Document:

Execution

    

    STRUCTURED
      ASSET SECURITIES CORPORATION,

    as
      Depositor,

    

    AURORA
      LOAN SERVICES LLC,

    as
      Master
      Servicer,

    

    and

    

    LASALLE
      BANK NATIONAL ASSOCIATION,

    as
      Trustee

     

    
      
        

      

    

    

    TRUST
      AGREEMENT

    

    

    Dated
      as
      of February 1, 2007

     

    
      
        

      

    

    

    LEHMAN
      XS
      TRUST

    MORTGAGE
      PASS-THROUGH CERTIFICATES,

    SERIES
      2007-3

    

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    TABLE
      OF
      CONTENTS

     

    
      
        	
                ARTICLE
                  I DEFINITIONS

              	 	
                40

              
	 	 	
                 

              
	
                Section
                  1.01.

              	
                Definitions.

              	
                40

              
	
                Section
                  1.02.

              	
                Calculations
                  Respecting Mortgage Loans.

              	
                117

              
	
                Section
                  1.03.

              	
                Calculations
                  Respecting Accrued Interest.

              	
                117

              
	 	 	
                 

              
	
                ARTICLE
                  II DECLARATION OF TRUST; ISSUANCE OF CERTIFICATES

              	
                117

              
	 	 	
                 

              
	
                Section
                  2.01.

              	
                Creation
                  and Declaration of Trust Fund; Conveyance of Mortgage
                  Loans.

              	
                117

              
	
                Section
                  2.02.

              	
                Acceptance
                  of Trust Fund by Trustee: Review of Documentation for Trust
                  Fund.

              	
                122

              
	
                Section
                  2.03.

              	
                Representations
                  and Warranties of the Depositor.

              	
                123

              
	
                Section
                  2.04.

              	
                Discovery
                  of Breach.

              	
                125

              
	
                Section
                  2.05.

              	
                Repurchase,
                  Purchase or Substitution of Mortgage Loans.

              	
                126

              
	
                Section
                  2.06.

              	
                Grant
                  Clause.

              	
                127

              
	 	 	
                 

              
	
                ARTICLE
                  III THE CERTIFICATES

              	
                129

              
	 	 	
                 

              
	
                Section
                  3.01.

              	
                The
                  Certificates.

              	
                129

              
	
                Section
                  3.02.

              	
                Registration.

              	
                129

              
	
                Section
                  3.03.

              	
                Transfer
                  and Exchange of Certificates.

              	
                130

              
	
                Section
                  3.04.

              	
                Cancellation
                  of Certificates.

              	
                134

              
	
                Section
                  3.05.

              	
                Replacement
                  of Certificates.

              	
                134

              
	
                Section
                  3.06.

              	
                Persons
                  Deemed Owners.

              	
                135

              
	
                Section
                  3.07.

              	
                Temporary
                  Certificates.

              	
                135

              
	
                Section
                  3.08.

              	
                Appointment
                  of Paying Agent.

              	
                135

              
	
                Section
                  3.09.

              	
                Book-Entry
                  Certificates.

              	
                136

              
	 	 	
                 

              
	
                ARTICLE
                  IV ADMINISTRATION OF THE TRUST FUND

              	
                138

              
	 	 	
                 

              
	
                Section
                  4.01.

              	
                Collection
                  Account.

              	
                138

              
	
                Section
                  4.02.

              	
                Application
                  of Funds in the Collection Account.

              	
                140

              
	
                Section
                  4.03.

              	
                Reports
                  to Certificateholders.

              	
                142

              
	
                Section
                  4.04.

              	
                Certificate
                  Account.

              	
                147

              
	 	 	
                 

              
	
                ARTICLE
                  V DISTRIBUTIONS TO HOLDERS OF CERTIFICATES

              	
                148

              
	 	 	
                 

              
	
                Section
                  5.01.

              	
                Distributions
                  Generally.

              	
                148

              
	
                Section
                  5.02.

              	
                Distributions
                  from the Certificate Account.

              	
                149

              
	
                Section
                  5.03.

              	
                Allocation
                  of Losses.

              	
                150

              
	
                Section
                  5.04.

              	
                Advances
                  by Master Servicer, Servicers and Trustee.

              	
                153

              
	
                Section
                  5.05.

              	
                Compensating
                  Interest Payments.

              	
                154

              
	
                Section
                  5.06.

              	
                Basis
                  Risk Reserve Funds.

              	
                154

              
	
                Section
                  5.07.

              	
                Supplemental
                  Interest Trust.

              	
                156

              
	
                Section
                  5.08.

              	
                Rights
                  of Swap Counterparty.

              	
                161

              

      

      
         

         

         

        
          
            
            

          

          
            i

            
              

            

          

          
            
            

          

        

         

        

          
            	
                    Section
                      5.09.

                  	
                    Group
                      1 Termination Receipts.

                  	
                    161

                  
	
                    Section
                      5.10.

                  	
                    Group
                      2 Termination Receipts.

                  	
                    163

                  
	 	 	
                     

                  
	
                    ARTICLE
                      VI CONCERNING THE TRUSTEE EVENTS OF DEFAULT

                  	
                    165

                  
	 	 	
                     

                  
	
                    Section
                      6.01.

                  	
                    Duties
                      of Trustee and the Paying Agent.

                  	
                    165

                  
	
                    Section
                      6.02.

                  	
                    Certain
                      Matters Affecting the Trustee.

                  	
                    169

                  
	
                    Section
                      6.03.

                  	
                    Trustee
                      Not Liable for Certificates.

                  	
                    170

                  
	
                    Section
                      6.04.

                  	
                    Trustee
                      May Own Certificates.

                  	
                    171

                  
	
                    Section
                      6.05.

                  	
                    Eligibility
                      Requirements for Trustee.

                  	
                    171

                  
	
                    Section
                      6.06.

                  	
                    Resignation
                      and Removal of Trustee.

                  	
                    171

                  
	
                    Section
                      6.07.

                  	
                    Successor
                      Trustee.

                  	
                    172

                  
	
                    Section
                      6.08.

                  	
                    Merger
                      or Consolidation of Trustee.

                  	
                    173

                  
	
                    Section
                      6.09.

                  	
                    Appointment
                      of Co-Trustee, Separate Trustee or Custodian.

                  	
                    173

                  
	
                    Section
                      6.10.

                  	
                    Authenticating
                      Agents.

                  	
                    176

                  
	
                    Section
                      6.11.

                  	
                    Indemnification
                      of Trustee.

                  	
                    176

                  
	
                    Section
                      6.12.

                  	
                    Fees
                      and Expenses of Trustee and Custodians.

                  	
                    177

                  
	
                    Section
                      6.13.

                  	
                    Collection
                      of Monies.

                  	
                    178

                  
	
                    Section
                      6.14.

                  	
                    Events
                      of Default; Trustee To Act; Appointment of Successor.

                  	
                    178

                  
	
                    Section
                      6.15.

                  	
                    Additional
                      Remedies of Trustee Upon Event of Default.

                  	
                    182

                  
	
                    Section
                      6.16.

                  	
                    Waiver
                      of Defaults.

                  	
                    183

                  
	
                    Section
                      6.17.

                  	
                    Notification
                      to Holders.

                  	
                    183

                  
	
                    Section
                      6.18.

                  	
                    Directions
                      by Certificateholders and Duties of Trustee During Event of
                      Default.

                  	
                    183

                  
	
                    Section
                      6.19.

                  	
                    Action
                      Upon Certain Failures of the Master Servicer and Upon Event
                      of
                      Default.

                  	
                    184

                  
	
                    Section
                      6.20.

                  	
                    Preparation
                      of Tax Returns and Reports.

                  	
                    184

                  
	
                    Section
                      6.21.

                  	
                    Compliance
                      with Regulation AB.

                  	
                    193

                  
	
                    Section
                      6.22.

                  	
                    No
                      Merger.

                  	
                    193

                  
	
                    Section
                      6.23.

                  	
                    Reporting
                      Requirements of the Commission.

                  	
                    193

                  
	 	 	
                     

                  
	
                    ARTICLE
                      VII PURCHASE OF MORTGAGE LOANS AND TERMINATION OF THE TRUST
                      FUND

                  	
                    194

                  
	 	 	
                     

                  
	
                    Section
                      7.01.

                  	
                    Purchase
                      of Mortgage Loans; Termination of a Mortgage Pool or the Trust
                      Fund Upon
                      Purchase or Liquidation of Mortgage Loans; Purchase of the
                      Pooling REMIC 1
                      Regular Interests, the Pooling REMIC 2 Regular Interests, the
                      Pooling
                      REMIC 3 Regular Interests or the Pooling REMIC 4 Regular
                      Interests.

                  	
                    194

                  
	
                    Section
                      7.02.

                  	
                    Procedure
                      Upon Termination of Trust Fund or Purchase of Pooling REMIC
                      1 Regular
                      Interests, the Pooling REMIC 2 Regular Interests, the Pooling
                      REMIC 3
                      Regular Interests or the Pooling REMIC 4 Regular
                      Interests.

                  	
                    201

                  
	
                    Section
                      7.03.

                  	
                    Additional
                      Requirements for any Trust Fund Termination Event or Purchase
                      of either
                      the Pooling REMIC 1 Regular Interests, Pooling REMIC 2 Regular
                      Interests,
                      Pooling REMIC 3 Regular Interests or Pooling REMIC 4 Regular
                      Interests.

                  	
                    203

                  
	
                    Section
                      7.04.

                  	
                    Optional
                      Purchase Right of NIMS Insurer.

                  	
                    204

                  

          

        

         

         

         

        
          
            
            

          

          
            ii

            
              

            

          

          
            
            

          

        

         

        

          
            	 	 	
                     

                  
	
                    ARTICLE
                      VIII RIGHTS OF CERTIFICATEHOLDERS

                  	
                    204

                  
	 	 	
                     

                  
	
                    Section
                      8.01.

                  	
                    Limitation
                      on Rights of Holders.

                  	
                    204

                  
	
                    Section
                      8.02.

                  	
                    Access
                      to List of Holders.

                  	
                    205

                  
	
                    Section
                      8.03.

                  	
                    Acts
                      of Holders of Certificates.

                  	
                    206

                  
	 	 	
                     

                  
	
                    ARTICLE
                      IX ADMINISTRATION AND SERVICING OF MORTGAGE LOANS BY THE MASTER
                      SERVICER

                  	
                    207

                  
	 	 	
                     

                  
	
                    Section
                      9.01.

                  	
                    Duties
                      of the Master Servicer.

                  	
                    207

                  
	
                    Section
                      9.02.

                  	
                    Master
                      Servicer Fidelity Bond and Master Servicer Errors and Omissions
                      Insurance
                      Policy.

                  	
                    207

                  
	
                    Section
                      9.03.

                  	
                    Master
                      Servicer’s Financial Statements and Related Information.

                  	
                    208

                  
	
                    Section
                      9.04.

                  	
                    Power
                      to Act; Procedures.

                  	
                    208

                  
	
                    Section
                      9.05.

                  	
                    Enforcement
                      of Servicer’s and Master Servicer’s Obligations.

                  	
                    210

                  
	
                    Section
                      9.06.

                  	
                    Collection
                      of Taxes, Assessments and Similar Items.

                  	
                    211

                  
	
                    Section
                      9.07.

                  	
                    Termination
                      of Servicing Agreements; Successor Servicers.

                  	
                    212

                  
	
                    Section
                      9.08.

                  	
                    Master
                      Servicer Liable for Enforcement.

                  	
                    213

                  
	
                    Section
                      9.09.

                  	
                    No
                      Contractual Relationship Between Any Servicer and Trustee or
                      Depositor.

                  	
                    213

                  
	
                    Section
                      9.10.

                  	
                    Assumption
                      of Servicing Agreement by Trustee.

                  	
                    213

                  
	
                    Section
                      9.11.

                  	
                    Due-on-Sale
                      Clauses; Assumption Agreements; Easements.

                  	
                    214

                  
	
                    Section
                      9.12.

                  	
                    Release
                      of Mortgage Files.

                  	
                    214

                  
	
                    Section
                      9.13.

                  	
                    Documents,
                      Records and Funds in Possession of Master Servicer To Be Held
                      for
                      Trustee.

                  	
                    215

                  
	
                    Section
                      9.14.

                  	
                    Representations
                      and Warranties of the Master Servicer.

                  	
                    217

                  
	
                    Section
                      9.15.

                  	
                    Opinion.

                  	
                    219

                  
	
                    Section
                      9.16.

                  	
                    Standard
                      Hazard and Flood Insurance Policies.

                  	
                    219

                  
	
                    Section
                      9.17.

                  	
                    Presentment
                      of Claims and Collection of Proceeds.

                  	
                    220

                  
	
                    Section
                      9.18.

                  	
                    Maintenance
                      of the Primary Mortgage Insurance Policies.

                  	
                    220

                  
	
                    Section
                      9.19.

                  	
                    Trustee
                      To Retain Possession of Certain Insurance Policies and
                      Documents.

                  	
                    220

                  
	
                    Section
                      9.20.

                  	
                    Realization
                      Upon Defaulted Mortgage Loans.

                  	
                    221

                  
	
                    Section
                      9.21.

                  	
                    Compensation
                      to the Master Servicer.

                  	
                    221

                  
	
                    Section
                      9.22.

                  	
                    REO
                      Property.

                  	
                    222

                  
	
                    Section
                      9.23.

                  	
                    Notice
                      to the Sponsor, the Depositor and the Trustee.

                  	
                    222

                  
	
                    Section
                      9.24.

                  	
                    Reports
                      to the Trustee.

                  	
                    223

                  
	
                    Section
                      9.25.

                  	
                    Assessment
                      of Compliance and Attestation Reports .

                  	
                    224

                  
	
                    Section
                      9.26.

                  	
                    Annual
                      Statement of Compliance with Applicable Servicing Criteria
                      .

                  	
                    225

                  
	
                    Section
                      9.27.

                  	
                    Merger
                      or Consolidation.

                  	
                    226

                  
	
                    Section
                      9.28.

                  	
                    Resignation
                      of Master Servicer.

                  	
                    226

                  
	
                    Section
                      9.29.

                  	
                    Assignment
                      or Delegation of Duties by the Master Servicer.

                  	
                    226

                  
	
                    Section
                      9.30.

                  	
                    Limitation
                      on Liability of the Master Servicer and Others.

                  	
                    227

                  
	
                    Section
                      9.31.

                  	
                    Indemnification;
                      Third-Party Claims.

                  	
                    228

                  
	 	 	
                     

                  
	
                    ARTICLE
                      X REMIC ADMINISTRATION

                  	
                    228

                  
	 	 	
                     

                  
	
                    Section
                      10.01.

                  	
                    REMIC
                      Administration.

                  	
                    228

                  

          

          
             

             

            
              
                
                

              

              
                iii

                
                  

                

              

              
                
                

              

            

             

             

            

            	
                    Section
                      10.02.

                  	
                    Prohibited
                      Transactions and Activities.

                  	
                    232

                  
	
                    Section
                      10.03.

                  	
                    Indemnification
                      with Respect to Certain Taxes and Loss of REMIC Status.

                  	
                    232

                  
	
                    Section
                      10.04.

                  	
                    REO
                      Property.

                  	
                    233

                  
	 	 	
                     

                  
	
                    ARTICLE
                      XI MISCELLANEOUS PROVISIONS

                  	
                    234

                  
	 	 	
                     

                  
	
                    Section
                      11.01.

                  	
                    Binding
                      Nature of Agreement; Assignment.

                  	
                    234

                  
	
                    Section
                      11.02.

                  	
                    Entire
                      Agreement.

                  	
                    234

                  
	
                    Section
                      11.03.

                  	
                    Amendment.

                  	
                    234

                  
	
                    Section
                      11.04.

                  	
                    Voting
                      Rights.

                  	
                    236

                  
	
                    Section
                      11.05.

                  	
                    Provision
                      of Information.

                  	
                    236

                  
	
                    Section
                      11.06.

                  	
                    Governing
                      Law.

                  	
                    236

                  
	
                    Section
                      11.07.

                  	
                    Notices.

                  	
                    237

                  
	
                    Section
                      11.08.

                  	
                    Severability
                      of Provisions.

                  	
                    237

                  
	
                    Section
                      11.09.

                  	
                    Indulgences;
                      No Waivers.

                  	
                    237

                  
	
                    Section
                      11.10.

                  	
                    Headings
                      Not To Affect Interpretation.

                  	
                    237

                  
	
                    Section
                      11.11.

                  	
                    Benefits
                      of Agreement.

                  	
                    238

                  
	
                    Section
                      11.12.

                  	
                    Special
                      Notices to the Rating Agencies and any NIMS Insurer.

                  	
                    238

                  
	
                    Section
                      11.13.

                  	
                    Conflicts.

                  	
                    239

                  
	
                    Section
                      11.14.

                  	
                    Counterparts.

                  	
                    239

                  
	
                    Section
                      11.15.

                  	
                    Transfer
                      of Servicing.

                  	
                    239

                  

          

        

        
 

      

    

    
      
        
        

      

      
        iv

        
          

        

      

      
        
        

      

    

     

    

    ATTACHMENTS

    

    
      	
              Exhibit
                A

            	
              Forms
                of Certificates

            
	
              Exhibit
                B-1

            	
              Form
                of Initial Certification

            
	
              Exhibit
                B-2

            	
              Form
                of Interim Certification

            
	
              Exhibit
                B-3

            	
              Form
                of Final Certification

            
	
              Exhibit
                B-4

            	
              Form
                of Endorsement

            
	
              Exhibit
                C

            	
              Request
                for Release of Documents and Receipt

            
	
              Exhibit
                D-l

            	
              Form
                of Residual Certificate Transfer Affidavit (Transferee)

            
	
              Exhibit
                D-2

            	
              Form
                of Residual Certificate Transfer Affidavit (Transferor)

            
	
              Exhibit
                E

            	
              List
                of Servicing Agreements

            
	
              Exhibit
                F

            	
              Form
                of Rule 144A Transfer Certificate

            
	
              Exhibit
                G

            	
              Form
                of Purchaser’s Letter for Institutional Accredited
                Investors

            
	
              Exhibit
                H

            	
              Form
                of ERISA Transfer Affidavit

            
	
              Exhibit
                I

            	
              [Reserved]

            
	
              Exhibit
                J

            	
              [Reserved]

            
	
              Exhibit
                K

            	
              List
                of Custodial Agreements

            
	
              Exhibit
                L

            	
              [Reserved]

            
	
              Exhibit
                M

            	
              Form
                of Back-up Certification to be Provided by the Trustee to the Depositor
                

            
	
              Exhibit
                N-1

            	
              Group
                1 Swap Agreement

            
	
              Exhibit
                N-2

            	
              Group
                1 Cap Agreement

            
	
              Exhibit
                N-3

            	
              Group
                2 Swap Agreement

            
	
              Exhibit
                N-4

            	
              Group
                2 Cap Agreement

            
	
              Exhibit
                O

            	
              Servicing
                Criteria to be Addressed in Report on Assessment of
                Compliance

            
	
              Exhibit
                P

            	
              Transaction
                Parties

            
	
              Exhibit
                Q

            	
              Additional
                Form 10-D Disclosure

            
	
              Exhibit
                R

            	
              Additional
                Form 10-K Disclosure

            
	
              Exhibit
                S

            	
              Additional
                Form 8-K Disclosure

            
	 	 
	
              Schedule
                A

            	
              Mortgage
                Loan Schedule (by Mortgage Pool)

            
	
              Schedule
                B

            	
              First
                Payment Default Mortgage Loans

            
	 	 
	
              Annex
                5A.02

            	
              Distributions
                from the Certificate Account to the Group 1
                Certificates

            
	
              Annex
                5B.02

            	
              Distributions
                from the Certificate Account to the Group 2
                Certificates

            
	
              Annex
                5C.02

            	
              Distributions
                from the Certificate Account to the Group 3
                Certificates

            
	
              Annex
                5D.02

            	
              Distributions
                from the Certificate Account to the Group 4
                Certificates

            

    

    

     

    

    
      
        
          
          

        

        
          v

          
            

          

        

        
          
          

        

      

    

    

    This
      TRUST AGREEMENT (“Trust Agreement”), dated as of February 1, 2007 (the
“Agreement”), is by and among STRUCTURED ASSET SECURITIES CORPORATION, a
      Delaware corporation, as depositor (the “Depositor”), AURORA LOAN SERVICES LLC,
      as master servicer (the “Master Servicer”), and LASALLE BANK NATIONAL
      ASSOCIATION, a national banking association, as trustee (the
“Trustee”).

    

    PRELIMINARY
      STATEMENT

    

    The
      Depositor has acquired the Mortgage Loans from the Seller, and at the Closing
      Date is the owner of the Mortgage Loans and the other property being conveyed
      by
      it to the Trustee hereunder for inclusion in the Trust Fund. On the Closing
      Date, the Depositor will acquire the Certificates from the Trust Fund as
      consideration for its transfer to the Trust Fund of the Mortgage Loans and
      the
      other property constituting the Trust Fund. The Depositor has duly authorized
      the execution and delivery of this Agreement to provide for the conveyance
      to
      the Trustee of the Mortgage Loans and the other property constituting the Trust
      Fund. All covenants and agreements made by the Seller in the Mortgage Loan
      Sale
      Agreement and by the Depositor, the Master Servicer and the Trustee herein
      with
      respect to the Mortgage Loans and the other property constituting the Trust
      Fund
      are for the benefit of the Holders from time to time of the Certificates and
      the
      Certificate Insurer, and to the extent provided herein, the Swap Counterparty.
      The Depositor, the Trustee and the Master Servicer are entering into this
      Agreement, and the Trustee is accepting the Trust Fund created hereby, for
      good
      and valuable consideration, the receipt and sufficiency of which are hereby
      acknowledged.

     

    As
      provided herein, the Trustee shall elect that the Trust Fund (exclusive of
      (i)
      the Pool 1A-1B Basis Risk Reserve Fund, (ii) the Pool 2 Basis Risk Reserve
      Fund,
      (iii) the Pool 3A-3B Basis Risk Reserve Fund, (iv) the Group 1 Swap Agreement,
      (v) the Group 1 Swap Account, (vi) the Group 2 Swap Agreement, (vii) the Group
      2
      Swap Account, (viii) the Supplemental Interest Trust, (ix) the Group 1 Cap
      Agreement, (x) the Group 1 Cap Account, (xi) the Group 2 Cap Agreement, (xii)
      the Group 2 Cap Account, (xiii) the obligation to pay Class I Shortfalls, (ix)
      the rights to receive (and the obligation to pay) Basis Risk Shortfalls and
      Unpaid Basis Risk Shortfalls, (xv) the right to receive FPD Premiums and (xvi)
      the Collateral Account (collectively, the “Excluded Trust Assets”) be treated
      for federal income tax purposes as comprising fifteen real estate mortgage
      investment conduits (each, a “REMIC”) in four tiered structures. Specifically,
      Pooling REMIC 1, Lower-Tier REMIC 1, Middle-Tier REMIC 1, and Upper-Tier REMIC
      1
      shall relate to Pool 1A and Pool 1B; Pooling REMIC 2, Lower-Tier REMIC 2,
      Middle-Tier REMIC 2, and Upper-Tier REMIC 2 shall relate to Pool 2; Pooling
      REMIC 3, Lower-Tier REMIC 3, and Upper-Tier REMIC 3 shall relate to Pool 3A
      and
      Pool 3B; and Pooling REMIC 4, Lower-Tier REMIC 4, Middle-Tier REMIC 4, and
      Upper-Tier REMIC 4 shall relate to Pool 4A and Pool 4B. 

     

    Pooling
      REMIC 1 shall hold the assets of the Trust Fund related to Pool 1A and Pool
      1B,
      other than any Excluded Trust Assets, and shall issue several uncertificated
      interests and shall also issue the Class 1-LT-R Certificate, which is hereby
      designated as the sole residual interest in Pooling REMIC 1. Each uncertificated
      interest in Pooling REMIC 1 is hereby designated as a REMIC regular interest.
      

     

    Lower-Tier
      REMIC 1 shall hold the uncertificated interests issued by Pooling REMIC 1 and
      shall issue several uncertificated interests. Each such interest, other than
      the
      LT1-R Interest, is hereby designated as a REMIC regular interest. The LT1-R
      Interest is hereby designated as the sole residual interest in Lower-Tier REMIC
      1.

     

    

    
      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    

     

    Middle-Tier
      REMIC 1 shall hold the uncertificated interests issued by Lower-Tier REMIC
      1,
      other than the LT1-R Interest, and shall issue several uncertificated interests.
      Each such interest, other than the Class MT1-R Interest, is hereby designated
      as
      a REMIC regular interest. The Class MT1-R Interest is hereby designated as
      the
      sole residual interest in Middle-Tier REMIC 1.

     

    Upper-Tier
      REMIC 1 shall hold the uncertificated interests issued by Middle-Tier REMIC
      1,
      other than the Class MT1-R Interest. Each of the Offered Certificates related
      to
      Pool 1A and Pool 1B represent ownership of regular interests in Upper-Tier
      REMIC
      1. Each of the Offered Certificates related to Pool 1A and Pool 1B also
      represents (i) the right to receive Basis Risk Shortfalls or Unpaid Basis Risk
      Shortfalls and (ii) the obligation to pay Class I Shortfalls. For federal income
      tax purposes, the Class 1-XS Component of the Class 1-X Certificates represents
      ownership of regular interests in Upper-Tier REMIC 1 and also represent the
      obligation to make payments in respect of Basis Risk Shortfalls or Unpaid Basis
      Risk Shortfalls to the Offered Certificates related to Pool 1A and Pool 1B
      to
      the extent payable from Pool 1A-1B Monthly Excess Cashflow. The Class 1-CX
      and
      Class 1-SX Components of the Class 1-X Certificates shall not represent an
      interest in any REMIC formed hereby. The Class 1-P Certificates represent
      ownership of regular interests in Upper-Tier REMIC 1. The Class 1-R Certificate
      represents ownership of the sole class of residual interest in Upper-Tier REMIC
      1 as well as ownership of the LT1-R and Class MT1-R Interests.

     

    Pooling
      REMIC 2 shall hold the assets of the Trust Fund related to Pool 2, other than
      any Excluded Trust Assets, and shall issue several uncertificated interests
      and
      shall also issue the Class 2-LT-R Certificate, which is hereby designated as
      the
      sole residual interest in Pooling REMIC 2. Each uncertificated interest in
      Pooling REMIC 2 is hereby designated as a REMIC regular interest. 

     

    Lower-Tier
      REMIC 2 shall hold the uncertificated interests issued by Pooling REMIC 2 and
      shall issue several uncertificated interests. Each such interest, other than
      the
      LT2-R Interest, is hereby designated as a REMIC regular interest. The LT2-R
      Interest is hereby designated as the sole residual interest in Lower-Tier REMIC
      2.

     

    Middle-Tier
      REMIC 2 shall hold the uncertificated interests issued by Lower-Tier REMIC
      2,
      other than the LT2-R Interest, and shall issue several uncertificated interests.
      Each such interest, other than the Class MT2-R Interest, is hereby designated
      as
      a REMIC regular interest. The Class MT2-R Interest is hereby designated as
      the
      sole residual interest in Middle-Tier REMIC 2.

     

    Upper-Tier
      REMIC 2 shall hold the uncertificated interests issued by Middle-Tier REMIC
      2,
      other than the Class MT2-R Interest. Each of the Offered Certificates related
      to
      Pool 2 represent ownership of regular interests in Upper-Tier REMIC 2. Each
      of
      the Offered Certificates related to Pool 2 also represents (i) the right to
      receive Basis Risk Shortfalls or Unpaid Basis Risk Shortfalls and (ii) the
      obligation to pay Class I Shortfalls. For federal income tax purposes, the
      Class
      2-XS Component of the Class 2-X Certificates represents ownership of regular
      interests in Upper-Tier REMIC 2 and also represent the obligation to make
      payments in respect of Basis Risk Shortfalls or Unpaid Basis Risk Shortfalls
      to
      the Offered Certificates related to Pool 2 to the extent payable from Pool
      2
      Monthly Excess Cashflow. The Class 2-CX and Class 2-SX Components of the Class
      2-X Certificates shall not represent an interest in any REMIC formed hereby.
      The
      Class 2-P Certificates represent ownership of regular interests in Upper-Tier
      REMIC 2. The Class 2-R Certificate represents ownership of the sole class of
      residual interest in Upper-Tier REMIC 2 as well as ownership of the LT2-R and
      Class MT2-R Interests.

     

    

    
      
        
          
          

        

        
          2

          
            

          

        

        
          
          

        

      

    

    

    

     

    Pooling
      REMIC 3 shall hold the assets of the Trust Fund related to Pool 3A and Pool
      3B,
      other than any Excluded Trust Assets, and shall issue several uncertificated
      interests and shall also issue the Class 3-LT-R Certificate, which is hereby
      designated as the sole residual interest in Pooling REMIC 3. Each uncertificated
      interest in Pooling REMIC 3 is hereby designated as a REMIC regular interest.
      

     

    Lower-Tier
      REMIC 3 shall hold the uncertificated interests issued by Pooling REMIC 3 and
      shall issue several uncertificated interests. Each such interest, other than
      the
      LT3-R Interest, is hereby designated as a REMIC regular interest. The LT3-R
      Interest is hereby designated as the sole residual interest in Lower-Tier REMIC
      3.

     

    Upper-Tier
      REMIC 3 shall hold the uncertificated interests issued by Lower-Tier REMIC
      3,
      other than the Class LT3-R Interest. Each of the Offered Certificates related
      to
      Pool 3A and Pool 3B represent ownership of regular interests in Upper-Tier
      REMIC
      3. Each of the Offered Certificates related to Pool 3A and Pool 3B also
      represents the right to receive Basis Risk Shortfalls or Unpaid Basis Risk
      Shortfalls. For federal income tax purposes, the Class 3-X Certificates
      represent ownership of regular interests in Upper-Tier REMIC 3 and also
      represent the obligation to make payments in respect of Basis Risk Shortfalls
      or
      Unpaid Basis Risk Shortfalls to the Offered Certificates related to Pool 3A
      and
      Pool 3B to the extent payable from Pool 3A-3B Monthly Excess Cashflow. The
      Class
      3-R Certificate represents ownership of the sole class of residual interest
      in
      Upper-Tier REMIC 3 as well as ownership of the LT3-R Interest.

     

    Pooling
      REMIC 4 shall hold the assets of the Trust Fund related to Pool 4A and Pool
      4B,
      other than any Excluded Trust Assets, and shall issue several uncertificated
      interests and shall also issue the Class 4-LT-R Certificate, which is hereby
      designated as the sole residual interest in Pooling REMIC 4. Each uncertificated
      interest in Pooling REMIC 4 is hereby designated as a REMIC regular interest.
      

     

    Lower-Tier
      REMIC 4 shall hold the uncertificated interests issued by Pooling REMIC 4 and
      shall issue several uncertificated interests. Each such interest, other than
      the
      LT4-R Interest, is hereby designated as a REMIC regular interest. The LT4-R
      Interest is hereby designated as the sole residual interest in Lower-Tier REMIC
      4.

     

    Middle-Tier
      REMIC 4 shall hold the uncertificated interests issued by Lower-Tier REMIC
      4,
      other than the LT4-R Interest, and shall issue several uncertificated interests.
      Each such interest, other than the Class MT4-R Interest, is hereby designated
      as
      a REMIC regular interest. The Class MT4-R Interest is hereby designated as
      the
      sole residual interest in Middle-Tier REMIC 4.

     

    

    
      
        
          
          

        

        
          3

          
            

          

        

        
          
          

        

      

    

    

    

     

    Upper-Tier
      REMIC 4 shall hold the uncertificated interests issued by Lower-Tier REMIC
      4,
      other than the Class LT4-R Interest. Each of the Offered Certificates related
      to
      Pool 4A and Pool 4B represent ownership of regular interests in Upper-Tier
      REMIC
      4. Each of the Offered Certificates related to Pool 4A and Pool 4B also
      represents the right to receive Basis Risk Shortfalls or Unpaid Basis Risk
      Shortfalls. For federal income tax purposes, the Class 4-X Certificates
      represent ownership of regular interests in Upper-Tier REMIC 4 and also
      represent the obligation to make payments in respect of Basis Risk Shortfalls
      or
      Unpaid Basis Risk Shortfalls to the Offered Certificates related to Pool 4A
      and
      Pool 4B to the extent payable from Pool 4A-4B Monthly Excess Cashflow. The
      Class
      4-R Certificate represents ownership of the sole class of residual interest
      in
      Upper-Tier REMIC 4 as well as ownership of the LT4-R Interest.

     

    Pooling
      REMIC 1

     

    Pooling
      REMIC 1 shall issue one uncertificated interest in respect of each Pool 1A
      and
      Pool 1B Mortgage Loan held by the Trust on the Closing Date, each of which
      is
      hereby designated as a regular interest in Pooling REMIC 1 (the “Pooling REMIC 1
      Regular Interests”). Pooling REMIC 1 shall also issue the Class 1-LT-R
      Certificate, which shall represent the sole class of residual interest in
      Pooling REMIC 1. Each Pooling REMIC 1 Regular Interest shall have an initial
      principal balance equal to the Scheduled Principal Balance of the Mortgage
      Loan
      to which it relates and shall bear interest at a per annum rate equal to the
      Net
      Mortgage Rate of such Mortgage Loan. In the event a Qualified Substitute
      Mortgage Loan is substituted for such Mortgage Loan (the “Original Mortgage
      Loan”), no amount of interest payable on such Qualified Mortgage Loan shall be
      distributed on such Pooling REMIC 1 Regular Interest at a rate in excess of
      the
      Net Mortgage Rate of the Original Mortgage Loan.

     

    On
      each
      Distribution Date, the Trustee shall first pay or charge as an expense of
      Pooling REMIC 1 all expenses of the Trust Fund related to Pool 1A and Pool
      1B
      (other than any expenses with respect to the Group 1 Swap Agreement) that are
      deducted in computing the Interest Remittance Amount for such Distribution
      Date.

     

    On
      each
      Distribution Date the Trustee shall distribute the aggregate Interest Remittance
      Amount (net of expenses described in the preceding paragraph) with respect
      to
      each of the Lower-Tier Interests in Pooling REMIC 1 based on the above-described
      interest rates.

     

    On
      each
      Distribution Date, the Trustee shall distribute the aggregate Principal
      Remittance Amount among the Pooling REMIC 1 Regular Interests in accordance
      with
      the amount of the Principal Remittance Amount attributable to the Mortgage
      Loan
      corresponding to each such Pooling REMIC 1 Regular Interest. All losses on
      the
      Mortgage Loans shall be allocated among the Pooling REMIC 1 Regular Interest
      in
      the same manner that principal distributions are allocated.

     

    On
      each
      Distribution Date, the Trustee shall distribute the Prepayment Premiums related
      to Pool 1A and Pool 1B collected during the preceding Prepayment Period, in
      the
      case of Principal Prepayments in full, or during the related Collection Period,
      in the case of Principal Prepayments in part, to the Pooling REMIC 1 Regular
      Interest corresponding to the Mortgage Loan with respect to which such amounts
      were received.

     

    

    
      
        
          
          

        

        
          4

          
            

          

        

        
          
          

        

      

    

    

    

     

    Lower-Tier
      REMIC 1

     

    The
      following table sets forth (or describes) the designation, interest rate, and
      initial principal balance for each interest in Lower-Tier REMIC 1, each of
      which, other than the LT1-R Lower-Tier Interest) is hereby designated as a
      regular interest in Lower-Tier REMIC 1 (the “Lower-Tier REMIC 1 Regular
      Interests”):

     

    

      
        	
                Designation

              	 	
                Initial
                  Principal Balance

              	 	
                 

                Interest
                  Rate

              	 
	
                LT1-A

              	 	
                $

              	
                153,799,760.96

              	 	 	
                (1)

              	 
	
                LT1-F1

              	 	
                $

              	
                6,608,982.50

              	 	 	
                (2)

              	 
	
                LT1-V1

              	 	
                $

              	
                6,608,982.50

              	 	 	
                (3)

              	 
	
                LT1-F2

              	 	
                $

              	
                6,287,267.50

              	 	 	
                (2)

              	 
	
                LT1-V2

              	 	
                $

              	
                6,287,267.50

              	 	 	
                (3)

              	 
	
                LT1-F3

              	 	
                $

              	
                5,981,209.50

              	 	 	
                (2)

              	 
	
                LT1-V3

              	 	
                $

              	
                5,981,209.50

              	 	 	
                (3)

              	 
	
                LT1-F4

              	 	
                $

              	
                5,690,046.50

              	 	 	
                (2)

              	 
	
                LT1-V4

              	 	
                $

              	
                5,690,046.50

              	 	 	
                (3)

              	 
	
                LT1-F5

              	 	
                $

              	
                5,413,054.00

              	 	 	
                (2)

              	 
	
                LT1-V5

              	 	
                $

              	
                5,413,054.00

              	 	 	
                (3)

              	 
	
                LT1-F6

              	 	
                $

              	
                5,149,543.00

              	 	 	
                (2)

              	 
	
                LT1-V6

              	 	
                $

              	
                5,149,543.00

              	 	 	
                (3)

              	 
	
                LT1-F7

              	 	
                $

              	
                4,898,857.00

              	 	 	
                (2)

              	 
	
                LT1-V7

              	 	
                $

              	
                4,898,857.00

              	 	 	
                (3)

              	 
	
                LT1-F8

              	 	
                $

              	
                4,660,371.00

              	 	 	
                (2)

              	 
	
                LT1-V8

              	 	
                $

              	
                4,660,371.00

              	 	 	
                (3)

              	 
	
                LT1-F9

              	 	
                $

              	
                4,433,493.50

              	 	 	
                (2)

              	 
	
                LT1-V9

              	 	
                $

              	
                4,433,493.50

              	 	 	
                (3)

              	 
	
                LT1-F10

              	 	
                $

              	
                4,217,657.50

              	 	 	
                (2)

              	 
	
                LT1-V10

              	 	
                $

              	
                4,217,657.50

              	 	 	
                (3)

              	 
	
                LT1-F11

              	 	
                $

              	
                4,012,327.00

              	 	 	
                (2)

              	 
	
                LT1-V11

              	 	
                $

              	
                4,012,327.00

              	 	 	
                (3)

              	 
	
                LT1-F12

              	 	
                $

              	
                3,816,990.00

              	 	 	
                (2)

              	 
	
                LT1-V12

              	 	
                $

              	
                3,816,990.00

              	 	 	
                (3)

              	 
	
                LT1-F13

              	 	
                $

              	
                3,631,160.50

              	 	 	
                (2)

              	 
	
                LT1-V13

              	 	
                $

              	
                3,631,160.50

              	 	 	
                (3)

              	 
	
                LT1-F14

              	 	
                $

              	
                3,454,376.50

              	 	 	
                (2)

              	 
	
                LT1-V14

              	 	
                $

              	
                3,454,376.50

              	 	 	
                (3)

              	 
	
                LT1-F15

              	 	
                $

              	
                3,286,197.00

              	 	 	
                (2)

              	 
	
                LT1-V15

              	 	
                $

              	
                3,286,197.00

              	 	 	
                (3)

              	 
	
                LT1-F16

              	 	
                $

              	
                3,126,203.00

              	 	 	
                (2)

              	 
	
                LT1-V16

              	 	
                $

              	
                3,126,203.00

              	 	 	
                (3)

              	 
	
                LT1-F17

              	 	
                $

              	
                3,112,578.00

              	 	 	
                (2)

              	 
	
                LT1-V17

              	 	
                $

              	
                3,112,578.00

              	 	 	
                (3)

              	 
	
                LT1-F18

              	 	
                $

              	
                2,822,465.00

              	 	 	
                (2)

              	 
	
                LT1-V18

              	 	
                $

              	
                2,822,465.00

              	 	 	
                (3)

              	 
	
                LT1-F19

              	 	
                $

              	
                2,685,043.00

              	 	 	
                (2)

              	 

      

      
        
          
          

        

        
          5

          
            

          

        

        
          
          

        

      

      

      
        	
                Designation

              	 	
                Initial
                  Principal Balance

              	 	
                 

                Interest
                  Rate

              	 
	
                LT1-V19

              	 	
                $

              	
                2,685,043.00

              	 	 	
                (3)

              	 
	
                LT1-F20

              	 	
                $

              	
                2,734,755.00

              	 	 	
                (2)

              	 
	
                LT1-V20

              	 	
                $

              	
                2,734,755.00

              	 	 	
                (3)

              	 
	
                LT1-F21

              	 	
                $

              	
                2,499,707.50

              	 	 	
                (2)

              	 
	
                LT1-V21

              	 	
                $

              	
                2,499,707.50

              	 	 	
                (3)

              	 
	
                LT1-F22

              	 	
                $

              	
                2,334,628.00

              	 	 	
                (2)

              	 
	
                LT1-V22

              	 	
                $

              	
                2,334,628.00

              	 	 	
                (3)

              	 
	
                LT1-F23

              	 	
                $

              	
                2,185,766.00

              	 	 	
                (2)

              	 
	
                LT1-V23

              	 	
                $

              	
                2,185,766.00

              	 	 	
                (3)

              	 
	
                LT1-F24

              	 	
                $

              	
                2,079,336.50

              	 	 	
                (2)

              	 
	
                LT1-V24

              	 	
                $

              	
                2,079,336.50

              	 	 	
                (3)

              	 
	
                LT1-F25

              	 	
                $

              	
                1,978,089.00

              	 	 	
                (2)

              	 
	
                LT1-V25

              	 	
                $

              	
                1,978,089.00

              	 	 	
                (3)

              	 
	
                LT1-F26

              	 	
                $

              	
                1,881,769.50

              	 	 	
                (2)

              	 
	
                LT1-V26

              	 	
                $

              	
                1,881,769.50

              	 	 	
                (3)

              	 
	
                LT1-F27

              	 	
                $

              	
                1,790,139.00

              	 	 	
                (2)

              	 
	
                LT1-V27

              	 	
                $

              	
                1,790,139.00

              	 	 	
                (3)

              	 
	
                LT1-F28

              	 	
                $

              	
                1,702,969.00

              	 	 	
                (2)

              	 
	
                LT1-V28

              	 	
                $

              	
                1,702,969.00

              	 	 	
                (3)

              	 
	
                LT1-F29

              	 	
                $

              	
                1,620,043.00

              	 	 	
                (2)

              	 
	
                LT1-V29

              	 	
                $

              	
                1,620,043.00

              	 	 	
                (3)

              	 
	
                LT1-F30

              	 	
                $

              	
                1,541,154.00

              	 	 	
                (2)

              	 
	
                LT1-V30

              	 	
                $

              	
                1,541,154.00

              	 	 	
                (3)

              	 
	
                LT1-F31

              	 	
                $

              	
                1,466,105.00

              	 	 	
                (2)

              	 
	
                LT1-V31

              	 	
                $

              	
                1,466,105.00

              	 	 	
                (3)

              	 
	
                LT1-F32

              	 	
                $

              	
                1,546,290.00

              	 	 	
                (2)

              	 
	
                LT1-V32

              	 	
                $

              	
                1,546,290.00

              	 	 	
                (3)

              	 
	
                LT1-F33

              	 	
                $

              	
                5,529,332.00

              	 	 	
                (2)

              	 
	
                LT1-V33

              	 	
                $

              	
                5,529,332.00

              	 	 	
                (3)

              	 
	
                LT1-F34

              	 	
                $

              	
                1,207,513.50

              	 	 	
                (2)

              	 
	
                LT1-V34

              	 	
                $

              	
                1,207,513.50

              	 	 	
                (3)

              	 
	
                LT1-F35

              	 	
                $

              	
                5,804,800.50

              	 	 	
                (2)

              	 
	
                LT1-V35

              	 	
                $

              	
                5,804,800.50

              	 	 	
                (3)

              	 
	
                LT1-F36

              	 	
                $

              	
                817,803.00

              	 	 	
                (2)

              	 
	
                LT1-V36

              	 	
                $

              	
                817,803.00

              	 	 	
                (3)

              	 
	
                LT1-F37

              	 	
                $

              	
                771,825.00

              	 	 	
                (2)

              	 
	
                LT1-V37

              	 	
                $

              	
                771,825.00

              	 	 	
                (3)

              	 
	
                LT1-F38

              	 	
                $

              	
                728,431.50

              	 	 	
                (2)

              	 
	
                LT1-V38

              	 	
                $

              	
                728,431.50

              	 	 	
                (3)

              	 
	
                LT1-F39

              	 	
                $

              	
                687,477.50

              	 	 	
                (2)

              	 
	
                LT1-V39

              	 	
                $

              	
                687,477.50

              	 	 	
                (3)

              	 
	
                LT1-F40

              	 	
                $

              	
                648,825.50

              	 	 	
                (2)

              	 
	
                LT1-V40

              	 	
                $

              	
                648,825.50

              	 	 	
                (3)

              	 
	
                LT1-F41

              	 	
                $

              	
                612,346.00

              	 	 	
                (2)

              	 
	
                LT1-V41

              	 	
                $

              	
                612,346.00

              	 	 	
                (3)

              	 

      

      
        
          
          

        

        
          6

          
            

          

        

        
          
          

        

      

      

      
        	
                Designation

              	 	
                Initial
                  Principal Balance

              	 	
                 

                Interest
                  Rate

              	 
	
                LT1-F42

              	 	
                $

              	
                577,917.50

              	 	 	
                (2)

              	 
	
                LT1-V42

              	 	
                $

              	
                577,917.50

              	 	 	
                (3)

              	 
	
                LT1-F43

              	 	
                $

              	
                545,424.00

              	 	 	
                (2)

              	 
	
                LT1-V43

              	 	
                $

              	
                545,424.00

              	 	 	
                (3)

              	 
	
                LT1-F44

              	 	
                $

              	
                514,757.50

              	 	 	
                (2)

              	 
	
                LT1-V44

              	 	
                $

              	
                514,757.50

              	 	 	
                (3)

              	 
	
                LT1-F45

              	 	
                $

              	
                485,814.00

              	 	 	
                (2)

              	 
	
                LT1-V45

              	 	
                $

              	
                485,814.00

              	 	 	
                (3)

              	 
	
                LT1-F46

              	 	
                $

              	
                458,498.50

              	 	 	
                (2)

              	 
	
                LT1-V46

              	 	
                $

              	
                458,498.50

              	 	 	
                (3)

              	 
	
                LT1-F47

              	 	
                $

              	
                432,718.00

              	 	 	
                (2)

              	 
	
                LT1-V47

              	 	
                $

              	
                432,718.00

              	 	 	
                (3)

              	 
	
                LT1-F48

              	 	
                $

              	
                408,386.50

              	 	 	
                (2)

              	 
	
                LT1-V48

              	 	
                $

              	
                408,386.50

              	 	 	
                (3)

              	 
	
                LT1-F49

              	 	
                $

              	
                385,423.50

              	 	 	
                (2)

              	 
	
                LT1-V49

              	 	
                $

              	
                385,423.50

              	 	 	
                (3)

              	 
	
                LT1-F50

              	 	
                $

              	
                363,751.50

              	 	 	
                (2)

              	 
	
                LT1-V50

              	 	
                $

              	
                363,751.50

              	 	 	
                (3)

              	 
	
                LT1-F51

              	 	
                $

              	
                343,297.00

              	 	 	
                (2)

              	 
	
                LT1-V51

              	 	
                $

              	
                343,297.00

              	 	 	
                (3)

              	 
	
                LT1-F52

              	 	
                $

              	
                323,993.50

              	 	 	
                (2)

              	 
	
                LT1-V52

              	 	
                $

              	
                323,993.50

              	 	 	
                (3)

              	 
	
                LT1-F53

              	 	
                $

              	
                305,774.00

              	 	 	
                (2)

              	 
	
                LT1-V53

              	 	
                $

              	
                305,774.00

              	 	 	
                (3)

              	 
	
                LT1-F54

              	 	
                $

              	
                291,629.00

              	 	 	
                (2)

              	 
	
                LT1-V54

              	 	
                $

              	
                291,629.00

              	 	 	
                (3)

              	 
	
                LT1-F55

              	 	
                $

              	
                300,664.00

              	 	 	
                (2)

              	 
	
                LT1-V55

              	 	
                $

              	
                300,664.00

              	 	 	
                (3)

              	 
	
                LT1-F56

              	 	
                $

              	
                2,301,651.00

              	 	 	
                (2)

              	 
	
                LT1-V56

              	 	
                $

              	
                2,301,651.00

              	 	 	
                (3)

              	 
	
                LT1-F57

              	 	
                $

              	
                1,750,565.50

              	 	 	
                (2)

              	 
	
                LT1-V57

              	 	
                $

              	
                1,750,565.50

              	 	 	
                (3)

              	 
	
                LT1-F58

              	 	
                $

              	
                91,247.50

              	 	 	
                (2)

              	 
	
                LT1-V58

              	 	
                $

              	
                91,247.50

              	 	 	
                (3)

              	 
	
                LT1-F59

              	 	
                $

              	
                394,741.50

              	 	 	
                (2)

              	 
	
                LT1-V59

              	 	
                $

              	
                394,741.50

              	 	 	
                (3)

              	 
	
                LT1-R

              	 	 	
                (4)

              	 	 	
                (4)

              	 

      

    

    

    
      	
              (1)

            	
              For
                any Distribution Date (and the related Accrual Period) the interest
                rate
                for the LT1-A Interest shall be a per annum rate equal to the weighted
                average of the Net Mortgage Rates of the Pool 1A and Pool 1B Mortgage
                Loans as of the first day of the related Collection Period (not including
                for this purpose Mortgage Loans for which prepayments in full have
                been
                received and distributed in the month prior to that Distribution
                Date (the
                “Pool 1A-1B REMIC Net WAC Rate”). 

            

    

     

    

    
      
        
          
          

        

        
          7

          
            

          

        

        
          
          

        

      

    

    

    

     

    
      	
              (2)

            	
              For
                any Distribution Date (and the related Accrual Period) the interest
                rate
                for each of these Lower-Tier Interests shall be the lesser of (i)
                the
                REMIC Swap Rate for Pool 1 for such Distribution Date, and (ii) the
                product of (a) the Pool 1A-1B REMIC Net WAC Rate and (b)
                2.

            

    

     

    
      	
              (3)

            	
              For
                any Distribution Date (and the related Accrual Period) the interest
                rate
                for each of these Lower-Tier Interests shall be the excess, if any,
                of (i)
                the product of (a) the Pool 1A-1B REMIC Net WAC Rate and (b) 2, over
                (ii)
                the REMIC Swap Rate for Pool 1 for such Distribution
                Date.

            

    

     

    
      	
              (4)

            	
              The
                LT1-R interest shall not have a principal amount and shall not bear
                interest. The LT1-R interest is hereby designated as the sole class
                of
                residual interest in Lower-Tier REMIC
                1.

            

    

     

    On
      each
      Distribution Date, the Trustee shall distribute the aggregate Interest
      Remittance Amount for Pool 1A and Pool 1B (net of expenses described under
      Pooling REMIC 1) with respect to each of the Lower-Tier Interests in Lower-Tier
      REMIC 1 based on the above-described interest rates.

     

    On
      each
      Distribution Date, the Trustee shall distribute the aggregate Principal
      Remittance Amount with respect to the Lower-Tier REMIC 1 Interests, first to
      the
      LT1-A Interest until its principal balance is reduced to zero, and then
      sequentially, to the other Lower-Tier Interests in Lower-Tier REMIC 1 in
      ascending order of their numerical designation, and, with respect to each pair
      of Lower-Tier Interests having the same numerical designation, in equal amounts
      to each such Lower-Tier Interest, until the principal balance of each is reduced
      to zero. All losses on the Pool 1A and Pool 1B Mortgage Loans shall be allocated
      among the Lower-Tier Interests in Lower-Tier REMIC 1 in the same manner that
      principal distributions are allocated.

     

    On
      each
      Distribution Date, the Trustee shall distribute the Prepayment Premiums related
      to Pool 1A and Pool 1B collected during the preceding Prepayment Period, in
      the
      case of Principal Prepayments in full, or during the related Collection Period,
      in the case of Principal Prepayments in part, to the LT1-F59 and LT1-V59
      Lower-Tier Interests, respectively.

     

    Middle-Tier
      REMIC 1:

     

    The
      following table sets forth the designations, principal balances and interest
      rates for each interest in Middle-Tier REMIC 1, each of which (other than the
      Class MT1-R Interest) is hereby designated as a regular interest in Middle-Tier
      REMIC 1 (the “Middle-Tier REMIC 1 Regular Interests”):

     

    
      	
              Middle-Tier
                

              REMIC
                1

              Designation

            	 	
              Middle-Tier
                REMIC 1

              Interest
                Rate

            	 	
              Initial
                Class 

              Principal
                Amount

            	 	
              Corresponding
                Class of Certificate(s) or Components

            	 
	
              MT1-1A-A1

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              1A-A1

            	
               

            
	
              MT1-1A-A2

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              1A-A2

            	
               

            
	
              MT1-1B-A1

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              1B-A1

            	
               

            
	
              MT1-1B-A2

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              1B-A2

            	
               

            
	
              MT1-1B-A3

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              1B-A3

            	
               

            
	
              MT1-1-M1

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              1-M1

            	
               

            
	
              MT1-1-M2

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              1-M2

            	
               

            
	
              MT1-1-M3

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              1-M3

            	
               

            
	
              MT1-1-M4

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              1-M4

            	 

    

    

    
      
        
          
          

        

        
          8

          
            

          

        

        
          
          

        

      

    

    

    

    
      	
              Middle-Tier
                

              REMIC
                1

              Designation

            	 	
              Middle-Tier
                REMIC 1

              Interest
                Rate

            	 	
              Initial
                Class 

              Principal
                Amount

            	 	
              Corresponding
                Class of Certificate(s) or Components

            	 
	
              MT1-1-M5

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              1-M5

            	
               

            
	
              MT1-1-M6

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              1-M6

            	
               

            
	
              MT1-1-M7

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              1-M7

            	
               

            
	
              MT1-1-M8

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              1-M8

            	
               

            
	
              MT1-Q

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              N/A

            	
               

            
	
              MT1-IO

            	
               

            	
               

            	
              (2)

            	
               

            	
               

            	
              (2)

            	
               

            	
               

            	
              N/A

            	
               

            
	
              MT1-R

            	
               

            	
               

            	
              (5)

            	
               

            	
               

            	
              (5)

            	
               

            	
               

            	
              R

            	
               

            

    

    ___________________________

    
      	
              (1)

            	
              For
                any Distribution Date (and the related Accrual Period) the interest
                rate
                for each of these Interests in Middle-Tier REMIC 1 is a per annum
                rate
                equal to the weighted average of the interest rates on the Lower-Tier
                Interests in Lower-Tier REMIC 1 for such Distribution Date other
                than any
                interest-only Lower-Tier Interest, provided,
                however, that
                for any Distribution Date on which the Class MT1-IO Interest is entitled
                to a portion of the interest accruals on a Lower-Tier Interest in
                Lower-Tier REMIC 1 having an “F” in its class designation, as described in
                footnote two below, such weighted average shall be computed by first
                subjecting the rate on such Lower-Tier Interest in REMIC 1 to a cap
                equal
                to Swap LIBOR for such Distribution Date.

            

    

     

    
      	
              (2)

            	
              The
                Class MT1-IO is an interest only class that does not have a principal
                balance. For only those Distribution Dates listed in the first column
                in
                the table below, the Class MT1-IO shall be entitled to interest accrued
                on
                the Lower-Tier Interest in Lower-Tier REMIC 1 listed in second column
                in
                the table below at a per annum rate equal to the excess, if any,
                of (i)
                the interest rate for such Lower-Tier Interest in Lower-Tier REMIC
                1 for
                such Distribution Date over (ii) Swap LIBOR for such Distribution
                Date.

            

    

     

    
      	
              Distribution
                Dates

            	 	
              Lower-Tier
                REMIC 

              1
                Designation

            	 
	
              2

            	
               

            	
               

            	
              LT1-F1

            	
               

            
	
              2-3

            	
               

            	
               

            	
              LT1-F2

            	
               

            
	
              2-4

            	
               

            	
               

            	
              LT1-F3

            	
               

            
	
              2-5

            	
               

            	
               

            	
              LT1-F4

            	
               

            
	
              2-6

            	
               

            	
               

            	
              LT1-F5

            	
               

            
	
              2-7

            	
               

            	
               

            	
              LT1-F6

            	
               

            
	
              2-8

            	
               

            	
               

            	
              LT1-F7

            	
               

            
	
              2-9

            	
               

            	
               

            	
              LT1-F8

            	
               

            
	
              2-10

            	
               

            	
               

            	
              LT1-F9

            	
               

            
	
              2-11

            	
               

            	
               

            	
              LT1-F10

            	
               

            
	
              2-12

            	
               

            	
               

            	
              LT1-F11

            	
               

            
	
              2-13

            	
               

            	
               

            	
              LT1-F12

            	
               

            
	
              2-14

            	
               

            	
               

            	
              LT1-F13

            	
               

            
	
              2-15

            	
               

            	
               

            	
              LT1-F14

            	
               

            
	
              2-16

            	
               

            	
               

            	
              LT1-F15

            	
               

            
	
              2-17

            	
               

            	
               

            	
              LT1-F16

            	
               

            
	
              2-18

            	
               

            	
               

            	
              LT1-F17

            	
               

            
	
              2-19

            	
               

            	
               

            	
              LT1-F18

            	
               

            
	
              2-20

            	
               

            	
               

            	
              LT1-F19

            	
               

            
	
              2-21

            	
               

            	
               

            	
              LT1-F20

            	
               

            
	
              2-22

            	
               

            	
               

            	
              LT1-F21

            	
               

            
	
              2-23

            	
               

            	
               

            	
              LT1-F22

            	
               

            
	
              2-24

            	
               

            	
               

            	
              LT1-F23

            	
               

            
	
              2-25

            	
               

            	
               

            	
              LT1-F24

            	
               

            
	
              2-26

            	
               

            	
               

            	
              LT1-F25

            	
               

            
	
              2-27

            	
               

            	
               

            	
              LT1-F26

            	 

    

    

    
      
        
          
          

        

        
          9

          
            

          

        

        
          
          

        

      

    

    

    

    
      	
              Distribution
                Dates

            	 	
              Lower-Tier
                REMIC 

              1
                Designation

            	 
	
              2-28

            	
               

            	
               

            	
              LT1-F27

            	
               

            
	
              2-29

            	
               

            	
               

            	
              LT1-F28

            	
               

            
	
              2-30

            	
               

            	
               

            	
              LT1-F29

            	
               

            
	
              2-31

            	
               

            	
               

            	
              LT1-F30

            	
               

            
	
              2-32

            	
               

            	
               

            	
              LT1-F31

            	
               

            
	
              2-33

            	
               

            	
               

            	
              LT1-F32

            	
               

            
	
              2-34

            	
               

            	
               

            	
              LT1-F33

            	
               

            
	
              2-35

            	
               

            	
               

            	
              LT1-F34

            	
               

            
	
              2-36

            	
               

            	
               

            	
              LT1-F35

            	
               

            
	
              2-37

            	
               

            	
               

            	
              LT1-F36

            	
               

            
	
              2-38

            	
               

            	
               

            	
              LT1-F37

            	
               

            
	
              2-39

            	
               

            	
               

            	
              LT1-F38

            	
               

            
	
              2-40

            	
               

            	
               

            	
              LT1-F39

            	
               

            
	
              2-41

            	
               

            	
               

            	
              LT1-F40

            	
               

            
	
              2-42

            	
               

            	
               

            	
              LT1-F41

            	
               

            
	
              2-43

            	
               

            	
               

            	
              LT1-F42

            	
               

            
	
              2-44

            	
               

            	
               

            	
              LT1-F43

            	
               

            
	
              2-45

            	
               

            	
               

            	
              LT1-F44

            	
               

            
	
              2-46

            	
               

            	
               

            	
              LT1-F45

            	
               

            
	
              2-47

            	
               

            	
               

            	
              LT1-F46

            	
               

            
	
              2-48

            	
               

            	
               

            	
              LT1-F47

            	
               

            
	
              2-49

            	
               

            	
               

            	
              LT1-F48

            	
               

            
	
              2-50

            	
               

            	
               

            	
              LT1-F49

            	
               

            
	
              2-51

            	
               

            	
               

            	
              LT1-F50

            	
               

            
	
              2-52

            	
               

            	
               

            	
              LT1-F51

            	
               

            
	
              2-53

            	
               

            	
               

            	
              LT1-F52

            	
               

            
	
              2-54

            	
               

            	
               

            	
              LT1-F53

            	
               

            
	
              2-55

            	
               

            	
               

            	
              LT1-F54

            	
               

            
	
              2-56

            	
               

            	
               

            	
              LT1-F55

            	
               

            
	
              2-57

            	
               

            	
               

            	
              LT1-F56

            	
               

            
	
              2-58

            	
               

            	
               

            	
              LT1-F57

            	
               

            
	
              2-59

            	
               

            	
               

            	
              LT1-F58

            	
               

            
	
              2-60

            	
               

            	
               

            	
              LT1-F59

            	 

    

    

    
      	
              (3)

            	
              This
                interest shall have an initial principal balance equal to one-half
                of the
                initial Class Principal Amount of its Corresponding Class of
                Certificates.

            

    

     

    
      	
              (4)

            	
              This
                interest shall have an initial principal balance equal to the excess
                of
                (i) the aggregate Pool Balance for Pool 1A and Pool 1B as of the
                Cut-off
                Date, over (ii) the aggregate initial class principal amount of each
                other
                regular interest in Middle-Tier REMIC
                1.

            

    

     

    
      	
              (5)

            	
              The
                Class MT1-R interest is the sole class of residual interests in
                Middle-Tier REMIC 1. It does not have an interest rate or a principal
                balance.

            

    

     

    
      On
        each
        Distribution Date, interest with respect to Pool 1A or Pool 1B shall be
        distributed on the Lower-Tier Interests in Middle-Tier REMIC 1 based on the
        above-described interest rates, provided,
        however,
        that
        interest that accrues on the Class MT1-Q Interest shall be deferred in an
        amount
        equal to one-half of the increase, if any, in the Overcollateralization Amount
        for such Distribution Date. Any interest so deferred shall itself bear interest
        at the interest rate for the Class MT1-Q Interest. An amount equal to the
        interest so deferred shall be distributed as additional principal on the
        other
        interests in Middle-Tier REMIC 1 having a principal balance in the manner
        described under priority (a) below.

    

    

    
      
        
          
          

        

        
          10

          
            

          

        

        
          
          

        

      

    

    

    

     

    

      On
        each
        Distribution Date principal with respect to Pool 1A or Pool 1B shall be
        distributed, and Realized Losses with respect to Pool 1A or Pool 1B shall
        be
        allocated, among the interests in Middle-Tier REMIC 1 in the following order
        of
        priority:

       

    

    (a)
       First,
      to
      the Class MT1-1A-A1, Class MT1-1A-A2, Class MT1-1B-A1, Class MT1-1B-A2, Class
      MT1-1B-A3, Class MT1-1-M1, Class MT1-1-M2, Class MT1-1-M3, Class MT1-1-M4,
      Class
      MT1-1-M5, Class MT1-1-M6, Class MT1-1-M7 and Class MT1-1-M8 Interests until
      the
      principal balance of each such interest equals one-half of the Class Principal
      Amount of the Corresponding Class of Certificates immediately after such
      Distribution Date; and

     

    (b)
       Second,
      to the Class MT1-Q Interests, any remaining amounts.

     

    On
      each
      Distribution Date, the Trustee shall be deemed to have distributed the
      Prepayment Premiums passed through with respect to the LT1-F59 and LT1-V59
      Lower-Tier Interests in Lower-Tier REMIC 1 on such Distribution Date to the
      Class MT1-Q Interest.

     

    Pooling
      REMIC 2

     

    Pooling
      REMIC 2 shall issue one uncertificated interest in respect of each Pool 2
      Mortgage Loan held by the Trust on the Closing Date, each of which is hereby
      designated as a regular interest in Pooling REMIC 2 (the “Pooling REMIC 2
      Regular Interests”). Pooling REMIC 2 shall also issue the Class 2-LT-R
      Certificate, which shall represent the sole class of residual interest in
      Pooling REMIC 2. Each Pooling REMIC 2 Regular Interest shall have an initial
      principal balance equal to the Scheduled Principal Balance of the Mortgage
      Loan
      to which it relates and shall bear interest at a per annum rate equal to the
      Net
      Mortgage Rate of such Mortgage Loan. In the event a Qualified Substitute
      Mortgage Loan is substituted for such Mortgage Loan (the “Original Mortgage
      Loan”), no amount of interest payable on such Qualified Mortgage Loan shall be
      distributed on such Pooling REMIC 2 Regular Interest at a rate in excess of
      the
      Net Mortgage Rate of the Original Mortgage Loan.

     

    On
      each
      Distribution Date, the Trustee shall first pay or charge as an expense of
      Pooling REMIC 2 all expenses of the Trust Fund related to Pool 2 (other than
      any
      expense with respect to the Group 2 Swap Agreement) that are deducted in
      computing the Interest Remittance Amount for such Distribution
      Date.

     

    On
      each
      Distribution Date the Trustee shall distribute the Interest Remittance Amount
      for Pool 2 with respect to each of the Lower-Tier Interests in Pooling REMIC
      2
      based on the above-described interest rates.

     

    On
      each
      Distribution Date, the Trustee shall distribute the Principal Remittance Amount
      for Pool 2 among the Pooling REMIC 2 Regular Interests in accordance with the
      amount of the Principal Remittance Amount attributable to the Mortgage Loan
      corresponding to each such Pooling REMIC 2 Regular Interest. All losses on
      the
      Mortgage Loans shall be allocated among the Pooling REMIC 2 Regular Interest
      in
      the same manner that principal distributions are allocated.

     

    

    
      
        
          
          

        

        
          11

          
            

          

        

        
          
          

        

      

    

    

    

     

    On
      each
      Distribution Date, the Trustee shall distribute the Prepayment Premiums related
      to Pool 2 collected during the preceding Prepayment Period, in the case of
      Principal Prepayments in full, or during the related Collection Period, in
      the
      case of Principal Prepayments in part, to the Pooling REMIC 2 Regular Interest
      corresponding to the Mortgage Loan with respect to which such amounts were
      received.

     

    Lower-Tier
      REMIC 2

    
      The
        following table sets forth (or describes) the designation, interest rate,
        and
        initial principal balance of each Lower-Tier Interest in Lower-Tier REMIC
        2,
        each of which, other than the LT2-R Lower Tier Interest) is hereby designated
        as
        a regular interest in Lower-Tier REMIC 2 (the “Lower-Tier REMIC 2 Regular
        Interests”).

       

    

    
      	
              Designation

            	 	
              Initial
                Principal Balance

            	 	
               

              Interest
                Rate

            	 
	
              LT2-A

            	 	
              $

            	
              14,380,818.37

            	 	 	
              (1)

            	 
	
              LT2-F1

            	 	
              $

            	
              6,943,723.50

            	 	 	
              (2)

            	 
	
              LT2-V1

            	 	
              $

            	
              6,943,723.50

            	 	 	
              (3)

            	 
	
              LT2-F2

            	 	
              $

            	
              6,697,838.50

            	 	 	
              (2)

            	 
	
              LT2-V2

            	 	
              $

            	
              6,697,838.50

            	 	 	
              (3)

            	 
	
              LT2-F3

            	 	
              $

            	
              6,460,655.00

            	 	 	
              (2)

            	 
	
              LT2-V3

            	 	
              $

            	
              6,460,655.00

            	 	 	
              (3)

            	 
	
              LT2-F4

            	 	
              $

            	
              6,469,202.00

            	 	 	
              (2)

            	 
	
              LT2-V4

            	 	
              $

            	
              6,469,202.00

            	 	 	
              (3)

            	 
	
              LT2-F5

            	 	
              $

            	
              6,002,801.00

            	 	 	
              (2)

            	 
	
              LT2-V5

            	 	
              $

            	
              6,002,801.00

            	 	 	
              (3)

            	 
	
              LT2-F6

            	 	
              $

            	
              5,790,212.00

            	 	 	
              (2)

            	 
	
              LT2-V6

            	 	
              $

            	
              5,790,212.00

            	 	 	
              (3)

            	 
	
              LT2-F7

            	 	
              $

            	
              5,585,146.50

            	 	 	
              (2)

            	 
	
              LT2-V7

            	 	
              $

            	
              5,585,146.50

            	 	 	
              (3)

            	 
	
              LT2-F8

            	 	
              $

            	
              5,387,337.50

            	 	 	
              (2)

            	 
	
              LT2-V8

            	 	
              $

            	
              5,387,337.50

            	 	 	
              (3)

            	 
	
              LT2-F9

            	 	
              $

            	
              5,196,529.50

            	 	 	
              (2)

            	 
	
              LT2-V9

            	 	
              $

            	
              5,196,529.50

            	 	 	
              (3)

            	 
	
              LT2-F10

            	 	
              $

            	
              5,012,475.00

            	 	 	
              (2)

            	 
	
              LT2-V10

            	 	
              $

            	
              5,012,475.00

            	 	 	
              (3)

            	 
	
              LT2-F11

            	 	
              $

            	
              14,953,360.00

            	 	 	
              (2)

            	 
	
              LT2-V11

            	 	
              $

            	
              14,953,360.00

            	 	 	
              (3)

            	 
	
              LT2-F12

            	 	
              $

            	
              5,083,524.00

            	 	 	
              (2)

            	 
	
              LT2-V12

            	 	
              $

            	
              5,083,524.00

            	 	 	
              (3)

            	 
	
              LT2-F13

            	 	
              $

            	
              4,870,832.00

            	 	 	
              (2)

            	 
	
              LT2-V13

            	 	
              $

            	
              4,870,832.00

            	 	 	
              (3)

            	 
	
              LT2-F14

            	 	
              $

            	
              4,667,034.00

            	 	 	
              (2)

            	 
	
              LT2-V14

            	 	
              $

            	
              4,667,034.00

            	 	 	
              (3)

            	 
	
              LT2-F15

            	 	
              $

            	
              4,471,757.50

            	 	 	
              (2)

            	 
	
              LT2-V15

            	 	
              $

            	
              4,471,757.50

            	 	 	
              (3)

            	 
	
              LT2-F16

            	 	
              $

            	
              4,335,653.50

            	 	 	
              (2)

            	 

    

    

    
      
        
          
          

        

        
          12

          
            

          

        

        
          
          

        

      

    

    

    

    
      	
              Designation

            	 	
              Initial
                Principal Balance

            	 	
               

              Interest
                Rate

            	 
	
              LT2-V16

            	 	
              $

            	
              4,335,653.50

            	 	 	
              (3)

            	 
	
              LT2-F17

            	 	
              $

            	
              4,103,237.00

            	 	 	
              (2)

            	 
	
              LT2-V17

            	 	
              $

            	
              4,103,237.00

            	 	 	
              (3)

            	 
	
              LT2-F18

            	 	
              $

            	
              3,931,538.50

            	 	 	
              (2)

            	 
	
              LT2-V18

            	 	
              $

            	
              3,931,538.50

            	 	 	
              (3)

            	 
	
              LT2-F19

            	 	
              $

            	
              3,767,019.50

            	 	 	
              (2)

            	 
	
              LT2-V19

            	 	
              $

            	
              3,767,019.50

            	 	 	
              (3)

            	 
	
              LT2-F20

            	 	
              $

            	
              3,651,285.50

            	 	 	
              (2)

            	 
	
              LT2-V20

            	 	
              $

            	
              3,651,285.50

            	 	 	
              (3)

            	 
	
              LT2-F21

            	 	
              $

            	
              3,456,561.50

            	 	 	
              (2)

            	 
	
              LT2-V21

            	 	
              $

            	
              3,456,561.50

            	 	 	
              (3)

            	 
	
              LT2-F22

            	 	
              $

            	
              4,700,558.00

            	 	 	
              (2)

            	 
	
              LT2-V22

            	 	
              $

            	
              4,700,558.00

            	 	 	
              (3)

            	 
	
              LT2-F23

            	 	
              $

            	
              14,684,578.50

            	 	 	
              (2)

            	 
	
              LT2-V23

            	 	
              $

            	
              14,684,578.50

            	 	 	
              (3)

            	 
	
              LT2-F24

            	 	
              $

            	
              2,913,505.50

            	 	 	
              (2)

            	 
	
              LT2-V24

            	 	
              $

            	
              2,913,505.50

            	 	 	
              (3)

            	 
	
              LT2-F25

            	 	
              $

            	
              2,771,386.00

            	 	 	
              (2)

            	 
	
              LT2-V25

            	 	
              $

            	
              2,771,386.00

            	 	 	
              (3)

            	 
	
              LT2-F26

            	 	
              $

            	
              2,636,196.50

            	 	 	
              (2)

            	 
	
              LT2-V26

            	 	
              $

            	
              2,636,196.50

            	 	 	
              (3)

            	 
	
              LT2-F27

            	 	
              $

            	
              2,507,598.00

            	 	 	
              (2)

            	 
	
              LT2-V27

            	 	
              $

            	
              2,507,598.00

            	 	 	
              (3)

            	 
	
              LT2-F28

            	 	
              $

            	
              2,385,271.00

            	 	 	
              (2)

            	 
	
              LT2-V28

            	 	
              $

            	
              2,385,271.00

            	 	 	
              (3)

            	 
	
              LT2-F29

            	 	
              $

            	
              2,268,908.00

            	 	 	
              (2)

            	 
	
              LT2-V29

            	 	
              $

            	
              2,268,908.00

            	 	 	
              (3)

            	 
	
              LT2-F30

            	 	
              $

            	
              2,158,219.00

            	 	 	
              (2)

            	 
	
              LT2-V30

            	 	
              $

            	
              2,158,219.00

            	 	 	
              (3)

            	 
	
              LT2-F31

            	 	
              $

            	
              2,085,986.50

            	 	 	
              (2)

            	 
	
              LT2-V31

            	 	
              $

            	
              2,085,986.50

            	 	 	
              (3)

            	 
	
              LT2-F32

            	 	
              $

            	
              2,065,376.50

            	 	 	
              (2)

            	 
	
              LT2-V32

            	 	
              $

            	
              2,065,376.50

            	 	 	
              (3)

            	 
	
              LT2-F33

            	 	
              $

            	
              4,433,985.50

            	 	 	
              (2)

            	 
	
              LT2-V33

            	 	
              $

            	
              4,433,985.50

            	 	 	
              (3)

            	 
	
              LT2-F34

            	 	
              $

            	
              7,028,153.50

            	 	 	
              (2)

            	 
	
              LT2-V34

            	 	
              $

            	
              7,028,153.50

            	 	 	
              (3)

            	 
	
              LT2-F35

            	 	
              $

            	
              1,861,332.50

            	 	 	
              (2)

            	 
	
              LT2-V35

            	 	
              $

            	
              1,861,332.50

            	 	 	
              (3)

            	 
	
              LT2-F36

            	 	
              $

            	
              1,200,325.50

            	 	 	
              (2)

            	 
	
              LT2-V36

            	 	
              $

            	
              1,200,325.50

            	 	 	
              (3)

            	 
	
              LT2-F37

            	 	
              $

            	
              1,141,748.00

            	 	 	
              (2)

            	 
	
              LT2-V37

            	 	
              $

            	
              1,141,748.00

            	 	 	
              (3)

            	 
	
              LT2-F38

            	 	
              $

            	
              1,086,027.00

            	 	 	
              (2)

            	 
	
              LT2-V38

            	 	
              $

            	
              1,086,027.00

            	 	 	
              (3)

            	 

    

    

    
      
        
          
          

        

        
          13

          
            

          

        

        
          
          

        

      

    

    

    

    
      	
              Designation

            	 	
              Initial
                Principal Balance

            	 	
               

              Interest
                Rate

            	 
	
              LT2-F39

            	 	
              $

            	
              1,033,024.00

            	 	 	
              (2)

            	 
	
              LT2-V39

            	 	
              $

            	
              1,033,024.00

            	 	 	
              (3)

            	 
	
              LT2-F40

            	 	
              $

            	
              982,606.50

            	 	 	
              (2)

            	 
	
              LT2-V40

            	 	
              $

            	
              982,606.50

            	 	 	
              (3)

            	 
	
              LT2-F41

            	 	
              $

            	
              934,649.00

            	 	 	
              (2)

            	 
	
              LT2-V41

            	 	
              $

            	
              934,649.00

            	 	 	
              (3)

            	 
	
              LT2-F42

            	 	
              $

            	
              889,030.00

            	 	 	
              (2)

            	 
	
              LT2-V42

            	 	
              $

            	
              889,030.00

            	 	 	
              (3)

            	 
	
              LT2-F43

            	 	
              $

            	
              845,637.50

            	 	 	
              (2)

            	 
	
              LT2-V43

            	 	
              $

            	
              845,637.50

            	 	 	
              (3)

            	 
	
              LT2-F44

            	 	
              $

            	
              804,360.50

            	 	 	
              (2)

            	 
	
              LT2-V44

            	 	
              $

            	
              804,360.50

            	 	 	
              (3)

            	 
	
              LT2-F45

            	 	
              $

            	
              765,098.50

            	 	 	
              (2)

            	 
	
              LT2-V45

            	 	
              $

            	
              765,098.50

            	 	 	
              (3)

            	 
	
              LT2-F46

            	 	
              $

            	
              748,982.50

            	 	 	
              (2)

            	 
	
              LT2-V46

            	 	
              $

            	
              748,982.50

            	 	 	
              (3)

            	 
	
              LT2-F47

            	 	
              $

            	
              691,194.00

            	 	 	
              (2)

            	 
	
              LT2-V47

            	 	
              $

            	
              691,194.00

            	 	 	
              (3)

            	 
	
              LT2-F48

            	 	
              $

            	
              657,452.50

            	 	 	
              (2)

            	 
	
              LT2-V48

            	 	
              $

            	
              657,452.50

            	 	 	
              (3)

            	 
	
              LT2-F49

            	 	
              $

            	
              625,357.00

            	 	 	
              (2)

            	 
	
              LT2-V49

            	 	
              $

            	
              625,357.00

            	 	 	
              (3)

            	 
	
              LT2-F50

            	 	
              $

            	
              594,828.00

            	 	 	
              (2)

            	 
	
              LT2-V50

            	 	
              $

            	
              594,828.00

            	 	 	
              (3)

            	 
	
              LT2-F51

            	 	
              $

            	
              565,787.50

            	 	 	
              (2)

            	 
	
              LT2-V51

            	 	
              $

            	
              565,787.50

            	 	 	
              (3)

            	 
	
              LT2-F52

            	 	
              $

            	
              538,164.50

            	 	 	
              (2)

            	 
	
              LT2-V52

            	 	
              $

            	
              538,164.50

            	 	 	
              (3)

            	 
	
              LT2-F53

            	 	
              $

            	
              511,889.50

            	 	 	
              (2)

            	 
	
              LT2-V53

            	 	
              $

            	
              511,889.50

            	 	 	
              (3)

            	 
	
              LT2-F54

            	 	
              $

            	
              527,314.50

            	 	 	
              (2)

            	 
	
              LT2-V54

            	 	
              $

            	
              527,314.50

            	 	 	
              (3)

            	 
	
              LT2-F55

            	 	
              $

            	
              461,159.00

            	 	 	
              (2)

            	 
	
              LT2-V55

            	 	
              $

            	
              461,159.00

            	 	 	
              (3)

            	 
	
              LT2-F56

            	 	
              $

            	
              650,522.50

            	 	 	
              (2)

            	 
	
              LT2-V56

            	 	
              $

            	
              650,522.50

            	 	 	
              (3)

            	 
	
              LT2-F57

            	 	
              $

            	
              3,181,712.00

            	 	 	
              (2)

            	 
	
              LT2-V57

            	 	
              $

            	
              3,181,712.00

            	 	 	
              (3)

            	 
	
              LT2-F58

            	 	
              $

            	
              2,632,490.50

            	 	 	
              (2)

            	 
	
              LT2-V58

            	 	
              $

            	
              2,632,490.50

            	 	 	
              (3)

            	 
	
              LT2-F59

            	 	
              $

            	
              2,512,262.00

            	 	 	
              (2)

            	 
	
              LT2-V59

            	 	
              $

            	
              2,512,262.00

            	 	 	
              (3)

            	 
	
              LT2-R

            	 	 	
              (4

            	
              )

            	 	
              (4)

            	 
	 	 	 	 	 	 	 	 

    

    

    

    
      
        
          
          

        

        
          14

          
            

          

        

        
          
          

        

      

    

    

     

    
      	
              (1)

            	
              For
                any Distribution Date (and the related Accrual Period) the interest
                rate
                for the LT2-A Interest shall be a per annum rate equal to the weighted
                average of the Net Mortgage Rates of the Pool 2 Mortgage Loans as
                of the
                first day of the related Collection Period (not including for this
                purpose
                Mortgage Loans for which prepayments in full have been received and
                distributed in the month prior to that Distribution Date (the “Pool 2
                REMIC Net WAC Rate”). 

            

    

     

    
      	
              (2)

            	
              For
                any Distribution Date (and the related Accrual Period) the interest
                rate
                for each of these Lower-Tier Interests shall be the lesser of (i)
                the
                REMIC Swap Rate for Pool 2 for such Distribution Date, and (ii) the
                product of (a) the Pool 2 REMIC Net WAC Rate and (b)
                2.

            

    

     

    
      	
              (3)

            	
              For
                any Distribution Date (and the related Accrual Period) the interest
                rate
                for each of these Lower-Tier Interests shall be the excess, if any,
                of (i)
                the product of (a) the Pool 2 REMIC Net WAC Rate and (b) 2, over
                (ii) the
                REMIC Swap Rate for Pool 2 for such Distribution
                Date.

            

    

     

    
      	
              (4)

            	
              The
                LT2-R interest shall not have a principal amount and shall not bear
                interest. The LT2-R interest is hereby designated as the sole class
                of
                residual interest in Lower-Tier REMIC
                2.

            

    

     

    On
      each
      Distribution Date, the Trustee shall distribute the aggregate Principal
      Remittance Amount with respect to the Lower-Tier REMIC 2 Interests, first to
      the
      LT2-A Interest until its principal balance is reduced to zero, and then
      sequentially, to the other Lower-Tier Interests in Lower-Tier REMIC 2 in
      ascending order of their numerical designation, and, with respect to each pair
      of Lower-Tier Interests having the same numerical designation, in equal amounts
      to each such Lower-Tier Interest, until the principal balance of each is reduced
      to zero. All losses on the Pool 2 Mortgage Loans shall be allocated among the
      Lower-Tier Interests in Lower-Tier REMIC 2 in the same manner that principal
      distributions are allocated.

     

    On
      each
      Distribution Date, the Trustee shall distribute the Prepayment Premiums related
      to Pool 2 collected during the preceding Prepayment Period, in the case of
      Principal Prepayments in full, or during the related Collection Period, in
      the
      case of Principal Prepayments in part, to the LT2-F59 and LT2-V59 Lower-Tier
      Interests, respectively.

     

    Middle-Tier
      REMIC 2:

     

    The
      following table sets forth the designations, principal balances and interest
      rates for each interest in Middle-Tier REMIC 2, each of which (other than the
      Class MT2-R Interest) is hereby designated as a regular interest in Middle-Tier
      REMIC 2 (the “Middle-Tier REMIC 2 Regular Interests”):

     

    
      	
              Middle-Tier
                

              REMIC
                2

              Designation

            	 	
              Middle-Tier
                REMIC 2

              Interest
                Rate

            	 	
              Initial
                Class 

              Principal
                Amount

            	 	
              Corresponding
                Class of Certificate(s) or Components

            	 
	
              MT2-2-A1

            	 	 	
              (1)

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              2-A1

            	
               

            
	
              MT2-2-A2

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              2-A2

            	
               

            
	
              MT2-2-A3

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              2-A3

            	
               

            
	
              MT2-2-A4

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              2-A4

            	
               

            
	
              MT2-2-M1

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              2-M1

            	
               

            
	
              MT2-2-M2

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              2-M2

            	
               

            
	
              MT2-2-M3

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              2-M3

            	
               

            
	
              MT2-2-M4

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              2-M4

            	
               

            

    

    

    
      
        
          
          

        

        
          15

          
            

          

        

        
          
          

        

      

    

    

    

    
      	
              Middle-Tier
                

              REMIC
                2

              Designation

            	 	
              Middle-Tier
                REMIC 2

              Interest
                Rate

            	 	
              Initial
                Class 

              Principal
                Amount

            	 	
              Corresponding
                Class of Certificate(s) or Components

            	 
	
              MT2-2-M5

            	 	 	
              (1)

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              2-M5

            	
               

            
	
              MT2-2-M6

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              2-M6

            	
               

            
	
              MT2-2-M7

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              2-M7

            	
               

            
	
              MT2-2-M8

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              2-M8

            	
               

            
	
              MT2-2-M9

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              2-M9

            	
               

            
	
              MT2-2-M10

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              2-M10

            	
               

            
	
              MT2-Q

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              N/A

            	
               

            
	
              MT2-IO

            	
               

            	
               

            	
              (2)

            	
               

            	
               

            	
              (2)

            	
               

            	
               

            	
              N/A

            	
               

            
	
              MT2-R

            	
               

            	
               

            	
              (5)

            	
               

            	
               

            	
              (5)

            	
               

            	
               

            	
              R

            	 

    

    ___________________________

      	(1)  	
              For
                any Distribution Date (and the related Accrual Period) the interest
                rate
                for each of these Interests in Middle-Tier REMIC 2 is a per annum
                rate
                equal to the weighted average of the interest rates on the Lower-Tier
                Interests in Lower-Tier REMIC 2 for such Distribution Date other
                than any
                interest-only Lower-Tier Interest, provided,
                however, that
                for any Distribution Date on which the Class MT2-IO Interest is entitled
                to a portion of the interest accruals on a Lower-Tier Interest in
                Lower-Tier REMIC 2 having an “F” in its class designation, as described in
                footnote two below, such weighted average shall be computed by first
                subjecting the rate on such Lower-Tier Interest in REMIC 2 to a cap
                equal
                to Swap LIBOR for Pool 2 for such Distribution Date. 

               

            

      	(2)  	
              The
                Class MT2-IO is an interest only class that does not have a principal
                balance. For only those Distribution Dates listed in the first column
                in
                the table below, the Class MT2-IO shall be entitled to interest accrued
                on
                the Lower-Tier Interest in Lower-Tier REMIC 2 listed in second column
                in
                the table below at a per annum rate equal to the excess, if any,
                of (i)
                the interest rate for such Lower-Tier Interest in Lower-Tier REMIC
                2 for
                such Distribution Date over (ii) Swap LIBOR for Pool 2 for such
                Distribution Date.

               

            

    

    
      	
              Distribution
                Dates

            	 	
              Lower-Tier
                REMIC 

              1
                Designation

            	 
	
              2

            	
               

            	
               

            	
              LT2-F1

            	
               

            
	
              2-3

            	
               

            	
               

            	
              LT2-F2

            	
               

            
	
              2-4

            	
               

            	
               

            	
              LT2-F3

            	
               

            
	
              2-5

            	
               

            	
               

            	
              LT2-F4

            	
               

            
	
              2-6

            	
               

            	
               

            	
              LT2-F5

            	
               

            
	
              2-7

            	
               

            	
               

            	
              LT2-F6

            	
               

            
	
              2-8

            	
               

            	
               

            	
              LT2-F7

            	
               

            
	
              2-9

            	
               

            	
               

            	
              LT2-F8

            	
               

            
	
              2-10

            	
               

            	
               

            	
              LT2-F9

            	
               

            
	
              2-11

            	
               

            	
               

            	
              LT2-F10

            	
               

            
	
              2-12

            	
               

            	
               

            	
              LT2-F11

            	
               

            
	
              2-13

            	
               

            	
               

            	
              LT2-F12

            	
               

            
	
              2-14

            	
               

            	
               

            	
              LT2-F13

            	
               

            
	
              2-15

            	
               

            	
               

            	
              LT2-F14

            	
               

            
	
              2-16

            	
               

            	
               

            	
              LT2-F15

            	
               

            
	
              2-17

            	
               

            	
               

            	
              LT2-F16

            	
               

            
	
              2-18

            	
               

            	
               

            	
              LT2-F17

            	
               

            
	
              2-19

            	
               

            	
               

            	
              LT2-F18

            	
               

            
	
              2-20

            	
               

            	
               

            	
              LT2-F19

            	
               

            
	
              2-21

            	
               

            	
               

            	
              LT2-F20

            	
               

            
	
              2-22

            	
               

            	
               

            	
              LT2-F21

            	
               

            
	
              2-23

            	
               

            	
               

            	
              LT2-F22

            	
               

            
	
              2-24

            	
               

            	
               

            	
              LT2-F23

            	
               

            
	
              2-25

            	
               

            	
               

            	
              LT2-F24

            	
               

            
	
              2-26

            	
               

            	
               

            	
              LT2-F25

            	
               

            
	
              2-27

            	
               

            	
               

            	
              LT2-F26

            	
               

            
	
              2-28

            	
               

            	
               

            	
              LT2-F27

            	
               

            
	
              2-29

            	
               

            	
               

            	
              LT2-F28

            	 

    

    

    
      
        
          
          

        

        
          16

          
            

          

        

        
          
          

        

      

    

    

    

    
      	
              Distribution
                Dates

            	 	
              Lower-Tier
                REMIC 

              1
                Designation

            	 
	
              2-30

            	
               

            	
               

            	
              LT2-F29

            	
               

            
	
              2-31

            	
               

            	
               

            	
              LT2-F30

            	
               

            
	
              2-32

            	
               

            	
               

            	
              LT2-F31

            	
               

            
	
              2-33

            	
               

            	
               

            	
              LT2-F32

            	
               

            
	
              2-34

            	
               

            	
               

            	
              LT2-F33

            	
               

            
	
              2-35

            	
               

            	
               

            	
              LT2-F34

            	
               

            
	
              2-36

            	
               

            	
               

            	
              LT2-F35

            	
               

            
	
              2-37

            	
               

            	
               

            	
              LT2-F36

            	
               

            
	
              2-38

            	
               

            	
               

            	
              LT2-F37

            	
               

            
	
              2-39

            	
               

            	
               

            	
              LT2-F38

            	
               

            
	
              2-40

            	
               

            	
               

            	
              LT2-F39

            	
               

            
	
              2-41

            	
               

            	
               

            	
              LT2-F40

            	
               

            
	
              2-42

            	
               

            	
               

            	
              LT2-F41

            	
               

            
	
              2-43

            	
               

            	
               

            	
              LT2-F42

            	
               

            
	
              2-44

            	
               

            	
               

            	
              LT2-F43

            	
               

            
	
              2-45

            	
               

            	
               

            	
              LT2-F44

            	
               

            
	
              2-46

            	
               

            	
               

            	
              LT2-F45

            	
               

            
	
              2-47

            	
               

            	
               

            	
              LT2-F46

            	
               

            
	
              2-48

            	
               

            	
               

            	
              LT2-F47

            	
               

            
	
              2-49

            	
               

            	
               

            	
              LT2-F48

            	
               

            
	
              2-50

            	
               

            	
               

            	
              LT2-F49

            	
               

            
	
              2-51

            	
               

            	
               

            	
              LT2-F50

            	
               

            
	
              2-52

            	
               

            	
               

            	
              LT2-F51

            	
               

            
	
              2-53

            	
               

            	
               

            	
              LT2-F52

            	
               

            
	
              2-54

            	
               

            	
               

            	
              LT2-F53

            	
               

            
	
              2-55

            	
               

            	
               

            	
              LT2-F54

            	
               

            
	
              2-56

            	
               

            	
               

            	
              LT2-F55

            	
               

            
	
              2-57

            	
               

            	
               

            	
              LT2-F56

            	
               

            
	
              2-58

            	
               

            	
               

            	
              LT2-F57

            	
               

            
	
              2-59

            	
               

            	
               

            	
              LT2-F58

            	
               

            
	
              2-60

            	
               

            	
               

            	
              LT2-F59

            	 

    

    

    

    
      	(1)  	
              This
                interest shall have an initial principal balance equal to one-half
                of the
                initial Class Principal Amount of its Corresponding Class of
                Certificates.

               

            

    

    
      	(2)  	
              This
                interest shall have an initial principal balance equal to the excess
                of
                (i) the aggregate Pool Balance for Pool 2 as of the Cut-off Date,
                over
                (ii) the aggregate initial class principal amount of each other regular
                interest in Middle-Tier REMIC 2.

               

            

    

    
      	(3)  	
              The
                Class MT2-R interest is the sole class of residual interests in
                Middle-Tier REMIC 2. It does not have an interest rate or a principal
                balance.

               

            

    

    On
      each
      Distribution Date, interest with respect to Pool 2 shall be distributed on
      the
      Lower-Tier Interests in Middle-Tier REMIC 2 based on the above-described
      interest rates, provided,
      however,
      that
      interest that accrues on the Class MT2-Q Interest shall be deferred in an amount
      equal to one-half of the increase, if any, in the Overcollateralization Amount
      for such Distribution Date. Any interest so deferred shall itself bear interest
      at the interest rate for the Class MT2-Q Interest. An amount equal to the
      interest so deferred shall be distributed as additional principal on the other
      interests in Middle-Tier REMIC 2 having a principal balance in the manner
      described under priority 1 below.

    

    
      
        
          
          

        

        
          17

          
            

          

        

        
          
          

        

      

    

    

    

    
      On
        each
        Distribution Date principal with respect to Pool 2 shall be distributed,
        and
        Realized Losses shall be allocated, among the interests in Middle-Tier REMIC
        2
        in the following order of priority:

       

    

    1. First,
      to
      the Class MT2-2-A1, Class MT2-2-A2, Class MT2-2-A3, Class MT2-2-A4, Class
      MT2-2-M1, Class MT2-2-M2, Class MT2-2-M3, Class MT2-2-M4, Class MT2-2-M5, Class
      MT2-2-M6, Class MT2-2-M7, Class MT2-2-M8, Class MT2-2-M9, and Class MT2-2-M10
      Interests until the principal balance of each such interest equals one-half
      of
      the Class Principal Amount of the Corresponding Class of Certificates
      immediately after such Distribution Date; and

     

    2. Second,
      to the Class MT2-Q Interests, any remaining amounts.

     

    On
      each
      Distribution Date, the Trustee shall be deemed to have distributed the
      Prepayment Premiums passed through with respect to the LT2-F59 and LT2-V59
      Lower-Tier Interests in Lower-Tier REMIC 2 on such Distribution Date to the
      Class MT2-Q Interest.

     

    Pooling
      REMIC 3

     

    Pooling
      REMIC 3 shall issue one uncertificated interest in respect of each Pool 3A
      and
      Pool 3B Mortgage Loan held by the Trust on the Closing Date, each of which
      is
      hereby designated as a regular interest in Pooling REMIC 3 (the “Pooling REMIC 3
      Regular Interests”). Pooling REMIC 3 shall also issue the Class 3-LT-R
      Certificate, which shall represent the sole class of residual interest in
      Pooling REMIC 3. Each Pooling REMIC 3 Regular Interest shall have an initial
      principal balance equal to the Scheduled Principal Balance of the Mortgage
      Loan
      to which it relates and shall bear interest at a per annum rate equal to the
      Net
      Mortgage Rate of such Mortgage Loan. In the event a Qualified Substitute
      Mortgage Loan is substituted for such Mortgage Loan (the “Original Mortgage
      Loan”), no amount of interest payable on such Qualified Mortgage Loan shall be
      distributed on such Pooling REMIC 3 Regular Interest at a rate in excess of
      the
      Net Mortgage Rate of the Original Mortgage Loan.

     

    On
      each
      Distribution Date, the Trustee shall first pay or charge as an expense of
      Pooling REMIC 3 all expenses of the Trust Fund related to Pool 3A and Pool
      3B
      that are deducted in computing the Interest Remittance Amount for such
      Distribution Date.

     

    On
      each
      Distribution Date the Trustee shall distribute the Interest Remittance Amount
      for Pool 3A and Pool 3B with respect to each of the Lower-Tier Interests in
      Pooling REMIC 3 based on the above-described interest rates.

     

    On
      each
      Distribution Date, the Trustee shall distribute the Principal Remittance Amount
      for Pool 3A and Pool 3B among the Pooling REMIC 3 Regular Interests in
      accordance with the amount of the Principal Remittance Amount attributable
      to
      the Mortgage Loan corresponding to each such Pooling REMIC 3 Regular Interest.
      All losses on the Mortgage Loans shall be allocated among the Pooling REMIC
      3
      Regular Interest in the same manner that principal distributions are
      allocated.

     

    

    
      
        
          
          

        

        
          18

          
            

          

        

        
          
          

        

      

    

    

    

     

    Lower-Tier
      REMIC 3

     

    The
      following table sets forth (or describes) the designation, interest rate, and
      initial principal balance of each Lower-Tier Interest in Lower-Tier REMIC 3,
      each of which, other than the LT3-R Lower Tier Interest) is hereby designated
      as
      a regular interest in Lower-Tier REMIC 3 (the “Lower-Tier REMIC 3 Regular
      Interests”).

     

    
      	
               

              Designation

            	 	
              Interest
                Rate

            	 	
              Initial
                

              Principal
                Amount

            	 	
              Corresponding
                Class of Certificates 

            	 
	
              LT3-3A-A

            	 	 	
              (1)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              3A-A

            	
               

            
	
              LT3-3B-A1

            	
               

            	
               

            	
              (2)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              3B-A1

            	
               

            
	
              LT3-3B-A2

            	
               

            	
               

            	
              (2)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              3B-A2

            	
               

            
	
              LT3-3B-A3

            	
               

            	
               

            	
              (2)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              3B-A3

            	
               

            
	
              LT3-3-M1

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              3-M1

            	
               

            
	
              LT3-3-M2

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              3-M2

            	
               

            
	
              LT3-3-M3

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              3-M3

            	
               

            
	
              LT3-3-M4

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              3-M4

            	
               

            
	
              LT3-3-M5

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              3-M5

            	
               

            
	
              LT3-3-M6

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              3-M6

            	
               

            
	
              LT3-3-M7

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              3-M7

            	
               

            
	
              LT3-3-M8

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              3-M8

            	
               

            
	
              LT3-Pool
                3A-N

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (5)

            	
               

            	
               

            	
              N/A

            	
               

            
	
              LT3-Pool
                3A-PSA

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (6)

            	
               

            	
               

            	
              N/A

            	
               

            
	
              LT3-Pool
                3B-N

            	
               

            	
               

            	
              (2)

            	
               

            	
               

            	
              (7)

            	
               

            	
               

            	
              N/A

            	
               

            
	
              LT3-Pool
                3B-PSA

            	
               

            	
               

            	
              (2)

            	
               

            	
               

            	
              (8)

            	
               

            	
               

            	
              N/A

            	
               

            
	
              LT3-Q

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              (9)

            	
               

            	
               

            	
              N/A

            	
               

            
	
              LT3-R

            	
               

            	
               

            	
              (10)

            	
               

            	
               

            	
              (10)

            	
               

            	
               

            	
              N/A

            	 

    

     

    
      	
              (1)

            	
              The
                interest rate with respect to any Distribution Date (and the related
                Accrual Period) for each of these Lower-Tier Interests in Lower-Tier
                REMIC
                3 is a per annum rate equal to the weighted average of the Net Mortgage
                Rates on the Mortgage Loans in Pool 3A as of the first day of the
                related
                Collection Period (not including for this purpose Mortgage Loans
                in Pool
                3A for which payments in full have been received and distributed
                in the
                month prior to that Distribution
                Date).

            

    

    

    
      	
              (2)

            	
              The
                interest rate with respect to any Distribution Date (and the related
                Accrual Period) for each of these Lower-Tier Interests in Lower-Tier
                REMIC
                3 is a per annum rate equal to the weighted average of the Net Mortgage
                Rates on the Mortgage Loans in Pool 3B as of the first day of the
                related
                Collection Period (not including for this purpose Mortgage Loans
                in Pool
                3B for which payments in full have been received and distributed
                in the
                month prior to that Distribution
                Date).

            

    

    

    
      	
              (3)

            	
              The
                interest rate with respect to any Distribution Date (and the related
                Accrual Period) for each of these Lower-Tier Interests in Lower-Tier
                REMIC
                3 is a per annum rate equal to the weighted average of the Net Mortgage
                Rates on the Mortgage Loans in Pool 3A and Pool 3B as of the first
                day of
                the related Collection Period (not including for this purpose Mortgage
                Loans in Pool 3A and Pool 3B for which payments in full have been
                received
                and distributed in the month prior to that Distribution
                Date).

            

    

    

    
      
        
          
          

        

        
          19

          
            

          

        

        
          
          

        

      

    

    

    

    
      	
              (4)

            	
              This
                interest shall have an initial principal balance equal to one-quarter
                of
                the initial Class Principal Amount of its Corresponding Class of
                Certificates.

            

    

    

      
        	
                (5)

              	
                This
                  interest shall have an initial principal balance equal to the excess
                  of
                  (i) 50% of the aggregate Pool Balance for Pool 3A as of the Cut-off
                  Date,
                  over (ii) the aggregate initial principal balance of the Class
                  LT3-3A-A
                  and Class LT3-Pool 3A-N interests.

              

      

       

    

    
      	
              (6)

            	
              This
                interest shall have an initial principal balance equal to 1% of the
                Pool
                Subordinate Amount for Pool 3A.

            

    

     

    
      
        	
                (7)

              	
                This
                  interest shall have an initial principal balance equal to the excess
                  of
                  (i) 50% of the aggregate Pool Balance for Pool 3B as of the Cut-off
                  Date,
                  over (ii) the aggregate initial principal balance of the Class
                  LT3-3B-A1,
                  Class LT3-3B-A2, Class LT3-3B-A3 and Class LT3-Pool 3B-N
                  interests.

              

      

       

    

    
      	
              (8)

            	
              This
                interest shall have an initial principal balance equal to 1% of the
                Pool
                Subordinate Amount for Pool 3B.

            

    

     

    
      	
              (9)

            	
              This
                interest shall have an initial principal balance equal to the excess
                of
                (i) the aggregate Pool Balance for Pool 3 as of the Cut-off Date,
                over
                (ii) the aggregate initial class principal amount of each other regular
                interest in Lower-Tier REMIC 3.

            

    

     

    
      	
              (10)

            	
              The
                LT3-R Interest is the sole Class of residual interest in Lower-Tier
                REMIC
                3. It does not have an interest rate or a principal balance.
                

            

    

    

    On
      each
      Distribution Date, the Trustee shall distribute the interest received from
      Pooling REMIC 3 in respect of the Lower-Tier Interests in Lower-Tier REMIC
      3
      based on the above-described interest rates; provided,
      however,
      that
      interest that accrues on the LT3-Q Interest shall be deferred to the extent
      necessary to make the principal distributions described in paragraphs 1-5 below
      for such Distribution Date on the other classes of Lower-Tier Interests. Any
      interest so deferred shall itself bear interest at the interest rate for the
      LT3-Q Interest. 

     

    On
      each
      Distribution Date, the Trustee shall distribute the principal received from
      Pooling REMIC 3 (together with an amount equal to the interest deferred on
      the
      LT3-Q Interest for such Distribution Date) in the following order of
      priority:

     

    
      	 	
              1.

            	
              First,
                to the Class LT3-Pool 3A-PSA Interest until the principal balance
                of such
                Lower Tier Interest equals one percent of the Pool Subordinate Amount
                for
                Pool 3A for the next succeeding Distribution
                Date;

            

    

     

    
      	 	
              2.

            	
              Second,
                to the Class LT3-Pool 3B-PSA Interest until the principal balance
                of such
                Lower Tier Interest equals one percent of the Pool Subordinate Amount
                for
                Pool 3B for the next succeeding Distribution
                Date;

            

    

     

    
      	 	
              3.

            	
              Third,
                to the Class LT3-Pool 3A-PSA and Class LT3-Pool 3B-PSA Interests
                the
                minimum amount necessary to cause the ratio of the principal balance
                of
                each such Lower-Tier Interest to the other such Lower-Tier Interest
                to
                equal the ratio of the Pool Subordinate Amount related to such Lower-Tier
                Interest to the Pool Subordinate Amount related to the other Lower-Tier
                Interests;

            

    

     

    

    
      
        
          
          

        

        
          20

          
            

          

        

        
          
          

        

      

    

    

    

     

    
      	 	
              4.

            	
              Fourth,
                to the Class LT3-Pool 3A-N and Class LT3-Pool 3B-N Interests as
                follows:

            

    

    

      
        	 	
                a.

              	
                To
                  the Class LT3-Pool 3A-N Interest until its principal balance equals
                  the
                  difference between (i) 50% of the aggregate Pool Balance for Pool
                  3A on
                  such Distribution Date, minus
                  (ii) the aggregate principal balance of the Class LT3-3A-A and
                  Class
                  LT3-Pool 3A-PSA Interests on such Distribution Date, taking into
                  account
                  the distributions under the priorities above, and

                 

              

      

      
        	 	
                b.

              	
                To
                  the Class LT3-Pool 3B-N Interest until its principal balance equals
                  the
                  difference between (i) 50% of the aggregate Pool Balance for Pool
                  3B on
                  such Distribution Date, minus
                  (ii) the aggregate principal balance of the Class LT3-3B-A1, Class
                  LT3-3B-A2, Class LT3-3B-A3 and Class LT3-Pool 3B-PSA Interests
                  on such
                  Distribution Date, taking into account the distributions under
                  the
                  priorities above.

                 

              

      

      	 	
              5.

            	
              Fifth,
                to the Class LT3-3A-A, Class LT3-3B-A1, Class LT3-3B-A2, Class LT3-3B-A3,
                Class LT3-3-M1, Class LT3-3-M2, Class LT3-3-M3, Class LT3-3-M4, Class
                LT3-3-M5, Class LT3-3-M6, Class LT3-3-M7, and Class LT3-3-M8 until
                the
                principal balance of each such interest equals 25% of the Class Principal
                Amount of the Corresponding Class of Certificates immediately after
                such
                Distribution Date;

            

    

     

    
      	 	
              6.

            	
              Finally,
                to the LT3-Q Interest, any remaining
                amounts.

            

    

     

    For
      any
      Distribution Date, after all distributions have been made, Realized Losses
      for
      Pool 3 shall be allocated among the interests in Lower-Tier REMIC 3 in the
      order
      of priority in which principal is distributed to such interests. 

     

    Pooling
      REMIC 4

     

    Pooling
      REMIC 4 shall issue one uncertificated interest in respect of each Pool 4A
      and
      Pool 4B Mortgage Loan held by the Trust on the Closing Date, each of which
      is
      hereby designated as a regular interest in Pooling REMIC 4 (the “Pooling REMIC 4
      Regular Interests”). Pooling REMIC 4 shall also issue the Class 4-LT-R
      Certificate, which shall represent the sole class of residual interest in
      Pooling REMIC 4. Each Pooling REMIC 4 Regular Interest shall have an initial
      principal balance equal to the Scheduled Principal Balance of the Mortgage
      Loan
      to which it relates and shall bear interest at a per annum rate equal to the
      Net
      Mortgage Rate of such Mortgage Loan. In the event a Qualified Substitute
      Mortgage Loan is substituted for such Mortgage Loan (the “Original Mortgage
      Loan”), no amount of interest payable on such Qualified Mortgage Loan shall be
      distributed on such Pooling REMIC 4 Regular Interest at a rate in excess of
      the
      Net Mortgage Rate of the Original Mortgage Loan.

     

    On
      each
      Distribution Date, the Trustee shall first pay or charge as an expense of
      Pooling REMIC 4 all expenses of the Trust Fund related to Pool 4 that are
      deducted in computing the Interest Remittance Amount for such Distribution
      Date.

     

    

    
      
        
          
          

        

        
          21

          
            

          

        

        
          
          

        

      

    

    

    

     

    On
      each
      Distribution Date the Trustee shall distribute the Interest Remittance Amount
      for Pool 4 with respect to each of the Lower-Tier Interests in Pooling REMIC
      4
      based on the above-described interest rates.

     

    On
      each
      Distribution Date, the Trustee shall distribute the Principal Remittance Amount
      for Pool 4A and Pool 4B among the Pooling REMIC 4 Regular Interests in
      accordance with the amount of the Principal Remittance Amount attributable
      to
      the Mortgage Loan corresponding to each such Pooling REMIC 4 Regular Interest.
      All losses on the Mortgage Loans shall be allocated among the Pooling REMIC
      4
      Regular Interest in the same manner that principal distributions are
      allocated.

     

    On
      each
      Distribution Date, the Trustee shall distribute the Prepayment Premiums related
      to Pool 4A and Pool 4B collected during the preceding Prepayment Period, in
      the
      case of Principal Prepayments in full, or during the related Collection Period,
      in the case of Principal Prepayments in part, to the Pooling REMIC 4 Regular
      Interest corresponding to the Mortgage Loan with respect to which such amounts
      were received.

     

    Lower-Tier
      REMIC 4

     

    The
      following table sets forth (or describes) the designation, interest rate, and
      initial principal balance of each Lower-Tier Interest in Lower-Tier REMIC 4,
      each of which, other than the LT4-R Lower Tier Interest) is hereby designated
      as
      a regular interest in Lower-Tier REMIC 4 (the “Lower-Tier REMIC 4 Regular
      Interests”).

     

    
      	
               

              Designation

            	 	
              Interest
                Rate

            	 	
              Initial
                

              Principal
                Amount

            	 	
              Corresponding
                Class of Certificates 

            	 
	
              LT4-4A-A1

            	 	 	
              (1)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              4A-A1

            	
               

            
	
              LT4-4A-A2

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              4A-A2

            	
               

            
	
              LT4-4A-A3

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              4A-A3

            	
               

            
	
              LT4-4A-A4

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              4A-A4

            	
               

            
	
              LT4-4B-A1

            	
               

            	
               

            	
              (2)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              4B-A1

            	
               

            
	
              LT4-4B-A2

            	
               

            	
               

            	
              (2)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              4B-A2

            	
               

            
	
              LT4-4-M1

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              4-M1

            	
               

            
	
              LT4-4-M2

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              4-M2

            	
               

            
	
              LT4-4-M3

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              4-M3

            	
               

            
	
              LT4-4-M4

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              4-M4

            	
               

            
	
              LT4-4-M5

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              4-M5

            	
               

            
	
              LT4-4-M6

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              4-M6

            	
               

            
	
              LT4-4-M7

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              4-M7

            	
               

            
	
              LT4-Pool
                4A-N

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (5)

            	
               

            	
               

            	
              N/A

            	
               

            
	
              LT4-Pool
                4A-PSA

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (6)

            	
               

            	
               

            	
              N/A

            	
               

            
	
              LT4-Pool
                4B-N

            	
               

            	
               

            	
              (2)

            	
               

            	
               

            	
              (7)

            	
               

            	
               

            	
              N/A

            	
               

            
	
              LT4-Pool
                4B-PSA

            	
               

            	
               

            	
              (2)

            	
               

            	
               

            	
              (8)

            	
               

            	
               

            	
              N/A

            	
               

            
	
              LT4-Q

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              (9)

            	
               

            	
               

            	
              N/A

            	
               

            
	
              LT4-R

            	
               

            	
               

            	
              (10)

            	
               

            	
               

            	
              (10)

            	
               

            	
               

            	
              N/A

            	 

    

     

    
      	
              (1)

            	
              The
                interest rate with respect to any Distribution Date (and the related
                Accrual Period) for each of these Lower-Tier Interests in Lower-Tier
                REMIC
                4 is a per annum rate equal to the weighted average of the Net Mortgage
                Rates on the Mortgage Loans in Pool 4A as of the first day of the
                related
                Collection Period (not including for this purpose Mortgage Loans
                in Pool
                4A for which payments in full have been received and distributed
                in the
                month prior to that Distribution
                Date).

            

    

    

    
      
        
          
          

        

        
          22

          
            

          

        

        
          
          

        

      

    

    

    

    
      	
              (2)

            	
              The
                interest rate with respect to any Distribution Date (and the related
                Accrual Period) for each of these Lower-Tier Interests in Lower-Tier
                REMIC
                4 is a per annum rate equal to the weighted average of the Net Mortgage
                Rates on the Mortgage Loans in Pool 4B as of the first day of the
                related
                Collection Period (not including for this purpose Mortgage Loans
                in Pool
                4B for which payments in full have been received and distributed
                in the
                month prior to that Distribution
                Date).

            

    

    

    
      	
              (3)

            	
              The
                interest rate with respect to any Distribution Date (and the related
                Accrual Period) for each of these Lower-Tier Interests in Lower-Tier
                REMIC
                4 is a per annum rate equal to the weighted average of the Net Mortgage
                Rates on the Mortgage Loans in Pool 4A and Pool 4B as of the first
                day of
                the related Collection Period (not including for this purpose Mortgage
                Loans in Pool 4A and Pool 4B for which payments in full have been
                received
                and distributed in the month prior to that Distribution
                Date).

            

    

    

    
      	
              (4)

            	
              This
                interest shall have an initial principal balance equal to one-quarter
                of
                the initial Class Principal Amount of its Corresponding Class of
                Certificates.

            

    

     

    
      
        	
                (5)

              	
                This
                  interest shall have an initial principal balance equal to the excess
                  of
                  (i) 50% of the aggregate Pool Balance for Pool 4A as of the Cut-off
                  Date,
                  over (ii) the aggregate initial principal balance of the Class
                  LT4-4A-A1,
                  Class LT4-4A-A2, Class LT4-4A-A3, Class LT4-4A-A4 and Class LT4-Pool
                  4A-N
                  interests.

              

      

       

      
        	
                (6)

              	
                This
                  interest shall have an initial principal balance equal to 1% of
                  the Pool
                  Subordinate Amount for Pool 4A.

              

      

       

      
        	
                (7)

              	
                This
                  interest shall have an initial principal balance equal to the excess
                  of
                  (i) 50% of the aggregate Pool Balance for Pool 4B as of the Cut-off
                  Date,
                  over (ii) the initial principal balance of the Class LT4-4B-A1,
                  Class
                  LT4-4B-A2 and Class LT4-Pool 4B-N
                  interests.

              

      

       

      	
              (8)

            	
              This
                interest shall have an initial principal balance equal to 1% of the
                Pool
                Subordinate Amount for Pool 4B.

            

    

     

    
      	
              (9)

            	
              This
                interest shall have an initial principal balance equal to the excess
                of
                (i) the aggregate Pool Balance for Pool 4 as of the Cut-off Date, over
                (ii) the aggregate initial class principal amount of each other regular
                interest in Lower-Tier REMIC 4.

            

    

     

    
      	
              (10)

            	
              The
                LT4-R Interest is the sole Class of residual interest in Lower-Tier
                REMIC
                4. It does not have an interest rate or a principal balance.
                

            

    

    

    On
      each
      Distribution Date, the Trustee shall distribute the interest received from
      Pooling REMIC 4 in respect of the Lower-Tier Interests in Lower-Tier REMIC
      4
      based on the above-described interest rates; provided,
      however,
      that
      interest that accrues on the LT4-Q Interest shall be deferred to the extent
      necessary to make the principal distributions described in paragraph 1-5 below
      for such Distribution Date on the other classes of Lower-Tier Interests. Any
      interest so deferred shall itself bear interest at the interest rate for the
      LT4-Q Interest. 

     

    On
      each
      Distribution Date, the Trustee shall distribute the principal received from
      Pooling REMIC 4 (together with an amount equal to the interest deferred on
      the
      LT4-Q Interest for such Distribution Date) in the following order of
      priority:

     

    

    
      
        
          
          

        

        
          23

          
            

          

        

        
          
          

        

      

    

    

    

     

    
      	 	
              1.

            	
              First,
                to the Class LT4-Pool 4A-PSA Interest until the principal balance
                of such
                Lower Tier Interest equals one percent of the Pool Subordinate Amount
                for
                Pool 4A for the next succeeding Distribution
                Date;

            

    

     

    
      	 	
              2.

            	
              Second,
                to the Class LT4-Pool 4B-PSA Interest until the principal balance
                of such
                Lower Tier Interest equals one percent of the Pool Subordinate Amount
                for
                Pool 4B for the next succeeding Distribution
                Date;

            

    

     

    
      	 	
              3.

            	
              Third,
                to the Class LT4-Pool 4A-PSA and Class LT4-Pool 4B-PSA Interests
                the
                minimum amount necessary to cause the ratio of the principal balance
                of
                each such Lower-Tier Interest to the other such Lower-Tier Interest
                to
                equal the ratio of the Pool Subordinate Amount related to such Lower-Tier
                Interest to the Pool Subordinate Amount related to the other Lower-Tier
                Interest;

            

    

     

    
      	 	
              4.

            	
              Fourth,
                to the Class LT4-Pool 4A-N and Class LT4-Pool 4B-N Interests as
                follows:

            

    

     

    
      	 	
              a.

            	
              To
                the Class LT4-Pool 4A-N Interest until its principal balance equals
                the
                difference between (i) 50% of the aggregate Pool Balance for Pool
                4A on
                such Distribution Date, minus
                (ii) the aggregate principal balance of the Class LT4-4A-A1, Class
                LT4-4A-A2, Class LT4-4A-A3, and Class LT4-Pool 4A-PSA Interests on
                such
                Distribution Date, taking into account the distributions under the
                priorities above, and

            

    

     

    
      	 	
              b.

            	
              To
                the Class LT4-Pool 4B-N Interest until its principal balance equals
                the
                difference between (i) 50% of the aggregate Pool Balance for Pool
                4B on
                such Distribution Date, minus
                (ii) the aggregate principal balance of the Class LT4-4B-A1, Class
                LT4-4B-A2, and Class LT4-Pool 4B-PSA Interests on such Distribution
                Date,
                taking into account the distributions under the priorities
                above.

            

    

     

    
      	 	
              5.

            	
              Fifth,
                to the Class LT4-4A-A1, Class LT4-4A-A2, Class LT4-4A-A3, Class LT4-4A-A4,
                Class LT4-4B-A1, Class LT4-4B-A2, Class LT4-4-M1, Class LT4-4-M2,
                Class
                LT4-4-M3, Class LT4-4-M4, Class LT4-4-M5, Class LT4-4-M6, Class LT4-4-M7,
                and Class LT4-4-M8 until the principal balance of each such interest
                equals 25% of the Class Principal Amount of the Corresponding Class
                of
                Certificates immediately after such Distribution
                Date;

            

    

     

    
      	 	
              6.

            	
              Finally,
                to the LT4-Q Interest, any remaining
                amounts.

            

    

     

    For
      any
      Distribution Date, after all distributions have been made, Realized Losses
      for
      Pool 4 shall be allocated among the interests in Lower-Tier REMIC 4 in the
      order
      of priority in which principal is distributed to such interests. 

     

    

    
      
        
          
          

        

        
          24

          
            

          

        

        
          
          

        

      

    

    

    

     

    On
      each
      Distribution Date, the Trustee shall be deemed to have distributed the
      Prepayment Premiums passed through with respect to the Lower-Tier Interests
      in
      Pooling REMIC 4 on such Distribution Date to the Class MT4-Q
      Interest.

     

    Middle-Tier
      REMIC 4:

     

    The
      following table sets forth the designations, principal balances and interest
      rates for each interest in Middle-Tier REMIC 4, each of which (other than the
      Class MT4-R Interest) is hereby designated as a regular interest in Middle-Tier
      REMIC 4 (the “Middle-Tier REMIC 4 Regular Interests”):

     

    
      	
              Middle-Tier
                

              REMIC
                4

              Designation

            	 	
              Middle-Tier
                REMIC 4

              Interest
                Rate

            	 	
              Initial
                Class 

              Principal
                Amount

            	 	
              Corresponding
                Class of Certificate(s) or Components

            	 
	
              MT4-4A-A1

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              4A-A1,
                4A-AIO

            	
               

            
	
              MT4-4A-A2

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              4A-A2,
                4A-AIO

            	
               

            
	
              MT4-4A-A3

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              4A-A3,
                4A-AIO

            	
               

            
	
              MT4-4A-A4

            	
               

            	
               

            	
              (1)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              4A-A4,
                4A-AIO

            	
               

            
	
              MT4-4B-A1

            	
               

            	
               

            	
              (2)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              4B-A1,
                4B-AIO

            	
               

            
	
              MT4-4B-A2

            	
               

            	
               

            	
              (2)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              4B-A2,
                4B-AIO

            	
               

            
	
              MT4-4-M1

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              4-M1

            	
               

            
	
              MT4-4-M2

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              4-M2

            	
               

            
	
              MT4-4-M3

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              4-M3

            	
               

            
	
              MT4-4-M4

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              4-M4

            	
               

            
	
              MT4-4-M5

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              4-M5

            	
               

            
	
              MT4-4-M6

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              4-M6

            	
               

            
	
              MT4-4-M7

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              4-M7

            	
               

            
	
              MT4-X

            	
               

            	
               

            	
              (3)

            	
               

            	
               

            	
              (4)

            	
               

            	
               

            	
              4-X

            	
               

            
	
              MT4-R

            	
               

            	
               

            	
              (5)

            	
               

            	
               

            	
              (5)

            	
               

            	
               

            	
              R

            	 

    

     

    
      
        

      

    

    
      	
              (1)

            	
              The
                interest rate with respect to any Distribution Date (and the related
                Accrual Period) for each of these Middle-Tier Interests in Middle-Tier
                REMIC 4 is a per annum rate equal to the weighted average of the
                Net
                Mortgage Rates on the Mortgage Loans in Pool 4A as of the first day
                of the
                related Collection Period (not including for this purpose Mortgage
                Loans
                in Pool 4A for which payments in full have been received and distributed
                in the month prior to that Distribution
                Date).

            

    

    

    
      	
              (2)

            	
              The
                interest rate with respect to any Distribution Date (and the related
                Accrual Period) for each of these Middle-Tier Interests in Middle-Tier
                REMIC 4 is a per annum rate equal to the weighted average of the
                Net
                Mortgage Rates on the Mortgage Loans in Pool 4B as of the first day
                of the
                related Collection Period (not including for this purpose Mortgage
                Loans
                in Pool 4B for which payments in full have been received and distributed
                in the month prior to that Distribution
                Date).

            

    

    

    
      	
              (3)

            	
              The
                interest rate with respect to any Distribution Date (and the related
                Accrual Period) for each of these Middle-Tier Interests in Middle-Tier
                REMIC 4 is a per annum rate equal to the weighted average of the
                interest
                rates payable on the Class LT4-Pool 4A-PSA and Class LT4-Pool 4B-PSA
                interests, weighted by the respective Class Principal Amounts of
                each such
                Lower-Tier Interest.

            

    

    

    
      	
              (4)

            	
              This
                interest shall have an initial principal balance equal to the initial
                Class Principal Amount of its Corresponding Class of
                Certificates.

            

    

     

    
      	
              (5)

            	
              The
                MT4-R Interest is the sole Class of residual interest in Middle-Tier
                REMIC
                4. It does not have an interest rate or a principal balance.
                

            

    

    

    
      
        
          
          

        

        
          25

          
            

          

        

        
          
          

        

      

    

     

    
      On
        each
        Distribution Date, interest with respect to Pool 4 shall be distributed on
        the
        Lower-Tier Interests in Middle-Tier REMIC 4 based on the above-described
        interest rates.

       

      On
        each
        Distribution Date principal with respect to Pool 4 shall be distributed to
        the
        Class MT4-4A-A1, Class MT4-4A-A2, Class MT4-4A-A3, Class MT4-4A-A4, Class
        MT4-4B-A1, Class MT4-4B-A2, Class MT4-4-M1, Class MT4-4-M2, Class MT4-4-M3,
        Class MT4-4-M4, Class MT4-4-M5, Class MT4-4-M6, and Class MT4-4-M7 Interests
        until the principal balance of each such interest equals the Class Principal
        Amount of the Corresponding Class of Certificates immediately after such
        Distribution Date. Realized Losses shall be allocated among the interests
        in
        Middle-Tier REMIC 4 in the same manner as principal is allocated. 

       

    

    On
      each
      Distribution Date, the Trustee shall be deemed to have distributed the
      Prepayment Premiums passed through with respect to the LT4-Q Lower-Tier
      Interests in Lower-Tier REMIC 4 on such Distribution Date to the Class MT4-X
      Interest.

     

    The
      Certificates

    

    The
      following table sets forth (or describes) the Class designation, Certificate
      Interest Rate, initial Class Principal Amount or Class Notional Amount and
      minimum denomination for each Class of Certificates comprising interests in
      the
      Trust Fund created hereunder. 

     

    
      	
               

              Class
                Designation

            	 	
              Interest
                Rate

            	 	
              Initial
                Class

              Principal
                Amount or Class Notional Amount ($)

            	 	
              Minimum
                Denominations

            	 	
              Related
                Upper-Tier REMIC

            	 
	
               

            	 	
               

            	 	
               

            	 	
               

            	 	 	 
	
              Class
                1A-A1

            	 	 	
              (1)

            	 	
              $

            	
              63,217,000

            	 	
              $

            	
              25,000

            	 	 	
              1

            	 
	
              Class
                1A-A2

            	 	 	
              (2)

            	 	
              $

            	
              7,343,000

            	 	
              $

            	
              25,000

            	 	 	
              1

            	 
	
              Class
                1B-A1

            	 	 	
              (3)

            	 	
              $

            	
              151,879,000

            	 	
              $

            	
              25,000

            	 	 	
              1

            	 
	
              Class
                1B-A2

            	 	 	
              (4)

            	 	
              $

            	
              140,000,000

            	 	
              $

            	
              25,000

            	 	 	
              1

            	 
	
              Class
                1B-A3

            	 	 	
              (5)

            	 	
              $

            	
              33,907,000

            	 	
              $

            	
              25,000

            	 	 	
              1

            	 
	
              Class
                2-A1

            	 	 	
              (6)

            	 	
              $

            	
              190,874,000

            	 	
              $

            	
              25,000

            	 	 	
              2

            	 
	
              Class
                2-A2

            	 	 	
              (7)

            	 	
              $

            	
              79,771,000

            	 	
              $

            	
              25,000

            	 	 	
              2

            	 
	
              Class
                2-A3

            	 	 	
              (8)

            	 	
              $

            	
              40,805,000

            	 	
              $

            	
              25,000

            	 	 	
              2

            	 
	
              Class
                2-A4

            	 	 	
              (9)

            	 	
              $

            	
              54,961,000

            	 	
              $

            	
              25,000

            	 	 	
              2

            	 
	
              Class
                3A-A

            	 	 	
              (10)

            	 	
              $

            	
              106,980,000

            	 	
              $

            	
              25,000

            	 	 	
              3

            	 
	
              Class
                3B-A1

            	 	 	
              (11)

            	 	
              $

            	
              103,219,000

            	 	
              $

            	
              25,000

            	 	 	
              3

            	 
	
              Class
                3B-A2

            	 	 	
              (12)

            	 	
              $

            	
              20,253,000

            	 	
              $

            	
              25,000

            	 	 	
              3

            	 
	
              Class
                3B-A3

            	 	 	
              (13)

            	 	
              $

            	
              20,000,000

            	 	
              $

            	
              25,000

            	 	 	
              3

            	 
	
              Class
                4A-A1

            	 	 	
              (14)

            	 	
              $

            	
              40,999,000

            	 	
              $

            	
              25,000

            	 	 	
              4

            	 
	
              Class
                4A-A2

            	 	 	
              (15)

            	 	
              $

            	
              50,500,000

            	 	
              $

            	
              25,000

            	 	 	
              4

            	 
	
              Class
                4A-A3

            	 	 	
              (16)

            	 	
              $

            	
              8,260,000

            	 	
              $

            	
              25,000

            	 	 	
              4

            	 
	
              Class
                4A-A4

            	 	 	
              (17)

            	 	
              $

            	
              11,085,000

            	 	
              $

            	
              25,000

            	 	 	
              4

            	 
	
              Class
                4A-AIO

            	 	 	
              (18)

            	 	 	
              (19)

            	 	
              $

            	
              1,000,000

            	 	 	
              4

            	 
	
              Class
                4B-A1

            	 	 	
              (20)

            	 	
              $

            	
              68,416,000

            	 	
              $

            	
              25,000

            	 	 	
              4

            	 
	
              Class
                4B-A2

            	 	 	
              (21)

            	 	
              $

            	
              7,602,000

            	 	
              $

            	
              25,000

            	 	 	
              4

            	 

    

    

    
      
        
          
          

        

        
          26

          
            

          

        

        
          
          

        

      

    

    

    

    
      	
               

              Class
                Designation

            	 	
              Interest
                Rate

            	 	
              Initial
                Class

              Principal
                Amount or Class Notional Amount ($)

            	 	
              Minimum
                Denominations

            	 	
              Related
                Upper-Tier REMIC

            	 
	
              Class
                4B-AIO

            	 	 	
              (22)

            	 	 	
              (23)

            	 	
              $

            	
              1,000,000

            	 	 	
              4

            	 
	
              Class
                1-M1

            	 	 	
              (24)

            	 	
              $

            	
              5,103,000

            	 	
              $

            	
              100,000

            	 	 	
              1

            	 
	
              Class
                1-M2

            	 	 	
              (25)

            	 	
              $

            	
              5,315,000

            	 	
              $

            	
              100,000

            	 	 	
              1

            	 
	
              Class
                1-M3

            	 	 	
              (26)

            	 	
              $

            	
              3,189,000

            	 	
              $

            	
              100,000

            	 	 	
              1

            	 
	
              Class
                1-M4

            	 	 	
              (27)

            	 	
              $

            	
              2,126,000

            	 	
              $

            	
              100,000

            	 	 	
              1

            	 
	
              Class
                1-M5

            	 	 	
              (28)

            	 	
              $

            	
              2,126,000

            	 	
              $

            	
              100,000

            	 	 	
              1

            	 
	
              Class
                1-M6

            	 	 	
              (29)

            	 	
              $

            	
              2,126,000

            	 	
              $

            	
              100,000

            	 	 	
              1

            	 
	
              Class
                1-M7

            	 	 	
              (30)

            	 	
              $

            	
              2,976,000

            	 	
              $

            	
              100,000

            	 	 	
              1

            	 
	
              Class
                1-M8

            	 	 	
              (31)

            	 	
              $

            	
              4,252,000

            	 	
              $

            	
              100,000

            	 	 	
              1

            	 
	
              Class
                2-M1

            	 	 	
              (32)

            	 	
              $

            	
              6,296,000

            	 	
              $

            	
              100,000

            	 	 	
              2

            	 
	
              Class
                2-M2

            	 	 	
              (33)

            	 	
              $

            	
              5,890,000

            	 	
              $

            	
              100,000

            	 	 	
              2

            	 
	
              Class
                2-M3

            	 	 	
              (34)

            	 	
              $

            	
              3,452,000

            	 	
              $

            	
              100,000

            	 	 	
              2

            	 
	
              Class
                2-M4

            	 	 	
              (35)

            	 	
              $

            	
              3,046,000

            	 	
              $

            	
              100,000

            	 	 	
              2

            	 
	
              Class
                2-M5

            	 	 	
              (36)

            	 	
              $

            	
              3,046,000

            	 	
              $

            	
              100,000

            	 	 	
              2

            	 
	
              Class
                2-M6

            	 	 	
              (37)

            	 	
              $

            	
              2,031,000

            	 	
              $

            	
              100,000

            	 	 	
              2

            	 
	
              Class
                2-M7

            	 	 	
              (38)

            	 	
              $

            	
              2,031,000

            	 	
              $

            	
              100,000

            	 	 	
              2

            	 
	
              Class
                2-M8

            	 	 	
              (39)

            	 	
              $

            	
              2,031,000

            	 	
              $

            	
              100,000

            	 	 	
              2

            	 
	
              Class
                2-M9

            	 	 	
              (40)

            	 	
              $

            	
              2,031,000

            	 	
              $

            	
              100,000

            	 	 	
              2

            	 
	
              Class
                2-M10

            	 	 	
              (41)

            	 	
              $

            	
              5,077,000

            	 	
              $

            	
              100,000

            	 	 	
              2

            	 
	
              Class
                3-M1

            	 	 	
              (42)

            	 	
              $

            	
              4,435,000

            	 	
              $

            	
              100,000

            	 	 	
              3

            	 
	
              Class
                3-M2

            	 	 	
              (43)

            	 	
              $

            	
              3,880,000

            	 	
              $

            	
              100,000

            	 	 	
              3

            	 
	
              Class
                3-M3

            	 	 	
              (44)

            	 	
              $

            	
              2,356,000

            	 	
              $

            	
              100,000

            	 	 	
              3

            	 
	
              Class
                3-M4

            	 	 	
              (45)

            	 	
              $

            	
              4,158,000

            	 	
              $

            	
              100,000

            	 	 	
              3

            	 
	
              Class
                3-M5

            	 	 	
              (46)

            	 	
              $

            	
              1,940,000

            	 	
              $

            	
              100,000

            	 	 	
              3

            	 
	
              Class
                3-M6

            	 	 	
              (47)

            	 	
              $

            	
              3,187,000

            	 	
              $

            	
              100,000

            	 	 	
              3

            	 
	
              Class
                3-M7

            	 	 	
              (48)

            	 	
              $

            	
              1,386,000

            	 	
              $

            	
              100,000

            	 	 	
              3

            	 
	
              Class
                3-M8

            	 	 	
              (49)

            	 	
              $

            	
              2,633,000

            	 	
              $

            	
              100,000

            	 	 	
              3

            	 
	
              Class
                4-M1

            	 	 	
              (50)

            	 	
              $

            	
              5,884,000

            	 	
              $

            	
              100,000

            	 	 	
              4

            	 
	
              Class
                4-M2

            	 	 	
              (51)

            	 	
              $

            	
              1,652,000

            	 	
              $

            	
              100,000

            	 	 	
              4

            	 
	
              Class
                4-M3

            	 	 	
              (52)

            	 	
              $

            	
              3,097,000

            	 	
              $

            	
              100,000

            	 	 	
              4

            	 
	
              Class
                4-M4

            	 	 	
              (53)

            	 	
              $

            	
              1,239,000

            	 	
              $

            	
              100,000

            	 	 	
              4

            	 
	
              Class
                4-M5

            	 	 	
              (54)

            	 	
              $

            	
              2,375,000

            	 	
              $

            	
              100,000

            	 	 	
              4

            	 
	
              Class
                4-M6

            	 	 	
              (55)

            	 	
              $

            	
              1,032,000

            	 	
              $

            	
              100,000

            	 	 	
              4

            	 
	
              Class
                4-M7

            	 	 	
              (56)

            	 	
              $

            	
              1,032,000

            	 	
              $

            	
              100,000

            	 	 	
              4

            	 
	
              Class
                1-P

            	 	 	
              (57)

            	 	 	
              (57)

            	 	 	
              (71)

            	 	 	
              1

            	 
	
              Class
                2-P

            	 	 	
              (58)

            	 	 	
              (58)

            	 	 	
              (71)

            	 	 	
              2

            	 
	
              Class
                1-X

            	 	 	
              (59)

            	 	 	
              (59)

            	 	 	
              (71)

            	 	 	
              1

            	 
	
              Class
                2-X

            	 	 	
              (60)

            	 	 	
              (60)

            	 	 	
              (71)

            	 	 	
              2

            	 
	
              Class
                3-X

            	 	 	
              (61)

            	 	 	
              (61)

            	 	 	
              (71)

            	 	 	
              3

            	 
	
              Class
                4-X

            	 	 	
              (62)

            	 	 	
              (62)

            	 	 	
              (71)

            	 	 	
              4

            	 
	
              Class
                1-R

            	 	 	
              (63)

            	 	 	
              (63)

            	 	 	
              (71)

            	 	 	
              1

            	 
	
              Class
                2-R

            	 	 	
              (64)

            	 	 	
              (64)

            	 	 	
              (71)

            	 	 	
              2

            	 
	
              Class
                3-R

            	 	 	
              (65)

            	 	 	
              (65)

            	 	 	
              (71)

            	 	 	
              3

            	 
	
              Class
                4-R

            	 	 	
              (66)

            	 	 	
              (66)

            	 	 	
              (71)

            	 	 	
              4

            	 
	
              Class
                1-LT-R

            	 	 	
              (67)

            	 	 	
              (67)

            	 	 	
              (71)

            	 	 	
              N/A

            	 
	
              Class
                2-LT-R

            	 	 	
              (68)

            	 	 	
              (68)

            	 	 	
              (71)

            	 	 	
              N/A

            	 
	
              Class
                3-LT-R

            	 	 	
              (69)

            	 	 	
              (69)

            	 	 	
              (71)

            	 	 	
              N/A

            	 
	
              Class
                4-LT-R

            	 	 	
              (70)

            	 	 	
              (70)

            	 	 	
              (71)

            	 	 	
              N/A

            	 

    

     

    
      
        
        

      

      
        27

        
          

        

      

      
        
        

      

    

     

     

    
      	 	
              (1)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 1A-A1 Certificates is the per
                annum
                rate equal to the lesser of (i) LIBOR plus 0.160% and (ii) the Pool
                1A Net
                Funds Cap for such Distribution Date;
                provided,
                that if the Mortgage Loans in Pool 1A and Pool 1B and related property
                are
                not purchased pursuant to Section 7.01(b) on the Pool 1A-1B Initial
                Optional Termination Date, then with respect to each subsequent
                Distribution Date the per annum rate calculated pursuant to clause
                (i)
                above with respect to the Class 1-A1 Certificates will be LIBOR plus
                0.320%. For purposes of the REMIC Provisions, the reference to a
                Net Funds
                Cap in clause (ii) of the preceding sentence shall be deemed to be
                a
                reference to the Pool 1 REMIC Net Funds Cap; therefore, on any
                Distribution Date on which the Certificate Interest Rate for the
                Class
                1A-A1 Certificates exceeds the Pool 1 REMIC Net Funds Cap, interest
                accruals based on such excess shall be treated as having been paid
                from
                the Pool 1A-1B Basis Risk Reserve Fund or the Supplemental Interest
                Trust,
                as applicable; on any Distribution Date on which the Certificate
                Interest
                Rate on the Class 1A-A1 Certificates is based on a Net Funds Cap,
                the
                amount of interest that would have accrued on the Class 1A-A1 Certificates
                if the Pool 1 REMIC Net Funds Cap were substituted for the Net Funds
                Cap
                shall be treated as having been paid by the Class 1A-A1 Certificateholders
                to the Supplemental Interest Trust, all pursuant to and as further
                provided in Section 10.01(n)
                hereof.

            

    

     

    
      	 	
              (2)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 1A-A2 Certificates is the per
                annum
                rate equal to the lesser of (i) LIBOR plus 0.230% and (ii) the Pool
                1A Net
                Funds Cap for such Distribution Date; provided,
                that if the Mortgage Loans in Pool 1A and Pool 1B and related property
                are
                not purchased pursuant to Section 7.01(b) on the Pool 1A-1B Initial
                Optional Termination Date, then with respect to each subsequent
                Distribution Date the per annum rate calculated pursuant to clause
                (i)
                above with respect to the Class 1A-A2 Certificates will be LIBOR
                plus
                0.460%. For purposes of the REMIC Provisions, the reference to a
                Net Funds
                Cap in clause (ii) of the preceding sentence shall be deemed to be
                a
                reference to the Pool 1 REMIC Net Funds Cap; therefore, on any
                Distribution Date on which the Certificate Interest Rate for the
                Class
                1A-A2 Certificates exceeds the Pool 1 REMIC Net Funds Cap, interest
                accruals based on such excess shall be treated as having been paid
                from
                the Pool 1A-1B Basis Risk Reserve Fund or the Supplemental Interest
                Trust,
                as applicable; on any Distribution Date on which the Certificate
                Interest
                Rate on the Class 1A-A2 Certificates is based on a Net Funds Cap,
                the
                amount of interest that would have accrued on the Class 1A-A2 Certificates
                if the Pool 1 REMIC Net Funds Cap were substituted for the Net Funds
                Cap
                shall be treated as having been paid by the Class 1A-A2 Certificateholders
                to the Supplemental Interest Trust, all pursuant to and as further
                provided in Section 10.01(n)
                hereof.

            

    

     

    
      	 	
              (3)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 1B-A1 Certificates is the per
                annum
                rate equal to the lesser of (i) LIBOR plus 0.160% and (ii) the Pool
                1B Net
                Funds Cap for such Distribution Date; provided,
                that if the Mortgage Loans in Pool 1A and Pool 1B and related property
                are
                not purchased pursuant to Section 7.01(b) on the Pool 1A-1B Initial
                Optional Termination Date, then with respect to each subsequent
                Distribution Date the per annum rate calculated pursuant to clause
                (i)
                above with respect to the Class 1B-A1 Certificates will be LIBOR
                plus
                0.320%. For purposes of the REMIC Provisions, the reference to a
                Net Funds
                Cap in clause (ii) of the preceding sentence shall be deemed to be
                a
                reference to the Pool 1 REMIC Net Funds Cap; therefore, on any
                Distribution Date on which the Certificate Interest Rate for the
                Class
                1B-A1 Certificates exceeds the Pool 1 REMIC Net Funds Cap, interest
                accruals based on such excess shall be treated as having been paid
                from
                the Pool 1A-1B Basis Risk Reserve Fund or the Supplemental Interest
                Trust,
                as applicable; on any Distribution Date on which the Certificate
                Interest
                Rate on the Class 1B-A1 Certificates is based on a Net Funds Cap,
                the
                amount of interest that would have accrued on the Class 1B-A1 Certificates
                if the Pool 1 REMIC Net Funds Cap were substituted for the Net Funds
                Cap
                shall be treated as having been paid by the Class 1B-A1 Certificateholders
                to the Supplemental Interest Trust, all pursuant to and as further
                provided in Section 10.01(n)
                hereof.

            

    

     

    
      	 	
              (4)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) up to and including the Distribution Date
                in
                December 2011 for the Class 1B-A2 Certificates is the per annum rate
                equal
                to the lesser of (i) 6.170% and (ii) the Pool 1B Net Funds Cap for
                such
                Distribution Date. Beginning on the Distribution Date in January
                2012, the
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 1B-A2 Certificates is the per
                annum
                rate equal to the lesser of (i) Six-Month LIBOR plus 0.50% and (ii)
                the
                Pool 1B Net Funds Cap for such Distribution Date. For purposes of
                the
                REMIC Provisions, the reference to a Net Funds Cap in clause (ii)
                of the
                preceding sentence shall be deemed to be a reference to the Pool
                1 REMIC
                Net Funds Cap; therefore, on any Distribution Date on which the
                Certificate Interest Rate for the Class 1B-A2 Certificates exceeds
                the
                Pool 1 REMIC Net Funds Cap, interest accruals based on such excess
                shall
                be treated as having been paid from the Pool 1A-1B Basis Risk Reserve
                Fund
                or the Supplemental Interest Trust, as applicable; on any Distribution
                Date on which the Certificate Interest Rate on the Class 1B-A2
                Certificates is based on a Net Funds Cap, the amount of interest
                that
                would have accrued on the Class 1B-A2 Certificates if the Pool 1
                REMIC Net
                Funds Cap were substituted for the Net Funds Cap shall be treated
                as
                having been paid by the Class 1B-A2 Certificateholders to the Supplemental
                Interest Trust, all pursuant to and as further provided in Section
                10.01(n) hereof.

            

    

     

    

    
      
        
          
          

        

        
          28

          
            

          

        

        
          
          

        

      

    

    

    

     

    
      	 	
              (5)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 1B-A3 Certificates is the per
                annum
                rate equal to the lesser of (i) LIBOR plus 0.230% and (ii) the Pool
                1B Net
                Funds Cap for such Distribution Date; provided,
                that if the Mortgage Loans in Pool 1A and Pool 1B and related property
                are
                not purchased pursuant to Section 7.01(b) on the Pool 1A-1B Initial
                Optional Termination Date, then with respect to each subsequent
                Distribution Date the per annum rate calculated pursuant to clause
                (i)
                above with respect to the Class 1B-A2 Certificates will be LIBOR
                plus
                0.460%. For purposes of the REMIC Provisions, the reference to a
                Net Funds
                Cap in clause (ii) of the preceding sentence shall be deemed to be
                a
                reference to the Pool 1 REMIC Net Funds Cap; therefore, on any
                Distribution Date on which the Certificate Interest Rate for the
                Class
                1B-A3 Certificates exceeds the Pool 1 REMIC Net Funds Cap, interest
                accruals based on such excess shall be treated as having been paid
                from
                the Pool 1A-1B Basis Risk Reserve Fund or the Supplemental Interest
                Trust,
                as applicable; on any Distribution Date on which the Certificate
                Interest
                Rate on the Class 1B-A3 Certificates is based on a Net Funds Cap,
                the
                amount of interest that would have accrued on the Class 1B-A3 Certificates
                if the Pool 1 REMIC Net Funds Cap were substituted for the Net Funds
                Cap
                shall be treated as having been paid by the Class 1B-A3 Certificateholders
                to the Supplemental Interest Trust, all pursuant to and as further
                provided in Section 10.01(n)
                hereof.

            

    

     

    

      
        	 	
                (6)

              	
                The
                  Certificate Interest Rate with respect to any Distribution Date
                  (and the
                  related Accrual Period) for the Class 2-A1 Certificates is the
                  per annum
                  rate equal to the lesser of (i) LIBOR plus 0.080% and (ii) the
                  Pool 2 Net
                  Funds Cap for such Distribution Date; provided,
                  that if the Mortgage Loans in Pool 2 and related property are not
                  purchased pursuant to Section 7.01(b) on the Pool 2 Initial Optional
                  Termination Date, then with respect to each subsequent Distribution
                  Date
                  the per annum rate calculated pursuant to clause (i) above with
                  respect to
                  the Class 2-A1 Certificates will be LIBOR plus 0.160%. For purposes
                  of the
                  REMIC Provisions, the reference to a Net Funds Cap in clause (ii)
                  of the
                  preceding sentence shall be deemed to be a reference to the Pool
                  2 REMIC
                  Net Funds Cap; therefore, on any Distribution Date on which the
                  Certificate Interest Rate for the Class 2-A1 Certificates exceeds
                  the Pool
                  2 REMIC Net Funds Cap, interest accruals based on such excess shall
                  be
                  treated as having been paid from the Pool 2 Basis Risk Reserve
                  Fund or the
                  Supplemental Interest Trust, as applicable; on any Distribution
                  Date on
                  which the Certificate Interest Rate on the Class 2-A1 Certificates
                  is
                  based on a Net Funds Cap, the amount of interest that would have
                  accrued
                  on the Class 2-A1 Certificates if the Pool 2 REMIC Net Funds Cap
                  were
                  substituted for the Net Funds Cap shall be treated as having been
                  paid by
                  the Class 2-A1 Certificateholders to the Supplemental Interest
                  Trust, all
                  pursuant to and as further provided in Section 10.01(n)
                  hereof.

              

      

      

        
          	 	
                  (7)

                	
                  The
                    Certificate Interest Rate with respect to any Distribution Date
                    (and the
                    related Accrual Period) for the Class 2-A2 Certificates is the
                    per annum
                    rate equal to the lesser of (i) LIBOR plus 0.160% and (ii) the
                    Pool 2 Net
                    Funds Cap for such Distribution Date; provided,
                    that if the Mortgage Loans in Pool 2 and related property are
                    not
                    purchased pursuant to Section 7.01(b) on the Pool 2 Initial Optional
                    Termination Date, then with respect to each subsequent Distribution
                    Date
                    the per annum rate calculated pursuant to clause (i) above with
                    respect to
                    the Class 2-A2 Certificates will be LIBOR plus 0.320%. For purposes
                    of the
                    REMIC Provisions, the reference to a Net Funds Cap in clause
                    (ii) of the
                    preceding sentence shall be deemed to be a reference to the Pool
                    2 REMIC
                    Net Funds Cap; therefore, on any Distribution Date on which the
                    Certificate Interest Rate for the Class 2-A2 Certificates exceeds
                    the Pool
                    2 REMIC Net Funds Cap, interest accruals based on such excess
                    shall be
                    treated as having been paid from the Pool 2 Basis Risk Reserve
                    Fund or the
                    Supplemental Interest Trust, as applicable; on any Distribution
                    Date on
                    which the Certificate Interest Rate on the Class 2-A2 Certificates
                    is
                    based on a Net Funds Cap, the amount of interest that would have
                    accrued
                    on the Class 2-A2 Certificates if the Pool 2 REMIC Net Funds
                    Cap were
                    substituted for the Net Funds Cap shall be treated as having
                    been paid by
                    the Class 2-A2 Certificateholders to the Supplemental Interest
                    Trust, all
                    pursuant to and as further provided in Section 10.01(n)
                    hereof.

                

        

      

       

    

    

    
      
        
          
          

        

        
          29

          
            

          

        

        
          
          

        

      

    

    

    

      
        	 	
                (8)

              	
                The
                  Certificate Interest Rate with respect to any Distribution Date
                  (and the
                  related Accrual Period) for the Class 2-A3 Certificates is the
                  per annum
                  rate equal to the lesser of (i) LIBOR plus 0.240% and (ii) the
                  Pool 2 Net
                  Funds Cap for such Distribution Date; provided,
                  that if the Mortgage Loans in Pool 2 and related property are not
                  purchased pursuant to Section 7.01(b) on the Pool 2 Initial Optional
                  Termination Date, then with respect to each subsequent Distribution
                  Date
                  the per annum rate calculated pursuant to clause (i) above with
                  respect to
                  the Class 2-A3 Certificates will be LIBOR plus 0.480%. For purposes
                  of the
                  REMIC Provisions, the reference to a Net Funds Cap in clause (ii)
                  of the
                  preceding sentence shall be deemed to be a reference to the Pool
                  2 REMIC
                  Net Funds Cap; therefore, on any Distribution Date on which the
                  Certificate Interest Rate for the Class 2-A3 Certificates exceeds
                  the Pool
                  2 REMIC Net Funds Cap, interest accruals based on such excess shall
                  be
                  treated as having been paid from the Pool 2 Basis Risk Reserve
                  Fund or the
                  Supplemental Interest Trust, as applicable; on any Distribution
                  Date on
                  which the Certificate Interest Rate on the Class 2-A3 Certificates
                  is
                  based on a Net Funds Cap, the amount of interest that would have
                  accrued
                  on the Class 2-A3 Certificates if the Pool 2 REMIC Net Funds Cap
                  were
                  substituted for the Net Funds Cap shall be treated as having been
                  paid by
                  the Class 2-A3 Certificateholders to the Supplemental Interest
                  Trust, all
                  pursuant to and as further provided in Section 10.01(n)
                  hereof.

              

      

      

        
          	 	
                  (9)

                	
                  The
                    Certificate Interest Rate with respect to any Distribution Date
                    (and the
                    related Accrual Period) for the Class 2-A4 Certificates is the
                    per annum
                    rate equal to the lesser of (i) LIBOR plus 0.230% and (ii) the
                    Pool 2 Net
                    Funds Cap for such Distribution Date; provided,
                    that if the Mortgage Loans in Pool 2 and related property are
                    not
                    purchased pursuant to Section 7.01(b) on the Pool 2 Initial Optional
                    Termination Date, then with respect to each subsequent Distribution
                    Date
                    the per annum rate calculated pursuant to clause (i) above with
                    respect to
                    the Class 2-A4 Certificates will be LIBOR plus 0.460%. For purposes
                    of the
                    REMIC Provisions, the reference to a Net Funds Cap in clause
                    (ii) of the
                    preceding sentence shall be deemed to be a reference to the Pool
                    2 REMIC
                    Net Funds Cap; therefore, on any Distribution Date on which the
                    Certificate Interest Rate for the Class 2-A4 Certificates exceeds
                    the Pool
                    2 REMIC Net Funds Cap, interest accruals based on such excess
                    shall be
                    treated as having been paid from the Pool 2 Basis Risk Reserve
                    Fund or the
                    Supplemental Interest Trust, as applicable; on any Distribution
                    Date on
                    which the Certificate Interest Rate on the Class 2-A4 Certificates
                    is
                    based on a Net Funds Cap, the amount of interest that would have
                    accrued
                    on the Class 2-A4 Certificates if the Pool 2 REMIC Net Funds
                    Cap were
                    substituted for the Net Funds Cap shall be treated as having
                    been paid by
                    the Class 2-A4 Certificateholders to the Supplemental Interest
                    Trust, all
                    pursuant to and as further provided in Section 10.01(n)
                    hereof.

                

        

      

       

    

    
      	 	
              (10)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 3A-A Certificates is the per
                annum
                rate equal to the lesser of (i) 7.000% and (ii) the Pool 3A Net Funds
                Cap
                for such Distribution Date. 

            

    

     

    
      	 	
              (11)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 3B-A1 Certificates is the per
                annum
                rate equal to the lesser of (i) 7.000% and (ii) the Pool 3B Net Funds
                Cap
                for such Distribution Date. 

            

    

     

    
      	 	
              (12)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 3B-A2 Certificates is the per
                annum
                rate equal to the lesser of (i) 6.500% and (ii) the Pool 3B Net Funds
                Cap
                for such Distribution Date. 

            

    

     

    
      	 	
              (13)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 3B-A3 Certificates is the per
                annum
                rate equal to the lesser of (i) 6.010% and (ii) the Pool 3B Net Funds
                Cap
                for such Distribution Date. 

            

    

     

    
      	 	
              (14)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 4A-A1 Certificates is the per
                annum
                rate equal to the lesser of (i) LIBOR plus 0.310% and (ii) 7.000%
                per
                annum. 

            

    

     

    

    
      
        
          
          

        

        
          30

          
            

          

        

        
          
          

        

      

    

    

    

     

    
      	 	
              (15)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 4A-A2 Certificates is the per
                annum
                rate equal to the lesser of (i) LIBOR plus 0.310% and (ii) 7.000%
                per
                annum. 

            

    

     

    
      	 	
              (16)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 4A-A3 Certificates is the per
                annum
                rate equal to the lesser of (i) LIBOR plus 0.310% and (ii) 7.000%
                per
                annum. 

            

    

     

    
      	 	
              (17)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 4A-A4 Certificates is the per
                annum
                rate equal to the lesser of (i) LIBOR plus 0.310% and (ii) 7.000%
                per
                annum.

            

    

     

    
      	 	
              (18)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class I Component of the Class 4A-AIO
                Certificates is the per annum rate equal to 6.690% per annum minus
                LIBOR;
                provided
                that such Certificate Interest Rate shall never be less than 0.00%
                per
                annum. 

            

    

     

    
      	 	
              (19)

            	
              The
                Class 4A-AIO Certificate has an initial notional amount equal to
                the
                aggregate Class Principal Amount of the Group 4A Senior Certificates,
                which on the Closing Date is equal to $110,844,000. The Class 4A-AIO
                Certificates will be issued in two components: a Class I Component
                and a
                Class P Component. The Class I Component will be issued with an
                interest-bearing component and will accrue interest at the rate described
                in footnote (18) above. The Class P Components will not be issued
                with an
                interest rate or principal balance but will be entitled to all Prepayment
                Premiums paid by the borrowers on certain voluntary, full and partial
                prepayments of the Mortgage Loans in Pool
                4A.

            

    

     

    
      	 	
              (20)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 4B-A1 Certificates is the per
                annum
                rate equal to the lesser of (i) LIBOR plus 0.310% and (ii) 7.000%
                per
                annum.

            

    

     

    
      	 	
              (21)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 4B-A2 Certificates is the per
                annum
                rate equal to the lesser of (i) LIBOR plus 0.310% and (ii) 7.000%
                per
                annum.

            

    

     

    
      	 	
              (22)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class I Component of the Class 4B-AIO
                Certificates is the per annum rate equal to 6.690% per annum minus
                LIBOR;
                provided
                that such Certificate Interest Rate shall never be less than 0.00%
                per
                annum. 

            

    

     

    
      	 	
              (23)

            	
              The
                Class 4B-AIO Certificate has an initial notional amount equal to
                the
                aggregate Class Principal Amount of the Group 4B Senior Certificates,
                which on the Closing Date is equal to $76,018,000. The Class 4B-AIO
                Certificates will be issued in two components: a Class I Component
                and a
                Class P Component. The Class I Component will be issued with an
                interest-bearing component and will accrue interest at the rate described
                in footnote (22) above. The Class P Components will not be issued
                with an
                interest rate or principal balance but will be entitled to all Prepayment
                Premiums paid by the borrowers on certain voluntary, full and partial
                prepayments of the Mortgage Loans in Pool
                4B.

            

    

     

    
      	 	
              (24)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 1-M1 Certificates is the per
                annum
                rate equal to the lesser of (i) LIBOR plus 0.280% and (ii) the Pool
                1
                Subordinate Net Funds Cap for such Distribution Date, provided,
                that if the Mortgage Loans in Pool 1 and related property are not
                purchased pursuant to Section 7.01(b) on the Pool 1A-1B Initial Optional
                Termination Date, then with respect to each subsequent Distribution
                Date
                the per annum rate calculated pursuant to clause (i) above with respect
                to
                the Class 1-M1 Certificates will be LIBOR plus 0.420%. For purposes
                of the
                REMIC Provisions, the reference to “Pool 1A-1B Subordinate Net Funds Cap”
                in clause (ii) of the preceding sentence shall be deemed to be a
                reference
                to the Pool 1 REMIC Net Funds Cap. For any Distribution Date on which
                the
                Certificate Interest Rate for the Class 1-M1 Certificates is based
                on the
                Pool 1A-1B Subordinate Net Funds Cap, the amount of interest that
                would
                have been payable on such Certificates if the Pool 1 REMIC Net Funds
                Cap
                were substituted for the Pool 1A-1B Subordinate Net Funds Cap over
                the
                amount actually payable thereon shall be treated as having been paid
                to
                the owners of the Class 1-M1 Certificates and then deposited by such
                owners into the Supplemental Interest Trust pursuant to Section 10.01(n)
                hereof.

            

    

     

    

    
      
        
          
          

        

        
          31

          
            

          

        

        
          
          

        

      

    

    

    

     

    
      	 	
              (25)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 1-M2 Certificates is the per
                annum
                rate equal to the lesser of (i) LIBOR plus 0.300% and (ii) the Pool
                1
                Subordinate Net Funds Cap for such Distribution Date, provided,
                that if the Mortgage Loans in Pool 1 and related property are not
                purchased pursuant to Section 7.01(b) on the Pool 1A-1B Initial Optional
                Termination Date, then with respect to each subsequent Distribution
                Date
                the per annum rate calculated pursuant to clause (i) above with respect
                to
                the Class 1-M2 Certificates will be LIBOR plus 0.450%. For purposes
                of the
                REMIC Provisions, the reference to “Pool 1A-1B Subordinate Net Funds Cap”
                in clause (ii) of the preceding sentence shall be deemed to be a
                reference
                to the Pool 1 REMIC Net Funds Cap. For any Distribution Date on which
                the
                Certificate Interest Rate for the Class 1-M2 Certificates is based
                on the
                Pool 1A-1B Subordinate Net Funds Cap, the amount of interest that
                would
                have been payable on such Certificates if the Pool 1 REMIC Net Funds
                Cap
                were substituted for the Pool 1A-1B Subordinate Net Funds Cap over
                the
                amount actually payable thereon shall be treated as having been paid
                to
                the owners of the Class 1-M2 Certificates and then deposited by such
                owners into the Supplemental Interest Trust pursuant to Section 10.01(n)
                hereof.

            

    

     

    
      	 	
              (26)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 1-M3 Certificates is the per
                annum
                rate equal to the lesser of (i) LIBOR plus 0.330% and (ii) the Pool
                1
                Subordinate Net Funds Cap for such Distribution Date, provided,
                that if the Mortgage Loans in Pool 1 and related property are not
                purchased pursuant to Section 7.01(b) on the Pool 1A-1B Initial Optional
                Termination Date, then with respect to each subsequent Distribution
                Date
                the per annum rate calculated pursuant to clause (i) above with respect
                to
                the Class 1-M3 Certificates will be LIBOR plus 0.495%. For purposes
                of the
                REMIC Provisions, the reference to “Pool 1A-1B Subordinate Net Funds Cap”
                in clause (ii) of the preceding sentence shall be deemed to be a
                reference
                to the Pool 1 REMIC Net Funds Cap. For any Distribution Date on which
                the
                Certificate Interest Rate for the Class 1-M3 Certificates is based
                on the
                Pool 1A-1B Subordinate Net Funds Cap, the amount of interest that
                would
                have been payable on such Certificates if the Pool 1 REMIC Net Funds
                Cap
                were substituted for the Pool 1A-1B Subordinate Net Funds Cap over
                the
                amount actually payable thereon shall be treated as having been paid
                to
                the owners of the Class 1-M3 Certificates and then deposited by such
                owners into the Supplemental Interest Trust pursuant to Section 10.01(n)
                hereof.

            

    

     

    
      	 	
              (27)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 1-M4 Certificates is the per
                annum
                rate equal to the lesser of (i) LIBOR plus 0.420% and (ii) the Pool
                1
                Subordinate Net Funds Cap for such Distribution Date, provided,
                that if the Mortgage Loans in Pool 1 and related property are not
                purchased pursuant to Section 7.01(b) on the Pool 1A-1B Initial Optional
                Termination Date, then with respect to each subsequent Distribution
                Date
                the per annum rate calculated pursuant to clause (i) above with respect
                to
                the Class 1-M4 Certificates will be LIBOR plus 0.630%. For purposes
                of the
                REMIC Provisions, the reference to “Pool 1A-1B Subordinate Net Funds Cap”
                in clause (ii) of the preceding sentence shall be deemed to be a
                reference
                to the Pool 1 REMIC Net Funds Cap. For any Distribution Date on which
                the
                Certificate Interest Rate for the Class 1-M4 Certificates is based
                on the
                Pool 1A-1B Subordinate Net Funds Cap, the amount of interest that
                would
                have been payable on such Certificates if the Pool 1 REMIC Net Funds
                Cap
                were substituted for the Pool 1A-1B Subordinate Net Funds Cap over
                the
                amount actually payable thereon shall be treated as having been paid
                to
                the owners of the Class 1-M4 Certificates and then deposited by such
                owners into the Supplemental Interest Trust pursuant to Section 10.01(n)
                hereof.

            

    

     

    
      	 	
              (28)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 1-M5 Certificates is the per
                annum
                rate equal to the lesser of (i) LIBOR plus 0.450% and (ii) the Pool
                1
                Subordinate Net Funds Cap for such Distribution Date, provided,
                that if the Mortgage Loans in Pool 1 and related property are not
                purchased pursuant to Section 7.01(b) on the Pool 1A-1B Initial Optional
                Termination Date, then with respect to each subsequent Distribution
                Date
                the per annum rate calculated pursuant to clause (i) above with respect
                to
                the Class 1-M5 Certificates will be LIBOR plus 0.675%. For purposes
                of the
                REMIC Provisions, the reference to “Pool 1A-1B Subordinate Net Funds Cap”
                in clause (ii) of the preceding sentence shall be deemed to be a
                reference
                to the Pool 1 REMIC Net Funds Cap. For any Distribution Date on which
                the
                Certificate Interest Rate for the Class 1-M5 Certificates is based
                on the
                Pool 1A-1B Subordinate Net Funds Cap, the amount of interest that
                would
                have been payable on such Certificates if the Pool 1 REMIC Net Funds
                Cap
                were substituted for the Pool 1A-1B Subordinate Net Funds Cap over
                the
                amount actually payable thereon shall be treated as having been paid
                to
                the owners of the Class 1-M5 Certificates and then deposited by such
                owners into the Supplemental Interest Trust pursuant to Section 10.01(n)
                hereof.

            

    

     

    

    
      
        
          
          

        

        
          32

          
            

          

        

        
          
          

        

      

    

    

    

     

    
      	 	
              (29)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 1-M6 Certificates is the per
                annum
                rate equal to the lesser of (i) LIBOR plus 0.530% and (ii) the Pool
                1
                Subordinate Net Funds Cap for such Distribution Date, provided,
                that if the Mortgage Loans in Pool 1 and related property are not
                purchased pursuant to Section 7.01(b) on the Pool 1A-1B Initial Optional
                Termination Date, then with respect to each subsequent Distribution
                Date
                the per annum rate calculated pursuant to clause (i) above with respect
                to
                the Class 1-M6 Certificates will be LIBOR plus 0.795%. For purposes
                of the
                REMIC Provisions, the reference to “Pool 1A-1B Subordinate Net Funds Cap”
                in clause (ii) of the preceding sentence shall be deemed to be a
                reference
                to the Pool 1 REMIC Net Funds Cap. For any Distribution Date on which
                the
                Certificate Interest Rate for the Class 1-M6 Certificates is based
                on the
                Pool 1A-1B Subordinate Net Funds Cap, the amount of interest that
                would
                have been payable on such Certificates if the Pool 1 REMIC Net Funds
                Cap
                were substituted for the Pool 1A-1B Subordinate Net Funds Cap over
                the
                amount actually payable thereon shall be treated as having been paid
                to
                the owners of the Class 1-M6 Certificates and then deposited by such
                owners into the Supplemental Interest Trust pursuant to Section 10.01(n)
                hereof.

            

    

     

    
      	 	
              (30)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 1-M7 Certificates is the per
                annum
                rate equal to the lesser of (i) LIBOR plus 1.500% and (ii) the Pool
                1
                Subordinate Net Funds Cap for such Distribution Date, provided,
                that if the Mortgage Loans in Pool 1 and related property are not
                purchased pursuant to Section 7.01(b) on the Pool 1A-1B Initial Optional
                Termination Date, then with respect to each subsequent Distribution
                Date
                the per annum rate calculated pursuant to clause (i) above with respect
                to
                the Class 1-M7 Certificates will be LIBOR plus 2.250%. For purposes
                of the
                REMIC Provisions, the reference to “Pool 1A-1B Subordinate Net Funds Cap”
                in clause (ii) of the preceding sentence shall be deemed to be a
                reference
                to the Pool 1 REMIC Net Funds Cap. For any Distribution Date on which
                the
                Certificate Interest Rate for the Class 1-M7 Certificates is based
                on the
                Pool 1A-1B Subordinate Net Funds Cap, the amount of interest that
                would
                have been payable on such Certificates if the Pool 1 REMIC Net Funds
                Cap
                were substituted for the Pool 1A-1B Subordinate Net Funds Cap over
                the
                amount actually payable thereon shall be treated as having been paid
                to
                the owners of the Class 1-M7 Certificates and then deposited by such
                owners into the Supplemental Interest Trust pursuant to Section 10.01(n)
                hereof.

            

    

     

    
      	 	
              (31)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 1-M8 Certificates is the per
                annum
                rate equal to the lesser of (i) LIBOR plus 1.650% and (ii) the Pool
                1
                Subordinate Net Funds Cap for such Distribution Date, provided,
                that if the Mortgage Loans in Pool 1 and related property are not
                purchased pursuant to Section 7.01(b) on the Pool 1A-1B Initial Optional
                Termination Date, then with respect to each subsequent Distribution
                Date
                the per annum rate calculated pursuant to clause (i) above with respect
                to
                the Class 1-M8 Certificates will be LIBOR plus 2.475%. For purposes
                of the
                REMIC Provisions, the reference to “Pool 1A-1B Subordinate Net Funds Cap”
                in clause (ii) of the preceding sentence shall be deemed to be a
                reference
                to the Pool 1 REMIC Net Funds Cap. For any Distribution Date on which
                the
                Certificate Interest Rate for the Class 1-M8 Certificates is based
                on the
                Pool 1A-1B Subordinate Net Funds Cap, the amount of interest that
                would
                have been payable on such Certificates if the Pool 1 REMIC Net Funds
                Cap
                were substituted for the Pool 1A-1B Subordinate Net Funds Cap over
                the
                amount actually payable thereon shall be treated as having been paid
                to
                the owners of the Class 1-M8 Certificates and then deposited by such
                owners into the Supplemental Interest Trust pursuant to Section 10.01(n)
                hereof.

