NFA membership as a commodity pool operator is revoked, suspended, terminated or not renewed; (iii) that the Client (A) imposes
additional trading limitation(s) pursuant to Section 1 of this Agreement which the Advisor does not agree to follow in its management of the Allocated Assets, or (B) overrides trading instructions of the Advisor or does not consent to a
material change to the Trading Approach requested by the Advisor; (iv) if the amount of the Allocated Assets decreases to less than $30 million; (v) the Client elects (pursuant to Section 1 of this Agreement) to have the Advisor use a
different Trading Approach in the Advisor’s management of the Allocated Assets from that which the Advisor is then using to manage such assets and the Advisor objects to using such different Trading Approach; (vi) there is an unauthorized
assignment of this Agreement by the Client; (vii) there is a material breach of this Agreement by the Client and after giving written notice to the Client which identifies such breach and such material breach has not been cured within 10 days
following receipt of such notice by the Client; (viii) the Advisor provides the Client with written notice, at least ninety (30) days prior to the end of the then current term, of the Advisor’s desire and intention to terminate this
Agreement as of the end of the then current term; or (ix) other good cause is shown and the written consent of the Client is obtained (which shall not be withheld or delayed unreasonably). 
 (e) Termination Fees. In the event that this Agreement is terminated, the Advisor shall be entitled to, and the Client shall pay, the Management
Fee and the Incentive Fee, if any, which shall be computed (i) with respect to the Management Fee, on a pro rata basis, based upon the portion of the month for which the Advisor had the Allocated Assets under management, and (ii) with
respect to the Incentive Fee, if any, as if the effective date of termination was the last day of the then current calendar quarter. The rights of the Advisor to fees earned through the earlier to occur of the date of expiration or termination shall
survive this Agreement until satisfied. 
  

 12 

 (f) Termination and Open Positions. If terminated for any reason by either party, the Advisor will
proceed to liquidate all positions on the following business day or days if there are intervening holidays. The next business day shall be deemed to start with the beginning of the Asian trading day, unless notified in writing by the Client that no
liquidation of positions is required. 
 (g) The Advisor shall be solely responsible for converting any foreign currency balances.

 (h) Notwithstanding the foregoing, Sections 4, 5, 6, 7, 8, 15, 24 and 30 of this Agreement shall survive the termination of this
Agreement. 
 15. Liquidation of Positions. The Advisor agrees to liquidate open positions in the amount that the Client informs the Advisor,
in writing via facsimile or other equivalent means, that the Client considers necessary or advisable to liquidate in order to (i) effect any termination or reallocation pursuant to Sections 1 or 14, respectively, or (ii) fund its pro rata
share of any redemption, distribution or Client expense. Client shall not, however, have authority to instruct the Advisor as to which specific open positions to liquidate, except as provided in Section 1 hereof. Client shall provide the
Advisor with such reasonable prior notice of such liquidation as is practicable under the circumstances and will endeavor to provide at least three (3) days’ prior notice. In the event that losses incurred as a result of such liquidation
by the Advisor exceed the amount of the Allocated Assets at the time of such liquidation, Client agrees to cover such excess losses from its assets, but in no event from the assets of the other Series issued by the Trust. The Advisor shall have no
liability for such losses in any event. 
 16. Other Accounts of the Advisor. 
 (a) Management of Other Accounts and Trading Proprietary Capital. Subject to paragraph (c) of this Section 16, the Advisor shall be free
to (i) manage and trade accounts for other investors (including other public and private commodity pools), and (ii) trade for its own account, and for the accounts of its partners, shareholders, directors, officers and employees, as
applicable, using the same or other information and Trading Approach utilized in the performance of services for Client, so long as in the Advisor’s reasonable judgment the aggregate amount of capital being managed or traded by the Adviser
pursuant to the Trading Approach being used by Client does not (A) materially impair the Advisor’s ability to carry out its obligations and duties to Client pursuant to this Agreement, or (B) create a reasonable likelihood of the
Advisor having to modify materially its agreed upon Trading Approach being used for Client in a manner which might reasonably be expected to have a material adverse effect on Client. The aggregate amount of capital referred to in the preceding
sentence hereinafter shall be called “Advisor’s Capacity,” and currently is estimated by the Advisor to be $5 billion or in the future such greater amount or amounts as the Advisor may, in its judgment, believes it can trade.
The Advisor shall not be required to accept capital from Client. 
 (b) Equitable Treatment of Accounts. The Advisor agrees, in its
management of accounts other than the account of Client pursuant to the Trading Approach being used by Client, that it will not knowingly or deliberately favor any other account managed or controlled by it or any of its principals or affiliates (in
whole or in part) over Client. The preceding sentence shall not be interpreted to preclude (i) the Advisor from charging another client fees which differ from the fees to be paid to it hereunder, or (ii) an adjustment by the Advisor in the
implementation of any agreed upon Trading Approach in accordance with the procedures set forth in Section 1 hereof which is undertaken by the Advisor in good faith in order to accommodate additional accounts. Notwithstanding the foregoing, the
Advisor also shall not be deemed to be favoring another commodity interest account over Client’s account if the Advisor, in accordance with specific instructions of the owner of such account, shall trade such account at a degree of leverage or
in accordance with trading policies which shall be different from that which would normally be applied or if the Advisor, in accordance with the Advisor’s money management principles, shall not trade certain commodity interest contracts for an
account based on the amount of equity in such account. 

  

 13 

 
The Advisor, upon reasonable request and receipt of adequate assurances of confidentiality, shall provide Client with an explanation of the differences, if
any, in performance between Client and any other similar account pursuant to the same Trading Approach for which the Advisor or any of its principals or affiliates acts as a commodity trading advisor (in whole or in part), provided, however, that
the Advisor may, in its discretion, withhold from any such inspection the identity of the client for whom any such account is maintained. 
 (c) Inspection of Records. Upon the reasonable request of, and upon reasonable notice from, Client or the Managing Owner, the Advisor shall permit Client or the Managing Owner to review at the Advisor’s offices, in each case at
its own expense, during normal business hours such trading records as it reasonably may request for the purpose of confirming that Client J has been treated equitably with respect to advice rendered during the term of this Agreement by the Advisor
for other accounts in the Two Plus Program managed by the Advisor, which the parties acknowledge to mean that Client or the Managing Owner may inspect, subject to such restrictions as the Advisor may reasonably deem necessary or advisable so as to
preserve the confidentiality of proprietary information and the identity of its clients, all trading records of the Advisor as it reasonably may request during normal business hours. The Advisor may, in its discretion, withhold from any such report
or inspection the identity of the client for whom any such account is maintained and in any event, Client or the Managing Owner (as applicable) shall keep all such information obtained by them from the Advisor confidential unless disclosure thereof
legally is required or has been made public. Such right will terminate one year after the termination of this Agreement and does not permit access to computer programs, records, or other information used in determining trading decisions. 

17. Speculative Position Limits. If, at any time during the term of this Agreement, it appears to the Advisor that it may be required to aggregate
Client’s Commodities positions with the positions of any other accounts it owns or controls for purposes of applying the speculative position limits of the CFTC, any exchange, self-regulatory body, or governmental authority, the Advisor
promptly will notify Client if Client’s positions under its management are included in an aggregate amount which equals or exceeds the applicable speculative limit. The Advisor agrees that, if its trading recommendations pursuant to its agreed
upon Trading Approach are altered because of the potential application of speculative position limits, the Advisor will modify its trading instructions to Client and its other accounts in a good faith effort to achieve an equitable treatment of all
accounts; to wit, the Advisor will liquidate Commodities positions and/or limit the taking of new positions in all accounts it manages, including Client, as nearly as possible in proportion to the assets available for trading of the respective
accounts (including “notional” equity) to the extent necessary to comply with applicable speculative position limits. The Advisor presently believes that its Trading Approach for the management of Client’s account can be implemented
for the benefit of Client notwithstanding the possibility that, from time to time, speculative position limits may become applicable. 
 18.
Brokerage Confirmations and Reports. Client will instruct its brokers and counterparties to furnish the Advisor with copies of all trade confirmations, daily equity runs, and monthly trading statements relating to the Allocated Assets.
The Advisor will maintain records and will monitor all open positions relating thereto; provided, however, that the Advisor shall not be responsible for any errors by Client’s brokers or counterparties. The Advisor shall, at
Client’s request, make a good faith effort to provide Client with copies of all trade confirmations, daily equity runs, monthly trading reports or other reports sent to the Advisor by Client’s commodity broker regarding Client, and in the
Advisor’s possession or control, as Client deems appropriate if Client cannot obtain such copies on its own behalf. Upon request, Client will provide the Advisor with accurate information with respect to the Allocated Assets. 

19. Acknowledgments. Client acknowledges that Advisor may receive research services and other benefits in return for maintaing the Allocated Assets in
an account with a broker. 
  

 14 

 20. Non-Assignment. Neither the Client nor the Advisor may assign or otherwise transfer any of its rights
or obligations under this Agreement without obtaining prior written consent of the other party. 
 21. Successors. This Agreement shall be
binding upon and inure to the benefit of the parties hereto and the successors and permitted assignees of each of them, and no other person (except as otherwise provided herein) shall have any right or obligation under this Agreement. 
 22. Amendment or Modification or Waiver. 
 (a)
Changes to Agreement. This Agreement may not be amended or modified, nor may any of its provisions be waived, except upon the prior written consent of the parties hereto. 
 (b) No Waiver. No failure or delay on the part of any party hereto in exercising any right, power or remedy hereunder shall operate as a waiver
thereof, nor shall any single or partial exercise of any such right, power or remedy preclude any other or further exercise thereof or the exercise of any other right, power or remedy. Any waiver granted hereunder must be in writing and shall be
valid only in the specific instance in which given. 
 23. Notices. All notices required or permitted to be given under this Agreement shall be
in writing and delivered (a) by hand, (b) by certified mail, postage prepaid, return receipt requested, (c) overnight courier service or (d) by email to: clientrelations@crabel.com, provided that client relations acknowledges
receipt by return email or facsimile and provided that the original is promptly transmitted by one of the foregoing methods, properly addressed to the addresses set forth below. All notices shall be deemed received, if delivered by hand, on the date
of delivery; if mailed, on the date of receipt appearing on the return receipt card; if sent by courier, on the date recorded by the courier company as having been received by the addressee; if sent by email, on the date of the return email; or, if
sent by facsimile, on the date of receipt printed by the facsimile machine when it reports that the transmission is complete. 
 If to the
Advisor: 
 Crabel Capital Management, LLC 
 Unit #30 
 312 East Buffalo Street 
 Milwaukee, WI 53202 
 Attention: Client
Relations Department 
 Phone: 414-224-7510 
 Facsimile: 414-276-2660 
 Email: clientrelations@crabel.com 
 and, if to Client: 
 Kenmar Preferred
Investments Corp. 
 900 King Street, Suite 100 
 Rye Brook, NY 10573 
 Attention: General Counsel 
 Facsimile: (914) 307 – 4045 
 E-mail: legaldept@kenmar.com 
  

 15 

 with a copy to: 
 Alston & Bird LLP 
 90 Park Avenue 
 New York, New York 10016 
 Attention: Timothy
P. Selby, Esq. 
 Facsimile: (212) 210-9494 
 E-mail: timothy.selby@alston.com 
 24. Governing Law. Each party agrees that this Agreement shall be governed
by and construed in accordance with the laws of the State of New York without regard to the conflict of laws principles thereof except Sections 5-1401 and 5-1402 of the New York General Obligation Law. 
 25. Survival. The provisions of this Agreement shall survive the termination of this Agreement with respect to any matter arising while this Agreement was
in effect. 
 26. No Liability of Limited Owners. This Agreement has been made and executed by and on behalf of Series J, and the obligations
of Series J and/or the Managing Owner set forth herein are not binding upon any of the Limited Owners, but rather, are binding only upon the assets and property of Series J, and, to the extent provided herein, upon the assets and property of the
Managing Owner. 
 27. Headings. Headings to sections herein are for the convenience of the parties only, and are not intended to be or to
affect the meaning or interpretation of this Agreement. 
 28. Complete Agreement. Except as otherwise provided herein, this Agreement and the
Representation Agreement constitute the entire agreement between the parties with respect to the matters referred to herein, and no other agreement, verbal or otherwise, shall be binding upon the parties hereto. 
 29. Counterparts. This Agreement may be executed in one or more counterparts, each of which shall be deemed an original and all of which, when taken
together, shall constitute one original instrument. 
 30. Arbitration, Remedies. Each party hereto agrees that any dispute relating to the
subject matter of this Agreement shall be settled and determined by arbitration in the City of New York or Chicago pursuant to the rules of the NFA or, if the NFA should refuse to accept the matter, the American Arbitration Association. 

31. Confidentiality. Client will maintain the confidentiality of the trading decisions made by Advisor for the Client and will not disclose those
decisions to other persons. 
  

 16 

 IN WITNESS WHEREOF, the parties have executed this Agreement as of the date above first written.

  

			
	CRABEL CAPITAL MANAGEMENT, LLC
		
	By:	 	 /s/ Kathryn Daley

	Name:	 	Kathryn Daley
	Title:	 	Chief Operating Officer
	
	WORLD MONITOR TRUST III- SERIES J
		
	By:	 	KENMAR PREFERRED INVESTMENTS CORP., its sole Managing Owner
		
	By:	 	 /s/ Esther E. Goodman

	Name:	 	Esther E. Goodman
	Title:	 	Senior Executive Vice President and Chief Operating Officer

 PURSUANT TO AN EXEMPTION FROM THE COMMODITY FUTURES TRADING COMMISSION IN CONNECTION WITH ACCOUNTS OF
QUALIFIED ELIGIBLE PERSONS, THIS BROCHURE OR ACCOUNT DOCUMENT IS NOT REQUIRED TO BE, AND HAS NOT BEEN FILED WITH THE COMMISSION. THE COMMODITY FUTURES TRADING COMMISSION DOES NOT PASS UPON THE MERITS OF PARTICIPATING IN A TRADING PROGRAM OR UPON THE
ADEQUACY OR ACCURACY OF COMMODITY TRADING ADVISOR DISCLOSURE. CONSEQUENTLY, THE COMMODITY FUTURES TRADING COMMISSION HAS NOT REVIEWED OR APPROVED THIS TRADING PROGRAM OR THIS BROCHURE OR ACCOUNT DOCUMENT. 
  

			
	WORLD MONITOR TRUST III- SERIES J
		
	By:	 	KENMAR PREFERRED INVESTMENTS CORP.,
		 	its sole Managing Owner
		
	By:	 	 /s/ Esther E. Goodman

	Name:	 	Esther E. Goodman
	Title:	 	Senior Executive Vice President and Chief Operating Officer
		
	Address:	 	        900 King Street, Suite 100
		 	        Rye Brook, NY 10573
	
	Telephone Number: 914-307-7000
	
	Email Address: legaldept@kenmar.com

  

 17 

 APPENDIX A 
 CRABEL TWO PLUS PROGRAM 
 INVESTMENT STRATEGY 
 Crabel Two Plus Program (1.5x) employs multiple, price-driven, systematic strategies that participate in market trends. Many of the strategies are
derived from strategies and technologies from Crabel’s short-term portfolio. The product’s objective is to deliver a high risk-adjusted return with greater alpha relative to the trend-following industry. The average holding period is 5
days with a range of 2 to 55 days. Risk is controlled by dynamic sizing of new trades relative to market volatility, the use of stops and time exits along with a balance of volatility derived from 4 sectors and 3 geographic regions. Crabel Two Plus
Program (1.5x) trades global futures, foreign exchange and forward markets. 
 The initial level of Allocated Assets is $30,000,000 USD.

 Trading shall commence on July 1, 2009. 
  

 A-1 

 APPENDIX B 
 TRADING LIMITATIONS AND POLICIES 
 Trading Limitations 
 The Advisor will not: (i) engage in pyramiding its Commodities positions (i.e., the use of unrealized profits on existing positions to provide margin
for the acquisition of additional positions in the same or a related commodity), but may take into account open trading equity on existing positions in determining generally whether to acquire additional Commodities positions; (ii) share in any
portion of the commodity brokerage fees paid by the Client; or (iii) commingle the Allocated Assets with its own assets, except as permitted by law. 
 The Advisor will conform in all respects to the rules, regulations and guidelines of the markets on which its trades are executed to the extent that such rules, regulations and guidelines are applicable to the
Advisor. 
 Trading Policies 
 Subject to
the foregoing limitations, the Advisor has agreed to abide by the trading policies of The Client, which currently are as follows: 
 (1)
Allocated Assets will generally be invested in contracts which are traded in sufficient volume which, at the time such trades are initiated, are reasonably expected to permit entering and liquidating positions. 
 (2) Stop or limit orders may, in the Advisor’s discretion, be given with respect to initiating or liquidating positions in order to attempt to limit
losses or secure profits. If stop or limit orders are used, no assurance can be given, however, that the clearing broker will be able to liquidate a position at a specified stop or limit order price, due to either the volatility of the market or the
inability to trade because of market limitations. 
 (4) The Client may occasionally make or accept delivery of a commodity including,
without limitation, currencies. The Client also may engage in EFP transactions involving currencies and metals and other commodities. 
 (5)
The Advisor will not initiate open futures or option positions which would result in net long or short positions requiring as margin or premium for outstanding positions in excess of 75% of the Allocated Assets for any one commodity. Under certain
market conditions, such as an inability to liquidate open Commodities positions because of daily price fluctuations, the Advisor may be required to commit the Allocated Assets as margin in excess of the foregoing limits. 
  

 B-1 

 APPENDIX C 
 INFORMATION PROVIDED TO BE USED EXCLUSIVELY AND VERBATIM IN THE 
 MEMORANDUM OF THE TRUST

 Principlals of Advisor 
 Principals 
 William Harrison “Toby” Crabel, Crabel’s President, began his study of market analysis in
1975 at Florida Technological University, where he majored in Finance. In November 1980, Mr. Crabel began his career in commodities with Rufenacht, Bromagen & Hertz, a Futures Commission Merchant, in Chicago, Illinois and became an
associated person in April of 1983, withdrew as such in May 1984 and was again registered as an associated person in August 1986. In August 1982, Mr. Crabel began offering trading advice to market professionals in newsletter format. In August
1983, he founded Analytic Commodity Trading, Inc., or ACT, and became a principal thereof in January 1984. ACT published a daily (ACT Daily Service) and weekly newsletter (The Active Trader) until October 1986. In February 1987, Mr. Crabel
resigned as Chairman and Editor of ACT and founded Toby Crabel & Co., or TCC, a trading and advisory firm that eventually became Toby Crabel, Sole Proprietor. He became a principal and associated person thereof in October 1984 and March
1987, respectively. In 1989, Mr. Crabel wrote the book, Day Trading with Short Term Price Patterns & Opening Range Breakout. From September 1991 until May 1993, Mr. Crabel was a trader and analyst with Niederhoffer Investments,
Inc., a trading firm, of New York. In May 1993, Mr. Crabel left Niederhoffer Investments, Inc. to focus on his own business and trading strategies as Toby Crabel & Co. from May 1994 through September 1997. On October 1,
1997, Mr. Crabel changed the name of his business to Crabel Capital Management, LLC. 
 In addition to the background described above,
Mr. Crabel also served as a prop trader, listed principal and/or registered associated person at the companies and during the periods set forth below: 
  

	 	•	 	 Associated person from May 1981 to September 1984 and principal from October 1984 to May 1985 at Rosenthal Collins Group LLC, a Futures Commission Merchant.

  

	 	•	 	 Associated person from April 1983 to May 1984 and from August 1986 to April 1991 at Rufenacht Bromagen & Hertz Inc, a Futures Commission Merchant.

  

	 	•	 	 Associated person from May 24, 1984 to May 31, 1984 at Prudential Equity Group LLC, a Futures Commission Merchant. 