            

    

     

    

    
      
        
          
          

        

        
          33

          
            

          

        

        
          
          

        

      

    

    

    

     

    
      	 	
              (32)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 2-M1 Certificates is the per
                annum
                rate equal to the lesser of (i) LIBOR plus 0.280% and (ii) the Pool
                2
                Subordinate Net Funds Cap for such Distribution Date, provided,
                that if the Mortgage Loans in Pool 2 and related property are not
                purchased pursuant to Section 7.01(b) on the Pool 2 Initial Optional
                Termination Date, then with respect to each subsequent Distribution
                Date
                the per annum rate calculated pursuant to clause (i) above with respect
                to
                the Class 2-M1 Certificates will be LIBOR plus 0.420%. For purposes
                of the
                REMIC Provisions, the reference to “Pool 2 Subordinate Net Funds Cap” in
                clause (ii) of the preceding sentence shall be deemed to be a reference
                to
                the Pool 2 REMIC Net Funds Cap. For any Distribution Date on which
                the
                Certificate Interest Rate for the Class 2-M1 Certificates is based
                on the
                Pool 2 Subordinate Net Funds Cap, the amount of interest that would
                have
                been payable on such Certificates if the Pool 2 REMIC Net Funds Cap
                were
                substituted for the Pool 2 Subordinate Net Funds Cap over the amount
                actually payable thereon shall be treated as having been paid to
                the
                owners of the Class 2-M1 Certificates and then deposited by such
                owners
                into the Supplemental Interest Trust pursuant to Section 10.01(n)
                hereof.

            

    

     

    
      	 	
              (33)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 2-M2 Certificates is the per
                annum
                rate equal to the lesser of (i) LIBOR plus 0.300% and (ii) the Pool
                2
                Subordinate Net Funds Cap for such Distribution Date, provided,
                that if the Mortgage Loans in Pool 2 and related property are not
                purchased pursuant to Section 7.01(b) on the Pool 2 Initial Optional
                Termination Date, then with respect to each subsequent Distribution
                Date
                the per annum rate calculated pursuant to clause (i) above with respect
                to
                the Class 2-M2 Certificates will be LIBOR plus 0.450%. For purposes
                of the
                REMIC Provisions, the reference to “Pool 2 Subordinate Net Funds Cap” in
                clause (ii) of the preceding sentence shall be deemed to be a reference
                to
                the Pool 2 REMIC Net Funds Cap. For any Distribution Date on which
                the
                Certificate Interest Rate for the Class 2-M2 Certificates is based
                on the
                Pool 2 Subordinate Net Funds Cap, the amount of interest that would
                have
                been payable on such Certificates if the Pool 2 REMIC Net Funds Cap
                were
                substituted for the Pool 2 Subordinate Net Funds Cap over the amount
                actually payable thereon shall be treated as having been paid to
                the
                owners of the Class 2-M2 Certificates and then deposited by such
                owners
                into the Supplemental Interest Trust pursuant to Section 10.01(n)
                hereof.

            

    

     

    
      	 	
              (34)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 2-M3 Certificates is the per
                annum
                rate equal to the lesser of (i) LIBOR plus 0.330% and (ii) the Pool
                2
                Subordinate Net Funds Cap for such Distribution Date, provided,
                that if the Mortgage Loans in Pool 2 and related property are not
                purchased pursuant to Section 7.01(b) on the Pool 2 Initial Optional
                Termination Date, then with respect to each subsequent Distribution
                Date
                the per annum rate calculated pursuant to clause (i) above with respect
                to
                the Class 2-M3 Certificates will be LIBOR plus 0.495%. For purposes
                of the
                REMIC Provisions, the reference to “Pool 2 Subordinate Net Funds Cap” in
                clause (ii) of the preceding sentence shall be deemed to be a reference
                to
                the Pool 2 REMIC Net Funds Cap. For any Distribution Date on which
                the
                Certificate Interest Rate for the Class 2-M3 Certificates is based
                on the
                Pool 2 Subordinate Net Funds Cap, the amount of interest that would
                have
                been payable on such Certificates if the REMIC Net Funds Cap were
                substituted for the Pool 2 Subordinate Net Funds Cap over the amount
                actually payable thereon shall be treated as having been paid to
                the
                owners of the Class 2-M3 Certificates and then deposited by such
                owners
                into the Supplemental Interest Trust pursuant to Section 10.01(n)
                hereof.

            

    

     

    
      	 	
              (35)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 2-M4 Certificates is the per
                annum
                rate equal to the lesser of (i) LIBOR plus 0.420% and (ii) the Pool
                2
                Subordinate Net Funds Cap for such Distribution Date, provided,
                that if the Mortgage Loans in Pool 2 and related property are not
                purchased pursuant to Section 7.01(b) on the Pool 2 Initial Optional
                Termination Date, then with respect to each subsequent Distribution
                Date
                the per annum rate calculated pursuant to clause (i) above with respect
                to
                the Class 2-M4 Certificates will be LIBOR plus 0.630%. For purposes
                of the
                REMIC Provisions, the reference to “Pool 2 Subordinate Net Funds Cap” in
                clause (ii) of the preceding sentence shall be deemed to be a reference
                to
                the Pool 2 REMIC Net Funds Cap. For any Distribution Date on which
                the
                Certificate Interest Rate for the Class 2-M4 Certificates is based
                on the
                Pool 2 Subordinate Net Funds Cap, the amount of interest that would
                have
                been payable on such Certificates if the Pool 2 REMIC Net Funds Cap
                were
                substituted for the Pool 2 Subordinate Net Funds Cap over the amount
                actually payable thereon shall be treated as having been paid to
                the
                owners of the Class 2-M4 Certificates and then deposited by such
                owners
                into the Supplemental Interest Trust pursuant to Section 10.01(n)
                hereof.

            

    

     

    

    
      
        
          
          

        

        
          34

          
            

          

        

        
          
          

        

      

    

    

    

     

    
      	 	
              (36)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 2-M5 Certificates is the per
                annum
                rate equal to the lesser of (i) LIBOR plus 0.450% and (ii) the Pool
                2
                Subordinate Net Funds Cap for such Distribution Date, provided,
                that if the Mortgage Loans in Pool 2 and related property are not
                purchased pursuant to Section 7.01(b) on the Pool 2 Initial Optional
                Termination Date, then with respect to each subsequent Distribution
                Date
                the per annum rate calculated pursuant to clause (i) above with respect
                to
                the Class 2-M5 Certificates will be LIBOR plus 0.675%. For purposes
                of the
                REMIC Provisions, the reference to “Pool 2 Subordinate Net Funds Cap” in
                clause (ii) of the preceding sentence shall be deemed to be a reference
                to
                the Pool 2 REMIC Net Funds Cap. For any Distribution Date on which
                the
                Certificate Interest Rate for the Class 2-M5 Certificates is based on the
                Pool 2 Subordinate Net Funds Cap, the amount of interest that would
                have
                been payable on such Certificates if the Pool 2 REMIC Net Funds Cap
                were
                substituted for the Pool 2 Subordinate Net Funds Cap over the amount
                actually payable thereon shall be treated as having been paid to
                the
                owners of the Class 2-M5 Certificates and then deposited by such
                owners
                into the Supplemental Interest Trust pursuant to Section 10.01(n)
                hereof.

            

    

     

    
      	 	
              (37)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 2-M6 Certificates is the per
                annum
                rate equal to the lesser of (i) LIBOR plus 0.530% and (ii) the Pool
                2
                Subordinate Net Funds Cap for such Distribution Date, provided,
                that if the Mortgage Loans in Pool 2 and related property are not
                purchased pursuant to Section 7.01(b) on the Pool 2 Initial Optional
                Termination Date, then with respect to each subsequent Distribution
                Date
                the per annum rate calculated pursuant to clause (i) above with respect
                to
                the Class 2-M6 Certificates will be LIBOR plus 0.795%. For purposes
                of the
                REMIC Provisions, the reference to “Pool 2 Subordinate Net Funds Cap” in
                clause (ii) of the preceding sentence shall be deemed to be a reference
                to
                the Pool 2 REMIC Net Funds Cap. For any Distribution Date on which
                the
                Certificate Interest Rate for the Class 2-M6 Certificates is based
                on the
                Pool 2 Subordinate Net Funds Cap, the amount of interest that would
                have
                been payable on such Certificates if the Pool 2 REMIC Net Funds Cap
                were
                substituted for the Pool 2 Subordinate Net Funds Cap over the amount
                actually payable thereon shall be treated as having been paid to
                the
                owners of the Class 2-M6 Certificates and then deposited by such
                owners
                into the Supplemental Interest Trust pursuant to Section 10.01(n)
                hereof.

            

    

     

    
      	 	
              (38)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 2-M7 Certificates is the per
                annum
                rate equal to the lesser of (i) LIBOR plus 1.000% and (ii) the Pool
                2
                Subordinate Net Funds Cap for such Distribution Date, provided,
                that if the Mortgage Loans in Pool 2 and related property are not
                purchased pursuant to Section 7.01(b) on the Pool 2 Initial Optional
                Termination Date, then with respect to each subsequent Distribution
                Date
                the per annum rate calculated pursuant to clause (i) above with respect
                to
                the Class 2-M7 Certificates will be LIBOR plus 1.500%. For purposes
                of the
                REMIC Provisions, the reference to “Pool 2 Subordinate Net Funds Cap” in
                clause (ii) of the preceding sentence shall be deemed to be a reference
                to
                the Pool 2 REMIC Net Funds Cap. For any Distribution Date on which
                the
                Certificate Interest Rate for the Class 2-M7 Certificates is based
                on the
                Pool 2 Subordinate Net Funds Cap, the amount of interest that would
                have
                been payable on such Certificates if the Pool 2 REMIC Net Funds Cap
                were
                substituted for the Pool 2 Subordinate Net Funds Cap over the amount
                actually payable thereon shall be treated as having been paid to
                the
                owners of the Class 2-M7 Certificates and then deposited by such
                owners
                into the Supplemental Interest Trust pursuant to Section 10.01(n)
                hereof.

            

    

     

    
      	 	
              (39)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 2-M8 Certificates is the per
                annum
                rate equal to the lesser of (i) LIBOR plus 1.500% and (ii) the Pool
                2
                Subordinate Net Funds Cap for such Distribution Date, provided,
                that if the Mortgage Loans in Pool 2 and related property are not
                purchased pursuant to Section 7.01(b) on the Pool 2 Initial Optional
                Termination Date, then with respect to each subsequent Distribution
                Date
                the per annum rate calculated pursuant to clause (i) above with respect
                to
                the Class 2-M8 Certificates will be LIBOR plus 2.250%. For purposes
                of the
                REMIC Provisions, the reference to “Pool 2 Subordinate Net Funds Cap” in
                clause (ii) of the preceding sentence shall be deemed to be a reference
                to
                the Pool 2 REMIC Net Funds Cap. For any Distribution Date on which
                the
                Certificate Interest Rate for the Class 2-M8 Certificates is based
                on the
                Pool 2 Subordinate Net Funds Cap, the amount of interest that would
                have
                been payable on such Certificates if the Pool 2 REMIC Net Funds Cap
                were
                substituted for the Pool 2 Subordinate Net Funds Cap over the amount
                actually payable thereon shall be treated as having been paid to
                the
                owners of the Class 2-M8 Certificates and then deposited by such
                owners
                into the Supplemental Interest Trust pursuant to Section 10.01(n)
                hereof.

            

    

     

    

    
      
        
          
          

        

        
          35

          
            

          

        

        
          
          

        

      

    

    

    

     

    
      	 	
              (40)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 2-M9 Certificates is the per
                annum
                rate equal to the lesser of (i) LIBOR plus 1.750% and (ii) the Pool
                2
                Subordinate Net Funds Cap for such Distribution Date, provided,
                that if the Mortgage Loans in Pool 2 and related property are not
                purchased pursuant to Section 7.01(b) on the Pool 2 Initial Optional
                Termination Date, then with respect to each subsequent Distribution
                Date
                the per annum rate calculated pursuant to clause (i) above with respect
                to
                the Class 2-M9 Certificates will be LIBOR plus 2.625%. For purposes
                of the
                REMIC Provisions, the reference to “Pool 2 Subordinate Net Funds Cap” in
                clause (ii) of the preceding sentence shall be deemed to be a reference
                to
                the Pool 2 REMIC Net Funds Cap. For any Distribution Date on which
                the
                Certificate Interest Rate for the Class 2-M9 Certificates is based
                on the
                Pool 2 Subordinate Net Funds Cap, the amount of interest that would
                have
                been payable on such Certificates if the Pool 2 REMIC Net Funds Cap
                were
                substituted for the Pool 2 Subordinate Net Funds Cap over the amount
                actually payable thereon shall be treated as having been paid to
                the
                owners of the Class 2-M9 Certificates and then deposited by such
                owners
                into the Supplemental Interest Trust pursuant to Section 10.01(n)
                hereof.

            

    

     

    
      	 	
              (41)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 2-M10 Certificates is the per
                annum
                rate equal to the lesser of (i) LIBOR plus 1.750% and (ii) the Pool
                2
                Subordinate Net Funds Cap for such Distribution Date, provided,
                that if the Mortgage Loans in Pool 2 and related property are not
                purchased pursuant to Section 7.01(b) on the Pool 2 Initial Optional
                Termination Date, then with respect to each subsequent Distribution
                Date
                the per annum rate calculated pursuant to clause (i) above with respect
                to
                the Class 2-M10 Certificates will be LIBOR plus 2.625%. For purposes
                of
                the REMIC Provisions, the reference to “Pool 2 Subordinate Net Funds Cap”
                in clause (ii) of the preceding sentence shall be deemed to be a
                reference
                to the Pool 2 REMIC Net Funds Cap. For any Distribution Date on which
                the
                Certificate Interest Rate for the Class 2-M10 Certificates is based
                on the
                Pool 2 Subordinate Net Funds Cap, the amount of interest that would
                have
                been payable on such Certificates if the Pool 2 REMIC Net Funds Cap
                were
                substituted for the Pool 2 Subordinate Net Funds Cap over the amount
                actually payable thereon shall be treated as having been paid to
                the
                owners of the Class 2-M10 Certificates and then deposited by such
                owners
                into the Supplemental Interest Trust pursuant to Section 10.01(n)
                hereof.

            

    

     

    
      	 	
              (42)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 3-M1 Certificates is the per
                annum
                rate equal to the lesser of (i) 5.890% and (ii) the Pool 3A-3B Net
                Funds
                Cap for such Distribution Date. 

            

    

     

    
      	 	
              (43)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 3-M2 Certificates is the per
                annum
                rate equal to the lesser of (i) 5.940% and (ii) the Pool 3A-3B Net
                Funds
                Cap for such Distribution Date. 

            

    

     

    
      	 	
              (44)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 3-M3 Certificates is the per
                annum
                rate equal to the lesser of (i) 5.990% and (ii) the Pool 3A-3B Net
                Funds
                Cap for such Distribution Date. 

            

    

     

    
      	 	
              (45)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 3-M4 Certificates is the per
                annum
                rate equal to the lesser of (i) 6.230% and (ii) the Pool 3A-3B Net
                Funds
                Cap for such Distribution Date.

            

    

     

    
      	 	
              (46)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 3-M5 Certificates is the per
                annum
                rate equal to the lesser of (i) 6.280% and (ii) the Pool 3A-3B Net
                Funds
                Cap for such Distribution Date. 

            

    

     

    

    
      
        
          
          

        

        
          36

          
            

          

        

        
          
          

        

      

    

    

    

     

    
      	 	
              (47)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 3-M6 Certificates is the per
                annum
                rate equal to the lesser of (i) 6.580% and (ii) the Pool 3A-3B Net
                Funds
                Cap for such Distribution Date. 

            

    

     

    
      	 	
              (48)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 3-M7 Certificates is the per
                annum
                rate equal to the lesser of (i) 6.820% and (ii) the Pool 3A-3B Net
                Funds
                Cap for such Distribution Date. 

            

    

     

    
      	 	
              (49)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 3-M8 Certificates is the per
                annum
                rate equal to the lesser of (i) 7.000% and (ii) the Pool 3A-3B Net
                Funds
                Cap for such Distribution Date.

            

    

     

    
      	 	
              (50)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 4-M1 Certificates is the per
                annum
                rate equal to 5.960%.

            

    

     

    
      	 	
              (51)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 4-M2 Certificates is the per
                annum
                rate equal to 6.010%.

            

    

     

    
      	 	
              (52)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 4-M3 Certificates is the per
                annum
                rate equal to 6.160%.

            

    

     

    
      	 	
              (53)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 4-M4 Certificates is the per
                annum
                rate equal to 6.310%.

            

    

     

    
      	 	
              (54)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 4-M5 Certificates is the per
                annum
                rate equal to 6.590%.

            

    

     

    
      	 	
              (55)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 4-M6 Certificates is the per
                annum
                rate equal to 7.000%.

            

    

     

    
      	 	
              (56)

            	
              The
                Certificate Interest Rate with respect to any Distribution Date (and
                the
                related Accrual Period) for the Class 4-M7 Certificates is the per
                annum
                rate equal to 7.000%.

            

    

     

    
      	 	
              (57)

            	
              The
                Class 1-P Certificates will not bear interest at a stated rate. The
                Class
                1-P Certificates shall have a Class 1-P Principal Amount equal to
                $100 and
                shall be entitled to receive all Prepayment Premiums paid with respect
                to
                the Mortgage Loans in Pool 1A and Pool 1B for which the Seller has
                retained the servicing rights.

            

    

     

    
      	 	
              (58)

            	
              The
                Class 2-P Certificates will not bear interest at a stated rate. The
                Class
                2-P Certificates shall have a Class 2-P Principal Amount equal to
                $100 and
                shall be entitled to receive all Prepayment Premiums paid with respect
                to
                the Mortgage Loans in Pool 2 for which the Seller has retained the
                servicing rights.

            

    

     

    
      	 	
              (59)

            	
              For
                purposes of the REMIC Provisions, the 1-XS Component of the Class
                1-X
                Certificates shall have an initial principal balance of $1,707,024.96
                (initial overcollateralization of $1,707,124.96 minus $100.00 allocated
                to
                the Class 1-P Certificates to create the $100 Class 1-P Principal
                Amount),
                but shall not accrue interest on that balance. The 1-XS Component
                of the
                Class 1-X Certificates shall also comprise two notional components,
                each
                of which represents a regular interest in Upper Tier REMIC 1. The
                first
                such component has a notional balance that will at all times equal
                the
                aggregate of the Class Principal Amounts of the Middle-Tier Interests
                in
                Middle-Tier REMIC 1, and, for each Distribution Date (and the related
                Accrual Period) this notional component shall bear interest at a
                per annum
                rate equal to the excess, if any, of (i) the weighted average of
                the
                interest rates on the Middle-Tier Interests in Middle-Tier REMIC
                1 (other
                than any interest-only regular interest), over (ii) the Adjusted
                Middle
                Tier REMIC 1 WAC. The second notional component represents the right
                to
                receive all distributions in respect of the Class MT1-IO Interest
                in
                Middle-Tier REMIC 1 (the “Class I” interest). In addition, for purposes of
                the REMIC Provisions, the Class 1-XS Component of the Class 1-X
                Certificates shall represent beneficial ownership of the Pool 1A-1B
                Basis
                Risk Reserve Fund and an interest in the notional principal contracts
                described in Section 10.01(n) hereof. The Class 1-SX Component of
                the
                Class 1-X Certificates shall represent beneficial ownership of the
                Group 1
                Swap Agreement and the Group Swap Account. The Class 1-CX Component
                of the
                Class 1-X Certificates shall represent beneficial ownership of the
                Group 1
                Interest Rate Cap Agreement and the Group 1 Interest Rate Cap
                Account.

            

    

     

    

    
      
        
          
          

        

        
          37

          
            

          

        

        
          
          

        

      

    

    

    

     

    
      	 	
              (60)

            	
              For
                purposes of the REMIC Provisions, the 2-XS Component of the Class
                2-X
                Certificates shall have an initial principal balance of $4,879,520.37
                (initial overcollateralization of $4,879,620.37 minus $100.00 allocated
                to
                the Class 2-P Certificates to create the $100 Class 2-P Principal
                Amount),
                but shall not accrue interest on that balance. The 2-XS Component
                of the
                Class 2-X Certificates shall also comprise two notional components,
                each
                of which represents a regular interest in Upper Tier REMIC 2. The
                first
                such component has a notional balance that will at all times equal
                the
                aggregate of the Class Principal Amounts of the Middle-Tier Interests
                in
                Middle-Tier REMIC 2, and, for each Distribution Date (and the related
                Accrual Period) this notional component shall bear interest at a
                per annum
                rate equal to the excess, if any, of (i) the weighted average of
                the
                interest rates on the Middle-Tier Interests in Middle-Tier REMIC
                2 (other
                than any interest-only regular interest) , over (ii) the Adjusted
                Middle
                Tier REMIC 2 WAC. The second notional component represents the right
                to
                receive all distributions in respect of the Class MT2-IO Interest
                in
                Middle-Tier REMIC 2 (the “Class I” interest). In addition, for purposes of
                the REMIC Provisions, the Class 2-XS Component of the Class 2-X
                Certificates shall represent beneficial ownership of the Pool 2 Basis
                Risk
                Reserve Fund and an interest in the notional principal contracts
                described
                in Section 10.01(n) hereof. The Class 2-SX Component of the Class
                2-X
                Certificates shall represent beneficial ownership of the Group 2
                Swap
                Agreement and the Group 2 Swap Account. The Class 2-CX Component
                of the
                Class 2-X Certificates shall represent beneficial ownership of the
                Group 2
                Interest Rate Cap Agreement and the Group 2 Interest Rate Cap
                Account.

            

    

     

    
      	 	
              (61)

            	
              For
                purposes of the REMIC Provisions, the Class 3-X Certificate shall
                have an
                initial principal balance of $2,780,453.89, but shall not accrue
                interest
                on that balance. In addition to the right to receive ultimately the
                initial principal balance, which right represents a regular interest
                in
                Upper-Tier REMIC 3, the Class 3-X Certificate also comprises a notional
                component, which is also a regular interest in the Upper-Tier REMIC
                3. The
                notional component has a notional balance that will at all times
                equal the
                aggregate of the aggregate of the principal balances of the Lower-Tier
                Interests in Lower-Tier REMIC 3 and, for each Distribution Date (and
                the
                related Accrual Period) this notional component shall bear interest
                at a
                per annum rate equal to the excess, if any, of (i) the weighted average
                of
                the interest rates on the Lower-Tier Interests in Lower-Tier REMIC
                3, over
                (ii) the Adjusted Lower-Tier REMIC 3 WAC. For any Distribution Date,
                interest that accrues on the notional component of the Class 3-X
                Certificate shall be deferred to the extent such interest is used
                to make
                principal distributions to other Classes or Certificates on such
                date.
                Such deferred interest shall not itself bear interest. For purposes
                of the
                REMIC provisions, the Class 3-X Certificates shall represent beneficial
                ownership of the Pool 3A-3B Basis Risk Reserve Fund and an interest
                in the
                notional principal contracts described in Section 10.01(n)
                hereof.

            

    

     

    
      	 	
              (62)

            	
              For
                purposes of the REMIC Provisions, the Class 4-X Certificate shall
                have an
                initial principal balance of $3,304,101.55, but shall not accrue
                interest
                on that balance. In addition to the right to receive ultimately the
                initial principal balance, which right represents a regular interest
                in
                Upper-Tier REMIC 4, the Class 4-X Certificate also comprises a notional
                component, which is also a regular interest in the Upper-Tier REMIC
                4. The
                notional component has a notional balance that will at all times
                equal the
                aggregate of the aggregate of the principal balances of the Lower-Tier
                Interests in Lower-Tier REMIC 4 and, for each Distribution Date (and
                the
                related Accrual Period) this notional component shall bear interest
                at a
                per annum rate equal to the excess, if any, of (i) the weighted average
                of
                the interest rates on the Lower-Tier Interests in Lower-Tier REMIC
                4, over
                (ii) the Adjusted Lower-Tier REMIC 4 WAC. For any Distribution Date,
                interest that accrues on the notional component of the Class 4-X
                Certificate shall be deferred to the extent such interest is used
                to make
                principal distributions to other Classes or Certificates on such
                date.
                Such deferred interest shall not itself bear interest.
                

            

    

     

    
      	 	
              (63)

            	
              The
                Class 1-R Certificate will be issued without a Certificate Principal
                Amount and will not bear interest at a stated rate. The Class 1-R
                Certificate represents ownership of the residual interest in the
                Upper-Tier REMIC 1, as well as ownership of the Class LT1-R and Class
                MT1-R Interests.

            

    

     

    

    
      
        
          
          

        

        
          38

          
            

          

        

        
          
          

        

      

    

    

    

     

    
      	 	
              (64)

            	
              The
                Class 2-R Certificate will be issued without a Certificate Principal
                Amount and will not bear interest at a stated rate. The Class 2-R
                Certificate represents ownership of the residual interest in the
                Upper-Tier REMIC 2, as well as ownership of the Class LT2-R and Class
                MT2-R Interests.

            

    

     

    
      	 	
              (65)

            	
              The
                Class 3-R Certificate will be issued without a Certificate Principal
                Amount and will not bear interest at a stated rate. The Class 3-R
                Certificate represents ownership of the residual interest in the
                Upper-Tier REMIC 3, as well as ownership of the Class LT3-R
                Interest.

            

    

     

    
      	 	
              (66)

            	
              The
                Class 4-R Certificate will be issued without a Certificate Principal
                Amount and will not bear interest at a stated rate. The Class 4-R
                Certificate represents ownership of the residual interest in the
                Upper-Tier REMIC 4, as well as ownership of the Class LT4-R and Class
                MT4-R Interests.

            

    

     

    
      	 	
              (67)

            	
              The
                Class 1-LT-R Certificate will be issued without a Certificate Principal
                Amount and will not bear interest at a stated rate. The Class 1-LT-R
                Certificate represents ownership of the residual interest in the
                Pooling
                REMIC 1.

            

    

     

    
      	 	
              (68)

            	
              The
                Class 2-LT-R Certificate will be issued without a Certificate Principal
                Amount and will not bear interest at a stated rate. The Class 2-LT-R
                Certificate represents ownership of the residual interest in the
                Pooling
                REMIC 2.

            

    

     

    
      	 	
              (69)

            	
              The
                Class 3-LT-R Certificate will be issued without a Certificate Principal
                Amount and will not bear interest at a stated rate. The Class 3-LT-R
                Certificate represents ownership of the residual interest in the
                Pooling
                REMIC 3.

            

    

     

    
      	 	
              (70)

            	
              The
                Class 4-LT-R Certificate will be issued without a Certificate Principal
                Amount and will not bear interest at a stated rate. The Class 4-LT-R
                Certificate represents ownership of the residual interest in the
                Pooling
                REMIC 4.

            

    

     

    
      	 	
              (71)

            	
              The
                Class 1-X, Class 2-X, Class 3-X, Class 4-X, Class 1-P and Class 2-P
                Certificates will each be issued in minimum Percentage Interests
                of 10%.
                The Class 1-R, Class 2-R, Class 3-R, Class 4-R, Class 1-LT-R, Class
                2-LT-R, Class 3-LT-R and Class 4-LT-R Certificates will be issued
                as a
                single Certificate evidencing the entire Percentage Interest in each
                such
                Class.

            

    

     

    As
      of the
      Cut-off Date, the Mortgage Loans had an aggregate Scheduled Principal Balance
      of
      $1,315,172,300.77.

    

    In
      consideration of the mutual agreements herein contained, the Depositor, the
      Seller, the Master Servicer and the Trustee hereby agree as
      follows:

    

    ARTICLE
      I

     

    DEFINITIONS

     

    Section
      1.01. Definitions.
      

     

    The
      following words and phrases, unless the context otherwise requires, shall have
      the following meanings:

    

    
      
        
          
          

        

        
          39

          
            

          

        

        
          
          

        

      

    

    

    

    

    10-K
      Filing Deadline:
      As
      defined in Section 6.20(e)(i).

     

    1-CX
      Component:
      A
      component of the Class 1-X Certificate entitled to receive distributions
      pursuant to Section 5A.02(f)(ix).

     

    1-M1
      Principal Distribution Amount:
      With
      respect to any Distribution Date on or after the Pool 1A-1B Stepdown Date and
      as
      long as a Pool 1A-1B Trigger Event is not in effect with respect to such
      Distribution Date, the amount, if any, by which (x) the sum of (i) the aggregate
      Class Principal Amount of the Group 1A Senior Certificates and Group 1B Senior
      Certificates after giving effect to distributions on such Distribution Date
      and
      (ii) the Class Principal Amount of the Class 1-M1 Certificates immediately
      prior
      to such Distribution Date exceeds (y) the 1-M1 Target Amount.

     

    1-M1
      Target Amount:
      With
      respect to any Distribution Date an amount equal to the lesser of (a) the
      product of (i) 88.80%
      and (ii) the Pool 1A-1B Aggregate Loan Balance for such Distribution Date
      determined as of the last day of the related Collection Period immediately
      prior
      to such Distribution Date and (b) the amount, if any, by which (1) the Pool
      1A-1B Aggregate Loan Balance for such Distribution Date determined as of the
      last day of the related Collection Period exceeds (2) the Pool 1A-1B
      Overcollateralization Floor.

     

    1-M2
      Principal Distribution Amount:
      With
      respect to any Distribution Date on or after the Pool 1A-1B Stepdown Date and
      as
      long as a Pool 1A-1B Trigger Event is not in effect with respect to such
      Distribution Date, the amount, if any, by which (x) the sum of (i) the aggregate
      Class Principal Amount of the Group 1A Senior Certificates, Group 1B Senior
      Certificates and the Class 1-M1 Certificates in each case, after giving effect
      to distributions on such Distribution Date and (ii) the Class Principal Amount
      of the Class 1-M2 Certificates immediately prior to such Distribution Date
      exceeds (y) the 1-M2 Target Amount.

     

    1-M2
      Target Amount:
      With
      respect to any Distribution Date an amount equal to the lesser of (a) the
      product of (i) 91.30% and (ii) the Pool 1A-1B Aggregate Loan Balance for such
      Distribution Date determined as of the last day of the related Collection Period
      immediately prior to such Distribution Date and (b) the amount, if any, by
      which
      (1) the Pool 1A-1B Aggregate Loan Balance for such Distribution Date determined
      as of the last day of the related Collection Period exceeds (2) the Pool 1A-1B
      Overcollateralization Floor.

     

    1-M3
      Principal Distribution Amount:
      With
      respect to any Distribution Date on or after the Pool 1A-1B Stepdown Date and
      as
      long as a Pool 1A-1B Trigger Event is not in effect with respect to such
      Distribution Date, the amount, if any, by which (x) the sum of (i) the aggregate
      Class Principal Amount of the Group 1A Senior Certificates, Group 1B Senior
      Certificates and the Class 1-M1 and Class 1-M2 Certificates, in each case after
      giving effect to distributions on such Distribution Date and (ii) the Class
      Principal Amount of the Class 1-M3 Certificates immediately prior to such
      Distribution Date exceeds (y) the 1-M3 Target Amount.

     

    1-M3
      Target Amount:
      With
      respect to any Distribution Date an amount equal to the lesser of (a) the
      product of (i) 92.80% and (ii) the Pool 1A-1B Aggregate Loan Balance for such
      Distribution Date determined as of the last day of the related Collection Period
      immediately prior to such Distribution Date and (b) the amount, if any, by
      which
      (1) the Pool 1A-1B Aggregate Loan Balance for such Distribution Date determined
      as of the last day of the Collection Period exceeds (2) the Pool 1A-1B
      Overcollateralization Floor.

     

    

    
      
        
          
          

        

        
          40

          
            

          

        

        
          
          

        

      

    

    

    

     

    1-M4
      Principal Distribution Amount:
      With
      respect to any Distribution Date on or after the Pool 1A-1B Stepdown Date and
      as
      long as a Pool 1A-1B Trigger Event is not in effect with respect to such
      Distribution Date, the amount, if any, by which (x) the sum of (i) the aggregate
      Class Principal Amount of the Group 1A Senior Certificates, Group 1B Senior
      Certificates and the Class 1-M1, Class 1-M2 and Class 1-M3 Certificates, in
      each
      case after giving effect to distributions on such Distribution Date and (ii)
      the
      Class Principal Amount of the Class 1-M4 Certificates immediately prior to
      such
      Distribution Date exceeds (y) the 1-M4 Target Amount.

     

    1-M4
      Target Amount:
      With
      respect to any Distribution Date an amount equal to the lesser of (a) the
      product of (i) 93.80% and (ii) the Pool 1A-1B Aggregate Loan Balance for such
      Distribution Date determined as of the last day of the related Collection Period
      immediately prior to such Distribution Date and (b) the amount, if any, by
      which
      (1) the Pool 1A-1B Aggregate Loan Balance for such Distribution Date determined
      as of the last day of the Collection Period exceeds (2) the Pool 1A-1B
      Overcollateralization Floor.

     

    1-M5
      Principal Distribution Amount:
      With
      respect to any Distribution Date on or after the Pool 1A-1B Stepdown Date and
      as
      long as a Pool 1A-1B Trigger Event is not in effect with respect to such
      Distribution Date, the amount, if any, by which (x) the sum of (i) the aggregate
      Class Principal Amount of the Group 1A Senior Certificates, Group 1B Senior
      Certificates and the Class 1-M1, Class 1-M2, Class 1-M3 and Class 1-M4
      Certificates, in each case after giving effect to distributions on such
      Distribution Date and (ii) the Class Principal Amount of the Class 1-M5
      Certificates immediately prior to such Distribution Date exceeds (y) the 1-M5
      Target Amount.

     

    1-M5
      Target Amount:
      With
      respect to any Distribution Date an amount equal to the lesser of (a) the
      product of (i) 94.80% and (ii) the Pool 1A-1B Aggregate Loan Balance for such
      Distribution Date determined as of the last day of the related Collection Period
      immediately prior to such Distribution Date and (b) the amount, if any, by
      which
      (1) the Pool 1A-1B Aggregate Loan Balance for such Distribution Date determined
      as of the last day of the Collection Period exceeds (2) the Pool 1A-1B
      Overcollateralization Floor.

     

    1-M6
      Principal Distribution Amount:
      With
      respect to any Distribution Date on or after the Pool 1A-1B Stepdown Date and
      as
      long as a Pool 1A-1B Trigger Event is not in effect with respect to such
      Distribution Date, the amount, if any, by which (x) the sum of (i) the aggregate
      Class Principal Amount of the Group 1A Senior Certificates, Group 1B Senior
      Certificates and the Class 1-M1, Class 1-M2, Class 1-M3, Class 1-M4 and Class
      1-M5 Certificates, in each case after giving effect to distributions on such
      Distribution Date and (ii) the Class Principal Amount of the Class 1-M6
      Certificates immediately prior to such Distribution Date exceeds (y) the 1-M6
      Target Amount.

     

    1-M6
      Target Amount:
      With
      respect to any Distribution Date an amount equal to the lesser of (a) the
      product of (i) 95.80% and (ii) the Pool 1A-1B Aggregate Loan Balance for such
      Distribution Date determined as of the last day of the related Collection Period
      immediately prior to such Distribution Date and (b) the amount, if any, by
      which
      (1) the Pool 1A-1B Aggregate Loan Balance for such Distribution Date determined
      as of the last day of the Collection Period exceeds (2) the Pool 1A-1B
      Overcollateralization Floor.

     

    

    
      
        
          
          

        

        
          41

          
            

          

        

        
          
          

        

      

    

    

    

     

    1-M7
      Principal Distribution Amount:
      With
      respect to any Distribution Date on or after the Pool 1A-1B Stepdown Date and
      as
      long as a Pool 1A-1B Trigger Event is not in effect with respect to such
      Distribution Date, the amount, if any, by which (x) the sum of (i) the aggregate
      Class Principal Amount of the Group 1A Senior Certificates, Group 1B Senior
      Certificates and the Class 1-M1, Class 1-M2, Class 1-M3, Class 1-M4, Class
      1-M5
      and Class 1-M6 Certificates, in each case after giving effect to distributions
      on such Distribution Date and (ii) the Class Principal Amount of the Class
      1-M7
      Certificates immediately prior to such Distribution Date exceeds (y) the 1-M7
      Target Amount.

     

    1-M7
      Target Amount:
      With
      respect to any Distribution Date an amount equal to the lesser of (a) the
      product of (i) 97.20% and (ii) the Pool 1A-1B Aggregate Loan Balance for such
      Distribution Date determined as of the last day of the related Collection Period
      immediately prior to such Distribution Date and (b) the amount, if any, by
      which
      (1) the Pool 1A-1B Aggregate Loan Balance for such Distribution Date determined
      as of the last day of the Collection Period exceeds (2) the Pool 1A-1B
      Overcollateralization Floor.

     

    1-M8
      Principal Distribution Amount:
      With
      respect to any Distribution Date on or after the Pool 1A-1B Stepdown Date and
      as
      long as a Pool 1A-1B Trigger Event is not in effect with respect to such
      Distribution Date, the amount, if any, by which (x) the sum of (i) the aggregate
      Class Principal Amount of the Group 1A Senior Certificates, Group 1B Senior
      Certificates and the Class 1-M1, Class 1-M2, Class 1-M3, Class 1-M4, Class
      1-M5,
      Class 1-M6 and Class 1-M7 Certificates, in each case after giving effect to
      distributions on such Distribution Date and (ii) the Class Principal Amount
      of
      the Class 1-M8 Certificates immediately prior to such Distribution Date exceeds
      (y) the 1-M8 Target Amount.

     

    1-M8
      Target Amount:
      With
      respect to any Distribution Date an amount equal to the lesser of (a) the
      product of (i) 99.20% and (ii) the Pool 1A-1B Aggregate Loan Balance for such
      Distribution Date determined as of the last day of the related Collection Period
      immediately prior to such Distribution Date and (b) the amount, if any, by
      which
      (1) the Pool 1A-1B Aggregate Loan Balance for such Distribution Date determined
      as of the last day of the Collection Period exceeds (2) the Pool 1A-1B
      Overcollateralization Floor.

     

    1-SX
      Component:
      A
      component of the Class 1-X Certificate entitled to receive distributions
      pursuant to Section 5A.02(g)(xii).

     

    1-XS
      Component:
      A
      component of the Class 1-X Certificate entitled to receive distributions
      pursuant to Section 5A.02(e)(viii).

     

    2-CX
      Component:
      A
      component of the Class 2-X Certificate entitled to receive distributions
      pursuant to Section 5B.02(e)(iii).

     

    2-M1
      Principal Distribution Amount:
      With
      respect to any Distribution Date on or after the Pool 2 Stepdown Date and as
      long as a Pool 2 Trigger Event is not in effect with respect to such
      Distribution Date, the amount, if any, by which (x) the sum of (i) the aggregate
      Class Principal Amount of the Group 2 Senior Certificates, in each case after
      giving effect to distributions on Pool 2 for such Distribution Date and (ii)
      the
      Class Principal Amount of the Class 2-M1 Certificates immediately prior to
      such
      Distribution Date exceeds (y) the 2-M1 Target Amount.

     

    

    
      
        
          
          

        

        
          42

          
            

          

        

        
          
          

        

      

    

    

    

     

    2-M1
      Target Amount:
      With
      respect to any Distribution Date, an amount equal to the lesser of (a) the
      product of (i) 83.50% and (ii) the Pool Balance for Pool 2 for such Distribution
      Date determined as of the last day of the related Collection Period and (b)
      the
      amount, if any, by which (1) the Pool Balance for Pool 2 for such Distribution
      Date determined as of the last day of the related Collection Period exceeds
      (2)
      the Pool 2 Overcollateralization Floor.

     

    2-M2
      Principal Distribution Amount:
      With
      respect to any Distribution Date on or after the Pool 2 Stepdown Date and as
      long as a Pool 2 Trigger Event is not in effect with respect to such
      Distribution Date, the amount, if any, by which (x) the sum of (i) the aggregate
      Class Principal Amount of the Group 2 Senior Certificates and the Class 2-M1
      Certificates, in each case after giving effect to distributions on such
      Distribution Date and (ii) the Class Principal Amount of the Class 2-M2
      Certificates immediately prior to such Distribution Date exceeds (y) the 2-M2
      Target Amount.

     

    2-M2
      Target Amount:
      With
      respect to any Distribution Date an amount equal to the lesser of (a) the
      product of (i) 86.40% and (ii) the Pool Balance for Pool 2 for such Distribution
      Date determined as of the last day of the related Collection Period and (b)
      the
      amount, if any, by which (1) the Pool Balance for Pool 2 for such Distribution
      Date determined as of the last day of the related Collection Period exceeds
      (2)
      the Pool 2 Overcollateralization Floor.

     

    2-M3
      Principal Distribution Amount:
      With
      respect to any Distribution Date on or after the Pool 2 Stepdown Date and as
      long as a Pool 2 Trigger Event is not in effect with respect to such
      Distribution Date, the amount, if any, by which (x) the sum of the aggregate
      Class Principal Amount of the Group 2 Senior Certificates and the Class 2-M1
      and
      Class 2-M2 Certificates, in each case after giving effect to distribution on
      such Distribution Date and (ii) the Class Principal Amount of the Class 2-M3
      Certificates immediately prior to such Distribution Date exceeds (2) the 2-M3
      Target Amount.

     

    2-M3
      Target Amount:
      With
      respect to any Distribution Date an amount equal to the lesser of (a) the
      product of (i) 88.10% and (ii) the Pool Balance for Pool 2 for such Distribution
      Date determined as of the last day of the related Collection Period and (b)
      the
      amount, if any, by which (1) the Pool Balance for Pool 2 for such Distribution
      Date determined as of the last day of the related Collection Period exceeds
      (2)
      the Pool 2 Overcollateralization Floor.

     

    2-M4
      Principal Distribution Amount:
      With
      respect to any Distribution Date on or after the Pool 2 Stepdown Date and as
      long as a Pool 2 Trigger Event is not in effect with respect to such
      Distribution Date, the amount, if any, by which (x) the sum of the aggregate
      Class Principal Amount of the Group 2 Senior Certificates and the Class 2-M1,
      Class 2-M2 and Class 2-M3 Certificates, in each case after giving effect to
      distribution on such Distribution Date and (ii) the Class Principal Amount
      of
      the Class 2-M4 Certificates immediately prior to such Distribution Date exceeds
      (2) the 2-M4 Target Amount.

     

    2-M4
      Target Amount:
      With
      respect to any Distribution Date an amount equal to the lesser of (a) the
      product of (i) 89.60% and (ii) the Pool Balance for Pool 2 for such Distribution
      Date determined as of the last day of the related Collection Period and (b)
      the
      amount, if any, by which (1) the Pool Balance for Pool 2 for such Distribution
      Date determined as of the last day of the related Collection Period exceeds
      (2)
      the Pool 2 Overcollateralization Floor.

     

    

    
      
        
          
          

        

        
          43

          
            

          

        

        
          
          

        

      

    

    

    

     

    2-M5
      Principal Distribution Amount:
      With
      respect to any Distribution Date on or after the Pool 2 Stepdown Date and as
      long as a Pool 2 Trigger Event is not in effect with respect to such
      Distribution Date, the amount, if any, by which (x) the sum of the aggregate
      Class Principal Amount of the Group 2 Senior Certificates and the Class 2-M1,
      Class 2-M2, Class 2-M3 and Class 2-M4 Certificates, in each case after giving
      effect to distribution on such Distribution Date and (ii) the Class Principal
      Amount of the Class 2-M5 Certificates immediately prior to such Distribution
      Date exceeds (2) the 2-M5 Target Amount.

     

    2-M5
      Target Amount:
      With
      respect to any Distribution Date an amount equal to the lesser of (a) the
      product of (i) 91.10% and (ii) the Pool Balance for Pool 2 for such Distribution
      Date determined as of the last day of the related Collection Period and (b)
      the
      amount, if any, by which (1) the Pool Balance for Pool 2 for such Distribution
      Date determined as of the last day of the related Collection Period exceeds
      (2)
      the Pool 2 Overcollateralization Floor.

     

    2-M6
      Principal Distribution Amount:
      With
      respect to any Distribution Date on or after the Pool 2 Stepdown Date and as
      long as a Pool 2 Trigger Event is not in effect with respect to such
      Distribution Date, the amount, if any, by which (x) the sum of the aggregate
      Class Principal Amount of the Group 2 Senior Certificates and the Class 2-M1,
      Class 2-M2, Class 2-M3, Class 2-M4 and Class 2-M5 Certificates, in each case
      after giving effect to distribution on such Distribution Date and (ii) the
      Class
      Principal Amount of the Class 2-M6 Certificates immediately prior to such
      Distribution Date exceeds (2) the 2-M6 Target Amount.

     

    2-M6
      Target Amount:
      With
      respect to any Distribution Date an amount equal to the lesser of (a) the
      product of (i) 92.10% and (ii) the Pool Balance for Pool 2 for such Distribution
      Date determined as of the last day of the related Collection Period and (b)
      the
      amount, if any, by which (1) the Pool Balance for Pool 2 for such Distribution
      Date determined as of the last day of the related Collection Period exceeds
      (2)
      the Pool 2 Overcollateralization Floor.

     

    2-M7
      Principal Distribution Amount:
      With
      respect to any Distribution Date on or after the Pool 2 Stepdown Date and as
      long as a Pool 2 Trigger Event is not in effect with respect to such
      Distribution Date, the amount, if any, by which (x) the sum of the aggregate
      Class Principal Amount of the Group 2 Senior Certificates and the Class 2-M1,
      Class 2-M2, Class 2-M3, Class 2-M4, Class 2-M5 and Class 2-M6 Certificates,
      in
      each case after giving effect to distribution on such Distribution Date and
      (ii)
      the Class Principal Amount of the Class 2-M7 Certificates immediately prior
      to
      such Distribution Date exceeds (2) the 2-M7 Target Amount.

     

    2-M7
      Target Amount:
      With
      respect to any Distribution Date an amount equal to the lesser of (a) the
      product of (i) 93.10% and (ii) the Pool Balance for Pool 2 for such Distribution
      Date determined as of the last day of the related Collection Period and (b)
      the
      amount, if any, by which (1) the Pool Balance for Pool 2 for such Distribution
      Date determined as of the last day of the related Collection Period exceeds
      (2)
      the Pool 2 Overcollateralization Floor.

     

    2-M8
      Principal Distribution Amount:
      With
      respect to any Distribution Date on or after the Pool 2 Stepdown Date and as
      long as a Pool 2 Trigger Event is not in effect with respect to such
      Distribution Date, the amount, if any, by which (x) the sum of the aggregate
      Class Principal Amount of the Group 2 Senior Certificates and the Class 2-M1,
      Class 2-M2, Class 2-M3, Class 2-M4, Class 2-M5, Class 2-M6 and Class 2-M7
      Certificates, in each case after giving effect to distribution on such
      Distribution Date and (ii) the Class Principal Amount of the Class 2-M8
      Certificates immediately prior to such Distribution Date exceeds (2) the 2-M8
      Target Amount.

     

    

    
      
        
          
          

        

        
          44

          
            

          

        

        
          
          

        

      

    

    

    

     

    2-M8
      Target Amount:
      With
      respect to any Distribution Date an amount equal to the lesser of (a) the
      product of (i) 94.10% and (ii) the Pool Balance for Pool 2 for such Distribution
      Date determined as of the last day of the related Collection Period and (b)
      the
      amount, if any, by which (1) the Pool Balance for Pool 2 for such Distribution
      Date determined as of the last day of the related Collection Period exceeds
      (2)
      the Pool 2 Overcollateralization Floor.

     

    2-M9
      Principal Distribution Amount:
      With
      respect to any Distribution Date on or after the Pool 2 Stepdown Date and as
      long as a Pool 2 Trigger Event is not in effect with respect to such
      Distribution Date, the amount, if any, by which (x) the sum of the aggregate
      Class Principal Amount of the Group 2 Senior Certificates and the Class 2-M1,
      Class 2-M2, Class 2-M3, Class 2-M4, Class 2-M5, Class 2-M6, Class 2-M7 and
      Class
      2-M8 Certificates, in each case after giving effect to distribution on such
      Distribution Date and (ii) the Class Principal Amount of the Class 2-M9
      Certificates immediately prior to such Distribution Date exceeds (2) the 2-M9
      Target Amount.

     

    2-M9
      Target Amount:
      With
      respect to any Distribution Date an amount equal to the lesser of (a) the
      product of (i) 95.10% and (ii) the Pool Balance for Pool 2 for such Distribution
      Date determined as of the last day of the related Collection Period and (b)
      the
      amount, if any, by which (1) the Pool Balance for Pool 2 for such Distribution
      Date determined as of the last day of the related Collection Period exceeds
      (2)
      the Pool 2 Overcollateralization Floor.

     

    2-M10
      Principal Distribution Amount:
      With
      respect to any Distribution Date on or after the Pool 2 Stepdown Date and as
      long as a Pool 2 Trigger Event is not in effect with respect to such
      Distribution Date, the amount, if any, by which (x) the sum of the aggregate
      Class Principal Amount of the Group 2 Senior Certificates and the Class 2-M1,
      Class 2-M2, Class 2-M3, Class 2-M4, Class 2-M5, Class 2-M6, Class 2-M7, Class
      2-M8 and Class 2-M9 Certificates, in each case after giving effect to
      distribution on such Distribution Date and (ii) the Class Principal Amount
      of
      the Class 2-M10 Certificates immediately prior to such Distribution Date exceeds
      (2) the 2-M10 Target Amount.

     

    2-M10
      Target Amount:
      With
      respect to any Distribution Date an amount equal to the lesser of (a) the
      product of (i) 97.60% and (ii) the Pool Balance for Pool 2 for such Distribution
      Date determined as of the last day of the related Collection Period and (b)
      the
      amount, if any, by which (1) the Pool Balance for Pool 2 for such Distribution
      Date determined as of the last day of the related Collection Period exceeds
      (2)
      the Pool 2 Overcollateralization Floor.

     

    2-SX
      Component:
      A
      component of the Class 2-X Certificate entitled to receive distributions
      pursuant to Section 5B.02(f)(xii).

     

    2-XS
      Component:
      A
      component of the Class 2-X Certificate entitled to receive distributions
      pursuant to Section 5B.02(d)(viii).

     

    3-M1
      Principal Distribution Amount:
      With
      respect to any Distribution Date on or after the Pool 3A-3B Stepdown Date and
      as
      long as a Pool 3A-3B Trigger Event is not in effect with respect to such
      Distribution Date, the amount, if any, by which (x) the sum of (i) the aggregate
      Class Principal Amount of the Group 3A Senior Certificates and Group 3B Senior
      Certificates after giving effect to distributions on such Distribution Date
      and
      (ii) the Class Principal Amount of the Class 3-M1 Certificates immediately
      prior
      to such Distribution Date exceeds (y) the 3-M1 Target Amount.

     

    

    
      
        
          
          

        

        
          45

          
            

          

        

        
          
          

        

      

    

    

    

     

    3-M1
      Target Amount:
      With
      respect to any Distribution Date an amount equal to the lesser of (a) the
      product of (i) 83.90%
      and (ii) the Pool 3A-3B Aggregate Loan Balance for such Distribution Date
      determined as of the last day of the related Collection Period immediately
      prior
      to such Distribution Date and (b) the amount, if any, by which (1) the Pool
      3A-3B Aggregate Loan Balance for such Distribution Date determined as of the
      last day of the related Collection Period exceeds (2) the Pool 3A-3B
      Overcollateralization Floor.

     

    3-M2
      Principal Distribution Amount:
      With
      respect to any Distribution Date on or after the Pool 3A-3B Stepdown Date and
      as
      long as a Pool 3A-3B Trigger Event is not in effect with respect to such
      Distribution Date, the amount, if any, by which (x) the sum of (i) the aggregate
      Class Principal Amount of the Group 3A Senior Certificates, Group 3B Senior
      Certificates and the Class 3-M1 Certificates in each case, after giving effect
      to distributions on such Distribution Date and (ii) the Class Principal Amount
      of the Class 3-M2 Certificates immediately prior to such Distribution Date
      exceeds (y) the 3-M2 Target Amount.

     

    3-M2
      Target Amount:
      With
      respect to any Distribution Date an amount equal to the lesser of (a) the
      product of (i) 86.70% and (ii) the Pool 3A-3B Aggregate Loan Balance for such
      Distribution Date determined as of the last day of the related Collection Period
      immediately prior to such Distribution Date and (b) the amount, if any, by
      which
      (1) the Pool 3A-3B Aggregate Loan Balance for such Distribution Date determined
      as of the last day of the related Collection Period exceeds (2) the Pool 3A-3B
      Overcollateralization Floor.

     

    3-M3
      Principal Distribution Amount:
      With
      respect to any Distribution Date on or after the Pool 3A-3B Stepdown Date and
      as
      long as a Pool 3A-3B Trigger Event is not in effect with respect to such
      Distribution Date, the amount, if any, by which (x) the sum of (i) the aggregate
      Class Principal Amount of the Group 3A Senior Certificates, Group 3B Senior
      Certificates and the Class 3-M1 and Class 3-M2 Certificates, in each case after
      giving effect to distributions on such Distribution Date and (ii) the Class
      Principal Amount of the Class 3-M3 Certificates immediately prior to such
      Distribution Date exceeds (y) the 3-M3 Target Amount.

     

    3-M3
      Target Amount:
      With
      respect to any Distribution Date an amount equal to the lesser of (a) the
      product of (i) 88.40% and (ii) the Pool 3A-3B Aggregate Loan Balance for such
      Distribution Date determined as of the last day of the related Collection Period
      immediately prior to such Distribution Date and (b) the amount, if any, by
      which
      (1) the Pool 3A-3B Aggregate Loan Balance for such Distribution Date determined
      as of the last day of the Collection Period exceeds (2) the Pool 3A-3B
      Overcollateralization Floor.

     

    3-M4
      Principal Distribution Amount:
      With
      respect to any Distribution Date on or after the Pool 3A-3B Stepdown Date and
      as
      long as a Pool 3A-3B Trigger Event is not in effect with respect to such
      Distribution Date, the amount, if any, by which (x) the sum of (i) the aggregate
      Class Principal Amount of the Group 3A Senior Certificates, Group 3B Senior
      Certificates and the Class 3-M1, Class 3-M2 and Class 3-M3 Certificates, in
      each
      case after giving effect to distributions on such Distribution Date and (ii)
      the
      Class Principal Amount of the Class 3-M4 Certificates immediately prior to
      such
      Distribution Date exceeds (y) the 3-M4 Target Amount.

     

    

    
      
        
          
          

        

        
          46

          
            

          

        

        
          
          

        

      

    

    

    

     

    3-M4
      Target Amount:
      With
      respect to any Distribution Date an amount equal to the lesser of (a) the
      product of (i) 91.40% and (ii) the Pool 3A-3B Aggregate Loan Balance for such
      Distribution Date determined as of the last day of the related Collection Period
      immediately prior to such Distribution Date and (b) the amount, if any, by
      which
      (1) the Pool 3A-3B Aggregate Loan Balance for such Distribution Date determined
      as of the last day of the Collection Period exceeds (2) the Pool 3A-3B
      Overcollateralization Floor.

     

    3-M5
      Principal Distribution Amount:
      With
      respect to any Distribution Date on or after the Pool 3A-3B Stepdown Date and
      as
      long as a Pool 3A-3B Trigger Event is not in effect with respect to such
      Distribution Date, the amount, if any, by which (x) the sum of (i) the aggregate
      Class Principal Amount of the Group 3A Senior Certificates, Group 3B Senior
      Certificates and the Class 3-M1, Class 3-M2, Class 3-M3 and Class 3-M4
      Certificates, in each case after giving effect to distributions on such
      Distribution Date and (ii) the Class Principal Amount of the Class 3-M5
      Certificates immediately prior to such Distribution Date exceeds (y) the 3-M5
      Target Amount.

     

    3-M5
      Target Amount:
      With
      respect to any Distribution Date an amount equal to the lesser of (a) the
      product of (i) 92.80% and (ii) the Pool 3A-3B Aggregate Loan Balance for such
      Distribution Date determined as of the last day of the related Collection Period
      immediately prior to such Distribution Date and (b) the amount, if any, by
      which
      (1) the Pool 3A-3B Aggregate Loan Balance for such Distribution Date determined
      as of the last day of the Collection Period exceeds (2) the Pool 3A-3B
      Overcollateralization Floor.

     

    3-M6
      Principal Distribution Amount:
      With
      respect to any Distribution Date on or after the Pool 3A-3B Stepdown Date and
      as
      long as a Pool 3A-3B Trigger Event is not in effect with respect to such
      Distribution Date, the amount, if any, by which (x) the sum of (i) the aggregate
      Class Principal Amount of the Group 3A Senior Certificates, Group 3B Senior
      Certificates and the Class 3-M1, Class 3-M2, Class 3-M3, Class 3-M4 and Class
      3-M5 Certificates, in each case after giving effect to distributions on such
      Distribution Date and (ii) the Class Principal Amount of the Class 3-M6
      Certificates immediately prior to such Distribution Date exceeds (y) the 3-M6
      Target Amount.

     

    3-M6
      Target Amount:
      With
      respect to any Distribution Date an amount equal to the lesser of (a) the
      product of (i) 95.10% and (ii) the Pool 3A-3B Aggregate Loan Balance for such
      Distribution Date determined as of the last day of the related Collection Period
      immediately prior to such Distribution Date and (b) the amount, if any, by
      which
      (1) the Pool 3A-3B Aggregate Loan Balance for such Distribution Date determined
      as of the last day of the Collection Period exceeds (2) the Pool 3A-3B
      Overcollateralization Floor.

     

    3-M7
      Principal Distribution Amount:
      With
      respect to any Distribution Date on or after the Pool 3A-3B Stepdown Date and
      as
      long as a Pool 3A-3B Trigger Event is not in effect with respect to such
      Distribution Date, the amount, if any, by which (x) the sum of (i) the aggregate
      Class Principal Amount of the Group 3A Senior Certificates, Group 3B Senior
      Certificates and the Class 3-M1, Class 3-M2, Class 3-M3, Class 3-M4, Class
      3-M5
      and Class 3-M6 Certificates, in each case after giving effect to distributions
      on such Distribution Date and (ii) the Class Principal Amount of the Class
      3-M7
      Certificates immediately prior to such Distribution Date exceeds (y) the 3-M7
      Target Amount.

     

    

    
      
        
          
          

        

        
          47

          
            

          

        

        
          
          

        

      

    

    

    

     

    3-M7
      Target Amount:
      With
      respect to any Distribution Date an amount equal to the lesser of (a) the
      product of (i) 96.10% and (ii) the Pool 3A-3B Aggregate Loan Balance for such
      Distribution Date determined as of the last day of the related Collection Period
      immediately prior to such Distribution Date and (b) the amount, if any, by
      which
      (1) the Pool 3A-3B Aggregate Loan Balance for such Distribution Date determined
      as of the last day of the Collection Period exceeds (2) the Pool 3A-3B
      Overcollateralization Floor.

     

    3-M8
      Principal Distribution Amount:
      With
      respect to any Distribution Date on or after the Pool 3A-3B Stepdown Date and
      as
      long as a Pool 3A-3B Trigger Event is not in effect with respect to such
      Distribution Date, the amount, if any, by which (x) the sum of (i) the aggregate
      Class Principal Amount of the Group 3A Senior Certificates, Group 3B Senior
      Certificates and the Class 3-M1, Class 3-M2, Class 3-M3, Class 3-M4, Class
      3-M5,
      Class 3-M6 and Class 3-M7 Certificates, in each case after giving effect to
      distributions on such Distribution Date and (ii) the Class Principal Amount
      of
      the Class 3-M8 Certificates immediately prior to such Distribution Date exceeds
      (y) the 3-M8 Target Amount.

     

    3-M8
      Target Amount:
      With
      respect to any Distribution Date an amount equal to the lesser of (a) the
      product of (i) 98.00% and (ii) the Pool 3A-3B Aggregate Loan Balance for such
      Distribution Date determined as of the last day of the related Collection Period
      immediately prior to such Distribution Date and (b) the amount, if any, by
      which
      (1) the Pool 3A-3B Aggregate Loan Balance for such Distribution Date determined
      as of the last day of the Collection Period exceeds (2) the Pool 3A-3B
      Overcollateralization Floor.

     

    4-M1
      Principal Distribution Amount:
      With
      respect to any Distribution Date on or after the Pool 4A-4B Stepdown Date and
      as
      long as a Pool 4A-4B Trigger Event is not in effect with respect to such
      Distribution Date, the amount, if any, by which (x) the sum of (i) the aggregate
      Class Principal Amount of the Group 4A Senior Certificates and Group 4B Senior
      Certificates after giving effect to distributions on such Distribution Date
      and
      (ii) the Class Principal Amount of the Class 4-M1 Certificates immediately
      prior
      to such Distribution Date exceeds (y) the 4-M1 Target Amount.

     

    4-M1
      Target Amount:
      With
      respect to any Distribution Date an amount equal to the lesser of (a) the
      product of (i) 86.70%
      and (ii) the Pool 4A-4B Aggregate Loan Balance for such Distribution Date
      determined as of the last day of the related Collection Period immediately
      prior
      to such Distribution Date and (b) the amount, if any, by which (1) the Pool
      4A-4B Aggregate Loan Balance for such Distribution Date determined as of the
      last day of the related Collection Period exceeds (2) the Pool 4A-4B
      Overcollateralization Floor.

     

    4-M2
      Principal Distribution Amount:
      With
      respect to any Distribution Date on or after the Pool 4A-4B Stepdown Date and
      as
      long as a Pool 4A-4B Trigger Event is not in effect with respect to such
      Distribution Date, the amount, if any, by which (x) the sum of (i) the aggregate
      Class Principal Amount of the Group 4A Senior Certificates, Group 4B Senior
      Certificates and the Class 4-M1 Certificates in each case, after giving effect
      to distributions on such Distribution Date and (ii) the Class Principal Amount
      of the Class 4-M2 Certificates immediately prior to such Distribution Date
      exceeds (y) the 4-M2 Target Amount.

     

    

    
      
        
          
          

        

        
          48

          
            

          

        

        
          
          

        

      

    

    

    

     

    4-M2
      Target Amount:
      With
      respect to any Distribution Date an amount equal to the lesser of (a) the
      product of (i) 88.30% and (ii) the Pool 4A-4B Aggregate Loan Balance for such
      Distribution Date determined as of the last day of the related Collection Period
      immediately prior to such Distribution Date and (b) the amount, if any, by
      which
      (1) the Pool 4A-4B Aggregate Loan Balance for such Distribution Date determined
      as of the last day of the related Collection Period exceeds (2) the Pool 4A-4B
      Overcollateralization Floor.

     

    4-M3
      Principal Distribution Amount:
      With
      respect to any Distribution Date on or after the Pool 4A-4B Stepdown Date and
      as
      long as a Pool 4A-4B Trigger Event is not in effect with respect to such
      Distribution Date, the amount, if any, by which (x) the sum of (i) the aggregate
      Class Principal Amount of the Group 4A Senior Certificates, Group 4B Senior
      Certificates and the Class 4-M1 and Class 4-M2 Certificates, in each case after
      giving effect to distributions on such Distribution Date and (ii) the Class
      Principal Amount of the Class 4-M3 Certificates immediately prior to such
      Distribution Date exceeds (y) the 4-M3 Target Amount.

     

    4-M3
      Target Amount:
      With
      respect to any Distribution Date an amount equal to the lesser of (a) the
      product of (i) 91.30% and (ii) the Pool 4A-4B Aggregate Loan Balance for such
      Distribution Date determined as of the last day of the related Collection Period
      immediately prior to such Distribution Date and (b) the amount, if any, by
      which
      (1) the Pool 4A-4B Aggregate Loan Balance for such Distribution Date determined
      as of the last day of the Collection Period exceeds (2) the Pool 4A-4B
      Overcollateralization Floor.

     

    4-M4
      Principal Distribution Amount:
      With
      respect to any Distribution Date on or after the Pool 4A-4B Stepdown Date and
      as
      long as a Pool 4A-4B Trigger Event is not in effect with respect to such
      Distribution Date, the amount, if any, by which (x) the sum of (i) the aggregate
      Class Principal Amount of the Group 4A Senior Certificates, Group 4B Senior
      Certificates and the Class 4-M1, Class 4-M2 and Class 4-M3 Certificates, in
      each
      case after giving effect to distributions on such Distribution Date and (ii)
      the
      Class Principal Amount of the Class 4-M4 Certificates immediately prior to
      such
      Distribution Date exceeds (y) the 4-M4 Target Amount.

     

    4-M4
      Target Amount:
      With
      respect to any Distribution Date an amount equal to the lesser of (a) the
      product of (i) 92.50% and (ii) the Pool 4A-4B Aggregate Loan Balance for such
      Distribution Date determined as of the last day of the related Collection Period
      immediately prior to such Distribution Date and (b) the amount, if any, by
      which
      (1) the Pool 4A-4B Aggregate Loan Balance for such Distribution Date determined
      as of the last day of the Collection Period exceeds (2) the Pool 4A-4B
      Overcollateralization Floor.

     

    4-M5
      Principal Distribution Amount:
      With
      respect to any Distribution Date on or after the Pool 4A-4B Stepdown Date and
      as
      long as a Pool 4A-4B Trigger Event is not in effect with respect to such
      Distribution Date, the amount, if any, by which (x) the sum of (i) the aggregate
      Class Principal Amount of the Group 4A Senior Certificates, Group 4B Senior
      Certificates and the Class 4-M1, Class 4-M2, Class 4-M3 and Class 4-M4
      Certificates, in each case after giving effect to distributions on such
      Distribution Date and (ii) the Class Principal Amount of the Class 4-M5
      Certificates immediately prior to such Distribution Date exceeds (y) the 4-M5
      Target Amount.

     

    4-M5
      Target Amount:
      With
      respect to any Distribution Date an amount equal to the lesser of (a) the
      product of (i) 94.80% and (ii) the Pool 4A-4B Aggregate Loan Balance for such
      Distribution Date determined as of the last day of the related Collection Period
      immediately prior to such Distribution Date and (b) the amount, if any, by
      which
      (1) the Pool 4A-4B Aggregate Loan Balance for such Distribution Date determined
      as of the last day of the Collection Period exceeds (2) the Pool 4A-4B
      Overcollateralization Floor.

     

    

    
      
        
          
          

        

        
          49

          
            

          

        

        
          
          

        

      

    

    

    

     

    4-M6
      Principal Distribution Amount:
      With
      respect to any Distribution Date on or after the Pool 4A-4B Stepdown Date and
      as
      long as a Pool 4A-4B Trigger Event is not in effect with respect to such
      Distribution Date, the amount, if any, by which (x) the sum of (i) the aggregate
      Class Principal Amount of the Group 4A Senior Certificates, Group 4B Senior
      Certificates and the Class 4-M1, Class 4-M2, Class 4-M3, Class 4-M4 and Class
      4-M5 Certificates, in each case after giving effect to distributions on such
      Distribution Date and (ii) the Class Principal Amount of the Class 4-M6
      Certificates immediately prior to such Distribution Date exceeds (y) the 4-M6
      Target Amount.

     

    4-M6
      Target Amount:
      With
      respect to any Distribution Date an amount equal to the lesser of (a) the
      product of (i) 95.80% and (ii) the Pool 4A-4B Aggregate Loan Balance for such
      Distribution Date determined as of the last day of the related Collection Period
      immediately prior to such Distribution Date and (b) the amount, if any, by
      which
      (1) the Pool 4A-4B Aggregate Loan Balance for such Distribution Date determined
      as of the last day of the Collection Period exceeds (2) the Pool 4A-4B
      Overcollateralization Floor.

     

    4-M7
      Principal Distribution Amount:
      With
      respect to any Distribution Date on or after the Pool 4A-4B Stepdown Date and
      as
      long as a Pool 4A-4B Trigger Event is not in effect with respect to such
      Distribution Date, the amount, if any, by which (x) the sum of (i) the aggregate
      Class Principal Amount of the Group 4A Senior Certificates, Group 4B Senior
      Certificates and the Class 4-M1, Class 4-M2, Class 4-M3, Class 3-M4, Class
      4-M5
      and Class 4-M6 Certificates, in each case after giving effect to distributions
      on such Distribution Date and (ii) the Class Principal Amount of the Class
      4-M7
      Certificates immediately prior to such Distribution Date exceeds (y) the 4-M7
      Target Amount.

     

    4-M7
      Target Amount:
      With
      respect to any Distribution Date an amount equal to the lesser of (a) the
      product of (i) 96.80% and (ii) the Pool 4A-4B Aggregate Loan Balance for such
      Distribution Date determined as of the last day of the related Collection Period
      immediately prior to such Distribution Date and (b) the amount, if any, by
      which
      (1) the Pool 4A-4B Aggregate Loan Balance for such Distribution Date determined
      as of the last day of the Collection Period exceeds (2) the Pool 4A-4B
      Overcollateralization Floor.

     

    Accepted
      Servicing Practices:
      With
      respect to any Mortgage Loan, as applicable, either (x) those customary mortgage
      servicing practices of prudent mortgage servicing institutions that service
      or
      master service mortgage loans of the same type and quality as such Mortgage
      Loan
      in the jurisdiction where the related Mortgaged Property is located, to the
      extent applicable to the Trustee (as successor master servicer) or the Master
      Servicer or (y) as provided in the applicable Servicing Agreement, to the extent
      applicable to the related Servicer.

     

    Accountant:
      A
      person engaged in the practice of accounting who (except when this Agreement
      provides that an Accountant must be Independent) may be employed by or
      affiliated with the Depositor or an Affiliate of the Depositor.

     

    

    
      
        
          
          

        

        
          50

          
            

          

        

        
          
          

        

      

    

    

    

     

    Accrual
      Period:
      With
      respect to any Distribution Date and any Class of Group 1A Senior Certificates,
      the Group 1B Senior Certificates (other than the Class 1B-A2 Certificates),
      the
      Group 4A Senior Certificates, the Class I Component of the Class 4A-AIO
      Certificates, the Group 4B Senior Certificates and the Class I Component of
      the
      Class 4B-AIO Certificates, the period beginning on the immediately preceding
      Distribution Date (or, in the case of the first Accrual Period on February
      25,
      2007) and ending on the day immediately preceding the related Distribution
      Date.
      With respect to any Distribution Date and the Class 1B-A2 Certificates, the
      Group 3 Certificates and the Group 4 Subordinate Certificates, the calendar
      month preceding the month of such Distribution Date. With respect to any
      Distribution Date and the Class 1-X Certificates, the Class 2-X Certificates,
      the Class 3-X Certificates and the Class 4-X Certificates (or the components
      thereof) and each Lower-Tier or Middle-Tier Interest, the calendar month
      preceding the month of such Distribution Date. The Class 1-P and Class 2-P
      Certificates will not accrue interest.

     

    Act:
      As
      defined in Section 3.03(c).

     

    Additional
      Form 10-D Disclosure:
      As
      defined in Section 6.20(d)(i).

     

    Additional
      Form 10-K Disclosure:
      As
      defined in Section 6.20(e)(i).

     

    Additional
      Servicer:
      Each
      affiliate of each Servicer that Services any of the Mortgage Loans and each
      Person who is not an affiliate of any Servicer, who Services 10% or more of
      the
      Mortgage Loans.

     

    Additional
      Termination Event:
      As
      defined in the Swap Agreement.

     

    Adjustable
      Rate Mortgage Loan:
      Any
      Mortgage Loan as to which the related Mortgage Note provides for the adjustment
      of the Mortgage Rate applicable thereto.

     

    Adjusted
      Middle-Tier WAC:
      For any
      Distribution Date (and the related Accrual Period), an amount equal to the
      product of (i) two, multiplied by (ii) the weighted average of the interest
      rates for such Distribution Date for each Middle-Tier Interest in Middle-Tier
      REMIC 1 (other than the Class MT1-R Interest and any interest-only regular
      interest), weighted in proportion to their principal balances as of the
      beginning of the related Accrual Period and computed by subjecting the rate
      on
      the Class MT1-Q Interest to a cap of 0.00% and by subjecting the rate on each
      remaining Middle-Tier Interest in Middle-Tier REMIC 1 to a cap that corresponds
      to the Certificate Interest Rate for the Corresponding Class of Certificates,
      provided,
      however,
      that
      for this purpose, the REMIC Net Funds Cap shall be substituted for the
      applicable Net Funds Cap in the definition of the Certificate Interest Rate
      thereof for each Class of Certificates for which interest is accrued on the
      basis of a 360-day year and the actual number of days in the related Accrual
      Period, the Certificate Interest Rate shall be multiplied by an amount equal
      to
      (a) the actual number of days in the Accrual Period, divided by (b)
      30.

     

    Adjusted
      LT-2 WAC:
      For any
      Distribution Date (and the related Accrual Period), an amount equal to the
      product of (i) two, multiplied by (ii) the weighted average of the interest
      rates for such Distribution Date for each Middle-Tier Interest in Middle-Tier
      REMIC 2 (other than the Class MT2-R Interest and any interest-only regular
      interest), weighted in proportion to their principal balances as of the
      beginning of the related Accrual Period and computed by subjecting the rate
      on
      the Class MT2-Q Interest to a cap of 0.00% and by subjecting the rate on each
      remaining Middle-Tier Interest in Middle-Tier REMIC 2 to a cap that corresponds
      to the Certificate Interest Rate for the Corresponding Class of Certificates,
      provided,
      however,
      that
      for this purpose, the REMIC Net Funds Cap shall be substituted for the
      applicable Net Funds Cap in the definition of the Certificate Interest Rate
      thereof for each Class of Certificates for which interest is accrued on the
      basis of a 360-day year and the actual number of days in the related Accrual
      Period, the Certificate Interest Rate shall be multiplied by an amount equal
      to
      (a) the actual number of days in the Accrual Period, divided by (b)
      30.

     

    

      Adjusted
        Middle-Tier REMIC 1 WAC:
        For any
        Distribution Date (and the related Accrual Period), an amount equal to the
        product of (i) two, multiplied by (ii) the weighted average of the interest
        rates for such Distribution Date for each Middle-Tier Interest in Middle-Tier
        REMIC 1 (other than the Class MT1-R Interest and any interest-only regular
        interest), weighted in proportion to their principal balances as of the
        beginning of the related Accrual Period and computed by subjecting the rate
        on
        the Class MT1-Q Interest to a cap of 0.00% and by subjecting the rate on
        each
        remaining Middle-Tier Interest in Middle-Tier REMIC 1 to a cap that corresponds
        to the Certificate Interest Rate for the Corresponding Class of Certificates,
        provided,
        however,
        that
        for this purpose, the Pool 1 REMIC Net Funds Cap shall be substituted for
        the
        applicable Net Funds Cap in the definition of the Certificate Interest Rate
        thereof for each Class of Certificates for which interest is accrued on the
        basis of a 360-day year and the actual number of days in the related Accrual
        Period, the Certificate Interest Rate shall be multiplied by an amount equal
        to
        (a) the actual number of days in the Accrual Period, divided by (b)
        30.

    
      
        
          
          

        

        
          51

          
            

          

        

        
          
          

        

      

    

    

      Adjusted
        Middle-Tier REMIC 2 WAC:
        For any
        Distribution Date (and the related Accrual Period), an amount equal to the
        product of (i) two, multiplied by (ii) the weighted average of the interest
        rates for such Distribution Date for each Middle-Tier Interest in Middle-Tier
        REMIC 2 (other than the Class MT2-R Interest and any interest-only regular
        interest), weighted in proportion to their principal balances as of the
        beginning of the related Accrual Period and computed by subjecting the rate
        on
        the Class MT2-Q Interest to a cap of 0.00% and by subjecting the rate on
        each
        remaining Middle-Tier Interest in Middle-Tier REMIC 2 to a cap that corresponds
        to the Certificate Interest Rate for the Corresponding Class of Certificates,
        provided,
        however,
        that
        for this purpose, the Pool 2 REMIC Net Funds Cap shall be substituted for
        the
        applicable Net Funds Cap in the definition of the Certificate Interest Rate
        thereof for each Class of Certificates for which interest is accrued on the
        basis of a 360-day year and the actual number of days in the related Accrual
        Period, the Certificate Interest Rate shall be multiplied by an amount equal
        to
        (a) the actual number of days in the Accrual Period, divided by (b)
        30.

       

    

    
      Adjusted
        Lower-Tier REMIC 3 WAC:
        For any
        Distribution Date (and the related Accrual Period), an amount equal to the
        product of (i) four, multiplied by (ii) the weighted average of the interest
        rates for such Distribution Date for each Lower-Tier Interest in Lower-Tier
        REMIC 3 (other than the Class LT3-R Interest), weighted in proportion to
        their
        principal balances as of the beginning of the related Accrual Period and
        computed by subjecting the rate on each Loan Tier Interest in Loan Tier 1
        REMIC
        3 without a Corresponding Class of Certificates to a cap of 0.00% and by
        subjecting the rate on each remaining Lower-Tier Interest in Lower-Tier REMIC
        3
        to a cap that corresponds to the Certificate Interest Rate for the Corresponding
        Class of Certificates, provided,
        however,
        that
        for each Class of Certificates for which interest is accrued on the basis
        of a
        360-day year and the actual number of days in the related Accrual Period,
        the
        Certificate Interest Rate shall be multiplied by an amount equal to (a) the
        actual number of days in the Accrual Period, divided by (b) 30.

       

      Adjusted
        Lower-Tier REMIC 4 WAC:
        For any
        Distribution Date (and the related Accrual Period), an amount equal to the
        product of (i) four, multiplied by (ii) the weighted average of the interest
        rates for such Distribution Date for each Lower-Tier Interest in Lower-Tier
        REMIC 4 (other than the Class LT4-R Interest), weighted in proportion to
        their
        principal balances as of the beginning of the related Accrual Period and
        computed by subjecting the rate on each Lower Tier Interest in Lower Tier
        REMIC
        4 without a corresponding Class of Certificates 0.00% and by subjecting the
        rate
        on each remaining Lower-Tier Interest in Lower-Tier REMIC 4 to a cap that
        corresponds to the Certificate Interest Rate for the Corresponding Class
        of
        Certificates, provided,
        however,
        that
        (i) for each Class of Certificates for which interest is accrued on the
        basis of a 360-day year and the actual number of days in the related Accrual
        Period, the Certificate Interest Rate shall be multiplied by an amount equal
        to
        (a) the actual number of days in the Accrual Period, divided by (b) 30 and
        (ii) the certificate Interest Rate will be treated as being 7.00% in the
        case of each of Class 4A-A1, Class 4A-A2, Class 4A-A3, Class 4A-A4, Class
        4B-A1 and Class 4B-A2.

       

    

    Advance:
      An
      advance of the aggregate of payments (other than Balloon Payments) of principal
      and interest (net of the applicable Servicing Fee) on one or more Mortgage
      Loans
      that were due on the Due Date in the related Collection Period and not received
      as of the close of business on the related Determination Date, required to
      be
      made by the related Servicer or by the Master Servicer on behalf of the related
      Servicer (or by the Trustee as successor master servicer) pursuant to Section
      5.04, but only to the extent that such amount is expected, in the reasonable
      judgment of the Master Servicer or Servicer (or by the Trustee as successor
      to
      the Master Servicer), to be recoverable from collections or recoveries in
      respect of such Mortgage Loans. 

     

    Adverse
      REMIC Event:
      Either
      (i) loss of status as a REMIC, within the meaning of Section 860D of the Code,
      for any group of assets identified as a REMIC in the Preliminary Statement
      to
      this Agreement, or (ii) imposition of any tax, including the tax imposed under
      Section 860F(a)(1) on prohibited transactions, and the tax imposed under Section
      860G(d) on certain contributions to a REMIC, on any REMIC created hereunder
      to
      the extent such tax would be payable from assets held as part of the Trust
      Fund.

     

    

    
      
        
          
          

        

        
          52

          
            

          

        

        
          
          

        

      

    

    

    

     

    Affected
      Party:
      As
      defined in the Swap Agreement.

     

    Affiliate:
      With
      respect to any specified Person, any other Person controlling or controlled
      by
      or under common control with such specified Person. For the purposes of this
      definition, “control” when used with respect to any specified Person means the
      power to direct the management and policies of such Person, directly or
      indirectly, whether through the ownership of voting securities, by contract
      or
      otherwise; and the terms “controlling” and “controlled” have meanings
      correlative to the foregoing.

     

    Aggregate
      Expense Rate:
      With
      respect to any Mortgage Loan, the sum of the related Servicing Fee Rate and
      the
      applicable Insurance Fee Rate, in the case of any Mortgage Loan covered by
      a
      Bulk PMI Policy or a LPMI Policy.

     

    Aggregate
      Loan Balance:
      As of
      any date of determination, the aggregate of the Scheduled Principal Balances
      of
      all Mortgage Loans in Pool 1A, Pool 1B, Pool 2, Pool 3A, Pool 3B, Pool 4A and
      Pool 4B.

     

    Aggregate
      Voting Interests:
      The
      aggregate of the Voting Interests of all the Certificates under this
      Agreement.

     

    Agreement:
      This
      Trust Agreement and all amendments and supplements hereto.

     

    Anniversary
      Year:
      The
      one-year period beginning on the Closing Date and ending on the first
      anniversary thereof, and each subsequent one-year period beginning on the day
      after the end of the preceding Anniversary Year and ending on the next
      succeeding anniversary of the Closing Date.

     

    Applied
      Loss Amounts:
      The
      Pool 1A-1B Applied Loss Amount, Pool 2 Applied Loss Amount, Pool 3A-3B Applied
      Loss Amount or Pool 4A-4B Applied Loss Amount, as applicable.

     

    Appraised
      Value:
      With
      respect to any Mortgage Loan, the amount set forth in an appraisal made in
      connection with the origination of such Mortgage Loan as the value of the
      related Mortgaged Property.

     

    Assignment
      of Mortgage:
      An
      assignment of the Mortgage, notice of transfer or equivalent instrument, in
      recordable form, sufficient under the laws of the jurisdiction wherein the
      related Mortgaged Property is located to reflect the sale of the Mortgage to
      the
      Trustee, which assignment, notice of transfer or equivalent instrument may
      be in
      the form of one or more blanket assignments covering the Mortgage Loans secured
      by Mortgaged Properties located in the same jurisdiction, if permitted by law;
      provided,
      however,
      that
      none of the Custodians nor the Trustee shall be responsible for determining
      whether any such assignment is in recordable form.

     

    Aurora:
      Aurora
      Loan Services LLC or its successors in interest.

     

    Authenticating
      Agent:
      Any
      authenticating agent appointed by the Trustee pursuant to Section
      6.10.

     

    Authorized
      Officer:
      Any
      Person who may execute an Officer’s Certificate on behalf of the
      Depositor.

     

    

    
      
        
          
          

        

        
          53

          
            

          

        

        
          
          

        

      

    

    

    

     

    Available
      Basis Risk Amount:
      For any
      Distribution Date and the Offered Certificates, the lesser of:

     

    (i)
       the
      product of:

     

    (a)
       the
      excess, if any of (1) the weighted average of the Interest Rates on the Group
      2
      Certificates computed without regard to the Pool 2 Net Funds Cap, weighted
      based
      on the relative Class Principal Amounts for each class of the Group 2
      Certificates, over (2) the Pool 2 Net Funds Cap, and

     

    (b)
       the
      Scheduled Notional Amount for the Group 2 Swap Agreement for such Distribution
      Date, and

     

    (c)
       a
      fraction, the numerator of which is the actual number of days in the Accrual
      Period and the denominator of which is 360, and

     

    (ii)
       the
      amount on deposit in the Group 2 Swap Account after all required distributions
      have been made on such Distribution Date pursuant to Section 5B.02(f)(i) through
      (iv).

     

    Back-Up
      Certification:
      As
      defined in Section 6.20(e)(iii).

     

    Balloon
      Mortgage Loan:
      Any
      Mortgage Loan having an original term to maturity that is shorter than its
      amortization schedule, and a final Scheduled Payment that is disproportionately
      large in comparison to other Scheduled Payments. 

     

    Balloon
      Payment:
      The
      final Scheduled Payment in respect of a Balloon Mortgage Loan

     

    Bankruptcy:
      As to
      any Person, the making of an assignment for the benefit of creditors, the filing
      of a voluntary petition in bankruptcy, adjudication as a bankrupt or insolvent,
      the entry of an order for relief in a bankruptcy or insolvency proceeding,
      the
      seeking of reorganization, arrangement, composition, readjustment, liquidation,
      dissolution or similar relief, or seeking, consenting to or acquiescing in
      the
      appointment of a trustee, receiver or liquidator, dissolution, or termination,
      as the case may be, of such Person pursuant to the provisions of either the
      Bankruptcy Code, or any other similar state laws.

     

    Bankruptcy
      Code:
      The
      United States Bankruptcy Code of 1986, as amended.

     

    Basis
      Risk Shortfall:
      With
      respect to any Distribution Date and any Class of Offered Certificates (other
      than the Group 4 Certificates), the amount by which the amount of interest
      calculated at the Certificate Interest Rate applicable to such Class for such
      date (determined without regard to the applicable Net Funds Cap for such date
      but subject to a cap equal to the applicable Maximum Interest Rate in the case
      of the Group 1 Certificates, the Group 2 Certificates and the Group 3
      Certificates) exceeds the amount of interest calculated at the applicable Net
      Funds Cap.

     

    Benefit
      Plan Opinion:
      An
      Opinion of Counsel satisfactory to the Depositor and the Trustee to the effect
      that any proposed transfer of Certificates will not (i) cause the assets of
      the
      Trust Fund to be regarded as “plan assets” for purposes of the Plan Asset
      Regulations or (ii) give rise to any fiduciary duty on the part of the Depositor
      or the Trustee, respectively.

     

    

    
      
        
          
          

        

        
          54

          
            

          

        

        
          
          

        

      

    

    

    

     

    Book-Entry
      Certificates:
      Beneficial interests in Certificates designated as “Book-Entry Certificates” in
      this Agreement, ownership and transfers of which shall be evidenced or made
      through book entries by a Clearing Agency as described in Section 3.09;
      provided, that after the occurrence of a condition whereupon book-entry
      registration and transfer are no longer permitted and Definitive Certificates
      are to be issued to Certificate Owners, such Book-Entry Certificates shall
      no
      longer be “Book-Entry Certificates.” As of the Closing Date, each Class of
      Offered Certificates constitutes Book-Entry Certificates.

     

    Bulk
      PMI Policy:
      Any of
      the (A) the MGIC Mortgage Guaranty Master Policy No. 12-05-020-4-4750, MGIC
      form
      #71-70282 (2/06) with #71-70283 (2/05), and the MGIC Assignment of Coverage
      Letter dated February 28, 2007 covering $48,956,835.95 aggregate principal
      balance of insurable Mortgage Loans in Pool 4A, and (B) Assignment Agreement
      dated February 28, 2007, assigning coverage under the PMI Mortgage Master Policy
      No. UW 2510.00 (09/00), Bulk No. 21046-0038-0, subject to the terms and
      conditions of PMI Mortgage’s Bulk Primary First Lien Master Policy UW 2510.00
      (09/00) covering $44,593,342 aggregate principal balance of insurable Mortgage
      Loans in Pool 4A.

     

    Business
      Day:
      Any day
      other than (i) a Saturday or a Sunday, (ii) a day on which banking institutions
      in the States of Colorado, Illinois or New York or the city in which the
      Corporate Trust Office of the Trustee is located are closed, or (iii) with
      respect to any Servicer Remittance Date or any Servicer reporting date, a day
      on
      which banking institutions in the States specified in the definition of
“Business Day” in the related Servicing Agreement, are authorized or obligated
      by law or executive order to be closed.

     

    Cap
      Counterparty:
      The
      counterparty to the Supplemental Interest Trust under the Cap Agreements, and
      any successor in interest or assigns. Initially, the Cap Counterparty shall
      be
      ABN AMRO Bank, N.V.

     

    Cap
      Payment Date:
      For so
      long as a Cap Agreement is in effect or any amounts remain unpaid thereunder,
      the Business Day immediately preceding each Distribution Date.

     

    Carryforward
      Interest:
      With
      respect to any Distribution Date and any Class of Offered Certificates, the
      sum
      of (i) the amount, if any, by which (x) the sum of (A) Current Interest for
      such
      Class for the immediately preceding Distribution Date and (B) any unpaid
      Carryforward Interest for such Class from previous Distribution Dates exceeds
      (y) the amount distributed in respect of interest on such Class on such
      immediately preceding Distribution Date, and (ii) interest on such amount for
      the related Accrual Period at the applicable Certificate Interest
      Rate.

     

    Certificate:
      Any one
      of the certificates signed and countersigned by the Trustee in substantially
      the
      forms attached hereto as Exhibit A.

     

    Certificate
      Account:
      The
      account maintained by the Trustee in accordance with the provisions of Section
      4.04.

     

    Certificate
      Interest Rate:
      With
      respect to each Class of Certificates and the Class I Components and any
      Distribution Date, the applicable per annum rate set forth or described under
      the heading “The Certificates” in the Preliminary Statement hereto.

     

    

    
      
        
          
          

        

        
          55

          
            

          

        

        
          
          

        

      

    

    

    

     

    Certificate
      Owner:
      With
      respect to a Book-Entry Certificate, the Person who is the owner of such
      Book-Entry Certificate, as reflected on the books of the Clearing Agency, or
      on
      the books of a Person maintaining an account with such Clearing Agency (directly
      or as an indirect participant, in accordance with the rules of such Clearing
      Agency).

     

    Certificate
      Principal Amount:
      With
      any Offered Certificates as of any Distribution Date, its initial Certificate
      Principal Amount as of the Closing Date, as reduced by all amounts previously
      distributed on that Certificate in respect of principal prior to such
      Distribution Date, as reduced by, in the case of any Group 1 Senior Certificate,
      Group 2 Senior Certificate or Group 1 Subordinate Certificates, any Pool 1A-1B
      Applied Loss Amount and in the case of any Group 2 Certificates, any Pool 2
      Applied Loss Amount, as applicable, previously allocated thereto; provided,
      however,
      that on
      each Distribution Date on which a Subsequent Recovery is distributed, the
      Certificate Principal Amount of any Class of Group 1 Senior Certificate, Group
      2
      Senior Certificate or Group 1 Subordinate Certificates whose Certificate
      Principal Amount has previously been reduced by application of a Pool 1A-1B
      Applied Loss Amount and the Certificate Principal Amount of any Class of Group
      2
      Certificates whose Certificate Principal Amount has previously been reduced
      by
      application of a Pool 2 Applied Loss Amount, as applicable, will be increased,
      in order of seniority, by an amount (to be applied pro
      rata
      to all
      Certificates of such Class) equal to the lesser of (1) any Deferred Amount
      for
      each such Class immediately prior to such Distribution Date and (2) the total
      amount of any Subsequent Recovery distributed on such Distribution Date to
      such
      Certificateholders, after application (for this purpose) to any more senior
      Classes of such Certificates. The Class X, Class 3-X, Class LT-R, Class 3-LT-R,
      Class R and Class 3-R Certificates are issued without Certificate Principal
      Amounts. The Class 1-P Certificates are issued with an initial Class 1-P
      Principal Amount of $100. The Class 2-P Certificates are issued with an initial
      Class 2-P Principal Amount of $100. 

     

    Certificate
      Register
      and
Certificate
      Registrar:
      The
      register maintained and the registrar appointed pursuant to Section
      3.02.

     

    Certificateholder:
      The
      meaning provided in the definition of “Holder.”

     

    Certifying
      Party:
      As
      defined in Section 6.20(e)(iii).

     

    
      Class:
        All
        Certificates and, in the case of each of REMIC 1 formed hereby, all Lower-Tier
        Interests therein bearing the same Class designation.

       

      Class
        1-LT-R Certificates:
        Each
        Class 1-LT-R Certificate executed by the Trustee, and authenticated and
        delivered by the Certificate Registrar, substantially in the form annexed
        hereto
        as Exhibit A and evidencing ownership of the residual interest in Pooling
        REMIC
        1. 

       

      Class
        1-P Principal Amount:
        As of
        the Closing Date, $100.

       

      Class
        1-R Certificate:
        The
        Class 1-R Certificate executed by the Trustee and authenticated and delivered
        by
        the Certificate Registrar, substantively in the form annexed hereto as Exhibit
        A
        and evidencing ownership of the LT1-R and MT1-R interests and the residual
        interest in Upper-Tier REMIC 1.

    

    

    
      
        
          
          

        

        
          56

          
            

          

        

        
          
          

        

      

    

    

    

     

    Class
      1-X Distributable Amount:
      With
      respect to any Distribution Date, the amount of interest that has accrued on
      the
      Class 1-X Notional Balance (as described in the Preliminary Statement in
      footnote (59) under the caption “The Certificates”) but that has not been
      distributed prior to such date. In addition, such amount shall include the
      initial Class 1-X Principal Amount to the extent such amount has not been
      distributed on an earlier Distribution Date as part of the Pool 1A-1B Aggregate
      Overcollateralization Release Amount.

     

    Class
      1-X Notional Balance:
      With
      respect to any Distribution Date (and the related Accrual Period) the aggregate
      of the principal balances of the Middle-Tier Interests in Middle-Tier REMIC
      1,
      as described in the Preliminary Statement.

     

    Class
      1-X Principal Amount:
      As of
      the Closing Date, $1,707,024.96.

     

    Class
      2-LT-R Certificates:
      Each
      Class 2-LT-R Certificate executed by the Trustee, and authenticated and
      delivered by the Certificate Registrar, substantially in the form annexed hereto
      as Exhibit A and evidencing ownership of the residual interest in Pooling REMIC
      2. 

     

    Class
      2-P Principal Amount:
      As of
      the Closing Date, $100.

     

    Class
      2-R Certificate:
      The
      Class 2-R Certificate executed by the Trustee, and authenticated and delivered
      by the Certificate Registrar, substantially in the form annexed hereto as
      Exhibit A and evidencing the ownership of the sole Class of residual interest
      in
      Upper-Tier REMIC 2 as well as ownership of the LT2-R and Class MT2-R
      Interests.

     

    Class
      2-X Distributable Amount:
      With
      respect to On any Distribution Date, the amount of interest that has accrued
      on
      the Class 2-X Notional Balance (as described in the Preliminary Statement in
      footnote (60) under the Caption “The Certificates”) but that has not been
      distributed prior to such date. In addition, such amount shall include the
      initial Class 2-X Principal Amount to the extent that such amount has not been
      distributed on an earlier Distribution Date as part of the Pool 2
      Overcollateralization Release Amount.

     

    Class
      2-X Notional Balance:
      With
      respect to any Distribution Date (and the related Accrued Period), the aggregate
      of the principal balances of the Lower-Tier Interests in Lower-Tier REMIC 2,
      as
      described in the Preliminary Statement.

     

    Class
      2-X Principal Amount:
      As of
      the Closing Date, $4,879,520.37.

     

    Class
      3-LT-R Certificates:
      Each
      Class 3-LT-R Certificate executed by the Trustee, and authenticated and
      delivered by the Certificate Registrar, substantially in the form annexed hereto
      as Exhibit A and evidencing ownership of the residual interest in Pooling REMIC
      3. 

     

    
      Class
        3-R Certificate:
        The
        Class 3-R Certificate executed by the Trustee, and authenticated and delivered
        by the Certificate Registrar, substantially in the form annexed hereto as
        Exhibit A and evidencing the ownership of the sole Class of residual interest
        in
        Upper-Tier REMIC 3 as well as ownership of the LT3-R and Class MT3-R
        Interests.

    
      
        
          
          

        

        
          57

          
            

          

        

        
          
          

        

      

    

    

    

     

    Class
      3-R Certificate:
      The
      Class 3-R Certificate executed by the Trustee, and authenticated and delivered
      by the Certificate Registrar, substantially in the form annexed hereto as
      Exhibit A and evidencing the ownership of the sole Class of residual interest
      in
      Upper-Tier REMIC 3 as well as ownership of the LT3-R and Class MT3-R
      Interests.

     

    Class
      3-X Distributable Amount:
      With
      respect to any Distribution Date, the amount of interest that has accrued on
      the
      Class 3-X Notional Balance (as described in the Preliminary Statement in
      footnote (61) under the caption “The Certificates”) but that has not been
      distributed prior to such date. In addition, such amount shall include the
      initial Class 3-X Principal Amount to the extent such amount has not been
      distributed on an earlier Distribution Date as part of the Pool 3A-3B Aggregate
      Overcollateralization Release Amount.

     

    
      Class
        3-X Notional Balance:
        With
        respect to any Distribution Date (and the related Accrual Period) the aggregate
        of the principal balances of the Lower-Tier Interests in Lower-Tier REMIC
        3, as
        described in the Preliminary Statement.

       

    

    Class
      3-X Principal Amount:
      As of
      the Closing Date, $2,780,453.89.

     

    Class
      4-LT-R Certificates:
      Each
      Class 4-LT-R Certificate executed by the Trustee, and authenticated and
      delivered by the Certificate Registrar, substantially in the form annexed hereto
      as Exhibit A and evidencing ownership of the residual interest in Pooling REMIC
      4.

     

    Class
      4-R Certificate:
      The
      Class 4-R Certificate executed by the Trustee and authenticated and delivered
      by
      the Certificate Registrar, substantively in the form annexed hereto as Exhibit
      A
      and evidencing ownership of the LT4-R interest and the residual interest in
      Upper-Tier REMIC 4.

     

    
      Class
        4-R Certificate:
        The
        Class 4-R Certificate executed by the Trustee, and authenticated and delivered
        by the Certificate Registrar, substantially in the form annexed hereto as
        Exhibit A and evidencing the ownership of the sole Class of residual interest
        in
        Upper-Tier REMIC 4 as well as ownership of the LT4-R and Class MT4-R
        Interests.

    

     

    Class
      4-X Distributable Amount:
      With
      respect to any Distribution Date, the amount of interest that has accrued on
      the
      Class 4-X Notional Balance (as described in the Preliminary Statement in
      footnote (62) under the caption “The Certificates”) but that has not been
      distributed prior to such date. In addition, such amount shall include the
      initial Class 4-X Principal Amount to the extent such amount has not been
      distributed on an earlier Distribution Date as part of the Pool 4A-4B Aggregate
      Overcollateralization Release Amount.

     

    Class
      X Notional Balance:
      With
      respect to any Distribution Date (and the related Accrual Period) the aggregate
      of the principal balances of the Middle-Tier Interests in Middle-Tier REMIC
      4,
      as described in the Preliminary Statement.

     

    Class
      4-X Principal Amount:
      As of
      the Closing Date, $3,304,101.55.

     

    Class
      I Components:
      Any of
      the Class I Components of the Class 4A-AIO and Class 4B-AIO
      Certificates.

     

    

    
      
        
          
          

        

        
          58

          
            

          

        

        
          
          

        

      

    

    
 

    
      Class
        I Shortfalls:
        As
        defined in Section 10.01(n) hereof. For purposes of clarity, the Class I
        Shortfall for any Distribution Date shall equal the amount payable to a Swap
        Counterparty on such Distribution Date in excess of the amount payable on
        the
        related Class I interest on such Distribution Date, all as further provided
        in
        Section 10.01(n) hereof.

       

    

    Class
      Notional Amount:
      For the
      Class 4A-AIO Certificates and any Distribution Date, the Class Notional Amount
      of the Class 4A-AIO Certificates (and the Class I Component thereof) will be
      equal to aggregate Class Principal Amounts of the Group 4A Senior Certificates
      immediately preceding such Distribution Date. For the Class 4B-AIO Certificates
      and any Distribution Date, the Class Notional Amount of the Class 4B-AIO
      Certificates (and the Class I Component thereof) will be equal to aggregate
      Class Principal Amounts of the Group 4B Senior Certificates immediately
      preceding such Distribution Date.

     

    Class
      P Components:
      Any of
      the Class P Components of the Class 4A-AIO or Class 4B-AIO
      Certificates.

     

    
      Class
        Principal Amount:
        With
        respect to each Class of Offered Certificates and any date of determination,
        the
        aggregate of the Certificate Principal Amounts (or related Percentage Interest
        therein aggregating to 100%) of all Certificates of such Class on such date
        of
        determination. With respect to the Class 1-P Certificate, the Class 1-P
        Principal Amount. With respect to the Class 2-P Certificate, the Class 2-P
        Principal Amount. With
        respect to the Class 1-LT-R, Class 2-LT-R, Class 3-LT-R, Class 4-LT-R, Class
        1-R, Class 2-R, Class 3-R and Class 4-R Certificates, zero. With respect
        to the
        Class 1-X, Class 2-X, Class 3-X and Class 4-X Certificates, the Class 1-X
        Principal Amount, the Class 2-X Principal Amount, the Class 3-X Principal
        Amount
        and the Class 4-X Principal Amount, respectively.

    

     

    Clearing
      Agency:
      An
      organization registered as a “clearing agency” pursuant to Section 17A of the
      Exchange Act. As of the Closing Date, the Clearing Agency shall be The
      Depository Trust Company.

     

    Clearing
      Agency Participant:
      A
      broker, dealer, bank, other financial institution or other Person for whom
      from
      time to time a Clearing Agency effects book-entry transfers and pledges of
      securities deposited with the Clearing Agency.

     

    Clearstream:
      Clearstream Banking, S.A., Luxembourg, and any successor thereto.

     

    Closing
      Date:
      February 28, 2007.

     

    Code:
      The
      Internal Revenue Code of 1986, as amended, and as it may be further amended
      from
      time to time, any successor statutes thereto, and applicable U.S. Department
      of
      Treasury regulations issued pursuant thereto in temporary or final
      form.

     

    

    
      
        
          
          

        

        
          59

          
            

          

        

        
          
          

        

      

    

    

    

     

    Collateral
      Account:
      Either
      the Group 1 Collateral Account or the Group 2 Collateral Account, as
      applicable.

     

    Collection
      Account:
      A
      separate account established and maintained by the Master Servicer pursuant
      to
      Section 4.01.

     

    Collection
      Period:
      With
      respect to any Distribution Date, the period commencing on the second day of
      the
      month immediately preceding the month in which such Distribution Date occurs
      and
      ending on the first day of the month in which such Distribution Date
      occurs.

     

    Commission:
      The
      United States Securities and Exchange Commission.

     

    Compensating
      Interest Payment:
      With
      respect to any Distribution Date and prepayments in full or in part, an amount
      equal to the aggregate amount of any Prepayment Interest Shortfalls required
      to
      be paid by the Servicers with respect to such Distribution Date. The Master
      Servicer (solely in its capacity as master servicer) shall not be responsible
      for making any Compensating Interest Payment.

     

    Component:
      Each of
      the Class 4A-AIO and Class 4B-AIO Certificates shall be issued in two
      non-severable Components: the Class I and Class P Components. The Class I
      Components shall be issued with a Certificate Interest Rate and Class Notional
      Amount; the Class P Components shall not be issued with either a Certificate
      Interest Rate or a balance but shall evidence the right to receive distributions
      pursuant to Section 5D.02(g). The Class 1-X Certificate shall be issued in
      three
      non-severable Components: the 1-XS Component, the 1-CX Component and the 1-SX
      Component. The 1-XS Component, 1-CX Component and 1-SX Component shall not
      be
      issued with either a Certificate Interest Rate or a balance but shall evidence
      the right to receive distributions pursuant to Section 5A.02(e)(viii), Section
      5A.02(f)(ix) and Section 5A.02(g)(xii), respectively. The Class 2-X Certificate
      shall be issued in three non-severable Components: the 2-XS Component, the
      2-CX
      Component and the 2-SX Component. The 2-XS Component, 2-CX Component and 2-SX
      Component shall not be issued with either a Certificate Interest Rate or a
      balance but shall evidence the right to receive distributions pursuant to
      Section 5B.02(d)(viii), Section 5B.02(e)(iii) and Section 5B.02(f)(xii),
      respectively.

     

    Component
      Interest Rate:
      Not
      applicable.

     

    Component
      Principal Amount:
      Not
      applicable.

     

    Conventional
      Loan:
      A
      Mortgage Loan that is not insured by the United States Federal Housing
      Administration or guaranteed by the United States Department of Veterans
      Affairs.

     

    Cooperative
      Corporation:
      The
      entity that holds title (fee or an acceptable leasehold estate) to the real
      property and improvements constituting the Cooperative Property and which
      governs the Cooperative Property, which Cooperative Corporation must qualify
      as
      a Cooperative Housing Corporation under Section 216 of the Code.

     

    

    
      
        
          
          

        

        
          60

          
            

          

        

        
          
          

        

      

    

    

    

     

    Cooperative
      Loan:
      Any
      Mortgage Loan secured by Cooperative Shares and a Proprietary
      Lease.

     

    Cooperative
      Loan Documents:
      As to
      any Cooperative Loan, (i) the Cooperative Shares, together with a stock power
      in
      blank; (ii) the original executed Security Agreement and the assignment of
      the
      Security Agreement endorsed in blank; (iii) the original executed Proprietary
      Lease and the assignment of the Proprietary Lease endorsed in blank; (iv) the
      original executed Recognition Agreement and the assignment of the Recognition
      Agreement (or a blanket assignment of all Recognition Agreements) endorsed
      in
      blank; (v) the executed UCC-1 financing statement with evidence of recording
      thereon, which has been filed in all places required to perfect the security
      interest in the Cooperative Shares and the Proprietary Lease; and (vi) executed
      UCC-3 financing statements (or copies thereof) or other appropriate UCC
      financing statements required by state law, evidencing a complete and unbroken
      line from the mortgagee to the Trustee with evidence of recording thereon (or
      in
      a form suitable for recordation).

     

    Cooperative
      Property:
      The
      real property and improvements owned by the Cooperative Corporation, that
      includes the allocation of individual dwelling units to the holders of the
      Cooperative Shares of the Cooperative Corporation.

     

    Cooperative
      Shares:
      Shares
      issued by a Cooperative Corporation.

     

    Cooperative
      Unit:
      A
      single-family dwelling located in a Cooperative Property.

     

    Corporate
      Trust Office:
      The
      office of the Trustee at which at any particular time its corporate trust
      business with respect to this Agreement shall be administered, which office
      at
      the date of execution of this Agreement shall be in the case of Certificate
      transfers and for purposes of presentment and surrender of the Certificates
      for
      final distribution thereon, 135 South LaSalle Street, Suite 1511, Chicago,
      Illinois, 60603, Attention: Global Securities and Trust Services - LXS 2007-3
      or
      any such other address as the Trustee may designate from time to time by notice
      to the Certificateholders, the Depositor and the Master Servicer.

     

    
      Corresponding
        Class:
        The
        Class of Certificates that corresponds to a class of Lower-Tier Interests
        or
        Middle-Tier Interests in as described in the Preliminary
        Statement.

    

     

    Credit
      Support Annex:
      Each
      credit support annex to the Swap Agreement and the Cap Agreement dated as of
      February 28, 2007, between the Supplemental Interest Trust and the Swap
      Counterparty and Cap Counterparty, as applicable.

     

    Current
      Interest:
      With
      respect to any Offered Certificate and any Distribution Date, the aggregate
      amount of interest accrued at the applicable Certificate Interest Rate during
      the related Accrual Period on the Class Principal Amount (or Class Notional
      Amount) thereof immediately prior to such Distribution Date. 

     

    Custodial
      Account:
      Any
      custodial account (other than an Escrow Account) established and maintained
      by a
      Servicer pursuant to a Servicing Agreement.

     

    Custodial
      Agreement:
      Each
      custodial agreement identified on Exhibit K hereto, and any custodial agreement
      subsequently executed by the Trustee and acknowledged by the Master Servicer
      substantially in the form thereof.

     

    

    
      
        
          
          

        

        
          61

          
            

          

        

        
          
          

        

      

    

    

    

     

    Custodian:
      Each
      custodian appointed by the Trustee pursuant to a Custodial Agreement, and any
      successor thereto. The initial Custodians are Deutsche Bank National Trust
      Company, LaSalle Bank National Association, U.S. Bank National Association
      and
      Wells Fargo Bank, N.A.

     

    Cut-off
      Date:
      February 1, 2007.

     

    Cut-off
      Date Balance:
      With
      respect to the Mortgage Loans in the Trust Fund on the Closing Date, the
      aggregate Scheduled Principal Balance of such Mortgage Loan as of the Cut-off
      Date.

     

    Debt
      Service Reduction:
      With
      respect to any Mortgage Loan, a reduction of the Scheduled Payment that the
      related Mortgagor is obligated to pay on any Due Date as a result of, or in
      connection with, any proceeding under Bankruptcy law or any similar
      proceeding.

     

    Defaulting
      Party:
      As
      defined in the Swap Agreement.

     

    Deferred
      Amount:
      With
      respect to any Distribution Date and the Group 1 Senior Certificates, the Group
      2 Senior Certificates and the Group 1 Subordinate Certificates, the aggregate
      of
      Pool 1A-1B Applied Loss Amounts previously applied in reduction of the
      Certificate Principal Amount of such Group 1 Senior Certificate, the Group
      2
      Senior Certificate and the Group 1 Subordinate Certificate, less (i) any amounts
      previously reimbursed in respect thereto and (ii) the amount by which the
      Certificate Principal Amount of such Group 1 Senior Certificate, the Group
      2
      Senior Certificate and the Group 1 Subordinate Certificate has been increased
      due to any Subsequent Recovery. With respect to any Distribution Date and each
      Group 2 Certificate, the aggregate Pool 2 Applied Loss Amounts previously
      applied in reduction of the Certificate Principal Amount thereof, less (i)
      any
      amounts previously reimbursed in respect thereof and (ii) the amount by which
      the Certificate Principal Amount of such Group 2 Certificate has been increased
      due to any Subsequent Recovery.

     

    Deficient
      Valuation:
      With
      respect to any Mortgage Loan, a valuation by a court of competent jurisdiction
      of the Mortgaged Property in an amount less than the then outstanding
      indebtedness under such Mortgage Loan, which valuation results from a proceeding
      under Bankruptcy law or any similar proceeding.

     

    Definitive
      Certificate:
      A
      Certificate of any Class issued in definitive, fully registered, certificated
      form.

     

    Deleted
      Mortgage Loan:
      A
      Mortgage Loan that is repurchased from the Trust Fund pursuant to the terms
      hereof or as to which one or more Qualifying Substitute Mortgage Loans are
      substituted therefor.

     

    Delinquent:
      For
      reporting purposes, a Mortgage Loan is considered “delinquent” when any payment
      contractually due thereon has not been made by the close of business on the
      Due
      Date therefor. Such Mortgage Loan is “30 days Delinquent” if such payment has
      not been received by the close of business on the corresponding day of the
      month
      immediately succeeding the month in which such payment was first due, or, if
      there is no such corresponding day (e.g., as when a 30-day month follows a
      31-day month in which a payment was due on the 31st day of such month), then
      on
      the last day of such immediately succeeding month. Similarly for “60 days
      Delinquent” and the second immediately succeeding month and “90 days Delinquent”
and the third immediately succeeding month.

     

    

    
      
        
          
          

        

        
          62

          
            

          

        

        
          
          

        

      

    

    

    

     

    Depositor:
      Structured Asset Securities Corporation, a Delaware corporation, having its
      principal place of business in New York, or its successors in
      interest.

     

    Determination
      Date:
      With
      respect to each Distribution Date, the 18th day of the month in which such
      Distribution Date occurs, or, if such 18th day is not a Business Day, the next
      succeeding Business Day.

     

    Disqualified
      Organization:
      A
“disqualified organization” as defined in Section 860E(e)(5) of the
      Code.

     

    Distressed
      Mortgage Loan:
      Any
      Mortgage Loan that at the date of determination is Delinquent in payment for
      a
      period of 90 days or more without giving effect to any grace period permitted
      by
      the related Mortgage Note or for which the applicable Servicer on behalf of
      the
      Trustee has accepted a deed in lieu of foreclosure.

     

    Distribution
      Date:
      The
      25th day of each month or, if such 25th day is not a Business Day, the next
      succeeding Business Day, commencing in March 2007.

     

    Distribution
      Date Statement:
      As
      defined in Section 4.03(a) hereof.

     

    Due
      Date:
      With
      respect to any Mortgage Loan, the date on which a Scheduled Payment is due
      under
      the related Mortgage Note.

     

    Eligible
      Account:
      Either
      (i) an account or accounts maintained with a federal or state chartered
      depository institution or trust company acceptable to the Rating Agencies or
      (ii) an account or accounts the deposits in which are insured by the FDIC to
      the
      limits established by such corporation, provided that any such deposits not
      so
      insured shall be maintained in an account at a depository institution or trust
      company whose commercial paper or other short term debt obligations (or, in
      the
      case of a depository institution or trust company which is the principal
      subsidiary of a holding company, the commercial paper or other short term debt
      or deposit obligations of such holding company or depository institution, as
      the
      case may be) have been rated by each Rating Agency in its highest short-term
      rating category, or (iii) a segregated trust account or accounts (which shall
      be
      a “special deposit account”) maintained with the Trustee or any other federal or
      state chartered depository institution or trust company, acting in its fiduciary
      capacity, in a manner acceptable to the Trustee and the Rating Agencies.
      Eligible Accounts may bear interest.

     

    Eligible
      Investments:
      Any one
      or more of the following obligations or securities:

     

    (i) direct
      obligations of, and obligations fully guaranteed as to timely payment of
      principal and interest by, the United States of America or any agency or
      instrumentality of the United States of America the obligations of which are
      backed by the full faith and credit of the United States of America (“Direct
      Obligations”);

     

    

    
      
        
          
          

        

        
          63

          
            

          

        

        
          
          

        

      

    

    

    

     

    (ii) federal
      funds, or demand and time deposits in, certificates of deposits of, or bankers’
acceptances issued by, any depository institution or trust company (including
      U.S. subsidiaries of foreign depositories and the Trustee or any agent of the
      Trustee, acting in its respective commercial capacity) incorporated or organized
      under the laws of the United States of America or any state thereof and subject
      to supervision and examination by federal or state banking authorities, so
      long
      as at the time of investment or the contractual commitment providing for such
      investment the commercial paper or other short-term debt obligations of such
      depository institution or trust company (or, in the case of a depository
      institution or trust company which is the principal subsidiary of a holding
      company, the commercial paper or other short-term debt or deposit obligations
      of
      such holding company or deposit institution, as the case may be) have been
      rated
      by each Rating Agency in its highest short-term rating category or one of its
      two highest long-term rating categories;

     

    (iii) repurchase
      agreements collateralized by Direct Obligations or securities guaranteed by
      Ginnie Mae, Fannie Mae or Freddie Mac with any registered broker/dealer subject
      to Securities Investors’ Protection Corporation jurisdiction or any commercial
      bank insured by the FDIC, if such broker/dealer or bank has an uninsured,
      unsecured and unguaranteed obligation rated by each Rating Agency in its highest
      short-term rating category;

     

    (iv) securities
      bearing interest or sold at a discount issued by any corporation incorporated
      under the laws of the United States of America or any state thereof which have
      a
      credit rating from each Rating Agency, at the time of investment or the
      contractual commitment providing for such investment, at least equal to one
      of
      the two highest long-term credit rating categories of each Rating Agency;
provided,
      however,
      that
      securities issued by any particular corporation will not be Eligible Investments
      to the extent that investment therein will cause the then outstanding principal
      amount of securities issued by such corporation and held as part of the Trust
      Fund to exceed 20% of the sum of the Aggregate Loan Balance and the aggregate
      principal amount of all Eligible Investments in the Certificate Account;
provided,
      further,
      that
      such securities will not be Eligible Investments if they are published as being
      under review with negative implications from any Rating Agency;

     

    (v) commercial
      paper (including both non-interest-bearing discount obligations and
      interest-bearing obligations payable on demand or on a specified date not more
      than 180 days after the date of issuance thereof) rated by each Rating Agency
      in
      its highest short-term rating category;

     

    (vi) a
      Qualified GIC;

     

    (vii) certificates
      or receipts representing direct ownership interests in future interest or
      principal payments on obligations of the United States of America or its
      agencies or instrumentalities (which obligations are backed by the full faith
      and credit of the United States of America) held by a custodian in safekeeping
      on behalf of the holders of such receipts; and

     

    

    
      
        
          
          

        

        
          64

          
            

          

        

        
          
          

        

      

    

    

    

     

    (viii) any
      other
      demand, money market, common trust fund or time deposit or obligation, or
      interest-bearing or other security or investment (including those managed or
      advised by the Trustee or any Affiliate thereof), (A) rated in the highest
      rating category by each Rating Agency or (B) that would not adversely affect
      the
      then current rating assigned by each Rating Agency of any of the Certificates
      or
      the related NIM Securities and has a short term rating of at least “A-1” or its
      equivalent by each Rating Agency. Such investments in this subsection (viii)
      may
      include money market mutual funds or common trust funds, including any fund
      for
      which LaSalle Bank National Association, in its capacity other than as Trustee,
      the Trustee, the Master Servicer, any NIMS Insurer or an Affiliate thereof
      serves as an investment advisor, administrator, shareholder, servicing agent,
      and/or custodian or subcustodian, notwithstanding that (x) LaSalle Bank National
      Association, the Trustee, the Master Servicer, any NIMS Insurer or any Affiliate
      thereof charges and collects fees and expenses from such funds for services
      rendered, (y) LaSalle Bank National Association, the Trustee, the Master
      Servicer, any NIMS Insurer or any Affiliate thereof charges and collects fees
      and expenses for services rendered pursuant to this Agreement, and
      (z) services performed for such funds and pursuant to this Agreement may
      converge at any time. LaSalle Bank National Association or an Affiliate thereof
      is hereby authorized to charge and collect from the Trustee such fees as are
      collected from all investors in such funds for services rendered to such funds
      (but not to exceed investment earnings thereon);

     

    provided,
      however,
      that no
      such instrument shall be an Eligible Investment if such instrument evidences
      either (i) a right to receive only interest payments with respect to the
      obligations underlying such instrument, or (ii) both principal and interest
      payments derived from obligations underlying such instrument and the principal
      and interest payments with respect to such instrument provide a yield to
      maturity of greater than 120% of the yield to maturity at par of such underlying
      obligations, provided that any such investment will be a “permitted investment”
within the meaning of Section 860G(a)(5) of the Code.

     

    ERISA:
      The
      Employee Retirement Income Security Act of 1974, as amended.

     

    ERISA-Qualifying
      Underwriting:
      A best
      efforts or firm commitment underwriting or private placement that meets the
      requirements of an Underwriter’s Exemption.

     

    ERISA-Restricted
      Certificate:
      Any
      Class 1-P, Class 2-P, Class 1-LT-R, Class 2-LT-R, Class 3-LT-R, Class 4-LT-R,
      Class 1-R, Class 2-R, Class 3-R, Class 4-R, Class 1-X, Class 2-X, Class 3-X
      and
      Class 4-X Certificate and any Certificate with a rating below the lowest
      applicable rating permitted under the Underwriter’s Exemption.

     

    ERISA-Restricted
      Trust Certificate:
      Any
      Group 1 Senior Certificate (other than the Class 1B-A2 Certificate) and any
      Group 2 Certificate.

     

    Errors
      and Omission Insurance Policy:
      The
      errors or omission insurance policy required to be obtained by each Servicer
      satisfying the requirements of the related Servicing Agreement.

     

    

    
      
        
          
          

        

        
          65

          
            

          

        

        
          
          

        

      

    

    

    

     

    Escrow
      Account:
      Any
      account established and maintained by each Servicer pursuant to the related
      Servicing Agreement.

     

    Euroclear:
      Euroclear Bank, S.A./N.V., as operator of the Euroclear System.

     

    Event
      of Default:
      Any one
      of the conditions or circumstances enumerated in Section 6.14(a).

     

    Exchange
      Act:
      The
      Securities and Exchange Act of 1934, as amended, and the rules and regulations
      thereunder.

     

    Exchange
      Act Signing Party:
      Either
      the Depositor or the Master Servicer, to be determined by mutual agreement
      between such parties.

     

    Excluded
      Trust Assets:
      As
      described in the Preliminary Statement. 

     

    Fannie
      Mae:
      Fannie
      Mae, f/k/a the Federal National Mortgage Association, a federally chartered
      and
      privately owned corporation organized and existing under the Federal National
      Mortgage Association Charter Act, or any successor thereto.

     

    FDIC:
      The
      Federal Deposit Insurance Corporation or any successor thereto.

     

    Fidelity
      Bond:
      The
      fidelity bond required to be obtained by each Servicer satisfying the
      requirements of the related Servicing Agreement.

     

    Final
      Scheduled Distribution Date:
      With
      respect to each Class of Certificates, the Distribution Date in March
      2037.

     

    Financial
      Intermediary:
      A
      broker, dealer, bank or other financial institution or other Person that clears
      through or maintains a custodial relationship with a Clearing Agency
      Participant.

     

    First
      Payment Default Mortgage Loan:
      Any
      Mortgage Loan (i) originated by Lehman Brothers Bank, FSB specified in Section
      1.04(e) of the Mortgage Loan Sale Agreement in respect of which the related
      Mortgagor does not make the first payment due to the Seller within the time
      frame required under such section or (ii) originated by Lehman Brothers Bank,
      FSB specified in Section 1.04(e) of the Mortgage Loan Sale Agreement in respect
      of which the related Mortgagor does not make the first or second payment due
      to
      the Seller within the time frame required under such section.

     

    Fitch:
      Fitch
      Ratings, Inc., or any successor in interest.

     

    Form
      10-K Certification:
      The
      certification required pursuant to Rule 13a-14 under the Exchange
      Act.

     

    FPD
      Premium:
      With
      respect to any First Payment Default Mortgage Loan or purchased by the Seller
      from Lehman Brothers Bank, FSB, the excess, if any of the FPD Purchase Price
      over the Purchase Price for such Mortgage Loan.

     

    

    
      
        
          
          

        

        
          66

          
            

          

        

        
          
          

        

      

    

    

    

     

    FPD
      Purchase Price:
      With
      respect to any First Payment Default Mortgage Loan, an amount equal to the
      sum
      of (a) the greater of (i) 100% of the unpaid principal balance of such Mortgage
      Loan and (ii) the price at which such Mortgage Loan was originally purchased
      by
      the Seller as set forth on Schedule B, and (b) accrued interest thereon at
      the
      applicable Mortgage Rate from the date as to interest was last paid to (but
      not
      including) the Due Date in the Collection Period immediately preceding the
      related Distribution Date.

     

    Freddie
      Mac:
      Freddie
      Mac, f/k/a the Federal Home Loan Mortgage Corporation, a corporate
      instrumentality of the United States created and existing under Title III of
      the
      Emergency Home Finance Act of 1970, as amended, or any successor
      thereto.

     

    Ginnie
      Mae:
      Ginnie
      Mae, f/k/a the Government National Mortgage Association, a wholly owned
      corporate instrumentality of the United States within HUD.

     

    Global
      Securities:
      The
      global certificates representing the Book-Entry Certificates.

     

    Group
      1 Cap Account:
      The
      account created pursuant to Section 5.07(b).

     

    Group
      1 Cap Agreement:
      The
      interest rate cap agreement dated as of February 28, 2007, entered into between
      the Trustee on behalf of the Supplemental Interest Trust (for the benefit of
      the
      Certificateholders of the Group 1 Certificates (other than the Class 1B-A2
      Certificates)) and the Cap Counterparty, which agreement provides for the
      monthly payment specified therein, to the Supplemental Interest Trust for
      deposit into the Group 1 Cap Account (for the benefit of the Certificateholders
      of the Group 1 Certificates (other than the Class 1B-A2 Certificates))
      commencing with the Distribution Date in April 2007 and terminating in (but
      including the Distribution Date in) February 2012, by the Cap Counterparty,
      but
      subject to the conditions set forth therein, including the 1992 ISDA Master
      Swap
      Agreement (Multi-Currency Cross Border), together with any schedules,
      confirmations, Credit Support Annex or other agreements relating thereto,
      attached hereto as Exhibit N-2.

     

    Group
      1 Cap Amount:
      With
      respect to each Distribution Date, the amount of any Group 1 Cap Payment
      deposited into the Group 1 Cap Account, and any investment earnings
      thereon.

     

    Group
      1 Cap Payment:
      With
      respect to each Distribution Date, any payment required to be made by the Cap
      Counterparty to the Supplemental Interest Trust pursuant to the terms of the
      Group 1 Cap Agreement.

     

    Group
      1 Cap Replacement Receipts:
      As
      defined in Section 5.09(b).

     

    Group
      1 Cap Replacement Receipts Account:
      As
      defined in Section 5.09(b).

     

    Group
      1 Cap Termination Payment:
      Upon
      the designation of an “Early Termination Date” as defined in the Group 1 Cap
      Agreement, the payment required to be made by the Cap Counterparty to the
      Supplemental Interest Trust pursuant to the terms of the Group 1 Cap Agreement,
      and any unpaid amounts due on previous Cap Payment Dates and accrued interest
      thereon as provided in the Group 1 Cap Agreement, as calculated by the Cap
      Counterparty and furnished to the Trustee.

     

    

    
      
        
          
          

        

        
          67

          
            

          

        

        
          
          

        

      

    

    

    

     

    Group
      1 Cap Termination Receipts:
      As
      defined in Section 5.09(b).

     

    Group
      1 Cap Termination Receipts Account:
      As
      defined in Section 5.09(b).

     

    Group
      1 Certificates:
      Collectively, the Group 1A Senior Certificates, the Group 1B Senior Certificates
      and the Group 1 Subordinate Certificates.

     

    Group
      1 Collateral Account:
      The
      account maintained by the Trustee in accordance with the provisions of Section
      5.07(c).

     

    Group
      1 NIM Redemption Amount:
      As
      defined in Section 7.01(b).

     

    Group
      1 NIM Securities:
      Any net
      interest margin notes (other than any related NIM Residual Securities) issued
      by
      a trust or other special purpose entity, the principal assets of such trust
      or
      other special purpose entity are Certificates related to the Mortgage Loans
      in
      Pool 1A and Pool 1B, which principal assets back such notes.

     

    Group
      1 Subordinate Certificates:
      Collectively, the Class 1-M1, Class 1-M2, Class 1-M3, Class 1-M4, Class 1-M5,
      Class 1-M6, Class 1-M7 and Class 1-M8 Certificates.

     

    Group
      1 Subordinate Priority:
      To the
      Class 1-M1, Class 1-M2, Class 1-M3, Class 1-M4, Class 1-M5, Class 1-M6, Class
      1-M7 and Class 1-M8 Certificates, sequentially, in that order.

     

    Group
      1 Swap Account:
      The
      account created pursuant to Section 5.07(a) of this Agreement.

     

    Group
      1 Swap Agreement:
      The
      interest rate swap agreement dated as of February 28, 2007, entered into between
      the Trustee on behalf of the Supplemental Interest Trust (for the benefit of
      the
      Holders of the Group 1 Certificates (other than the Class 1B-A2 Certificates)
      which agreement provides for, among other things, a Net Swap Payment to be
      paid
      pursuant to the conditions provided therein, commencing with the Distribution
      Date in April 2007 and terminating in (but including the Distribution Date
      in)
      February 2012, but subject to the conditions set forth therein, including the
      1992 ISDA Master Swap Agreement (Multi-Currency Cross Border), together with
      any
      schedules, confirmations, Credit Support Annex or other agreements relating
      thereto, attached hereto as Exhibit N-1.

     

    Group
      1 Swap Amount:
      With
      respect to each Distribution Date and the related Swap Payment Date, the sum
      of
      any Net Swap Payment and any Swap Termination Payment deposited into the Group
      1
      Swap Account.

     

    Group
      1 Swap Replacement Receipts:
      As
      defined in Section 5.09(a).

     

    Group
      1 Swap Replacement Receipts Account:
      As
      defined in Section 5.09(a).

     

    Group
      1 Swap Termination Receipts:
      As
      defined in Section 5.09(a).

     

    Group
      1 Swap Termination Receipts Account:
      As
      defined in Section 5.09(a).

     

    

    
      
        
          
          

        

        
          68

          
            

          

        

        
          
          

        

      

    

    

    

     

    Group
      1A Monthly Excess Cashflow Percentage:
      For any
      Distribution Date, a fraction (expressed as a percentage) the numerator of
      which
      is the Pool 1A Monthly Excess Cashflow for such Distribution Date and the
      denominator of which is Pool 1A-1B Monthly Excess Cashflow for such Distribution
      Date.

     

    Group
      1A Senior Certificates:
      Collectively, the Class 1A-A1 and Class 1A-A2 Certificates.

     

    Group
      1A Senior Priority:
      The
      priority set forth in Section 5A.02(d)(i)(A)(3).

     

    Group
      1B Monthly Excess Cashflow Percentage:
      For any
      Distribution Date, a fraction (expressed as a percentage) the numerator of
      which
      is the Pool 1B Monthly Excess Cashflow for such Distribution Date and the
      denominator of which is Pool 1A-1B Monthly Excess Cashflow for such Distribution
      Date.

     

    Group
      1B Senior Certificates:
      Collectively, the Class 1B-A1, 1B-A2 and Class 1B-A3 Certificates.

     

    Group
      1B Senior Priority:
      The
      priority set forth in Section 5A.02(d)(i)(B)(3).

     

    Group
      2 Cap Account:
      The
      account created pursuant to Section 5.07(b).

     

    Group
      2 Cap Agreement:
      The
      interest rate cap agreement dated as of February 28, 2007, entered into between
      the Trustee on behalf of the Supplemental Interest Trust (for the benefit of
      the
      Certificateholders of the Group 2 Certificates) and the Cap Counterparty, which
      agreement provides for the monthly payment specified therein, to the
      Supplemental Interest Trust for deposit into the Group 2 Cap Account (for the
      benefit of the Certificateholders of the Group 2) commencing with the
      Distribution Date in March 2008 and terminating in (but including the
      Distribution Date in) February 2012, by the Cap Counterparty, but subject to
      the
      conditions set forth therein, including the 1992 ISDA Master Swap Agreement
      (Multi-Currency Cross Border), together with any schedules, confirmations,
      Credit Support Annex or other agreements relating thereto, attached hereto
      as
      Exhibit N-4.

     

    Group
      2 Cap Amount:
      With
      respect to each Distribution Date, the amount of any Group 2 Cap Payment
      deposited into the Group 2 Cap Account, and any investment earnings
      thereon.

     

    Group
      2 Cap Payment:
      With
      respect to each Distribution Date, any payment required to be made by the Cap
      Counterparty to the Supplemental Interest Trust pursuant to the terms of the
      Group 2 Cap Agreement.

     

    Group
      2 Cap Replacement Receipts:
      As
      defined in Section 5.10(b).

     

    Group
      2 Cap Replacement Receipts Account:
      As
      defined in Section 5.10(b).

     

    Group
      2 Cap Termination Payment:
      Upon
      the designation of an “Early Termination Date” as defined in the Group 2 Cap
      Agreement, the payment required to be made by the Cap Counterparty to the
      Supplemental Interest Trust pursuant to the terms of the Group 2 Cap Agreement,
      and any unpaid amounts due on previous Cap Payment Dates and accrued interest
      thereon as provided in the Group 2 Cap Agreement, as calculated by the Cap
      Counterparty and furnished to the Trustee.

     

    

    
      
        
          
          

        

        
          69

          
            

          

        

        
          
          

        

      

    

    

    

     

    Group
      2 Cap Termination Receipts:
      As
      defined in Section 5.10(b).

     

    Group
      2 Cap Termination Receipts Account:
      As
      defined in Section 5.09(b).

     

    Group
      2 Certificates:
      The
      Class 2-A1, Class 2-A2, Class 2-A3, Class 2-A4, Class 2-M1, Class 2-M2, Class
      2-M3, Class 2-M4, Class 2-M5, Class 2-M6, Class 2-M7, Class 2-M8, Class 2-M9
      and
      Class 2-M10 Certificates.

     

    Group
      2 Collateral Account:
      The
      account maintained by the Trustee in accordance with the provisions of Section
      5.07(c).

     

    Group
      2 NIM Redemption Amount:
      As
      defined in Section 7.01(b).

     

    Group
      2 NIM Securities:
      Any net
      interest margin notes (other than any related NIM Residual Securities) issued
      by
      a trust or other special purpose entity, the principal assets of such trust
      or
      other special purpose entity are Certificates related to the Mortgage Loans
      in
      Pool 2, which principal assets back such notes.

     

    Group
      2 Senior Certificates:
      The
      Class 2-A1, Class 2-A2, Class 2-A3 and Class 2-A4 Certificates.

     

    Group
      2 Senior Priority:
      The
      priority set forth in Section 5B.02(c)(1)(b).

     

    Group
      2 Subordinate Certificates:
      Collectively, the Class 2-M1, Class 2-M2, Class 2-M3, Class 2-M4, Class 2-M5,
      Class 2-M6, Class 2-M7, Class 2-M8, Class 2-M9 and Class 2-M10
      Certificates.

     

    Group
      2 Subordinate Priority:
      To the
      Class 2-M1, Class 2-M2, Class 2-M3, Class 2-M4, Class 2-M5, Class 2-M6, Class
      2-M7, Class 2-M8, Class 2-M9 and Class 2-M10 Certificates, sequentially, in
      that
      order.

     

    Group
      2 Swap Account:
      The
      account created pursuant to Section 5.07(a) of this Agreement.

     

    Group
      2 Swap Agreement:
      The
      interest rate swap agreement dated as of February 28, 2007, entered into between
      the Trustee on behalf of the Supplemental Interest Trust (for the benefit of
      the
      Holders of the Group 2 Certificates) which agreement provides for, among other
      things, a Net Swap Payment to be paid pursuant to the conditions provided
      therein, commencing with the Distribution Date in April 2007 and terminating
      in
      (but including the Distribution Date in) February 2012, but subject to the
      conditions set forth therein, including the 1992 ISDA Master Swap Agreement
      (Multi-Currency Cross Border), together with any schedules, confirmations,
      Credit Support Annex or other agreements relating thereto, attached hereto
      as
      Exhibit N-3.

     

    

    
      
        
          
          

        

        
          70

          
            

          

        

        
          
          

        

      

    

    

    

     

    Group
      2 Swap Amount:
      With
      respect to each Distribution Date and the related Swap Payment Date, the sum
      of
      any Net Swap Payment and any Swap Termination Payment deposited into the Group
      2
      Swap Account.

     

    Group
      2 Swap Replacement Receipts:
      As
      defined in Section 5.09(a).

     

    Group
      2 Swap Replacement Receipts Account:
      As
      defined in Section 5.09(a).

     

    Group
      2 Swap Termination Receipts:
      As
      defined in Section 5.09(a).

     

    Group
      2 Swap Termination Receipts Account:
      As
      defined in Section 5.09(a).

     

    Group
      3 Certificates:
      Collectively, the Group 3A Senior Certificates, the Group 3B Senior Certificates
      and the Group 3 Subordinate Certificates.

     

    Group
      3 NIM Redemption Amount:
      As
      defined in Section 7.01(b).

     

    Group
      3 NIM Securities:
      Any net
      interest margin notes (other than any related NIM Residual Securities) issued
      by
      a trust or other special purpose entity, the principal assets of such trust
      or
      other special purpose entity are Certificates related to the Mortgage Loans
      in
      Pool 3A and Pool 3B, which principal assets back such notes.

     

    Group
      3 Subordinate Certificates:
      Collectively, the Class 3-M1, Class 3-M2, Class 3-M3, Class 3-M4, Class 3-M5,
      Class 3-M6, Class 3-M7 and Class 3-M8 Certificates.

     

    Group
      3 Subordinate Priority:
      To the
      Class 3-M1, Class 3-M2, Class 3-M3, Class 3-M4, Class 3-M5, Class 3-M6, Class
      3-M7 and Class 3-M8 Certificates, sequentially, in that order.

     

    Group
      3A Senior Certificates:
      The
      Class 3A-A Certificates.

     

    Group
      3A Senior Priority:
      The
      priority set forth in Section 5C.02(d)(i)(A)(1).

     

    Group
      3B Senior Certificates:
      The
      Class 3B-A1, Class 3B-A2 and Class 3B-A3 Certificates.

     

    Group
      3B Senior Priority:
      The
      priority set forth in Section 5C.02(d)(i)(B)(1).

     

    Group
      4 Certificates:
      Collectively, the Group 4A Senior Certificates, the Group 4B Senior Certificates
      and the Group 4 Subordinate Certificates.

     

    Group
      4 NIM Redemption Amount:
      As
      defined in Section 7.01(b).

     

    Group
      4 NIM Securities:
      Any net
      interest margin notes (other than any related NIM Residual Securities) issued
      by
      a trust or other special purpose entity, the principal assets of such trust
      or
      other special purpose entity are Certificates related to the Mortgage Loans
      in
      Pool 4A and Pool 4B, which principal assets back such notes.

     

    Group
      4 Subordinate Certificates:
      Collectively, the Class 4-M1, Class 4-M2, Class 4-M3, Class 4-M4, Class 4-M5,
      Class 4-M6 and Class 4-M7 Certificates.

     

    

    
      
        
          
          

        

        
          71

          
            

          

        

        
          
          

        

      

    

    

    

     

    Group
      4 Subordinate Priority:
      To the
      Class 4-M1, Class 4-M2, Class 4-M3, Class 4-M4, Class 4-M5, Class 4-M6 and
      Class
      4-M7 Certificates, sequentially, in that order.

     

    Group
      4A Senior Certificates:
      The
      Class 4A-A1, Class 4A-A2, Class 4A-A3 and Class 4A-A4 Certificates.

     

    Group
      4A Senior Priority:
      The
      priority set forth in Section 5D.02(d)(i)(A)(1).

     

    Group
      4B Senior Certificates:
      The
      Class 4B-A1 and Class 4B-A2 Certificates.

     

    Group
      4B Senior Priority:
      The
      priority set forth in Section 5D.02(d)(i)(B)(1).

     

    Holder
      or
Certificateholder:
      The
      registered owner of any Certificate as recorded on the books of the Certificate
      Registrar except that, solely for the purposes of taking any action or giving
      any consent pursuant to this Agreement, any Certificate registered in the name
      of the Depositor, the Trustee, the Master Servicer, any Servicer, the Swap
      Counterparty, the Cap Counterparty or any Affiliate thereof shall be deemed
      not
      to be outstanding in determining whether the requisite percentage necessary
      to
      effect any such consent has been obtained, except that, in determining whether
      the Trustee shall be protected in relying upon any such consent, only
      Certificates which a Responsible Officer of the Trustee knows to be so owned
      shall be disregarded. The Trustee and any NIMS Insurer may request and
      conclusively rely on certifications by the Depositor, the Master Servicer,
      the
      Swap Counterparty, the Cap Counterparty or the applicable Servicer, in
      determining whether any Certificates are registered to an Affiliate of the
      Depositor, the Master Servicer, the Swap Counterparty, the Cap Counterparty
      or
      any Servicer, respectively. After a Section 7.01(d) Purchase Event, other than
      in Sections 5A.02(a) through (h), Sections 5B.02(a) through (g), Sections
      5C.02(a) through (g), Sections 5D.02(a) through (h) and 11.03(a) and (b) and,
      except in the case of the Class 1-LT-R, Class 2-LT-R, Class 3-LT-R and Class
      4-LT-R Certificates, Sections 3.03, 3.04, 3.05, 3.06, 3.07 and 3.09 herein,
      all
      references in this Agreement to “Holder” or “Certificateholder” shall be deemed
      to be references to the LTURI-holder, as recorded on the books of the
      Certificate Registrar, as holder of the Pooling REMIC 1 Regular Interests (in
      the case of a Section 7.01(d) Purchase Event with respect to the Pooling REMIC
      1
      Regular Interests), the Pooling REMIC 2 Regular Interests (in the case of a
      Section 7.01(d) Purchase Event with respect to the Pooling REMIC 2 Regular
      Interests), the Pooling REMIC 3 Regular Interests (in the case of a Section
      7.01(d) Purchase Event with respect to the Pooling REMIC 3 Regular Interests)
      and the Pooling REMIC 4 Regular Interests (in the case of a Section 7.01(d)
      Purchase Event with respect to the Pooling REMIC 4 Regular
      Interests).

     

    HUD:
      The
      United States Department of Housing and Urban Development, or any successor
      thereto.

     

    Independent:
      When
      used with respect to any Accountants, a Person who is “independent” within the
      meaning of Rule 2-01(b) of the Commission’s Regulation S-X. When used with
      respect to any other Person, a Person who (a) is in fact independent of another
      specified Person and any Affiliate of such other Person, (b) does not have
      any
      material direct financial interest in such other Person or any Affiliate of
      such
      other Person, (c) is not connected with such other Person or any Affiliate
      of
      such other Person as an officer, employee, promoter, underwriter, trustee,
      partner, director or Person performing similar functions and (d) is not a member
      of the immediate family of a Person defined in clause (b) or (c)
      above.

     

    

    
      
        
          
          

        

        
          72

          
            

          

        

        
          
          

        

      

    

    

    

     

    Initial
      LIBOR Rate:
      5.32%
      per annum.

     

    Insurance
      Fee Rate:
      Not
      applicable.

     

    Insurance
      Policy:
      Any
      Primary Mortgage Insurance Policy, any standard hazard insurance policy, flood
      insurance policy, earthquake insurance policy or title insurance policy relating
      to the Mortgage Loans or the Mortgaged Properties, to be in effect as of the
      Closing Date or thereafter during the term of this Agreement.

     

    Insurance
      Proceeds:
      Amounts
      paid by the insurer under any Insurance Policy, other than amounts (i) to cover
      expenses incurred by or on behalf of any Servicer or Master Servicer in
      connection with procuring such proceeds, (ii) to be applied to restoration
      or
      repair of the related Mortgaged Property or (iii) required to be paid over
      to
      the Mortgagor pursuant to law or the related Mortgage Note.

     

    Interest
      Remittance Amount:
      With
      respect to each Mortgage Pool and any Distribution Date, an amount equal to
      (a)
      the sum of (1) all interest collected (other than in connection with Payaheads
      and Prepayment Premiums) or advanced in respect of Scheduled Payments on the
      Mortgage Loans in such Mortgage Pool during the related Collection Period by
      the
      applicable Servicers, the Master Servicer or the Trustee (solely acting in
      its
      capacity as successor master servicer), minus
      (w) the
      PMI Insurance Premiums, if any, related to the Mortgage Loans in such Mortgage
      Pool, (x) the Servicing Fee with respect to such Mortgage Loans in such Mortgage
      Pool and (y) previously unreimbursed Advances and other amounts due to the
      Servicers, the Master Servicer or the Trustee (solely acting in its capacity
      as
      successor master servicer) to the extent allocable to interest and the allocable
      portion of previously unreimbursed Servicing Advances with respect to such
      Mortgage Loans to the extent allocable to interest, (2) any amounts actually
      paid by the Servicers with respect to Prepayment Interest Shortfalls and any
      Compensating Interest Payments with respect to the Mortgage Loans in such
      Mortgage Pool with respect to the related Prepayment Period (or in the case
      of
      Mortgage Loans serviced by Aurora, the relevant Collection Period), (3) the
      portion of any Purchase Price (or FPD Purchase Price (excluding any FPD
      Premiums) payable with respect to a First Payment Default Mortgage Loan) or
      Substitution Amount paid with respect the Mortgage Loans in such Mortgage Pool
      during the related Prepayment Period (or in the case of Mortgage Loans serviced
      by Aurora, the relevant Collection Period) allocable to interest, and
      (4) all Net Liquidation Proceeds, any Subsequent Recovery, Insurance
      Proceeds and any other recoveries collected with respect to such Mortgage Loans
      during the related Prepayment Period (or in the case of Mortgage Loans serviced
      by Aurora, the relevant Collection Period), to the extent allocable to interest,
      for each Mortgage Pool, as reduced by (b) the product of (i) the related Pool
      Percentage for such Distribution Date and (ii) any other costs, expenses or
      liabilities reimbursable to the Trustee, the Master Servicer or each Servicer
      to
      the extent provided in this Agreement and the related Servicing Agreement,
      and
      each Custodian pursuant to the related Custodial Agreement; provided,
      however,
      that in
      the case of the Trustee, such reimbursable amounts to the Trustee payable from
      the Interest Remittance Amount and the Principal Remittance Amount may not
      exceed $500,000 during any Anniversary Year up to and including the Anniversary
      Year in which the Stepdown Date occurs and $200,000 during any Anniversary
      Year
      thereafter (the “Applicable Maximum Reimbursement Amount”). In the event that
      the Trustee incurs reimbursable amounts in excess of the Applicable Maximum
      

     

    

    
      
        
          
          

        

        
          73

          
            

          

        

        
          
          

        

      

    

    

    Reimbursement
      Amount in any Anniversary Year, it may obtain reimbursement for such amounts
      in
      subsequent Anniversary Years, but in no event shall more than the Applicable
      Maximum Reimbursement Amount in aggregate be reimbursed to the Trustee per
      Anniversary Year. Notwithstanding the foregoing, costs and expenses incurred
      by
      the Trustee pursuant to Section 6.14(a) in connection with any transfer of
      servicing shall be excluded in determining the Applicable Maximum Reimbursement
      Amount limitation on reimbursable amounts per Anniversary Year. For the
      avoidance of doubt, (i) the Interest Remittance Amount available on each Swap
      Payment Date for distributions to the Group 1 Swap Account and the Group 2
      Swap
      Account, as applicable, shall be equal to the Interest Remittance Amount on
      the
      related Distribution Date for the related Mortgage Pool and (ii) the Interest
      Remittance Amount for each Distribution Date shall be calculated without regard
      to any distributions to the Group 1 Swap Account or the Group 2 Swap Account,
      as
      applicable, on the related Swap Payment Date.

     

    Intervening
      Assignments:
      The
      original intervening assignments of the Mortgage, notices of transfer or
      equivalent instrument.

     

    Item
      1122 Responsible Party:
      With
      respect to the criteria to be addressed under Item 1122 of Regulation AB, the
      attesting party as indicated in the table attached hereto at Exhibit
      O.

     

    Latest
      Possible Maturity Date:
      The
      Distribution Date occurring in March 2037.

     

    LBH:
      Lehman
      Brothers Holdings Inc., or any successor in interest.

     

    LIBOR:
      (a)
      With respect to the first Accrual Period, the Initial LIBOR Rate. With respect
      to each subsequent Accrual Period, a per annum rate determined on the LIBOR
      Determination Date in the following manner by the Trustee on the basis of the
      “Interest Settlement Rate” set by the British Bankers’ Association (the “BBA”)
      for one-month United States dollar deposits, as such rates appear on the
      Telerate Page 3750, as of 11:00 a.m. (London time) on such LIBOR Determination
      Date.

     

    (b) If
      on
      such a LIBOR Determination Date, the BBA’s Interest Settlement Rate does not
      appear on the Telerate Page 3750 as of 11:00 a.m. (London time), or if the
      Telerate Page 3750 is not available on such date, the Trustee will obtain such
      rate from Reuters’ “page LIBOR 01” or Bloomberg’s page “BBAM.” If any such rate
      is not published for such LIBOR Determination Date, LIBOR for such date will
      be
      the most recently published Interest Settlement Rate. In the event that the
      BBA
      no longer sets an Interest Settlement Rate, the Trustee will designate an
      alternative index that has performed, or that the Trustee expects to perform,
      in
      a manner substantially similar to the BBA’s Interest Settlement Rate. The
      Trustee will select a particular index as the alternative index only if it
      receives an Opinion of Counsel (a copy of which shall be furnished to the
      Trustee and any NIMS Insurer), which opinion shall be an expense reimbursed
      from
      the Certificate Account pursuant to Section 4.04, that the selection of such
      index will not cause any of the REMICs to lose their classification as REMICs
      for federal income tax purposes.

     

    (c) The
      establishment of LIBOR by the Trustee and the Trustee’s subsequent calculation
      of the Certificate Interest Rate applicable to the LIBOR Certificates for the
      relevant Accrual Period, in the absence of manifest error, will be final and
      binding.

     

    

    
      
        
          
          

        

        
          74

          
            

          

        

        
          
          

        

      

    

    

    

     

    LIBOR
      Business Day:
      Any day
      on which banks in London, England and The City of New York are open and
      conducting transactions in foreign currency and exchange.

     

    LIBOR
      Certificate:
      Any
      Class 1A-A1, Class 1A-A2, Class 1B-A1, Class 1B-A3, Class 2-A1, Class 2-A2,
      Class 2-A3, Class 2-A4, Class 4A-A1, Class 4A-A2, Class 4A-A3, Class 4A-A4,
      Class 4A-AIO, Class 4B-A1, Class 4B-A2, Class 4B-AIO, Class 1-M1, Class 1-M2,
      Class 1-M3, Class 1-M4, Class 1-M5, Class 1-M6, Class 1-M7, Class 1-M8, Class
      2-M1, Class 2-M2, Class 2-M3, Class 2-M4, Class 2-M5, Class 2-M6, Class 2-M7,
      Class 2-M8, Class 2-M9 and Class 2-M10 Certificates, and on and after each
      Distribution Date beginning on the Distribution Date in January 2012, the Class
      1B-A2 Certificates.

     

    LIBOR
      Determination Date:
      The
      second LIBOR Business Day immediately preceding the commencement of each Accrual
      Period for any LIBOR Certificates.

     

    Liquidated
      Mortgage Loan:
      Any
      defaulted Mortgage Loan as to which the Master Servicer or the applicable
      Servicer has determined that all amounts that it expects to recover on behalf
      of
      the Trust Fund from or on account of such Mortgage Loan have been
      recovered.

     

    Liquidation
      Expenses:
      Expenses that are incurred by the Master Servicer or a Servicer in connection
      with the liquidation of any defaulted Mortgage Loan and are not recoverable
      under the applicable Primary Mortgage Insurance Policy, if any, including,
      without limitation, foreclosure and rehabilitation expenses, legal expenses
      and
      unreimbursed amounts, if any, expended pursuant to Sections 9.06, 9.16 or
      9.22.

     

    Liquidation
      Proceeds:
      Cash
      received in connection with the liquidation of a defaulted Mortgage Loan,
      whether through the sale or assignment of such Mortgage Loan, trustee’s sale,
      foreclosure sale, payment in full, discounted payoff, condemnation proceeds,
      Insurance Proceeds, or otherwise, or the sale of the related Mortgaged Property
      if the Mortgaged Property is acquired in satisfaction of the Mortgage Loan
      by
      foreclosure or deed in lieu of foreclosure, including any amounts remaining
      in
      the related Escrow Account.

     

    Loan-to-Value
      Ratio:
      With
      respect to any Mortgage Loan, the ratio of the principal balance of such
      Mortgage Loan at origination, or such other date as is specified, to the
      Original Value of the related Mortgaged Property.

     

    Lower-Tier
      Interest:
      As
      described in the Preliminary Statement.

     

    Lower-Tier
      REMIC:
      Any of
      Pooling REMIC 1, Pooling REMIC 2, Pooling REMIC 3, Pooling REMIC 4, Lower-Tier
      REMIC 1, Lower-Tier REMIC 2, Lower-Tier REMIC 3 or Lower-Tier REMIC
      4.

     

    LPMI
      Policy:
      A
      Primary Mortgage Insurance Policy issued by a Qualified Insurer pursuant to
      which the related premium is to be paid from payments by the
      mortgagee.

     

    LTURI-holder:
      The
      holder of the Pooling REMIC 1 Regular Interests, the Pooling REMIC 2 Regular
      Interests, the Pooling REMIC 3 Regular Interests and/or the Pooling REMIC 4
      Regular Interests, as the case may be, which upon the occurrence of a Section
      7.01(d) Purchase Event, shall be the Master Servicer or its designee, including
      any trustee in its capacity as a trustee in any privately placed
      securitization.

     

    

    
      
        
          
          

        

        
          75

          
            

          

        

        
          
          

        

      

    

    

    

     

    Master
      Servicer:
      Aurora
      Loan Services LLC, or any successor in interest, or if any successor master
      servicer shall be appointed as herein provided, then such successor master
      servicer.

     

    Master
      Servicer Remittance Date:
      With
      respect to each Distribution Date, the Business Day immediately preceding such
      Distribution Date.

     

    Master
      Servicing Fee:
      As to
      any Distribution Date, an amount equal to one-twelfth the product of (a) the
      Master Servicing Fee Rate and (b) the outstanding principal balance of each
      Mortgage Loan.

     

    Master
      Servicing Fee Rate:
      0.00%
      per annum.

     

    Material
      Defect:
      As
      defined in Section 2.02(c) hereof.

     

    Maximum
      Interest Rate:
      In the
      case of the Group 1A Senior Certificates, the Group 1B Senior Certificates
      and
      the Group 1 Subordinate Certificates and any Distribution Date an annual rate
      equal to: (1) in the case of the Group 1A Senior Certificates, an annual rate
      that would equal the Pool 1A Net Funds Cap for such Distribution Date if the
      Pool 1A Net Funds Cap were computed by reference to the weighted average of
      the
      excess of the Maximum Rate of the Pool 1A Mortgage Loans over the Servicing
      Fee
      Rate for the Pool 1A Mortgage Loans; (2) in the case of the Group 1B Senior
      Certificates, an annual rate that would equal the Pool 1B Net Funds Cap for
      such
      Distribution Date if the Pool 1B Net Funds Cap were computed by reference to
      the
      weighted average of the excess of the Maximum Rate of the Pool 1B Mortgage
      Loans
      over the Servicing Fee Rate for the Pool 1B Mortgage Loans; and (3) in the
      case
      of the Group 1 Subordinate Certificates, an annual rate that would equal the
      Pool 1A-1B Subordinate Net Funds Cap for such Distribution Date if the Pool
      1A-1B Subordinate Net Funds Cap were computed by reference to the weighted
      average of the excess of the Maximum Rate of the Pool 1A Mortgage Loans over
      the
      Servicing Fee Rate for the Pool 1A Mortgage Loans and weighted average of the
      excess of the Maximum Rate of the Pool 1B Mortgage Loans over the Servicing
      Fee
      Rate for Pool 1B Mortgage Loans. In the case of the Group 2 Certificates and
      any
      Distribution Date, an annual rate equal to the Pool 2 Net Funds Cap for such
      Distribution Date if the Pool 2 Net Funds Cap were computed by reference to
      the
      weighted average of the excess of the Maximum Rate of the Pool 2 Mortgage Loans
      over the Servicing Fee Rate for the Pool 2 Mortgage Loans.

     

    Maximum
      Rate:
      For any
      Mortgage Loan, the per annum rate specified in the related mortgage note which
      the related Mortgage Rate will never exceed.

     

    MERS:
      Mortgage Electronic Registration Systems, Inc., a Delaware corporation, or
      any
      successor in interest thereto.

     

    MERS
      Mortgage Loan:
      Any
      Mortgage Loan as to which the related Mortgage, or an Assignment of Mortgage,
      has been or will be recorded in the name of MERS, as nominee for the holder
      from
      time to time of the Mortgage Note.

     

    MGIC:
      Mortgage Guaranty Insurance Corporation, or any successor in
      interest.

     

    

    
      
        
          
          

        

        
          76

          
            

          

        

        
          
          

        

      

    

    

    

     

    MGIC
      Letter Agreement:
      With
      respect to the Bulk PMI Policy with MGIC, the Acknowledgement of Assignment
      Agreement for MGIC Mortgage Insurance Coverage covering $48,956,835.95 in
      principal balance of insurance mortgage loans dated as of February 28, 2007,
      among the Master Servicer, MGIC and the Trustee.

     

    Middle-Tier
      Interest:
      As
      described in the Preliminary Statement.

     

    
      Middle-Tier
        REMIC:
        Any of
        Middle-Tier REMIC 1, Middle-Tier REMIC 2, or Middle-Tier REMIC 4, as
        applicable.

    

     

    Moody’s:
      Moody’s
      Investors Service, Inc., or any successor in interest.

     

    Mortgage:
      A
      mortgage, deed of trust or other instrument encumbering a fee simple interest
      in
      real property securing a Mortgage Note, together with improvements
      thereto.

     

    Mortgage
      File:
      The
      mortgage documents listed in Section 2.01(b) pertaining to a particular Mortgage
      Loan required to be delivered to the Trustee pursuant to this
      Agreement.

     

    Mortgage
      Loan:
      A
      Mortgage and the related notes or other evidences of indebtedness secured by
      each such Mortgage conveyed, transferred, sold, assigned to or deposited with
      the Trustee pursuant to Section 2.01 or Section 2.05, including without
      limitation, each Mortgage Loan listed on the Mortgage Loan Schedule, as amended
      from time to time.

     

    Mortgage
      Loan Sale Agreement:
      The
      mortgage loan sale and assignment agreement dated as of February 1, 2007, for
      the sale of the Mortgage Loans by the Seller to the Depositor.

     

    Mortgage
      Loan Schedule:
      The
      schedule attached hereto as Schedule A, which shall identify each Mortgage
      Loan,
      as such schedule may be amended from time to time to reflect the addition of
      Mortgage Loans to, or the deletion of Mortgage Loans from, the Trust Fund.
      Such
      schedule shall set forth, among other things, the following information with
      respect to each Mortgage Loan: (i) the Mortgage Loan identifying number; (ii)
      the city, state and zip code of the Mortgaged Property; (iii) the original
      principal amount of the Mortgage Loan; (iv) the Mortgage Rate at origination;
      (v) the monthly payment of principal and interest at origination; (vi) the
      Mortgage Pool in which such Mortgage Loan is included; (vii) the applicable
      Servicer servicing such Mortgage Loan and the applicable Servicing Fee Rate;
      (viii) the applicable Custodian with respect to the Mortgage File related to
      such Mortgage Loan; (ix) where applicable, whether such Mortgage Loan is covered
      by any Bulk PMI Policy or LPMI Policy and the applicable PMI Insurer and the
      applicable Insurance Fee Rate; and (x) whether such Mortgage Loan is subject
      to
      a Prepayment Premium for voluntary prepayments by the Mortgagor, the term during
      which such Prepayment Premiums are imposed and the methods of calculation of
      the
      Prepayment Premium. The Depositor shall be responsible for providing the Trustee
      and the Master Servicer with all amendments to the Mortgage Loan
      Schedule.

     

    Mortgage
      Note:
      The
      note or other evidence of the indebtedness of a Mortgagor secured by a Mortgage
      under a Mortgage Loan.

     

    Mortgage
      Pool:
      Any of
      Pool 1A, Pool 1B, Pool 2, Pool 3A, Pool 3B, Pool 4A or Pool 4B.

     

    

    
      
        
          
          

        

        
          77

          
            

          

        

        
          
          

        

      

    

    

    

     

    Mortgage
      Rate:
      With
      respect to any Mortgage Loan, the per annum rate at which interest accrues
      on
      such Mortgage Loan, as determined under the related Mortgage Note as reduced
      by
      any Relief Act Reductions.

     

    Mortgaged
      Property:
      Either
      of (x) the fee simple interest in real property, together with improvements
      thereto including any exterior improvements to be completed within 120 days
      of
      disbursement of the related Mortgage Loan proceeds, or (y) in the case of a
      Cooperative Loan, the related Cooperative Shares and Proprietary Lease, securing
      the indebtedness of the Mortgagor under the related Mortgage Loan.

     

    Mortgagor:
      The
      obligor on a Mortgage Note.

     

    Net
      Funds Cap:
      Any of
      the Pool 1A Net Funds Cap, the Pool 1B Net Funds Cap, the Pool 1A-1B Subordinate
      Net Funds Cap, the Pool 2 Net Funds Cap, the Pool 3A Net Funds Cap, the Pool
      3B
      Net Funds Cap or the Pool 3A-3B Subordinate Net Funds Cap, as the context
      requires.

     

    Net
      Liquidation Proceeds:
      With
      respect to any Liquidated Mortgage Loan, the related Liquidation Proceeds net
      of
      (i) unreimbursed expenses and (ii) any unreimbursed Advances, if any, received
      and retained in connection with the liquidation of such Mortgage
      Loan.

     

    Net
      Mortgage Rate:
      With
      respect to any Mortgage Loan, the Mortgage Rate thereof reduced by the sum
      of
      (i) the Servicing Fee Rate for such Mortgage Loan and (ii) the Insurance Fee
      Rate, if applicable.

     

    Net
      Prepayment Interest Shortfall:
      With
      respect to any Master Servicer Remittance Date, the excess, if any, of any
      Prepayment Interest Shortfalls with respect to the Mortgage Loans for such
      date
      over the sum of (i) any Prepayment Interest Excess with respect to the
      Mortgage Loans for such date and (ii) any amounts paid with respect to such
      shortfalls by the Servicers pursuant to the Servicing Agreements.

     

    Net
      Swap Payment:
      With
      respect to each Swap Payment Date, the sum of (i) the net payment required
      to be
      made pursuant to the terms of the Swap Agreement, which net payment shall not
      take into account any Swap Termination Payment, and (ii) any unpaid amounts
      due
      on previous Swap Payment Dates and accrued interest thereon as provided in
      the
      Swap Agreement, as calculated by the Swap Counterparty and furnished to the
      Trustee.

     

    NIM
      Redemption Amount:
      Any of
      the Group 1 NIM Redemption Amount, Group 2 NIM Redemption Amount, Group 3 NIM
      Redemption Amount or Group 4 NIM Redemption Amount, as applicable.

     

    NIM
      Residual Securities:
      Any
      preference shares, ownership certificate or other residual certificates issued
      in connection with any Group 1 NIM Securities, Group 2 NIM Securities, Group
      3
      NIM Securities or Group 4 NIM Securities, as applicable.

     

    NIMS
      Agreement:
      Any
      agreement pursuant to which any NIM Securities are issued.

     

    NIMS
      Insurer:
      One or
      more insurers issuing financial guaranty insurance policies in connection with
      the issuance of NIM Securities.

     

    

    
      
        
          
          

        

        
          78

          
            

          

        

        
          
          

        

      

    

    

    

     

    Non-Book-Entry
      Certificate:
      Any
      Certificate other than a Book-Entry Certificate.

     

    Non-MERS
      Mortgage Loan:
      Any
      Mortgage Loan other than a MERS Mortgage Loan.

     

    Non-permitted
      Foreign Holder:
      As
      defined in Section 3.03(f).

     

    Non-U.S.
      Person:
      Any
      person other than a “United States person” within the meaning of Section
      7701(a)(30) of the Code.

     

    Notional
      Amount:
      With
      respect to any Notional Certificate and any Distribution Date, such
      Certificate’s Percentage Interest of the Class Notional Amount of such Class of
      Certificates for such Distribution Date.

     

    Notional
      Certificate:
      Any of
      the Class 4A-AIO and Class 4B-AIO Certificates.

     

    Offered
      Certificates:
      Collectively, the Group 1 Senior Certificates, the Group 2 Senior Certificates,
      the Group 1 Subordinate Certificates and the Group 2 Certificates. 

     

    Offered
      Subordinate Certificates:
      The
      Class 1-M1, Class 1-M2, Class 1-M3, Class 1-M4, Class 1-M5, Class 1-M6, Class
      1-M7, Class 1-M8, Class 2-M1, Class 2-M2, Class 2-M3, Class 2-M4, Class 2-M5,
      Class 2-M6, Class 2-M7, Class 2-M8, Class 2-M9, Class 2-M10, Class 3-M1, Class
      3-M2, Class 3-M3, Class 3-M4, Class 3-M5, Class 3-M6, Class 3-M7, Class 3-M8,
      Class 4-M1, Class 4-M2, Class 4-M3, Class 4-M4, Class 4-M5, Class 4-M6 and
      Class
      4-M7 Certificates.

     

    Offering
      Document:
      The
      Prospectus.

     

    Officer’s
      Certificate:
      A
      certificate signed by the Chairman of the Board, any Vice Chairman, the
      President, any Vice President or any Assistant Vice President of a Person,
      and
      in each case delivered to the Trustee.

     

    Opinion
      of Counsel:
      A
      written opinion of counsel, reasonably acceptable in form and substance to
      the
      Trustee, and which may be in-house or outside counsel to the Depositor, the
      Master Servicer or the Trustee but which must be Independent outside counsel
      with respect to any such opinion of counsel concerning the transfer of any
      Residual Certificate or concerning certain matters with respect to ERISA, or
      the
      taxation, or the federal income tax status, of each REMIC.

     

    Original
      Loan-to-Value Ratio:
      With
      respect to any Mortgage Loan, the ratio of the principal balance of such
      Mortgage Loan at origination, or such other date as is specified, to the
      Original Value of the related Mortgage Property.

     

    Original
      Value:
      The
      lesser of (a) the Appraised Value of a Mortgaged Property at the time the
      related Mortgage Loan was originated and (b) if the Mortgage Loan was made
      to
      finance the acquisition of the related Mortgaged Property, the purchase price
      paid for the Mortgaged Property by the Mortgagor at the time the related
      Mortgage Loan was originated.

     

    

    
      
        
          
          

        

        
          79

          
            

          

        

        
          
          

        

      

    

    

    

     

    Payahead:
      With
      respect to any Mortgage Loan and any Due Date therefor, any Scheduled Payment
      received by the applicable Servicer during any Collection Period in addition
      to
      the Scheduled Payment due on such Due Date, intended by the related Mortgagor
      to
      be applied on a subsequent Due Date or Due Dates.

     

    Paying
      Agent:
      Any
      paying agent appointed pursuant to Section 3.08.

     

    PCAOB:
      The
      Public Company Accounting Oversight Board.

     

    Percentage
      Interest:
      With
      respect to any Certificate, its percentage interest in the undivided beneficial
      ownership interest in the Trust Fund evidenced by all Certificates of the same
      Class as such Certificate. With respect to any Offered Certificate other than
      the Class 1-X, Class 2-X, Class 3-X, Class 4-X, Class 1-P, Class 2-P, Class
      1-LT-R, Class 2-LT-R, Class 3-LT-R, Class 4-LT-R, Class 1-R, Class 2-R, Class
      3-R and Class 4-R Certificates, the Percentage Interest evidenced thereby shall
      equal the Certificate Principal Amount thereof divided by the Class Principal
      Amount of all Certificates of the same Class. With respect to the 1-X, Class
      2-X, Class 3-X, Class 4-X, Class 1-P, Class 2-P, Class 1-LT-R, Class 2-LT-R,
      Class 3-LT-R, Class 4-LT-R, Class 1-R, Class 2-R, Class 3-R and Class 4-R
      Certificates, the Percentage Interest evidenced thereby shall be as specified
      on
      the face thereof, or otherwise be equal to 100%. 

     

    Permitted
      Servicing Amendment:
      Any
      amendment to any Servicing Agreement pursuant to Section 11.03(a)(ii) hereunder
      in connection with any servicing transfer or transfer of any servicing
      rights.

     

    Person:
      Any
      individual, corporation, partnership, joint venture, association, joint-stock
      company, limited liability company, trust, unincorporated organization or
      government or any agency or political subdivision thereof.

     

    Plan:
      An
      employee benefit plan or other retirement arrangement which is subject to
      Section 406 of ERISA and/or Section 4975 of the Code or any entity whose
      underlying assets include such plan’s or arrangement’s assets by reason of their
      investment in the entity.

     

    Plan
      Asset Regulations:
      The
      Department of Labor regulations set forth in 29 C.F.R. 2510.3-101.

     

    PMI
      Insurance Premium:
      With
      respect to each Distribution Date and each Pool 2 Mortgage Loan covered by
      a
      Bulk PMI Policy or other lender-paid Primary Mortgage Insurance Policy, the
      product of (a) one-twelfth of the applicable Insurance Fee Rate and (b) the
      Scheduled Principal Balance of such Mortgage Loan as of the first day of the
      related Collection Period.

     

    PMI
      Insurer:
      MGIC
      and PMI Mortgage.

     

    PMI
      Letter Agreement:
      With
      respect to the Bulk PMI Policy with PMI Mortgage, the Notice of Assignment
      for
      PMI Mortgage Insurance Coverage covering $44,593,342 in principal balance of
      insured Mortgage Loans in Pool 4A dated as of February 28, 2007, among LBH,
      the
      Depositor, PMI Mortgage and the Trustee and acknowledged by the Master
      Servicer.

     

    

    
      
        
          
          

        

        
          80

          
            

          

        

        
          
          

        

      

    

    

    

     

    PMI
      Mortgage:
      PMI
      Mortgage Insurance Co. and its successors in interest.