  

	 	•	 	 Proprietary Trader from May 1985 to August 1986 with TransMarket Group, LLC. 

  

	 	•	 	 Principal from January 1982 to June 1984 in his personal capacity as William H. Crabel. 

  

	 	•	 	 Associated person from May 1991 to February 1992 at LFG LLC, a Futures Commission Merchant. 

  

	 	•	 	 Associated person and principal from September 2002 and August 2002, respectively, to the present at Hill Crabel Trading LLC, an investment management firm.

  

	 	•	 	 Associated person from October 2003 to December 2006 and principal from September 2002 to December 2006 at Kennedy Crabel Trading LLC, an investment management
firm. 

  

 C-1 

	 	•	 	 Associated person from November 2002 to May 2003 and principal from September 2002 to May 2003 at Crabel Advisory Services Inc., an investment management firm.

  

	 	•	 	 Principal from November 2002 to June 2003 at Brennan Crabel Trading Inc., an investment management firm. 

  

	 	•	 	 Principal from April 2003 to February 2009 at Brennan Crabel Trading LLC, an investment management firm. 

  

	 	•	 	 Associated person from February 2004 to April 2006 and principal from April 2003 to April 2006 at Buethe Crabel Trading LLC, an investment management firm.

  

	 	•	 	 Associated person and principal from December 2004 to November 2005 at Crabel USVI LP, an investment management firm. 

 Kathryn Daley earned a BS in Computer Science from Nicholls State University and an MS in Computer Science at Louisiana State University. From
July 1985 through August 1996, Ms. Daley worked as a computer scientist and consultant primarily in the United States defense industry in the Washington, D.C. area. From September 1996 through December 2000, Ms. Daley worked as a
technology consultant in the financial industry both through her own consulting firm, Appia Associates, Inc. and in conjunction with Customized Database Solutions, Inc. In January 2001, Ms. Daley started a new consulting firm, Liberty Software
Consulting, Inc. where she was also a technology consultant for the financial industry. In August 2001, Ms. Daley began consulting for Crabel and in January 2002 she joined Crabel Capital Management as its Chief Operating Officer. She became a
listed principal and registered associated person of Crabel in March 2004. 
 In addition to the background described above, Ms. Daley
also served as a listed principal and/or registered associated person at the companies and during the periods set forth below: 
  

	 	•	 	 Associated person and principal from March 2004 to February 2009 at Brennan Crabel Trading LLC, an investment management firm. 

  

	 	•	 	 Associated person and principal from March 2004 to the present at Hill Crabel Trading LLC, an investment management firm. 

  

	 	•	 	 Associated person and principal from March 2004 to April 2006 at Buethe Crabel Trading LLC, an investment management firm. 

  

	 	•	 	 Associated person and principal from March 2004 to December 2006 at Kennedy Crabel Trading LLC, an investment management firm. 

 Program Description (See Appendix A) 
  

 C-2 

 Markets Traded 
  

			
	 Market
	  	Exchange
	 1. Corn
	  	CBOT
	 2. E-mini Dow Jones Index
	  	CBOT
	 3. Five-Year Note
	  	CBOT
	 4. Soybean Meal
	  	CBOT
	 5. Soybean Oil
	  	CBOT
	 6. Soybeans
	  	CBOT
	 7. Ten-Year Note
	  	CBOT
	 8. U.S. Bonds
	  	CBOT
	 9. Wheat
	  	CBOT
	 10. British Pound
	  	CME
	 11. Canadian Dollar
	  	CME
	 12. Euro Currency
	  	CME
	 13. Euro Dollar
	  	CME
	 14. E-mini NASDAQ Index
	  	CME
	 15. E-mini S&P MidCap 400 Index
	  	CME
	 16. E-mini S&P 500 Index
	  	CME
	 17. Lean Hogs
	  	CME
	 18. Live Cattle
	  	CME
	 19. Japanese Yen
	  	CME
	 20. Swiss Franc
	  	CME
	 21. Gold
	  	COMEX
	 22. High Grade Copper
	  	COMEX
	 23. Silver
	  	COMEX
	 24. BOBL
	  	EUREX
	 25. DAX Index
	  	EUREX
	 26. DJ Euro STOXX 50 Index
	  	EUREX
	 27. German Bund
	  	EUREX
	 28. Schatz
	  	EUREX
	 29. Australian Dollar
	  	F/X
	 30. British Pound
	  	F/X
	 31. Canadian Dollar
	  	F/X
	 32. Euro Currency
	  	F/X
	 33. Euro Currency/British Pound
	  	F/X
	 34. Euro Currency/Japanese Yen
	  	F/X
	 35. Japanese Yen
	  	F/X

  

			
	 Market
	  	Exchange
	 36. Swiss Franc
	  	F/X
	 37. H-Shares Index
	  	HKFE
	 38. Hang Seng Index
	  	HKFE
	 39. Cocoa
	  	ICE
	 40. Coffee
	  	ICE
	 41. E-mini Russell 2000 Index
	  	ICE
	 42. Sugar
	  	ICE
	 43. Brent Crude
	  	IPE
	 44. Gas Oil
	  	IPE
	 45. KOSPI 200 Index
	  	KSE
	 46. Euribor
	  	LIFFE
	 47. FTSE 100 Index
	  	LIFFE
	 48. Long Gilt
	  	LIFFE
	 49. Short Sterling
	  	LIFFE
	 50. 3 month Aluminum
	  	LME
	 51. 3 month Zinc
	  	LME
	 52. Canadian 10Yr Govt Bond
	  	ME
	 53. CAC-40 Index
	  	MONEP
	 54. Cotton
	  	NYCE
	 55. Heating Oil
	  	NYMEX
	 56. Light Crude Oil
	  	NYMEX
	 57. Natural Gas
	  	NYMEX
	 58. RBOB Gasoline
	  	NYMEX
	 59. Nikkei 225 Index
	  	OSE
	 60. SPI-200 Index
	  	SFE
	 61. Nikkei 225 Index
	  	SGX-DT
	 62. Taiwan Index
	  	SGX-DT
	 63. Gasoline
	  	TCM
	 64. Gold
	  	TCM
	 65. Kerosene
	  	TCM
	 66. Platinum
	  	TCM
	 67. Rubber
	  	TCM
	 68. JGB
	  	TSE
	 69. TOPIX
	  	TSE

  

 C-3 

 Track Record 
 Crabel Two Plus Program (1.5x) 
 Crabel trades its Two Plus Program (1.5x) on behalf of the Trust. Crabel has
been trading its Two Plus Program since July 2004 and intends to trade its Two Plus Program (1.5x) for the Trust. The following summary performance information and chart present the pro forma performance results of the Crabel Two Plus Program
(1.5x) for the period from July 2004 through March 2009. 
 Name of Advisor: Crabel Capital Management, LLC 
 Name of Program: Crabel Two Plus Program (1.5x) 
 Inception of client account trading by the Advisor: January 1992 
 Inception of client account trading in the Program:
July 1, 2004 
 Number of open accounts: 8 
 Aggregate assets overall including “notional” equity: $1,307,500,000 
 Largest monthly
drawdown (of an account): (11.89)% (10/2005) 
 Largest peak-to-valley drawdown (of an account): (25.58)% (04/2006 to 08/2006)

  

																			
	 Monthly Rate of Return
	  	2004(%)	 	 	2005(%)	 	 	2006(%)	 	 	2007(%)	 	 	2008(%)	 	 	2009(%)	 
	 January
	  	—  	  	 	(8.62	)% 	 	7.65	% 	 	2.81	% 	 	6.85	% 	 	6.56	% 
	 February
	  	—  	  	 	0.84	% 	 	1.61	% 	 	(0.73	)% 	 	7.76	% 	 	2.94	% 
	 March
	  	—  	  	 	5.77	% 	 	7.56	% 	 	(3.57	)% 	 	3.33	% 	 	(5.51	)% 
	 April
	  	—  	  	 	(4.85	)% 	 	5.53	% 	 	2.37	% 	 	(6.04	)% 	 		
	 May
	  	—  	  	 	8.13	% 	 	(9.22	)% 	 	5.01	% 	 	0.67	% 	 		
	 June
	  	—  	  	 	8.48	% 	 	(5.64	)% 	 	11.56	% 	 	6.64	% 	 		
	 July
	  	(6.61	)% 	 	2.88	% 	 	(10.32	)% 	 	(1.93	)% 	 	(6.36	)% 	 		
	 August
	  	(1.12	)% 	 	6.59	% 	 	(3.12	)% 	 	(3.16	)% 	 	(4.90	)% 	 		
	 September
	  	3.04	% 	 	0.11	% 	 	1.32	% 	 	10.17	% 	 	3.07	% 	 		
	 October
	  	7.68	% 	 	(11.98	)% 	 	1.52	% 	 	4.86	% 	 	17.59	% 	 		
	 November
	  	10.28	% 	 	10.72	% 	 	10.84	% 	 	4.37	% 	 	2.01	% 	 		
	 December
	  	4.95	% 	 	(3.91	)% 	 	3.16	% 	 	7.45	% 	 	0.13	% 	 		
	 Compound Rate of Return
	  	18.59
 (6 months
	  
 )% 
	 	11.96	% 	 	8.67	% 	 	45.23	% 	 	32.30	% 	 	3.65
 (3 months
	% 
 ) 

 The performance record for Crabel Two Plus Program (1.5x) is pro-forma based on the actual trading of
Crabel’s Two Plus Program and includes 50% leverage and is net of all fees and expenses. 
 NOTE TO PRO FORMA PERFORMANCE 
 PROSPECTIVE INVESTORS MUST BE AWARE THAT PRO FORMA RATES OF RETURN HAVE CERTAIN INHERENT LIMITATIONS: (A) PRO FORMA ADJUSTMENTS ARE ONLY AN APPROXIMATE MEANS OF
MODIFYING HISTORICAL RECORDS TO REFLECT ASPECTS OF THE ECONOMIC TERMS OF A NEW COMMODITY ACCOUNT, CONSTITUTE NO MORE THAN ECONOMIC TERMS OF A NEW COMMODITY ACCOUNT, CONSTITUTE NO MORE THAN MATHEMATICAL ADJUSTMENTS TO ACTUAL PERFORMANCE NUMBERS, AND
GIVE NO EFFECT WHATSOEVER TO SUCH FACTORS AS POSSIBLE CHANGES IN TRADING APPROACH THAT MIGHT HAVE RESULTED FROM THE DIFFERENT FEE STRUCTURE, INTEREST INCOME, LEVERAGE, AND OTHER FACTORS APPLICABLE TO A NEW COMMODITY ACCOUNT AS COMPARED TO
EAGLE’S ACTUAL PROPRIETARY TRADING; AND (B) THERE ARE DIFFERENT MEANS BY WHICH THE PRO FORMA ADJUSTMENTS COULD HAVE BEEN MADE. WHILE EAGLE BELIEVES THAT THE INFORMATION HEREIN IS RELEVANT TO EVALUATING AN INVESTMENT BY A CLIENT, NO
REPRESENTATION IS OR COULD BE MADE THAT THE PRO FORMA PERFORMANCE HEREIN PRESENTS WHAT THE RESULTS OF ACTUAL TRADING WOULD HAVE BEEN IN THE PAST OR ARE LIKELY TO BE IN THE FUTURE. 
 PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS. 
  

 C-4 

 Track Record Statistics 
  

																
	 Advisor/
 Program
	  	Worst/Best
Monthly Rate of
Return1/
Month	  	Worst
Peak-to-Valley
Drawdown2/Time
Period	  	Assets Under
Management
In Trust
Program3	  	 General Strategy
 Classification

	 Crabel — Two Plus Program (1.5x)
	  	17.59
 (11.89
	% 
 )% 
	 	 10/2008
 10/2005
	  	(25.58	)% 	 	04/2006
 to
08/2006
	  	$	354,000,000	  	Systematic, Technical Broadly Diversified

  

 C-5 

 APPENDIX D 
 Qualified Eligible Person (“QEP”) Status 
 “Natural Persons” (i.e.,
Individuals) 
 1. Client — 
 (a) owns
securities (excluding interests in issuers with which Client is affiliated) and other investments with an aggregate market value of at least $2 million (Client may also meet this requirement by: (1) having on deposit for its own account with a
futures commission merchant, at any time during the preceding six months, $200,000 or more in exchange-specified initial margin and option premiums for futures and other commodity interest positions, or (2) having a portfolio comprised of a
proportionate combination of the investments specified above and the margin and premium specified in (1) above — e.g., investments of $1,000,000 and margin and option premiums of $100,000), AND 
 (b) either — 
 (i) has a net worth
(including home, furnishings and automobiles), or joint net worth with spouse, exceeding $1 million, OR 
 (ii) has had individual gross
income of $200,000 or more in the past two calendar years, or joint gross income with spouse of $300,000 in those years and, in either case, has a reasonable expectation of his individual or joint gross spousal income, respectively, reaching the
same level in the current year. 
 Pension and Profit-Sharing Plans 
 2. Client meets the portfolio test of (a)(i) above AND is — 
 (a) An employee benefit plan under
ERISA: (A) whose decision to invest in the Account is made by a plan fiduciary (as defined in ERISA §3(21)) that is a registered investment adviser, bank, savings and loan association, or insurance company; or (B) with total assets
exceeding $5 million; or (C) that is a self-directed plan, and the decision to invest in the trading program is made by a QEP; or 
 (b)
A plan established and maintained by a state, a political subdivision thereof, or any agency or instrumentality thereof, for the benefit of its employees and with total assets exceeding $5 million. 
 Individual Retirement Accounts 
 3. An IRA whose owner
is a QEP under (a) above. 
  

 D-1 

 Partnerships, Corporations and other Entities 
 4. Client meets the portfolio test of (a)(i) above AND is— 
 (a) A commodity pool, trust, insurance company separate account or bank collective trust: (A) with total assets exceeding $5 million, (B) that was not formed for the purpose of investing in the trading
program, (C) whose decision to invest in the trading program was directed by a QEP and (D) that has not used more than 10% of the market value of its assets to invest in the trading program and other commodity pools that are exempt under
CFTC Rule 4.7. (If the entity does not meet these tests, it may still qualify as a QEP under (h) below.); 
 (b) A corporation, a
partnership, or a Massachusetts or similar business trust, but which is not a commodity pool, that: (A) has total assets exceeding $5 million and (B) was not formed for the specific purpose of investing in the trading program; 

(c) An insurance company (as defined in §2(1) of the Securities Act) acting for its own account or for the account of a QEP; an investment company
registered under the ICA, or a business development company as defined therein which was not formed for the specific purpose of investing in the trading program; a bank (as defined in §3(a)(2) of the Securities Act) or savings and loan or other
institution (as defined in §3(a)(5)(A) of the Securities Act) acting for its own account or that of a QEP; or an organization described in §501(c)(3) of the Internal Revenue Code with total assets exceeding $5 million; or 
 (d) A governmental entity (including the U.S., any state, or a non-U.S. jurisdiction) or political subdivision thereof, or a multinational or
supranational entity, or any instrumentality, agency or department of any of the foregoing, if authorized by law to invest in a commodity pool. 
 Investment Professionals 
 5. A CFTC-registered commodity pool operator or commodity trading advisor who: (i) has been registered and
active as such for two years or (ii) in the case of a CPO operates pools with aggregate assets exceeding $5 million, or in the case of a CTA advises accounts with aggregate assets deposited with futures commission merchants exceeding $5
million. 
 6. A CFTC-registered futures commission merchant. 
 7. An SEC-registered broker or dealer. 
 Entities That Are Wholly-Owned by QEPs 
 8. An entity in which all the owners or participants are QEPs. 
 Non-United States Persons 
 9. An individual who is not a resident of the United States. 
 10. A corporation, partnership or other entity organized principally for passive investment (such as a commodity pool or investment company) (i) that was not formed
for the principal purpose of enabling U.S. Persons to participate in the trading program or in other commodity pools exempt under CFTC Rule 4.7; and (ii) is 90% or more owned by Non-U.S. Persons and U.S. Persons that are QEPs. 
  

 D-2 

 11. A corporation, partnership or other entity, other than a passive investment entity as described immediately above,
organized under the laws of, and with its principal place of business in, a non-U.S. jurisdiction. 
 12. A pension plan for the employees, officers or
principals of an entity organized and with its principal place of business outside the U.S. 
 13. An estate or trust whose income is not subject to U.S.
income tax, regardless of source. 
  

 D-3 

 APPENDIX E 
 EMPLOYEE BENEFIT PLANS. 
 A “Benefit Plan Investor” means, as defined in the Pension
Protection Act of 2006 (“PPA 2006”), (i) any employee benefit plan subject to Part 4 of Title I of the Employee Retirement Income Security Act of 1974 (“ERISA”) (regarding fiduciary responsibility),
(ii) any plan to which Section 4975 of the Internal Revenue Code of 1986 (the “Code”) applies (including Individual Retirement Accounts, i.e. IRAs) and (iii) any entity whose underlying assets include
plan assets by reason of a plan’s investment in such entity. For purposes of (iii) above, an entity’s underlying assets will include plan assets if immediately after the most recent acquisition or disposition of any equity interest in
such entity, 25% or more of a class of such entity’s “equity interests” are owned by Benefit Plan Investors and such “equity interests” are not “publicly-offered securities” (as the terms “equity
interests” and “publicly-offered securities” are used in Department of Labor (“DOL”) Regulation 29 CFR §2510.3-101 and as subsequently modified by PPA 2006); provided that an entity which is primarily engaged,
directly or through a majority owned subsidiary or subsidiaries, in the production or sale of a product or service other than the investment of capital shall not be considered a “Benefit Plan Investor.” “Benefit Plan Investors”
include, by way of example and not of limitation, corporate pension and profit sharing plans, “simplified employee pension plans,” Keogh plans for self-employed individuals (including partners), individual retirement accounts, and certain
bank commingled trust Clients, or insurance company separate accounts, for such plans and accounts. Notwithstanding anything herein to the contrary, whether an entity is a “Benefit Plan Investor” shall be determined under the rules set
forth in DOL Regulation 29 CFR §2510.3-101, but only to the extent such regulations are not inconsistent with PPA 2006 and only until such time as the DOL issues new regulations consistent with PPA 2006, at which time, such superseding
regulations shall control the determination of Benefit Plan Investor. 
  

 E-1 

 APPENDIX F 
 ADVISOR’S COMPENSATION EXAMPLE 
  

			
	January:	  	
	100,000,000	  	 (i) Trading Level, beginning of January

	1,540,000	  	 (ii) Net Realized Profit (Loss)

	(403,000)	  	 (iii) Net Change in Unrealized Profit (Loss) 0+(403,000)

	1,812	  	 (iv) Interest Earned

	(503,000)	  	 (v) Brokerage Commissions and Transaction Expenses

	 	  	
	100,635,812	  	
	0.1667%	  	 Annual Management Fee ( 1/12 of 2%)

	 	  	
	167,726	  	 Management Fee, January due 20th Business Day After January Month End

	 	  	
		
	1,540,000	  	 (i) Net Realized Profit (Loss)

	(403,000)	  	 (ii) Net Change in Unrealized Profit (Loss) 0+(403,000)

	1,812	  	 (iii) Interest Earned

	(167,726)	  	 (iv) Management Fee, January

	(503,000)	  	 (v) Brokerage Commissions and Transaction Expenses

	 	  	
	468,086	  	 Net Trading Profits, January

	 	  	
		
	February:	  	
	100,000,000	  	 (i) Trading Level, beginning of February

	3,480,000	  	 (ii) Net Realized Profit (Loss)

	809,000	  	 (iii) Net Change in Unrealized Profit (Loss) 403,000+406,000

	1,776	  	 (iv) Interest Earned

	(657,000)	  	 (v) Brokerage Commissions and Transaction Expenses

	 	  	
	103,633,776	  	
	0.1667%	  	 Annual Management Fee ( 1/12 of 2%)