     

    Pool
      1A
      or
Pool
      1A Mortgage Loans:
      The
      aggregate of the Mortgage Loans identified on the Mortgage Loan Schedule as
      being included in Pool 1A.

     

    Pool
      1A Monthly Excess Cashflow:
      With
      respect to any Distribution Date, an amount equal to the sum of (i) the Pool
      1A
      Monthly Excess Interest for such Distribution Date, (ii) the product of (x)
      the
      Senior Proportionate Percentage for Pool 1A and (y) the Pool 1A-1B Aggregate
      Overcollateralization Release Amount for such Distribution Date and (iii) any
      remaining Principal Distribution Amount for such Distribution Date, with respect
      to Pool 1A, after applying the principal payment priority set forth in Section
      5A.02(d)(i)(C)(1).

     

    Pool
      1A Monthly Excess Interest:
      With
      respect to any Distribution Date, the amount of any Interest Remittance Amount
      for Pool 1A remaining after application of clauses (i) through (iii) of Section
      5A.02(b) on such date.

     

    Pool
      1A Net Funds Cap:
      For
      each
      Distribution Date and the Group 1A Senior Certificates, an annual rate equal
      to
      a fraction, expressed as a percentage, the numerator of which is the product
      of
      (1) the excess, if any, of (i) the Pool 1A Optimal Interest Remittance Amount
      for such date over (ii) the product of (x) the Group 1A Swap Percentage and
      (y)
      any Net Swap Payment or Swap Termination Payment (not due to a Swap Counterparty
      Trigger Event) owed to the Swap Counterparty for such Distribution Date and
      (2)
      12, and the denominator of which is the Pool Balance for Pool 1A as of the
      first
      day of the related Collection Period (not including for this purpose Mortgage
      Loans for which prepayments in full have been received and distributed in the
      month prior to that Distribution Date) multiplied by a fraction, the numerator
      of which is 30 and the denominator of which is the actual number of days in
      the
      Accrual Period related to such Distribution Date.

     

    Pool
      1A Optimal Interest Remittance Amount:
      For
      each Distribution Date, the product of (A) (x) the weighted average of the
      Net
      Mortgage Rates for the Pool 1A Mortgage Loans as of the first day of the related
      Collection Period divided by (y) 12 and (B) the Pool Balance for Pool 1A as
      of
      the first day of the related Collection Period (not including for this purpose
      Pool 1A Mortgage Loans for which prepayments in full have been received and
      distributed in the month prior to that Distribution Date).

     

    Pool
      1A-1B Aggregate Loan Balance:
      As of
      any date of determination, an amount equal to the aggregate of the Pool Balances
      of Pool 1A and Pool 1B as of such date.

     

    Pool
      1A-1B Aggregate Overcollateralization Amount:
      With
      respect to any Distribution Date, the amount, if any, by which (x) the Pool
      1A-1B Aggregate Loan Balance for such Distribution Date determined as of the
      last day of the related Collection Period exceeds (y) the aggregate Class
      Principal Amount of the Group 1 Certificates, after giving effect to
      distributions on such Distribution Date.

     

    Pool
      1A-1B Aggregate Overcollateralization Release Amount:
      With
      respect to any Distribution Date, an amount equal to the lesser of (x) the
      Principal Remittance Amount related to the Mortgage Loans in Pool 1A and Pool
      1B
      for such Distribution Date and (y) the amount, if any, by which (1) the Pool
      1A-1B Overcollateralization Amount for such date (calculated for this purpose
      on
      the basis of the assumption that 100% of the Principal Remittance Amount for
      Pool 1A and Pool 1B for such date is applied in reduction of the Certificate
      Principal Amounts of the Group 1A Senior Certificates, the Group 1B Senior
      Certificates and the Group 1 Subordinate Certificates) exceeds (2) the Pool
      1A-1B Targeted Overcollateralization Amount.

     

    

    
      
        
          
          

        

        
          81

          
            

          

        

        
          
          

        

      

    

    

    

     

    Pool
      1A-1B Applied Loss Amount:
      With
      respect to any Distribution Date, after giving effect to all Realized Losses
      incurred with respect to the Mortgage Loans in Pool 1A and Pool 1B (in the
      aggregate) during the related Collection Period and distributions of principal
      on such Distribution Date, the amount by which the aggregate Class Principal
      Amount of the Group 1 Certificates exceeds the Pool 1A-1B Aggregate Loan Balance
      for such Distribution Date.

     

    Pool
      1A-1B Basis Risk Payment:
      With
      respect to any Distribution Date, an amount equal to (A) the sum of (i) any
      Basis Risk Shortfall for such Distribution Date applicable to the Group 1
      Certificates, (ii) any Unpaid Basis Risk Shortfall from previous Distribution
      Dates applicable to the Group 1 Certificates, and (iii) any Pool 1A-1B Required
      Reserve Fund Amount for such Distribution Date. The amount of the Pool 1A-1B
      Basis Risk Payment for any Distribution Date cannot exceed the amount of Pool
      1A-1B Monthly Excess Cashflow otherwise available for distribution pursuant
      to
      Section 5A.02(e) of this Agreement.

     

    Pool
      1A-1B Basis Risk Reserve Fund:
      A fund
      created as part of the Trust Fund pursuant to Section 5.06(a) of this Agreement
      but which is not an asset of any of the REMICs.

     

    Pool
      1A-1B Cumulative Loss Trigger Event:
      With
      respect to any Distribution Date, a Pool 1A-1B Cumulative Loss Trigger Event
      shall occur if the fraction, expressed as a percentage, obtained by dividing
      (x)
      the aggregate amount of cumulative Realized Losses incurred on the Mortgage
      Loans in Pool 1A and Pool 1B from the Cut-off Date through the last day of
      the
      related Collection Period by (y) the Pool 1A-1B Cut-off Date Balance, exceeds
      the applicable percentages described below with respect to such Distribution
      Date:

     

    
      	
              Distribution
                Date

            	 	
              Loss
                Percentage

            
	
              March
                2009 through February 2010

            	 	
              0.40%
                for the first month plus an additional 1/12th
                of
                0.10% for each month thereafter

            
	
              March
                2010 through February 2011

            	 	
              0.50%
                for the first month plus an additional 1/12th
                of
                0.25% for each month thereafter

            
	
              March
                2011 through February 2012

            	 	
              0.75%
                for the first month plus an additional 1/12th
                of
                0.25% for each month thereafter

            
	
              March
                2012 and thereafter

            	 	
              1.00%

            
	 	 	 

    

    Pool
      1A-1B Cut-off Date Balance:
      With
      respect to the Mortgage Loans in Pool 1A and Pool 1B on the Closing Date, the
      Pool 1A-1B Aggregate Loan Balance as of the Cut-off Date.

     

    Pool
      1A-1B Delinquency Event:
      With
      respect to any Distribution Date, a Pool 1A-1B Delinquency Event shall occur
      if
      the Pool 1A-1B Rolling Three Month Delinquency Rate as of the last day of the
      immediately preceding month equals or exceeds 40.00% of the Pool 1A-1B Senior
      Enhancement Percentage for such Distribution Date.

     

    

    
      
        
          
          

        

        
          82

          
            

          

        

        
          
          

        

      

    

    

    

     

    Pool
      1A-1B Delinquency Rate:
      With
      respect to any calendar month, the fraction, expressed as a percentage, the
      numerator of which is the aggregate outstanding principal balance of all
      Mortgage Loans in Pool 1A and Pool 1B which are 60 days Delinquent or more
      (including all foreclosures, bankruptcies and REO Properties) as of the close
      of
      business on the last day of such month, and the denominator of which is the
      Pool
      1A-1B Aggregate Loan Balance as of the close of business on the last day of
      such
      month.

     

    Pool
      1A-1B Initial Optional Termination Date:
      The
      Distribution Date occurring in the month following the month in which the Pool
      1A-1B Aggregate Loan Balance initially declines to less than 10.00% of the
      aggregate Pool 1A-1B Cut-off Date Balance.

     

    Pool
      1A-1B Monthly Excess Cashflow:
      With
      respect to any Distribution Date, the sum of the Pool 1A Monthly Excess Cashflow
      and Pool 1B Monthly Excess Cashflow for such date.

     

    Pool
      1A-1B Monthly Excess Interest:
      With
      respect to any Distribution Date, the sum of Pool 1A Monthly Excess Interest
      and
      Pool 1B Monthly Excess Interest.

     

    Pool
      1A-1B Net Excess Spread:
      With
      respect to any Distribution Date, the fraction, expressed as a percentage,
      the
      numerator of which is equal to the product of (i) the amount, if any, by which
      (a) the aggregate of the Interest Remittance Amount for Pool 1A and Pool 1B
      for
      such Distribution Date exceeds (b) the Current Interest payable with respect
      to
      the Group 1A Senior Certificates, Group 1B Senior Certificates and the Group
      1
      Subordinate Certificates for such Date and (ii) twelve, and the denominator
      of
      which is the Pool 1A-1B Aggregate Loan Balance for such Distribution
      Date.

     

    Pool
      1A-1B Overcollateralization Deficiency:
      With
      respect to any Distribution Date, the amount, if any, by which (x) the Pool
      1A-1B Targeted Overcollateralization Amount for such Distribution Date exceeds
      (y) the Pool 1A-1B Aggregate Overcollateralization Amount for such Distribution
      Date, calculated for this purpose after giving effect to the reduction on such
      Distribution Date of the aggregate Certificate Principal Amount of the Group
      1A
      Senior Certificates, the Group 1B Senior Certificates and the Group 1
      Subordinate Certificates resulting from the distribution of the Principal
      Distribution Amount for Pool 1A and Pool 1B on such Distribution Date, but
      prior
      to allocation of any Pool 1A-1B Applied Loss Amount on such Distribution Date
      to
      the Group 1 Certificates.

     

    Pool
      1A-1B Overcollateralization Floor:
      With
      respect to any Distribution Date after the Pool 1A-1B Stepdown Date, 0.35%
      of
      the Pool 1A-1B Aggregate Loan Balance as of the Cut-off Date.

     

    Pool
      1A-1B Percentage:
      With
      respect to either Pool 1A or Pool 1B and any Distribution Date will be a
      fraction, expressed as a percentage, the numerator of which is the Pool Balance
      for such Mortgage Pool for such date and the denominator of which is the Pool
      1A-1B Aggregate Loan Balance for such date.

     

    

    
      
        
          
          

        

        
          83

          
            

          

        

        
          
          

        

      

    

    

    

     

    Pool
      1A-1B Purchase Price:
      A price
      equal to the sum of (i) 100% of the unpaid principal balance of each Mortgage
      Loan in Pool 1A and Pool 1B on the day of such purchase plus
      interest
      accrued thereon at the applicable Mortgage Rate to the Due Date in the Due
      Period immediately preceding the related Distribution Date, (ii) the amount
      of
      any costs and damages incurred by the Trust Fund as a result of any violation
      of
      any applicable federal, state or local predatory- or abusive-lending law arising
      from or in connection with the origination of such Mortgage Loan, (iii) the
      amount of any unreimbursed Servicing Advances and amounts owed to the Trustee
      hereunder with respect to such Mortgage Loans, (iv) the fair market value of
      any
      REO Property and any other property held by the Trust Fund with respect to
      such
      Mortgage Loans, such fair market value to be determined by an appraiser or
      appraisers mutually agreed upon by the Master Servicer and the Trustee (reduced,
      in the case of REO Property, by (1) reasonably anticipated disposition costs
      and
      (2) any amount by which the fair market value as so reduced exceeds the
      outstanding principal balance of the related Mortgage Loan) plus interest
      accrued thereon at the applicable Net Mortgage Rate to the date of such purchase
      and (v) any unpaid Net Swap Payment and any Swap Termination Payment payable
      to
      the Swap Counterparty due to the exercise of the Master Servicer’s option to
      purchase the Pool 1A Mortgage Loans and Pool 1B Mortgage Loans. 

     

    Pool
      1A-1B Required Reserve Fund Amount:
      With
      respect to any Distribution Date on which the Pool 1A-1B Net Excess Spread
      is
      less than 0.25%, the amount, if any by which (a) the product of 1.00% and the
      aggregate Class Principal Amount of the Group 1A Senior Certificates, the Group
      1B Senior Certificates and the Group 1 Subordinate Certificates immediately
      prior to such Distribution Date exceeds (b) the amount on deposit in the Pool
      1A-1B Basis Risk Reserve Fund immediately prior to such date. With respect
      to
      any Distribution Date on which the Pool 1A-1B Net Excess Spread is equal to
      or
      greater than 0.25%, the amount, if any, by which $1,000 exceeds the amount
      on
      deposit in the Pool 1A-1B Basis Risk Reserve Fund immediately prior to such
      date; provided,
      however,
      that on
      any Distribution Date on which the Class Principal Amounts of each of the Group
      1A Senior Certificates, the Group 1B Senior Certificates and the Group 1
      Subordinate Certificates has been reduced to zero, the Pool 1A-1B Required
      Reserve Fund Amount shall be zero.

     

    Pool
      1A-1B Rolling Three Month Delinquency Rate:
      With
      respect to any Distribution Date, the fraction, expressed as a percentage,
      equal
      to the average of the Pool 1A-1B Delinquency Rates for each of the three (or
      one
      and two, in the case of the first and second Distribution Dates, respectively)
      immediately preceding calendar months.

     

    Pool
      1A-1B Senior Enhancement Percentage:
      With
      respect to any Distribution Date, the fraction, expressed as a percentage,
      the
      numerator of which is the sum of (x) the aggregate Class Principal Amount of
      the
      Group 1 Subordinate Certificates and (y) the Pool 1A-1B Aggregate
      Overcollateralization Amount (which amount, for purposes of this definition
      only, shall not be less than zero and assuming for purposes of this definition
      that the Principal Distribution Amount for Pool 1A and Pool 1B has been
      distributed on such Distribution Date and no Pool 1A-1B Trigger Event has
      occurred) and the denominator of which is the Pool 1A-1B Aggregate Loan Balance
      for such Distribution Date, in each case after giving effect to distributions
      on
      such Distribution Date.

     

    Pool
      1A-1B Senior Principal Distribution Amount:
      With
      respect to any Distribution Date (a) prior to the Pool 1A-1B Stepdown Date
      or if a Pool 1A-1B Trigger Event is in effect with respect to such Distribution
      Date, an amount equal to 100% of the Principal Distribution Amount for both
      Pool
      1A and Pool 1B and (b) on or after the Pool 1A-1B Stepdown Date and as long
      as a Pool 1A-1B Trigger Event is not in effect with respect to such Distribution
      Date, the amount, if any, by which (x) the aggregate Class Principal Amount
      of
      the Group 1A Senior Certificates and the Group 1B Senior Certificates
      immediately prior to such Distribution Date exceeds (y) the Pool 1A-1B Senior
      Target Amount.

     

    

    
      
        
          
          

        

        
          84

          
            

          

        

        
          
          

        

      

    

    

    

     

    Pool
      1A-1B Senior Target Amount:
      With
      respect to each of Pool 1A and Pool 1B and any Distribution Date an amount
      equal
      to the lesser of (a) the product of (i) 86.40% and (ii) the Pool 1A-1B Aggregate
      Loan Balance for such Distribution Date determined as of the last day of the
      related Collection Period and (b) the amount, if any, by which (1) the Pool
      1A-1B Aggregate Loan Balance for such Distribution Date determined as of the
      last day of the related Collection Period exceeds (2) the Pool 1A-1B
      Overcollateralization Floor.

     

    Pool
      1A-1B Stepdown Date:
      The
      earlier of (x) the first Distribution Date following the Distribution Date
      on
      which the Class Principal Amounts of the Group 1A Senior Certificates and the
      Group 1B Senior Certificates have each been reduced to zero and (y) the later
      to
      occur of (1) the Distribution Date in March 2010 and (2) the first Distribution
      Date on which the Pool 1A-1B Senior Enhancement Percentage (calculated for
      this
      purpose after giving effect to payments or other recoveries in respect of the
      Mortgage Loans in Pool 1A and Pool 1B during the related Collection Period,
      but
      before giving effect to distributions on any Group 1A Senior Certificates and
      Group 1B Senior Certificates such Distribution Date) is greater than or equal
      to
      13.60%.

     

    Pool
      1A-1B Subordinate Net Funds Cap:
      For
      each Distribution Date and the Group 1 Subordinate Certificates, the weighted
      average of the Pool 1A Net Funds Cap and the Pool 1B Effective Net Funds Cap
      weighted on the basis of the Pool Swap Subordinate Amount for each Pool for
      that
      Distribution Date; provided,
      however,
      that on
      any Distribution Date after the aggregate Class Principal Amount of the Senior
      Certificates related to any Mortgage Pool has been reduced to zero, such
      weighting will be on the bases of the Pool Balance of the remaining Mortgage
      Pool.

     

    Pool
      1A-1B Target Amount:
      With
      respect to any Distribution Date, an amount equal to the Pool 1A-1B Aggregate
      Loan Balance for such Distribution Date minus
      the Pool
      1A-1B Targeted Overcollateralization Amount for such Distribution
      Date.

     

    Pool
      1A-1B Targeted Overcollateralization Amount:
      With
      respect to any Distribution Date, prior to the Pool 1A-1B Stepdown Date an
      amount equal to $1,701,064.50 (i.e.,
      0.40%
      of the Pool 1A-1B Aggregate Loan Balance as of the Cut-off Date) and (y) for any
      Distribution Date on or after the Pool 1A-1B Stepdown Date, the greater of
      (1)
      the lesser of (a) $1,701,064.50 and (b) 0.80% of the Pool 1A-1B Aggregate Loan
      Balance as of the last day of the Collection Period and (2) the Pool 1A-1B
      Overcollateralization Floor; provided,
      however,
      for any
      Distribution Date on or after the Pool 1A-1B Stepdown Date and for which a
      Pool
      1A-1B Trigger Event is in effect, the Pool 1A-1B Targeted Overcollateralization
      Amount will be equal to the Pool 1A-1B Targeted Overcollateralization Amount
      in
      effect for the immediately preceding Distribution Date.

     

    Pool
      1A-1B Termination Event:
      As
      defined in Section 7.01(a).

     

    

    
      
        
          
          

        

        
          85

          
            

          

        

        
          
          

        

      

    

    

    

     

    Pool
      1A-1B Trigger Event:
      With
      respect to any Distribution Date, means that either a Pool 1A-1B Delinquency
      Event or a Pool 1A-1B Cumulative Loss Trigger Event is in effect for such
      Distribution Date.

     

    Pool
      1B
      or
Pool
      1B Mortgage Loans:
      The
      aggregate of the Mortgage Loans identified on the Mortgage Loan Schedule as
      being included in Pool 1B.

     

    Pool
      1B Monthly Excess Cashflow:
      With
      respect to any Distribution Date, an amount equal to the sum of (i) the Pool
      1B
      Monthly Excess Interest for such Distribution Date, (ii) the product of (x)
      the
      Senior Proportionate Percentage for Pool 1B and (y) the Pool 1A-1B Aggregate
      Overcollateralization Release Amount for such Distribution Date and (iii) any
      remaining Principal Distribution Amount for such Distribution Date, with respect
      to Pool 1B, after applying the principal payment priority set forth in Section
      5A.02(d)(i) or Section 5A.02(d)(ii), as applicable.

     

    Pool
      1B Monthly Excess Interest:
      With
      respect to any Distribution Date, the amount of any Interest Remittance Amount
      for Pool 1B remaining after application of clauses (i) through (iii) of Section
      5A.02(c) on such date.

     

    Pool
      1B Net Funds Cap:
      For
      each Distribution Date and the Class 1B-A1 and Class 1B-A3 Certificates, an
      annual rate equal to a fraction, expressed as a percentage, the numerator of
      which is the product of (1) the excess, if any, of (i) the Pool 1B Optimal
      Interest Remittance Amount for such date over (ii) the product of (x) the Group
      1B Swap Percentage and (y) the product of (i) any Net Swap Payment or Swap
      Termination Payment (not due to a Swap Counterparty Trigger Event) owed to
      the
      Swap Counterparty pursuant to the Group 1 Swap Agreement for such Distribution
      Date and (ii) a percentage, the numerator of which is the aggregate Class
      Principal Amount of the Group 1B Senior Certificates and the Pool Swap
      Subordinate Amount for Pool 1B and the denominator which is the aggregate Class
      Principal Amount of the Class 1B-A1 and Class 1B-A3 Certificates and the Pool
      Swap Subordinate Amount for Pool 1B and (2) 12, and the denominator of which
      is
      the Pool Balance for Pool 1B as of the first day of the related Collection
      Period (not including for this purpose Mortgage Loans for which prepayments
      in
      full have been received and distributed in the month prior to that Distribution
      Date) multiplied by a fraction, the numerator of which is 30 and the denominator
      of which is the actual number of days in the Accrual Period related to such
      Distribution Date. For each Distribution Date and the Class 1B-A2 Certificates,
      an annual rate equal to a fraction, expressed as a percentage, the numerator
      of
      which is the product of (1) the Pool 1B Optimal Interest Remittance Amount
      for
      such Distribution Date and (2) 12, and the denominator of which is the Pool
      Balance for Pool 1B as of the first day of the related Collection Period (not
      including for this purpose Mortgage Loans for which prepayments in full have
      been received and distributed in the month prior to that Distribution
      Date).

     

    Pool
      1B Effective Net Funds Cap:
      For
      each Distribution Date, an annual rate equal to a fraction, expressed as a
      percentage, the numerator of which is the product of (1) the excess, if any,
      of
      (x) the Pool 1B Optimal Interest Remittance Amount for such Distribution Date
      over (y) any Net Swap Payment or Swap Termination Payment owed to the Swap
      Counterparty for such Distribution Date allocable to Pool 1B and (2) 12, and
      the
      denominator of which is the Pool Balance for Pool 1B as of the first day of
      the
      related Collection Period (not including for this purpose Mortgage Loans for
      which prepayments in full have been received and distributed in the month prior
      to that Distribution Date), multiplied by a fraction, the numerator of which
      is
      30 and the denominator of which is the actual number of days in the Accrual
      Period related to such Distribution Date.

     

    

    
      
        
          
          

        

        
          86

          
            

          

        

        
          
          

        

      

    

    

    

     

    Pool
      1B Optimal Interest Remittance Amount:
      With
      respect to any Distribution Date, the product of (A) (x) the weighted average
      of
      the Net Mortgage Rates of the Pool 1B Mortgage Loans as of the first day of
      the
      related Collection Period divided by (y) 12 and (B) the Pool Balance for Pool
      1B
      as of the first day of the related Collection Period (not including for this
      purpose Mortgage Loans in Pool 1B for which prepayments in full have been
      received and distributed in the month prior to that Distribution
      Date).

     

    Pool
      1
      REMIC Net Funds Cap:
      With
      respect to any Distribution Date (and the related Accrual Period) and any Class
      of Certificates, an amount equal to (i) the weighted average of the interest
      rates on the regular interests in Middle-Tier REMIC 1 (other than the Class
      MT1-IO Interests), weighted in proportion to their Class Principal Amounts
      as of
      the beginning of the related Accrual Period, multiplied by (ii) the quotient
      of
      (a) 30 divided by (b) the actual number of days in the Accrual
      Period.

     

    Pool
      2
      or
Pool
      2
      Mortgage Loans:
      The
      aggregate of the Mortgage Loans identified on the Mortgage Loan Schedule as
      being included in Pool 2.

     

    Pool
      2
      Applied Loss Amount:
      With
      respect to any Distribution Date, after giving effect to all Realized Losses
      incurred with respect to the Mortgage Loans in Pool 2 during the related
      Collection Period and distributions of principal on such Distribution Date,
      the
      amount, if any, by which (x) the aggregate Class Principal Amount of the Group
      2
      Certificates exceeds (y) the Pool Balance of the Mortgage Loans in Pool 2 for
      such Distribution Date.

     

    Pool
      2
      Basis Risk Payment.
      With
      respect to any Distribution Date, an amount equal to the sum of (i) any Basis
      Risk Shortfall for such Distribution Date applicable to the Group 2
      Certificates, (ii) any Unpaid Basis Risk Shortfall from previous Distribution
      Dates applicable to the Group 2 Senior Certificates and (iii) any Pool 2
      Required Reserve Fund Amount applicable to the Pool 2 Basis Risk Reserve Fund
      for such Distribution Date. The amount of the Pool 2 Basis Risk Payment for
      any
      Distribution Date cannot exceed the amount of Pool 2 Monthly Excess Cashflow
      otherwise available for distribution pursuant to Section 5B.02(d) of this
      Agreement.

     

    Pool
      2
      Basis Risk Reserve Fund:
      A fund
      created as part of the Trust Fund pursuant to Section 5.06(c) of this Agreement
      but which is not an asset of any of the REMICs for the benefit of the Group
      2
      Certificates.

     

    Pool
      2
      Cumulative Loss Trigger Event:
      With
      respect to any Distribution Date, a Pool 2 Cumulative Loss Trigger Event shall
      occur if the fraction, expressed as a percentage, obtained by dividing (x)
      the
      aggregate amount of cumulative Realized Losses incurred on the Mortgage Loans
      in
      Pool 2 from the Cut-off Date through the last day of the related Collection
      Period by (y) the Pool 2 Cut-off Date Balance, exceeds the applicable
      percentages described below with respect to such Distribution Date:

     

    

    
      
        
          
          

        

        
          87

          
            

          

        

        
          
          

        

      

    

    

    

     

    
      	
              Distribution
                Date

            	 	
              Loss
                Percentage

            
	
              March
                2009 through February 2010

            	 	
              0.35%
                for the first month plus an additional 1/12th
                of
                0.55% for each month thereafter

            
	
              March
                2010 through February 2011

            	 	
              0.90%
                for the first month plus an additional 1/12th
                of
                0.70% for each month thereafter

            
	
              March
                2011 through February 2012

            	 	
              1.60%
                for the first month plus an additional 1/12th
                of
                0.70% for each month thereafter

            
	
              March
                2012 through February 2013

            	 	
              2.30%
                for the first month plus an additional 1/12th
                of
                0.40% for each month thereafter

            
	
              March
                2013 through February 2014

            	 	
              2.70%
                for the first month plus an additional 1/12th
                of
                0.05% for each month thereafter

            
	
              March
                2014 and thereafter

            	 	
              2.75%

            
	 	 	 

    

    Pool
      2
      Cut-off Date Balance:
      With
      respect to the Mortgage Loans in Pool 2 on the Closing Date, the Pool Balance
      of
      such Mortgage Loans as of the Cut-off Date.

     

    Pool
      2
      Delinquency Event:
      With
      respect to any Distribution Date, a Pool 2 Delinquency Event shall occur if
      the
      Pool 2 Rolling Three Month Delinquency Rate as of the last day of the
      immediately preceding month equals or exceeds 35.70% of the Pool 2 Senior
      Enhancement Percentage for such Distribution Date.

     

    Pool
      2
      Delinquency Rate:
      With
      respect to any calendar month, the fraction, expressed as a percentage, the
      numerator of which is the aggregate outstanding principal balance of all
      Mortgage Loans in Pool 2 which are 60 days Delinquent or more (including all
      foreclosures, bankruptcies and REO Properties) as of the close of business
      on
      the last day of such month, and the denominator of which is the Pool Balance
      for
      Pool 2 as of the close of business on the last day of such month.

     

    Pool
      2
      Initial Optional Termination Date:
      The
      Distribution Date occurring in the month following the month in which the Pool
      Balance of Pool 2 initially declines to less than 10.00% of the Pool 2 Cut-off
      Date Balance.

     

    Pool
      2
      Monthly Excess Cashflow:
      With
      respect to any Distribution Date, an amount equal to the sum of (i) the Pool
      2
      Monthly Excess Interest for such Distribution Date, (ii) the Pool 2
      Overcollateralization Release Amount for such Distribution Date and (iii) any
      remaining Principal Distribution Amount for such Distribution Date after
      applying the principal payment priority set forth in Section 5B.02(c)(i) or
      Section 5B.02(c)(ii), as applicable.

     

    Pool
      2
      Monthly Excess Interest:
      With
      respect to any Distribution Date, the amount of any Interest Remittance Amount
      for Pool 2 remaining after application pursuant to clauses (i) and (ii) of
      Section 5B.02(b) on such date.

     

    

    
      
        
          
          

        

        
          88

          
            

          

        

        
          
          

        

      

    

    

    

     

    Pool
      2
      Net Excess Spread:
      With
      respect to any Distribution Date, the fraction, expressed as a percentage,
      the
      numerator of which is equal to the product of (i) the amount, if any, by which
      (a) the Interest Remittance Amount for Pool 2 for such Distribution Date exceeds
      (b) the Current Interest payable with respect to the Group 2 Certificates for
      such date and (ii) twelve, and the denominator of which is the Pool Balance
      for
      Pool 2 for such Distribution Date.

     

    Pool
      2
      Net Funds Cap:
      With
      respect to any Distribution Date and the Group 2 Certificates, an annual rate
      equal to a fraction, expressed as a percentage, the numerator of which is the
      product of (1) the excess, if any, of (i) the Pool 2 Optimal Interest Remittance
      Amount for such Distribution Date over (ii) any Net Swap Payment or Swap
      Termination Payment owed to the Swap Counterparty for Pool 2 for such
      Distribution Date and (2) 12, and the denominator of which is the Pool Balance
      of Pool 2 as of the first day of the related Collection Period (not including
      for this purpose Mortgage Loans for which prepayments in full have been received
      and distributed in the month prior to that Distribution Date).

     

    Pool
      2
      Optimal Interest Remittance Amount:
      With
      respect to any Distribution Date, the product of (A) (x) the weighted average
      of
      the Net Mortgage Rates of the Pool 2 Mortgage Loans as of the first day of
      the
      related Collection Period divided by (y) 12 and (B) the Pool Balance for Pool
      2
      as of the first day of the related Collection Period (not including for this
      purpose Mortgage Loans in Pool 2 for which prepayments in full have been
      received and distributed in the month prior to that Distribution
      Date).

     

    Pool
      2
      Overcollateralization Amount:
      With
      respect to any Distribution Date, the amount, if any, by which (x) the Pool
      Balance for Pool 2 such Distribution Date determined as of the last day of
      the
      related Collection Period exceeds (y) the aggregate Class Principal Amount
      of
      the Group 2 Certificates, in each case after giving effect to distributions
      on
      such Distribution Date.

     

    Pool
      2
      Overcollateralization Deficiency:
      With
      respect to any Distribution Date, the amount, if any, by which (x) the Pool
      2
      Targeted Overcollateralization Amount for such Distribution Date exceeds (y)
      the
      Pool 2 Overcollateralization Amount for such Distribution Date, calculated
      for
      this purpose after giving effect to the reduction on such Distribution Date
      of
      the aggregate Certificate Principal Amount of the Group 2 Certificates resulting
      from the distribution of the Principal Distribution Amount for Pool 2 on such
      Distribution Date, but prior to allocation of any Pool 2 Applied Loss Amount
      on
      such Distribution Date to the Group 2 Certificates.

     

    Pool
      2
      Overcollateralization Floor:
      With
      respect to any Distribution Date after the Pool 2 Stepdown Date, 0.35% of the
      Pool 2 Cut-off Date Loan Balance.

     

    Pool
      2
      Overcollateralization Release Amount:
      With
      respect to any Distribution Date, an amount equal to the lesser of (x) the
      Principal Remittance Amount for Pool 2 for such Distribution Date and (y) the
      amount, if any, by which (1) the Pool 2 Overcollateralization Amount for such
      date (calculated for this purpose on the basis of the assumption that 100%
      of
      the Principal Remittance Amount for such date is applied in reduction of the
      Certificate Principal Amounts of the Group 2 Certificates) exceeds (2) the
      Pool
      2 Targeted Overcollateralization Amount. 

     

    

    
      
        
          
          

        

        
          89

          
            

          

        

        
          
          

        

      

    

    

    

     

    Pool
      2
      Purchase Price:
      A price
      equal to the sum of (i) 100% of the unpaid principal balance of each Mortgage
      Loan in Pool 2 on the day of such purchase plus
      interest
      accrued thereon at the applicable Mortgage Rate to the Due Date in the Due
      Period immediately preceding the related Distribution Date, (ii) the amount
      of
      any costs and damages incurred by the Trust Fund as a result of any violation
      of
      any applicable federal, state or local predatory- or abusive-lending law arising
      from or in connection with the origination of such Mortgage Loan, (iii) the
      amount of any unreimbursed Servicing Advances and amounts owed to the Trustee
      hereunder with respect to such Mortgage Loans, (iv) the fair market value of
      any
      REO Property and any other property held by the Trust Fund with respect to
      such
      Mortgage Loans, such fair market value to be determined by an appraiser or
      appraisers mutually agreed upon by the Master Servicer and the Trustee (reduced,
      in the case of REO Property, by (1) reasonably anticipated disposition costs
      and
      (2) any amount by which the fair market value as so reduced exceeds the
      outstanding principal balance of the related Mortgage Loan) plus interest
      accrued thereon at the applicable Net Mortgage Rate to the date of such purchase
      and (v) any unpaid Net Swap Payment and any Swap Termination Payment payable
      to
      the Swap Counterparty due to the exercise of the Master Servicer’s option to
      purchase the Pool 2 Mortgage Loans.

     

    Pool
      2
      REMIC Net Funds Cap:
      With
      respect to any Distribution Date (and the related Accrual Period) and any Class
      of Certificates, an amount equal to (i) the weighted average of the interest
      rates on the regular interests in Middle-Tier REMIC 2 (other than the Class
      MT2-IO Interests), weighted in proportion to their Class Principal Amounts
      as of
      the beginning of the related Accrual Period, multiplied by (ii) the quotient
      of
      (a) 30 divided by (b) the actual number of days in the Accrual
      Period.

     

    Pool
      2
      Required Reserve Fund Amount:
      With
      respect to any Distribution date on which the Pool 2 net Excess Spread is less
      than 0.25% the amount if any, by which (a) the product of 1.00% and the
      aggregate Class Principal Amount of the Group 2 Certificates immediately prior
      to such Distribution Date exceeds (b) the amount on deposit in the Pool 2 Basis
      Risk Reserve Fund immediately prior to that date. With respect to any
      Distribution Date on which the Pool 2 Net Excess Spread is equal to or greater
      than 0.25%, the amount, if any, by which $1,000 exceeds the amount on deposit
      on
      the Pool 2 Basis Risk Reserve Fund immediately prior to such date; provided,
      however,
      that on
      any Distribution Date on which the Class Principal Amounts of each of the Group
      2 Certificates has been reduced to zero, the Pool 2 Required Reserve Amount
      shall be zero.

     

    Pool
      2
      Rolling Three Month Delinquency Rate:
      With
      respect to any Distribution Date, the fraction, expressed as a percentage,
      equal
      to the average of the Pool 2 Delinquency Rates for each of the three (or one
      and
      two, in the case of the first and second Distribution Dates, respectively)
      immediately preceding calendar months.

     

    Pool
      2
      Senior Enhancement Percentage:
      With
      respect to any Distribution Date, the fraction, expressed as a percentage,
      the
      numerator of which is the sum of the aggregate Class Principal Amount of the
      Group 2 Subordinate Certificates and the Pool 2 Overcollateralization Amount
      (which amount, for purposes of this definition only, shall not be less than
      zero
      and assuming for purposes of this definition that the Principal Distribution
      Amount for Pool 2 has been distributed on such Distribution Date and no Pool
      2
      Trigger Event has occurred) and the denominator of which is the Pool Balance
      for
      Pool 2 for such Distribution Date, in each case after giving effect to
      distributions on such Distribution Date.

     

    

    
      
        
          
          

        

        
          90

          
            

          

        

        
          
          

        

      

    

    

    

     

    Pool
      2
      Senior Principal Distribution Amount:
      With
      respect to any Distribution Date (a) prior to the Pool 2 Stepdown Date or
      if a Pool 2 Trigger Event is in effect with respect to such Distribution Date,
      an amount equal to 100% of the Principal Distribution Amount for Pool 2 and
      (b) on or after the Pool 2 Stepdown Date and as long as a Pool 2 Trigger
      Event is not in effect with respect to such Distribution Date, the amount,
      if
      any, by which (x) the aggregate Class Principal Amount of the Group 2 Senior
      Certificates immediately prior to such Distribution Date exceeds (y) the Pool
      2
      Senior Target Amount.

     

    Pool
      2
      Senior Target Amount:
      With
      respect to Pool 2 and any Distribution Date an amount equal to the lesser of
      (a)
      the product of (i) 80.40% and (ii) the Pool Balance for Pool 2 for such
      Distribution Date determined as of the last day of the related Collection Period
      and (b) the amount, if any, by which (1) the Pool Balance for Pool 2 for such
      Distribution Date determined as of the last day of the related Collection Period
      exceeds (2) the Pool 2 Overcollateralization Floor.

     

    Pool
      2
      Stepdown Date:
      The
      earlier of (x) the first Distribution Date following the Distribution Date
      on
      which the Class Principal Amounts of the Group 2 Senior Certificates have each
      been reduced to zero and (y) the later to occur of (1) the Distribution Date
      in
      March 2010 and (2) the first Distribution Date on which the Pool 2 Senior
      Enhancement Percentage (calculated for this purpose after giving effect to
      payments or other recoveries in respect of the Pool 2 Mortgage Loans during
      the
      related Collection Period, but before giving effect to distributions on any
      Group 2 Certificates on such Distribution Date) is greater than or equal to
      19.60%.

     

    Pool
      2
      Target Amount:
      With
      respect to any Distribution Date, an amount equal to the Pool Balance for Pool
      2
      for such Distribution Date minus
      the Pool
      2 Targeted Overcollateralization Amount for such Distribution Date.

     

    Pool
      2
      Targeted Overcollateralization Amount:
      With
      respect to any Distribution Date prior to the Pool 2 Stepdown Date an amount
      equal to $4,874,659.44 (i.e.,
      1.20%
      of the Pool Balance for Pool 2 as of the Cut-off Date) and (y) for any
      Distribution Date on or after the Pool 2 Stepdown Date, the greater of (1)
      the
      lesser of (a) $4,874,659.44 and (b) 2.40% of the Pool Balance for Pool 2 as
      of
      the last day of the Collection Period and (2) the Pool 2 Overcollateralization
      Floor; provided,
      however,
      for any
      Distribution Date on or after the Pool 2 Stepdown Date and for which a Pool
      2
      Trigger Event is in effect, the Pool 2 Targeted Overcollateralization Amount
      will be equal to the Pool 2 Targeted Overcollateralization Amount in effect
      for
      the immediately preceding Distribution Date.

     

    Pool
      2
      Termination Event:
      As
      defined in Section 7.01(a).

     

    Pool
      2
      Trigger Event:
      With
      respect to any Distribution Date, means that either a Pool 2 Delinquency Event
      or a Pool 2 Cumulative Loss Trigger Event is in effect for such Distribution
      Date.

     

    Pool
      3A
      or
Pool
      3A Mortgage Loans:
      The
      aggregate of the Mortgage Loans identified on the Mortgage Loan Schedule as
      being included in Pool 3A.

     

    

    
      
        
          
          

        

        
          91

          
            

          

        

        
          
          

        

      

    

    

    

     

    Pool
      3A Monthly Excess Cashflow:
      With
      respect to any Distribution Date, an amount equal to the sum of (i) the Pool
      3A
      Monthly Excess Interest for such Distribution Date, (ii) the product of (x)
      the
      Senior Proportionate Percentage for Pool 3A and (y) the Pool 3A-3B Aggregate
      Overcollateralization Release Amount for such Distribution Date and (iii) any
      remaining Principal Distribution Amount for such Distribution Date, with respect
      to Pool 3A, after applying the principal payment priority set forth in Section
      5C.02(d)(i) or Section 5C.02(d)(ii), as applicable.

     

    Pool
      3A Monthly Excess Interest:
      With
      respect to any Distribution Date, the amount of any Interest Remittance Amount
      for Pool 3A remaining after application of clause (i) of Section 5C.02(b) on
      such date.

     

    Pool
      3A Net Funds Cap:
      For
      each
      Distribution Date and the Group 3A Certificates, an annual rate equal to a
      fraction, expressed as a percentage, the numerator of which is the product
      of
      (1) the Pool 3A Optimal Interest Remittance Amount for such date and (2) 12,
      and
      the denominator of which is the Pool Balance for Pool 3A as of the first day
      of
      the related Collection Period (not including for this purpose Mortgage Loans
      for
      which prepayments in full have been received and distributed in the month prior
      to that Distribution Date).

     

    Pool
      3A Optimal Interest Remittance Amount:
      For
      each Distribution Date, the product of (A) (x) the weighted average of the
      Net
      Mortgage Rates for the Pool 3A Mortgage Loans as of the first day of the related
      Collection Period divided by (y) 12 and (B) the Pool Balance for Pool 3A as
      of
      the first day of the related Collection Period (not including for this purpose
      Mortgage Loans in Pool 3A for which prepayments in full have been received
      and
      distributed in the month prior to that Distribution Date).

     

    Pool
      3A-3B Aggregate Loan Balance:
      As of
      any date of determination, an amount equal to the aggregate of the Pool Balances
      of Pool 3A and Pool 3B as of such date.

     

    Pool
      3A-3B Aggregate Overcollateralization Amount:
      With
      respect to any Distribution Date, the amount, if any, by which (x) the Pool
      3A-3B Aggregate Loan Balance for such Distribution Date determined as of the
      last day of the related Collection Period exceeds (y) the aggregate Class
      Principal Amount of the Group 3 Certificates, after giving effect to
      distributions on such Distribution Date.

     

    Pool
      3A-3B Aggregate Overcollateralization Release Amount:
      With
      respect to any Distribution Date, the lesser of (x) the aggregate of the
      Principal Remittance Amounts for Pool 3A and Pool 3B for such Distribution
      Date
      and (y) the amount, if any, by which (1) the Pool 3A-3B Aggregate
      Overcollateralization Amount for such Distribution Date (calculated for this
      purpose on the basis of the assumption that 100% of the aggregate of the
      Principal Remittance Amounts for Pool 3A and Pool 3B for such date and for
      such
      Mortgage Pools is applied on such Distribution Date in reduction of the
      aggregate Certificate Principal Amount of the Group 3A Senior Certificates,
      the
      Group 3B Senior Certificates and the Group 3 Subordinate Certificates) exceeds
      (2) the Pool 3A-3B Targeted Overcollateralization Amount for such Distribution
      Date.

     

    Pool
      3A-3B Applied Loss Amount:
      With
      respect to any Distribution Date, after giving effect to all Realized Losses
      incurred with respect to the Mortgage Loans in Pool 3A and Pool 3B (in the
      aggregate) during the related Collection Period and distributions of principal
      on such Distribution Date, the amount by which the aggregate Class Principal
      Amount of the Group 3A Senior Certificates, Group 3B Senior Certificates and
      the
      Group 3 Subordinate Certificates exceeds the Pool 3A-3B Aggregate Loan Balance
      for such Distribution Date.

     

    

    
      
        
          
          

        

        
          92

          
            

          

        

        
          
          

        

      

    

    

    

     

    Pool
      3A-3B Basis Risk Payment:
      With
      respect to any Distribution Date, an amount equal to (A) the sum of (i) any
      Basis Risk Shortfall for such Distribution Date applicable to the Group 3
      Certificates, (ii) any Unpaid Basis Risk Shortfall from previous Distribution
      Dates applicable to the Group 3 Certificates, and (iii) any Pool 3A-3B Required
      Reserve Fund Amount for such Distribution Date. The amount of the Pool 3A-3B
      Basis Risk Payment for any Distribution Date cannot exceed the amount of Pool
      3A-3B Monthly Excess Cashflow otherwise available for distribution pursuant
      to
      Section 5C.02(e) of this Agreement.

     

    Pool
      3A-3B Basis Risk Reserve Fund:
      A fund
      created as part of the Trust Fund pursuant to Section 5.06(a) of this Agreement
      but which is not an asset of any of the REMICs.

     

    Pool
      3A-3B Cumulative Loss Trigger Event:
      With
      respect to any Distribution Date, a Pool 3A-3B Cumulative Loss Trigger Event
      shall occur if the fraction, expressed as a percentage, obtained by dividing
      (x)
      the aggregate amount of cumulative Realized Losses incurred on the Mortgage
      Loans in Pool 3A and Pool 3B from the Cut-off Date through the last day of
      the
      related Collection Period by (y) the Pool 3A-3B Cut-off Date Balance, exceeds
      the applicable percentages described below with respect to such Distribution
      Date:

     

    
      	
              Distribution
                Date

            	 	
              Loss
                Percentage

            
	
              March
                2009 through February 2010

            	 	
              0.55%
                for the first month plus an additional 1/12th
                of
                0.80% for each month thereafter

            
	
              March
                2010 through February 2011

            	 	
              1.35%
                for the first month plus an additional 1/12th
                of
                0.65% for each month thereafter

            
	
              March
                2011 through February 2012

            	 	
              2.00%
                for the first month plus an additional 1/12th
                of
                0.25% for each month thereafter

            
	
              March
                2012 through February 2013

            	 	
              2.25%
                for the first month plus an additional 1/12th
                of
                0.25% for each month thereafter

            
	
              March
                2013 and thereafter 

            	 	
              2.50%

            
	 	 	 

    

    Pool
      3A-3B Cut-off Date Balance:
      With
      respect to the Mortgage Loans in Pool 3A and Pool 3B on the Closing Date, the
      Pool 3A-3B Aggregate Loan Balance as of the Cut-off Date.

     

    Pool
      3A-3B Delinquency Event:
      With
      respect to any Distribution Date, a Pool 3A-3B Delinquency Event shall occur
      if
      the Pool 3A-3B Rolling Three Month Delinquency Rate as of the last day of the
      immediately preceding month equals or exceeds 36.25% of the Pool 3A-3B Senior
      Enhancement Percentage for such Distribution Date.

     

    

    
      
        
          
          

        

        
          93

          
            

          

        

        
          
          

        

      

    

    

    

     

    Pool
      3A-3B Delinquency Rate:
      With
      respect to any calendar month, the fraction, expressed as a percentage, the
      numerator of which is the aggregate outstanding principal balance of all
      Mortgage Loans in Pool 3A and Pool 3B which are 60 days Delinquent or more
      (including all foreclosures, bankruptcies and REO Properties) as of the close
      of
      business on the last day of such month, and the denominator of which is the
      Pool
      3A-3B Aggregate Loan Balance as of the close of business on the last day of
      such
      month.

     

    Pool
      3A-3B Initial Optional Termination Date:
      The
      Distribution Date occurring in the month following the month in which the Pool
      3A-3B Aggregate Loan Balance initially declines to less than 10.00% of the
      aggregate Pool 3A-3B Cut-off Date Balance.

     

    Pool
      3A-3B Monthly Excess Cashflow:
      With
      respect to any Distribution Date, the sum of the Pool 3A Monthly Excess Cashflow
      and Pool 3B Monthly Excess Cashflow for such date.

     

    Pool
      3A-3B Monthly Excess Interest:
      With
      respect to any Distribution Date, the sum of Pool 3A Monthly Excess Interest
      and
      Pool 3B Monthly Excess Interest.

     

    Pool
      3A-3B Net Excess Spread:
      With
      respect to any Distribution Date, the fraction, expressed as a percentage,
      the
      numerator of which is equal to the product of (i) the amount, if any, by which
      (a) the aggregate of the Interest Remittance Amount for Pool 3A and Pool 3B
      for
      such Distribution Date exceeds (b) the Current Interest payable with respect
      to
      the Group 3A Senior Certificates, Group 3B Senior Certificates and the Group
      3
      Subordinate Certificates for such Date and (ii) twelve, and the denominator
      of
      which is the Pool 3A-3B Aggregate Loan Balance for such Distribution
      Date.

     

    Pool
      3A-3B Overcollateralization Deficiency:
      With
      respect to any Distribution Date, the amount, if any, by which (x) the Pool
      3A-3B Targeted Overcollateralization Amount for such Distribution Date exceeds
      (y) the Pool 3A-3B Aggregate Overcollateralization Amount for such Distribution
      Date, calculated for this purpose after giving effect to the reduction on such
      Distribution Date of the aggregate Certificate Principal Amount of the Group
      3A
      Senior Certificates, the Group 3B Senior Certificates and the Group 3
      Subordinate Certificates resulting from the distribution of the Principal
      Distribution Amount for Pool 3A and Pool 3B on such Distribution Date, but
      prior
      to allocation of any Pool 3A-3B Applied Loss Amount on such Distribution Date
      to
      the Group 3 Certificates.

     

    Pool
      3A-3B Overcollateralization Floor:
      With
      respect to any Distribution Date after the Pool 3A-3B Stepdown Date, 0.35%
      of
      the Pool 3A-3B Aggregate Loan Balance as of the Cut-off Date.

     

    Pool
      3A-3B Percentage:
      With
      respect to either Pool 3A or Pool 3B and any Distribution Date will be a
      fraction, expressed as a percentage, the numerator of which is the Pool Balance
      for such Mortgage Pool for such date and the denominator of which is the Pool
      3A-3B Aggregate Loan Balance for such date.

     

    Pool
      3A-3B Purchase Price:
      A price
      equal to the sum of (i) 100% of the unpaid principal balance of each Mortgage
      Loan in Pool 3A and Pool 3B on the day of such purchase plus
      interest
      accrued thereon at the applicable Mortgage Rate to the Due Date in the Due
      Period immediately preceding the related Distribution Date, (ii) the amount
      of
      any costs and damages incurred by the Trust Fund as a result of any violation
      of
      any applicable federal, state or local predatory- or abusive-lending law arising
      from or in connection with the origination of such Mortgage Loan, (iii) the
      amount of any unreimbursed Servicing Advances and amounts owed to the Trustee
      hereunder with respect to such Mortgage Loans, and (iv) the fair market value
      of
      any REO Property and any other property held by the Trust Fund with respect
      to
      such Mortgage Loans, such fair market value to be determined by an appraiser
      or
      appraisers mutually agreed upon by the Master Servicer and the Trustee (reduced,
      in the case of REO Property, by (1) reasonably anticipated disposition costs
      and
      (2) any amount by which the fair market value as so reduced exceeds the
      outstanding principal balance of the related Mortgage Loan) plus interest
      accrued thereon at the applicable Net Mortgage Rate to the date of such
      purchase. 

     

    

    
      
        
          
          

        

        
          94

          
            

          

        

        
          
          

        

      

    

    

    

     

    Pool
      3A-3B Required Reserve Fund Amount:
      With
      respect to any Distribution Date on which the Pool 3A-3B Net Excess Spread
      is
      less than 0.25%, the amount, if any by which (a) the product of 1.00% and the
      aggregate Class Principal Amount of the Group 3A Senior Certificates, the Group
      3B Senior Certificates and the Group 3 Subordinate Certificates immediately
      prior to such Distribution Date exceeds (b) the amount on deposit in the Pool
      3A-3B Basis Risk Reserve Fund immediately prior to such date. With respect
      to
      any Distribution Date on which the Pool 3A-3B Net Excess Spread is equal to
      or
      greater than 0.25%, the amount, if any, by which $1,000 exceeds the amount
      on
      deposit in the Pool 3A-3B Basis Risk Reserve Fund immediately prior to such
      date; provided,
      however,
      that on
      any Distribution Date on which the Class Principal Amounts of each of the Group
      3A Senior Certificates, the Group 3B Senior Certificates and the Group 3
      Subordinate Certificates has been reduced to zero, the Pool 3A-3B Required
      Reserve Fund Amount shall be zero.

     

    Pool
      3A-3B Rolling Three Month Delinquency Rate:
      With
      respect to any Distribution Date, the fraction, expressed as a percentage,
      equal
      to the average of the Pool 3A-3B Delinquency Rates for each of the three (or
      one
      and two, in the case of the first and second Distribution Dates, respectively)
      immediately preceding calendar months.

     

    Pool
      3A-3B Senior Enhancement Percentage:
      With
      respect to any Distribution Date, the fraction, expressed as a percentage,
      the
      numerator of which is the sum of (x) the aggregate Class Principal Amount of
      the
      Group 3 Subordinate Certificates and (y) the Pool 3A-3B Aggregate
      Overcollateralization Amount (which amount, for purposes of this definition
      only, shall not be less than zero and assuming for purposes of this definition
      that the Principal Distribution Amount for Pool 3A and Pool 3B has been
      distributed on such Distribution Date and no Pool 3A-3B Trigger Event has
      occurred) and the denominator of which is the Pool 3A-3B Aggregate Loan Balance
      for such Distribution Date, in each case after giving effect to distributions
      on
      such Distribution Date.

     

    Pool
      3A-3B Senior Principal Distribution Amount:
      With
      respect to any Distribution Date (a) prior to the Pool 3A-3B Stepdown Date
      or if a Pool 3A-3B Trigger Event is in effect with respect to such Distribution
      Date, an amount equal to 100% of the Principal Distribution Amount for both
      Pool
      3A and Pool 3B and (b) on or after the Pool 3A-3B Stepdown Date and as long
      as a Pool 3A-3B Trigger Event is not in effect with respect to such Distribution
      Date, the amount, if any, by which (x) the aggregate Class Principal Amount
      of
      the Group 3A Senior Certificates and the Group 3B Senior Certificates
      immediately prior to such Distribution Date exceeds (y) the Pool 3A-3B Senior
      Target Amount.

     

    

    
      
        
          
          

        

        
          95

          
            

          

        

        
          
          

        

      

    

    

    

     

    Pool
      3A-3B Senior Target Amount:
      With
      respect to each of Pool 3A and Pool 3B and any Distribution Date an amount
      equal
      to the lesser of (a) the product of (i) 80.70% and (ii) the Pool 3A-3B Aggregate
      Loan Balance for such Distribution Date determined as of the last day of the
      related Collection Period and (b) the amount, if any, by which (1) the Pool
      3A-3B Aggregate Loan Balance for such Distribution Date determined as of the
      last day of the related Collection Period exceeds (2) the Pool 3A-3B
      Overcollateralization Floor.

     

    Pool
      3A-3B Stepdown Date:
      The
      earlier of (x) the first Distribution Date following the Distribution Date
      on
      which the Class Principal Amounts of the Group 3A Senior Certificates and the
      Group 3B Senior Certificates have each been reduced to zero and (y) the later
      to
      occur of (1) the Distribution Date in March 2010 and (2) the first Distribution
      Date on which the Pool 3A-3B Senior Enhancement Percentage (calculated for
      this
      purpose after giving effect to payments or other recoveries in respect of the
      Mortgage Loans in Pool 3A and Pool 3B during the related Collection Period,
      but
      before giving effect to distributions on any Group 3A Senior Certificates and
      Group 3B Senior Certificates such Distribution Date) is greater than or equal
      to
      19.30%.

     

    Pool
      3A-3B Subordinate Net Funds Cap:
      For
      each Distribution Date the weighted average of the Pool 3A Net Funds Cap and
      the
      Pool 3B Net Funds Cap, weighted on the basis of the Pool Subordinate Amount
      for
      Pool 3A and Pool 3B; provided,
      however,
      that on
      any Distribution Date after the aggregate Class Principal Amount of the Senior
      Certificates related to either Mortgage Pool has been reduced to zero, such
      weighting will be on the bases of the Pool Balance of remaining Mortgage
      Pool.

     

    Pool
      3A-3B Target Amount:
      With
      respect to any Distribution Date, an amount equal to the Pool 3A-3B Aggregate
      Loan Balance for such Distribution Date minus
      the Pool
      3A-3B Targeted Overcollateralization Amount for such Distribution
      Date.

     

    Pool
      3A-3B Targeted Overcollateralization Amount:
      With
      respect to any Distribution Date, prior to the Pool 3A-3B Stepdown Date an
      amount equal to $2,772,074.54 (i.e.,
      1.00%
      of the Pool 3A-3B Aggregate Loan Balance as of the Cut-off Date) and (y) for
      any
      Distribution Date on or after the Pool 3A-3B Stepdown Date, the greater of
      (1)
      the lesser of (a) $2,772,074.54 and (b) 2.00% of the Pool 3A-3B Aggregate Loan
      Balance as of the last day of the Collection Period and (2) the Pool 3A-3B
      Overcollateralization Floor; provided,
      however,
      for any
      Distribution Date on or after the Pool 3A-3B Stepdown Date and for which a
      Pool
      3A-3B Trigger Event is in effect, the Pool 3A-3B Targeted Overcollateralization
      Amount will be equal to the Pool 3A-3B Targeted Overcollateralization Amount
      in
      effect for the immediately preceding Distribution Date.

     

    Pool
      3A-3B Termination Event:
      As
      defined in Section 7.01(a).

     

    Pool
      3A-3B Trigger Event:
      With
      respect to any Distribution Date, means that either a Pool 3A-3B Delinquency
      Event or a Pool 3A-3B Cumulative Loss Trigger Event is in effect for such
      Distribution Date.

     

    Pool
      3B
      or
Pool
      3B Mortgage Loans:
      The
      aggregate of the Mortgage Loans identified on the Mortgage Loan Schedule as
      being included in Pool 3B.

     

    

    
      
        
          
          

        

        
          96

          
            

          

        

        
          
          

        

      

    

    

    

     

    Pool
      3B Monthly Excess Cashflow:
      With
      respect to any Distribution Date, an amount equal to the sum of (i) the Pool
      3B
      Monthly Excess Interest for such Distribution Date, (ii) the product of (x)
      the
      Senior Proportionate Percentage for Pool 3B and (y) the Pool 3A-3B Aggregate
      Overcollateralization Release Amount for such Distribution Date and (iii) any
      remaining Principal Distribution Amount for such Distribution Date, with respect
      to Pool 3B, after applying the principal payment priority set forth in Section
      5C.02(d)(i) or Section 5C.02(d)(ii), as applicable.

     

    Pool
      3B Monthly Excess Interest:
      With
      respect to any Distribution Date, the amount of any Interest Remittance Amount
      for Pool 3B remaining after application of clause (i) of Section 5C.02(c) on
      such date.

     

    Pool
      3B Net Funds Cap:
      With
      each Distribution Date and the Group 3B Senior Certificates, an annual rate
      equal to (a) a fraction, expressed as a percentage, the numerator of which
      is
      the product of (1) the Pool 3B Optimal Interest Remittance Amount for such
      Distribution Date and (2) 12, and the denominator of which is the Pool Balance
      of Pool 3B as of the first day of the related Collection Period (not including
      for this purpose Mortgage Loans for which prepayments in full have been received
      and distributed in the month prior to that Distribution Date). 

     

    Pool
      3B Optimal Interest Remittance Amount:
      With
      respect to any Distribution Date, the product of (A) (x) the weighted average
      of
      the Net Mortgage Rates of the Pool 3B Mortgage Loans as of the first day of
      the
      related Collection Period divided by (y) 12 and (B) the Pool Balance for Pool
      3B
      as of the first day of the related Collection Period (not including for this
      purpose Mortgage Loans in Pool 3B for which prepayments in full have been
      received and distributed in the month prior to that Distribution
      Date).

     

    Pool
      4A
      or
Pool
      4A Mortgage Loans:
      The
      aggregate of the Mortgage Loans identified on the Mortgage Loan Schedule as
      being included in Pool 4A.

     

    Pool
      4A Monthly Excess Cashflow:
      With
      respect to any Distribution Date, an amount equal to the sum of (i) the Pool
      4A
      Monthly Excess Interest for such Distribution Date, (ii) the product of (x)
      the
      Senior Proportionate Percentage for Pool 4A and (y) the Pool 4A-4B Aggregate
      Overcollateralization Release Amount for such Distribution Date and (iii) any
      remaining Principal Distribution Amount for such Distribution Date, with respect
      to Pool 4A, after applying the principal payment priority set forth in Section
      5D.02(d)(i) or Section 5D.02(d)(ii), as applicable.

     

    Pool
      4A Monthly Excess Interest:
      With
      respect to any Distribution Date, the amount of any Interest Remittance Amount
      for Pool 4A remaining after application of clause (i) of Section 5D.02(b) on
      such date.

     

    Pool
      4A-4B Aggregate Loan Balance:
      As of
      any date of determination, an amount equal to the aggregate of the Pool Balances
      of Pool 4A and Pool 4B as of such date.

     

    Pool
      4A-4B Aggregate Overcollateralization Amount:
      With
      respect to any Distribution Date, the amount, if any, by which (x) the Pool
      4A-4B Aggregate Loan Balance for such Distribution Date determined as of the
      last day of the related Collection Period exceeds (y) the aggregate Class
      Principal Amount of the Group 4 Certificates, after giving effect to
      distributions on such Distribution Date.

     

    

    
      
        
          
          

        

        
          97

          
            

          

        

        
          
          

        

      

    

    

    

     

    Pool
      4A-4B Aggregate Overcollateralization Release Amount:
      With
      respect to any Distribution Date, the lesser of (x) the aggregate of the
      Principal Remittance Amounts for Pool 4A and Pool 4B for such Distribution
      Date
      and (y) the amount, if any, by which (1) the Pool 4A-4B Aggregate
      Overcollateralization Amount for such Distribution Date (calculated for this
      purpose on the basis of the assumption that 100% of the aggregate of the
      Principal Remittance Amounts for Pool 4A and Pool 4B for such date and for
      such
      Mortgage Pools is applied on such Distribution Date in reduction of the
      aggregate Certificate Principal Amount of the Group 4A Senior Certificates,
      the
      Group 4B Senior Certificates and the Group 4 Subordinate Certificates) exceeds
      (2) the Pool 4A-4B Targeted Overcollateralization Amount for such Distribution
      Date.

     

    Pool
      4A-4B Applied Loss Amount:
      With
      respect to any Distribution Date, after giving effect to all Realized Losses
      incurred with respect to the Mortgage Loans in Pool 4A and Pool 4B (in the
      aggregate) during the related Collection Period and distributions of principal
      on such Distribution Date, the amount by which the aggregate Class Principal
      Amount of the Group 4A Senior Certificates, Group 4B Senior Certificates and
      the
      Group 4 Subordinate Certificates exceeds the Pool 4A-4B Aggregate Loan Balance
      for such Distribution Date.

     

    Pool
      4A-4B Cumulative Loss Trigger Event:
      With
      respect to any Distribution Date, a Pool 4A-4B Cumulative Loss Trigger Event
      shall occur if the fraction, expressed as a percentage, obtained by dividing
      (x)
      the aggregate amount of cumulative Realized Losses incurred on the Mortgage
      Loans in Pool 4A and Pool 4B from the Cut-off Date through the last day of
      the
      related Collection Period by (y) the Pool 4A-4B Cut-off Date Balance, exceeds
      the applicable percentages described below with respect to such Distribution
      Date:

     

    
      	
              Distribution
                Date

            	 	
              Loss
                Percentage

            
	
              March
                2009 through February 2010

            	 	
              0.40%
                for the first month plus an additional 1/12th
                of
                0.60% for each month thereafter

            
	
              March
                2010 through February 2011

            	 	
              1.00%
                for the first month plus an additional 1/12th
                of
                0.70% for each month thereafter

            
	
              March
                2011 through February 2012

            	 	
              1.70%
                for the first month plus an additional 1/12th
                of
                0.75% for each month thereafter

            
	
              March
                2012 through February 2013

            	 	
              2.45%
                for the first month plus an additional 1/12th
                of
                0.45% for each month thereafter

            
	
              March
                2013 through February 2014

            	 	
              2.90%
                for the first month plus an additional 1/12th
                of
                0.05% for each month thereafter

            
	
              March
                2014 and thereafter 

            	 	
              2.95%

            
	 	 	 

    

    

     

    

    
      
        
          
          

        

        
          98

          
            

          

        

        
          
          

        

      

    

    

    Pool
      4A-4B Cut-off Date Balance:
      With
      respect to the Mortgage Loans in Pool 4A and Pool 4B on the Closing Date, the
      Pool 4A-4B Aggregate Loan Balance as of the Cut-off Date.

     

    Pool
      4A-4B Delinquency Event:
      With
      respect to any Distribution Date, a Pool 4A-4B Delinquency Event shall occur
      if
      the Pool 4A-4B Rolling Three Month Delinquency Rate as of the last day of the
      immediately preceding month equals or exceeds 50.00% of the Pool 4A-4B Senior
      Enhancement Percentage for such Distribution Date.

     

    Pool
      4A-4B Delinquency Rate:
      With
      respect to any calendar month, the fraction, expressed as a percentage, the
      numerator of which is the aggregate outstanding principal balance of all
      Mortgage Loans in Pool 4A and Pool 4B which are 60 days Delinquent or more
      (including all foreclosures, bankruptcies and REO Properties) as of the close
      of
      business on the last day of such month, and the denominator of which is the
      Pool
      4A-4B Aggregate Loan Balance as of the close of business on the last day of
      such
      month.

     

    Pool
      4A-4B Initial Optional Termination Date:
      The
      Distribution Date occurring in the month following the month in which the Pool
      4A-4B Aggregate Loan Balance initially declines to less than 10.00% of the
      aggregate Pool 4A-4B Cut-off Date Balance.

     

    Pool
      4A-4B Monthly Excess Cashflow:
      With
      respect to any Distribution Date, the sum of the Pool 4A Monthly Excess Cashflow
      and Pool 4B Monthly Excess Cashflow for such date.

     

    Pool
      4A-4B Monthly Excess Interest:
      With
      respect to any Distribution Date, the sum of Pool 4A Monthly Excess Interest
      and
      Pool 4B Monthly Excess Interest.

     

    Pool
      4A-4B Net Excess Spread:
      With
      respect to any Distribution Date, the fraction, expressed as a percentage,
      the
      numerator of which is equal to the product of (i) the amount, if any, by which
      (a) the aggregate of the Interest Remittance Amount for Pool 4A and Pool 4B
      for
      such Distribution Date exceeds (b) the Current Interest payable with respect
      to
      the Group 4A Senior Certificates, Group 4B Senior Certificates and the Group
      4
      Subordinate Certificates for such Date and (ii) twelve, and the denominator
      of
      which is the Pool 4A-4B Aggregate Loan Balance for such Distribution
      Date.

     

    Pool
      4A-4B Overcollateralization Deficiency:
      With
      respect to any Distribution Date, the amount, if any, by which (x) the Pool
      4A-4B Targeted Overcollateralization Amount for such Distribution Date exceeds
      (y) the Pool 4A-4B Aggregate Overcollateralization Amount for such Distribution
      Date, calculated for this purpose after giving effect to the reduction on such
      Distribution Date of the aggregate Certificate Principal Amount of the Group
      4A
      Senior Certificates, the Group 4B Senior Certificates and the Group 4
      Subordinate Certificates resulting from the distribution of the Principal
      Distribution Amount for Pool 4A and Pool 4B on such Distribution Date, but
      prior
      to allocation of any Pool 4A-4B Applied Loss Amount on such Distribution Date
      to
      the Group 4 Certificates.

     

    Pool
      4A-4B Overcollateralization Floor:
      With
      respect to any Distribution Date after the Pool 4A-4B Stepdown Date, 0.35%
      of
      the Pool 4A-4B Aggregate Loan Balance as of the Cut-off Date.

     

    

    
      
        
          
          

        

        
          99

          
            

          

        

        
          
          

        

      

    

    

    

     

    Pool
      4A-4B Percentage:
      With
      respect to either Pool 4A or Pool 4B and any Distribution Date will be a
      fraction, expressed as a percentage, the numerator of which is the Pool Balance
      for such Mortgage Pool for such date and the denominator of which is the Pool
      4A-4B Aggregate Loan Balance for such date.

     

    Pool
      4A-4B Purchase Price:
      A price
      equal to the sum of (i) 100% of the unpaid principal balance of each Mortgage
      Loan in Pool 4A and Pool 4B on the day of such purchase plus
      interest
      accrued thereon at the applicable Mortgage Rate to the Due Date in the Due
      Period immediately preceding the related Distribution Date, (ii) the amount
      of
      any costs and damages incurred by the Trust Fund as a result of any violation
      of
      any applicable federal, state or local predatory- or abusive-lending law arising
      from or in connection with the origination of such Mortgage Loan, (iii) the
      amount of any unreimbursed Servicing Advances and amounts owed to the Trustee
      hereunder with respect to such Mortgage Loans, and (iv) the fair market value
      of
      any REO Property and any other property held by the Trust Fund with respect
      to
      such Mortgage Loans, such fair market value to be determined by an appraiser
      or
      appraisers mutually agreed upon by the Master Servicer and the Trustee (reduced,
      in the case of REO Property, by (1) reasonably anticipated disposition costs
      and
      (2) any amount by which the fair market value as so reduced exceeds the
      outstanding principal balance of the related Mortgage Loan) plus interest
      accrued thereon at the applicable Net Mortgage Rate to the date of such
      purchase. 

     

    Pool
      4A-4B Rolling Three Month Delinquency Rate:
      With
      respect to any Distribution Date, the fraction, expressed as a percentage,
      equal
      to the average of the Pool 4A-4B Delinquency Rates for each of the three (or
      one
      and two, in the case of the first and second Distribution Dates, respectively)
      immediately preceding calendar months.

     

    Pool
      4A-4B Senior Enhancement Percentage:
      With
      respect to any Distribution Date, the fraction, expressed as a percentage,
      the
      numerator of which is the sum of (x) the aggregate Class Principal Amount of
      the
      Group 4 Subordinate Certificates and (y) the Pool 4A-4B Aggregate
      Overcollateralization Amount (which amount, for purposes of this definition
      only, shall not be less than zero and assuming for purposes of this definition
      that the Principal Distribution Amount for Pool 4A and Pool 4B has been
      distributed on such Distribution Date and no Pool 4A-4B Trigger Event has
      occurred) and the denominator of which is the Pool 4A-4B Aggregate Loan Balance
      for such Distribution Date, in each case after giving effect to distributions
      on
      such Distribution Date.

     

    Pool
      4A-4B Senior Principal Distribution Amount:
      With
      respect to any Distribution Date (a) prior to the Pool 4A-4B Stepdown Date
      or if a Pool 4A-4B Trigger Event is in effect with respect to such Distribution
      Date, an amount equal to 100% of the Principal Distribution Amount for both
      Pool
      4A and Pool 4B and (b) on or after the Pool 4A-4B Stepdown Date and as long
      as a Pool 4A-4B Trigger Event is not in effect with respect to such Distribution
      Date, the amount, if any, by which (x) the aggregate Class Principal Amount
      of
      the Group 4A Senior Certificates and the Group 4B Senior Certificates
      immediately prior to such Distribution Date exceeds (y) the Pool 4A-4B Senior
      Target Amount.

     

    Pool
      4A-4B Senior Target Amount:
      With
      respect to each of Pool 4A and Pool 4B and any Distribution Date an amount
      equal
      to the lesser of (a) the product of (i) 81.00% and (ii) the Pool 4A-4B Aggregate
      Loan Balance for such Distribution Date determined as of the last day of the
      related Collection Period and (b) the amount, if any, by which (1) the Pool
      4A-4B Aggregate Loan Balance for such Distribution Date determined as of the
      last day of the related Collection Period exceeds (2) the Pool 4A-4B
      Overcollateralization Floor.

     

    

    
      
        
          
          

        

        
          100

          
            

          

        

        
          
          

        

      

    

    

    

     

    Pool
      4A-4B Stepdown Date:
      The
      earlier of (x) the first Distribution Date following the Distribution Date
      on
      which the Class Principal Amounts of the Group 4A Senior Certificates and the
      Group 4B Senior Certificates have each been reduced to zero and (y) the later
      to
      occur of (1) the Distribution Date in March 2010 and (2) the first Distribution
      Date on which the Pool 4A-4B Senior Enhancement Percentage (calculated for
      this
      purpose after giving effect to payments or other recoveries in respect of the
      Mortgage Loans in Pool 4A and Pool 4B during the related Collection Period,
      but
      before giving effect to distributions on any Group 4A Senior Certificates and
      Group 4B Senior Certificates such Distribution Date) is greater than or equal
      to
      19.00%.

     

    Pool
      4A-4B Subordinate Net Funds Cap:
      For
      each Distribution Date the weighted average of the Pool 4A Net Funds Cap and
      the
      Pool 4B Net Funds Cap, weighted on the basis of the Pool Subordinate Amount
      for
      Pool 4A and Pool 4B; provided,
      however,
      that on
      any Distribution Date after the aggregate Class Principal Amount of the Senior
      Certificates related to either Mortgage Pool has been reduced to zero, such
      weighting will be on the bases of the Pool Balance of remaining Mortgage
      Pool.

     

    Pool
      4A-4B Target Amount:
      With
      respect to any Distribution Date, an amount equal to the Pool 4A-4B Aggregate
      Loan Balance for such Distribution Date minus
      the Pool
      4A-4B Targeted Overcollateralization Amount for such Distribution
      Date.

     

    Pool
      4A-4B Targeted Overcollateralization Amount:
      With
      respect to any Distribution Date, prior to the Pool 4A-4B Stepdown Date an
      amount equal to $3,303,633.62 (i.e.,
      1.60%
      of the Pool 4A-4B Aggregate Loan Balance as of the Cut-off Date) and (y) for
      any
      Distribution Date on or after the Pool 4A-4B Stepdown Date, the greater of
      (1)
      the lesser of (a) $3,303,633.62 and (b) 3.20% of the Pool 4A-4B Aggregate Loan
      Balance as of the last day of the Collection Period and (2) the Pool 4A-4B
      Overcollateralization Floor; provided,
      however,
      for any
      Distribution Date on or after the Pool 4A-4B Stepdown Date and for which a
      Pool
      4A-4B Trigger Event is in effect, the Pool 4A-4B Targeted Overcollateralization
      Amount will be equal to the Pool 4A-4B Targeted Overcollateralization Amount
      in
      effect for the immediately preceding Distribution Date.

     

    Pool
      4A-4B Termination Event:
      As
      defined in Section 7.01(a).

     

    Pool
      4A-4B Trigger Event:
      With
      respect to any Distribution Date, means that either a Pool 4A-4B Delinquency
      Event or a Pool 4A-4B Cumulative Loss Trigger Event is in effect for such
      Distribution Date.

     

    Pool
      4B
      or
Pool
      4B Mortgage Loans:
      The
      aggregate of the Mortgage Loans identified on the Mortgage Loan Schedule as
      being included in Pool 4B.

     

    Pool
      4B Monthly Excess Cashflow:
      With
      respect to any Distribution Date, an amount equal to the sum of (i) the Pool
      4B
      Monthly Excess Interest for such Distribution Date, (ii) the product of (x)
      the
      Senior Proportionate Percentage for Pool 4B and (y) the Pool 4A-4B Aggregate
      Overcollateralization Release Amount for such Distribution Date and (iii) any
      remaining Principal Distribution Amount for such Distribution Date, with respect
      to Pool 4B, after applying the principal payment priority set forth in Section
      5D.02(d)(i) or Section 5D.02(d)(ii), as applicable.

     

    

    
      
        
          
          

        

        
          101

          
            

          

        

        
          
          

        

      

    

    

    

     

    Pool
      4B Monthly Excess Interest:
      With
      respect to any Distribution Date, the amount of any Interest Remittance Amount
      for Pool 4B remaining after application of clause (i) of Section 5D.02(c) on
      such date.

     

    Pool
      Balance:
      With
      respect to each Mortgage Pool, the aggregate of the Scheduled Principal Balances
      of all Mortgage Loans in such Mortgage Pool at the date of
      determination.

     

    Pool
      Percentage:
      With
      respect to each Mortgage Pool and any Distribution Date, the fraction, expressed
      as a percentage, the numerator of which is the Pool Balance for such Mortgage
      Pool for such date and the denominator of which is the Aggregate Loan Balance
      for such date.

     

    Pool
      Subordinate Amount:
      With
      respect to either Pool 1A or Pool 1B and any Distribution Date, the excess
      of
      the Pool Balance for such Mortgage Pool for the immediately preceding
      Distribution Date (or on the Cut-off Date in the case of the first Distribution
      Date) over the aggregate Class Principal Amount of the Group 1A Senior
      Certificates (in the case of Pool 1A) or the aggregate Class Principal Amount
      of
      the Group 1B Senior Certificates (in the case of Pool 1B) immediately prior
      to
      the related Distribution Date; provided,
      that
      such amount shall never be less than zero. With respect to either Pool 3A or
      Pool 3B and any Distribution Date, the excess of the Pool Balance for such
      Mortgage Pool for the immediately preceding Distribution Date (or on the Cut-off
      Date in the case of the first Distribution Date) over the aggregate Class
      Principal Amount of the Group 3A Senior Certificates (in the case of Pool 3A)
      or
      the aggregate Class Principal Amount of the Group 3B Senior Certificates (in
      the
      case of Pool 3B) immediately prior to the related Distribution Date; provided,
      that such amount shall never be less than zero; provided,
      that
      such amount shall never be less than zero.

     

    Pool
      Swap Subordinate Amount:
      With
      any of Pool 1A or Pool 1B and any Distribution Date, the product of (i) the
      aggregate Class Principal Amount of the Group 1 Subordinate Certificates
      immediately prior to the related Distribution Date and (ii) a fraction, the
      numerator of which is the Pool Subordinate Amount for the related Mortgage
      Pool
      and the denominator of which is the sum of the Pool Subordinate Amounts for
      Pool
      1A and Pool 1B.

     

    Pooling
      REMIC 1 Regular Interests:
      Lower-Tier Interests in Pooling REMIC 1 as described in the Preliminary
      statement.

     

    Pooling
      REMIC 2 Regular Interests:
      Lower-Tier Interests in Pooling REMIC 2, as described in the Preliminary
      Statement.

     

    Pooling
      REMIC 3 Regular Interests:
      Lower-Tier Interests in Pooling REMIC 3, as described in the Preliminary
      Statement.

     

    Pooling
      REMIC 4 Regular Interests:
      Lower-Tier Interests in Pooling REMIC 4, as described in the Preliminary
      Statement.

     

    Pooling
      REMIC Regular Interests:
      Any of
      the Pooling REMIC 1 Regular Interests, the Pooling REMIC 2 Regular Interests,
      the Pooling REMIC 3 Regular Interests or the Pooling REMIC 4 Regular Interests,
      as applicable. 

     

    

    
      
        
          
          

        

        
          102

          
            

          

        

        
          
          

        

      

    

    

    

     

    Prepayment
      Interest Excess:
      With
      respect to any Distribution Date and any Mortgage Loan for which Aurora is
      the
      primary servicer, any Principal Prepayment in full received on the Mortgage
      Loans from the first day through the sixteenth (16th)
      day of
      the month during which such Distribution Date occurs, all amounts paid in
      respect of interest at the applicable Net Mortgage Rate on such Principal
      Prepayment. 

     

    Prepayment
      Interest Shortfall:
      With
      respect to any Distribution Date and (x) any Principal Prepayment in full (with
      respect to those Mortgage Loans serviced by Servicers other than Aurora) and
      (y)
      any Principal Prepayment in full with respect to those Mortgage Loans serviced
      by Aurora if such Principal Prepayment is received on or after the seventeenth
      (17th)
      day of
      the month immediately preceding the month of such Distribution Date, but on
      or
      before the last day of the month immediately preceding the month of such
      Distribution Date, the difference between (i) one full month’s interest at the
      applicable Net Mortgage Rate (after giving effect to any applicable Relief
      Act
      Reduction) on the outstanding principal balance of such Mortgage Loan
      immediately prior to such prepayment and (ii) the amount of interest actually
      received with respect to such Mortgage Loan in connection with such Principal
      Prepayment.

     

    Prepayment
      Period:
      With
      respect to those Mortgage Loans serviced by Servicers other than Aurora and
      any
      Distribution Date and any Principal Prepayment, whether in part or in full
      (including any liquidation), the calendar month immediately preceding the month
      in which such Distribution Date occurs. With respect to any Distribution Date
      and a Principal Prepayment in full (including any liquidation) with respect
      to
      those Mortgage Loans serviced by Aurora, the period from the seventeenth day
      of
      the month immediately preceding the month of such Distribution Date to the
      sixteenth (16th)
      day of
      the month of such Distribution Date (except in the case of the March 2007
      Distribution Date, for which the related Prepayment Period will be the period
      from February 1, 2007 through March 16, 2007. With respect to those Mortgage
      Loans serviced by Aurora, any Distribution Date and any Principal Prepayment
      in
      part, the calendar month immediately preceding the month in which such
      Distribution Date occurs.

     

    Prepayment
      Premiums:
      Any
      prepayment fees and penalties to be paid by the Mortgagor on a Mortgage Loan
      with respect to which the Seller owns the servicing rights, as indicated in
      the
      Mortgage Loan Schedule. Prepayment Premiums shall not be included in the
      Principal Remittance Amount or the Interest Remittance Amount with respect
      to
      any Pool.

     

    Primary
      Mortgage Insurance Policy:
      Any
      mortgage guaranty insurance, if any, on an individual Mortgage Loan, including
      any Bulk PMI Policy or any LPMI Policy, as evidenced by a policy or certificate,
      whether such policy is obtained by the originator, the lender, the borrower
      or
      the Seller on behalf of the Trust Fund.

     

    Principal
      Distribution Amount:
      With
      respect to any Distribution Date, and for each of Pool 1A and Pool 1B, an amount
      equal to the Principal Remittance Amount for such date for such Mortgage Pool
      minus
      the
      Pool
      1A-1B Aggregate Overcollateralization Release Amount attributable to such
      Mortgage Pool based on the Senior Proportionate Percentage for such Mortgage
      Pool, if any, for such Distribution Date. With respect to any Distribution
      Date
      and Pool 2, an amount equal to the Principal Remittance Amount for such date
      for
      such Mortgage Pool minus
      the Pool
      2 Overcollateralization Release Amount, if any, for such Distribution Date.
      With
      respect to any Distribution Date, and for each of Pool 3A and Pool 3B, an amount
      equal to the Principal Remittance Amount for such date for such Mortgage Pool
      minus
      the
      Pool
      3A-3B Aggregate Overcollateralization Release Amount attributable to such
      Mortgage Pool based on the Senior Proportionate Percentage for such Mortgage
      Pool, if any, for such Distribution Date. With respect to any Distribution
      Date,
      and for each of Pool 4A and Pool 4B, an amount equal to the Principal Remittance
      Amount for such date for such Mortgage Pool minus
      the
      Pool
      4A-4B Aggregate Overcollateralization Release Amount attributable to such
      Mortgage Pool based on the Senior Proportionate Percentage for such Mortgage
      Pool, if any, for such Distribution Date. 

     

    

    
      
        
          
          

        

        
          103

          
            

          

        

        
          
          

        

      

    

    

    

     

    Principal
      Prepayment:
      Any
      Mortgagor payment of principal (other than a Balloon Payment) or other recovery
      of principal on a Mortgage Loan that is recognized as having been received
      or
      recovered in advance of its scheduled Due Date and applied to reduce the
      principal balance of the Mortgage Loan in accordance with the terms of the
      Mortgage Note or the related Servicing Agreement.

     

    Principal
      Remittance Amount:
      With
      respect to any Distribution Date and each Mortgage Pool, (a) the sum of (i)
      all
      principal collected (other than in connection with Payaheads and Prepayment
      Premiums) or advanced in respect of Scheduled Payments on the Mortgage Loans
      in
      such Mortgage Pool during the related Collection Period whether by the
      applicable Servicer, the Master Servicer or the Trustee (solely in its capacity
      as successor master servicer) (less unreimbursed Advances due to the Master
      Servicer, any Servicer, or the Trustee, in its capacity as successor master
      servicer, with respect to the related Mortgage Loans) to the extent allocable
      to
      principal, (ii) all Principal Prepayments in full or in part received during
      the
      related Prepayment Period with respect to the Mortgage Loans in such Mortgage
      Pool (or in the case of Mortgage Loans serviced by Aurora, the related
      Collection Period), (iii) the outstanding principal balance of each Mortgage
      Loan (excluding any FPD Premium) in such Mortgage Pool that was purchased from
      the Trust Fund by the Seller or the related Transferor during the related
      Prepayment Period (or in the case of Mortgage Loans serviced by Aurora, the
      related Collection Period), or the NIMS Insurer (in the case of certain Mortgage
      Loans 90 days or more delinquent) from such Mortgage Pool, (iv) the portion
      of
      the Purchase Price (or FPD Purchase Price (excluding any FPD Premium) payable
      with respect to a First Payment Default Mortgage Loan) or the portion of any
      Substitution Amount paid with respect to any Deleted Mortgage Loan in such
      Mortgage Pool during the related Prepayment Period (or in the case of Mortgage
      Loans serviced by Aurora, the related Collection Period) allocable to principal,
      and (v) all Net Liquidation Proceeds, Insurance Proceeds, any Subsequent
      Recovery and other recoveries collected with respect to the Mortgage Loans
      in
      such Mortgage Pool during the related Prepayment Period (or in the case of
      Mortgage Loans serviced by Aurora, the related Collection Period), to the extent
      allocable to principal, as reduced by (b) to the extent not reimbursed from
      the
      Interest Remittance Amount, other costs, expenses or liabilities reimbursable
      to
      the Trustee, the Master Servicer and each Servicer to the extent provided in
      this Agreement and each Servicing Agreement, and to the Custodian pursuant
      to
      the Custodial Agreement; provided,
      however,
      in the
      case of the Trustee such reimbursement may not exceed the Applicable Maximum
      Reimbursement Amount. In the event the Trustee incurs reimbursable amounts
      in
      excess of the Applicable Maximum Reimbursement Amount, it may seek reimbursement
      for such amounts in subsequent Anniversary Years, but in no event shall more
      than the Applicable Maximum Reimbursement Amount be reimbursed to the Trustee
      per Anniversary Year. Notwithstanding the foregoing, costs and expenses incurred
      by the Trustee pursuant to Section 6.14(a) in connection with any transfer
      of
      servicing shall be excluded in determining the Applicable Maximum Reimbursement
      Amount limitation on reimbursable amounts per Anniversary Year. Notwithstanding
      the foregoing, costs and expenses incurred by the Trustee pursuant to Section
      6.14(a) in connection with any transfer of servicing shall be excluded in
      determining the Applicable Maximum Reimbursement Amount limitation on
      reimbursable amounts per Anniversary Year. For the avoidance of doubt, (i)
      the
      Principal Remittance Amount available on each Swap Payment Date for
      distributions to the Group 1 Swap Account or the Group 2 Swap Account, as
      applicable, shall be equal to the Principal Remittance Amount on the related
      Distribution Date for the applicable Mortgage Pool and (ii) the Principal
      Remittance Amount for each Distribution Date shall be calculated without regard
      to any distributions to the Group 1 Swap Account or the Group 2 Swap Account,
      as
      applicable, on the related Swap Payment Date.

     

    

    
      
        
          
          

        

        
          104

          
            

          

        

        
          
          

        

      

    

    

    

     

    Proceeding:
      Any
      suit in equity, action at law or other judicial or administrative
      proceeding.

     

    Proprietary
      Lease:
      With
      respect to any Cooperative Unit, a lease or occupancy agreement between a
      Cooperative Corporation and a holder of related Cooperative Shares.

     

    Prospectus:
      The
      prospectus supplement dated February 27, 2007 together with the accompanying
      prospectus dated February 20, 2007, relating to the Offered
      Certificates.

     

    Purchase
      Price:
      With
      respect to the purchase of a Mortgage Loan or related REO Property pursuant
      to
      Section 2.05 of this Agreement, an amount equal to the sum of (a) 100% of the
      unpaid principal balance of such Mortgage Loan, (b) accrued interest thereon
      at
      the applicable Mortgage Rate, from the date as to which interest was last paid
      to (but not including) the Due Date in the Collection Period immediately
      preceding the related Distribution Date; (c) the amount of any unreimbursed
      Servicing Advances with respect to such Mortgage Loan; (d) any costs and damages
      incurred by the Trust Fund with respect to such Mortgage Loan in connection
      with
      any violation of any federal, state or local predatory or abusive lending laws
      or other similar laws arising from or in connection with the origination of
      such
      Mortgage Loan; and (e) the fair market value of all other property being
      purchased (reduced, in the case of REO Property, by (1) reasonably
      anticipated disposition costs and (2) any amount by which the fair market value
      as so reduced exceeds the outstanding principal balance of the related Mortgage
      Loan). The Master Servicer, each Servicer (or the Trustee, in its capacity
      as
      successor master servicer, if applicable) and each Custodian shall be reimbursed
      from the Purchase Price for any Mortgage Loan or related REO Property for any
      Advances made or other amounts advanced with respect to such Mortgage Loan
      or
      related REO Property that are reimbursable to the Master Servicer or such
      Servicer under this Agreement, the related Servicing Agreement (or to the
      Trustee hereunder in its capacity as successor master servicer) or the related
      Custodial Agreement, together with any accrued and unpaid compensation due
      to
      the Master Servicer, any Servicer, each Custodian or the Trustee hereunder
      or
      thereunder.

     

    QIB:
      As
      defined in Section 3.03(c).

     

    Qualified
      GIC:
      A
      guaranteed investment contract or surety bond providing for the investment
      of
      funds in the Collection Account or the Certificate Account and insuring a
      minimum, fixed or floating rate of return on investments of such funds, which
      contract or surety bond shall:

     

    

    
      
        
          
          

        

        
          105

          
            

          

        

        
          
          

        

      

    

    

    

     

    (i) be
      an
      obligation of an insurance company or other corporation whose long-term debt
      is
      rated by each Rating Agency in one of its two highest rating categories or,
      if
      such insurance company has no long-term debt, whose claims paying ability is
      rated by each Rating Agency in one of its two highest rating categories, and
      whose short-term debt is rated by each Rating Agency in its highest rating
      category;

     

    (ii) provide
      that the Trustee may exercise all of the rights under such contract or surety
      bond without the necessity of taking any action by any other
      Person;

     

    (iii) provide
      that if at any time the then current credit standing of the obligor under such
      guaranteed investment contract is such that continued investment pursuant to
      such contract of funds would result in a downgrading of any rating of the
      Certificates or the NIM Securities, the Trustee shall terminate such contract
      without penalty and be entitled to the return of all funds previously invested
      thereunder, together with accrued interest thereon at the interest rate provided
      under such contract to the date of delivery of such funds to the
      Trustee;

     

    (iv) provide
      that the Trustee’s interest therein shall be transferable to any successor
      trustee hereunder; and

     

    (v) provide
      that the funds reinvested thereunder and accrued interest thereon be returnable
      to the Collection Account or the Certificate Account, as the case may be, not
      later than the Business Day prior to any Distribution Date.

     

    Qualified
      Insurer:
      An
      insurance company duly qualified as such under the laws of the states in which
      the related Mortgaged Properties are located, duly authorized and licensed
      in
      such states to transact the applicable insurance business related to this
      transaction and to write the insurance provided in connection therewith and
      whose claims paying ability is rated by each Rating Agency in its highest rating
      category or whose selection as an insurer will not adversely affect the ratings
      of the Certificates.

     

    

    
      
        
          
          

        

        
          106

          
            

          

        

        
          
          

        

      

    

    

    

     

    Qualifying
      Substitute Mortgage Loan:
      In the
      case of a Mortgage Loan substituted for a Deleted Mortgage Loan pursuant to
      the
      terms of this Agreement, a Mortgage Loan that, on the date of such substitution,
      (i) has an outstanding Scheduled Principal Balance (or in the case of a
      substitution of more than one mortgage loan for a Deleted Mortgage Loan, an
      aggregate Scheduled Principal Balance), after application of all Scheduled
      Payments due during or prior to the month of substitution, not in excess of,
      and
      not more than 5% less than, the outstanding Scheduled Principal Balance of
      the
      Deleted Mortgage Loan as of the Due Date in the calendar month during which
      the
      substitution occurs, (ii) has a Mortgage Rate not less than the Mortgage Rate
      on
      the Deleted Mortgage Loan, (iii) if applicable, has a maximum Mortgage Rate
      not
      less than the maximum Mortgage Rate on the Deleted Mortgage Loan, (iv) if
      applicable, has a minimum Mortgage Rate not less than the minimum Mortgage
      Rate
      of the Deleted Mortgage Loan, (v) if applicable, has a gross margin equal to
      or
      greater than the gross margin of the Deleted Mortgage Loan, (vi) is not a
      Cooperative Loan unless the related Deleted Mortgage Loan was a Cooperative
      Loan, (vii) if applicable, has a next adjustment date not later than the next
      adjustment date on the Deleted Mortgage Loan, (viii) has the same Due Date
      as
      the Deleted Mortgage Loan, (ix) has a remaining stated term to maturity not
      longer than 18 months and not more than 18 months shorter than the remaining
      stated term to maturity of the related Deleted Mortgage Loan; provided,
      that
      in
      no case should such substitute Mortgage Loan have a maturity date later than
      the
      Final Scheduled Distribution Date; (x) is current as of the date of
      substitution, (xi) has a Loan-to-Value Ratio as of the date of substitution
      equal to or lower than the Loan-to-Value Ratio of the Deleted Mortgage Loan
      as
      of such date, (xii) has been underwritten by the Transferor in accordance with
      the same underwriting criteria and guidelines as the Deleted Mortgage Loan,
      (xiii) has a risk grading determined by the Seller at least equal to the risk
      grading assigned on the Deleted Mortgage Loan, (xiv) is secured by the same
      property type as the Deleted Mortgage Loan, (xv) conforms to each representation
      and warranty applicable to the Deleted Mortgage Loan made in the related
      Mortgage Loan Sale Agreement, (xvi) has the same or higher lien position as
      the
      Deleted Mortgage Loan, (xvii) is covered by a Primary Mortgage Insurance Policy
      if the Deleted Mortgage Loan was so covered, (xviii) contains provisions
      covering the payment of Prepayment Premium by the Mortgagor for early prepayment
      of the Mortgage Loan at least as favorable as the Deleted Mortgage Loan and
      (xix) for any Mortgage Loan to be substituted into Pool 1, has an original
      Scheduled Principal Balance within the maximum dollar amount limitations
      prescribed by Fannie Mae for conforming one-to-four family first and second
      lien
      residential mortgaged properties. In the event that one or more mortgage loans
      are substituted for one or more Deleted Mortgage Loans, the amounts described
      in
      clause (i) hereof shall be determined on the basis of aggregate Scheduled
      Principal Balances, the Mortgage Rates described in clause (ii) hereof shall
      be
      determined on the basis of weighted average Mortgage Rates, the risk gradings
      described in clause (xiii) hereof shall be satisfied as to each such mortgage
      loan, the terms described in clause (ix) hereof shall be determined on the
      basis
      of weighted average remaining term to maturity; provided,
      that
      the
      stated maturity date of any Qualifying Substitute Mortgage Loan shall not be
      later than the Final Scheduled Distribution Date, the Loan-to-Value Ratios
      described in clause (xi) hereof shall be satisfied as to each such mortgage
      loan
      and, except to the extent otherwise provided in this sentence, the
      representations and warranties described in clause (xv) hereof must be satisfied
      as to each Qualifying Substitute Mortgage Loan or in the aggregate, as the
      case
      may be.

     

    Rating
      Agency:
      Each of
      Moody’s, Fitch and S&P.

     

    Realized
      Loss:
      With
      respect to each Liquidated Mortgage Loan, an amount equal to (i) the unpaid
      principal balance of such Mortgage Loan as of the date of liquidation, minus
      (ii) Liquidation Proceeds received, to the extent allocable to principal, net
      of
      amounts that are reimbursable therefrom to the Master Servicer or any Servicer
      with respect to such Mortgage Loan (other than Advances of principal) including
      expenses of liquidation. In determining whether a Realized Loss is a Realized
      Loss of principal, Liquidation Proceeds shall be allocated, first, to payment
      of
      expenses related to such Liquidated Mortgage Loan, then to accrued unpaid
      interest and finally to reduce the principal balance of the Mortgage
      Loan.

     

    Recognition
      Agreement:
      With
      respect to any Cooperative Loan, an agreement between the related Cooperative
      Corporation and the originator of such Mortgage Loan to establish the rights
      of
      such originator in the related Cooperative Property.

     

    

    
      
        
          
          

        

        
          107

          
            

          

        

        
          
          

        

      

    

    

    

     

    Record
      Date:
      With
      respect to the LIBOR Certificates (other than the Class 1B-A2 Certificates)
      and
      any Distribution Date, the close of business on the Business Day immediately
      preceding such Distribution Date. With respect to the Class 1B-A2 Certificates,
      the Group 3 Certificates, the Group 4 Subordinate Certificates and the Class
      1-P, Class 2-P, Class 1-X, Class 2-X, Class 3-X, Class 4-X, Class 1-LT-R, Class
      2-LT-R, Class 3-LT-R, Class 4-LT-R, Class 1-R, Class 2-R, Class 3-R, Class
      4-R
      Certificates and any Class of Definitive Certificates and any Distribution
      Date,
      the last Business Day of the month immediately preceding the month in which
      the
      Distribution Date occurs (or, in the case of the first Distribution Date, the
      Closing Date).

     

    Regulation
      AB:
      Subpart
      229.1100 - Asset Backed Securities (Regulation AB), 17 C.F.R.
§§229.1100-229.1123, as such may be amended from time to time, and subject to
      such clarification and interpretation as have been provided by the Commission
      in
      the adopting release (Asset-Backed Securities, Securities Act Release No.
      33-8518, 70 Fed. Reg. 1,506, 1,531 (Jan. 7, 2005)) or by the staff of the
      Commission, or as may be provided by the Commission or its staff from time
      to
      time.

     

    Regulation
      S:
      Not
      applicable.

     

    Regulation
      S Global Security:
      Not
      applicable.

     

    Related
      Senior Principal Distribution Amount:
      For
      each of Pool 1A and Pool 1B for any Distribution Date will be equal to the
      lesser of (x) the sum of the Class Principal Amounts of the Group 1A Senior
      Certificates (with respect to Pool 1A) and the Group 1B Senior Certificates
      (with respect to Pool 1B) and (y) the product of (a) the Pool 1A-1B Senior
      Principal Distribution Amount and (b) the related Senior Proportionate
      Percentage in each case for such date. For each of Pool 3A and Pool 3B for
      any
      Distribution Date will be equal to the lesser of (x) the sum of the Class
      Principal Amounts of the Group 3A Senior Certificates (with respect to Pool
      3A)
      and the Group 3B Senior Certificates (with respect to Pool 3B) and (y) the
      product of (a) the Pool 3A-3B Senior Principal Distribution Amount and (b)
      the
      related Senior Proportionate Percentage in each case for such date. For each
      of
      Pool 4A and Pool 4B for any Distribution Date will be equal to the lesser of
      (x)
      the sum of the Class Principal Amounts of the Group 4A Senior Certificates
      (with
      respect to Pool 4A) and the Group 4B Senior Certificates (with respect to Pool
      4B) and (y) the product of (a) the Pool 4A-4B Senior Principal Distribution
      Amount and (b) the related Senior Proportionate Percentage in each case for
      such
      date.

     

    Relevant
      Servicing Criteria:
      The
      Servicing Criteria applicable to each party, as set forth on Exhibit O attached
      hereto. Multiple parties can have responsibility for the same Relevant Servicing
      Criteria. With respect to a Servicing Function Participant engaged by the Master
      Servicer, the Trustee, the Paying Agent, each Custodian or each Servicer, the
      term “Relevant Servicing Criteria” may refer to a portion of the Relevant
      Servicing Criteria applicable to such parties. 

     

    Relief
      Act:
      The
      Servicemembers Civil Relief Act, as amended, and any similar state law or
      regulation.

     

    Relief
      Act Reduction:
      With
      respect to any Mortgage Loan as to which there has been a reduction in the
      amount of interest collectible thereon as a result of application of the Relief
      Act, any amount by which interest collectible on such Mortgage Loan for the
      Due
      Date in the related Collection Period is less than interest accrued thereon
      for
      the applicable one-month period at the Mortgage Rate without giving effect
      to
      such reduction.

     

    

    
      
        
          
          

        

        
          108

          
            

          

        

        
          
          

        

      

    

    

    

     

    REMIC:
      Each
      pool of assets in the Trust Fund designated as a REMIC pursuant to the
      Preliminary Statement.

     

    REMIC
      Provisions:
      The
      provisions of the federal income tax law relating to real estate mortgage
      investment conduits, which appear at sections 860A through 860G of Subchapter
      M
      of Chapter 1 of the Code, and related provisions, and regulations, including
      proposed regulations and rulings, and administrative pronouncements promulgated
      thereunder, as the foregoing may be in effect from time to time.

     

    
      REMIC
        Swap Rate:
        For
        each Distribution Date (and the related Accrual Period) and Pool 1, a per
        annum
        rate equal to the product of: (i) the “Rate of Payment (%)” under the Group 1
        Swap Agreement for such Distribution Date, as set forth in Annex C to the
        Prospectus Supplement, (ii) 2, and (iii) the quotient of (a) the actual number
        of days in the related Accrual Period divided by (b) 30. For each Distribution
        Date (and the related Accrual Period) and Pool 2, a per annum rate equal to
        the product of: (i) the “Rate of Payment (%)” under the Group 2 Swap Agreement
        for such Distribution Date, as set forth in Annex E to the Prospectus
        Supplement, (ii) 2, and (iii) the quotient of (a) the actual number of days
        in
        the related Accrual Period divided by (b) 30.

    

     

    REO
      Property:
      A
      Mortgaged Property acquired by the Trust Fund through foreclosure or
      deed-in-lieu of foreclosure in connection with a defaulted Mortgage Loan or
      otherwise treated as having been acquired pursuant to the REMIC
      Provisions.

     

    Reportable
      Event:
      As
      defined in Section 6.20(f)(i).

     

    Reporting
      Servicer:
      As
      defined in Section 6.20(e)(i).

     

    Residual
      Certificates:
      The
      Class 1-LT-R Certificates, Class 2-LT-R Certificates, Class 3-LT-R Certificates,
      Class 4-LT-R Certificates, the Class 1-R Certificates, Class 2-R Certificates,
      Class 3-R Certificates and the Class 4-R Certificates.

     

    Responsible
      Officer:
      When
      used with respect to the Trustee (including in its capacity as Paying Agent),
      any vice president, assistant vice president, the secretary, any assistant
      secretary, or any officer, working in its Corporate Trust Office, or corporate
      trust group, as applicable, and having responsibility for the administration
      of
      this Agreement, and any other officer to whom a matter arising under this
      Agreement may be referred.

     

    Restricted
      Certificate:
      Any
      Class 1-P, Class 2-P, Class 1-X, Class 2-X, Class 3-X, Class 4-X, Class 1-LT-R,
      Class 2-LT-R, Class 3-LT-R, Class 4-LT-R, Class 1-R, Class 2-R, Class 3-R or
      Class 4-R Certificate.

     

    Restricted
      Global Security:
      Not
      Applicable.

     

    Rules:
      As
      defined in Section 6.20(c).

     

    S&P:
      Standard & Poor’s Ratings Services, a division of The McGraw-Hill Companies,
      Inc., or any successor in interest.

     

    

    
      
        
          
          

        

        
          109

          
            

          

        

        
          
          

        

      

    

    

    

     

    Scheduled
      Notional Amount:
      For
      each Distribution Date and the Group 1 Swap Agreement, the amount set forth
      in
      Exhibit N-1. The initial Scheduled Notional Amount with respect to the Group
      1
      Swap Agreement shall be $271,466,364. For each Distribution Date and the Group
      1
      Cap Agreement, the lesser of (i) the aggregate Class Principal Amount of the
      Group 1 Certificates (other than the Class 1B-A2 Certificates) and (ii) the
      amount set forth in Exhibit N-2 for the related Distribution Date. The initial
      Scheduled Notional Amount for the Group 1 Cap Agreement shall be the lesser
      of
      (i) the aggregate Class Principal Amount of the Group 1 Certificates (other
      than
      the Class 1B-A2 Certificates) and (ii) $3,805,558. For each Distribution Date
      and the Group 2 Swap Agreement, the amount set forth in Exhibit N-3. The initial
      Scheduled Notional Amount with respect to the Group 2 Swap Agreement shall
      be
      $391,840,802. For each Distribution Date and the Group 2 Cap Agreement, the
      lesser of (i) the aggregate Class Principal Amount of the Group 2 Certificates
      and (ii) the amount set forth in Exhibit N-4 for the related Distribution Date.
      The initial Scheduled Notional Amount for the Group 2 Cap Agreement shall be
      the
      lesser of (i) the aggregate Class Principal Amount of the Group 2 Certificates
      and (ii) $20,236,853.

     

    Scheduled
      Payment:
      Each
      scheduled payment of principal and interest (or of interest only, if applicable)
      to be paid by the Mortgagor on a Mortgage Loan, as reduced (except where
      otherwise specified herein) by the amount of any related Debt Service Reduction
      or as a result of any related Deficient Valuation (in each case, excluding
      all
      amounts of principal and interest that were due on or before the Cut-off Date
      whenever received) and, in the case of an REO Property, an amount equivalent
      to
      the Scheduled Payment that would have been due on the related Mortgage Loan
      if
      such Mortgage Loan had remained in existence.

     

    Scheduled
      Principal Balance:
      With
      respect to (i) any Mortgage Loan as of any Distribution Date, the principal
      balance of such Mortgage Loan at the close of business on the Cut-off Date
      after
      giving effect to principal payments due on or before the Cut-off Date, whether
      or not received, less an amount equal to principal payments due after the
      Cut-off Date, and on or before the Due Date in the related Collection Period,
      whether or not received from the Mortgagor or advanced by any Servicer or the
      Master Servicer, and all amounts received thereon which are allocable to
      unscheduled principal payments (including Principal Prepayments, Liquidation
      Proceeds, Insurance Proceeds and condemnation proceeds, in each case to the
      extent identified and applied prior to or during the related Prepayment Period)
      and (ii) any REO Property as of any Distribution Date, the Scheduled Principal
      Balance of the related Mortgage Loan on the Due Date immediately preceding
      the
      date of acquisition of such REO Property by or on behalf of the Trustee (reduced
      by any amount applied as a reduction of principal on the Mortgage Loan). With
      respect to any Mortgage Loan and the Cut-off Date, as specified in the Mortgage
      Loan Schedule. The Scheduled Principal Balance of a Liquidated Mortgage Loan
      shall be zero.

     

    Section
      7.01(d) Purchase Event:
      Any of
      (i) the purchase of all the Pooling REMIC 1 Regular Interests, (ii) the purchase
      of all the Pooling REMIC 2 Regular Interests, (iii) the purchase of all the
      Pooling REMIC 3 Regular Interests, (iv) the purchase of all the Pooling REMIC
      4
      Regular Interests or (v) the purchase of the Pooling REMIC 1 Regular Interests,
      the Pooling REMIC 2 Regular Interests, the Pooling REMIC 3 Regular Interests
      and
      the Pooling REMIC 4 Regular Interests.

     

    Securities
      Act:
      The
      Securities Act of 1933, as amended.

     

    Security
      Agreement:
      With
      respect to any Cooperative Loan, the agreement between the owner of the related
      Cooperative Shares and the originator of the related Mortgage Note that defines
      the terms of the security interest in such Cooperative Shares and the related
      Proprietary Lease.

     

    

    
      
        
          
          

        

        
          110

          
            

          

        

        
          
          

        

      

    

    

    

     

    Seller:
      Lehman
      Brothers Holdings Inc. or any successor in interest thereto.

     

    Seller
      Remittance Amount:
      With
      respect to each Servicer, the meaning assigned to such term in the related
      Servicing Agreement.

     

    Senior
      Certificates:
      Collectively, the Group 1A Senior Certificates, the Group 1B Senior
      Certificates, the Group 2 Senior Certificates, the Group 3A Senior Certificates,
      the Group 3B Senior Certificates, the Group 4A Senior Certificates and the
      Group
      4B Senior Certificates.

     

    Senior
      Proportionate Percentage:
      For
      Pool 1A with respect to any Distribution Date a fraction, expressed as a
      percentage, the numerator of which is the Principal Remittance Amount for Pool
      1A for such Distribution Date and the denominator of which is the aggregate
      of
      the Principal Remittance Amounts for Pool 1A and Pool 1B for such date. For
      Pool
      1B with respect to any Distribution Date a fraction, expressed as a percentage,
      the numerator of which is the Principal Remittance Amount for Pool 1B for such
      Distribution Date and the denominator of which is the aggregate of the Principal
      Remittance Amounts for Pool 1A and Pool 1B for such date. For Pool 3A with
      respect to any Distribution Date a fraction, expressed as a percentage, the
      numerator of which is the Principal Remittance Amount for Pool 3A for such
      Distribution Date and the denominator of which is the aggregate of the Principal
      Remittance Amounts for Pool 3A and Pool 3B for such date. For Pool 3B with
      respect to any Distribution Date a fraction, expressed as a percentage, the
      numerator of which is the Principal Remittance Amount for Pool 3B for such
      Distribution Date and the denominator of which is the aggregate of the Principal
      Remittance Amounts for Pool 3A and Pool 3B for such date. For Pool 4A with
      respect to any Distribution Date a fraction, expressed as a percentage, the
      numerator of which is the Principal Remittance Amount for Pool 4A for such
      Distribution Date and the denominator of which is the aggregate of the Principal
      Remittance Amounts for Pool 4A and Pool 4B for such date. For Pool 4B with
      respect to any Distribution Date a fraction, expressed as a percentage, the
      numerator of which is the Principal Remittance Amount for Pool 4B for such
      Distribution Date and the denominator of which is the aggregate of the Principal
      Remittance Amounts for Pool 4A and Pool 4B for such date.

     

    Servicer:
      Any
      Servicer that has entered into any of the Servicing Agreements listed on Exhibit
      E hereto, or any successor in interest.

     

    Service(s)(ing):
      In
      accordance with Regulation AB, the act of managing or collecting payments on
      the
      Mortgage Loans or any other assets of the Trust Fund by an entity that meets
      the
      definition of “servicer’ set forth in Item 1101 of Regulation AB. For
      clarification purposes, any uncapitalized occurrence of this term shall have
      the
      meaning commonly understood by participants in the residential mortgage-backed
      securitization market.

     

    Servicer
      Remittance Date:
      The day
      in each calendar month on which each Servicer is required to remit payments
      to
      the Collection Account, as specified in the related Servicing Agreement, which
      is the 18th
      day of
      each calendar month (or, if such 18th
      day is
      not a Business Day, the next succeeding Business Day).

     

    

    
      
        
          
          

        

        
          111

          
            

          

        

        
          
          

        

      

    

    

    

     

    Servicing
      Advances:
      Expenditures incurred by the related Servicer in connection with the liquidation
      or foreclosure of a Mortgage Loan which are eligible for reimbursement under
      the
      Servicing Agreement.

     

    Servicing
      Agreement:
      Each
      servicing agreement or reconstituted servicing agreement identified on Exhibit
      E
      hereto, dated as of February 1, 2007, among the Seller, the Master Servicer
      and
      one of the above named Servicers, and any other servicing agreement entered
      into
      between a successor servicer and the Seller pursuant to the terms of this
      Agreement.

     

    Servicing
      Criteria:
      The
      criteria set forth in paragraph (d) of Item 1122 of Regulation AB, as such
      may
      be amended from time to time.

     

    Servicing
      Fee:
      As to
      any Distribution Date and each Mortgage Loan, an amount equal to the product
      of
      (a) one-twelfth of the Servicing Fee Rate and (b) the Scheduled Principal
      Balance of such Mortgage Loan as of the first day of the related Collection
      Period.

     

    Servicing
      Fee Rate:
      With
      respect to each Mortgage Loan, the rate specified in the related Servicing
      Agreement.

     

    Servicing
      Function Participant:
      Any
      Subservicer, Subcontractor or any other Person, other than each Servicer, each
      Custodian, the Master Servicer, the Paying Agent and the Trustee, that is
      participating in the servicing function within the meaning of Regulation AB,
      unless such Person’s activities relate only to 5% or less of the Mortgage
      Loans.

     

    Servicing
      Officer:
      Any
      officer of the related Servicer involved in or responsible for, the
      administration and servicing of the Mortgage Loans whose name appears on a
      list
      of servicing officers furnished by the related Servicer to the Master Servicer
      or Seller upon request, as such list may from time to time be
      amended.

     

    Six-Month
      LIBOR:
      The
      average of the interbank offered rates for six-month U.S. dollar deposits in
      the
      London market, calculated as provided in the related mortgage note.

     

    Sponsor:
      Lehman
      Brothers Holdings Inc.

     

    Startup
      Day:
      The day
      designated as such pursuant to Section 10.01(b) hereof.

     

    Subcontractor:
      Any
      vendor, subcontractor or other Person that is not responsible for the overall
      servicing (as “servicing” is commonly understood by participants in the
      mortgage-backed securities market) of the Mortgage Loans but performs one or
      more discrete material servicing functions required to be performed under this
      Agreement, any Servicing Agreement or any subservicing agreement, as identified
      in Item 1122(d) of Regulation AB with respect to the Mortgage Loans under the
      direction or authority of a Servicer, the Master Servicer, the Paying Agent,
      the
      Trustee or a Custodian.

     

    Subsequent
      Recovery:
      Any
      amount recovered by a Servicer or the Master Servicer with respect to a
      Liquidated Mortgage Loan with respect to which a Realized Loss was incurred
      after the liquidation or disposition of such Mortgage Loan.

     

    

    
      
        
          
          

        

        
          112

          
            

          

        

        
          
          

        

      

    

     

    Subservicer:
      Any
      Person that (i) is considered to be a Servicing Function Participant, (ii)
      services Mortgage Loans on behalf of any Servicer or Additional Servicer, and
      (iii) is responsible for the performance (whether directly or through
      subservicers or Subcontractors) of Servicing functions required to be performed
      under this Agreement, any related Servicing Agreement or any subservicing
      agreement that are identified in Item 1122(d) of Regulation AB.

     

    Substitution
      Amount:
      The
      amount, if any, by which the Scheduled Principal Balance of a Deleted Mortgage
      Loan exceeds the Scheduled Principal Balance of the related Qualifying
      Substitute Mortgage Loan, or aggregate Scheduled Principal Balance, if
      applicable, plus unpaid interest thereon, and any related unpaid Advances or
      Servicing Advances or unpaid Servicing Fees, plus any costs and damages incurred
      by the Trust Fund associated with violation of any federal, state or local
      predatory or abusive lending laws in connection with the origination of such
      Deleted Mortgage Loan.

     

    
      Supplemental
        Interest Trust:
        The
        corpus of a trust created pursuant to Section 5.07 of this Agreement and
        designated as the “Supplemental Interest Trust,” consisting of the Group 1 Swap
        Agreement, the Group 1 Swap Account, Group 2 Swap Agreement, the Group 2
        Swap
        Account, the Group 1 Cap Agreement, the Group 1 Cap Account, the Group 2
        Cap
        Agreement, the Group 2 Cap Account, the Group 1 Collateral Account, the Group
        2
        Collateral Account, the right to receive the Class 1-X Distributable Amount
        to
        the extent provided in Section 5A.02(e)(viii), the right to receive the Class
        2-X Distributable Amount to the extent provided in Section 5B.02(d)(viii),
        the
        Class I interest in the Upper-Tier REMIC 1 and the right to receive Class
        I
        Shortfalls with respect to the Certificates related to Pool 1, the Class
        I
        interest in the Upper-Tier REMIC 2 and the right to receive Class I Shortfalls
        with respect to the Certificates related to Pool 2.

    

     

    Swap
      Agreement:
      Either
      the Group 1 Swap Agreement or the Group 2 Swap Agreement, as
      applicable.

     

    Swap
      Counterparty:
      The
      counterparty to the Supplemental Interest Trust under the Group 1 Swap Agreement
      and the Group 2 Swap Agreement, and any successor in interest or assigns.
      Initially, the Swap Counterparty shall be ABN AMRO Bank, N.V.

     

    Swap
      Counterparty Trigger Event:
      A Swap
      Counterparty Trigger Event shall have occurred if any of a Swap Default with
      respect to which the Swap Counterparty is a Defaulting Party, a Termination
      Event (other than a Termination Event of Illegality or Tax Event) with respect
      to which the Swap Counterparty is the sole Affected Party or an Additional
      Termination Event with respect to which the Swap Counterparty is the sole
      Affected Party has occurred.

     

    Swap
      Default:
      Any of
      the circumstances constituting an “Event of Default” under the applicable Swap
      Agreement.

     

    
      Swap
        LIBOR:
        With
        respect to either Swap Agreement, any Distribution Date and the related Swap
        Payment Date (and the Accrual Period relating to such Distribution Date),
        the
        product of (i) the Floating Rate Option (as defined in such Swap Agreement)
        for
        the related Swap Payment Date as calculated by the related Swap Counterparty
        and
        furnished to the Trustee, (ii) two, and (iii) the quotient of (a) the actual
        number of days in the Accrual Period for the LIBOR Certificates and (b)
        30.

    
      
        
          
          

        

        
          113

          
            

          

        

        
          
          

        

      

    

    

    

     

    Swap
      Payment Date:
      For so
      long as a Swap Agreement is in effect or any amounts remain unpaid thereunder,
      the Business Day prior to each Distribution Date.

     

    Swap
      Termination Payment:
      Upon
      the designation of an “Early Termination Date” as defined in each Swap
      Agreement, the payment required to be made by the Supplemental Interest Trust
      to
      the Swap Counterparty, or by the Swap Counterparty to the Supplemental Interest
      Trust, as applicable, pursuant to the terms of the applicable Swap Agreement,
      and any unpaid amounts due on previous Swap Payment Dates and accrued interest
      thereon as provided in the applicable Swap Agreement, as calculated by the
      Swap
      Counterparty and furnished to the Trustee.

     

    Tax
      Matters Person:
      The
“tax matters person” as specified in the REMIC Provisions.

     

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

     

    Termination
      Event:
      As
      defined in the Swap Agreement.

     

    Termination
      Price:
      As
      defined in Section 7.01.

     

    Title
      Insurance Policy:
      A title
      insurance policy maintained with respect to a Mortgage Loan.

     

    Total
      Distribution Amount:
      With
      respect to any Distribution Date and Pool 1A and Pool 1B, the sum of (i) the
      Interest Remittance Amount for Pool 1A and Pool 1B for such date, (ii) the
      Principal Remittance Amount for Pool 1A and Pool 1B for such date, and (iii)
      the
      Prepayment Premiums with respect to Pool 1A and Pool 1B. With respect to any
      Distribution Date and Pool 2, the sum of (i) the Interest Remittance Amount
      for
      Pool 2 for such date, (ii) the Principal Remittance Amount for Pool 2 for such
      date and (iii) the Prepayment Premiums with respect to Pool 2. With respect
      to
      any Distribution Date and Pool 3A and Pool 3B, the sum of (i) the Interest
      Remittance Amount for Pool 3A and Pool 3B for such date and (ii) the Principal
      Remittance Amount for Pool 3A and Pool 3B for such date. With respect to any
      Distribution Date and Pool 4A and Pool 4B, the sum of (i) the Interest
      Remittance Amount for Pool 4A and Pool 4B for such date and (ii) the Principal
      Remittance Amount for Pool 4A and Pool 4B for such date. 

     

    Transfer
      Agreements:
      As
      defined in the Mortgage Loan Sale Agreement.

     

    Transferor:
      Each
      seller of Mortgage Loans to the Seller pursuant to the Transfer
      Agreements.

     

    Trust
      Fund:
      The
      corpus of the Lehman XS Trust 2007-3 created pursuant to this Agreement,
      consisting of the Mortgage Loans, the assignment of the Depositor’s rights under
      the Transfer Agreements, the Mortgage Loan Sale Agreement and each Servicing
      Agreement, such amounts as shall from time to time be held in the Pool 1A-1B
      Basis Risk Reserve Fund, the Pool 2 Basis Risk Reserve Fund and the Pool 3A-3B
      Basis Risk Reserve Fund, the Collection Account, Certificate Account, any
      Custodial Account and any Escrow Account, the Insurance Policies (or coverage
      thereunder), any REO Property and the other items referred to in, and conveyed
      to the Trustee under, Section 2.01(a).

     

    

    
      
        
          
          

        

        
          114

          
            

          

        

        
          
          

        

      

    

    

    

     

    Trust
      Fund Termination Event:
      The
      later to occur of the Pool 1A-1B Termination Event, Pool 2 Termination Event,
      Pool 3A-3B Termination Event or Pool 4A-4B Termination Event.

     

    Trustee:
      LaSalle
      Bank National Association, a national banking association, not in its individual
      capacity, but solely in its capacity as trustee for the benefit of the
      Certificateholders under this Agreement or solely in its capacity as trustee
      of
      the Supplemental Interest Trust, as applicable, and any successor thereto,
      and
      any corporation or national banking association resulting from or surviving
      any
      consolidation or merger to which it or its successors may be a party and any
      successor trustee as may from time to time be serving as successor trustee
      hereunder.

     

    Trustee
      Fee:
      As to
      any Distribution Date, any investment earnings from amounts on deposit in the
      Certificate Account.

     

    UCC
      or
      Uniform Commercial Code:
      The
      Uniform Commercial Code as in effect in any applicable jurisdiction from time
      to
      time.

     

    Underwriter:
      Lehman
      Brothers Inc.

     

    Underwriter’s
      Exemption:
      Prohibited Transaction Exemption 2002-41, 67 Fed. Reg. 54487 (2002), as amended
      (or any successor thereto), or any substantially similar administrative
      exemption granted by the U.S. Department of Labor.

     

    Unpaid
      Basis Risk Shortfall:
      With
      respect to any Distribution Date and any Class of Group 1 Certificates, Group
      2
      Certificates and Group 3 Certificates, the aggregate of all Basis Risk
      Shortfalls with respect to such Certificates remaining unpaid from previous
      Distribution Dates, plus interest accrued thereon at the applicable Certificate
      Interest Rate, (calculated without giving effect to the applicable Net Funds
      Cap) but limited to a rate no greater than the applicable Maximum Interest
      Rate.

     

    Voting
      Interests:
      The
      portion of the voting rights of all the Certificates that is allocated to any
      Certificate for purposes of the voting provisions of this Agreement. At all
      times during the term of this Agreement, 90% of all Voting Interests shall
      be
      allocated to the Offered Certificates. Such Voting Interests shall be allocated
      among the Offered Certificates (other than the Class 4A-AIO and Class 4B-AIO
      Certificates) (and among the Certificates within each such Class) in proportion
      to their Class Principal Amounts (or Certificate Principal Amounts). At all
      times during the term of this Agreement, 1% of all Voting Interests shall be
      allocated to the Class 4A-AIO and Class 4B-AIO Certificates (in the aggregate)
      in proportion to their Class Notional Amounts, while they remain outstanding.
      At
      all times during the term of this Agreement, 1% of all Voting Interests shall
      be
      allocated to each of the Class 1-P and Class 2-P Certificates, while they remain
      outstanding. At all times during the term of this Agreement, 1% of all Voting
      Interests shall be allocated to each of the Class 1-X, Class 2-X, Class 3-X,
      Class 4-X, Class 1-R, Class 2-R, Class 3-R and Class 4-R Certificates, while
      they remain outstanding. Voting Interests shall be allocated among the other
      Classes of Certificates (and among the Certificates within each such Class)
      in
      proportion to their Class Principal Amounts (or Certificate Principal Amounts)
      or Percentage Interests. In the case of the purchase by the Master Servicer
      of
      the 

     

    

    
      
        
          
          

        

        
          115

          
            

          

        

        
          
          

        

      

    

    

    Pooling
      REMIC 1 Regular Interests pursuant to a Section 7.01(d) Purchase Event, the
      LTURI-holder shall be allocated 100% of the Voting Interests of the Group 1
      Certificates, the Class 1-X Certificates and the Class 1-R Certificates and
      upon
      such purchase any provision in this agreement which requires a vote by, a
      direction or notice given by, an action taken by, a request in writing by or
      the
      consent of any percentage of the Holders of any Class of Certificates may be
      exercised by the LTURI-holder. In the case of the purchase by the Master
      Servicer of the Pooling REMIC 2 Regular Interests pursuant to a Section 7.01(d)
      Purchase Event, the LTURI-holder shall be allocated 100% of the Voting Interests
      of the Group 2 Certificates, Class 2-X Certificates and Class 2-R Certificates
      and upon such purchase any provision in this agreement which requires a vote
      by,
      a direction or notice given by, an action taken by, a request in writing by
      or
      the consent of any percentage of the Holders of any Class of such Certificates
      may be exercised by the LTURI-holder. In the case of the purchase by the Master
      Servicer of the Pooling REMIC 3 Regular Interests pursuant to a Section 7.01(d)
      Purchase Event, the LTURI-holder shall be allocated 100% of the Voting Interests
      of the Group 3 Certificates, the Class 3-X Certificates and the Class 3-R
      Certificates and upon such purchase any provision in this agreement which
      requires a vote by, a direction or notice given by, an action taken by, a
      request in writing by or the consent of any percentage of the Holders of any
      Class of Certificates may be exercised by the LTURI-holder. In the case of
      the
      purchase by the Master Servicer of the Pooling REMIC 4 Regular Interests
      pursuant to a Section 7.01(d) Purchase Event, the LTURI-holder shall be
      allocated 100% of the Voting Interests of the Group 4 Certificates, the Class
      4-X Certificates and the Class 4-R Certificates and upon such purchase any
      provision in this agreement which requires a vote by, a direction or notice
      given by, an action taken by, a request in writing by or the consent of any
      percentage of the Holders of any Class of Certificates may be exercised by
      the
      LTURI-holder. In the case of the purchase by the Master Servicer of the Pooling
      REMIC 1 Regular Interests, the Pooling REMIC 2 Regular Interests, the Pooling
      REMIC 3 Regular Interests and the Pooling REMIC 4 Regular Interests pursuant
      to
      a Section 7.01(d) Purchase Event, the LTURI-holder shall be allocated 100%
      of
      the Voting Interests and upon such purchase any provision in this agreement
      which requires a vote by, a direction or notice given by, an action taken by,
      a
      request in writing by or the consent of any percentage of the Holders of any
      Class of Certificates may be exercised by the LTURI-holder.

     

    Section
      1.02. Calculations
      Respecting Mortgage Loans.

     

    Calculations
      required to be made pursuant to this Agreement with respect to any Mortgage
      Loan
      in the Trust Fund shall be made based upon current information as to the terms
      of the Mortgage Loans and reports of payments received from the Mortgagor on
      such Mortgage Loans and payments to be made to the Trustee as supplied to the
      Trustee by the Master Servicer. The Trustee shall not be required to recompute,
      verify or recalculate the information supplied to it by the Master Servicer
      or
      any Servicer.

    

    Section
      1.03. Calculations
      Respecting Accrued Interest. 

     

    Accrued
      interest, if any, on Group 1 Certificates (other than the Class 1B-A2
      Certificates), and the Group 2 Certificates shall be calculated based upon
      a
      360-day year and the actual number of days in each Accrual Period. Accrued
      interest on the Class 1B-A2 Certificates, the Group 3 Certificates and the
      Group
      4 Certificates and each Lower-Tier Interest shall be calculated based upon
      a
      360-day year consisting of twelve 30-day months.

    

    
      
        
          
          

        

        
          116

          
            

          

        

        
          
          

        

      

    

    

    

    ARTICLE
      II

     

    DECLARATION
      OF TRUST;

    ISSUANCE
      OF CERTIFICATES

     

    Section
      2.01. Creation
      and Declaration of Trust Fund; Conveyance of Mortgage Loans.

     

    (a)
       Concurrently
      with the execution and delivery of this Agreement, the Depositor does hereby
      transfer, assign, set over, deposit with and otherwise convey to the Trustee,
      without recourse, subject to Sections 2.02, 2.04, 2.05 and 2.06, in trust,
      all
      the right, title and interest of the Depositor in and to the Mortgage Loans.
      Such conveyance includes, without limitation, the right to all payments of
      principal and interest received on or with respect to the Mortgage Loans on
      and
      after the Cut-off Date (other than payments of principal and interest due on
      or
      before such date), and all such payments due after such date but received prior
      to such date and intended by the related Mortgagors to be applied after such
      date together with all of the Depositor’s right, title and interest in and to
      the Collection Account and all amounts from time to time credited to and the
      proceeds of the Collection Account, the Certificate Account and all amounts
      from
      time to time credited to and the proceeds of the Certificate Account (exclusive
      of investment earnings thereon), any Custodial Accounts and all amount from
      time
      to time credited to and the proceeds of the Custodial Accounts, any Escrow
      Account established pursuant to Section 9.06, the Pool 1A-1B Basis Risk Reserve
      Fund, the Pool 2 Basis Risk Reserve Fund and the Pool 3A-3B Basis Risk Reserve
      Fund established pursuant to Sections 5.06(a), (c) and (e), respectively, and
      all amounts from time to time credited to and the proceeds of each such account,
      any REO Property and the proceeds thereof, the Depositor’s rights under any
      Insurance Policies (or rights to proceeds or payment under any Insurance
      Policies) related to the Mortgage Loans, the Depositor’s security interest in
      any collateral pledged to secure the Mortgage Loans, including the Mortgaged
      Properties, and any proceeds of the foregoing, to have and to hold (or a
      Custodian on its behalf), in trust; and the Trustee declares that, subject
      to
      the review provided for in Section 2.02, it has received and shall hold the
      Trust Fund, as trustee, in trust, for the benefit and use of the Holders of
      the
      Certificates and for the purposes and subject to the terms and conditions set
      forth in this Agreement, and, concurrently with such receipt, has caused to
      be
      executed, authenticated and delivered to or upon the order of the Depositor,
      in
      exchange for the Trust Fund, Certificates in the authorized denominations
      evidencing the entire ownership of the Trust Fund.

     

    Concurrently
      with the execution of this Agreement, the MGIC Letter Agreement and the PMI
      Letter Agreement shall be delivered to the Trustee on behalf of the Trust Fund.
      In connection therewith, the Depositor hereby directs the Trustee (solely in
      its
      capacity as such) and the Trustee is hereby authorized to execute and deliver
      the MGIC Letter Agreement and the PMI Letter Agreement for the benefit of the
      Group 4 Certificateholders. The Seller, the Master Servicer, the Depositor,
      the
      Servicers and the Group 4 Certificateholders (by their acceptance of such
      Certificates) acknowledge and agree that the Trustee is executing and delivering
      the MGIC Letter Agreement and the PMI Letter Agreement solely in its capacity
      as
      Trustee of the Trust Fund, and not in its individual capacity.

     

    

    
      
        
          
          

        

        
          117

          
            

          

        

        
          
          

        

      

    

    

    

     

    Concurrently
      with the execution of this Agreement, the Group 1 Swap Agreement and the Group
      1
      Cap Agreement shall be delivered to the Trustee. In connection therewith, the
      Depositor hereby directs the Trustee (solely in its capacity as such) and the
      Trustee is hereby authorized to execute and deliver the Group 1 Swap Agreement
      and the Group 1 Cap Agreement (each on behalf of the Supplemental Interest
      Trust) for the benefit of, the Group 1 Certificateholders (other than the Class
      1B-A2 Certificateholders). The Seller, the Master Servicer, the Depositor,
      the
      Servicers and the Group 1 Certificateholders (other than the Class 1B-A2
      Certificateholders) (by their acceptance of such Certificates) acknowledge
      and
      agree that the Trustee is executing and delivering the Group 1 Swap Agreement
      and the Group 1 Cap Agreement solely in its capacity as Trustee of the
      Supplemental Interest Trust and the Trust Fund and not in its individual
      capacity. The Trustee shall have no duty or responsibility to enter into any
      other swap agreement or interest rate cap agreement upon the expiration or
      termination of the Group 1 Swap Agreement or the Group 1 Cap
      Agreement.

     

    Concurrently
      with the execution of this Agreement, the Group 2 Swap Agreement and the Group
      2
      Cap Agreement shall be delivered to the Trustee. In connection therewith, the
      Depositor hereby directs the Trustee (solely in its capacity as such) and the
      Trustee is hereby authorized to execute and deliver the Group 2 Swap Agreement
      and the Group 2 Cap Agreement (each on behalf of the Supplemental Interest
      Trust) for the benefit of, the Group 2 Certificateholders. The Seller, the
      Master Servicer, the Depositor, the Servicers and the Group 2 Certificateholders
      (by their acceptance of such Certificates) acknowledge and agree that the
      Trustee is executing and delivering the Group 2 Swap Agreement and the Group
      2
      Cap Agreement solely in its capacity as Trustee of the Supplemental Interest
      Trust and the Trust Fund and not in its individual capacity. The Trustee shall
      have no duty or responsibility to enter into any other swap agreement or
      interest rate cap agreement upon the expiration or termination of the Group
      2
      Swap Agreement or the Group 2 Cap Agreement.

     

    Concurrently
      with the execution and delivery of this Agreement, the Depositor does hereby
      assign to the Trustee all of its rights and interest under the Mortgage Loan
      Sale Agreement, including all rights of the Seller under each Servicing
      Agreement and each Transfer Agreement (including the rights to enforce the
      related Transferor’s obligation to repurchase First Payment Default Mortgage
      Loans), but only to the extent assigned under the Mortgage Loan Sale Agreement.
      The Trustee hereby accepts such assignment, and shall be entitled to exercise
      all the rights of the Depositor under the Mortgage Loan Sale Agreement as if,
      for such purpose, it were the Depositor. 

     

    It
      is
      agreed and understood by the Depositor and the Trustee (and the Seller has
      so
      represented and recognized in the Mortgage Loan Sale Agreement) that it is
      not
      intended that any Mortgage Loan to be included in the Trust Fund be (i) a
“High-Cost Home Loan” as defined in the New Jersey Home Ownership Act effective
      November 27, 2003, (ii) a “High-Cost Home Loan” as defined in the New Mexico
      Home Loan Protection Act effective January 1, 2004, (iii) a “High-Cost Home
      Mortgage Loan” as defined in the Massachusetts Predatory Home Loan Practices Act
      effective November 7, 2004 or (iv) a “High Cost Home Loan” as defined in the
      Indiana Home Loan Practices Act effective January 1, 2005.

     

    The
      foregoing sale, transfer, assignment, set-over, deposit and conveyance does
      not
      and is not intended to result in the creation or assumption by the Trustee
      of
      any obligations of the Depositor, the Seller or any other Person in connection
      with the Mortgage Loans.

     

    The
      Depositor shall have the right to receive any and all loan-level information
      regarding the characteristics and performance of the Mortgage Loans upon
      request, and to publish, disseminate or otherwise utilize such information
      in
      its discretion, subject to applicable laws and regulations.

     

    

    
      
        
          
          

        

        
          118

          
            

          

        

        
          
          

        

      

    

    

    

     

    (b)
       In
      connection with such transfer and assignment, the Depositor does hereby deliver
      to, and deposit with, or cause to be delivered to and deposited with, the
      Trustee, and/or the applicable Custodian acting on the Trustee’s behalf, the
      following documents or instruments with respect to each Mortgage Loan (each
      a
“Mortgage File”) so transferred and assigned:

     

    (i)
       with
      respect to each Mortgage Loan, the original Mortgage Note endorsed without
      recourse in proper form to the order of the Trustee, as shown on Exhibit B-4
      hereto, or in blank (in each case, with all necessary intervening endorsements,
      as applicable) or with respect to any lost Mortgage Note, a lost note affidavit
      stating that the original Mortgage Note was lost, misplaced or destroyed,
      together with a copy of the related Mortgage Note;

     

    (ii)
       if
      applicable, the original of any guarantee, security agreement or pledge
      agreement executed in connection with the Mortgage Note, assigned to the
      Trustee;

     

    (iii)
       with
      respect to any Mortgage Loan other than a Cooperative Loan, the original
      recorded Mortgage with evidence of recording indicated thereon and the original
      recorded power of attorney, with evidence of recording thereon. If, in
      connection with any Mortgage Loan, the Depositor cannot deliver the Mortgage
      or
      power of attorney with evidence of recording thereon on or prior to the Closing
      Date because of a delay caused by the public recording office where such
      Mortgage has been delivered for recordation or because such Mortgage or power
      of
      attorney has been lost, the Depositor shall deliver or cause to be delivered
      to
      the Trustee (or the applicable Custodian), in the case of a delay due to
      recording, a true copy of such Mortgage or power of attorney, pending delivery
      of the original thereof, together with an Officer’s Certificate of the Depositor
      certifying that the copy of such Mortgage or power of attorney delivered to
      the
      Trustee (or the applicable Custodian) is a true copy and that the original
      of
      such Mortgage or power of attorney has been forwarded to the public recording
      office, or, in the case of a Mortgage or power of attorney that has been lost,
      a
      copy thereof (certified as provided for under the laws of the appropriate
      jurisdiction) and a written Opinion of Counsel delivered to the Trustee and
      the
      Depositor that an original recorded Mortgage or power of attorney is not
      required to enforce the Trustee’s interest in the Mortgage Loan;

     

    (iv)
       the
      original of each assumption, modification or substitution agreement, if any,
      relating to the Mortgage Loans, or, as to any assumption, modification or
      substitution agreement which cannot be delivered on or prior to the Closing
      Date
      because of a delay caused by the public recording office where such assumption,
      modification or substitution agreement has been delivered for recordation,
      a
      photocopy of such assumption, modification or substitution agreement, pending
      delivery of the original thereof, together with an Officer’s Certificate of the
      Depositor certifying that the copy of such assumption, modification or
      substitution agreement delivered to the Trustee (or the applicable Custodian)
      is
      a true copy and that the original of such agreement has been forwarded to the
      public recording office;

     

    

    
      
        
          
          

        

        
          119

          
            

          

        

        
          
          

        

      

    

    

    

     

    (v)
       with
      respect to each Non-MERS Mortgage Loan, an original Assignment of Mortgage,
      in
      form and substance acceptable for recording. The related Mortgage shall be
      assigned either (A) in blank, without recourse or (B) to “LaSalle Bank National
      Association, as Trustee of the Lehman XS Trust Mortgage Pass-Through
      Certificates, Series 2007-3,” without recourse;

     

    (vi)
       if
      applicable, such original intervening assignments of the Mortgage, notice of
      transfer or equivalent instrument (each, an “Intervening Assignment”), as may be
      necessary to show a complete chain of assignment from the Transferor, or, in
      the
      case of an Intervening Assignment that has been lost, a written Opinion of
      Counsel delivered to the Trustee and any NIMS Insurer that such original
      Intervening Assignment is not required to enforce the Trustee’s interest in the
      Mortgage Loan;

     

    (vii)
       with
      respect to any Mortgage Loan other than a Cooperative Loan, the original
      mortgagee title insurance policy (or, in lieu thereof, a commitment to issue
      such title insurance policy with an original or certified copy of such title
      insurance policy to follow as soon after the Closing Date as reasonably
      practicable) or attorney’s opinion of title and abstract of title;

     

    (viii)
       if
      applicable, the original Primary Mortgage Insurance Policy or certificate or,
      an
      electronic certification evidencing the existence of the Primary Mortgage
      Insurance Policy or certificate, if private mortgage guaranty insurance is
      required;

     

    (ix)
       the
      original of any security agreement, chattel mortgage or equivalent instrument
      executed in connection with the Mortgage or as to any security agreement,
      chattel mortgage or their equivalent instrument that cannot be delivered on
      or
      prior to the Closing Date because of a delay caused by the public recording
      office where such document has been delivered for recordation, a photocopy
      of
      such document, pending delivery of the original thereof, together with an
      Officer’s Certificate of the Depositor certifying that the copy of such security
      agreement, chattel mortgage or their equivalent instrument delivered to the
      Trustee (or the applicable Custodian) is a true copy and that the original
      of
      such document has been forwarded to the public recording office;

     

    (x)
       with
      respect to any manufactured housing contract, any related manufactured housing
      sales contract, installment loan agreement or participation interest;
      and

     

    (xi)
       with
      respect to any Cooperative Loan, the Cooperative Loan Documents.

     

    The
      parties hereto acknowledge and agree that the form of endorsement attached
      hereto as Exhibit B-4 is intended to effect the transfer to the Trustee, for
      the
      benefit of the Certificateholders, of the Mortgage Notes and the
      Mortgages.

    

    (c)
       (i) Assignments
      of Mortgage with respect to each Non-MERS Mortgage Loan other than a Cooperative
      Loan shall be recorded; provided,
      however,
      that
      such Assignments need not be recorded if, on or prior to the Closing Date,
      the
      Depositor delivers, at its own expense, an Opinion of Counsel addressed to
      the
      Trustee (which must be Independent counsel) acceptable to the Trustee and the
      Rating Agencies, to the effect that recording in such states is not required
      to
      protect the Trustee’s interest in the related Non-MERS Mortgage Loans;
provided,
      further,
      that
      notwithstanding the delivery of any Opinion of Counsel, the Master Servicer
      shall cause the applicable Servicer to submit each Assignment of Mortgage for
      recording upon the occurrence of a bankruptcy, insolvency or foreclosure
      relating to the Mortgagor under the related Mortgage. Subject to the preceding
      sentence, as soon as practicable after the Closing Date (but in no event more
      than three months thereafter except to the extent delays are caused by the
      applicable recording office), the Master Servicer, at the expense of the
      Depositor and with the cooperation of the applicable Servicer, shall cause
      to be
      properly recorded by each Servicer in each public recording office where the
      related Mortgages are recorded each Assignment of Mortgage referred to in
      subsection (b)(v) above with respect to each Non-MERS Mortgage Loan. With
      respect to each Cooperative Loan, the Master Servicer, at the expense of the
      Depositor and with the cooperation of applicable Servicer, shall cause such
      Servicer to take such actions as are necessary under applicable law in order
      to
      perfect the interest of the Trustee in the related Mortgaged
      Property.

     

    

    
      
        
          
          

        

        
          120

          
            

          

        

        
          
          

        

      

    

    

    

     

    (ii) With
      respect to each MERS Mortgage Loan, the Master Servicer, at the expense of
      the
      Depositor and with the cooperation of the applicable Servicer, shall cause
      the
      Servicer to take such actions as are necessary to cause the Trustee to be
      clearly identified as the owner of each such Mortgage Loan on the records of
      MERS for purposes of the system of recording transfers of beneficial ownership
      of mortgages maintained by MERS. 

    

    (d)
       In
      instances where a Title Insurance Policy is required to be delivered to the
      Trustee or the applicable Custodian on behalf of the Trustee under clause
      (b)(vii) above and is not so delivered, the Depositor will provide a copy of
      such Title Insurance Policy to the Trustee, or to the applicable Custodian
      on
      behalf of the Trustee, as promptly as practicable after the execution and
      delivery hereof, but in any case within 180 days of the Closing
      Date.

     

    (e)
       For
      Mortgage Loans (if any) that have been prepaid in full after the Cut-off Date
      and prior to the Closing Date, the Depositor, in lieu of delivering the above
      documents, herewith delivers to the Trustee, or to the applicable Custodian
      on
      behalf of the Trustee, an Officer’s Certificate which shall include a statement
      to the effect that all amounts received in connection with such prepayment
      that
      are required to be deposited in the Collection Account pursuant to Section
      4.01
      have been so deposited. All original documents that are not delivered to the
      Trustee or the applicable Custodian on behalf of the Trustee shall be held
      by
      the Master Servicer or the applicable Servicer in trust for the benefit of
      the
      Trustee and the Certificateholders.

     

    (f)
       The
      Depositor shall have the right to receive any and all loan-level information
      regarding the characteristics and performance of the Mortgage Loans upon
      request, and to publish, disseminate or otherwise utilize such information
      in
      its discretion, subject to applicable laws and regulations.

     

    (g)
       The
      trust
      created hereunder is hereby named “Lehman XS Trust 2007-3.”

     

    Section
      2.02. Acceptance
      of Trust Fund by Trustee: Review of Documentation for Trust Fund.
      

     

    (a)
       The
      Trustee, by execution and delivery hereof, acknowledges receipt by it or by
      the
      applicable Custodian on its behalf of the Mortgage Files pertaining to the
      Mortgage Loans listed on the Mortgage Loan Schedule, subject to review thereof
      by the Trustee, or by the applicable Custodian on behalf of the Trustee, under
      this Section 2.02. The Trustee, or the applicable Custodian on behalf of the
      Trustee, will execute and deliver to the Trustee, the Depositor, the Master
      Servicer and any NIMS Insurer on the Closing Date an Initial Certification
      in
      the form annexed hereto as Exhibit B-1 (or in the form annexed to the applicable
      Custodial Agreement as Exhibit B-1, as applicable).

     

    

    
      
        
          
          

        

        
          121

          
            

          

        

        
          
          

        

      

    

    

    

     

    (b)
       Within
      45
      days after the Closing Date, the Trustee or the applicable Custodian on behalf
      of the Trustee, will, for the benefit of the Holders of the Certificates, review
      each Mortgage File to ascertain that all required documents set forth in Section
      2.01 have been received and appear on their face to contain the requisite
      signatures by or on behalf of the respective parties thereto, and shall deliver
      to the Trustee, the Depositor, the Master Servicer and any NIMS Insurer an
      Interim Certification in the form annexed hereto as Exhibit B-2 (or in the
      form
      annexed to the applicable Custodial Agreement as Exhibit B-2, as applicable)
      to
      the effect that, as to each Mortgage Loan listed in the Mortgage Loan Schedule
      (other than any Mortgage Loan prepaid in full or any Mortgage Loan specifically
      identified in such certification as not covered by such certification), (i)
      all
      of the applicable documents specified in Section 2.01(b) are in its possession
      and (ii) such documents have been reviewed by it and appear to relate to such
      Mortgage Loan. The Trustee, or the applicable Custodian on behalf of the
      Trustee, shall determine whether such documents are executed and endorsed,
      but
      shall be under no duty or obligation to inspect, review or examine any such
      documents, instruments, certificates or other papers to determine that the
      same
      are valid, binding, legally effective, properly endorsed, genuine, enforceable
      or appropriate for the represented purpose or that they have actually been
      recorded or are in recordable form or that they are other than what they purport
      to be on their face. Neither the Trustee nor any applicable Custodian shall
      have
      any responsibility for verifying the genuineness or the legal effectiveness
      of
      or authority for any signatures of or on behalf of any party or
      endorser.

     

    (c)
       If
      in the
      course of the review described in paragraph (b) above the Trustee or the
      applicable Custodian discovers any document or documents constituting a part
      of
      a Mortgage File that is missing, does not appear regular on its face
      (i.e.,
      is
      mutilated, damaged, defaced, torn or otherwise physically altered) or appears
      to
      be unrelated to the Mortgage Loans identified in the Mortgage Loan Schedule
      (each, a “Material Defect”), the Trustee, or the applicable Custodian on behalf
      of the Trustee, discovering such Material Defect shall promptly identify the
      Mortgage Loan to which such Material Defect relates in the Interim Certification
      delivered to the Trustee, the Depositor and the Master Servicer. Within 90
      days
      of its receipt of such notice, the Transferor, or, if the Transferor does not
      do
      so, the Depositor shall be required to cure such Material Defect (and, in such
      event, the Depositor shall provide the Trustee with an Officer’s Certificate
      confirming that such cure has been effected). If the applicable Transferor
      or
      the Depositor, as applicable, does not so cure such Material Defect, the
      Transferor, or, if the Transferor does not do so, the Depositor, shall, if
      a
      loss has been incurred with respect to such Mortgage Loan that would, if such
      Mortgage Loan were not purchased from the Trust Fund, constitute a Realized
      Loss, and such loss is attributable to the failure of the Depositor to cure
      such
      Material Defect, repurchase the related Mortgage Loan from the Trust Fund at
      the
      Purchase Price. A loss shall be deemed to be attributable to the failure of
      the
      Depositor to cure a Material Defect if, as determined by the Depositor, upon
      mutual agreement with the Trustee each acting in good faith, absent such
      Material Defect, such loss would not have been incurred. Within the two-year
      period following the Closing Date, the Depositor may, in lieu of repurchasing
      a
      Mortgage Loan pursuant to this Section 2.02, substitute for such Mortgage Loan
      a
      Qualifying Substitute Mortgage Loan subject to the provisions of Section 2.05.
      The failure of the Trustee or the applicable Custodian to give the notice
      contemplated herein within 45 days after the Closing Date shall not affect
      or
      relieve the Depositor of its obligation to repurchase any Mortgage Loan pursuant
      to this Section 2.02 or any other Section of this Agreement requiring the
      repurchase of Mortgage Loans from the Trust Fund.

     

    

    
      
        
          
          

        

        
          122

          
            

          

        

        
          
          

        

      

    

    

    

     

    (d)
       Within
      180 days following the Closing Date, the Trustee, or the applicable Custodian,
      shall deliver to the Trustee, the Depositor, the Master Servicer and any NIMS
      Insurer a Final Certification substantially in the form attached as Exhibit
      B-3
      (or in the form annexed to the applicable Custodial Agreement as Exhibit B-3,
      as
      applicable) evidencing the completeness of the Mortgage Files in its possession
      or control, with any exceptions noted thereto.

     

    (e)
       Nothing
      in this Agreement shall be construed to constitute an assumption by the Trust
      Fund, the Trustee, any Custodian or the Certificateholders of any unsatisfied
      duty, claim or other liability on any Mortgage Loan or to any
      Mortgagor.

     

    (f)
       Each
      of
      the parties hereto acknowledges that the applicable Custodian shall perform
      the
      applicable review of the Mortgage Loans and respective certifications thereof
      as
      provided in this Section 2.02 and the Custodial Agreement. The Trustee is hereby
      authorized and directed by the Depositor to appoint the Custodians and to
      execute and deliver the Custodial Agreements.

     

    (g)
       Upon
      execution of this Agreement, the Depositor hereby delivers to the Trustee and
      the Trustee acknowledges a receipt of the Mortgage Loan Sale Agreement, each
      Servicing Agreement and the Bulk PMI Policies (or coverage thereunder). The
      Depositor hereby directs the Trustee, solely in its capacity as Trustee
      hereunder, to execute and deliver, concurrently with the execution and delivery
      of this Agreement, the MGIC Letter Agreement, the PMI Letter Agreement and
      each
      Servicing Agreement to which the Trustee is a party.

     

    Section
      2.03. Representations
      and Warranties of the Depositor. 

     

    (a) The
      Depositor hereby represents and warrants to the Trustee, for the benefit of
      Certificateholders, the Master Servicer and any NIMS Insurer as of the Closing
      Date or such other date as is specified, that:

    

    (i)
       the
      Depositor is a corporation duly organized, validly existing and in good standing
      under the laws governing its creation and existence and has full corporate
      power
      and authority to own its property, to carry on its business as presently
      conducted, to enter into and perform its obligations under this Agreement,
      and
      to create the trust pursuant hereto;

     

    (ii)
       the
      execution and delivery by the Depositor of this Agreement have been duly
      authorized by all necessary corporate action on the part of the Depositor;
      neither the execution and delivery of this Agreement, nor the consummation
      of
      the transactions herein contemplated, nor compliance with the provisions hereof,
      will conflict with or result in a breach of, or constitute a default under,
      any
      of the provisions of any law, governmental rule, regulation, judgment, decree
      or
      order binding on the Depositor or its properties or the certificate of
      incorporation or bylaws of the Depositor;

     

    

    
      
        
          
          

        

        
          123

          
            

          

        

        
          
          

        

      

    

    

    

     

    (iii)
       the
      execution, delivery and performance by the Depositor of this Agreement and
      the
      consummation of the transactions contemplated hereby do not require the consent
      or approval of, the giving of notice to, the registration with, or the taking
      of
      any other action in respect of, any state, federal or other governmental
      authority or agency, except such as has been obtained, given, effected or taken
      prior to the date hereof;

     

    (iv)
       this
      Agreement has been duly executed and delivered by the Depositor and, assuming
      due authorization, execution and delivery by the Trustee and the Master Servicer
      constitutes a valid and binding obligation of the Depositor enforceable against
      it in accordance with its terms except as such enforceability may be subject
      to
      (A) applicable bankruptcy and insolvency laws and other similar laws affecting
      the enforcement of the rights of creditors generally and (B) general principles
      of equity regardless of whether such enforcement is considered in a proceeding
      in equity or at law;

     

    (v)
       there
      are
      no actions, suits or proceedings pending or, to the knowledge of the Depositor,
      threatened or likely to be asserted against or affecting the Depositor, before
      or by any court, administrative agency, arbitrator or governmental body (A)
      with
      respect to any of the transactions contemplated by this Agreement or (B) with
      respect to any other matter which in the judgment of the Depositor will be
      determined adversely to the Depositor and will if determined adversely to the
      Depositor materially and adversely affect it or its business, assets, operations
      or condition, financial or otherwise, or adversely affect its ability to perform
      its obligations under this Agreement; and

     

    (vi)
       immediately
      prior to the transfer and assignment of the Mortgage Loans to the Trustee,
      the
      Depositor was the sole owner of record and holder of each Mortgage Loan, and
      the
      Depositor had good and marketable title thereto, and had full right to transfer
      and sell each Mortgage Loan to the Trustee free and clear, subject only to
      (1)
      liens of current real property taxes and assessments not yet due and payable
      and, if the related Mortgaged Property is a condominium unit, any lien for
      common charges permitted by statute, (2) covenants, conditions and restrictions,
      rights of way, easements and other matters of public record as of the date
      of
      recording of such Mortgage acceptable to mortgage lending institutions in the
      area in which the related Mortgaged Property is located and specifically
      referred to in the lender’s Title Insurance Policy or attorney’s opinion of
      title and abstract of title delivered to the originator of such Mortgage Loan,
      and (3) such other matters to which like properties are commonly subject which
      do not, individually or in the aggregate, materially interfere with the benefits
      of the security intended to be provided by the Mortgage, of any encumbrance,
      equity, participation interest, lien, pledge, charge, claim or security
      interest, and had full right and authority, subject to no interest or
      participation of, or agreement with, any other party, to sell and assign each
      Mortgage Loan pursuant to this Agreement.

     

    

    
      
        
          
          

        

        
          124

          
            

          

        

        
          
          

        

      

    

    

    

     

    (b) The
      representations and warranties of each Transferor with respect to the related
      Mortgage Loans in the applicable Transfer Agreement, which have been assigned
      to
      the Trustee hereunder, were made as of the date specified in the applicable
      Transfer Agreement (or underlying agreement, if such Transfer Agreement is
      in
      the form of an assignment of a prior agreement). To the extent that any fact,
      condition or event with respect to a Mortgage Loan constitutes a breach of
      both
      (i) a representation or warranty of the applicable Transferor under the
      applicable Transfer Agreement and (ii) a representation or warranty of the
      Seller under the Mortgage Loan Sale Agreement, the only right or remedy of
      the
      Trustee, any Certificateholder or any NIMS Insurer hereunder (other than a
      breach by the Seller of the representations made pursuant to Sections
      1.04(b)(xii), 1.04(b)(xiii), 1.04(b)(xiv), 1.04(b)(xv), 1.04(b)(xvi) and
      1.04(b)(xvii) of the Mortgage Loan Sale Agreement) shall be their rights to
      enforce the obligations of the applicable Transferor under any applicable
      representation or warranty made by it. Pursuant to the terms of the Mortgage
      Loan Sale Agreement, the representations and warranties made by the Seller
      pursuant to Sections 1.04(b)(xii), 1.04(b)(xiii), 1.04(b)(xiv), 1.04(b)(xv),
      1.04(b)(xvi) and 1.04(b)(xvii) of the Mortgage Loan Sale Agreement shall be
      the
      direct obligations of the Seller. With the exception of the immediately
      proceeding sentence, the Seller shall not have any other obligation or liability
      with respect to any breach of a representation or warranty made by it with
      respect to the Mortgage Loans sold by it if the fact, condition or event
      constituting such breach also constitutes a breach of a representation or
      warranty made by the applicable Transferor in the applicable Transfer Agreement,
      without regard to whether such Transferor fulfills its contractual obligations
      in respect of such representation or warranty. The Trustee further acknowledges
      that the Depositor shall have no obligation or liability with respect to any
      breach of any representation or warranty with respect to the Mortgage Loans
      (except as set forth in Section 2.03(a)(vi)) under any circumstances.

    

    Section
      2.04. Discovery
      of Breach. 

     

    It
      is
      understood and agreed that the representations and warranties (i) of the
      Depositor set forth in Section 2.03, (ii) of the Seller set forth in the
      Mortgage Loan Sale Agreement and assigned to the Depositor by the Seller under
      the Mortgage Loan Sale Agreement and to the Trustee by the Depositor hereunder
      and (iii) of each Transferor and of each Servicer assigned by the Seller to
      the
      Depositor pursuant to the Mortgage Loan Sale Agreement and assigned to the
      Trustee by the Depositor hereunder, shall each survive delivery of the Mortgage
      Files and the Assignment of Mortgage of each Mortgage Loan to the Trustee and
      shall continue throughout the term of this Agreement. Upon discovery by any
      of
      the Depositor, the Master Servicer or the Trustee of a breach of any of such
      representations and warranties that materially and adversely affects the value
      of the related Mortgage Loan, the party discovering such breach shall give
      prompt written notice to the other parties; provided,
      to the
      extent that knowledge of such breach with respect to any Mortgage Loan is known
      by any officer, director, employee or agent of Aurora acting in any capacity
      other than as Master Servicer hereunder, the Master Servicer shall not be deemed
      to have knowledge of any such breach until an officer of the Master Servicer
      has
      actual knowledge thereof. Within 90 days of the discovery of a breach of any
      representation or warranty given to the Trustee by the Depositor or given by
      any
      Transferor or the Seller and assigned to the Trustee, the Depositor, such
      Transferor or the Seller, as applicable, shall either (a) cure such breach
      in
      all material respects, (b) repurchase such Mortgage Loan or any property
      acquired in respect thereof from the Trustee at the Purchase Price (of in the
      case of a First Payment Default Mortgage Loan, the FPD Purchase Price (excluding
      any FPD Premium)) or (c) within the two-year period following the Closing Date,
      substitute a Qualifying Substitute Mortgage Loan for the affected Mortgage
      Loan.
      In the event of discovery of a breach of any representation and warranty of
      any
      Transferor assigned to the Trustee, the Trustee shall enforce its rights under
      the applicable Transfer Agreement and the Mortgage Loan Sale Agreement for
      the
      benefit of Certificateholders and any NIMS Insurer. As provided in the Mortgage
      Loan Sale Agreement, if any Transferor substitutes a mortgage loan for a Deleted
      Mortgage Loan pursuant to the related Transfer Agreement and such substitute
      mortgage loan is not a Qualifying Substitute Mortgage Loan, then pursuant to
      the
      terms of the Mortgage Loan Sale Agreement the Seller will, in exchange for
      such
      substitute mortgage loan, (i) pay to the Trust Fund the applicable Purchase
      Price for the affected Mortgage Loan or (ii) within two years of the
      Closing Date, substitute a Qualifying Substitute Mortgage Loan.

    

    
      
        
          
          

        

        
          125

          
            

          

        

        
          
          

        

      

    

    

    

    

    Section
      2.05. Repurchase,
      Purchase or Substitution of Mortgage Loans. 

     

    (a)
       With
      respect to any Mortgage Loan repurchased by the Depositor pursuant to this
      Agreement, by the Seller pursuant to the Mortgage Loan Sale Agreement, or by
      the
      Transferor pursuant to the applicable Transfer Agreement, the principal portion
      of the funds (including the FPD Purchase Price (excluding the FPD Premium)
      in
      the case of any First Payment Default Mortgage Loan) received by the Master
      Servicer in respect of such repurchase of a Mortgage Loan will be considered
      a
      Principal Prepayment and the Purchase Price or FPD Purchase Price (excluding
      any
      FPD Premium) shall be deposited in the Collection Account or a Custodial
      Account, as applicable. The Trustee (i) upon receipt of the full amount of
      the
      Purchase Price for a Deleted Mortgage Loan, (ii) upon receipt of a written
      certification from the Master Servicer that it has received the full amount
      of
      the Purchase Price for a Deleted Mortgage Loan and has deposited such amount
      in
      the Collection Account or (iii) upon receipt of notification from the applicable
      Custodian that it had received the Mortgage File for a Qualifying Substitute
      Mortgage Loan substituted for a Deleted Mortgage Loan (and any applicable
      Substitution Amount), shall release or cause to be released and reassign to
      the
      Depositor, the Seller or the Transferor, as applicable, the related Mortgage
      File for the Deleted Mortgage Loan and shall execute and deliver such
      instruments of transfer or assignment, in each case without recourse,
      representation or warranty, as shall be necessary to vest in such party or
      its
      designee or assignee title to any Deleted Mortgage Loan released pursuant
      hereto, free and clear of all security interests, liens and other encumbrances
      created by this Agreement, which instruments shall be prepared by the related
      Servicer and the Trustee shall have no further responsibility with respect
      to
      the Mortgage File relating to such Deleted Mortgage Loan. The Seller indemnifies
      and holds the Trust Fund, the Master Servicer, the Trustee, the Depositor and
      each Certificateholder harmless against any and all taxes, claims, losses,
      penalties, fines, forfeitures, reasonable legal fees and related costs,
      judgments, and any other costs, fees and expenses that the Trust Fund, the
      Trustee, the Master Servicer, the Depositor, any NIMS Insurer and any
      Certificateholder may sustain in connection with any actions of the Seller
      relating to a repurchase of a Mortgage Loan other than in compliance with the
      terms of this Section 2.05 and the Mortgage Loan Sale Agreement, to the extent
      that any such action causes an Adverse REMIC Event.

     

    

    
      
        
          
          

        

        
          126

          
            

          

        

        
          
          

        

      

    

    

    

     

    (b)
       With
      respect to each Qualifying Substitute Mortgage Loan to be delivered to the
      Trustee (or the applicable Custodian) pursuant to the terms of this Article
      II
      in exchange for a Deleted Mortgage Loan: (i) the Depositor, the Transferor
      or
      the Seller, as applicable, must deliver to the Trustee (or the applicable
      Custodian) the Mortgage File for the Qualifying Substitute Mortgage Loan
      containing the documents set forth in Section 2.01(b) along with a written
      certification certifying as to the delivery of such Mortgage File and containing
      granting language substantially comparable to that set forth in the first
      paragraph of Section 2.01(a); and (ii) the Depositor will be deemed to have
      made, with respect to such Qualifying Substitute Mortgage Loan, each of the
      representations and warranties made by it with respect to the related Deleted
      Mortgage Loan. As soon as practicable after the delivery of any Qualifying
      Substitute Mortgage Loan hereunder, the Master Servicer, at the expense of
      the
      Depositor and with the cooperation of the applicable Servicer, shall
      (i) with respect to a Qualifying Substitute Mortgage Loan that is a
      Non-MERS Mortgage Loan, cause the Assignment of Mortgage to be recorded by
      the
      applicable Servicer if required pursuant to Section 2.01(c), or (ii) with
      respect to a Qualifying Substitute Mortgage Loan that is a MERS Mortgage Loan,
      cause to be taken such actions as are necessary to cause the Trustee to be
      clearly identified as the owner of each such Mortgage Loan on the records of
      MERS if required pursuant to Section 2.01(c).

     

    (c)
       Notwithstanding
      any other provision of this Agreement, the right to substitute Mortgage Loans
      pursuant to this Article II shall be subject to the additional limitations
      that
      no substitution of a Qualifying Substitute Mortgage Loan for a Deleted Mortgage
      Loan shall be made unless the Trustee and any NIMS Insurer has received an
      Opinion of Counsel addressed to the Trustee (at the expense of the party seeking
      to make the substitution) that, under current law, such substitution will not
      cause an Adverse REMIC Event.

     

    Section
      2.06. Grant
      Clause. 

     

    (a)
       It
      is
      intended that the conveyance of the Depositor’s right, title and interest in and
      to property constituting the Trust Fund pursuant to this Agreement shall
      constitute, and shall be construed as, a sale of such property and not a grant
      of a security interest to secure a loan. However, if such conveyance is deemed
      to be in respect of a loan, it is intended that: (1) the rights and obligations
      of the parties shall be established pursuant to the terms of this Agreement;
      (2)
      the Depositor hereby grants to the Trustee for the benefit of the Holders of
      the
      Certificates a first priority security interest to secure repayment of an
      obligation in an amount equal to the aggregate Class Principal Amount of the
      Certificates (or the aggregate principal balance of the Pooling REMIC 1 Regular
      Interests, the Pooling REMIC 2 Regular Interests, the Pooling REMIC 3 Regular
      Interests or the Pooling REMIC 4 Regular interests, as applicable) in all of
      the
      Depositor’s right, title and interest in, to and under, whether now owned or
      hereafter acquired, the Trust Fund and the Supplemental Interest Trust and
      all
      proceeds of any and all property constituting the Trust Fund and the
      Supplemental Interest Trust to secure payment of the Certificates (or Pooling
      REMIC 1 Regular Interests, the Pooling REMIC 2 Regular Interests, the Pooling
      REMIC 3 Regular Interests or the Pooling REMIC 4 Regular interests, as
      applicable) (such security interest being, to the extent of the assets that
      constitute the Supplemental Interest Trust, pari
      passu
      with the
      security interest as provided in clause (4) below); (3) this Agreement shall
      constitute a security agreement under applicable law and (4) and (4) the Swap
      Counterparty shall be deemed, during the term of such agreement and while such
      agreement is the property of the Trustee, to have a security interest in all
      of
      the assets that constitute the Supplemental Interest Trust, but only to the
      extent of such Swap Counterparty’s right to payment under the Group 1 Swap
      Agreement or the Group 2 Swap Agreement, as applicable (such security interest
      being pari
      passu
      with the
      security interest as provided in clause (2) above). If such conveyance is deemed
      to be in respect of a loan and the trust created by this Agreement terminates
      prior to the satisfaction of the claims of any Person holding any Certificate
      or
      Pooling REMIC 1 Regular Interests, the Pooling REMIC 2 Regular Interests, the
      Pooling REMIC 3 Regular Interests or the Pooling REMIC 4 Regular interests,
      as
      applicable, the security interest created hereby shall continue in full force
      and effect and the Trustee shall be deemed to be the collateral agent for the
      benefit of such Person, and all proceeds shall be distributed as herein
      provided.

     

    

    
      
        
          
          

        

        
          127

          
            

          

        

        
          
          

        

      

    

    

    

     

    (b)
       The
      Depositor shall, to the extent consistent with this Agreement, take such
      reasonable actions as may be necessary to ensure that, if this Agreement were
      deemed to create a security interest in the Mortgage Loans and the other
      property described above, such security interest would be deemed to be a
      perfected security interest of first priority under applicable law and shall
      be
      maintained as such throughout the term of this Agreement. The Depositor shall,
      at its own expense, make all initial filings on or about the Closing Date and
      shall forward a copy of such filing or filings to the Trustee. Without limiting
      the generality of the foregoing, the Depositor shall prepare and forward for
      filing, or shall cause to be forwarded for filing, at the expense of the
      Depositor, all filings necessary to maintain the effectiveness of any original
      filings necessary under the relevant UCC to perfect the Trustee’s security
      interest in or lien on the Mortgage Loans, including without limitation (x)
      continuation statements, and (y) such other statements as may be occasioned
      by
      (1) any change of name of the Seller, the Depositor or the Trustee, (2) any
      change of location of the jurisdiction of organization of the Seller or the
      Depositor, (3) any transfer of any interest of the Seller or the Depositor
      in
      any Mortgage Loan or (4) any change under the relevant UCC or other applicable
      laws. Neither the Seller nor the Depositor shall organize under the law of
      any
      jurisdiction other than the State under which each is organized as of the
      Closing Date (whether changing its jurisdiction of organization or organizing
      under an additional jurisdiction) without giving 30 days prior written notice
      of
      such action to its immediate and intermediate transferee, including the Trustee.
      Before effecting such change, the Seller or the Depositor proposing to change
      its jurisdiction of organization shall prepare and file in the appropriate
      filing office any financing statements or other statements necessary to continue
      the perfection of the interests of its immediate and intermediate transferees,
      including the Trustee, in the Mortgage Loans. In connection with the
      transactions contemplated by this Agreement, each of the Seller and the
      Depositor authorizes its immediate or intermediate transferee to file in any
      filing office any initial financing statements, any amendments to financing
      statements, any continuation statements, or any other statements or filings
      described in this paragraph (b).

     

    ARTICLE
      III

     

    THE
      CERTIFICATES

     

    Section
      3.01. The
      Certificates. 