	 	  	
	172,723	  	 Management Fee, February due 20th Business Day After February Month End

	 	  	
		
	3,480,000	  	 (i) Net Realized Profit (Loss)

	809,000	  	 (ii) Net Change in Unrealized Profit (Loss) 403,000+406,000

	1,776	  	 (iii) Interest Earned

	(172,723)	  	 (iv) Management Fee, February

	(657,000)	  	 (v) Brokerage Commissions and Transaction Expenses

	 	  	
	3,461,053	  	 Net Trading Profits, February

	 	  	

  

 F-1 

			
	 March:

	 **Effective March 1, Trading Level reduced to $70 million

		
	30,000,000	  	Decrease in Trading Level
	100,000,000	  	Former Trading Level
	 	  	
	30%	  	Percent of Reduction in Trading Level
	3,929,139	  	Net Trading Profits (Losses), Quarter-to-date
	 	  	
	1,178,742	  	Portion of Net Trading Profits that Incentive Fees become payable
	25%	  	Incentive Fee Percent
	 	  	
	294,685	  	Incentive Fee due to Trading Level Reduction, payable March 20th
	 	  	
		
	70,000,000	  	(i) Trading Level, beginning of March
	2,480,000	  	(ii) Net Realized Profit (Loss)
	(340,000)	  	(iii) Net Change in Unrealized Profit (Loss) (406,000)+66,000
	1,492	  	(iv) Interest Earned
	(341,000)	  	(v) Brokerage Commissions and Transaction Expenses
	 	  	
	71,800,492	  	
	0.1667%	  	Annual Management Fee ( 1/12 of 2%)
	 	  	
	119,667	  	Management Fee, March due 20th Business Day After March Month End
	 	  	
		
	2,480,000	  	(i) Net Realized Profit (Loss)
	(340,000)	  	(ii) Net Change in Unrealized Profit (Loss) (406,000)+66,000
	1,492	  	(iii) Interest Earned
	(119,667)	  	(iv) Management Fee, March
	(341,000)	  	(v) Brokerage Commissions and Transaction Expenses
	 	  	
	1,680,825	  	Net Trading Profits, March
	 	  	
		
	468,086	  	Net Trading Profits, January
	3,461,053	  	Net Trading Profits, February
	(1,178,742)	  	Less: Net Trading Profits attributable to Trading Level Reduction
	1,680,825	  	Net Trading Profits, March
	 	  	
	4,431,222	  	Net Trading Profits, Quarter 1
	25%	  	Incentive Fee Percent
	 	  	
	1,107,805	  	Incentive Fee, due 20th Business Day After March Month End
	 	  	
		
	 April:
	  	
	70,000,000	  	(i) Trading Level, beginning of April
	(3,506,000)	  	(ii) Net Realized Profit (Loss)
	604,000	  	(iii) Net Change in Unrealized Profit (Loss) (66,000)+670,000
	650	  	(iv) Interest Earned
	(280,000)	  	(v) Brokerage Commissions and Transaction Expenses
	 	  	
	66,818,650	  	
	0.1667%	  	Annual Management Fee ( 1/12 of 2%)
	 	  	
	111,364	  	Management Fee, April due 20th Business Day After April Month End
	 	  	
		
	(3,506,000)	  	(i) Net Realized Profit (Loss)
	604,000	  	(ii) Net Change in Unrealized Profit (Loss) (66,000)+670,000
	650	  	(iii) Interest Earned
	(111,364)	  	(iv) Management Fee, April
	(280,000)	  	(v) Brokerage Commissions and Transaction Expenses
	 	  	
	(3,292,714)	  	Net Trading Profits (Losses), April
	 	  	

  

 F-2 

			
	 May:

	70,000,000	  	(i) Trading Level, beginning of May
	85,000	  	(ii) Net Realized Profit (Loss)
	(605,000)	  	(iii) Net Change in Unrealized Profit (Loss) (670,000)+65,000
	45	  	(iv) Interest Earned
	(357,000)	  	(v) Brokerage Commissions and Transaction Expenses
	 	  	
	69,123,045	  	
	0.1667%	  	Annual Management Fee ( 1/12 of 2%)
	 	  	
	115,205	  	Management Fee, May due 20th Business Day After May Month End
	 	  	
		
	85,000	  	(i) Net Realized Profit (Loss)
	(605,000)	  	(ii) Net Change in Unrealized Profit (Loss) (670,000)+65,000
	45	  	(iii) Interest Earned
	(115,205)	  	(iv) Management Fee, May
	(357,000)	  	(v) Brokerage Commissions and Transaction Expenses
	 	  	
	(992,160)	  	Net Trading Profits (Losses), May
	 	  	
	
	 June:

	 **Effective June 1, Trading Level reduced to $40 million

		
	30,000,000	  	Decrease in Trading Level
	70,000,000	  	Former Trading Level
	 	  	
	43%	  	Percent of Reduction in Trading Level
	(4,284,874)	  	Net Trading Profits (Losses), Quarter-to-date
	 	  	
	(1,836,375)	  	Reduction of Cumulative New Net Trading Losses
	 	  	
		
	40,000,000	  	(i) Trading Level, beginning of June
	419,000	  	(ii) Net Realized Profit (Loss)
	65,000	  	(iii) Net Change in Unrealized Profit (Loss) (65,000)+130,000
	—  	  	(iv) Interest Earned
	(261,000)	  	(v) Brokerage Commissions and Transaction Expenses
	 	  	
	40,223,000	  	
	0.1667%	  	Annual Management Fee ( 1/12 of 2%)
	 	  	
	67,038	  	Management Fee, June due 20th Business Day After June Month End
	 	  	
		
	419,000	  	(i) Net Realized Profit (Loss)
	65,000	  	(ii) Net Change in Unrealized Profit (Loss) (65,000)+130,000
	—  	  	(iii) Interest Earned
	(67,038)	  	(iv) Management Fee, June
	(261,000)	  	(v) Brokerage Commissions and Transaction Expenses
	 	  	
	155,962	  	Net Trading Profits, June
	 	  	
		
	(3,292,714)	  	Net Trading Profits (Losses), April
	(992,160)	  	Net Trading Profits (Losses), May
	1,836,375	  	Reduction of Cumulative Net Trading Losses attributable to Trading Level Reduction
	155,962	  	Net Trading Profits, June
	 	  	
	(2,292,538)	  	Net Trading Losses, Quarter 2 (will be carried forward to Quarter 3)
	 	  	

 No incentive fee is due for Quarter 2 as Account does not have Net Trading Profits. 
  

 F-3 

 APPENDIX G 
 Permitted Counterparties 
 Crabel Capital Management, LLC 
 Broker List 
 as of 6/26/2009 

  

					
	 FUTURES
	  	 CURRENCIES
	  	 EQUITIES

	Barclays	  	Bank of America	  	Morgan Stanley
	Newedge	  	Deutsche Bank	  	CSFB
	Morgan Stanley	  	Dresdner	  	Edge
	Credit Suisse	  	Goldman Sachs	  	Citigroup
	Goldman Sachs	  	J.P. Morgan/Chase	  	
	JP Morgan	  	Morgan Stanley	  	
	EDF Man	  	Royal Bank of Scotland	  	
	HSBC	  	UBS Warburg	  	
	Kyte Trading	  	FX All	  	
	Sempra Metals	  	Hot Spot	  	
	UBS	  	Lava	  	
	Dresdner	  	Bloomberg	  	
	Standard Bank Group	  	EBS	  	
	Citigroup	  	Standard Charter	  	
	D.T. Trading	  	Citibank	  	
	Chicago Futures Group	  	Standard Bank Group	  	
	Delco	  	BNP Paribas	  	
	FIMAT	  	Newedge	  	
	Great Lakes Metals	  	ABN Amro	  	
	HGT Trading	  	AIG Trading	  	
	Hudson River Futures	  	Bank Julius Baer	  	
	ICAP United	  	Bank of Montreal	  	
	Integrity Energy	  	Barclays	  	
	J&J	  	Canadian Imperial Bank of Commerce	  	
	JDK Hughes	  	Credit Agricole Indosuez	  	
	Lawrence/Bonfitto	  	Credit Suisse	  	
	LTL	  	EDF Man	  	
	MC Trading	  	Fimat	  	
	Mercury Trading	  	HSBC	  	
	Mick Energies	  	Peregrine Financial Group	  	
	MK Brokerage	  	Prudential-Bache	  	
	Natural Futures	  	Royal Bank of Canada	  	
	Paragon	  	Societe Generale	  	
	Pell	  	State Street Bank and Trust Co.	  	
	Pico	  	Toronto-Dominion Securities	  	
	Precision Trading	  	Westpac	  	
	Prudential Proprietary Desk	  	Currenex	  	
	PVM	  		  	
	R.J. O’Brien	  		  	
	Rafferty Associates	  		  	
	Refco	  		  	
	Sabin Metals	  		  	

  

 G-1 

					
	 FUTURES
	  	 CURRENCIES
	  	 EQUITIES

	Skip Commodity Corp.	  		  	
	TFS	  		  	
	TradePipe Client Services Desk	  		  	
	Vantage	  		  	
	W.P. Trading	  		  	
	William J. O’Reilly Inc.	  		  	

 over 99% of our volume is through highlighted providers 
  

 G-2Seventh Supplemental Indenture

 Exhibit 4.24 
  
  
  
 TAMPA ELECTRIC COMPANY 
 and 
 THE BANK OF NEW YORK, 
 As Trustee 

 
  
 SEVENTH SUPPLEMENTAL INDENTURE 
 dated as of May 1, 2008 
 Supplementing the Indenture 
 dated as of
July 1, 1998 
  
  
 $150,000,000 
 6.10% Notes Due 2018

  
  
  