     

    (a)
       The
      Certificates shall be issuable in registered form only and shall be securities
      governed by Article 8 of the New York Uniform Commercial Code. The Book-Entry
      Certificates will be evidenced by one or more certificates, beneficial ownership
      of which will be held in the dollar denominations in Certificate Principal
      Amount or Notional Amount, as applicable, or in the Percentage Interests,
      specified herein. Each Class of Book-Entry Certificates will be issued in the
      minimum denominations in Certificate Principal Amount (or Notional Amount)
      or
      Percentage Interests specified in the Preliminary Statement hereto and in
      integral multiples of $1 in excess thereof. The Class 1-P, Class 2-P, Class
      1-X,
      Class 2-X, Class 3-X, Class 4-X Certificates shall each be maintained in
      definitive, fully registered form in the minimum denomination specified in
      the
      Preliminary Statement hereto and in integral multiples of 1.00% in excess
      thereof. Each of the Class 1-LT-R, Class 2-LT-R, Class 3-LT-R, Class 4-LT-R,
      Class 1-R, Class 2-R, Class 3-R and Class 4-R Certificates shall be issued
      as a
      single Certificate and maintained in definitive, fully registered form in a
      minimum denomination equal to 100% of the Percentage Interest of such Class.
      The
      Certificates may be issued in the form of typewritten certificates.

     

    

    
      
        
          
          

        

        
          128

          
            

          

        

        
          
          

        

      

    

    

    

     

    (b)
       The
      Certificates shall be executed by manual or facsimile signature on behalf of
      the
      Trustee by an authorized officer. Each Certificate shall, on original issue,
      be
      authenticated by the Trustee upon the order of the Depositor upon receipt by
      the
      Trustee (or the applicable Custodian) of the Mortgage Files described in Section
      2.01. No Certificate shall be entitled to any benefit under this Agreement,
      or
      be valid for any purpose, unless there appears on such Certificate a certificate
      of authentication substantially in the form provided for herein, executed by
      an
      authorized officer of the Trustee or the Authenticating Agent, if any, by manual
      signature, and such certification upon any Certificate shall be conclusive
      evidence, and the only evidence, that such Certificate has been duly
      authenticated and delivered hereunder. All Certificates shall be dated the
      date
      of their authentication. All Certificates shall be dated the date of their
      authentication. At any time and from time to time after the execution and
      delivery of this Agreement, the Depositor may deliver Certificates executed
      by
      Trustee to the Authenticating Agent for authentication and the Authenticating
      Agent shall authenticate and deliver such Certificates as in this Agreement
      provided and not otherwise.

     

    Section
      3.02. Registration.
      

     

    (a)
       The
      Trustee is hereby appointed, and hereby accepts its appointment as, Certificate
      Registrar in respect of the Certificates (and, after a Section 7.01(d) Purchase
      Event, the applicable Pooling REMIC Regular Interests) and shall maintain books
      for the registration and for the transfer of Certificates (and, after a Section
      7.01(d) Purchase Event, the applicable Pooling REMIC Regular Interests) (the
      “Certificate Register”). The Trustee may appoint a bank or trust company to act
      as Certificate Registrar. A registration book shall be maintained for the
      Certificates (and, after a Section 7.01(d) Purchase Event, the applicable
      Pooling REMIC Regular Interests) collectively. The Certificate Registrar may
      resign or be discharged or removed and a new successor may be appointed in
      accordance with the procedures and requirements set forth in Sections 6.06
      and
      6.07 hereof with respect to the resignation, discharge or removal of the Trustee
      and the appointment of a successor Trustee. The Certificate Registrar may
      appoint, by a written instrument delivered to the Holders, any NIMS Insurer
      and
      the Master Servicer, any bank or trust company to act as co-registrar under
      such
      conditions as the Certificate Registrar may prescribe; provided,
      however,
      that the
      Certificate Registrar shall not be relieved of any of its duties or
      responsibilities hereunder by reason of such appointment.

     

    (b)
       Upon
      the
      occurrence of a Section 7.01(d) Purchase Event, the Master Servicer shall
      provide the Trustee with written notice of the identity of any transferee of
      the
      Master Servicer’s interest in the Pooling REMIC 1 Regular Interests, the Pooling
      REMIC 2 Regular Interests, the Pooling REMIC 3 Regular Interests or the Pooling
      REMIC 4 Regular Interests which notice shall contain a certification that such
      transferee is a permitted LTURI holder hereunder. The Pooling REMIC 1 Regular
      Interests, the Pooling REMIC 2 Regular Interests, the Pooling REMIC 3 Regular
      Interests or the Pooling REMIC 4 Regular Interests may only be transferred
      in
      whole and not in part to no more than one LTURI-holder at a time who is either
      (1) an affiliate of the Master Servicer or (2) a trustee of a privately placed
      securitization. The Trustee and the Depositor shall treat the Person in whose
      name the Pooling REMIC 1 Regular Interests, Pooling REMIC 2 Regular Interests,
      Pooling REMIC 3 Regular Interests or the Pooling REMIC 4 Regular Interests
      are
      registered on the books of the Certificate Registrar as the LTURI-holder for
      all
      purposes hereunder.

     

    

    
      
        
          
          

        

        
          129

          
            

          

        

        
          
          

        

      

    

    

    

     

    Section
      3.03. Transfer
      and Exchange of Certificates. 

     

    (a)
       A
      Certificate (other than a Book-Entry Certificate which shall be subject to
      Section 3.09 hereof) may be transferred by the Holder thereof only upon
      presentation and surrender of such Certificate at the office of the Certificate
      Registrar duly endorsed or accompanied by an assignment duly executed by such
      Holder or his duly authorized attorney in such form as shall be satisfactory
      to
      the Certificate Registrar. Upon the transfer of any Certificate in accordance
      with the preceding sentence, the Trustee shall execute, and the Trustee or
      any
      Authenticating Agent shall authenticate and deliver to the transferee, one
      or
      more new Certificates of the same Class and evidencing, in the aggregate, the
      same aggregate Certificate Principal Amount (or Notional Amount) or Percentage
      Interest as the Certificate being transferred. No service charge shall be made
      to a Certificateholder for any registration of transfer of Certificates, but
      the
      Certificate Registrar may require payment of a sum sufficient to cover any
      tax
      or governmental charge that may be imposed in connection with any registration
      of transfer of Certificates.

     

    (b)
       A
      Certificate may be exchanged by the Holder thereof for any number of new
      Certificates of the same Class, in authorized denominations, representing in
      the
      aggregate the same Certificate Principal Amount (or Notional Amount) or
      Percentage Interest as the Certificate surrendered, upon surrender of the
      Certificate to be exchanged at the office of the Certificate Registrar duly
      endorsed or accompanied by a written instrument of transfer duly executed by
      such Holder or his duly authorized attorney in such form as is satisfactory
      to
      the Certificate Registrar. Certificates delivered upon any such exchange will
      evidence the same obligations, and will be entitled to the same rights and
      privileges, as the Certificates surrendered. No service charge shall be made
      to
      a Certificateholder for any exchange of Certificates, but the Certificate
      Registrar may require payment of a sum sufficient to cover any tax or
      governmental charge that may be imposed in connection with any exchange of
      Certificates. Whenever any Certificates are so surrendered for exchange, the
      Trustee shall execute, and the Trustee or the Authenticating Agent shall
      authenticate, date and deliver the Certificates which the Certificateholder
      making the exchange is entitled to receive.

     

    (c)
       By
      acceptance of a Restricted Certificate, whether upon original issuance or
      subsequent transfer, each Holder of such a Certificate acknowledges the
      restrictions on the transfer of such Certificate set forth thereon and agrees
      that it will transfer such a Certificate only as provided herein. 

     

    The
      following restrictions shall apply with respect to the transfer and registration
      of transfer of a Restricted Certificate to a transferee that takes delivery
      in
      the form of a Definitive Certificate:

    

    (i) The
      Certificate Registrar shall register the transfer of a Restricted Certificate
      if
      the requested transfer is (x) to the Depositor or an affiliate (as defined
      in
      Rule 405 under the Securities Act) of the Depositor or (y) being made to a
      “qualified institutional buyer” (a “QIB”) as defined in Rule 144A under the
      Securities Act by a transferor that has provided the Trustee with a certificate
      in the form of Exhibit F hereto; and

    

    
      
        
          
          

        

        
          130

          
            

          

        

        
          
          

        

      

    

    

    

    

    (ii) The
      Certificate Registrar shall register the transfer of a Restricted Certificate
      if
      the requested transfer is being made to an “accredited investor” under Rule
      501(a)(1), (2), (3) or (7) under the Securities Act, or to any Person all of
      the
      equity owners in which are such accredited investors, by a transferor who
      furnishes to the Trustee a letter of the transferee substantially in the form
      of
      Exhibit G hereto.

    

    (d)
       (i)
      No
      transfer of an ERISA-Restricted Certificate in the form of a Definitive
      Certificate shall be made to any Person or shall be effective unless the Trustee
      has received (A) a certificate substantially in the form of Exhibit H hereto
      (or
      Exhibit D-1, in the case of a Residual Certificate) from such transferee or
      (B)
      an Opinion of Counsel to the effect that the purchase and holding of such a
      Certificate will not constitute or result in prohibited transactions under
      Title
      I of ERISA or Section 4975 of the Code and will not subject the Trustee, the
      Master Servicer, the Depositor, any Servicer or any NIMS Insurer to any
      obligation in addition to those undertaken in the Agreement; provided,
      however,
      that the
      Trustee will not require such certificate or opinion in the event that, as
      a
      result of a change of law or otherwise, the Trustee receives an Opinion of
      Counsel to the effect that the purchase and holding of an ERISA-Restricted
      Certificate by a Plan or a Person that is purchasing or holding such a
      Certificate with the assets of a Plan will not constitute or result in a
      prohibited transaction under Title I of ERISA or Section 4975 of the Code.
      Each
      Transferee of an ERISA-Restricted Certificate that is a Book-Entry Certificate
      shall be deemed to have made the representations set forth in Exhibit H. The
      preparation and delivery of the certificate and opinions referred to above
      shall
      not be an expense of the Trust Fund, the Trustee, the Master Servicer, any
      NIMS
      Insurer or the Depositor.

     

    Notwithstanding
      the foregoing, no opinion or certificate shall be required for the initial
      issuance of the ERISA-Restricted Certificates. The Trustee shall have no
      obligation to monitor transfers of Book-Entry Certificates that are
      ERISA-Restricted Certificates and shall have no liability for transfers of
      such
      Certificates in violation of the transfer restrictions. The Trustee shall be
      under no liability to any Person for any registration of transfer of any
      ERISA-Restricted Certificate that is in fact not permitted by this Section
      3.03(d) or for making any payments due on such Certificate to the Holder thereof
      or taking any other action with respect to such Holder under the provisions
      of
      this Agreement so long as the transfer was registered by the Trustee in
      accordance with the foregoing requirements. The Trustee shall be entitled,
      but
      not obligated, to recover from any Holder of any ERISA-Restricted Certificate
      that was in fact a Plan or a Person acting on behalf of any such Plan, any
      payments made on such ERISA-Restricted Certificate at and after either such
      time. Any such payments so recovered by the Trustee shall be paid and delivered
      by the Trustee to the last preceding Holder of such Certificate that is not
      such
      a Plan or Person acting on behalf of a Plan.

     

    

    
      
        
          
          

        

        
          131

          
            

          

        

        
          
          

        

      

    

    

    

     

    (ii) No
      transfer of an ERISA-Restricted Trust Certificate shall be made prior to the
      termination of the Group 1 Swap Agreement and the Group 1 Cap Agreement (in
      the
      case of the Group 1 Certificates (other than the Class 1B-A2 Certificates))
      or
      prior to the termination of the Group 2 Swap Agreement and the Group 2 Cap
      Agreement (in the case of the Group 2 Certificates) unless the Trustee shall
      have received a representation letter from the transferee of such Certificate,
      substantially in the form set forth in Exhibit H, to the effect that either
      (i)
      such transferee is neither a Plan nor a Person acting on behalf of any such
      Plan
      or using the assets of any such Plan to effect such transfer or (ii) the
      acquisition and holding of the ERISA-Restricted Trust Certificate are eligible
      for exemptive relief under the statutory exemption for nonfiduciary service
      providers under Section 408(b)(17) of ERISA and Section 4975(d)(20) of the
      Code,
      Prohibited Transaction Class Exemption (“PTCE”) 84-14, PTCE 90-1, PTCE 91-38,
      PTCE 95-60 or PTCE 96-23 or some other applicable exemption. Notwithstanding
      anything else to the contrary herein, prior to the termination of the Group
      1
      Swap Agreement and the Group 1 Cap Agreement (in the case of the Group 1
      Certificates (other than the Class 1B-A2 Certificates)) or prior to the
      termination of the Group 2 Swap Agreement and the Group 2 Cap Agreement (in
      the
      case of the Group 2 Certificates), any purported transfer of an ERISA-Restricted
      Trust Certificate on behalf of a Plan without the delivery to the Trustee of
      a
      representation letter as described above shall be void and of no effect. If
      the
      ERISA-Restricted Trust Certificate is a Book-Entry Certificate prior to the
      termination of the Group 1 Swap Agreement and the Group 1 Cap Agreement (in
      the
      case of the Group 1 Certificates (other than the Class 1B-A2 Certificates))
      or
      prior to the termination of the Group 2 Swap Agreement and the Group 2 Cap
      Agreement (in the case of the Group 2 Certificates), the transferee will be
      deemed to have made a representation as provided in clause (i) or (ii) of this
      paragraph, as applicable.

     

    If
      any
      ERISA-Restricted Trust Certificate, or any interest therein, is acquired or
      held
      in violation of the provisions of the preceding paragraph, the next preceding
      permitted beneficial owner will be treated as the beneficial owner of that
      Certificate, retroactive to the date of transfer to the purported beneficial
      owner. Any purported beneficial owner whose acquisition or holding of an
      ERISA-Restricted Trust Certificate, or interest therein, was effected in
      violation of the provisions of the preceding paragraph shall indemnify to the
      extent permitted by law and hold harmless the Depositor, the Trustee, any NIMS
      Insurer and the Master Servicer from and against any and all liabilities,
      claims, costs or expenses incurred by such parties as a result of such
      acquisition or holding.

     

    To
      the
      extent permitted under applicable law (including, but not limited to, ERISA),
      the Trustee shall be under no liability to any Person for any registration
      of
      transfer of any ERISA-Restricted Trust Certificate that is in fact not permitted
      by this Section 3.03(d)(ii) or for making any payments due on such Certificate
      to the Holder thereof or taking any other action with respect to such Holder
      under the provisions of this Agreement so long as the transfer was registered
      by
      the Trustee in accordance with the foregoing requirements.

     

    (e)
       As
      a
      condition of the registration of transfer or exchange of any Certificate, the
      Certificate Registrar may require the certified taxpayer identification number
      of the owner of the Certificate and the payment of a sum sufficient to cover
      any
      tax or other governmental charge imposed in connection therewith; provided,
      however,
      that the
      Certificate Registrar shall have no obligation to require such payment or to
      determine whether or not any such tax or charge may be applicable. No service
      charge shall be made to the Certificateholder for any registration, transfer
      or
      exchange of a Certificate.

     

    (f)
       Notwithstanding
      anything to the contrary contained herein, no Residual Certificate may be owned,
      pledged or transferred, directly or indirectly, by or to (i) a Disqualified
      Organization or (ii) an individual, corporation or partnership or other person
      unless such person is (A) not a Non-U.S. Person or (B) is a Non-U.S. Person
      that
      holds a Residual Certificate in connection with the conduct of a trade or
      business within the United States and has furnished the transferor and the
      Trustee with an effective Internal Revenue Service W-8ECI or successor form
      at
      the time and in the manner required by the Code (any such person who is not
      covered by clause (A) or (B) above is referred to herein as a “Non-permitted
      Foreign Holder”).

     

    

    
      
        
          
          

        

        
          132

          
            

          

        

        
          
          

        

      

    

    

    

     

    Prior
      to
      and as a condition of the registration of any transfer, sale or other
      disposition of a Residual Certificate, the proposed transferee shall deliver
      to
      the Trustee an affidavit in substantially the form attached hereto as Exhibit
      D-1 representing and warranting, among other things, that such transferee is
      neither a Disqualified Organization, an agent or nominee acting on behalf of
      a
      Disqualified Organization, nor a Non-Permitted Foreign Holder (any such
      transferee, a “Permitted Transferee”), and the proposed transferor shall deliver
      to the Trustee an affidavit in substantially the form attached hereto as Exhibit
      D-2. In addition, the Trustee may (but shall have no obligation to) require,
      prior to and as a condition of any such transfer, the delivery by the proposed
      transferee of an Opinion of Counsel, addressed to the Depositor, the Master
      Servicer, any NIMS Insurer and the Trustee satisfactory in form and substance
      to
      the Depositor, that such proposed transferee or, if the proposed transferee
      is
      an agent or nominee, the proposed beneficial owner, is not a Disqualified
      Organization, agent or nominee thereof, or a Non-Permitted Foreign Holder.
      Notwithstanding the registration in the Certificate Register of any transfer,
      sale, or other disposition of a Residual Certificate to a Disqualified
      Organization, an agent or nominee thereof, or Non-Permitted Foreign Holder,
      such
      registration shall be deemed to be of no legal force or effect whatsoever and
      such Disqualified Organization, agent or nominee thereof, or Non-Permitted
      Foreign Holder shall not be deemed to be a Certificateholder for any purpose
      hereunder, including, but not limited to, the receipt of distributions on such
      Residual Certificate. The Trustee shall not be under any liability to any person
      for any registration or transfer of a Residual Certificate to a Disqualified
      Organization, agent or nominee thereof or Non-permitted Foreign Holder or for
      the maturity of any payments due on such Residual Certificate to the Holder
      thereof or for taking any other action with respect to such Holder under the
      provisions of the Agreement, so long as the transfer was effected in accordance
      with this Section 3.03(f), unless a Responsible Officer of the Trustee shall
      have actual knowledge at the time of such transfer or the time of such payment
      or other action that the transferee is a Disqualified Organization, or an agent
      or nominee thereof, or Non-permitted Foreign Holder. The Trustee shall be
      entitled, but not obligated, to recover from any Holder of a Residual
      Certificate that was a Disqualified Organization, agent or nominee thereof,
      or
      Non-permitted Foreign Holder at the time it became a Holder or any subsequent
      time it became a Disqualified Organization, agent or nominee thereof, or
      Non-permitted Foreign Holder, all payments made on such Residual Certificate
      at
      and after either such times (and all costs and expenses, including but not
      limited to attorneys’ fees, incurred in connection therewith). Any payment (not
      including any such costs and expenses) so recovered by the Trustee shall be
      paid
      and delivered to the last preceding Holder of such Residual
      Certificate.

     

    If
      any
      purported transferee shall become a registered Holder of a Residual Certificate
      in violation of the provisions of this Section 3.03(f), then upon receipt of
      written notice to the Trustee or the Certificate Register that the registration
      of transfer of such Residual Certificate was not in fact permitted by this
      Section 3.03(f), the last preceding Permitted Transferee shall be restored
      to
      all rights as Holder thereof retroactive to the date of such registration of
      transfer of such Residual Certificate. The Trustee shall be under no liability
      to any Person for any registration of transfer of a Residual Certificate that
      is
      in fact not permitted by this Section 3.03(f), for making any payment due on
      such Certificate to the registered Holder thereof or for taking any other action
      with respect to such Holder under the provisions of this Agreement so long
      as
      the transfer was registered upon receipt of the affidavit described in the
      preceding paragraph of this Section 3.03(f).

     

    

    
      
        
          
          

        

        
          133

          
            

          

        

        
          
          

        

      

    

    

    

     

    (g)
       Each
      Holder or Certificate Owner of a Restricted Certificate, ERISA-Restricted
      Certificate, ERISA-Restricted Trust Certificate or Residual Certificate, or
      an
      interest therein, by such Holder’s or Owner’s acceptance thereof, shall be
      deemed for all purposes to have consented to the provisions of this
      section.

     

    Section
      3.04. Cancellation
      of Certificates. 

     

    Any
      Certificate surrendered for registration of transfer or exchange shall be
      cancelled and retained in accordance with the Trustee’s normal retention
      policies with respect to cancelled certificates maintained by the Trustee or
      the
      Certificate Registrar.

    

    Section
      3.05. Replacement
      of Certificates. 

     

    If
      (i)
      any Certificate is mutilated and is surrendered to the Trustee or any
      Authenticating Agent or (ii) the Trustee or any Authenticating Agent receives
      evidence to its satisfaction of the destruction, loss or theft of any
      Certificate, and there is delivered to the Trustee and the Authenticating Agent
      and any NIMS Insurer such security or indemnity as may be required by them
      to
      save each of them harmless, then, in the absence of notice to the Trustee and
      any Authenticating Agent that such destroyed, lost or stolen Certificate has
      been acquired by a bona fide purchaser, the Trustee shall execute and the
      Trustee or any Authenticating Agent shall authenticate and deliver, in exchange
      for or in lieu of any such mutilated, destroyed, lost or stolen Certificate,
      a
      new Certificate of like tenor and Certificate Principal Amount (or Notional
      Amount). Upon the issuance of any new Certificate under this Section 3.05,
      the
      Trustee and Authenticating Agent may require the payment of a sum sufficient
      to
      cover any tax or other governmental charge that may be imposed in relation
      thereto and any other expenses (including the fees and expenses of the Trustee
      or the Authenticating Agent) connected therewith. Any replacement Certificate
      issued pursuant to this Section 3.05 shall constitute complete and indefeasible
      evidence of ownership in the applicable Trust Fund, as if originally issued,
      whether or not the lost, stolen or destroyed Certificate shall be found at
      any
      time.

    

    Section
      3.06. Persons
      Deemed Owners. 

     

    Subject
      to the provisions of Section 3.09 with respect to Book-Entry Certificates,
      the
      Depositor, the Master Servicer, the Trustee, the Certificate Registrar, any
      NIMS
      Insurer and any agent of any of them may treat the Person in whose name any
      Certificate is registered upon the books of the Certificate Registrar as the
      owner of such Certificate for the purpose of receiving distributions pursuant
      to
      Sections 5.01, 5A.02, 5B.02, 5C.02 and 5D.02 and for all other purposes
      whatsoever, and neither the Depositor, the Master Servicer, the Trustee, the
      Certificate Registrar, any NIMS Insurer nor any agent of any of them shall
      be
      affected by notice to the contrary.

    

    Section
      3.07. Temporary
      Certificates. 

     

    

    
      
        
          
          

        

        
          134

          
            

          

        

        
          
          

        

      

    

    

    

     

    (a)
       Pending
      the preparation of definitive Certificates, upon the order of the Depositor,
      the
      Trustee shall execute and shall authenticate and deliver temporary Certificates
      that are printed, lithographed, typewritten, mimeographed or otherwise produced,
      in any authorized denomination, substantially of the tenor of the definitive
      Certificates in lieu of which they are issued and with such variations as the
      authorized officers executing such Certificates may determine, as evidenced
      by
      their execution of such Certificates.

     

    (b)
       If
      temporary Certificates are issued, the Depositor will cause definitive
      Certificates to be prepared without unreasonable delay. After the preparation
      of
      definitive Certificates, the temporary Certificates shall be exchangeable for
      definitive Certificates upon surrender of the temporary Certificates at the
      office or agency of the Trustee without charge to the Holder. Upon surrender
      for
      cancellation of any one or more temporary Certificates, the Trustee shall
      execute and authenticate and deliver in exchange therefor a like aggregate
      Certificate Principal Amount (or Notional Amount) of definitive Certificates
      of
      the same Class in the authorized denominations. Until so exchanged, the
      temporary Certificates shall in all respects be entitled to the same benefits
      under this Agreement as definitive Certificates of the same Class.

     

    Section
      3.08. Appointment
      of Paying Agent. 

     

    (a)
       The
      Trustee may appoint a Paying Agent (which may be the Trustee) for the purpose
      of
      making distributions to Certificateholders hereunder. The Trustee shall cause
      such Paying Agent (if other than the Trustee) to execute and deliver to the
      Trustee an instrument in which such Paying Agent shall agree with the Trustee
      that such Paying Agent will hold all sums held by it for the payment to
      Certificateholders in an Eligible Account in trust for the benefit of the
      Certificateholders entitled thereto until such sums shall be paid to the
      Certificateholders. All funds remitted by the Trustee to any such Paying Agent
      for the purpose of making distributions shall be paid to Certificateholders
      on
      each Distribution Date and any amounts not so paid shall be returned on such
      Distribution Date to the Trustee. If the Paying Agent is not the Trustee, the
      Trustee shall cause to be remitted to the Paying Agent on or before the Business
      Day prior to each Distribution Date, by wire transfer in immediately available
      funds, the funds to be distributed on such Distribution Date. Any Paying Agent
      shall be either a bank or trust company or otherwise authorized under law to
      exercise corporate trust powers. As of the Closing Date, the Trustee is the
      Paying Agent.

     

    (b)
       Any
      Paying Agent shall comply with its reporting obligations under Regulation AB
      with respect to the Trust Fund in form and substance similar to those of the
      Trustee pursuant to Section 6.20, and the related assessment of compliance
      shall
      cover, at a minimum, the elements of the servicing criteria applicable to the
      Paying Agent indicated in Exhibit O attached hereto. For so long as the
      Depositor is subject to Exchange Act reporting requirements with respect to
      the
      Trust, the Paying Agent shall give prior written notice to the Sponsor, the
      Master Servicer, the Trustee and the Depositor of the appointment of any
      Subcontractor by it and a written description (in form and substance reasonably
      satisfactory to the Sponsor and the Depositor) of the role and function of
      each
      Subcontractor utilized by the Paying Agent, as applicable, specifying (A) the
      identity of each such Subcontractor and (B) which elements of the servicing
      criteria set forth under Item 1122(d) of Regulation AB will be addressed in
      assessments of compliance provided by each such Subcontractor. In addition,
      for
      so long as the Depositor is subject to Exchange Act reporting requirements
      with
      respect to the Trust, the Paying Agent shall notify the Sponsor, the Master
      Servicer, the Trustee and the Depositor within five (5) calendar days of
      knowledge thereof (i) of any legal proceedings pending against the Paying Agent
      of the type described in Item 1117 (§ 229.1117) of Regulation AB, (ii) any
      merger, consolidation or sale of substantially all of the assets of the Paying
      Agent and (iii) if the Paying Agent shall become (but only to the extent not
      previously disclosed) at any time an affiliate of any of the parties listed
      on
      Exhibit P hereto or any of their affiliates. On or before March 1st
      of each
      year, the Depositor shall furnish any change in the information in Exhibit
      P to
      the Paying Agent and the Trustee.

     

    

    
      
        
          
          

        

        
          135

          
            

          

        

        
          
          

        

      

    

    

    

     

    (c)
       Any
      Paying Agent agrees to indemnify the Depositor, the Trustee and the Master
      Servicer, and each of their respective directors, officers, employees and agents
      and the Trust Fund and hold each of them harmless from and against any losses,
      damages, penalties, fines, forfeitures, legal fees and expenses and related
      costs, judgments, and any other costs, fees and expenses that any of them may
      sustain arising out of or based upon the failure by such Paying Agent to deliver
      any information, report or certification when and as required under Section
      6.20
      and Section 9.25(a). This indemnification shall survive the termination of
      this
      Agreement or the termination of such Paying Agent hereunder.

     

    Section
      3.09. Book-Entry
      Certificates. 

     

    (a)
       Each
      Class of Book-Entry Certificates, upon original issuance, shall be issued in
      the
      form of one or more typewritten Certificates representing the Book-Entry
      Certificates. The Book-Entry Certificates shall initially be registered on
      the
      Certificate Register in the name of the nominee of the Clearing Agency, and
      no
      Certificate Owner will receive a definitive certificate representing such
      Certificate Owner’s interest in the Book-Entry Certificates, except as provided
      in Section 3.09(c). Unless Definitive Certificates have been issued to
      Certificate Owners of Book-Entry Certificates pursuant to Section
      3.09(c):

     

    (i)
       the
      provisions of this Section 3.09 shall be in full force and effect;

     

    (ii)
       the
      Depositor, the Master Servicer, the Paying Agent, the Registrar, any NIMS
      Insurer and the Trustee may deal with the Clearing Agency for all purposes
      (including the making of distributions on the Book-Entry Certificates) as the
      authorized representatives of the Certificate Owners and the Clearing Agency
      shall be responsible for crediting the amount of such distributions to the
      accounts of such Persons entitled thereto, in accordance with the Clearing
      Agency’s normal procedures;

     

    (iii)
       to
      the
      extent that the provisions of this Section 3.09 conflict with any other
      provisions of this Agreement, the provisions of this Section 3.09 shall control;
      and

     

    (iv)
       the
      rights of Certificate Owners shall be exercised only through the Clearing Agency
      and the Clearing Agency Participants and shall be limited to those established
      by law and agreements between such Certificate Owners and the Clearing Agency
      and/or the Clearing Agency Participants. Unless and until Definitive
      Certificates are issued pursuant to Section 3.09(c), the initial Clearing Agency
      will make book-entry transfers among the Clearing Agency Participants and
      receive and transmit distributions of principal of and interest on the
      Book-Entry Certificates to such Clearing Agency Participants.

     

    

    
      
        
          
          

        

        
          136

          
            

          

        

        
          
          

        

      

    

    

    

     

    (b)
       Whenever
      notice or other communication to the Certificateholders is required under this
      Agreement, unless and until Definitive Certificates shall have been issued
      to
      Certificate Owners pursuant to Section 3.09(c), the Trustee shall give all
      such
      notices and communications specified herein to be given to Holders of the
      Book-Entry Certificates to the Clearing Agency.

     

    (c)
       If
      (i)
      (A) the Depositor advises the Trustee in writing that the Clearing Agency is
      no
      longer willing or able to discharge properly its responsibilities with respect
      to the Book-Entry Certificates, and (B) the Trustee or the Depositor is unable
      to locate a qualified successor, or (ii) after the occurrence of an Event
      of Default, Certificate Owners representing beneficial interests aggregating
      not
      less than 50% of the Class Principal Amount (or Class Notional Amount) of a
      Class of Book-Entry Certificates identified as such to the Trustee by an
      Officer’s Certificate from the Clearing Agency advise the Trustee and the
      Clearing Agency through the Clearing Agency Participants in writing that the
      continuation of a book-entry system through the Clearing Agency is no longer
      in
      the best interests of the Certificate Owners of a Class of Book-Entry
      Certificates, the Trustee shall notify any NIMS Insurer shall notify or cause
      the Certificate Registrar to notify the Clearing Agency to effect notification
      to all Certificate Owners, through the Clearing Agency, of the occurrence of
      any
      such event and of the availability of Definitive Certificates to Certificate
      Owners requesting the same. Upon surrender to the Trustee of the Book-Entry
      Certificates by the Clearing Agency, accompanied by registration instructions
      from the Clearing Agency for registration, the Trustee shall issue the
      Definitive Certificates. Neither the Depositor nor the Trustee shall be liable
      for any delay in delivery of such instructions and may conclusively rely on,
      and
      shall be protected in relying on, such instructions. Upon the issuance of
      Definitive Certificates all references herein to obligations imposed upon or
      to
      be performed by the Clearing Agency shall be deemed to be imposed upon and
      performed by the Trustee, to the extent applicable, with respect to such
      Definitive Certificates and the Trustee shall recognize the holders of the
      Definitive Certificates as Certificateholders hereunder. None of the Seller,
      the
      Depositor, the Underwriter, the Master Servicer or the Trustee shall have any
      responsibility for any aspect of the records relating to or payments made on
      account of beneficial ownership interests of the Book-Entry Certificates held
      by
      the Clearing Agency or for maintaining, supervising or reviewing any records
      relating to such beneficial ownership interests.

     

    ARTICLE
      IV

     

    ADMINISTRATION
      OF THE TRUST FUND

     

    
      	 	
              Section
                4.01.

            	
              Collection
                Account. 

            

    

     

    (a)
       On
      the
      Closing Date, the Master Servicer shall open and shall thereafter maintain
      a
      segregated account held in trust (the “Collection Account”), entitled
“Collection Account, Aurora Loan Services LLC, as Master Servicer, in trust
      for
      the benefit of the Holders of Lehman XS Trust Mortgage Pass-Through
      Certificates, Series 2007-3.” The Collection Account shall relate solely to the
      Certificates and to the Lower-Tier REMIC Uncertificated Regular Interests issued
      by the Trust Fund hereunder, and funds in such Collection Account shall not
      be
      commingled with any other monies.

     

    

    
      
        
          
          

        

        
          137

          
            

          

        

        
          
          

        

      

    

    

    

     

    (b)
       The
      Collection Account shall be an Eligible Account. If an existing Collection
      Account ceases to be an Eligible Account, the Master Servicer shall establish
      a
      new Collection Account that is an Eligible Account within 10 days and transfer
      all funds and investment property on deposit in such existing Collection Account
      into such new Collection Account.

     

    (c)
       The
      Master Servicer shall give to the Trustee prior written notice of the name
      and
      address of the depository institution at which the Collection Account is
      maintained and the account number of such Collection Account. The Master
      Servicer shall take such actions as are necessary to cause the depository
      institution holding the Collection Account to hold such account in the name
      of
      the Master Servicer under this Agreement. No later than 2:00 p.m. New York
      City
      time on each Master Servicer Remittance Date, the entire amount on deposit
      in
      the Collection Account (subject to permitted withdrawals set forth in Section
      4.02), other than amounts not included in the Total Distribution Amount for
      such
      Distribution Date, shall be remitted to the Trustee for deposit into the
      Certificate Account by wire transfer in immediately available funds. The Master
      Servicer, at its option (but with prior notice to the Trustee), may choose
      to
      make daily remittances from the Collection Account to the Trustee for deposit
      into the Certificate Account.

     

    (d)
       The
      Master Servicer shall deposit or cause to be deposited into the Collection
      Account, no later than two Business Days following the Closing Date, any amounts
      received with respect to the Mortgage Loans representing Scheduled Payments
      on
      the Mortgage Loans due after the Cut-off Date and unscheduled payments received
      on or after the Cut-off Date and on or before the Closing Date. Thereafter,
      the
      Master Servicer shall deposit or cause to be deposited in the Collection Account
      on the earlier of the applicable Master Servicer Remittance Date and two
      Business Days following receipt thereof, the following amounts received or
      payments made by it (other than in respect of principal of and interest on
      the
      Mortgage Loans due on or before the Cut-off Date):

     

    (i)
       all
      payments on account of principal, including Principal Prepayments, any
      Subsequent Recovery and any Scheduled Payment attributable to principal received
      after the related Due Date, late collections, and any Prepayment Premiums,
      on
      the Mortgage Loans;

     

    (ii)
       all
      payments on account of interest on the Mortgage Loans, including any Prepayment
      Premiums, in all cases, net of the Servicing Fee and the PMI Insurance Premiums,
      if any, with respect to each such Mortgage Loan, but only to the extent of
      the
      amount permitted to be withdrawn or withheld from the Collection Account in
      accordance with Sections 5.04 and 9.21;

     

    (iii)
       any
      unscheduled payment or other recovery with respect to a Mortgage Loan not
      otherwise specified in this paragraph (d), including all Net Liquidation
      Proceeds with respect to the Mortgage Loans and REO Property, and all amounts
      received in connection with the operation of any REO Property, net of (x) any
      unpaid Servicing Fees with respect to such Mortgage Loans (but only to the
      extent of the amount permitted to be withdrawn or withheld from the Collection
      Account in accordance with Sections 5.04 and 9.21) and (y) any amounts
      reimbursable to a Servicer with respect to such Mortgage Loan under the
      applicable Servicing Agreement and retained by such Servicer;

     

    

    
      
        
          
          

        

        
          138

          
            

          

        

        
          
          

        

      

    

    

    

     

    (iv)
       all
      Insurance Proceeds;

     

    (v)
       all
      Advances made by the Master Servicer or any Servicer pursuant to Section 5.04
      or
      the applicable Servicing Agreement;

     

    (vi)
       any
      Seller Remittance Amounts remitted by a Servicer;

     

    (vii)
       all
      amounts paid by any Servicer with respect to Prepayment Interest Shortfalls;
      and

     

    (viii)
       the
      Purchase Price or FPD Purchase Price (including any FPD Premium) of any Mortgage
      Loan repurchased by the Depositor, the Seller, the Master Servicer or any other
      Person, and any Substitution Amount related to any Qualifying Substitute
      Mortgage Loan and any purchase price paid by the NIMS Insurer for the purchase
      of any Distressed Mortgage Loan under Section 7.04.

     

    (e)
       Funds
      in
      the Collection Account may be invested in Eligible Investments selected by
      and
      at the written direction of the Master Servicer, which shall mature not later
      than one Business Day prior to the Master Servicer Remittance Date (except
      that
      if such Eligible Investment is an obligation of the Trustee, then such Eligible
      Investment shall mature not later than such applicable Master Servicer
      Remittance Date) and any such Eligible Investment shall not be sold or disposed
      of prior to its maturity. All such Eligible Investments shall be made in the
      name of the Master Servicer in trust for the benefit of the Trustee and the
      Holders of Lehman XS Trust Mortgage Pass-Through Certificates, Series 2007-3.
      All income and gain realized from any Eligible Investment shall be for the
      benefit of the Master Servicer and shall be subject to its withdrawal or order
      from time to time and shall not be part of the Trust Fund. The amount of any
      losses incurred in respect of any such investments shall be deposited in such
      Collection Account by the Master Servicer out of its own funds, without any
      right of reimbursement therefor, immediately as realized. The foregoing
      requirements for deposit in the Collection Account are exclusive, it being
      understood and agreed that, without limiting the generality of the foregoing,
      payments of interest on funds in the Collection Account and payments in the
      nature of late payment charges, assumption fees, prepayment penalties with
      respect to mortgages for which the Seller does not own the servicing rights,
      and
      other incidental fees and charges relating to the Mortgage Loans (other than
      Prepayment Premiums) need not be deposited by the Master Servicer in the
      Collection Account and may be retained by the Master Servicer or the applicable
      Servicer as additional servicing compensation. If the Master Servicer deposits
      in the Collection Account any amount not required to be deposited therein,
      it
      may at any time withdraw such amount from such Collection Account. 

     

    
      	 	
              Section
                4.02.

            	
              Application
                of Funds in the Collection Account.

            

    

     

    The
      Master Servicer may, from time to time, make, or cause to be made, withdrawals
      from the Collection Account for the following purposes:

     

    (i)
       to
      reimburse itself or any Servicer for Advances or Servicing Advances made by
      it
      or by such Servicer pursuant to Section 5.04 or the applicable Servicing
      Agreement; such right to reimbursement pursuant to this clause (i) is limited
      to
      amounts received on or in respect of a particular Mortgage Loan (including,
      for
      this purpose, Liquidation Proceeds and amounts representing Insurance Proceeds
      with respect to the property subject to the related Mortgage) which represent
      late recoveries (net of the applicable Servicing Fee) of payments of principal
      or interest respecting which any such Advance was made, it being understood,
      in
      the case of any such reimbursement, that the Master Servicer’s or Servicer’s
      right thereto shall be prior to the rights of the
      Certificateholders;

     

    

    
      
        
          
          

        

        
          139

          
            

          

        

        
          
          

        

      

    

    

    

     

    (ii)
       to
      reimburse itself or any Servicer, following a final liquidation of a Mortgage
      Loan (except as otherwise provided in the related Servicing Agreement) for
      any
      previously unreimbursed Advances or Servicing Advances made by it or by such
      Servicer (A) that it or such Servicer determines in good faith will not be
      recoverable from amounts representing late recoveries of payments of principal
      or interest respecting the particular Mortgage Loan as to which such Advance
      or
      Servicing Advance was made or from Liquidation Proceeds or Insurance Proceeds
      with respect to such Mortgage Loan and/or (B) to the extent that such
      unreimbursed Advances or Servicing Advances exceed the related Liquidation
      Proceeds or Insurance Proceeds, it being understood, in the case of each such
      reimbursement, that such Master Servicer’s or Servicer’s right thereto shall be
      prior to the rights of the Certificateholders;

     

    (iii)
       to
      reimburse itself or any Servicer from Liquidation Proceeds for Liquidation
      Expenses and for amounts expended by it pursuant to Sections 9.20 and 9.22(c)
      or
      the applicable Servicing Agreement in good faith in connection with the
      restoration of damaged property and, to the extent that Liquidation Proceeds
      after such reimbursement exceed the unpaid principal balance of the related
      Mortgage Loan, together with accrued and unpaid interest thereon at the
      applicable Mortgage Rate less the applicable Servicing Fee Rate for such
      Mortgage Loan to the Due Date next succeeding the date of its receipt of such
      Liquidation Proceeds, to pay to itself out of such excess the amount of any
      unpaid assumption fees, late payment charges or other Mortgagor charges on
      the
      related Mortgage Loan and to retain any excess remaining thereafter as
      additional servicing compensation, it being understood, in the case of any
      such
      reimbursement or payment, that such Master Servicer’s or Servicer’s right
      thereto shall be prior to the rights of the Certificateholders;

     

    (iv)
       all
      Advances made by the Master Servicer, any Servicer or the Trustee pursuant
      to
      Section 5.04 or the applicable Servicing Agreement;

     

    (v)
       to
      reimburse itself or any Servicer for expenses incurred by and recoverable by
      or
      reimbursable to it or any Servicer pursuant to this Agreement, including,
      without limitation, Sections 9.04, 9.05, 9.06 9.07(a), 9.16, 9.30 or 11.15
      or
      pursuant to the related Servicing Agreement;

     

    (vi)
       to
      pay to
      the Seller any Seller Remittance Amount;

     

    (vii)
       to
      pay to
      the Depositor or the Seller, as applicable, with respect to each Mortgage Loan
      or REO Property acquired in respect thereof that has been purchased pursuant
      to
      this Agreement, all amounts received thereon and not distributed on the date
      on
      which the related repurchase was effected, and to pay to the applicable Person
      any Advances and Servicing Advances to the extent specified in the definition
      of
      Purchase Price (or FPD Purchase Price), any FPD Premium, if any, (in the case
      of
      a First Payment Default Loan), or any amounts paid by LBH for shortfalls in
      the
      Purchase Price for repurchases of First Payment Default Mortgage Loans
      pursuant to Section 1.04(f) of the Mortgage Loan Sale Agreement relating to
      the
      Seller paying the difference if the FPD Purchase Price is less than the Purchase
      Price;

     

    

    
      
        
          
          

        

        
          140

          
            

          

        

        
          
          

        

      

    

    

    

     

    (viii)
       if
      applicable, to pay the PMI Insurance Premium with respect to each Bulk PMI
      Policy;

     

    (ix)
       subject
      to Section 5.05, to pay to itself income earned on the investment of funds
      deposited in the Collection Account;

     

    (x)
       to
      make
      payments to the Trustee on each Master Servicer Remittance Date for deposit
      into
      the Certificate Account in the amount and in the manner provided in Section
      4.04;

     

    (xi)
       to
      make
      payment to itself, the Trustee and others pursuant to any other provision of
      this Agreement;

     

    (xii)
       to
      withdraw funds deposited in error in the Collection Account;

     

    (xiii)
       to
      clear
      and terminate the Collection Account pursuant to Section 7.02;

     

    (xiv)
       to
      reimburse a successor master servicer (solely in its capacity as successor
      master servicer), for any fee or advance occasioned by a termination of the
      Master Servicer, and the assumption of such duties by the Trustee or a successor
      master servicer appointed by the Trustee pursuant to Section 6.14, in each
      case
      to the extent not reimbursed by the terminated Master Servicer, it being
      understood, in the case of any such reimbursement or payment, that the right
      of
      the Master Servicer or the Trustee or other successor master servicer thereto
      shall be prior to the rights of the Certificateholders; and

     

    (xv)
       to
      reimburse any Servicer for such amounts as are due thereto under the applicable
      Servicing Agreement and have not been retained by or paid to such Servicer,
      to
      the extent provided in such Servicing Agreement.

     

    If
      provided in the related Servicing Agreement, each Servicer shall be entitled
      to
      retain as additional servicing compensation any Prepayment Interest Excess
      (to
      the extent not offset by Prepayment Interest Shortfalls). 

     

    In
      the
      event that the Master Servicer fails on any Master Servicer Remittance Date
      to
      remit to the Trustee any amounts required to be so remitted to the Trustee
      pursuant to subclause (viii) by such date, the Master Servicer shall pay
      the Trustee, for the account of the Trustee, interest calculated at the “prime
      rate” (as published in the “Money Rates” section of The Wall Street Journal) on
      such amounts not timely remitted for the period from and including that Master
      Servicer Remittance Date to but not including the related Distribution Date.
      The
      Master Servicer shall only be required to pay the Trustee interest for the
      actual number of days such amounts are not timely remitted (e.g., one day’s
      interest, if such amounts are remitted one day after the Master Servicer
      Remittance Date).

     

    

    
      
        
          
          

        

        
          141

          
            

          

        

        
          
          

        

      

    

    

    

     

    In
      connection with withdrawals made pursuant to subclauses (i), (iii), (vi) and
      (vii) above, the Master Servicer’s, any Servicer’s or such other Person’s
      entitlement thereto is limited to collections or other recoveries on the related
      Mortgage Loan. The Master Servicer shall therefore keep and maintain a separate
      accounting for each Mortgage Loan it master services for the purpose of
      justifying any withdrawal from the Collection Account it maintains pursuant
      to
      such subclause (i), (iii), (vi) and (vii). 

     

    Section
      4.03. Reports
      to Certificateholders. 

     

    (a)
       On
      each
      Distribution Date, the Trustee shall prepare (based solely on information
      provided by the Master Servicer, the Cap Counterparty or the Swap Counterparty)
      and shall make available to the Certificateholders, any NIMS Insurer and the
      Swap Counterparty a written report, which may be in electronic form (the
“Distribution Date Statement”) setting forth the following information (on the
      basis of Mortgage Loan level information obtained from the
      Servicers).

     

    (i)
       the
      aggregate amount of the distribution to be made on such Distribution Date to
      the
      Holders of each Class of Certificates (other than the Class 4A-AIO and Class
      4B-AIO Certificates), to the extent applicable, allocable to principal on the
      Mortgage Loans, including Liquidation Proceeds and Insurance Proceeds, stating
      separately the amount attributable to scheduled principal payments and
      unscheduled payments in the nature of principal;

     

    (ii)
       the
      aggregate amount of the distribution to be made on such Distribution Date to
      the
      Holders of each Class of Certificates allocable to interest and the calculation
      thereof;

     

    (iii)
       the
      amount, if any, of any distributions to the Holders of the Class 1-P, Class
      2-P,
      Class 1-X, Class 2-X, Class 3-X, Class 4-X, Class 1-LT-R, Class 2-LT-R , Class
      3-LT-R, Class 4-LT-R, Class 1-R, Class 2-R, Class 3-R and Class 4-R Certificates
      on such Distribution Date, stated separately, and the aggregate amounts, if
      any,
      of distributions to the Holders of the 1-P, Class 2-P, Class 1-X, Class 2-X,
      Class 3-X, Class 4-X, Class 1-LT-R, Class 2-LT-R , Class 3-LT-R, Class 4-LT-R,
      Class 1-R, Class 2-R, Class 3-R and Class 4-R Certificates on all Distribution
      Dates, stated separately;

     

    (iv)
       the
      amount, if any, of distributions to the 1-CX Component, the 1-SX Component,
      the
      1-XS Component, the 2-CX Component, the 2-SX Component and the 2-XS Component
      on
      such Distribution Date, stated separately, and the aggregate amounts, if any,
      of
      distributions on the 1-CX Component, the 1-SX Component, the 1-XS Component,
      the
      2-CX Component, the 2-SX Component and the 2-XS Component on all Distribution
      Dates, stated separately;

     

    (v)
       (A) by
      Mortgage Pool and in the aggregate, the aggregate amount of any Advances
      required to be made with respect to the related Collection Period by or on
      behalf of the Servicers (or the Master Servicer) with respect to such
      Distribution Date, (B) the aggregate amount of such Advances actually made,
      and (C) the amount, if any, by which (A) above exceeds (B)
      above;

     

    

    
      
        
          
          

        

        
          142

          
            

          

        

        
          
          

        

      

    

    

    

     

    (vi)
       by
      Mortgage Pool and in the aggregate, the total number of Mortgage Loans, the
      aggregate Scheduled Principal Balance of all the Mortgage Loans as of the close
      of business on the last day of the related Collection Period, after giving
      effect to payments allocated to principal reported under clause (i)
      above;

     

    (vii)
       the
      Class
      Principal Amount of each Class of Certificates, to the extent applicable, as
      of
      such Distribution Date after giving effect to payments allocated to principal
      reported under clause (i) above, separately identifying any reduction of any
      of
      the foregoing Certificate Principal Amounts due to Pool 1A-1B Applied Loss
      Amounts, the Pool 2 Applied Loss Amounts, the Pool 3A-3B Applied Loss Amounts
      and the Pool 4A-4B Applied Loss Amounts;

     

    (viii)
       the
      amount of any Prepayment Premiums distributed to the Class P Components of
      the
      Class 1-P and Class 2-P Certificates;

     

    (ix)
       by
      Mortgage Pool and in the aggregate, the amount of any Realized Losses incurred
      with respect to the Mortgage Loans (x) in the applicable Prepayment Period
      and
      (y) in the aggregate since the Cut-off Date;

     

    (x)
       by
      Mortgage Pool and in the aggregate, the amount of the Servicing Fees and PMI
      Insurance Premiums paid during the Collection Period to which such distribution
      relates;

     

    (xi)
       by
      Mortgage Pool and in the aggregate, the number and Aggregate Loan Balance of
      the
      Mortgage Loans, as reported to the Trustee by the Master Servicer, (a) remaining
      outstanding (b) Delinquent 30 to 59 days on a contractual basis, (c) Delinquent
      60 to 89 days on a contractual basis, (d) Delinquent 90 or more days on a
      contractual basis, (e) as to which foreclosure proceedings have been commenced
      as of the close of business on the last Business Day of the calendar month
      immediately preceding the month in which such Distribution Date occurs, (f)
      in
      bankruptcy and (g) that are REO Properties (the information in this item (xi)
      to
      be calculated using the OTS delinquency method);

     

    (xii)
       by
      Mortgage Pool and in the aggregate, the aggregate Scheduled Principal Balance
      of
      any Mortgage Loans with respect to which the related Mortgaged Property became
      a
      REO Property as of the close of business on the last Business Day of the
      calendar month immediately preceding the month in which such Distribution Date
      occurs;

     

    (xiii)
       with
      respect to substitution of Mortgage Loans in the preceding calendar month,
      the
      Scheduled Principal Balance of each Deleted Mortgage Loan, and of each
      Qualifying Substitute Mortgage Loan;

     

    (xiv)
       the
      aggregate outstanding Carryforward Interest, Net Prepayment Interest Shortfalls,
      Deferred Amounts, Basis Risk Shortfalls and Unpaid Basis Risk Shortfalls, if
      any, for each applicable Class of Certificates, after giving effect to the
      distribution made on such Distribution Date;

     

    

    
      
        
          
          

        

        
          143

          
            

          

        

        
          
          

        

      

    

    

    

     

    (xv)
       the
      Certificate Interest Rate applicable to such Distribution Date with respect
      to
      each Class of Certificates (with a notation if such Certificate Interest Rate
      reflects the application of the applicable Net Funds Cap);

     

    (xvi)
       With
      respect to each Pool, the Interest Remittance Amount and the Principal
      Remittance Amount with respect to each Mortgage Pool and the Pool 1A-1B Senior
      Principal Distribution Amount, the Pool 2 Senior Principal Distribution Amount,
      the Pool 3A-3B Senior Principal Distribution Amount, the Pool 4A-4B Senior
      Principal Distribution Amount, the Pool 1A-1B Aggregate Overcollateralization
      Release Amount, the Pool 2 Overcollateralization Release Amount, the Pool 3A-3B
      Aggregate Overcollateralization Release Amount and the Pool 4A-4B Aggregate
      Overcollateralization Release Amount applicable to such Distribution
      Date;

     

    (xvii)
       if
      applicable, the amount of any shortfall (i.e.,
      the
      difference between the aggregate amounts of principal and interest which
      Certificateholders would have received if there were sufficient available
      amounts in the Certificate Account and the amounts actually
      distributed);

     

    (xviii)
       the
      Pool
      1A-1B Aggregate Overcollateralization Amount (based on the Pool 1A-1B
      Percentage), the Pool 2 Overcollateralization Amount, the Pool 3A-3B
      Overcollateralization Amount (based on the Pool 3A-3B Percentage) and the Pool
      4A-4B Overcollateralization Amount (based on the Pool 4A-4B Percentage) after
      giving effect to the distributions made on such Distribution Date;

     

    (xix)
       the
      amount of any Pool 1A-1B Overcollateralization Deficiency, the Pool 2
      Overcollateralization Deficiency, the Pool 3A-3B Overcollateralization
      Deficiency or the Pool 4A-4B Overcollateralization Deficiency after giving
      effect to the distributions made in such Distribution Date;

     

    (xx)
       the
      aggregate amount of any insurance claim payments received with respect to any
      Bulk Policy during the related Collection Period; 

     

    (xxi)
       the
      level
      of LIBOR and the Certificate Interest Rate of each of the LIBOR Certificates
      for
      such Distribution Date;

     

    (xxii)
       the
      amount of any payments made by the Cap Counterparty to the Group 1 Cap Account
      pursuant to the Group 1 Cap Agreement or to the Group 2 Cap Account pursuant
      to
      the Group 2 Cap Agreement;

     

    (xxiii)
       the
      amount of any Net Swap Payment or Swap Termination Payment to the Group 1 Swap
      Account or the Group 2 Swap Account made pursuant to Section 5A.02 or Section
      5B.02, as applicable, or any Net Swap Payment or Swap Termination Payment to
      the
      Swap Counterparty made pursuant to Section 5A.02 and 5B.02 in accordance with
      the Group 1 Swap Agreement and the Group 2 Swap Agreement, as applicable;

     

    

    
      
        
          
          

        

        
          144

          
            

          

        

        
          
          

        

      

    

    

    

     

    (xxiv)
       the
      amount of any FPD Premiums, if any, for such Distribution Date; and

     

    (xxv)
       whether
      a
      Pool 1A-1B Trigger Event, Pool 2 Trigger Event, Pool 3A-3B Trigger Event or
      Pool
      4A-4B Trigger Event is in effect for that Distribution Date.

     

    In
      addition to the information listed above, for every year in which the Depositor
      is subject to Exchange Act reporting with respect to the Certificates, such
      Distribution Date Statement shall also include such other information as is
      required by Item 1121 (§ 229.1121) of Regulation AB to the extent that the
      Trustee shall have received any such information from the Depositor, the
      Sponsor, the Master Servicer, the Servicers, the Custodians, the Swap
      Counterparty, the Cap Counterparty or any Subservicer or Subcontractor therefor,
      as applicable, no later than four Business Days prior to the Distribution
      Date.

     

    In
      the
      case of information furnished pursuant to subclauses (i), (ii) and (vii) above,
      the amounts shall (except with respect to the Class 1-X, Class 2-X, Class 3-X
      and Class 4-X Certificates) be expressed as a dollar amount per $1,000 of
      original principal amount of Certificates.

     

    On
      any
      Distribution Date after the occurrence of a Section 7.01(d) Purchase Event
      with
      respect to the Pooling REMIC 1 Regular Interests or the Pooling REMIC 2 Regular
      Interests, the information required by subclauses (i), (iii), (v), (viii),
      (ix),
      (x), (xi), (xii), (xiii), (xvi), (xix), (xxi), (xxii) and (xxiii) (and in the
      case of the Class 1-LT-R, Class 2-LT-R, Class 3-LT-R and Class 4-LT-R
      Certificates, subclause (iii)) shall be provided to the Holder of the Class
      1-LT-R, Class 2-LT-R, Class 3-LT-R and/or Class 4-LT-R Certificates and the
      LTURI-holder of the applicable Pooling REMIC Regular Interests. 

     

    The
      Trustee shall make such report and any additional loan level information (and,
      at its option, any additional files containing the same information in an
      alternative format) provided to it by the Master Servicer available each month
      to Certificateholders, any NIMS Insurer and the Rating Agencies via the
      Trustee’s internet website. The Trustee’s internet website shall initially be
      located at “www.etrustee.net”. Assistance in using the website can be obtained
      by calling the Trustee’s customer service desk at (312) 992-4855. Such parties
      that are unable to use the website are entitled to have a paper copy mailed
      to
      them via first class mail upon request. The Trustee shall have the right to
      change the way such statements are distributed in order to make such
      distribution more convenient and/or more accessible to the above parties and
      the
      Trustee shall provide timely and adequate notification to all above parties
      regarding any such changes.

     

    The
      foregoing information and reports shall be prepared and determined by the
      Trustee based solely on Mortgage Loan data provided to the Trustee by the Master
      Servicer (in a format agreed to by the Trustee and the Master Servicer) no
      later
      than 2:00 p.m. Eastern Time four Business Days prior to the Distribution Date,
      and on the information provided to the Trustee by the Swap Counterparty and
      the
      Cap Counterparty. In preparing or furnishing the foregoing information to the
      Certificateholders and any NIMS Insurer, the Trustee shall be entitled to rely
      conclusively on the accuracy of the information or data (i) regarding the
      Mortgage Loans (including any First Payment Default Mortgage Loans) and the
      related REO Property that has been provided to the Master Servicer by each
      Servicer and to the Trustee by the Master Servicer, (ii) regarding the Group
      1
      Swap Agreement, that has been provided to the Trustee by the Swap Counterparty,
      (iii) regarding the Group 2 Swap Agreement, that has been provided to the
      Trustee by the Swap Counterparty, (iv) regarding the Group 1 Cap Agreement,
      that
      has been provided to the Trustee by the Cap Counterparty and (v) regarding
      the
      Group 2 Cap Agreement, that has been provided to the Trustee by the Cap
      Counterparty, and the Trustee shall not be obligated to verify, recompute,
      reconcile or recalculate any such information or data. The Trustee shall be
      entitled to conclusively rely on the Mortgage Loan data provided by the Master
      Servicer and shall have no liability for any errors in such Mortgage Loan data.
      The Master Servicer shall be entitled to conclusively rely on the Mortgage
      Loan
      data provided by each Servicer and shall have no liability for any errors in
      such Mortgage Loan data. The information and reports described in the first
      paragraph of this Section 4.03(a) shall be provided to the Paying Agent (if
      other than the Trustee) by the Trustee no later than 12:00 p.m. Eastern Time
      two
      Business Days prior to the Distribution Date. 

     

    

    
      
        
          
          

        

        
          145

          
            

          

        

        
          
          

        

      

    

    

    

     

    (b)
       Upon
      the
      reasonable advance written request of any Certificateholder that is a savings
      and loan, bank or insurance company, which request, if received by the Trustee
      shall be promptly forwarded to the Master Servicer, the Master Servicer shall
      provide, or cause to be provided, to the extent such information is available
      to
      the Master Servicer exercising reasonable efforts to obtain such information
      (or, to the extent that such information or documentation is not required to
      be
      provided by a Servicer under the applicable Servicing Agreement, shall use
      reasonable efforts to obtain such information and documentation from such
      Servicer, and provide) to any NIMS Insurer and such Certificateholder such
      reports and access to information and documentation regarding the Mortgage
      Loans
      as any NIMS Insurer and such Certificateholder may reasonably deem necessary
      to
      comply with applicable regulations of the Office of Thrift Supervision or its
      successor or other regulatory authorities with respect to the NIM Securities
      or
      an investment in the Certificates; provided,
      however,
      that the
      Trustee shall be entitled to be reimbursed by such Certificateholder for the
      actual expenses incurred in providing such reports and access.

     

    (c)
       Within
      90
      days, or such shorter period as may be required by statute or regulation, after
      the end of each calendar year, the Trustee shall, upon written request, prepare
      and make available to any NIMS Insurer each Person who at any time during the
      calendar year was a Certificateholder of record, and to Certificate Owners
      (identified as such by the Clearing Agency) in accordance with applicable
      regulations, a report summarizing the items provided to any NIMS Insurer and
      the
      Certificateholders pursuant to Section 4.03(a)(i) and (ii) on an annual basis
      as
      may be required to enable such Holders to prepare their federal income tax
      returns; provided,
      however,
      that
      this Section 4.03(c) shall not be applicable where relevant reports or summaries
      are required elsewhere in this Agreement. Such information shall also include
      the amount of original issue discount accrued on each Class of Certificates
      and
      information regarding the expenses of the Trust Fund. The Trustee shall be
      deemed to have satisfied this requirement if it makes available such information
      in any other format permitted by the Code. The Master Servicer shall provide
      the
      Trustee with such information as is necessary for the Trustee to prepare such
      reports to the extent reasonably available (and the Trustee may rely solely
      upon
      such information).

     

    (d)
       The
      Trustee shall prepare and file with the Internal Revenue Service (“IRS”), on
      behalf of the Trust Fund, an application for an employer identification number
      on IRS Form SS-4 or by any other acceptable method. The Trustee shall also
      file
      a Form 8811 as required. The Trustee, upon receipt from the IRS of the Notice
      of
      Taxpayer Identification Number Assigned, shall upon request promptly forward
      a
      copy of such notice to the Master Servicer and the Depositor. The Trustee shall,
      to the extent reasonably available, furnish any other information that is
      required by the Code and regulations thereunder to be made available to
      Certificateholders. The Master Servicer, to the extent reasonably available,
      shall provide the Trustee with such information as is necessary for the Trustee
      to comply with the foregoing.

     

    

    
      
        
          
          

        

        
          146

          
            

          

        

        
          
          

        

      

    

    

    

     

    (e)
       So
      long
      as not prohibited by applicable law, the Master Servicer shall provide to the
      Depositor or to any party designated by the Depositor, as promptly as
      practicable upon the Depositor's request, any and all loan-level information
      that the Depositor may request in any format reasonably requested by the
      Depositor.

     

    Section
      4.04. Certificate
      Account. 

     

    (a)
       The
      Trustee shall establish and maintain in its name, as trustee, a trust account
      (the “Certificate Account”) entitled “Certificate Account, LaSalle Bank National
      Association, as Trustee, in trust for the benefit of the Holders of Lehman
      XS
      Trust Mortgage Pass-Through Certificates, Series 2007-3” until disbursed
      pursuant to the terms of this Agreement. The Certificate Account shall be an
      Eligible Account and shall be for the benefit of the Certificateholders, subject
      to the rights of the Trustee set forth herein. If the existing Certificate
      Account ceases to be an Eligible Account, the Trustee shall establish a new
      Certificate Account that is an Eligible Account within 20 Business Days and
      transfer all funds and investment property on deposit in such existing
      Certificate Account into such new Certificate Account. The Certificate Account
      shall relate solely to the Certificates and to the Pooling REMIC 1 Regular
      Interests, the Pooling REMIC 2 Regular Interests, the Pooling REMIC 3 Regular
      Interests or the Pooling REMIC 4 Regular Interests issued hereunder and funds
      in
      the Certificate Account shall be held separate and apart from and shall not
      be
      commingled with any other monies including, without limitation, other monies
      of
      the Trustee held under this Agreement.

     

    (b)
       The
      Trustee shall deposit or cause to be deposited into the Certificate Account,
      on
      the day on which, or if such day is not a Business Day, the Business Day
      immediately following the day on which, any monies are remitted by the Master
      Servicer to the Trustee, all such amounts so remitted. The Trustee shall make
      withdrawals from the Certificate Account only for the following
      purposes:

     

    (i)
       to
      make
      payment to itself pursuant to any provision of this Agreement, or to reimburse
      itself or its agents for any amounts reimbursable to it pursuant to Sections
      6.11, 6.12 or 7.01; provided,
      however,
      that
      any amounts in excess of the annual cap described in clause (b) of the
      definition of “Interest Remittance Amount” and clause (b) of the definition of
“Principal Remittance Amount” in any Anniversary Year, other than costs and
      expenses incurred by the Trustee pursuant to Sections 6.11, 6.14 and 7.01 in
      connection with any transfer of servicing, shall not be withdrawn from the
      Certificate Account and paid to the Trustee and the Trustee’s reimbursement for
      such excess amounts shall be made pursuant to Section 5A.02(e)(i)(C), Section
      5B.02(d)(i)(C), Section 5C.02(e)(i)(C) and Section 5D.02(e)(i)(C)
      hereof;

     

    (ii)
       to
      withdraw amounts deposited in the Certificate Account in error;

     

    

    
      
        
          
          

        

        
          147

          
            

          

        

        
          
          

        

      

    

    

    

     

    (iii)
       to
      pay
      itself any investment income earned with respect to funds in the Certificate
      Account invested in Eligible Investments as set forth below and to make payments
      to itself and others pursuant to any provision of this Agreement;

     

    (iv)
       to
      make
      distributions to Certificateholders pursuant to Article V; and

     

    (v)
       to
      clear
      and terminate the Certificate Account pursuant to Section 7.02.

     

    The
      Trustee may invest, or cause to be invested, funds held in the Certificate
      Account, which funds, if invested, shall be invested by the Trustee in Eligible
      Investments (which may be obligations of the Trustee or its affiliates). If
      invested, all such investments must be payable on demand or mature no later
      than
      the next Distribution Date (except with respect to such investments in an amount
      equal to the aggregate of any Net Swap Payments and any Swap Termination
      Payments payable to the Swap Counterparty, such amount to mature no later than
      the next Swap Payment Date), and shall not be sold or disposed of prior to
      their
      maturity. All such Eligible Investments will be made in the name of the Trustee
      (in its capacity as such) or its nominee. All income and gain realized from
      any
      such investment for each Distribution Date shall be compensation to the Trustee
      and shall be subject to its withdrawal on order from time to time. The amount
      of
      any losses incurred in respect of any such investments shall be paid by the
      Trustee for deposit in the Certificate Account out of its own funds, without
      any
      right of reimbursement therefor, immediately as realized. Funds held in the
      Certificate Account may also be held uninvested. 

     

    ARTICLE
      V

     

    DISTRIBUTIONS
      TO HOLDERS OF CERTIFICATES

     

    Section
      5.01. Distributions
      Generally. 

     

    (a)
       On
      each
      Distribution Date, so long as the Offered Certificates are outstanding, the
      Trustee (or the Paying Agent on behalf of the Trustee) shall make distributions
      to Holders of the Certificates in accordance with this Article V; provided,
      however, that
      if a
      Section 7.01(d) Purchase Event has occurred with respect to any of the Pooling
      REMIC 1 Regular Interests, Pooling REMIC 2 Regular Interests, Pooling REMIC
      3
      Regular Interests or the Pooling REMIC 4 Regular Interests, the distributions
      related to such Pooling REMIC Regular Interests shall be made in accordance
      with
      Sections 5A.02(i) through (k), Sections 5B.02(h) through (j), Section 5C.02(f)
      or Section 5D.02(f), as applicable. Such distributions shall be made by wire
      transfer if the Certificateholder has provided the Trustee (or the Paying Agent)
      with wire instructions or by check mailed to the address of such
      Certificateholder as it appears in the books of the Trustee (or the Paying
      Agent) if the Certificateholder has not provided the Trustee (or the Paying
      Agent) with wire instructions in immediately available funds to an account
      specified in the request and at the expense of such Certificateholder;
provided,
      however,
      that the
      final distribution in respect of any Certificate shall be made only upon
      presentation and surrender of such Certificate at the Corporate Trust Office;
      provided,
      further,
      that the
      foregoing provisions shall not apply to any Class of Certificates as long as
      such Certificate remains a Book-Entry Certificate in which case all payments
      made shall be made through the Clearing Agency and its Clearing Agency
      Participants. Notwithstanding such final payment of principal of any of the
      Certificates, each Residual Certificate will remain outstanding until the
      termination of each REMIC and the payment in full of all other amounts due
      with
      respect to the Residual Certificates and at such time such final payment in
      retirement of any Residual Certificate will be made only upon presentation
      and
      surrender of such Certificate at the Corporate Trust Office. If any payment
      required to be made on the Certificates or the Pooling REMIC 1 Regular Interests
      or Pooling REMIC 2 Regular Interests or Pooling REMIC 3 Regular Interests or
      Pooling REMIC 4 Regular Interests is to be made on a day that is not a Business
      Day, then such payment will be made on the next succeeding Business
      Day.

     

    

    
      
        
          
          

        

        
          148

          
            

          

        

        
          
          

        

      

    

    

    

     

    (b)
       All
      distributions or allocations made with respect to Certificateholders within
      each
      Class on each Distribution Date shall be allocated among the outstanding
      Certificates in such Class equally in proportion to their respective initial
      Class Principal Amounts or initial Class Notional Amounts (or Percentage
      Interests).

     

    (c)
       The
      Trustee (or the Paying Agent on behalf of the Trustee) shall make payments
      to
      Certificateholders and to the Swap Counterparty and any other person pursuant
      to
      this Article V and make deposits to the Supplemental Interest Trust and accounts
      held by it hereunder based solely on the information set forth in the monthly
      report furnished by the Master Servicer and/or the Swap Counterparty in
      accordance with Section 4.03(a), and shall be entitled to conclusively rely
      on
      such information and reports, and on the calculations contained therein, when
      making distributions to Certificateholders, the Swap Counterparty and any other
      party hereunder. The Trustee shall have no liability for any errors in such
      reports or information, and shall not be required to verify, recompute,
      reconcile or recalculate any such information or data.

     

    Section
      5.02. Distributions
      from the Certificate Account. 

     

    (a)
       Distributions
      from the Certificate Account to the Group 1 Certificates will be made in
      accordance with the provisions set forth in Annex 5A.02 attached
      hereto.

     

    (b)
       Distributions
      from the Certificate Account to the Group 2 Certificates will be made in
      accordance with the provisions set forth in Annex 5B.02 attached
      hereto.

     

    (c)
       Distributions
      from the Certificate Account to the Group 3 Certificates will be made in
      accordance with the provisions set forth in Annex 5C.02 attached
      hereto.

     

    (d)
       Distributions
      from the Certificate Account to the Group 4 Certificates will be made in
      accordance with the provisions set forth in Annex 5D.02 attached
      hereto.

     

    Section
      5.03. Allocation
      of Losses. 

     

    (a) On
      each
      Distribution Date on or prior to a Section 7.01(d) Purchase Event relating
      to
      the Pooling REMIC 1 Regular Interests, the aggregate Class Principal Amount
      of
      the Group 1 Certificates shall be reduced by the amount of any Pool 1A-1B
      Applied Loss Amount for such date, in the following order of
      priority:

    

    (i)
       to
      the
      Class 1-M8 Certificates, until the Class Principal Amount of such Class has
      been
      reduced to zero;

     

    

    
      
        
          
          

        

        
          149

          
            

          

        

        
          
          

        

      

    

    

    

     

    (ii)
       to
      the
      Class 1-M7 Certificates, until the Class Principal Amount of such Class has
      been
      reduced to zero; 

     

    (iii)
       to
      the
      Class 1-M6 Certificates, until the Class Principal Amount of such Class has
      been
      reduced to zero; 

     

    (iv)
       to
      the
      Class 1-M5 Certificates, until the Class Principal Amount of such Class has
      been
      reduced to zero;

     

    (v)
       to
      the
      Class 1-M4 Certificates, until the Class Principal Amount of such Class has
      been
      reduced to zero

     

    (vi)
       to
      the
      Class 1-M3 Certificates, until the Class Principal Amount of such Class has
      been
      reduced to zero;

     

    (vii)
       to
      the
      Class 1-M2 Certificates, until the Class Principal Amount of such Class has
      been
      reduced to zero; 

     

    (viii)
       to
      the
      Class 1-M1 Certificates, until the Class Principal Amount of such Class has
      been
      reduced to zero; and

     

    (ix)
       to
      the
      Group 1A Senior Certificates, pro
      rata,
      (in the
      case of Realized Losses attributable to Mortgage Loans in Pool 1A) and to the
      Group 1B Senior Certificates (in the case of Realized Losses attributable to
      Mortgage Loans in Pool 1B); provided,
      that
      additional losses with respect to the Mortgage Loans in Pool 1A that would
      otherwise reduce the Class Principal Amounts of the Class 1A-A1 Certificates
      will instead be allocated to the Class 1A-A2 Certificates, until the Class
      1A-A2
      Certificates are reduced to zero, and then such losses will be allocated to
      the
      Class 1A-A1 Certificates  until
      the
      Class Principal Amount of such Class has been reduced to zero; and in the case
      of additional losses on the Mortgage Loans in Pool 1B, losses otherwise
      allocable to the Class 1B-A1 and Class 1B-A2 Certificates will instead be
      allocated to the Class 1B-A3 Certificates, until the Class 1B-A3 Certificates
      are reduced to zero, and then such losses will be allocated to the Class 1B-A1
      and Class 1B-A2 Certificates, pro
      rata based
      on
      Class Principal Amounts, until the Class Principal Amount of each such Class
      has
      been reduced to zero.

     

    (b) On
      each
      Distribution Date on or prior to a Section 7.01(d) Purchase Event relating
      to
      the Pooling REMIC 2 Regular Interests, the Class Principal Amounts of the Group
      2 Certificates shall be reduced by the amount of any Pool 2 Applied Loss Amount
      for such date, in the following order of priority:

     

    (i)
       to
      the
      Class 2-M10 Certificates, until the Class Principal Amount thereof has been
      reduced to zero;

     

    (ii)
       to
      the
      Class 2-M9 Certificates, until the Class Principal Amount thereof has been
      reduced to zero; 

     

    

    
      
        
          
          

        

        
          150

          
            

          

        

        
          
          

        

      

    

    

    

     

    (iii)
       to
      the
      Class 2-M8 Certificates, until the Class Principal Amount thereof has been
      reduced to zero; 

     

    (iv)
       to
      the
      Class 2-M7 Certificates, until the Class Principal Amount thereof has been
      reduced to zero; 

     

    (v)
       to
      the
      Class 2-M6 Certificates, until the Class Principal Amount thereof has been
      reduced to zero;

     

    (vi)
       to
      the
      Class 2-M5 Certificates, until the Class Principal Amount thereof has been
      reduced to zero;

     

    (vii)
       to
      the
      Class 2-M4 Certificates, until the Class Principal Amount thereof has been
      reduced to zero;

     

    (viii)
       to
      the
      Class 2-M3 Certificates, until the Class Principal Amount thereof has been
      reduced to zero;

     

    (ix)
       to
      the
      Class 2-M2 Certificates, until the Class Principal Amount thereof has been
      reduced to zero; 

     

    (x)
       to
      the
      Class 2-M1 Certificates, until the Class Principal Amount thereof has been
      reduced to zero; and

     

    (xi)
       to
      the
      Group 2 Senior Certificates, pro
      rata;
      provided,
      that
      additional losses with respect to the Mortgage Loans in Pool 2 that would
      otherwise reduce the Class Principal Amounts of the Class 2-A1, Class 2-A2
      and
      Class 2-A3 Certificates will instead be allocated to the Class 2-A4 Certificates
      until the Class 2-A4 Certificates are reduced to zero, and then such losses
      will
      be allocated to the Class 2-A1, Class 2-A2 and Class 2-A3 Certificates,
pro
      rata,
      based
      on Class Principal Amounts, until the Class Principal Amount of each such Class
      has been reduced to zero.

     

    (c) On
      each
      Distribution Date on or prior to a Section 7.01(d) Purchase Event relating
      to
      the Pooling REMIC 3 Regular Interests, the aggregate Class Principal Amount
      of
      the Group 3 Certificates shall be reduced by the amount of any Pool 3A-3B
      Applied Loss Amount for such date, in the following order of
      priority:

     

    (i)
       to
      the
      Class 3-M8 Certificates, until the Class Principal Amount of such Class has
      been
      reduced to zero;

     

    (ii)
       to
      the
      Class 3-M7 Certificates, until the Class Principal Amount of such Class has
      been
      reduced to zero; 

     

    (iii)
       to
      the
      Class 3-M6 Certificates, until the Class Principal Amount of such Class has
      been
      reduced to zero; 

     

    (iv)
       to
      the
      Class 3-M5 Certificates, until the Class Principal Amount of such Class has
      been
      reduced to zero;

     

    

    
      
        
          
          

        

        
          151

          
            

          

        

        
          
          

        

      

    

    

    

     

    (v)
       to
      the
      Class 3-M4 Certificates, until the Class Principal Amount of such Class has
      been
      reduced to zero

     

    (vi)
       to
      the
      Class 3-M3 Certificates, until the Class Principal Amount of such Class has
      been
      reduced to zero;

     

    (vii)
       to
      the
      Class 3-M2 Certificates, until the Class Principal Amount of such Class has
      been
      reduced to zero; 

     

    (viii)
       to
      the
      Class 3-M1 Certificates, until the Class Principal Amount of such Class has
      been
      reduced to zero; 

     

    (ix)
       to
      the
      Group 3A Senior Certificates, pro
      rata,
      (in the
      case of Realized Losses attributable to Mortgage Loans in Pool 3A) and to the
      Group 3B Senior Certificates, pro
      rata,
      (in the
      case of Realized Losses attributable to Mortgage Loans in Pool 3); provided,
      that
      additional losses with respect to the Mortgage Loans in Pool 3B that would
      otherwise reduce the Class Principal Amounts of the Class 3B-A1 and Class 3B-A2
      Certificates will instead be allocated to the Class 3B-A3 Certificates, until
      the Class 3B-A3 Certificates are reduced to zero, provided,
      further,
      after
      the Class 3B-A3 have been reduced to zero, any losses otherwise allocable to
      the
      Class 3B-A1 Certificates will instead be allocated to the Class 3B-A2
      Certificates, until the Class 3B-A2 Certificates are reduced to zero, and then
      such losses will be allocated to the Class 3B-A1 Certificates until the Class
      Principal Amount of such Class has been reduced to zero.

     

    (d) On
      each
      Distribution Date on or prior to a Section 7.01(d) Purchase Event relating
      to
      the Pooling REMIC 4 Regular Interests, the aggregate Class Principal Amount
      of
      the Group 4 Certificates shall be reduced by the amount of any Pool 4A-4B
      Applied Loss Amount for such date, in the following order of
      priority:

     

    (i)
       to
      the
      Class 4-M7 Certificates, until the Class Principal Amount of such Class has
      been
      reduced to zero; 

     

    (ii)
       to
      the
      Class 4-M6 Certificates, until the Class Principal Amount of such Class has
      been
      reduced to zero; 

     

    (iii)
       to
      the
      Class 4-M5 Certificates, until the Class Principal Amount of such Class has
      been
      reduced to zero;

     

    (iv)
       to
      the
      Class 4-M4 Certificates, until the Class Principal Amount of such Class has
      been
      reduced to zero

     

    (v)
       to
      the
      Class 4-M3 Certificates, until the Class Principal Amount of such Class has
      been
      reduced to zero;

     

    (vi)
       to
      the
      Class 4-M2 Certificates, until the Class Principal Amount of such Class has
      been
      reduced to zero; 

     

    (vii)
       to
      the
      Class 4-M1 Certificates, until the Class Principal Amount of such Class has
      been
      reduced to zero; and

     

    

    
      
        
          
          

        

        
          152

          
            

          

        

        
          
          

        

      

    

    

    

     

    (viii)
       to
      the
      Group 4A Senior Certificates, pro
      rata,
      (in the
      case of Realized Losses attributable to Mortgage Loans in Pool 4A) and to the
      Group 4B Senior Certificates (in the case of Realized Losses attributable to
      Mortgage Loans in Pool 4B); provided,
      that
      additional losses with respect to the Mortgage Loans in Pool 4A that would
      otherwise reduce the Class Principal Amounts of the Class 4A-A1, Class 4A-A2
      and
      Class 4A-A3 Certificates will instead be allocated to the Class 4A-A4
      Certificates, until the Class 4A-A4 Certificates are reduced to zero,
provided,
      further,
      that
      after the Class 4A-A4 Certificates have been reduced to zero, losses otherwise
      allocable to the Class 4A-A2 Certificates will instead be allocated to the
      Class
      4A-A3 Certificates, until the Class 4A-A3 Certificates are reduced to zero,
      and
      then such losses will be allocated to the Class 4A-A2 Certificates until the
      Class Principal Amount of such Class has been reduced to zero; and, in the
      case
      of additional losses on the Mortgage Loans in Pool 4B that would otherwise
      reduce the Class Principal Amount of the Class 4B-A1 Certificates will instead
      be allocated to the Class 4B-A2 Certificates, until the Class 4B-A2 Certificates
      are reduced to zero, and then such losses will be allocated to the Class 4B-A1
      Certificates until the Class Principal Amount of such Class has been reduced
      to
      zero.

     

    Section
      5.04. Advances
      by Master Servicer, Servicers and Trustee. 

     

    (a)
       Subject
      to Section 9.07, Advances shall be made in respect of each Determination Date
      as
      provided herein. If, on any Determination Date, any Servicer determines that
      any
      Scheduled Payments due during the related Collection Period (other than Balloon
      Payments) have not been received, such Servicer shall advance such amount on
      the
      Deposit Date immediately following such Determination Date to the extent
      provided in the applicable Servicing Agreement. If any Servicer fails to remit
      Advances required to be made under the applicable Servicing Agreement, the
      Master Servicer shall itself make, or shall cause the successor servicer to
      make, such Advance on the Master Servicer Remittance Date immediately following
      such Determination Date; provided,
      however,
      that
      required Advances remitted by a Servicer or the Master Servicer may be reduced
      by an amount, if any, to be set forth in an Officer’s Certificate to be
      delivered to the Trustee on such Determination Date, which if advanced the
      Master Servicer or the applicable Servicer has determined would not be
      recoverable from amounts received with respect to such Mortgage Loan, including
      late payments, Liquidation Proceeds, Insurance Proceeds or otherwise. If the
      Master Servicer determines that an Advance is required, it shall on the Master
      Servicer Remittance Date immediately following such Determination Date either
      (i) remit to the Trustee from its own funds (or funds advanced by the applicable
      Servicer) for deposit in the Certificate Account immediately available funds
      in
      an amount equal to such Advance, (ii) cause to be made an appropriate entry
      in
      the records of the Collection Account that funds in such account being held
      for
      future distribution or withdrawal have been, as permitted by this Section 5.04,
      used by the Master Servicer to make such Advance, and remit such immediately
      available funds to the Trustee for deposit in the Certificate Account or (iii)
      make Advances in the form of any combination of clauses (i) and (ii) aggregating
      the amount of such Advance. Any funds being held in the Collection Account
      for
      future distribution to Certificateholders and so used shall be replaced by
      the
      Master Servicer from its own funds by remittance to the Trustee for deposit
      in
      the Certificate Account on or before any future Master Servicer Remittance
      Date
      to the extent that funds in the Certificate Account on such Master Servicer
      Remittance Date shall be less than payments to Certificateholders required
      to be
      made on the related Distribution Date. The Master Servicer and each Servicer
      shall be entitled to be reimbursed from the Collection Account for all Advances
      made by it as provided in Section 4.02. Notwithstanding anything to the contrary
      herein, in the event the Master Servicer determines in its reasonable judgment
      that an Advance is non-recoverable, the Master Servicer shall be under no
      obligation to make such Advance. The Trustee shall be entitled to conclusively
      rely upon any determination by the Master Servicer that an Advance, if made,
      would constitute a non-recoverable Advance.

     

    

    
      
        
          
          

        

        
          153

          
            

          

        

        
          
          

        

      

    

    

    

     

    (b)
       Notwithstanding
      anything herein to the contrary, in the event that the Master Servicer or any
      Servicer fails for any reason to make an Advance required to be made pursuant
      to
      this Section 5.04 on or before the Master Servicer Remittance Date, the Trustee,
      in its capacity as successor master servicer pursuant to Section 6.14, shall,
      on
      or before the related Distribution Date, deposit in the Certificate Account
      an
      amount equal to the excess of (a) Advances required to be made by the Master
      Servicer or the Servicers that would have been deposited in such Certificate
      Account over (b) the amount of any Advance made by the Master Servicer or any
      Servicer with respect to such Distribution Date; provided,
      however,
      that the
      Trustee shall be required to make such Advance only if it is not prohibited
      by
      law from doing so and it has determined that such Advance would be recoverable
      from amounts to be received with respect to such Mortgage Loan, including late
      payments, Liquidation Proceeds, Insurance Proceeds, or otherwise. The Trustee
      shall be entitled to be reimbursed from the Collection Account and/or the
      Certificate Account for Advances made by it pursuant to this Section 5.04 as
      if
      it were the Master Servicer.

     

    Section
      5.05. Compensating
      Interest Payments. 

     

    The
      Master Servicer shall not be responsible for making any Compensating Interest
      Payments not made by the Servicers. Any Compensating Interest Payments made
      by
      the Servicers shall be a component of the Interest Remittance
      Amount.

     

    Section
      5.06. Basis
      Risk Reserve Funds.

     

    (a)
       On
      the
      Closing Date, the Trustee shall establish and maintain in its name, in trust
      for
      the benefit of the holders of the Group 1 Certificates, the Pool 1A-1B Basis
      Risk Reserve Fund, into which LBH shall initially deposit $1,000. The Pool
      1A-1B
      Basis Risk Reserve Fund shall be an Eligible Account, and funds on deposit
      therein shall be held separate and apart from, and shall not be commingled
      with,
      any other moneys, including, without limitation, other moneys of the Trustee
      held pursuant to this Agreement.

     

    (b)
       On
      each
      Distribution Date the Trustee (or Paying Agent) shall distribute in the order
      of
      priority and to the extent specified in Section 5A.02(e)(iv) of this Agreement
      any amounts then on deposit in the Pool 1A-1B Basis Risk Reserve Fund, including
      any earnings thereon. On any Distribution Date, any amounts that the Trustee
      is
      not required to distribute from the Pool 1A-1B Basis Risk Reserve Fund pursuant
      to Section 5A.02(e)(iv) shall remain on deposit in the Pool 1A-1B Basis Risk
      Reserve Fund.

     

    (c)
       On
      the
      Closing Date, the Trustee shall establish and maintain in its name, in trust
      for
      the benefit of the holders of the Group 2 Certificates, the Pool 2 Basis Risk
      Reserve Fund, into which LBH shall initially deposit $1,000. The Pool 2 Basis
      Risk Reserve Fund shall be an Eligible Account, and funds on deposit therein
      shall be held separate and apart from, and shall not be commingled with, any
      other moneys, including, without limitation, other moneys of the Trustee held
      pursuant to this Agreement.

     

    

    
      
        
          
          

        

        
          154

          
            

          

        

        
          
          

        

      

    

    

    

     

    (d)
       On
      each
      Distribution Date the Trustee (or Paying Agent) shall distribute in the order
      of
      priority and to the extent specified in Section 5B.02(d)(iv) of this Agreement
      any amounts then on deposit in the Pool 2 Basis Risk Reserve Fund, including
      any
      earnings thereon. On any Distribution Date, any amounts that the Trustee is
      not
      required to distribute from the Pool 2 Basis Risk Reserve Fund pursuant to
      Section 5B.02(d)(iv) shall remain on deposit in the Pool 2 Basis Risk Reserve
      Fund.

     

    (e)
       On
      the
      Closing Date, the Trustee shall establish and maintain in its name, in trust
      for
      the benefit of the holders of the Group 3 Certificates, the Pool 3A-3B Basis
      Risk Reserve Fund, into which LBH shall initially deposit $1,000. The Pool
      3A-3B
      Basis Risk Reserve Fund shall be an Eligible Account, and funds on deposit
      therein shall be held separate and apart from, and shall not be commingled
      with,
      any other moneys, including, without limitation, other moneys of the Trustee
      held pursuant to this Agreement.

     

    (f)
       On
      each
      Distribution Date the Trustee (or Paying Agent) shall distribute in the order
      of
      priority and to the extent specified in Section 5C.02(e)(iv) of this Agreement
      any amounts then on deposit in the Pool 3A-3B Basis Risk Reserve Fund, including
      any earnings thereon. On any Distribution Date, any amounts that the Trustee
      is
      not required to distribute from the Pool 3A-3B Basis Risk Reserve Fund pursuant
      to Section 5C.02(e)(iv) shall remain on deposit in the Pool 3A-3B Basis Risk
      Reserve Fund.

     

    (g)
       Funds
      in
      the Pool 1A-1B Basis Risk Reserve Fund, the Pool 2 Basis Risk Reserve Fund
      and
      the Pool 3A-3B Basis Risk Reserve Fund shall be invested in Eligible
      Investments. The Class 1-X Certificates shall evidence ownership of the Pool
      1A-1B Basis Risk Reserve Fund for federal income tax purposes, the Class 2-X
      Certificates shall evidence ownership of the Pool 2 Basis Risk Reserve Fund
      for
      federal income tax purposes, the Class 3-X Certificates shall evidence ownership
      of the Pool 3A-3B Basis Risk Reserve Fund for federal income tax purposes and
      LBH on behalf of the Holders thereof shall direct the Trustee, in writing,
      as to
      investment of amounts on deposit therein. LBH shall be liable for any losses
      incurred on such investments. In the absence of written instructions from LBH
      as
      to investment of funds on deposit in the Pool 1A-1B Basis Risk Reserve Fund,
      the
      Pool 2 Basis Risk Reserve Fund and the Pool 3A-3B Basis Risk Reserve Fund,
      such
      funds shall remain uninvested. The Pool 1A-1B Basis Risk Reserve Fund will
      be
      terminated after the earlier of (A) a Section 7.01(d) Purchase Event or (B)
      a
      Pool 1A-1B Termination Event and any funds remaining in such fund upon such
      termination shall be released to the Holders of the 1-XS Component of the Class
      1-X Certificates. The Pool 2 Basis Risk Reserve Fund will be terminated after
      the earlier of (A) a Section 7.01(d) Purchase Event or (B) a Pool 2 Termination
      Event and any funds remaining in such fund upon such termination shall be
      released to the Holders of the 2-XS Component of the Class 2-X Certificates.
      The
      Pool 3A-3B Basis Risk Reserve Fund will be terminated after the earlier of
      (A) a
      Section 7.01(d) Purchase Event or (B) a Pool 3A-3B Termination Event and any
      funds remaining in such fund upon such termination shall be released to the
      Holders of the Class 3-X Certificates. 

     

    

    
      
        
          
          

        

        
          155

          
            

          

        

        
          
          

        

      

    

    

    

     

    Section
      5.07. Supplemental
      Interest Trust. 

     

    (a)
       A
      separate trust is hereby established (the “Supplemental Interest Trust”), the
      corpus of which shall be held by the Trustee, in trust, for the benefit of
      the
      holders of the LIBOR Certificates. The Trustee, as trustee of the Supplemental
      Interest Trust, shall establish an account (the “Group 1 Swap Account”), into
      which LBH shall initially deposit $1,000 on the Closing Date. The Group 1 Swap
      Account shall be an Eligible Account, and funds on deposit therein shall be
      held
      separate and apart from, and shall not be commingled with, any other moneys,
      including, without limitation, other moneys of the Trustee held pursuant to
      this
      Agreement. The Trustee, as trustee of the Supplemental Interest Trust, shall
      establish an account (the “Group 2 Swap Account”), into which LBH shall
      initially deposit $1,000 on the Closing Date. The Group 2 Swap Account shall
      be
      an Eligible Account, and funds on deposit therein shall be held separate and
      apart from, and shall not be commingled with, any other moneys, including,
      without limitation, other moneys of the Trustee held pursuant to this
      Agreement.

     

    (b)
       The
      Trustee, as trustee of the Supplemental Interest Trust, shall establish an
      account (the “Group 1 Cap Account”), into which LBH shall initially deposit
      $1,000. The Group 1 Cap Account shall be an Eligible Account, and funds on
      deposit therein shall be held separate and apart from, and shall not be
      commingled with, any other monies, including, without limitation, other monies
      of the Trustee held pursuant to this Agreement. The Trustee, as trustee of
      the
      Supplemental Interest Trust, shall establish an account (the “Group 2 Cap
      Account”), into which LBH shall initially deposit $1,000. The Group 2 Cap
      Account shall be an Eligible Account, and funds on deposit therein shall be
      held
      separate and apart from, and shall not be commingled with, any other monies,
      including, without limitation, other monies of the Trustee held pursuant to
      this
      Agreement. 

     

    (c)
       The
      Trustee, on behalf of the Supplemental Interest Trust, shall establish an
      account (the “Group 1 Collateral Account”) into which funds shall be deposited
      pursuant to Section 5.07(k). The Group 1 Collateral Account shall be an Eligible
      Account, and funds on deposit therein shall be held separate and apart from,
      and
      shall not be commingled with, any other monies, including, without limitation,
      other monies of the Trustee held pursuant to this Agreement. In addition, the
      Trustee, on behalf of the Supplemental Interest Trust, shall establish an
      account (the “Group 2 Collateral Account”) into which funds shall be deposited
      pursuant to Section 5.07(k). The Group 2 Collateral Account shall be an Eligible
      Account, and funds on deposit therein shall be held separate and apart from,
      and
      shall not be commingled with, any other monies, including, without limitation,
      other monies of the Trustee held pursuant to this Agreement.

     

    (d)
       The
      Trustee shall deposit into the Group 1 Swap Account any Net Swap Payment
      required pursuant to Sections 5A.02(b), (c), (d) and (g), any Swap Termination
      Payment with respect to the Group 1 Swap Agreement required pursuant to Sections
      5A.02(b), (c), (d) and (g), any amounts received from the Swap Counterparty
      under the Group 1 Swap Agreement, and shall distribute from the Group 1 Swap
      Account any Net Swap Payment required pursuant to Section 5A.02(g)(i) or Section
      5A.02(j), as applicable, or Swap Termination Payment with respect to the Group
      1
      Swap Agreement required pursuant to Section 5A.02(g)(ii), Section 5A.02(g)(xi)
      or Section 5A.02(j), as applicable.

     

    

    
      
        
          
          

        

        
          156

          
            

          

        

        
          
          

        

      

    

    

    

     

    (e)
       The
      Trustee shall deposit into the Group 2 Swap Account any Net Swap Payment
      required pursuant to Sections 5B.02(b), (c) and (f), any Swap Termination
      Payment with respect to the Group 2 Swap Agreement required pursuant to Sections
      5B.02(b), (c) and (f), any amounts received from the Swap Counterparty under
      the
      Group 2 Swap Agreement, and shall distribute from the Group 2 Swap Account
      any
      Net Swap Payment required pursuant to Section 5B.02(f)(i) or Section 5B.02(i),
      as applicable, or Swap Termination Payment with respect to the Group 2 Swap
      Agreement required pursuant to Section 5B.02(f)(ii), Section 5B.02(f)(xi) or
      Section 5B.02(i), as applicable.

     

    (f)
       The
      Trustee shall deposit into the Group 1 Cap Account any amounts received from
      the
      Cap Counterparty under the Group 1 Cap Agreement. In addition, the Trustee
      shall
      deposit into the Group 2 Cap Account any amounts received from the Cap
      Counterparty under the Group 2 Cap Agreement.

     

    (g)
       Funds
      in
      the Group 1 Swap Account shall be invested in Eligible Investments. Any earnings
      on such amounts shall be distributed on each Distribution Date pursuant to
      Section 5A.02(g) or Section 5A.02(j), as applicable. The Class 1-X Certificates
      shall evidence ownership of the Group 1 Swap Account for federal income tax
      purposes and the Holder thereof shall direct the Trustee, in writing, as to
      investment of amounts on deposit therein. The Class 1-X Certificateholders
      shall
      be liable for any losses incurred on such investments. In the absence of written
      instructions from the Class 1-X Certificateholders as to investment of funds
      on
      deposit in the Group 1 Swap Account, such funds shall remain uninvested. Any
      amounts on deposit in the Group 1 Swap Account in excess of the Group 1 Swap
      Amount on any Distribution Date shall be held for distribution pursuant to
      Section 5A.02(g) or Section 5A.02(j), as applicable, on the following
      Distribution Date.

     

    (h)
       Funds
      in
      the Group 2 Swap Account shall be invested in Eligible Investments. Any earnings
      on such amounts shall be distributed on each Distribution Date pursuant to
      Section 5B.02(f) or Section 5B.02(i), as applicable. The Class 2-X Certificates
      shall evidence ownership of the Group 2 Swap Account for federal income tax
      purposes and the Holder thereof shall direct the Trustee, in writing, as to
      investment of amounts on deposit therein. The Class 2-X Certificateholders
      shall
      be liable for any losses incurred on such investments. In the absence of written
      instructions from the Class 2-X Certificateholders as to investment of funds
      on
      deposit in the Group 2 Swap Account, such funds shall remain uninvested. Any
      amounts on deposit in the Group 2 Swap Account in excess of the Group 2 Swap
      Amount on any Distribution Date shall be held for distribution pursuant to
      Section 5B.02(f) or Section 5B.02(i), as applicable, on the following
      Distribution Date.

     

    (i)
       Funds
      in
      the Group 1 Cap Account shall be invested in Eligible Investments. Any earnings
      on such amounts shall be distributed on each Distribution Date pursuant to
      Section 5A.02(f) or Section 5A.02(k), as applicable. The Class 1-X Certificates
      shall evidence ownership of the Group 1 Cap Account for federal income tax
      purposes and the Holder thereof shall direct the Trustee, in writing, as to
      investment of amounts on deposit therein. The Class 1-X Certificateholders
      shall
      be liable for any losses incurred on such investments. In the absence of written
      instructions from the Class 1-X Certificateholders as to investment of funds
      on
      deposit in the Group 1 Cap Account, such funds shall remain uninvested. Any
      amounts on deposit in the Group 1 Cap Account in excess of the Group 1 Cap
      Amount on any Distribution Date shall be held for distribution pursuant to
      Section 5A.02(f) or Section 5A.02(k), as applicable, on the following
      Distribution Date.

     

    

    
      
        
          
          

        

        
          157

          
            

          

        

        
          
          

        

      

    

    

    

     

    (j)
       Funds
      in
      the Group 2 Cap Account shall be invested in Eligible Investments. Any earnings
      on such amounts shall be distributed on each Distribution Date pursuant to
      Section 5B.02(e) or Section 5B.02(j), as applicable. The Class 2-X Certificates
      shall evidence ownership of the Group 2 Cap Account for federal income tax
      purposes and the Holder thereof shall direct the Trustee, in writing, as to
      investment of amounts on deposit therein. The Class 2-X Certificateholders
      shall
      be liable for any losses incurred on such investments. In the absence of written
      instructions from the Class 2-X Certificateholders as to investment of funds
      on
      deposit in the Group 2 Cap Account, such funds shall remain uninvested. Any
      amounts on deposit in the Group 2 Cap Account in excess of the Group 2 Cap
      Amount on any Distribution Date shall be held for distribution pursuant to
      Section 5B.02(e) or Section 5B.02(j), as applicable, on the following
      Distribution Date.

     

    (k)
       Funds
      required to be held pursuant to the Credit Support Annex shall be deposited
      into
      the Group 1 Collateral Account or the Group 2 Collateral Account, as applicable.
      Funds posted by the Cap Counterparty (or its credit support provider) and/or
      the
      Swap Counterparty (or its credit support provider) in the applicable Collateral
      Account shall be invested in Eligible Investments at the written direction
      of
      the Swap Counterparty. Any interest earnings on such amounts shall be remitted
      to the Cap Counterparty and/or the Swap Counterparty, as applicable, pursuant
      to
      the terms of the Credit Support Annex. The Trustee shall not be liable for
      any
      losses incurred on such investments. In the absence of written instructions
      from
      the Cap Counterparty (or its credit support provider) and/or the Swap
      Counterparty (or its credit support provider) as to investment of funds on
      deposit in the Collateral Accounts, such funds shall remain uninvested.

     

    (i)
       On
      the
      first Distribution Date immediately following any Swap Payment Date as to which
      a shortfall exists with respect to a Net Swap Payment or a Swap Termination
      Payment owed by the Swap Counterparty as a result of its failure to make
      payments pursuant to the Group 1 Swap Agreement, amounts necessary to cover
      such
      shortfall shall be removed from the Group 1 Collateral Account, remitted to
      the
      Group 1 Swap Account and distributed as all or a portion of such Net Swap
      Payment or Swap Termination Payment pursuant to Section 5A.02(g) or Section
      5A.02(j), as applicable. On any Distribution Date as to which a shortfall exists
      with respect to Group 1 Cap Amount owed by the Cap Counterparty as a result
      of
      its failure to make payments pursuant to the Group 1 Cap Agreement, amounts
      necessary to cover such shortfall shall be removed from the Group 1 Collateral
      Account, remitted to the Group 1 Cap Account and distributed as all or a portion
      of such Group 1 Cap Amount pursuant to Section 5A.02(f) or Section 5A.02(k),
      as
      applicable. Any amounts on deposit in the Group 1 Collateral Account required
      to
      be returned to the Cap Counterparty (or its credit support provider) and/or
      the
      Swap Counterparty (or its credit support provider), as applicable, as a result
      of (i) the termination of the Group 1 Swap Agreement or the Group 1 Cap
      Agreement, as applicable, (ii) the procurement of a guarantor, (iii) the
      reinstatement of required ratings or (iv) otherwise pursuant to the Group 1
      Swap
      Agreement, shall be released directly to the Swap Counterparty and/or the Cap
      Counterparty, as applicable, pursuant to the terms of the Credit Support
      Annex.

     

    

    
      
        
          
          

        

        
          158

          
            

          

        

        
          
          

        

      

    

    

    

     

    (ii)
       On
      the
      first Distribution Date immediately following any Swap Payment Date as to which
      a shortfall exists with respect to a Net Swap Payment or a Swap Termination
      Payment owed by the Swap Counterparty as a result of its failure to make
      payments pursuant to the Group 2 Swap Agreement, amounts necessary to cover
      such
      shortfall shall be removed from the Group 2 Collateral Account, remitted to
      the
      Group 2 Swap Account and distributed as all or a portion of such Net Swap
      Payment or Swap Termination Payment pursuant to Section 5B.02(f) or Section
      5B.02(i), as applicable. On any Distribution Date as to which a shortfall exists
      with respect to Group 2 Cap Amount owed by the Cap Counterparty as a result
      of
      its failure to make payments pursuant to the Group 2 Cap Agreement, amounts
      necessary to cover such shortfall shall be removed from the Group 2 Collateral
      Account, remitted to the Group 2 Cap Account and distributed as all or a portion
      of such Group 2 Cap Amount pursuant to Section 5B.02(e) or Section 5B.02(j),
      as
      applicable. Any amounts on deposit in the Group 2 Collateral Account required
      to
      be returned to the Cap Counterparty (or its credit support provider) and/or
      the
      Swap Counterparty (or its credit support provider), as applicable, as a result
      of (i) the termination of the Group 2 Swap Agreement or the Group 2 Cap
      Agreement, as applicable, (ii) the procurement of a guarantor, (iii) the
      reinstatement of required ratings or (iv) otherwise pursuant to the Group 2
      Swap
      Agreement, shall be released directly to the Swap Counterparty and/or the Cap
      Counterparty, as applicable, pursuant to the terms of the Credit Support
      Annex.

     

    (l)
       Upon
      termination of the Trust Fund, (i) any amounts remaining in the Group 1 Swap
      Account shall be distributed pursuant to the priorities set forth in Section
      5A.02(g) or Section 5A.02(j), as applicable, and (ii) any amounts remaining
      in
      the Group 2 Swap Account shall be distributed pursuant to the priorities set
      forth in Section 5B.02(f) or Section 5B.02(i), as applicable.

     

    (m)
       Upon
      termination of the Trust Fund, (i) any amounts remaining in the Group 1 Cap
      Account shall be distributed pursuant to the priorities set forth in Section
      5A.02(f) or Section 5A.02(k), as applicable, and (ii) any amounts remaining
      in
      the Group 2 Cap Account shall be distributed pursuant to the priorities set
      forth in Section 5B.02(e) or Section 5B.02(j), as applicable.

     

    (n)
       Upon
      termination of the Trust Fund, any amounts remaining in the Group 1 Collateral
      Account and the Group 2 Collateral Account shall be distributed as required
      pursuant to the terms of the Credit Support Annex. 

     

    (o)
       It
      is the
      intention of the parties hereto that, for federal and state income and state
      and
      local franchise tax purposes, the Supplemental Interest Trust be disregarded
      as
      an entity separate from the holder of the Class 1-X Certificates and the Class
      2-X Certificates unless and until the date when either (a) there is more than
      one holder of the Class 1-X and Class 2-X Certificates or (b) any Class of
      Certificates in addition to the Class 1-X or Class 2-X Certificates is
      recharacterized as an equity interest in the Supplemental Interest Trust for
      federal income tax purposes. The Trustee shall not be responsible for any entity
      level tax reporting for the Supplemental Interest Trust.

     

    (p)
       To
      the
      extent that the Supplemental Interest Trust is determined to be a separate
      legal
      entity from the Trustee, any obligation of the Trustee under the Supplemental
      Interest Trust related to the Group 1 Swap Agreement, the Group 2 Swap
      Agreement, the Group 1 Cap Agreement or the Group 2 Cap Agreement, as
      applicable, shall be deemed to be an obligation of the Supplemental Interest
      Trust.

     

    

    
      
        
          
          

        

        
          159

          
            

          

        

        
          
          

        

      

    

    

    

     

    (q)
       In
      the
      event that either the Swap Counterparty or the Cap Counterparty fails to perform
      any of its obligations under the Group 1 Swap Agreement or the Group 1 Cap
      Agreement, respectively (including, without limitation, its obligations to
      make
      any payment or transfer collateral), or breaches any of its representations
      and
      warranties under the Group 1 Swap Agreement or the Group 1 Cap Agreement, as
      applicable, or in the event that an Event of Default, Termination Event, or
      Additional Termination Event occurs (as such terms are defined in the Group
      1
      Swap Agreement or the Group 1 Cap Agreement, as applicable), the Trustee on
      behalf of the Supplemental Interest Trust, shall (upon a Responsible Officer
      of
      the Trustee receiving written notice or having actual knowledge of the
      occurrence thereof), no later than the next Business Day following such failure,
      breach or occurrence, of which the Trustee has actual knowledge, notify the
      Swap
      Counterparty or Cap Counterparty, as applicable, and give any notice of such
      failure and make any demand for payment pursuant to the Group 1 Swap Agreement
      or Group 1 Cap Agreement, as applicable. In the event that the Swap
      Counterparty’s obligations under the Group 1 Swap Agreement or the Cap
      Counterparty’s obligations under the Group 1 Cap Agreement are at any time
      guaranteed by a third party, then to the extent that the Swap Counterparty
      or
      the Cap Counterparty fails to make any payment or delivery required under terms
      of the Group 1 Swap Agreement or the Group 1 Cap Agreement, as applicable,
      the
      Trustee, on behalf of the Supplemental Interest Trust, shall (upon a Responsible
      Officer of the Trustee receiving written notice or having actual knowledge
      of
      the occurrence thereof), no later than the next Business Day following such
      failure, demand that such guarantor make any and all payments then required
      to
      be made by the applicable guarantor.

     

    (r)
       In
      the
      event that either the Swap Counterparty or the Cap Counterparty fails to perform
      any of its obligations under the Group 2 Swap Agreement or the Group 2 Cap
      Agreement, respectively (including, without limitation, its obligations to
      make
      any payment or transfer collateral), or breaches any of its representations
      and
      warranties under the Group 2 Swap Agreement or the Group 2 Cap Agreement, as
      applicable, or in the event that an Event of Default, Termination Event, or
      Additional Termination Event occurs (as such terms are defined in the Group
      2
      Swap Agreement or the Group 2 Cap Agreement, as applicable), the Trustee on
      behalf of the Supplemental Interest Trust, shall (upon a Responsible Officer
      of
      the Trustee receiving written notice or having actual knowledge of the
      occurrence thereof), no later than the next Business Day following such failure,
      breach or occurrence, of which the Trustee has actual knowledge, notify the
      Swap
      Counterparty or Cap Counterparty, as applicable, and give any notice of such
      failure and make any demand for payment pursuant to the Group 2 Swap Agreement
      or Group 2 Cap Agreement, as applicable. In the event that the Swap
      Counterparty’s obligations under the Group 2 Swap Agreement or the Cap
      Counterparty’s obligations under the Group 2 Cap Agreement are at any time
      guaranteed by a third party, then to the extent that the Swap Counterparty
      or
      the Cap Counterparty fails to make any payment or delivery required under terms
      of the Group 2 Swap Agreement or the Group 2 Cap Agreement, as applicable,
      the
      Trustee, on behalf of the Supplemental Interest Trust, shall (upon a Responsible
      Officer of the Trustee receiving written notice or having actual knowledge
      of
      the occurrence thereof), no later than the next Business Day following such
      failure, demand that such guarantor make any and all payments then required
      to
      be made by the applicable guarantor. 

     

    

    
      
        
          
          

        

        
          160

          
            

          

        

        
          
          

        

      

    

    

    

     

    Section
      5.08. Rights
      of Swap Counterparty. 

     

    The
      Swap
      Counterparty shall be deemed a third-party beneficiary of this Agreement to
      the
      same extent as if it were a party hereto and shall have the right, upon
      designation of an “Early Termination Date” (as defined in each Swap Agreement),
      to enforce its rights under this Agreement, which rights include but are not
      limited to the obligation of the Trustee (I) with respect to the Group 1 Swap
      Agreement (A) to deposit any Net Swap Payment required pursuant to Sections
      5A.02(b), (c), (d) and (g), and any Swap Termination Payment required pursuant
      to Sections 5A.02(b), (c), (d) and (g) into the Group 1 Swap Account and to
      pay
      any Net Swap Payment required pursuant to Section 5A.02(g)(i) or 5A.02(j),
      as
      applicable, or Swap Termination Payment required pursuant to Section
      5A.02(g)(ii), Section 5A.02(g)(xi) and Section 5A.02(j), as applicable, to
      the
      Swap Counterparty and (C) to establish and maintain the Group 1 Swap Account,
      to
      make such deposits thereto, investments therein and distributions therefrom
      as
      are required pursuant to Section 5.07 and (II) with respect to the Group 2
      Swap
      Agreement (A) to deposit any Net Swap Payment required pursuant to Sections
      5B.02(b), (c) and (f), and any Swap Termination Payment required pursuant to
      Sections 5B.02(b), (c) and (f) into the Group 2 Swap Account and to pay any
      Net
      Swap Payment required pursuant to Section 5B.02(f)(i) or 5B.02(i), as
      applicable, or Swap Termination Payment required pursuant to Section
      5B.02(f)(ii), Section 5B.02(f)(xi) and Section 5B.02(i), as applicable, to
      the
      Swap Counterparty and (C) to establish and maintain the Group 2 Swap Account,
      to
      make such deposits thereto, investments therein and distributions therefrom
      as
      are required pursuant to Section 5.07. For the protection and enforcement of
      the
      provisions of this Section the Swap Counterparty shall be entitled to such
      relief as can be given either at law or in equity.

     

    Section
      5.09. Group
      1 Termination Receipts. 

     

    (a)
       In
      the
      event of an “Early Termination Event” as defined under the Group 1 Swap
      Agreement, (i) any Swap Termination Payment made by the Swap Counterparty to
      the
      Group 1 Swap Account and paid pursuant to Section 5A.02(g)(x) or Section
      5A.02(j) (“Group 1 Termination Receipts”) will be deposited in a segregated
      non-interest bearing account which shall be an Eligible Account established
      by
      the Trustee (the “Group 1 Swap Termination Receipts Account”) and (ii) any
      amounts received from a replacement Swap Counterparty (“Group 1 Swap Replacement
      Receipts”) will be deposited in a segregated non-interest bearing account which
      shall be an Eligible Account established by the Trustee (the “Group 1 Swap
      Replacement Receipts Account”). Solely upon written direction of the Depositor,
      the Trustee shall invest, or cause to be invested, funds held in the Group
      1
      Swap Termination Receipts Account and the Group 1 Swap Replacement Receipts
      Account in time deposits of the Trustee as permitted by clause (ii) of the
      definition of Eligible Investments or as otherwise directed in writing by a
      majority of the Certificateholders. All such investments must be payable on
      demand or mature on a Swap Payment Date, a Distribution Date or such other
      date
      as directed by the Certificateholders. If no such direction is given by the
      Depositor, such funds shall remain uninvested. All such Eligible Investments
      will be made in the name of the Trustee, as trustee of the Supplemental Interest
      Trust (in its capacity as such) or its nominee. All income and gain realized
      from any such investment shall be deposited in the Group 1 Swap Termination
      Receipts Account or the Group 1 Swap Replacement Receipts Account, as
      applicable, and all losses, if any, shall be borne by the related
      account.

     

    

    
      
        
          
          

        

        
          161

          
            

          

        

        
          
          

        

      

    

    

    

     

    Unless
      otherwise permitted by the Rating Agencies as evidenced in a written
      confirmation, the Depositor shall arrange for replacement Swap Agreement(s)
      or
      procure a replacement guarantor, if applicable, and the Trustee shall promptly,
      at the written direction of, and with the assistance and cooperation of the
      Depositor, use amounts on deposit in the Group 1 Swap Termination Receipts
      Account, if necessary, to enter into replacement Swap Agreement(s) or to execute
      any other agreements with respect to such replacement guarantor, if applicable,
      which shall be executed and delivered by the Trustee on behalf of the
      Supplemental Interest Trust upon receipt of written confirmation from each
      Rating Agency (if required pursuant to the terms of the Swap Agreement) that
      such replacement Swap Agreement(s) will not result in the reduction or
      withdrawal of the rating of any outstanding Class of Group 1 Certificates (other
      than the Class 1B-A2 Certificates) with respect to which it is a Rating Agency.
      

     

    Amounts
      on deposit in the Group 1 Swap Replacement Receipts Account shall be held for
      the benefit of the related Swap Counterparty and paid to such Swap Counterparty
      if the Supplemental Interest Trust is required to make a payment to such Swap
      Counterparty following an event of default or termination event with respect
      to
      the Supplemental Interest Trust under the related Swap Agreement. Any amounts
      not so applied shall, following the termination or expiration of such Swap
      Agreement, be paid to the 1-SX Component of the Class 1-X
      Certificates.

     

    (b)
       In
      the
      event of an “Early Termination Event” as defined under the Group 1 Cap
      Agreement, (i) any Group 1 Cap Termination Payment made by the Cap Counterparty
      to the Group 1 Cap Account and paid pursuant to Section 5A.02(f)(viii) (“Group 1
      Cap Termination Receipts”) will be deposited in a segregated non-interest
      bearing account which shall be an Eligible Account established by the Trustee
      (the “Group 1 Cap Termination Receipts Account”) and (ii) any amounts received
      from a replacement Cap Counterparty (“Group 1 Cap Replacement Receipts”) shall
      be deposited in a segregated non-interest bearing account which shall be an
      Eligible Account established by the Trustee (the “Group 1 Cap Replacement
      Receipts Account”). Solely upon written direction of the Depositor, the Trustee
      shall invest, or cause to be invested, funds held in the Group 1 Cap Termination
      Receipts Account and the Group 1 Cap Replacement Receipts Account in time
      deposits of the Trustee as permitted by clause (ii) of the definition of
      Eligible Investments or as otherwise directed in writing by a majority of the
      Group 1 Certificateholders (other than the Class 1B-A2 Certificateholders).
      All
      such investments must be payable on demand or mature on a Distribution Date
      or
      such other date as directed by the Group 1 Certificateholders (other than the
      Class 1B-A2 Certificateholders). If no such direction is given by the Depositor,
      such funds shall remain uninvested. All such Eligible Investments shall be
      made
      in the name of the Trustee, as trustee of the Supplemental Interest Trust (in
      its capacity as such) or its nominee. All income and gain realized from any
      such
      investment shall be deposited in the Group 1 Cap Termination Receipts Account
      or
      the Group 1 Cap Replacement Receipts Account, as applicable, and all losses,
      if
      any, shall be borne by the related account.

     

    Unless
      otherwise permitted by the Rating Agencies as evidenced in a written
      confirmation, the Depositor shall arrange for replacement Cap Agreement(s)
      or
      procure a replacement guarantor, if applicable, and the Trustee shall promptly,
      at the written direction of, and with the assistance and cooperation of the
      Depositor, use amounts on deposit in the Group 1 Cap Termination Receipts
      Account, if necessary, to enter into replacement Cap Agreement(s) or to execute
      any other agreements with respect to such replacement guarantor, if applicable,
      which shall be executed and delivered by the Trustee on behalf of the
      Supplemental Interest Trust upon receipt of written confirmation from each
      Rating Agency (if required pursuant to the terms of the Group 1 Cap Agreement)
      that such replacement Cap Agreement(s) will not result in the reduction or
      withdrawal of the rating of any outstanding Class of Group 1 Certificates (other
      than the Class 1B-A2 Certificates) with respect to which it is a Rating Agency.
      

     

    

    
      
        
          
          

        

        
          162

          
            

          

        

        
          
          

        

      

    

    

    

     

    Amounts
      on deposit in the Group 1 Cap Replacement Receipts Account shall be held for
      the
      benefit of the related Cap Counterparty and paid to such Cap Counterparty if
      the
      Supplemental Interest Trust is required to make a payment to such Cap
      Counterparty following an event of default or termination event with respect
      to
      the Supplemental Interest Trust under the related Cap Agreement. Any amounts
      not
      so applied shall, following the termination or expiration of such Cap Agreement,
      be paid to the 1-CX Component of the Class 1-X Certificates.

     

    Section
      5.10. Group
      2 Termination Receipts. 

     

    (a)
       In
      the
      event of an “Early Termination Event” as defined under the Group 2 Swap
      Agreement, (i) any Swap Termination Payment made by the Swap Counterparty to
      the
      Group 2 Swap Account and paid pursuant to Section 5B.02(f)(x) or Section
      5B.02(i) (“Group 2 Termination Receipts”) will be deposited in a segregated
      non-interest bearing account which shall be an Eligible Account established
      by
      the Trustee (the “Group 2 Swap Termination Receipts Account”) and (ii) any
      amounts received from a replacement Swap Counterparty (“Group 2 Swap Replacement
      Receipts”) will be deposited in a segregated non-interest bearing account which
      shall be an Eligible Account established by the Trustee (the “Group 2 Swap
      Replacement Receipts Account”). Solely upon written direction of the Depositor,
      the Trustee shall invest, or cause to be invested, funds held in the Group
      2
      Swap Termination Receipts Account and the Group 2 Swap Replacement Receipts
      Account in time deposits of the Trustee as permitted by clause (ii) of the
      definition of Eligible Investments or as otherwise directed in writing by a
      majority of the Certificateholders. All such investments must be payable on
      demand or mature on a Swap Payment Date, a Distribution Date or such other
      date
      as directed by the Certificateholders. If no such direction is given by the
      Depositor, such funds shall remain uninvested. All such Eligible Investments
      will be made in the name of the Trustee, as trustee of the Supplemental Interest
      Trust (in its capacity as such) or its nominee. All income and gain realized
      from any such investment shall be deposited in the Group 2 Swap Termination
      Receipts Account or the Group 2 Swap Replacement Receipts Account, as
      applicable, and all losses, if any, shall be borne by the related
      account.

     

    Unless
      otherwise permitted by the Rating Agencies as evidenced in a written
      confirmation, the Depositor shall arrange for replacement Swap Agreement(s)
      or
      procure a replacement guarantor, if applicable, and the Trustee shall promptly,
      at the written direction of, and with the assistance and cooperation of the
      Depositor, use amounts on deposit in the Group 2 Swap Termination Receipts
      Account, if necessary, to enter into replacement Swap Agreement(s) or to execute
      any other agreements with respect to such replacement guarantor, if applicable,
      which shall be executed and delivered by the Trustee on behalf of the
      Supplemental Interest Trust upon receipt of written confirmation from each
      Rating Agency (if required pursuant to the terms of the Swap Agreement) that
      such replacement Swap Agreement(s) will not result in the reduction or
      withdrawal of the rating of any outstanding Class of Group 2 Certificates with
      respect to which it is a Rating Agency. 

     

    

    
      
        
          
          

        

        
          163

          
            

          

        

        
          
          

        

      

    

    

    

     

    Amounts
      on deposit in the Group 2 Swap Replacement Receipts Account shall be held for
      the benefit of the related Swap Counterparty and paid to such Swap Counterparty
      if the Supplemental Interest Trust is required to make a payment to such Swap
      Counterparty following an event of default or termination event with respect
      to
      the Supplemental Interest Trust under the related Swap Agreement. Any amounts
      not so applied shall, following the termination or expiration of such Swap
      Agreement, be paid to the 2-SX Component of the Class 2-X
      Certificates.

     

    (b)
       In
      the
      event of an “Early Termination Event” as defined under the Group 2 Cap
      Agreement, (i) any Group 2 Cap Termination Payment made by the Cap Counterparty
      to the Group 2 Cap Account and paid pursuant to Section 5B.02(i)(v) (“Group 2
      Cap Termination Receipts”) will be deposited in a segregated non-interest
      bearing account which shall be an Eligible Account established by the Trustee
      (the “Group 2 Cap Termination Receipts Account”) and (ii) any amounts received
      from a replacement Cap Counterparty (“Group 2 Cap Replacement Receipts”) shall
      be deposited in a segregated non-interest bearing account which shall be an
      Eligible Account established by the Trustee (the “Group 2 Cap Replacement
      Receipts Account”). Solely upon written direction of the Depositor, the Trustee
      shall invest, or cause to be invested, funds held in the Group 2 Cap Termination
      Receipts Account and the Group 2 Cap Replacement Receipts Account in time
      deposits of the Trustee as permitted by clause (ii) of the definition of
      Eligible Investments or as otherwise directed in writing by a majority of the
      Group 2 Certificateholders. All such investments must be payable on demand
      or
      mature on a Distribution Date or such other date as directed by the Group 2
      Certificateholders. If no such direction is given by the Depositor, such funds
      shall remain uninvested. All such Eligible Investments shall be made in the
      name
      of the Trustee, as trustee of the Supplemental Interest Trust (in its capacity
      as such) or its nominee. All income and gain realized from any such investment
      shall be deposited in the Group 2 Cap Termination Receipts Account or the Group
      2 Cap Replacement Receipts Account, as applicable, and all losses, if any,
      shall
      be borne by the related account.

     

    Unless
      otherwise permitted by the Rating Agencies as evidenced in a written
      confirmation, the Depositor shall arrange for replacement Cap Agreement(s)
      or
      procure a replacement guarantor, if applicable, and the Trustee shall promptly,
      at the written direction of, and with the assistance and cooperation of the
      Depositor, use amounts on deposit in the Group 2 Cap Termination Receipts
      Account, if necessary, to enter into replacement Cap Agreement(s) or to execute
      any other agreements with respect to such replacement guarantor, if applicable,
      which shall be executed and delivered by the Trustee on behalf of the
      Supplemental Interest Trust upon receipt of written confirmation from each
      Rating Agency (if required pursuant to the terms of the Group 2 Cap Agreement)
      that such replacement Cap Agreement(s) will not result in the reduction or
      withdrawal of the rating of any outstanding Class of Group 2 Certificates with
      respect to which it is a Rating Agency. 

     

    Amounts
      on deposit in the Group 2 Cap Replacement Receipts Account shall be held for
      the
      benefit of the related Cap Counterparty and paid to such Cap Counterparty if
      the
      Supplemental Interest Trust is required to make a payment to such Cap
      Counterparty following an event of default or termination event with respect
      to
      the Supplemental Interest Trust under the related Cap Agreement. Any amounts
      not
      so applied shall, following the termination or expiration of such Cap Agreement,
      be paid to the 2-CX Component of the Class 2-X Certificates.

     

    

    
      
        
          
          

        

        
          164

          
            

          

        

        
          
          

        

      

    

    

    

     

    ARTICLE
      VI

     

    CONCERNING
      THE TRUSTEE EVENTS OF DEFAULT

     

    Section
      6.01. Duties
      of Trustee and the Paying Agent. 

     

    (a)
       The
      Trustee, except during the continuance of an Event of Default of which a
      Responsible Officer of the Trustee shall have actual knowledge, undertakes
      to
      perform such duties and only such duties as are specifically set forth in this
      Agreement. Any permissive right of the Trustee provided for in this Agreement
      shall not be construed as a duty of the Trustee. If an Event of Default (of
      which a Responsible Officer of the Trustee shall have actual knowledge) has
      occurred and has not otherwise been cured or waived, the Trustee shall exercise
      such of the rights and powers vested in it by this Agreement and use the same
      degree of care and skill in their exercise as a prudent Person would exercise
      or
      use under the circumstances in the conduct of such Person’s own affairs unless
      the Trustee is acting as Master Servicer, in which case it shall use the same
      degree of care and skill as the Master Servicer hereunder.

     

    (b)
       The
      Trustee, upon receipt of all resolutions, certificates, statements, opinions,
      reports, documents, orders or other instruments furnished to the Trustee which
      are specifically required to be furnished pursuant to any provision of this
      Agreement, shall examine them to determine whether they are in the form required
      by this Agreement; provided,
      however,
      that
      the Trustee shall not be responsible for the accuracy or content of any such
      resolution, certificate, statement, opinion, report, document, order or other
      instrument furnished by the Master Servicer, any Servicer, the Swap Counterparty
      or the Cap Counterparty to the Trustee pursuant to this Agreement, and shall
      not
      be required to recalculate or verify any numerical information furnished to
      the
      Trustee pursuant to this Agreement. Subject to the immediately preceding
      sentence, if any such resolution, certificate, statement, opinion, report,
      document, order or other instrument is found not to conform on its face to
      the
      form required by this Agreement the Trustee shall notify the Person providing
      such resolutions, certificates, statements, opinions, reports, documents, order
      or other instrument of the non-conformity, and if the failure to provide such
      resolution, certificate, statement, opinion, report, document, order or other
      instrument would constitute an Event of Default under this Agreement, the
      Trustee will provide notice thereof to the Certificateholders and any NIMS
      Insurer and will, at the expense of the Trust Fund, which expense shall be
      reasonable given the scope and nature of the required action, take such further
      action as directed by the Certificateholders and any NIMS Insurer. 

     

    (c)
       The
      Trustee shall not have any liability arising out of or in connection with this
      Agreement, except for its negligence or willful misconduct. Notwithstanding
      anything in this Agreement to the contrary, the Trustee shall not be liable
      for
      special, indirect or consequential losses or damages of any kind whatsoever
      (including, but not limited to, lost profits). No provision of this Agreement
      shall be construed to relieve the Trustee from liability for its own negligent
      action, its own negligent failure to act or its own willful misconduct;
provided,
      however,
      that:

     

    (i)
       The
      Trustee shall not be personally liable with respect to any action taken,
      suffered or omitted to be taken by it in good faith in accordance with the
      direction or with the consent of Holders of the Certificates as provided in
      Section 6.18 hereof;

     

    

    
      
        
          
          

        

        
          165

          
            

          

        

        
          
          

        

      

    

    

    

     

    (ii)
       For
      all
      purposes under this Agreement, the Trustee shall not be deemed to have notice
      of
      any Event of Default (other than resulting from a failure by the Master Servicer
      (i) to remit funds (or to make Advances) or (ii) to furnish information to
      the
      Trustee when required to do so) unless a Responsible Officer of the Trustee
      has
      actual knowledge thereof or unless written notice of any event which is in
      fact
      such a default is received by the Trustee at the Corporate Trust Office, and
      such notice references the Holders of the Certificates and this
      Agreement;

     

    (iii)
       No
      provision of this Agreement shall require the Trustee to expend or risk its
      own
      funds or otherwise incur any financial liability in the performance of any
      of
      its duties hereunder, or in the exercise of any of its rights or powers, if
      it
      shall have reasonable grounds for believing that repayment of such funds or
      adequate indemnity against such risk or liability is not reasonably assured
      to
      it; and none of the provisions contained in this Agreement shall in any event
      require the Trustee to perform, or be responsible for the manner of performance
      of, any of the obligations of the Depositor or the Master Servicer under this
      Agreement; and

     

    (iv)
       The
      Trustee shall not be responsible for any act or omission of the Master Servicer,
      any Servicer, the Depositor, the Swap Counterparty, the Cap Counterparty, the
      Seller or any Custodian.

     

    (d)
       The
      Trustee shall have no duty hereunder with respect to any complaint, claim,
      demand, notice or other document it may receive or which may be alleged to
      have
      been delivered to or served upon it by the parties as a consequence of the
      assignment of any Mortgage Loan hereunder; provided,
      however,
      that the
      Trustee shall promptly remit to the Master Servicer upon receipt any such
      complaint, claim, demand, notice or other document (i) which is delivered to
      the
      Corporate Trust Office of the Trustee, (ii) of which a Responsible Officer
      has
      actual knowledge, and (iii) which contains information sufficient to permit
      the
      Trustee to make a determination that the real property to which such document
      relates is a Mortgaged Property.

     

    (e)
       The
      Trustee shall not be personally liable with respect to any action taken,
      suffered or omitted to be taken by it in good faith in accordance with the
      direction of any NIMS Insurer or the Certificateholders of any Class holding
      Certificates which evidence, as to such Class, Percentage Interests aggregating
      not less than 25% as to the time, method and place of conducting any proceeding
      for any remedy available to the Trustee or exercising any trust or power
      conferred upon the Trustee under this Agreement.

     

    (f)
       The
      Trustee shall not be required to perform services under this Agreement, or
      to
      expend or risk its own funds or otherwise incur financial liability for the
      performance of any of its duties hereunder or the exercise of any of its rights
      or powers if there is reasonable ground for believing that the timely payment
      of
      its fees and expenses or the repayment of such funds or adequate indemnity
      against such risk or liability is not reasonably assured to it, and none of
      the
      provisions contained in this Agreement shall in any event require the Trustee
      to
      perform, or be responsible for the manner of performance of, any of the
      obligations of the Master Servicer or any Servicer under this Agreement or
      any
      Servicing Agreement except during such time, if any, as the Trustee shall be
      the
      successor to, and be vested with the rights, duties, powers and privileges
      of,
      the Master Servicer in accordance with the terms of this Agreement.

     

    

    
      
        
          
          

        

        
          166

          
            

          

        

        
          
          

        

      

    

    

    

     

    (g)
       The
      Trustee shall not be held liable by reason of any insufficiency in the
      Collection Account, the Pool 1A-1B Basis Risk Reserve Fund, the Pool 2 Basis
      Risk Reserve Fund, the Pool 3A-3B Basis Risk Reserve Fund, the Group 1 Swap
      Account, the Group 2 Swap Account, the Group 1 Cap Account, the Group 2 Cap
      Account, the Group 1 Collateral Account or the Group 2 Collateral Account
      resulting from any investment loss on any Eligible Investment included therein
      (except to the extent that the Trustee is the obligor and has defaulted
      thereon).

     

    (h)
       Except
      as
      otherwise provided herein, the Trustee shall not have any duty (A) to record,
      file or deposit this Agreement or any agreement referred to herein or any
      financing statement or continuation statement evidencing a security interest,
      or
      to maintain any such recording or filing or depositing or any rerecording,
      refiling or redepositing of any such statement or agreement, (B) to procure
      or
      maintain any insurance, (C) to pay or discharge any tax, assessment, or other
      governmental charge or any lien or encumbrance of any kind owing with respect
      to, assessed or levied against, any part of the Trust Fund other than from
      funds
      available in the Collection Account or the Certificate Account, or (D) to
      confirm or verify the contents of any reports or certificates of the Master
      Servicer, any Servicer, the Cap Counterparty, the Swap Counterparty or the
      Depositor delivered to the Trustee pursuant to this Agreement believed by the
      Trustee to be genuine and to have been signed or presented by the proper party
      or parties.

     

    (i)
       The
      Trustee shall not be liable in its individual capacity for an error of judgment
      made in good faith by a Responsible Officer or any other officer of the Trustee
      unless it shall be proved that the Trustee was negligent in ascertaining the
      pertinent facts.

     

    (j)
       Notwithstanding
      anything in this Agreement to the contrary, none of the Trustee or any Paying
      Agent shall be liable for special, indirect or consequential losses or damages
      of any kind whatsoever (including, but not limited to, lost profits), even
      if
      the Trustee or the Paying Agent, as applicable, has been advised of the
      likelihood of such loss or damage and regardless of the form of
      action.

     

    (k)
       On
      or
      before March 15 of each calendar year for so long as the Depositor is subject
      to
      Exchange Act reporting requirements for the Lehman XS Trust 2007-3, beginning
      in
      March 2008, the Trustee and Paying Agent (if other than the Trustee) shall
      deliver to the Sponsor, the Master Servicer and the Depositor a report regarding
      its assessment of compliance with the Servicing Criteria applicable to such
      party, as identified on Exhibit O hereto, as of and for the period ending the
      end of the fiscal year ending no later than December 31 of the year prior to
      the
      year of delivery of the report. Each such report shall include (a) a statement
      of the party’s responsibility for assessing compliance with the Servicing
      Criteria applicable to such party, (b) a statement that such party used the
      criteria identified in Item 1122(d) of Regulation AB (§ 229.1122(d)) to assess
      compliance with the applicable Servicing Criteria, (c) disclosure of any
      material instance of noncompliance identified by such party and (d) a statement
      that a registered public accounting firm has issued an attestation report on
      such party’s assessment of compliance with the applicable Servicing Criteria,
      which report shall be delivered by the Trustee as provided in Section 6.01(l).
      In the event that the Trustee and the Paying Agent are the same party, the
      Relevant Servicing Criteria of the Paying Agent shall be included in the
      Trustee’s report.. In addition, on or before March 15th of each calendar year
      for so long as the Depositor is subject to Exchange Act reporting requirements
      for the Lehman XS Trust 2007-3, beginning in March 2008, the Trustee and Paying
      Agent (if other than the Trustee) shall, at their own expense, furnish or cause
      to be furnished to the Sponsor and the Depositor an assessment of compliance
      and
      accountant’s attestation of any Subservicer or Subcontractor with respect to the
      Trustee or Paying Agent, as applicable. 

     

    

    
      
        
          
          

        

        
          167

          
            

          

        

        
          
          

        

      

    

    

    

     

    (l)
       On
      or
      before March 15th of each calendar year for so long as the Depositor is subject
      to Exchange Act reporting requirements for the Lehman XS Trust 2007-3, beginning
      in March 2008, the Trustee and Paying Agent (if other than the Trustee) shall,
      at their own expense, cause a registered public accounting firm (who may also
      render other services to Trustee or Paying Agent), which is a member of the
      American Institute of Certified Public Accountants, to furnish to the Sponsor,
      the Master Servicer and the Depositor a report to the effect that (A) it has
      obtained a representation regarding certain matters from the management of
      such
      party, which includes an assertion that such party has complied with the
      Relevant Servicing Criteria, and (B) on the basis of an examination conducted
      by
      such firm in accordance with standards for attestation engagements issued or
      adopted by the PCAOB, it is expressing an opinion as to whether such party’s
      compliance with the Relevant Servicing Criteria was fairly stated in all
      material respects, or it cannot express an overall opinion regarding such
      party’s assessment of compliance with the Relevant Servicing Criteria made by
      the Trustee or Paying Agent pursuant to Section 6.01(k) above. In the event
      that
      the Trustee and the Paying Agent are the same party, the attestation report
      caused to be furnished by the Trustee shall also address the Relevant Servicing
      Criteria of the Paying Agent. 

     

    (m)
       The
      Trustee shall give prompt written notice to the Sponsor, the Master Servicer
      and
      the Depositor of the appointment of any Subcontractor by it and a written
      description (in form and substance satisfactory to the Sponsor and the
      Depositor) of the role and function of each Subcontractor utilized by the
      Trustee, specifying (A) the identity of each such Subcontractor and (B) which
      elements of the servicing criteria set forth under Item 1122(d) of Regulation
      AB
      will be addressed in assessments of compliance and accountant’s attestations
      provided by each such Subcontractor.

     

    (n)
       For
      as
      long as the Depositor is subject to Exchange Act reporting with respect to
      the
      Trust Fund, the Trustee and the Paying Agent (if other than the Trustee) shall
      notify the Depositor, the Master Servicer and the Sponsor within five (5) days
      of knowledge thereof (i) of any legal proceedings pending against the Trustee
      of
      the type described in Item 1117 (§ 229.1117) of Regulation AB and (ii) if the
      Trustee shall become (but only to the extent not previously disclosed) at any
      time an affiliate of any of the parties listed on Exhibit P hereto, together
      with a description thereof. On or before March 1st of each year, the Depositor
      shall distribute the information in Exhibit P to the Trustee.

     

    (o)
       The
      Trustee agrees to indemnify the Depositor and the Master Servicer, and their
      respective directors, officers, employees and agents and the Trust Fund and
      hold
      each of them harmless from and against any losses, damages, penalties, fines,
      forfeitures, legal fees and expenses and related costs, judgments, and any
      other
      costs, fees and expenses that any of them may sustain arising out of or based
      upon any failure by the Trustee to comply with the provisions of Subsections
      6.01(k) through (n) above or any failure by the Trustee to deliver any
      information, report, certification, accountants’ letter, or other material when
      and as required under this Agreement, including any report under Section 6.20;
      provided,
      however,
      that in
      no event shall the Trustee be liable for any special, consequential, indirect
      or
      punitive damages pursuant to this Section 6.01(o), even if advised of the
      possibility of such damages.

     

    

    
      
        
          
          

        

        
          168

          
            

          

        

        
          
          

        

      

    

    

    

     

    (p)
       The
      Paying Agent and Certificate Registrar shall have the same rights, protections,
      immunities and indemnities as are afforded to the Trustee pursuant to this
      Article VI.

     

    Section
      6.02. Certain
      Matters Affecting the Trustee. 

     

    Except
      as
      otherwise provided in Section 6.01:

    

    (i)
       The
      Trustee may request and may rely upon, and shall be protected in acting or
      refraining from acting upon, any resolution, Officer’s Certificate, certificate
      of auditors or any other certificate, statement, instrument, opinion, report,
      notice, request, consent, order, approval, bond or other paper or document
      believed by it to be genuine and to have been signed or presented by the proper
      party or parties;

     

    (ii)
       The
      Trustee may consult with counsel and any advice of its counsel or Opinion of
      Counsel shall be full and complete authorization and protection in respect
      of
      any action taken or suffered or omitted by it hereunder in good faith and in
      accordance with such advice or Opinion of Counsel;

     

    (iii)
       The
      Trustee shall not be personally liable for any action taken, suffered or omitted
      by it in good faith and reasonably believed by it to be authorized or within
      the
      discretion or rights or powers conferred upon it by this Agreement;

     

    (iv)
       Unless
      an
      Event of Default shall have occurred and be continuing, the Trustee shall not
      be
      bound to make any investigation into the facts or matters stated in any
      resolution, certificate, statement, instrument, opinion, report, notice,
      request, consent, order, approval, bond or other paper or document (provided
      the
      same appears regular on its face), unless requested in writing to do so by
      any
      NIMS Insurer or the Holders of at least a majority in Class Principal Amount
      (or
      Percentage Interest) of each Class of Certificates or, if such Classes have
      been
      retired pursuant to a Section 7.01(d) Purchase Event, the LTURI-holder;
provided,
      however,
      that, if
      the payment within a reasonable time to the Trustee of the costs, expenses
      or
      liabilities likely to be incurred by it in the making of such investigation
      is,
      in the opinion of the Trustee not reasonably assured to the Trustee by the
      security afforded to it by the terms of this Agreement, the Trustee may require
      reasonable indemnity against such expense or liability or payment of such
      estimated expenses from any NIMS Insurer or the Certificateholders, as
      applicable, as a condition to proceeding. The reasonable expense thereof shall
      be paid by the party requesting such investigation and if not reimbursed by
      the
      requesting party shall be reimbursed to the Trustee by the Trust
      Fund;

     

    (v)
       The
      Trustee may execute any of the trusts or powers hereunder or perform any duties
      hereunder either directly or by or through agents, custodians or attorneys,
      which agents, custodians or attorneys shall have any and all of the rights,
      powers, duties and obligations of the Trustee conferred on them by such
      appointment, provided that the Trustee shall continue to be responsible for
      its
      duties and obligations hereunder to the extent provided herein, and provided
      further that the Trustee shall not be responsible for any misconduct or
      negligence on the part of any such agent or attorney appointed with due care
      by
      the Trustee;

     

    

    
      
        
          
          

        

        
          169

          
            

          

        

        
          
          

        

      

    

    

    

     

    (vi)
       The
      Trustee shall not be under any obligation to exercise any of the trusts or
      powers vested in it by this Agreement or to institute, conduct or defend any
      litigation hereunder or in relation hereto, in each case at the request, order
      or direction of any of the Certificateholders or any NIMS Insurer pursuant
      to
      the provisions of this Agreement, unless such Certificateholders or any NIMS
      Insurer shall have offered to the Trustee reasonable security or indemnity
      against the costs, expenses and liabilities which may be incurred therein or
      thereby;

     

    (vii)
       The
      right
      of the Trustee to perform any discretionary act enumerated in this Agreement
      shall not be construed as a duty, and the Trustee shall not be answerable for
      other than its negligence or willful misconduct in the performance of such
      act;
      and

     

    (viii)
       The
      Trustee shall not be required to give any bond or surety in respect of the
      execution of the Trust Fund or Supplemental Interest Trust created hereby or
      the
      powers granted hereunder.

     

    Section
      6.03. Trustee
      Not Liable for Certificates. 

     

    The
      Trustee makes no representations as to the validity or sufficiency of this
      Agreement, any Servicing Agreement, any Custodial Agreement, the Group 1 Cap
      Agreement, the Group 2 Cap Agreement, the Group 1 Swap Agreement, the Group
      2
      Swap Agreement, the Certificates (other than the certificate of authentication
      on the Certificates), the Pooling REMIC 1 Regular Interests, the Pooling REMIC
      2
      Regular Interests, the Pooling REMIC 3 Regular Interests or the Pooling REMIC
      4
      Regular Interests or of any Mortgage Loan, or related document save that the
      Trustee represents that, assuming due execution and delivery by the other
      parties hereto, this Agreement has been duly authorized, executed and delivered
      by it and constitutes its valid and binding obligation, enforceable against
      it
      in accordance with its terms except that such enforceability may be subject
      to
      (A) applicable bankruptcy and insolvency laws and other similar laws affecting
      the enforcement of the rights of creditors generally, and (B) general principles
      of equity regardless of whether such enforcement is considered in a proceeding
      in equity or at law. The Trustee shall not be accountable for the use or
      application by the Depositor of funds paid to the Depositor in consideration
      of
      the assignment of the Mortgage Loans to the Trust Fund by the Depositor or
      for
      the use or application of any funds deposited into the Collection Account,
      the
      Certificate Account, any Escrow Account or any other fund or account maintained
      with respect to the Certificates. The Trustee shall not be responsible for
      the
      legality or validity of this Agreement, any Servicing Agreement, any Custodial
      Agreement, the Group 1 Swap Agreement, the Group 2 Swap Agreement, the Group
      1
      Cap Agreement, the Group 2 Cap Agreement or the validity, priority, perfection
      or sufficiency of the security for the Certificates, the Pooling REMIC 1 Regular
      Interests, the Pooling REMIC 2 Regular Interests, the Pooling REMIC 3 Regular
      Interests or the Pooling REMIC 4 Regular Interests issued or intended to be
      issued hereunder. Except as otherwise provided herein, the Trustee shall have
      no
      responsibility for filing any financing or continuation statement in any public
      office at any time or to otherwise perfect or maintain the perfection of any
      security interest or lien granted to it hereunder or to record this
      Agreement.

     

    Section
      6.04. Trustee
      May Own Certificates. 

     

    

    
      
        
          
          

        

        
          170

          
            

          

        

        
          
          

        

      

    

    

    

     

    The
      Trustee and any Affiliate or agent of the Trustee in its individual or any
      other
      capacity may become the owner or pledgee of Certificates, the Pooling REMIC
      1
      Regular Interests, the Pooling REMIC 2 Regular Interests, the Pooling REMIC
      3
      Regular Interests or the Pooling REMIC 4 Regular Interests and may transact
      banking and trust business with the other parties hereto and their Affiliates
      with the same rights it would have if it were not Trustee or such
      agent.

     

    Section
      6.05. Eligibility
      Requirements for Trustee. 

     

    The
      Trustee hereunder shall at all times be (i) an institution whose accounts are
      insured by the FDIC, (ii) a corporation or national banking association,
      organized and doing business under the laws of any State or the United States
      of
      America, authorized under such laws to exercise corporate trust powers, having
      a
      combined capital and surplus of not less than $50,000,000 and subject to
      supervision or examination by federal or state authority and (iii) not an
      Affiliate of the Master Servicer or any Servicer. If such corporation or
      national banking association publishes reports of condition at least annually,
      pursuant to law or to the requirements of the aforesaid supervising or examining
      authority, then, for the purposes of this Section, the combined capital and
      surplus of such corporation or national banking association shall be deemed
      to
      be its combined capital and surplus as set forth in its most recent report
      of
      condition so published. In case at any time the Trustee shall cease to be
      eligible in accordance with provisions of this Section, the Trustee shall resign
      immediately in the manner and with the effect specified in Section
      6.06.

     

    Section
      6.06. Resignation
      and Removal of Trustee. 

     

    (a)
       The
      Trustee may at any time resign and be discharged from the trust hereby created
      by giving written notice thereof to the Depositor, any NIMS Insurer, the Swap
      Counterparty, the Cap Counterparty and the Master Servicer. Upon receiving
      such
      notice of resignation, the Depositor will promptly appoint a successor trustee
      acceptable to any NIMS Insurer by written instrument, one copy of which
      instrument shall be delivered to the resigning Trustee, one copy to the
      successor trustee and one copy to each of the Master Servicer, the Swap
      Counterparty, the Cap Counterparty and any NIMS Insurer. If no successor trustee
      shall have been so appointed and shall have accepted appointment within 30
      days
      after the giving of such notice of resignation, the resigning Trustee may
      petition any court of competent jurisdiction for the appointment of a successor
      trustee.

     

    (b)
       If
      at any
      time (i) the Trustee shall cease to be eligible in accordance with the
      provisions of Section 6.05 and shall fail to resign after written request
      therefor by the Depositor or any NIMS Insurer, (ii) the Trustee shall become
      incapable of acting, or shall be adjudged a bankrupt or insolvent, or a receiver
      of the Trustee of its property shall be appointed, or any public officer shall
      take charge or control of the Trustee or of its property or affairs for the
      purpose of rehabilitation, conservation or liquidation, (iii) the Trustee shall
      fail to observe or perform in any material respect any of the covenants or
      agreements of the Trustee contained in this Agreement, (iv) a tax is imposed
      or
      threatened with respect to the Trust Fund by any state in which the Trustee
      or
      the Trust Fund held by the Trustee is located, (v) the continued use of the
      Trustee would result in a downgrading of the rating by any Rating Agency of
      any
      Class of Certificates with a rating or (vi) the Trustee shall fail to deliver
      the information or reports required pursuant to Section 6.01(k) through (n)
      hereto, then the Depositor, any NIMS Insurer or the Master Servicer shall remove
      the Trustee and the Depositor shall appoint a successor trustee acceptable
      to
      any NIMS Insurer and the Master Servicer by written instrument, one copy of
      which instrument shall be delivered to the Trustee so removed, one copy each
      to
      the successor trustee and one copy to the Master Servicer, the Swap
      Counterparty, the Cap Counterparty and any NIMS Insurer; provided,
      however,
      that if
      the Trustee is removed for the failure to provide the accountant’s attestation
      pursuant to Section 6.01(l) of this Agreement, the Trustee shall reimburse
      the
      Depositor for reasonable out-of pocket costs incurred by the Depositor in
      providing for a successor Trustee.

     

    

    
      
        
          
          

        

        
          171

          
            

          

        

        
          
          

        

      

    

    

    

     

    (c)
       The
      Holders of more than 50% of the Class Principal Amount (or Percentage Interest)
      of each Class of Certificates (or any NIMS Insurer in the event of failure
      of
      the Trustee to perform its obligations hereunder) may at any time upon 30 days’
written notice to the Trustee and the Depositor remove the Trustee by such
      written instrument, signed by such Holders or their attorney-in-fact duly
      authorized (or by any NIMS Insurer), one copy of which instrument shall be
      delivered to the Depositor, one copy to the Trustee and one copy to each of
      the
      Master Servicer, the Swap Counterparty, the Cap Counterparty and any NIMS
      Insurer; the Depositor shall thereupon appoint a successor trustee in accordance
      with this Section mutually acceptable to the Depositor and the Master Servicer
      and any NIMS Insurer.

     

    (d)
       Any
      resignation or removal of the Trustee and appointment of a successor trustee
      pursuant to any of the provisions of this Section shall become effective upon
      (i) the payment of all unpaid amounts owed to the Trustee and (ii) the
      acceptance of appointment by the successor trustee as provided in Section
      6.07.

     

    Section
      6.07. Successor
      Trustee. 

     

    (a)
       Any
      successor trustee appointed as provided in Section 6.06 shall execute,
      acknowledge and deliver to the Depositor, the Swap Counterparty, the Cap
      Counterparty, the Master Servicer and any NIMS Insurer and to its predecessor
      trustee (i) an instrument accepting such appointment hereunder and (ii) if
      such
      successor trustee is appointed at any time during the period that a Form 10-K
      is
      being filed with respect to the Trust in accordance with the Exchange Act and
      the rules and regulations of the Commission, the certification required pursuant
      to the first sentence of Section 6.01(k) indicating which Servicing Criteria
      are
      applicable to such successor trustee, and thereupon the resignation or removal
      of the predecessor trustee shall become effective and such successor trustee
      without any further act, deed or conveyance, shall become fully vested with
      all
      the rights, powers, duties and obligations of its predecessor hereunder, with
      like effect as if originally named as trustee herein. The predecessor trustee
      (or its custodian) shall deliver to the Trustee or any successor trustee (or
      assign to the Trustee its interest under each Custodial Agreement, to the extent
      permitted thereunder) all Mortgage Files and documents and statements related
      to
      each Mortgage File held by it hereunder, and shall duly assign, transfer,
      deliver and pay over to the successor trustee the entire Trust Fund, together
      with all necessary instruments of transfer and assignment or other documents
      properly executed necessary to effect such transfer and such of the records
      or
      copies thereof maintained by the predecessor trustee in the administration
      hereof as may be requested by the successor trustee and shall thereupon be
      discharged from all duties and responsibilities under this Agreement. In
      addition, the Master Servicer and the predecessor trustee shall execute and
      deliver such other instruments and do such other things as may reasonably be
      required to more fully and certainly vest and confirm in the successor trustee
      all such rights, powers, duties and obligations. 

     

    

    
      
        
          
          

        

        
          172

          
            

          

        

        
          
          

        

      

    

    

    

     

    (b)
       No
      successor trustee shall accept appointment as provided in this Section unless
      at
      the time of such appointment such successor trustee shall be eligible under
      the
      provisions of Section 6.05.

     

    (c)
       Upon
      acceptance of appointment by a successor trustee as provided in this Section
      6.07, the predecessor trustee shall mail notice of the succession of such
      trustee hereunder to all Holders of Certificates at their addresses as shown
      in
      the Certificate Register and to any Rating Agency. The expenses of such mailing
      shall be borne by the predecessor trustee.

     

    (d)
       Upon
      the
      resignation or removal of the Trustee pursuant to this Section 6.07, the Trustee
      shall deliver the amounts held in its possession for the benefit of the
      Certificateholders to the successor trustee upon the appointment of such
      successor trustee.

     

    Section
      6.08. Merger
      or Consolidation of Trustee. 

     

    Any
      Person into which the Trustee may be merged or with which it may be
      consolidated, or any Person resulting from any merger, conversion or
      consolidation to which the Trustee shall be a party, or any Persons succeeding
      to the corporate trust business of the Trustee shall be the successor to the
      Trustee hereunder, without the execution or filing of any paper or any further
      act on the part of any of the parties hereto, anything herein to the contrary
      notwithstanding, provided that such Person shall be eligible under the
      provisions of Section 6.05. Unless and until a Form 15 suspension notice shall
      have been filed, as a condition to the succession to the Trustee under this
      Agreement by any Person (i) into which the Trustee may be merged or
      consolidated, or (ii) which may be appointed as a successor to the Trustee,
      the
      Trustee shall notify the Sponsor, the Master Servicer and the Depositor, at
      least 15 calendar days prior to the effective date of such succession or
      appointment, of such succession or appointment and shall furnish to the Sponsor,
      the Master Servicer and the Depositor in writing and in form and substance
      reasonably satisfactory to the Sponsor, the Master Servicer and the Depositor,
      all information reasonably necessary for the Trustee to accurately and timely
      report, pursuant to Section 6.20, the event under Item 6.02 of Form 8-K pursuant
      to the Exchange Act (if such reports under the Exchange Act are required to
      be
      filed under the Exchange Act).

     

    
      	 	
              Section
                6.09.

            	
              Appointment
                of Co-Trustee, Separate Trustee or Custodian.
                

            

    

     

    (a)
       Notwithstanding
      any other provisions hereof, at any time, the Trustee, the Depositor or the
      Certificateholders evidencing more than 50% of the Class Principal Amount (or
      Percentage Interest) of every Class of Certificates shall have the power from
      time to time to appoint one or more Persons, approved by the Trustee and any
      NIMS Insurer, to act either as co-trustees jointly with the Trustee, or as
      separate trustees, or as custodians, for the purpose of holding title to,
      foreclosing or otherwise taking action with respect to any Mortgage Loan outside
      the state where the Trustee has its principal place of business where such
      separate trustee or co-trustee is necessary or advisable (or the Trustee has
      been advised by the Master Servicer that such separate trustee or co-trustee
      is
      necessary or advisable) under the laws of any state in which a property securing
      a Mortgage Loan is located or for the purpose of otherwise conforming to any
      legal requirement, restriction or condition in any state in which a property
      securing a Mortgage Loan is located or in any state in which any portion of
      the
      Trust Fund is located. The separate trustees, co-trustees, or custodians so
      appointed shall be trustees or custodians for the benefit of all the
      Certificateholders and shall have such powers, rights and remedies as shall
      be
      specified in the instrument of appointment; provided,
      however,
      that no
      such appointment shall, or shall be deemed to, constitute the appointee an
      agent
      of the Trustee. The obligation of the Trustee (acting as successor master
      servicer) to make an Advance pursuant to Section 5.04 and 6.14 hereof shall
      not
      be affected or assigned by the appointment of a co-trustee. The Trustee shall
      not be responsible for any action or omission of any separate trustee,
      co-trustee or custodian. Notwithstanding the foregoing, at any time during
      the
      period that a Form 10-K is being filed with respect to the Trust in accordance
      with the Exchange Act and the rules and regulations of the Commission, no such
      co-custodian or co-trustee shall be vested with any powers, rights and remedies
      under this Agreement unless such party has agreed to comply with all Regulation
      AB requirements set forth under this Agreement or the related Custodial
      Agreement, as applicable.

     

    

    
      
        
          
          

        

        
          173

          
            

          

        

        
          
          

        

      

    

    

    

     

    (b)
       Every
      separate trustee, co-trustee, and custodian shall, to the extent permitted
      by
      law, be appointed and act subject to the following provisions and
      conditions:

     

    (i)
       all
      powers, duties, obligations and rights conferred upon the Trustee in respect
      of
      the receipt, custody and payment of moneys shall be exercised solely by the
      Trustee;

     

    (ii)
       all
      other
      rights, powers, duties and obligations conferred or imposed upon the Trustee
      shall be conferred or imposed upon and exercised or performed by the Trustee
      and
      such separate trustee, co-trustee, or custodian jointly, except to the extent
      that under any law of any jurisdiction in which any particular act or acts
      are
      to be performed the Trustee shall be incompetent or unqualified to perform
      such
      act or acts, in which event such rights, powers, duties and obligations,
      including the holding of title to the Trust Fund or any portion thereof in
      any
      such jurisdiction, shall be exercised and performed by such separate trustee,
      co-trustee, or custodian;

     

    (iii)
       no
      trustee or custodian hereunder shall be personally liable by reason of any act
      or omission of any other trustee or custodian hereunder; and

     

    (iv)
       the
      Trustee or the Certificateholders evidencing more than 50% of the Aggregate
      Voting Interests of the Certificates may at any time accept the resignation
      of
      or remove any separate trustee, co-trustee or custodian, so appointed by it
      or
      them, if such resignation or removal does not violate the other terms of this
      Agreement.

     

    (c)
       Any
      notice, request or other writing given to the Trustee shall be deemed to have
      been given to each of the then separate trustees and co-trustees, as effectively
      as if given to each of them. Every instrument appointing any separate trustee,
      co-trustee or custodian shall refer to this Agreement and the conditions of
      this
      Article VI. Each separate trustee and co-trustee, upon its acceptance of the
      trusts conferred, shall be vested with the estates or property specified in
      its
      instrument of appointment, either jointly with the Trustee or separately, as
      may
      be provided therein, subject to all the provisions of this Agreement,
      specifically including every provision of this Agreement relating to the conduct
      of, affecting the liability of, or affording protection to, the Trustee. Every
      such instrument shall be filed with the Trustee and a copy given to the Master
      Servicer and any NIMS Insurer.

     

    

    
      
        
          
          

        

        
          174

          
            

          

        

        
          
          

        

      

    

    

    

     

    (d)
       Any
      separate trustee, co-trustee or custodian may, at any time, constitute the
      Trustee its agent or attorney-in-fact with full power and authority, to the
      extent not prohibited by law, to do any lawful act under or in respect of this
      Agreement on its behalf and in its name. If any separate trustee, co-trustee
      or
      custodian shall die, become incapable of acting, resign or be removed, all
      of
      its estates, properties, rights, remedies and trusts shall vest in and be
      exercised by the Trustee, to the extent permitted by law, without the
      appointment of a new or successor trustee.

     

    (e)
       No
      separate trustee, co-trustee or custodian hereunder shall be required to meet
      the terms of eligibility as a successor trustee under Section 6.05 hereunder
      and
      no notice to Certificateholders of the appointment shall be required under
      Section 6.07 hereof.

     

    (f)
       The
      Trustee agrees to instruct the co-trustees, if any, to the extent necessary
      to
      fulfill the Trustee’s obligations hereunder.

     

    (g)
       The
      Trustee shall pay the reasonable compensation of the co-trustees (which
      compensation shall not reduce any compensation payable to the Trustee ) and,
      if
      paid by the Trustee, shall be a reimbursable expense pursuant to Section
      6.12.

     

    (h)
       Notwithstanding
      the foregoing, for so long as reports are required to be filed with the
      Commission under the Exchange Act with respect to the Trust, the Trustee shall
      not utilize any Subcontractor for the performance of its duties hereunder if
      such Subcontractor would be “participating in the servicing function” within the
      meaning of Item 1122 of Regulation AB without (a) giving notice to the Seller,
      the Master Servicer, the Sponsor and the Depositor and (b) requiring any such
      Subcontractor to provide to the Trustee an assessment report as provided in
      Section 9.25(a) and an attestation report as provided in Section 9.25(b), which
      reports the Trustee shall include in its assessment and attestation reports.
      The
      Trustee shall indemnify the Sponsor, the Depositor and the Master Servicer
      and
      any director, officer, employee or agent of each of the Sponsor, the Depositor
      and the Master Servicer and hold them harmless against any and all claims,
      losses, damages, penalties, fines, forfeitures, reasonable and necessary legal
      fees and related costs, judgments, and any other costs, fees and expenses that
      any of them may sustain arising out of or based upon the failure by the Trustee
      (i) to give notice of the engagement of any Subcontractor or (ii) to require
      any
      Subcontractor to provide the Trustee an assessment of compliance as provided
      in
      Section 9.25(a) and an attestation report as provided in Section 9.25(b). This
      indemnity shall survive the termination of this Agreement or the earlier
      resignation or removal of the Trustee.

     

    Section
      6.10. Authenticating
      Agents. 

     

    (a)
       The
      Trustee may appoint one or more Authenticating Agents which shall be authorized
      to act on behalf of the Trustee in authenticating Certificates. Wherever
      reference is made in this Agreement to the authentication of Certificates by
      the
      Trustee or the Trustee’s certificate of authentication, such reference shall be
      deemed to include authentication on behalf of the Trustee by an Authenticating
      Agent and a certificate of authentication executed on behalf of the Trustee
      by
      an Authenticating Agent. Each Authenticating Agent must be a corporation
      organized and doing business under the laws of the United States of America
      or
      of any state, having a combined capital and surplus of at least $15,000,000,
      authorized under such laws to do a trust business and subject to supervision
      or
      examination by federal or state authorities and acceptable to any NIMS
      Insurer.

     

    

    
      
        
          
          

        

        
          175

          
            

          

        

        
          
          

        

      

    

    

    

     

    (b)
       Any
      Person into which any Authenticating Agent may be merged or converted or with
      which it may be consolidated, or any Person resulting from any merger,
      conversion or consolidation to which any Authenticating Agent shall be a party,
      or any Person succeeding to the corporate agency business of any Authenticating
      Agent, shall continue to be the Authenticating Agent without the execution
      or
      filing of any paper or any further act on the part of the Trustee or the
      Authenticating Agent.

     

    (c)
       Any
      Authenticating Agent may at any time resign by giving at least 30 days’ advance
      written notice of resignation to the Trustee, any NIMS Insurer and the
      Depositor. The Trustee may at any time terminate the agency of any
      Authenticating Agent by giving written notice of termination to such
      Authenticating Agent, any NIMS Insurer and the Depositor. Upon receiving a
      notice of resignation or upon such a termination, or in case at any time any
      Authenticating Agent shall cease to be eligible in accordance with the
      provisions of this Section 6.10, the Trustee may appoint a successor
      Authenticating Agent, shall give written notice of such appointment to the
      Depositor and any NIMS Insurer and shall mail notice of such appointment to
      all
      Holders of Certificates. Any successor Authenticating Agent upon acceptance
      of
      its appointment hereunder shall become vested with all the rights, powers,
      duties and responsibilities of its predecessor hereunder, with like effect
      as if
      originally named as Authenticating Agent. No successor Authenticating Agent
      shall be appointed unless eligible under the provisions of this Section 6.10.
      No
      Authenticating Agent shall have responsibility or liability for any action
      taken
      by it as such at the direction of the Trustee. Any Authenticating Agent shall
      be
      entitled to reasonable compensation for its services and, if paid by the
      Trustee, it shall be a reimbursable expense pursuant to Section
      6.12.

     

    Section
      6.11. Indemnification
      of Trustee. 

     

    The
      Trustee, including in its individual capacity, and its respective directors,
      officers, employees and agents shall be entitled to indemnification from the
      Trust Fund for any loss, liability or expense incurred in connection with any
      legal proceeding or incurred without negligence or willful misconduct on their
      part, arising out of, or in connection with, the acceptance or administration
      of
      the trusts created hereunder or in connection with the performance of their
      duties hereunder or under the Group 1 Swap Agreement, the Group 2 Swap
      Agreement, the Group 1 Cap Agreement, the Group 2 Swap Agreement, the Mortgage
      Loan Sale Agreement, the MGIC Letter Agreement, the PMI Letter Agreement, any
      Transfer Agreement, any Servicing Agreement or any Custodial Agreement,
      including any applicable fees and expenses payable pursuant to Section 6.12
      and
      the costs and expenses of defending themselves against any claim in connection
      with the exercise or performance of any of their powers or duties hereunder,
      provided that:

     

    (i)
       with
      respect to any such claim, the Trustee shall have given the Depositor, the
      Master Servicer, any NIMS Insurer and the Holders written notice thereof
      promptly after the Trustee shall have knowledge thereof; provided that failure
      of the Trustee to provide such written notice shall not relieve the Trust Fund
      of the obligation to indemnify the Trustee under this Section 6.11;

     

    

    
      
        
          
          

        

        
          176

          
            

          

        

        
          
          

        

      

    

    

    

     

    (ii)
       while
      maintaining control over its own defense, the Trustee shall cooperate and
      consult fully with the Depositor, the Master Servicer and any NIMS Insurer
      in
      preparing such defense; and

     

    (iii)
       notwithstanding
      anything to the contrary in this Section 6.11, the Trust Fund shall not be
      liable for settlement of any such claim by the Trustee entered into without
      the
      prior consent of the Depositor, the Master Servicer and any NIMS Insurer which
      consent shall not be unreasonably withheld.

     

    The
      Trustee shall be further indemnified by the Seller for and held harmless
      against, any loss, liability or expense arising out of, or in connection with,
      the provisions set forth in the fifth paragraph of Section 2.01(a) hereof,
      including, without limitation, all costs, liabilities and expenses (including
      reasonable legal fees and expenses) of investigating and defending itself
      against any claim, action or proceeding, pending or threatened, relating to
      the
      provisions of such paragraph.

     

    The
      provisions of this Section 6.11 shall survive any termination of this Agreement
      and the resignation or removal of the Trustee and shall be construed to include,
      but not be limited to any loss, liability or expense under any environmental
      law.

     

    
      	 	
              Section
                6.12.

            	
              Fees
                and Expenses of Trustee and Custodians.

            

    

     

    The
      Trustee shall be entitled to (i) receive, and is authorized to pay itself,
      the
      amount of income or gain earned from investment of or other earnings on funds
      in
      the Certificate Account and (ii) reimbursement of all reasonable expenses,
      disbursements and advances incurred or made by the Trustee in accordance with
      this Agreement (including fees and expenses of its counsel and all persons
      not
      regularly in its employment and any amounts described in Section 10.01 to which
      the Trustee is entitled as provided therein), except for expenses, disbursements
      and advances that either (i) do not constitute “unanticipated expenses” within
      the meaning of Treasury Regulations Section 1.860G-1(b)(3)(ii) or (ii) arise
      from its negligence, bad faith or willful misconduct. The Trustee shall be
      entitled to reimbursement of its reasonable expenses and disbursements incurred
      or made in connection with a Section 7.01(d) Purchase Event in accordance with
      Section 4.04(b). Each Custodian shall receive compensation and indemnification
      amounts or payment of its expenses under the related Custodial Agreement as
      provided therein; provided that, to the extent required under Section 6 or
      Section 20 of the Custodial Agreement, the Trustee is hereby authorized to
      pay
      such compensation or indemnification amounts from amounts on deposit in the
      Certificate Account prior to any distributions to Certificateholders pursuant
      to
      Sections 5A.02, 5B.02, 5C.02 and 5D.02 hereof.

    

    Section
      6.13. Collection
      of Monies. 

     

    Except
      as
      otherwise expressly provided in this Agreement, the Trustee may demand payment
      or delivery of, and shall receive and collect, all money and other property
      payable to or receivable by the Trustee pursuant to this Agreement. The Trustee
      shall hold all such money and property received by it as part of the Trust
      Fund
      and shall distribute it as provided in this Agreement. If the Trustee shall
      not
      have timely received amounts to be remitted with respect to the Mortgage Loans
      from the Master Servicer, the Trustee shall request the Master Servicer to
      make
      such distribution as promptly as practicable or legally permitted. If the
      Trustee shall subsequently receive any such amounts, it may withdraw such
      request.

     

    

    
      
        
          
          

        

        
          177

          
            

          

        

        
          
          

        

      

    

    

    

     

    Section
      6.14. Events
      of Default; Trustee To Act; Appointment of Successor. 

     

    (a)
       The
      occurrence of any one or more of the following events shall constitute an “Event
      of Default”:

     

    (i)
       Any
      failure by the Master Servicer to furnish to the Trustee the Mortgage Loan
      data
      sufficient to prepare the reports described in Section 4.03(a) which continues
      unremedied for a period of two (2) Business Days after the date upon which
      written notice of such failure shall have been given to such Master Servicer
      by
      the Trustee or to such Master Servicer and the Trustee by the Holders of not
      less than 25% of the Class Principal Amount or Class Notional Amount of each
      Class of Certificates affected thereby; or

     

    (ii)
       Any
      failure by the Master Servicer to duly perform, within the required time period
      and without notice, its obligations to provide any certifications required
      pursuant to Sections 9.25 and 9.26; or

     

    (iii)
       Except
      with respect to those items listed in clause (ii) above, any failure by the
      Master Servicer to duly perform, within the required time period, without notice
      or grace period, its obligations to provide any information, data or materials
      required to be provided hereunder pursuant to Sections 9.23 and 9.29(b),
      including any items required to be included in any Exchange Act report;
      or

     

    (iv)
       Any
      failure on the part of the Master Servicer duly to observe or perform in any
      material respect any other of the covenants or agreements on the part of the
      Master Servicer contained in this Agreement which continues unremedied for
      a
      period of 30 days (or 15 days, in the case of failure to maintain any Insurance
      Policy required to be maintained pursuant to this Agreement) after the date
      on
      which written notice of such failure, requiring the same to be remedied, shall
      have been given to the Master Servicer by the Trustee or to the Master Servicer
      and the Trustee by the Holders of not less than 25% of the Class Principal
      Amount (or Class Notional Amount) of each Class of Certificates affected thereby
      or by any NIMS Insurer; or

     

    (v)
       A
      decree
      or order of a court or agency or supervisory authority having jurisdiction
      for
      the appointment of a conservator or receiver or liquidator in any insolvency,
      readjustment of debt, marshalling of assets and liabilities or similar
      proceedings, or for the winding-up or liquidation of its affairs, shall have
      been entered against the Master Servicer, and such decree or order shall have
      remained in force undischarged or unstayed for a period of 60 days or any Rating
      Agency reduces or withdraws or threatens to reduce or withdraw the rating of
      the
      Certificates because of the financial condition or loan servicing capability
      of
      such Master Servicer; or

     

    (vi)
       The
      Master Servicer shall consent to the appointment of a conservator or receiver
      or
      liquidator in any insolvency, readjustment of debt, marshalling of assets and
      liabilities, voluntary liquidation or similar proceedings of or relating to
      the
      Master Servicer or of or relating to all or substantially all of its property;
      or

     

    

    
      
        
          
          

        

        
          178

          
            

          

        

        
          
          

        

      

    

    

    

     

    (vii)
       The
      Master Servicer shall admit in writing its inability to pay its debts generally
      as they become due, file a petition to take advantage of any applicable
      insolvency or reorganization statute, make an assignment for the benefit of
      its
      creditors or voluntarily suspend payment of its obligations; or

     

    (viii)
       The
      Master Servicer shall be dissolved, or shall dispose of all or substantially
      all
      of its assets, or consolidate with or merge into another entity or shall permit
      another entity to consolidate or merge into it, such that the resulting entity
      does not meet the criteria for a successor servicer as specified in Section
      9.27
      hereof; or

     

    (ix)
       If
      a
      representation or warranty set forth in Section 9.14 hereof shall prove to
      be
      incorrect as of the time made in any respect that materially and adversely
      affects the interests of the Certificateholders, and the circumstance or
      condition in respect of which such representation or warranty was incorrect
      shall not have been eliminated or cured within 30 days after the date on which
      written notice of such incorrect representation or warranty shall have been
      given to the Master Servicer by the Trustee or to the Master Servicer and the
      Trustee by the Holders of more than 50% of the Aggregate Voting Interests of
      the
      Certificates or by any NIMS Insurer; or

     

    (x)
       A
      sale or
      pledge of any of the rights of the Master Servicer hereunder or an assignment
      of
      this Agreement by the Master Servicer or a delegation of the rights or duties
      of
      the Master Servicer hereunder shall have occurred in any manner not otherwise
      permitted hereunder and without the prior written consent of the Trustee, any
      NIMS Insurer and Certificateholders holding more than 50% of the Aggregate
      Voting Interests of the Certificates; or

     

    (xi)
       The
      Master Servicer has notice or actual knowledge that any Servicer at any time
      is
      not either a Fannie Mae- or Freddie Mac- approved Seller/Servicer, and the
      Master Servicer has not terminated the rights and obligations of such Servicer
      under the applicable Servicing Agreement and replaced such Servicer with a
      Fannie Mae- or Freddie Mac-approved servicer within 60 days of the date the
      Master Servicer receives such notice or actual knowledge; or

     

    (xii)
       After
      receipt of notice from the Trustee or any NIMS Insurer, any failure of the
      Master Servicer to remit to the Trustee any payment required to be made to
      the
      Trustee for the benefit of Certificateholders under the terms of this Agreement,
      including any Advance, on any Master Servicer Remittance Date, which failure
      continues unremedied for a period of one Business Day (but in no event later
      than 12:00 p.m. New York time on the related Distribution Date) after the date
      upon which such written notice of such failure shall have been given to the
      Master Servicer by the Trustee.

     

    

    
      
        
          
          

        

        
          179

          
            

          

        

        
          
          

        

      

    

    

    

     

    If
      an
      Event of Default described in clauses (i) through (xii) of this Section 6.14
      shall occur, then, in each and every case, subject to applicable law, so long
      as
      any such Event of Default shall not have been remedied within any period of
      time
      prescribed by this Section, the Trustee, by notice in writing to the Master
      Servicer may, and shall, if so directed by Certificateholders evidencing more
      than 50% of the Class Principal Amount (or Class Notional Amount) of each Class
      of Certificates, terminate all of the rights and obligations of the Master
      Servicer hereunder and in and to the Mortgage Loans and the proceeds thereof.
      If
      an Event of Default described in clause (xii) of this Section 6.14 shall occur,
      then, in each and every case, subject to applicable law, so long as such Event
      of Default shall not have been remedied within the time period prescribed by
      clause (xii) of this Section 6.14, the Trustee, by notice in writing to the
      Master Servicer, shall promptly terminate all the rights and obligations of
      the
      Master Servicer hereunder and in and to the Mortgage Loans and the proceeds
      thereof. On or after the receipt by the Master Servicer of such written notice,
      all authority and power of the Master Servicer, and only in its capacity as
      Master Servicer under this Agreement, whether with respect to the Mortgage
      Loans
      or otherwise, shall pass to and be vested in the Trustee and pursuant to and
      under the terms of this Agreement; provided,
      however,
      the
      parties acknowledge that notwithstanding the preceding sentence, there may
      be a
      transition period, not to exceed 90 days, in order to effect the transfer of
      the
      Master Servicer’s obligations to the Trustee; provided,
      however
      the
      obligation to make Advances by the Trustee shall be effective upon the Trustee
      providing notice of the termination to the Master Servicer pursuant to this
      Section 6.14. The Trustee is hereby authorized and empowered to execute and
      deliver, on behalf of the defaulting Master Servicer as attorney-in-fact or
      otherwise, any and all documents and other instruments, and to do or accomplish
      all other acts or things necessary or appropriate to effect the purposes of
      such
      notice of termination, whether to complete the transfer and endorsement or
      assignment of the Mortgage Loans and related documents or otherwise. The
      defaulting Master Servicer agrees to cooperate with the Trustee in effecting
      the
      termination of the defaulting Master Servicer’s responsibilities and rights
      hereunder as Master Servicer including, without limitation, notifying Servicers
      of the assignment of the master servicing function and providing the Trustee
      or
      its designee all documents and records in electronic or other form reasonably
      requested by it to enable the Trustee or its designee to assume the defaulting
      Master Servicer’s functions hereunder and the transfer to the Trustee or its
      designee for administration by it of all amounts which shall at the time be
      or
      should have been deposited by the defaulting Master Servicer in the Collection
      Account maintained by such defaulting Master Servicer and any other account
      or
      fund maintained with respect to the Certificates or thereafter received with
      respect to the Mortgage Loans. The Master Servicer being terminated (or the
      Trust Fund, if the Master Servicer is unable to fulfill its obligations
      hereunder) as a result of an Event of Default shall bear all costs of a master
      servicing transfer, including but not limited to those of the Trustee reasonably
      allocable to specific employees and overhead, legal fees and expenses,
      accounting and financial consulting fees and expenses, and costs of amending
      the
      Agreement, if necessary. 

     

    The
      Trustee shall be entitled to be reimbursed from the Master Servicer (or by
      the
      Trust Fund, if the Master Servicer is unable to fulfill its obligations
      hereunder) for all costs associated with the transfer of servicing from the
      predecessor Master Servicer, including, without limitation, any costs or
      expenses associated with the complete transfer of all servicing data and the
      completion, correction or manipulation of such servicing data as may be required
      by the Trustee to correct any errors or insufficiencies in the master servicing
      data or otherwise to enable the Trustee to master service the Mortgage Loans
      properly and effectively. If the terminated Master Servicer does not pay such
      reimbursement within thirty (30) days of its receipt of an invoice therefore,
      such reimbursement shall be an expense of the Trust Fund and the Trustee shall
      be entitled to withdraw such reimbursement from amounts on deposit in the
      Certificate Account pursuant to Section 4.04(b); provided that the terminated
      Master Servicer shall reimburse the Trust Fund for any such expense incurred
      by
      the Trust Fund; and provided,
      further,
      that the
      Trustee shall decide whether and to what extent it is in the best interest
      of
      the Certificateholders to pursue any remedy against any party obligated to
      make
      such reimbursement.

     

    

    
      
        
          
          

        

        
          180

          
            

          

        

        
          
          

        

      

    

    

    

     

    Notwithstanding
      the termination of its activities as Master Servicer, each terminated Master
      Servicer shall continue to be entitled to reimbursement to the extent provided
      in Section 4.02 to the extent such reimbursement relates to the period prior
      to
      such Master Servicer’s termination.

     

    If
      any
      Event of Default shall occur of which a Responsible Officer of the Trustee
      has
      actual knowledge, the Trustee shall promptly notify any NIMS Insurer, the Swap
      Counterparty, the Cap Counterparty and each Rating Agency of the nature and
      extent of such Event of Default. The Trustee shall immediately give written
      notice to the Master Servicer upon the Master Servicer’s failure to remit funds
      to the Trustee on the Master Servicer Remittance Date. 

     

    (b)
       Within
      90
      days of the time the Master Servicer receives a notice of termination from
      the
      Trustee pursuant to Section 6.14(a) or the Trustee receives the resignation
      of
      the Master Servicer evidenced by an Opinion of Counsel pursuant to Section
      9.28,
      the Trustee, unless another master servicer shall have been appointed, shall
      be
      the successor in all respects to the Master Servicer in its capacity as such
      under this Agreement and the transactions set forth or provided for herein
      and
      shall have all the rights and powers and be subject to all the responsibilities,
      duties and liabilities relating thereto and arising thereafter placed on the
      Master Servicer hereunder, including the obligation to make Advances;
provided,
      however,
      that any
      failure to perform such duties or responsibilities caused by the Master
      Servicer’s failure to provide information required by this Agreement shall not
      be considered a default by the Trustee hereunder. In addition, the Trustee
      shall
      have no responsibility for any act or omission of the Master Servicer prior
      to
      the issuance of any notice of termination and within a period of time not to
      exceed 90 days after the issuance of written notice of termination pursuant
      to
      Section 6.14(a) or Section 9.28 or for any breach of representation or warranty
      by such predecessor Master Servicer. The Trustee shall have no liability
      relating to the representations and warranties of the Master Servicer set forth
      in Section 9.14. In the Trustee’s capacity as such successor, the Trustee shall
      have the same limitations on liability herein granted to the Master Servicer.
      As
      compensation therefor, the Trustee shall be entitled to receive all compensation
      payable to the Master Servicer under this Agreement, including the Master
      Servicing Fee. 

     

    (c)
       Notwithstanding
      the above, the Trustee may, if it shall be unwilling to continue to so act,
      or
      shall, if it is unable to so act, petition a court of competent jurisdiction
      to
      appoint, or appoint on its own behalf any established housing and home finance
      institution servicer, master servicer, servicing or mortgage servicing
      institution having a net worth of not less than $15,000,000 and meeting such
      other standards for a successor master servicer as are set forth in this
      Agreement, as the successor to such Master Servicer in the assumption of all
      of
      the responsibilities, duties or liabilities of the Master Servicer hereunder.
      Such successor master servicer shall have no responsibility for any act or
      omission of the Master Servicer prior to such successor’s assumption of the
      Master Servicer’s rights and obligations hereunder and such successor master
      servicer shall also have no liability relating to the representations and
      warranties of the Master Servicer set forth in Section 9.14. Any entity
      designated by the Trustee as a successor master servicer may be an Affiliate
      of
      the Trustee; provided,
      however,
      that,
      unless such Affiliate meets the net worth requirements and other standards
      set
      forth herein for a successor master servicer, the Trustee in its individual
      capacity shall agree, at the time of such designation, to be and remain liable
      to the Trust Fund for such Affiliate’s actions and omissions 

     

    

    
      
        
          
          

        

        
          181

          
            

          

        

        
          
          

        

      

    

    

    in
      performing its duties hereunder. In connection with such appointment and
      assumption, the Trustee may make such arrangements for the compensation of
      such
      successor out of payments on Mortgage Loans as it and such successor shall
      agree; provided,
      however,
      that no
      such compensation shall be in excess of that permitted to the Master Servicer
      hereunder. The Trustee and such successor shall take such actions, consistent
      with this Agreement, as shall be necessary to effectuate any such succession
      and
      may make other arrangements with respect to the servicing to be conducted
      hereunder which are not inconsistent herewith. The Master Servicer shall
      cooperate with the Trustee and any successor master servicer in effecting the
      termination of the Master Servicer’s responsibilities and rights hereunder
      including, without limitation, notifying Mortgagors of the assignment of the
      master servicing functions and providing the Trustee and successor master
      servicer, as applicable, all documents and records in electronic or other form
      reasonably requested by it to enable it to assume the Master Servicer’s
      functions hereunder and the transfer to the Trustee or such successor master
      servicer, as applicable, all amounts which shall at the time be or should have
      been deposited by the Master Servicer in the Collection Account and any other
      account or fund maintained with respect to the Certificates or the Pooling
      REMIC
      1 Regular Interests, the Pooling REMIC 2 Regular Interests, the Pooling REMIC
      3
      Regular Interests or the Pooling REMIC 4 Regular Interests or thereafter be
      received with respect to the Mortgage Loans. Neither the Trustee nor any other
      successor master servicer shall be deemed to be in default hereunder by reason
      of any failure to make, or any delay in making, any distribution hereunder
      or
      any portion thereof caused by (i) the failure of the Master Servicer to deliver,
      or any delay in delivering, cash, documents or records to it, (ii) the failure
      of the Master Servicer to cooperate as required by this Agreement, (iii) the
      failure of the Master Servicer to deliver the Mortgage Loan data to the Trustee
      as required by this Agreement or (iv) restrictions imposed by any regulatory
      authority having jurisdiction over the Master Servicer. 

     

    Section
      6.15. Additional
      Remedies of Trustee Upon Event of Default. 

     

    During
      the continuance of any Event of Default, so long as such Event of Default shall
      not have been remedied, the Trustee, in addition to the rights specified in
      Section 6.14, shall have the right, in its own name and as trustee of an express
      trust, to take all actions now or hereafter existing at law, in equity or by
      statute to enforce its rights and remedies and to protect the interests, and
      enforce the rights and remedies, of any NIMS Insurer and the Certificateholders
      (including the institution and prosecution of all judicial, administrative
      and
      other proceedings and the filings of proofs of claim and debt in connection
      therewith). Except as otherwise expressly provided in this Agreement, no remedy
      provided for by this Agreement shall be exclusive of any other remedy, and
      each
      and every remedy shall be cumulative and in addition to any other remedy, and
      no
      delay or omission to exercise any right or remedy shall impair any such right
      or
      remedy or shall be deemed to be a waiver of any Event of Default.

     

    Section
      6.16. Waiver
      of Defaults. 

     

    More
      than
      50% of the Aggregate Voting Interests of Certificateholders (with the consent
      of
      any NIMS Insurer) may waive any default or Event of Default by the Master
      Servicer in the performance of its obligations hereunder, except that a default
      in the making of any required deposit to the Certificate Account that would
      result in a failure of the Trustee to make any required payment of principal
      of
      or interest on the Certificates may only be waived with the consent of 100%
      of
      the affected Certificateholders and with the consent of any NIMS Insurer. Upon
      any such waiver of a past default, such default shall cease to exist, and any
      Event of Default arising therefrom shall be deemed to have been remedied for
      every purpose of this Agreement. No such waiver shall extend to any subsequent
      or other default or impair any right consequent thereon except to the extent
      expressly so waived.

     

    

    
      
        
          
          

        

        
          182

          
            

          

        

        
          
          

        

      

    

    

    

     

    Section
      6.17. Notification
      to Holders. 

     

    Upon
      termination of the Master Servicer or appointment of a successor to the Master
      Servicer, in each case as provided herein, the Trustee shall promptly mail
      notice thereof by first class mail to the Certificateholders at their respective
      addresses appearing on the Certificate Register, any NIMS Insurer the Swap
      Counterparty and the Cap Counterparty. The Trustee shall also, within 45 days
      after the occurrence of any Event of Default known to a Responsible Officer
      of
      the Trustee, give written notice thereof to any NIMS Insurer and the
      Certificateholders, unless such Event of Default shall have been cured or waived
      prior to the issuance of such notice and within such 45-day period.

     

    Section
      6.18. Directions
      by Certificateholders and Duties of Trustee During Event of Default.

     

    Subject
      to the provisions of Section 8.01 hereof, during the continuance of any Event
      of
      Default, Holders of Certificates evidencing not less than 25% of the Class
      Principal Amount (or Percentage Interest) of each Class of Certificates affected
      thereby may, with the consent of any NIMS Insurer, direct the time, method
      and
      place of conducting any proceeding for any remedy available to the Trustee,
      or
      exercising any trust or power conferred upon the Trustee, under this Agreement;
      provided,
      however,
      that the
      Trustee shall be under no obligation to pursue any such remedy, or to exercise
      any of the trusts or powers vested in it by this Agreement (including, without
      limitation, (i) the conducting or defending of any administrative action or
      litigation hereunder or in relation hereto and (ii) the terminating of the
      Master Servicer or any successor master servicer from its rights and duties
      as
      master servicer hereunder) at the request, order or direction of any of the
      Certificateholders, or any NIMS Insurer, unless such Certificateholders, or
      any
      NIMS Insurer, shall have offered to the Trustee reasonable security or indemnity
      against the cost, expenses and liabilities which may be incurred therein or
      thereby; and, provided further, that, subject to the provisions of Section
      8.01,
      the Trustee shall have the right to decline to follow any such direction if
      the
      Trustee, in accordance with an Opinion of Counsel, determines that the action
      or
      proceeding so directed may not lawfully be taken or if the Trustee in good
      faith
      determines that the action or proceeding so directed would involve it in
      personal liability for which it is not indemnified to its satisfaction or be
      unjustly prejudicial to the non-assenting Certificateholders.

     

    Section
      6.19. Action
      Upon Certain Failures of the Master Servicer and Upon Event of Default.

     

    In
      the
      event that a Responsible Officer of the Trustee shall have actual knowledge
      of
      any action or inaction of the Master Servicer that would become an Event of
      Default upon the Master Servicer’s failure to remedy the same after notice, the
      Trustee shall give notice thereof to the Master Servicer, any NIMS Insurer,
      the
      Cap Counterparty and Swap Counterparty, as applicable. For all purposes of
      this
      Agreement, in the absence of actual knowledge by a Responsible Officer of the
      Trustee, the Trustee shall not be deemed to have knowledge of any failure of
      the
      Master Servicer or any other Event of Default unless notified in writing by
      the
      Depositor, the Master Servicer or the Certificateholders.

     

    

    
      
        
          
          

        

        
          183

          
            

          

        

        
          
          

        

      

    

    

    

     

    Section
      6.20. Preparation
      of Tax Returns and Reports.

     

    (a)
       The
      Trustee shall prepare or cause to be prepared on behalf of the Trust Fund,
      based
      upon information calculated in accordance with this Agreement pursuant to
      instructions given by the Depositor, and the Trustee shall file federal tax
      returns, all in accordance with Article X hereof. The Trustee shall prepare
      and
      file required state income tax returns and such other returns as may be required
      by applicable law relating to the Trust Fund, and, if required by state law,
      and
      shall file any other documents to the extent required by applicable state tax
      law (to the extent such documents are in the Trustee’s possession). The Trustee
      shall forward copies to the Depositor of all such returns and Form 1099
      supplemental tax information and such other information within the control
      of
      the Trustee as the Depositor may reasonably request in writing, and shall
      distribute to each Certificateholder such forms and furnish such information
      within the control of the Trustee as are required by the Code and the REMIC
      Provisions to be furnished to them, and will prepare and distribute to
      Certificateholders Form 1099 (supplemental tax information) (or otherwise
      furnish information within the control of the Trustee) to the extent required
      by
      applicable law. The Master Servicer shall indemnify the Trustee for any
      liability of or assessment against the Trustee resulting from any error in
      any
      of such tax or information returns directly resulting from errors in the
      information provided by such Master Servicer.

     

    (b)
       The
      Trustee shall prepare and file with the Internal Revenue Service (“IRS”), on
      behalf of each REMIC created hereby, an application on IRS Form SS-4. The
      Trustee, upon receipt from the IRS of the Notice of Taxpayer Identification
      Number Assigned for each REMIC, shall promptly forward copies of such notices
      to
      the Master Servicer, the Trustee and the Depositor. The Trustee will file an
      IRS
      Form 8811. The Trustee shall have no obligation to verify the information in
      any
      form 8811 or form SS-4 filings.

     

    (c)
       The
      Depositor shall prepare or cause to be prepared the initial current report
      on
      Form 8-K. Thereafter, within 15 days (or, if applicable, within such shorter
      period of time as is required under the rules of the Commission) as in effect
      from time to time (the “Rules”)) following each Distribution Date, the Trustee
      shall, in accordance with industry standards and the Rules, prepare and file
      with the Commission via the Electronic Data Gathering and Retrieval System
      (“EDGAR”) the reports listed in subsections (d) through (f) of this Section 6.20
      in respect of the Trust Fund as and to the extent required under the Exchange
      Act each of which reports and any amendment thereof shall be signed by the
      Exchange Act Signing Party.

     

    (d)
       Reports
      Filed on Form 10-D. 

     

    (i) 
      Within
      15 days following each Distribution Date (or such later date as may be
      permissible due to an extension of the filing deadline under the Exchange Act),
      the Trustee will prepare and file a distribution report on Form 10-D (the
“Distribution Report”) with respect to the Trust Fund, which Distribution Report
      shall include (A) a copy of the Distribution Date Statement prepared by the
      Trustee in respect of the related Distribution Date detailing all applicable
      data elements specified in Item 1121(a) of Regulation AB and (B) the information
      identified in clauses (A) through (I) below, as specified on Exhibit Q;
      provided, that, the Trustee shall have received from the Depositor, the Sponsor,
      the Master Servicer, any Servicer, any Custodian, any Cap Counterparty, any
      Swap
      Counterparty or any Subservicer or Subcontractor therefor, no later than three
      Business Days after the related Distribution Date, the following additional
      information, data, and materials, in a form suitable for conversion to the
      format required for filing with the Commission via EDGAR, required to be
      included in the Distribution Report on Form 10-D for such Distribution
      Date:

    

    
      
        
          
          

        

        
          184

          
            

          

        

        
          
          

        

      

    

    

    

    (A)
       Item
      1 -
      Distribution and Pool Performance Information (each of the data elements
      specified in Item 1121(a)(11), (12) and (14) of Regulation AB);

     

    (B)
       Item
      2 -
      Legal Proceedings (information required by Item 1117 of Regulation
      AB);

     

    (C)
       Item
      3 -
      Sale of Securities and Use of Proceeds (information required by Item 2 of Part
      II of Form 10-Q);

     

    (D)
       Item
      4 -
      Defaults Upon Senior Securities (information required by Item 3 of Part II
      of
      Form 10-Q);

     

    (E)
       Item
      5 -
      Submission of Matters to a Vote of Security Holders (information required by
      Item 4 of Part II of Form 10-Q);

     

    (F)
       Item
      6 -
      Significant Obligors of Pool Assets (information required by Item 1112(b) of
      Regulation AB);

     

    (G)
       Item
      7 -
      Significant Enhancement Provider Information (information required by Items
      1114(b)(2) and 1115(b) of Regulation AB);

     

    (H)
       Item
      8 -
      Other Information (all other information required to be disclosed on Form 8-K
      during the period covered by the report and not yet reported); and 

     

    (I)
       Item
      9 -
      Exhibits (all exhibits required to be filed by Form 10-D and Item 601 of
      Regulation S-K other than the Distribution Date Statement to be provided by
      the
      Trustee).

     

    Any
      disclosure in addition to the Distribution Date Statement that is required
      to be
      included on Form 10-D (“Additional
      Form 10-D Disclosure”)
      shall
      be reported by the parties set forth on Exhibit Q to the Depositor and the
      Trustee and directed and approved by the Depositor pursuant to the following
      paragraph, and the Trustee will have no duty or liability for any failure
      hereunder to determine or prepare any Additional Form 10-D Disclosure to the
      extent that such information is required to be provided by a party other than
      the Trustee, except as set forth in the next paragraph.

     

    

    
      
        
          
          

        

        
          185

          
            

          

        

        
          
          

        

      

    

    

    

     

    (ii) After
      preparing the Form 10-D, the Trustee shall forward electronically a draft copy
      of the Form 10-D to the Exchange Act Signing Party for review and approval.
      If
      the Master Servicer is the Exchange Act Signing Party and the Form 10-D includes
      Additional Form 10-D Disclosure, then the Form 10-D shall also be electronically
      distributed to the Depositor for review and approval. No later than two Business
      Days prior to the 15th
      calendar
      day after the related Distribution Date, a duly authorized representative of
      the
      Exchange Act Signing Party shall sign the Form 10-D and return an electronic
      or
      fax copy of such signed Form 10-D (with an original executed hard copy to follow
      by overnight mail) to the Trustee. If a Form 10-D cannot be filed on time or
      if
      a previously filed Form 10-D needs to be amended, the Trustee will follow the
      procedures set forth in subsection (g)(ii) of this Section 6.20. Promptly (but
      no later than one Business Day) after filing with the Commission, the Trustee
      will make available on its internet website a final executed copy of each Form
      10-D filed by the Trustee. Each party to this Agreement acknowledges that the
      performance by the Trustee of its duties under this Section 6.20(d) related
      to
      the timely preparation and filing of Form 10-D is contingent upon such parties
      strictly observing all applicable deadlines in the performance of their duties
      under this Section 6.20(d). The Trustee shall have no liability for any loss,
      expense, damage, claim arising out of or with respect to any failure to properly
      prepare and/or timely file such Form 10-D, where such failure results from
      the
      Trustee’s inability or failure to obtain or receive, on a timely basis, any
      information from any other party hereto needed to prepare or file such Form
      10-D, not resulting from its own negligence, bad faith or willful misconduct.
      The Trustee shall not be responsible (1) for the content of any of the
      information provided pursuant to clauses (d)(i)(A) - (I) above (unless such
      item
      is provided by and specific to the Trustee or its Subcontractor, in which case
      the Trustee will be responsible for the content of such information;
provided
      that
      such
      information is not revised without the prior consent of the Trustee), (2) for
      determining whether any such information is required to be included in any
      Form
      10-D (unless such information is specific to the Trustee, in which case the
      Trustee shall be responsible for making such a determination), (3) for
      reformatting any information that is not in a form suitable for conversion
      to
      the format required for filing with the Commission via EDGAR so that it is
      able
      to be filed on EDGAR or (4) for the failure to include any information if it
      is
      not provided to the Trustee on a timely basis (unless such item is specific
      to
      the Trustee, in which case the Trustee will be responsible for the failure
      to
      include such information, unless such information is not included in the final
      Form 10-D without the consent of the Trustee).

     

    The
      Trustee has no duty under this Agreement to monitor or enforce the performance
      by the parties listed on Exhibit Q of their duties under this paragraph or
      proactively solicit or procure from such parties any Additional Form 10-D
      Disclosure information. The Depositor will be responsible for any reasonable
      fees and expenses assessed or incurred by the Trustee in connection with
      including any Additional Form 10-D Disclosure on Form 10-D pursuant to this
      Section 6.20(d). 

     

    (iii) Form
      10-D
      requires the registrant to indicate (by checking “yes” or “no”) that it “(1) has
      filed all reports required to be filed by Section 13 or 15(d) of the Exchange
      Act during the preceding 12 months (or for such shorter period that the
      registrant was required to file such reports), and (2) has been subject to
      such
      filing requirements for the past 90 days.” At the date of filing of each annual
      report on Form 10-K with respect to the Trust Fund, the Depositor shall be
      deemed to represent to the Trustee that as of such date, the Depositor has
      filed
      all such required reports during the preceding 12 months and that is has been
      subject to such filing requirements for the past 90 days. The Depositor hereby
      directs the Trustee to check “yes” with respect to both clauses (1) and (2)
      above. The Depositor shall notify the Trustee in writing, no later than the
      fifth calendar day after the related Distribution Date with respect to the
      filing of a report on Form 10-D, if the answer to either of clause (1) or clause
      (2) above is “no.” The Trustee shall be entitled to rely on such direction in
      preparing and/or filing any such Form 10-D. 

     

    

    
      
        
          
          

        

        
          186

          
            

          

        

        
          
          

        

      

    

    

    

     

    (e)
       Reports
      Filed on Form 10-K.

     

    (i) On
      or
      prior to the 90th
      day
      after the end of each fiscal year of the Trust Fund or such earlier date as
      may
      be required by the Exchange Act (the “10-K Filing Deadline”) (it being
      understood that the fiscal year for the Trust Fund ends on December
      31st
      of each
      year), commencing in March 2008, and, unless and until a Form 15 Suspension
      Notification shall have been filed, the Trustee shall prepare and file (but
      will
      not execute) a Form 10-K in respect of the Trust Fund, which shall include
      the
      certification required pursuant to Rule 13a-14 under the Exchange Act (the
“Form
      10-K Certification”) signed by an appropriate party or parties (which Form 10-K
      Certification the Trustee shall not be required to prepare or sign) and such
      other information as is required by the Rules; provided,
      that,
      the Trustee shall have received from the Depositor, each Servicer, each
      Custodian, each Additional Servicer, any Servicing Function Participant and
      the
      Master Servicer (each, a “Reporting Servicer”), no later than March 15th of each
      calendar year prior to the filing deadline for such Annual Report, all
      information, data, assessments of compliance, accountant’s attestations and
      exhibits required to be provided or filed with such Annual Report including
      information, data, assessments of compliance, accountant’s attestations and
      exhibits required to be provided in connection with the following Items and
      other filing requirements of Form 10-K: 

     

    (A) Item
      9B -
      Other Information (information required to be reported on Form 8-K in the fourth
      quarter but not reported);

     

    (B) Item
      15 -
      Exhibits and Financial Statement Schedules (including all exhibits required
      to
      be filed pursuant to Item 601 of Regulation S-K under the Exchange Act other
      than the certification specified in Item 601(b)(31)(ii) of Regulation S-K and
      the Assessment of Compliance, Attestation Report, and Compliance Statement
      specified in Item 601(b)(33), (34) and (35) of Regulation S-K with respect
      to
      those Servicing Criteria as to which the Trustee is the Item 1122 Responsible
      Party); 

     

    (C) Significant
      Obligor Financial Information (Item 1112(b) of Regulation AB);

     

    (D) Significant
      Enhancement Provider Financial Information (Items 1114(b)(2) and 1115(b) of
      Regulation AB);

     

    (E) Legal
      Proceedings (Item 1117 of Regulation AB);

     

    (F) Affiliations
      and Certain Relationships and Related; Transactions (Item 1119 of Regulation
      AB);

     

    

    
      
        
          
          

        

        
          187

          
            

          

        

        
          
          

        

      

    

    

    

     

    (G) Compliance
      with Applicable Servicing Criteria (Item 1122 of Regulation AB);
      and

     

    (H) Servicer
      Compliance Statement (Item 1123 of Regulation AB).

     

    Any
      disclosure or information listed in (A) through (H) above that is required
      to be
      included on Form 10-K (“Additional
      Form 10-K Disclosure”)
      shall
      be reported by the parties set forth on Exhibit R to the Depositor and the
      Trustee and directed and approved by the Depositor pursuant to the following
      paragraph, and the Trustee will have no duty or liability for any failure
      hereunder to determine or prepare any Additional Form 10-K Disclosure to the
      extent that such information is required to be provided by a party other than
      the Trustee, except as set forth in the next paragraph. 

     

    (ii) After
      preparing the Form 10-K, the Trustee shall forward electronically a draft copy
      of the Form 10-K to the Exchange Act Signing Party for review and approval.
      If
      the Master Servicer is the Exchange Act Signing Party and the Form 10-K includes
      Additional Form 10-K Disclosure, then the Form 10-K shall also be electronically
      distributed to the Depositor for review and approval. No later than the close
      of
      business New York City time on the 4th Business Day prior to the 10-K Filing
      Deadline, a senior officer of the Exchange Act Signing Party shall sign the
      Form
      10-K and return an electronic or fax copy of such signed Form 10-K (with an
      original executed hard copy to follow by overnight mail) to the Trustee. If
      a
      Form 10-K cannot be filed on time or if a previously filed Form 10-K needs
      to be
      amended, the Trustee will follow the procedures set forth in subsection (g)
      of
      this Section 6.20. Promptly (but no later than one Business Day) after filing
      with the Commission, the Trustee will make available on its internet website
      a
      final executed copy of each Form 10-K filed by the Trustee. The parties to
      this
      Agreement acknowledge that the performance by the Trustee of its duties under
      this Section 6.20(e) related to the timely preparation and filing of Form 10-K
      is contingent upon such parties (and any Additional Servicer or Servicing
      Function Participant) strictly observing all applicable deadlines in the
      performance of their duties under this Section 6.20(e), Section 9.25(a), Section
      9.25(b) and Section 9.26. The Trustee shall have no liability for any loss,
      expense, damage or claim arising out of or with respect to any failure to
      properly prepare and/or timely file such Form 10-K, where such failure results
      from the Trustee’s inability or failure to obtain or receive, on a timely basis,
      any information from any other party hereto needed to prepare, arrange for
      execution or file such Form 10-K, not resulting from its own negligence, bad
      faith or willful misconduct. The Trustee shall not be responsible (1) for the
      content of any of the information provided pursuant to clauses (e)(i)(A) -
      (H)
      above (unless such item is provided by and specific to the Trustee or its
      Subcontractor, in which case the Trustee will be responsible for the content
      of
      such information; provided
      that
      such
      information is not revised without the prior consent of the Trustee), (2) for
      determining whether any such information is required to be included in any
      Form
      10-K (unless such information is specific to the Trustee, in which case the
      Trustee shall be responsible for making such a determination), (3) for
      reformatting any information that is not in a form suitable for conversion
      to
      the format required for filing with the Commission via EDGAR so that it is
      able
      to be filed on EDGAR or (4) for the failure to include any information if it
      is
      not provided to the Trustee on a timely basis (unless such item is specific
      to
      the Trustee, in which case the Trustee will be responsible for the failure
      to
      include such information, unless such information is not included in the final
      Form 10-K without the consent of the Trustee). 

     

    

    
      
        
          
          

        

        
          188

          
            

          

        

        
          
          

        

      

    

    

    

     

    The
      Trustee has no duty under this Agreement to monitor or enforce the performance
      by the parties listed on Exhibit R of their duties under this paragraph or
      proactively solicit or procure from such parties any Additional Form 10-K
      Disclosure information. The Depositor will be responsible for any reasonable
      fees and expenses assessed or incurred by the Trustee in connection with
      including any Additional Form 10-K Disclosure on Form 10-K pursuant to this
      paragraph.

     

    (iii) Unless
      a
      Form 15 Suspension Notification with respect to the Trust Fund has been filed,
      if so requested, on or prior to March 15th
      of each
      year, beginning in March 2008, the Trustee shall sign a certification in the
      form attached hereto as Exhibit M (the “Back-up Certification”) for the benefit
      of the Exchange Act Signing Party and the Person who signs the Form 10-K
      Certification (the “Certifying Party”) regarding certain aspects of such Form
      10-K Certification, upon which the Exchange Act Signing Party and the Certifying
      Party can reasonably rely (provided,
      however,
      that the
      Trustee shall not be required to undertake an analysis of, and shall have no
      responsibility for, any financial information, the accountant’s report,
      certification or other materials contained therein, except for those
      computations prepared by the Trustee and reflected in the distribution report).
      Nothing in this Section 6.20(i) shall relieve the Trustee of its responsibility
      for the matters as to which it is certifying in the form attached hereto as
      Exhibit M. 

     

    (iv) Form
      10-K
      requires the registrant to indicate (by checking “yes” or “no”) that it “(1) has
      filed all reports required to be filed by Section 13 or 15(d) of the Exchange
      Act during the preceding 12 months (or for such shorter period that the
      registrant was required to file such reports), and (2) has been subject to
      such
      filing requirements for the past 90 days.” The Depositor hereby directs the
      Trustee to check “yes” with respect to both clauses (1) and (2) above. The
      Depositor shall notify the Trustee in writing, no later than the 15th calendar
      day of March in any year in which the Trust is subject to the reporting
      requirements of the Exchange Act, if the answer to either of clause (1) or
      clause (2) above is “no.” The Trustee shall be entitled to rely on such
      direction in preparing and/or filing any such Form 10-K.

     

    (v) Each
      person (including their officers or directors) that signs any Form 10-K
      Certification shall be entitled to indemnification from the Trust Fund for
      any
      liability or expense incurred by it in connection with such certification,
      other
      than any liability or expense attributable to such Person’s own bad faith,
      negligence or willful misconduct. The provisions of this subsection shall
      survive any termination of this Agreement and the resignation or removal of
      such
      Person.

     

    (f)
       Reports
      Filed on Form 8-K.

     

    (i) Within
      four Business Days after the occurrence of an event requiring disclosure on
      Form
      8-K (each such event, a “Reportable Event”), at the written direction and
      expense of the Depositor, the Trustee shall prepare and file Current Reports
      on
      Form 8-K in respect of the Trust Fund, as required by the Exchange Act;
provided,
      that,
      the Depositor shall have timely notified the Trustee of an item reportable
      on a
      Current Report on Form 8-K and shall have delivered to the Trustee no later
      than
      two Business Days prior to the filing deadline for such Current Report, all
      information, data, and exhibits required to be provided or filed with such
      Current Report, including, particularly, information, data and exhibits, in
      a
      form suitable for conversion to the format required for filing with the
      Commission via EDGAR, required to be provided in connection with the following
      Items of Form 8-K:

     

    

    
      
        
          
          

        

        
          189

          
            

          

        

        
          
          

        

      

    

    

    

     

    (A) Item
      1.01
      - Entry into a Material Definitive Agreement;

     

    (B) Item
      1.02
      - Termination of a Material Definitive Agreement;

     

    (C) Item
      1.03
      - Bankruptcy or Receivership;

     

    (D) Item
      2.04
      - Triggering Events that Accelerate or Increase a Direct Financial Obligation
      or
      an Obligation under an Off-Balance Sheet Arrangement;

     

    (E) Item
      3.03
      - Material Modification to Rights of Security Holders;

     

    (F) Item
      5.03
      - Amendments of Articles of Incorporation or Bylaws; Change of Fiscal
      Year

     

    (G) Item
      6.02
      - Change in Servicer or Trustee;

     

    (H) Item
      6.03
      - Change in Credit Enhancement or Other External Support;

     

    (I) Item
      6.04
      - Failure to Make a Required Distribution; and

     

    (J) Item
      6.05
      - Securities Act Updating Disclosure.

     

    Any
      disclosure or information related to a Reportable Event or that is otherwise
      required to be included on Form 8-K other than the initial Form 8-K
      (“Form
      8-K Disclosure Information”)
      shall
      be reported by the parties set forth on Exhibit S to the Depositor and the
      Trustee and directed and approved by the Depositor pursuant to the following
      paragraph, and the Trustee will have no duty or liability for any failure
      hereunder to determine or prepare any Form 8-K Disclosure Information or any
      Form 8-K to the extent that such information is required to be provided by
      a
      party other than the Trustee, except as set forth in the next paragraph.

     

    

    
      
        
          
          

        

        
          190

          
            

          

        

        
          
          

        

      

    

    

    

     

    (ii) After
      preparing the Form 8-K, the Trustee shall forward electronically, no later
      than
      Noon New York City time on the 3rd
      Business
      Day after the Reportable Event, a draft copy of the Form 8-K to the Exchange
      Act
      Signing Party for review and approval. If the Master Servicer is the Exchange
      Act Signing Party, then the Form 8-K shall also be electronically distributed
      to
      the Depositor for review and approval. No later than 1 p.m. New York City time
      on the 4th
      Business
      Day after the Reportable Event, a duly authorized officer of the Exchange Act
      Signing Party shall sign the Form 8-K and return an electronic or fax copy
      of
      such signed Form 8-K (with an original executed hard copy to follow by overnight
      mail) to the Trustee. If a Form 8-K cannot be filed on time or if a previously
      filed Form 8-K needs to be amended, the Trustee will follow the procedures
      set
      forth in subsection (g) of this Section 6.20. Promptly (but no later than one
      Business Day) after filing with the Commission, the Trustee will make available
      on its internet website a final executed copy of each Form 8-K filed by the
      Trustee. The parties to this Agreement acknowledge that the performance by
      the
      Trustee of its duties under this Section 6.20(f) related to the timely
      preparation and filing of Form 8-K is contingent upon such parties strictly
      observing all applicable deadlines in the performance of their duties under
      this
      Section 6.20(f). The Trustee shall have no liability for any loss, expense,
      damage, claim arising out of or with respect to any failure to properly prepare
      and/or timely file such Form 8-K, where such failure results from the Trustee’s
      inability or failure to obtain or receive, on a timely basis, any information
      from any other party hereto needed to prepare or file such Form 8-K, not
      resulting from its own negligence, bad faith or willful misconduct. The Trustee
      shall not be responsible (1) for the content of any of the information provided
      pursuant to clauses (f)(i)(A) - (J) above (unless such item is provided by
      and
      specific to the Trustee or its Subcontractor, in which case the Trustee will
      be
      responsible for the content of such information; provided
      that
      such
      information is not revised without the prior consent of the Trustee), (2) for
      determining what information is required to be filed on a Form 8-K in connection
      with the transactions contemplated by this Agreement (unless such information
      is
      specific to the Trustee, in which case the Trustee will be responsible for
      making such a determination, unless such information is not included in the
      final Form 8-K without the consent of the Trustee), (3) for reformatting any
      information that is not in a form suitable for conversion to the format required
      for filing with the Commission via EDGAR so that it is able to be filed on
      EDGAR
      or (4) for any late filing of a Form 8-K in the event that it does not receive
      all information, data, signatures and exhibits required to be provided or filed
      on or prior to the second Business Day prior to the applicable filing deadline.
      The Trustee has no duty under this Agreement to monitor or enforce the
      performance by the parties listed on Exhibit S of their duties under this
      paragraph or proactively solicit or procure from such parties any Additional
      Form 10-K Disclosure information. The Depositor will be responsible for any
      reasonable fees and expenses assessed or incurred by the Trustee in connection
      with including any Form 8-K Disclosure Information on Form 8-K pursuant to
      this
      paragraph.

     

    (g)
       Delisting;
      Amendments; Late Filings.

     

    (i) Prior
      to
      January 30th of the first year in which the Trustee is able to do so under
      applicable law, unless otherwise directed by the Depositor in writing, the
      Trustee shall prepare and file a Form 15 relating to the automatic suspension
      of
      reporting in respect of the Trust Fund under the Exchange Act. The Paying Agent
      is entitled to assume that a Form 15 will be filed for such year unless the
      Trustee notifies the Paying Agent that a From 15 will not be filed.

     

    

    
      
        
          
          

        

        
          191

          
            

          

        

        
          
          

        

      

    

    

    

     

    (ii) In
      the
      event that the Trustee becomes aware that it will be unable to timely file
      with
      the Commission all or any required portion of any Form 8-K, 10-D or 10-K
      required to be filed by this Agreement because required disclosure information
      was either not delivered to it or delivered to it after the delivery deadlines
      set forth in this Agreement or for any other reason, the Trustee will
      immediately notify the Depositor. In the case of Form 10-D and 10-K, the parties
      to this Agreement and each Servicer will cooperate to prepare and file a Form
      12b-25 and a Form 10-D/A and 10-K/A as applicable, pursuant to Rule 12b-25
      of
      the Exchange Act. In the case of Form 8-K, the Trustee will, upon receipt of
      all
      required Form 8-K Disclosure Information and upon the approval and direction
      of
      the Depositor, include such disclosure information on the next Form 10-D. In
      the
      event that any previously filed Form 8-K, 10-D or 10-K needs to be amended
      with
      respect to an additional disclosure item, the Trustee will notify the Depositor
      and any applicable party affected thereby and such parties will cooperate to
      prepare any necessary Form 8-K/A, 10-D/A or 10-K/A. Any Form 15, Form 12b-25
      or
      any amendment to Form 8-K, 10-D or 10-K shall be signed by a senior officer
      or a
      duly authorized representative, as applicable, of the Exchange Act Signing
      Party. The parties to this Agreement acknowledge that the performance by the
      Trustee of its duties under this Section 6.20(g) related to the timely
      preparation and filing of Form 15, a Form 12b-25 or any amendment to Form 8-K,
      10-D or 10-K is contingent upon each such party performing its duties under
      this
      Section. The Trustee shall have no liability for any loss, expense, damage
      or
      claim arising out of or with respect to any failure to properly prepare and/or
      timely file any such Form 15, Form 12b-25 or any amendments to Forms 8-K, 10-D
      or 10-K, where such failure results from the Trustee’s inability or failure to
      obtain or receive, on a timely basis, any information from any other party
      hereto needed to prepare, arrange for execution or file such Form 15, Form
      12b-25 or any amendments to Forms 8-K, 10-D or 10-K, not resulting from its
      own
      negligence, bad faith or willful misconduct.

     

    (h)
       The
      Trustee, with the prior consent of the Depositor, may include in any Exchange
      Act report all relevant information, data, and exhibits as the Trustee may
      receive in connection with such report irrespective of any provision that may
      permit the exclusion of such material. For example, the Trustee, with the prior
      consent of the Depositor, may file all Assessments of Compliance, Attestation
      Reports and Compliance Statements timely received from any Item 1122 Responsible
      Party irrespective of any applicable minimum pool asset percentage requirement
      for disclosure related to such Item 1122 Responsible Party.

     

    (i)
       Any
      party
      that signs any Exchange Act report that the Trustee is required to file shall
      provide to the Trustee prompt notice of the execution of such Exchange Act
      report along with the name and contact information for the person signing such
      report and shall promptly deliver to the Trustee the original executed signature
      page for such report. In addition, each of the parties agrees to provide to
      the
      Trustee such additional information related to such party as the Trustee may
      reasonably request, including evidence of the authorization of the person
      signing any certification or statement, financial information and reports,
      and
      such other information related to such party or its performance
      hereunder.

     

    (j)
       The
      Depositor and the Master Servicer, by mutual agreement, shall determine which
      of
      the Depositor or the Master Servicer shall be the initial Exchange Act Signing
      Party. Upon such determination, the Depositor shall timely notify the Trustee,
      and such notice shall provide contact information for the Exchange Act Signing
      Party. If the Depositor and Master Servicer, at any time, mutually agree to
      change the identity of the Exchange Act Signing Party, the Depositor shall
      provide timely notice to the Trustee of any such change. Any n notice delivered
      pursuant to this Section 6.20 may be by fax or electronic copy notwithstanding
      the notice provisions of Section 11.07.

     

    

    
      
        
          
          

        

        
          192

          
            

          

        

        
          
          

        

      

    

    

    

     

    Section
      6.21. Compliance
      with Regulation AB.

     

    Each
      of
      the parties hereto acknowledges and agrees that the purpose of Sections 6.01
      and
      6.20 of this Agreement is to facilitate compliance by the Sponsor, the Master
      Servicer, the Depositor and the Trustee with the provisions of Regulation AB,
      as
      such may be amended or clarified from time to time. Therefore, each of the
      parties agrees that (a) the obligations of the parties hereunder shall be
      interpreted in such a manner as to accomplish compliance with Regulation AB,
      (b)
      the parties’ obligations hereunder will be supplemented and modified as
      necessary to be consistent with any such amendments, interpretive advice or
      guidance from the Commission, convention or consensus among active participants
      in the asset-backed securities markets, or otherwise in respect of the
      requirements of Regulation AB and (c) the parties shall comply with reasonable
      requests made by the Sponsor, the Master Servicer, the Depositor or the Trustee
      for delivery of additional or different information, to the extent such
      information is available or reasonably attainable, as the Sponsor, the Master
      Servicer, the Depositor or the Trustee may determine in good faith is necessary
      to comply with the provisions of Regulation AB.

     

    Section
      6.22. No
      Merger. 

     

    The
      Lehman XS Trust 2007-3 shall not to be merged or consolidated with any other
      entity, except as a result of a final judicial determination.

     

    Section
      6.23. Reporting
      Requirements of the Commission. 

     

    The
      Trustee and the Master Servicer shall reasonably cooperate with the Depositor
      and its counsel to enter into such amendments or modifications to this Agreement
      as may be necessary to comply with the Rules and any interpretations thereof
      by
      the staff of the Commission, subject to the provisions of Section 11.03
      hereof.

     

    ARTICLE
      VII

     

    PURCHASE
      OF MORTGAGE LOANS AND

    TERMINATION
      OF THE TRUST FUND

     

    
      	 	
              Section
                7.01.

            	
              Purchase
                of Mortgage Loans; Termination of a Mortgage Pool or the Trust Fund
                Upon
                Purchase or Liquidation of Mortgage Loans; Purchase of the Pooling
                REMIC 1
                Regular Interests, the Pooling REMIC 2 Regular Interests, the Pooling
                REMIC 3 Regular Interests or the Pooling REMIC 4 Regular
                Interests.

            

    

     

    (a)
       The
      respective obligations and responsibilities of the Trustee and the Master
      Servicer created hereby (other than the obligation of the Trustee to make
      payments to Certificateholders and the Swap Counterparty as set forth in Section
      7.02, the obligation of the Master Servicer to make a final remittance to the
      Trustee pursuant to Section 4.01, and the obligations of the Master Servicer
      to
      the Trustee pursuant to Sections 9.10 and 9.14) with respect to Pool 1A and
      Pool
      1B shall terminate on the earliest of (i) the final payment or other liquidation
      of the last Mortgage Loan remaining in Pool 1A and Pool 1B and the disposition
      of all related REO Property, (ii) the latest to occur of the sale of the
      property held by the Trust Fund in accordance with Section 7.01(b) and (iii)
      the
      Latest Possible Maturity Date (each, a “Pool 1A-1B Termination Event”);
provided,
      however,
      that in
      no event shall the Trust Fund created hereby continue beyond the expiration
      of
      21 years from the death of the last survivor of the descendants of Joseph P.
      Kennedy, the late Ambassador of the United States to the Court of St. James’s,
      living on the date hereof. Upon the occurrence of a Pool 1A-1B Termination
      Event, each REMIC related to Pool 1A and Pool 1B shall be terminated in a manner
      that shall qualify as a “qualified liquidation” under the REMIC Provisions as
      evidenced by an Opinion of Counsel provided to the Trustee at the expense of
      the
      Trust Fund.

     

    

    
      
        
          
          

        

        
          193

          
            

          

        

        
          
          

        

      

    

    

    

     

    The
      respective obligations and responsibilities of the Trustee and the Master
      Servicer created hereby (other than the obligation of the Trustee to make
      payments to Certificateholders as set forth in Section 7.02, the obligation
      of
      the Master Servicer to make a final remittance to the Trustee pursuant to
      Section 4.01, and the obligations of the Master Servicer to the Trustee pursuant
      to Sections 9.10 and 9.14) with respect to Pool 2 shall terminate on the
      earliest of (i) the final payment or other liquidation of the last Mortgage
      Loan
      remaining in Pool 2 and the disposition of all related REO Property, (ii) the
      latest to occur of the sale of the property held by the Trust Fund in accordance
      with Section 7.01(d) and (iii) the Latest Possible Maturity Date (each, a “Pool
      2 Termination Event”); provided,
      however,
      that in
      no event shall the Trust Fund created hereby continue beyond the expiration
      of
      21 years from the death of the last survivor of the descendants of Joseph P.
      Kennedy, the late Ambassador of the United States to the Court of St. James’s,
      living on the date hereof. Upon the occurrence of a Pool 2 Termination Event,
      each REMIC related to Pool 2 shall be terminated in a manner that shall qualify
      as a “qualified liquidation” under the REMIC Provisions as evidenced by an
      Opinion of Counsel provided to the Trustee at the expense of the Trust
      Fund.

     

    The
      respective obligations and responsibilities of the Trustee and the Master
      Servicer created hereby (other than the obligation of the Trustee to make
      payments to Certificateholders and the Swap Counterparty as set forth in Section
      7.02, the obligation of the Master Servicer to make a final remittance to the
      Trustee pursuant to Section 4.01, and the obligations of the Master Servicer
      to
      the Trustee pursuant to Sections 9.10 and 9.14) with respect to Pool 3A and
      Pool
      3B shall terminate on the earliest of (i) the final payment or other liquidation
      of the last Mortgage Loan remaining in Pool 3A and Pool 3B and the disposition
      of all related REO Property, (ii) the latest to occur of the sale of the
      property held by the Trust Fund in accordance with Section 7.01(b) and (iii)
      the
      Latest Possible Maturity Date (each, a “Pool 3A-3B Termination Event”);
provided,
      however,
      that in
      no event shall the Trust Fund created hereby continue beyond the expiration
      of
      21 years from the death of the last survivor of the descendants of Joseph P.
      Kennedy, the late Ambassador of the United States to the Court of St. James’s,
      living on the date hereof. Upon the occurrence of a Pool 3A-3B Termination
      Event, each REMIC related to Pool 3A and Pool 3B shall be terminated in a manner
      that shall qualify as a “qualified liquidation” under the REMIC Provisions as
      evidenced by an Opinion of Counsel provided to the Trustee at the expense of
      the
      Trust Fund.

     

    

    
      
        
          
          

        

        
          194

          
            

          

        

        
          
          

        

      

    

    

    

     

    The
      respective obligations and responsibilities of the Trustee and the Master
      Servicer created hereby (other than the obligation of the Trustee to make
      payments to Certificateholders and the Swap Counterparty as set forth in Section
      7.02, the obligation of the Master Servicer to make a final remittance to the
      Trustee pursuant to Section 4.01, and the obligations of the Master Servicer
      to
      the Trustee pursuant to Sections 9.10 and 9.14) with respect to Pool 4A and
      Pool
      4B shall terminate on the earliest of (i) the final payment or other liquidation
      of the last Mortgage Loan remaining in Pool 4A and Pool 4B and the disposition
      of all related REO Property, (ii) the latest to occur of the sale of the
      property held by the Trust Fund in accordance with Section 7.01(b) and (iii)
      the
      Latest Possible Maturity Date (each, a “Pool 4A-4B Termination Event”);
provided,
      however,
      that in
      no event shall the Trust Fund created hereby continue beyond the expiration
      of
      21 years from the death of the last survivor of the descendants of Joseph P.
      Kennedy, the late Ambassador of the United States to the Court of St. James’s,
      living on the date hereof. Upon the occurrence of a Pool 4A-4B Termination
      Event, each REMIC related to Pool 4A and Pool 4B shall be terminated in a manner
      that shall qualify as a “qualified liquidation” under the REMIC Provisions as
      evidenced by an Opinion of Counsel provided to the Trustee at the expense of
      the
      Trust Fund

     

    (b)
       On
      any
      Distribution Date occurring on or after the Pool 1A-1B Initial Optional
      Termination Date, the Master Servicer or the LTURI-holder, as applicable, with
      the prior written consent of any NIMS Insurer and the Seller (which consent
      shall not be unreasonably withheld) has the option to purchase the Mortgage
      Loans in Pool 1A and Pool 1B and any REO Property related to Pool 1A and Pool
      1B
      for the Pool 1A-1B Purchase Price upon written direction to the Trustee
      (delivered no later than 30 days prior to the anticipated sale date);
provided,
      however, if
      there
      are any Group 1 NIM Securities outstanding, the Master Servicer may only
      exercise its option after receiving the prior written consent of the holders
      of
      such Group 1 NIM Securities and, if such consent is given, the Pool 1A-1B
      Purchase Price shall also include an amount equal to the sum of (1) any accrued
      interest on the Group 1 NIM Securities, (2) the unpaid principal balance of
      any
      such Group 1 NIM Securities and (3) any other reimbursable expenses owed by
      the
      issuer of the Group 1 NIM Securities (the “Group 1 NIM Redemption Amount”). Upon
      exercise of such option, the property of the Trust Fund in Pool 1A and Pool
      1B
      shall be sold to the Master Servicer for the Pool 1A-1B Purchase Price. The
      Master Servicer, each Servicer (or the Trustee, if applicable) shall be
      reimbursed from the Pool 1A-1B Purchase Price for any Mortgage Loan in Pool
      1A
      and Pool 1B or related REO Property for any Advances made or other amounts
      advanced with respect to the Mortgage Loans in Pool 1A and Pool 1B that are
      reimbursable to the Master Servicer or the Trustee under this Agreement or
      the
      related Servicing Agreement, together with any accrued and unpaid compensation
      and any other amounts due to the Master Servicer or the Trustee hereunder or
      the
      Servicers thereunder, and the Trustee shall be entitled to be reimbursed from
      the Pool 1A-1B Purchase Price for any related amounts owed to the Trustee under
      Section 6.11 and Section 6.12 hereof. If the NIMS Insurer directs the Master
      Servicer to exercise its right to cause the Trust Fund to sell its property
      in
      Pool 1A and Pool 1B as described above, then (i) the Master Servicer shall
      cause
      the Trust Fund to sell its property in Pool 1A and Pool 1B as described above,
      (ii) the NIMS Insurer shall remit the Pool 1A-1B Purchase Price in immediately
      available funds to the Master Servicer at least three Business Days prior to
      the
      applicable Distribution Date and, upon receipt of such funds from the NIMS
      Insurer, the Master Servicer shall promptly deposit such funds in the Collection
      Account and (iii) the Trustee shall transfer the property of the Trust Fund
      in
      Pool 1A and Pool 1B to the NIMS Insurer. The NIMS Insurer shall be obligated
      to
      reimburse the Master Servicer and the Trustee for their reasonable out-of-pocket
      expenses incurred in connection with its sale of the property in Pool 1A and
      Pool 1B at the direction of the NIMS Insurer and shall indemnify and hold
      harmless the Master Servicer and the Trustee for any losses, liabilities or
      expenses resulting from any claims directly resulting from or relating to the
      Master Servicer’s or Trustee’s sale of the property in Pool 1A and Pool 1B at
      the direction of the NIMS Insurer, except to the extent such losses, liabilities
      or expenses arise out of or result from the Master Servicer’s or Trustee’s, as
      the case may be, negligence, bad faith or willful misconduct.

     

    

    
      
        
          
          

        

        
          195

          
            

          

        

        
          
          

        

      

    

    

    

     

    On
      any
      Distribution Date occurring on or after the Pool 2 Initial Optional Termination
      Date, the Master Servicer or the LTURI-holder, as applicable, with the prior
      written consent of any NIMS Insurer and the Seller (which consent shall not
      be
      unreasonably withheld) has the option to purchase the Mortgage Loans in Pool
      2
      and any REO Property related to Pool 2 for the Pool 2 Purchase Price upon
      written direction to the Trustee (delivered no later than 30 days prior to
      the
      anticipated sale date); provided,
      however, if
      there
      are any Group 2 NIM Securities outstanding, the Master Servicer may only
      exercise its option after receiving the prior written consent of the holders
      of
      the Group 2 NIM Securities and, if such consent is given, the Pool 2 Purchase
      Price shall also include an amount equal to the sum of (1) any accrued interest
      on the Group 2 NIM Securities, (2) the unpaid principal balance of any such
      Group 2 NIM Securities and (3) any other reimbursable expenses owed by the
      issuer of the Group 2 NIM Securities (the “Group 2 NIM Redemption Amount”). Upon
      exercise of such option, the property of the Trust Fund in Pool 2 shall be
      sold
      to the Master Servicer for the Pool 2 Purchase Price. The Master Servicer,
      each
      Servicer (or the Trustee, if applicable) shall be reimbursed from the Pool
      2
      Purchase Price for any Mortgage Loan in Pool 2 or related REO Property for
      any
      Advances made or other amounts advanced with respect to the Mortgage Loans
      in
      Pool 2 that are reimbursable to the Master Servicer or the Trustee under this
      Agreement or the related Servicing Agreement, together with any accrued and
      unpaid compensation due to the Master Servicer hereunder or the Servicers
      thereunder, and the Trustee shall be entitled to be reimbursed from the Pool
      2
      Purchase Price for any related amounts owed to the Trustee under Section 6.11
      and Section 6.12 hereof. If the NIMS Insurer directs the Master Servicer to
      exercise its right to cause the Trust Fund to sell its property in Pool 2 as
      described above, then (i) the Master Servicer shall cause the Trust Fund to
      sell
      its property in Pool 2 as described above, (ii) the NIMS Insurer shall remit
      the
      Pool 2 Purchase Price in immediately available funds to the Master Servicer
      at
      least three Business Days prior to the applicable Distribution Date and, upon
      receipt of such funds from the NIMS Insurer, the Master Servicer shall promptly
      deposit such funds in the Collection Account and (iii) the Trustee shall
      transfer the property of the Trust Fund in Pool 2 to the NIMS Insurer. The
      NIMS
      Insurer shall be obligated to reimburse the Master Servicer and the Trustee
      for
      their reasonable out-of-pocket expenses incurred in connection with its sale
      of
      the property in Pool 2 at the direction of the NIMS Insurer and shall indemnify
      and hold harmless the Master Servicer and the Trustee for any losses,
      liabilities or expenses resulting from any claims directly resulting from or
      relating to the Master Servicer’s or Trustee’s sale of the property in Pool 2 at
      the direction of the NIMS Insurer, except to the extent such losses, liabilities
      or expenses arise out of or result from the Master Servicer’s or Trustee’s, as
      the case may be, negligence, bad faith or willful misconduct.

     

    

    
      
        
          
          

        

        
          196

          
            

          

        

        
          
          

        

      

    

    

    

     

    On
      any
      Distribution Date occurring on or after the Pool 3A-3B Initial Optional
      Termination Date, the Master Servicer or the LTURI-holder, as applicable, with
      the prior written consent of any NIMS Insurer and the Seller (which consent
      shall not be unreasonably withheld) has the option to purchase the Mortgage
      Loans in Pool 3A and Pool 3B and any REO Property related to Pool 3A and Pool
      3B
      for the Pool 3A-3B Purchase Price upon written direction to the Trustee
      (delivered no later than 30 days prior to the anticipated sale date);
provided,
      however, if
      there
      are any Group 3 NIM Securities outstanding, the Master Servicer may only
      exercise its option after receiving the prior written consent of the holders
      of
      such Group 3 NIM Securities and, if such consent is given, the Pool 3A-3B
      Purchase Price shall also include an amount equal to the sum of (1) any accrued
      interest on the Group 3 NIM Securities, (2) the unpaid principal balance of
      any
      such Group 3 NIM Securities and (3) any other reimbursable expenses owed by
      the
      issuer of the Group 3 NIM Securities (the “Group 3 NIM Redemption Amount”). Upon
      exercise of such option, the property of the Trust Fund in Pool 3A and Pool
      3B
      shall be sold to the Master Servicer for the Pool 3A-3B Purchase Price. The
      Master Servicer, each Servicer (or the Trustee, if applicable) shall be
      reimbursed from the Pool 3A-3B Purchase Price for any Mortgage Loan in Pool
      3A
      and Pool 3B or related REO Property for any Advances made or other amounts
      advanced with respect to the Mortgage Loans in Pool 3A and Pool 3B that are
      reimbursable to the Master Servicer or the Trustee under this Agreement or
      the
      related Servicing Agreement, together with any accrued and unpaid compensation
      and any other amounts due to the Master Servicer or the Trustee hereunder or
      the
      Servicers thereunder, and the Trustee shall be entitled to be reimbursed from
      the Pool 3A-3B Purchase Price for any related amounts owed to the Trustee under
      Section 6.11 and Section 6.12 hereof. If the NIMS Insurer directs the Master
      Servicer to exercise its right to cause the Trust Fund to sell its property
      in
      Pool 3A and Pool 3B as described above, then (i) the Master Servicer shall
      cause
      the Trust Fund to sell its property in Pool 3A and Pool 3B as described above,
      (ii) the NIMS Insurer shall remit the Pool 3A-3B Purchase Price in immediately
      available funds to the Master Servicer at least three Business Days prior to
      the
      applicable Distribution Date and, upon receipt of such funds from the NIMS
      Insurer, the Master Servicer shall promptly deposit such funds in the Collection
      Account and (iii) the Trustee shall transfer the property of the Trust Fund
      in
      Pool 3A and Pool 3B to the NIMS Insurer. The NIMS Insurer shall be obligated
      to
      reimburse the Master Servicer and the Trustee for their reasonable out-of-pocket
      expenses incurred in connection with its sale of the property in Pool 3A and
      Pool 3B at the direction of the NIMS Insurer and shall indemnify and hold
      harmless the Master Servicer and the Trustee for any losses, liabilities or
      expenses resulting from any claims directly resulting from or relating to the
      Master Servicer’s or Trustee’s sale of the property in Pool 3A and Pool 3B at
      the direction of the NIMS Insurer, except to the extent such losses, liabilities
      or expenses arise out of or result from the Master Servicer’s or Trustee’s, as
      the case may be, negligence, bad faith or willful misconduct. 

     

    On
      any
      Distribution Date occurring on or after the Pool 4A-4B Initial Optional
      Termination Date, the Master Servicer or the LTURI-holder, as applicable, with
      the prior written consent of any NIMS Insurer and the Seller (which consent
      shall not be unreasonably withheld) has the option to purchase the Mortgage
      Loans in Pool 4A and Pool 4B and any REO Property related to Pool 4A and Pool
      4B
      for the Pool 4A-4B Purchase Price upon written direction to the Trustee
      (delivered no later than 30 days prior to the anticipated sale date);
provided,
      however, if
      there
      are any Group 4 NIM Securities outstanding, the Master Servicer may only
      exercise its option after receiving the prior written consent of the holders
      of
      such Group 4 NIM Securities and, if such consent is given, the Pool 4A-4B
      Purchase Price shall also include an amount equal to the sum of (1) any accrued
      interest on the Group 4 NIM Securities, (2) the unpaid principal balance of
      any
      such Group 4 NIM Securities and (3) any other reimbursable expenses owed by
      the
      issuer of the Group 4 NIM Securities (the “Group 4 NIM Redemption Amount”). Upon
      exercise of such option, the property of the Trust Fund in Pool 4A and Pool
      4B
      shall be sold to the Master Servicer for the Pool 4A-4B Purchase Price. The
      Master Servicer, each Servicer (or the Trustee, if applicable) shall be
      reimbursed from the Pool 4A-4B Purchase Price for any 

     

    

    
      
        
          
          

        

        
          197

          
            

          

        

        
          
          

        

      

    

    

    Mortgage
      Loan in Pool 4A and Pool 4B or related REO Property for any Advances made or
      other amounts advanced with respect to the Mortgage Loans in Pool 4A and Pool
      4B
      that are reimbursable to the Master Servicer or the Trustee under this Agreement
      or the related Servicing Agreement, together with any accrued and unpaid
      compensation and any other amounts due to the Master Servicer or the Trustee
      hereunder or the Servicers thereunder, and the Trustee shall be entitled to
      be
      reimbursed from the Pool 4A-4B Purchase Price for any related amounts owed
      to
      the Trustee under Section 6.11 and Section 6.12 hereof. If the NIMS Insurer
      directs the Master Servicer to exercise its right to cause the Trust Fund to
      sell its property in Pool 4A and Pool 4B as described above, then (i) the Master
      Servicer shall cause the Trust Fund to sell its property in Pool 4A and Pool
      4B
      as described above, (ii) the NIMS Insurer shall remit the Pool 4A-4B Purchase
      Price in immediately available funds to the Master Servicer at least three
      Business Days prior to the applicable Distribution Date and, upon receipt of
      such funds from the NIMS Insurer, the Master Servicer shall promptly deposit
      such funds in the Collection Account and (iii) the Trustee shall transfer the
      property of the Trust Fund in Pool 4A and Pool 4B to the NIMS Insurer. The
      NIMS
      Insurer shall be obligated to reimburse the Master Servicer and the Trustee
      for
      their reasonable out-of-pocket expenses incurred in connection with its sale
      of
      the property in Pool 4A and Pool 4B at the direction of the NIMS Insurer and
      shall indemnify and hold harmless the Master Servicer and the Trustee for any
      losses, liabilities or expenses resulting from any claims directly resulting
      from or relating to the Master Servicer’s or Trustee’s sale of the property in
      Pool 4A and Pool 4B at the direction of the NIMS Insurer, except to the extent
      such losses, liabilities or expenses arise out of or result from the Master
      Servicer’s or Trustee’s, as the case may be, negligence, bad faith or willful
      misconduct.

     

    (c)
       [Reserved].

     

    (d)
       On
      any
      Distribution Date occurring on or after the Pool 1A-1B Initial Optional
      Termination Date, the Pool 2 Initial Optional Termination Date, Pool 3A-3B
      Initial Optional Termination Date or Pool 4A-4B Initial Optional Termination
      Date, as applicable, and provided there are no related NIM Securities
      outstanding, the Master Servicer, with the prior written consent of the Seller,
      which consent shall not be unreasonably withheld, has the option to purchase
      all
      of the Pooling REMIC 1 Regular Interests, the Pooling REMIC 2 Regular Interests,
      the Pooling REMIC 3 Regular Interests or the Pooling REMIC 4 Regular Interests,
      respectively. 

     

    Upon
      exercise of such option with respect to Pool 1A and Pool 1B, the Pooling REMIC
      1
      Regular Interests shall be sold to the Master Servicer at a price (the “Pooling
      REMIC 1 Regular Interest Price”) equal to the sum of (i) 100% of the unpaid
      principal balance of each Pool 1A and Pool 1B Mortgage Loan on the day of such
      purchase plus interest accrued thereon at the applicable Mortgage Rate with
      respect to any such Mortgage Loan to the Due Date in the Collection Period
      immediately preceding the related Distribution Date to the date of such
      repurchase and (ii) the fair market value of any REO Property and any other
      property held by Pooling REMIC 1, such fair market value to be determined by
      an
      independent appraiser or appraisers mutually agreed upon by the Master Servicer,
      any NIMS Insurer and the Trustee (reduced, in the case of REO Property, by
      (1)
      reasonably anticipated disposition costs and (2) any amount by which the fair
      market value as so reduced exceeds the outstanding principal balance of the
      related Mortgage Loan plus interest accrued thereon at the applicable Net
      Mortgage Rate to the date of such purchase). If the Master Servicer elects
      to
      exercise such option, each REMIC created pursuant to this Agreement related
      to
      Pool 1A and Pool 1B (other than Pooling REMIC 1) shall be terminated in such
      a
      manner so that the termination of each such REMIC shall qualify as a “qualified
      liquidation” under the REMIC Provisions and the Pooling REMIC 1 Regular
      Interests and the Class 1-LT-R Certificates will evidence the entire beneficial
      interest in the property of the Trust Fund. Following a purchase of the Pooling
      REMIC 1 Regular Interests pursuant to this subsection, the Trust Fund (and
      Pooling REMIC 1) will remain outstanding and final payment on the Certificates
      (other than the Class 1-LT-R Certificates) will be made in accordance with
      Section 7.03(a)(iii) and 5A.02. The Trust Fund, as it relates Pool 1A and Pool
      1B, will terminate upon the occurrence of a Pool 1A-1B Termination Event, in
      accordance with Section 7.01(a).

     

    

    
      
        
          
          

        

        
          198

          
            

          

        

        
          
          

        

      

    

    

    

     

    Upon
      exercise of such option with respect to Pool 2, the Pooling REMIC 2 Regular
      Interests shall be sold to the Master Servicer at a price (the “Pooling REMIC 2
      Regular Interests Purchase Price”) equal to the sum of (i) 100% of the unpaid
      principal balance of each Pool 2 Mortgage Loan on the day of such purchase
      plus
      interest accrued thereon at the applicable Mortgage Rate with respect to any
      such Mortgage Loan to the Due Date in the Collection Period immediately
      preceding the related Distribution Date to the date of such repurchase and
      (ii)
      the fair market value of any REO Property and any other property held by Pooling
      REMIC 2, such fair market value to be determined by an independent appraiser
      or
      appraisers mutually agreed upon by the Master Servicer, any NIMS Insurer and
      the
      Trustee (reduced, in the case of REO Property, by (1) reasonably anticipated
      disposition costs and (2) any amount by which the fair market value as so
      reduced exceeds the outstanding principal balance of the related Mortgage Loan
      plus interest accrued thereon at the applicable Net Mortgage Rate to the date
      of
      such purchase). If the Master Servicer elects to exercise such option, each
      REMIC created pursuant to this Agreement related to Pool 2 (other than Pooling
      REMIC 2) shall be terminated in such a manner so that the termination of each
      such REMIC shall qualify as a “qualified liquidation” under the REMIC Provisions
      and the Pooling REMIC 2 Regular Interests and the Class 2-LT-R Certificates
      will
      evidence the entire beneficial interest in the property of the Trust Fund.
      Following a purchase of the Lower-Tier REMIC 2 Uncertificated Regular Interests
      pursuant to this subsection, the Trust Fund (and Pooling REMIC 2) will remain
      outstanding and final payment on the Certificates (other than the Class 2-LT-R
      Certificates) will be made in accordance with Section 7.03(a)(iii) and 5B.02.
      The Trust Fund, as it relates to Pool 2, will terminate upon the occurrence
      of a
      Pool 2 Termination Event, in accordance with Section 7.01(a).

     

    Upon
      exercise of such option with respect to Pool 3A and Pool 3B, the Pooling REMIC
      3
      Regular Interests shall be sold to the Master Servicer at a price (the “Pooling
      REMIC 3 Regular Interest Price”) equal to the sum of (i) 100% of the unpaid
      principal balance of each Pool 3A and Pool 3B Mortgage Loan on the day of such
      purchase plus interest accrued thereon at the applicable Mortgage Rate with
      respect to any such Mortgage Loan to the Due Date in the Collection Period
      immediately preceding the related Distribution Date to the date of such
      repurchase and (ii) the fair market value of any REO Property and any other
      property held by Pooling REMIC 3, such fair market value to be determined by
      an
      independent appraiser or appraisers mutually agreed upon by the Master Servicer,
      any NIMS Insurer and the Trustee (reduced, in the case of REO Property, by
      (1)
      reasonably anticipated disposition costs and (2) any amount by which the fair
      market value as so reduced exceeds the outstanding principal balance of the
      related Mortgage Loan plus interest accrued thereon at the applicable Net
      Mortgage Rate to the date of such purchase). If the Master Servicer elects
      to
      exercise such option, each REMIC created pursuant to this Agreement related
      to
      Pool 3A and Pool 3B (other than Pooling REMIC 3) shall be terminated in such
      a
      manner so that the termination of each such REMIC shall qualify as a “qualified
      liquidation” under the REMIC Provisions and the Pooling REMIC 3 Regular
      Interests and the Class 3-LT-R Certificates will evidence the entire beneficial
      interest in the property of the Trust Fund. Following a purchase of the Pooling
      REMIC 3 Regular Interests pursuant to this subsection, the Trust Fund (and
      Pooling REMIC 3) will remain outstanding and final payment on the Certificates
      (other than the Class 3-LT-R Certificates) will be made in accordance with
      Section 7.03(a)(iii) and 5C.02. The Trust Fund, as it relates Pool 3A and Pool
      3B, will terminate upon the occurrence of a Pool 3A-3B Termination Event, in
      accordance with Section 7.01(a).

     

    

    
      
        
          
          

        

        
          199

          
            

          

        

        
          
          

        

      

    

    

    

     

    Upon
      exercise of such option with respect to Pool 4A and Pool 4B, the Pooling REMIC
      4
      Regular Interests shall be sold to the Master Servicer at a price (the “Pooling
      REMIC 4 Regular Interest Price”) equal to the sum of (i) 100% of the unpaid
      principal balance of each Pool 4A and Pool 4B Mortgage Loan on the day of such
      purchase plus interest accrued thereon at the applicable Mortgage Rate with
      respect to any such Mortgage Loan to the Due Date in the Collection Period
      immediately preceding the related Distribution Date to the date of such
      repurchase and (ii) the fair market value of any REO Property and any other
      property held by Pooling REMIC 4, such fair market value to be determined by
      an
      independent appraiser or appraisers mutually agreed upon by the Master Servicer,
      any NIMS Insurer and the Trustee (reduced, in the case of REO Property, by
      (1)
      reasonably anticipated disposition costs and (2) any amount by which the fair
      market value as so reduced exceeds the outstanding principal balance of the
      related Mortgage Loan plus interest accrued thereon at the applicable Net
      Mortgage Rate to the date of such purchase). If the Master Servicer elects
      to
      exercise such option, each REMIC created pursuant to this Agreement related
      to
      Pool 4A and Pool 4B (other than Pooling REMIC 4) shall be terminated in such
      a
      manner so that the termination of each such REMIC shall qualify as a “qualified
      liquidation” under the REMIC Provisions and the Pooling REMIC 4 Regular
      Interests and the Class 4-LT-R Certificates will evidence the entire beneficial
      interest in the property of the Trust Fund. Following a purchase of the Pooling
      REMIC 4 Regular Interests pursuant to this subsection, the Trust Fund (and
      Pooling REMIC 4) will remain outstanding and final payment on the Certificates
      (other than the Class 4-LT-R Certificates) will be made in accordance with
      Section 7.03(a)(iii) and 5D.02. The Trust Fund, as it relates Pool 4A and Pool
      4B, will terminate upon the occurrence of a Pool 4A-4B Termination Event, in
      accordance with Section 7.01(a).

     

    The
      Trust
      Fund will terminate upon the occurrence of a Trust Fund Termination Event,
      in
      accordance with Section 7.01(a).

     

    
      	 	
              Section
                7.02.

            	
              Procedure
                Upon Termination of Trust Fund or Purchase of Pooling REMIC 1 Regular
                Interests, the Pooling REMIC 2 Regular Interests, the Pooling REMIC
                3
                Regular Interests or the Pooling REMIC 4 Regular Interests.
                

            

    

     

    (a)
       Notice
      of
      any Trust Fund Termination Event and notice of the purchase of the Pooling
      REMIC
      1 Regular Interests, the Pooling REMIC 2 Regular Interests, the Pooling REMIC
      3
      Regular Interests or the Pooling REMIC 4 Regular Interests, specifying the
      Distribution Date upon which the final distribution to the Certificates (other
      than the Class 1-LT-R, Class 2-LT-R, Class 3-LT-R or Class 4-LT-R Certificates,
      in the case of a purchase of the Pooling REMIC 1 Regular Interests, the Pooling
      REMIC 2 Regular Interests, the Pooling REMIC 3 Regular Interests or the Pooling
      REMIC 4 Regular Interests, respectively) shall be made, shall be given promptly
      by the Trustee by first class mail to Certificateholders mailed no later than
      5
      Business Days after the Trustee has received notice from the Master Servicer
      of
      its election to cause (x) sale of all of the property of the Trust Fund related
      to Pool 1A and Pool 1B, related to Pool 2, related to Pool 3A and Pool 3B,
      or
      related to Pool 4A and Pool 4B pursuant to Section 7.01(b), (y) the purchase
      of
      the Pooling REMIC 1 Regular Interests, the Pooling REMIC 2 Regular Interests,
      the Pooling REMIC 3 Regular Interests or the Pooling REMIC 4 Regular Interests
      pursuant to Section 7.01(d), or (z) upon the final payment or other liquidation
      of the last Mortgage Loan or REO Property in the applicable Pool in the Trust
      Fund. In the case of a Trust Fund Termination Event, the Trustee shall also
      give
      notice to the Master Servicer and the Certificate Registrar at the time notice
      is given to the Holders.

     

    

    
      
        
          
          

        

        
          200

          
            

          

        

        
          
          

        

      

    

    

    

     

    In
      the
      case of a Pool 1A-1B Termination Event, Pool 2 Termination Event, Pool 3A-3B
      Termination Event or Pool 4A-4B Termination Event, as applicable, such notice
      shall specify (A) the Distribution Date upon which final distribution on the
      related Certificates, Pooling REMIC 1 Regular Interests, Pooling REMIC 2 Regular
      Interests, Pooling REMIC 3 Regular Interests or Pooling REMIC 4 Regular
      Interests of all amounts required to be distributed to Certificateholders
      pursuant to Section 5A.02, Section 5B.02, Section 5C.02 and Section 5D.02,
      as
      applicable, will be made upon presentation and surrender of the Certificates
      at
      the Corporate Trust Office, and (B) that the Record Date otherwise applicable
      to
      such Distribution Date is not applicable, distribution being made only upon
      presentation and surrender of the Certificates at the office or agency of the
      Trustee therein specified. Upon any such Trust Fund Termination Event, the
      duties of the Certificate Registrar with respect to the Certificates, Pooling
      REMIC 1 Regular Interests, Pooling REMIC 2 Regular Interests, Pooling REMIC
      3
      Regular Interests and Pooling REMIC 4 Regular Interests shall terminate and
      the
      Trustee shall terminate or request the Master Servicer to terminate, the
      Collection Account it maintains, the Certificate Account and any other account
      or fund maintained with respect to the Certificates, Pooling REMIC 1 Regular
      Interests, Pooling REMIC 2 Regular Interests, Pooling REMIC 3 Regular Interests
      or Pooling REMIC 4 Regular Interests, subject to the Trustee’s obligation
      hereunder to hold all amounts payable to Certificateholders in trust without
      interest pending such payment. 

     

    In
      the
      case of a purchase of the Pooling REMIC 1 Regular Interests, Pooling REMIC
      2
      Regular Interests, Pooling REMIC 3 Regular Interests or Pooling REMIC 4 Regular
      Interests, such notice shall specify (A) the Distribution Date upon which final
      distribution on the Certificates (other than the Class 1-LT-R Certificates,
      Class 2-LT-R Certificates, Class 3-LT-R Certificates and Class 4-LT-R
      Certificates) of all amounts required to be distributed to Certificateholders
      pursuant to 5A.02, Section 5B.02, Section 5C.02 and Section 5D.02, as
      applicable, (other than any distributions to the Class 1-LT-R Certificates
      in
      respect of Pooling REMIC 1, the Class 2-LT-R Certificate in the case of Pooling
      REMIC 2, the Class 3-LT-R Certificates in the case of Poling REMIC 3 and the
      Class 4-LT-R Certificates in the case of Pooling REMIC 4) will be made upon
      presentation and surrender of the Certificates (other than the Class 1-LT-R
      Certificates, Class 2-LT-R Certificates, Class 3-LT-R Certificates or Class
      4-LT-R Certificates, as applicable) at the Corporate Trust Office, and (B)
      that
      the Record Date otherwise applicable to such Distribution Date is not
      applicable, distribution being made only upon presentation and surrender of
      the
      Certificates (other than the Class 1-LT-R Certificates, Class 2-LT-R
      Certificates, Class 3-LT-R Certificates or Class 4-LT-R Certificates, as
      applicable) at the office or agency of the Trustee therein specified. Upon
      any
      such purchase of the Pooling REMIC 1 Regular Interests, Pooling REMIC 2 Regular
      Interests, Pooling REMIC 3 Regular Interests or Pooling REMIC 4 Regular
      Interests, the duties of the Certificate Registrar with respect to the related
      Certificates shall terminate but the Trustee shall not terminate or request
      the
      Master Servicer to terminate, the Collection Account it maintains, the
      Certificate Account and any other account or fund maintained with respect to
      the
      related Certificates, subject to the Trustee’s obligation hereunder to hold all
      amounts payable to Certificateholders in trust without interest pending such
      payment. For all Distribution Dates following the Distribution Date on which
      the
      Master Servicer purchases either the Pooling REMIC 1 Regular Interests, Pooling
      REMIC 2 Regular Interests, Pooling REMIC 3 Regular Interests or Pooling REMIC
      4
      Regular Interests, all amounts that would be distributed on the related
      Certificates (other than the Class 1-LT-R Certificates, the Class 2-LT-R
      Certificates, the Class 3-LT-R Certificates or the Class 4-LT-R Certificate,
      as
      applicable, and exclusive of amounts payable from any fund that is treated
      as an
      Excluded Trust Asset) absent such purchase shall be payable to the applicable
      LTURI-holder.

     

    

    
      
        
          
          

        

        
          201

          
            

          

        

        
          
          

        

      

    

    

    

     

    (b)
       In
      the
      event that all of the Holders do not surrender their Certificates for
      cancellation within three months after the time specified in the above-mentioned
      written notice, the Trustee shall give a second written notice to the remaining
      Certificateholders to surrender their Certificates for cancellation and receive
      the final distribution with respect thereto. If within one year after the second
      notice any Certificates shall not have been surrendered for cancellation, the
      Trustee may take appropriate steps to contact the remaining Certificateholders
      concerning surrender of such Certificates, and the cost thereof shall be paid
      out of the amounts distributable to such Holders. If within two years after
      the
      second notice any Certificates shall not have been surrendered for cancellation,
      the Trustee shall, subject to applicable state law relating to escheatment,
      hold
      all amounts distributable to such Holders for the benefit of such Holders.
      No
      interest shall accrue on any amount held by the Trustee and not distributed
      to a
      Certificateholder due to such Certificateholder’s failure to surrender its
      Certificate(s) for payment of the final distribution thereon in accordance
      with
      this Section.

     

    (c)
       Any
      reasonable expenses incurred by the Trustee in connection with any Trust Fund
      Termination Event or any purchase of the either the Pooling REMIC 1 Regular
      Interests, Pooling REMIC 2 Regular Interests, Pooling REMIC 3 Regular Interests
      or Pooling REMIC 4 Regular Interests shall be reimbursed from proceeds received
      from such termination or purchase.

     

    Section
      7.03. Additional
      Requirements for any Trust Fund Termination Event or Purchase of either the
      Pooling REMIC 1 Regular Interests, Pooling REMIC 2 Regular Interests, Pooling
      REMIC 3 Regular Interests or Pooling REMIC 4 Regular Interests.

     

    (a)
       Any
      termination of the Trust Fund pursuant to Section 7.01(a) or any termination
      of
      a REMIC pursuant to Section 7.01(d) shall be effected in accordance with the
      following additional requirements, unless the Trustee seeks (at the request
      of
      the party exercising the option to purchase all of the Mortgage Loans or any
      of
      the Pooling REMIC 1 Regular Interests, Pooling REMIC 2 Regular Interests,
      Pooling REMIC 3 Regular Interests or Pooling REMIC 4 Regular Interests pursuant
      to Section 7.01(b) or Section 7.01(d), respectively), and subsequently receives,
      an Opinion of Counsel (at the expense of such requesting party), addressed
      to
      the Trustee and any NIMS Insurer to the effect that the failure to comply with
      the requirements of this Section 7.03 will not result in an Adverse REMIC
      Event:

     

    

    
      
        
          
          

        

        
          202

          
            

          

        

        
          
          

        

      

    

    

    

     

    (i)
       Within
      89
      days prior to the time of the making of the final payment on the Certificates
      (other than the Class 1-LT-R, Class 2-LT-R, Class 3-LT-R and Class 4-LT-R
      Certificates, in the case of a purchase of the Pooling REMIC 1 Regular
      Interests, Pooling REMIC 2 Regular Interests, Pooling REMIC 3 Regular Interests
      or Pooling REMIC 4 Regular Interests, respectively, upon notification by the
      Master Servicer, any NIMS Insurer or an Affiliate of the Seller that it intends
      to exercise its option to cause the termination of the Trust Fund or purchase
      the Pooling REMIC 1 Regular Interests, Pooling REMIC 2 Regular Interests,
      Pooling REMIC 3 Regular Interests or Pooling REMIC 4 Regular Interests, the
      Trustee shall adopt a plan of complete liquidation on behalf of each related
      REMIC (other than Pooling REMIC 1, in the case of a purchase of the Pooling
      REMIC 1 Regular Interests, other than Pooling REMIC 2, in the case of the
      purchase of the Pooling REMIC 2 Regular Interests, other than Pooling REMIC
      3,
      in the case of the purchase of the Pooling REMIC 3 Regular Interests and other
      than Pooling REMIC 4, in the case of a purchase of the Pooling REMIC 4 Regular
      Interests), meeting the requirements of a qualified liquidation under the REMIC
      Provisions;

     

    (ii)
       Any
      sale
      of the assets of the Trust Fund, the Pooling REMIC 1 Regular Interests, Pooling
      REMIC 2 Regular Interests, Pooling REMIC 3 Regular Interests or Pooling REMIC
      4
      Regular Interests pursuant to Section 7.02 shall be a sale for cash and shall
      occur at or after the time of adoption of such a plan of complete liquidation
      and prior to the time of making of the final payment on the Certificates (other
      than the Class 1-LT-R, Class 2-LT-R, Class 3-LT-R and Class 4-LT-R Certificates,
      in the case of a purchase of the Pooling REMIC 1 Regular Interests, Pooling
      REMIC 2 Regular Interests, Pooling REMIC 3 Regular Interests or Pooling REMIC
      4
      Regular Interests, respectively);

     

    (iii)
       On
      the
      date specified for final payment of the Certificates (other than the Class
      1-LT-R, Class 2-LT-R, Class 3-LT-R and Class 4-LT-R Certificates, in the case
      of
      a purchase of the Pooling REMIC 1 Regular Interests, Pooling REMIC 2 Regular
      Interests, Pooling REMIC 3 Regular Interests or Pooling REMIC 4 Regular
      Interests, respectively), the Trustee shall make final distributions of
      principal and interest on such Certificates and shall pay, in the case of a
      Pool
      1A-1B Termination Event or a Pool 2 Termination Event, any Swap Termination
      Payment owed to the Swap Counterparty on the related Swap Payment Date (to
      the
      extent not paid on previous Swap Payment Dates) in accordance with Section
      5A.02
      or Section 5B.02, as applicable. In the case of a Trust Fund Termination Event,
      and, after payment of, or provision for any outstanding expenses, the Trustee
      shall distribute or credit, or cause to be distributed or credited, to the
      Holders of the Residual Certificates all cash on hand after such final payment
      (other than cash retained to meet claims), and the Trust Fund (and each REMIC)
      shall terminate at that time; and

     

    (iv)
       In
      no
      event may the final payment on the Certificates or the final distribution or
      credit to the Holders of the Residual Certificates in respect of the residual
      interest in any liquidated REMIC be made after the 89th day from the date on
      which the plan of complete liquidation for such REMIC is adopted.

     

    (b)
       By
      its
      acceptance of a Residual Certificate, each Holder thereof hereby agrees to
      accept the plan of complete liquidation prepared by the Depositor and adopted
      by
      the Trustee under this Section and to take such other action in connection
      therewith as may be reasonably requested by the Master Servicer or any
      Servicer.

     

    

    
      
        
          
          

        

        
          203

          
            

          

        

        
          
          

        

      

    

    

    

     

    (c)
        In
      connection with the termination of the Trust Fund or a Section 7.01(d) Purchase
      Event, the Trustee may request an Opinion of Counsel addressed to the Trustee
      (at the expense of the Depositor) to the effect that all the requirements of
      a
      qualified liquidation under the REMIC Provisions have been met.

     

    Section
      7.04. Optional
      Purchase Right of NIMS Insurer.

     

    The
      NIMS
      Insurer, if any, may purchase any Distressed Mortgage Loan in the related
      Mortgage Pool or Mortgage Pools for a purchase price equal to the outstanding
      principal balance of such Mortgage Loan, plus accrued interest thereon to the
      date of repurchase plus any unreimbursed Advances, Servicing Advances, Servicing
      Fees or Trustee Fees and any unreimbursed expenses of the Trustee allocable
      to
      such Distressed Mortgage Loan. Any such purchase shall be accomplished by the
      NIM Insurer’s remittance of the purchase price for the Distressed Mortgage Loan
      to the Master Servicer for deposit into the Collection Account. The NIMS Insurer
      shall not use any procedure in selecting Distressed Mortgage Loans to be
      purchase which would be materially adverse to the related
      Certificateholders.

     

    ARTICLE
      VIII

     

    RIGHTS
      OF
      CERTIFICATEHOLDERS

     

    Section
      8.01. Limitation
      on Rights of Holders. 

     

    (a)
       The
      death
      or incapacity of any Certificateholder shall not operate to terminate this
      Agreement or this Trust Fund, nor entitle such Certificateholder’s legal
      representatives or heirs to claim an accounting or take any action or proceeding
      in any court for a partition or winding up of this Trust Fund, nor otherwise
      affect the rights, obligations and liabilities of the parties hereto or any
      of
      them. Except as otherwise expressly provided herein, no Certificateholder,
      solely by virtue of its status as a Certificateholder, shall have any right
      to
      vote or in any manner otherwise control the Master Servicer or the operation
      and
      management of the Trust Fund, or the obligations of the parties hereto, nor
      shall anything herein set forth, or contained in the terms of the Certificates,
      be construed so as to constitute the Certificateholders from time to time as
      partners or members of an association, nor shall any Certificateholder be under
      any liability to any third person by reason of any action taken by the parties
      to this Agreement pursuant to any provision hereof.

     

    (b)
       No
      Certificateholder, solely by virtue of its status as Certificateholder, shall
      have any right by virtue or by availing of any provision of this Agreement
      to
      institute any suit, action or proceeding in equity or at law upon or under
      or
      with respect to this Agreement, unless such Holder previously shall have given
      to the Trustee a written notice of an Event of Default and of the continuance
      thereof, as hereinbefore provided, and unless also the Holders of Certificates
      evidencing not less than 25% of the Class Principal Amount (or Percentage
      Interest) of Certificates of each Class affected thereby shall, with the prior
      written consent of any NIMS Insurer, have made written request upon the Trustee
      to institute such action, suit or proceeding in its own name as Trustee
      hereunder and shall have offered to the Trustee such reasonable indemnity as
      it
      may require against the cost, expenses and liabilities to be incurred therein
      or
      thereby, and the Trustee, for sixty days after its receipt of such notice,
      request and offer of indemnity, shall have neglected or refused to institute
      any
      such action, suit or proceeding and no direction inconsistent with such written
      request has been given the Trustee during such sixty-day period by such
      Certificateholders or any NIMS Insurer; it being understood and intended, and
      being expressly covenanted by each Certificateholder with every other
      Certificateholder, any NIMS Insurer and the Trustee, that no one or more Holders
      of Certificates shall have any right in any manner whatever by virtue or by
      availing of any provision of this Agreement to affect, disturb or prejudice
      the
      rights of the Holders of any other of such Certificates or the rights of any
      NIMS Insurer, or to obtain or seek to obtain priority over or preference to
      any
      other such Holder or any NIMS Insurer, or to enforce any right under this
      Agreement, except in the manner herein provided and for the benefit of all
      Certificateholders. For the protection and enforcement of the provisions of
      this
      Section, each and every Certificateholder, any NIMS Insurer and the Trustee
      shall be entitled to such relief as can be given either at law or in
      equity.

     

    

    
      
        
          
          

        

        
          204

          
            

          

        

        
          
          

        

      

    

    

    

     

    Section
      8.02. Access
      to List of Holders. 

     

    (a)
       If
      the
      Trustee is not acting as Certificate Registrar, the Certificate Registrar will
      furnish or cause to be furnished to the Trustee and any NIMS Insurer, within
      fifteen days after receipt by the Certificate Registrar of a request by the
      Trustee or any NIMS Insurer in writing, a list, in such form as the Trustee
      may
      reasonably require, of the names and addresses of the Certificateholders of
      each
      Class as of the most recent Record Date.

     

    (b)
       If
      any
      NIMS Insurer or three or more Holders or Certificate Owners (hereinafter
      referred to as “Applicants”) apply in writing to the Trustee, and such
      application states that the Applicants desire to communicate with other Holders
      with respect to their rights under this Agreement or under the Certificates
      and
      is accompanied by a copy of the communication which such Applicants propose
      to
      transmit, then the Trustee shall, within five Business Days after the receipt
      of
      such application, afford such Applicants reasonable access during the normal
      business hours of the Trustee to the most recent list of Certificateholders
      held
      by the Trustee or shall, as an alternative, send, at the Applicants’ expense,
      the written communication proffered by the Applicants to all Certificateholders
      at their addresses as they appear in the Certificate Register.

     

    (c)
       Every
      Holder or Certificate Owner, if the Holder is a Clearing Agency, by receiving
      and holding a Certificate, agrees with the Depositor, the Master Servicer,
      any
      NIMS Insurer, the Certificate Registrar and the Trustee, that none of the
      Depositor, the Master Servicer, any NIMS Insurer, the Certificate Registrar,
      the
      Paying Agent or the Trustee shall be held accountable by reason of the
      disclosure of any such information as to the names and addresses of the
      Certificateholders hereunder, regardless of the source from which such
      information was derived.

     

    Section
      8.03. Acts
      of Holders of Certificates. 

     

    (a)
       Any
      request, demand, authorization, direction, notice, consent, waiver or other
      action provided by this Agreement to be given or taken by Holders or Certificate
      Owner, if the Holder is a Clearing Agency, may be embodied in and evidenced
      by
      one or more instruments of substantially similar tenor signed by such Holders
      in
      person or by agent duly appointed in writing; and, except as herein otherwise
      expressly provided, such action shall become effective when such instrument
      or
      instruments are delivered to the Trustee, the Certificate Registrar and the
      Paying Agent and, where expressly required herein, to the Master Servicer.
      Such
      instrument or instruments (as the action embodies therein and evidenced thereby)
      are herein sometimes referred to as an “Act” of the Holders signing such
      instrument or instruments. Proof of execution of any such instrument or of
      a
      writing appointing any such agents shall be sufficient for any purpose of this
      Agreement and conclusive in favor of the Trustee and the Master Servicer, if
      made in the manner provided in this Section. Each of the Trustee and the Master
      Servicer shall promptly notify the others of receipt of any such instrument
      by
      it, and shall promptly forward a copy of such instrument to the
      others.

     

    

    
      
        
          
          

        

        
          205

          
            

          

        

        
          
          

        

      

    

    

    

     

    (b)
       The
      fact
      and date of the execution by any Person of any such instrument or writing may
      be
      proved by the affidavit of a witness of such execution or by the certificate
      of
      any notary public or other officer authorized by law to take acknowledgments
      or
      deeds, certifying that the individual signing such instrument or writing
      acknowledged to him the execution thereof. Whenever such execution is by an
      officer of a corporation or a member of a partnership on behalf of such
      corporation or partnership, such certificate or affidavit shall also constitute
      sufficient proof of his authority. The fact and date of the execution of any
      such instrument or writing, or the authority of the individual executing the
      same, may also be proved in any other manner which the Trustee deems
      sufficient.

     

    (c)
       The
      ownership of Certificates, Pooling REMIC 1 Regular Interests, Pooling REMIC
      2
      Regular Interests, Pooling REMIC 3 Regular Interests or Pooling REMIC 4 Regular
      Interests (whether or not such Certificates, Pooling REMIC 1 Regular Interests,
      Pooling REMIC 2 Regular Interests, Pooling REMIC 3 Regular Interests or Pooling
      REMIC 4 Regular Interests shall be overdue and notwithstanding any notation
      of
      ownership or other writing thereon made by anyone other than the Trustee) shall
      be proved by the Certificate Register, and none of the Trustee, the Master
      Servicer, the Paying Agent or the Depositor shall be affected by any notice
      to
      the contrary.

     

    (d)
       Any
      request, demand, authorization, direction, notice, consent, waiver or other
      action by the Holder of any Certificate, Pooling REMIC 1 Regular Interests,
      Pooling REMIC 2 Regular Interests, Pooling REMIC 3 Regular Interests or Pooling
      REMIC 4 Regular Interests shall bind every future Holder of the same
      Certificate, Pooling REMIC 1 Regular Interests, Pooling REMIC 2 Regular
      Interests, Pooling REMIC 3 Regular Interests or Pooling REMIC 4 Regular
      Interests and the Holder of every Certificate, Pooling REMIC 1 Regular
      Interests, Pooling REMIC 2 Regular Interests, Pooling REMIC 3 Regular Interests
      or Pooling REMIC 4 Regular Interests issued upon the registration of transfer
      thereof or in exchange therefor or in lieu thereof, in respect of anything
      done,
      omitted or suffered to be done by the Trustee or the Master Servicer in reliance
      thereon, whether or not notation of such action is made upon such Certificate,
      Pooling REMIC 1 Regular Interests, Pooling REMIC 2 Regular Interests, Pooling
      REMIC 3 Regular Interests or Pooling REMIC 4 Regular Interests.

     

    ARTICLE
      IX

     

    ADMINISTRATION
      AND SERVICING OF MORTGAGE LOANS

    BY
      THE
      MASTER SERVICER

     

    

    
      
        
          
          

        

        
          206

          
            

          

        

        
          
          

        

      

    

    

    

    Section
      9.01. Duties
      of the Master Servicer. 

     

    The
      Certificateholders, by their purchase and acceptance of the Certificates,
      Pooling REMIC 1 Regular Interests, Pooling REMIC 2 Regular Interests, Pooling
      REMIC 3 Regular Interests or Pooling REMIC 4 Regular Interests, appoint Aurora
      Loan Services LLC, as Master Servicer. For and on behalf of the Depositor,
      the
      Trustee and the Certificateholders, the Master Servicer shall master service
      the
      Mortgage Loans in accordance with the provisions of this Agreement and the
      provisions of each Servicing Agreement. 

     

    Section
      9.02. Master
      Servicer Fidelity Bond and Master Servicer Errors and Omissions Insurance
      Policy. 

     

    (a)
       The
      Master Servicer, at its expense, shall maintain in effect a Master Servicer
      Fidelity Bond and a Master Servicer Errors and Omissions Insurance Policy,
      affording coverage with respect to all directors, officers, employees and other
      Persons acting on such Master Servicer’s behalf, and covering errors and
      omissions in the performance of the Master Servicer’s obligations hereunder. The
      Master Servicer Errors and Omissions Insurance Policy and the Master Servicer
      Fidelity Bond shall be in such form and amount that would be consistent with
      coverage customarily maintained by master servicers of mortgage loans similar
      to
      the Mortgage Loans and the Master Servicer shall provide the Trustee and any
      NIMS Insurer upon request, with a copy of such policy and fidelity bond. The
      Master Servicer shall (i) require each Servicer to maintain an Errors and
      Omissions Insurance Policy and a Servicer Fidelity Bond in accordance with
      the
      provisions of the applicable Servicing Agreement, (ii) cause each Servicer
      to
      provide to the Master Servicer certificates evidencing that such policy and
      bond
      is in effect and to furnish to the Master Servicer any notice of cancellation,
      non-renewal or modification of the policy or bond received by it, as and to
      the
      extent provided in the applicable Servicing Agreement, and (iii) furnish copies
      of such policies and of the certificates and notices referred to in clause
      (ii)
      to the Trustee upon request.

     

    (b)
       The
      Master Servicer shall promptly report to the Trustee and any NIMS Insurer any
      material changes that may occur in the Master Servicer Fidelity Bond or the
      Master Servicer Errors and Omissions Insurance Policy and shall furnish to
      the
      Trustee and any NIMS Insurer, on request, certificates evidencing that such
      bond
      and insurance policy are in full force and effect. The Master Servicer shall
      promptly report to the Trustee and any NIMS Insurer all cases of embezzlement
      or
      fraud, if such events involve funds relating to the Mortgage Loans. The total
      losses, regardless of whether claims are filed with the applicable insurer
      or
      surety, shall be disclosed in such reports together with the amount of such
      losses covered by insurance. If a bond or insurance claim report is filed with
      any of such bonding companies or insurers, the Master Servicer shall promptly
      furnish a copy of such report to the Trustee and any NIMS Insurer. Any amounts
      relating to the Mortgage Loans collected by the Master Servicer under any such
      bond or policy shall be promptly remitted by the Master Servicer to the Trustee
      for deposit into the Certificate Account. Any amounts relating to the Mortgage
      Loans collected by the applicable Servicer under any such bond or policy shall
      be remitted to the Master Servicer to the extent provided in the applicable
      Servicing Agreement.

     

    Section
      9.03. Master
      Servicer’s Financial Statements and Related Information. 

     

    For
      each
      year this Agreement is in effect, the Master Servicer shall submit to the
      Trustee, each Rating Agency and the Depositor a copy of the annual audited
      financial statements of its parent on or prior to March 31st of each year
      commencing on March 31, 2008. Such financial statements shall include
      comparative balance sheets, income statements, statement of changes in
      shareholder's equity, statements of cash flows, a consolidating schedule showing
      consolidated subsidiaries and any related notes required pursuant to generally
      accepted accounting principles, certified by a nationally recognized firm of
      Independent Accountants to the effect that such financial statements were
      examined and prepared in accordance with generally accepted accounting
      principles applied on a basis consistent with that of the preceding
      year.

     

    

    
      
        
          
          

        

        
          207

          
            

          

        

        
          
          

        

      

    

    

    

     

    Section
      9.04. Power
      to Act; Procedures. 

     

    (a)
       The
      Master Servicer shall master service the Mortgage Loans and shall have full
      power and authority, subject to the REMIC Provisions and the provisions of
      Article X hereof, and each Servicer shall have full power and authority (to
      the
      extent provided in the applicable Servicing Agreement) to do any and all things
      that it may deem necessary or desirable in connection with the servicing and
      administration of the Mortgage Loans, including but not limited to the power
      and
      authority (i) to execute and deliver, on behalf of the Certificateholders and
      the Trustee, customary consents or waivers and other instruments and documents,
      (ii) to consent to transfers of any Mortgaged Property and assumptions of the
      Mortgage Notes and related Mortgages, (iii) to collect any Insurance Proceeds
      and Liquidation Proceeds, and (iv) to effectuate foreclosure or other conversion
      of the ownership of the Mortgaged Property securing any Mortgage Loan, in each
      case, in accordance with the provisions of this Agreement and the applicable
      Servicing Agreement, as applicable; provided that the Master Servicer shall
      not
      take, or knowingly permit any Servicer to take, any action that is inconsistent
      with or prejudices the interests of the Trust Fund or the Certificateholders
      in
      any Mortgage Loan or the rights and interests of the Depositor, the Trustee,
      the
      Certificateholders under this Agreement. The Master Servicer further is
      authorized and empowered by the Trustee, on behalf of the Certificateholders
      and
      the Trustee, in its own name or in the name of any Servicer (to the extent
      permitted in the related Servicing Agreement), when the Master Servicer or
      a
      Servicer, as the case may be, believes it is appropriate in its best judgment
      to
      register any Mortgage Loan with MERS, or cause the removal from the registration
      of any Mortgage Loan on the MERS system, to execute and deliver, on behalf
      of
      the Trustee and the Certificateholders or any of them, any and all instruments
      of assignment and other comparable instruments with respect to such assignment
      or re-recording of a Mortgage in the name of MERS, solely as nominee for the
      Trustee and its successor and assigns. The Master Servicer shall represent
      and
      protect the interests of the Trust Fund in the same manner as it protects its
      own interests in mortgage loans in its own portfolio in any claim, proceeding
      or
      litigation regarding a Mortgage Loan and shall not make or knowingly permit
      any
      Servicer to make any modification, waiver or amendment of any term of any
      Mortgage Loan that would cause an Adverse REMIC Event. Without limiting the
      generality of the foregoing, the Master Servicer in its own name or in the
      name
      of a Servicer, and each Servicer, to the extent such authority is delegated
      to
      such Servicer under the applicable Servicing Agreement, is hereby authorized
      and
      empowered by the Trustee when the Master Servicer or such Servicer, as the
      case
      may be, believes it appropriate in its best judgment and in accordance with
      Accepted Servicing Practices and the applicable Servicing Agreement, to execute
      and deliver, on behalf of itself and the Certificateholders, the Trustee or
      any
      of them, any and all instruments of satisfaction or cancellation, or of partial
      or full release or discharge and all other comparable instruments, with respect
      to the Mortgage Loans and with respect to the Mortgaged 

     

    

    
      
        
          
          

        

        
          208

          
            

          

        

        
          
          

        

      

    

    

    Properties.
      The Trustee shall execute, upon request, any powers of attorney furnished to
      it
      by the Master Servicer empowering the Master Servicer or any Servicer to execute
      and deliver instruments of satisfaction or cancellation, or of partial or full
      release or discharge, and to foreclose upon or otherwise liquidate Mortgaged
      Property, and to appeal, prosecute or defend in any court action relating to
      the
      Mortgage Loans or the Mortgaged Property, in accordance with the applicable
      Servicing Agreement and this Agreement, and the Trustee shall execute and
      deliver such other documents, as the Master Servicer may request, necessary
      or
      appropriate to enable the Master Servicer to master service or administer the
      Mortgage Loans and carry out its duties hereunder and to allow such Servicer
      to
      service the Mortgage Loans, in each case in accordance with Accepted Servicing
      Practices (and the Trustee shall have no liability for misuse of any such powers
      of attorney by the Master Servicer or any Servicer). If the Master Servicer
      or
      the Trustee has been advised that it is likely that the laws of the state in
      which action is to be taken prohibit such action if taken in the name of the
      Trustee or that the Trustee would be adversely affected under the “doing
      business” or tax laws of such state if such action is taken in its name, then
      upon request of the Trustee the Master Servicer shall join with the Trustee
      in
      the appointment of a co-trustee pursuant to Section 6.09 hereof. In no event
      shall the Master Servicer, without the Trustee’s written consent: (i) initiate
      any action, suit or proceeding solely under the Trustee’s name without
      indicating the Master Servicer in its applicable, representative capacity,
      so
      long as the jurisdictional and procedural rules will allow for this insertion
      to
      occur, (ii) initiate any action, suit or proceeding not directly relating to
      the
      servicing of a Mortgage Loan (including but not limited to actions, suits or
      proceedings against Certificateholders, or against the Depositor or the
      Transferor for breaches of representations and warranties) solely under the
      Trustee’s name, (iii) engage counsel to represent the Trustee in any action,
      suit or proceeding not directly relating to the servicing of a Mortgage Loan
      (including but not limited to actions, suits or proceedings against
      Certificateholders, or against the Depositor or the Transferor for breaches
      of
      representations and warranties), or (iv) prepare, execute or deliver any
      government filings, forms, permits, registrations or other documents or take
      any
      action with the intent to cause, and that actually causes, the Trustee to be
      registered to do business in any state. The Master Servicer shall indemnify
      the
      Trustee for any and all costs, liabilities and expenses incurred by the Trustee
      in connection with the negligent or willful misuse of such powers of attorney
      by
      the Master Servicer. In the performance of its duties hereunder, the Master
      Servicer shall be an independent contractor and shall not, except in those
      instances where it is taking action in the name of the Trustee on behalf of
      the
      Trust Fund, be deemed to be the agent of the Trustee.

     

    

    
      
        
          
          

        

        
          209

          
            

          

        

        
          
          

        

      

    

    

    

     

    (b)
       In
      master
      servicing and administering the Mortgage Loans, the Master Servicer shall employ
      procedures, and shall exercise the same care that it customarily employs and
      exercises master servicing and administering loans for its own account, giving
      due consideration to Accepted Servicing Practices where such practices do not
      conflict with this Agreement. Consistent with the foregoing, the Master Servicer
      may, and may permit any Servicer to, in its discretion (i) waive any late
      payment charge (but not any Prepayment Premium, except as set forth below)
      and,
      except as set forth below (ii) extend the due dates for payments due on a
      Mortgage Note for a period not greater than 120 days; provided,
      however,
      that the
      maturity of any Mortgage Loan shall not be extended past the date on which
      the
      final payment is due on the latest maturing Mortgage Loan as of the Cut-off
      Date. In the event of any extension described in clause (ii) above, the Master
      Servicer shall make or cause such Servicer (if required by the applicable
      Servicing Agreement) to make Advances on the related Mortgage Loan in accordance
      with the provisions of Section 5.04 on the basis of the amortization schedule
      of
      such Mortgage Loan without modification thereof by reason of such extension.
      Notwithstanding anything to the contrary in this Agreement, the Master Servicer
      shall not make or knowingly permit any modification, waiver or amendment of
      any
      material term of any Mortgage Loan unless: (1) such Mortgage Loan is in default
      or default by the related Mortgagor is, in the reasonable judgment of the Master
      Servicer or the applicable Servicer, reasonably foreseeable, (2) in the case
      of
      a waiver of a Prepayment Premium if (a) such Mortgage Loan is in default or
      default by the related Mortgagor is, in the reasonable judgment of the Master
      Servicer or applicable Servicer, reasonably foreseeable, and such waiver would
      maximize recovery of total proceeds taking into account the value of such
      Prepayment Premium and the related Mortgage Loan or (b) if the prepayment is
      not
      a result of a refinancing by the Servicer or any of its affiliates and (i)
      such
      Mortgage Loan is in default or default by the related Mortgagor is, in the
      reasonable judgment of the Master Servicer or the applicable Servicer,
      reasonably foreseeable, and such waiver would maximize recovery of total
      proceeds taking into account the value of such Prepayment Premium and the
      related Mortgage Loan, or (ii) the collection of the Prepayment Premium would
      be
      in violation of applicable laws or (iii) the collection of such Prepayment
      Premium would be considered “predatory” pursuant to written guidance published
      or issued by any applicable federal, state or local regulatory authority acting
      in its official capacity and having jurisdiction over such matters, and (3)
      the
      Master Servicer shall have provided or caused to be provided to the Trustee
      an
      Opinion of Counsel (if required by the applicable Servicing Agreement) (which
      opinion shall, if provided by the Master Servicer, be an expense reimbursed
      from
      the Collection Account pursuant to Section 4.02(v)) in writing to the effect
      that such modification, waiver or amendment would not cause an Adverse REMIC
      Event; provided, in no event shall an Opinion of Counsel be required for the
      waiver of a Prepayment Premium under clause (2) above.

     

    Section
      9.05. Enforcement
      of Servicer’s and Master Servicer’s Obligations. 

     

    (a)
       Each
      Servicing Agreement requires the applicable Servicer, respectively, to service
      the Mortgage Loans in accordance with the provisions thereof. References in
      this
      Agreement to actions taken or to be taken by the Master Servicer include actions
      taken or to be taken by a Servicer on behalf of the Master Servicer. Any fees
      and other amounts payable to a Servicer shall be deducted from amounts remitted
      to the Master Servicer by such Servicer to the extent permitted by the
      applicable Servicing Agreement and shall not be an obligation of the Trust
      Fund,
      the Trustee or the Master Servicer.

     

    (b)
       The
      Master Servicer shall not be required to (i) take any action with respect to
      the
      servicing of any Mortgage Loan that the related Servicer is not required to
      take
      under the related Servicing Agreement and (ii) cause a Servicer to take any
      action or refrain from taking any action if the related Servicing Agreement
      does
      not require the Servicer to take such action or refrain from taking such action;
      in both cases notwithstanding any provision of this Agreement that requires
      the
      Master Servicer to take such action or cause the Servicer to take such
      action.

     

    (c)
       The
      Master Servicer, for the benefit of the Trustee, any NIMS Insurer and the
      Certificateholders, shall use its reasonable best efforts to enforce the
      obligations of each Servicer under the related Servicing Agreement, and shall,
      upon obtaining actual knowledge of the failure of a Servicer to perform its
      obligations in accordance therewith, to the extent that such non-performance
      of
      such obligations would have a material adverse effect on a Mortgage Loan, the
      Trust Fund or the Certificateholders, terminate the rights and obligations
      of
      such Servicer thereunder and either act as servicer of the related Mortgage
      Loans or cause the other parties hereto to enter into a Servicing Agreement
      (and
      such parties hereby agree to execute and deliver any such successor Servicing
      Agreement), with a successor servicer. Such enforcement, including, without
      limitation, the legal prosecution of claims, termination of Servicing Agreements
      and the pursuit of other appropriate remedies, shall be in such form and carried
      out to such an extent and at such time as the Master Servicer, in its good
      faith
      business judgment, would require were it the owner of the related Mortgage
      Loans. The Master Servicer shall pay the costs of such enforcement at its own
      expense, and shall be reimbursed therefor initially (i) from a general recovery
      resulting from such enforcement only to the extent, if any, that such recovery
      exceeds all amounts due in respect of the related Mortgage Loans, (ii) from
      a
      specific recovery of costs, expenses or attorneys’ fees against the party
      against whom such enforcement is directed, and then, (iii) to the extent that
      such amounts are insufficient to reimburse the Master Servicer for the costs
      of
      such enforcement, from the Collection Account.

     

    

    
      
        
          
          

        

        
          210

          
            

          

        

        
          
          

        

      

    

    

    

     

    (d)
       The
      Master Servicer shall be entitled to conclusively rely on any certifications
      or
      other information provided by the Servicers under the terms of the applicable
      Servicing Agreement, in its preparation of any certifications, notifications,
      filings or reports, in accordance with the terms hereof or as may be required
      by
      applicable law or regulation.

     

    Section
      9.06. Collection
      of Taxes, Assessments and Similar Items. 

     

    (a)
       To
      the
      extent provided in the applicable Servicing Agreement, the Master Servicer
      shall
      cause each Servicer to establish and maintain one or more custodial accounts
      at
      a depository institution (which may be a depository institution with which
      the
      Master Servicer or any Servicer establishes accounts in the ordinary course
      of
      its servicing activities), the accounts of which are insured to the maximum
      extent permitted by the FDIC (each, an “Escrow Account”) and to deposit therein
      any collections of amounts received with respect to amounts due for taxes,
      assessments, water rates, standard hazard insurance policy premiums, Payaheads,
      if applicable, or any comparable items for the account of the Mortgagors.
      Withdrawals from any Escrow Account may be made (to the extent amounts have
      been
      escrowed for such purpose) only in accordance with the applicable Servicing
      Agreement. Each Servicer shall be entitled to all investment income not required
      to be paid to Mortgagors on any Escrow Account maintained by such Servicer.
      The
      Master Servicer shall make (or cause to be made) to the extent provided in
      the
      applicable Servicing Agreement advances to the extent necessary in order to
      effect timely payment of taxes, water rates, assessments, standard hazard
      insurance policy premiums or comparable items in connection with the related
      Mortgage Loan (to the extent that the Mortgagor is required, but fails, to
      pay
      such items), provided that it or the applicable Servicer has determined that
      the
      funds so advanced are recoverable from escrow payments, reimbursement pursuant
      to Section 4.02 or otherwise.

     

    (b)
       Costs
      incurred by the Master Servicer or by any Servicer in effecting the timely
      payment of taxes and assessments on the properties subject to the Mortgage
      Loans
      may be added to the amount owing under the related Mortgage Note where the
      terms
      of the Mortgage Note so permit; provided,
      however,
      that the
      addition of any such cost shall not be taken into account for purposes of
      calculating the distributions to be made to Certificateholders. Such costs,
      to
      the extent that they are unanticipated, extraordinary costs, and not ordinary
      or
      routine costs shall be recoverable as a Servicing Advance by the Master Servicer
      pursuant to Section 4.02.

     

    

    
      
        
          
          

        

        
          211

          
            

          

        

        
          
          

        

      

    

    

    

     

    Section
      9.07. Termination
      of Servicing Agreements; Successor Servicers. 

     

    (a)
       The
      Master Servicer shall be entitled to terminate the rights and obligations of
      any
      Servicer under the applicable Servicing Agreement in accordance with the terms
      and conditions of such Servicing Agreement and without any limitation by virtue
      of this Agreement; provided,
      however,
      that in
      the event of termination of any Servicing Agreement by the Master Servicer
      or
      the related Servicer, the Master Servicer shall either act as Servicer of the
      related Mortgage Loans or provide for the servicing of the Mortgage Loans by
      a
      successor servicer to be appointed as provided in the applicable Servicing
      Agreement.

     

    The
      parties acknowledge that notwithstanding the preceding sentence, there may
      be a
      transition period, not to exceed 90 days, in order to effect the transfer of
      servicing to a successor servicer. The Master Servicer shall be entitled to
      be
      reimbursed from each Servicer (or by the Trust Fund, if the Servicer is unable
      to fulfill its obligations hereunder) for all costs associated with the transfer
      of servicing from the predecessor servicer, including without limitation, any
      costs or expenses associated with the complete transfer of all servicing data
      and the completion, correction or manipulation of such servicing data, as may
      be
      required by the Master Servicer to correct any errors or insufficiencies in
      the
      servicing data or otherwise to enable the Master Servicer to service the
      Mortgage Loans properly and effectively.

     

    (b)
       If
      the
      Master Servicer acts as a successor servicer, it will not assume liability
      for
      the representations and warranties of the Servicer, if any, that it replaces.
      The Master Servicer shall use reasonable efforts to have the successor servicer
      assume liability for the representations and warranties made by the terminated
      Servicer in the related Servicing Agreement, and in the event of any such
      assumption by the successor servicer, the Trustee or the Master Servicer, as
      applicable, may, in the exercise of its business judgment, release the
      terminated Servicer from liability for such representations and
      warranties.

     

    (c)
       If
      the
      Master Servicer acts as a successor servicer, it will have the same obligations
      to made Advances as the Servicer under the related Servicing Agreement and
      to
      reimburse itself for unreimbursed Advances if required by the Servicing
      Agreement but will have no obligation to make an Advance if it determines in
      its
      reasonable judgment that such Advance is non-recoverable. To the extent that
      the
      Master Servicer is unable to find a successor servicer that is willing to
      service the Mortgage Loans for the Servicing Fee because of the obligation
      of
      the Servicer to make Advances regardless of whether such Advance is recoverable,
      the applicable Servicing Agreement may be amended to provide that the successor
      servicer shall have no obligation to make an Advance if it determines in its
      reasonable judgment that such Advance is non-recoverable and provides an
      Officer’s Certificate to such effect to the Master Servicer and the Trustee and
      any NIMS Insurer.

     

    Section
      9.08. Master
      Servicer Liable for Enforcement. 

     

    Notwithstanding
      any Servicing Agreement, the Master Servicer shall remain obligated and liable
      to the Trustee, any NIMS Insurer and the Certificateholders in accordance with
      the provisions of this Agreement, to the extent of its obligations hereunder,
      without diminution of such obligation or liability by virtue of such Servicing
      Agreements. The Master Servicer shall use commercially reasonable efforts to
      ensure that the Mortgage Loans are serviced in accordance with the provisions
      of
      this Agreement and shall use commercially reasonable efforts to enforce the
      provisions of each Servicing Agreement for the benefit of the Certificateholders
      and any NIMS Insurer. The Master Servicer shall be entitled to enter into any
      agreement with any Servicer for indemnification of the Master Servicer and
      nothing contained in this Agreement shall be deemed to limit or modify such
      indemnification. Except as expressly set forth herein, the Master Servicer
      shall
      have no liability for the acts or omissions of any Servicer in the performance
      by such Servicer of its obligations under the related Servicing
      Agreement.

     

    

    
      
        
          
          

        

        
          212

          
            

          

        

        
          
          

        

      

    

    

    

     

    Section
      9.09. No
      Contractual Relationship Between Any Servicer and Trustee or Depositor.

     

    Any
      Servicing Agreement that may be entered into and any other transactions or
      services relating to the Mortgage Loans involving any Servicer in its capacity
      as such and not as an originator shall be deemed to be between such Servicer,
      the Seller and the Master Servicer, and the Trustee, any NIMS Insurer and the
      Depositor shall not be deemed parties thereto and shall have no obligations,
      duties or liabilities with respect to such Servicer except as set forth in
      Section 9.10 hereof, but shall have rights thereunder as third party
      beneficiaries. It is furthermore understood and agreed by the parties hereto
      that the obligations of any Servicer are set forth in their entirety in such
      Servicer’s related Servicing Agreement and such Servicer has no obligations
      under and is not otherwise bound by the terms of this Agreement.

    

    Section
      9.10. Assumption
      of Servicing Agreement by Trustee. 

     

    (a)
       In
      the
      event the Master Servicer shall for any reason no longer be the Master Servicer
      (including by reason of any Event of Default under this Agreement), after a
      period not to exceed ninety days after the issuance of any notice of termination
      pursuant to Section 6.14 or Section 9.28, as applicable, the Trustee shall,
      in
      accordance with Section 6.14, thereupon assume all of the rights and obligations
      of such Master Servicer hereunder and under each Servicing Agreement entered
      into with respect to the Mortgage Loans. The Trustee, its designee or any
      successor master servicer appointed by the Trustee shall be deemed to have
      assumed all of the Master Servicer’s interest herein and therein to the same
      extent as if such Servicing Agreement had been assigned to the assuming party,
      except that the Master Servicer shall not thereby be relieved of any liability
      or obligations of the Master Servicer under such Servicing Agreement accruing
      prior to its replacement as Master Servicer, and shall be liable to the Trustee
      and any NIMS Insurer, and hereby agrees to indemnify and hold harmless the
      Trustee and any NIMS Insurer from and against all costs, damages, expenses
      and
      liabilities (including reasonable attorneys’ fees) incurred by the Trustee or
      any NIMS Insurer as a result of such liability or obligations of the Master
      Servicer and in connection with the Trustee’s (or other successor master
      servicer’s) assumption (but not its performance, except to the extent that costs
      or liability of the Trustee (or other successor master servicer’s) are created
      or increased as a result of negligent or wrongful acts or omissions of the
      Master Servicer prior to its replacement as Master Servicer) of the Master
      Servicer’s obligations, duties or responsibilities thereunder; provided that the
      Master Servicer shall not indemnify or hold harmless the Trustee against
      negligent or willful misconduct of the Trustee.

     

    (b)
       The
      Master Servicer that has been terminated shall, upon request of the Trustee
      but
      at the expense of such Master Servicer, deliver to the assuming party all
      documents and records relating to each Servicing Agreement and the related
      Mortgage Loans and an accounting of amounts collected and held by it and
      otherwise use its best efforts to effect the orderly and efficient transfer
      of
      each Servicing Agreement to the assuming party.

     

    

    
      
        
          
          

        

        
          213

          
            

          

        

        
          
          

        

      

    

    

    

     

    Section
      9.11. Due-on-Sale
      Clauses; Assumption Agreements; Easements.

     

    (a)
       To
      the
      extent provided in the applicable Servicing Agreement, to the extent Mortgage
      Loans contain enforceable due-on-sale clauses, and to the extent that the Master
      Servicer has knowledge of the conveyance of a Mortgaged Property, the Master
      Servicer shall cause the related Servicer to enforce such clauses in accordance
      with the applicable Servicing Agreement. If applicable law prohibits the
      enforcement of a due-on-sale clause or such clause is otherwise not enforced
      in
      accordance with the applicable Servicing Agreement, and, as a consequence,
      a
      Mortgage Loan is assumed, the original Mortgagor may be released from liability
      in accordance with the applicable Servicing Agreement.

     

    (b)
       The
      Master Servicer or the related Servicer, as the case may be, shall be entitled
      to approve a request from a Mortgagor for the granting of an easement thereon
      in
      favor of another Person or any alteration or demolition of the related Mortgaged
      Property if it has determined, exercising its good faith business judgment
      in
      the same manner as it would if it were the owner of the related Mortgage Loan,
      that the security for, and the timely and full collectability of, such Mortgage
      Loan would not be materially adversely affected thereby. Any fee collected
      by
      the Master Servicer or the related Servicer for processing such a request will
      be retained by the Master Servicer or such Servicer as additional servicing
      compensation.

     

    Section
      9.12. Release
      of Mortgage Files.

     

    (a)
       Upon
      (i)
      becoming aware of the payment in full of any Mortgage Loan or (ii) the receipt
      by the Master Servicer of a notification that payment in full has been or will
      be escrowed in a manner customary for such purposes, the Master Servicer shall,
      or shall cause the applicable Servicer to, promptly notify the Trustee (or
      the
      applicable Custodian) by a certification (which certification shall include
      a
      statement to the effect that all amounts received in connection with such
      payment that are required to be deposited in the Collection Account maintained
      by the Master Servicer pursuant to Section 4.01 hereof have been or will be
      so
      deposited) of a Servicing Officer and shall request (on the form attached hereto
      as Exhibit C or on the form attached to the related Custodial Agreement) the
      Trustee or the applicable Custodian, to deliver to the applicable Servicer
      the
      related Mortgage File; provided,
      however,
      that in
      lieu of sending a hard copy certification of a Servicing Officer, the Master
      Servicer may, or may cause, the Servicer to, deliver the request for release
      in
      a mutually agreeable electronic format, and to the extent that such a request,
      on its face, originates from a Servicing Officer, no original signature shall
      be
      required. Upon receipt of such certification and request, the Trustee or the
      applicable Custodian (with the consent, and at the direction of the Trustee),
      shall promptly release the related Mortgage File to the applicable Servicer
      and
      neither the Trustee nor the applicable Custodian shall have any further
      responsibility with regard to such Mortgage File. Upon any such payment in
      full,
      the Master Servicer is authorized, and each Servicer, to the extent such
      authority is provided for under the applicable Servicing Agreement, is
      authorized, to give, as agent for the Trustee, as the mortgagee under the
      Mortgage that secured the Mortgage Loan, an instrument of satisfaction (or
      assignment of mortgage without recourse) regarding the Mortgaged Property
      subject to the Mortgage, which instrument of satisfaction or assignment, as
      the
      case may be, shall be delivered to the Person or Persons entitled thereto
      against receipt therefor of such payment, it being understood and agreed that
      no
      expenses incurred in connection with such instrument of satisfaction or
      assignment, as the case may be, shall be chargeable to the Collection
      Account.

     

    

    
      
        
          
          

        

        
          214

          
            

          

        

        
          
          

        

      

    

    

    

     

    (b)
       From
      time
      to time and as appropriate for the servicing or foreclosure of any Mortgage
      Loan
      and in accordance with Accepted Servicing Practices and the applicable Servicing
      Agreement, the Trustee shall execute such documents as shall be prepared and
      furnished to the Trustee by the Master Servicer, or by a Servicer (in form
      reasonably acceptable to the Trustee) and as are necessary to the prosecution
      of
      any such proceedings. The Trustee or the applicable Custodian, shall, upon
      request of the Master Servicer, or of a Servicer, and delivery to the Trustee
      or
      the applicable Custodian, of a request for release of documents and a receipt
      signed by a Servicing Officer substantially in the form of Exhibit C, release
      the related Mortgage File held in its possession or control to the Master
      Servicer (or the applicable Servicer). Such trust receipt shall obligate the
      Master Servicer or Servicer to return the Mortgage File to the Trustee or the
      applicable Custodian, as applicable, when the need therefor by the Master
      Servicer or Servicer no longer exists unless (i) the Mortgage Loan shall be
      liquidated, in which case, upon receipt of a certificate of a Servicing Officer
      similar to that hereinabove specified, the trust receipt shall be released
      by
      the Trustee or the applicable Custodian, as applicable, to the Master Servicer
      (or the applicable Servicer) or (ii) the Mortgage File has been delivered
      directly or through a Servicer to an attorney, or to a public trustee or other
      public official as required by law, for purposes of initiating or pursuing
      legal
      action or other proceedings for the foreclosure of the Mortgaged Property either
      judicially or non-judicially, and the Master Servicer has delivered directly
      or
      through a Servicer to the Trustee a certificate of a Servicing Officer
      certifying as to the name and address of the Person to which such Mortgage
      File
      or such document was delivered and the purpose of such delivery.

     

    Section
      9.13. Documents,
      Records and Funds in Possession of Master Servicer To Be Held for Trustee.
      

     

    (a)
       The
      Master Servicer shall transmit, or shall cause the applicable Servicer to
      transmit, to the Trustee such documents and instruments coming into the
      possession of the Master Servicer or such Servicer from time to time as are
      required by the terms hereof or of the applicable Servicing Agreement to be
      delivered to the Trustee or the applicable Custodian. Any funds received by
      the
      Master Servicer or by a Servicer in respect of any Mortgage Loan or which
      otherwise are collected by the Master Servicer or a Servicer as Liquidation
      Proceeds or Insurance Proceeds in respect of any Mortgage Loan shall be held
      for
      the benefit of the Trustee and the Certificateholders subject to the Master
      Servicer’s right to retain or withdraw from the Collection Account the Master
      Servicing Fee and other amounts provided in this Agreement and to the right
      of
      each Servicer to retain its Servicing Fee and other amounts as provided in
      the
      related Servicing Agreement. The Master Servicer shall, and shall (to the extent
      provided in the applicable Servicing Agreement) cause each Servicer to, provide
      access to information and documentation regarding the Mortgage Loans to the
      Trustee, its respective agents and accountants at any time upon reasonable
      request and during normal business hours, and to Certificateholders that are
      savings and loan associations, banks or insurance companies, the Office of
      Thrift Supervision, the FDIC and the supervisory agents and examiners of such
      Office and Corporation or examiners of any other federal or state banking or
      insurance regulatory authority if so required by applicable regulations of
      the
      Office of Thrift Supervision or other regulatory authority, such access to
      be
      afforded without charge but only upon reasonable request in writing and during
      normal business hours at the offices of the Master Servicer designated by it.
      In
      fulfilling such a request the Master Servicer shall not be responsible for
      determining the sufficiency of such information.

     

    

    
      
        
          
          

        

        
          215

          
            

          

        

        
          
          

        

      

    

    

    

     

    (b)
       All
      Mortgage Files and funds collected or held by, or under the control of, the
      Master Servicer, or any Servicer, in respect of any Mortgage Loans, whether
      from
      the collection of principal and interest payments or from Liquidation Proceeds
      or Insurance Proceeds, shall be held by the Master Servicer, or by any Servicer,
      for and on behalf of the Trustee and the Certificateholders and shall be and
      remain the sole and exclusive property of the Trustee; provided,
      however,
      that the
      Master Servicer and each Servicer shall be entitled to setoff against, and
      deduct from, any such funds any amounts that are properly due and payable to
      the
      Master Servicer or such Servicer under this Agreement or the applicable
      Servicing Agreement and shall be authorized to remit such funds to the Trustee
      in accordance with this Agreement.

     

    (c)
       The
      Master Servicer hereby acknowledges that concurrently with the execution of
      this
      Agreement, the Trustee shall own or, to the extent that a court of competent
      jurisdiction shall deem the conveyance of the Mortgage Loans from the Seller
      to
      the Depositor not to constitute a sale, the Trustee shall have a security
      interest in the Mortgage Loans and in all Mortgage Files representing such
      Mortgage Loans and in all funds and investment property now or hereafter held
      by, or under the control of, a Servicer or the Master Servicer that are
      collected by any Servicer or the Master Servicer in connection with the Mortgage
      Loans, whether as scheduled installments of principal and interest or as full
      or
      partial prepayments of principal or interest or as Liquidation Proceeds or
      Insurance Proceeds or otherwise, and in all proceeds of the foregoing and
      proceeds of proceeds (but excluding any fee or other amounts to which a Servicer
      is entitled under the applicable Servicing Agreement, or the Master Servicer
      or
      the Depositor is entitled to hereunder); and the Master Servicer agrees that
      so
      long as the Mortgage Loans are assigned to and held by the Trustee or any
      Custodian, all documents or instruments constituting part of the Mortgage Files,
      and such funds relating to the Mortgage Loans which come into the possession
      or
      custody of, or which are subject to the control of, the Master Servicer or
      any
      Servicer shall be held by the Master Servicer or such Servicer for and on behalf
      of the Trustee as the Trustee’s agent and bailee for purposes of perfecting the
      Trustee’s security interest therein as provided by the applicable Uniform
      Commercial Code or other applicable laws.

     

    (d)
       The
      Master Servicer agrees that it shall not, and shall not authorize any Servicer
      to, create, incur or subject any Mortgage Loans, or any funds that are deposited
      in any Custodial Account, Escrow Account or the Collection Account, or any
      funds
      that otherwise are or may become due or payable to the Trustee, to any claim,
      lien, security interest, judgment, levy, writ of attachment or other
      encumbrance, nor assert by legal action or otherwise any claim or right of
      setoff against any Mortgage Loan or any funds collected on, or in connection
      with, a Mortgage Loan.

     

    Section
      9.14. Representations
      and Warranties of the Master Servicer. 

     

    (a)
       The
      Master Servicer hereby represents and warrants to the Depositor, any NIMS
      Insurer and the Trustee, for the benefit of the Certificateholders, as of the
      Closing Date that:

     

    (i)
       it
      is
      validly existing and in good standing as a limited liability company under
      the
      laws of the State of Delaware, and as Master Servicer has full power and
      authority to transact any and all business contemplated by this Agreement and
      to
      execute, deliver and comply with its obligations under the terms of this
      Agreement, the execution, delivery and performance of which have been duly
      authorized by all necessary corporate action on the part of the Master
      Servicer;

     

    

    
      
        
          
          

        

        
          216

          
            

          

        

        
          
          

        

      

    

    

    

     

    (ii)
       the
      execution and delivery of this Agreement by the Master Servicer and its
      performance and compliance with the terms of this Agreement will not (A) violate
      the Master Servicer’s charter or bylaws, (B) violate any law or regulation or
      any administrative decree or order to which it is subject or (C) constitute
      a
      default (or an event which, with notice or lapse of time, or both, would
      constitute a default) under, or result in the breach of, any material contract,
      agreement or other instrument to which the Master Servicer is a party or by
      which it is bound or to which any of its assets are subject, which violation,
      default or breach would materially and adversely affect the Master Servicer’s
      ability to perform its obligations under this Agreement;

     

    (iii)
       this
      Agreement constitutes, assuming due authorization, execution and delivery hereof
      by the other respective parties hereto, a legal, valid and binding obligation
      of
      the Master Servicer, enforceable against it in accordance with the terms hereof,
      except as such enforcement may be limited by bankruptcy, insolvency,
      reorganization, moratorium and other laws affecting the enforcement of
      creditors’ rights in general, and by general equity principles (regardless of
      whether such enforcement is considered in a proceeding in equity or at
      law);

     

    (iv)
       the
      Master Servicer is not in default with respect to any order or decree of any
      court or any order or regulation of any federal, state, municipal or
      governmental agency to the extent that any such default would materially and
      adversely affect its performance hereunder;

     

    (v)
       the
      Master Servicer is not a party to or bound by any agreement or instrument or
      subject to any charter provision, bylaw or any other corporate restriction
      or
      any judgment, order, writ, injunction, decree, law or regulation that may
      materially and adversely affect its ability as Master Servicer to perform its
      obligations under this Agreement or that requires the consent of any third
      person to the execution of this Agreement or the performance by the Master
      Servicer of its obligations under this Agreement;

     

    (vi)
       no
      litigation is pending or, to the best of the Master Servicer’s knowledge,
      threatened against the Master Servicer which would prohibit its entering into
      this Agreement or performing its obligations under this Agreement;

     

    (vii)
       the
      Master Servicer, or an affiliate thereof the primary business of which is the
      servicing of conventional residential mortgage loans, is a Fannie Mae- or
      Freddie Mac-approved seller/servicer;

     

    (viii)
       no
      consent, approval, authorization or order of any court or governmental agency
      or
      body is required for the execution, delivery and performance by the Master
      Servicer of or compliance by the Master Servicer with this Agreement or the
      consummation of the transactions contemplated by this Agreement, except for
      such
      consents, approvals, authorizations and orders (if any) as have been
      obtained;

     

    

    
      
        
          
          

        

        
          217

          
            

          

        

        
          
          

        

      

    

    

    

     

    (ix)
       the
      consummation of the transactions contemplated by this Agreement are in the
      ordinary course of business of the Master Servicer;

     

    (x)
       the
      Master Servicer has obtained an Errors and Omissions Insurance Policy and a
      Fidelity Bond in accordance with Section 9.02 each of which is in full force
      and
      effect, and each of which provides at least such coverage as is required
      hereunder; and

     

    (xi)
       the
      information about the Master Servicer under the heading “The Master Servicer” in
      the Offering Document relating to the Master Servicer does not include an untrue
      statement of a material fact and does not omit to state a material fact, with
      respect to the statements made, necessary in order to make the statements in
      light of the circumstances under which they were made not
      misleading.

     

    (b)
       It
      is
      understood and agreed that the representations and warranties set forth in
      this
      Section 9.14 shall survive the execution and delivery of this Agreement. The
      Master Servicer shall indemnify the Depositor, any NIMS Insurer and the Trustee
      and hold them harmless against any loss, damages, penalties, fines, forfeitures,
      legal fees and related costs, judgments, and other costs and expenses resulting
      from any claim, demand, defense or assertion based on or grounded upon, or
      resulting from, a breach of the Master Servicer’s representations and warranties
      contained in Section 9.14(a). It is understood and agreed that the enforcement
      of the obligation of the Master Servicer set forth in this Section to indemnify
      the Depositor and the Trustee as provided in this Section constitutes the sole
      remedy (other than as set forth in Section 6.14) of the Depositor, any NIMS
      Insurer and the Trustee, respecting a breach of the foregoing representations
      and warranties. Such indemnification shall survive any termination of the Master
      Servicer as Master Servicer hereunder, and any termination of this
      Agreement.

     

    Any
      cause
      of action against the Master Servicer relating to or arising out of the breach
      of any representations and warranties made in this Section shall accrue upon
      discovery of such breach by any of the Depositor, the Master Servicer or the
      Trustee or notice thereof by any one of such parties to the other parties.
      

     

    (c)
       It
      is
      understood and agreed that the representations and warranties of the Depositor
      set forth in Sections 2.03(a)(i) through (vi) shall survive the execution and
      delivery of this Agreement. The Depositor shall indemnify the Master Servicer
      and hold it harmless against any loss, damages, penalties, fines, forfeitures,
      legal fees and related costs, judgments, and other costs and expenses resulting
      from any claim, demand, defense or assertion based on or grounded upon, or
      resulting from, a breach of the Depositor’s representations and warranties
      contained in Sections 2.03(a)(i) through (vi) hereof. It is understood and
      agreed that the enforcement of the obligation of the Depositor set forth in
      this
      Section to indemnify the Master Servicer as provided in this Section constitutes
      the sole remedy hereunder of the Master Servicer respecting a breach by the
      Depositor of the representations and warranties in Sections 2.03(a)(i) through
      (vi) hereof.

     

    (d)
       Any
      cause
      of action against the Master Servicer relating to or arising out of the breach
      of any representations and warranties made in this Section shall accrue upon
      discovery of such breach by either the Depositor, the Master Servicer, the
      Trustee or any NIMS Insurer or notice thereof by any one of such parties to
      the
      other parties. Notwithstanding anything in this Agreement to the contrary,
      the
      Master Servicer shall not be liable for special, indirect or consequential
      losses or damages of any kind whatsoever (including, but not limited to, lost
      profits).

     

    

    
      
        
          
          

        

        
          218

          
            

          

        

        
          
          

        

      

    

    

    

     

    Section
      9.15. Opinion.
      

     

    On
      or
      before the Closing Date, the Master Servicer shall cause to be delivered to
      the
      Depositor, the Seller, the Trustee and any NIMS Insurer one or more Opinions
      of
      Counsel, dated the Closing Date, in form and substance reasonably satisfactory
      to the Depositor and Lehman Brothers Inc., as to the due authorization,
      execution and delivery of this Agreement by the Master Servicer and the
      enforceability thereof. 

     

    Section
      9.16. Standard
      Hazard and Flood Insurance Policies. 

     

    For
      each
      Mortgage Loan (other than a Cooperative Loan), the Master Servicer shall
      maintain, or cause to be maintained by each Servicer, standard fire and casualty
      insurance and, where applicable, flood insurance, all in accordance with the
      provisions of this Agreement and the related Servicing Agreement, as applicable.
      It is understood and agreed that such insurance shall be with insurers meeting
      the eligibility requirements set forth in the applicable Servicing Agreement
      and
      that no earthquake or other additional insurance is to be required of any
      Mortgagor or to be maintained on property acquired in respect of a defaulted
      loan, other than pursuant to such applicable laws and regulations as shall
      at
      any time be in force and as shall require such additional
      insurance.

     

    Pursuant
      to Section 4.01, any amounts collected by the Master Servicer, or by any
      Servicer, under any insurance policies maintained pursuant to this Section
      9.16
      or any Servicing Agreement (other than amounts to be applied to the restoration
      or repair of the property subject to the related Mortgage or released to the
      Mortgagor in accordance with the applicable Servicing Agreement) shall be
      deposited into the Collection Account, subject to withdrawal pursuant to Section
      4.02. Any cost incurred by the Master Servicer or any Servicer in maintaining
      any such insurance if the Mortgagor defaults in its obligation to do so shall
      be
      added to the amount owing under the Mortgage Loan where the terms of the
      Mortgage Loan so permit; provided, however, that the addition of any such cost
      shall not be taken into account for purposes of calculating the distributions
      to
      be made to Certificateholders and shall be recoverable by the Master Servicer
      or
      such Servicer pursuant to Section 4.02.

     

    Section
      9.17. Presentment
      of Claims and Collection of Proceeds. 

     

    The
      Master Servicer shall cause each Servicer (to the extent provided in the
      applicable Servicing Agreement) to, prepare and present on behalf of the Trustee
      and the Certificateholders all claims under the Insurance Policies with respect
      to the Mortgage Loans, and take such actions (including the negotiation,
      settlement, compromise or enforcement of the insured’s claim) as shall be
      necessary to realize recovery under such policies. Any proceeds disbursed to
      the
      Master Servicer (or disbursed to a Servicer and remitted to the Master Servicer)
      in respect of such policies or bonds shall be promptly deposited in the
      Collection Account or the Custodial Account upon receipt, except that any
      amounts realized that are to be applied to the repair or restoration of the
      related Mortgaged Property or related to the related Mortgagor in accordance
      with the Master Servicer’s or related Servicer’s normal servicing procedures
      need not be so deposited (or remitted).

     

    

    
      
        
          
          

        

        
          219

          
            

          

        

        
          
          

        

      

    

    

    

     

    Section
      9.18. Maintenance
      of the Primary Mortgage Insurance Policies. 

     

    (a)
       The
      Master Servicer shall cause each Servicer to remit (with respect to any Primary
      Mortgage Insurance Policy) or shall remit on behalf of each Servicer to the
      PMI
      Insurer, the applicable PMI Insurance Premiums and provide monthly Mortgage
      Loan
      balance updates to the related PMI Insurers. The Master Servicer shall not
      take,
      or knowingly permit any Servicer (consistent with the applicable Servicing
      Agreement) to take, any action that would result in noncoverage under any
      applicable Primary Mortgage Insurance Policy of any loss which, but for the
      actions of such Master Servicer or such Servicer, would have been covered
      thereunder. To the extent that coverage is available, the Master Servicer shall
      use its best reasonable efforts to keep in force and effect, or to cause each
      Servicer to keep in force and effect (to the extent that the Mortgage Loan
      requires the Mortgagor to maintain such insurance), primary mortgage insurance
      applicable to each Mortgage Loan in accordance with the provisions of this
      Agreement and the related Servicing Agreement, as applicable. The Master
      Servicer shall not, and shall not knowingly permit any Servicer to, cancel
      or
      refuse to renew any such Primary Mortgage Insurance Policy that is in effect
      at
      the date of the initial issuance of the Certificates and is required to be
      kept
      in force hereunder except in accordance with the provisions of this Agreement
      and the related Servicing Agreement, as applicable. 

     

    (b)
       The
      Master Servicer agrees, to the extent provided in each Servicing Agreement,
      to
      cause each Servicer to present, on behalf of the Trustee and the
      Certificateholders, claims to the insurer under any Primary Mortgage Insurance
      Policies and, in this regard, to take such reasonable action as shall be
      necessary to permit recovery under any Primary Mortgage Insurance Policies
      respecting defaulted Mortgage Loans. Pursuant to Section 4.01, any amounts
      collected by the Master Servicer or any Servicer under any Primary Mortgage
      Insurance Policies shall be deposited in the Collection Account, subject to
      withdrawal pursuant to Section 4.02.

     

    

    Section
      9.19. Trustee
      To Retain Possession of Certain Insurance Policies and Documents.

     

    The
      Trustee (or the applicable Custodian on behalf of the Trustee) shall retain
      possession and custody of the originals of the Primary Mortgage Insurance
      Policies or certificate of insurance if applicable and any certificates of
      renewal as to the foregoing as may be issued from time to time as contemplated
      by this Agreement. Until all amounts distributable in respect of the
      Certificates have been distributed in full and the Master Servicer otherwise
      has
      fulfilled its obligations under this Agreement, the Trustee (or the applicable
      Custodian) shall also retain possession and custody of each Mortgage File in
      accordance with and subject to the terms and conditions of this Agreement.
      The
      Master Servicer shall promptly deliver or cause each Servicer to deliver to
      the
      Trustee (or the applicable Custodian), upon the execution or receipt thereof
      the
      originals of the Primary Mortgage Insurance Policies and any certificates of
      renewal thereof, and such other documents or instruments that constitute
      portions of the Mortgage File that come into the possession of the Master
      Servicer or any Servicer from time to time.

     

    

    
      
        
          
          

        

        
          220

          
            

          

        

        
          
          

        

      

    

    

    

     

    Section
      9.20. Realization
      Upon Defaulted Mortgage Loans.

     

    The
      Master Servicer shall use its reasonable best efforts to, or to cause each
      Servicer to, foreclose upon, repossess or otherwise comparably convert the
      ownership of Mortgaged Properties securing such of the Mortgage Loans as come
      into and continue in default and as to which no satisfactory arrangements can
      be
      made for collection of delinquent payments, all in accordance with the
      applicable Servicing Agreement. Alternatively, the Master Servicer may take,
      or
      authorize any Servicer to take, other actions in respect of a defaulted Mortgage
      Loan, which may include (i) accepting a short sale (a payoff of the
      Mortgage Loan for an amount less than the total amount contractually owed in
      order to facilitate a sale of the Mortgaged Property by the Mortgagor) or
      permitting a short refinancing (a payoff of the Mortgage Loan for an amount
      less
      than the total amount contractually owed in order to facilitate refinancing
      transactions by the Mortgagor not involving a sale of the Mortgaged Property),
      (ii) arranging for a repayment plan or (iii) agreeing to a
      modification in accordance with Section 9.04. In connection with such
      foreclosure or other conversion or action, the Master Servicer shall, consistent
      with Section 9.18, follow such practices and procedures as it shall reasonably
      determine to be in the best interests of the Trust Fund and the
      Certificateholders and which shall be consistent with its customary practices
      in
      performing its general mortgage servicing activities; provided that the Master
      Servicer shall not be liable in any respect hereunder if the Master Servicer
      is
      acting in connection with any such foreclosure or other conversion or action
      in
      a manner that is consistent with the provisions of this Agreement. Neither
      the
      Master Servicer, nor any Servicer, shall be required to expend its own funds
      or
      incur other reimbursable charges in connection with any foreclosure, or
      attempted foreclosure which is not completed, or toward the correction of any
      default on a related senior mortgage loan, or towards the restoration of any
      property unless it shall determine (i) that such restoration and/or
      foreclosure will increase the proceeds of liquidation of the Mortgage Loan
      to
      the Certificateholders after reimbursement to itself for such expenses or
      charges and (ii) that such expenses and charges will be recoverable to it
      through Liquidation Proceeds or Insurance Proceeds (as provided in Section
      4.02).

     

    Section
      9.21. Compensation
      to the Master Servicer. 

     

    The
      Master Servicer shall be entitled to withdraw from the Collection Account,
      subject to Section 5.05, the Master Servicing Fee to the extent permitted by
      Section 4.02. Servicing compensation in the form of assumption fees, if any,
      late payment charges, as collected, if any, or otherwise (but not including
      any
      Prepayment Premium) shall be retained by the Master Servicer (or the applicable
      Servicer) and shall not be deposited in the Collection Account. If the Master
      Servicer does not retain or withdraw the Master Servicing Fee from the
      Collection Account as provided herein, the Master Servicer shall be entitled
      to
      direct the Trustee to pay the Master Servicing Fee to such Master Servicer
      by
      withdrawal from the Certificate Account to the extent that payments have been
      received with respect to the applicable Mortgage Loan. The Master Servicer
      shall
      be required to pay all expenses incurred by it in connection with its activities
      hereunder and shall not be entitled to reimbursement therefor except as provided
      in this Agreement. Pursuant to Section 4.01(e), all income and gain realized
      from any investment of funds in the Collection Account shall be for the benefit
      of the Master Servicer as additional compensation. The provisions of this
      Section 9.21 are subject to the provisions of Section 6.14.

     

    Section
      9.22. REO
      Property. 

     

    

    
      
        
          
          

        

        
          221

          
            

          

        

        
          
          

        

      

    

    

    

     

    (a)
       In
      the
      event the Trust Fund acquires ownership of any REO Property in respect of any
      Mortgage Loan, the deed or certificate of sale shall be issued to the Trustee,
      or to its nominee, on behalf of the Certificateholders. The Master Servicer
      shall use its reasonable best efforts to sell, or cause the applicable Servicer,
      to the extent provided in the applicable Servicing Agreement any REO Property
      as
      expeditiously as possible and in accordance with the provisions of this
      Agreement and the related Servicing Agreement, as applicable, but in all events
      within the time period, and subject to the conditions set forth in Article
      X
      hereof. Pursuant to its efforts to sell such REO Property, the Master Servicer
      shall protect and conserve, or cause the applicable Servicer to protect and
      conserve, such REO Property in the manner and to such extent required by the
      applicable Servicing Agreement, subject to Article X hereof.

     

    (b)
       The
      Master Servicer shall deposit or cause to be deposited all funds collected
      and
      received by it, or recovered from any Servicer, in connection with the operation
      of any REO Property in the Collection Account.

     

    (c)
       The
      Master Servicer and each Servicer, upon the final disposition of any REO
      Property, shall be entitled to reimbursement for any related unreimbursed
      Advances and other unreimbursed advances as well as any unpaid Master Servicing
      Fees or Servicing Fees from Liquidation Proceeds received in connection with
      the
      final disposition of such REO Property; provided, that (without limitation
      of
      any other right of reimbursement that the Master Servicer or any Servicer shall
      have hereunder) any such unreimbursed Advances as well as any unpaid Net Master
      Servicing Fees or Servicing Fees may be reimbursed or paid, as the case may
      be,
      prior to final disposition, out of any net rental income or other net amounts
      derived from such REO Property.

     

    (d)
       The
      Liquidation Proceeds from the final disposition of the REO Property, net of
      any
      payment to the Master Servicer and the applicable Servicer as provided above,
      shall be deposited in the Collection Account on or prior to the Determination
      Date in the month following receipt thereof and be remitted by wire transfer
      in
      immediately available funds to the Trustee for deposit into the Certificate
      Account on the next succeeding Master Servicer Remittance Date.

     

    Section
      9.23. Notice
      to the Sponsor, the Depositor and the Trustee. 

     

    (a)
       The
      Master Servicer shall promptly notify the Trustee, the Sponsor and the Depositor
      (i) of any legal proceedings pending against the Master Servicer of the type
      described in Item 1117 (§ 229.1117) of Regulation AB and (ii) if the Master
      Servicer shall become (but only to the extent not previously disclosed to the
      Master Servicer and the Depositor) at any time an affiliate of any of the
      parties listed on Exhibit V to this Agreement. On or before March 1st of each
      year, the Depositor shall distribute the information in Exhibit V hereto to
      the
      Master Servicer.

     

    (b)
       Not
      later
      than four Business Days prior to the Distribution Date of each month, the Master
      Servicer shall provide to the Trustee, the Sponsor and the Depositor notice
      of
      the occurrence of any material modifications, extensions or waivers of terms,
      fees, penalties or payments relating to the Mortgage Loans during the related
      Collection Period or that have cumulatively become material over time (Item
      1121(a)(11) of Regulation AB) along with all information, data, and materials
      related thereto as may be required to be included in the related Distribution
      Report on Form 10-D. The parties to this Agreement acknowledge that the
      performance by the Master Servicer of its duties under this Section 9.23(b)
      related to the timely preparation and delivery of such information is contingent
      upon each applicable Servicer strictly observing all requirements and deadlines
      in the performance of their duties under their related Servicing Agreements.
      The
      Master Servicer shall have no liability for any loss, expense, damage or claim
      arising out of or with respect to any failure to properly prepare and/or timely
      deliver all such information where such failure results from the Master
      Servicer’s inability or failure to obtain or receive, on a timely basis, any
      information from the Servicer needed to prepare or deliver such information,
      which failure does not result from the Master Servicer’s own negligence, bad
      faith or willful misconduct.

     

    

    
      
        
          
          

        

        
          222

          
            

          

        

        
          
          

        

      

    

    

    

     

    Section
      9.24. Reports
      to the Trustee. 

     

    (a)
       Not
      later
      than 30 days after each Distribution Date, the Master Servicer shall, upon
      request, forward to the Trustee a statement, deemed to have been certified
      by a
      Servicing Officer, setting forth the status of the Collection Account maintained
      by the Master Servicer as of the close of business on the related Distribution
      Date, indicating that all distributions required by this Agreement to be made
      by
      the Master Servicer have been made (or if any required distribution has not
      been
      made by the Master Servicer, specifying the nature and status thereof) and
      showing, for the period covered by such statement, the aggregate of deposits
      into and withdrawals from the Collection Account maintained by the Master
      Servicer. Copies of such statement shall be provided by the Master Servicer,
      upon request, to the Depositor, Attention: Contract Finance, any NIMS Insurer
      and any Certificateholders (or by the Trustee at the Master Servicer’s expense
      if the Master Servicer shall fail to provide such copies to the
      Certificateholders (unless (i) the Master Servicer shall have failed to provide
      the Trustee with such statement or (ii) the Trustee shall be unaware of the
      Master Servicer’s failure to provide such statement)).

     

    (b)
       Not
      later
      than two Business Days following each Distribution Date, the Master Servicer
      shall deliver to one Person designated by the Depositor, in a format consistent
      with other electronic loan level reporting supplied by the Master Servicer
      in
      connection with similar transactions, “loan level” information with respect to
      the Mortgage Loans as of the related Determination Date, to the extent that
      such
      information has been provided to the Master Servicer by the Servicers or by
      the
      Depositor.

     

    (c)
       All
      information, reports and statements prepared by the Master Servicer under this
      Agreement shall be based upon information supplied to the Master Servicer by
      the
      Servicer without independent verification thereof and the Master Servicer shall
      be entitled to rely on such information.

     

    Section
      9.25. Assessment
      of Compliance and Attestation Reports .

     

    (a)
       Assessment
      of Compliance

     

    (i)
       By
      March
      15 of each year, commencing in March 2008, the Master Servicer, at its own
      expense, shall furnish, and shall cause any Servicing Function Participant
      engaged by it to furnish, at its own expense, to the Sponsor, the Depositor,
      the
      Master Servicer and the Trustee, a report on an assessment of compliance with
      the Relevant Servicing Criteria (as identified on Exhibit O) that contains
      (A) a
      statement by such party of its responsibility for assessing compliance with
      the
      Relevant Servicing Criteria, (B) a statement that such party used the Servicing
      Criteria to assess compliance with the Relevant Servicing Criteria, (C) such
      party’s assessment of compliance with the Relevant Servicing Criteria as of and
      for the fiscal year covered by the Form 10-K required to be filed pursuant
      to
      Section 6.20(e), including, if there has been any material instance of
      noncompliance with the Relevant Servicing Criteria, a discussion of each such
      failure and the nature and status thereof, and (D) a statement that a registered
      public accounting firm has issued an attestation report on such party’s
      assessment of compliance with the Relevant Servicing Criteria as of and for
      such
      period. 

     

    

    
      
        
          
          

        

        
          223

          
            

          

        

        
          
          

        

      

    

    

    

     

    (ii)
       When
      the
      Master Servicer (or any Servicing Function Participant engaged by it) submit
      their assessments to the Trustee and the Depositor, such parties will also
      at
      such time include the assessment (and attestation pursuant to subsection (b)
      of
      this Section 9.25) of each Servicing Function Participant engaged by it and
      shall indicate to the Trustee what Relevant Servicing Criteria will be addressed
      in any such reports prepared by any such Servicing Function
      Participant.

     

    (iii)
       Promptly
      after receipt of each such report on assessment of compliance, the Exchange
      Act
      Signing Party shall confirm that the assessments, taken as a whole, address
      all
      of the Servicing Criteria and taken individually address the Relevant Servicing
      Criteria (and disclose the inapplicability of the Servicing Criteria not
      determined to be Relevant Criteria) for each party as set forth on Exhibit
      O and
      on any similar exhibit set forth in each Servicing Agreement in respect of
      each
      Servicer, and each Custodial Agreement in respect of each Custodian, and, where
      the Master Servicer is the Exchange Act Signing Party, shall notify the
      Depositor of any exceptions. 

     

    (b)
       Attestation
      Reports

     

    (i)
       By
      March
      15 of each year in which the Depositor is required to file reports with respect
      to the Trust Fund in accordance with the Exchange Act and the rules and
      regulations of the Commission, commencing in March 2008, the Master Servicer,
      at
      its own expense, shall cause, and shall cause any Servicing Function Participant
      engaged by it to cause, at its own expense, a registered public accounting
      firm
      (which may also render other services to the Master Servicer that is a member
      of
      the American Institute of Certified Public Accountants to furnish a report
      to
      the Sponsor, the Depositor, the Master Servicer and the Trustee, to the effect
      that (A) it has obtained a representation regarding certain matters from the
      management of such party, which includes an assertion that such party has
      complied with the Relevant Servicing Criteria, and (B) on the basis of an
      examination conducted by such firm in accordance with standards for attestation
      engagements issued or adopted by the PCAOB, it is expressing an opinion as
      to
      whether such party’s compliance with the Relevant Servicing Criteria was fairly
      stated in all material respects, or it cannot express an overall opinion
      regarding such party’s assessment of compliance with the Relevant Servicing
      Criteria. In the event that an overall opinion cannot be expressed, such
      registered public accounting firm shall state in such report why it was unable
      to express such an opinion. Such report must be available for general use and
      not contain restricted use language.

     

    

    
      
        
          
          

        

        
          224

          
            

          

        

        
          
          

        

      

    

    

    

     

    (ii)
       Promptly
      after receipt of such report from the Master Servicer or any Servicing Function
      Participant engaged by such parties, the Exchange Act Signing Party shall
      confirm that each assessment submitted pursuant subsection (a) of this Section
      9.25 is coupled with an attestation meeting the requirements of this Section
      and
      notify the Depositor of any exceptions. 

     

    (c)
       The
      Master Servicer’s obligation to provide assessments of compliance and
      attestations under this Section 9.25 shall terminate upon the filing of a Form
      15 suspension notice on behalf of the Trust Fund. 

     

    Section
      9.26. Annual
      Statement of Compliance with Applicable Servicing Criteria . 

     

    (a)
       The
      Master Servicer shall deliver (and the Master Servicer shall cause any
      Additional Servicer engaged by it to deliver) to the Sponsor, the Depositor
      and
      the Trustee on or before March 15 of each year, commencing in March 2008, an
      Officer’s Certificate stating, as to the signer thereof, that (A) a review of
      such party’s activities during the preceding calendar year or portion thereof
      and of such party’s performance under this Agreement, or such other applicable
      agreement in the case of an Additional Servicer, has been made under such
      officer’s supervision and (B) to the best of such officer’s knowledge, based on
      such review, such party has fulfilled all its obligations under this Agreement,
      or such other applicable agreement in the case of an Additional Servicer, in
      all
      material respects throughout such year or portion thereof, or, if there has
      been
      a failure to fulfill any such obligation in any material respect, specifying
      each such failure known to such officer and the nature and status thereof.
      

     

    (b)
       Copies
      of
      such statements shall be provided to any Certificateholder upon request, by
      the
      Master Servicer or by the Trustee at the Master Servicer’s expense if the Master
      Servicer failed to provide such copies (unless (i) the Master Servicer shall
      have failed to provide the Trustee with such statement or (ii) the Trustee
      shall
      be unaware of the Master Servicer’s failure to provide such
      statement).

     

    (c)
       The
      Master Servicer shall give prompt written notice to the Trustee, the Sponsor
      and
      the Depositor of the appointment of any Subcontractor by it and a written
      description (in form and substance satisfactory to the Trustee, the Sponsor
      and
      the Depositor) of the role and function of each Subcontractor utilized by the
      Master Servicer, specifying (A) the identity of each such Subcontractor and
      (B)
      which elements of the Servicing Criteria set forth under Item 1122(d) of
      Regulation AB will be addressed in assessments of compliance provided by each
      such Subcontractor.

     

    (d)
       The
      Master Servicer shall notify the Trustee, the Depositor and the Sponsor within
      five (5) days of knowledge thereof (i) of any legal proceedings pending against
      the Master Servicer of the type described in Item 1117 (§ 229.1117) of
      Regulation AB and (ii) if the Master Servicer shall become (but only to the
      extent not previously disclosed) at any time an affiliate of any of the parties
      listed on Exhibit P to this Agreement. On or before March 1st of each year,
      the
      Depositor shall distribute the information in Exhibit P to the Master
      Servicer.

     

    Section
      9.27. Merger
      or Consolidation. 

     

    Any
      Person into which the Master Servicer may be merged or consolidated, or any
      Person resulting from any merger, conversion, other change in form or
      consolidation to which the Master Servicer shall be a party, or any Person
      succeeding to the business of the Master Servicer, shall be the successor to
      the
      Master Servicer hereunder, without the execution or filing of any paper or
      any
      further act on the part of any of the parties hereto, anything herein to the
      contrary notwithstanding; provided,
      however,
      that the
      successor or resulting Person to the Master Servicer shall be a Person that
      shall be qualified and approved to service mortgage loans for Fannie Mae or
      Freddie Mac and shall have a net worth of not less than
      $15,000,000.

     

    

    
      
        
          
          

        

        
          225

          
            

          

        

        
          
          

        

      

    

    

    

     

    Section
      9.28. Resignation
      of Master Servicer. 

     

    Except
      as
      otherwise provided in Sections 9.27, 9.28 and 9.29 hereof, the Master Servicer
      shall not resign from the obligations and duties hereby imposed on it unless
      it
      or the Trustee determines that the Master Servicer’s duties hereunder are no
      longer permissible under applicable law or are in material conflict by reason
      of
      applicable law with any other activities carried on by it and cannot be cured.
      Any such determination permitting the resignation of the Master Servicer shall
      be evidenced by an Opinion of Counsel that shall be Independent to such effect
      delivered to the Trustee and any NIMS Insurer. No such resignation shall become
      effective until a period of time not to exceed 90 days after the Trustee
      receives written notice thereof from the Master Servicer and until the Trustee
      shall have assumed, or a successor master servicer acceptable to any NIMS
      Insurer and the Trustee shall have been appointed by the Trustee and until
      such
      successor shall have assumed, the Master Servicer’s responsibilities and
      obligations under this Agreement. Notice of such resignation shall be given
      promptly by the Master Servicer and the Depositor to the Trustee and any NIMS
      Insurer.

     

    Section
      9.29. Assignment
      or Delegation of Duties by the Master Servicer. 

     

    Except
      as
      expressly provided herein, the Master Servicer shall not assign or transfer
      any
      of its rights, benefits or privileges hereunder to any other Person, or delegate
      to or subcontract with, or authorize or appoint any Subservicer, Subcontractor
      or other Person to perform any of the duties, covenants or obligations to be
      performed by the Master Servicer hereunder; provided,
      however,
      that the
      Master Servicer shall have the right without the prior written consent of the
      Trustee, any NIMS Insurer or the Depositor to delegate or assign to or
      subcontract with or authorize or appoint an Affiliate of the Master Servicer
      to
      perform and carry out any duties, covenants or obligations to be performed
      and
      carried out by the Master Servicer hereunder. In no case, however, shall any
      such delegation, subcontracting or assignment to an Affiliate of the Master
      Servicer relieve the Master Servicer of any liability hereunder. Notice of
      such
      permitted assignment, and the name of any such affiliated Subcontractor or
      Subservicer shall be given promptly by the Master Servicer to the Depositor,
      the
      Trustee and any NIMS Insurer. If, pursuant to any provision hereof, the duties
      of the Master Servicer are transferred to a successor master servicer, the
      entire amount of the Master Servicing Fees and other compensation payable to
      the
      Master Servicer pursuant hereto, including amounts payable to or permitted
      to be
      retained or withdrawn by the Master Servicer pursuant to Section 9.21 hereof,
      shall thereafter be payable to such successor master servicer.