 TABLE OF CONTENTS 
  

									
	 	 	 	 	 	 	 	 	Page
	ARTICLE ONE	 	DEFINITIONS AND OTHER PROVISIONS OF GENERAL APPLICATION	 	2
					
		 	Section 101.	 		 	Definitions	 	2
		 	Section 102.	 		 	Section References	 	3
			
	ARTICLE TWO	 	DESIGNATION AND TERMS OF THE NOTES	 	3
					
		 	Section 201.	 		 	Establishment of Series	 	3
		 	Section 202.	 		 	Variations in Terms of the Notes	 	3
		 	Section 203.	 		 	Amount and Denominations; the Depositary	 	4
		 	Section 204.	 		 	Stated Maturity	 	4
		 	Section 205.	 		 	Interest Rates and Interest Payment Dates	 	4
		 	Section 206.	 		 	Form and Other Terms of the Notes	 	4
		 	Section 207.	 		 	Authentication and Delivery	 	5
		 	Section 208.	 		 	Redemption; No Sinking Fund	 	5
			
	ARTICLE THREE	 	MISCELLANEOUS	 	6
					
		 	Section 301.	 		 	Effect On Original Indenture	 	6
		 	Section 302.	 		 	Counterparts	 	6
		 	Section 303.	 		 	Recitals	 	6
		 	Section 304.	 		 	Governing Law	 	6
		 	Section 305.	 		 	Force Majeure	 	6
		 	Section 306.	 		 	Waiver of Jury Trial	 	6
		 	Section 307.	 		 	Damages	 	7
	
	EXHIBIT A: Form of Note
	
	EXHIBIT B: Supplemental Company Order

  

 -i- 

 This Seventh Supplemental Indenture, dated as of May 1, 2008, is between Tampa Electric Company, a
corporation duly organized and existing under the laws of the State of Florida (hereinafter called the “Company”) and having its principal office at TECO Plaza, 702 North Franklin Street, Tampa, Florida 33602, and The Bank of
New York, as trustee (hereinafter called the “Trustee”), and having its principal corporate trust office at 101 Barclay Street, 8 West, New York, New York 10286. 
 WITNESSETH: 
 WHEREAS, the Company and the
Trustee entered into an Indenture, dated as of July 1, 1998, as amended by a Third Supplemental Indenture, dated as of June 15, 2001, between the Company and the Trustee (the “Original Indenture”), pursuant to which one or
more series of debt of the Company (the “Securities”) may be issued from time to time; and 
 WHEREAS, Section 201 of
the Original Indenture permits the terms of any series of Securities to be established in an indenture supplemental to the Original Indenture; and 
 WHEREAS, Section 901(7) of the Original Indenture provides that a supplemental indenture may be entered into by the Company and the Trustee without the consent of any Holders of the Securities to establish the form and terms of the
Securities of any series; and 
 WHEREAS, the Company has requested the Trustee to join with it in the execution and delivery of this Seventh
Supplemental Indenture in order to supplement and amend the Original Indenture by, among other things, establishing the form and terms of a series of Securities to be known as the Company’s “6.10% Notes due 2018” (the
“Notes”); and 
 WHEREAS, the Company and the Trustee desire to enter into this Seventh Supplemental Indenture for the
purposes set forth in Sections 201 and 901 of the Original Indenture as referred to above; and 
 WHEREAS, the Company has furnished the
Trustee with a Board Resolution authorizing the execution of this Seventh Supplemental Indenture; and 
 WHEREAS, all things necessary to
make this Seventh Supplemental Indenture a valid agreement of the Company and the Trustee and a valid supplement to the Original Indenture have been done, 
 NOW, THEREFORE, THIS SEVENTH SUPPLEMENTAL INDENTURE WITNESSETH: 
 For and in consideration of the premises
and the purchase of the Notes to be issued hereunder by holders thereof, the Company and the Trustee mutually covenant and agree, for the equal and proportionate benefit of the respective holders from time to time of the Notes, as follows:

 ARTICLE ONE 
 Definitions and Other Provisions of General Application 
 Section 101. Definitions 
 All capitalized terms that are used herein and not otherwise defined herein shall have the meanings assigned to them in the Original Indenture. The
Original Indenture together with this Seventh Supplemental Indenture are hereinafter sometimes collectively referred to as the “Indenture.” 
 “Business Day” means any day other than (i) a Saturday or Sunday that is neither a legal holiday nor a day on which banking institutions are authorized or required by law or regulations to close
in the City of New York, or (ii) a day on which the Corporate Trust Office of the Trustee is closed for business. 
 “Comparable
Treasury Issue” means the United States Treasury security selected by an Independent Investment Banker as having a maturity comparable to the remaining term of the Notes to be redeemed that would be used, at the time of selection and in
accordance with customary financial practice, in pricing new issues of corporate debt securities of comparable maturity to the remaining term of such Notes; provided, however, that if the remaining term of the Notes to be redeemed is less
than one year, the weekly average yield on actually traded United States Treasury securities adjusted to a constant maturity of one year will be used. 
 “Comparable Treasury Price” means with respect to any redemption date (1) the average of five Reference Treasury Dealer Quotations for such redemption date, after excluding the highest and lowest
Reference Treasury Dealer Quotations, or (2) if an Independent Investment Banker obtains fewer than five such Reference Treasury Dealer Quotations, the average of all such quotations. 
 “Depositary” means The Depository Trust Company or its successor. 
 “Independent Investment Banker” means any of Morgan Stanley & Co. Incorporated, or BNP Paribas Securities Corp. or any of their
respective successors, as designated by the Company, or if all of those firms are unwilling or unable to serve as such, an independent investment and banking institution of national standing appointed by the Company. 
 “Interest Payment Date” means May 15 and November 15 of each year. 
 “Notes” has the meaning set forth in the preamble hereof. 
 “Original Issue Date” means the date upon which the Notes are initially issued by the Company, such date to be set forth on the face of each Note. 
 “Record Date” means the fifteenth calendar day (whether or not a Business Day) immediately preceding the related Interest Payment Date.
The Record Date shall constitute the Regular Record Date for purposes of the Original Indenture. 
  

 - 2 - 

 “Reference Treasury Dealer” means: 
 (i) Morgan Stanley & Co. Incorporated and BNP Paribas Securities Corp. or their affiliates, and each of their respective
successors; provided that, if any such Reference Treasury Dealer ceases to be a primary U.S. Government securities dealer in New York City (a “Primary Treasury Dealer”), the Company will substitute another Primary Treasury
Dealer; and 
 (ii) up to three other Primary Treasury Dealers selected by the Company. 
 “Reference Treasury Dealer Quotations” means, with respect to each Reference Treasury Dealer and any redemption date, the average, as
determined by an Independent Investment Banker, of the bid and asked prices for the Comparable Treasury Issue (expressed in each case as a percentage of its principal amount) quoted in writing to an Independent Investment Banker at 3:30 p.m., New
York City time, on the third Business Day preceding such redemption date. 
 “Treasury Rate” means, as of any redemption
date, the rate per annum equal to the semiannual equivalent yield to maturity (computed as of the second Business Day immediately preceding that redemption date) of the Comparable Treasury Issue, assuming a price for the Comparable Treasury Issue
(expressed as a percentage of its principal amount) equal to the Comparable Treasury Price for that redemption date. 
 Section 102. Section
References 
 Each reference to a particular section set forth in this Seventh Supplemental Indenture shall, unless the context otherwise
requires, refer to this Seventh Supplemental Indenture. 
 ARTICLE TWO 
 Designation and Terms of the Notes 
 Section 201. Establishment of Series

 There is hereby created a series of Securities to be known and designated as the “6.10% Notes due 2018”, which shall rank
equally with each other and all other unsecured and unsubordinated indebtedness of the Company. For the purposes of the Original Indenture, the Notes shall constitute a single series of Securities. 
 Section 202. Variations in Terms of the Notes 
 Subject to the terms and conditions set forth in the Original Indenture and in this Seventh Supplemental Indenture, the terms of any particular Note may vary from the terms of any other Note as contemplated by Section 301 of the
Original Indenture, and the terms for a particular Note will be set forth in such Note as delivered to the Trustee or an Authenticating Agent for authentication pursuant to Section 303 of the Original Indenture. 
  

 - 3 - 

 Section 203. Amount and Denominations; the Depositary 
 (a) The initial principal amount of Notes that may be issued under this Seventh Supplemental Indenture shall be $150,000,000. Additional Notes may be
issued under this Seventh Supplemental Indenture in unlimited principal amounts as permitted by the Original Indenture. The authorized denominations of Notes shall be $1,000 or integral multiples of $1,000 in excess thereof. 
 (b) The Notes shall be issuable only in fully registered form, without coupons, and will initially be registered in the name of the Depositary, or its
nominee who is hereby designated as “U.S. Depositary” under the Original Indenture. 
 Section 204. Stated Maturity 
 The Stated Maturity of the principal amount of the Notes shall be May 15, 2018. 
 Section 205. Interest Rates and Interest Payment Dates 
 (a) Interest Rate. The Notes
shall bear interest at the annual rate of 6.10% from the Original Issue Date to the date on which the principal shall become due on the Stated Maturity, and if such principal is not fully paid on the Stated Maturity, until such principal is paid in
full. Interest on the Notes will be payable semi-annually on each Interest Payment Date, commencing on November 15, 2008. Such interest will be payable to the holder thereof as of the related Record Date. 
 (b) Computation of Interest. The amount of interest payable for any period will be computed on the basis of a year of 360 days consisting of
twelve 30-day months. Except for the effect of any adjustment in the Interest Payment Date as provided in the following sentence, the amount of interest payable for any period shorter than a full six-month period for which interest is computed, will
be computed on the basis of the actual number of days elapsed in such a 180-day period. If any Interest Payment Date would otherwise be a day that is not a Business Day, the payment required to be made on such Interest Payment Date will be postponed
to the next succeeding Business Day, and no interest will accrue on such payment for the period from and after such Interest Payment Date to the date of such payment on the next succeeding Business Day, except that, if such Business Day is in the
next succeeding calendar year, such payment shall be made on the immediately preceding Business Day, in each case with the same force and effect as if made on such Interest Payment Date. 
 Section 206. Form and Other Terms of the Notes 
 (a) Attached hereto as Exhibit A is the
form of Note, which form is hereby established as the form in which the Notes may be issued and which shall be completed with the series designation, Stated Maturity, interest rate and CUSIP number applicable to the Notes upon such issuance.