     

    Notwithstanding
      the foregoing, for so long as reports are required to be filed with the
      Commission under the Exchange Act with respect to the Trust, the Master Servicer
      shall not utilize any Subcontractor for the performance of its duties hereunder
      if such Subcontractor would be “participating in the servicing function” within
      the meaning of Item 1122 of Regulation AB without (a) giving notice to the
      Trustee and the Depositor and (b) requiring any such Subcontractor to provide
      to
      the Master Servicer assessment report as provided in Section 9.25(a) and an
      attestation report as provided for in Section 9.25(b), which reports the Master
      Servicer shall include in its attestation and assessment reports.

     

    

    
      
        
          
          

        

        
          226

          
            

          

        

        
          
          

        

      

    

    

    

     

    Section
      9.30. Limitation
      on Liability of the Master Servicer and Others.

     

    (a)
       The
      Master Servicer undertakes to perform such duties and only such duties as are
      specifically set forth in this Agreement.

     

    (b)
       No
      provision of this Agreement shall be construed to relieve the Master Servicer
      from liability for its own negligent action, its own negligent failure to act
      or
      its own willful misconduct; provided,
      however,
      that
      the duties and obligations of the Master Servicer shall be determined solely
      by
      the express provisions of this Agreement, the Master Servicer shall not be
      liable except for the performance of such duties and obligations as are
      specifically set forth in this Agreement; no implied covenants or obligations
      shall be read into this Agreement against the Master Servicer and, in absence
      of
      bad faith on the part of the Master Servicer, the Master Servicer may
      conclusively rely, as to the truth of the statements and the correctness of
      the
      opinions expressed therein, upon any certificates or opinions furnished to
      the
      Master Servicer and conforming to the requirements of this
      Agreement.

     

    (c)
       None
      of
      the Master Servicer, the Seller or the Depositor or any of the directors,
      officers, employees or agents of any of them shall be under any liability to
      the
      Trustee or the Certificateholders for any action taken or for refraining from
      the taking of any action in good faith pursuant to this Agreement, or for errors
      in judgment; provided,
      however,
      that
      this provision shall not protect the Master Servicer, the Seller or the
      Depositor or any such person against any liability that would otherwise be
      imposed by reason of willful misfeasance, bad faith or negligence in its
      performance of its duties or by reason of reckless disregard for its obligations
      and duties under this Agreement. The Master Servicer, the Seller and the
      Depositor and any director, officer, employee or agent of any of them shall
      be
      entitled to indemnification by the Trust Fund and will be held harmless against
      any loss, liability or expense incurred in connection with any legal action
      relating to this Agreement or the Certificates other than any loss, liability
      or
      expense incurred by reason of willful misfeasance, bad faith or negligence
      in
      the performance of his or its duties hereunder or by reason of reckless
      disregard of his or its obligations and duties hereunder. The Master Servicer,
      the Seller and the Depositor and any director, officer, employee or agent of
      any
      of them may rely in good faith on any document of any kind prima facie properly
      executed and submitted by any Person respecting any matters arising hereunder.
      The Master Servicer shall be under no obligation to appear in, prosecute or
      defend any legal action that is not incidental to its duties to master service
      the Mortgage Loans in accordance with this Agreement and that in its opinion
      may
      involve it in any expenses or liability; provided,
      however,
      that
      the Master Servicer may in its sole discretion undertake any such action that
      it
      may deem necessary or desirable in respect to this Agreement and the rights
      and
      duties of the parties hereto and the interests of the Certificateholders
      hereunder. In such event, the legal expenses and costs of such action and any
      liability resulting therefrom shall be expenses, costs and liabilities of the
      Trust Fund and the Master Servicer shall be entitled to be reimbursed therefor
      out of the Collection Account it maintains as provided by Section
      4.02.

     

    Section
      9.31. Indemnification;
      Third-Party Claims. 

     

    

    
      
        
          
          

        

        
          227

          
            

          

        

        
          
          

        

      

    

    

    

     

    The
      Master Servicer agrees to indemnify the Depositor, the Sponsor, the Trustee
      and
      any NIMS Insurer and their respective officers, directors, agents and
      affiliates, and hold each of them harmless against any and all claims, losses,
      penalties, fines, forfeitures, reasonable legal fees and related costs,
      judgments, and any other costs, liability, fees and expenses that the Depositor,
      the Sponsor, the Trustee or any NIMS Insurer may sustain arising out of or
      based
      upon (a) any material breach by the Master Servicer of any if its obligations
      hereunder, including particularly its obligations to provide any reports under
      Section 9.25(a), Section 9.25(b) or Section 9.26 or any information, data or
      materials required to be included in any Exchange Act report , provided,
      however,
      that in
      no event shall the Master Servicer be liable for any special, consequential,
      indirect or punitive damages pursuant to this Section 9.31, even if advised
      of
      the possibility of such damages, (b) any material misstatement or omission
      in
      any information, data or materials provided by the Master Servicer, or (c)
      the
      negligence, bad faith or willful misconduct of the Master Servicer in connection
      with its performance hereunder. The Depositor, the Sponsor, the Trustee and
      any
      NIMS Insurer shall immediately notify the Master Servicer if a claim is made
      by
      a third party with respect to this Agreement or the Mortgage Loans entitling
      the
      Depositor, the Sponsor, the Trustee or any NIMS Insurer to indemnification
      hereunder, whereupon the Master Servicer shall assume the defense of any such
      claim and pay all expenses in connection therewith, including counsel fees,
      and
      promptly pay, discharge and satisfy any judgment or decree which may be entered
      against it or them in respect of such claim. This indemnification shall survive
      the termination of this Agreement or the termination of the Master Servicer
      as a
      party to this Agreement.

     

    ARTICLE
      X

     

    REMIC
      ADMINISTRATION

     

    Section
      10.01. REMIC
      Administration. 

     

    (a)
       REMIC
      elections as set forth in the Preliminary Statement shall be made on Forms
      1066
      or other appropriate federal tax or information return for the taxable year
      ending on the last day of the calendar year in which the Certificates are
      issued. The regular interests and residual interest in each REMIC shall be
      as
      designated in the Preliminary Statement. For purposes of such designations,
      the
      interest rate of any regular interest that is computed by taking into account
      the weighted average of the Net Mortgage Rates of the Mortgage Loans shall
      be
      reduced by the amount of any expense paid by the Trust to the extent that (i)
      such expense was not taken into account in computing the Net Mortgage Rate
      of
      any Mortgage Loan, (ii) such expense does not constitute an “unanticipated
      expense” of a REMIC within the meaning of Treasury Regulation Section
      1.860G-1(b)(3)(ii), (iii) such expense does not relate to an Excluded Trust
      Asset and (iv) the amount of such expense was not taken into account in
      computing the interest rate of a more junior Class of regular
      interests.

     

    (b)
       The
      Closing Date is hereby designated as the “Startup Day” of each REMIC within the
      meaning of Section 860G(a)(9) of the Code. The latest possible maturity date
      for
      purposes of Treasury Regulation 1.860G-1(a)(4) will be the Latest Possible
      Maturity Date.

     

    (c)
       The
      Trustee shall represent the Trust Fund in any administrative or judicial
      proceeding relating to an examination or audit by any governmental taxing
      authority with respect thereto. The Trustee shall pay any and all tax related
      expenses (not including taxes) of each REMIC, including but not limited to
      any
      professional fees or expenses related to audits or any administrative or
      judicial proceedings with respect to such REMIC that involve the Internal
      Revenue Service or state tax authorities, but only to the extent that (i) such
      expenses are ordinary or routine expenses, including expenses of a routine
      audit
      but not expenses of litigation (except as described in (ii)); or (ii) such
      expenses or liabilities (including taxes and penalties) are attributable to
      the
      negligence or willful misconduct of the Trustee in fulfilling its duties
      hereunder (including its duties as tax return preparer). The Trustee shall
      be
      entitled to reimbursement of expenses to the extent provided in clause (i)
      above
      from the Certificate Account; provided,
      however,
      the
      Trustee shall not be entitled to reimbursement for expenses incurred in
      connection with the preparation of tax returns and other reports as required
      by
      Section 6.20 and this Section.

     

    

    
      
        
          
          

        

        
          228

          
            

          

        

        
          
          

        

      

    

    

    

     

    (d)
       The
      Trustee shall prepare, sign and file all of each REMIC’s federal and applicable
      state tax and information returns as such REMIC’s direct representative. As used
      herein, applicable state tax and information returns shall mean returns as
      may
      be required by the laws of any state the applicability of which to the Trust
      Fund shall have been confirmed to the Trustee in writing either by the delivery
      to the Trustee of an Opinion of Counsel to such effect, or by delivery to the
      Trustee of a written notification to such effect by the taxing authority of
      such
      state. The expenses of preparing and filing such returns shall be borne by
      the
      Trustee.

     

    (e)
       The
      Trustee or its designee shall perform on behalf of each REMIC all reporting
      and
      other tax compliance duties that are the responsibility of such REMIC under
      the
      Code, the REMIC Provisions, or other compliance guidance issued by the Internal
      Revenue Service or any state or local taxing authority. Among its other duties,
      if required by the Code, the REMIC Provisions, or other such guidance, the
      Trustee shall provide (i) to the Treasury or other governmental authority such
      information as is necessary for the application of any tax relating to the
      transfer of a Residual Certificate to any disqualified person or organization
      pursuant to Treasury Regulation 1.860E-2(a)(5) and any person designated in
      Section 860E(e)(3) of the Code and (ii) to the Certificateholders such
      information or reports as are required by the Code or REMIC
      Provisions.

     

    The
      Trustee shall be entitled to receive reasonable compensation from the Trust
      Fund
      for the performance of its duties under this subsection (e); provided,
      however,
      that
      such compensation shall not exceed $5,000 per year; provided,
      further,
      that,
      after a Section 7.01(d) Purchase Event, any expenses incurred by the Trustee
      in
      connection with such Section 7.01(d) Purchase Event shall be reimbursed to
      the
      Trustee, regardless of the limitation set forth above, in accordance with
      Section 4.04(b).

     

    (f)
       The
      Trustee, the Master Servicer and the Holders of Certificates shall take any
      action, within their respective control and scope of their duties, or cause
      any
      REMIC to take any action necessary to create or maintain the status of any
      REMIC
      as a REMIC under the REMIC Provisions and shall assist each other as necessary
      to create or maintain such status. Neither the Trustee, the Master Servicer
      nor
      the Holder of any Residual Certificate shall knowingly take any action, within
      their respective control, cause any REMIC to take any action or fail to take
      (or
      fail to cause to be taken) any action, within their respective control and
      scope
      of their duties, that, under the REMIC Provisions, if taken or not taken, as
      the
      case may be, could result in an Adverse REMIC Event unless the Trustee, any
      NIMS
      Insurer and the Master Servicer have received an Opinion of Counsel (at the
      expense of the party seeking to take such action) to the effect that the
      contemplated action will not result in an Adverse REMIC Event. In addition,
      prior to taking any action with respect to any REMIC or the assets therein,
      or
      causing any REMIC to take any action, which is not expressly permitted under
      the
      terms of this Agreement, any Holder of a Residual Certificate will consult
      with
      the Trustee, the Master Servicer, any NIMS Insurer or their respective
      designees, in writing, with respect to whether such action could cause an
      Adverse REMIC Event to occur with respect to any REMIC, and no such Person
      shall
      take any such action or cause any REMIC to take any such action as to which
      the
      Trustee, the Master Servicer or any NIMS Insurer has advised it in writing
      that
      an Adverse REMIC Event could occur.

     

    

    
      
        
          
          

        

        
          229

          
            

          

        

        
          
          

        

      

    

    

    

     

    (g)
       Each
      Holder of a Residual Certificate shall pay when due any and all taxes imposed
      on
      the related REMIC by federal or state governmental authorities. To the extent
      that such taxes are not paid by a Residual Certificateholder, the Trustee shall
      pay any remaining REMIC taxes out of current or future amounts otherwise
      distributable to the Holder of the Residual Certificate in any such REMIC or,
      if
      no such amounts are available, out of other amounts held in the Certificate
      Account, and shall reduce amounts otherwise payable to holders of regular
      interests in any such REMIC, as the case may be.

     

    (h)
       The
      Trustee shall, for federal income tax purposes, maintain books and records
      with
      respect to each REMIC on a calendar year and on an accrual basis.

     

    (i)
       No
      additional contributions of assets shall be made to any REMIC, except as
      expressly provided in this Agreement.

     

    (j)
       Neither
      the Trustee nor the Master Servicer shall enter into any arrangement by which
      any REMIC will receive a fee or other compensation for services.

     

    (k)
       Upon
      the
      request of any Rating Agency, the Trustee shall deliver an Officer’s Certificate
      stating, without regard to any actions taken by any party other than the
      Trustee, the Trustee’s compliance with provisions of this Section
      10.01.

     

    (l)
       The
      Trustee shall treat each of the Pool 1A-1B Basis Risk Reserve Fund, the Group
      1
      Cap Account, the Group 1 Swap Account and the Group 1 Collateral Account as
      an
      outside reserve fund within the meaning of Treasury Regulation Section
      1.860G-2(h) that is owned by the Holders of the Class 1-X Certificates and
      that
      is not an asset of any REMIC and all amounts deposited into such accounts shall
      be treated as amounts distributed to the Class 1-X Certificateholders (or the
      applicable components thereof). The Trustee shall treat each of the Pool 2
      Basis
      Risk Reserve Fund, the Group 2 Cap Account, the Group 2 Swap Account and the
      Group 2 Collateral Account as an outside reserve fund within the meaning of
      Treasury Regulation Section 1.860G-2(h) that is owned by the Holders of the
      Class 2-X Certificates and that is not an asset of any REMIC and all amounts
      deposited into such accounts shall be treated as amounts distributed to the
      Class 2-X Certificateholders (or the applicable components thereof). The Trustee
      shall treat the Pool 3 Basis Risk Reserve Fund as an outside reserve fund within
      the meaning of Treasury Regulation Section 1.860G-2(h) that is owned by the
      Holders of the Class 3-X Certificates and that is not an asset of any REMIC
      and
      all amounts deposited into such accounts shall be treated as amounts distributed
      to the Class 3-X Certificateholders.

     

    

    
      
        
          
          

        

        
          230

          
            

          

        

        
          
          

        

      

    

    

    

     

    (m)
       For
      federal income tax purposes, upon any sale of the property held by the Trust
      Fund pursuant to Section 7.01(b), any NIM Redemption Amount paid by the Master
      Servicer shall not be treated as a portion of the purchase price paid for such
      property but shall instead be treated as an amount paid by the Master Servicer
      to the Holders of the Class 1-X Certificates (in the case of any Group 1 NIM
      Redemption Amount), the Class 2-X Certificates (in the case of any Group 2
      NIM
      Redemption Amount), the Class 3-X Certificates (in the case of any Group 3
      NIM
      Redemption Amount) and the Class 4-X Certificates (in the case of any Group
      4
      NIM Redemption Amount) in exchange for an interest in the Class 1-X, Class
      2-X,
      Class 3-X and Class 4-X Certificates, as applicable, immediately before the
      purchase of the property held by the Trust Fund.

     

    
      (n)
         The
        Trustee shall treat the rights of the Group 1A and Group 1B Certificateholders
        (other than the Holders of the Class 1-X, Class 1-LT-R, Class 1-R and Class
        1-P
        Certificates) to receive Basis Risk Shortfalls and Unpaid Basis Risk Shortfalls
        as rights in interest rate cap contracts, written by the Class 1-X
        Certificateholders. The Trustee shall treat the rights of the Group 2
        Certificateholders (other than the Holders of the Class 2-X, Class 2-LT-R,
        Class
        2-R and Class 2-P Certificates) to receive Basis Risk Shortfalls and Unpaid
        Basis Risk Shortfalls as rights in an interest rate cap contract, written
        by the
        Class 2-X Certificateholders. The Trustee shall treat the rights of the Group
        3
        Certificateholders (other than the Holders of the Class 3-X, Class 3-LT-R
        and
        Class 3-R Certificates) to receive Basis Risk Shortfalls and Unpaid Basis
        Risk
        Shortfalls as rights in an interest rate cap contract, written by the Class
        3-X
        Certificateholders. The Trustee shall treat the rights of the Group 4
        Certificateholders (other than the Holders of the Class 4-X, Class 4-LT-R
        and
        Class 4-R Certificates) to receive Basis Risk Shortfalls and Unpaid Basis
        Risk
        Shortfalls as rights in an interest rate cap contract, written by the Class
        4-X
        Certificateholders. Thus, each Certificateholder (other than the Holders
        of the
        Class 1-X, Class 2-X, Class 3-X, Class 4-X, Class 1-LT-R, Class 2-LT-R, Class
        3-LT-R, Class 4-LT-R, Class 1-R, Class 2-R, Class 3-R, Class 4-R, Class 1-P
        and
        Class 2-P Certificates) shall be treated as representing not only ownership
        of
        regular interests in a REMIC, but also ownership of an interest in an interest
        rate cap contract. In addition, pursuant to the notional principal contracts
        written by the Class 1-X and Class 2-X Certificates, respectively, all
        beneficial owners of the Group 1 and Group 2 Certificates shall be treated
        as
        having agreed to pay, on each Distribution Date, to the beneficial owners
        of the
        Class 1-X and Class 2-X Certificates, respectively, an aggregate amount equal
        to
        the excess, if any, of (i) the amount payable on such Distribution Date on
        the
        interest in the Upper-Tier REMIC 1 in the case of the Group 1 Certificates
        and
        Upper-Tier REMIC 2 in the case of the Group 2 Certificates corresponding
        to such
        Class of Certificates over (ii) the amount payable on such Class of Certificates
        on such Distribution Date (such excess, a “Class I Shortfall”). A Class I
        Shortfall payable from interest collections shall be allocated to each such
        Class of Certificates to the extent that interest accrued on such Class for
        the
        related Accrual Period at the Certificate Interest Rate for a Class, computed
        by
        substituting the applicable “REMIC Net Funds Cap” for the applicable “Net Funds
        Cap” in the definition thereof, exceeds the amount of interest accrued for the
        related Accrual Period based on the applicable Net Funds Cap, and a Class
        I
        Shortfall payable from principal collections shall be allocated to the most
        subordinate Certificates with an outstanding principal balance to the extent
        of
        such balance. However, any payment from the Group 1 or Group 2 Certificates
        of a
        Class I Shortfall shall be treated for tax purposes as having been received
        by
        the beneficial owners of such Certificates in respect of their Interests
        in the
        applicable Upper-Tier REMIC and as having been paid by such beneficial owners
        to
        the Supplemental Interest Trust pursuant to the notional principal contract.
        For
        tax
        purposes, the notional principal contract shall be deemed to have a value
        in
        favor of the Group 1, Group 2 and Group 3 Certificates entitled to receive
        Basis
        Risk Shortfalls and Unpaid Basis Risk Shortfalls of $21,000,
        $20,000
        and $14,000, respectively, as of the Closing Date.

      

    
      
        
          
          

        

        
          231

          
            

          

        

        
          
          

        

      

    

    

    

     

    (o)
       Notwithstanding
      the priority and sources of payments set forth in Article V hereof or otherwise,
      the Trustee shall account for all distributions on the Certificates as set
      forth
      in this Section 10.01. In no event shall any payments of Basis Risk Shortfalls
      or Unpaid Basis Risk Shortfalls provided for in this Section 10.01 be treated
      as
      payments with respect to a “regular interest” in a REMIC within the meaning of
      Code Section 860G(a)(1)

     

    Section
      10.02. Prohibited
      Transactions and Activities. 

     

    None
      of
      the Depositor, the Master Servicer or the Trustee shall sell, dispose of, or
      substitute for any of the Mortgage Loans, except in a disposition pursuant
      to
      (i) the foreclosure of a Mortgage Loan, (ii) the bankruptcy of the Trust Fund,
      (iii) the termination of each REMIC pursuant to Article VII of this Agreement,
      (iv) a substitution pursuant to Article II of this Agreement or (v) a repurchase
      of Mortgage Loans pursuant to Article II of this Agreement, nor acquire any
      assets for any REMIC, nor sell or dispose of any investments in the Certificate
      Account for gain, nor accept any contributions to any REMIC after the Closing
      Date, unless the Trustee and any NIMS Insurer has received an Opinion of Counsel
      (at the expense of the party causing such sale, disposition, or substitution)
      that such disposition, acquisition, substitution, or acceptance will not (a)
      result in an Adverse REMIC Event, (b) affect the distribution of interest or
      principal on the Certificates, or (c) result in the encumbrance of the assets
      transferred or assigned to the Trust Fund (except pursuant to the provisions
      of
      this Agreement). 

     

    Section
      10.03. Indemnification
      with Respect to Certain Taxes and Loss of REMIC Status. 

     

    Upon
      the
      occurrence of an Adverse REMIC Event due to the negligent performance by the
      Trustee of its duties and obligations set forth herein, the Trustee shall
      indemnify the Holder of the related Residual Certificate or the Trust Fund,
      as
      applicable, against any and all losses, claims, damages, liabilities or expenses
      (“Losses”) resulting from such negligence; provided,
      however,
      that
      the Trustee shall not be liable for any such Losses attributable to the action
      or inaction of the Master Servicer, the Depositor, the Class 1-X
      Certificateholder, the Class 2-X Certificateholder, the Class 3-X
      Certificateholder, the Class 4-X Certificateholder or the Holder of a Residual
      Certificate, as applicable, nor for any such Losses resulting from
      misinformation provided by the Holder of such Residual Certificate on which
      the
      Trustee has relied. The foregoing shall not be deemed to limit or restrict
      the
      rights and remedies of the Holder of such Residual Certificate now or hereafter
      existing at law or in equity. Notwithstanding the foregoing, however, in no
      event shall the Trustee have any liability pursuant to this Section 10.03 (1)
      for any action or omission that is taken in accordance with and in compliance
      with the express terms of, or which is expressly permitted by the terms of,
      this
      Agreement or any Servicing Agreement, (2) for any Losses other than arising
      out
      of a negligent performance by the Trustee of its duties and obligations set
      forth herein, and (3) for any special or consequential damages to
      Certificateholders (in addition to payment of principal and interest on the
      Certificates). In addition, the Trustee shall not have any liability for the
      actions or failure to act of any other party hereto.

     

    Section
      10.04. REO
      Property. 

     

    

    
      
        
          
          

        

        
          232

          
            

          

        

        
          
          

        

      

    

    

    

     

    (a)
       Notwithstanding
      any other provision of this Agreement, the Master Servicer, acting on behalf
      of
      the Trustee hereunder, shall not, except to the extent provided in the
      applicable Servicing Agreement, knowingly permit any Servicer to, rent, lease,
      or otherwise earn income on behalf of any REMIC with respect to any REO Property
      which might cause an Adverse REMIC Event unless the Master Servicer and any
      NIMS
      Insurer has advised, or has caused the applicable Servicer to advise, the
      Trustee in writing to the effect that, under the REMIC Provisions, such action
      would not result in an Adverse REMIC Event.

     

    (b)
       The
      Master Servicer shall cause the applicable Servicer (to the extent provided
      in
      its Servicing Agreement) to make reasonable efforts to sell any REO Property
      for
      its fair market value. In any event, however, the Master Servicer shall, or
      shall cause the applicable Servicer (to the extent provided in its Servicing
      Agreement) to, dispose of any REO Property within three years of its acquisition
      by the Trust Fund unless the Master Servicer has received a grant of extension
      from the Internal Revenue Service to the effect that, under the REMIC
      Provisions, the REMIC may hold REO Property for a longer period without causing
      an Adverse REMIC Event. If the Master Servicer has received such an extension,
      then the Master Servicer, acting on the Trustee’s behalf hereunder, shall, or
      shall cause the applicable Servicer to, continue to attempt to sell the REO
      Property for its fair market value for such period longer than three years
      as
      such extension permits (the “Extended Period”). If the Master Servicer has not
      received such an extension and the Master Servicer or the applicable Servicer,
      acting on behalf of the Trustee hereunder, is unable to sell the REO Property
      within 33 months after its acquisition by the Trust Fund or if the Master
      Servicer has received such an extension, and the Master Servicer or the
      applicable Servicer is unable to sell the REO Property within the period ending
      three months before the close of the Extended Period, the Master Servicer shall
      cause the applicable Servicer, before the end of the three year period or the
      Extended Period, as applicable, to (i) purchase such REO Property at a price
      equal to the REO Property’s fair market value or (ii) auction the REO Property
      to the highest bidder (which may be the applicable Servicer) in an auction
      reasonably designed to produce a fair price prior to the expiration of the
      three-year period or the Extended Period, as the case may be.

     

    ARTICLE
      XI

     

    MISCELLANEOUS
      PROVISIONS

     

    Section
      11.01. Binding
      Nature of Agreement; Assignment. 

     

    This
      Agreement shall be binding upon and inure to the benefit of the parties hereto
      and their respective successors and permitted assigns.

     

    Section
      11.02. Entire
      Agreement. 

     

    This
      Agreement contains the entire agreement and understanding among the parties
      hereto with respect to the subject matter hereof, and supersedes all prior
      and
      contemporaneous agreements, understandings, inducements and conditions, express
      or implied, oral or written, of any nature whatsoever with respect to the
      subject matter hereof. The express terms hereof control and supersede any course
      of performance and/or usage of the trade inconsistent with any of the terms
      hereof.

     

    

    
      
        
          
          

        

        
          233

          
            

          

        

        
          
          

        

      

    

    

    

     

    Section
      11.03. Amendment.
      

     

    (a)
       On
      or
      prior to a Section 7.01(d) Purchase Event, this Agreement may be amended from
      time to time by the Depositor, the Master Servicer and the Trustee, with the
      consent of any NIMS Insurer, but without the consent of the Swap Counterparty
      (except to the extent that the rights or obligations of (1) the Swap
      Counterparty hereunder or (2) the Swap Counterparty under the related Swap
      Agreement are affected thereby, and except to the extent the ability of the
      Trustee on behalf of the Supplemental Interest Trust and the Trust Fund to
      perform fully and timely its obligations under the related Swap Agreement is
      adversely affected, in which case prior written consent of the Swap Counterparty
      is required) and without notice to or the consent of any of the Holders, (i)
      to
      cure any ambiguity, (ii) to cause the provisions herein to conform to or be
      consistent with or in furtherance of the statements made with respect to the
      Certificates, the Trust Fund or this Agreement in any Offering Document, or
      to
      correct or supplement any provision herein which may be inconsistent with any
      other provisions herein or with the provisions of any Servicing Agreement,
      (iii)
      to make any other provisions with respect to matters or questions arising under
      this Agreement or (iv) to add, delete, or amend any provisions to the extent
      necessary or desirable to comply with any requirements imposed by the Code
      and
      the REMIC Provisions as evidenced by an Opinion of Counsel. No such amendment
      effected pursuant to the preceding sentence shall, as evidenced by an Opinion
      of
      Counsel, result in an Adverse REMIC Event, nor shall such amendment effected
      pursuant to clause (iii) of such sentence adversely affect in any material
      respect the interests of any Holder. Prior to entering into any amendment
      without the consent of Holders pursuant to this paragraph, the Trustee, any
      NIMS
      Insurer and the Swap Counterparty shall be provided with an Opinion of Counsel
      addressed to the Trustee, any NIMS Insurer and the Swap Counterparty (at the
      expense of the party requesting such amendment) to the effect that such
      amendment is permitted under this Section. Any such amendment shall be deemed
      not to adversely affect in any material respect any Holder, if the Trustee
      receives written confirmation from each Rating Agency that such amendment will
      not cause such Rating Agency to reduce then current rating assigned to the
      Certificates.

     

    (b)
       On
      or
      prior to a Section 7.01(d) Purchase Event, this Agreement may also be amended
      from time to time by the Depositor, the Master Servicer and the Trustee, with
      the consent of any NIMS Insurer, but without the consent of the Swap
      Counterparty (except to the extent that the rights or obligations of (1) the
      Swap Counterparty hereunder or (2) the Swap Counterparty under the related
      Swap
      Agreement are affected thereby, or the ability of the Trustee on behalf of
      the
      Supplemental Interest Trust and the Trust Fund to perform fully and timely
      its
      obligations under the related Swap Agreement is adversely affected, in which
      case prior written consent of the Swap Counterparty is required) and with the
      consent of the Holders of not less than 66-2/3% of the Class Principal Amount
      (or Percentage Interest) of each Class of Certificates affected thereby for
      the
      purpose of adding any provisions to or changing in any manner or eliminating
      any
      of the provisions of this Agreement or of modifying in any manner the rights
      of
      the Holders; provided,
      however,
      that no
      such amendment shall be made unless the Trustee and any NIMS Insurer receives
      an
      Opinion of Counsel addressed to the Trustee and the NIMS Insurer, at the expense
      of the party requesting the change, that such change will not cause an Adverse
      REMIC Event and is permitted hereunder; and provided further, that no such
      amendment may (i) reduce in any manner the amount of, or delay the timing of,
      payments received on Mortgage Loans which are required to be distributed on
      any
      Certificate, without the consent of the Holder of such Certificate or (ii)
      reduce the aforesaid percentages of Class Principal Amount (or Percentage
      Interest) of Certificates of each Class, the Holders of which are required
      to
      consent to any such amendment without the consent of the Holders of 100% of
      the
      Class Principal Amount (or Percentage Interest) of each Class of Certificates
      affected thereby. For purposes of this paragraph, references to “Holder” or
“Holders” shall be deemed to include, in the case of any Class of Book-Entry
      Certificates, the related Certificate Owners. 

     

    

    
      
        
          
          

        

        
          234

          
            

          

        

        
          
          

        

      

    

    

    

     

    (c)
       After
      a
      Section 7.01(d) Purchase Event but on or prior to a Pool 1A-1B Trust Fund
      Termination Event or Pool 2 Termination Event, this Agreement may be amended
      from time to time by the Depositor, the Master Servicer, the LTURI-holder and
      the Trustee, but without the consent of the Swap Counterparty (except to the
      extent that the rights or obligations of (1) the Swap Counterparty hereunder
      or
      (2) the Swap Counterparty under the related Swap Agreement, or the ability
      of
      the Trustee on behalf of the Supplemental Interest Trust and the Trust Fund
      to
      perform fully and timely its obligations under the related Swap Agreement is
      adversely affected, in which case prior written consent of the Swap Counterparty
      is required). Prior to entering into any amendment pursuant to this paragraph,
      the Trustee and the Swap Counterparty shall be provided with an Opinion of
      Counsel addressed to the Trustee, any NIMS Insurer and the Swap Counterparty
      (at
      the expense of the party requesting such amendment) to the effect that such
      amendment is permitted under this Section and will not result in an Adverse
      REMIC Event.

     

    (d)
       Promptly
      after the execution of any such amendment, the Trustee shall furnish written
      notification of the substance of such amendment to each Holder, the Depositor,
      the Swap Counterparty, any NIMS Insurer and to the Rating Agencies.

     

    (e)
       It
      shall
      not be necessary for the consent of Holders under this Section 11.03 to approve
      the particular form of any proposed amendment, but it shall be sufficient if
      such consent shall approve the substance thereof. The manner of obtaining such
      consents and of evidencing the authorization of the execution thereof by Holders
      shall be subject to such reasonable regulations as the Trustee may
      prescribe.

     

    (f)
       Notwithstanding
      anything to the contrary in any Servicing Agreement, the Trustee shall not
      consent to any amendment of any Servicing Agreement unless (i) such amendment
      is
      effected pursuant to the standards provided in Section 11.03(a) or 11.03(b)
      with
      respect to amendment of this Agreement and (ii) except for a Permitted Servicing
      Amendment, any such amendment pursuant to Section 11.03(a)(iii) shall not be
      materially inconsistent with the provisions of such Servicing Agreement.

     

    (g)
       Notwithstanding
      anything to the contrary in this Section 11.03, this Agreement may be amended
      from time to time by the Depositor, the Master Servicer and the Trustee to
      the
      extent necessary, in the judgment of the Depositor and its counsel, to comply
      with the Rules.

     

    Section
      11.04. Voting
      Rights. 

     

    Except
      to
      the extent that the consent of all affected Certificateholders is required
      pursuant to this Agreement, with respect to any provision of this Agreement
      requiring the consent of Certificateholders representing specified percentages
      of aggregate outstanding Certificate Principal Amount or Class Notional Amount,
      as applicable (or Percentage Interest), Certificates owned by the Depositor,
      the
      Master Servicer, the Trustee, any Servicer or Affiliates thereof are not to
      be
      counted so long as such Certificates are owned by the Depositor, the Master
      Servicer, the Trustee, any Servicer or any Affiliate thereof.

     

    

    
      
        
          
          

        

        
          235

          
            

          

        

        
          
          

        

      

    

    

    

     

    Section
      11.05. Provision
      of Information. 

     

    (a)
       For
      so
      long as any of the Certificates of any Series or Class are “restricted
      securities” within the meaning of Rule 144(a)(3) under the Act, each of the
      Depositor, the Master Servicer and the Trustee agree to cooperate with each
      other to provide to any Certificateholders, and to any prospective purchaser
      of
      Certificates designated by such holder, upon the request of such holder or
      prospective purchaser, any information required to be provided to such holder
      or
      prospective purchaser to satisfy the condition set forth in Rule 144A(d)(4)
      under the Act. Any reasonable, out-of-pocket expenses incurred by the Trustee
      in
      providing such information shall be reimbursed by the Depositor.

     

    (b)
       The
      Trustee shall make available to any person to whom a Prospectus was delivered,
      upon the request of such person specifying the document or documents requested,
      (i) a copy (excluding exhibits) of any report on Form 8-K or Form 10-K filed
      with the Securities and Exchange Commission pursuant to Section 6.20(c) and
      (ii)
      a copy of any other document incorporated by reference in the Prospectus (to
      the
      extent that the Trustee has such documents in its possession or such documents
      are reasonably obtainable by the Trustee). Any reasonable out-of-pocket expenses
      incurred by the Trustee in providing copies of such documents shall be
      reimbursed by the Depositor.

     

    (c)
       On
      each
      Distribution Date, the Trustee shall make available on its website or otherwise
      deliver to the Depositor a copy of the report delivered to Certificateholders
      pursuant to Section 4.03.

     

    Section
      11.06. Governing
      Law. 

     

    THIS
      AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF
      THE
      STATE OF NEW YORK, WITHOUT REFERENCE TO ITS CONFLICT OF LAW PROVISIONS (OTHER
      THAN SECTION 5-1401 OF THE GENERAL OBLIGATIONS LAW) AND THE OBLIGATIONS, RIGHTS
      AND REMEDIES OF THE PARTIES HEREUNDER SHALL BE DETERMINED IN ACCORDANCE WITH
      SUCH LAWS.

    

    Section
      11.07. Notices.
      

     

    All
      demands, notices and communications hereunder shall be in writing and shall
      be
      deemed to have been duly given when received by (a) in the case of the
      Depositor, Structured Asset Securities Corporation, 745 Seventh Avenue, 7th
      Floor, New York, New York 10019, Attention: Mortgage Finance, LXS 2007-3,
      (b) in the case of the Seller, Lehman Brothers Holdings Inc., 745 Seventh
      Avenue, 7th Floor, New York, New York 10019, Attention: Mortgage Finance, LXS
      2007-3, (c) in the case of the Trustee, the Corporate Trust Office,
      (d) in the case of the Master Servicer, Aurora Loan Services LLC, 10350
      Park Meadows Drive, Littleton, Colorado 80124; Attention: Master Servicing,
      LXS
      2007-3, (e) in the case of Mortgage Guaranty Insurance Corporation, 250 E.
      Kilbourn Avenue, P.O. Box 488, Milwaukee, Wisconsin 53201, Attention: Risk
      Management, (f) in the case of PMI Mortgage Insurance Co., 3003 Oak Road, Walnut
      Creek, California 94597, Attention: Structured Transactions, (g) in the case
      of
      the Swap Counterparty, at the address therefore set forth in the Swap Agreement,
      and (h) in the case of the Cap Counterparty, at the address therefore set forth
      in the Cap Agreement, or as to each party, such other address as may hereafter
      be furnished by such party to the other parties in writing. All demands, notices
      and communications to a party hereunder shall be in writing and shall be deemed
      to have been duly given when delivered to such party at the relevant address,
      facsimile number or electronic mail address set forth above or at such other
      address, facsimile number or electronic mail address as such party may designate
      from time to time by written notice in accordance with this Section
      11.07.

     

    

    
      
        
          
          

        

        
          236

          
            

          

        

        
          
          

        

      

    

    

    

     

    Section
      11.08. Severability
      of Provisions. 

     

    If
      any
      one or more of the covenants, agreements, provisions or terms of this Agreement
      shall be for any reason whatsoever held invalid, then such covenants,
      agreements, provisions or terms shall be deemed severable from the remaining
      covenants, agreements, provisions or terms of this Agreement and shall in no
      way
      affect the validity or enforceability of the other provisions of this Agreement
      or of the Certificates or the rights of the Holders thereof.

     

    Section
      11.09. Indulgences;
      No Waivers. 

     

    Neither
      the failure nor any delay on the part of a party to exercise any right, remedy,
      power or privilege under this Agreement shall operate as a waiver thereof,
      nor
      shall any single or partial exercise of any right, remedy, power or privilege
      preclude any other or further exercise of the same or of any other right,
      remedy, power or privilege, nor shall any waiver of any right, remedy, power
      or
      privilege with respect to any occurrence be construed as a waiver of such right,
      remedy, power or privilege with respect to any other occurrence. No waiver
      shall
      be effective unless it is in writing and is signed by the party asserted to
      have
      granted such waiver.

     

    Section
      11.10. Headings
      Not To Affect Interpretation. 

     

    The
      headings contained in this Agreement are for convenience of reference only,
      and
      they shall not be used in the interpretation hereof.

     

    Section
      11.11. Benefits
      of Agreement.

     

    The
      Depositor shall promptly notify the Custodians, the Master Servicer and the
      Trustee in writing of the issuance of any Class of NIMS Securities issued by
      a
      NIMS Insurer and the identity of such NIMS Insurer. Thereafter, the NIMS Insurer
      shall be deemed a third-party beneficiary of this Agreement to the same extent
      as if it were a party hereto, and shall be subject to and have the right to
      enforce the provisions of this Agreement so long as the NIMS Securities
      remaining outstanding or the NIMS Insurer is owed amounts in respect of its
      guarantee of payment of such NIMS Securities. Nothing in this Agreement or
      in
      the Certificates, express or implied, shall give to any Person, other than
      the
      parties to this Agreement and their successors hereunder, the Swap Counterparty
      and its successors and assignees under the Swap Agreement, the NIMS Insurer,
      the
      Certificateholders, any benefit or any legal or equitable right, power, remedy
      or claim under this Agreement, except to the extent specified in Section
      11.15.

     

    

    
      
        
          
          

        

        
          237

          
            

          

        

        
          
          

        

      

    

    

    

     

    Section
      11.12. Special
      Notices to the Rating Agencies and any NIMS Insurer. 

     

    (a)
       The
      Depositor shall give prompt notice to the Rating Agencies and any NIMS Insurer
      of the occurrence of any of the following events of which it has
      notice:

     

    (i)
       any
      amendment to this Agreement pursuant to Section 11.03;

     

    (ii)
       any
      Assignment by the Master Servicer of its rights hereunder or delegation of
      its
      duties hereunder;

     

    (iii)
       the
      occurrence of any Event of Default described in Section 6.14;

     

    (iv)
       any
      notice of termination given to the Master Servicer pursuant to Section 6.14
      and
      any resignation of the Master Servicer hereunder;

     

    (v)
       the
      appointment of any successor to any Master Servicer pursuant to Section
      6.14;

     

    (vi)
       the
      making of a final payment pursuant to Section 7.02; and

     

    (vii)
       any
      termination of the rights and obligations of any Servicer under the applicable
      Servicing Agreement.

     

    (b)
       All
      notices to the Rating Agencies provided for this Section shall be in writing
      and
      sent by first class mail, telecopy or overnight courier, as
      follows:

     

    If
      to
      Moody’s, to:

    

    Moody’s
      Investors Service, Inc.

    99
      Church
      Street 

    New
      York,
      New York 10007

    Attention:
      Residential Mortgages

    

    If
      to
      Fitch, to:

    

    Fitch
      Ratings, Inc.

    One
      State
      Street Plaza 

    New
      York,
      New York 10004

    Attention:
      Residential Mortgages

    

    If
      to
      S&P, to:

    

    Standard
      & Poor’s Ratings Services, a division of The McGraw-Hill Companies,
      Inc.

    55
      Water
      Street

    New
      York,
      New York 10014

    Attention:
      Residential Mortgages

    

    
      
        
          
          

        

        
          238

          
            

          

        

        
          
          

        

      

    

    

    

    

    (c)
       The
      Trustee shall provide or make available to the Rating Agencies reports prepared
      pursuant to Section 4.03. In addition, the Trustee shall, at the expense of
      the
      Trust Fund, make available to each Rating Agency such information as such Rating
      Agency may reasonably request regarding the Certificates or the Trust Fund,
      to
      the extent that such information is reasonably available to the
      Trustee.

     

    Section
      11.13. Conflicts.
      

     

    To
      the
      extent that the terms of this Agreement conflict with the terms of any Servicing
      Agreement, the related Servicing Agreement shall govern unless such provisions
      shall adversely affect the Trustee or the Trust Fund.

     

    Section
      11.14. Counterparts.
      

     

    This
      Agreement may be executed in one or more counterparts, each of which shall
      be
      deemed to be an original, and all of which together shall constitute one and
      the
      same instrument.

     

    Section
      11.15. Transfer
      of Servicing. 

     

    The
      Seller agrees that it shall provide written notice to the Master Servicer,
      the
      Swap Counterparty, any NIMS Insurer and the Trustee thirty days prior to any
      proposed transfer or assignment by the Seller of its rights under any Servicing
      Agreement or of the servicing thereunder from time to time with respect to
      any
      Mortgage Loan or group of Mortgage Loans, or delegation of its rights or duties
      thereunder or any portion thereof to any other Person other than the initial
      Servicer under such Servicing Agreement; provided,
      however,
      that
      the Seller shall not be required to provide prior notice of (i) any transfer
      of
      servicing that occurs within three months following the Closing Date to an
      entity that is a Servicer on the Closing Date or (ii) any assignment of any
      servicing rights from the Seller to an affiliate of the Seller. In addition,
      the
      ability of the Seller to transfer or assign its rights and delegate its duties
      under the Servicing Agreement or to transfer the servicing thereunder, from
      time
      to time with respect to any Mortgage Loan or group of Mortgage Loans, to a
      successor servicer shall be subject to the following conditions:

     

    (i)
       Satisfaction
      of the conditions to such transfer as set forth in the applicable Servicing
      Agreement including, without limitation, receipt of written consent of any
      NIMS
      Insurer and the Master Servicer (such consent not to be unreasonably withheld)
      to such transfer;

     

    (ii)
       Such
      successor servicer must be qualified to service loans for Fannie Mae or Freddie
      Mac, and must be a member in good standing of MERS;

     

    (iii)
       Such
      successor servicer must satisfy the seller/servicer eligibility standards in
      the
      Servicing Agreement, exclusive of any experience in mortgage loan origination
      and must be reasonably acceptable to the Master Servicer, whose approval shall
      not be unreasonably withheld;

     

    (iv)
       Such
      successor servicer must execute and deliver to the Trustee and the Master
      Servicer an agreement, in form and substance reasonably satisfactory to the
      Trustee and the Master Servicer, that contains an assumption by such successor
      servicer of the due and punctual performance and observance of each covenant
      and
      condition to be performed and observed by the applicable Servicer under the
      applicable Servicing Agreement or, in the case of a transfer of servicing to
      a
      party that is already a Servicer pursuant to this Agreement, an agreement to
      add
      the related Mortgage Loans to the Servicing Agreement already in effect with
      such Servicer;

     

    

    
      
        
          
          

        

        
          239

          
            

          

        

        
          
          

        

      

    

    

    

     

    (v)
       If
      the
      successor servicer is not a Servicer of Mortgage Loans at the time of the
      transfer, there must be delivered to the Trustee and the Master Servicer a
      letter from each Rating Agency to the effect that such transfer of servicing
      will not result in a qualification, withdrawal or downgrade of the then-current
      rating of any of the Certificates; and

     

    (vi)
       The
      Seller shall, at its cost and expense, take such steps, or cause the
      transferring Servicer to take such steps, as may be necessary or appropriate
      to
      effectuate and evidence the transfer of the servicing of the specified Mortgage
      Loans to such successor or replacement servicer, including, but not limited
      to,
      the following: (A) to the extent required by the terms of the Mortgage Loans
      and
      by applicable federal and state laws and regulations, the Seller shall cause
      the
      prior Servicer to timely mail to each obligor under a Mortgage Loan any required
      notices or disclosures describing the transfer of servicing of the Mortgage
      Loans to the successor or replacement servicer; (B) prior to the effective
      date
      of such transfer of servicing, the Seller shall cause the prior Servicer to
      transmit to any related insurer notification of such transfer of servicing;
      (C)
      on or prior to the effective date of such transfer of servicing, the Seller
      shall cause the prior Servicer to deliver to the successor or replacement
      servicer all Mortgage Loan Documents and any related records or materials;
      (D)
      on or prior to the effective date of such transfer of servicing, the Seller
      shall cause the prior Servicer to transfer to the successor or replacement
      servicer, or, if such transfer occurs after a Servicer Remittance Date but
      before the next succeeding Master Servicer Remittance Date, to the Trustee,
      all
      funds held by the prior Servicer in respect of the Mortgage Loans; (E) on or
      prior to the effective date of such transfer of servicing, the Seller shall
      cause the prior Servicer to, after the effective date of the transfer of
      servicing to the successor or replacement servicer, continue to forward to
      such
      successor or replacement servicer, within one Business Day of receipt, the
      amount of any payments or other recoveries received by the prior Servicer,
      and
      to notify the successor or replacement servicer of the source and proper
      application of each such payment or recovery; and (F) the Seller shall cause
      the
      prior Servicer to, after the effective date of transfer of servicing to the
      successor or replacement servicer, continue to cooperate with the successor
      or
      replacement servicer to facilitate such transfer in such manner and to such
      extent as the successor or replacement servicer may reasonably request.
      Notwithstanding the foregoing, the prior Servicer shall be obligated to perform
      the items listed above to the extent provided in the applicable Servicing
      Agreement.

     

    

     

    

     

    [SIGNATURES
      TO FOLLOW]

     

    

    
      
        
          
          

        

        
          240

          
            

          

        

        
          
          

        

      

    

    

    IN
      WITNESS WHEREOF, the parties hereto have caused their names to be signed hereto
      by their respective officers hereunto duly authorized as of the day and year
      first above written.

    
      	 	 	 
	 	 	 
	 	
              STRUCTURED
                ASSET
                SECURITIES CORPORATION,
                
as Depositor

            
	 
 	 
 	 
 
	 	By:  	/s/ Ellen V. Kiernan
	 	
              

              Name:
                Ellen V. Kiernan

              Title:
                Senior Vice President

            
	 	 

    
      	 	 	 
	 	AURORA
              LOAN SERVICES LLC, 
as Master Servicer
	 
 	 
 	 
 
	 	By:  	/s/ Linda A. Sherman
	 	
              

              Name:
                Linda A. Sherman

              Title:
                Senior Vice President

            
	 	 

    

     

    
      	 	 	 
	 	
              LASALLE
                BANK NATIONAL ASSOCIATION,

              as
                Trustee

            
	 
 	 
 	 
 
	 	By:  	/s/ Andy Streepey 
	 	
              

              Name:
                

              Title:
                Assistant Vice President

            
	 	 

    

    
    

     

    

    
      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    Solely
      for purposes of Section 6.11 and 11.15,

    accepted
      and agreed to by:

    

    LEHMAN
      BROTHERS HOLDINGS INC.

    

    By:  
      /s/ Michael Hitzmann

    
      
        

      

    

    Name:
      Michael Hitzmann

    Title:
      Authorized Signatory

    

    

    

    

    
      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    EXHIBIT
      A

    

    FORMS
      OF
      CERTIFICATES

    

    

    

    
      
        
          
          

        

        
          A-1

          
            

          

        

        
          
          

        

      

    

    

    EXHIBIT
      B-1

    

    FORM
      OF
      INITIAL CERTIFICATION

    

                                    

    Date           
      

    

    LaSalle
      Bank National Association

    135
      S.
      LaSalle Street, Suite 1511

    Chicago,
      Illinois 60603

    Attention:
      Global Securities and Trust Services - Lehman XS Trust 2007-3

    

    Aurora
      Loan Services LLC, as Master Servicer

    10350
      Park Meadows Drive

    Littleton,
      Colorado 80124

    

    Structured
      Asset Securities Corporation,

    as
      Depositor

    745
      Seventh Avenue

    7th
      Floor

    New
      York,
      New York 10019

    Attention:
      Mortgage Finance, LXS 2007-3

    

    
      	 	
              Re:

            	
              Trust
                Agreement dated as of February 1, 2007 (the “Trust
                Agreement”),

              by
                and among Structured Asset Securities Corporation, as
                Depositor,

              Aurora
                Loan Services LLC, as Master Servicer and LaSalle Bank National
                Association, as Trustee with respect to Lehman XS Trust Mortgage
                

              Pass-Through
                Certificates, Series 2007-3

            

    

    

    Ladies
      and Gentlemen:

    

    In
      accordance with Section 2.02(a) of the Trust Agreement, subject to review of
      the
      contents thereof, the undersigned, as Custodian, hereby certifies that it has
      received the documents listed in Section 2.01(b) of the Trust Agreement for
      each
      Mortgage File pertaining to each Mortgage Loan listed on Schedule A, to the
      Trust Agreement, subject to any exceptions noted on Schedule I
      hereto.

    

    Capitalized
      words and phrases used herein and not otherwise defined herein shall have the
      respective meanings assigned to them in the Trust Agreement. This Certificate
      is
      subject in all respects to the terms of Section 2.02 of the Trust Agreement
      and
      the Trust Agreement sections cross-referenced therein.

    

    [Custodian]

    

    By:_____________________________________

    Name:
      

    Title:

    

    
      
        
          
          

        

        
          B-1-1

          
            

          

        

        
          
          

        

      

    

    

    EXHIBIT
      B-2

    

    FORM
      OF
      INTERIM CERTIFICATION

    

    ____________

    Date      

    LaSalle
      Bank National Association

    135
      S.
      LaSalle Street, Suite 1511

    Chicago,
      Illinois 60603

    Attention:
      Global Securities and Trust Services - Lehman XS Trust 2007-3

    

    Aurora
      Loan Services LLC, as Master Servicer

    10350
      Park Meadows Drive

    Littleton,
      Colorado 80124

    

    Structured
      Asset Securities Corporation,

    as
      Depositor

    745
      Seventh Avenue, 7th
      Floor

    New
      York,
      New York 10019

    Attention:
      Mortgage Finance, LXS 2007-3

    

    
      	 	
              Re:

            	
              Trust
                Agreement dated as of February 1, 2007 (the “Trust
                Agreement”),

              by
                and among Structured Asset Securities Corporation, as
                Depositor,

              Aurora
                Loan Services LLC, as Master Servicer and LaSalle Bank National
                Association, as Trustee with respect to Lehman XS Trust 

              Mortgage
                Pass-Through Certificates, Series
                2007-3

            

    

    

    Ladies
      and Gentlemen:

    

    In
      accordance with Section 2.02(b) of the Trust Agreement, the undersigned, as
      Custodian, hereby certifies that as to each Mortgage Loan listed in the Mortgage
      Loan Schedule (other than any Mortgage Loan paid in full or listed on Schedule
      I
      hereto) it (or its custodian) has received the applicable documents listed
      in
      Section 2.01(b) of the Trust Agreement.

    

    The
      undersigned hereby certifies that as to each Mortgage Loan identified on the
      Mortgage Loan Schedule, other than any Mortgage Loan listed on Schedule I
      hereto, it has reviewed the documents listed in Section 2.01(b) of the Trust
      Agreement and has determined that each such document appears regular on its
      face
      and appears to relate to the Mortgage Loan identified in such
      document.

    

    Capitalized
      words and phrases used herein shall have the respective meanings assigned to
      them in the Trust Agreement. This Certificate is qualified in all respects
      by
      the terms of said Trust Agreement including, but not limited to, Section
      2.02(b).

    

    
      
        
          
          

        

        
          B-2-1

          
            

          

        

        
          
          

        

      

    

    

    

    

    [Custodian]

    

    By:______________________________

    Name:
      

    Title:

    

    

    
      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    EXHIBIT
      B-3

    

    FORM
      OF
      FINAL CERTIFICATION

    

    
      ____________

      Date      
LaSalle
      Bank National Association

    135
      S.
      LaSalle Street, Suite 1511

    Chicago,
      Illinois 60603

    Attention:
      Global Securities and Trust Services - Lehman XS Trust 2007-3

    

    Aurora
      Loan Services LLC, as Master Servicer

    10350
      Park Meadows Drive

    Littleton,
      Colorado 80124

    

    Structured
      Asset Securities Corporation,

    as
      Depositor

    745
      Seventh Avenue, 7th
      Floor

    New
      York,
      New York 10019

    Attention:
      Mortgage Finance, LXS 2007-3

    

    
      	 	
              Re:

            	
              Trust
                Agreement dated as of February 1, 2007 (the “Trust
                Agreement”),

              by
                and among Structured Asset Securities Corporation, as
                Depositor,

              Aurora
                Loan Services LLC, as Master Servicer and LaSalle Bank National
                Association, as Trustee with respect to Lehman XS Trust Mortgage
                Pass-Through Certificates,
                Series 2007-3

            

    

    

    Ladies
      and Gentlemen:

    

    In
      accordance with Section 2.02(d) of the Trust Agreement, the undersigned, as
      Custodian on behalf of the Trustee, hereby certifies that as to each Mortgage
      Loan listed in the Mortgage Loan Schedule (other than any Mortgage Loan paid
      in
      full or listed on Schedule I hereto) it (or its custodian) has received the
      applicable documents listed in Section 2.01(b) of the Trust
      Agreement.

    

    The
      undersigned hereby certifies that as to each Mortgage Loan identified in the
      Mortgage Loan Schedule, other than any Mortgage Loan listed on Schedule I
      hereto, it has reviewed the documents listed in Section 2.01(b) of the Trust
      Agreement and has determined that each such document appears to be complete
      and,
      based on an examination of such documents, the information set forth in items
      (i) through (vi) of the Mortgage Loan Schedule is correct.

    

    Capitalized
      words and phrases used herein shall have the respective meanings assigned to
      them in the Trust Agreement. This Certificate is qualified in all respects
      by
      the terms of said Trust Agreement.

     

    [Custodian]

    

    By:_____________________________________

    Name:

    Title:
      

    

    

    
      
        
          
          

        

        
          B-3-1

          
            

          

        

        
          
          

        

      

    

    

    EXHIBIT
      B-4

    

    FORM
      OF
      ENDORSEMENT

    

    Pay
      to
      the order of LaSalle Bank National Association, as trustee (the “Trustee”),
      under a Trust Agreement dated as of February 1, 2007, among Structured Asset
      Securities Corporation, as depositor, Aurora Loan Services LLC, as master
      servicer, and the Trustee, relating to Lehman XS Trust Mortgage Pass-Through
      Certificates, Series 2007-3, without recourse.

    

    

    

    __________________________________

    [current
      signatory on note]

    

    By:_______________________________

    Name:

    Title:

    

    

    

    
      
        
          
          

        

        
          B-4-1

          
            

          

        

        
          
          

        

      

    

    

    EXHIBIT
      C

    

    REQUEST
      FOR RELEASE OF DOCUMENTS AND RECEIPT

    

    
      ____________

      Date      

    [Addressed
      to Trustee

    or,
      if
      applicable, Custodian]

    

    In
      connection with the administration of the mortgages held by you as Trustee
      under
      a certain Trust Agreement dated as of February 1, 2007 by and among Structured
      Asset Securities Corporation, as Depositor, LaSalle Bank National Association,
      as Trustee, and Aurora Loan Services LLC, as Master Servicer (the “Trust
      Agreement”), the undersigned Servicer hereby requests a release of the Mortgage
      File held by you as Trustee with respect to the following described Mortgage
      Loan for the reason indicated below.

    

    Mortgagor’s
      Name:

    

    Address:

    

    Loan
      No.:

    

    Reason
      for requesting file:

    

    1. Mortgage
      Loan paid in full. (The Servicer hereby certifies that all amounts received
      in
      connection with the loan have been or will be credited to the Certificate
      Account pursuant to the Trust Agreement.)

     

    2. The
      Mortgage Loan is being foreclosed.

     

    3. Mortgage
      Loan substituted. (The Servicer hereby certifies that a Qualifying Substitute
      Mortgage Loan has been assigned and delivered to you along with the related
      Mortgage File pursuant to the Trust Agreement.)

     

    4. Mortgage
      Loan repurchased. (The [Servicer] [Master Servicer] hereby certifies that the
      Purchase Price (or FPD Purchase Price (in the case of a First Payment Default
      Mortgage Loan)) has been credited to the Certificate Account or Collection
      Account, as applicable, pursuant to the Trust Agreement.)

     

    5. Other.
      (Describe)

     

    The
      undersigned acknowledges that the above Mortgage File will be held by the
      undersigned in accordance with the provisions of the Trust Agreement and will
      be
      returned to you within ten (10) days of our receipt of the Mortgage File, except
      if the Mortgage Loan has been paid in full, or repurchased or substituted for
      a
      Qualifying Substitute Mortgage Loan (in which case the Mortgage File will be
      retained by us permanently) and except if the Mortgage Loan is being foreclosed
      (in which case the Mortgage File will be returned when no longer required by
      us
      for such purpose).

     

    

    
      
        
          
          

        

        
          C-1

          
            

          

        

        
          
          

        

      

    

    

    

     

    Capitalized
      terms used herein shall have the meanings ascribed to them in the Trust
      Agreement.

    

    
      	 	 	 
	 	 
	 	   
	 	
              [Name
                of
                Servicer]

            
	 
 	 
 	 
 
	 	By:  	 
	 	
              

              Name:

              Title:
                Servicing Officer

              

            
	 	 

     

    

    
      
        
          
          

        

        
          C-2

          
            

          

        

        
          
          

        

      

    

    

    EXHIBIT
      D-1

    

    FORM
      OF
      RESIDUAL CERTIFICATE TRANSFER AFFIDAVIT (TRANSFEREE)

    

    
      	
              STATE
                OF

            	
              )

            	 
	 	
              )

            	
               ss.:

            
	
              COUNTY
                OF

            	
              )

            	 

    

    

    [NAME
      OF
      OFFICER], _________________ being first duly sworn, deposes and
      says:

    

    
      	 	
              1.

            	
              That
                he [she] is [title of officer] ________________________ of [name
                of
                Purchaser] _________________________________________ (the “Purchaser”), a
                _______________________ [description of type of entity] duly organized
                and
                existing under the laws of the [State of __________] [United States],
                on
                behalf of which he [she] makes this
                affidavit.

            

    

    

    
      	 	
              2.

            	
              That
                the Purchaser’s Taxpayer Identification Number is
                [           ].

            

    

    

    
      	 	
              3.

            	
              That
                the Purchaser is not a “disqualified organization” within the meaning of
                Section 860E(e)(5) of the Internal Revenue Code of 1986, as amended
                (the
                “Code”) and will not be a “disqualified organization” as of [date of
                transfer], and that the Purchaser is not acquiring a Residual Certificate
                (as defined in the Agreement) for the account of, or as agent (including
                a
                broker, nominee, or other middleman) for, any person or entity from
                which
                it has not received an affidavit substantially in the form of this
                affidavit. For these purposes, a “disqualified organization” means the
                United States, any state or political subdivision thereof, any foreign
                government, any international organization, any agency or instrumentality
                of any of the foregoing (other than an instrumentality if all of
                its
                activities are subject to tax and a majority of its board of directors
                is
                not selected by such governmental entity), any cooperative organization
                furnishing electric energy or providing telephone service to persons
                in
                rural areas as described in Code Section 1381(a)(2)(C), any “electing
                large partnership” within the meaning of Section 775 of the Code, or any
                organization (other than a farmers’ cooperative described in Code Section
                521) that is exempt from federal income tax unless such organization
                is
                subject to the tax on unrelated business income imposed by Code Section
                511.

            

    

    

    
      	 	
              4.

            	
              That
                the Purchaser either (x) is not, and on __________________ [date
                of
                transfer] will not be, an employee benefit plan or other retirement
                arrangement subject to Section 406 of the Employee Retirement Income
                Security Act of 1974, as amended (“ERISA”), or Section 4975 of the Code
                (collectively, a “Plan”) or a person acting on behalf of any such Plan or
                investing the assets of any such Plan to acquire a Residual Certificate;
                (y) if the Residual Certificate has been the subject of an
                ERISA-Qualifying Underwriting, is an insurance company that is purchasing
                the Residual Certificate with funds contained in an “insurance company
                general account” as defined in Section V(e) of Prohibited Transaction
                Class Exemption (“PTCE”) 95-60 and the purchase and holding of the
                Certificate are covered under Sections I and III of PTCE 95-60; or
                (z)
                herewith delivers to the Trustee an opinion of counsel (a “Benefit Plan
                Opinion”) satisfactory to the Trustee, and upon which the Trustee, the
                Master Servicer, any NIMS Insurer and the Depositor shall be entitled
                to
                rely, to the effect that the purchase or holding of such Residual
                Certificate by the Investor will not result in any non-exempt prohibited
                transactions under Title I of ERISA or Section 4975 of the Code and
                will
                not subject the Trustee, the Master Servicer, any NIMS Insurer or
                the
                Depositor to any obligation in addition to those undertaken by such
                entities in the Trust Agreement, which opinion of counsel shall not
                be an
                expense of the Trust Fund or any of the above
                parties.

            

    

     

     

    
 

    
      
        
        

      

      
        D-1

        
          

        

      

      
        
        

      

    

    
      	 	
              5.

            	
              That
                the Purchaser hereby acknowledges that under the terms of the Trust
                Agreement (the “Agreement”) by and among Structured Asset Securities
                Corporation, as Depositor, Aurora Loan Services LLC, as Master Servicer,
                and LaSalle Bank National Association, as Trustee, dated as of February
                1,
                2007, relating to Lehman XS Trust Mortgage Pass-Through Certificates,
                Series 2007-3, no transfer of the Residual Certificates shall be
                permitted
                to be made to any person unless the Depositor and Trustee have received
                a
                certificate from such transferee containing the representations in
                paragraphs 3 and 4 hereof.

            

    

    

    
      	 	
              6.

            	
              That
                the Purchaser does not hold REMIC residual securities as nominee
                to
                facilitate the clearance and settlement of such securities through
                electronic book-entry changes in accounts of participating organizations
                (such entity, a “Book-Entry
                Nominee”).

            

    

    

    
      	 	
              7.

            	
              That
                the Purchaser does not have the intention to impede the assessment
                or
                collection of any federal, state or local taxes legally required
                to be
                paid with respect to such Residual
                Certificate.

            

    

    

    
      	 	
              8.

            	
              That
                the Purchaser will not transfer a Residual Certificate to any person
                or
                entity (i) as to which the Purchaser has actual knowledge that the
                requirements set forth in paragraph 3, paragraph 6 or paragraph 10
                hereof
                are not satisfied or that the Purchaser has reason to believe does
                not
                satisfy the requirements set forth in paragraph 7 hereof, and (ii)
                without
                obtaining from the prospective Purchaser an affidavit substantially
                in
                this form and providing to the Trustee a written statement substantially
                in the form of Exhibit D-2 to the
                Agreement.

            

    

    

    
      	 	
              9.

            	
              That
                the Purchaser understands that, as the holder of a Residual Certificate,
                the Purchaser may incur tax liabilities in excess of any cash flows
                generated by the interest and that it intends to pay taxes associated
                with
                holding such Residual Certificate as they become
                due.

            

    

    

    
      
        
          
          

        

        
          D-2

          
            

          

        

        
          
          

        

      

    

    

    

    
      	 	
              10.

            	
              That
                the Purchaser (i) is not a Non-U.S. Person or (ii) is a Non-U.S.
                Person
                that holds a Residual Certificate in connection with the conduct
                of a
                trade or business within the United States and has furnished the
                transferor and the Trustee with an effective Internal Revenue Service
                Form
                W-8ECI (Certificate of Foreign Person’s Claim for Exemption From
                Withholding on Income Effectively Connected With the Conduct of a
                Trade or
                Business in the United States) or successor form at the time and
                in the
                manner required by the Code or (iii) is a Non-U.S. Person that has
                delivered to both the transferor and the Trustee an opinion of a
                nationally recognized tax counsel to the effect that the transfer
                of such
                Residual Certificate to it is in accordance with the requirements
                of the
                Code and the regulations promulgated thereunder and that such transfer
                of
                a Residual Certificate will not be disregarded for federal income
                tax
                purposes. “Non-U.S. Person” means an individual, corporation, partnership
                or other person other than (i) a citizen or resident of the United
                States;
                (ii) a corporation, partnership or other entity created or organized
                in or
                under the laws of the United States or any state thereof, including
                for
                this purpose, the District of Columbia; (iii) an estate that is subject
                to
                U.S. federal income tax regardless of the source of its income; (iv)
                a
                trust if a court within the United States is able to exercise primary
                supervision over the administration of the trust and one or more
                United
                States trustees have authority to control all substantial decisions
                of the
                trust; and, (v) to the extent provided in Treasury regulations, certain
                trusts in existence on August 20, 1996 that are treated as United
                States
                persons prior to such date and elect to continue to be treated as
                United
                States persons.

            

    

    

    
      	 	
              11.

            	
              That
                the Purchaser agrees to such amendments of the Trust Agreement as
                may be
                required to further effectuate the restrictions on transfer of any
                Residual Certificate to such a “disqualified organization,” an agent
                thereof, a Book-Entry Nominee, or a person that does not satisfy
                the
                requirements of paragraph 7 and paragraph 10
                hereof.

            

    

    

    
      	 	
              12.

            	
              That
                the Purchaser consents to the designation of the Trustee as its agent
                to
                act as “tax matters person” of the Trust Fund pursuant to the Trust
                Agreement.

            

    

    

    IN
      WITNESS WHEREOF, the Purchaser has caused this instrument to be executed on
      its
      behalf, pursuant to authority of its Board of Directors, by its [title of
      officer] this _____ day of __________, 20__.

    

    _________________________________

    [name
      of
      Purchaser]

    

    By:______________________________

    Name:
      

    Title:
      

    

     

    

    
      
        
          
          

        

        
          D-3

          
            

          

        

        
          
          

        

      

    

    

    

    Personally
      appeared before me the above-named [name of officer] ________________, known
      or
      proved to me to be the same person who executed the foregoing instrument and
      to
      be the [title of officer] _________________ of the Purchaser, and acknowledged
      to me that he [she] executed the same as his [her] free act and deed and the
      free act and deed of the Purchaser.

    

    Subscribed
      and sworn before me this _____ day of __________, 20__.

    

    NOTARY
      PUBLIC

    

     

    

    

    

    COUNTY
      OF_____________________

    

    STATE
      OF______________________

    

    My
      commission expires the _____ day of __________, 20__.

    

    

    

    
      
        
          
          

        

        
          D-4

          
            

          

        

        
          
          

        

      

    

    

    EXHIBIT
      D-2

    

    RESIDUAL
      CERTIFICATE TRANSFER AFFIDAVIT (TRANSFEROR)

    

    ____________

    Date      

    

    Re: Lehman
      XS Trust Mortgage Pass-Through Certificates, Series 2007-3

    

    _______________________
      (the “Transferor”) has reviewed the attached affidavit of
      _____________________________ (the “Transferee”), and has no actual knowledge
      that such affidavit is not true and has no reason to believe that the
      information contained in paragraph 7 thereof is not true, and has no reason
      to
      believe that the Transferee has the intention to impede the assessment or
      collection of any federal, state or local taxes legally required to be paid
      with
      respect to a Residual Certificate. In addition, the Transferor has conducted
      a
      reasonable investigation at the time of the transfer and found that the
      Transferee had historically paid its debts as they came due and found no
      significant evidence to indicate that the Transferee will not continue to pay
      its debts as they become due.

    

    Very
      truly yours,

    

    _______________________________

    Name:

    Title:

    

    

    

    
      
        
          
          

        

        
          D-2-1

          
            

          

        

        
          
          

        

      

    

    

    EXHIBIT
      E

    

    LIST
      OF
      SERVICING AGREEMENTS

    

    
      	 	
              1.

            	
              Servicing
                Agreement dated as of February 1, 2007 among the Lehman Brothers
                Holdings
                Inc., as seller, and Aurora Loan Services LLC, in the dual capacities
                of
                servicer and Master Servicer, and acknowledged by the
                Trustee.

            

    

     

    
      	 	
              2.

            	
              Reconstituted
                Servicing Agreement dated as of February 1, 2007 among Lehman Brothers
                Holdings Inc., as seller, and IndyMac F.S.B., as servicer, and
                acknowledged by the Master Servicer and the
                Trustee.

            

    

     

    
      	 	
              3.

            	
              Reconstituted
                Servicing Agreement dated as of February 1, 2007 among Lehman Brothers
                Holdings Inc., as seller, and Wells Fargo Bank, N.A., as servicer,
                and
                acknowledged by the Master Servicer and the
                Trustee.

            

    

     

    
      	 	
              4.

            	
              Correspondent
                Servicing Agreement dated as of June 26, 2002, by and among Colonial
                Savings, F.A., Lehman Brothers Bank, FSB (the “Bank”) and Aurora Loan
                Services LLC (the “Master Servicer”) and amended as of October 27, 2006
                (“Amendment Reg AB” and collectively hereinafter, the “Servicing
                Agreement”).

            

    

     

    
      	 	
              5.

            	
              Reconstituted
                Servicing Agreement dated as of February 1, 2007 among Lehman Brothers
                Holdings Inc., as seller, and GreenPoint Mortgage Funding, Inc.,
                as
                servicer, and acknowledged by the Master Servicer and the
                Trustee.

            

    

     

    

    

    

    

    
      
        
          
          

        

        
          E-1

          
            

          

        

        
          
          

        

      

    

    

    EXHIBIT
      F

    

    FORM
      OF
      RULE 144A TRANSFER CERTIFICATE

    

    

      
        	 	
                Re:

              	
                Lehman
                  XS Trust 

                Mortgage
                  Pass-Through Certificates

                Series
                  2007-3                                                       

              

      

    Reference
      is hereby made to the Trust Agreement dated as of February 1, 2007 (the “Trust
      Agreement”) by and among Structured Asset Securities Corporation, as Depositor,
      Aurora Loan Services LLC, as Master Servicer, and LaSalle Bank National
      Association, as Trustee. Capitalized terms used but not defined herein shall
      have the meanings given to them in the Trust Agreement.

    

    This
      letter relates to $__________ initial Certificate Balance of Class     
      Certificates
      which are held in the form of Definitive Certificates registered in the name
      of
                                
      (the
“Transferor”). The Transferor has requested a transfer of such Definitive
      Certificates for Definitive Certificates of such Class registered in the name
      of
      [insert name of transferee].

    

    In
      connection with such request, and in respect of such Certificates, the
      Transferor hereby certifies that such Certificates are being transferred in
      accordance with (i) the transfer restrictions set forth in the Trust Agreement
      and the Certificates and (ii) Rule 144A under the Securities Act to a purchaser
      that the Transferor reasonably believes is a “qualified institutional buyer”
within the meaning of Rule 144A purchasing for its own account or for the
      account of a “qualified institutional buyer,” which purchaser is aware that the
      sale to it is being made in reliance upon Rule 144A, in a transaction meeting
      the requirements of Rule 144A and in accordance with any applicable securities
      laws of any state of the United States or any other applicable
      jurisdiction.

    

    This
      certificate and the statements contained herein are made for your benefit and
      the benefit of the Depositor.

    

    _____________________________________

    [Name
      of
      Transferor]

    

    By:__________________________________

    Name:

    Title:

    

    Dated:
      ___________, ____

    

    
      
        
          
          

        

        
          F-1

          
            

          

        

        
          
          

        

      

    

    

    EXHIBIT
      G

    

    FORM
      OF
      PURCHASER’S LETTER FOR

    INSTITUTIONAL
      ACCREDITED INVESTOR

    

    ____________

    Date      

    

    Dear
      Sirs:

    

    In
      connection with our proposed purchase of $______________ principal amount of
      Lehman XS Trust Mortgage Pass-Through Certificates, Series 2007-3 (the
“Privately Offered Certificates”) of the Structured Asset Securities Corporation
      (the “Depositor”), we confirm that:

    

    
      	
              (1)

            	
              We
                understand that the Privately Offered Certificates have not been,
                and will
                not be, registered under the Securities Act of 1933, as amended (the
                “Securities Act”), and may not be sold except as permitted in the
                following sentence. We agree, on our own behalf and on behalf of
                any
                accounts for which we are acting as hereinafter stated, that if we
                should
                sell any Privately Offered Certificates within two years of the later
                of
                the date of original issuance of the Privately Offered Certificates
                or the
                last day on which such Privately Offered Certificates are owned by
                the
                Depositor or any affiliate of the Depositor we will do so only (A)
                to the
                Depositor, (B) to “qualified institutional buyers” (within the meaning of
                Rule 144A under the Securities Act) in accordance with Rule 144A
                under the
                Securities Act (“QIBs”), (C) pursuant to the exemption from registration
                provided by Rule 144 under the Securities Act, or (D) to an institutional
                “accredited investor” within the meaning of Rule 501(a)(1), (2), (3) or
                (7) of Regulation D under the Securities Act that is not a QIB (an
                “Institutional Accredited Investor”) which, prior to such transfer,
                delivers to the Trustee under the Trust Agreement dated as of February
                1,
                2007 (the “Trust Agreement”) by and among the Depositor, Aurora Loan
                Services LLC, as Master Servicer, and LaSalle Bank National Association,
                as Trustee (the “Trustee”), a signed letter in the form of this letter;
                and we further agree, in the capacities stated above, to provide
                to any
                person purchasing any of the Privately Offered Certificates from
                us a
                notice advising such purchaser that resales of the Privately Offered
                Certificates are restricted as stated
                herein.

            

    

    

    
      	
              (2)

            	
              We
                understand that, in connection with any proposed resale of any Privately
                Offered Certificates to an Institutional Accredited Investor, we
                will be
                required to furnish to the Trustee and the Depositor a certification
                from
                such transferee in the form hereof to confirm that the proposed sale
                is
                being made pursuant to an exemption from, or in a transaction not
                subject
                to, the registration requirements of the Securities Act. We further
                understand that the Privately Offered Certificates purchased by us
                will
                bear a legend to the foregoing
                effect.

            

    

    

    
      	
              (3)

            	
              We
                are acquiring the Privately Offered Certificates for investment purposes
                and not with a view to, or for offer or sale in connection with,
                any
                distribution in violation of the Securities Act. We have such knowledge
                and experience in financial and business matters as to be capable
                of
                evaluating the merits and risks of our investment in the Privately
                Offered
                Certificates, and we and any account for which we are acting are
                each able
                to bear the economic risk of such
                investment.

            

    

    

    
      
        
          
          

        

        
          G-1

          
            

          

        

        
          
          

        

      

    

    

    

    

    
      	
              (4)

            	
              We
                are an Institutional Accredited Investor and we are acquiring the
                Privately Offered Certificates purchased by us for our own account
                or for
                one or more accounts (each of which is an Institutional Accredited
                Investor) as to each of which we exercise sole investment
                discretion.

            

    

    

    
      	
              (5)

            	
              We
                have received such information as we deem necessary in order to make
                our
                investment decision.

            

    

    

    
      	
              (6)

            	
              If
                we are acquiring ERISA-Restricted Certificates, we understand that
                in
                accordance with ERISA, the Code and the Exemption, no Plan and no
                person
                acting on behalf of such a Plan may acquire such Certificate except
                in
                accordance with Section 3.03(d) of the Trust
                Agreement.

            

    

    

    Terms
      used in this letter which are not otherwise defined herein have the respective
      meanings assigned thereto in the Trust Agreement.

    

    You
      and
      the Depositor are entitled to rely upon this letter and are irrevocably
      authorized to produce this letter or a copy hereof to any interested party
      in
      any administrative or legal proceeding or official inquiry with respect to
      the
      matters covered hereby.

    

    Very
      truly yours,

    

     

    [Purchaser]

    

    By:
      ________________________________

    Name:
      

    Title:

    

    

    

    

    
      
        
          
          

        

        
          G-2

          
            

          

        

        
          
          

        

      

    

    

    EXHIBIT
      H

    

    FORM
      OF
      ERISA TRANSFER AFFIDAVIT

    

    
      	
              STATE
                OF NEW YORK 

            	
              )

            	 
	 	 )	
               
                ss.: 

            
	
              COUNTY
                OF NEW YORK 

            	
              )

            	 

    

    

    The
      undersigned, being first duly sworn, deposes and says as follows:

    

    1. The
      undersigned is the ______________________ of (the “Investor”), a [corporation
      duly organized] and existing under the laws of __________, on behalf of which
      he
      makes this affidavit.

    

    2. In
      the
      case of an ERISA-Restricted Certificate, the Investor either (x) is not, and
      on
      ___________ [date of transfer] will not be, an employee benefit plan or other
      retirement arrangement subject to Section 406 of the Employee Retirement Income
      Security Act of 1974, as amended (“ERISA”), or Section 4975 of the Internal
      Revenue Code of 1986, as amended (the “Code”) (collectively, a “Plan”) or a
      person acting on behalf of any such Plan or investing the assets of any such
      Plan to acquire a Certificate; (y) if the Certificate has been the subject
      of an
      ERISA-Qualifying Underwriting, is an insurance company that is purchasing the
      Certificate with funds contained in an “insurance company general account” as
      defined in Section V(e) of Prohibited Transaction Class Exemption (“PTCE”) 95-60
      and the purchase and holding of the Certificate are covered under Sections
      I and
      III of PTCE 95-60; or (z) herewith delivers to the Trustee an opinion of counsel
      (a “Benefit Plan Opinion”) satisfactory to the Trustee, and upon which the
      Trustee, the Master Servicer, any NIMS Insurer and the Depositor shall be
      entitled to rely, to the effect that the purchase or holding of such Certificate
      by the Investor will not result in any non-exempt prohibited transactions under
      Title I of ERISA or Section 4975 of the Code and will not subject the Trustee,
      the Master Servicer, any NIMS Insurer or the Depositor to any obligation in
      addition to those undertaken by such entities in the Trust Agreement, which
      opinion of counsel shall not be an expense of the Trust Fund or the above
      parties.

    

    3. In
      the
      case of an ERISA-Restricted Trust Certificate, prior to the termination of
      the
      Swap Agreement and the Cap Agreement, either (i) the Investor is neither a
      Plan
      nor a person acting on behalf of any such Plan or using the assets of any such
      Plan to effect such transfer or (ii) the acquisition and holding of the
      ERISA-Restricted Trust Certificate are eligible for exemptive relief under
      the
      statutory exemption for nonfiduciary service providers under Section 408(b)(17)
      of ERISA and Section 4975(d)(20) of the Code, PTCE 84-14, PTCE 90-1, PTCE 91-38,
      PTCE 95-60 or PTCE 96-23 or some other applicable exemption.

    

    4. The
      Investor hereby acknowledges that under the terms of the Trust Agreement (the
      “Agreement”) by and among Structured Asset Securities Corporation, as Depositor,
      Aurora Loan Services LLC, as Master Servicer, and LaSalle Bank National
      Association, as Trustee, dated as of February 1, 2007, regarding Lehman XS
      Trust
      Mortgage Pass-Through Certificates, Series 2007-3, no transfer of the
      ERISA-Restricted Certificates or the ERISA-Restricted Trust Certificates shall
      be permitted to be made to any person unless the Trustee has received a
      certificate from such transferee in the form hereof.

    

    
      
        
          
          

        

        
          H-1

          
            

          

        

        
          
          

        

      

    

    

    

    IN
      WITNESS WHEREOF, the Investor has caused this instrument to be executed on
      its
      behalf, pursuant to proper authority, by its duly authorized officer, duly
      attested, this ____ day of _______________, 20___.

    

    _________________________________

    [Investor]

    

    By:______________________________

    Name:

    Title:

    

    ATTEST:

    

    
      
        

      

     

    

    
      	
              STATE
                OF 

            	
              )

            	 
	 	 )	
               ss:

            
	
              COUNTY
                OF

            	
              )

            	 

    

    

    

    Subscribed
      and sworn before me this _____ day of _________ 20___.

    

    ______________________________

    NOTARY
      PUBLIC

    

    My
      commission expires the

    _____
      day
      of __________, 20___.

    

    

    

    

    

    
      
        
          
          

        

        
          H-2

          
            

          

        

        
          
          

        

      

    

    

    EXHIBIT
      I

    

    [RESERVED]

    

    

    

    

    
      
        
          
          

        

        
          I-1

          
            

          

        

        
          
          

        

      

    

    

    EXHIBIT
      J

    

    [RESERVED]

    

    

    

    

    
      
        
          
          

        

        
          J-1

          
            

          

        

        
          
          

        

      

    

    

    EXHIBIT
      K

    

    LIST
      OF
      CUSTODIAL AGREEMENTS

    

    
      	
              1.

            	
              The
                Custodial Agreement dated and effective as of February 1, 2007, by
                and
                between Deutsche Bank National Trust Company, as custodian, and LaSalle
                Bank National Association, as
                trustee.

            

    

     

    
      	
              2.

            	
              The
                Custodial Agreement dated and effective as of February 1, 2007, by
                and
                between LaSalle Bank National Association, as custodian, and LaSalle
                Bank
                National Association, as trustee.

            

    

     

    
      	
              3.

            	
              The
                Custodial Agreement dated and effective as of February 1, 2007, by
                and
                between Wells Fargo Bank, N.A., as custodian, and LaSalle Bank National
                Association, as trustee.

            

    

     

    
      	
              4.

            	
              The
                Custodial Agreement dated and effective as of February 1, 2007, by
                and
                between U.S. Bank National Association, as custodian, and LaSalle
                Bank
                National Association, as trustee.

            

    

    

    

    

    

    
      
        
          
          

        

        
          K-1

          
            

          

        

        
          
          

        

      

    

    

    EXHIBIT
      L

    

    [Reserved]

    

    

    

    
      
        
          
          

        

        
          L-1

          
            

          

        

        
          
          

        

      

    

    

    EXHIBIT
      M

    FORM
      OF
      BACK-UP CERTIFICATION TO BE PROVIDED TO

    THE
      DEPOSITOR AND/OR THE MASTER SERVICER BY THE TRUSTEE

    

    Structured
      Asset Securities Corporation

    745
      Seventh Avenue, 7th Floor

    New
      York,
      New York 10019

    Attention:
      Mortgage Finance, LXS 2007-3

    

    Aurora
      Loan Services LLC

    10350
      Park Meadows Drive

    Littleton,
      Colorado 80124

    

    
      	
              Re:

            	
              Lehman
                XS Trust Mortgage
                Pass-Through Certificates, Series
                2007-3

            

    

    

    Reference
      is made to the Trust Agreement dated as of February 1, 2007 (the “Trust
      Agreement”), by and among LaSalle Bank National Association, (the “Trustee”),
      Aurora Loan Services LLC, as master servicer (the “Master Servicer”), and
      Structured Asset Securities Corporation, as depositor (the “Depositor”). The
      Trustee hereby certifies to the Depositor and the Master Servicer, and its
      officers, directors and affiliates, and with the knowledge and intent that
      they
      will rely upon this certification, that:

    

    
      	 	
              (i)

            	
              I
                have reviewed the annual report on Form 10-K for the fiscal year
                [ ] (the
                “Annual Report”) and all reports on Form 10-D required to be filed in
                respect of the period covered by the Annual Report (collectively
                with the
                Annual Report, the “Reports”), of the Trust;

            

    

    

    
      	 	
              (ii)

            	
              Based
                on my knowledge, the Reports, taken as a whole, do not contain any
                untrue
                statement of a material fact or omit to state a material fact required
                to
                be stated therein or necessary to make the statements made, in light
                of
                the circumstances under which such statements were made, not misleading
                with respect to the period covered by the Annual
                Report;

            

    

    

    
      	 	
              (iii)

            	
              Based
                on my knowledge, the distribution information required to be provided
                by
                the Trustee under the Trust Agreement for inclusion in the Reports
                is
                included in the Reports.

            

    

    

    Date:

    

    LaSalle
      Bank National Association, as Trustee

    

    

    By: ____________________________

    Name: ____________________________

    Title: ____________________________

    

    
      
        
          
          

        

        
          M-1

          
            

          

        

        
          
          

        

      

    

    

    EXHIBIT
      N-1

    GROUP
      1
      SWAP AGREEMENT

    

    

    
      
        
          
          

        

        
          N-1

          
            

          

        

        
          
          

        

      

    

    

    EXHIBIT
      N-2

    GROUP
      1
      CAP AGREEMENT

    

    

    

    
      
        
          
          

        

        
          N-1

          
            

          

        

        
          
          

        

      

    

    

    EXHIBIT
      N-3

    GROUP
      2
      SWAP AGREEMENT

    

    

    
      
        
          
          

        

        
          N-2

          
            

          

        

        
          
          

        

      

    

    

    EXHIBIT
      N-4

    GROUP
      2
      CAP AGREEMENT

    

    

    
      
        
          
          

        

        
          N-3

          
            

          

        

        
          
          

        

      

    

    

    EXHIBIT
      O

    FORM
      OF
      CERTIFICATION REGARDING SERVICING CRITERIA TO BE ADDRESSED IN REPORT ON
      ASSESSMENT OF COMPLIANCE

     

    

    Where
      there are multiple checks for criteria the attesting party will identify in
      their management assertion that they are attesting only to the portion of the
      distribution chain they are responsible for in the related transaction
      agreements. Capitalized terms used herein but not defined herein shall have
      the
      meanings assigned to them in the Trust Agreement dated as of February 1, 2007
      (the “Agreement”), by and among LaSalle Bank National Association (the
“Trustee”), Aurora Loan Services LLC, as master servicer (the “Master
      Servicer”), and Structured Asset Securities Corporation, as depositor (the
“Depositor”) with respect to Lehman XS Trust Mortgage Pass-Through Certificates,
      Series 2007-3. 

    

    
      	
              Reg
                AB Reference

            	
              Servicing
                Criteria

            	
              Paying
                Agent

              (including
                the Trustee if acting as Paying Agent)

            	
              Trustee

            	
              Master
                Servicer

            
	 	
              General Servicing
                  Considerations

            	 	 	 
	
              1122(d)(1)(i)

            	
              Policies
                and procedures are instituted to monitor any performance or other
                triggers
                and events of default in accordance with the transaction
                agreements.

            	 	 	
              X

            
	
              1122(d)(1)(ii)

            	
              If
                any material servicing activities are outsourced to third parties,
                policies and procedures are instituted to monitor the third party’s
                performance and compliance with such servicing activities.

            	 	 	 
	
              1122(d)(1)(iii)

            	
              Any
                requirements in the transaction agreements to maintain a back-up
                servicer
                for the mortgage loans are maintained. 

            	
               

            	
               

            	
              X

            
	
              1122(d)(1)(iv)

            	
              A
                fidelity bond and errors and omissions policy is in effect on the
                party
                participating in the servicing function throughout the reporting
                period in
                the amount of coverage required by and otherwise in accordance with
                the
                terms of the transaction agreements. 

            	 	 	
              X

            
	 	
              Cash Collection and Administration

            	 	 	 
	
              1122(d)(2)(i)

            	
              Payments
                on mortgage loans are deposited into the appropriate custodial bank
                accounts and related bank clearing accounts no more than two business
                days
                following receipt, or such other number of days specified in the
                transaction agreements. 

            	
              X

            	
              X

            	
              X

            
	
              1122(d)(2)(ii)

            	
              Disbursements
                made via wire transfer on behalf of an obligor or to an investor
                are made
                only by authorized personnel. 

            	
              X

            	 	
              X

            

    

    

    
      
        
          
          

        

        
          O-1

          
            

          

        

        
          
          

        

      

    

    

    

    
      	
              Reg
                AB Reference

            	
              Servicing
                Criteria

            	
              Paying
                Agent

              (including
                the Trustee if acting as Paying Agent)

            	
              Trustee

            	
              Master
                Servicer

            
	
              1122(d)(2)(iii)

            	
              Advances
                of funds or guarantees regarding collections, cash flows or distributions,
                and any interest or other fees charged for such advances, are made,
                reviewed and approved as specified in the transaction agreements.
                

            	 	 	
              X

            
	
              1122(d)(2)(iv)

            	
              The
                related accounts for the transaction, such as cash reserve accounts
                or
                accounts established as a form of over collateralization, are separately
                maintained (e.g., with respect to commingling of cash) as set forth
                in the
                transaction agreements. 

            	
              X

            	
              X

            	
              X

            
	
              1122(d)(2)(v)

            	
              Each
                custodial account is maintained at a federally insured depository
                institution as set forth in the transaction agreements. For purposes
                of
                this criterion, “federally insured depository institution” with respect to
                a foreign financial institution means a foreign financial institution
                that
                meets the requirements of Rule 13k-1(b)(1) of the Securities Exchange
                Act.
                

            	 	 	
              X

            
	
              1122(d)(2)(vi)

            	
              Unissued
                checks are safeguarded so as to prevent unauthorized access.
                

            	
              X

            	 	
              X

            
	
              1122(d)(2)(vii)
                

            	
              Reconciliations
                are prepared on a monthly basis for all asset-backed securities related
                bank accounts, including custodial accounts and related bank clearing
                accounts. These reconciliations are (A) mathematically accurate;
                (B)
                prepared within 30 calendar days after the bank statement cutoff
                date, or
                such other number of days specified in the transaction agreements;
                (C)
                reviewed and approved by someone other than the person who prepared
                the
                reconciliation; and (D) contain explanations for reconciling items.
                These
                reconciling items are resolved within 90 calendar days of their original
                identification, or such other number of days specified in the transaction
                agreements. 

            	
              X

            	 	
              X

            
	 	
              Investor
                Remittances and Reporting

            	 	 	 
	
              1122(d)(3)(i)

            	
              Reports
                to investors, including those to be filed with the Commission, are
                maintained in accordance with the transaction agreements and applicable
                Commission requirements. Specifically, such reports (A) are prepared
                in
                accordance with timeframes and other terms set forth in the transaction
                agreements; (B) provide information calculated in accordance with
                the
                terms specified in the transaction agreements; (C) are filed with
                the
                Commission as required by its rules and regulations; and (D) agree
                with
                investors’ or the trustee’s records as to the total unpaid principal
                balance and number of mortgage loans serviced by the Servicer.
                

            	 	
              X

            	
              X

            

    

    

    
      
        
          
          

        

        
          O-2

          
            

          

        

        
          
          

        

      

    

    

    

    
      	
              Reg
                AB Reference

            	
              Servicing
                Criteria

            	
              Paying
                Agent

              (including
                the Trustee if acting as Paying Agent)

            	
              Trustee

            	
              Master
                Servicer

            
	
              1122(d)(3)(ii)

            	
              Amounts
                due to investors are allocated and remitted in accordance with timeframes,
                distribution priority and other terms set forth in the transaction
                agreements. 

            	
              X

            	
              X

            	
              X

            
	
              1122(d)(3)(iii)

            	
              Disbursements
                made to an investor are posted within two business days to the Servicer’s
                investor records, or such other number of days specified in the
                transaction agreements. 

            	
              X

            	 	
               X

            
	
              1122(d)(3)(iv)

            	
              Amounts
                remitted to investors per the investor reports agree with cancelled
                checks, or other form of payment, or custodial bank statements.
                

            	
              X

            	 	
              X

            
	 	
              Pool
                Asset Administration

            	 	 	 
	
              1122(d)(4)(i)
                

            	
              Collateral
                or security on mortgage loans is maintained as required by the transaction
                agreements or related pool asset documents. 

            	
               

            	 	 
	
              1122(d)(4)(ii)

            	
              Mortgage
                loans and related documents are safeguarded as required by the transaction
                agreements 

            	
               

            	 	 
	
              1122(d)(4)(iii)

            	
              Any
                additions, removals or substitutions to the asset pool are made,
                reviewed
                and approved in accordance with any conditions or requirements in
                the
                transaction agreements. 

            	
               

            	
              X

            	 
	
              1122(d)(4)(iv)

            	
              Payments
                on mortgage loans, including any payoffs, made in accordance with
                the
                related pool asset documents are posted to the Servicer’s obligor records
                maintained no more than two business days after receipt, or such
                other
                number of days specified in the transaction agreements, and allocated
                to
                principal, interest or other items (e.g., escrow) in accordance with
                the
                related pool asset documents. 

            	 	 	 
	
              1122(d)(4)(v)

            	
              The
                Servicer’s records regarding the mortgage loans agree with the Servicer’s
                records with respect to an obligor’s unpaid principal balance.
                

            	 	 	 
	
              1122(d)(4)(vi)

            	
              Changes
                with respect to the terms or status of an obligor's mortgage loans
                (e.g.,
                loan modifications or re-agings) are made, reviewed and approved
                by
                authorized personnel in accordance with the transaction agreements
                and
                related pool asset documents. 

            	 	 	
              X

            
	
              1122(d)(4)(vii)

            	
              Loss
                mitigation or recovery actions (e.g., forbearance plans, modifications
                and
                deeds in lieu of foreclosure, foreclosures and repossessions, as
                applicable) are initiated, conducted and concluded in accordance
                with the
                timeframes or other requirements established by the transaction
                agreements. 

            	 	 	
              X

            

    

    

    
      
        
          
          

        

        
          O-3

          
            

          

        

        
          
          

        

      

    

    

    

    
      	
              Reg
                AB Reference

            	
              Servicing
                Criteria

            	
              Paying
                Agent

              (including
                the Trustee if acting as Paying Agent)

            	
              Trustee

            	
              Master
                Servicer

            
	
              1122(d)(4)(viii)

            	
              Records
                documenting collection efforts are maintained during the period a
                pool
                asset is delinquent in accordance with the transaction agreements.
                Such
                records are maintained on at least a monthly basis, or such other
                period
                specified in the transaction agreements, and describe the entity’s
                activities in monitoring delinquent mortgage loans including, for
                example,
                phone calls, letters and payment rescheduling plans in cases where
                delinquency is deemed temporary (e.g., illness or unemployment).
                

            	 	 	 
	
              1122(d)(4)(ix)

            	
              Adjustments
                to interest rates or rates of return for mortgage loans with variable
                rates are computed based on the related pool asset documents.
                

            	 	 	 
	
              1122(d)(4)(x)

            	
              Regarding
                any funds held in trust for an obligor (such as escrow accounts):
                (A) such
                funds are analyzed, in accordance with the obligor’s pool asset documents,
                on at least an annual basis, or such other period specified in the
                transaction agreements; (B) interest on such funds is paid, or credited,
                to obligors in accordance with applicable pool asset documents and
                state
                laws; and (C) such funds are returned to the obligor within 30 calendar
                days of full repayment of the related mortgage loans, or such other
                number
                of days specified in the transaction agreements. 

            	 	 	 
	
              1122(d)(4)(xi)

            	
              Payments
                made on behalf of an obligor (such as tax or insurance payments)
                are made
                on or before the related penalty or expiration dates, as indicated
                on the
                appropriate bills or notices for such payments, provided that such
                support
                has been received by the servicer at least 30 calendar days prior
                to these
                dates, or such other number of days specified in the transaction
                agreements. 

            	 	 	
               

            
	
              1122(d)(4)(xii)

            	
              Any
                late payment penalties in connection with any payment to be made
                on behalf
                of an obligor are paid from the Servicer’s funds and not charged to the
                obligor, unless the late payment was due to the obligor’s error or
                omission. 

            	 	 	
               

            
	
              1122(d)(4)(xiii)

            	
              Disbursements
                made on behalf of an obligor are posted within two business days
                to the
                obligor’s records maintained by the servicer, or such other number of days
                specified in the transaction agreements. 

            	 	 	
               

            
	
              1122(d)(4)(xiv)
                

            	
              Delinquencies,
                charge-offs and uncollectible accounts are recognized and recorded
                in
                accordance with the transaction agreements. 

            	 	 	
              X

            

    

    

    
      
        
          
          

        

        
          O-4

          
            

          

        

        
          
          

        

      

    

    

    

    
      	
              Reg
                AB Reference

            	
              Servicing
                Criteria

            	
              Paying
                Agent

              (including
                the Trustee if acting as Paying Agent)

            	
              Trustee

            	
              Master
                Servicer

            
	
              1122(d)(4)(xv)

            	
              Any
                external enhancement or other support, identified in Item 1114(a)(1)
                through (3) or Item 1115 of Regulation AB, is maintained as set forth
                in
                the transaction agreements. 

            	 	
              X

            	 

    

    

    

     

    

    

    

    

    

    
      
        
          
          

        

        
          O-5

          
            

          

        

        
          
          

        

      

    

    

    EXHIBIT
      P

    TRANSACTION
      PARTIES

     

    
      	
              Sponsor
                and Seller:

            	
              Lehman
                Brothers Holdings Inc.

            
	 	 
	
              Depositor:

            	
              Structured
                Asset Securities Corporation

            
	 	 
	
              Trustee:

            	
              LaSalle
                Bank National Association

            
	 	 
	
              Securities
                Administrator:

            	
              None

            
	 	 
	
              Master
                Servicer:

            	
              Aurora
                Loan Services LLC

            
	 	 
	
              Credit
                Risk Manager:

            	
              None

            
	 	 
	
              PMI
                Insurer(s):

            	
              Mortgage
                Guaranty Insurance Corporation and PMI Mortgage Insurance
                Co.

            
	 	 
	
              Interest
                Rate Swap Counterparty:

            	
              ABN
                AMRO Bank, N.V.

            
	 	 
	
              Interest
                Rate Cap Counterparty:

            	
              ABN
                AMRO Bank, N.V.

            
	 	 
	
              Primary
                Servicer(s):

            	
              Aurora
                Loan Services LLC, IndyMac Bank, F.S.B., Wells Fargo Bank, N.A. and
                GreenPoint Mortgage Funding, Inc.

            
	 	 
	
              Primary
                Originator(s):

            	
              Lehman
                Brothers Bank, FSB, IndyMac Bank, F.S.B., Wells Fargo Bank, N.A.
                and
                GreenPoint Mortgage Funding, Inc.

            
	 	 
	
              Custodian(s):

            	
              U.S.
                Bank National Association, LaSalle Bank National Association, Deutsche
                Bank National Trust Company and Wells Fargo Bank,
                N.A.

            

    

    

    

    

    

    
      
        
          
          

        

        
          P-1

          
            

          

        

        
          
          

        

      

    

    

    EXHIBIT
      Q

    

    Additional
      Form 10-D Disclosure

    

    

    
      	
              ADDITIONAL
                FORM 10-D DISCLOSURE

            
	
              Item
                on Form 10-D

            	
              Party
                Responsible 

            
	
              Item
                1: Distribution and Pool Performance Information

               

            	 
	
              Information
                included in the Monthly Statement

            	
              Master
                Servicer

              Servicer

              Trustee

            
	
              Any
                information required by 1121 which is NOT included on the Monthly
                Statement

            	
              Depositor

            
	
              Item
                2: Legal Proceedings

               

              Any
                legal proceeding pending against the following entities or their
                respective property, that is material to Certificateholders, including
                any
                proceeding known to be contemplated by governmental
                authorities:

            	 
	
              ▪
                Issuing Entity (Trust Fund)

            	
              Trustee,
                Master Servicer and Depositor

            
	
              ▪
                Sponsor (Seller)

            	
              Depositor

            
	
              ▪
                Depositor

            	
              Depositor

            
	
              ▪
                Trustee

            	
              Trustee

            
	
              ▪
                Master Servicer

            	
              Master
                Servicer

            
	
              ▪
                Custodian

            	
              Custodian

            
	
              ▪
                1110(b) Originator

            	
              Depositor

            
	
              ▪
                Any 1108(a)(2) Servicer (other than the Master Servicer or Securities
                Administrator)

            	
              Servicer

            
	
              ▪
                Any other party contemplated by 1100(d)(1)

            	
              Depositor

            
	
              Item
                3: Sale of Securities and Use of Proceeds

              Information
                from Item 2(a) of Part II of Form 10-Q:

               

              With
                respect to any sale of securities by the sponsor, depositor or issuing
                entity, that are backed by the same asset pool or are otherwise issued
                by
                the issuing entity, whether or not registered, provide the sales
                and use
                of proceeds information in Item 701 of Regulation S-K. Pricing information
                can be omitted if securities were not registered.

            	
              Depositor

            

    

    

    
      
        
          
          

        

        
          Q-1

          
            

          

        

        
          
          

        

      

    

    

    

    
      	
               

              Item
                4: Defaults Upon Senior Securities

               

              Information
                from Item 3 of Part II of Form 10-Q:

               

              Report
                the occurrence of any Event of Default (after expiration of any grace
                period and provision of any required notice)

            	
               

              Trustee

            
	
              Item
                5: Submission of Matters to a Vote of Security
                Holders

               

              Information
                from Item 4 of Part II of Form 10-Q

            	
              Trustee

            
	
              Item
                6: Significant Obligors of Pool Assets

               

              Item
                1112(b) - Significant
                Obligor Financial Information*

            	
              Depositor

            
	
              *This
                information need only be reported on the Form 10-D for the distribution
                period in which updated information is required pursuant to the
                Item.

            	 
	
              Item
                7: Significant Enhancement Provider Information

               

            	
              Depositor

            
	
              Item
                8: Other Information

               

              Disclose
                any information required to be reported on Form 8-K during the period
                covered by the Form 10-D but not reported

            	
               

               

               

              Any
                party responsible for the applicable Form 8-K Disclosure
                item

            
	
              Item
                9: Exhibits

            	 
	
              Monthly
                Statement to Certificateholders

            	
              Trustee

            
	
              Exhibits
                required by Item 601 of Regulation S-K, such as material
                agreements

            	
              Depositor

            

    

    

    

    
      
        
          
          

        

        
          Q-2

          
            

          

        

        
          
          

        

      

    

    

    EXHIBIT
      R

    

    Additional
      Form 10-K Disclosure

    

    

    
      	
              ADDITIONAL
                FORM 10-K DISCLOSURE

            
	
              Item
                on Form 10-K

            	
              Party
                Responsible 

            
	
              Item
                1B: Unresolved Staff Comments

               

            	
              Depositor

            
	
              Item
                9B: Other Information

              Disclose
                any information required to be reported on Form 8-K during the fourth
                quarter covered by the Form 10-K but not reported

            	
              Any
                party responsible for disclosure items on Form 8-K

            
	
              Item
                15: Exhibits, Financial Statement Schedules

            	
              Depositor

            
	
              Reg
                AB Item 1112(b): Significant Obligors of Pool
                Assets

            	 
	
              Significant
                Obligor Financial Information*

            	
              Depositor

            
	
              *This
                information need only be reported on the Form 10-K if updated information
                is required pursuant to the Item.

            	 
	
              Reg
                AB Item 1114(b)(2): Credit Enhancement Provider Financial
                Information

            	 
	
              ▪
                Determining applicable disclosure threshold

            	
              Depositor

            
	
              ▪
                Requesting required financial information (including any required
                accountants’ consent to the use thereof) or effecting incorporation by
                reference

            	
              Depositor

            
	
              *This
                information need only be reported on the Form 10-K if updated information
                is required pursuant to the Item.

            	
              Depositor

            
	
              Reg
                AB Item 1115(b): Derivative Counterparty Financial
                Information

            	 
	
              ▪
                Determining current maximum probable exposure

            	
              Depositor

            
	
              ▪
                Determining current significance percentage

            	
              Depositor

            
	
              ▪
                Requesting required financial information (including any required
                accountants’ consent to the use thereof) or effecting incorporation by
                reference

            	
              Depositor

            
	
              *This
                information need only be reported on the Form 10-K if updated information
                is required pursuant to the Item.

            	 
	
              Reg
                AB Item 1117: Legal Proceedings

               

              Any
                legal proceeding pending against the following entities or their
                respective property, that is material to Certificateholders, including
                any
                proceeding known to be contemplated by governmental
                authorities:

            	 

    

    

    
      
        
          
          

        

        
          R-1

          
            

          

        

        
          
          

        

      

    

    

    

    
      	
              ADDITIONAL
                FORM 10-K DISCLOSURE

            
	
              Item
                on Form 10-K

            	
              Party
                Responsible 

            
	
              ▪
                Issuing Entity (Trust Fund)

            	
              Trustee,
                Master Servicer and Depositor

            
	
              ▪
                Sponsor (Seller)

            	
              Depositor

            
	
              ▪
                Depositor

            	
              Depositor

            
	
              ▪
                Trustee

            	
              Trustee

            
	
              ▪
                Master Servicer

            	
              Master
                Servicer

            
	
              ▪
                Custodian

            	
              Custodian

            
	
              ▪
                1110(b) Originator

            	
              Depositor

            
	
              ▪
                Any 1108(a)(2) Servicer (other than the Master Servicer or Securities
                Administrator)

            	
              Servicer

            
	
              ▪
                Any other party contemplated by 1100(d)(1)

            	
              Depositor

            
	
              Reg
                AB Item 1119: Affiliations and Relationships

            	 
	
              Whether
                (a) the Sponsor (Seller), Depositor or Issuing Entity is an affiliate
                of
                the following parties, and (b) to the extent known and material,
                any of
                the following parties are affiliated with one another:

            	
              Depositor
                as to (a) 

              Sponsor/Seller
                as to (a)

            
	
              ▪
                Master Servicer

            	
              Master
                Servicer 

            
	
              ▪
                Trustee

            	
              Trustee

            
	
              ▪
                Any other 1108(a)(3) servicer

            	
              Servicer

            
	
              ▪
                Any 1110 Originator

            	
              Depositor/Sponsor

            
	
              ▪
                Any 1112(b) Significant Obligor

            	
              Depositor/Sponsor

            
	
              ▪
                Any 1114 Credit Enhancement Provider

            	
              Depositor/Sponsor

            
	
              ▪
                Any 1115 Derivate Counterparty Provider

            	
              Depositor/Sponsor

            
	
              ▪
                Any other 1101(d)(1) material party

            	
              Depositor/Sponsor

            
	
              Whether
                there are any “outside the ordinary course business arrangements” other
                than would be obtained in an arm’s length transaction between (a) the
                Sponsor (Seller), Depositor or Issuing Entity on the one hand, and
                (b) any
                of the following parties (or their affiliates) on the other hand,
                that
                exist currently or within the past two years and that are material
                to a
                Certificateholder’s understanding of the Certificates:

            	
              Depositor
                as to (a) 

              Sponsor/Seller
                as to (a)

            
	
              ▪
                Master Servicer

            	
              Master
                Servicer 

            
	
              ▪
                Trustee

            	
              Trustee

            
	
              ▪
                Any other 1108(a)(3) servicer

            	
              Servicer

            
	
              ▪
                Any 1110 Originator

            	
              Depositor/Sponsor

            
	
              ▪
                Any 1112(b) Significant Obligor

            	
              Depositor/Sponsor

            
	
              ▪
                Any 1114 Credit Enhancement Provider

            	
              Depositor/Sponsor

            

    

    

    
      
        
          
          

        

        
          R-2

          
            

          

        

        
          
          

        

      

    

    

    

    
      	
              ADDITIONAL
                FORM 10-K DISCLOSURE

            
	
              Item
                on Form 10-K

            	
              Party
                Responsible 

            
	
              ▪
                Any 1115 Derivate Counterparty Provider

            	
              Depositor/Sponsor

            
	
              ▪
                Any other 1101(d)(1) material party

            	
              Depositor/Sponsor

            
	
              Whether
                there are any specific relationships involving the transaction or
                the pool
                assets between (a) the Sponsor (Seller), Depositor or Issuing Entity
                on
                the one hand, and (b) any of the following parties (or their affiliates)
                on the other hand, that exist currently or within the past two years
                and
                that are material:

            	
              Depositor
                as to (a) 

              Sponsor/Seller
                as to (a)

            
	
              ▪
                Master Servicer

            	
              Master
                Servicer 

            
	
              ▪
                Trustee

            	
              Trustee

            
	
              ▪
                Any other 1108(a)(3) servicer

            	
              Servicer

            
	
              ▪
                Any 1110 Originator

            	
              Depositor/Sponsor

            
	
              ▪
                Any 1112(b) Significant Obligor

            	
              Depositor/Sponsor

            
	
              ▪
                Any 1114 Credit Enhancement Provider

            	
              Depositor/Sponsor

            
	
              ▪
                Any 1115 Derivate Counterparty Provider

            	
              Depositor/Sponsor

            
	
              ▪
                Any other 1101(d)(1) material party

            	
              Depositor/Sponsor

            

    

    

    

    
      
        
          
          

        

        
          R-3

          
            

          

        

        
          
          

        

      

    

    

    EXHIBIT
      S

    

    Form
      8-K
      Disclosure Information

    

    

    
      	
              FORM
                8-K DISCLOSURE INFORMATION

            
	
              Item
                on Form 8-K

            	
              Party
                Responsible 

            
	
              Item
                1.01- Entry into a Material Definitive Agreement

               

              Disclosure
                is required regarding entry into or amendment of any definitive agreement
                that is material to the securitization, even if depositor is not
                a party.
                

               

              Examples:
                servicing agreement, custodial agreement.

               

              Note:
                disclosure not required as to definitive agreements that are fully
                disclosed in the prospectus

            	
              All
                parties

            
	
              Item
                1.02- Termination of a Material Definitive Agreement

               

              Disclosure
                is required regarding termination of any definitive agreement that
                is
                material to the securitization (other than expiration in accordance
                with
                its terms), even if depositor is not a party. 

               

              Examples:
                servicing agreement, custodial agreement.

            	
              All
                parties

            
	
              Item
                1.03- Bankruptcy or Receivership

               

              Disclosure
                is required regarding the bankruptcy or receivership, with respect
                to any
                of the following: 

            	
              Depositor

            
	
              ▪
                Sponsor (Seller)

            	
              Depositor/Sponsor
                (Seller)

            
	
              ▪
                Depositor

            	
              Depositor

            
	
              ▪
                Master Servicer

            	
              Master
                Servicer

            
	
              ▪
                Affiliated Servicer

            	
              Servicer

            
	
              ▪
                Other Servicer servicing 20% or more of the pool assets at the time
                of the
                report

            	
              Servicer

            
	
              ▪
                Other material servicers

            	
              Servicer

            
	
              ▪
                Trustee

            	
              Trustee

            
	
              ▪
                Significant Obligor

            	
              Depositor

            
	
              ▪
                Credit Enhancer (10% or more)

            	
              Depositor

            
	
              ▪
                Derivative Counterparty

            	
              Depositor

            

    

    

    
      
        
          
          

        

        
          S-1

          
            

          

        

        
          
          

        

      

    

    

    

    
      	
              FORM
                8-K DISCLOSURE INFORMATION

            
	
              Item
                on Form 8-K

            	
              Party
                Responsible 

            
	
              ▪
                Custodian

            	
              Custodian

            
	
              Item
                2.04- Triggering Events that Accelerate or Increase a Direct Financial
                Obligation or an Obligation under an Off-Balance Sheet
                Arrangement

               

              Includes
                an early amortization, performance trigger or other event, including
                event
                of default, that would materially alter the payment priority/distribution
                of cash flows/amortization schedule.

               

              Disclosure
                will be made of events other than waterfall triggers which are disclosed
                in the monthly statements to the certificateholders.

            	
              Depositor

              Master
                Servicer

              Trustee

            
	
              Item
                3.03- Material Modification to Rights of Security
                Holders

               

              Disclosure
                is required of any material modification to documents defining the
                rights
                of Certificateholders, including the Pooling and Servicing
                Agreement.

            	
              Trustee

              Depositor

            
	
              Item
                5.03- Amendments of Articles of Incorporation or Bylaws; Change of
                Fiscal
                Year

              Disclosure
                is required of any amendment “to the governing documents of the issuing
                entity”.

            	
              Depositor

            
	
              Item
                6.01- ABS Informational and Computational
                Material

            	
              Depositor

            
	
              Item
                6.02- Change of Servicer or Securities Administrator

               

              Requires
                disclosure of any removal, replacement, substitution or addition
                of any
                master servicer, affiliated servicer, other servicer servicing 10%
                or more
                of pool assets at time of report, other material servicers or
                trustee.

            	
              Master
                Servicer/Depositor/

              Servicer/Trustee

            
	
              Reg
                AB disclosure about any new servicer or master servicer is also
                required.

            	
              Servicer/Master
                Servicer/Depositor

            
	
              Reg
                AB disclosure about any new Trustee is also required.

            	
              Trustee

            
	
              Item
                6.03- Change in Credit Enhancement or External
                Support

              Covers
                termination of any enhancement in manner other than by its terms,
                the
                addition of an enhancement, or a material change in the enhancement
                provided. Applies to external credit enhancements as well as derivatives.
                

            	
              Depositor/Trustee

            

    

    

    
      
        
          
          

        

        
          S-2

          
            

          

        

        
          
          

        

      

    

    

    

    
      	
              FORM
                8-K DISCLOSURE INFORMATION

            
	
              Item
                on Form 8-K

            	
              Party
                Responsible 

            
	
              Reg
                AB disclosure about any new enhancement provider is also
                required.

            	
              Depositor

            
	
              Item
                6.04- Failure to Make a Required Distribution

            	
              Trustee

            
	
              Item
                6.05- Securities Act Updating Disclosure

               

              If
                any material pool characteristic differs by 5% or more at the time
                of
                issuance of the securities from the description in the final prospectus,
                provide updated Reg AB disclosure about the actual asset
                pool.

            	
              Depositor

            
	
              If
                there are any new servicers or originators required to be disclosed
                under
                Regulation AB as a result of the foregoing, provide the information
                called
                for in Items 1108 and 1110 respectively.

            	
              Depositor

            
	
              Item
                7.01- Reg FD Disclosure

            	
              All
                parties

            
	
              Item
                8.01- Other Events

               

              Any
                event, with respect to which information is not otherwise called
                for in
                Form 8-K, that the registrant deems of importance to
                certificateholders.

            	
              Depositor

            
	
              Item
                9.01- Financial Statements and Exhibits

            	
              Responsible
                party for reporting/disclosing the financial statement or
                exhibit

            

    

    

    

     

    

    
      
        
          
          

        

        
          S-3

          
            

          

        

        
          
          

        

      

    

    

    SCHEDULE
      A

    

    MORTGAGE
      LOAN SCHEDULE

    

    [On
      file
      with McKee Nelson LLP]

    

    

    
      
        
          
          

        

        
          Schedule
            A

          
            

          

        

        
          
          

        

      

    

    

    SCHEDULE
      B

    

    FIRST
      PAYMENT DEFAULT MORTGAGE LOANS 

    

    [On
      file
      with McKee Nelson LLP]

    

    

    
      
        
          
          

        

        
          Schedule
            B

          
            

          

        

        
          
          

        

      

    

    

    ANNEX
      5A.02

    

    DISTRIBUTIONS
      FROM THE CERTIFICATE ACCOUNT 

    TO
      THE
      GROUP 1 CERTIFICATES

    

    Section
      5A.02. Distributions
      from the Certificate Account to the Group 1 Certificates.
      

    

    (a)
       On
      each
      Distribution Date on or prior to a Section 7.01(d) Purchase Event, a Pool 1A-1B
      Termination Event, the Trustee (or the Paying Agent on behalf of the Trustee)
      shall withdraw from the Certificate Account the Total Distribution Amount for
      Pool 1A and Pool 1B (to the extent such amount is on deposit in the Certificate
      Account) and amounts that are available for payment to the Swap Counterparty
      in
      accordance with the Group 1 Swap Agreement and shall allocate such amounts
      to
      the interests issued in respect of each REMIC created pursuant to this Agreement
      and shall distribute such amounts as specified in subparagraphs (b) through
      (g)
      and (l) of this Section 5A.02; provided,
      that
      amounts that are available for payment to the Swap Counterparty shall be paid
      on
      the related Swap Payment Date. On each Distribution Date after a Section 7.01(d)
      Purchase Event but on or prior to a Pool 1A-1B Termination Event, the Trustee
      (or the Paying Agent on behalf of the Trustee) shall withdraw from the
      Certificate Account the Total Distribution Amount for Pool 1A and Pool 1B (to
      the extent such amount is on deposit in the Certificate Account), and amounts
      that are available for payment to the Swap Counterparty in accordance with
      the
      Group 2 Swap Agreement, and shall allocate such amount to the interests issued
      in respect of each REMIC created pursuant to this Agreement and shall distribute
      such amount as specified in subparagraphs (h) through (k) of this Section 5A.02;
      provided,
      that
      amounts that are available for payment to the Swap Counterparty shall be paid
      on
      the related Swap Payment Date. All allocations and distributions made between
      and with respect to Pool 1A and Pool 1B in this Section 5A.02 shall be made
      concurrently.

     

    (b)
       On
      each
      Distribution Date on or prior to a Section 7.01(d) Purchase Event related to
      the
      Pooling REMIC 1 Regular Interest (or, with respect to clauses (i) and (ii)
      below, on the related Swap Payment Date), the Trustee (or the Paying Agent
      on
      behalf of the Trustee) shall distribute the Interest Remittance Amount for
      Pool
      1A for such date in the following order of priority:

     

    (i)
       for
      deposit into the Group 1 Swap Account, the Group 1A Swap Percentage of any
      Net
      Swap Payment or Swap Termination Payment (not due to a Swap Counterparty Trigger
      Event) owed to the Swap Counterparty (including amounts remaining unpaid from
      previous Distribution Dates);

     

    (ii)
       for
      deposit into the Group 1 Swap Account, the amount of any Net Swap Payment or
      Swap Termination Payment (not due to a Swap Counterparty Trigger Event) owed
      to
      the Swap Counterparty to the extent not paid previously from the Interest
      Remittance Amount for Pool 1B pursuant to Section 5A.02(c)(i)
      below;

     

    (iii)
       concurrently, to
      the
      Group 1A Senior Certificates, pro
      rata,
      Current
      Interest and any Carryforward Interest for such Classes for such Distribution
      Date; provided,
      however,
      that
      any shortfall in Current Interest and Carryforward Interest shall be allocated
      among such Classes in proportion to the amount of Current Interest and
      Carryforward Interest that would otherwise be distributable thereon;
      and

     

    

    
      
        
          
          

        

        
          Annex
            5A.02

          
            

          

        

        
          
          

        

      

    

    

    

     

    (iv)
       for
      application pursuant to Section 5A.02(e) below, as part of Pool 1A-1B Monthly
      Excess Cashflow for such Distribution Date, any Pool 1A Interest Remittance
      Amount remaining undistributed after application pursuant clauses (i) through
      (iii) of this Section 5A.02(b).

     

    (c)
       On
      each
      Distribution Date on or prior to a Section 7.01(d) Purchase Event related to
      the
      Pooling REMIC 1 Regular Interests (or, with respect to clauses (i) and (ii)
      below, on the related Swap Payment Date), the Trustee (or the Paying Agent
      on
      behalf of the Trustee) shall distribute the Interest Remittance Amount for
      Pool
      1B for such date in the following order of priority: 

     

    (i)
       for
      deposit into the Group 1 Swap Account, the Group 1B Swap Percentage of any
      Net
      Swap Payment or Swap Termination Payment (not due to a Swap Counterparty Trigger
      Event) owed to the Swap Counterparty (including amounts remaining unpaid from
      previous Distribution Dates);

     

    (ii)
       for
      deposit into the Group 1 Swap Account, the amount of any Net Swap Payment or
      Swap Termination Payment (not due to a Swap Counterparty Trigger Event) owed
      to
      the Swap Counterparty to the extent not paid previously from the Interest
      Remittance Amount for Pool 1A pursuant to Section 5A.02(b)(i)
      above;

     

    (iii)
       concurrently, to
      the
      Group 1B Senior Certificates, pro
      rata,
      Current
      Interest and any Carryforward Interest for such Classes for such Distribution
      Date; provided,
      however,
      that
      any shortfall in Current Interest and Carryforward Interest shall be allocated
      among such Classes in proportion to the amount of Current Interest and
      Carryforward Interest that would otherwise be distributable thereon;
      and

     

    (iv)
       for
      application pursuant to Section 5A.02(e) below, as part of Pool 1A-1B Monthly
      Excess Cashflow for such Distribution Date, any Pool 1B Interest Remittance
      Amount remaining undistributed after application pursuant clauses (i) through
      (iii) of this Section 5A.02(c).

     

    (d)
       On
      each
      Distribution Date or related Swap Payment Date on or prior to a Section 7.01(d)
      Purchase Event related to the Pooling REMIC 1 Regular Interests, the Trustee
      (or
      the Paying Agent on behalf of the Trustee) shall distribute the Principal
      Distribution Amount for each of Pool 1A and Pool 1B for such date concurrently,
      as follows:

     

    (i)
       On
      each
      Distribution Date (or, with respect to clause (A)(1), (A)(2), (B)(1), and (B)(2)
      below of this Section 5A.02(d)(i), on the related Swap Payment Date) (a) prior
      to the Pool 1A-1B Stepdown Date or (b) on or after the Pool 1A-1B Stepdown
      Date
      and with respect to which a Pool 1A-1B Trigger Event is in effect, until the
      aggregate Certificate Principal Amount of the Group 1 Certificates equals the
      Pool 1A-1B Target Amount for such Distribution Date, the Trustee (or the Paying
      Agent on behalf of the Trustee) shall make the following distributions,
      concurrently:

     

    
       

      
        
          
          

        

        
          Annex
            5A.02

          
            

          

        

        
          
          

        

      

     

    (A)
       For
      Pool 1A:
      The
      Principal Distribution Amount for Pool 1A shall be distributed in the following
      order of priority:

     

    (1)
       for
      deposit into the Group 1 Swap Account, any Net Swap Payment or Swap Termination
      Payment (not due to a Swap Counterparty Trigger Event) owed to the Swap
      Counterparty (to the extent not deposited previously from the Interest
      Remittance Amount for Pool 1A pursuant to Sections 5A.02(b)(i) and (ii) above
      and from the Interest Remittance Amount for Pool 1B pursuant to Sections
      5A.02(c)(i) and (ii) above;

     

    (2)
       for
      deposit into the Group 1 Swap Account, the amount of any Net Swap Payment or
      Swap Termination Payment (not due to a Swap Counterparty Trigger Event) owed
      to
      the Swap Counterparty to the extent not paid previously from the Interest
      Remittance Amount for Pool 1A pursuant to Sections 5A.02(b)(i) and (ii) above
      and from the Interest Remittance Amount for Pool 1B pursuant to and Sections
      5A.02(c)(i) and (ii) above, pursuant to Section 5A.02(d)(i)(A)(1) above and
      from
      the Principal Distribution Amount for Pool 1B pursuant to Section
      5A.02(d)(i)(B)(1) below;

     

    (3)
       concurrently,
      on a pro
      rata
      basis,
      to the Class 1A-A1 and Class 1A-A2 Certificates, in proportion to their
      aggregate Class Principal Amounts, until the Class Principal Amount of each
      such
      class has been reduced to zero;

     

    (4)
       to
      the
      Group 1B Senior Certificates, after giving effect to distributions pursuant
      to
      Section 5A.02(d)(i)(B)(3) below, in accordance with the Group 1B Senior
      Priority, until the Class Principal Amount of each such Class has been reduced
      to zero; and

     

    (5)
       for
      application pursuant to Section 5A.02(d)(i)(C) below, any Principal Distribution
      Amount remaining after application pursuant to clauses (1) through (4) above.
      

     

    (B)
       For
      Pool 1B:
      The
      Principal Distribution Amount for Pool 1B shall be distributed in the following
      order of priority:

     

    (1)
       for
      deposit into the Group 1 Swap Account, the Group 1B Swap Percentage of any
      Net Swap Payment or Swap Termination Payment (not due to a Swap Counterparty
      Trigger Event) owed to the Swap Counterparty on the related Swap Payment Date
      to
      the extent not distributed previously from the Interest Remittance Amount for
      Pool 1A pursuant to Sections 5A.02(b)(i) and (ii) above and from the Interest
      Remittance Amount for Pool 1B pursuant to Sections 5A.02(c)(i) and (ii)
      above;

     

    (2)
       for
      deposit into the Group 1 Swap Account, the amount of any Net Swap Payment or
      Swap Termination Payment (not due to a Swap Counterparty Trigger Event) owed
      to
      the Swap Counterparty on the related Swap Payment Date to the extent not paid
      previously from the Interest Remittance Amount for Pool 1A pursuant to Sections
      5A.02(b)(i) and (ii) above and from the Interest Remittance Amount for Pool
      1B
      pursuant to and Sections 5A.02(c)(i) and (ii) above, pursuant to Section
      5A.02(d)(i)(B)(1) above and from the Principal Distribution Amount for Pool
      1
      pursuant to Section 5A.02(d)(i)(A)(1) above;

    
       

      
        
          
          

        

        
          Annex
            5A.02

          
            

          

        

        
          
          

        

      

     

    (3)
       concurrently,
      on a pro
      rata
      basis,
      to the Class 1B-A1, Class 1B-A2 and Class 1B-A2 Certificates, in proportion
      to
      their aggregate Class Principal Amounts, until the Class Principal Amount of
      each such class has been reduced to zero;

     

    (4)
       to
      the
      Group 1A Senior Certificates, after giving effect to distributions pursuant
      to Section 5A.02(d)(i)(A)(3) above, in accordance with the Group 1A Senior
      Priority, until the Class Principal Amount of each such Class has been reduced
      to zero; and

     

    (5)
       for
      application pursuant to Section 5A.02(d)(i)(C) below, any Principal Distribution
      Amount remaining after application pursuant to clauses (1) through (4)
      above;

     

    (C)
       On
      each
      Distribution Date, the Trustee (or the Paying Agent on behalf of the Trustee)
      will distribute the aggregate of any remaining Principal Distribution Amounts
      from Sections 5A.02(d)(i)(A)(5) and (B)(5) above, in the following order of
      priority:

     

    (1)
       to
      the
      Group 1 Subordinate Certificates, in accordance with the Group 1 Subordinate
      Priority, until the Class Principal Amount of each such Class has been reduced
      to zero; and

     

    (2)
       for
      application as part of Pool 1A-1B Monthly Excess Cashflow for such Distribution
      Date, as provided in Section 5A.02(e), any Principal Distribution Amount from
      Pool 1A and Pool 1B remaining after clause (1) above.

     

    (ii)
       On
      each
      Distribution Date (or, with respect to clauses (A) and (B) below, on the related
      Swap Payment Date) (a) on or after the Pool 1A-1B Stepdown Date and (b) with
      respect to which a Pool 1A-1B Trigger Event is not in effect, the Trustee (or
      the Paying Agent on behalf of the Trustee) shall distribute Principal
      Distribution Amount for each of Pool 1A and Pool 1B, concurrently, in the
      following order of priority:

     

    (A)
       from
      the
      Principal Distribution Amount for each of Pool 1A and Pool 1B, for deposit
      into
      the Group 1 Swap Account, any Net Swap Payment or Swap Termination Payment
      (not
      due to a Swap Counterparty Trigger Event) owed to the Swap Counterparty on
      the
      related Swap Payment Date to the extent not distributed previously from the
      Interest Remittance Amount for Pool 1A pursuant to Sections 5A.02(b)(i) and
      (ii)
      above and from the Interest Remittance Amount for Pool 1B pursuant to Sections
      5A.02(c)(i) and (ii) above;

     

    
       

      
        
          
          

        

        
          Annex
            5A.02

          
            

          

        

        
          
          

        

      

     

    (B)
       from
      the
      Principal Distribution Amount for each of Pool 1A and Pool 1B, for deposit
      into
      the Group 1 Swap Account, the portion of any Net Swap Payment or Swap
      Termination Payment (not due to a Swap Counterparty Trigger Event) owed to
      the
      Swap Counterparty on the related Swap Payment Date (after giving effect to
      the
      distributions pursuant to Section 5A.02(d)(ii)(A) above), from the unrelated
      Mortgage Pool to the extent not distributed previously from the Interest
      Remittance Amount for Pool 1A pursuant to Sections 5A.02(b)(i) and (ii) above
      and from the Interest Remittance Amount for Pool 2 pursuant to Sections
      5A.02(c)(i) and (ii) above;

     

    (C)
       
      so long
      as any of the Group 1 Subordinate Certificates are outstanding, to the Group
      1A
      Senior Certificates (from amounts generated by Pool 1A) and to the Group 1B
      Senior Certificates (from amounts generated by Pool 1B), in each case in
      accordance with the Group 1A Senior Priority or Group 1B Senior Priority, as
      applicable, in an amount equal to the lesser of (x) the excess, if any, of
      (a)
      the Principal Distribution Amount for the related Mortgage Pool for such
      Distribution Date over (b) the amount paid to the Supplemental Interest Trust
      for deposit into the Group 1 Swap Account on the related Swap Payment Date
      pursuant to clauses (A) and (B) above and (y) the Related Senior Principal
      Distribution Amount for the related Mortgage Pool for such Distribution Date,
      in
      each case, until the Class Principal Amount of each such Class has been reduced
      to zero; provided,
      however,
      to the
      extent that the Principal Distribution Amount for a Mortgage Pool exceeds the
      Pool 1A-1B Senior Principal Distribution Amount for such Mortgage Pool, such
      excess shall be applied to the Senior Certificates related to the other Mortgage
      Pool (in accordance with the Group 1A Senior Priority or Group 1B Senior
      Priority, as applicable), but in an amount not to exceed the Pool 1A-1B Senior
      Principal Distribution Amount for such Distribution Date (as reduced by any
      distributions pursuant to subclauses (x) or (y) of this clause (1) on such
      Distribution Date); or (2) if none of the Group 1 Subordinate Certificates
      are
      outstanding, to the Group 1A Senior Certificates and the Group 1B Senior
      Certificates (in each case in accordance with the Group 1A Senior Priority
      or
      Group 1B Senior Priority, as applicable), the excess of (A) the Principal
      Distribution Amount for the related Mortgage Pool for such Distribution Date
      over (B) the amount paid to the Supplemental Interest Trust for deposit into
      the
      Group 1 Swap Account for the related Mortgage Pool on the related Swap Payment
      Date pursuant to clauses (A) and (B) above, in each case until the Class
      Principal Amount of each such Class has been reduced to zero;

     

    (D)
       to
      the
      Class 1-M1 Certificates, an amount equal to the lesser of (x) the excess, if
      any, of (a) the aggregate of the Principal Distribution Amounts for Pool 1A
      and
      Pool 1B for such Distribution Date over (b) the amount paid to the Supplemental
      Interest Trust for deposit into the Group 1 Swap Account or distributed to
      the
      Group 1A Senior Certificates and the Group 1B Senior Certificates on such date
      pursuant to clauses (A) through (C) above, and (y) the 1-M1 Principal
      Distribution Amount for such date, until the Class Principal Amount of such
      Class has been reduced to zero;

     

    
       

      
        
          
          

        

        
          Annex
            5A.02

          
            

          

        

        
          
          

        

      

     

    (E)
       to
      the
      Class 1-M2 Certificates, an amount equal to the lesser of (x) the excess, if
      any, of (a) the aggregate of the Principal Distribution Amounts for Pool 1A
      and
      Pool 1B for such Distribution Date over (b) the amount paid to the Supplemental
      Interest Trust for deposit into the Group 1 Swap Account or distributed to
      the
      Group 1A Senior Certificates, the Group 1B Senior Certificates and the Class
      1-M1 Certificates on such date pursuant to clauses (A) through (D) above, and
      (y) the 1-M2 Principal Distribution Amount for such date, until the Class
      Principal Amount of such Class has been reduced to zero;

     

    (F)
       to
      the
      Class 1-M3 Certificates, an amount equal to the lesser of (x) the excess, if
      any, of (a) the aggregate of the Principal Distribution Amounts for Pool 1A
      and
      Pool 1B for such Distribution Date over (b) the amount paid to the Supplemental
      Interest Trust for deposit into the Group 1 Swap Account or distributed to
      the
      Group 1A Senior Certificates, the Group 1B Senior Certificates and the Class
      1-M1 and Class 1-M2 Certificates on such date pursuant to clauses (A) through
      (E) above, and (y) the 1-M3 Principal Distribution Amount for such date, until
      the Class Principal Amount of such Class has been reduced to zero;

     

    (G)
       to
      the
      Class 1-M4 Certificates, an amount equal to the lesser of (x) the excess, if
      any, of (a) the aggregate of the Principal Distribution Amounts for Pool 1A
      and
      Pool 1B for such Distribution Date over (b) the amount paid to the Supplemental
      Interest Trust for deposit into the Group 1 Swap Account or distributed to
      the
      Group 1A Senior Certificates, the Group 1B Senior Certificates and the Class
      1-M1, Class 1-M2 and Class 1-M3 Certificates on such date pursuant to clauses
      (A) through (F) above, and (y) the 1-M4 Principal Distribution Amount for such
      date, until the Class Principal Amount of such Class has been reduced to
      zero;

     

    (H)
       to
      the
      Class 1-M5 Certificates, an amount equal to the lesser of (x) the excess, if
      any, of (a) the aggregate of the Principal Distribution Amounts for Pool 1A
      and
      Pool 1B for such Distribution Date over (b) the amount paid to the Supplemental
      Interest Trust for deposit into the Group 1 Swap Account or distributed to
      the
      Group 1A Senior Certificates, the Group 1B Senior Certificates and the Class
      1-M1, Class 1-M2, Class 1-M3 and Class 1-M4 Certificates on such date pursuant
      to clauses (A) through (G) above, and (y) the 1-M5 Principal Distribution Amount
      for such date, until the Class Principal Amount of such Class has been reduced
      to zero;

     

    (I)
       to
      the
      Class 1-M6 Certificates, an amount equal to the lesser of (x) the excess, if
      any, of (a) the aggregate of the Principal Distribution Amounts for Pool 1A
      and
      Pool 1B for such Distribution Date over (b) the amount paid to the Supplemental
      Interest Trust for deposit into the Group 1 Swap Account or distributed to
      the
      Group 1A Senior Certificates, the Group 1B Senior Certificates and the Class
      1-M1, Class 1-M2, Class 1-M3, Class 1-M4 and Class 1-M5 Certificates on such
      date pursuant to clauses (A) through (H) above, and (y) the 1-M6 Principal
      Distribution Amount for such date, until the Class Principal Amount of such
      Class has been reduced to zero;

     

    
       

      
        
          
          

        

        
          Annex
            5A.02

          
            

          

        

        
          
          

        

      

     

    (J)
       to
      the
      Class 1-M7 Certificates, an amount equal to the lesser of (x) the excess, if
      any, of (a) the aggregate of the Principal Distribution Amounts for Pool 1A
      and
      Pool 1B for such Distribution Date over (b) the amount paid to the Supplemental
      Interest Trust for deposit into the Group 1 Swap Account or distributed to
      the
      Group 1A Senior Certificates, the Group 1B Senior Certificates and the Class
      1-M1, Class 1-M2, Class 1-M3, Class 1-M4, Class 1-M5 and Class 1-M6 Certificates
      on such date pursuant to clauses (A) through (I) above, and (y) the 1-M7
      Principal Distribution Amount for such date, until the Class Principal Amount
      of
      such Class has been reduced to zero; and

     

    (K)
       to
      the
      Class 1-M8 Certificates, an amount equal to the lesser of (x) the excess, if
      any, of (a) the aggregate of the Principal Distribution Amounts for Pool 1A
      and
      Pool 1B for such Distribution Date over (b) the amount paid to the Supplemental
      Interest Trust for deposit into the Group 1 Swap Account or distributed to
      the
      Group 1A Senior Certificates, the Group 1B Senior Certificates and the Class
      1-M1, Class 1-M2, Class 1-M3, Class 1-M4, Class 1-M5, Class 1-M6 and Class
      1-M7
      Certificates on such date pursuant to clauses (A) through (J) above, and (y)
      the
      1-M8 Principal Distribution Amount for such date, until the Class Principal
      Amount of such Class has been reduced to zero; and

     

    (L)
       for
      application as part of Pool 1A-1B Monthly Excess Cashflow for such Distribution
      Date, as provided in Section 5A.02(e), any Principal Distribution Amount
      remaining from Pool 1A and Pool 1B after application pursuant to clauses (A)
      through (K) above;

     

    (e)
       On
      each
      Distribution Date, the Trustee shall distribute the sum of Pool 1A Monthly
      Excess Interest and Pool 1B Monthly Excess Interest for such Distribution Date,
      together with any payments received under the Group 1 Cap Agreement pursuant
      to
      Section 5A.02(f) and the Group 1 Swap Agreement pursuant to Section 5A.02(g)
      in
      the case of distributions pursuant to clause (iv) below, in the following order
      of priority:

     

    (i)
       for
      each
      Distribution Date, to the Group 1 Certificates after application of the Interest
      Remittance Amount and the Principal Distribution Amount for each of Pool 1A
      and
      Pool 1B, in the following order of priority;

     

    (A)
       concurrently,
      on a pro
      rata
      basis,
      based on amounts due, to the Group 1A Senior Certificates and Group 1B Senior
      Certificates, any Current Interest and Carryforward Interest for such Classes
      for such Distribution Date, to the extent unpaid after distributions pursuant
      to
      Section 5A.02(b)(iii) and Section 5A.02(c)(iii), respectively; provided,
      however,
      that
      any shortfall in Current Interest and Carryforward Interest will be allocated
      among such Classes in proportion to the amount of Current Interest and
      Carryforward Interest that would otherwise be distributable
      thereon;

     

    (B)
       to
      the
      Group 1 Subordinate Certificates, in accordance with the Group 1 Subordinate
      Priority, Current Interest and any Carryforward Interest for each such Class
      on
      such Distribution Date; and

     

    
       

      
        
          
          

        

        
          Annex
            5A.02

          
            

          

        

        
          
          

        

      

     

    (C)
       to
      the
      Trustee, any amounts reimbursable pursuant to Section 4.04(b)(i) and not
      previously reimbursed to the Trustee;

     

    (ii)
       for
      each
      Distribution Date occurring (a) before the Pool 1A-1B Stepdown Date or (b)
      on or
      after the Pool 1A-1B Stepdown Date but for which a Pool 1A-1B Trigger Event
      is
      in effect, then until the aggregate Certificate Principal Amount of the Group
      1
      Certificates equals the Pool 1A-1B Target Amount, in reduction of the Class
      Principal Amounts of the Group 1 Certificates in the following order of
      priority:

     

    (A)
       concurrently,
      to the Group 1A Senior Certificates and the Group 1B Senior Certificates, in
      proportion to the aggregate Class Principal Amount of the Senior Certificates
      related to each Group, in each case in accordance with the Group 1A Senior
      Priority or Group 1B Senior Priority, as applicable, in reduction of their
      respective Class Principal Amounts, until the Class Principal Amount of each
      such Class has been reduced to zero; and

     

    (B)
       to
      the
      Group 1 Subordinate Certificates, in accordance with the Group 1 Subordinate
      Priority, in reduction of their Class Principal Amounts, until the Class
      Principal Amount of each such Class has been reduced to zero; 

     

    (iii)
       for
      each
      Distribution Date occurring on or after the Pool 1A-1B Stepdown Date and for
      which a Pool 1A-1B Trigger Event is not in effect, in the following order of
      priority:

     

    (A)
       concurrently,
      to the Group 1A Senior Certificates and the Group 1B Senior Certificates, in
      proportion to the aggregate Class Principal Amount of the Senior Certificates
      related to each such Group, in each case in accordance with the Group 1A Senior
      Priority or Group 1B Senior Priority, as applicable, in reduction of their
      respective Class Principal Amounts, until the aggregate Class Principal Amount
      of each such Class, after giving effect to previous principal distributions
      on
      such Distribution Date pursuant to Section 5A.02(d)(ii) above, equals the Pool
      1A-1B Senior Target Amount; 

     

    (B)
       to
      the
      Class 1-M1 Certificates, in reduction of their Class Principal Amount, until
      the
      aggregate Class Principal Amount of the Group 1A Senior Certificates, Group
      1B
      Senior Certificates and Class 1-M1 Certificates, after giving effect to
      distributions on such Distribution Date, equals the 1-M1 Target
      Amount;

     

    (C)
       to
      the
      Class 1-M2 Certificates, in reduction of their Class Principal Amount, until
      the
      aggregate Class Principal Amount of the Group 1A Senior Certificates, Group
      1B
      Senior Certificates and Class 1-M1 and Class 1-M2 Certificates, after giving
      effect to distributions on such Distribution Date, equals the 1-M2 Target
      Amount;

     

    (D)
       to
      the
      Class 1-M3 Certificates, in reduction of their Class Principal Amount, until
      the
      aggregate Class Principal Amount of the Group 1A Senior Certificates, Group
      1B
      Senior Certificates and Class 1-M1, Class 1-M2 and Class 1-M3 Certificates,
      after giving effect to distributions on such Distribution Date, equals the
      1-M3
      Target Amount;

     

    
       

      
        
          
          

        

        
          Annex
            5A.02

          
            

          

        

        
          
          

        

      

     

    (E)
       to
      the
      Class 1-M4 Certificates, in reduction of their Class Principal Amount, until
      the
      aggregate Class Principal Amount of the Group 1A Senior Certificates, Group
      1B
      Senior Certificates and Class 1-M1, Class 1-M2, Class 1-M3 and Class 1-M4
      Certificates, after giving effect to distributions on such Distribution Date,
      equals the 1-M4 Target Amount;

     

    (F)
       to
      the
      Class 1-M5 Certificates, in reduction of their Class Principal Amount, until
      the
      aggregate Class Principal Amount of the Group 1A Senior Certificates, Group
      1B
      Senior Certificates and Class 1-M1, Class 1-M2, Class 1-M3, Class 1-M4 and
      Class
      1-M5 Certificates, after giving effect to distributions on such Distribution
      Date, equals the 1-M5 Target Amount;

     

    (G)
       to
      the
      Class 1-M6 Certificates, in reduction of their Class Principal Amount, until
      the
      aggregate Class Principal Amount of the Group 1A Senior Certificates, Group
      1B
      Senior Certificates and Class 1-M1, Class 1-M2, Class 1-M3, Class 1-M4 and
      Class
      1-M5 Certificates, after giving effect to distributions on such Distribution
      Date, equals the 1-M6 Target Amount;

     

    (H)
       to
      the
      Class 1-M7 Certificates, in reduction of their Class Principal Amount, until
      the
      aggregate Class Principal Amount of the Group 1A Senior Certificates, Group
      1B
      Senior Certificates and Class 1-M1, Class 1-M2, Class 1-M3, Class 1-M4, Class
      1-M5 and Class 1-M6 Certificates, after giving effect to distributions on such
      Distribution Date, equals the 1-M7 Target Amount; and

     

    (I)
       to
      the
      Class 1-M8 Certificates, in reduction of their Class Principal Amount, until
      the
      aggregate Class Principal Amount of the Group 1A Senior Certificates, Group
      1B
      Senior Certificates and Class 1-M1, Class 1-M2, Class 1-M3, Class 1-M4, Class
      1-M5, Class 1-M6 and Class 1-M7 Certificates, after giving effect to
      distributions on such Distribution Date, equals the 1-M8 Target
      Amount;

     

    (iv)
       to
      the
      Pool 1A-1B Basis Risk Reserve Fund, an amount equal to the Pool 1A-1B Basis
      Risk
      Payment for such Distribution Date, and then from the Pool 1A-1B Basis Risk
      Reserve Fund, in the following order of priority:

     

    (A)
       concurrently,
      (i) to the Group 1A Senior Certificates, up to the Group 1A Monthly Excess
      Cashflow Percentage, the amount of any remaining Pool 1A-1B Monthly Excess
      Cashflow, the amount of any Basis Risk Shortfalls and Unpaid Basis Risk
      Shortfalls for each such Class and such Distribution Date (to be paid
first,
      from
      any payments under the Group 1 Cap Agreement pursuant to Section 5A.02(f)(iv)
      below, second,
      from
      payment under the Group 1 Swap Agreement pursuant to Section 5A.02(g)(vi) below,
      and third,
      from
      amounts on deposit in the Pool 1A-1B Basis Risk Reserve Fund), in proportion
      to
      the amount of such shortfalls, and (ii) to the Group 1B Senior Certificates,
      up
      to the Group 1B Monthly Excess Cashflow Percentage of any remaining Pool 1A-1B
      Monthly Excess Cashflow, the amount of any Basis Risk Shortfalls and Unpaid
      Basis Risk Shortfalls for each such Class and such Distribution Date (to be
      paid
first,
      from
      any payments under the Group 1 Cap Agreement pursuant to Section 5A.02(f)(iv)
      below, second,
      from
      payment under the Group 1 Swap Agreement pursuant to Section 5A.02(g)(vi) below,
      and third,
      from
      amounts on deposit in the Pool 1A-1B Basis Risk Reserve Fund; provided,
      however
      that the
      Class 1B-A2 Certificates shall not receive any payments from the Group 1 Cap
      Agreement or the Group 1 Swap Agreement), in proportion to the amount of such
      shortfalls; 

     

    
       

      
        
          
          

        

        
          Annex
            5A.02

          
            

          

        

        
          
          

        

      

     

    (B)
       to
      the
      Group 1 Subordinate Certificates, in accordance with the Group 1 Subordinate
      Priority, any applicable Basis Risk Shortfall and Unpaid Basis Risk Shortfall
      for each such Class and such Distribution Date (to be paid first,
      from
      any payments under the Group 1 Cap Agreement pursuant to Section 5A.02(f)(v)
      below remaining after payments made to the Group 1A Senior Certificates and
      the
      Group 1B Senior Certificates pursuant to subclause (A) above, second,
      from
      any
      payments under the Group 1 Swap Agreement pursuant to Section 5A.02(g)(vii)
      below remaining after payments made to the Group 1A Senior Certificates and
      the
      Group 1B Senior Certificates pursuant to subclause (A) and third,
      from
      amounts on deposit in the Pool 1A-1B Basis Risk Reserve Fund); 

     

    (C)
       concurrently,
      to the Group 1A Senior Certificates and the Group 1B Senior Certificates,
pro
      rata,
      any
      remaining Basis Risk Shortfalls and Unpaid Basis Risk Shortfalls, in proportion
      to their respective Basis Risk Shortfalls and Unpaid Basis Risk Shortfalls,
      to
      the extent unpaid pursuant to clause (iv)(A) above; and

     

    (D)
       for
      addition to the amounts distributable pursuant to subclause (viii) below, to
      the
      1-XS Component of the Class 1-X Certificates, any amounts remaining in the
      Pool
      1A-1B Basis Risk Reserve Fund in excess of amounts required to be on deposit
      therein after application pursuant to subclauses (A) through (C) above for
      such
      Distribution Date; 

     

    (v)
       to
      the
      Group 1A Senior Certificates and the Group 1B Senior Certificates, pro
      rata,
      in
      proportion to their respective Deferred Amounts, any applicable Deferred Amount
      (and any interest accrued on such Deferred Amounts at the related Interest
      Rate)
      for each such Class and such Distribution Date;

     

    (vi)
       to
      the
      Group 1 Subordinate Certificates, in accordance with the Group 1 Subordinate
      Priority, any Deferred Amount for each such Class and such Distribution
      Date;

     

    (vii)
       on
      the
      Distribution Date occurring in March 2010 (or the next succeeding Distribution
      Date on which sufficient funds are available in the Certificate Account to
      make
      such distributions to the Class 1-P Certificates), $100 to the Class 1-P
      Certificates in payment of its Class 1-P Principal Amount;

     

     

    

    
      
        
          
          

        

        
          Annex
            5A.02

          
            

          

        

        
          
          

        

      

    

    

    

     

    (viii)
       to
      the
      1-XS Component of the Class 1-X Certificate, the Class 1-X Distributable Amount
      for such Distribution Date; and

     

    (ix)
       to
      the
      Class 1-LT-R Certificate, any amount remaining on such date after application
      pursuant to clauses (i) through (viii) above to the extent attributable to
      Pooling REMIC 1, and otherwise to the Class 1-R Certificate; 

     

    (f)
       On
      each
      Distribution Date, the Trustee shall distribute the Group 1 Cap Amount from
      the
      Group 1 Cap Account for such date after making all distributions under Section
      5A.02(d) above, except as noted in clauses (iv) and (v) below, as
      follows:

     

    (i)
       to
      the
      Group 1A Senior Certificates and the Class 1B-A1 and Class 1B-A3 Certificates,
      pro
      rata,
      Current
      Interest and any Carryforward Interest for each such Class for such Distribution
      Date to the extent unpaid after distributions from the Pool 1A-1B Monthly Excess
      Cashflow pursuant to Section 5A.02(e)(i)(A) above (any shortfall in Current
      Interest and Carryforward Interest to be allocated among such Classes in
      proportion to the amount of Current Interest and Carryforward Interest that
      would have otherwise been distributable thereon);

     

    (ii)
       to
      the
      Group 1 Subordinate Certificates, in accordance with the Group 1 Subordinate
      Priority, Current Interest and any Carryforward Interest for such Class and
      such
      Distribution Date to the extent unpaid after distributions from the Pool 1A-1B
      Monthly Excess Cashflow pursuant to Section 5A.02(e)(i)(B) above;

     

    (iii)
       to
      the
      Group 1 Certificates (other than the Class 1B-A2 Certificates), any amount
      necessary to maintain the Targeted Overcollateralization Amount specified in
      Sections 5A.02(e)(ii) and (iii) above for such Distribution Date, for
      application pursuant to the priorities set forth in such Sections, to the extent
      unpaid after distributions pursuant to such Sections;

     

    (iv)
       concurrently,
      to the Group 1A Senior Certificates and the Class 1B-A1 and Class 1B-A3
      Certificates, pro
      rata ̧
based
      on the amount of any Basis Risk Shortfall and Unpaid Basis Risk Shortfall,
      any
      Basis Risk Shortfalls and Unpaid Basis Risk Shortfalls for each such Class
      and
      for such Distribution Date;

     

    (v)
       to
      the
      Group 1 Subordinate Certificates, in accordance with the Group 1 Subordinate
      Priority, any Basis Risk Shortfalls and Unpaid Basis Risk Shortfalls for each
      such Class and for such Distribution Date;

     

    (vi)
       concurrently,
      to the Group 1A Senior Certificates and the Class 1B-A1 and Class 1B-A3
      Certificates, pro
      rata,
      any
      Deferred Amount (and any interest accrued on such Deferred Amounts at the
      related Interest Rate) for each such Class and such Distribution Date to the
      extent unpaid after distributions from the Pool 1A-1B Monthly Excess Cashflow
      pursuant to Section 5A.02(e)(v) above for such Distribution Date;

     

    (vii)
       to
      the
      Group 1 Subordinate Certificates, in accordance with the Group 1 Subordinate
      Priority, any Deferred Amount for each such Class and such Distribution Date,
      to
      the extent unpaid after distributions from the Pool 1A-1B Monthly Excess
      Cashflow pursuant to Section 5A.02(e)(vi) above for such Distribution Date;
      

     

    
       

      
        
          
          

        

        
          Annex
            5A.02

          
            

          

        

        
          
          

        

      

     

    (viii)
       to
      the
      Group 1 Cap Termination Receipts Account for application to the purchase of
      a
      replacement cap agreement pursuant to Section 5.09(b); and

     

    (ix)
       to
      the
      1-CX Component of the Class 1-X Certificates, any remaining Group 1 Cap
      Amount.

     

    With
      respect to each Distribution Date, the sum of all amounts distributed pursuant
      to clauses (iii), (vi) and (vii) above shall not exceed cumulative Realized
      Losses incurred from the Cut-off Date through the last date of the related
      Collection Period less any amount previously distributed pursuant to clauses
      (iii), (vi) and (vii) above together with amounts previously distributed
      pursuant to Section 5A.02(g)(v), (viii) and (ix) below.

     

    (g)
       On
      each
      Distribution Date (or, with respect to clauses (i), (ii), (x) and (xi) below,
      on
      the related Swap Payment Date), the Trustee shall distribute the Group 1 Swap
      Amount for such date after making all distributions under Sections 5A.02(e)
      and
      (f) above, except as noted in clauses (vi) and (vii) below, as
      follows:

     

    (i)
       to
      the
      Swap Counterparty, any Net Swap Payment (not due to a Swap Counterparty Trigger
      Event) owed to the Swap Counterparty pursuant to the Group 1 Swap Agreement
      for
      the related Distribution Date to the extent unpaid from the Interest Remittance
      Amount for Pool 1A pursuant to Sections 5A.02(b)(i) and (ii) above, from the
      Interest Remittance Amount for Pool 1B pursuant to Sections 5A.02(c)(i) and
      (ii)
      or Sections above, from the Principal Distribution Amounts for Pool 1A and
      Pool
      1B pursuant to Sections 5A.02(d)(i) or (ii) above, for such Distribution
      Date;

     

    (ii)
       to
      the
      Swap Counterparty, any unpaid Swap Termination Payment (not due to a Swap
      Counterparty Trigger Event) owed to the Swap Counterparty pursuant to the Swap
      Agreement to the extent unpaid from the Interest Remittance Amount for Pool
      1A
      pursuant to Sections 5A.02(b)(i) and (ii) above, from the Interest Remittance
      Amount for Pool 1B pursuant to Sections 5A.02(c)(i) and (ii) above, from the
      Principal Distribution Amounts for Pool 1A and Pool 1B pursuant to Sections
      5A.02(d)(i) or (ii) above, for such Distribution Date;

     

    (iii)
       concurrently,
      to the Group 1A Senior Certificates and the Class 1B-A1 and Class 1B-A3
      Certificates, Current Interest and any Carryforward Interest for each such
      Class
      for such Distribution Date pursuant to Section 5A.02(b)(iii) above, pro
      rata,
      based
      on amounts due, to the extent unpaid after distributions from the Interest
      Remittance Amount for Pool 1A pursuant to Section 5A.02(b)(iii) above, from
      the
      Interest Remittance Amount for Pool 1B pursuant to Sections 5A.02(c)(iii),
      from
      the Pool 1A-1B Monthly Excess Cashflow pursuant to Section 5A.02(e)(i)(A) above,
      and from the Group 1 Cap Account pursuant to Section 5A.02(f)(i) above for
      such
      Distribution Date (any shortfall in Current Interest and Carryforward Interest
      to be allocated among such Classes in proportion to the amount of Current
      Interest and Carryforward Interest that would have otherwise been distributable
      thereon);

     

    

    
      
        
          
          

        

        
          Annex
            5A.02

          
            

          

        

        
          
          

        

      

    

    

    

     

    (iv)
       to
      the
      Group 1 Subordinate Certificates, in accordance with the Group 1 Subordinate
      Priority, Current Interest and any Carryforward Interest for such Class and
      such
      Distribution Date to the extent unpaid after distributions from the Pool 1A-1B
      Monthly Excess Cashflow pursuant to Section 5A.02(e)(1)(B) above and from the
      Group 1 Cap Account pursuant to Section 5A.02(f)(ii) above for such Distribution
      Date; 

     

    (v)
       to
      the
      Group 1 Certificates (other than the Class 1B-A2 Certificates), any amount
      necessary to create and maintain specified in Sections 5A.02(e)(ii) and (iii)
      above, for application pursuant to the priorities set forth in such Sections
      after giving effect to distributions pursuant to such Sections and from the
      Group 1 Cap Account pursuant to Section 5A.02(f)(iii) above for such
      Distribution Date;

     

    (vi)
       concurrently,
      to the Group 1A Senior Certificates and the Class 1B-A1 and Class 1B-A3
      Certificates, pro
      rata, based
      on
      the amount of any remaining Basis Risk Shortfalls and Unpaid Basis Risk
      Shortfalls, any remaining Basis Risk Shortfalls and Unpaid Basis Risk
      Shortfalls, to the extent unpaid after distributions from the Group 1 Cap
      Account pursuant to Section 5A.02(f)(iv) above for such Distribution
      Date;

     

    (vii)
       to
      the
      Group 1 Subordinate Certificates, in accordance with the Group 1 Subordinate
      Priority, any remaining Basis Risk Shortfalls and Unpaid Basis Risk Shortfalls,
      to the extent unpaid after distributions from the Group 1 Cap Account pursuant
      to Section 5A.02(f)(v) above for such Distribution Date;

     

    (viii)
       concurrently,
      to the Group 1A Senior Certificates and the Class 1B-A1 and Class 1B-A3
      Certificates, pro
      rata,
      any
      Deferred Amount (and any interest accrued on such Deferred Amounts at the
      related Interest Rate) for each such Class and such Distribution Date to the
      extent unpaid after distributions from the Pool 1A-1B Monthly Excess Cashflow
      pursuant to Section 5A.02(e)(v) above and from the Group 1 Cap Account pursuant
      to Section 5A.02(f)(vi) above for such Distribution Date;

     

    (ix)
       to
      the
      Group 1 Subordinate Certificates, in accordance with the Group 1 Subordinate
      Priority, any Deferred Amount for each such Class and such Distribution Date,
      to
      the extent unpaid after distributions from the Pool 1A-1B Monthly Excess
      Cashflow pursuant to Section 5A.02(e)(vi) above and from the Group 1 Cap Account
      pursuant to Section 5A.02(f)(vii) above for such Distribution Date;

     

    (x)
       if
      applicable, to the Group 1 Swap Termination Receipts Account for application
      to
      the purchase of a replacement swap agreement pursuant to Section
      5.09(a);

     

    (xi)
       to
      the
      Swap Counterparty, any unpaid Swap Termination Payment due to a Swap
      Counterparty Trigger Event owed to the Swap Counterparty pursuant to the Group
      1
      Swap Agreement;

     

    (xii)
       to
      the
      1-SX Component of the Class 1-X Certificates, all amounts remaining in the
      Group
      1 Swap Account.

     

    With
      respect to each Distribution Date, the sum of all amounts distributed pursuant
      to clauses (v), (viii) and (ix) above shall not exceed cumulative Realized
      Losses incurred from the Cut-off Date through the last date of the related
      Collection Period less any amount previously distributed pursuant to clauses
      (v), (viii) and (ix) above together with amounts previously distributed pursuant
      to Section 5A.02(f)(iii), (vi) and (vii) above.

     

    
       

      
        
          
          

        

        
          Annex
            5A.02

          
            

          

        

        
          
          

        

      

     

    (h)
       On
      each
      Distribution Date, an amount equal to the aggregate of all Prepayment Premiums
      collected with respect to the Pool 1 Mortgage Loans during the preceding
      Prepayment Period shall be distributed to the Class 1-P
      Certificates.

     

    (i)
       On
      each
      Distribution Date occurring after a Section 7.01(d) Purchase Event, but on
      or
      prior to a Pool 1A-1B Termination Event, the Trustee (or the Paying Agent on
      behalf of the Trustee), shall withdraw from the Certificate Account the Total
      Distribution Amount for Pool 1A and Pool 1B (to the extent such amount is on
      deposit in the Certificate Account) and shall allocate such amount to the
      interests issued in respect of the Pooling REMIC 1 Regular Interests created
      pursuant to this Agreement and shall distribute such Total Distribution Amount
      first,
      solely
      with respect to the Pooling REMIC 1 Regular Interests, for deposit into the
      Group 1 Swap Account, an amount equal to any Net Swap Payment or Swap
      Termination Payment owed to the Swap Counterparty on the related Swap Payment
      Date; second,
      to
      the
      Trustee, any amounts reimbursable pursuant to Section 4.04(b)(i) and not
      previously reimbursed to the Trustee; third,
      to the
      LTURI-holder, any remaining related Total Distribution Amount for Pool 1A and
      Pool 1B to the extent payable on the Pooling REMIC 1 Regular Interests as
      provided in the Preliminary Statement; and fourth,
      to the
      Class 1-LT-R Certificates, any remaining amounts.

     

    (j)
       On
      each
      Swap Payment Date occurring after a Section 7.01(d) Purchase Event, but on
      or
      prior to a Pool 1A-1B Termination Event, the Trustee shall distribute the Group
      1 Swap Amount for such date first,
      to the
      Swap Counterparty to pay any Net Swap Payment owed to the Swap Counterparty
      pursuant to the Group 1 Swap Agreement for such Swap Payment Date; second,
      to the
      Swap Counterparty, to pay any Swap Termination Payment owed to the Swap
      Counterparty pursuant to the Group 1 Swap Agreement for such Swap Payment Date;
      third,
      if
      applicable, to the Group 1 Swap Termination Receipts Account, for application
      to
      the purchase of a replacement swap agreement pursuant to Section 5.09(a); and
      fourth,
      any
      remaining Group 1 Swap Amount to the LTURI-holder with respect to the Pooling
      REMIC 1.

     

    (k)
       On
      each
      Distribution Date occurring after a Section 7.01(d) Purchase Event but on or
      prior to a Pool 1A-1B Termination Event, the Trustee shall distribute any
      amounts received from the Cap Counterparty under the Group 1 Cap Agreement
      for
      such Distribution Date first,
      to the
      Group 1 Cap Termination Receipts Account, for application to the purchase of
      a
      replacement cap agreement pursuant to Section 5.09(b); and second,
      any
      remaining amount from the Cap Counterparty under the Group 1 Cap Agreement,
      to
      the LTURI-holder with respect to the Pooling REMIC 1.

     

    (l)
       On
      each
      Distribution Date, an amount equal to the aggregate FPD Premiums collected
      during the preceding Prepayment Period shall be distributed to the 1-XS
      Component of the Class 1-X Certificates.

     

     

    

    
      
        
          
          

        

        
          Annex
            5A.02

          
            

          

        

        
          
          

        

      

    

    

    ANNEX
      5B.02

    

    DISTRIBUTIONS
      FROM THE CERTIFICATE ACCOUNT 

    TO
      THE
      GROUP 2 CERTIFICATES

    

    Section
      5B.02. Distributions
      from the Certificate Account to the Group 2 Certificates.
      

    

    (a)
       On
      each
      Distribution Date on or prior to a Section 7.01(d) Purchase Event, a Pool 2
      Termination Event, the Trustee (or the Paying Agent on behalf of the Trustee)
      shall withdraw from the Certificate Account the Total Distribution Amount for
      Pool 2 (to the extent such amount is on deposit in the Certificate Account)
      and
      amounts that are available for payment to the Swap Counterparty in accordance
      with the Group 2 Swap Agreement and shall allocate such amounts to the interests
      issued in respect of each REMIC created pursuant to this Agreement and shall
      distribute such amounts as specified in subparagraphs (b) through (g) and (k)
      of
      this Section 5B.02; provided,
      that
      amounts that are available for payment to the Swap Counterparty shall be paid
      on
      the related Swap Payment Date. On each Distribution Date after a Section 7.01(d)
      Purchase Event but on or prior to a Pool 2 Termination Event, the Trustee (or
      the Paying Agent on behalf of the Trustee) shall withdraw from the Certificate
      Account the Total Distribution Amount for Pool 2 (to the extent such amount
      is
      on deposit in the Certificate Account), and amounts that are available for
      payment to the Swap Counterparty in accordance with the Group 2 Swap Agreement,
      and shall allocate such amount to the interests issued in respect of each REMIC
      created pursuant to this Agreement and shall distribute such amount as specified
      in subparagraphs (h) through (j) of this Section 5B.02; provided,
      that
      amounts that are available for payment to the Swap Counterparty shall be paid
      on
      the related Swap Payment Date. 

     

    (b)
       On
      each
      Distribution Date or related Swap Payment Date on or prior to a Section 7.01(d)
      Purchase Event related to the Pooling REMIC 2 Regular Interest (or, with respect
      to clauses (i) and (ii) below, on the related Swap Payment Date), the Trustee
      (or the Paying Agent on behalf of the Trustee) shall distribute the Interest
      Remittance Amount for Pool 2 for such date in the following order of
      priority:

     

    (i)
       for
      deposit into the Group 2 Swap Account, any Net Swap Payment or Swap Termination
      Payment (not due to a Swap Counterparty Trigger Event) owed to the Swap
      Counterparty (including amounts remaining unpaid from previous Distribution
      Dates);

     

    (ii)
       concurrently, to
      the
      Group 2 Senior Certificates, pro
      rata,
      Current
      Interest and any Carryforward Interest for such Classes for such Distribution
      Date; provided,
      however,
      that
      any shortfall in Current Interest and Carryforward Interest shall be allocated
      among such Classes in proportion to the amount of Current Interest and
      Carryforward Interest that would otherwise be distributable thereon;
      and

     

    (iii)
       for
      application pursuant to Section 5B.02(d) below, as part of Pool 2 Monthly Excess
      Cashflow for such Distribution Date, any Pool 2 Interest Remittance Amount
      remaining undistributed after application pursuant clauses (i) and (ii) of
      this
      Section 5B.02(b).

     

    
       

      
        
          Annex
            5B.02

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

     

    (c)
       On
      each
      Distribution Date or related Swap Payment Date on or prior to a Section 7.01(d)
      Purchase Event related to the Pooling REMIC 2 Regular Interests, the Trustee
      (or
      the Paying Agent on behalf of the Trustee) shall distribute the Principal
      Distribution Amount for Pool 1A and Pool 1B for such date concurrently, as
      follows:

     

    (i)
       On
      each
      Distribution Date (or, with respect to clause (A)(1) below of this Section
      5B.02(c)(i), on the related Swap Payment Date) (a) prior to the Pool 2 Stepdown
      Date or (b) on or after the Pool 2 Stepdown Date and with respect to which
      a
      Pool 2 Trigger Event is in effect, until the aggregate Certificate Principal
      Amount of the Group 2 Certificates equals the Pool 2 Target Amount for such
      Distribution Date, the Trustee (or the Paying Agent on behalf of the Trustee)
      shall distribute the Principal Distribution Amount for Pool 2 in the following
      order of priority:

     

    (A)
       for
      deposit into the Group 2 Swap Account, any Net Swap Payment or Swap Termination
      Payment (not due to a Swap Counterparty Trigger Event) owed to the Swap
      Counterparty pursuant to the Group 2 Swap Agreement (to the extent not deposited
      previously from the Interest Remittance Amount for Pool 2 pursuant to Section
      5B.02(b)(i) above;

     

    (B)
       concurrently,
      on a pro
      rata
      basis,
      to the Group 2 Senior Certificates, based on (x) the aggregate Class Principal
      Amount of the Class 2-A1, Class 2-A2 and Class 2-A3 Certificates, and (y) the
      Class Principal Amount of the Class 2-A4 Certificates, as follows:

     

    (1)
       to
      the
      Class 2-A1, Class 2-A2 and Class 2-A3 Certificates, sequentially, in that order,
      until the Class Principal Amount of each such class has been reduced to zero;
      and

     

    (2)
       to
      the
      Class 2-A4 Certificates, until the Class Principal Amount of such class has
      been
      reduced to zero;

     

    (C)
       to
      the
      Group 2 Subordinate Certificates, in accordance with the Group 2 Subordinate
      Priority, until the Class Principal Amount of each such class has been reduced
      to zero; and

     

    (D)
       for
      application as part of Pool 2 Monthly Excess Cashflow for such Distribution
      Date, as provided in Section 5B.02(d) below, any Principal Distribution Amount
      for Pool 2 remaining after application pursuant to clauses (A) through (C)
      above. 

     

    (ii)
       On
      each
      Distribution Date (or, with respect to clause (A) below, on the related Swap
      Payment Date) (a) on or after the Pool 2 Stepdown Date and (b) with respect
      to
      which a Pool 2 Trigger Event is not in effect, the Trustee (or the Paying Agent
      on behalf of the Trustee) shall distribute Principal Distribution Amount for
      Pool 2 in the following order of priority:

     

    (A)
       from
      the
      Principal Distribution Amount for Pool 2, for deposit into the Group 2 Swap
      Account, any Net Swap Payment or Swap Termination Payment (not due to a Swap
      Counterparty Trigger Event) owed to the Swap Counterparty pursuant to the Group
      2 Swap Agreement on the related Swap Payment Date to the extent not distributed
      previously from the Interest Remittance Amount for Pool 2 pursuant to Sections
      5B.02(b)(i) above;

     

    

    
      
        
          Annex
            5B.02

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    

     

    (B)
       so
      long
      as any of the Group 2 Subordinate Certificates are outstanding, to the Group
      2
      Senior Certificates, in accordance with the Group 2 Senior Priority, in an
      amount equal to the lesser of (x) the excess, if any, of (a) the Principal
      Distribution Amount for Pool 2 for such Distribution Date over (b) the amount
      distributed to the Supplemental Interest Trust for deposit into the Group 2
      Swap
      Account on such Distribution Date pursuant to clause (A) above and (y) the
      Pool
      2 Senior Principal Distribution Amount for such Distribution Date until the
      Class Principal Amount of each such Class has been reduced to zero; or (2)
      otherwise to the Group 2 Senior Certificates, in accordance with the Group
      2
      Senior Priority, the excess of (A) the Principal Distribution Amount for Pool
      2
      for such Distribution Date over (B) the amount distributed to the Supplemental
      Interest Trust for deposit into the Group 2 Swap Account with respect to such
      Distribution Date pursuant to clause (A) above, in each case until the Class
      Principal Amount of each such Class has been reduced to zero;

     

    (C)
       to
      the
      Class 2-M1 Certificates, an amount equal to the lesser of (x) the excess, if
      any, of (a) the Principal Distribution Amount for Pool 2 for such Distribution
      Date over (b) the amount paid to the Supplemental Interest Trust for deposit
      into the Group 2 Swap Account or distributed to the Group 2 Senior Certificates
      on such date pursuant to clauses (A) and (B) above, and (y) the 2-M1 Principal
      Distribution Amount for such date, until the Class Principal Amount of such
      Class has been reduced to zero;

     

    (D)
       to
      the
      Class 2-M2 Certificates, an amount equal to the lesser of (x) the excess, if
      any, of (a) the Principal Distribution Amount for Pool 2 for such Distribution
      Date over (b) the amount paid to the Supplemental Interest Trust for deposit
      into the Group 2 Swap Account or distributed to the Group 2 Senior Certificates
      and the Class 2-M1 Certificates on such date pursuant to clauses (A) through
      (C)
      above, and (y) the 2-M2 Principal Distribution Amount for such date, until
      the
      Class Principal Amount of such Class has been reduced to zero;

     

    (E)
       to
      the
      Class 2-M3 Certificates, an amount equal to the lesser of (x) the excess, if
      any, of (a) the Principal Distribution Amount for Pool 2 for such Distribution
      Date over (b) the amount paid to the Supplemental Interest Trust for deposit
      into the Group 2 Swap Account or distributed to the Group 2 Senior Certificates
      and the Class 2-M1 and Class 2-M2 Certificates on such date pursuant to clauses
      (A) through (D) above, and (y) the 2-M3 Principal Distribution Amount for such
      date, until the Class Principal Amount of such Class has been reduced to
      zero;

     

    (F)
       to
      the
      Class 2-M4 Certificates, an amount equal to the lesser of (x) the excess, if
      any, of (a) the Principal Distribution Amount for Pool 2 for such Distribution
      Date over (b) the amount paid to the Supplemental Interest Trust for deposit
      into the Group 2 Swap Account or distributed to the Group 2 Senior Certificates
      and the Class 2-M1, Class 2-M2 and Class 2-M3 Certificates on such date pursuant
      to clauses (A) through (E) above, and (y) the 2-M4 Principal Distribution Amount
      for such date, until the Class Principal Amount of such Class has been reduced
      to zero; 

     

    

    
      
        
          Annex
            5B.02

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    

     

    (G)
       to
      the
      Class 2-M5 Certificates, an amount equal to the lesser of (x) the excess, if
      any, of (a) the Principal Distribution Amount for Pool 2 for such Distribution
      Date over (b) the amount paid to the Supplemental Interest Trust for deposit
      into the Group 2 Swap Account or distributed to the Group 2 Senior Certificates
      and the Class 2-M1, Class 2-M2, Class 2-M3 and Class 2-M4 Certificates on such
      date pursuant to clauses (A) through (F) above, and (y) the 2-M5 Principal
      Distribution Amount for such date, until the Class Principal Amount of such
      Class has been reduced to zero;

     

    (H)
       to
      the
      Class 2-M6 Certificates, an amount equal to the lesser of (x) the excess, if
      any, of (a) the Principal Distribution Amount for Pool 2 for such Distribution
      Date over (b) the amount paid to the Supplemental Interest Trust for deposit
      into the Group 2 Swap Account or distributed to the Group 2 Senior Certificates
      and the Class 2-M1, Class 2-M2, Class 2-M3, Class 2-M4 and Class 2-M5
      Certificates on such date pursuant to clauses (A) through (G) above, and (y)
      the
      2-M6 Principal Distribution Amount for such date, until the Class Principal
      Amount of such Class has been reduced to zero;

     

    (I)
       to
      the
      Class 2-M7 Certificates, an amount equal to the lesser of (x) the excess, if
      any, of (a) the Principal Distribution Amount for Pool 2 for such Distribution
      Date over (b) the amount paid to the Supplemental Interest Trust for deposit
      into the Group 2 Swap Account or distributed to the Group 2 Senior Certificates
      and the Class 2-M1, Class 2-M2, Class 2-M3, Class 2-M4, Class 2-M5 and Class
      2-M6 Certificates on such date pursuant to clauses (A) through (H) above, and
      (y) the 2-M7 Principal Distribution Amount for such date, until the Class
      Principal Amount of such Class has been reduced to zero;

     

    (J)
       to
      the
      Class 2-M8 Certificates, an amount equal to the lesser of (x) the excess, if
      any, of (a) the Principal Distribution Amount for Pool 2 for such Distribution
      Date over (b) the amount paid to the Supplemental Interest Trust for deposit
      into the Group 2 Swap Account or distributed to the Group 2 Senior Certificates
      and the Class 2-M1, Class 2-M2, Class 2-M3, Class 2-M4, Class 2-M5, Class 2-M6
      and Class 2-M7 Certificates on such date pursuant to clauses (A) through (I)
      above, and (y) the 2-M8 Principal Distribution Amount for such date, until
      the
      Class Principal Amount of such Class has been reduced to zero;

     

    (K)
       to
      the
      Class 2-M9 Certificates, an amount equal to the lesser of (x) the excess, if
      any, of (a) the Principal Distribution Amount for Pool 2 for such Distribution
      Date over (b) the amount paid to the Supplemental Interest Trust for deposit
      into the Group 2 Swap Account or distributed to the Group 2 Senior Certificates
      and the Class 2-M1, Class 2-M2, Class 2-M3, Class 2-M4, Class 2-M5, Class 2-M6,
      Class 2-M7 and Class 2-M8 Certificates on such date pursuant to clauses (A)
      through (J) above, and (y) the 2-M9 Principal Distribution Amount for such
      date,
      until the Class Principal Amount of such Class has been reduced to
      zero;

     

    

    
      
        
          Annex
            5B.02

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    

     

    (L)
       to
      the
      Class 2-M10 Certificates, an amount equal to the lesser of (x) the excess,
      if
      any, of (a) the Principal Distribution Amount for Pool 2 for such Distribution
      Date over (b) the amount paid to the Supplemental Interest Trust for deposit
      into the Group 2 Swap Account or distributed to the Group 2 Senior Certificates
      and the Class 2-M1, Class 2-M2, Class 2-M3, Class 2-M4, Class 2-M5, Class 2-M6,
      Class 2-M7, Class 2-M8 and Class 2-M8 Certificates on such date pursuant to
      clauses (A) through (K) above, and (y) the 2-M10 Principal Distribution Amount
      for such date, until the Class Principal Amount of such Class has been reduced
      to zero; and

     

    (M)
       for
      application as part of Pool 2 Monthly Excess Cashflow for such Distribution
      Date, as provided in Section 5B.02(c), any Principal Distribution Amount
      remaining from Pool 2 after application pursuant to clauses (A) through (L)
      above;

     

    (d)
       On
      each
      Distribution Date, the Trustee shall distribute the Pool 2 Monthly Excess
      Interest for such Distribution Date, together with any payments received under
      the Group 2 Cap Agreement pursuant to Section 5B.02(e) and the Group 2 Swap
      Agreement pursuant to Section 5B.02(f) in the case of distributions pursuant
      to
      clause (iv) below, in the following order of priority:

     

    (i)
       for
      each
      Distribution Date, to the Group 2 Certificates after application of the Interest
      Remittance Amount and the Principal Distribution Amount for Pool 2, in the
      following order of priority;

     

    (A)
       concurrently,
      on a pro
      rata
      basis,
      based on amount due, to the Group 2 Senior Certificates, any Current Interest
      and Carryforward Interest for such Classes for such Distribution Date, to the
      extent unpaid after distributions pursuant to Section 5B.02(b)(ii); provided,
      however,
      that
      any shortfall in Current Interest and Carryforward Interest will be allocated
      among such Classes in proportion to the amount of Current Interest and
      Carryforward Interest that would otherwise be distributable
      thereon;

     

    (B)
       to
      the
      Group 2 Subordinate Certificates, in accordance with the Group 2 Subordinate
      Priority, Current Interest and any Carryforward Interest for each such Class
      on
      such Distribution Date; and

     

    (C)
       to
      the
      Trustee, any amounts reimbursable pursuant to Section 4.04(b)(i) and not
      previously reimbursed to the Trustee;

     

    (ii)
       for
      each
      Distribution Date occurring (a) before the Pool 2 Stepdown Date or (b) on or
      after the Pool 2 Stepdown Date but for which a Pool 2 Trigger Event is in
      effect, then until the aggregate Certificate Principal Amount of the Group
      2
      Certificates equals the Pool 2 Target Amount, in reduction of the Class
      Principal Amounts of the Group 1 Certificates in the following order of
      priority:

     

    

    
      
        
          Annex
            5B.02

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    

     

    (A)
       to
      the
      Group 2 Senior Certificate, in accordance with the Group 2 Senior Priority,
      in
      reduction of their respective Class Principal Amounts, until the Class Principal
      Amount of each such Class has been reduced to zero; and

     

    (B)
       to
      the
      Group 2 Subordinate Certificates, in accordance with the Group 2 Subordinate
      Priority, in reduction of their Class Principal Amounts, until the Class
      Principal Amount of each such Class has been reduced to zero; 

     

    (iii)
       for
      each
      Distribution Date occurring on or after the Pool 2 Stepdown Date and for which
      a
      Pool 2 Trigger Event is not in effect, in the following order of
      priority:

     

    (A)
       to
      the
      Group 2 Senior Certificates, in proportion to the aggregate Class Principal
      Amount of the Senior Certificates, in accordance with the Group 2 Senior
      Priority, in reduction of their respective Class Principal Amounts, until the
      aggregate Class Principal Amount of each such Class, after giving effect to
      previous principal distributions on such Distribution Date pursuant to Section
      5B.02(c)(i)(B) above, equals the Pool 2 Senior Target Amount; 

     

    (B)
       to
      the
      Class 2-M1 Certificates, in reduction of their Class Principal Amount, until
      the
      aggregate Class Principal Amount of the Group 2 Senior Certificates and the
      Class 2-M1 Certificates, after giving effect to distributions on such
      Distribution Date, equals the 2-M1 Target Amount;

     

    (C)
       to
      the
      Class 2-M2 Certificates, in reduction of their Class Principal Amount, until
      the
      aggregate Class Principal Amount of the Group 2 Certificates and Class 2-M1
      and
      Class 2-M2 Certificates, after giving effect to distributions on such
      Distribution Date, equals the 2-M2 Target Amount;

     

    (D)
       to
      the
      Class 2-M3 Certificates, in reduction of their Class Principal Amount, until
      the
      aggregate Class Principal Amount of the Group 2 Certificates and Class 2-M1,
      Class 2-M2 and Class 2-M3 Certificates, after giving effect to distributions
      on
      such Distribution Date, equals the 2-M3 Target Amount; 

     

    (E)
       to
      the
      Class 2-M4 Certificates, in reduction of their Class Principal Amount, until
      the
      aggregate Class Principal Amount of the Group 2 Certificates and Class 2-M1,
      Class 2-M2, Class 2-M3 and Class 2-M4 Certificates, after giving effect to
      distributions on such Distribution Date, equals the 2-M4 Target
      Amount;

     

    (F)
       to
      the
      Class 2-M5 Certificates, in reduction of their Class Principal Amount, until
      the
      aggregate Class Principal Amount of the Group 2 Certificates and Class 2-M1,
      Class 2-M2, Class 2-M3, Class 2-M4 and Class 2-M5 Certificates, after giving
      effect to distributions on such Distribution Date, equals the 2-M5 Target
      Amount;

     

    

    
      
        
          Annex
            5B.02

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    

     

    (G)
       to
      the
      Class 2-M6 Certificates, in reduction of their Class Principal Amount, until
      the
      aggregate Class Principal Amount of the Group 2 Certificates and Class 2-M1,
      Class 2-M2, Class 2-M3, Class 2-M4, Class 2-M5 and Class 2-M6 Certificates,
      after giving effect to distributions on such Distribution Date, equals the
      2-M6
      Target Amount;

     

    (H)
       to
      the
      Class 2-M7 Certificates, in reduction of their Class Principal Amount, until
      the
      aggregate Class Principal Amount of the Group 2 Certificates and Class 2-M1,
      Class 2-M2, Class 2-M3, Class 2-M4, Class 2-M5, Class 2-M6 and Class 2-M7
      Certificates, after giving effect to distributions on such Distribution Date,
      equals the 2-M7 Target Amount;

     

    (I)
       to
      the
      Class 2-M8 Certificates, in reduction of their Class Principal Amount, until
      the
      aggregate Class Principal Amount of the Group 2 Certificates and Class 2-M1,
      Class 2-M2, Class 2-M3, Class 2-M4, Class 2-M5, Class 2-M6, Class 2-M7 and
      Class
      2-M8 Certificates, after giving effect to distributions on such Distribution
      Date, equals the 2-M8 Target Amount;

     

    (J)
       to
      the
      Class 2-M9 Certificates, in reduction of their Class Principal Amount, until
      the
      aggregate Class Principal Amount of the Group 2 Certificates and Class 2-M1,
      Class 2-M2, Class 2-M3, Class 2-M4, Class 2-M5, Class 2-M6, Class 2-M7, Class
      2-M8 and Class 2-M9 Certificates, after giving effect to distributions on such
      Distribution Date, equals the 2-M9 Target Amount; and

     

    (K)
       to
      the
      Class 2-M10 Certificates, in reduction of their Class Principal Amount, until
      the aggregate Class Principal Amount of the Group 2 Certificates and Class
      2-M1,
      Class 2-M2, Class 2-M3, Class 2-M4, Class 2-M5, Class 2-M6, Class 2-M7, Class
      2-M8, Class 2-M9 and Class 2-M10 Certificates, after giving effect to
      distributions on such Distribution Date, equals the 2-M10 Target
      Amount;

     

    (iv)
       to
      the
      Pool 2 Basis Risk Reserve Fund, an amount equal to the Pool 2 Basis Risk Payment
      for such Distribution Date, and then from the Pool 2 Basis Risk Reserve Fund,
      in
      the following order of priority:

     

    (A)
       pro
      rata,
      to the
      Group 2 Senior Certificates, the amount of any unpaid Basis Risk Shortfalls
      and
      Unpaid Basis Risk Shortfalls for each such Class and such Distribution Date
      (to
      be paid first,
      from
      any payments under the Group 2 Swap Agreement pursuant to Section 5B.02(f)(v)
      below, second,
      from
      any payments under the Group 2 Cap Agreement pursuant to Section 5B.02(e)(i)
      below, third,
      from
      any payments under the Group 2 Swap Agreement pursuant to Section 5B.02(f)(vii)
      below, and fourth,
      from
      amounts on deposit in the Pool 2 Basis Risk Reserve Fund), in proportion to
      the
      amount of such shortfalls;

     

    (B)
       to
      the
      Group 2 Subordinate Certificates, in accordance with the Group 2 Subordinate
      Priority, any applicable Basis Risk Shortfall and Unpaid Basis Risk Shortfall
      for each such Class and such Distribution Date (to be paid first,
      from
      any payments under the Group 2 Swap Agreement pursuant to Section 5B.02(f)(v)
      below, second,
      from
      any payments under the Group 2 Cap Agreement pursuant to Section 5B.02(e)(i)
      below, third,
      from
      any payments under the Group 2 Swap Agreement pursuant to Section 5B.02(f)(vii)
      below, and fourth,
      from
      amounts on deposit in the Pool 2 Basis Risk Reserve Fund); and

     

    

    
      
        
          Annex
            5B.02

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    

     

    (C)
       for
      addition to the amounts distributable pursuant to subclause (viii) below, to
      the
      2-X Component of the Class 2-X Certificates, any amounts remaining in the Pool
      2
      Basis Risk Reserve Fund in excess of amounts required to be on deposit therein
      after application pursuant to subclauses (A) through (B) above for such
      Distribution Date; 

     

    (v)
       to
      the
      Group 2 Senior Certificates, in proportion to their respective Deferred Amounts,
      any applicable Deferred Amount (and any interest accrued on such Deferred
      Amounts at the related Interest Rate) for each such Class and such Distribution
      Date;

     

    (vi)
       to
      the
      Group 2 Subordinate Certificates, in accordance with the Group 2 Subordinate
      Priority, any Deferred Amount for each such Class and such Distribution
      Date;

     

    (vii)
       on
      the
      Distribution Date occurring in March 2010 (or the next succeeding Distribution
      Date on which sufficient funds are available in the Certificate Account to
      make
      such distributions to the Class 2-P Certificates), $100 to the Class 2-P
      Certificates in payment of its Class 2-P Principal Amount;

     

    (viii)
       to
      the
      2-XS Component of the Class 2-X Certificate, the Class 2-X Distributable Amount
      for such Distribution Date; and

     

    (ix)
       to
      the
      Class 2-LT-R Certificate, any amount remaining on such date after application
      pursuant to clauses (i) through (viii) above to the extent attributable to
      Pooling REMIC 2, and otherwise to the Class 2-R Certificate; 

     

    (e)
       On
      each
      Distribution Date, the Trustee shall distribute the Group 2 Cap Amount from
      the
      Group 1 Cap Account for such date after making all distributions under Section
      5B.02(f)(v) below, as follows:

     

    (i)
       to
      the
      Group 2 Senior Certificates, pro
      rata,
      based
      on the amount of any Basis Risk Shortfalls and Unpaid Basis Risk Shortfalls,
      and
      then to the Group 2 Subordinate Certificates, in accordance with the Group
      2
      Subordinate Priority, any Basis Risk Shortfalls and Unpaid Basis Risk Shortfalls
      for each such Class and for such Distribution Date, to the extent unpaid after
      distributions from the Group 2 Swap Agreement pursuant to Section 5B.02(f)(5)
      below for such Distribution Date; 

     

    (ii)
       to
      the
      Group 2 Cap Termination Receipts Account for application to the purchase of
      a
      replacement cap agreement pursuant to Section 5.10(b); and

     

    (iii)
       to
      the
      2-CX Component of the Class 2-X Certificates, any remaining Group 2 Cap
      Amount. 

     

    

    
      
        
          Annex
            5B.02

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    

     

    (f)
       On
      each
      Distribution Date (or, with respect to clauses (i), (ii), (x) and (xi) below,
      on
      the related Swap Payment Date), the Trustee shall distribute the Group 2 Swap
      Amount for such date after making all distributions under Sections 5B.02(e)
      above, except as noted in clauses (vi) and (vii) below, as follows:

     

    (i)
       to
      the
      Swap Counterparty, any Net Swap Payment (not due to a Swap Counterparty Trigger
      Event) owed to the Swap Counterparty pursuant to the Group 1 Swap Agreement
      for
      the related Distribution Date to the extent unpaid from the Interest Remittance
      Amount for Pool 2 pursuant to Sections 5B.02(b)(i) and from the Principal
      Distribution Amount for Pool 2 pursuant to Section 5B.02(c)(i)(A) or Section
      5B.02(c)(ii)(A) above, for such Distribution Date;

     

    (ii)
       to
      the
      Swap Counterparty, any unpaid Swap Termination Payment (not due to a Swap
      Counterparty Trigger Event) owed to the Swap Counterparty pursuant to the Group
      2 Swap Agreement to the extent unpaid from the Interest Remittance Amount for
      Pool 2 pursuant to Sections 5B.02(b)(i) and from the Principal Distribution
      Amount for Pool 2 pursuant to Section 5B.02(c)(i)(A) or Section 5B.02(c)(ii)(A)
      above, for such Distribution Date;

     

    (iii)
       to
      the
      Group 2 Senior Certificates, Current Interest and any Carryforward Interest
      for
      each such Class for such Distribution Date pursuant to Section 5B.02(b)(ii)
      above, pro
      rata,
      based
      on amounts due, to the extent unpaid after distributions from the Interest
      Remittance Amount for Pool 2 pursuant to Section 5B.02(b)(ii) above and from
      the
      Pool 2 Monthly Excess Cashflow pursuant to Section 5B.02(d)(i)(A) above (any
      shortfall in Current Interest and Carryforward Interest to be allocated among
      such Classes in proportion to the amount of Current Interest and Carryforward
      Interest that would have otherwise been distributable thereon);

     

    (iv)
       to
      the
      Group 2 Subordinate Certificates, in accordance with the Group 2 Subordinate
      Priority, Current Interest and any Carryforward Interest for such Class and
      such
      Distribution Date to the extent unpaid after distributions from the Pool 2
      Monthly Excess Cashflow pursuant to Section 5B.02(d)(1)(B) above; 

     

    (v)
       to
      the
      Group 2 Certificates, the Available Basis Risk Amount, prior to making
      distributions From Pool 2 Monthly Excess Cashflow pursuant to Section
      5B.02(d)(iv) and distributions from the Group 2 Cap Account pursuant to Section
      5B.02(e)(i) above, in the following order of priority:

     

    (A)
       concurrently,
      pro
      rata,
      to the
      Group 2 Senior Certificates, the amount of any Basis Risk Shortfalls and Unpaid
      Basis Risk Shortfalls for each such Class and such Distribution
      Date;

     

    (B)
       to
      the
      Group 2 Subordinate Certificates, in accordance with the Group 2 Subordinate
      Priority, any applicable Basis Risk Shortfall and Unpaid Basis Risk Shortfall
      for each such Class and such Distribution Date; 

     

    (C)
       if
      applicable, to the Group 2 Termination Receipts Account for application to
      the
      purchase of a replacement swap agreement pursuant to Section 5.10(a);
      and

     

    

    
      
        
          Annex
            5B.02

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    

     

    (D)
       to
      the
      Class 2-S-X Certificates, any amounts remaining;

     

    (vi)
       to
      the
      Group 2 Certificates, any amount necessary to maintain the applicable target
      amount specified in Sections 5B.02(c)(ii) and (iii), as applicable, for such
      Distribution Date, for application pursuant to the priorities set forth in
      such
      clauses, after giving effect to distributions pursuant to such
      clauses;

     

    (vii)
       concurrently,
      to the Group 2 Senior Certificates, pro
      rata,
      based
      on the amount of any remaining Basis Risk Shortfalls and Unpaid Basis Risk
      Shortfalls, and then to the Group 2 Subordinate Certificates, in accordance
      with
      the Group 2 Subordinate Priority, any remaining Basis Risk Shortfalls and Unpaid
      Basis Risk Shortfalls for each such Class and for such Distribution Date to
      the
      extent unpaid after distributions pursuant to clause (v) above and distributions
      from the Group 2 Cap Account pursuant to Section 5B.02(e)(i) above for such
      Distribution Date;

     

    (viii)
       to
      the
      Group 2 Senior Certificates, pro
      rata,
      in
      proportion to there respective Deferred Amounts, any Deferred Amount for each
      such Class and Distribution Date (and any interest accrued on such Deferred
      Amounts at the related Certificate Interest Rate) remaining after distributions
      from Group 2 Monthly Excess Cashflow pursuant to Section 5B.02(d)(v) above
      for
      such Distribution Date;

     

    (ix)
       to
      the
      Group 2 Subordinate Certificates, in accordance with the Group 2 Subordinate
      Priority, any Deferred Amount for each such Class and such Distribution Date
      to
      the extent unpaid after distributions from the Pool 2 Monthly Excess Cashflow
      pursuant to Section 5B.02(d)(vi) above for such Distribution Date;

     

    (x)
       if
      applicable, to the Group 2 Swap Termination Receipts Account for application
      to
      the purchase of a replacement swap agreement pursuant to Section
      5.10(a);

     

    (xi)
       to
      the
      Swap Counterparty, any unpaid Swap Termination Payment due to a Swap
      Counterparty Trigger Event owed to the Swap Counterparty pursuant to the Group
      2
      Swap Agreement;

     

    (xii)
       to
      the
      2-SX Component of the Class 2-X Certificates, all amounts remaining in the
      Group
      2 Swap Account.

     

    With
      respect to each Distribution Date, the sum of all amounts distributed pursuant
      to clauses (vi), (viii) and (ix) above shall not exceed cumulative Realized
      Losses incurred from the Cut-off Date through the last date of the related
      Collection Period less any amount previously distributed pursuant to clauses
      (vi), (viii) and (ix) above.

     

    (g)
       On
      each
      Distribution Date, an amount equal to the aggregate of all Prepayment Premiums
      collected with respect to the Pool 2 Mortgage Loans during the preceding
      Prepayment Period shall be distributed to the Class 2-P
      Certificates.

     

    

    
      
        
          Annex
            5B.02

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    

     

    (h)
       On
      each
      Distribution Date occurring after a Section 7.01(d) Purchase Event, but on
      or
      prior to a Pool 2 Termination Event, the Trustee (or the Paying Agent on behalf
      of the Trustee), shall withdraw from the Certificate Account the Total
      Distribution Amount for Pool 2 (to the extent such amount is on deposit in
      the
      Certificate Account) and shall allocate such amount to the interests issued
      in
      respect of the Pooling REMIC 2 Regular Interests created pursuant to this
      Agreement and shall distribute such Total Distribution Amount first,
      solely
      with respect to the Pooling REMIC 2 Regular Interests, for deposit into the
      Group 2 Swap Account, an amount equal to any Net Swap Payment or Swap
      Termination Payment owed to the Swap Counterparty on the related Swap Payment
      Date; second,
      to
      the
      Trustee, any amounts reimbursable pursuant to Section 4.04(b)(i) and not
      previously reimbursed to the Trustee; third,
      to the
      LTURI-holder, any remaining related Total Distribution Amount for Pool 2 to
      the
      extent payable on the Pooling REMIC 2 Regular Interests as provided in the
      Preliminary Statement; and fourth,
      to the
      Class 2-LT-R Certificates, any remaining amounts.

     

    (i)
       On
      each
      Swap Payment Date occurring after a Section 7.01(d) Purchase Event, but on
      or
      prior to a Pool 2 Termination Event, the Trustee shall distribute the Group
      2
      Swap Amount for such date first,
      to the
      Swap Counterparty to pay any Net Swap Payment owed to the Swap Counterparty
      pursuant to the Group 2 Swap Agreement for such Swap Payment Date; second,
      to the
      Swap Counterparty, to pay any Swap Termination Payment owed to the Swap
      Counterparty pursuant to the Group 2 Swap Agreement for such Swap Payment Date;
      third,
      if
      applicable, to the Group 2 Swap Termination Receipts Account, for application
      to
      the purchase of a replacement swap agreement pursuant to Section 5.10(a); and
      fourth,
      any
      remaining Group 2 Swap Amount to the LTURI-holder with respect to the Pooling
      REMIC 2.

     

    (j)
       On
      each
      Distribution Date occurring after a Section 7.01(d) Purchase Event but on or
      prior to a Pool 2 Termination Event, the Trustee shall distribute any amounts
      received from the Cap Counterparty under the Group 2 Cap Agreement for such
      Distribution Date first,
      to the
      Group 2 Cap Termination Receipts Account, for application to the purchase of
      a
      replacement cap agreement pursuant to Section 5.10(b); and second,
      any
      remaining amount from the Cap Counterparty under the Group 2 Cap Agreement,
      to
      the LTURI-holder with respect to the Pooling REMIC 2.

     

    (k)
       On
      each
      Distribution Date, an amount equal to the aggregate FPD Premiums collected
      during the preceding Prepayment Period shall be distributed to the 2-X Component
      of the Class 2-X Certificates.

     

    

    

    
      
        
          Annex
            5B.02

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    ANNEX
      5C.02

    

    DISTRIBUTIONS
      FROM THE CERTIFICATE ACCOUNT 

    TO
      THE
      GROUP 3 CERTIFICATES

    

    Section
      5C.02. Distributions
      from the Certificate Account to the Group 3 Certificates.
      

    

    (a)
       On
      each
      Distribution Date on or prior to a Section 7.01(d) Purchase Event, a Pool 3A-3B
      Termination Event, the Trustee (or the Paying Agent on behalf of the Trustee)
      shall withdraw from the Certificate Account the Total Distribution Amount for
      Pool 3A and Pool 3B (to the extent such amount is on deposit in the Certificate
      Account) and shall allocate such amounts to the interests issued in respect
      of
      each REMIC created pursuant to this Agreement and shall distribute such amounts
      as specified in subparagraphs (b) through (e) of this Section 5C.02. On each
      Distribution Date after a Section 7.01(d) Purchase Event but on or prior to
      a
      Pool 3A-3B Termination Event, the Trustee (or the Paying Agent on behalf of
      the
      Trustee) shall withdraw from the Certificate Account the Total Distribution
      Amount for Pool 3A and Pool 3B (to the extent such amount is on deposit in
      the
      Certificate Account) and shall allocate such amount to the interests issued
      in
      respect of each REMIC created pursuant to this Agreement and shall distribute
      such amount as specified in subparagraph (f) of this Section 5C.02. All
      allocations and distributions made between and with respect to Pool 3A and
      Pool
      3B in this Section 5C.02 shall be made concurrently.

     

    (b)
       On
      each
      Distribution Date on or prior to a Section 7.01(d) Purchase Event related to
      the
      Pooling REMIC 3 Regular Interest, the Trustee (or the Paying Agent on behalf
      of
      the Trustee) shall distribute the Interest Remittance Amount for Pool 3A for
      such date in the following order of priority:

     

    (i)
       to
      the
      Class 3A-A Certificates, Current Interest and any Carryforward Interest for
      such
      Classes for such Distribution Date; provided,
      however,
      that
      any shortfall in Current Interest and Carryforward Interest shall be allocated
      among such Classes in proportion to the amount of Current Interest and
      Carryforward Interest that would otherwise be distributable thereon;
      and

     

    (ii)
       for
      application pursuant to Section 5C.02(e) below, as part of Pool 3A-3B Monthly
      Excess Cashflow for such Distribution Date, any Pool 3A Interest Remittance
      Amount remaining undistributed after application pursuant clause (i) of this
      Section 5C.02(b).

     

    (c)
       On
      each
      Distribution Date on or prior to a Section 7.01(d) Purchase Event related to
      the
      Pooling REMIC 3 Regular Interests, the Trustee (or the Paying Agent on behalf
      of
      the Trustee) shall distribute the Interest Remittance Amount for Pool 3B for
      such date in the following order of priority: 

     

    (i)
       concurrently, to
      the
      Group 3B Senior Certificates, pro
      rata,
      Current
      Interest and any Carryforward Interest for such Classes for such Distribution
      Date; provided,
      however,
      that
      any shortfall in Current Interest and Carryforward Interest shall be allocated
      among such Classes in proportion to the amount of Current Interest and
      Carryforward Interest that would otherwise be distributable thereon;
      and

     

    

    
      
        
          Annex
            5C.02

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    

     

    (ii)
       for
      application pursuant to Section 5C.02(e) below, as part of Pool 3A-3B Monthly
      Excess Cashflow for such Distribution Date, any Pool 3B Interest Remittance
      Amount remaining undistributed after application pursuant clause (i) of this
      Section 5C.02(c).

     

    (d)
       On
      each
      Distribution Date on or prior to a Section 7.01(d) Purchase Event related to
      the
      Pooling REMIC 3 Regular Interests, the Trustee (or the Paying Agent on behalf
      of
      the Trustee) shall distribute the Principal Distribution Amount for each of
      Pool
      3A and Pool 3B for such date concurrently, as follows:

     

    (i)
       On
      each
      Distribution Date (a) prior to the Pool 3A-3B Stepdown Date or (b) on or after
      the Pool 3A-3B Stepdown Date and with respect to which a Pool 3A-3B Trigger
      Event is in effect, until the aggregate Certificate Principal Amount of the
      Group 3 Certificates equals the Pool 3A-3B Target Amount for such Distribution
      Date, the Trustee (or the Paying Agent on behalf of the Trustee) shall make
      the
      following distributions, concurrently:

     

    (A)
       For
      Pool 3A:
      The
      Principal Distribution Amount for Pool 3A shall be distributed in the following
      order of priority:

     

    (1)
       to
      the
      Class 3A-A Certificates, until the Class Principal Amount of such class has
      been
      reduced to zero;

     

    (2)
       to
      the
      Group 3B Senior Certificates, after giving effect to distributions pursuant
      to
      Section 5C.02(d)(i)(B)(1) below, in accordance with the Pool 3B Senior Priority,
      until the Class Principal Amount of each such Class has been reduced to zero;
      and

     

    (3)
       for
      application pursuant to Section 5C.02(d)(i)(C) below, any Principal Distribution
      Amount remaining after application pursuant to clauses (1) and (2) above.

     

    (B)
       For
      Pool 3B:
      The
      Principal Distribution Amount for Pool 3B shall be distributed in the following
      order of priority:

     

    (1)
       concurrently,
      on a pro
      rata
      basis,
      to the Class 3B-A1, Class 3B-A2 and Class 3B-A3 Certificates, in proportion
      to
      their aggregate Class Principal Amounts, until the Class Principal Amount of
      each such class has been reduced to zero;

     

    (2)
       to
      the
      Class 3A-A Certificates, after giving effect to distributions pursuant to
      Section 5C.02(d)(i)(A)(1) above, until the Class Principal Amount of such Class
      has been reduced to zero; and

     

    (3)
       for
      application pursuant to Section 5C.02(d)(i)(C) below, any Principal Distribution
      Amount remaining after application pursuant to clauses (1) and (2)
      above;

     

    

    
      
        
          Annex
            5C.02

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    

     

    (C)
       On
      each
      Distribution Date, the Trustee (or the Paying Agent on behalf of the Trustee)
      will distribute the aggregate of any remaining Principal Distribution Amounts
      from Sections 5C.02(d)(i)(A)(3) and (B)(3) above, in the following order of
      priority:

     

    (1)
       to
      the
      Group 3 Subordinate Certificates, in accordance with the Group 3 Subordinate
      Priority, until the Class Principal Amount of each such Class has been reduced
      to zero; and

     

    (2)
       for
      application as part of Pool 3A-3B Monthly Excess Cashflow for such Distribution
      Date, as provided in Section 5C.02(e), any Principal Distribution Amount from
      Pool 3A and Pool 3B remaining after clause (1) above.

     

    (ii)
       On
      each
      Distribution Date (a) on or after the Pool 3A-3B Stepdown Date and (b) with
      respect to which a Pool 3A-3B Trigger Event is not in effect, the Trustee (or
      the Paying Agent on behalf of the Trustee) shall distribute Principal
      Distribution Amount for each of Pool 3A and Pool 3B, concurrently, in the
      following order of priority:

     

    (A)
       so
      long
      as any of the Group 3 Subordinate Certificates are outstanding, to the Group
      3A
      Senior Certificates (from amounts generated by Pool 3A) and to the Group 3B
      Senior Certificates (from amounts generated by Pool 3B), in each case in
      accordance with the Group 3A Senior Priority or Group 3B Senior Priority, as
      applicable, in an amount equal to the lesser of (x) the Principal Distribution
      Amount for the related Mortgage Pool for such Distribution Date and (y) the
      Related Senior Principal Distribution Amount for the related Mortgage Pool
      for
      such Distribution Date, in each case, until the Class Principal Amount of each
      such Class has been reduced to zero; provided,
      however,
      to the
      extent that the Principal Distribution Amount for a Mortgage Pool exceeds the
      Pool 3A-3B Senior Principal Distribution Amount for such Mortgage Pool, such
      excess shall be applied to the Senior Certificates related to the other Mortgage
      Pool (in accordance with the Group 3A Senior Priority or Group 3B Senior
      Priority, as applicable), but in an amount not to exceed the Pool 3A-3B Senior
      Principal Distribution Amount for such Distribution Date (as reduced by any
      distributions pursuant to subclauses (x) or (y) of this clause (1) on such
      Distribution Date); or (2) if none of the Group 3 Subordinate Certificates
      are
      outstanding, to the Group 3A Senior Certificates and the Group 3B Senior
      Certificates (in each case in accordance with the Group 3A Senior Priority
      or
      Group 3B Senior Priority, as applicable), the Principal Distribution Amount
      for
      the related Mortgage Pool for such Distribution Date, in each case until the
      Class Principal Amount of each such Class has been reduced to zero;

     

    (B)
       to
      the
      Class 3-M1 Certificates, an amount equal to the lesser of (x) the excess, if
      any, of (a) the aggregate of the Principal Distribution Amounts for Pool 3A
      and
      Pool 3B for such Distribution Date over (b) the amount distributed to the Group
      3A Senior Certificates and the Group 3B Senior Certificates on such date
      pursuant to clause (A) above, and (y) the 3-M1 Principal Distribution Amount
      for
      such date, until the Class Principal Amount of such Class has been reduced
      to
      zero;

     

    

    
      
        
          Annex
            5C.02

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    

     

    (C)
       to
      the
      Class 3-M2 Certificates, an amount equal to the lesser of (x) the excess, if
      any, of (a) the aggregate of the Principal Distribution Amounts for Pool 3A
      and
      Pool 3B for such Distribution Date over (b) the amount distributed to the Group
      3A Senior Certificates, the Group 3B Senior Certificates and the Class 3-M1
      Certificates on such date pursuant to clauses (A) and (B) above, and (y) the
      3-M2 Principal Distribution Amount for such date, until the Class Principal
      Amount of such Class has been reduced to zero;

     

    (D)
       to
      the
      Class 3-M3 Certificates, an amount equal to the lesser of (x) the excess, if
      any, of (a) the aggregate of the Principal Distribution Amounts for Pool 3A
      and
      Pool 3B for such Distribution Date over (b) the amount distributed to the Group
      3A Senior Certificates, the Group 3B Senior Certificates and the Class 3-M1
      and
      Class 3-M2 Certificates on such date pursuant to clauses (A) through (C) above,
      and (y) the 3-M3 Principal Distribution Amount for such date, until the Class
      Principal Amount of such Class has been reduced to zero;

     

    (E)
       to
      the
      Class 3-M4 Certificates, an amount equal to the lesser of (x) the excess, if
      any, of (a) the aggregate of the Principal Distribution Amounts for Pool 3A
      and
      Pool 3B for such Distribution Date over (b) the amount distributed to the Group
      3A Senior Certificates, the Group 3B Senior Certificates and the Class 3-M1,
      Class 3-M2 and Class 3-M3 Certificates on such date pursuant to clauses (A)
      through (D) above, and (y) the 3-M4 Principal Distribution Amount for such
      date,
      until the Class Principal Amount of such Class has been reduced to
      zero;

     

    (F)
       to
      the
      Class 3-M5 Certificates, an amount equal to the lesser of (x) the excess, if
      any, of (a) the aggregate of the Principal Distribution Amounts for Pool 3A
      and
      Pool 3B for such Distribution Date over (b) the amount distributed to the Group
      3A Senior Certificates, the Group 3B Senior Certificates and the Class 3-M1,
      Class 3-M2, Class 3-M3 and Class 3-M4 Certificates on such date pursuant to
      clauses (A) through (E) above, and (y) the 3-M5 Principal Distribution Amount
      for such date, until the Class Principal Amount of such Class has been reduced
      to zero;

     

    (G)
       to
      the
      Class 3-M6 Certificates, an amount equal to the lesser of (x) the excess, if
      any, of (a) the aggregate of the Principal Distribution Amounts for Pool 3A
      and
      Pool 3B for such Distribution Date over (b) the amount distributed to the Group
      3A Senior Certificates, the Group 3B Senior Certificates and the Class 3-M1,
      Class 3-M2, Class 3-M3, Class 3-M4 and Class 3-M5 Certificates on such date
      pursuant to clauses (A) through (F) above, and (y) the 3-M6 Principal
      Distribution Amount for such date, until the Class Principal Amount of such
      Class has been reduced to zero;

     

    (H)
       to
      the
      Class 3-M7 Certificates, an amount equal to the lesser of (x) the excess, if
      any, of (a) the aggregate of the Principal Distribution Amounts for Pool 3A
      and
      Pool 3B for such Distribution Date over (b) the amount distributed to the Group
      3A Senior Certificates, the Group 3B Senior Certificates and the Class 3-M1,
      Class 3-M2, Class 3-M3, Class 3-M4, Class 3-M5 and Class 3-M6 Certificates
      on
      such date pursuant to clauses (A) through (G) above, and (y) the 3-M6 Principal
      Distribution Amount for such date, until the Class Principal Amount of such
      Class has been reduced to zero; 

     

    

    
      
        
          Annex
            5C.02

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    

     

    (I)
       to
      the
      Class 3-M8 Certificates, an amount equal to the lesser of (x) the excess, if
      any, of (a) the aggregate of the Principal Distribution Amounts for Pool 3A
      and
      Pool 3B for such Distribution Date over (b) the amount distributed to the Group
      3A Senior Certificates, the Group 3B Senior Certificates and the Class 3-M1,
      Class 3-M2, Class 3-M3, Class 3-M4, Class 3-M5, Class 3-M6 and Class 3-M7
      Certificates on such date pursuant to clauses (A) through (H) above, and (y)
      the
      3-M8 Principal Distribution Amount for such date, until the Class Principal
      Amount of such Class has been reduced to zero; and

     

    (J)
       for
      application as part of Pool 3A-3B Monthly Excess Cashflow for such Distribution
      Date, as provided in Section 5C.02(e), any Principal Distribution Amount
      remaining from Pool 3A and Pool 3B after application pursuant to clauses (A)
      through (I) above;

     

    (e)
       On
      each
      Distribution Date, the Trustee shall distribute the sum of Pool 3A Monthly
      Excess Interest and Pool 3B Monthly Excess Interest for such Distribution Date
      in the following order of priority:

     

    (i)
       for
      each
      Distribution Date, to the Group 3 Certificates after application of the Interest
      Remittance Amount and the Principal Distribution Amount for each of Pool 3A
      and
      Pool 3B, in the following order of priority;

     

    (A)
       concurrently,
      on a pro
      rata
      basis,
      based on amounts due, to the Group 3A Senior Certificates and Group 3B Senior
      Certificates, any Current Interest and Carryforward Interest for such Classes
      for such Distribution Date, to the extent unpaid after distributions pursuant
      to
      Section 5C.02(b)(i) and Section 5C.02(c)(i), respectively; provided,
      however,
      that
      any shortfall in Current Interest and Carryforward Interest will be allocated
      among such Classes in proportion to the amount of Current Interest and
      Carryforward Interest that would otherwise be distributable
      thereon;

     

    (B)
       to
      the
      Group 3 Subordinate Certificates, in accordance with the Group 3 Subordinate
      Priority, Current Interest and any Carryforward Interest for each such Class
      on
      such Distribution Date; and

     

    (C)
       to
      the
      Trustee, any amounts reimbursable pursuant to Section 4.04(b)(i) and not
      previously reimbursed to the Trustee;

     

    (ii)
       for
      each
      Distribution Date occurring (a) before the Pool 3A-3B Stepdown Date or (b)
      on or
      after the Pool 3A-3B Stepdown Date but for which a Pool 3A-3B Trigger Event
      is
      in effect, then until the aggregate Certificate Principal Amount of the Group
      3
      Certificates equals the Pool 3A-3B Target Amount, in reduction of the Class
      Principal Amounts of the Group 3 Certificates in the following order of
      priority:

     

    

    
      
        
          Annex
            5C.02

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    

     

    (A)
       concurrently,
      to the Group 3A Senior Certificates and the Group 3B Senior Certificates, in
      proportion to the aggregate Class Principal Amount of the Senior Certificates
      related to each Group, in each case in accordance with the Group 3A Senior
      Priority or Group 3B Senior Priority, as applicable, in reduction of their
      respective Class Principal Amounts, until the Class Principal Amount of each
      such Class has been reduced to zero; and

     

    (B)
       to
      the
      Group 3 Subordinate Certificates, in accordance with the Group 3 Subordinate
      Priority, in reduction of their Class Principal Amounts, until the Class
      Principal Amount of each such Class has been reduced to zero; 

     

    (iii)
       for
      each
      Distribution Date occurring on or after the Pool 3A-3B Stepdown Date and for
      which a Pool 3A-3B Trigger Event is not in effect, in the following order of
      priority:

     

    (A)
       concurrently,
      to the Group 3A Senior Certificates and the Group 3B Senior Certificates, in
      proportion to the aggregate Class Principal Amount of the Senior Certificates
      related to each such Group, in each case in accordance with the Group 3A Senior
      Priority or Group 3B Senior Priority, as applicable, in reduction of their
      respective Class Principal Amounts, after giving effect to previous principal
      distributions on such Distribution Date pursuant to Section 5C.02(d)(ii) above,
      until the aggregate Class Principal Amount of each such Class equals the Pool
      3A-3B Senior Target Amount; 

     

    (B)
       to
      the
      Class 3-M1 Certificates, in reduction of their Class Principal Amount, until
      the
      aggregate Class Principal Amount of the Group 3A Senior Certificates, Group
      3B
      Senior Certificates and Class 3-M1 Certificates, after giving effect to
      distributions on such Distribution Date, equals the 3-M1 Target
      Amount;

     

    (C)
       to
      the
      Class 3-M2 Certificates, in reduction of their Class Principal Amount, until
      the
      aggregate Class Principal Amount of the Group 3A Senior Certificates, Group
      3B
      Senior Certificates and Class 3-M1 and Class 3-M2 Certificates, after giving
      effect to distributions on such Distribution Date, equals the 3-M2 Target
      Amount;

     

    (D)
       to
      the
      Class 3-M3 Certificates, in reduction of their Class Principal Amount, until
      the
      aggregate Class Principal Amount of the Group 3A Senior Certificates, Group
      3B
      Senior Certificates and Class 3-M1, Class 3-M2 and Class 3-M3 Certificates,
      after giving effect to distributions on such Distribution Date, equals the
      3-M3
      Target Amount; 

     

    (E)
       to
      the
      Class 3-M4 Certificates, in reduction of their Class Principal Amount, until
      the
      aggregate Class Principal Amount of the Group 3A Senior Certificates, Group
      3B
      Senior Certificates and Class 3-M1, Class 3-M2, Class 3-M3 and Class 3-M4
      Certificates, after giving effect to distributions on such Distribution Date,
      equals the 3-M4 Target Amount;

     

    

    
      
        
          Annex
            5C.02

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    

     

    (F)
       to
      the
      Class 3-M5 Certificates, in reduction of their Class Principal Amount, until
      the
      aggregate Class Principal Amount of the Group 3A Senior Certificates, Group
      3B
      Senior Certificates and Class 3-M1, Class 3-M2, Class 3-M3, Class 3-M4 and
      Class
      3-M5 Certificates, after giving effect to distributions on such Distribution
      Date, equals the 3-M5 Target Amount;

     

    (G)
       to
      the
      Class 3-M6 Certificates, in reduction of their Class Principal Amount, until
      the
      aggregate Class Principal Amount of the Group 3A Senior Certificates, Group
      3B
      Senior Certificates and Class 3-M1, Class 3-M2, Class 3-M3, Class 3-M4, Class
      3-M5 and Class 3-M6 Certificates, after giving effect to distributions on such
      Distribution Date, equals the 3-M6 Target Amount;

     

    (H)
       to
      the
      Class 3-M7 Certificates, in reduction of their Class Principal Amount, until
      the
      aggregate Class Principal Amount of the Group 3A Senior Certificates, Group
      3B
      Senior Certificates and Class 3-M1, Class 3-M2, Class 3-M3, Class 3-M4, Class
      3-M5, Class 3-M6 and Class 3-M7 Certificates, after giving effect to
      distributions on such Distribution Date, equals the 3-M7 Target Amount;
      and

     

    (I)
       to
      the
      Class 3-M8 Certificates, in reduction of their Class Principal Amount, until
      the
      aggregate Class Principal Amount of the Group 3A Senior Certificates, Group
      3B
      Senior Certificates and Class 3-M1, Class 3-M2, Class 3-M3, Class 3-M4, Class
      3-M5, Class 3-M6, Class 3-M7 and Class 3-M8 Certificates, after giving effect
      to
      distributions on such Distribution Date, equals the 3-M8 Target
      Amount;

     

    (iv)
       to
      the
      Pool 3A-3B Basis Risk Reserve Fund, an amount equal to the Pool 3A-3B Basis
      Risk
      Payment for such Distribution Date, and then from the Pool 3A-3B Basis Risk
      Reserve Fund, in the following order of priority:

     

    (A)
       concurrently,
      (i) to the Group 3A Senior Certificates, up to the Group 1A Monthly Excess
      Cashflow Percentage, the amount of any remaining Pool 3A-3B Monthly Excess
      Cashflow, the amount of any Basis Risk Shortfalls and Unpaid Basis Risk
      Shortfalls for each such Class and such Distribution Date, in proportion to
      the
      amount of such shortfalls, and (ii) to the Group 3B Senior Certificates, up
      to
      the Group 1B Monthly Excess Cashflow Percentage of any remaining Pool 3A-3B
      Monthly Excess Cashflow, the amount of any Basis Risk Shortfalls and Unpaid
      Basis Risk Shortfalls for each such Class and such Distribution Date, in
      proportion to the amount of such shortfalls; 

     

    (B)
       to
      the
      Group 3 Subordinate Certificates, in accordance with the Group 3 Subordinate
      Priority, any applicable Basis Risk Shortfall and Unpaid Basis Risk Shortfall
      for each such Class and such Distribution Date; and

     

    (C)
       for
      addition to the amounts distributable pursuant to subclause (vii) below, to
      the
      Class 3-X Certificates, any amounts remaining in the Pool 3A-3B Basis Risk
      Reserve Fund in excess of amounts required to be on deposit therein after
      application pursuant to subclauses (A) through (B) above for such Distribution
      Date; 

     

    

    
      
        
          Annex
            5C.02

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    

     

    (v)
       to
      the
      Group 3A Senior Certificates and the Group 3B Senior Certificates, pro
      rata,
      in
      proportion to their respective Deferred Amounts, any applicable Deferred Amount
      (and any interest accrued on such Deferred Amounts at the related Interest
      Rate)
      for each such Class and such Distribution Date;

     

    (vi)
       to
      the
      Group 3 Subordinate Certificates, in accordance with the Group 3 Subordinate
      Priority, any Deferred Amount for each such Class and such Distribution
      Date;

     

    (vii)
       to
      the
      Class 3-X Certificate, the Class 3-X Distributable Amount for such Distribution
      Date; and

     

    (viii)
       to
      the
      Class 3-LT-R Certificate, any amount remaining on such date after application
      pursuant to clauses (i) through (vii) above to the extent attributable to
      Pooling REMIC 3, and otherwise to the Class 3-R Certificate; 

     

    (f)
       On
      each
      Distribution Date occurring after a Section 7.01(d) Purchase Event, but on
      or
      prior to a Pool 3A-3B Termination Event, the Trustee (or the Paying Agent on
      behalf of the Trustee), shall withdraw from the Certificate Account the Total
      Distribution Amount for Pool 3A and Pool 3B (to the extent such amount is on
      deposit in the Certificate Account) and shall allocate such amount to the
      interests issued in respect of the Pooling REMIC 3 Regular Interests created
      pursuant to this Agreement and shall distribute such Total Distribution Amount
      first,
      to
      the
      Trustee, any amounts reimbursable pursuant to Section 4.04(b)(i) and not
      previously reimbursed to the Trustee; second,
      to the
      LTURI-holder, any remaining related Total Distribution Amount for Pool 3A and
      Pool 3B to the extent payable on the Pooling REMIC 3 Regular Interests as
      provided in the Preliminary Statement; and third,
      to the
      Class 1-LT-R Certificates, any remaining amounts.

     

    

    

    

    
      
        
          Annex
            5C.02

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    ANNEX
      5D.02

    

    DISTRIBUTIONS
      FROM THE CERTIFICATE ACCOUNT 

    TO
      THE
      GROUP 4 CERTIFICATES

    

    Section
      5D.02. Distributions
      from the Certificate Account to the Group 4 Certificates.
      

    

    (a)
       On
      each
      Distribution Date on or prior to a Section 7.01(d) Purchase Event, a Pool 4A-4B
      Termination Event, the Trustee (or the Paying Agent on behalf of the Trustee)
      shall withdraw from the Certificate Account the Total Distribution Amount for
      Pool 4A and Pool 4B (to the extent such amount is on deposit in the Certificate
      Account) and shall allocate such amounts to the interests issued in respect
      of
      each REMIC created pursuant to this Agreement and shall distribute such amounts
      as specified in subparagraphs (b) through (e), (g) and (h) of this Section
      5D.02. On each Distribution Date after a Section 7.01(d) Purchase Event but
      on
      or prior to a Pool 4A-4B Termination Event, the Trustee (or the Paying Agent
      on
      behalf of the Trustee) shall withdraw from the Certificate Account the Total
      Distribution Amount for Pool 4A and Pool 4B (to the extent such amount is on
      deposit in the Certificate Account) and shall allocate such amount to the
      interests issued in respect of each REMIC created pursuant to this Agreement
      and
      shall distribute such amount as specified in subparagraph (f) of this Section
      5D.02. All allocations and distributions made between and with respect to Pool
      4A and Pool 4B in this Section 5D.02 shall be made concurrently.

     

    (b)
       On
      each
      Distribution Date on or prior to a Section 7.01(d) Purchase Event related to
      the
      Pooling REMIC 4 Regular Interest, the Trustee (or the Paying Agent on behalf
      of
      the Trustee) shall distribute the Interest Remittance Amount for Pool 4A for
      such date in the following order of priority:

     

    (i)
       concurrently, to
      the
      Group 4A Senior Certificates and the Class 4A-AIO Certificates, pro
      rata,
      Current
      Interest and any Carryforward Interest for such Classes for such Distribution
      Date; provided,
      however,
      that
      any shortfall in Current Interest and Carryforward Interest shall be allocated
      among such Classes in proportion to the amount of Current Interest and
      Carryforward Interest that would otherwise be distributable thereon;
      and

     

    (ii)
       for
      application pursuant to Section 5D.02(e) below, as part of Pool 4A-4B Monthly
      Excess Cashflow for such Distribution Date, any Pool 4A Interest Remittance
      Amount remaining undistributed after application pursuant clause (i) of this
      Section 5D.02(b).

     

    (c)
       On
      each
      Distribution Date on or prior to a Section 7.01(d) Purchase Event related to
      the
      Pooling REMIC 4 Regular Interests, the Trustee (or the Paying Agent on behalf
      of
      the Trustee) shall distribute the Interest Remittance Amount for Pool 4B for
      such date in the following order of priority: 

     

    (i)
       concurrently, to
      the
      Group 4B Senior Certificates and the Class 4B-AIO Certificates, pro
      rata,
      Current
      Interest and any Carryforward Interest for such Classes for such Distribution
      Date; provided,
      however,
      that
      any shortfall in Current Interest and Carryforward Interest shall be allocated
      among such Classes in proportion to the amount of Current Interest and
      Carryforward Interest that would otherwise be distributable thereon;
      and

     

    

    
      
        
          Annex
            5D.02

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    

     

    (ii)
       for
      application pursuant to Section 5D.02(e) below, as part of Pool 4A-4B Monthly
      Excess Cashflow for such Distribution Date, any Pool 4B Interest Remittance
      Amount remaining undistributed after application pursuant clause (i) of this
      Section 5D.02(c).

     

    (d)
       On
      each
      Distribution Date on or prior to a Section 7.01(d) Purchase Event related to
      the
      Pooling REMIC 4 Regular Interests, the Trustee (or the Paying Agent on behalf
      of
      the Trustee) shall distribute the Principal Distribution Amount for each of
      Pool
      4A and Pool 4B for such date concurrently, as follows:

     

    (i)
       On
      each
      Distribution Date (a) prior to the Pool 4A-4B Stepdown Date or (b) on or after
      the Pool 4A-4B Stepdown Date and with respect to which a Pool 4A-4B Trigger
      Event is in effect, until the aggregate Certificate Principal Amount of the
      Group 4 Certificates equals the Pool 4A-4B Target Amount for such Distribution
      Date, the Trustee (or the Paying Agent on behalf of the Trustee) shall make
      the
      following distributions, concurrently:

     

    (A)
       For
      Pool 4A:
      The
      Principal Distribution Amount for Pool 4A shall be distributed in the following
      order of priority:

     

    (1)
       concurrently,
      on a pro
      rata
      basis,
      to the Class 4A-A1, Class 4A-A2, Class 4A-A3 and Class 4A-A4 Certificates,
      in
      proportion to their aggregate Class Principal Amounts, until the Class Principal
      Amount of each such class has been reduced to zero;

     

    (2)
       to
      the
      Group 4B Senior Certificates, after giving effect to distributions pursuant
      to
      Section 5D.02(d)(i)(B)(1) below, in accordance with the Pool 4B Senior Priority,
      until the Class Principal Amount of each such Class has been reduced to zero;
      and

     

    (3)
       for
      application pursuant to Section 5D.02(d)(i)(C) below, any Principal Distribution
      Amount remaining after application pursuant to clauses (1) and (2) above.

     

    (B)
       For
      Pool 4B:
      The
      Principal Distribution Amount for Pool 4B shall be distributed in the following
      order of priority:

     

    (1)
       concurrently,
      on a pro
      rata
      basis,
      to the Class 4B-A1 and Class 4B-A2 Certificates, in proportion to their
      aggregate Class Principal Amounts, until the Class Principal Amount of each
      such
      class has been reduced to zero;

     

    (2)
       to
      the
      Group 4A Senior Certificates, after giving effect to distributions pursuant
      to
      Section 5D.02(d)(i)(A)(1) above, in accordance with the Group 4A Senior
      Priority, until the Class Principal Amount of each such Class has been reduced
      to zero; and

     

    

    
      
        
          Annex
            5D.02

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    

     

    (3)
       for
      application pursuant to Section 5D.02(d)(i)(C) below, any Principal Distribution
      Amount remaining after application pursuant to clauses (1) and (2)
      above;

     

    (C)
       On
      each
      Distribution Date, the Trustee (or the Paying Agent on behalf of the Trustee)
      will distribute the aggregate of any remaining Principal Distribution Amounts
      from Sections 5D.02(d)(i)(A)(3) and (B)(3) above, in the following order of
      priority:

     

    (1)
       to
      the
      Group 4 Subordinate Certificates, in accordance with the Group 4 Subordinate
      Priority, until the Class Principal Amount of each such Class has been reduced
      to zero; and

     

    (2)
       for
      application as part of Pool 4A-4B Monthly Excess Cashflow for such Distribution
      Date, as provided in Section 5D.02(e), any Principal Distribution Amount from
      Pool 4A and Pool 4B remaining after clause (1) above.

     

    (ii)
       On
      each
      Distribution Date (a) on or after the Pool 4A-4B Stepdown Date and (b) with
      respect to which a Pool 4A-4B Trigger Event is not in effect, the Trustee (or
      the Paying Agent on behalf of the Trustee) shall distribute Principal
      Distribution Amount for each of Pool 4A and Pool 4B, concurrently, in the
      following order of priority:

     

    (A)
       so
      long
      as any of the Group 4 Subordinate Certificates are outstanding, to the Group
      4A
      Senior Certificates (from amounts generated by Pool 4A) and to the Group 4B
      Senior Certificates (from amounts generated by Pool 4B), in each case in
      accordance with the Group 4A Senior Priority or Group 4B Senior Priority, as
      applicable, in an amount equal to the lesser of (x) the Principal Distribution
      Amount for the related Mortgage Pool for such Distribution Date and (y) the
      Related Senior Principal Distribution Amount for the related Mortgage Pool
      for
      such Distribution Date, in each case, until the Class Principal Amount of each
      such Class has been reduced to zero; provided,
      however,
      to the
      extent that the Principal Distribution Amount for a Mortgage Pool exceeds the
      Pool 4A-4B Senior Principal Distribution Amount for such Mortgage Pool, such
      excess shall be applied to the Senior Certificates related to the other Mortgage
      Pool (in accordance with the Group 4A Senior Priority or Group 4B Senior
      Priority, as applicable), but in an amount not to exceed the Pool 4A-4B Senior
      Principal Distribution Amount for such Distribution Date (as reduced by any
      distributions pursuant to subclauses (x) or (y) of this clause (1) on such
      Distribution Date); or (2) if none of the Group 4 Subordinate Certificates
      are
      outstanding, to the Group 4A Senior Certificates and the Group 4B Senior
      Certificates (in each case in accordance with the Group 4A Senior Priority
      or
      Group 4B Senior Priority, as applicable), the Principal Distribution Amount
      for
      the related Mortgage Pool for such Distribution Date, in each case until the
      Class Principal Amount of each such Class has been reduced to zero;

     

    

    
      
        
          Annex
            5D.02

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    

     

    (B)
       to
      the
      Class 4-M1 Certificates, an amount equal to the lesser of (x) the excess, if
      any, of (a) the aggregate of the Principal Distribution Amounts for Pool 4A
      and
      Pool 4B for such Distribution Date over (b) the amount distributed to the Group
      4A Senior Certificates and the Group 4B Senior Certificates on such date
      pursuant to clause (A) above, and (y) the 4-M1 Principal Distribution Amount
      for
      such date, until the Class Principal Amount of such Class has been reduced
      to
      zero;

     

    (C)
       to
      the
      Class 4-M2 Certificates, an amount equal to the lesser of (x) the excess, if
      any, of (a) the aggregate of the Principal Distribution Amounts for Pool 4A
      and
      Pool 4B for such Distribution Date over (b) the amount distributed to the Group
      4A Senior Certificates, the Group 4B Senior Certificates and the Class 4-M1
      Certificates on such date pursuant to clauses (A) and (B) above, and (y) the
      4-M2 Principal Distribution Amount for such date, until the Class Principal
      Amount of such Class has been reduced to zero;

     

    (D)
       to
      the
      Class 4-M3 Certificates, an amount equal to the lesser of (x) the excess, if
      any, of (a) the aggregate of the Principal Distribution Amounts for Pool 4A
      and
      Pool 4B for such Distribution Date over (b) the amount distributed to the Group
      4A Senior Certificates, the Group 4B Senior Certificates and the Class 4-M1
      and
      Class 4-M2 Certificates on such date pursuant to clauses (A) through (C) above,
      and (y) the 4-M3 Principal Distribution Amount for such date, until the Class
      Principal Amount of such Class has been reduced to zero;

     

    (E)
       to
      the
      Class 4-M4 Certificates, an amount equal to the lesser of (x) the excess, if
      any, of (a) the aggregate of the Principal Distribution Amounts for Pool 4A
      and
      Pool 4B for such Distribution Date over (b) the amount distributed to the Group
      4A Senior Certificates, the Group 4B Senior Certificates and the Class 4-M1,
      Class 4-M2 and Class 4-M3 Certificates on such date pursuant to clauses (A)
      through (D) above, and (y) the 4-M4 Principal Distribution Amount for such
      date,
      until the Class Principal Amount of such Class has been reduced to
      zero;

     

    (F)
       to
      the
      Class 4-M5 Certificates, an amount equal to the lesser of (x) the excess, if
      any, of (a) the aggregate of the Principal Distribution Amounts for Pool 4A
      and
      Pool 4B for such Distribution Date over (b) the amount distributed to the Group
      4A Senior Certificates, the Group 4B Senior Certificates and the Class 4-M1,
      Class 4-M2, Class 4-M3 and Class 4-M4 Certificates on such date pursuant to
      clauses (A) through (E) above, and (y) the 4-M5 Principal Distribution Amount
      for such date, until the Class Principal Amount of such Class has been reduced
      to zero;

     

    (G)
       to
      the
      Class 4-M6 Certificates, an amount equal to the lesser of (x) the excess, if
      any, of (a) the aggregate of the Principal Distribution Amounts for Pool 4A
      and
      Pool 4B for such Distribution Date over (b) the amount distributed to the Group
      4A Senior Certificates, the Group 4B Senior Certificates and the Class 4-M1,
      Class 4-M2, Class 4-M3, Class 4-M4 and Class 4-M5 Certificates on such date
      pursuant to clauses (A) through (F) above, and (y) the 4-M6 Principal
      Distribution Amount for such date, until the Class Principal Amount of such
      Class has been reduced to zero;

     

    

    
      
        
          Annex
            5D.02

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    

     

    (H)
       to
      the
      Class 4-M7 Certificates, an amount equal to the lesser of (x) the excess, if
      any, of (a) the aggregate of the Principal Distribution Amounts for Pool 4A
      and
      Pool 4B for such Distribution Date over (b) the amount distributed to the Group
      4A Senior Certificates, the Group 4B Senior Certificates and the Class 4-M1,
      Class 4-M2, Class 4-M3, Class 4-M4, Class 4-M5 and Class 4-M6 Certificates
      on
      such date pursuant to clauses (A) through (G) above, and (y) the 4-M7 Principal
      Distribution Amount for such date, until the Class Principal Amount of such
      Class has been reduced to zero; and

     

    (I)
       for
      application as part of Pool 4A-4B Monthly Excess Cashflow for such Distribution
      Date, as provided in Section 5D.02(e), any Principal Distribution Amount
      remaining from Pool 4A and Pool 4B after application pursuant to clauses (A)
      through (H) above;

     

    (e)
       On
      each
      Distribution Date, the Trustee shall distribute the sum of Pool 4A Monthly
      Excess Interest and Pool 4B Monthly Excess Interest for such Distribution Date
      in the following order of priority:

     

    (i)
       for
      each
      Distribution Date, to the Group 4 Certificates after application of the Interest
      Remittance Amount and the Principal Distribution Amount for each of Pool 4A
      and
      Pool 4B, in the following order of priority;

     

    (A)
       concurrently,
      on a pro
      rata
      basis,
      based on amounts due, to the Group 4A Senior Certificates and Group 4B Senior
      Certificates, any Current Interest and Carryforward Interest for such Classes
      for such Distribution Date, to the extent unpaid after distributions pursuant
      to
      Section 5D.02(b)(i) and Section 5D.02(c)(i), respectively; provided,
      however,
      that
      any shortfall in Current Interest and Carryforward Interest will be allocated
      among such Classes in proportion to the amount of Current Interest and
      Carryforward Interest that would otherwise be distributable
      thereon;

     

    (B)
       to
      the
      Group 4 Subordinate Certificates, in accordance with the Group 4 Subordinate
      Priority, Current Interest and any Carryforward Interest for each such Class
      on
      such Distribution Date; and

     

    (C)
       to
      the
      Trustee, any amounts reimbursable pursuant to Section 4.04(b)(i) and not
      previously reimbursed to the Trustee;

     

    (ii)
       for
      each
      Distribution Date occurring (a) before the Pool 4A-4B Stepdown Date or (b)
      on or
      after the Pool 4A-4B Stepdown Date but for which a Pool 4A-4B Trigger Event
      is
      in effect, then until the aggregate Certificate Principal Amount of the Group
      4
      Certificates equals the Pool 4A-4B Target Amount, in reduction of the Class
      Principal Amounts of the Group 4 Certificates in the following order of
      priority:

     

    (A)
       concurrently,
      to the Group 4A Senior Certificates and the Group 4B Senior Certificates, in
      proportion to the aggregate Class Principal Amount of the Senior Certificates
      related to each Group, in each case in accordance with the Group 4A Senior
      Priority or Group 4B Senior Priority, as applicable, in reduction of their
      respective Class Principal Amounts, until the Class Principal Amount of each
      such Class has been reduced to zero; and

     

    

    
      
        
          Annex
            5D.02

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    

     

    (B)
       to
      the
      Group 4 Subordinate Certificates, in accordance with the Group 4 Subordinate
      Priority, in reduction of their Class Principal Amounts, until the Class
      Principal Amount of each such Class has been reduced to zero; 

     

    (iii)
       for
      each
      Distribution Date occurring on or after the Pool 4A-4B Stepdown Date and for
      which a Pool 4A-4B Trigger Event is not in effect, in the following order of
      priority:

     

    (A)
       concurrently,
      to the Group 4A Senior Certificates and the Group 4B Senior Certificates, in
      proportion to the aggregate Class Principal Amount of the Senior Certificates
      related to each such Group, in each case in accordance with the Group 4A Senior
      Priority or Group 4B Senior Priority, as applicable, in reduction of their
      respective Class Principal Amounts, until the aggregate Class Principal Amount
      of each such Class, after giving effect to previous principal distributions
      on
      such Distribution Date pursuant to Section 5D.02(d)(ii) above, equals the Pool
      4A-4B Senior Target Amount; 

     

    (B)
       to
      the
      Class 4-M1 Certificates, in reduction of their Class Principal Amount, until
      the
      aggregate Class Principal Amount of the Group 4A Senior Certificates, Group
      4B
      Senior Certificates and Class 4-M1 Certificates, after giving effect to
      distributions on such Distribution Date, equals the 4-M1 Target
      Amount;

     

    (C)
       to
      the
      Class 4-M2 Certificates, in reduction of their Class Principal Amount, until
      the
      aggregate Class Principal Amount of the Group 4A Senior Certificates, Group
      4B
      Senior Certificates and Class 4-M1 and Class 4-M2 Certificates, after giving
      effect to distributions on such Distribution Date, equals the 4-M2 Target
      Amount;

     

    (D)
       to
      the
      Class 4-M3 Certificates, in reduction of their Class Principal Amount, until
      the
      aggregate Class Principal Amount of the Group 4A Senior Certificates, Group
      4B
      Senior Certificates and Class 4-M1, Class 4-M2 and Class 4-M3 Certificates,
      after giving effect to distributions on such Distribution Date, equals the
      4-M3
      Target Amount; 

     

    (E)
       to
      the
      Class 4-M4 Certificates, in reduction of their Class Principal Amount, until
      the
      aggregate Class Principal Amount of the Group 4A Senior Certificates, Group
      4B
      Senior Certificates and Class 4-M1, Class 4-M2, Class 4-M3 and Class 4-M4
      Certificates, after giving effect to distributions on such Distribution Date,
      equals the 4-M4 Target Amount; and

     

    (F)
       to
      the
      Class 4-M5 Certificates, in reduction of their Class Principal Amount, until
      the
      aggregate Class Principal Amount of the Group 4A Senior Certificates, Group
      4B
      Senior Certificates and Class 4-M1, Class 4-M2, Class 4-M3, Class 4-M4 and
      Class
      4-M5 Certificates, after giving effect to distributions on such Distribution
      Date, equals the 4-M5 Target Amount;

     

    

    
      
        
          Annex
            5D.02

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    

     

    (G)
       to
      the
      Class 4-M6 Certificates, in reduction of their Class Principal Amount, until
      the
      aggregate Class Principal Amount of the Group 4A Senior Certificates, Group
      4B
      Senior Certificates and Class 4-M1, Class 4-M2, Class 4-M3, Class 4-M4, Class
      4-M5 and Class 4-M6 Certificates, after giving effect to distributions on such
      Distribution Date, equals the 4-M6 Target Amount; and

     

    (H)
       to
      the
      Class 4-M7 Certificates, in reduction of their Class Principal Amount, until
      the
      aggregate Class Principal Amount of the Group 4A Senior Certificates, Group
      4B
      Senior Certificates and Class 4-M1, Class 4-M2, Class 4-M3, Class 4-M4, Class
      4-M5, Class 4-M6 and Class 4-M7 Certificates, after giving effect to
      distributions on such Distribution Date, equals the 4-M7 Target
      Amount;

     

    (iv)
       to
      the
      Group 4A Senior Certificates and the Group 4B Senior Certificates, pro
      rata,
      in
      proportion to their respective Deferred Amounts, any applicable Deferred Amount
      (and any interest accrued on such Deferred Amounts at the related Interest
      Rate)
      for each such Class and such Distribution Date;

     

    (v)
       to
      the
      Group 4 Subordinate Certificates, in accordance with the Group 4 Subordinate
      Priority, any Deferred Amount for each such Class and such Distribution
      Date;

     

    (vi)
       to
      the
      Class 4-X Certificate, the Class 4-X Distributable Amount for such Distribution
      Date; and

     

    (vii)
       to
      the
      Class 4-LT-R Certificate, any amount remaining on such date after application
      pursuant to clauses (i) through (vii) above to the extent attributable to
      Pooling REMIC 4, and otherwise to the Class 4-R Certificate; 

     

    (f)
       On
      each
      Distribution Date occurring after a Section 7.01(d) Purchase Event, but on
      or
      prior to a Pool 4A-4B Termination Event, the Trustee (or the Paying Agent on
      behalf of the Trustee), shall withdraw from the Certificate Account the Total
      Distribution Amount for Pool 4A and Pool 4B (to the extent such amount is on
      deposit in the Certificate Account) and shall allocate such amount to the
      interests issued in respect of the Pooling REMIC 4 Regular Interests created
      pursuant to this Agreement and shall distribute such Total Distribution Amount
      first,
      to
      the
      Trustee, any amounts reimbursable pursuant to Section 4.04(b)(i) and not
      previously reimbursed to the Trustee; second,
      to the
      LTURI-holder, any remaining related Total Distribution Amount for Pool 4A and
      Pool 4B to the extent payable on the Pooling REMIC 4 Regular Interests as
      provided in the Preliminary Statement; and third,
      to the
      Class 1-LT-R Certificates, any remaining amounts.

     

    (g)
       On
      each
      Distribution Date, all Prepayment Premiums with respect to the Pool 4A Mortgage
      Loans and Pool 4B Mortgage Loans to which the Trust Fund is entitled received
      during the related Prepayment Period shall be distributed to the following
      Classes (in each case, in respect of the related Class P Component thereof),
      regardless of whether the Class Notional Amount of the related Class I Component
      thereof has been reduced to zero, as follows:

     

    

    
      
        
          Annex
            5D.02

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    

     

    (A)
       
      all
      Prepayment Premiums received on each Mortgage Loan in Pool 4A shall be
      distributed to the Class 4A-AIO Certificates; and 

     

    (B)
       
      all
      Prepayment Premiums received on each Mortgage Loan in Pool 4B shall be
      distributed to the Class 4B-AIO Certificates.

     

    (h)
       On
      each
      Distribution Date, an amount equal to the aggregate FPD Premiums collected
      during the preceding Prepayment Period shall be distributed to the Class 4-X
      Certificates.

     

    

    
      
        
          Annex
            5D.02Unassociated Document

    

    EXHIBIT
      10.1

     

    ARRANGEMENT
      AGREEMENT

     

    This
      Arrangement Agreement
      dated
      March 13, 2007, between 6732097
      Canada Inc.,
      (“Purchaser”),
      a
      corporation incorporated under the laws of Canada and an indirect wholly-owned
      subsidiary of Ad.Venture
      Partners, Inc.,
      a
      Delaware corporation (“Parent”),
      Parent and 180
      Connect Inc.,
      a
      corporation incorporated under the laws of Canada (the “Company”).
      

     

    The
      Purchaser and the Parent desire to acquire all of the issued and outstanding
      Common Shares of the Company and to assume the obligation to issue common stock
      upon exercise of the Company Options, the Company SARs and Company Warrants
      (each as defined below) and conversion of the Convertible Debentures (as defined
      below), in each case in accordance with the provisions of this
      Agreement.

     

    As
      a
      condition of the willingness of the Company, Parent and Purchaser to enter
      into
      this Agreement, (i) the holders of shares of the Company set forth in
      Schedule A-1 (the “Company
      Affiliates”)
      hereby
      have entered into Voting Agreements dated as of the date hereof in the form
      attached hereto as Schedule B-1 (the “Company
      Voting Agreements”)
      with
      Parent, Purchaser and the Company which provide, among other things, that,
      subject to the terms and conditions thereof, such shareholders will vote their
      Common Shares (as defined below) in favor of this Agreement and the Transactions
      (as defined below) and (ii) the holders of shares of Parent set forth in
      Schedule A-2 hereby have entered into Voting Agreements dated as of the
      date hereof in the form attached hereto as Schedule B-2 (the “Parent
      Voting Agreements”
and
      together with the Company Voting Agreements, the “Voting
      Agreements”)
      with
      Parent, Purchaser and the Company which provide, among other things, that,
      subject to the terms and conditions thereof, such shareholders will vote certain
      of their shares of Parent Common Stock (as defined below) in favor of this
      Agreement and the Transactions (as defined below).

     

    Now,
      Therefore,
      intending to be legally bound and in consideration of the mutual provisions
      set
      forth in this Agreement and for other good and valuable consideration, the
      receipt and sufficiency of which is hereby acknowledged, the parties agree
      as
      follows:

     

    ARTICLE
      1

     

    INTERPRETATION

     

    1.1  Definitions. For
      the
      purposes of this Agreement and the Ancillary Agreements: 

     

    “Acquired
      Companies”
means,
      collectively, the Company and its Subsidiaries, and each an “Acquired
      Company.”

     

    “Acquisition
      Proposal”
means,
      any proposal or offer (written or oral) relating to any Acquisition
      Transaction.

     

    “Acquisition
      Transaction”
means
      any merger, consolidation, combination, amalgamation, take-over bid, tender
      offer, arrangement, recapitalization, liquidation, dissolution, share exchange,
      acquisition, disposition or other transaction involving the Company or any
      of
      its Subsidiaries or any securities or assets of the Company or any of its
      Subsidiaries that would reasonably be expected to result in: (i) a person,
      entity or group acquiring 10% or more of any class of the capital stock of
      the
      Company or 1% or more of any class of the capital stock of any of its
      Subsidiaries; (ii) any sale, lease, license, disposition or acquisition of
      assets (or other transaction having the same economic effect) representing
      10%
      or more of the assets or generating 10% or more of the revenue of the Acquired
      Companies taken as a whole; or (iii) the issuance or disposition of 10% or
      more
      of any class of capital stock of the Company or 1% or more of any class of
      the
      capital stock of any of its Subsidiaries.

     

    

    
      
        
          
          

        

        
          1.

          
            

          

        

        
          
          

        

      

    

    

    “Affiliate”
means,
      with respect to a specified Person, a Person that directly, or indirectly
      through one or more intermediaries, controls, is controlled by or is under
      common control with, the specified Person. In addition to the foregoing, if
      the
      specified Person is an individual, the term “Affiliate” also
      includes:

     

    (a)  the
      individual’s spouse;

     

    (b)  the
      members of the immediate family (including parents, siblings and children)
      of
      the individual or of the individual’s spouse residing at the same principal
      residence as the specified Person; and 

     

    (c)  any
      corporation, limited liability company, general or limited partnership, trust,
      association or other business or investment entity that directly or indirectly,
      through one or more intermediaries controls, is controlled by or is under common
      control with any of the foregoing individuals. 

     

    For
      purposes of this definition, the term “control” (including the terms
“controlling”, “controlled by” and “under common control with”) means the
      possession, direct or indirect, of the power to direct or cause the direction
      of
      the management and policies of a Person, whether through the ownership of voting
      securities, by contract or otherwise.

     

    “Agreement”
means
      this Arrangement Agreement as the same may be amended, supplemented or otherwise
      modified from time to time in accordance with the terms hereof.

     

    “Ancillary
      Agreements”
means
      the Voting Agreements, the Exchangeable Share Support Agreement, the Voting
      and
      Exchange Trust Agreement and any other agreements entered into in connection
      herewith.

     

    “Arrangement”
means
      an arrangement under Section 192 of the CBCA on the terms and subject to the
      conditions set out in the Plan of Arrangement, subject to any amendments or
      variations thereto made in accordance with Section 8.3 or Article 6 of the
      Plan
      of Arrangement or made at the direction of the Court in the Final
      Order.

     

    “Arrangement
      Resolution”
means
      the special resolution of the Company Securities Holders approving the
      Arrangement to be considered at the Company Meeting substantially in the form
      of
      Schedule C to this Agreement.

     

    “Articles
      of Arrangement”
means
      the articles of arrangement of the Company in respect of the Arrangement,
      required by the CBCA to be sent to the Director after the Final Order has been
      granted, giving effect to the Arrangement.

     

    “Balance
      Sheet”
is
      defined in Section 3.5(a).

     

    

    
      
        
          
          

        

        
          2.

          
            

          

        

        
          
          

        

      

    

    

    “Business”
means
      the business of providing installation, integration and fulfillment services
      to
      the home entertainment, communications and home integration service industries
      as currently conducted by the Acquired Companies.

     

    “Business
      Day”
means
      a
      day of the year in which banks are not required or authorized to be closed
      in
      the City of Calgary, Alberta or the City of New York, New York.

     

    “Canadian
      GAAP”
is
      defined in Section 3.5(b).

     

    “Canadian Securities
      Act”
means
      the Securities
      Act
      (Alberta) and the equivalent legislation in the other provinces of Canada and
      the rules, regulations and published policies made thereunder, as now in effect
      and as they may be promulgated or amended from time to time prior to the
      Effective Time.

     

    “Canadian
      Tax Act”
means
      the Income
      Tax Act
      (Canada)
      and the regulations thereunder, as now in effect and as they may be amended
      or
      promulgated from time to time prior to the Effective Time.

     

    “Canco”
means
      1305699 Alberta ULC, an unlimited liability company existing under the laws
      of
      Alberta and a direct wholly-owned subsidiary of Parent or any other direct
      or
      indirect wholly-owned subsidiary designated by Parent from time to time in
      replacement thereof.

     

    “CBCA”
means
      the Canada
      Business Corporations Act
      and the
      regulations made thereunder, as promulgated or amended from time to time prior
      to the Effective Time.

     

    “Circular”
means
      the notice of the Company Meeting and accompanying management information
      circular of the Company, including all appendices thereto, to be sent to Company
      Securities Holders in connection with the Company Meeting.

     

    “Closing”
is
      defined in Section 2.4.

     

    “Closing
      Date”
is
      defined in Section 2.4.

     

    “Code”
means
      the U.S. Internal Revenue Code of 1986, as amended.

     

    “Common
      Shares”
means
      common shares in the capital of the Company.

     

    “Common
      Shares Outstanding”
means
      the aggregate number of Common Shares issued and outstanding on the Closing
      Date.

     

    “Company
      Affiliates”
is
      defined in the Recitals. 

     

    “Company
      Contract”
means
      any Contract to which any Acquired Company is a party or by which any Acquired
      Company is bound or to which any of their respective properties or assets is
      subject.

     

    “Company
      Disclosure Schedule”
means
      the disclosure letter delivered pursuant to Article 3 by the Company to Parent
      and Purchaser concurrently with the execution and delivery of this Agreement
      in
      each case referencing the section or subsection of this Agreement in respect
      of
      which disclosure is being made.

     

    “Company
      Documents”
is
      defined in Section 3.5(c). 

     

    “Company Financial
      Advisor”
is
      defined in Section 3.2(a).

     

    

    
      
        
          
          

        

        
          3.

          
            

          

        

        
          
          

        

      

    

    

    “Company
      IP”
means
      the Owned IP and the Licensed IP.

     

    “Company
      Material Adverse Effect”
means
      any change, event, effect, claim, circumstance or matter relating to any of
      the
      Acquired Companies that (considered together with all other changes, effects,
      claims, circumstances or matters) has materially and adversely affected, or
      would reasonably be expected to materially and adversely affect: (i) the
      business, financial condition, properties, assets, liabilities or results of
      operations of the Acquired Companies taken as a whole, (ii) Purchaser’s right to
      own, or to receive dividends or other distributions with respect to, the stock
      of the Company or to operate the Acquired Companies’ businesses (other than
      restrictions imposed by the Plan of Arrangement or the Ancillary Agreements),
      in
      each case, after completion of the Transactions as contemplated by this
      Agreement and the Plan of Arrangement, or (iii) the ability of the Company
      to consummate the Transactions or to perform any of its obligations under this
      Agreement; provided,
      however,
      that
      none of the following (either by themselves or when aggregated with any other
      changes, events, effects, claims, circumstances or matters) shall be deemed
      to
      constitute a Company Material Adverse Effect, or shall be taken into account
      when determining whether a Company Material Adverse Effect has occurred or
      may
      occur: (A) conditions generally affecting the cable and satellite installation,
      home security and home networking industries in which the Acquired Companies
      participate (including any changes arising out of acts of terrorism, military
      actions or war, weather conditions or other force majeure events), provided
      that
      such change or event does not have a materially disproportionate impact on
      the
      Acquired Companies, taken as a whole; (B) conditions generally affecting the
      general economy as a whole (including any changes arising out of acts of
      terrorism, military actions or war, weather conditions or other force majeure
      events), provided that such change or event does not have a materially
      disproportionate impact on the Acquired Companies, taken as a whole; (C) the
      taking by the Company of any action required to be taken by the Company by
      this
      Agreement; (D) the announcement of, and the pendency of, the Agreement and
      the
      Transactions; (E) a decline in the price of capital stock of the Company in
      and of itself; (F) any reasonable fees and expenses incurred in connection
      with
      the Transactions, (G) any change in Laws or accounting principles or
      interpretation thereof applicable to the Acquired Companies, or (H) any matter
      that has been disclosed to Parent by any of the methods specified in clause
      (x),
      (y) or (z) of the first paragraph of Article 3 hereof, provided that the
      magnitude of such matter is reasonably apparent from such disclosures as of
      the
      date hereof.

     

    “Company
      Meeting”
means
      the annual meeting of the Common Shareholders and the special meeting of the
      Company Securities Holders, including any adjournment or postponement thereof,
      to be called and held in accordance with the Interim Order to consider, and
      if
      thought fit, approve among other things the Arrangement Resolution.

     

    “Company
      Optionholders”
means
      the holders of the Company Options.

     

    “Company
      Options”
means
      all options to purchase Common Shares granted under the Company Stock
      Plans.

     

    “Company
      Plan”
means
      all health, welfare, dental, legal, disability, hospitalization or other medical
      benefits, life or other insurance, supplemental unemployment benefits,
      profit-sharing, pension, or retirement plan, program, agreement or arrangement,
      and each other employee benefit plan, program, policy, practice, agreement
      or
      arrangement, (whether oral or written, formal or informal, funded or unfunded,
      insured or self-insured, registered or unregistered, contractual or statutory)
      sponsored, maintained or contributed to or required to be contributed to by
      the
      Acquired Companies or to which an Acquired Company is a party or by which an
      Acquired Company is bound or which have any application to or are for the
      benefit of any of any Acquired Company’s current or former employees, directors
      or consultants including, without limitation, any employee benefit plan for
      the
      benefit of any current or former director, officer, employee or consultant
      of
      any Acquired Company, or with respect to which any Acquired Company has or
      may
      have any Liability, including any Pension Plan, any Multiemployer Plan and
      any
      other written or oral plan, Contract or arrangement involving direct or indirect
      compensation or benefits, including insurance coverage, termination notice,
      severance or other termination pay or benefits, change in control, retention,
      performance, holiday pay, vacation pay, fringe benefits, disability benefits,
      pension, retirement plans, profit sharing, deferred compensation, bonuses,
      incentive compensation, stock options, share purchase, restricted share or
      share
      units, phantom shares, share appreciation or other forms of incentive
      compensation or post-retirement compensation, maintained or contributed to
      by
      any Acquired Company (or that has been maintained or contributed to in the
      last
      six years by any Acquired Company) for the benefit of any current or former
      director, officer, employee or consultant of any Acquired Company, or with
      respect to which any Acquired Company has or may have any
      Liability.

     

    

    
      
        
          
          

        

        
          4.

          
            

          

        

        
          
          

        

      

    

    

    “Company
      SARs”
means
      share appreciation rights granted under the Company Stock Plans.

     

    “Company
      SAR Holders”
means
      the holders of Company SARs.

     

    “Company
      Securities Holders”
means
      the Company Shareholders and the Company Optionholders.

     

    “Company
      Shareholders”
means
      the holder of record of Common Shares.

     

    “Company
      Stock Plans”
means
      the Company’s stock option plan or any other stock option, share appreciation
      rights or equity related plan, program or agreement maintained by the Company
      or
      to which the Company is a party.

     

    “Company
      Warrants”
means
      all issued and outstanding warrants to purchase Common Shares.

     

    “Competition
      Act”
means
      the Competition
      Act
      (Canada).

     

    “Confidential
      Information”
is
      defined in the Confidentiality Agreement.

     

    “Confidentiality
      Agreement”
is
      defined in Section 5.9.

     

    “Contract”
means
      any contract, agreement, lease, license, commitment, understanding, franchise,
      warranty, guaranty, mortgage, note, bond, option, warrant, right or other
      instrument or consensual obligation, whether written or oral.

     

    “Convertible
      Debentures”
means
      the Company’s 9.33% Convertible Debentures due March 22, 2011 issued
      pursuant to the Securities Purchase Agreement dated March 21, 2006 (the
“Securities
      Purchase Agreement”).

     

    “Court”
means
      the Court of Queen’s Bench of Alberta.

     

    “CRA”
means
      Canada Revenue Agency.

     

    “Depositary”
means
      Valiant Trust Company, or such other Person as is appointed to act as depositary
      for the purposes of the Arrangement selected by the Company, acting
      reasonably.

     

    “Director”
means
      the Director appointed pursuant to Section 260 of the CBCA.

     

    “Dissent
      Rights”
means
      the rights of dissent in respect of the Arrangement described in
      Section 3.1 of the Plan of Arrangement.

     

    

    
      
        
          
          

        

        
          5.

          
            

          

        

        
          
          

        

      

    

    

    “Dissenting
      Shareholder”
means
      a
      Company Shareholder who dissents in respect of the Arrangement in compliance
      with the Dissent Rights.

     

    “Effective
      Time”
has
      the
      meaning ascribed thereto in the Plan of Arrangement.

     

    “Encumbrance”
means
      any charge, claim, mortgage, servitude, easement, right of way, community or
      other marital property interest, covenant, equitable interest, license, lease
      or
      other possessory interest, lien, option, pledge, security interest, preference,
      priority, right of first refusal, restriction (other than any restriction on
      transferability imposed by federal, provincial or state securities Laws) or
      other encumbrance of any kind or nature whatsoever (whether absolute or
      contingent). 

     

    “Environment”
means
      the natural environment (including, soil, land surface or subsurface strata,
      surface waters, groundwater, sediment, ambient air (including all layers of
      the
      atmosphere), organic and inorganic matter, and any other environmental medium
      or
      natural resource.

     

    “Environmental
      Laws”
means
      all applicable Laws relating to public health and safety, pollution or the
      protection of the Environment or to the generation, production, installation,
      use, storage, treatment, transportation, Release or threatened Release of
      Hazardous Materials, and all applicable Governmental Authorizations issued
      pursuant to such Laws.

     

    “Exchange
      Act”
means
      the United States Securities Exchange Act of 1934, as amended.

     

    “Exchange
      Ratio”
shall
      initially mean 0.6272, subject to adjustment pursuant to the formula set forth
      on Exhibit A.

     

    “Exchangeable
      Shares”
means
      the
      exchangeable shares to be created in the capital of the Purchaser prior to
      the
      Effective Time, having substantially the rights, privileges, restrictions and
      conditions set out in Appendix 1 of the Plan of Arrangement. 

     

    “Fairness
      Opinion”
      means:

     

    (a) with
      respect to the Company, a written opinion of the Company Financial Advisor
      to
      the Board of Directors of the Company that, as of the date of such opinion,
      the
      consideration to be received by the Company Shareholders under the Arrangement
      is fair from a financial point of view, to the Company Shareholders;
      and

     

    (b) with
      respect to Parent, a written opinion of the Parent Financial Advisor to the
      Board of Directors of the Company that, as of the date of such opinion, the
      Transaction is fair from a financial point of view, to the Parent
      Stockholders.

     

    “Final
      Order”
means
      the final order of the Court approving the Arrangement, as such order may be
      amended or varied at any time prior to the Effective Time or, if appealed,
      then
      unless such appeal is withdrawn or denied, as affirmed or as amended on
      appeal.

     

    “Financial
      Statements”
is
      defined in Section 3.5(a).

     

    “Governmental
      Authority”
      means:

     

    (a) any
      multinational, federal, provincial, state, regional, municipal, local or other
      government, governmental or public department, ministry, central bank, court,
      tribunal, arbitral body, commission, board, bureau or agency, domestic or
      foreign;

     

    

    
      
        
          
          

        

        
          6.

          
            

          

        

        
          
          

        

      

    

    

    (b) any
      subdivision, agent or authority of any of the foregoing; or

     

    (c) any
      quasi-governmental or private body, including any tribunal, commission,
      regulatory agency or self-regulatory organization, exercising any regulatory,
      expropriation or taxing authority under or for the account of any of the
      foregoing.

     

    “Governmental
      Authorization”
means
      any approval, consent, ratification, waiver, license, permit, registration
      or
      other authorization issued, granted, given or otherwise made available by or
      under the authority of any Governmental Authority or pursuant to any
      Law.

     

    “Hazardous
      Material”
means
      any substance or material that is prohibited, controlled or regulated by any
      Governmental Authority pursuant to Environmental Laws, including pollutants,
      contaminants, dangerous goods or substances, toxic, deleterious or hazardous
      substances or materials, wastes (including solid non hazardous wastes and
      subject wastes), petroleum and its derivatives and by products and other
      hydrocarbons, all as regulated under, governed by or defined in or pursuant
      to
      any Environmental Law.

     

    “HSR
      Act”
is
      defined in Section 3.3(b).

     

    “Intellectual
      Property Rights”
      means:

     

    
      	 	
              (a)

            	
              any
                and all proprietary rights, in any jurisdiction worldwide, provided
                under:

            

    

     

    
      	 	
              (i)

            	
              patent
                law;

            

    

     

    
      	 	
              (ii)

            	
              copyright
                law;

            

    

     

    
      	 	
              (iii)

            	
              trademark
                law;

            

    

     

    
      	 	
              (iv)

            	
              design
                patent or industrial design law;

            

    

     

    
      	 	
              (v)

            	
              semiconductor
                chip or mask work law; or

            

    

     

    
      	 	
              (vi)

            	
              any
                other applicable statutory provision or common law principle, including
                trade secret law, that may provide a right in ideas, formulae, algorithms,
                concepts, inventions (whether patentable or not), works, or know-how,
                or
                the expression or use thereof, and including all past, present, and
                future
                causes of action, rights of recovery, and claims for damage, accounting
                for profits, royalties, or other relief relating, referring, or pertaining
                to any of the foregoing; and

            

    

     

    (b) any
      and
      all applications, registrations, renewals, extensions, continuations, divisions,
      reissues, licenses, sublicenses, agreements, or any other evidence of a right
      in
      any of the foregoing.

     

    “Interim
      Order”
means
      the interim order of the Court, as the same may be amended in respect of the
      Arrangement, as contemplated by Section 2.2.

     

    “Investment
      Canada Act”
means
      the Investment Canada Act.

     

    “Judgment”
means
      any order, injunction, judgment, decree, ruling, assessment or arbitration
      award
      of any Governmental Authority or arbitrator.

     

    

    
      
        
          
          

        

        
          7.

          
            

          

        

        
          
          

        

      

    

    

    “Knowledge”
means,
      when used in reference to any Person, the actual knowledge of any of the
      directors or executive officers of such Person and after a reasonable
      investigation by such individuals.

     

    “Laws”
means
      all laws (including common law), by-laws, statutes, rules, regulations,
      principles of law and equity, orders, rulings, ordinances, judgments,
      injunctions, determinations, awards, decrees or other requirements, whether
      domestic or foreign, in effect as of the date in question, and the terms and
      conditions of any grant of approval, permission, authority or license of any
      Governmental Authority or self-regulatory authority (including the TSX), and
      the
      term “applicable”
with
      respect to such Laws (including Environmental Laws) and in a context that refers
      to one or more Parties, means such Laws as are applicable to such Party or
      its
      business, undertaking, property or securities and emanate from a Person having
      jurisdiction over the Party or Parties or its or their business, undertaking,
      property or securities.

     

    “Liability”
      includes liabilities, debts or other obligations of any nature, whether known
      or
      unknown, absolute, accrued, contingent, liquidated, unliquidated or otherwise,
      due or to become due or otherwise, and whether or not required to be reflected
      on a balance sheet prepared in accordance with U.S. GAAP in the case of Parent,
      or in accordance with Canadian GAAP in the case of the Acquired Companies or
      Purchaser.

     

    “Licensed
      IP”
means
      all Technology and Intellectual Property Rights therein, other than Owned IP,
      that are either used in the Business or licensed to the Acquired Companies,
      including the rights to use, practice, make, repair, cure, modify, market,
      distribute, transfer, assign, sell, and support such Technology.

     

    “Multiemployer
      Plan”
means
      a
      plan (i) to which more than one employer is required to contribute, and (ii)
      which is maintained pursuant to one or more collective bargaining or other
      agreements between one or more employee organizations and more than one
      employer.

     

    “Organizational
      Documents”
means,
      with respect to any Person that is an entity, such Person’s certificate or
      articles of incorporation, bylaws, certificate of formation, operating agreement
      or comparable charter and organizational documents.

     

    “Original
      Significant Canadian Shareholder”
is
      defined in Section 7.12(b).

     

    “Original
      Significant Exchangeable Shareholder”
is
      defined in Section 7.12(a). 

     

    “Owned
      IP”
means
      all Technology, together with all Intellectual Property Rights therein, (i)
      created by or on behalf of the Acquired Companies; or (ii) in which any Acquired
      Company purports to have an ownership or exclusive interest of any nature
      (whether exclusively, jointly with another Person, or otherwise).

     

    “Parent
      Common Stock”
means
      Parent’s common stock, par value $0.0001 per share.

     

    “Parent
      Contract”
means
      any Contract to which Parent or Purchaser is a party or by which Parent or
      Purchaser is bound or to which any of their respective properties or assets
      is
      subject.

     

    “Parent
      Disclosure Schedule”
means
      the disclosure letter delivered pursuant to Article 4 by the Parent to the
      Company concurrently with the execution and delivery of this Agreement in each
      case referencing the section or subsection of this Agreement in respect of
      which
      disclosure is being made.

     

    “Parent
      Financial Advisor”
is
      defined in Section 4.2.

     

    

    
      
        
          
          

        

        
          8.

          
            

          

        

        
          
          

        

      

    

    

    “Parent
      IPO Shares”
means
      the Parent Common Stock issued in connection with Parent’s initial public
      offering consummated on August 31, 2005.

     

    “Parent
      Material Adverse Effect”
means
      any change, event, effect, claim, circumstance or matter relating to Parent
      that
      (considered together with all other changes, effects, claims, circumstances
      or
      matters) has materially and adversely affected, or would reasonably be expected
      to materially and adversely affect: (i) the business, financial condition,
      properties, assets or liabilities of Parent and its Subsidiaries taken as a
      whole, (ii) the ability of Parent to consummate the Transactions or to
      perform its obligations under this Agreement or (iii) Parent’s right to
      own, or to receive dividends or other distributions with respect to, the stock
      of the Company (other than restrictions imposed by the Plan of Arrangement
      or
      the Ancillary Agreements) or the Company Shareholders’ right to own, or to
      receive dividends or other distributions with respect to Parent Common Stock,
      in
      each case, after completion of the Transactions as contemplated by this
      Agreement and the Plan of Arrangement; provided,
      however,
      that
      none of the following, either individually or in the aggregate shall be deemed
      to constitute, or shall be taken into account when determining whether a Parent
      Material Adverse Effect has occurred or may occur: (A) conditions generally
      affecting the general economy as a whole (including any changes arising out
      of
      acts of terrorism, military actions or war, weather conditions or other force
      majeure events), provided that such change or event does not have a materially
      disproportionate impact on the Parent, taken as a whole; (B) the taking by
      the Parent of any action required to be taken by the Parent by this Agreement;
      (C) the announcement of, and the pendency of, the Agreement and the
      Transactions; (D) a decline in the price of the units, capital stock or
      warrants of the Parent in and of itself; (E) any reasonable fees and expenses
      incurred in connection with the Transactions, (F) any change in Laws or
      accounting principles or interpretation thereof applicable to the Parent or
      (G)
      the exercise by holders of less than 20% in interest of the Parent IPO Shares
      of
      their rights to convert such shares into cash in accordance with Parent’s
      Amended and Restated Certificate of Incorporation.

     

    “Parent
      Meeting”
means
      the special and annual meeting of Parent Stockholders, including any adjournment
      or postponement thereof, to be called and held to consider the Parent
      Stockholder Approval Matters and, in the case of an annual meeting, such other
      matters as Parent deems appropriate for such meeting.

     

    “Parent
      SEC Reports”
is
      defined in Section 4.5(c).

     

    “Parent
      Stockholders”
means
      the holders of Parent Common Stock.

     

    “Parent
      Stockholder Approval Matters”
means
      the following matters: (a) the adoption of this Agreement and the approval
      of
      the Arrangement, Plan of Arrangement and the Share Issuance, (b) an amendment
      and restatement of Parent’s Amended and Restated Certificate of Incorporation,
      substantially in the form of Schedule N pursuant to which, among other things,
      (i) Parent’s name will be changed to 180 Connect Inc., (ii) certain provisions
      of Article Fifth of the certificate of incorporation that are no longer
      applicable following the Arrangement will be removed and (iii) the authorized
      capital stock of Parent will be increased, (c) election of Parent directors
      in
      accordance with the provisions of Section 5.14 hereof and (d) the adoption
      and
      approval of a long-term incentive plan, pursuant to which up to 2,000,000 shares
      of Parent Common Stock will be available for delivery under awards of options,
      share appreciation rights and/or restricted stock granted pursuant to the plan
      (such plan to be in a form proposed by the Company and reasonably acceptable
      to
      Parent).

     

    “Parties”
means
      the Company, on the one hand, and Parent and Purchaser, on the other hand,
      and
“Party”
means
      either of them.

     

    

    
      
        
          
          

        

        
          9.

          
            

          

        

        
          
          

        

      

    

    

    “Pension
      Plan”
means
      all plans, arrangements, agreements, programs, policies or practices (whether
      oral or written, formal or informal, funded or unfunded, insured or
      self-insured, registered or unregistered) to which an Acquired Company is a
      party or by which an Acquired Company is bound or under which an Acquired
      Company has any liability or contingent liability or which have any application
      to an Acquired Company’s employees (including all current, retired and former
      directors, officers, employees, individuals working on contract with the
      Acquired Corporation or other individuals providing services to the Acquired
      Corporation of a kind normally provided by employees) or their dependants or
      beneficiaries and consisting of or relating to, as the case may be, any one
      or
      more retirement savings or pensions, including any defined benefit pension
      plan,
      defined contribution pension plan, group registered retirement savings plan,
      or
      supplemental pension or retirement plan.

     

    “Person”
means
      any individual, corporation (including any non-profit corporation), general
      partnership, limited partnership, limited liability partnership, joint venture,
      estate, trust, company (including any limited liability company, unlimited
      liability company or joint stock company), firm, enterprise, association,
      organization or any other entity, including a Governmental
      Authority.

     

    “Plan
      of Arrangement”
means
      the plan of arrangement, substantially in the form of Schedule D hereto and
      any amendments or variations thereto made in accordance with Section 8.3
      hereof or Article 6
      of the
      Plan of Arrangement or made at the direction of the Court in the Final
      Order.

     

    “Post-Signing
      Returns”
has
      the
      meaning ascribed thereto in Section 9.1(a).

     

    “Proceeding”
means
      any action, arbitration, claim, charge, audit, examination, investigation,
      hearing, litigation or suit (whether civil, criminal, administrative, judicial
      or investigative, whether formal or informal, and whether public or private)
      commenced, brought, conducted or heard by or before, or otherwise involving,
      any
      Governmental Authority or arbitrator.

     

    “Prospectus”
means
      the prospectus contained in the Proxy and Registration Statement.

     

    “Proxy
      and Registration Statement”
means
      Parent’s Registration Statement on Form S-4, and all amendments and
      supplements thereto, to be filed with the SEC containing a proxy statement
      meeting the requirements of Schedule 14A for the Parent Meeting and a prospectus
      relating to the Parent Common Stock issuable pursuant to the Plan of
      Arrangement.

     

    “Proxy
      Statement”
means
      the proxy statement contained in the Proxy and Registration
      Statement.

     

    “Registered
      Owned IP”
is
      defined in Section 3.10.

     

    “Registration
      Rights Agreement”
means
      the Amended and Restated Registration Rights Agreement, substantially in the
      form of Schedule M hereto, to be entered into at the Closing among the
      Parent, certain stockholders of the Parent (the “Initial
      Parent Stockholders”)
      and
      the Company Affiliates.

     

    “Regulatory
      Approvals”
means
      those sanctions, rulings, consents, orders, exemptions, permits, Governmental
      Authorizations and other approvals (including the lapse, without objection,
      of a
      prescribed time under a statute or regulation that states that a transaction
      may
      be implemented if a prescribed time lapses following the giving of notice
      without an objection being made) of Governmental Authorities required to
      consummate the Plan of Arrangement and the transactions contemplated hereby
      and
      thereby, including those set forth in Schedule E hereto.

     

    “Release”
has
      the
      meaning prescribed in any Environmental Law and includes any sudden,
      intermittent or gradual release, spill, leak, pumping, addition, pouring,
      emission, emptying, discharge, migration, injection, escape, leaching, disposal,
      dumping, deposit, spraying, burial, abandonment, incineration, seepage,
      placement or introduction of a Hazardous Material, whether accidental or
      intentional, into the environment.

     

    

    
      
        
          
          

        

        
          10.

          
            

          

        

        
          
          

        

      

    

    

    “Representatives”
means
      with respect to Parent or the Company, as applicable, such party’s directors,
      officers, agents, consultants, advisors and other representatives.

     

    “Required
      Company Vote”
is
      defined in Section 2.2(b).
      

     

    “Required
      Parent Vote”
means,
      in respect of clause (a) of the definition of Parent Stockholder Approval
      Matters, (a) the affirmative vote of the holders of a majority of the shares
      of
      Parent IPO Shares voting at the Parent Meeting on such matter and (b) holders
      of
      less than 20% in interest of the Parent IPO Shares both vote against the
      Arrangement and demand that Parent convert such shares into cash.

     

    “Response
      Period”
is
      defined in Section 7.2(a)(ii).

     

    “SAR
      Exchange Agreements”
is
      defined in Section 5.16(b).

     

    “SEC”
means
      the United States Securities and Exchange Commission.

     

    “Securities
      Laws”
means
      the Canadian Securities Act, U.S. Securities Act, all other applicable
      provincial and United States federal and state securities laws, rules and
      regulations and published policies thereunder.

     

    “Section
      280G”
      is
      defined in Section 3.14(g).

     

    “Share
      Issuance”
means
      the issuance of Parent Common Stock in accordance with the Plan of
      Arrangement.

     

    “Software”
means
      any computer program, operating system, applications system, firmware, software
      or rights thereto of any nature, whether operational, under development or
      inactive, including all object code, source code, program files, data files,
      computer related data, field and data definitions and relationships, data
      definition specifications, data models, databases, program and system logic,
      interfaces, program modules, routines, sub-routines, algorithms, program
      architecture, design concepts, system designs, program structure, sequence
      and
      organization, screen displays and report layouts, technical manuals, user
      manuals and other documentation, whether in machine-readable form, programming
      language or any other language or symbols, and whether stored, encoded, recorded
      or written on disk, tape, film, memory, device, paper or other media of any
      nature.

     

    “Source
      Code”
means
      the human-readable form of a computer instruction, including related system
      documentation, applicable comments and procedural codes such as job
      control.

     

    “Source
      Materials”
means,
      in relation to items of Software, supporting materials that would enable a
      reasonably skilled programmer to compile, debug and support and/or make
      improvements to such Software in a commercially reasonable manner
      including:

     

    (a) any
      Source Code related thereto, reasonably annotated;

     

    (b) technical
      and system documentation including detailed design, functional, operational,
      and
      technical documentation, flow charts, diagrams, file layouts, report layouts,
      screen layouts, business rules, data and database models and structures, working
      papers and reasonably related notes and memoranda in electronic or written
      format, which were made or obtained in relation to the design and development
      of
      such Software and compilation instructions related to such
      Software;

     

    

    
      
        
          
          

        

        
          11.

          
            

          

        

        
          
          

        

      

    

    

    (c) listing
      by name, version and vendor of relevant third Persons’ compilers, utilities and
      other Software that are necessary for normal operation of such Software to
      which
      the Source Materials related including sufficient information to procure a
      license from such vendors;

     

    (d) a
      reasonably detailed listing of relevant equipment and information necessary
      for
      normal operation of such Software; and

     

    (e) all
      other
      information reasonably necessary to rebuild, install, and otherwise implement
      the Software in the context of the applicable system(s) including, without
      limitation, all relevant tools, programs, files, encryptions keys, make files,
      installation instructions, systems settings, and database settings.

     

    “Subsidiary”
means,
      with respect to a specified Person, any corporation or other Person of which
      securities or other interests having the power to elect a majority of that
      corporation’s or other Person’s board of directors or similar governing body, or
      otherwise having the power to direct the business and policies of that
      corporation or other Person (other than securities or other interests having
      such power only upon the happening of a contingency that has not occurred)
      are
      held by the specified Person or one or more of its Subsidiaries. When used
      in
      this Agreement without reference to a particular Person, “Subsidiary” means a
      Subsidiary of the Company.

     

    “Superior
      Proposal”
shall
      mean any unsolicited bona fide written Acquisition Proposal that (i) relates
      to
      not less than 50.01% of outstanding Common Shares or 50.01% of the assets of
      the
      Company and its Subsidiaries taken as a whole and (ii) which the Board of
      Directors of the Company determines, in its good faith judgment, after receiving
      the advice of the Company Financial Advisor and after taking into account all
      the terms and conditions of the Acquisition Proposal, is on terms and conditions
      more favorable from a financial point of view to the Company Shareholders than
      those contemplated by this Agreement (including any alterations to this
      Agreement agreed to in writing by Parent in response thereto in accordance
      with
      Section 7.2).

     

    “Support
      Agreement”
means
      an agreement to be made between Parent and Purchaser substantially in the form
      of Schedule K hereto, with such changes thereto as the parties hereto may
      agree.

     

    “Tax”
or
      “Taxes”
      means:

     

    (a) any
      federal, provincial, state, local, foreign and other tax, charge, fee, duty
      (including customs duty), levy or assessment, including any income, gross
      receipts, net proceeds, alternative or add-on minimum, corporation, ad valorem,
      turnover, real and personal property (tangible and intangible), sales, goods
      and
      services, alternative or add-on minimum taxes, use, franchise, excise, value
      added, stamp, leasing, lease, user, transfer, fuel, excess profits, profits,
      escheat, occupational, premium, interest equalization, windfall profits,
      severance, license, registration, payroll, environmental (including taxes under
      Section 59A of the Code), share capital, capital duty, disability, estimated,
      gains, wealth, welfare, withholding tax (including any withholding for
      employee’s income tax and other payroll deductions, and deductions and
      withholdings of tax from payments to non-residents and other third parties),
      Canada or Quebec Pension Plan premiums, workers compensation premiums,
      employment insurance, unemployment and social security or other tax of whatever
      kind (including any fee, assessment and other charges in the nature of or in
      lieu of any tax) that is imposed by any Governmental Authority;

     

    

    
      
        
          
          

        

        
          12.

          
            

          

        

        
          
          

        

      

    

    

    (b) any
      interest, fines, penalties or additions resulting from, attributable to, or
      incurred in connection with any items described in this paragraph or any related
      contest or dispute; and 

     

    (c) any
      items
      described in this paragraph that are attributable to another Person but that
      any
      Acquired Company is liable to pay by Law, by Contract or otherwise, whether
      or
      not disputed.

     

    “Tax
      Return”
means
      any report, return, declaration, election, designation, claim for refund, or
      information return or statement related to Taxes, including any schedule or
      attachment thereto, and including any amendment thereof.

     

    “Technology”
means
      technology and information of whatever nature or kind, in all cases whether
      or
      not subject to any Intellectual Property Rights and whether or not fixed in
      any
      medium or reduced to practice, including without limitation:

     

    (a) Software,
      Source Code and Source Materials;

     

    (b) business
      names, trade names, domain names, trading styles, logos, trade secrets,
      industrial designs and copyrights;

     

    (c) inventions
      (whether patentable or not), formulae, product formulations, processes and
      processing methods, technology and techniques;

     

    (d) know-how,
      trade secrets, business processes, research and technical data; and

     

    (e) software,
      studies, findings, algorithms, customer databases, instructions, guides, manuals
      and designs.

     

    “Termination
      Fee”
has
      the
      meaning ascribed thereto in Section 7.3.

     

    “Transactions”
means
      collectively, this Agreement, the Ancillary Agreements and the other
      transactions contemplated hereby and thereby, including the Arrangement and
      the
      transactions contemplated thereby.

     

    “Transaction
      Expenses”
shall
      be determined in accordance with Section 7.4 and means, with respect to each
      party, the sum of:

     

    (a) the
      accounting, advisory, legal, and other third party fees and expenses in
      connection with the Transactions, including, but not limited to, advisory fees,
      legal fees, audit fees and printing expenses; and 

     

    (b) in
      the
      case of the Company, the amounts payable under any change of control agreements
      or arrangements, or any other similar compensation paid by Parent or the
      Acquired Company or required to be assumed by the Acquired Company or the Parent
      in connection with the transactions contemplated by this Agreement, including,
      without limitation, the amounts set forth in Section 3.14(f) of the Company
      Disclosure Schedule;

     

    provided,
      however,
      that
      (A) expenses incurred by the Company pursuant to Section 7.4(b)(i) shall not
      be
      counted as Transaction Expenses of the Company and shall be counted as
      transaction expenses of Parent, (B) expenses incurred by the Company pursuant
      to
      Sections 7.4(b)(ii) and (iii), and expenses incurred by either the Company
      or
      the Parent from the engagement of an investor relations firm shall not be
      counted as Transaction Expenses of either Parent or the Company and (C) all
      expenses incurred by either the Company or Parent in procuring the consent
      to
      the Transactions from parties to Company Contracts (including Laurus Master
      Fund, Ltd. and the holders of the Company’s Convertible Debentures) shall be
      counted as transaction expenses of the Company; and provided
      further,
      however,
      that
      the foregoing shall not create an obligation on the Company to make any such
      payment or to obtain such consents (other than as specifically set forth in
      Sections 2.8(a)(ii)(5) and 5.5(b) of this Agreement). For clarification, the
      Deferred Underwriting Fees (as defined below) shall not be Transaction Expenses.
      

     

    

    
      
        
          
          

        

        
          13.

          
            

          

        

        
          
          

        

      

    

    

    “Trustee”
means
      Valiant Trust Company or any successor trustee appointed under the Voting and
      Exchange Trust Agreement.

     

    “TSX”
means
      the Toronto Stock Exchange.

     

    “Unaudited
      Statements”
is
      defined in Section 5.10.

     

    “U.S.
      GAAP”
means
      generally accepted accounting principles for financial reporting in the United
      States, as in effect as of the date of this Agreement.

     

    “U.S.
      Securities Act”
means
      the United States Securities Act of 1933, as amended, and the rules and
      regulations promulgated thereunder.

     

    “Voting
      Agreements”
are
      defined in the Recitals. 

     

    “Voting
      and Exchange Trust Agreement”
means
      an agreement to be made between Parent, Purchaser and the Trustee, substantially
      in the form of Schedule L hereto, with such changes thereto as the parties
      hereto may agree (and consented to by the Trustee).

     

    “WARN
      Act”
      shall
      mean the Worker Adjustment and Retraining Notification Act, 29 U.S.C.
      Section 2101 et
      seq.
      (1988),
      as amended, and any similar Law under state, provincial, or local
      law.

     

    1.2  Construction.
      Any
      reference in this Agreement to an “Article,” “Section,” “Exhibit” or “Schedule”
refers to the corresponding Article, Section, Exhibit or Schedule of or to
      this
      Agreement, unless the context indicates otherwise. The table of contents and
      the
      headings of Articles and Sections are provided for convenience only and are
      not
      intended to affect the construction or interpretation of this Agreement. All
      words used in this Agreement should be construed to be of such gender or number
      as the circumstances require. Each reference to “Dollars” or “$” in this
      Agreement refers to the lawful currency of the United States of America. The
      term “including” means “including without limitation” and is intended by way of
      example and not limitation. Any reference to a statute refers to the statute,
      any amendments or successor legislation, and all regulations promulgated under
      or implementing the statute, as in effect at the relevant time. Any reference
      to
      a Contract or other document as of a given date means the Contract or other
      document as amended, supplemented and modified from time to time through such
      date. References to any document being “made available” by the Company to Parent
      shall mean any of the following: (i) physical delivery to Parent or its
      authorized representatives, (ii) inclusion of such document in the Company’s
      public filings available at www.sedar.com (to the extent such document is
      available to be downloaded from such site) and (iii) deposit on or before March
      6, 2007 in the electronic data room hosted by IntraLinks, Inc. References to
      any
      document being “made available” by Parent to the Company shall mean each of the
      following: (i) physical delivery to Parent or its authorized representatives
      and
      (ii) inclusion of such document in the Company’s public filings available at
      www.sec.com (to the extent such document is available to be downloaded from
      such
      site).

     

    
      
        
        

      

      
        14.

        
          

        

      

      
        
        

      

    

     

    ARTICLE
      2

     

    THE
      ACQUISITION

     

    2.1  Implementation
      Steps by the Company. The
      Company covenants in favor of Parent and Purchaser that the Company
      shall:

     

    (a)  subject
      to the terms of this Agreement, as soon as reasonably practicable, apply in
      a
      manner reasonably acceptable to Parent under Section 192 of the CBCA for the
      Interim Order and thereafter proceed with and diligently seek the Interim
      Order;

     

    (b)  subject
      to terms of this Agreement and in accordance with the Interim Order, as soon
      as
      reasonably practicable, convene and hold the Company Meeting for the purpose
      of
      considering, among other things, the Arrangement Resolution;

     

    (c)  subject
      to Section 7.2(a)(ii),
      not
      postpone or adjourn (other than a postponement or adjournment not exceeding
      five
      Business Days required to obtain the Required Company Vote) or cancel the
      Company Meeting without Parent’s prior written consent except as required for
      quorum purposes, to comply with requirements of applicable Law or by the
      Court;

     

    (d)  use
      commercially reasonable efforts to solicit from the Company Shareholders and
      Company Optionholders proxies in favor of the approval of the Arrangement
      Resolution, provided that the Company shall not be required to engage a proxy
      solicitation agent in connection therewith;

     

    (e)  subject
      to compliance with fiduciary duties and obtaining such approvals as are required
      by the Interim Order, proceed with and diligently pursue the application to
      the
      Court for the Final Order; and

     

    (f)  subject
      to obtaining the Final Order and satisfaction or waiver of the conditions set
      forth in Section 6.2, and in accordance with Section 2.4,
      send to
      the Director, for endorsement and filing by the Director, the Articles of
      Arrangement and such other documents as may be required in connection therewith
      under the CBCA to give effect to the Arrangement.

     

    2.2  Interim
      Order. The
      notice of petition for the application referred to in Section 2.1(a)
      shall
      request that the Interim Order provide:

     

    (a)  for
      the
      class of Persons to whom notice is to be provided in respect of the Arrangement
      and the Company Meeting and for the manner in which such notice is to be
      provided;

     

    (b)  that,
      subject to the approval of the Court, the requisite approval for the Arrangement
      Resolution shall be 662⁄3% of the votes cast on the Arrangement Resolution by
      Company Shareholders and Company Optionholders voting together as a single
      class, present in person or by proxy at the Company Meeting other than votes
      required by applicable Laws to be excluded, provided that at least a simple
      majority of the votes cast on the Arrangement Resolution by Company Shareholders
      present in person or by proxy at the Company Meeting other than votes required
      by applicable Laws to be excluded are in favor of the Arrangement Resolution
      (such approval described in this Section 2.2(b),
      the
“Required
      Company Vote”);

     

    (c)  that
      the
      terms, restrictions and conditions of the by-laws and articles of the Company,
      including quorum requirements and all other matters, shall apply in respect
      of
      the Company Meeting; 

     

    (d)  for
      the
      grant of the Dissent Rights; and

     

    (e)  for
      the
      notice requirements with respect to the presentation of the application to
      the
      Court for a Final Order.

     

    2.3  Implementation
      Steps by Parent. Parent
      covenants in favor of the Company that Parent shall:

     

    (a)  subject
      to the terms of this Agreement, as soon as reasonably practicable, prepare
      and
      file with the SEC the Proxy and Registration Statement;

     

    (b)  respond
      as promptly as reasonably practicable to comments from the staff of the SEC,
      use
      its commercially reasonable efforts to cause the Proxy and Registration
      Statement to be declared effective by the SEC and to keep the Proxy and
      Registration Statement effective as long as is necessary to consummate the
      Transactions;

     

    (c)  as
      soon
      as reasonably practicable after obtaining clearance from the SEC and subject
      to
      compliance with applicable Law and its Organizational Documents, mail the Proxy
      Statement to the Parent Stockholders and convene and hold the Parent Meeting
      for
      the purpose of considering the Parent Stockholder Approval Matters;

     

    
      
        
        

      

      
        15.

        
          

        

      

      
        
        

      

    

     

    (d)  not
      postpone or adjourn (other than a postponement or adjournment required to obtain
      the Required Parent Vote) or cancel the Parent Meeting without the Company’s
      prior written consent except as required for quorum purposes, to comply with
      the
      requirements of applicable Law; and

     

    (e)  use
      commercially reasonable efforts to solicit from the Parent Stockholders proxies
      in favor of the Parent Stockholder Approval Matters.

     

    2.4  Articles
      of Arrangement; Closing. The
      Articles of Arrangement shall implement the Plan of Arrangement. On the second
      Business Day after the satisfaction or waiver (subject to applicable Laws)
      of
      the conditions (excluding conditions that, by their terms, cannot be satisfied
      until the Closing Date, but subject to the satisfaction or, where permitted,
      waiver of those conditions as of the Closing Date) set forth in Article 4,
      and
      unless another time or date is agreed to in writing by the parties hereto (the
      “Closing
      Date”),
      the
      Articles of Arrangement shall be filed with the Director. At the Effective
      Time,
      the Arrangement will be completed in accordance with the Plan of Arrangement.
      The closing of the transactions contemplated hereby and by the Arrangement
      will
      take place in Calgary, Alberta at the offices of Macleod Dixon llp
      on the
      Closing Date (the “Closing”).

     

    2.5  Circular.
      Subject
      to compliance with Section 2.6,
      as
      promptly as reasonably practicable after the execution and delivery of this
      Agreement, the Company shall set and give notice of the record date for the
      Company Meeting as required under the Articles of the Company, complete the
      Circular together with any other documents required by the CBCA, Securities
      Laws
      or other applicable Laws in connection with the Company Meeting required to
      be
      prepared by the Company, and as promptly as is reasonably practicable after
      the
      execution and delivery of this Agreement, the Company shall, unless otherwise
      agreed by the Parties, cause the Circular and other documentation required
      in
      connection with the Company Meeting to be sent to Company Securities Holders
      and
      filed as required by the Interim Order and applicable Laws. The Circular shall
      include the recommendation of the Company’ Board of Directors that Company
      Securities Holders vote in favor of the Arrangement Resolution unless such
      recommendation has been withdrawn, modified or amended in accordance with the
      terms of this Agreement. Subject to the terms of this Agreement, the Company
      shall take all lawful action to solicit votes in favor of the Agreement
      Resolution, provided that the Company shall not be required to engage a proxy
      solicitation agent in connection therewith.

     

    
      
        
        

      

      
        16.

        
          

        

      

      
        
        

      

    

     

    2.6  Preparation
      of Filings

     

    (a)  Parent
      and the Company shall co-operate in the preparation of any application for
      the
      Regulatory Approvals and any other orders, registrations, consents, filings,
      rulings, exemptions, no-action letters and approvals and the preparation of
      any
      documents reasonably deemed by either of the Parties to be necessary to
      discharge its respective obligations or otherwise advisable under applicable
      Laws in connection with the Arrangement and this Agreement as promptly as
      practicable hereafter, including but not limited to any orders required from
      the
      applicable Governmental Authorities to permit the issuance and first resale
      of
      the Exchangeable Shares and the Parent Shares pursuant to the Arrangement and
      the issuance and first trade of the Parent Shares to be issued from time to
      time
      upon exchange of the Exchangeable Shares, exercise of the Company Options and
      Company Warrants or the conversion of the Convertible Debentures, if
      any.

     

    (b)  Parent
      and the Company shall co-operate in the preparation, filing and mailing of
      the
      Circular. The Company shall provide Parent with a reasonable opportunity to
      review and comment on the Circular prior to its mailing to Company Securities
      Holders and filing in accordance with the Interim Order and applicable Laws.
      Parent acknowledges that whether or not such comments are appropriate or any
      revisions will be made as a result thereof to Circular will be determined solely
      by the Company acting reasonably. Parent agrees to provide on a timely basis
      all
      information concerning Parent and Purchaser reasonably requested by the Company
      for inclusion in the Circular.

     

    (c)  The
      Company shall ensure that the Circular complies with the Interim Order and
      all
      applicable Laws in all material respects and, without limiting the generality
      of
      the foregoing, that the Circular does not contain any untrue statement of a
      material fact or omit to state a material fact required to be stated therein
      or
      necessary to make the statements contained therein not misleading in light
      of
      the circumstances under which they are made (other than with respect to any
      information relating to and provided by Parent).

     

    (d)  The
      Company shall furnish to the Parent and Purchaser all such information
      concerning it and the Company Securities Holders as may be required to carry
      out
      the actions described under this Agreement or to implement the transactions
      contemplated hereunder.

     

    (e)  Parent
      shall ensure that the information supplied by it for inclusion in the Circular
      will, at the time of the mailing of the Circular, not contain any material
      misstatement, untrue statement of a material fact or omit to state any material
      fact required to be stated therein or necessary in order to make the statements
      therein, in light of the circumstances under which they are made, not
      misleading.

     

    (f)  Parent
      and the Company shall co-operate in the preparation, filing and mailing of
      the
      Proxy and Registration Statement. Parent shall provide the Company with a
      reasonable opportunity to review and comment on the Proxy and Registration
      Statement prior to its mailing to Parent Stockholders and filing with the SEC.
      The Company acknowledges that whether or not such comments are appropriate
      or
      any revisions will be made as a result thereof to Proxy and Registration
      Statement will be determined solely by Parent acting reasonably. The Company
      agrees to provide on a timely basis all information concerning the Acquired
      Companies reasonably requested by Parent for inclusion in the Proxy and
      Registration Statement.

     

    
      
        
        

      

      
        17.

        
          

        

      

      
        
        

      

    

     

    (g)  Parent
      shall ensure that the Proxy and Registration Statement complies with all
      applicable Laws and, without limiting the generality of the foregoing, that
      the
      Proxy and Registration Statement shall not contain any untrue statement of
      a
      material fact or omit to state any material fact required to be stated therein
      or necessary in order to make the statements therein, in light of the
      circumstances under which they are made, not false or misleading (other than
      with respect to any information relating to and provided by the Acquired
      Companies). 

     

    (h)  The
      Company shall ensure that the information supplied by the Acquired Companies
      for
      inclusion in the Proxy Statement will, at the time of the mailing of the Proxy
      Statement, not contain any untrue statement of a material fact or omit to state
      any material fact required to be stated therein or necessary in order to make
      the statements therein, in light of the circumstances under which they are
      made,
      not false or misleading.

     

    (i)  Each
      of
      the Company and Parent shall promptly notify the other if at any time before
      the
      Effective Time it becomes aware that the Circular, the Proxy and Registration
      Statement, an application for a Regulatory Approval or any other order,
      registration, consent, ruling, exemption, no-action letter or approval, or
      any
      circular or other filing under applicable Laws contains an untrue statement
      of a
      material fact or omits to state a material fact required to be stated therein
      or
      necessary to make the statements contained therein not misleading in light
      of
      the circumstances in which they are made, or that otherwise is erroneous or
      requires an amendment or supplement, and the Parties shall co-operate in the
      preparation of such amendment or supplement as required. The Company shall
      promptly provide a copy to the Parent of any communications or notices received
      from any Governmental Authority in respect of the Circular, this Agreement,
      the
      Plan of Arrangement or the transaction contemplated hereunder. Parent shall
      promptly provide a copy to the Company of any written communications received
      from the staff of the SEC relating to the Proxy and Registration Statement,
      the
      Prospectus or the Proxy Statement.

     

    2.7  Securities
      Holders/Stockholder Communications and Public Announcements.
The
      Company and Parent agree to co-operate in the preparation of presentations,
      if
      any, to Company Securities Holders or Parent Stockholders regarding the
      Arrangement, and no Party shall issue any press release or otherwise make public
      statements with respect to the Arrangement or this Agreement without the consent
      of the other Party, and the Company shall not make any filing with any
      Governmental Authority with respect thereto without prior consultation with
      Parent and Parent shall not make any filing with any Governmental Authority
      without prior consultation with the Company; provided,
      however,
      that
      the foregoing shall be subject to each Party’s overriding obligation to make any
      disclosure or filing required under applicable Laws, and the Party making such
      disclosure or filing shall use all commercially reasonable efforts to give
      prior
      oral and written notice to the other Party and reasonable opportunity to review
      or comment on the disclosure or filing (other than with respect to confidential
      information contained in such disclosure or filing), and if such prior notice
      is
      not possible, to give such notice immediately following the making of such
      disclosure or filing. Parent and the Company will consult with each other
      concerning the means by which the employees, customers, suppliers and others
      having dealings with the Acquired Companies will be informed of the
      Transactions.

     

    2.8  Closing
      Deliveries.

     

    (a)  At
      the
      Closing, the Company will deliver or cause to be delivered to Parent and
      Purchaser:

     

    (i)  a
      certificate substantially in the form of Schedule F, dated as of the
      Closing Date, executed by an officer of the Company confirming the satisfaction
      of the conditions specified in Sections 6.1(a)
      and
6.1(b);
      and

     

    
      
        
        

      

      
        18.

        
          

        

      

      
        
        

      

    

     

    (ii)  a
      certificate substantially in the form of Schedule G of an officer of each
      Acquired Company dated as of the Closing Date and attaching with respect to
      each
      Acquired Company:

     

    (1)  the
      Acquired Company’s Organizational Documents, and if applicable, certified by the
      Governmental Authority of the jurisdiction of the Acquired Company’s
      organization not more than five Business Days prior to the Closing
      Date;

     

    (2)  a
      certificate of good standing of the Acquired Company issued not more than five
      Business Days prior to the Closing Date;

     

    (3)  all
      resolutions of the board of directors of the Company relating to the approval
      of
      this Agreement and the Transactions;

     

    (4)  incumbency
      and signatures of the officers of the Company executing this Agreement or any
      other agreement contemplated by this Agreement; and

     

    (5)  the
      consents to the change of control of the Company from the other party or parties
      to the Company Contracts set forth on Schedule 2.8.

     

    (b)  At
      the
      Closing, Parent will deliver or cause to be delivered to the Company or the
      Company Affiliates or to the holders of Company SARs, as
      applicable:

     

    (i)  a
      certificate substantially in the form of Schedule H, dated as of the
      Closing Date, executed by Parent confirming the satisfaction of the conditions
      specified in Sections 6.2(a)
      and
6.2(b);
      and

     

    (ii)  a
      certificate substantially in the form of Schedule I of an officer of each
      of Parent, Canco and Purchaser dated as of the Closing Date and attaching with
      respect to Parent and Purchaser:

     

    (1)  Parent’s,
      Canco’s and Purchaser’s Organizational Documents, and if applicable, certified
      by the Governmental Authority of the jurisdiction of its organization not more
      than five Business Days prior to the Closing Date;

     

    (2)  a
      certificate of good standing of Parent, Canco and Purchaser issued not more
      than
      five Business Days prior to the Closing Date;

     

    (3)  all
      resolutions of the board of directors or other authorizing body (or a duly
      authorized committee thereof) of Parent, Canco and Purchaser relating to this
      Agreement and the Transactions;

     

    (4)  incumbency
      and signatures of the officers of Parent, Canco and Purchaser executing this
      Agreement or any other agreement contemplated by this Agreement;

     

    (iii)  the
      Amended and Restated Registration Rights Agreement, executed by Parent, the
      Initial Parent Stockholders and the Company Affiliates; and

     

    (iv)  The
      SAR
      Exchange Agreements, executed by Parent.

     

    
      
        
        

      

      
        19.

        
          

        

      

      
        
        

      

    

     

    ARTICLE
      3

     

    REPRESENTATIONS
      AND WARRANTIES OF COMPANY

     

    The
      Company represents and warrants to Parent and Purchaser that except as set
      forth
      (x) in the Company Disclosure Schedule, (y) in the Company Documents filed
      with
      the Canadian Securities Administrators via the SEDAR filing system prior to
      the
      execution of this Agreement or (z) in the Company’s registration statement on
      Form 20-F filed with the SEC by way of a confidential filing on December 19,
      2006, as amended and filed with the SEC by way of a confidential filing on
      February 7, 2007 (the “Form
      20-F”),
      which
      Form 20-F has previously been delivered to Parent (it being understood that
      any
      matter in such Company Disclosure Schedule, such Company Documents or the Form
      20-F shall be deemed disclosed with respect to any section of this Article
      3 to
      which the matter relates, to the extent the relevance of such matter to such
      section is reasonably apparent and to the extent the materiality of such matter
      is reasonably apparent):

     

    3.1  Organization
      and Good Standing.
      Each
      Acquired Company is a corporation duly incorporated, validly existing and in
      good standing under the Laws of the jurisdiction of its incorporation and has
      all requisite corporate power and authority to own, lease and operate its
      properties and assets and to conduct its business as presently conducted. Each
      Acquired Company is duly qualified or licensed to do business and, where
      applicable as a legal concept, is in good standing as a foreign corporation
      in
      each jurisdiction in which the character of the properties it owns, operates
      or
      leases or the nature of its activities makes such qualification or licensure
      necessary, except for such failures to be so qualified, individually or in
      the
      aggregate, have not had, and may not reasonably be expected to have, a Company
      Material Adverse Effect. Section 3.1 of the Company Disclosure Schedule
      sets forth an accurate and complete list of each Acquired Company’s jurisdiction
      of incorporation and the other jurisdictions in which it is authorized to do
      business and a complete and accurate list of the current directors and officers
      of each Acquired Company. The Company has made available to the Parent accurate
      and complete copies of the Organizational Documents of each Acquired Company,
      as
      currently in effect, and no Acquired Company is in default under or in violation
      of any provision thereof.

     

    3.2  Authority
      and Enforceability.

     

    (a)  As
      of the
      date hereof, the Board of Directors of the Company, after consultation with
      its
      financial and legal advisors, has determined unanimously that the Arrangement
      is
      in the best interests of the Company and has resolved unanimously to recommend
      to the Company Securities Holders that they vote their Common Shares or Company
      Options in favor of the Arrangement. Subject to compliance with the CBCA, the
      Board of Directors of the Company has unanimously approved the Arrangement
      and
      the execution and performance of this Agreement. The Board of Directors of
      the
      Company has received a Fairness Opinion from William Blair &
Company or
      another financial advisor of national reputation (the “Company
      Financial Advisor”).
      Promptly following receipt of the written Fairness Opinion, the Company shall
      provide a complete copy of the Fairness Opinion to Parent. 

     

    (b)  The
      only
      vote of holders of securities of the Company necessary to approve the
      Arrangement is, subject to any requirements of the Interim Order, the Required
      Company Vote.

     

    (c)  The
      Company has all requisite corporate power and authority to execute and deliver
      this Agreement and each of the Ancillary Agreements to which the Company is
      a
      party and to perform the Company’s obligations under this Agreement and each
      such Ancillary Agreement. The execution, delivery and performance of this
      Agreement and the Ancillary Agreements have been duly authorized by all
      necessary action on the part of the Company, except for the Required Company
      Vote. This Agreement has been duly executed and delivered by the Company and
      constitutes the legal, valid and binding obligation of the Company, enforceable
      against the Company in accordance with its terms, except as enforceability
      may
      be limited by bankruptcy and other similar laws and general principles of
      equity.

     

    
      
        
        

      

      
        20.

        
          

        

      

      
        
        

      

    

     

    (d)  Upon
      the
      execution and delivery by the Company of the Ancillary Agreements to which
      the
      Company is a party, such Ancillary Agreements will constitute the legal, valid
      and binding obligations of the Company, enforceable against the
      Company
      in
      accordance with their terms, except as enforceability may be limited by
      bankruptcy and other similar laws and general principles of equity.

     

    3.3  No
      Conflict. Neither
      the execution and delivery of this Agreement, nor the consummation or
      performance of the Transactions, will: 

     

    (a)  directly
      or indirectly (with or without notice, lapse of time or both) conflict with,
      result in a breach or violation of, constitute a default (or give rise to any
      right of termination, cancellation, acceleration, suspension or modification
      of
      any obligation or loss of any benefit) under, constitute a change in control
      under, result in any payment becoming due under, result in the imposition of
      any
      Encumbrances on any of the Common Shares or any of the properties or assets
      of
      any Acquired Company under, or otherwise give rise to any right on the part
      of
      any Person to exercise any remedy or obtain any relief under: (i) the
      Organizational Documents of any Acquired Company; (ii) any Governmental
      Authorization, except as set forth in Section 3.3(b); (iii) any Material
      Contract; or (iv) any Law or Judgment applicable to any Acquired Company or
      any
      of their respective properties or assets, except as set forth in Section 3.3(b);
      or 

     

    (b)  require
      any Acquired Company to obtain any consent, waiver, approval, ratification,
      permit, license, Governmental Authorization or other authorization of, give
      any
      notice to, or make any filing or registration with, any Governmental Authority
      or other Person, except
      for (i) the mailing of the Circular to Company Securities Holders and filing
      the
      Circular according to the Interim Order, (ii) such consents, approvals, orders,
      authorizations, registrations, declarations and filings as may be required
      under
      applicable securities laws, the Hart-Scott-Rodino Antitrust Improvements Act
      of
      1976, as amended (the “HSR
      Act”)
      and
      the comparable laws of any foreign country reasonably determined by the parties
      to be required and (iii) such other consents, waivers, approvals, ratifications,
      permits, licenses, Governmental Authorizations or other authorizations, or
      notices, filings or registrations which, if not obtained or made, would not
      be
      material to the Company or Parent or have a material adverse effect on the
      ability of the parties to consummate the Transactions.

     

    (c)  The
      aggregate value of all the assets in Canada of the Acquired Companies or the
      annual gross revenues from sales in and from Canada generated from all the
      assets in Canada of the Acquired Companies, as determined pursuant to subsection
      110(2) of the Competition Act, do not exceed, in either case, Cdn.$50 million,
      and the Acquired Companies together with their Affiliates do not have assets
      in
      Canada that exceed Cdn.$400 million or annual gross revenues from sales in,
      from
      and into Canada that exceed Cdn.$400 million, in either case, as determined
      pursuant to section 109 of the Competition Act.

     

    (d)  The
      aggregate value of the assets of the Canadian Acquired Companies, calculated
      in
      the manner prescribed by the Investment Canada Act, is less than Cdn.$281
      million and none of the Canadian Acquired Companies (i) engages in the
      production of uranium or own an interest in a producing uranium property in
      Canada, (ii) provides a financial service (as such term is defined in the
      Investment Canada Act), (iii) provides any transportation service (as such
      term is defined in the Investment Canada Act), or (iv) is a cultural
      business (as such term is defined in the Investment Canada Act).

     

    
      
        
        

      

      
        21.

        
          

        

      

      
        
        

      

    

     

    3.4  Capitalization
      and Ownership.

     

    (a)  The
      authorized capital of the Company consists of an unlimited number of Common
      Shares, without nominal or par value. Section 3.4 of the Company Disclosure
      Schedule sets forth as of the date hereof:

     

    (i)  the
      number of issued and outstanding Common Shares;

     

    (ii)  the
      number of outstanding Company Options, warrants, stock appreciation rights,
      restricted stock units and other securities convertible or exchangeable for
      Common Shares or settleable in Common Shares and the number of Common Shares
      reserved for issuance upon exercise or conversion of all such Company Options,
      warrants, stock appreciation rights, restricted stock units and other
      securities; and

     

    (iii)  all
      Company Stock Plans, indicating for each Company Stock Plan, as of such date,
      the number of Company Options and Company SARs issued under such Company Stock
      Plan, the number of Common Shares subject to outstanding options or other
      equity-based awards under such Company Stock Plan and the number of Common
      Shares reserved for future issuance under such Company Stock Plan; and

     

    (iv)  all
      outstanding Company Options and other equity based awards, including any stock
      appreciation awards or restricted stock units, indicating with respect to each
      such Company Option or other equity-based award, the name of the holder thereof,
      Company Stock Plan under which it was granted, the number of Common Shares
      subject to such Company Option or other equity-based award, the exercise price
      (if applicable), the date of grant, and the vesting schedule, including whether
      (and to what extent) the vesting will be accelerated in any way by the
      consummation of the transactions contemplated by this Agreement or by
      termination of employment or change in position following consummation of the
      transactions contemplated by this Agreement. The Company has made available
      to
      the Parent complete and accurate copies of all Company Stock Plans and the
      forms
      of all stock option agreements evidencing Company Options, Company SARs and
      other agreements relating to other equity-based awards.

     

    (b)  Prior
      to
      and as of the date of this Agreement, no dividends have been declared, reserved
      or set aside with respect to any Common Shares. Upon the consummation of the
      Transactions, Purchaser will be the beneficial owner of the entire equity
      interest in the Company, free and clear of all Encumbrances. 

     

    (c)  Section 3.4
      of the Company Disclosure Schedule sets forth for each Subsidiary:

     

    (i)  its
      authorized share capital; and 

     

    (ii)  the
      number of issued and outstanding shares of its authorized share capital and
      the
      record and beneficial owners thereof.

     

    No
      Acquired Company owns, controls or has any rights to acquire, directly or
      indirectly, any shares or other equity interests or debt instruments of any
      Person. All of the outstanding equity securities and other securities of each
      Subsidiary are owned of record and beneficially by one or more of the Acquired
      Companies, free and clear of all Encumbrances, in the respective amounts set
      forth in Section 3.4(c) of the Company Disclosure Schedule. 

     

    
      
        
        

      

      
        22.

        
          

        

      

      
        
        

      

    

     

    (d)  Except
      as
      set forth in this Section 3.4, (i) there are no equity securities of any class
      of any Acquired Company, or any security exchangeable into or exercisable for
      such equity securities, issued, reserved for issuance or outstanding; and (ii)
      there are no options, warrants, equity securities, calls, rights or other
      Company Contracts obligating any Acquired Company to issue, exchange, transfer,
      deliver or sell, or cause to be issued, exchanged, transferred, delivered or
      sold, additional shares or other equity interests of any Acquired Company or
      any
      security or rights convertible into or exchangeable or exercisable for any
      such
      shares or other equity interests, or obligating any Acquired Company to grant,
      extend, accelerate the vesting of, otherwise modify or amend or enter into
      any
      such option, warrant, equity security, call, right, or Contract. 

     

    (e)  There
      are
      no Company Contracts or, to the Knowledge of the Company, Contracts to which
      any
      Company Shareholder or any Affiliate of any Acquired Company or any Company
      Shareholder is a party or by which any Company Shareholder or any Affiliate
      of
      any Acquired Company or any Company Shareholder is bound with respect to the
      voting (including voting trusts or proxies), registration under the U.S.
      Securities Act or
      any
      other Securities Laws (including the qualification of a prospectus under
      Canadian Securities Law), or the sale or transfer (including Contracts imposing
      transfer restrictions) of any shares or other equity interests of any Acquired
      Company. No holder of indebtedness of any Acquired Company has any right to
      convert or exchange such indebtedness for any equity securities or other
      securities of any Acquired Company. No holders of outstanding indebtedness
      of
      any Acquired Company have any rights to vote for the election of directors
      of
      any Acquired Company or to vote on any other matter on which holders of capital
      stock of any Acquired Company may vote. 

     

    (f)  All
      of
      the Common Shares and the issued and outstanding equity securities of each
      Subsidiary are duly authorized, validly issued, fully paid, non-assessable,
      not
      subject to or issued in violation of any purchase option, right of first
      refusal, pre-emptive right, subscription right or any similar right and have
      been issued in compliance with all applicable Laws. No legend or other reference
      to any purported Encumbrance appears on any certificate representing the Common
      Shares (other than legends referring to transfers in compliance with applicable
      Securities Laws) or any equity securities of any Subsidiary.

     

    (g)  There
      are
      no obligations, contingent or otherwise, of any Acquired Company to repurchase,
      redeem or otherwise acquire any shares or other equity interests of any Acquired
      Company. No Acquired Company is subject to any obligation or requirement to
      provide funds to or make any investment (in the form of a loan, capital
      contribution or otherwise) in any Subsidiary or any other Person. Except to
      the
      extent arising pursuant to applicable take-over or similar Laws, there is no
      rights agreement, “poison pill” anti-take-over plan or other similar agreement
      or understanding to which any of the Acquired Companies is a party or by which
      it or they are bound with respect to any equity security of any class of any
      Acquired Company.

     

    3.5  Financial
      Statements and Compliance.

     

    (a)  Attached
      as Section 3.5(a) of the Company Disclosure Schedule are the financial
      statements (collectively, the “Financial
      Statements”)
      comprising the audited consolidated balance sheets of the Company as of December
      31, 2005, December 25, 2004 and December 27, 2003 and the unaudited consolidated
      balance sheet of the Company as of September 30, 2006 (the “Balance
      Sheet”),
      the
      audited consolidated statements of operations and deficit, changes in
      shareholders’ equity and cash flow for each of the fiscal years then ended, the
      unaudited consolidated statements of operations and deficit, changes in
      shareholders’ equity and cash flow for the nine months ended September 30, 2006,
      including in each case any notes thereto, together with, in the case of the
      audited financial statements, the report thereon of Ernst & Young LLP,
      independent chartered accountants.

     

    
      
        
        

      

      
        23.

        
          

        

      

      
        
        

      

    

     

    (b)  The
      Financial Statements (including the notes thereto) are consistent with the
      books
      and records of the Company and have been prepared in accordance with Canadian
      generally accepted financial principles (“Canadian
      GAAP”)
      consistently applied throughout the periods involved. The Financial Statements
      fairly present in all material respects the financial condition and the results
      of operations, changes in shareholders’ equity and cash flow of the Company as
      of the respective dates and for the periods indicated therein, all in accordance
      with Canadian GAAP. No financial statements of any Person other than the
      Acquired Companies are required by Canadian GAAP to be included in the financial
      statements of the Company.

     

    (c)  The
      Acquired Companies have been in compliance with all Laws applicable to them
      or
      by which their properties are bound or affected, other than non-compliance
      that
      does not have, and would not reasonably be expected to have, individually or
      in
      the aggregate, a Company Material Adverse Effect. The Company has filed all
      forms, reports and documents required to be filed by the Company with the
      Canadian Securities Administrators via the SEDAR filing system since January
      1,
      2006, and has made available to Parent such forms, reports and documents in
      the
      form filed (such documents together “Company
      Documents”).
      All
      such Company Documents are publicly and freely available on www.sedar.com and
      the Company has not filed any confidential material change report with any
      securities commission or the TSX that remains confidential as of the date
      hereof. As of their respective dates, all such forms, reports and documents
      of
      the Company (i) were prepared in accordance with applicable Laws in all material
      respects and (ii) did not at the time they were filed (or if amended or
      superseded by a filing before the date of this Agreement, then on the date
      of
      such filing) contain any untrue statement of a material fact or omit to state
      a
      material fact required to be stated therein or necessary in order to make the
      statements therein, in the light of the circumstances under which they were
      made, not misleading. No Acquired Company (other than the Company) is required
      to file any forms, reports or other documents pursuant to Securities Laws with
      any securities commission in Canada or with the TSX.

     

    (d)  The
      Form
      20-F did not at the time it was filed (or if amended or superseded by a filing
      before the date of this Agreement, then on the date of such filing) contain
      any
      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 the light
      of
      the circumstances in which they were made, not misleading in any material
      respect.

     

    (e)  There
      are
      no amendments or modifications that have not yet been filed pursuant to
      Securities Laws but that are required to be filed, to agreements, documents
      or
      other instruments that previously had been filed by the Company pursuant to
      Securities Laws.

     

    (f)  The
      Company maintains a system of internal accounting controls sufficient to provide
      reasonable assurance that:

     

    (i)  all
      transactions are executed in accordance with management’s general or specific
      authorizations;

     

    (ii)  all
      transactions are recorded as necessary to permit the preparation of financial
      statements in conformity with Canadian GAAP and to maintain proper
      accountability for assets;

     

    (iii)  access
      to
      assets is permitted only in accordance with management’s general or specific
      authorization; and

     

    (iv)  the
      recorded accountability for assets is compared with the existing assets at
      reasonable intervals and appropriate action is taken with respect to any
      differences.

    
 

    
      
        
          
          

        

        
          24.

          
            

          

        

        
          
          

        

      

    

    

    The
      Company maintains a process for internal control over financial reporting
      sufficient to provide reasonable assurance regarding the reliability of
      financial reporting and the preparation of financial statements of the Company
      for external purposes in accordance with Canadian GAAP and includes those
      policies and procedures that (x) pertain to maintenance of records that in
      reasonable detail accurately and fairly reflect the transactions and
      dispositions of assets of the Company, (y) provide reasonable assurance that
      transactions are recorded as necessary to permit preparation of the financial
      statements of the Company in accordance with Canadian GAAP and that receipts
      and
      expenditures of the Company are made only in accordance with authorizations
      of
      the management of the Company and (z) provide reasonable assurance
      regarding prevention or timely detection of unauthorized acquisition, use or
      disposition of the Company’s assets that could have a material effect on the
      financial statements of the Company. 

     

    (g)  The
      Company maintains disclosure controls and procedures to provide reasonable
      assurance that material information required to be disclosed by the Company
      under Canadian Securities Laws is recorded, processed, summarized and reported
      within the time periods specified in such Laws.

     

    3.6  No
      Undisclosed Liabilities.
      Except
      as to Taxes, the representation and warranties of the Company as to which are
      set forth in Section 3.9, there are no material liabilities or obligations
      of
      any Acquired Company whatsoever (whether matured or unmatured, known or unknown,
      fixed or contingent or otherwise), except (i) to the extent expressly
      reflected on or reserved against in, or otherwise disclosed in the notes to,
      the
      Balance Sheet, (ii) liabilities or obligations incurred in the ordinary course
      of business under the Company Contracts, (iii) liabilities or obligations
      arising in the ordinary course of business after the date of the Balance Sheet
      consistent (in amount and kind) with past practice (none of which is a material
      liability or material obligation arising from any breach of contract, breach
      of
      warranty, tort, infringement claim, violation of Law or any suit, claim, action
      or proceeding) and (iv) liabilities in respect of Transaction Expenses of the
      Company.

     

    3.7  Transactions
      with Affiliates and Employees.
      Except
      as set forth in the Company’s reports filed pursuant to the Securities Laws,
      none of the officers or directors of the Acquired Companies and, to the
      knowledge of the Company, none of the employees of the Acquired Companies is
      presently a party to any transaction with an Acquired Company (other than for
      services as employees, officers and directors), including any contract,
      agreement or other arrangement providing for the furnishing of services to
      or
      by, providing for rental of real or personal property to or from, or otherwise
      requiring payments to or from any officer, director or such employee or, to
      the
      knowledge of the Company, any entity in which any officer, director, or any
      such
      employee has a substantial interest or is an officer, director, trustee or
      partner, in each case in excess of $60,000 other than (i) for payment of salary
      or consulting fees for services rendered, (ii) reimbursement for expenses
      incurred on behalf of an Acquired Company and (iii) for other employee benefits,
      including stock option or share appreciation rights agreements under any stock
      option plan or share appreciation rights plan of an Acquired
      Company.

     

    3.8  Absence
      of Certain Changes or Events.
      Since
      the date of the Balance Sheet, there has not been: (i) any Company Material
      Adverse Effect, (ii) any change by an Acquired Company in its accounting
      methods, principles or practices, except as required by concurrent changes
      in
      Canadian GAAP or the rules and regulations promulgated under the Securities
      Laws, (iii) any revaluation by an Acquired Company of any of its assets,
      including, without limitation, writing down the value of capitalized inventory
      or writing off notes or accounts receivable other than in the ordinary course
      of
      business or (iv) any split, combination or reclassification of any Acquired
      Company’s capital stock.

     

    
      
        
        

      

      
        25.

        
          

        

      

      
        
        

      

    

     

    3.9  Taxes.
      

     

    (a)  Each
      Acquired Company has prepared and timely filed with the appropriate Governmental
      Authority all material Tax Returns required to be filed by it and all such
      Tax
      Returns are true, correct and complete in all material respects and have been
      completed in accordance with applicable Law. 

     

    (b)  Each
      Acquired Company will have duly and timely paid all material Taxes it shall
      have
      been required to pay as of the Effective Time, including all installments on
      account of any such Taxes, in respect of periods up to and including the
      Effective Time. Each Acquired Company will have duly and timely withheld from
      each amount paid or credited by it on or before the Effective Time the amount
      of
      all material Taxes and other deductions it shall have been required under any
      applicable Tax Laws to have deducted or withheld therefrom as of the Effective
      Time and will have set aside in trust or duly and timely remitted all such
      amounts withheld to the relevant Governmental Authority within the time
      prescribed under any applicable Tax Law. Without limitation, each Acquired
      Company will have withheld with respect to its employees (and timely paid over
      to the appropriate Taxing authority) all material Taxes required to be withheld
      by it as of the Effective Time. To the extent required by applicable Law, all
      such amounts shall have been remitted or paid over to the proper Governmental
      Authority or, to the extent not yet due and payable, held in separate bank
      accounts for such purpose and designated as such.

     

    (c)  Each
      Acquired Company will have duly and timely collected all amounts on account
      of
      any goods, services, sales, value added, or transfer or other taxes required
      by
      Law to have been collected by it as of the Effective Time and shall have duly
      set aside in trust or timely remitted to the appropriate Governmental Authority
      any and all such amounts required by Law to be remitted by it. 

     

    (d)  No
      Acquired Company has been delinquent in the payment of any material Tax, nor
      has
      any Acquired Company received any written notice regarding, nor does the Company
      have any Knowledge of, any Tax deficiency or adjustment outstanding, assessed
      or
      proposed against any Acquired Company. No Acquired Company has requested,
      offered to enter into, entered into, or executed, any agreement, waiver or
      other
      arrangement providing for any waiver of any statute of limitations or any
      extension of time with respect to (i) any assessment, reassessment or collection
      of Taxes, (ii) the filing of any Tax Return, (iii) the filing of any election,
      designation or similar filing relating to Taxes, or (iv) the payment or
      remittance of any Taxes or amounts on account of Taxes by any Acquired Company.
      There are no matters that are the subject of any written agreement between
      any
      Acquired Company and any Governmental Authority relating to any claims for
      additional Taxes, nor, to the Company’s Knowledge, are there any such matters
      pertaining to possible Tax claims against any Acquired Company under discussion
      with any Governmental Authority. 

     

    (e)  No
      Proceeding, audit or other examination, assessment, reassessment, request for
      information, objection or appeal relating to any Tax Return, or otherwise
      relating to Taxes of any Acquired Company is in progress, pending or threatened
      nor has any Acquired Company been notified in writing of, nor does the Company
      have any Knowledge of, any such Proceeding, audit, examination, assessment,
      reassessment, request, objection or appeal. No adjustment relating to any Tax
      Return filed by any Acquired Company has been proposed in writing by any
      Governmental Authority to any Acquired Company or any representative thereof
      and
      no written claim has been made by a Governmental Authority in a jurisdiction
      where an Acquired Company does not file Tax Returns that an Acquired Company
      is
      or may be subject to taxation by that jurisdiction. 

     

    (f)  Except
      as
      reasonably would not be likely to result in any material liability to the
      Acquired Company (in any individual case or in the aggregate), no Acquired
      Company had, as of September 30, 2006, any liability for unpaid Taxes, whether
      asserted or unasserted, contingent or otherwise, that has not been accrued
      or
      reserved against on the Balance Sheet in accordance with Canadian GAAP. Since
      September 30, 2006, no Acquired Company has incurred any liability for Taxes,
      whether asserted or unasserted, contingent or otherwise, other than in the
      ordinary course of business. Amounts of Taxes that have accrued but which are
      not yet due and payable as of the Effective Time will be provided for in any
      interim financial statements of the Acquired Companies if and to the extent
      required under Canadian GAAP.

     

    
      
        
        

      

      
        26.

        
          

        

      

      
        
        

      

    

     

    (g)  Each
      Acquired Company has made available to Parent or its legal counsel or
      accountants true and complete copies of all Tax Returns for (and non privileged
      studies and opinions related thereto) for such Acquired Company for its last
      three taxable years.

     

    (h)  To
      the
      Knowledge of the Company, no Acquired Company has applied to any Governmental
      Authority for permission to change its taxation year end or method of computing
      income or Taxes, or for any tax ruling, or technical interpretation. Except
      as
      disclosed to the Parent in writing prior to the Effective Time, between the
      date
      hereof and the Effective Time, no Acquired Company shall have made, revoked
      or
      rescinded any Tax election or designation, or made, revoked or rescinded any
      settlement or compromise of any liability with respect to Taxes, or amended
      or
      refiled any Tax Return.

     

    (i)  There
      are
      no Liens on the assets of any Acquired Company relating to or attributable
      to
      Taxes, other than Liens for Taxes not yet due and payable and for which adequate
      reserves have been recorded on line items on the Balance Sheet. To the Knowledge
      of the Company, no state of facts exists or has existed that would constitute
      grounds for the assessment of any liability for Taxes with respect to any
      taxable period not yet audited by the relevant Governmental Authority which
      would result in any material Lien for Taxes on the assets of any Acquired
      Company. 

     

    (j)  No
      Acquired Company has filed any consent agreement under Section 341(f) of the
      Code or agreed to have Section 341(f)(2) of the Code apply to any disposition
      of
      a subsection (f) asset (as defined in Section 341(f)(4) of the Code) owned
      by an
      Acquired Company.

     

    (k)  Except
      for customary agreements to indemnify lessors, licensors, lenders and debt
      security holders in respect of Taxes, (a) no Acquired Company is party to or
      has
      any obligation under any Tax sharing, indemnity or allocation agreement or
      arrangement, including any advance pricing agreement, closing agreement or
      other
      agreement relating to Taxes with any Governmental Authority, (b) no
      Acquired Company (i) has ever been a member of an affiliated group (within
      the
      meaning of Code §1504(a)) filing a U.S. consolidated federal income Tax Return
      (other than a group the common parent of which is a subsidiary of the Company),
      or (ii) has any liability for the Taxes of any person (other than Company or
      any
      Subsidiary) under U.S. Treas. Reg. § 1.1502-6 or any similar provision of
      Canadian federal, provincial, state, local or foreign law, whether as a
      transferee successor or otherwise, by contract, or otherwise.

     

    (l)  No
      Acquired Company has constituted either a “distributing corporation” or a
“controlled corporation” in a distribution of stock intended to qualify for
      tax-free treatment under Section 355 of the Code (x) in the two years prior
      to
      the date of this Agreement or (y) in a distribution which could otherwise
      constitute part of a “plan” or “series of related transactions” (within the
      meaning of Section 355(e) of the Code) in conjunction with the
      Arrangement.

     

    (m)  To
      the
      Knowledge of the Company, each Acquired Company is in compliance with all terms
      and conditions of any Tax exemption, Tax holiday, provision relating to its
      entitlement to Tax credits, or other Tax reduction agreement or order
      (“Tax
      Incentive”),
      in
      all material respects.

     

    
      
        
        

      

      
        27.

        
          

        

      

      
        
        

      

    

     

    (n)  Each
      Acquired Company is, and at all times has filed its Tax Returns on the basis
      that it is, resident for Tax purposes in its country of incorporation or
      formation and has not at any time been treated by any Governmental Authority
      as
      resident in any other country for any Tax purpose (including any treaty,
      convention or arrangement for the avoidance of double taxation). No Acquired
      Company has filed any Tax Return on the basis that it is subject to Tax in
      any
      jurisdiction other than its country of incorporation or formation (and political
      subdivisions thereof).

     

    (o)  No
      Tax
      liabilities exist under or in respect of any Company Plans.

     

    (p)  No
      Acquired Company has filed a statement pursuant to Section 1.6011-4 of the
      Treasury Regulations pertaining to participation in any “listed transaction”
within the meaning of Treasury
      Regulation Section 1.6011-4(b)(2).

     

    (q)  No
      Acquired Company has made an election to be treated as a domestic corporation
      pursuant to Section 897(i) of the Code.

     

    3.10  Company
      Intellectual Property.

     

    (a)  Section 3.10(a)
      of the Company Disclosure Schedule lists all Owned IP that has been registered
      or filed with, or issued under the authority of, any government authority
      (including without limitation all patents, registered copyrights, registered
      trademarks, and all applications for any of the foregoing) (the “Registered
      Owned IP”),
      and
      lists any proceedings or actions before any court, tribunal (including the
      United States Patent and Trademark Office, United States Copyright Office,
      or
      equivalent authority anywhere in the world) related to such Intellectual
      Property Rights.

     

    (b)  No
      Owned
      IP (and, to the Knowledge of the Company, no Licensed IP) is subject to any
      proceeding or outstanding decree, order, judgment, contract, license, agreement,
      or stipulation that (i) restricts in any material manner the use, transfer,
      or licensing thereof by any Acquired Company, or (ii) may affect the
      validity, use or enforceability of such Intellectual Property
      Rights.

     

    (c)  All
      of
      the Acquired Company’s Intellectual Property Rights in the Owned IP are valid
      and subsisting. With respect to Registered Owned IP, all necessary registration,
      maintenance and renewal fees currently due in connection with such Intellectual
      Property Rights have been made, and all necessary documents, recordations and
      certificates in connection with such Intellectual Property Rights have been
      filed with the relevant patent, copyright, trademark or other authorities in
      the
      United States or foreign jurisdictions, as the case may be, for the purposes
      of
      maintaining such Intellectual Property Rights. 

     

    (d)  Other
      than “shrink wrap” and similar commercial mass-market Software licenses pursuant
      to which a third party grants nonexclusive end-user license rights to any
      Acquired Company for non-customized Software in binary code form, each of the
      following parts of Section 3.10(d) of the Company Disclosure Schedule lists
      all
      Company Contracts pursuant to which: (i) any Company IP was licensed or
      transferred to any third party; (ii) any Company IP was placed into escrow
      with
      any third party; and (iii) a third party has licensed or transferred any
      material Intellectual Property Rights to any Acquired Company.

     

    (e)  Each
      of
      the Acquired Companies either (i) owns and has good and exclusive title to
      all
      Intellectual Property Rights and other Intellectual Property used in or
      necessary to the conduct of the Business; or (ii) has licensed from a third
      party pursuant to a Company Contract described in Section 3.10(e)(iii) of the
      Company Disclosure Schedule) all Intellectual Property Rights and other
      Intellectual Property used in or necessary to the conduct of the Business in
      a
      manner sufficient for the conduct of its business as currently conducted and
      as
      presently proposed to be conducted. Without limiting the foregoing, (i) each
      Acquired Company owns exclusively, and has good title to, all trademarks listed
      in Section 3.10(a) of the Company Disclosure Schedule used in connection with
      the Business of such Acquired Company; and (ii) each Acquired Company owns
      exclusively, and has good title to, all copyrighted works that are products
      of
      such Acquired Company or that such Acquired Company otherwise expressly purports
      to own, including any documentation related to such products.

     

    
      
        
        

      

      
        28.

        
          

        

      

      
        
        

      

    

     

    (f)  Each
      Person who is or was an employee or contractor of an Acquired Company and who
      is
      or was involved in the creation or development of any Intellectual Property
      Rights in the course of performing services for the Acquired Company has signed
      a valid, enforceable agreement containing an assignment of all such Intellectual
      Property Rights to the Company. No employee of an Acquired Company is (i) bound
      by or otherwise subject to any Contract restricting him from performing his
      duties for the Acquired Company or (ii) in breach of any Contract with any
      former employer or other Person concerning Intellectual Property Rights or
      confidentiality due to his activities as an employee of the Acquired
      Company.

     

    (g)  Except
      for Licensed IP, the Acquired Companies own and have good and exclusive title
      to
      all Intellectual Property Rights or other Intellectual Property used by such
      Acquired Company, free and clear of any Encumbrance (other than any lien for
      current taxes not yet due and payable); provided,
      however,
      that
      claims of infringement or misappropriation of Intellectual Property Rights
      shall
      not be deemed Encumbrances for the purpose of this Section 3.10(g)).

     

    (h)  No
      Acquired Company has (i) transferred ownership of, or granted any exclusive
      license with respect to, any Intellectual Property Rights that is or was
      material to the conduct of the Business to any third party, or (ii) permitted
      rights in such Intellectual Property Rights owned by such Acquired Company
      to
      lapse or enter the public domain.

     

    (i)  All
      material Company Contracts relating to Intellectual Property Rights are in
      full
      force and effect. No event has occurred, and no circumstance or condition exists
      that has resulted in, or could reasonably be expected to result in, (i) the
      termination of any such Company Contract; (ii) the disclosure, delivery,
      license, or release from any escrow of any Company IP. Following the Closing
      Date, each Acquired Company will continue to be permitted to exercise all of
      its
      rights under such material Company Contracts relating to Intellectual Property
      Rights (a) to the same extent such Acquired Company would have been able to
      had
      the Transactions not occurred, and (b) without the payment of any additional
      amounts or consideration other than ongoing fees, royalties or payments which
      such Acquired Company would otherwise be required to pay. 

     

    (j)  To
      the
      Knowledge of the Company, the operation of the Business (including without
      limitation the Acquired Companies’ offering, sale, license, and performance of
      their products and services) has not and does not infringe or misappropriate
      the
      Intellectual Property Rights of any third party, or constitute unfair
      competition or unfair trade practices under the Laws of any jurisdiction in
      which any Acquired Company does business. To the Knowledge of the Company,
      no
      Person has infringed or misappropriated any Company IP.

     

    (k)  No
      Acquired Company has received notice from any third party that the operation
      of
      the Business infringes or misappropriates the Intellectual Property Rights
      of
      any third party, or constitutes unfair competition or unfair trade practices
      under the laws of any jurisdiction.

     

    (l)  Each
      Acquired Company has taken reasonable steps to protect its rights in the
      Acquired Companies’ confidential information and trade secrets and (to the
      extent required under confidentiality obligations to third parties) to protect
      any trade secrets or confidential information of third parties provided to
      the
      Acquired Companies. Without limiting the foregoing, each Acquired Company (x)
      has and enforces a policy requiring each employee to execute a proprietary
      information/confidentiality and invention assignment agreement substantially
      in
      the forms provided to Parent, and has ensured that all current and former
      employees of the Acquired Companies have executed such an agreement; and (y)
      has
      and enforces a policy requiring each contractor or third party that receives
      any
      confidential information and/or trade secrets from the Acquired Companies to
      execute a written agreement containing obligations of confidentiality no less
      restrictive than the confidentiality obligations set forth in such Acquired
      Company’s standard form of confidentiality agreement provided to Parent, and has
      ensured that all such current and former contractors and third parties have
      executed such an agreement.