  

 - 4 - 

 (b) Subject to (a) above, any Note may be issued in such other form as may be provided by, or not
inconsistent with, the terms of the Original Indenture and this Seventh Supplemental Indenture. 
 Section 207. Authentication and Delivery

 As provided in and pursuant to Section 303 of the Original Indenture, each time that the Company delivers Notes to the Trustee or
Authenticating Agent for authentication after the initial issuance of Notes under this Seventh Supplemental Indenture, the Company shall deliver a Supplemental Company Order in the form of Exhibit B to this Seventh Supplemental Indenture
(which form shall be completed upon delivery with the series designation applicable to the Notes) for the authentication and delivery of such Notes and the Trustee or such Authenticating Agent shall authenticate and deliver such Notes. 

Section 208. Redemption; No Sinking Fund 
 (a)
The Notes are subject to redemption, in whole or in part, at any time, at the option of the Company, at a redemption price equal to the greater of: 
 (i) 100% of the principal amount of Notes then outstanding to be redeemed, or 
 (ii) the sum
of the present values of the remaining scheduled payments of principal and interest on the Notes then outstanding to be redeemed (not including any portion of such payments of interest accrued as of the redemption date) discounted to the redemption
date on a semiannual basis (computed based on a 360-day year consisting of twelve 30-day months) at the Treasury Rate, plus 35 basis points (0.35%), as calculated by an Independent Investment Banker, 
 plus, in either of the above cases, accrued and unpaid interest thereon to the redemption date. 
 (b) The Company will mail a notice of redemption at least 30 days but no more than 60 days before the redemption date to each holder of Notes to be
redeemed. If the Company elects to partially redeem the Notes, the Trustee will select in a fair and appropriate manner the Notes to be redeemed. 
 (c) Unless the Company defaults in payment of the redemption price, on and after the redemption date, interest will cease to accrue on the Notes or portions thereof called for redemption. 
 (d) The Notes are not entitled to the benefit of any sinking fund or analogous provision. 
  

 - 5 - 

 ARTICLE THREE 
 Miscellaneous 
 Section 301. Effect On Original Indenture 
 The Seventh Supplemental Indenture is a supplement to the Original Indenture. As supplemented by this Seventh Supplemental Indenture, the Original
Indenture is in all respects ratified, approved and confirmed, and the Original Indenture and this Seventh Supplemental Indenture shall together constitute one and the same instrument. 
 Section 302. Counterparts 
 This Seventh Supplemental Indenture may be executed in any number of
counterparts, each of which so executed shall be deemed to be an original, but all such counterparts shall together constitute one and the same instrument. 
 Section 303. Recitals 
 The recitals contained herein shall be taken as the statements of the Company, and the Trustee
assumes no responsibility for their correctness. The Trustee makes no representations as to the validity or sufficiency of this Seventh Supplemental Indenture. 
 Section 304. Governing Law 
 This Seventh Supplemental Indenture shall be governed by and construed in accordance with
the laws of the jurisdiction that govern the Original Indenture and its construction. 
 Section 305. Force Majeure 
 In no event shall the Trustee be responsible or liable for any failure or delay in the performance of its obligations hereunder arising out of or caused
by, directly or indirectly, forces beyond its control, including, without limitation, strikes, work stoppages, accidents, acts of war or terrorism, civil or military disturbances, nuclear or natural catastrophes or acts of God, and interruptions,
loss or malfunctions of utilities, communications or computer (software and hardware) services; it being understood that the Trustee shall use reasonable efforts which are consistent with accepted practices in the banking industry to resume
performance as soon as practicable under the circumstances. 
 Section 306. Waiver of Jury Trial 
 EACH OF THE COMPANY AND THE TRUSTEE HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY AND ALL RIGHT TO TRIAL BY JURY IN
ANY LEGAL PROCEEDING ARISING OUT OF OR RELATING TO THIS INDENTURE, THE SECURITIES OR THE TRANSACTION CONTEMPLATED HEREBY. 
  

 - 6 - 

 Section 307. Damages 
 In no event shall the Trustee be responsible or liable for special, indirect, or consequential loss or damage of any kind whatsoever (including, but not limited to, loss or profit) irrespective of whether the Trustee
has been advised of the likelihood of such loss or damage and regardless of the form of action. 
 [The balance of this page intentionally
left blank.] 
  

 - 7 - 

 IN WITNESS WHEREOF, the parties hereto have caused this Seventh Supplemental Indenture to be duly
executed as of the date and year first written above. 
  

			
	TAMPA ELECTRIC COMPANY
		
	By:	 	 /s/ Sandra W. Callahan

	Name:	 	Sandra W. Callahan
	Title:	 	Vice President – Treasurer and Assistant Secretary
	
	THE BANK OF NEW YORK, AS TRUSTEE
		
	By:	 	 /s/ Geovanni Barris

	Name:	 	Geovanni Barris
	Title:	 	Vice President

 Signature Page of Seventh Supplemental Indenture 

 Exhibit A 
 Form of Note 
  

			
	CUSIP NO.:                     	 	PRINCIPAL AMOUNT: $                    

 REGISTERED NO.          
 TAMPA ELECTRIC COMPANY 
 6.10% Notes Due 2018

  

	x	Check this box if the Note is a Global Note. 

 Applicable
if the Note is a Global Note: 
 UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY, A NEW YORK
CORPORATION, TO THE ISSUER OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF THE
DEPOSITORY TRUST COMPANY (AND ANY PAYMENT IS MADE TO CEDE & CO. OR SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY), 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. 
 This
Note is a Global Security within the meaning of the Indenture hereinafter referred to and is registered in the name of Cede & Co., or such other nominee of The Depository Trust Company, a New York corporation, or any successor depositary
(“Depositary”), as requested by an authorized representative of the Depositary. This Note is exchangeable for Notes registered in the name of a person other than the Depositary or its nominee only in the limited circumstances
described in the Indenture and may not be transferred except as a whole by the Depositary to a nominee of the Depositary or by a nominee of the Depositary to the Depositary or another nominee of the Depositary. 
  
  
  

					
	ORIGINAL ISSUE DATE:	 	INTEREST PAYMENT DATES:	 	SINKING FUND: None
	May 16, 2008	 	May 15 and November 15 of each year commencing November 15, 2008.	 	YIELD TO MATURITY: N/A
			
	ISSUE PRICE: 100% (as a percentage of principal amount)	 	
 SPECIFIED CURRENCY: U.S. dollars
	 	
	  
 STATED MATURITY: May 15, 2018
	 	 	REDEMPTION: Redeemable in whole or in part, at the Company’s option, from time to time at the redemption prices described on the reverse of this Note.
			
	INTEREST RATE: 6.10% per annum.	 	AUTHORIZED DENOMINATIONS: N/A (Only applicable if specified currency is other than U.S. dollars)	 	DEPOSITARY: The Depository Trust Company, or any successor depository.

  

 A-1 

 TAMPA ELECTRIC COMPANY, a corporation duly organized and existing under the laws of the State of Florida
(herein called the “Company,” which term includes any successor corporation under the Indenture hereinafter referred to), for value received, hereby promises to pay to CEDE & CO., or registered assigns, the principal sum
set forth on the face of this Note on the Stated Maturity, upon the presentation and surrender hereof at the principal corporate trust office of The Bank of New York, or its successor in trust (the “Trustee”), or such other office
as the Trustee has designated in writing, and to pay interest on the unpaid principal balance hereof at a rate per annum (computed based on a 360-day year consisting of twelve 30-day months) equal to the Interest Rate set forth on the face of this
Note for the period from the Original Issue Date to, but excluding, the Stated Maturity. 
 Interest will be payable on the Interest Payment
Dates to the Person in whose name this Note is registered at the close of business on the related Record Date, which is the fifteenth calendar day (whether or not a Business Day) immediately preceding the related Interest Payment Date. In each case,
payments shall be made in accordance with the provisions hereof, until the principal hereof is paid or duly made available for payment. 
 Payment of the principal of (and premium, if any) and any such interest on this Note shall be made in immediately available funds at the office or agency of the Company maintained for that purpose in the City of New York in the State of New
York, 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 hereby made to the further provisions of this Note set forth on the reverse hereof, which further provisions shall for all purposes have the same effect as if set forth at this place. 
 Unless the certificate of authentication hereon has been executed by the Trustee referred to on the reverse hereof by manual signature, this Note shall
not be entitled to any benefit under the Indenture or be valid or obligatory for any purpose. 
  

 A-2 

 IN WITNESS WHEREOF, TAMPA ELECTRIC COMPANY has caused this instrument to be duly executed. 
 Dated:                     , 20    

  

							
	TRUSTEE’S CERTIFICATE OF AUTHENTICATION	 		 	TAMPA ELECTRIC COMPANY
				
	 This is one of the series designated therein referred
 to
in the within-mentioned Indenture.
	 		 	By:	 	  

		 		 	Name:	 	
		 		 	Title:	 	
	 THE BANK OF NEW YORK,
 as Trustee
	 		 		 	

  

			
	By:	 	  

	 Authorized signatory

  

 A-3 

 (REVERSE OF NOTE) 
 TAMPA ELECTRIC COMPANY 
 6.10% Notes Due 2018 
 This Note is one of a duly authorized series of securities of the Company (herein called the “Notes”), issued and to be issued under an
Indenture dated as of July 1, 1998, as supplemented by the Seventh Supplemental Indenture, dated as of May 1, 2008 (as such has been or shall be amended or supplemented, the “Indenture”), between the Company and The Bank
of New York, as trustee (the “Trustee”, which term includes any successor Trustee under the Indenture), to which Indenture reference is hereby made for a statement of the respective rights, limitations of rights, duties and
immunities thereunder of the Company, the Trustee and the Holders of the Notes and of the terms upon which the Notes are, and are to be, authenticated and delivered. This Note is one of the securities of the series designated on the face hereof, in
an initial aggregate principal amount of $150,000,000. 
 DEFINITIONS 
 The following terms, as used herein, have the following meanings unless the context or use clearly indicates another or different meaning or intent:

 “Business Day” means any day other than (i) a Saturday or Sunday that is neither a legal holiday nor a day on which
banking institutions are authorized or required by law or regulations to close in the City of New York, or (ii) a day on which the Corporate Trust Office of the Trustee is closed for business. 
 “Comparable Treasury Issue” means the United States Treasury security selected by an Independent Investment Banker as having a maturity
comparable to the remaining term of the Notes to be redeemed that would be used, at the time of selection and in accordance with customary financial practice, in pricing new issues of corporate debt securities of comparable maturity to the remaining
term of such Notes; provided, however, that if the remaining term of the Notes to be redeemed is less than one year, the weekly average yield on actually traded United States Treasury securities adjusted to a constant maturity of one
year will be used. 
 “Comparable Treasury Price” means with respect to any redemption date (1) the average of five
Reference Treasury Dealer Quotations for such redemption date, after excluding the highest and lowest Reference Treasury Dealer Quotations, or (2) if an Independent Investment Banker obtains fewer than five such Reference Treasury Dealer
Quotations, the average of all such quotations. 
 “Depositary” shall mean The Depository Trust Company or any successor
depositary. 
 “Independent Investment Banker” means any of Morgan Stanley & Co. Incorporated, or BNP Paribas
Securities Corp. or any of their respective successors, as designated by the Company, or if all of those firms are unwilling or unable to serve as such, an independent investment and banking institution of national standing appointed by the Company.

  

 A-4 

 “Interest Payment Date” means each of the dates on which interest on this Note is
payable, which dates are set forth on the face of this Note. 
 “Reference Treasury Dealer” means: 
  

	 	(i)	Morgan Stanley & Co. Incorporated and BNP Paribas Securities Corp. or their affiliates, and each of their respective successors; provided that, if any such Reference
Treasury Dealer ceases to be a primary U.S. Government securities dealer in New York City (a “Primary Treasury Dealer”), the Company will substitute another Primary Treasury Dealer; and 

  

	 	(ii)	up to three other Primary Treasury Dealers selected by the Company. 

 “Reference Treasury Dealer Quotations” means, with respect to each Reference Treasury Dealer and any redemption date, the average, as determined by an Independent Investment Banker, of the bid and
asked prices for the Comparable Treasury Issue (expressed in each case as a percentage of its principal amount) quoted in writing to an Independent Investment Banker at 3:30 p.m., New York City time, on the third Business Day preceding such
redemption date. 
 “Treasury Rate” means, as of any redemption date, the rate per annum equal to the semiannual equivalent
yield to maturity (computed as of the second Business Day immediately preceding that redemption date) of the Comparable Treasury Issue, assuming a price for the Comparable Treasury Issue (expressed as a percentage of its principal amount) equal to
the Comparable Treasury Price for that redemption date. 
 INTEREST RATE 
 This Note will bear interest at the rate per annum (computed based on a 360-day year consisting of twelve 30-day months) identified on the face of this
Note. Except for the effect of any adjustment in the Interest Payment Date as provided in the following sentence, the amount of interest payable for any period shorter than a full six-month period for which interest is computed, will be computed on
the basis of the actual number of days elapsed in such a 180-day period. If any Interest Payment Date would otherwise be a day that is not a Business Day, the payment required to be made on such Interest Payment Date will be postponed to the next
succeeding Business Day, and no interest will accrue on such payment for the period from and after such Interest Payment Date to the date of such payment on the next succeeding Business Day, except that, if such Business Day is in the next
succeeding calendar year, such payment shall be made on the immediately preceding Business Day, in each case with the same force and effect as if made on such Interest Payment Date. 
 OPTIONAL REDEMPTION 
 The Notes are subject to redemption, in whole or in part,
at any time, at the option of the Company, at a redemption price equal to the greater of: 
  

	 	(i)	100% of the principal amount of the Notes then outstanding to be redeemed, or 

  

 A-5 

	 	(ii)	the sum of the present values of the remaining scheduled payments of principal and interest on the Notes then outstanding to be redeemed (not including any portion of such payments
of interest accrued as of the redemption date) discounted to the redemption date on a semiannual basis (computed based on a 360-day year consisting of twelve 30-day months) at the Treasury Rate, plus 35 basis points (0.35%), as calculated by an
Independent Investment Banker, 

 plus, in either of the above cases, accrued and unpaid interest thereon to the redemption date. 

The Company will mail a notice of redemption at least 30 days but no more than 60 days before the redemption date to each holder of the Notes to be
redeemed. If the Company elects to partially redeem the Notes, the Trustee will select in a fair and appropriate manner the Notes to be redeemed. 
 Unless the Company defaults in payment of the redemption price, on and after the redemption date, interest will cease to accrue on the Notes or portions thereof called for redemption. 
 The Notes are not entitled to the benefit of any sinking fund or analogous provision. 
 TRANSFER OR EXCHANGE 
 As provided in the Indenture and subject to certain
limitations herein and therein set forth, the transfer of this Note is registerable in the Security Register, upon surrender of this Note for registration of transfer at the office or agency of the Company in any place where the principal of (and
premium, if any) and interest on this Note are payable, duly endorsed by, or accompanied by a written instrument of transfer in form satisfactory to the Company and the Security Registrar duly executed by, the Holder hereof or his attorney duly
authorized in writing, and thereupon one or more new Notes of this series and of like tenor, of authorized denominations and for the same aggregate principal amount, will be issued to the designated transferee or transferees. 
 The Notes are issuable only in registered form without coupons and, except for such Notes issued in book-entry form, only in denominations of $1,000 and
any integral multiple of $1,000. As provided in the Indenture and subject to certain limitations herein and therein set forth, this Note is exchangeable for a like aggregate principal amount of Notes of this series and of like tenor of a different
authorized denomination, as requested by the Holder surrendering the same. 
 No service charge shall be made for any such registration of
transfer or exchange, but the Company may require payment of a sum sufficient to cover any tax or other governmental charge payable in connection therewith. 
 Prior to due presentment of this Note for registration of transfer, the Company or the Trustee and any agent of the Company or the Trustee may treat the Person in whose name this Note is registered as the owner hereof
for all purposes, whether or not this Note be overdue, and neither the Company, the Trustee nor any such agent shall be affected by notice to the contrary. 
  

 A-6 

 OTHER PROVISIONS 
 The Indenture permits, with certain exceptions as therein provided, the amendment thereof and the modification of the rights and obligations of the Company and the rights of the Holders of the Securities of each
series to be affected under the Indenture at any time by the Company and the Trustee with the consent of the Holders of a majority in principal amount of the Securities at the time Outstanding of each series to be affected and of the Holders of
66 2/3% in principal amount of the Securities at the time Outstanding of all series to be affected. The Indenture also contains provisions permitting the Holders of specified percentages in principal amount of the Securities of each series at
the time Outstanding, on behalf of the Holders of all Securities of such series, to waive compliance by the Company with certain provisions of the Indenture and certain past defaults under the Indenture and their consequences. To the extent
permitted by law, any such consent or waiver by the Holder of this Note shall be conclusive and binding upon such Holder and upon all future Holders of this Note and of any Note issued upon the registration of transfer hereof or in exchange hereof
or in lieu hereof, whether or not notation of such consent or waiver is made upon this Note. 
 No reference herein to the Indenture and no
provision of this Note or of the Indenture shall alter or impair the obligation of the Company, which is absolute and unconditional, to pay the principal of (and premium, if any) and interest on this Note at the times, place and rate, and in the
coin or currency, herein prescribed. 
 All terms used in this Note that are defined in the Indenture shall have the meanings assigned to
them in the Indenture. 
 This Note shall be governed by and construed in accordance with the laws of the State of New York. 
  

 A-7 

 ABBREVIATIONS 
 The following abbreviations, when used in the inscription on the face of this instrument, shall be construed as though they were written out in full according to applicable laws or regulations: 
  

									
	TEN COM	 	— as tenants in common	 	UNIF GIFT MIN ACT—                    	  	 	CUSTODIAN                    	  
	TEN ENT	 	— as tenants by the entireties	 	(Cust	) 	 	(Minor	) 
	JT TEN	 	— as joint tenants with right of survivorship Under Uniform Gifts to Minors Act and not as tenants in common
                                         
                                         
                                      	   
		 	 (State)
	 			 		

 Additional abbreviations may also be used though not in the above list. 
 FOR VALUE RECEIVED, the undersigned hereby sell(s), assign(s) and transfer(s) unto 
 Please Insert Social Security or 
 Other Identifying Number of Assignee 
  

	
	 
	 

  

	
	 

 PLEASE PRINT OR TYPEWRITE NAME AND ADDRESS INCLUDING POSTAL ZIP CODE OF ASSIGNEE 
  

	
	
	 
	
	 

 the within Security of TAMPA ELECTRIC COMPANY and does hereby irrevocably constitute and appoint
                                         
                                         
                                   attorney to transfer said Security on the
books of the Company, with full power of substitution in the premises. 
  

							
	Dated:                            	 		 	 	 	

							
			
		 	 	 	

 NOTICE: The signature to this assignment must correspond with the name as written upon the face of the within
instrument in every particular, without alteration or enlargement or any change whatsoever. 
  

 A-8 

 Exhibit B 
 TAMPA ELECTRIC COMPANY 
 6.10% NOTES DUE 2018 
 SUPPLEMENTAL COMPANY ORDER 
 Pursuant to Section 207 of Article Two of the Seventh
Supplemental Indenture, dated as of May 1, 2008, to the Indenture, dated as of July 1, 1998, as amended, you are instructed to prepare and authenticate a Note, of the series identified above, in the principal amount of
$                    . 
 IN
WITNESS WHEREOF, I have hereunto set my hand this      day of             , 20    . 
  

			
	TAMPA ELECTRIC COMPANY
		
	 By:
	 	  

	 Name:
	 	
	 Title:
	 	

  

 1

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