     

    
      
        
        

      

      
        29.

        
          

        

      

      
        
        

      

    

     

    3.11  Compliance;
      Permits; Restrictions. 

     

    (a)  Neither
      any Acquired Company nor the conduct of the Business is in conflict with, or
      in
      default or violation of any Laws applicable to any Acquired Company or by which
      its or any of their respective businesses or properties is bound or affected,
      except such conflicts, defaults or violations that do not have, and would not
      reasonably be expected to have, individually or in the aggregate, a Company
      Material Adverse Effect. No investigation or review by any Governmental
      Authority is pending or, to the Knowledge of the Company, threatened against
      any
      Acquired Company, nor has any Governmental Authority indicated to the Company
      an
      intention to conduct the same. There is no agreement, judgment, injunction,
      order or decree binding upon any Acquired Company which has or could reasonably
      be expected to have the effect of prohibiting or materially impairing any
      business practice of the Acquired Companies, any acquisition of material
      property by any Acquired Company or the conduct of the Business.

     

    (b)  Each
      Acquired Company holds all permits, licenses, variances, exemptions, orders
      and
      approvals from Governmental Authorities that are material to the operation
      of
      its Business, including, without limitation such permits, licenses, approvals,
      consents and other authorizations issued by the appropriate federal, state,
      local or foreign regulatory agencies or bodies, except as does not have and
      would not reasonably be expected to have, individually or in the aggregate,
      a
      Company Material Adverse Effect. Each Acquired Company is in compliance in
      all
      material respects with such permits, licenses, approvals, consents and other
      authorizations issued by the appropriate federal, state, local or foreign
      regulatory agencies or bodies, except such non-compliance as does not have
      and
      would not reasonably be expected to have, individually or in the aggregate,
      a
      Company Material Adverse Effect

     

    3.12  Litigation.
      There
      is no suit, action, judgment, proceeding, claim, arbitration or investigation
      pending or, to the Knowledge of the Company, threatened, against or affecting
      any Acquired Company or any property or asset of any Acquired Company which,
      individually or in the aggregate, would reasonably be expected to have a Company
      Material Adverse Effect.

     

    3.13  Investment
      Banking, Brokers’ and Finders’ Fees.
      Except
      for fees payable to William Blair & Company pursuant to an engagement letter
      dated April 8, 2006, the Acquired Companies have not incurred, nor will any
      of
      them incur, directly or indirectly, any liability for brokerage or finders’ fees
      or agents’ commissions or any similar charges in connection with this Agreement
      or any transaction contemplated hereby.

     

    3.14  Employee
      Benefit Plans.

     

    (a)  The
      Company Plans covering any active employee, former employee, director or
      consultant of Company, any Subsidiary or any trade or business (whether or
      not
      incorporated) that is an Affiliate of the Company within the meaning of Section
      414 of the Code, or with respect to which Company has or may in the future
      have
      liability are listed on Section 3.14(a) of the Company Disclosure Schedule.
      The Company has provided to Parent: (i) correct and complete copies of all
      documents embodying each plan listed on Section 3.14(a) of the Company
      Disclosure Schedule including (without limitation) all amendments thereto,
      all
      related trust documents, and all material written agreements and contracts
      relating to each such Plan; (ii) the three most recent annual reports (Form
      Series 5500 and all schedules and financial statements attached thereto), if
      any, required under the Employee Retirement Income Security Act of 1974, as
      amended, or the Code in connection with each plan listed on Section 3.14(a)
      of the Company Disclosure Schedule; (iii) the most recent summary plan
      description together with the summary(ies) of material modifications thereto,
      if
      any, required under the Employee Retirement Income Security Act of 1974, as
      amended, with respect to each plan; (iv) all Internal Revenue Service
      determination, opinion, notification and advisory letters relating to any plan
      listed on Section 3.14(a) of the Company Disclosure Schedule; (v) all
      material correspondence to or from any governmental agency relating to any
      plan
      listed on Section 3.14(a) of the Company Disclosure Schedule; (vi) all
      discrimination tests for each plan listed on Section 3.14(a) of the Company
      Disclosure Schedule, if applicable, for the most recent three plan years; and
      (vii) if the Plan listed on Section 3.14(a) of the Company Disclosure
      Schedule is funded, the most recent periodic accounting of the assets of such
      plan.

     

    
      
        
        

      

      
        30.

        
          

        

      

      
        
        

      

    

     

    (b)  Each
      Company Plan has been maintained and administered in all material respects
      in
      compliance with its terms and with the requirements prescribed by any and all
      statutes, orders, rules and regulations (foreign or domestic), including the
      Employee Retirement Income Security Act of 1974, as amended, and the Code,
      that
      are applicable to such Company Plans. No suit, action or other litigation
      (excluding claims for benefits incurred in the ordinary course of business)
      has
      been brought, or to the Knowledge of Company is threatened, against or with
      respect to any such plan listed on Section 3.14(a) of the Company Disclosure
      Schedule. There are no audits, inquiries or proceedings pending or, to the
      Knowledge of Company, threatened by the Internal Revenue Service or Department
      of Labor with respect to any plans listed on Section 3.14(a) of the Company
      Disclosure Schedule. All contributions, reserves or premium payments required
      to
      be made or accrued as of the date hereof to the plans listed on Section 3.14(a)
      of the Company Disclosure Schedule have been timely made or accrued.
      Section 3.14(b) of the Company Disclosure Schedule includes a listing of
      the accrued vacation liability of Company as of January 31, 2007. Any Company
      Plan listed on Section 3.14(a) of the Company Disclosure Schedule intended
      to qualify under Section 401(a) of the Code and each trust intended to
      qualify under Section 401(a) of the Code (i) has either applied for or
      obtained a favorable determination, notification, advisory and/or opinion
      letter, as applicable, as to its qualified status from the Internal Revenue
      Service or still has a remaining period of time under applicable Treasury
      Regulations or Internal Revenue Service pronouncements in which to apply for
      such letter and to make any amendments necessary to obtain a favorable
      determination, and (ii) incorporates or has been amended to incorporate all
      provisions required to comply with the Tax Reform Act of 1986 and subsequent
      legislation, unless such plan still has a remaining period of time under
      applicable Treasury Regulations or Internal Revenue Service pronouncements
      in
      which to conform to such legislation. No Acquired Company has any plan or
      commitment to establish any new Company Plan similar to any plan listed on
      Section 3.14(a) of the Company Disclosure Schedule, to modify any Company
      Plan listed on Section 3.14(a) of the Company Disclosure Schedule (except
      to the extent required by law or to conform any such Company Plan to the
      requirements of any applicable Law, in each case as previously disclosed to
      Parent in writing, or as required by this Agreement), or to enter into any
      new
      Company Plan similar to any Company Plan listed on Section 3.14(a) of the
      Company Disclosure Schedule. Each Company Plan listed on Section 3.14(a) of
      the Company Disclosure Schedule can be amended, terminated or otherwise
      discontinued after the Effective Time in accordance with its terms, without
      liability to Parent, any Acquired Company or any of their respective Affiliates
      (other than ordinary administration expenses).

     

    (c)  Neither
      the Company, any Subsidiary, nor any of their Affiliates has at any time ever
      maintained, established, sponsored, participated in, or contributed to any
      plan
      subject to Title IV of the Employee Retirement Income Security Act of 1974,
      as
      amended, or Section 412 of the Code and at no time has Company contributed
      to or
      been requested to contribute to any “multiemployer plan,” as such term is
      defined in Section 3(37)A of the Employee Retirement Income Security Act of
      1974, as amended. Neither Company nor any Affiliate has at any time ever
      maintained, established, sponsored, participated in or contributed to any
      multiple employer plan, or to any plan described in Section 413 of the Code.
      To
      the Knowledge of the Company, neither Company, any Subsidiary, nor any officer
      or director of Company or any Subsidiary is subject to any liability or penalty
      under Section 4975 through 4980B of the Code or Title I of the Employee
      Retirement Income Security Act of 1974, as amended, with respect to any Company
      Plan. To the Knowledge of the Company, no “prohibited transaction,” within the
      meaning of Section 4975 of the Code or Sections 406 and 407 of the Employee
      Retirement Income Security Act of 1974, as amended, and not otherwise exempt
      under Section 4975 of the Code or Section 408 of the Employee Retirement Income
      Security Act of 1974, as amended, has occurred with respect to any Company
      Plan.

     

    
      
        
        

      

      
        31.

        
          

        

      

      
        
        

      

    

     

    (d)  To
      the
      Knowledge of the Company, neither the Company, any Subsidiary, nor any of their
      Affiliates has, before the Effective Time and in any material respect, violated
      any of the health continuation requirements of the Consolidated Omnibus Budget
      Reconciliation Act of 1985, as amended and as codified in Section 4980B of
      the
      Code and Sections 601 through 608 of the Employee Retirement Income Security
      Act
      of 1974, as amended, the requirements of the Family Medical Leave Act of 1993,
      as amended, the Health Insurance Portability and Accountability Act of 1996,
      as
      amended, or any similar provisions of state law applicable to Company employees.
      None of the plans listed on Section 3.14(a) of the Company Disclosure
      Schedule promises or provides retiree medical or other retiree welfare benefits
      to any person except as required by applicable law, and neither Company nor
      any
      Subsidiary has represented, promised or contracted (whether in oral or written
      form) to provide such retiree benefits to any employee, former employee,
      director, consultant or other person, except to the extent required by statute.
      No Company Plan listed on Section 3.14(a) of the Company Disclosure
      Schedule provides health benefits that are not fully insured through an
      insurance contract.

     

    (e)  To
      the
      Knowledge of the Company, there are no pending, threatened or reasonably
      anticipated claims or actions against any Acquired Company under any workers’
compensation policy or long-term disability policy.

     

    (f)  Neither
      the execution and delivery of this Agreement nor the consummation of the
      transactions contemplated hereby will (either alone or upon the occurrence
      of
      any additional or subsequent events) (i) result in any payment (including
      severance, unemployment compensation, golden parachute, forgiveness of
      indebtedness, bonus or otherwise) becoming due to any stockholder, director
      or
      employee of any Acquired Company under any Company Plan or otherwise, (ii)
      materially increase any benefits otherwise payable under any Company Plan, or
      (iii) result in the acceleration of the time of payment or vesting of any such
      benefits.

     

    (g)  No
      payment or benefit which will or may be made by any Acquired Company or its
      Affiliates with respect to any employee or any other “disqualified individual”
(as defined in Code Section 280G and the Treasury Regulations thereunder
      (“Section
      280G”)
      will
      be characterized as a “parachute payment,” within the meaning of Code Section
      280G(B)(2). In the event that the execution and delivery of this Agreement
      or
      the consummation of the transactions contemplated hereby (either alone or upon
      the occurrence of any additional or subsequent events) results in any payment
      or
      benefit which will be characterized as a “parachute payment,” within the meaning
      of Code Section 280G(B)(2), Section 3.14(g) of the Company Disclosure Schedule
      shall list all persons who the Company reasonably believes are, with respect
      to
      Company or any Subsidiary, “disqualified individuals” (within the meaning of
      Section 280G) as determined as of the date hereof. Within a reasonable period
      of
      time after the last business day of each month after the date hereof and on
      or
      about the date which is five business days prior to the expected date of the
      Closing, the Company shall, as and to the extent necessary, deliver to Parent
      a
      revised Schedule 3.14(g) which sets forth any additional information which
      Company reasonably believes would affect the determination of the persons who
      are, with respect to Company or any Subsidiary, deemed to be “disqualified
      individuals” (within the meaning of Section 280G) as of the date of each such
      revised Schedule 3.14(g).

     

    
      
        
        

      

      
        32.

        
          

        

      

      
        
        

      

    

     

    (h)  Each
      Company Plan that has been adopted or maintained by Company or its Affiliates,
      whether informally or formally, for the benefit of employees located outside
      the
      United States is specifically set forth in Section 3.14(h) of the Company
      Disclosure Schedule.

     

    (i)  There
      is
      no Company Contract covering any employee or former employee of any Acquired
      Company that, individually or collectively, would reasonably be expected to
      give
      rise to the payment of any amount in excess of $100,000 that would not be
      deductible pursuant to Sections 404 or 162(m) of the Code. There is no Company
      Contract requiring an Acquired Company to compensate any individual for excise
      taxes paid pursuant to Section 4999 of the Code.

     

    3.15  Absence
      of Liens and Encumbrances.
      Each
      Acquired Company has good and valid title to, or, in the case of leased
      properties, valid leasehold interests in, all of its tangible properties and
      assets, real, personal and mixed, used in its business, free and clear of any
      Encumbrances except as reflected in the Financial Statements and except for
      liens for taxes not yet due and payable and such imperfections of title and
      Encumbrances, if any, which do not have, and would not reasonably be expected
      to
      have, a Company Material Adverse Effect.

     

    3.16  Environmental
      Matters.

     

    (a)  Hazardous
      Material.
      To the
      Knowledge of the Company, except as does not have, and would not reasonably
      be
      expected to have, individually or in the aggregate, a Company Material Adverse
      Effect, no underground storage tanks and no amount of any substance that has
      been designated by any Governmental Authority or by applicable federal, state
      or
      local law to be a Hazardous Material, are present, as a result of the actions
      of
      any Acquired Company or any Affiliate of the Acquired Companies, or, as a result
      of any actions of any third party or otherwise, in, on or under any property,
      including the land and the improvements, ground water and surface water thereof,
      that any Acquired Company has at any time owned, operated, occupied or
      leased.

     

    (b)  Hazardous
      Materials Activities.
      Except
      as does not have, and would not reasonably be expected to have, individually
      or
      in the aggregate, a Company Material Adverse Effect, (i) no Acquired Company
      has
      transported, stored, used, manufactured, disposed of, released or exposed its
      employees or others to Hazardous Materials in violation of any law in effect
      on
      or before the Closing Date, and (ii) no Acquired Company has disposed of,
      transported, sold, used, released, exposed its employees or others to or
      manufactured any product containing a Hazardous Material in violation of any
      law, rule, regulation, treaty or statute promulgated by any Governmental
      Authority in effect on or prior to the Closing Date to prohibit, regulate or
      control Hazardous Materials or the handling or transportation of Hazardous
      Materials or in a manner that would reasonably be expected to result in material
      liability to the Acquired Companies.

     

    (c)  Permits.
      Each
      Acquired Company currently holds all environmental approvals, permits, licenses,
      clearances and consents necessary for the conduct of such Acquired Company’s
      business, except where the failure to hold such permits does not have, and
      would
      not reasonably be expected to have, individually or in the aggregate, a Company
      Material Adverse Effect.

     

    (d)  Environmental
      Liabilities.
      Except
      as does not have, and would not reasonably be expected to have, individually
      or
      in the aggregate, a Company Material Adverse Effect, no action, proceeding,
      revocation proceeding, amendment procedure, writ, injunction or claim is
      pending, or to the Company’s Knowledge, threatened concerning any permit covered
      by Section 3.16(c) above, Hazardous Material or the handling or transportation
      of any Hazardous Material by any Acquired Company.

     

    
      
        
        

      

      
        33.

        
          

        

      

      
        
        

      

    

     

    3.17  Agreements,
      Contracts and Commitments.
      Section
      3.17 of the Company Disclosure Schedule sets forth each of the following Company
      Contracts (such Company Contracts, the “Material
      Contracts”):
      

     

    (a)  any
      employment or consulting agreement, contract or commitment with any director
      or
      officer or member of Company’s Board of Directors, other than those that are
      terminable by any Acquired Company on no more than 30 days’ notice without
      liability or financial obligation to the Acquired Companies;

     

    (b)  any
      agreement or plan, including, without limitation, any stock option plan, stock
      appreciation right plan or stock purchase plan, any of the benefits of which
      will be increased, or the vesting of benefits of which will be accelerated,
      by
      the occurrence of any of the transactions contemplated by this Agreement or
      the
      value of any of the benefits of which will be calculated on the basis of any
      of
      the transactions contemplated by this Agreement;

     

    (c)  any
      agreement of indemnification or any guaranty, other than agreements with
      Acquired Company customers entered into in the ordinary course of
      business;

     

    (d)  any
      agreement, contract or commitment containing any covenant limiting in any
      respect the right of any Acquired Company to engage in any line of business
      or
      to compete with any person or granting any exclusive distribution
      rights;

     

    (e)  any
      agreement, contract or commitment currently in force relating to the disposition
      or acquisition by any Acquired Company after the date of this Agreement of
      assets in excess of $500,000 not in the ordinary course of business or pursuant
      to which any Acquired Company has any material ownership interest in any
      corporation, partnership, joint venture or other business enterprise other
      than
      any Subsidiary; 

     

    (f)  any
      dealer, distributor, joint marketing, alliance, development or other agreement
      currently in force under which any Acquired Company have continuing material
      obligations to jointly market any product, technology or service, or any
      material agreement pursuant to which any Acquired Company has continuing
      material obligations to jointly develop any Intellectual Property Rights that
      will not be owned, in whole or in part, by such Acquired Company; 

     

    (g)  any
      material agreement, contract or commitment currently in force pursuant to which
      (i) an Acquired Company licenses any third party to manufacture or reproduce
      any
      Acquired Company product, service or technology; (ii) a third party resells,
      distributes, or acts as a sales representative for any Acquired Company products
      or service, excluding agreements with distributors or sales representatives
      in
      the normal course of business that are cancelable without penalty upon notice
      of
      90 days or less, and substantially in the form previously provided to Parent;
      and (iii) an Acquired Company engages any third party to supply any products
      or
      perform any services material to the conduct of the Business, including without
      limitation any long-term supply agreements, installation service subcontracts,
      and repair service provider agreements, in each case to the extent such Contract
      is (x) reasonably likely to involve consideration of more than $500,000 during
      any fiscal year of the Acquired Companies and (y) is not cancelable without
      penalty upon notice of 90 days or less;

     

    
      
        
        

      

      
        34.

        
          

        

      

      
        
        

      

    

     

    (h)  any
      agreement, contract or commitment currently in force to provide source code
      to
      any third party, including any escrow agent, for any product or technology
      that
      is material to Company and each Subsidiary taken as a whole;

     

    (i)  any
      mortgages, indentures, guarantees, loans or credit agreements, security
      agreements or other agreements or instruments relating to the borrowing of
      money
      or extension of credit with a value in excess of $250,000;

     

    (j)  all
      material real property leases and subleases, occupancy licenses and other
      occupancy agreements entered into by Company and any brokerage agreement and
      construction contract with respect to the same;

     

    (k)  any
      settlement agreement entered into within five years prior to the date of this
      Agreement involving consideration of more than $1,000,000; or

     

    (l)  any
      other
      agreement, contract or commitment (i) in connection with or pursuant to which
      any Acquired Company expects to spend or receive (or are expected to spend
      or
      receive), in the aggregate, more than $500,000 during the current fiscal year
      or
      during the next fiscal year, or (ii) that is a material contract (as defined
      in
      Item 601(b)(10) of Regulation S-K of the SEC rules).

     

    No
      Acquired Company, nor to the Company’s Knowledge, any other party to a Material
      Contract, is in material breach, violation or default under, and neither Company
      nor any Subsidiary has received written notice that it has breached, violated
      or
      defaulted under, any of the material terms or conditions of any Material
      Contract in such a manner as would permit any other party to cancel or terminate
      any such Material Contract, or would permit any other party to seek material
      damages or other remedies (for any or all of such breaches, violations or
      defaults, in the aggregate). Each Material Contract is valid, has not been
      terminated as of the date of this Agreement and, except as permitted under
      Section 5.2 will not be terminated prior to the Effective Date, and is
      enforceable against the applicable Acquired Company and, to the Knowledge of
      the
      Company, the other parties thereto, in accordance with its terms, except as
      enforceability may be limited by bankruptcy and other similar laws and general
      principles of equity.

     

    3.18  Company
      Properties.
      Each
      Acquired Company has good and defensible title to, or in the case of leased
      properties and assets, valid leasehold interests in, all of their material
      properties and assets, free and clear of all liens, charges and encumbrances
      except liens for taxes not yet due and payable and such liens or other
      imperfections of title, if any, as do not materially detract from the value
      of
      or materially interfere with the present use of the property affected thereby.
      All the plants, structures, facilities, properties, leased premises and
      equipment of the Acquired Companies, except such as may be under construction
      as
      set forth in Section 3.18 of the Company Disclosure Schedule, are in good
      operating condition and repair, except as does not have, and would not
      reasonably be expected to have, individually or in the aggregate, a Company
      Material Adverse Effect. There is no person in possession of any of Company
      real
      property (including leased property) other than the Company or its Affiliates.
      All improvements constructed by the Company or any Acquired Company within
      its
      real property (including leased property) were constructed in material
      compliance with all building codes, zoning ordinances and all other applicable
      laws.

     

    3.19  Takeover
      Statutes.
      The
      Board of Directors of the Company has approved this Agreement, the Ancillary
      Agreements and the Arrangement Resolution and the other transactions
      contemplated hereby and thereby, and the Company has statutory or discretionary
      exemption that would apply to the Agreement and the proposed transaction
      contemplated hereunder. Other than Part 1, Sections 4.1, 4.2, 4.5, 4.6, 4.7,
      Part 7 and Part 8 under the Ontario Securities Commission Rule 61-501, no other
      takeover statute or similar statute or regulation applies to or purports to
      apply to the Arrangement Resolution, this Agreement, the Ancillary Agreements
      or
      the transactions contemplated hereby and thereby.

     

    
      
        
        

      

      
        35.

        
          

        

      

      
        
        

      

    

     

    3.20  Foreign
      Corrupt Practices Act. To
      the
      Company’s Knowledge, neither any Acquired Company, nor any officer, director,
      employee or agent thereof or any stockholder thereof acting on behalf of any
      Acquired Company, has done any act or authorized, directed or participated
      in
      any act in violation of any provision of the United States Foreign Corrupt
      Practices Act of 1977, as amended, applied to such entity or
      person.

     

    3.21  Labor
      Matters.

     

    (a)  No
      Acquired Company is a party to, or bound by, any collective bargaining agreement
      or other Contract with a labor organization, trade or labor union, employees’
association or similar organization representing any of its employees, nor
      is
      any such agreement presently being negotiated, nor is there any duty on the
      part
      of any Acquired Company to bargain with any labor organization or
      representative, and there are no labor organizations representing, purporting
      to
      represent or, to the knowledge of the Company, seeking to represent any
      employees of an Acquired Company.

     

    (b)  Since
      January 1, 2004, no Acquired Company has had any strike, slowdown, work
      stoppage, boycott, picketing, lockout, job action, labor dispute or threat
      of
      any of the foregoing, or union organizing activity (of unrepresented employees)
      or question concerning representation, by or with respect to any of its
      employees. To the Company’s Knowledge, no event has occurred, and no condition
      or circumstance exists, that might directly or indirectly give rise to or
      provide a basis for the commencement of any such strike, slowdown, work
      stoppage, boycott, picketing, lockout, job action, labor dispute, union
      organizing activity (of unrepresented employees), question concerning
      representation, or any similar activity or dispute.

     

    (c)  Subject
      to compliance with applicable Laws, the employment of each employee of an
      Acquired Company is terminable by the applicable Acquired Company at will,
      without payment of severance or other compensation or consideration. The Company
      has delivered to Parent accurate and complete copies of all employee manuals
      and
      handbooks, disclosure materials, policy statements and other materials relating
      to the employment of the current and former employees of each Acquired
      Company.

     

    (d)  To
      the
      Company’s Knowledge, no employee of any Acquired Company is a party to or is
      bound by any confidentiality agreement, noncompetition agreement or other
      Contract (with any Person) that may result in a Company Material Adverse
      Effect.

     

    (e)  For
      the
      last three years, no Acquired Company has effectuated a “mass layoff,” “plant
      closing,” partial “plant closing,” “relocation” or “termination” each as defined
      in the WARN Act, or any similar legal requirement, affecting any site of
      employment or one or more facilities or operating units within any site of
      employment or facility of an Acquired Company.

     

    (f)  There
      is
      no Judgment, claim, labor dispute, collective
      bargaining,
      or
      grievance pending, or to the Knowledge of the Company, threatened or reasonably
      anticipated, either
      by
      or against any Acquired Company, relating
      to any employment contract, collective bargaining obligation or agreement,
      wages
      and hours, leave of absence, plant closing notification, employment statute
      or
      regulation, privacy right, labor dispute, workers’ compensation policy,
      long-term disability policy, safety, retaliation, immigration or discrimination
      matter involving any Company employee, including charges of unfair labor
      practices or harassment complaints. To the Company’s Knowledge, no Acquired
      Company has engaged in any unfair labor practice within the meaning of the
      National Labor Relations Act. To the Company’s Knowledge, there are no facts
      indicating that (i) the consummation of the Arrangement will have a material
      adverse effect on the labor relations of an Acquired Company, or (ii) any of
      the
      employees of an Acquired Company intends to terminate his or her employment
      with
      the Acquired Company with which such employee is employed.

     

    
      
        
        

      

      
        36.

        
          

        

      

      
        
        

      

    

     

    (g)  To
      the
      Knowledge of the Company, no current or former independent contractor of an
      Acquired Company could reasonably be deemed to be a misclassified employee.
      No
      independent contractor (i) has provided services to an Acquired Company for
      a
      period of six consecutive months or longer or (ii) is eligible to participate
      in
      any Company Plan. No Acquired Company has ever had any temporary or leased
      employees that were not treated and accounted for in all respects as employees
      of such Acquired Company.

     

    (h)  Section
      3.20(h) of the Company Disclosure Schedule accurately identifies each former
      employee of an Acquired Company who is receiving or is scheduled to receive
      (or
      whose spouse or other dependent is receiving or is scheduled to receive) any
      benefits (whether from an Acquired Company or otherwise) relating to such former
      employee’s employment with an Acquired Company; and Section 3.21(h) of the
      Company Disclosure Schedule accurately and completely describes such
      benefits.

     

    (i)  Section
      3.20(i) of the Company Disclosure Schedule accurately identifies each employee
      of an Acquired Company who is not fully available to perform work because of
      disability or other leave and sets forth the basis of such disability or leave
      and the anticipated date of return to full service.

     

    3.22  Insurance.
      The
      Company maintains insurance policies covering the assets, business, equipment,
      properties, operations, employees, officers and directors of the Company and
      its
      Subsidiaries (collectively, the “Insurance
      Policies”)
      which
      are of the type and in amounts which it believes are reasonably appropriate
      to
      conduct its business. To the Company’s knowledge, there is no material claim by
      the Company or any of its Subsidiaries pending under any of the material
      Insurance Policies as to which coverage has been questioned, denied or disputed
      by the underwriters of such policies or bonds.

     

    ARTICLE
      4

     

    REPRESENTATIONS
      AND WARRANTIES OF

     

    PARENT
      AND PURCHASER

     

    Parent
      represents and warrants to the Company that, except as set forth on the Parent
      Disclosure Schedule:

     

    4.1  Organization
      and Good Standing.
      Each of
      Parent and Purchaser is a corporation duly incorporated, validly existing and
      in
      good standing under the Laws of the jurisdiction of its incorporation and has
      all requisite corporate power and authority to own, lease and operate its
      properties and assets and to conduct its business as presently conducted. Each
      of Parent and Purchaser is duly qualified or licensed to do business and, where
      applicable as a legal concept, is in good standing as a foreign corporation
      in
      each jurisdiction in which the character of the properties it owns, operates
      or
      leases or the nature of its activities makes such qualification or licensure
      necessary, except for such failures to be so qualified, individually or in
      the
      aggregate, have not had, and may not reasonably be expected to have, a Parent
      Material Adverse Effect. Section 4.1 of the Parent Disclosure Schedule sets
      forth an accurate and complete list of each of Parent’s and Purchaser’s
      jurisdiction of incorporation and the other jurisdictions in which it is
      authorized to do business and a complete and accurate list of the current
      directors and officers of Parent and Purchaser. Parent and Purchaser have made
      available to the Company accurate and complete copies of the Organizational
      Documents of each of Parent and Purchaser, as currently in effect, and neither
      Parent nor Purchaser is in default under or in violation of any provision of
      their Organizational Documents.

     

    
      
        
        

      

      
        37.

        
          

        

      

      
        
        

      

    

     

    4.2  Authority
      and Enforceability.

     

    (a)  As
      of the
      date hereof, the Board of Directors of Parent, after consultation with its
      financial and legal advisors, has determined unanimously that the Arrangement
      is
      fair to the Parent Stockholders and is in the best interests of Parent and
      that
      the fair market value of Company is equal to at least 80% of Parent’s net assets
      and has resolved unanimously to recommend to the Parent Stockholders that they
      vote their Parent Common Stock in favor of the Arrangement. The Board of
      Directors of Parent has unanimously approved the Arrangement and the execution
      and performance of this Agreement. The Board of Directors of Parent has received
      a Fairness Opinion from New
      Century Capital Partners, LLC or another financial advisor of national
      reputation (the “Parent
      Financial Advisor”).
      Promptly following receipt of the written Fairness Opinion, Parent shall provide
      a complete copy of the Fairness Opinion to the Company. 

     

    (b)  The
      only
      vote of holders of securities of Parent necessary to approve the Arrangement
      is
      the Required Parent Vote.

     

    (c)  Each
      of
      Parent and Purchaser has all requisite corporate power and authority to execute
      and deliver this Agreement and each of the Ancillary Agreements to which it
      is a
      party and to perform its obligations under this Agreement and each such
      Ancillary Agreement. The execution, delivery and performance of this Agreement
      and the Ancillary Agreements have been duly authorized by all necessary action
      on the part of each of Parent and the Purchaser. This Agreement has been duly
      executed and delivered by each of Parent and the Purchaser and constitutes
      the
      legal, valid and binding obligation of each of Parent and the Purchaser,
      enforceable against each of Parent and the Purchaser in accordance with its
      terms, except as enforceability may be limited by bankruptcy and other similar
      laws and general principles of equity.

     

    (d)  Upon
      the
      execution and delivery by each of Parent and the Purchaser of the Ancillary
      Agreements to which it is a party, such Ancillary Agreements will constitute
      the
      legal, valid and binding obligations of it, enforceable against it in accordance
      with their terms, except as enforceability may be limited by bankruptcy and
      other similar laws and general principles of equity.

     

    4.3  No
      Conflict. Neither
      the execution and delivery of this Agreement or any of the Ancillary Agreements,
      nor the consummation or performance of the Transactions, will: 

     

    (a)  directly
      or indirectly (with or without notice, lapse of time or both) conflict with,
      result in a breach or violation of, constitute a default (or give rise to any
      right of termination, cancellation, acceleration, suspension or modification
      of
      any obligation or loss of any benefit) under, constitute a change in control
      under, result in any payment becoming due under, result in the imposition of
      any
      Encumbrances on any of the Parent Common Stock or any of the properties or
      assets of Parent or Purchaser under, or otherwise give rise to any right on
      the
      part of any Person to exercise any remedy or obtain any relief under: (i) the
      Organizational Documents of Parent or Purchaser; (ii) except as set forth in
      Section 4.3(b) any Governmental Authorization; (iii) any Parent Contract; or
      (iv) except as set forth in Section 4.3(b), any Law or Judgment applicable
      to
      Parent or Purchaser or any of their respective properties or assets; or

     

    (b)  require
      Parent or Purchaser to obtain any consent, waiver, approval, ratification,
      permit, license, Governmental Authorization or other authorization of, give
      any
      notice to, or make any filing or registration with, any Governmental Authority
      or other Person, except for (i) the filing of the Proxy and Registration
      Statement with the SEC and the mailing of the Proxy Statement to the Parent
      Stockholders, (ii) such consents, approvals, orders, authorizations,
      registrations, declarations and filings as may be required under applicable
      securities laws, HSR Act and the comparable laws of any foreign country
      reasonably determined by the parties to be required and (iii) such other
      consents, waivers, approvals, ratifications, permits, licenses, Governmental
      Authorizations or other authorizations, or notices, filings or registrations
      which, if not obtained or made, would not be material to the Company or Parent
      or have a material adverse effect on the ability of the parties to consummate
      the Transactions. 

     

    
      
        
        

      

      
        38.

        
          

        

      

      
        
        

      

    

     

    4.4  Capitalization
      and Ownership. 

     

    (a)  The
      authorized capital stock of Parent consists of (i) 50,000,000 shares of Parent
      Common Stock, par value $0.0001 per share, and (ii) 1,000,000 shares of
      Preferred Stock, par value $0.0001 per share. As of the date hereof, 11,249,997
      shares of Parent Common Stock were issued and outstanding. As of the date
      hereof, no shares of Parent Preferred Stock were issued or outstanding. Parent
      has reserved 18,000,000 shares of Parent Common Stock for issuance upon exercise
      of outstanding warrants held by Parent’s public stockholders, and 1,350,000
      shares of Parent Common Stock issuable upon exercise of unit purchase options
      issued by Parent on August 31, 2005 in connection with its initial public
      offering (and warrants issuable upon exercise thereof) to Wedbush Morgan
      Securities Inc. and Maxim Partners LLC. 

     

    (b)  Prior
      to
      and as of the date of this Agreement, no dividends have been declared, reserved
      or set aside with respect to any Parent Common Stock.

     

    (c)  Section 4.4
      of the Parent Disclosure Schedule sets forth for Purchaser:

     

    (i)  its
      authorized share capital; and 

     

    (ii)  the
      number of issued and outstanding shares of its authorized share capital and
      the
      record and beneficial owners thereof.

     

    All
      of
      the issued and outstanding equity securities of the Purchaser are owned of
      record and beneficially by the Persons specified in Section 4.4 of the Parent
      Disclosure Schedule and, to the Parent’s knowledge, free and clear of all
      Encumbrances, in the respective amounts set forth in the Parent Disclosure
      Schedule.

     

    (d)  Other
      than Purchaser, Parent has no Subsidiaries.

     

    (e)  Except
      as
      set forth in this Section 4.4 or as contemplated by this Agreement:

     

    (i)  there
      are
      no equity securities of any class of either Parent or the Purchaser, or any
      security exchangeable into or exercisable for such equity securities, issued,
      reserved for issuance or outstanding; and 

     

    (ii)  there
      are
      no options, warrants, equity securities, calls, rights or other Parent Contracts
      obligating Parent or Purchaser to issue, exchange, transfer, deliver or sell,
      or
      cause to be issued, exchanged, transferred, delivered or sold, additional shares
      or other equity interests of Parent or Purchaser or any security or rights
      convertible into or exchangeable or exercisable for any such shares or other
      equity interests, or obligating Parent or Purchaser to grant, extend, accelerate
      the vesting of, otherwise modify or amend or enter into any such option,
      warrant, equity security, call, right, or Contract. 

     

    
      
        
        

      

      
        39.

        
          

        

      

      
        
        

      

    

     

    (f)  Except
      as
      filed as an exhibit to Parent’s Registration Statement on Form S-1 (Registration
      No. 333-124141) (the “Parent
      IPO Registration Statement”),
      there
      are no Parent Contracts or, to the Knowledge of Parent, Contracts to which
      any
      Parent Stockholder or any Affiliate of Parent or any Parent Stockholder is
      a
      party or by which any Parent Stockholder or any Affiliate of Parent or any
      Parent Stockholder is bound with respect to the voting (including voting trusts
      or proxies), registration under the U.S. Securities Act or
      any
      other Securities Laws (including the qualification of a prospectus under
      Canadian securities Law), or the sale or transfer (including Parent Contracts
      imposing transfer restrictions) of any shares or other equity interests of
      Parent or Purchaser. Parent does not have any outstanding share appreciation
      rights, phantom shares, performance based rights or similar rights or
      obligations. No holder of indebtedness of Parent or Purchaser has any right
      to
      convert or exchange such indebtedness for any equity securities or other
      securities of Parent or Purchaser. No holders of outstanding indebtedness of
      Parent or Purchaser have any rights to vote for the election of directors of
      Parent or Purchaser or to vote on any other matter. 

     

    (g)  All
      of
      the Parent Common Stock and the issued and outstanding equity securities of
      Purchaser are duly authorized, validly issued, fully paid, non-assessable,
      not
      subject to or issued in violation of any purchase option, right of first
      refusal, pre-emptive right, subscription right or any similar right and have
      been issued in compliance with all applicable Laws. Other than legends required
      by applicable blue sky laws, no legend or other reference to any purported
      Encumbrance will appear on any certificate representing the Parent Common Stock
      or the Exchangeable Shares to be issued pursuant to the Arrangement.

     

    (h)  There
      are
      no obligations, contingent or otherwise, of Parent or Purchaser to repurchase,
      redeem or otherwise acquire any of their shares or other equity interests.
      Neither Parent nor Purchaser is subject to any obligation or requirement to
      provide funds to or make any investment (in the form of a loan, capital
      contribution or otherwise) in any other Person. Except to the extent arising
      pursuant to applicable take-over or similar Laws, there is no rights agreement,
      “poison pill” anti-take-over plan or other similar agreement or understanding to
      which Parent or Purchaser is a party or by they are bound with respect to any
      equity security of any class of Parent or Purchaser.

     

    4.5  Financial
      Statements and Compliance.

     

    (a)  Attached
      as Section 4.5 of the Parent Disclosure Schedule are the financial
      statements (collectively, the “Parent Financial
      Statements”)
      comprising the audited balance sheet of Parent as of December 31, 2005 and
      the
      unaudited balance sheet of Parent as of September 30, 2006 (together, the
“Parent
      Balance Sheet”),
      the
      audited statements of operations, stockholders’ equity and cash flow for the
      fiscal year ended December 31, 2005, the unaudited statements of operations,
      stockholders’ equity and cash flow for the nine months ended September 30, 2006,
      including in each case any notes thereto, together with, in the case of the
      audited financial statements, the report thereon of Eisner LLP, independent
      certified public accountants.

     

    (b)  The
      Parent Financial Statements (including the notes thereto) are correct and
      complete, are consistent with the books and records of Parent and have been
      prepared in accordance with U.S. GAAP consistently applied throughout the
      periods involved. The Parent Financial Statements fairly present in all material
      respects the financial condition and the results of operations, changes in
      shareholders’ equity and cash flow of Parent as of the respective dates and for
      the periods indicated therein, all in accordance with U.S. GAAP. No financial
      statements of any Person other than Parent are required by U.S. GAAP to be
      included in the financial statements of Parent.

     

    (c)  Parent
      has been in compliance with all Laws applicable to it or by which its properties
      are bound or affected, other than non-compliance that does not have, and would
      not reasonably be expected to have, individually or in the aggregate, a Parent
      Material Adverse Effect. Parent has filed all forms, reports and documents
      required to be filed by the Company under the Securities Laws or other
      applicable Laws since August 31, 2005 (the “Parent
      SEC Reports”),
      and
      has made available to the Company such forms, reports and documents in the
      form
      filed. As of their respective dates, all such forms, reports and documents
      of
      Parent (i) were prepared in accordance with applicable Laws and (ii) did not
      at
      the time they were filed (or if amended or superseded by a filing before the
      date of this Agreement, then on the date of such filing) contain any untrue
      statement of a material fact or omit to state a material fact required to be
      stated therein or necessary in order to make the statements therein, in the
      light of the circumstances under which they were made, not
      misleading.
      Purchaser is not required to file any forms, reports or other documents pursuant
      to Securities Laws.

     

    
      
        
        

      

      
        40.

        
          

        

      

      
        
        

      

    

     

    (d)  There
      are
      no amendments or modifications that have not yet been filed pursuant to
      Securities Laws but that are required to be filed, to agreements, documents
      or
      other instruments that previously had been filed by Parent pursuant to
      Securities Laws.

     

    (e)  Parent
      maintains a system of internal accounting controls sufficient to provide
      reasonable assurance that:

     

    (i)  all
      transactions are executed in accordance with management’s general or specific
      authorizations;

     

    (ii)  all
      transactions are recorded as necessary to permit the preparation of financial
      statements in conformity with U.S. GAAP and to maintain proper accountability
      for assets;

     

    (iii)  access
      to
      assets is permitted only in accordance with management’s general or specific
      authorization; and

     

    (iv)  the
      recorded accountability for assets is compared with the existing assets at
      reasonable intervals and appropriate action is taken with respect to any
      differences.

     

    Parent
      maintains a process for internal control over financial reporting sufficient
      to
      provide reasonable assurance regarding the reliability of financial reporting
      in
      the preparation of financial statements of Parent in accordance with U.S. GAAP
      and includes those policies and procedures that (x) pertain to the maintenance
      of records that in reasonable detail accurately and fairly reflect the
      transactions and dispositions of the assets of Parent, (y) provide reasonable
      assurance that transactions are recorded as necessary to permit preparation
      of
      the financial statements of Parent in accordance with U.S. GAAP and that
      receipts and expenditures of Parent are being made only in accordance with
      authorizations of the management of Parent and (z) provide reasonable
      assurance regarding prevention or timely detection of unauthorized acquisition,
      use or disposition of Parent’s assets that could have a material effect on the
      financial statements of Parent. 

     

    (f)  Parent
      maintains disclosure controls and procedures to provide reasonable assurance
      that material information required to be disclosed by Parent under applicable
      Securities Laws is made known to Parent’s principal executive officer and
      principal financial officer by others within Parent.

     

    4.6  No
      Undisclosed Liabilities.
      There
      are no liabilities or obligations of Parent or Purchaser whatsoever (whether
      matured or unmatured, known or unknown, fixed or contingent or otherwise),
      except (i) to the extent expressly reflected on or reserved against in, or
      otherwise disclosed in the notes to, the Parent Balance Sheet,
      (ii) liabilities or obligations incurred in the ordinary course of business
      under the Contracts to which Parent is a party, (iii) liabilities or
      obligations arising in the ordinary course of business after the date of the
      Parent Balance Sheet consistent (in amount and kind) with past practice (none
      of
      which is a material liability or material obligation arising from any breach
      of
      contract, breach of warranty, tort, infringement claim, violation of Law or
      any
      suit, claim, action or proceeding), and (iv) liabilities in respect of
      Transaction Expenses of the Parent.

     

    
      
        
        

      

      
        41.

        
          

        

      

      
        
        

      

    

     

    4.7  Transactions
      with Affiliates and Employees.
      Except
      as set forth in the Parent SEC Reports, none of the officers or directors of
      Parent or Purchaser is presently a party to any transaction with Parent or
      Purchaser, including any contract, agreement or other arrangement providing
      for
      the furnishing of services to or by, providing for rental of real or personal
      property to or from, or otherwise requiring payments to or from any officer
      or
      director or, to the knowledge of Parent or Purchaser, any entity in which any
      officer or director has a substantial interest or is an officer, director,
      trustee or partner, in each case in excess of $60,000 other than for
      reimbursement for expenses incurred on behalf of Parent or
      Purchaser.

     

    4.8  Absence
      of Certain Changes or Events.
      Since
      the date of the Parent Balance Sheet, there has not been: (i) any Parent
      Material Adverse Effect, (ii) any change by Parent in its accounting methods,
      principles or practices, except as required by concurrent changes in U.S. GAAP
      or the rules and regulations promulgated by the SEC, (iii) any revaluation
      by
      Parent of any of its assets, including, without limitation, writing down the
      value of capitalized inventory or writing off notes or accounts receivable
      other
      than in the ordinary course of business or (iv) any split, combination or
      reclassification of any of Parent’s capital stock. 

     

    4.9  Taxes.

     

    (a)  Parent
      and Purchaser have timely filed all material Tax Returns required to be filed
      by
      them with all applicable Governmental Authorities. Such Tax Returns are true,
      correct and complete in all material respects and have been completed in
      accordance with applicable Law. Parent and Purchaser have paid, collected,
      withheld and remitted all material Taxes required to be paid, collected,
      withheld and remitted by them (whether or not shown on any such Tax
      Return).

     

    (b)  Parent
      and Purchaser have timely paid all material Taxes and there is no Tax deficiency
      or adjustment outstanding, proposed or assessed against Parent or Purchaser,
      nor
      has Parent or Purchaser executed any unexpired waiver of any statute of
      limitations on, or extended the period for the assessment or collection of,
      any
      Tax.

     

    (c)  No
      audit
      or other examination of any Tax Return of Parent or Purchaser by any
      Governmental Authority is presently in progress, nor has Parent or Purchaser
      been notified in writing of any request for such an audit or other
      examination.

     

    (d)  As
      of
      December 31, 2006, neither Parent nor Purchaser had any liability for any
      material unpaid Taxes that had not been accrued for or reserved against
      (excluding deferred Taxes and similar items) on the Parent Balance Sheet in
      accordance with U.S. GAAP, whether asserted or unasserted, contingent or
      otherwise. Since December 31, 2006, neither Parent nor Purchaser has incurred
      any liability for any Taxes other than in the ordinary course of
      business.

     

    (e)  Parent
      has made available to the Company or its legal counsel or accountants true
      and
      complete copies of the Tax Returns of Parent, Purchaser and any other Subsidiary
      of Parent for the last three taxable years.

     

    4.10  Parent
      Intellectual Property.
      Neither
      Parent nor Purchaser owns, licenses or otherwise has any right, title or
      interest in any Intellectual Property Rights other than its rights, if any,
      to
      the name Ad.Venture Partners, Inc.

     

    
      
        
        

      

      
        42.

        
          

        

      

      
        
        

      

    

     

    4.11  Compliance;
      Permits; Restrictions. 

     

    (a)  Neither
      Parent nor Purchaser nor the conduct of their respective businesses is, in
      any
      material respect, in conflict with, or in default or violation of any Law
      applicable to Parent or Purchaser or by which its or any of their respective
      businesses or properties is bound or affected. No investigation or review by
      any
      Governmental Authority is pending or, to the Knowledge of Parent, threatened
      against Parent or Purchaser, nor has any Governmental Authority indicated to
      Parent or Purchaser an intention to conduct the same. There is no agreement,
      judgment, injunction, order or decree binding upon Parent or Purchaser which
      has
      or could reasonably be expected to have the effect of prohibiting or materially
      impairing any business practice of Parent or Purchaser, any acquisition of
      material property by Parent or Purchaser or the conduct of their
      businesses.

     

    (b)  Each
      of
      Parent and Purchaser holds all permits, licenses, variances, exemptions, orders
      and approvals from Governmental Authorities that are material to the operation
      of their businesses, including, without limitation such permits, licenses,
      approvals, consents and other authorizations issued by the appropriate federal,
      state, local or foreign regulatory agencies or bodies. Each of Parent and
      Purchaser is in compliance in all material respects with such permits, licenses,
      approvals, consents and other authorizations issued by the appropriate federal,
      state, local or foreign regulatory agencies or bodies.

     

    4.12  Litigation.
      There
      is no suit, action, judgment, proceeding, claim, arbitration or investigation
      pending or, to the Knowledge of Parent, threatened, against or affecting Parent,
      Purchaser or any of their respective properties or assets which, individually
      or
      in the aggregate, would reasonably be expected to have a Parent Material Adverse
      Effect, or which in any manner seeks to prevent, enjoin, alter or delay any
      of
      the transactions contemplated by this Agreement.

     

    4.13  Brokers’
      and Finders’ Fees.
      Except
      for fees payable to New Century Capital Partners LLC pursuant to an engagement
      letter dated March 2, 2007, and except for the deferred underwriting fees
      relating to Parent’s initial public offering payable upon the consummation of
      the Arrangement (the “Deferred
      Underwriting Fees”),
      neither Parent nor Purchaser has incurred, nor will it incur, directly or
      indirectly, any liability for brokerage or finders’ fees or agents’ commissions
      or any similar charges in connection with this Agreement or the
      Transactions.

     

    4.14  Employee
      Benefit Plans.
      Neither
      Parent nor Purchaser maintains or has liability under any employee compensation,
      severance, termination pay, deferred compensation, stock or stock related
      awards, incentive, fringe or benefit plans, programs, policies, commitments
      or
      other arrangements (whether or not set forth in a written document and
      including, without limitation, all “employee benefit plans” within the meaning
      of Section 3(3) of the Employee Retirement Income Security Act of 1974, as
      amended), and neither the execution and delivery of this Agreement nor the
      consummation of the transactions contemplated hereby will (i) result in any
      payment (including severance, unemployment compensation, golden parachute,
      bonus
      or otherwise) becoming due to any stockholder, director or employee of Parent
      or
      Purchaser; or (ii) result in the acceleration of the time of payment or vesting
      of any such benefits. Neither Parent nor Purchaser have any
      employees.

     

    4.15  Absence
      of Liens and Encumbrances.
      Each of
      Parent and Purchaser has good and valid title to, or, in the case of leased
      properties, valid leasehold interests in, all of its tangible properties and
      assets, real, personal and mixed, used in its business, free and clear of any
      liens or encumbrances except as reflected in the Parent Financials and except
      for liens for taxes not yet due and payable and such imperfections of title
      and
      encumbrances, if any, which would not be material to Parent on a consolidated
      basis.

     

    
      
        
        

      

      
        43.

        
          

        

      

      
        
        

      

    

     

    4.16  Agreements,
      Contracts and Commitments. 

     

    (a)  Except
      as
      set forth in the Parent SEC Reports filed prior to the date of this Agreement,
      there are no Parent Contracts, which either (i) create or impose a liability
      greater than $10,000, or (ii) may not be cancelled by Parent on less than
      30 days’ prior notice.

     

    (b)  Each
      Parent Contact was entered into at arms’ length and in the ordinary course, is
      in full force and effect and is valid and binding upon and enforceable against
      each of the parties thereto. True, correct and complete copies of all Parent
      Contracts have been made available to Company.

     

    (c)  Neither
      Parent nor, to the knowledge of Parent, any other party thereto is in breach
      of
      or in default under, and no event has occurred which with notice or lapse of
      time or both would become a breach of or default under, any Parent Contract,
      and
      no party to any Parent Contract has given any written notice of any claim of
      such breach, default or event. Each Parent Contract is in full force and
      effect.

     

    4.17  Parent
      Properties.
      Neither
      Parent nor Purchaser owns any real property or holds any material tangible
      assets. The Parent leases its offices on a month to month basis pursuant to
      an
      oral lease agreement.

     

    4.18  Trust
      Account.
      As of
      the date hereof and at the Closing Date, Parent has and will have no less than
      $52,247,606 in a trust account administered by Continental Stock Transfer &
Trust Company (the “Trust
      Account”),
      less
      such amounts, if any, as Parent is required to pay to stockholders who elect
      to
      have their shares converted to cash in accordance with Parent’s certificate of
      incorporation and the Deferred Underwriting Fees.

     

    4.19  Over-The-Counter
      Bulletin Board Quotation.
      Parent’s Common Stock and warrants are quoted on the OTC BB. There is no action
      or proceeding pending or, to Parent’s knowledge, threatened against Parent by
      NASDAQ or NASD, Inc. with respect to any intention by such entities to prohibit
      or terminate the quotation of any such securities on the OTC BB.

     

    4.20  State
      Takeover Statutes.
      The
      Board of Directors of Parent has approved this Agreement, the Ancillary
      Agreements and the other transactions contemplated hereby and thereby, and
      such
      approval is sufficient to render inapplicable the restrictions contained in
      Section 203 of the Delaware Law, to the extent, if any, such restrictions would
      otherwise be applicable to the Arrangement, this Agreement, the Ancillary
      Agreements and the other transactions contemplated hereby and thereby. No other
      state takeover statute or similar statute or regulation applies or purports
      to
      apply to this Agreement, the Ancillary Agreements or the transactions
      contemplated hereby or thereby.

     

    4.21  Foreign
      Corrupt Practices Act.
      Neither
      Parent nor any officer, director, employee or agent thereof or any stockholder
      thereof acting on behalf of Parent or any Subsidiary, has done any act or
      authorized, directed or participated in any act, in violation of any provision
      of the United States Foreign Corrupt Practices Act of 1977, as amended, applied
      to such entity or person.

     

    4.22  Canco
      and Purchaser Status.

     

    (a)  Other
      than in connection with the Arrangement or the transactions contemplated by
      this
      Agreement, Parent, directly or indirectly, has no plan or intention to: (i)
      cause the liquidation of Purchaser or Canco (for U.S. federal income tax
      purposes or otherwise), (ii) cause the reorganization, merger or amalgamation
      of
      Purchaser or Canco with any Person (provided that the foregoing shall not
      prevent transfers of assets to and from Purchaser), (iii) cause the sale,
      distribution or other disposition of the stock of Purchaser or Canco by the
      owner thereof (other than a transfer to one or more wholly-owned Subsidiaries
      of
      Parent), or (iv) cause Purchaser to issue any shares of voting stock of
      Purchaser.

     

    
      
        
        

      

      
        44.

        
          

        

      

      
        
        

      

    

     

    (b)  At
      the
      Effective Time, except as contemplated by the Arrangement, Parent or one or
      more
      wholly-owned Subsidiaries of Parent will own all of the outstanding capital
      stock of Purchaser other than the Exchangeable Shares to be issued in the
      Arrangement or in connection with the Arrangement.

     

    (c)  Purchaser
      and Canco were formed for the sole purpose of engaging in the Transactions
      contemplated by this Agreement. Neither Canco nor Purchaser has or will have
      incurred, directly or indirectly, any obligations or liabilities or engaged
      in
      any business or activities or entered into any agreements or arrangements with
      any Person, except for obligations and liabilities incurred in connection with
      their incorporation or organization and the transactions contemplated hereby
      and
      in the Plan of Arrangement. At no time prior to the Effective Time will Canco
      or
      Purchaser own any material assets other than an amount of cash necessary to
      incorporate Canco or Purchaser, as applicable, and to pay the expenses of the
      transactions contemplated hereby attributable to it if the transactions
      contemplated hereby are consummated.

     

    4.23  Business
      Combinations.
      Parent
      is not party to any Contract (including, without limitation, letters of intent,
      memorandums of understanding and the like) which contemplates the consummation
      of a Business Combination (as defined in Parent’s Amended and Restated
      Certificate of Incorporation) other than (i) this Agreement and the Ancillary
      Agreements and (ii) any such Contract that has been terminated or expired by
      its
      terms, in each case on or prior to the date hereof.

     

    ARTICLE
      5

     

    COVENANTS

     

    5.1  Access
      and Investigation. From
      the
      date of this Agreement until the Effective Time and upon reasonable advance
      notice each party will, and cause each of its Subsidiaries to:

     

    (a)  afford
      the other party and its Representatives full access during normal business
      hours
      to all of its properties, books, Contracts, personnel and records as such party
      may reasonably request; and

     

    (b)  furnish
      promptly to the other party and its Representatives all other information
      concerning its business, properties, assets and personnel as such party may
      reasonably request.

     

    5.2  Operation
      of the Businesses of the Acquired Companies.

     

    (a)  Except
      as
      set forth in Section 5.2 of the Company Disclosure Schedule or as otherwise
      contemplated by this Agreement, during the period from the date of this
      Agreement and continuing until the earlier of the termination of this Agreement
      pursuant to its terms or the Effective Time, the Company will, and will cause
      each of its Subsidiaries to:

     

    (i)  conduct
      its business only in the ordinary course of business;

     

    (ii)  use
      its
      commercially reasonable efforts to preserve and protect its business
      organization, assets, employment relationships, and relationships with
      customers, strategic partners, suppliers, distributors, landlords and others
      doing business with it;

     

    
      
        
        

      

      
        45.

        
          

        

      

      
        
        

      

    

     

    (iii)  pay
      its
      debts and Taxes when due, subject to good faith disputes over such obligations;
      and

     

    (iv)  deliver
      to Parent (A) the monthly board book that is disseminated to the Board of
      Directors of the Company and (B) the Company’s weekly operational
      reports.

     

    (b)  Without
      limiting the generality of Section 5.2(a) and except as set forth in Section
      5.2
      of the Company Disclosure Schedule or as otherwise expressly permitted or
      contemplated by this Agreement or the Ancillary Agreements, the Company will
      not, and will not cause or permit any of its Subsidiaries to (unless Parent
      shall otherwise approve in writing, which approval shall not be unreasonably
      withheld or delayed):

     

    (i)  declare,
      set aside or pay any dividend or other distribution (whether in cash, securities
      or other property) in respect of its capital stock (other than dividends and
      distributions by a direct or indirect wholly-owned Subsidiary of the Company
      to
      its parent);

     

    (ii)  split,
      combine or reclassify its capital or issue or authorize the issuance of any
      other securities in respect of, in lieu of or in substitution for its shares
      or
      any of its other securities;

     

    (iii)  purchase,
      redeem or otherwise acquire any of its shares or any other securities or any
      options, warrants or other rights to acquire any such shares or
      securities;

     

    (iv)  enter
      into any material partnership arrangements, joint development agreement or
      strategic alliances, other than in the ordinary course of business;

     

    (v)  transfer
      a license to any Person, or otherwise extend, amend or modify any material
      Intellectual Property Rights;

     

    (vi)  cause,
      permit or propose any amendments to its Organizational Documents;

     

    (vii)  acquire
      or agree to acquire by merging or consolidating with, or by purchasing any
      equity interest in or a material portion or the assets of, or by any other
      manner, any business or any corporation, partnership, association or other
      business organization or division thereof having a value in excess of $250,000,
      or otherwise acquire or agree to acquire any assets having a value in excess
      of
      $250,000;

     

    (viii)  except
      as
      required to ensure that any Company Plan is not then out of compliance with
      applicable Law or to comply with the requirements of any Company Plan, adopt,
      amend or terminate any Company Plan;

     

    (ix)  make
      any
      individual or series of related payments outside of the ordinary course of
      business in excess of $100,000;

     

    (x)  except
      in
      the ordinary course of business consistent with past practice, modify, amend
      or
      terminate any Material Contract or waive, delay the exercise of, release or
      assign any material rights or claims thereunder;

     

    (xi)  except
      as
      required by applicable Law, enter into any closing agreement in respect of
      material Taxes, settle any claim or assessment in respect of any material Taxes,
      or consent to any extension or waiver of the limitation period applicable to
      any
      claim or assessment in respect of any material Taxes;

     

    
      
        
        

      

      
        46.

        
          

        

      

      
        
        

      

    

    (xii)  incur
      or
      enter into any agreement or commitment in excess of $250,000 individually or
      incur any indebtedness (including capital leases or deferred purchase price
      obligations) other than (x) under the Security and Purchase Agreement, dated
      July 31, 2006 among the Company, certain of its Subsidiaries and Laurus Master
      Fund, Ltd, as amended, or (y) in respect of professional fees and expenses
      relating to this Agreement and the Transactions;

     

    (xiii)  (A)
      hire
      any employee or consultant with an annual compensation level in excess of
      $150,000 or who is eligible to earn or is paid a bonus in excess of $50,000,
      (B)
      enter into or amend any Contract with any director, officer or employee of
      the
      Company or any of its Subsidiaries the benefits of which are contingent upon
      the
      occurrence of the Transactions or (C) enter into any compensation agreement
      with
      any current officer or director;

     

    (xiv)  pay,
      discharge or satisfy any claim, liability or obligation (absolute, accrued,
      asserted or unasserted, contingent or otherwise) for an amount in excess of
      $250,000 other than (A) ordinary course workers’ compensation claims or (B)
      pursuant to agreements contemplating such payment, discharge or satisfaction
      entered into prior to the date hereof;

     

    (xv)  except
      as
      required by applicable Law, make or change any material Tax election, change
      any
      method of accounting resulting in a material amount of additional Tax or file
      any material amended Tax Return;

     

    (xvi)  otherwise
      engage in any practice, take any action, or enter into any transaction of the
      type described in Section 3.7 or Section 3.8; 

     

    (xvii)  purchase
      any insurance in excess of such insurance policies held by the Acquired
      Companies on the date hereof, provided that the foregoing shall not prohibit
      the
      Company from extending the term of existing insurance policies or replacing
      existing insurance policies with comparable policies; 

     

    (xviii)  agree
      in
      writing or otherwise take any of the actions described in Section 5.2(b)(i)
      through (xvii) above; or

     

    (xix)  other
      than upon the exercise of outstanding Company Options, Company SARs, Company
      Warrants or Convertible Debentures, issue any Common Shares.

     

    5.3  Conduct
      of Business By Parent.
      During
      the period from the date of this Agreement and continuing until the earlier
      of
      the termination of this Agreement pursuant to its terms or the Effective Time,
      Parent agrees, and shall cause Purchaser to, except (i) as specifically provided
      in this Agreement or (ii) to the extent that the Company shall otherwise consent
      in writing (the provision of a response to any request for such consent not
      to
      be unreasonably delayed), to carry on its business in the ordinary course,
      in
      substantially the same manner as heretofore conducted and in compliance with
      all
      applicable Laws, to pay its debts and taxes when due subject to good faith
      disputes over such debts or taxes, to pay or perform other material obligations
      when due, subject to good faith disputes over such obligations and use its
      commercially reasonable efforts consistent with past practices and policies
      to
      preserve intact its present business organization, keep available the services
      of its present officers and preserve its business relationships. In addition,
      except (x) as specifically provided in this Agreement or (y) to the extent
      that the Company shall otherwise consent in writing (the provision of a response
      to any request for such consent not to be unreasonably delayed), Parent and
      its
      Subsidiaries shall not take any actions other than those necessary or
      appropriate to consummate the Transactions and those necessary to permit the
      continued operation of Parent’s business. 

     

    
      
        
        

      

      
        47.

        
          

        

      

      
        
        

      

    

    5.4  Consents
      and Filings; Commercially Reasonable Efforts.
      Without
      limiting the obligations of the Parties under other sections of this Agreement,
      each of the Parties will, and will cause each of its Subsidiaries to, use their
      respective commercially reasonable efforts:

     

    (a)  to
      take
      promptly, or cause to be taken (including actions after the Closing), all
      actions, and to do promptly, or cause to be done, all things necessary, proper
      or advisable to consummate and make effective the Transactions; and

     

    (b)  as
      promptly as practicable after the date of this Agreement, to obtain all
      Governmental Authorizations from, give all notices to, and make all filings
      with, all Governmental Authorities, and to obtain all other consents, waivers,
      approvals and other authorizations from, and give all other notices to, all
      other third parties, that are necessary or advisable in connection with the
      authorization, execution and delivery of this Agreement and the consummation
      of
      the transactions contemplated by this Agreement, including those disclosed
      or
      required to be disclosed as exceptions to Section 3.3 on the Company Disclosure
      Schedule and Section 4.3 on the Parent Disclosure Schedule.

     

    5.5  Covenants
      of the Company Regarding the Arrangement. The
      Company shall and shall cause its Subsidiaries to perform all obligations
      required or desirable to be performed by the Company or any of its Subsidiaries
      under this Agreement, co-operate with Parent in connection therewith, and do
      all
      such other acts and things as may be necessary or desirable in order to
      consummate and make effective, as soon as reasonably practicable, the
      Transactions and, without limiting the generality of the foregoing, the Company
      shall and, where appropriate, shall cause its Subsidiaries to:

     

    (a)  use
      all
      commercially reasonable efforts to obtain the Required Company Vote, provided
      that the Company shall not be required to engage a proxy solicitation agent
      in
      connection therewith;

     

    (b)  use
      all
      commercially reasonable efforts to obtain the consents set forth in Section
      3.3
      of the Company Disclosure Schedule. Notwithstanding anything to the contrary
      in
      this Agreement, in connection with obtaining any approval or consent from any
      Person (other than a Governmental Authority) with respect to any transaction
      contemplated by this Agreement, (i) without the prior written consent of Parent
      (not to be unreasonably withheld) none of the Company or any of its Subsidiaries
      shall pay or commit to pay to such Person whose approval or consent is being
      solicited any cash or other consideration, make any commitment or incur any
      liability or other obligation due to such Person and (ii) none of Parent or
      its
      respective Affiliates shall be required to pay or commit to pay to such Person
      whose approval or consent is being solicited any cash or other consideration,
      make any commitment or to incur any liability or other obligation;

     

    (c)  use
      its
      commercially reasonable efforts to effect all necessary registrations, filings
      and submissions of information required by Governmental Authorities from the
      Company or any of its Subsidiaries relating to the Arrangement;

     

    (d)  apply
      for
      and use all commercially reasonable efforts to obtain all Regulatory Approvals
      relating to the Company or any of its Subsidiaries which are typically applied
      for in a transaction of this nature or are necessary, proper or advisable under
      applicable Law or required to be taken by any Governmental Authority and, in
      doing so, keep Parent reasonably informed as to the nature of any application
      or
      submission proposed to be made and the status of the proceedings related to
      obtaining the Regulatory Approvals, including providing Parent with copies
      of
      all related applications and notifications (other than confidential information
      contained in such applications and notifications), in draft form, in order
      for
      Parent to provide its reasonable comments thereon; and

     

    
      
        
        

      

      
        48.

        
          

        

      

      
        
        

      

    

    (e)  defend
      all Proceedings against the Company challenging or affecting this Agreement
      or
      the consummation of the transactions contemplated hereby, provided however
      that
      the Company shall not enter into any settlement, or consent to any Judgment
      thereon without the prior written consent of the Parent (such consent not to
      be
      unreasonably withheld).

     

    5.6  Covenants
      of Parent Regarding the Performance of Obligations. Parent
      shall, and shall cause its Subsidiaries to, perform all obligations required
      or
      desirable to be performed by Parent or any of Parent’s Subsidiaries under this
      Agreement, co-operate with the Company in connection therewith, and do all
      such
      other acts and things as may be necessary or desirable in order to consummate
      and make effective, as soon as reasonably practicable, the Transactions and,
      without limiting the generality of the foregoing, Parent shall and where
      appropriate shall cause its Subsidiaries to:

     

    (a)  use
      all
      commercially reasonable efforts to obtain the Required Parent Vote;

     

    (b)  apply
      for
      and use all commercially reasonable efforts to obtain all Regulatory Approvals
      relating to Parent or any of Parent’s Subsidiaries and relating to the Company
      or any of the Company’s Subsidiaries which are typically applied for by an
      offeror or are necessary, proper or advisable under applicable Law or required
      to be taken by any Governmental Authority and, in doing so, keep the Company
      reasonably informed as to the status of the Proceedings related to obtaining
      the
      Regulatory Approvals, including providing the Company with copies of all related
      applications and notifications in draft form (other than confidential
      information contained in such applications and notifications), in order for
      the
      Company to provide its reasonable comments thereon;

     

    (c)  use
      its
      commercially reasonable efforts to effect all necessary registrations, filings
      and submissions of information required by Governmental Authorities from the
      Company or any of its Subsidiaries relating to the Arrangement; and

     

    (d)  defend
      all Proceedings against Parent challenging or affecting this Agreement or the
      consummation of the transactions contemplated hereby.

     

    5.7  Mutual
      Covenants. Each
      of
      the Parties covenants and agrees that, except as otherwise contemplated in
      this
      Agreement, during the period from the date of this Agreement until the earlier
      of the Effective Time and the time that this Agreement is terminated in
      accordance with its terms:

     

    (a)  it
      shall,
      and shall cause its Subsidiaries to, use commercially reasonable efforts to
      satisfy (or cause the satisfaction of) the conditions precedent to its
      obligations hereunder as set forth in Article 6 to the extent the same is within
      its control and to take, or cause to be taken, all other action and to do,
      or
      cause to be done, all other things necessary, proper or advisable under all
      applicable Laws to consummate the Arrangement and the transactions contemplated
      hereby and thereby, including using its commercially reasonable efforts to:
      (i)
      obtain all Regulatory Approvals required to be obtained by it; (ii) effect
      all
      necessary registrations, filings and submissions of information requested by
      Governmental Authorities required to be effected by it in connection with the
      Arrangement and the transactions contemplated hereby and thereby; (iii) oppose,
      lift or rescind any injunction or restraining order against it or other order
      or
      action against it seeking to stop, or otherwise adversely affecting its ability
      to make and complete, the Arrangement; and (iv) co-operate with the other Party
      in connection with the performance by it and its Subsidiaries of their
      obligations hereunder. Subject to the terms and conditions herein provided,
      none
      of the Parties shall knowingly take or cause to be taken any action which would
      reasonably be expected to prevent or materially delay the consummation of the
      transactions contemplated hereby or materially change the business operations
      or
      financial condition of the Company or the Parent; and

     

    
      
        
        

      

      
        49.

        
          

        

      

      
        
        

      

    

    (b)  it
      shall
      not take any action, refrain from taking any commercially reasonable action,
      or
      permit any action to be taken or not taken, which is inconsistent with this
      Agreement or which would reasonably be expected to significantly impede the
      consummation of the Arrangement except as permitted by this
      Agreement.

     

    5.8  Notification.
      From
      the
      date of this Agreement until the Closing, each of the parties will give prompt
      notice to the other parties of:

     

    (a)  the
      occurrence, or non-occurrence, of any event, the occurrence or non-occurrence
      of
      which would reasonably be expected to cause any representation or warranty
      of
      such party contained in this Agreement to be untrue or inaccurate, in each
      case
      at any time from and after the date of this Agreement until the Closing;
      and

     

    (b)  any
      failure to comply with or satisfy any covenant, condition or agreement to be
      complied with or satisfied by such party under this Agreement. 

     

    No
      notification pursuant to this Section 5.9
      will be
      deemed to amend or supplement the Company Disclosure Schedule or Parent
      Disclosure Schedule, as the case may be, prevent or cure any misrepresentation,
      breach of warranty or breach of covenant, or limit or otherwise affect any
      rights or remedies available to the party receiving notice, including pursuant
      to Section 8.2.

     

    5.9  Confidentiality. From
      the
      date of this Agreement until the Closing, the parties agree to be bound by
      and
      comply with the provisions set forth in the Confidentiality Agreement between
      the Company and the Parent dated December 29, 2006 (the “Confidentiality
      Agreement”),
      provided that each party hereby consents to the disclosure of Confidential
      Information provided by such party for purposes of inclusion in the Circular,
      the Proxy and Registration Statement, the Prospectus, the Proxy Statement or
      pursuant to Section 2.7 hereof, as applicable. From and after the Closing,
      the
      confidentiality obligations of Parent and Purchaser under the Confidentiality
      Agreement will terminate with respect to all Information.

     

    5.10  Unaudited
      Monthly and Quarterly Statements; Audited Annual Statements; Pro Forma Financial
      Statements.

     

    (a)  Until
      the
      Effective Time, the Company will cause to be prepared (and furnish to the
      Parent) as promptly as possible (and in any event, no later than the earlier
      of
      (i) the time such information is provided to the Company’s Board of
      Directors and (ii) 30 days after the end of a month or 45 days after the
      end of a fiscal quarter, as applicable (other than the fiscal quarter ended
      December 31, 2006)) on a monthly and quarterly basis unaudited consolidated
      balance sheets as of the end of such calendar month or fiscal quarter, and
      the
      related unaudited consolidated statements of operations, statements of
      stockholders’ equity and statements of cash flows and, solely with respect to
      the quarterly statements, a reconciliation to U.S. GAAP for the respective
      periods (such balance sheets, and related statements being collectively referred
      to in this Agreement as the “Unaudited
      Statements”).
      The
      Unaudited Statements will be prepared from the books and records of the Company
      and will and fairly present, in all material respects, the consolidated
      financial position, results of operations and changes in cash flows of the
      Company and its consolidated Subsidiaries as of and for the respective time
      periods in accordance with internal Company accounting methods and standards
      currently used.

     

    
      
        
        

      

      
        50.

        
          

        

      

      
        
        

      

    

    (b)  The
      Company shall cause to be prepared (and furnish to the Parent) as promptly
      as
      possible after the execution of this Agreement (and in any event no later than
      March 31, 2007) the audited consolidated balance sheet, and related audited
      consolidated statement of operations, statement of stockholders’ equity,
      statements of cash flows, notes thereto and a reconciliation to U.S. GAAP for
      the year ended December 31, 2006 (such balance sheet and related statements
      of
      operations, stockholders’ equity and cash flows, related notes and the
      reconciliation to U.S. GAAP, the “Audited
      2006 Statements”).
      The
      Audited 2006 Statements will be prepared from the books and records of the
      Company and will and fairly present, in all material respects, the consolidated
      financial position, results of operations and changes in cash flows of the
      Company and its consolidated Subsidiaries as of and for the respective time
      periods in accordance with internal Company accounting methods and standards
      currently used.

     

    (c)  The
      Company shall prepare such pro forma financial statements and notes thereto
      as
      reasonably required by Parent for inclusion in the Proxy and Registration
      Statement, the Prospectus or the Proxy Statement and provide such assistance
      as
      reasonably requested by Parent in the preparation of the Proxy and Registration
      Statement.

     

    5.11  Dissenting
      Shareholders. The
      Company shall give the Parent prompt notice of any written notice exercising
      Dissent Rights, withdrawals of the exercise of such rights, and any other
      instruments served pursuant to the Arrangement Resolution, the Plan of
      Arrangement, the Interim Order and the Final Order, and shall consult Parent
      in
      respect of negotiations and proceedings with respect to the exercise of such
      Dissent Rights. Without the prior written consent of the Parent, except as
      required by applicable Law, the Company shall not, prior to the Effective Time,
      make any payment with respect to any such rights or offer to settle or settle
      any such rights.

     

    5.12  Structure
      Changes. In
      the
      event that the Court or any Governmental Authority issues any order, ruling,
      decision or decree, or takes any action of any kind whatsoever, or refuses
      to
      take any action which is contemplated by this Agreement to be taken by it in
      connection with the implementation of the Transactions, which in each case
      is
      materially inconsistent with the structure of the Transactions contemplated
      hereby, the Parties, each acting in good faith, will cooperate with each other
      to devise, consider and implement an alternative structure for the Transactions
      which will result in the Parent and the Company Shareholders being, as nearly
      as
      practicable, in the same economic positions as they would have been if the
      structure provided herein for the Transactions had been implemented (provided
      that (i) such alternative structure shall not be detrimental to the Company
      or
      the Company Shareholders and (ii) the Company and Parent shall use commercially
      reasonable efforts to obtain revised Fairness Opinions with respect to the
      alternative structure from the Company Financial Advisor and the Parent
      Financial Advisor, respectively), and the Parties shall amend this Agreement
      and
      the Plan of Arrangement to the extent necessary to reflect such changes in
      the
      proposed structure, and to implement the Transactions as so
      amended.

     

    5.13  Further
      Actions. Subject
      to the other express provisions of this Agreement, upon the request of any
      party
      to this Agreement, the other parties will:

     

    (a)  furnish
      to the requesting party any additional information;

     

    (b)  execute
      and deliver, at their own expense, any other documents; and

     

    (c)  take
      any
      other actions,

     

    as
      may be
      necessary or as the requesting party may reasonably require to more effectively
      carry out the intent of this Agreement and the transactions contemplated by
      this
      Agreement.

     

    
      
        
        

      

      
        51.

        
          

        

      

      
        
        

      

    

    5.14  Parent
      Board Composition and Executive Officers.

     

    (a)  The
      Board
      of Directors of Parent shall take all actions necessary such that effective
      as
      of the Effective Time:

     

    (i)  The
      Board
      of Directors shall be comprised of 9 directors and shall be divided into three
      classes, Class A, Class B and Class C, with 3 directors in each class. The
      directors in Class A shall be elected for a term expiring at the first annual
      meeting of Parent’s stockholders following the Effective Time, the directors in
      Class B shall be elected for a term expiring at the second annual meeting of
      Parent’s stockholders following the Effective Time and the directors in Class C
      shall be elected for a term expiring at the third annual meeting of Parent’s
      stockholders following the Effective Time.

     

    (ii)  The
      Class
      C directors of Parent shall initially be M. Brian McCarthy, Peter Giacalone
      and
      Howard Balter. 

     

    (iii)  The
      Class
      B directors of Parent shall initially be David Hallmen (so long as he qualifies
      as an “independent director” as defined in Rule 4200(15) of the NASDAQ
      Marketplace Rules (an “Independent
      Director”)),
      Ilan
      Slasky and one other person selected by the Company’s Board of Directors who is
      not currently a member of the Company’s Board of Directors and who qualifies as
      an Independent Director.

     

    (iv)  The
      Class
      A directors of Parent shall initially be Byron Osing (so long as he qualifies
      as
      an Independent Director), Lawrence J. Askowitz (so long as he qualifies as
      an
      Independent Director) and one other person selected by mutual agreement of
      the
      Company and Parent who qualifies as an Independent Director.

     

    (b)  Subject
      to the general oversight and authority of the Board of Directors of Parent
      under
      applicable law, the Board of Directors of Parent shall take all actions
      necessary to establish, empower and maintain as of the Effective Time (i) an
      audit committee, which shall consist solely of Independent Directors, (ii)
      a
      compensation committee, which shall consist solely of Independent Directors
      and
      which shall initially be co-chaired by David Hallmen and Lawrence J. Askowitz
      and (iii) a governance committee which shall consist solely of Independent
      Directors and which shall initially be chaired by Byron Osing.

     

    (c)  The
      Board
      of Directors of Parent will take all actions necessary such that effective
      as of
      the Effective Time, the Company’s Chief Executive Officer and Chief Financial
      Officers shall become the Parent’s Chief Executive Officer and Chief Financial
      Officers, respectively, in each case to hold such office from and after the
      Effective Time until his successor is duly appointed and qualified in the manner
      provided in the Organizational Documents of Parent or as otherwise provided
      by
      Law or his earlier resignation or removal.

     

    5.15  Company
      Registration.
      The
      Company shall not take any action to cause its registration statement on the
      Form 20-F to be declared effective by the SEC, provided that the Company may
      address comments received from the SEC with respect thereto.

     

    5.16  Treatment
      of Company Options, SARs, Warrants and Convertible Debentures.

     

    (a)  At
      the
      Effective Time, each of the Company Options which are outstanding and
      unexercised immediately prior thereto shall, pursuant to the terms of the Plan
      of Arrangement cease to represent a right to acquire Common Shares of the
      Company and shall be exchanged for an option of Parent, in accordance with
      the
      terms of the Plan of Arrangement and the Parent shall also take all necessary
      action to reserve for issuance a sufficient number of shares of Parent Common
      Stock for delivery upon exercise of the Company Options and Parent shall
      register all shares of Parent Common Stock issuable upon the exercise of the
      Company Options on Form S-8 under the U.S. Securities Act once Parent becomes
      eligible to use Form S-8.

     

    
      
        
        

      

      
        52.

        
          

        

      

      
        
        

      

    

    (b)  At
      the
      Effective Time, each of the Company SARs which are outstanding and unexercised
      immediately prior thereto shall, pursuant to the terms of an SAR Exchange
      Agreement between Parent and each holder of Company SARs (the “SAR Exchange
      Agreements”), cease to represent a right to acquire Common Shares of the Company
      and shall be converted automatically into share appreciation rights of Parent
      Common Stock, pursuant to which each Company SAR shall entitle the holder to
      receive such number of shares of Parent Common Stock as the holder of such
      Company SAR would have been entitled to receive pursuant to the Arrangement
      had
      such holder been able to exercise such Company SAR in full immediately prior
      to
      the Effective Time, with appropriate adjustments made to the exercise price
      applicable to such Company SAR and the number of shares of Parent Common Stock
      acquired upon exercise), determined in accordance with the applicable SAR
      Exchange Agreement. Except for the foregoing adjustments, each such Company
      SAR
      so converted pursuant to a SAR Exchange Agreement shall continue to have, and
      be
      subject to, the same terms and conditions (including the vesting and exercise
      arrangements and other terms and conditions set forth in the Company Stock
      Plans
      and the applicable stock appreciation right agreement evidencing each such
      Company SAR) as are in effect immediately prior to the Effective Time. Parent
      shall take all necessary action to reserve for issuance a sufficient number
      of
      shares of Parent Common Stock for delivery upon exercise of the Company SARs
      and
      Parent shall register all shares of Parent Common Stock issuable upon the
      exercise of the Company SARs on Form S-8 under the U.S. Securities Act once
      Parent becomes eligible to use Form S-8.

     

    (c)  At
      the
      Effective Time, each of the Company Warrants which is outstanding and
      unexercised immediately prior thereto shall, pursuant to the terms of such
      Company Warrant, cease to represent a right to acquire Common Shares of the
      Company and shall instead represent a right to purchase such number of shares
      of
      Parent Common Stock as the holder of such Company Warrant would have been
      entitled to receive pursuant to the Arrangement had such holder exercised such
      warrant in full immediately prior to the Effective Time, at a price per share
      equal to (y) the aggregate exercise price for the Common Shares of the Company
      otherwise purchasable pursuant to such Company Warrant divided by (z) the number
      of full shares of Parent Common Stock deemed purchasable pursuant to such
      Company Warrants, and subject to further adjustments in accordance with the
      terms of such Company Warrant (the “New
      Warrants”).
      To
      the extent necessary to give effect to this Section 5.16(c), Parent shall issue
      to the holder of Company Warrants a new warrant evidencing the right represented
      in the New Warrants. Parent shall take all necessary action to reserve for
      issuance a sufficient number of shares of Parent Common Stock for delivery
      upon
      conversion of the Company Warrants and Parent and the Company shall take all
      necessary action to cause the registration of the resale of such shares of
      Parent Common Stock under the U.S. Securities Act effective as of the Effective
      Time. In the event that Parent enters into a transaction analogous to the
      Arrangement following the Effective Time, Parent shall ensure that the New
      Warrants are treated in a manner similar to how the Company Warrants are treated
      in this Section 5.16(c).

     

    (d)  All
      Convertible Debentures that are outstanding as of the Effective Time shall
      remain outstanding after the Effective Time in accordance with their respective
      terms and provisions. After the Effective Time, Parent will become jointly
      and
      severally liable with the Company with respect to the payment and performance
      by
      the Company of all of the Company’s obligations under the Securities Purchase
      Agreement and the Convertible Debentures. Following the Effective Time, each
      holder of Convertible Debentures will have the right to convert such Convertible
      Debentures into the number of shares of Parent Common Stock which would be
      receivable at the Effective Time by a holder of the Company Common Shares
      deliverable upon conversion of such Convertible Debentures immediately prior
      to
      the Effective Time, and subject to future adjustments of the conversion price
      of
      the Convertible Debentures as are provided for in the terms of the Convertible
      Debentures (the “New
      Convertible Debentures”).
      To the
      extent necessary to give effect to this Section 5.16(d), Parent shall issue
      to
      the holder of Convertible Debentures a new debenture evidencing the right
      represented in the New Convertible Debenture. Parent shall take all necessary
      action to reserve for issuance a sufficient number of shares of Parent Common
      Stock for delivery upon conversion of the Convertible Debentures and Parent
      and
      the Company shall take all necessary action to cause the registration of the
      resale of such shares of Parent Common Stock under the U.S. Securities Act
      effective as of the Effective Time. In the event that Parent enters into a
      transaction analogous to the Arrangement following the Effective Time, Parent
      shall ensure that the Convertible Debentures are treated in a similar manner
      to
      this Section 5.16(d).

     

    
      
        
        

      

      
        53.

        
          

        

      

      
        
        

      

    

    ARTICLE
      6

     

    CONDITIONS
      PRECEDENT TO OBLIGATION TO CLOSE

     

    6.1  Conditions
      to the Obligation of the Parent. The
      obligation of the Parent to consummate the transactions contemplated by this
      Agreement is subject to the satisfaction, on or before the Effective Time,
      of
      each of the following conditions (any of which may be waived by the Parent,
      in
      whole or in part):

     

    (a)  The
      Company’s representations and warranties (i) set forth in
      Section 3.4
      of this
      Agreement must have been true and correct in all material respects on and as
      of
      the date of this Agreement and must be true and correct in all material respects
      on and as of the Closing Date as though made on the Closing Date (or, in the
      case of those representations and warranties in Section 3.4 that are made as
      of
      a particular date or period, at and as of such date or period), and (ii)
      otherwise set forth in this Agreement must have been true and correct as of
      the
      date of this Agreement and must be true and correct in all respects as of the
      Closing Date as though made on the Closing Date (or, in the case of those
      representations and warranties that are made as of a particular date or period,
      at and as of such date or period) except for inaccuracies in such representation
      or warranties the circumstances giving rise to which, individually or in the
      aggregate, do not have and would not reasonably be expected to have, a Company
      Material Adverse Effect (disregarding any materiality or Company Material
      Adverse Effect qualification contained in any such representation or
      warranty);

     

    (b)  all
      of
      the covenants and obligations that the Acquired Companies are required to
      perform or comply with under this Agreement on or before the Closing Date must
      have been duly performed and complied with in all material respects (with
      materiality being measured individually and on an aggregate basis with respect
      to all breaches of covenants and obligations);

     

    (c)  each
      of
      the Governmental Authorizations, including all exemption orders from securities
      commissions under Canadian Securities Laws, and consents identified in Section
      3.3 of the Company Disclosure Schedule and Section 4.3 of Parent Disclosure
      Schedule as a Governmental Authorization or consent that is required to be
      obtained as a condition to Closing must have been obtained and must be in full
      force and effect, and all applicable waiting periods (and any extensions
      thereof) under the HSR Act and the Competition Act must have expired or
      otherwise been terminated;

     

    (d)  there
      must not be in effect any Law or Judgment which makes illegal or enjoins or
      prevents the consummation of the transactions contemplated by this Agreement
      or
      any of the Ancillary Agreements;

     

    
      
        
        

      

      
        54.

        
          

        

      

      
        
        

      

    

    (e)  since
      the
      date of this Agreement, there must not have been any change, occurrence or
      event
      that has had or would reasonably be expected to have, individually or in the
      aggregate, a Company Material Adverse Effect;

     

    (f)  the
      Company must have delivered or caused to be delivered each document that
      Section 2.8(a)
      requires
      it to deliver;

     

    (g)  the
      Arrangement shall have been approved at the Company Meeting by not less than
      the
      Required Company Vote and at the Parent Meeting by not less than the Required
      Parent Vote;

     

    (h)  the
      Interim Order and the Final Order shall each have been obtained in form and
      on
      terms reasonably satisfactory to each of the Company and Parent, and shall
      not
      have been set aside or modified in a manner unacceptable to such parties, acting
      reasonably, on appeal or otherwise; and

     

    (i)  Dissenting
      Shareholders hold no more than 7% of the Common Shares.

     

    6.2  Conditions
      to the Obligation of the Company. The
      obligation of the Company to consummate the transactions contemplated by this
      Agreement is subject to the satisfaction, on or before the Effective Time,
      of
      each of the following conditions (any of which may be waived by the Company,
      in
      whole or in part):

     

    (a)  the
      Parent’s representations and warranties (i) set forth in Section 4.4 of this
      Agreement must have been true and correct in all material respects on and as
      of
      the date of this Agreement and must be true and correct in all material respects
      on and as of the Closing Date as though made on the Closing Date (or, in the
      case of those representations and warranties in Section 4.4 that are made as
      of
      a particular date or period, at and as of such date or period), and (ii)
      otherwise set forth in this Agreement must have been true and correct in all
      respects as of the date of this Agreement and must be true and correct in all
      material respects as of the Closing Date as though made on the Closing Date
      (or,
      in the case of those representations and warranties that are made as of a
      particular date or period, at and as of such date or period) except for
      inaccuracies in such representations or warranties the circumstances giving
      rise
      to which, individually or in the aggregate, do not have and would not reasonably
      be expected to have, a Parent Material Adverse Effect (disregarding any
      materiality or Parent Material Adverse Effect qualification contained in any
      such representation or warranty);

     

    (b)  all
      of
      the covenants and obligations that the Parent or the Purchaser is required
      to
      perform or comply with under this Agreement on or before the Closing Date must
      have been duly performed and complied with in all material respects (with
      materiality being measured individually and on an aggregate basis with respect
      to all breaches of covenants and obligations);

     

    (c)  each
      of
      the Governmental Authorizations and consents identified in Section 3.3 of the
      Company Disclosure Schedule and Section 4.3 of the Parent Disclosure Schedule
      as
      a Governmental Authorization or consent that is required to be obtained as
      a
      condition to Closing must have been obtained and must be in full force and
      effect, and all applicable waiting periods (and any extensions thereof) under
      the HSR Act must have expired or otherwise been terminated;

     

    (d)  there
      must not be in effect any Law or Judgment which makes illegal or enjoins or
      prevents the consummation of the transactions contemplated by this Agreement
      or
      any of the Ancillary Agreements;

     

    
      
        
        

      

      
        55.

        
          

        

      

      
        
        

      

    

    (e)  since
      the
      date of this Agreement, there must not have been any change, occurrence or
      event
      that has had or could reasonably be expected to have, individually or in the
      aggregate, a Parent Material Adverse Effect;

     

    (f)  the
      Parent must have delivered or caused to be delivered each document that
      Section 2.8(b) requires it to deliver;

     

    (g)  the
      Arrangement shall have been approved at the Company Meeting by not less than
      the
      Required Company Vote and at the Parent Meeting by no less than the Required
      Parent Vote;

     

    (h)  the
      Interim Order and the Final Order shall each have been obtained in form and
      on
      terms reasonably satisfactory to each of the Company and Parent, and shall
      not
      have been set aside or modified in a manner unacceptable to such parties, acting
      reasonably, on appeal or otherwise;

     

    (i)  The
      Exchangeable Share Support Agreement and the Voting and Exchange Trust Agreement
      are in full force and effect unamended and are valid and binding obligations
      of
      the parties thereto. Each of the parties thereto has performed in all material
      respects the obligations required to be performed by it under the Exchangeable
      Share Support Agreement and the Voting and Exchange Trust Agreement and is
      entitled to all benefits thereunder. None of the parties thereto has violated
      or
      breached, in any material respect, any of the terms or conditions of the
      Exchangeable Share Support Agreement or the Voting and Exchange Trust Agreement
      and there exists no default or event of default or event, occurrence, condition
      or act which, with the giving of notice, the lapse of time or the happening
      of
      any other event or condition, would become a default or event of default by
      any
      of the parties under the Exchangeable Share Support Agreement and Voting and
      Exchange Trust Agreement; and

     

    (j)  Parent
      will have no less than $38,684,000, before Parent’s Transaction Expenses, in the
      Trust Account.

     

    ARTICLE
      7

     

    ADDITIONAL
      AGREEMENTS

     

    7.1  Non-Solicitation.

     

    (a)  Except
      as
      otherwise provided in Article 7, the Company shall not, directly or indirectly,
      and shall not authorize, permit or condone any officer, director, employee,
      representative or agent of the Company or any of its Subsidiaries directly
      or
      indirectly to (i) solicit, initiate, induce, facilitate or encourage
      (including by way of furnishing information or entering into any form of
      agreement, arrangement or understanding) the initiation of any inquiries or
      making of any proposals or announcements regarding an Acquisition Proposal,
      (ii) participate in any discussions or negotiations with any Person (other
      than Parent and its affiliates) regarding an Acquisition Proposal, (iii)
      withdraw, amend or modify in a manner adverse to Parent, the approval of the
      Board of Directors of the Company of the Arrangement, (iv) approve, endorse
      or
      recommend, or propose publicly to approve, endorse or recommend, any Acquisition
      Proposal, or (v) accept or enter into any agreement, understanding, arrangement
      or Contract in respect of an Acquisition Proposal (other than a confidentiality
      agreement permitted by Section 7.1(d)); provided,
      however,
      that
      prior to the date the Required Company Vote is obtained, nothing contained
      in
      this Agreement shall prevent the Board of Directors of the Company from entering
      into an agreement (subject to compliance with Section 8.2(d)(i))
      or
      engaging in discussions or negotiations or furnishing information to (subject
      to
      compliance with Section 7.1(d)) with any Person who has made (and not withdrawn)
      an unsolicited bona fide, written Acquisition Proposal to the Company
      that:

     

    
      
        
        

      

      
        56.

        
          

        

      

      
        
        

      

    

    (i)  did
      not
      result from a breach of this Section 7.1;

     

    (ii)  involves
      the acquisition of not less than 50.01% of the outstanding Common Shares
      (excluding any Common Shares held by such Person or its Affiliates) or 50.01%
      of
      the consolidated assets of the Company and its Subsidiaries taken as a
      whole;

     

    (iii)  in
      respect of which the Board of Directors of the Company determines in good faith
      after receiving written opinions from the Company Financial Advisor and its
      outside counsel (copies of which have been provided to the Parent) that the
      Acquisition Proposal would, if consummated, result in a Superior Proposal and
      that the Board of Directors of the Company is required to withdraw or modify
      its
      recommendation with respect to the transaction in order to comply with their
      fiduciary duties to the Company’s shareholders under applicable
      Laws;

     

    (b)  The
      Company shall, and shall cause the officers, directors, employees,
      representatives and agents of the Company and its Subsidiaries to, immediately
      terminate any existing solicitations, discussions or negotiations with any
      Person (other than Parent) that has made, indicated any interest to make or
      may
      reasonably be expected to make, an Acquisition Proposal. The Company shall
      promptly request the return or destruction of all information provided to any
      third party which has entered into a confidentiality agreement with the Company
      relating to a potential Acquisition Proposal to the extent that such information
      has not previously been returned or destroyed, and shall use all commercially
      reasonable efforts to ensure that such requests are honored in accordance with
      the terms of such agreement. 

     

    (c)  The
      Company shall promptly (and in any event within 48 hours of receipt by the
      Company) notify Parent, immediately orally and thereafter in writing, of any
      Acquisition Proposal or inquiry received after the date hereof (whether or
      not
      relating to any Acquisition Proposal or inquiry received prior to the date
      hereof) that could reasonably be expected to lead to an Acquisition Proposal,
      in
      each case received after the date hereof, of which any of its directors,
      officers, Company Financial Advisor or other agents are or become aware, or
      any
      amendments to the foregoing, or any request for non-public information relating
      to the Company or any of its Subsidiaries in connection with an Acquisition
      Proposal and a description of the material terms and conditions of any such
      Acquisition Proposal or inquiry. The Company shall keep Parent informed of
      any
      change to the material terms of any such Acquisition Proposal or inquiry.
      Promptly upon request, the Company shall provide Parent with copies of all
      correspondence in respect of any such Acquisition Proposal, inquiries or request
      for information.

     

    (d)  If
      the
      Company receives a request for material non-public information from a Person
      who
      proposes an unsolicited bona fide Acquisition Proposal where the Company is
      not
      in breach of Section 7.1(a) and the Board of Directors of the Company
      determines in good faith after receiving written opinions from the Company
      Financial Advisor and its outside counsel that such proposal would, if
      consummated, lead to a Superior Proposal, then, and only in such case, the
      Board
      of Directors of the Company may, subject to the execution by such Person of
      a
      confidentiality agreement, provide such Person with access to information
      regarding the Company, provided that Parent is promptly provided with a list
      and
      copies of all information provided to such Person not previously provided to
      Parent and is promptly provided with access to information similar to that
      which
      was provided to such Person.

     

    (e)  In
      the
      event that the Board of Directors of the Company shall have failed to make,
      withdrawn, amended or modified in a manner adverse to Parent its approval or
      recommendation of the Arrangement, the Company shall remain obligated to give
      notice of, convene and hold the Company Meeting, unless the Company exercises
      its right to terminate this Agreement (i) in connection with a Superior Proposal
      as permitted by Section 7.1(a) hereof or (ii) as otherwise permitted by this
      Agreement.

     

    
      
        
        

      

      
        57.

        
          

        

      

      
        
        

      

    

    7.2  Right
      to Match.

     

    (a)  Subject
      to Section 7.2(b),
      the
      Company covenants that it will not accept, approve, recommend or enter into
      any
      agreement, understanding, arrangement or Contract in respect of a Superior
      Proposal (other than a confidentiality agreement permitted by
      Section 7.1(d)) unless:

     

    (i)  the
      Company has complied with its obligations under Section 7.1 and the other
      provisions of this Article 7 and has provided Parent with a copy of the Superior
      Proposal; and

     

    (ii)  a
      period
      (the “Response
      Period”)
      of
      three Business Days shall have elapsed from the date on which Parent received
      written notice from the Board of Directors of the Company that the Board of
      Directors of the Company determined, subject only to compliance with this
      Section 7.2,
      to
      accept, approve, recommend or enter into a binding agreement to proceed with
      the
      Superior Proposal. In the event that the Company provides Parent with the notice
      contemplated in this Section on a date that is less than five Business Days
      prior to the Company Meeting, the Company shall be entitled to require that
      the
      Company Meeting be adjourned to a date that is not more than 5 Business Days
      after the date of such notice.

     

    (b)  During
      the Response Period, Parent will have the right, but not the obligation, to
      offer to amend the terms of this Agreement. The Board of Directors of the
      Company will review any such proposal by Parent to amend the terms of this
      Agreement, including an increase in, or modification of, the consideration
      to be
      received by the holders of Common Shares, to determine whether the Acquisition
      Proposal to which Parent is responding would be a Superior Proposal when
      assessed against the Arrangement as it is proposed by Parent to be amended.
      If
      the Board of Directors of the Company determines that the Acquisition Proposal
      would no longer be a Superior Proposal if the Arrangement was so amended and
      the
      Parent delivers to the Company during the Response Period a firm written offer
      to amend this Agreement in a manner which is consistent with such proposal,
      the
      Board of Directors of the Company will promptly publicly reaffirm its
      recommendation of the Arrangement. If the Board of Directors of the Company
      determines in good faith after receiving a written opinion from the Company
      Financial Advisor that such Acquisition Proposal to which Parent is responding
      would be a Superior Proposal when assessed against the Arrangement as it is
      proposed by Parent to be amended, the Company may, subject to Section 7.3,
      terminate this Agreement and approve, recommend, accept or enter into an
      agreement, understanding or arrangement to proceed with the Superior
      Proposal.

     

    (c)  Each
      successive amendment to any Acquisition Proposal that results in an increase
      in,
      or modification of, the consideration (or value of such consideration) to be
      received by the holders of Common Shares shall constitute a new Acquisition
      Proposal for the purposes of this Section 7.2
      and
      Parent shall be afforded a new Response Period in respect of each such
      Acquisition Proposal.

     

    7.3  Agreement
      as to Damages. 

     

    (a)  Notwithstanding
      any other provision relating to the payment of fees or expenses, including
      the
      payment of brokerage fees, the Company shall pay, or cause to be paid, to Parent
      by wire transfer of immediately available funds an amount equal to $5,800,000
      (the “Termination
      Fee”):

     

    (i)  if
      the
      Company shall have terminated this Agreement pursuant to Section 8.2(e)(i),
      in which case payment shall be made before or concurrently with such termination
      and shall be a condition to the effectiveness of such termination;
      or

     

    
      
        
        

      

      
        58.

        
          

        

      

      
        
        

      

    

    (ii)  if
      Parent
      shall have terminated this Agreement pursuant to Section 8.2(d)(i)(C), in which
      case payment shall be made within two Business Days of such
      termination.

     

    (b)  Notwithstanding
      any other provision relating to the payment of fees or expenses, including
      the
      payment of brokerage fees, the Company shall pay, or cause to be paid, to Parent
      by wire transfer of immediately available funds an amount equal to Parent’s
      Transaction Expenses not to exceed $3,000,000 (the “Termination
      Expenses”),
      if
      (i) the Board of Directors of the Company shall have withdrawn, amended or
      modified in a manner adverse to Parent (including as a result of any public
      announcements referenced in Section 8.2(d)(i)(D)) its approval or recommendation
      of the Arrangement (provided that the Company has not terminated this Agreement
      pursuant to Section 8.2(e)(i) or as otherwise permitted by this Agreement and
      Parent has not terminated this Agreement pursuant to Section 8.2(d)(i)(C) or
      as
      otherwise permitted by this Agreement) and (ii) thereafter the Company Required
      Vote is not obtained at the Company Meeting or any adjournment or postponement
      thereof.

     

    (c)  
      For the
      avoidance of doubt, in no event shall both the Termination Fee and the
      Termination Expenses be payable under this Agreement and in no event shall
      more
      than one Termination Fee or one reimbursement of Termination Expenses be payable
      under this Agreement.

     

    7.4  Transaction
      Expenses. 

     

    (a)  Not
      less
      than 3 Business Days prior to the Company applying for the Interim Order, each
      party shall prepare and deliver to the other party a good faith written estimate
      of the Transaction Expenses to be incurred by such party as of the Closing
      Date
      indicating for each cost or expense itemized therein the payee thereof (the
      “Transaction
      Expense Statement”).
      The
      Parent and the Company shall negotiate in good faith to settle any dispute
      with
      respect to the Transaction Expense Statement. The Transaction Expense Statement,
      as revised by mutual agreement of Parent and the Company shall be the final
      statement of the Parties’ Transaction Expenses and shall be used to calculate
      the adjustment, if any, to the Exchange Ratio pursuant to the formula set forth
      on Exhibit
      A.

     

    (b)  Subject
      to the proviso in the definition of “Transaction Expenses” in Section 1.1
      hereof, the Company agrees to pay (i) the fees associated with the filing by
      Parent of the premerger notification and report forms relating to the
      Arrangement under the HSR Act, (ii) the fees associated with listing the
      Exchangeable Shares on the TSX or other Canadian stock exchange, and (iii)
      any
      listing fees associated with Parent’s obligations pursuant to Section
      7.8.

     

    (c)  Parent
      shall be responsible for and shall pay the Transaction Expenses of the parties
      hereto following the consummation of the Arrangement.

     

    7.5  Liquidated
      Damages, Injunctive Relief and No Liability of Others. Parent
      acknowledges that all of the payment amounts set out in Section 7.3 are payments
      of liquidated damages which are a genuine pre-estimate of the damages Parent
      will suffer or incur as a result of the event giving rise to such payment and
      the resultant termination of this Agreement and are not penalties. The Company
      irrevocably waives any right it may have to raise as a defense that any such
      liquidated damages are excessive or punitive. For greater certainty, the Parties
      agree that, subject to Section 7.3, payment of the amount determined pursuant
      to
      this Article in the manner provided in respect thereof is the sole monetary
      remedy of the Party receiving such payment. Nothing contained herein shall
      preclude a Party from seeking injunctive relief to restrain any breach or
      threatened breach of the covenants or agreements set forth in this Agreement
      or
      the Confidentiality Agreement or otherwise to obtain specific performance of
      any
      of such acts, covenants or agreements, without the necessity of posting a bond
      or security in connection therewith.

     

    
      
        
        

      

      
        59.

        
          

        

      

      
        
        

      

    

    7.6  Resignations.
      Subject
      to Section 5.15, the Company shall obtain and deliver to Parent at the Effective
      Time evidence reasonably satisfactory to Parent of the resignation effective
      as
      of the Effective Time, of those directors of the Company designated by Parent
      to
      the Company in writing at least five calendar days prior to the Effective
      Time.

     

    7.7  No
      Claim Against Trust Account. Notwithstanding
      anything to the contrary herein, the Company has read a copy of Parent’s
      prospectus dated August 25, 2005 and filed with the SEC (the “IPO
      Prospectus”).
      The
      Company understands that Parent is a special purpose acquisition company formed
      for the purpose of consummating a business combination (as described in the
      IPO
      Prospectus), must complete such business combination within 18 months (or 24
      months if a letter of intent, agreement in principle or definitive agreement
      has
      been executed within 18 months), has established the a trust account at Smith
      Barney, maintained by Continental Stock Transfer & Trust Company acting as
      trustee, initially in an amount of $50,380,000 for the benefit of its public
      stockholders (the “Trust
      Account”),
      and
      does not have access to the funds in such Trust Account except under the
      circumstances set forth in the IPO Prospectus. On behalf of itself and its
      Subsidiaries, the Company: (i) agrees that neither it nor any of its
      Subsidiaries has any right, title, interest or claim of any kind in or to (a)
      any assets in the Trust Account, (b) assets of Parent to the extent such right,
      title, interest or claim would impair the amounts in the Trust Account or (c)
      assets distributed from the Trust Account to Parent’s public stockholders (each
      such right, title, interest or claim a “Claim”);
      (ii)
      unless and until Parent completes another business combination, hereby waives
      any Claim that it or any of its Subsidiaries may have in the future as a result
      of, or arising out of, this Agreement; and (iii) agrees that neither it nor
      any
      of its subsidiaries will seek recourse against the Trust Account or Parent’s
      public stockholders (in their capacity as stockholders of Parent or as
      recipients of liquidating distributions from Parent) for any reason
      whatsoever.

     

    7.8  Parent
      Common Stock Listing. 

     

    (a)  Parent
      agrees to use commercially reasonable efforts to authorize for listing on the
      New York Stock Exchange, the NASDAQ Global Market or the NASDAQ Capital Market
      the Parent Common Stock, including the Parent Common Stock issuable pursuant
      to
      the Plan of Arrangement, on or prior to the Effective Time.

     

    (b)  Parent
      shall use reasonable best efforts to, and shall use its reasonable efforts
      to
      cause Purchaser to:

     

    (i)  cause
      the
      Exchangeable Shares to be listed for trading on the TSX (or such other exchange
      as may be a prescribed stock exchange for the purposes of the Canadian Tax
      Act)
      by the Effective Time; and

     

    (ii)  to
      enter
      into elections under subsections 85(1) or 85(2) of the Canadian Tax Act (and
      any
      equivalent provincial legislation) with those holders of Company Shares who
      receive Exchangeable Shares under the Arrangement and who deliver such an
      election to the Purchaser for execution pursuant to the terms of the
      Arrangement.

     

    7.9  Company
      Affiliates; Restrictive Legend; Section 16 Matters. 

     

    (a)  The
      Company has delivered or caused to be delivered to Parent, on or prior to the
      date hereof, from each Company Affiliate, an executed affiliate agreement
      substantially in the form attached hereto as Schedule J (the “Company
      Affiliate Agreement”),
      each
      of which will be in full force and effect as of the Effective Time. In the
      event
      that any other person becomes an affiliate of the Company for purposes of Rule
      145 promulgated under the U.S. Securities Act following the date of this
      Agreement, the Company will use commercially reasonable efforts to deliver
      or
      cause to be delivered to Parent an executed Company Affiliate Agreement with
      respect to such person as soon as possible. Parent will be entitled to place
      appropriate legends on the certificates evidencing any Parent Common Stock
      to be
      received by a Company Affiliate pursuant to the terms of this Agreement and
      to
      issue appropriate stop transfer instructions to the transfer agent for the
      Parent Common Stock, consistent with the terms of the Company Affiliate
      Agreement.

     

    
      
        
        

      

      
        60.

        
          

        

      

      
        
        

      

    

    (b)  Prior
      to
      the Effective Time, the Board of Directors of each of Parent and the Company
      shall adopt a resolution consistent with the interpretative guidance of the
      SEC
      so that (i) the assumption of Company Options held by Company Insiders (as
      defined below) pursuant to the Arrangement and the assumption of Company SARs
      held by Company Insiders (as defined below) pursuant to this Agreement and
      (ii)
      the receipt by Company Insiders of Parent Common Stock in exchange for Common
      Shares pursuant to the Arrangement, shall be exempt transactions for purposes
      of
      Section 16 of the United States Securities Exchange Act of 1934, as amended
      (the
“U.S.
      Exchange Act”),
      by
      any officer or director of Company who may become a covered person for purposes
      of Section 16 of the U.S. Exchange Act (a “Company
      Insider”).

     

    7.10  Form
      S-8. Parent
      agrees to file with the SEC a registration statement on Form S-8 for the shares
      of Parent Common Stock issuable with respect to the automatic exchange of the
      Company Options pursuant to the Plan of Arrangement and the exchange of the
      Company SARs to the extent Form S-8 is available for such Company Options and
      Company SARs as soon as is reasonably practicable after the Effective Time
      and
      shall maintain the effectiveness of such registration statement thereafter
      for
      so long as any of such options or other rights remain outstanding.

     

    7.11  Post-Effective
      Time Covenants.
      Following the Effective Time and while any Exchangeable Shares (other than
      any
      Exchangeable Shares owned by the Parent or any of its Affiliates) are
      outstanding, the Parent will use its best efforts to ensure that the Purchaser
      (or any successor thereto as the issuer of the Exchangeable Shares) will
      continue to be a “taxable Canadian corporation” and a “public corporation”
within the meaning of the Canadian Tax Act (as of the Effective Time and any
      modifications of such definitions which are consistent with the general
      principle thereof.

     

    7.12  Tax-Deferred
      Transaction. 

     

    (a)  Neither
      the Parent nor the Purchaser shall take any action that could reasonably be
      expected to prevent from being treated as a tax deferred transaction, for
      purposes of the Canadian Tax Act, the exchange of Common Shares for
      consideration that includes Exchangeable Shares under the Arrangement by the
      validly-electing Canadian resident holders of Common Shares who make and file
      a
      valid tax election under subsection 85(1) or (2) of the Canadian Tax Act as
      described and on the terms set forth in the Plan of Arrangement if such holders
      are otherwise eligible for such treatment.

     

    (b)  The
      Parent covenants that, so long as any outstanding Exchangeable Shares or Company
      Shares are owned by an Original Significant Canadian Shareholder, it will take
      all commercially reasonable and necessary steps within its control so that
      it
      will not become a “foreign investment entity” within the meaning of the Canadian
      Tax Act (as of the Effective Time (assuming the enactment into law and the
      proclamation into force of proposed sections 94.1 to 94.4 and related provisions
      as contained in the Notice of Ways and Means Motion issued by the Department
      of
      Finance (Canada) on November 9, 2006) and any modifications of such definition
      which are consistent with the general principle thereof). This covenant shall
      survive the Effective Time. This covenant will not prevent the Parent or any
      of
      its Affiliates from undertaking any business or activity where each Original
      Significant Canadian Shareholder consents in writing to such business or
      activity. For purposes of the foregoing, an “Original Significant Canadian
      Shareholder” is a shareholder who (i) pursuant to the Arrangement, received, and
      (ii) at any subsequent time when its status as an Original Significant Canadian
      Shareholder is being determined, holds, more than 10% of the Exchangeable Shares
      or Parent Common Stock (including for this purpose any shares held by a Person
      with whom the shareholder does not deal at arm’s length for purposes of the
      Canadian Tax Act (as of the Effective Time and any modifications of such
      definition which are consistent with the general principle
      thereof)).

     

    
      
        
        

      

      
        61.

        
          

        

      

      
        
        

      

    

    (c)  For
      United States federal income tax purposes it is intended that the Transactions
      when taken together will qualify as a reorganization within the meaning of
      Section 368(a) of the Code and that this Agreement will be, and is hereby,
      adopted as a plan of reorganization for purposes of Section 368(a) of the
      Code.

     

    7.13  Withholding
      Taxes.
      Purchaser shall be entitled to deduct and withhold from any dividends paid
      on
      the Exchangeable Shares any withholding taxes imposed, directly or indirectly,
      in respect of such dividends. Any amounts so withheld shall be treated for
      all
      purposes hereof as having been paid to the holder of the Exchangeable Shares
      in
      respect of which such deduction and withholding was made, provided that such
      withheld amounts are actually remitted to the appropriate taxing authority.
      The
      Purchaser is authorized to sell or otherwise dispose of such portion of the
      consideration as is necessary to provide sufficient funds to the Purchaser
      or
      the Transfer Agent, as the case may be, to enable it to comply with such
      deduction or withholding requirement and the Purchaser or the Transfer Agent
      shall notify the holder thereof and remit any unapplied balance of the net
      proceeds of such sale.

     

    7.14  Issuer
      Tax. Purchaser
      shall elect under section 191.2 of the Canadian Tax Act in respect of the
      Exchangeable Shares. This covenant shall survive the Effective
      Time.

     

    7.15  Actions
      Affecting Exchangeable Shares. Subject
      to the Voting and Exchange Agreement, the Support Agreement and the provisions
      of the Exchangeable Shares, so long as any outstanding Exchangeable Shares
      are
      owned by any Person other than the Parent or any of its Affiliates, the Parent
      shall not, and agrees to cause its Affiliates to not, take any action relating
      to a plan or agreement of complete or partial liquidation, dissolution or
      winding-up, merger, consolidation, continuation, change of residence,
      amalgamation, restructuring, recapitalization or other material reorganization
      of Purchaser or its successors that results, prior to a redemption date, in
      (i)
      the recognition under the Canadian Tax Act (or the provincial equivalent) of
      any
      accrued gain on a holder’s Exchangeable Shares, recognition of which was
      deferred on a consummation of the transactions contemplated by this Agreement,
      or (ii) dividends on the Exchangeable Shares being subject to withholding tax
      (other than withholding tax imposed under the laws of Canada or the United
      States or a state, province, territory or other political subdivision
      thereof). 

     

    7.16  Solvency
      of Purchaser. The
      Parent covenants and agrees in favor of Purchaser that, prior to the Effective
      Time and thereafter for so long as any Exchangeable Shares are owned by any
      Person other than the Parent or its Affiliates, the Parent shall give due regard
      to taking such commercially reasonable action within its control (including
      taking into account the interests of the holders of Exchangeable Shares) to
      ensure that at all times during such period Purchaser shall meet the solvency
      tests under the CBCA prescribed in respect of the declaration or payment of
      dividends and the redemption of its shares (provided the Parent meets any such
      comparable tests at such time).

     

    ARTICLE
      8

     

    TERM,
      TERMINATION, AMENDMENT AND WAIVER

     

    8.1  Term.
      This
      Agreement shall be effective from the date hereof until the earlier of the
      Effective Time and the termination of this Agreement in accordance with its
      terms.

     

    
      
        
        

      

      
        62.

        
          

        

      

      
        
        

      

    

    8.2  Termination.

     

    (a)  Termination
      By Mutual Consent.
      This
      Agreement may be terminated at any time prior to the Effective Time by mutual
      written consent of Parent and the Company.

     

    (b)  Automatic
      Termination.
      This
      Agreement will automatically terminate if (i) the Arrangement shall not have
      been consummated by August 31, 2007 or (ii) the Proxy Statement shall not
      have been mailed to the Parent Stockholders by August 6, 2007, in each case,
      unless the Parties otherwise agree in writing (such earlier date, the
“Outside
      Date”).

     

    (c)  Termination
      By Either Parent or the Company.
      This
      Agreement may be terminated by either Parent or the Company at any time prior
      to
      the Effective Time:

     

    (i)  if
      the
      Required Company Vote is not obtained at the Company Meeting (or any adjournment
      or postponement thereof); 

     

    (ii)  if
      the
      Required Parent Vote is not obtained at the Parent Meeting (or any adjournment
      or postponement thereof);

     

    (iii)  if
      any
      Law makes the consummation of the Arrangement or the Transactions illegal or
      otherwise prohibited, and such Law has become final and nonappealable;
      or

     

    (iv)  if
      any
      condition to the obligation of such party to consummate the Arrangement as
      set
      forth in Section 6.1 (in the case of Parent) or Section 6.2 (in the case of
      the
      Company) becomes incapable of satisfaction prior to the Outside Date unless
      the
      failure to consummate the Arrangement is the result of a breach of this
      Agreement or any of the Ancillary Agreements by the party seeking to terminate
      this Agreement; provided,
      however,
      that
      the refusal by a holder of Company SARs to enter into a SAR Exchange Agreement
      pursuant to Section 5.16(b) shall not constitute a breach of this Agreement
      by
      Parent. 

     

    (d)  Termination
      By Parent.
      This
      Agreement may be terminated by Parent at any time prior to the Effective
      Time:

     

    (i)  if
      (A)
      the Board of Directors of the Company shall have withdrawn, amended or modified
      in a manner adverse to Parent its approval or recommendation of the Arrangement,
      (B) the Board of Directors of the Company shall have approved or recommended
      an
      Acquisition Proposal, (C) the Company shall have entered into a binding written
      agreement in respect of an Acquisition Proposal (other than a confidentiality
      agreement permitted by Section 7.1(d)) or (D) the Company or the Board of
      Directors of the Company publicly announces its intention to do any of the
      foregoing;
      or

     

    (ii)  if
      Parent
      is not in material breach of its obligations under this Agreement and the
      Company breaches any of its representations, warranties, covenants or agreements
      contained in this Agreement, which breach would give rise to the failure of
      a
      condition set forth in Section 6.1(a) or Section 6.1(b); provided that if such
      breach is curable by the Company through the exercise of its commercially
      reasonable efforts, then this Agreement shall not terminate pursuant to this
      Section 8.2(d)(ii) as a result of such particular breach until the earlier
      of
      (i) the expiration of a 30-day period commencing upon delivery of written notice
      from Parent to the Company of such breach and (ii) the Company ceasing to
      exercise commercially reasonable efforts to cure such breach; or

     

    
      
        
        

      

      
        63.

        
          

        

      

      
        
        

      

    

    (iii)  if
      there
      has been any Company Material Adverse Effect since the date of execution of
      this
      Agreement; or

     

    (iv)  if
      the
      Company Meeting is cancelled, adjourned or postponed except as expressly
      permitted by this Agreement or agreed to by Parent in writing.

     

    (e)  Termination
      By the Company.
      This
      Agreement may be terminated by the Company at any time prior to the Effective
      Time:

     

    (i)  if
      the
      Board of Directors of the Company approves, and authorizes the Company to enter
      into, an agreement providing for the implementation of a Superior Proposal,
      but
      only so long as:

     

    (1)  the
      Required Company Vote has not yet been obtained;

     

    (2)  the
      Company has not breached any of its obligations under Section 7.1
      or
7.2
      with
      respect to the Superior Proposal or any proposal by the Person making such
      Superior Proposal; 

     

    (3)  the
      Board
      of Directors of the Company has determined in good faith, after receiving a
      written opinion from the Company Financial Advisor (a copy of which has been
      provided to the Parent), that such agreement constitutes a Superior Proposal;
      and

     

    (4)  the
      Company pays to Parent the Termination Fee in accordance with Section 7.3
      simultaneously with such termination (any purported termination pursuant to
      this
      Section 8.2(e)(i) being void and of no force or effect unless the Company shall
      have made such payment); or

     

    (ii)  if
      the
      Company is not in material breach of its obligations under this Agreement and
      Parent breaches any of its representations, warranties, covenants or agreements
      contained in this Agreement, which breach would give rise to the failure of
      a
      condition set forth in Section 6.2(a) or Section 6.2(b); provided that if such
      breach is curable by Parent through the exercise of its commercially reasonable
      efforts, then this Agreement shall not terminate pursuant to this Section
      8.2(e)(i) as a result of such particular breach until the earlier of (i) the
      expiration of a 30-day period commencing upon delivery of written notice from
      the Company to Parent of such breach and (ii) Parent ceasing to exercise
      commercially reasonable efforts to cure such breach;

     

    (f)  Effect
      of Termination.
      If this
      Agreement is terminated in accordance with the foregoing provisions of this
      Section, this Agreement shall forthwith become void and of no further force
      or
      effect and no Party shall have any further obligations hereunder except as
      provided in this Section 8.2(f), Article 10 and the Confidentiality
      Agreement and as otherwise expressly contemplated hereby, and provided that
      neither the termination of this Agreement nor anything contained in this
      Section 8.2 shall relieve any Party from any liability for any willful
      breach by it of this Agreement. If this Agreement is terminated by a party
      because of the breach of this Agreement by another party or because one or
      more
      of the conditions to the terminating party’s obligations under this Agreement is
      not satisfied as a result of the other party’s failure to comply with its
      obligations under this Agreement, the terminating party’s right to pursue all
      legal remedies will survive such termination unimpaired.

     

    
      
        
        

      

      
        64.

        
          

        

      

      
        
        

      

    

    8.3  Amendment.
      This
      Agreement and the Plan of Arrangement may, at any time and from time to time
      before or after the holding of the Company Meeting but not later than the
      Effective Time, be amended by mutual written agreement of the Parties, and
      any
      such amendment may, subject to the Interim Order and Final Order and applicable
      Laws, without limitation:

     

    (a)  change
      the time for performance of any of the obligations or acts of the
      Parties;

     

    (b)  waive
      any
      inaccuracies or modify any representation or warranty contained herein or in
      any
      document delivered pursuant hereto;

     

    (c)  waive
      compliance with or modify any of the covenants herein contained and waive or
      modify performance of any of the obligations of the Parties; and/or

     

    (d)  waive
      compliance with or modify any conditions precedent herein
      contained.

     

    8.4  Waiver.
      Any
      Party
      may (i) extend the time for the performance of any of the obligations or acts
      of
      the other Party, (ii) waive compliance, except as provided herein, with any
      of
      the other Party’s agreements or the fulfillment of any conditions to its own
      obligations contained herein, or (iii) waive inaccuracies in any of the
      other Party’s representations or warranties contained herein or in any document
      delivered by the other Party; provided,
      however,
      that
      any such extension or waiver shall be valid only if set forth in an instrument
      in writing signed on behalf of such Party and, unless otherwise provided in
      the
      written waiver, will be limited to the specific breach or condition
      waived.

     

    ARTICLE
      9

     

    CERTAIN
      TAX MATTERS

     

    9.1  Tax
      Matters. During
      the period from the date of this Agreement to the Effective Time, the Company
      and its Subsidiaries shall: 

     

    (a)  prepare
      and timely file all Tax Returns required to be filed by them on or before the
      Effective Time (“Post-Signing
      Returns”)
      in a
      manner consistent, in all material respects, with past practice, except as
      otherwise required by applicable Laws; 

     

    (b)  provide
      true and complete copies of all Post-Signing Income and Franchise Tax Returns
      to
      the Parent for review prior to filing any such Return;

     

    (c)  fully
      and
      timely pay all Taxes due and payable in respect of such Post-Signing Returns
      that are so filed; and

     

    (d)  properly
      reserve (and reflect such reserve in their books and records and financial
      statements) or pay any installment or deposit required for all Taxes payable
      by
      them before the Effective Time for which no Post-Signing Return is applicable
      in
      a manner consistent with past practice.

     

    9.2  Post-Closing
      Filings. For
      greater certainty, no Tax Return for any Acquired Company for any period,
      including any period ending on or before the Effective Time, which is not
      required to be filed until after the Effective Time will be prepared or filed
      prior to the Effective Time without the prior written approval of the Parent
      (which will not be unreasonably withheld or delayed).

     

    9.3  Transfer
      Taxes and Withholding Taxes. Parent
      shall be responsible for the payment and remittal of all Transfer Taxes (other
      than any Transfer Taxes that are solely the liability of a Company Securities
      Holder) imposed in connection with the transactions contemplated by this
      Agreement; it being understood that the foregoing is without derogation to
      the
      entitlement of Parent, the Company, the Purchaser and the Depository to deduct
      and withhold Withholding Taxes from any consideration payable under this
      Agreement. For purposes of this Section 9.3, (i) Transfer Taxes shall mean
      all
      real property transfer and transfer gains, sales, use, transfer, value added,
      stock transfer and stamp taxes or any similar Taxes that become payable in
      connection with the transactions contemplated by this Agreement and (ii)
      Withholding Taxes shall mean Taxes for which any of Parent, the Company, the
      Purchaser and the Depository has a responsibility to withhold, deduct, remit
      and
      pay solely in its capacity as a withholding agent (such as taxes required to
      be
      withheld under section 1441 et seq. of the Code and similar provisions of the
      Canadian Tax Act and other non-U.S. laws and wage withholding taxes). To the
      extent that amounts of Withholding Taxes are so withheld, such withheld amounts
      shall be treated for all purposes as having been paid to the Company Securities
      Holders in respect of which such deduction and withholding was made, provided
      that such withheld amounts are actually remitted to the appropriate taxing
      authority. 

     

    
      
        
        

      

      
        65.

        
          

        

      

      
        
        

      

    

    ARTICLE
      10

     

    GENERAL
      PROVISIONS

     

    10.1  Nonsurvival
      of Representation and Warranties. None
      of
      the representations and warranties contained in this Agreement or any instrument
      delivered pursuant to this Agreement shall survive the Effective Time. This
      Section 10.01 shall not limit any covenant or agreement of the parties which
      by
      its terms contemplates performance after the Effective Time. 

     

    10.2  Notices.
      All
      notices and other communications under this Agreement must be in writing and
      are
      deemed duly delivered when (1) delivered if delivered personally or by
      nationally recognized overnight courier service (costs prepaid), (2) sent by
      facsimile with confirmation of transmission by the transmitting equipment (or,
      the first Business Day following such transmission if the date of transmission
      is not a Business Day) or (3) received or rejected by the addressee, if sent
      by
      certified mail, return receipt requested; in each case to the following
      addresses or facsimile numbers and marked to the attention of the individual
      (by
      name or title) designated below (or to such other address, facsimile number
      or
      individual as a party may designate by notice to the other parties):

     

    If
      to the
      Company:

     

    180
      Connect Inc.

    135
      Crossways Park Drive

    Suite
      400

    Woodbury,
      NY 11797

    Attn:
      Peter Gigcalone

    Facsimile:
      (516) 677-5388

    

    with
      a
      copy (which will not constitute notice) to:

     

    McDermott
      Will & Emery LLP

    340
      Madison Avenue

    New
      York,
      NY 10017

    Attention:
      Mark S. Selinger, Esq.

    Facsimile:
      (212) 547-5444

    

    

    
      
        
          
          

        

        
          66.

          
            

          

        

        
          
          

        

      

    

    

    And

    

    Macleod
      Dixon LLP

    3700
      Canterra Tower

    400
      Third
      Avenue SW

    Calgary,
      AB T2P 4H2

    Attention:
      Jennifer K. Kennedy

    Facsimile:
      (403) 264-5973

    

    If
      to the
      Parent or Purchaser:

     

    Ad.Venture
      Partners, Inc.

    360
      Madison Avenue

    21st
      Floor

    New
      York,
      NY 10017

    Attn:
      Ilan Slasky

    Facsimile:
      (914) 576-5101

    

    with
      a
      copy (which will not constitute notice) to:

     

    Cooley
      Godward Kronish llp

    101
      California Street

    San
      Francisco, CA 94111

    Attention:
      Gian-Michele a Marca, Esq.

    Facsimile:
      (415) 693-2222

     

    10.3  Governing
      Law; Waiver of Jury Trial.
      This
      Agreement shall be deemed to be made in and in all respects shall be
      interpreted, construed and governed by and in accordance with, and any disputes
      arising out of or related to this Agreement shall be interpreted, construed
      and
      governed by and in accordance with, the laws of the State of New York, except
      to
      the extent mandatorily governed by the laws of Canada or the laws of the
      province of Alberta or the State of Delaware, as applicable. Except with respect
      to the Interim Order or Final Order or any other matter relating thereto over
      which a court has jurisdiction, the parties hereby irrevocably submit to the
      jurisdiction of the courts of the State of New York solely in respect of the
      interpretation and enforcement of the provisions of this Agreement and of the
      documents referred to in this Agreement, and in respect of the transactions
      contemplated hereby, and hereby waive, and agree not to assert, as a defense
      in
      any action for the interpretation or enforcement hereof or of any such document,
      that it is not subject thereto or that such action may not be brought or is
      not
      maintainable in said courts or that the venue thereof may not be appropriate
      or
      that this Agreement or any such document may not be enforced in or by such
      courts, and the parties hereto irrevocably agree that all claims with respect
      to
      such actions shall be heard and determined in such New York court. The parties
      hereby consent to and grant any such court jurisdiction over the person of
      such
      parties and over the subject matter of such dispute and agree that mailing
      of
      process or other papers in connection with any such action in the manner
      permitted by law shall be valid and sufficient service thereof. EACH
      PARTY TO THIS AGREEMENT HEREBY WAIVES ANY RIGHT TO TRIAL BY JURY IN ANY ACTION,
      PROCEEDING OR COUNTERCLAIM (WHETHER BASED ON CONTRACT, TORT OR OTHERWISE)
      ARISING OUT OF OR RELATING TO THIS AGREEMENT OR THE TRANSACTIONS CONTEMPLATED
      HEREBY OR THE ACTIONS OF THE PARTIES IN THE NEGOTIATION, ADMINISTRATION,
      PERFORMANCE AND ENFORCEMENT OF THIS AGREEMENT.

     

    
      
        
        

      

      
        67.

        
          

        

      

      
        
        

      

    

    10.4  Injunctive
      Relief. The
      Parties agree that irreparable harm would occur in the event that any of the
      provisions of this Agreement were not performed in accordance with their
      specific terms or were otherwise breached for which money damages would not
      be
      an adequate remedy at law. It is accordingly agreed that the Parties shall
      be
      entitled to an injunction or injunctions and other equitable relief to prevent
      breaches of this Agreement, any requirement for the securing or posting of
      any
      bond in connection with the obtaining of any such injunctive or other equitable
      relief hereby being waived.

     

    10.5  Entire
      Agreement, Binding Effect and Assignment. Parent
      may assign all or any part of its rights under this Agreement to, and its
      obligations under this Agreement may be assumed by, a subsidiary of Parent,
      provided that if such assignment and/or assumption takes place, Parent shall
      continue to be liable jointly and severally with such subsidiary for all of
      its
      obligations hereunder. This Agreement shall be binding on and shall inure to
      the
      benefit of the Parties and their respective successors and permitted assigns.
      

     

    Except
      as
      expressly permitted by the terms hereof, neither this Agreement nor any of
      the
      rights, interests or obligations hereunder may be assigned by either of the
      Parties without the prior written consent of the other Party.

     

    This
      Agreement (including the Schedules and Exhibits hereto and the documents and
      instruments referred to in this Agreement that are to be delivered at the
      Closing) constitutes the entire agreement among the parties and supersedes
      any
      prior understandings, agreements or representations by or among the parties,
      or
      any of them, written or oral, with respect to the subject matter of this
      Agreement. Notwithstanding the foregoing, the Confidentiality Agreement will
      remain in effect in accordance with its terms as modified pursuant to Section
      5.9.

     

    10.6  Severability.
      If
      any
      provision of this Agreement is held invalid, illegal or unenforceable, the
      validity, legality and enforceability of the remaining provisions of this
      Agreement are not affected or impaired in any way and the parties agree to
      negotiate in good faith to replace such invalid, illegal and unenforceable
      provision with a valid, legal and enforceable provision that achieves, to the
      greatest lawful extent under this Agreement, the economic, business and other
      purposes of such invalid, illegal or unenforceable provision.

     

    10.7  Exhibits
      and Schedules. The
      Exhibits and Schedules to this Agreement are incorporated herein by reference
      and made a part of this Agreement. The Company Disclosure Schedule and the
      Parent Disclosure Schedule are arranged in sections and paragraphs corresponding
      to the numbered and lettered sections and paragraphs of Article 3 and Article
      4,
      as applicable.

     

    10.8  No
      Third Party Beneficiaries. Except
      for the rights of the Company Shareholders and holders of Company Options,
      Company SARs, Convertible Debentures or Company Warrants to receive the
      consideration for their Common Shares, Company Options, Company SARs,
      Convertible Debentures or Company Warrants, as applicable, following the
      Effective Time pursuant to the Arrangement, this Agreement is not intended
      to
      confer any rights or remedies upon any Person other than the Parties to this
      Agreement.

     

    10.9  Interpretation.
      The
      language used in this Agreement is the language chosen by the parties to express
      their mutual intent, and no provision of this Agreement will be interpreted
      for
      or against any party because that party or its attorney drafted the
      provision.

     

    10.10  Counterparts.
      The
      parties may execute this Agreement in multiple counterparts, each of which
      constitutes an original as against the party that signed it, and all of which
      together constitute one agreement. This Agreement is effective upon delivery
      of
      one executed counterpart from each party to the other parties. The signatures
      of
      all parties need not appear on the same counterpart. The delivery of signed
      counterparts by facsimile or email transmission that includes a copy of the
      sending party’s signature is as effective as signing and delivering the
      counterpart in person.

     

    

    
      
        
          
          

        

        
          68.

          
            

          

        

        
          
          

        

      

    

    

    [Signature
      Page Follows]

     

    

    
      
        
          
          

        

        
          69.

          
            

          

        

        
          
          

        

      

    

    

    In
      Witness Whereof
      Parent,
      Purchaser and the Company have caused this Agreement to be executed as of the
      date first written above by their respective officers thereunto duly
      authorized.

     

    Ad.Venture
      Partners, Inc.

     

    By:
      /s/
      Howard S. Balter

    Name:
      Howard S. Balter

    Title:
      Chief Executive Officer

    

    By:
      /s/
      Ilan M. Slasky 

    Name:
      Ilan M. Slasky

    Title:
      President

     

    6732097
      Canada Inc.

     

    By:
      /s/
      Ilan M. Slasky

    Name:
      Ilan M. Slasky

    Title:
      Chief Executive Officer and President

    

    

    180
      Connect Inc.

     

    By:
      /s/
      Peter Giacalone

    Name:
      Peter Giacalone

    Title:
      Chief Executive Officer

    

    By:
      /s/
      Steven Westberg

    Name:
      Steven Westberg

    Title:
      Chief Financial Officer

     

     

    

    
      
        
          
            

          

          
          

        

        
          70.

          
            

          

        

        
          
          

          
          

        

      

    

    

    Schedule
      A-1

     

    PERSONS
      PARTY TO THE COMPANY VOTING AGREEMENTS

     

    Peter
      A.
      Giacalone

     

    David
      R.
      Hallmen

     

    M.
      Brian
      McCarthy

     

    Dr.
      Byron
      G. Osing

     

    Matthew
      G. Roszak

     

    Anton
      Simunovic

     

    

    
      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    Schedule
      A-2

     

    PERSONS
      PARTY TO THE PARENT VOTING AGREEMENTS

     

    Howard
      S.
      Balter

     

    Ilan
      M.
      Slasky

     

    Lawrence
      J. Askowitz

     

    Dr.
      Shlomo Kalish

     

    

    
      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    Schedule
      B-1

     

    FORM
      OF COMPANY VOTING AGREEMENT

     

    

    
      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    VOTING
      AGREEMENT

     

    This
      Voting Agreement (“Agreement”)
      is
      entered into as of March 13, 2007, by and between Ad.Venture
      Partners, Inc.,
      a
      Delaware corporation (“Parent”),
      and
____________________
      (“Shareholder”).

     

    Recitals

     

    A. Shareholder
      is the “beneficial owner” (within the meaning of Rule 13d-3 under the Securities
      Exchange Act of 1934) of certain shares in the capital of 180
      Connect Inc.,
      a
      corporation organized under the laws of Canada (the “Company”).

     

    B. Parent,
      6732097
      Canada Inc.,
      a
      corporation organized under the laws of Canada and a wholly-owned subsidiary
      of
      Parent (“Purchaser”),
      and
      the Company are entering into an Arrangement Agreement of even date herewith
      (the “Arrangement
      Agreement”)
      which
      provides that Purchaser and Parent shall acquire all of the issued and
      outstanding Common Shares of the Company and assume the obligation to issue
      common stock upon exercise of the Company Options and Company Warrants and
      conversion of the Convertible Debentures, in each case in accordance with the
      Arrangement Agreement (collectively, the “Arrangement”).
      Terms
      not otherwise defined herein shall have the meanings ascribed to them in the
      Arrangement Agreement.

     

    C. In
      order
      to induce Parent to enter into the Arrangement Agreement, Shareholder is
      entering into this Agreement.

     

    Agreement

     

    NOW
      THEREFORE,
      in
      consideration of the mutual covenants and agreements set forth herein, the
      payment of the sum of One Dollar ($1.00) by Parent to Shareholder and other
      good
      and valuable consideration (the receipt and sufficiency of which is hereby
      acknowledged), the parties hereto covenant and agree as follows:

     

    Section
      1. Certain
      Definitions 

     

    For
      purposes of this Agreement:

     

    (a) Shareholder
      shall be deemed to “Own”
or
      to
      have acquired “Ownership”
of
      a
      security if Shareholder: (i) is the record owner of such security or (ii) is
      the
“beneficial owner” (within the meaning of Rule 13d-3 under the Securities
      Exchange Act of 1934) of such security.

     

    (b) “Subject
      Securities”
shall
      mean: (i) all securities of the Company (including all Common Shares and all
      options, warrants and other rights to acquire Common Shares) Owned by
      Shareholder as of the date of this Agreement and (ii) all additional securities
      of the Company (including all additional Common Shares and all additional
      options, warrants and other rights to acquire Common Shares) of which
      Shareholder acquires Ownership during the period from the date of this Agreement
      through the Voting Covenant Expiration Date.

     

    (c) A
      Person
      shall be deemed to have effected a “Transfer”
of
      a
      security if such Person directly or indirectly: (i) sells, pledges, gifts,
      assigns, encumbers, grants an option with respect to, transfers or disposes
      of
      such security or any interest in such security to any Person other than Parent;
      (ii) enters into an agreement or commitment contemplating the possible sale
      of,
      pledge of, assignment of, encumbrance of, grant of an option with respect to,
      transfer of or disposition of such security or any interest therein to any
      Person other than Parent or (iii) reduces such Person’s beneficial ownership of,
      interest in or risk relating to such security; provided however no Transfer
      shall be deemed to have been effected in connection with the exercise or
      conversion of any options, warrants or other rights to acquire Common Shares
      to
      the extent that the Common Shares so acquired continue to be Owned by such
      Person.

     

    

    
      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    (d) “Voting
      Covenant Expiration Date”
      shall
      mean the earliest of (i) the date upon which the Arrangement Agreement is
      terminated in accordance with its terms, (ii) the Effective Time, (iii) upon
      written notice of termination provided by Parent to Shareholder, (iv) if the
      Proxy Statement shall not have been mailed to Parent Stockholders by August
      6,
      2007; or (v) August 31, 2007.

     

    Section
      2. Transfer
      of Subject Securities and Voting Rights

     

    2.1 Restriction
      on Transfer of Subject Securities. Subject
      to Section 2.3, during the period from the date of this Agreement through the
      Voting Covenant Expiration Date, Shareholder shall not, directly or indirectly,
      cause or permit any Transfer of any of the Subject Securities to be
      effected.

     

    2.2 Restriction
      on Transfer of Voting Rights.
      Subject
      to Section 4.1, during the period from the date of this Agreement through the
      Voting Covenant Expiration Date, Shareholder shall ensure that: (a) none of
      the
      Subject Securities is deposited into a voting trust and (b) no proxy or power
      of
      attorney is granted, and no voting agreement or similar agreement is entered
      into, with respect to any of the Subject Securities.

     

    2.3 Permitted
      Transfers. Section
      2.1 shall not prohibit a transfer of the Subject Securities by Shareholder
      (i)
      to any member of Shareholder’s immediate family, or to a trust for the benefit
      of Shareholder or any member of Shareholder’s immediate family, (ii) upon the
      death of Shareholder or (iii) if Shareholder is a partnership, limited liability
      company or other body corporate, to one or more partners or members of
      Shareholder or to an affiliated corporation under common control with
      Shareholder; provided,
      however,
      that a
      transfer referred to in this sentence shall be permitted only if, as a
      precondition to such transfer, the transferee agrees in writing, reasonably
      satisfactory in form and substance to Parent, to be bound by the terms of this
      Agreement.

     

    Section
      3. Term

     

    This
      Agreement shall endure for the period (the “Term”)
      commencing on the date hereof and terminating on the Voting Covenant Expiration
      Date. The termination of this Agreement shall not affect any other agreement
      of
      like effect entered into with any other holder of securities of the Company
      or
      prejudice the right of any party hereto in respect of any breach hereof by
      the
      other party hereto.

     

    Section
      4. Voting
      of Shares

     

    4.1 Voting
      Covenant. Shareholder
      hereby agrees that, prior to the Voting Covenant Expiration Date, at any meeting
      of the shareholders of the Company, however called, and in any written action
      by
      consent of shareholders of the Company, unless otherwise directed in writing
      by
      Parent, Shareholder shall cause the Subject Securities to be voted:

     

    (a) in
      favor
      of the approval of the Arrangement Agreement and the Plan of Arrangement (as
      the
      same may be amended in accordance with their terms), the approval of the
      Arrangement and any matter that could reasonably be expected to facilitate
      the
      Arrangement;

     

    (b) against
      any action or agreement that would result in a breach of any representation,
      warranty, covenant or obligation of the Company under the Arrangement Agreement
      or the Plan of Arrangement; and

     

    (c) against
      any of the following actions (other than in furtherance of the Arrangement
      and
      the transactions contemplated by the Arrangement Agreement and except as
      otherwise agreed to or directed by Parent in writing): (A) any extraordinary
      corporate transaction or fundamental change, such as a merger, consolidation
      or
      other arrangement or business combination involving the Company or any
      subsidiary of the Company; (B) any sale, lease or transfer of all or
      substantially all of the assets of the Company or any subsidiary of the Company;
      (C) any reorganization, recapitalization, dissolution or liquidation of the
      Company or any subsidiary of the Company; (D) any change in a majority of the
      board of directors of the Company; (E) any change in the authorized capital
      of
      the Company or any amendment to the Company’s articles of incorporation or
      bylaws; (F) any material change in the capitalization of the Company or the
      Company’s corporate structure and (G) any other action which is intended, or
      could reasonably be expected, to impede, interfere with, delay, prevent,
      postpone, discourage or adversely affect the Arrangement or any of the other
      transactions contemplated by the Arrangement Agreement or this
      Agreement.

     

    

    
      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    Prior
      to
      the Voting Covenant Expiration Date, Shareholder shall not enter into any
      agreement or understanding with any Person to vote or give instructions in
      any
      manner inconsistent with clause “(a)”, “(b)”, or “(c)” of the preceding
      sentence. If requested by Parent, Shareholder will execute such documents as
      may
      be reasonably required to give effect to the provisions of this Section upon
      Shareholder having received reasonable opportunity to consult with legal
      counsel. Shareholder further agrees that, during the Term, it shall not enter
      into any agreement or understanding with any person, whether or not in writing,
      directly or indirectly the effect of which would be inconsistent or contrary
      to
      the provisions and agreements contained herein.

     

    4.2 No
      Limit on Fiduciary Duty.
      Nothing
      contained in this Agreement will (a) restrict, limit, prohibit or preclude
      the
      Shareholder from exercising his fiduciary duties under applicable law, or (b)
      require the Shareholder to take any action in contravention of, or omit to
      take
      any action pursuant to, or otherwise take or refrain from taking any actions
      which are inconsistent with the instructions or directions of the Company’s
      board of directors undertaken in the exercise of their fiduciary
      duties.

     

    Section
      5. Covenant
      Regarding Notice of Objection

     

    Shareholder
      hereby acknowledges that pursuant to the terms and conditions of the Arrangement
      it has a right to dissent in accordance with Section 190 of the CBCA and hereby
      covenants and agrees that, prior to the Voting Covenant Expiration Date, it
      shall not directly or indirectly cause to be delivered to the Company a written
      objection to the resolution relating to the Arrangement or take any other action
      which is intended, or could reasonable by expected, to impede, delay or prevent
      the consummation of the Arrangement.

     

    Section
      6. Non-Solicitation

     

    Subject
      to Section 4.2, Shareholder agrees that, during the period from the date of
      this
      Agreement through the Voting Covenant Expiration Date, Shareholder shall not,
      directly or indirectly: (i) solicit, initiate, induce, facilitate or encourage
      (including by way of furnishing information or entering into any form of
      agreement, arrangement or understanding) the initiation of any inquiries or
      making of any proposals or announcements regarding an Acquisition Proposal;
      (ii)
      engage or participate in any discussions or negotiations with any Person (other
      than Parent and its affiliates) regarding an Acquisition Proposal; (iii)
      approve, endorse or recommend, or propose publicly to approve, endorse or
      recommend, any Acquisition Proposal; (iv) accept or enter into any agreement,
      understanding, arrangement or Contract in respect of an Acquisition Proposal;
      or
      (v) withdraw, amend or modify in a manner adverse to Parent Shareholder’s
      agreement to vote in favor of the Arrangement. Shareholder shall immediately
      terminate any existing solicitations, discussions or negotiations with any
      Person (other than Parent) that has made, indicated any interest to make or
      may
      reasonably be expected to make, an Acquisition Proposal. Shareholder shall
      promptly notify Parent, immediately orally and thereafter in writing, of any
      Acquisition Proposal or inquiry received after the date hereof (whether or
      not
      relating to any Acquisition Proposal or inquiry received prior to the date
      hereof) that could reasonably be expected to lead to an Acquisition Proposal,
      in
      each case received after the date hereof, or any amendments to the foregoing,
      or
      any request for non-public information relating to the Company or any of its
      Subsidiaries in connection with an Acquisition Proposal and a description of
      the
      material terms and conditions of any such Acquisition Proposal or inquiry.
      Shareholder shall keep Parent informed of any change to the material terms
      of
      any such Acquisition Proposal or inquiry. Promptly upon request, Shareholder
      shall provide Parent with copies of all correspondence in respect of any such
      Acquisition Proposal, inquiries or request for information. 

     

    

    
      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    Section
      7. Representations
      and Warranties of Shareholder

     

    Shareholder
      hereby represents and warrants to Parent as follows:

     

    7.1 Authorization,
      Etc. Shareholder
      has the absolute and unrestricted right, power, authority and capacity to
      execute and deliver this Agreement and to perform his or its obligations
      hereunder and thereunder. This Agreement has been duly executed and delivered
      by
      Shareholder and constitutes a legal, valid and binding obligation of
      Shareholder, enforceable against Shareholder in accordance with their terms,
      subject to (i) laws of general application relating to bankruptcy, insolvency
      and the relief of debtors and (ii) rules of law governing specific performance,
      injunctive relief and other equitable remedies. If Shareholder is a general
      or
      limited partnership, then Shareholder is a partnership duly organized, validly
      existing and in good standing under the laws of the jurisdiction in which it
      was
      organized. If Shareholder is a limited liability company or other body
      corporate, then Shareholder is a limited liability company or body corporate
      duly organized, validly existing and in good standing under the laws of the
      jurisdiction in which it was organized.

     

    7.2 No
      Conflicts or Consents.

     

    (a) The
      execution and delivery of this Agreement by Shareholder does not, and the
      performance of this Agreement by Shareholder will not: (i) conflict with or
      violate any law, rule, regulation, order, decree or judgment applicable to
      Shareholder or by which he or it or any of his or its properties is or may
      be
      bound or affected or (ii) result in or constitute (with or without notice or
      lapse of time) any breach of or default under, or give to any other Person
      (with
      or without notice or lapse of time) any right of termination, amendment,
      acceleration or cancellation of, or result (with or without notice or lapse
      of
      time) in the creation of any encumbrance or restriction on any of the Subject
      Securities pursuant to, any contract to which Shareholder is a party or by
      which
      Shareholder or any of his or its affiliates or properties is or may be bound
      or
      affected.

     

    (b) The
      execution and delivery of this Agreement by Shareholder do not, and the
      performance of this Agreement by Shareholder will not, require any consent
      or
      approval of any Person.

     

    7.3 Title
      to Securities.
      As of
      the date of this Agreement: (a) Shareholder holds of record (free and clear
      of
      any encumbrances or restrictions) the number of outstanding Common Shares set
      forth under the heading “Shares Held of Record” on the signature page hereof;
      (b) Shareholder holds (free and clear of any encumbrances or restrictions)
      the
      options, warrants and other rights to acquire Common Shares set forth under
      the
      heading “Options and Other Rights” on the signature page hereof; (c) Shareholder
      Owns the additional securities of the Company set forth under the heading
“Additional Securities Beneficially Owned” on the signature page hereof; (d)
      Shareholder does not directly or indirectly Own any shares of capital stock
      or
      other securities of the Company, or any option, warrant or other right to
      acquire (by purchase, conversion or otherwise) any shares of capital stock
      or
      other securities of the Company, other than the shares and options, warrants
      and
      other rights set forth on the signature page hereof and (e) except as
      contemplated hereby, none of the Subject Securities are subject to any voting
      trust, proxy, power of attorney or other agreement or arrangement with respect
      to the voting or disposition of the Subject Securities, and Shareholder is
      not a
      party to any agreement relating to the Subject Securities, including but not
      limited to any voting agreement, option agreement, purchase or sale agreement,
      shareholder’s agreement or partnership agreement.

     

    7.4 Accuracy
      of Representations.
      The
      representations and warranties contained in this Agreement are accurate in
      all
      respects as of the date of this Agreement, will be accurate in all respects
      at
      all times through the Voting Covenant Expiration Date and will be accurate
      in
      all respects as of the date of the consummation of the Arrangement as if made
      on
      that date.

     

    Section
      8. Additional
      Covenants of Shareholder

     

    8.1 Assistance
      with Arrangement. Subject
      to Section 4.2, until the Voting Covenant Expiration Date, Shareholder agrees
      to
      (i) cooperate with Parent in obtaining all governmental, regulatory and other
      approvals, including the Interim Order and the Final Order (the “Required
      Approvals”),
      required to permit Parent, Purchaser and the Company to complete the
      transactions provided for therein, (ii) if the Company fails to convene and
      hold
      a meeting of shareholders for the purpose of considering the Arrangement
      Resolution in accordance with Section 2.1(c) of the Arrangement Agreement,
      to
      the extent permissible under applicable law, cause the directors of the Company
      to call a meeting of shareholders for the purpose of considering the Arrangement
      Resolution, and (iii) not directly or indirectly: (A) take any actions that
      could have the result of delaying or impeding the ability of Parent, Purchaser
      or the Company to obtain any of the Required Approvals or causing the Court
      to
      amend the Interim Order or the Final Order or the terms and conditions of the
      Arrangement Agreement and/or Plan of Arrangement, other than as requested by
      Parent or Company, (B) take any action or fail to take any action that would
      reasonably be expected to result in the postponement, adjournment or
      cancellation of a shareholder’s meeting convened to consider the Arrangement
      without prior consent of Parent and (C) take any action that would make any
      representation or warranty of Shareholder contained in the Agreement untrue
      or
      that would otherwise undermine the effect and the intent of the
      Agreement.

     

    

    
      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    8.2 Further
      Assurances.
      From
      time to time and without additional consideration, Shareholder shall (at
      Shareholder’s sole expense) execute and deliver, or cause to be executed and
      delivered, such additional transfers, assignments, endorsements, proxies,
      consents and other instruments, and shall (at Shareholder’s sole expense) take
      such further actions, as Parent may request for the purpose of carrying out
      and
      furthering the intent of this Agreement.

     

    Section
      9. Miscellaneous

     

    9.1 Survival
      of Representations, Warranties and Agreements.
      All
      representations, warranties, covenants and agreements made by Shareholder in
      this Agreement shall survive (i) the consummation of the Arrangement, (ii)
      any
      termination of the Arrangement Agreement and (iii) the Voting Covenant
      Expiration Date.

     

    9.2 Expenses.
      All
      costs and expenses incurred in connection with the transactions contemplated
      by
      this Agreement shall be paid by the party incurring such costs and
      expenses.

     

    9.3 Notices.
      Any
      notice or other communication required or permitted to be delivered to either
      party under this Agreement shall be in writing and shall be deemed properly
      delivered, given and received when delivered (by hand, by registered mail,
      by
      courier or express delivery service or by facsimile) to the address or facsimile
      telephone number set forth beneath the name of such party below (or to such
      other address or facsimile telephone number as such party shall have specified
      in a written notice given to the other party):

     

    if
      to
      Shareholder:

     

    at
      the
      address set forth on the signature page hereof; and

     

    if
      to
      Parent:

     

    Ad.Venture
      Partners, Inc.

    360
      Madison Avenue, 21st Floor

    New
      York,
      NY 10017

    Attn:
      Chief Executive Officer

    Facsimile:
      (914) 576-5101

     

    9.4 Severability.
      Any
      term or provision of this Agreement that is invalid or unenforceable in any
      situation in any jurisdiction shall not affect the validity or enforceability
      of
      the remaining terms and provisions hereof or the validity or enforceability
      of
      the offending term or provision in any other situation or in any other
      jurisdiction. If the final judgment of a court of competent jurisdiction
      declares that any term or provision hereof is invalid or unenforceable, the
      parties hereto agree that the court making such determination shall have the
      power to limit the term or provision, to delete specific words or phrases,
      or to
      replace any invalid or unenforceable term or provision with a term or provision
      that is valid and enforceable and that comes closest to expressing the intention
      of the invalid or unenforceable term or provision, and this Agreement shall
      be
      enforceable as so modified. In the event such court does not exercise the power
      granted to it in the prior sentence, the parties hereto agree to replace such
      invalid or unenforceable term or provision with a valid and enforceable term
      or
      provision that will achieve, to the extent possible, the economic, business
      and
      other purposes of such invalid or unenforceable term.

     

    

    
      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    9.5 Entire
      Agreement.
      This
      Agreement, and any other documents delivered by the parties in connection
      herewith constitute the entire agreement between the parties with respect to
      the
      subject matter hereof and thereof and supersede all prior agreements and
      understandings between the parties with respect thereto. No addition to or
      modification of any provision of this Agreement shall be binding upon either
      party unless made in writing and signed by both parties. 

     

    9.6 Assignment;
      Binding Effect.
      Except
      as provided herein, neither this Agreement nor any of the interests or
      obligations hereunder may be assigned or delegated by Shareholder, and any
      attempted or purported assignment or delegation of any of such interests or
      obligations shall be void. Subject to the preceding sentence, this Agreement
      shall be binding upon Shareholder and his heirs, estate, executors and personal
      representatives and his or its successors and assigns, and shall inure to the
      benefit of Parent and its successors and assigns. Without limiting any of the
      restrictions set forth in Section 2 or Section 8.2 or elsewhere in this
      Agreement, this Agreement shall be binding upon any Person to whom any Subject
      Securities are transferred. Nothing in this Agreement is intended to confer
      on
      any Person (other than Parent and its successors and assigns) any rights or
      remedies of any nature.

     

    9.7 Specific
      Performance. The
      parties agree that irreparable damage would occur in the event that any of
      the
      provisions of this Agreement were not performed in accordance with its specific
      terms or were otherwise breached. Shareholder agrees that, in the event of
      any
      breach or threatened breach by Shareholder of any covenant or obligation
      contained in this Agreement, Parent shall be entitled (in addition to any other
      remedy that may be available to it, including monetary damages) to seek and
      obtain (a) a decree or order of specific performance to enforce the observance
      and performance of such covenant or obligation, and (b) an injunction
      restraining such breach or threatened breach. Shareholder further agrees that
      neither Parent nor any other Person shall be required to obtain, furnish or
      post
      any bond or similar instrument in connection with or as a condition to obtaining
      any remedy referred to in this Section 9.7, and Shareholder irrevocably waives
      any right he or it may have to require the obtaining, furnishing or posting
      of
      any such bond or similar instrument.

     

    9.8 Non-Exclusivity.
      The
      rights and remedies of Parent under this Agreement are not exclusive of or
      limited by any other rights or remedies which it may have, whether at law,
      in
      equity, by contract or otherwise, all of which shall be cumulative (and not
      alternative). Without limiting the generality of the foregoing, the rights
      and
      remedies of Parent under this Agreement, and the obligations and liabilities of
      Shareholder under this Agreement, are in addition to their respective rights,
      remedies, obligations and liabilities under common law requirements and under
      all applicable statutes, rules and regulations. Nothing in this Agreement shall
      limit any of Shareholder’s obligations, or the rights or remedies of Parent,
      under any Affiliate Agreement between Parent and Shareholder; and nothing in
      any
      such Affiliate Agreement shall limit any of Shareholder’s obligations, or any of
      the rights or remedies of Parent, under this Agreement. 

     

    9.9 Governing
      Law; Venue.
      

     

    (a) This
      Agreement shall be construed in accordance with, and governed in all respects
      by, the laws of the State of New York (without giving effect to principles
      of
      conflicts of laws).

     

    (b) Any
      legal
      action or other legal proceeding relating to this Agreement or the enforcement
      of any provision of this Agreement may be brought or otherwise commenced in
      any
      state or federal court located in the State of New York. Shareholder agrees
      that
      service of any process, summons, notice or document by U.S. mail addressed
      to
      him or it at the address set forth on the signature page hereof shall constitute
      effective service of such process, summons, notice or document for purposes
      of
      any such legal proceeding.

     

    

    
      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    (c) SHAREHOLDER
      IRREVOCABLY WAIVES THE RIGHT TO A JURY TRIAL IN CONNECTION WITH ANY LEGAL
      PROCEEDING RELATING TO THIS AGREEMENT OR THE ENFORCEMENT OF ANY PROVISION OF
      THIS AGREEMENT.

     

    9.10 Counterparts.
      This
      Agreement may be executed in separate counterparts, each of which when so
      executed and delivered shall be deemed an original, but all such counterparts
      shall together constitute one and the same instrument. A signed counterpart
      provided by way of facsimile or other electronic transmission shall be as
      binding upon parties as an originally signed counterpart.

     

    9.11 Captions.
      The
      captions contained in this Agreement are for convenience of reference only,
      shall not be deemed to be a part of this Agreement and shall not be referred
      to
      in connection with the construction or interpretation of this
      Agreement.

     

    9.12 Attorneys’
      Fees.
      If any
      legal action or other legal proceeding relating to this Agreement or the
      enforcement of any provision of this Agreement is brought against Shareholder,
      the prevailing party shall be entitled to recover reasonable attorneys’ fees,
      costs and disbursements (in addition to any other relief to which the prevailing
      party may be entitled).

     

    9.13 Waiver.
      No
      failure on the part of Parent to exercise any power, right, privilege or remedy
      under this Agreement, and no delay on the part of Parent in exercising any
      power, right, privilege or remedy under this Agreement, shall operate as a
      waiver of such power, right, privilege or remedy; and no single or partial
      exercise of any such power, right, privilege or remedy shall preclude any other
      or further exercise thereof or of any other power, right, privilege or remedy.
      Parent shall not be deemed to have waived any claim available to Parent arising
      out of this Agreement, or any power, right, privilege or remedy of Parent under
      this Agreement, unless the waiver of such claim, power, right, privilege or
      remedy is expressly set forth in a written instrument duly executed and
      delivered on behalf of Parent; and any such waiver shall not be applicable
      or
      have any effect except in the specific instance in which it is
      given.

     

    9.14 Construction.

     

    (a) For
      purposes of this Agreement, whenever the context requires: the singular number
      shall include the plural, and vice versa; the masculine gender shall include
      the
      feminine and neuter genders; the feminine gender shall include the masculine
      and
      neuter genders; and the neuter gender shall include masculine and feminine
      genders.

     

    (b) The
      parties agree that any rule of construction to the effect that ambiguities
      are
      to be resolved against the drafting party shall not be applied in the
      construction or interpretation of this Agreement.

     

    (c) As
      used
      in this Agreement, the words “include” and “including,” and variations thereof,
      shall not be deemed to be terms of limitation, but rather shall be deemed to
      be
      followed by the words “without limitation.”

     

    (d) Except
      as
      otherwise indicated, all references in this Agreement to “Sections” and
“Exhibits” are intended to refer to Sections of this Agreement and Exhibits to
      this Agreement.

     

    9.15 Independent
      Legal Advice.
      Each of
      the parties acknowledge that they have been advised to and have obtained
      independent legal advice (or declined doing so, despite having the opportunity
      to do so) with respect to this Agreement prior to their execution hereof and
      that they have read and understand the terms of their rights and obligations
      hereunder.

     

    

    
      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    [Signature
      Page Follows]

    

    

    
      
        
          
            

          

          
          

        

        
          
          

          
            

          

        

        
          
          

          
          

        

      

    

    

    Parent
      and Shareholder have caused this Agreement to be executed as of the date first
      written above.

     

    
      	 	 	 
	 	AD.VENTURE
              PARTNERS, INC.
	 
 	 
 	 
 
	 	By:  	 
	 	
              
Name:
              Howard S. Balter
	 	Title:
              Chief Executive Officer

    

    
      	 	 	 
	 	 	 
	 	SHAREHOLDER
	 	 
	 	 
	 	
              
Name: 
	 	 
	 	Address: ________________________
	 	            
              ________________________
	 	Facsimile:________________________ 
	 	 
	 	 
	Shares Held of Record Options
              and Other Rights  	Additional Securities
              Beneficially  
	 	
              Owned 

            

    

     

    

      
        
          
          

        

        
          1

          
            

          

        

        
          
          

        

      

    Schedule
      B-2

     

    FORM
      OF PARENT VOTING AGREEMENT

     

    

    
      
        
          
          

        

        
          2

          
            

          

        

        
          
          

        

      

    

    

    VOTING
      AGREEMENT

     

    This
      Voting Agreement (“Agreement”)
      is
      entered into as of March 13, 2007, by and between 180
      Connect Inc.,
      a
      corporation organized under the laws of Canada (the “Company”),
      and
____________________
      (“Stockholder”).

     

    Recitals

     

    A. Stockholder
      is a holder of record and the “beneficial owner” (within the meaning of Rule
      13d-3 under the Securities Exchange Act of 1934) of certain shares of common
      stock of Ad.Venture
      Partners, Inc.,
      a
      Delaware corporation (“Parent”).

     

    B. Parent,
      6732097
      Canada Inc.,
      a
      corporation organized under the laws of Canada and a wholly-owned subsidiary
      of
      Parent (“Purchaser”),
      and
      the Company are entering into an Arrangement Agreement of even date herewith
      (the “Arrangement
      Agreement”)
      which
      provides that Purchaser and Parent shall acquire all of the issued and
      outstanding Common Shares of the Company and assume the obligation to issue
      common stock upon exercise of the Company Warrants and conversion of the
      Convertible Debentures and the obligations under the Company SARs in accordance
      with the Arrangement Agreement (the “Arrangement”).
      Terms
      not otherwise defined herein shall have the meanings ascribed to them in the
      Arrangement Agreement.

     

    The
      Purchaser and the Parent desire to acquire all of the issued and outstanding
      Common Shares of the Company and to assume the obligation to issue common stock
      upon exercise of the Company Warrants and conversion of the Convertible
      Debentures (each as defined below) and the obligations under the Company SARs,
      in each case in accordance with the provisions of this Agreement

     

    C. In
      order
      to induce the Company to enter into the Arrangement Agreement, Stockholder
      is
      entering into this Agreement.

     

    Agreement

     

    NOW
      THEREFORE,
      in
      consideration of the mutual covenants and agreements set forth herein, the
      payment of the sum of One Dollar ($1.00) by Target to Stockholder and other
      good
      and valuable consideration (the receipt and sufficiency of which is hereby
      acknowledged), the parties hereto covenant and agree as follows:

     

    Section
      1. Certain
      Definitions 

     

    For
      purposes of this Agreement:

     

    (a) “Additional
      Securities”
shall
      mean all additional securities of Parent (including all units and warrants
      to
      acquire shares of Parent Common Stock) of which Stockholder acquires Ownership
      during the period from the date of the consummation of Parent’s initial public
      offering through the Voting Covenant Expiration Date.

     

    (b) “Founder
      Securities”
shall
      mean all securities of Parent (including all units and warrants to acquire
      shares of Parent Common Stock) Owned by Stockholder as of the date of this
      Agreement.

     

    

    
      
        
          
          

        

        
          3

          
            

          

        

        
          
          

        

      

    

    

    (c) Stockholder
      shall be deemed to “Own”
or
      to
      have acquired “Ownership”
of
      a
      security if Stockholder: (i) is the record owner of such security or (ii) is
      the
“beneficial owner” (within the meaning of Rule 13d-3 under the Securities
      Exchange Act of 1934) of such security.

     

    (d) “Subject
      Securities”
shall
      mean Founder Securities and Additional Securities, collectively.

     

    (e) A
      Person
      shall be deemed to have a effected a “Transfer”
of
      a
      security if such Person directly or indirectly: (i) sells, pledges, gifts,
      assigns, encumbers, grants an option with respect to, transfers or disposes
      of
      such security or any interest in such security to any Person other than the
      Company; (ii) enters into an agreement or commitment contemplating the possible
      sale of, pledge of, assignment of, encumbrance of, grant of an option with
      respect to, transfer of or disposition of such security or any interest therein
      to any Person other than the Company or (iii) reduces such Person’s beneficial
      ownership of, interest in or risk relating to such security; provided however
      no
      Transfer shall be deemed to have been effected in connection with the exercise
      or conversion of any options, warrants or other rights to acquire Parent Common
      Stock to the extent that the Parent Common Stock so acquired continues to be
      Owned by such Person.

     

    (f) “Voting
      Covenant Expiration Date”
      shall
      mean the earliest of (i) the date upon which the Arrangement Agreement is
      terminated in accordance with its terms, (ii) the Effective Time, (iii) upon
      written notice of termination provided by the Company to the Stockholder, (iv)
      if the Proxy Statement shall not have been mailed to Parent Stockholders by
      August 6, 2007 or (v) August 31, 2007.

     

    Section
      2. Transfer
      of Subject Securities and Voting Rights

     

    2.1 Restriction
      on Transfer of Subject Securities. Subject
      to Section 2.3, during the period from the date of this Agreement through the
      Voting Covenant Expiration Date, Stockholder shall not, directly or indirectly,
      cause or permit any Transfer of any of the Subject Securities to be
      effected.

     

    2.2 Restriction
      on Transfer of Voting Rights.
      Subject
      to Section 4.1, during the period from the date of this Agreement through the
      Voting Covenant Expiration Date, Stockholder shall ensure that: (a) none of
      the
      Subject Securities is deposited into a voting trust and (b) no proxy or power
      of
      attorney is granted, and no voting agreement or similar agreement is entered
      into, with respect to any of the Subject Securities.

     

    2.3 Permitted
      Transfers. Section
      2.1 shall not prohibit a transfer of the Subject Securities by Stockholder
      (i)
      to any member of Stockholder’s immediate family, or to a trust for the benefit
      of Stockholder or any member of Stockholder’s immediate family, (ii) upon the
      death of Stockholder or (iii) if Stockholder is a partnership, limited liability
      company or other body corporate, to one or more partners or members of
      Stockholder or to an affiliated corporation under common control with
      Stockholder; provided,
      however,
      that a
      transfer referred to in this sentence shall be permitted only if, as a
      precondition to such transfer, the transferee agrees in a writing, reasonably
      satisfactory in form and substance to the Company, to be bound by the terms
      of
      this Agreement and, in effecting the transfer, Stockholder complies with any
      other agreements to which Stockholder is party.

     

    Section
      3. Term

     

    This
      Agreement shall endure for the period (the “Term”)
      commencing on the date hereof and terminating on the Voting Covenant Expiration
      Date. The termination of this Agreement shall not affect any other agreement
      of
      like effect entered into with any other holder of securities of the Company
      or
      prejudice the right of any party hereto in respect of any breach hereof by
      the
      other party hereto.

     

    

    
      
        
          
          

        

        
          4

          
            

          

        

        
          
          

        

      

    

    

    Section
      4. Voting
      of Shares

     

    4.1 Voting
      Covenant With Respect to Subject Securities Prior to Termination of Arrangement
      Agreement. Stockholder
      hereby agrees that, prior to the Voting Covenant Expiration Date, at any meeting
      of the stockholders of Parent, however called, unless otherwise directed in
      writing by the Company, Stockholder shall cause the Subject Securities to be
      voted:

     

    (a) in
      favor
      of the
      change of the name of Parent to 180 Connect Inc.;

     

    (b) in
      favor
      of an amendment to remove, from and after the Closing, those provisions of
      Article Fifth of Parent’s Amended and Restated Certificate of Incorporation that
      will no longer be applicable following the Arrangement;

     

    (c) in
      favor
      of an increase in the authorized capital stock of Parent; and

     

    (d) in
      favor
      of the election of (A) M. Brian McCarthy, Peter Giacalone and Howard Balter
      as
      Class C directors of Parent, (B) David Hallmen, Ilan Slasky and such person
      selected by the Company’s Board of Directors who qualifies as an “independent
      director” (as that term is defined in Rule 4200(15) of the NASDAQ Marketplace
      Rules (an “Independent Director”) as Class B directors of Parent and (C) Byron
      Osing, Lawrence J. Askowitz and such person selected by mutual agreement of
      the
      Company and Parent who qualifies as an Independent Director as Class A directors
      of Parent.

     

    Prior
      to
      the earlier to occur of the valid termination of the Arrangement Agreement
      or
      the consummation of the Arrangement, Stockholder shall not enter into any new
      agreement or understanding with any Person to vote or give instructions in
      any
      manner inconsistent with clause “(a),” “(b),” “(c)” or “(d)” of the preceding
      sentence.

     

    4.2 Voting
      Covenant With Respect to Additional Securities Prior to Termination of
      Arrangement Agreement. Stockholder
      hereby agrees that, prior to the Voting Covenant Expiration Date, at any meeting
      of the stockholders of Parent, however called, unless otherwise directed in
      writing by the Company, Stockholder shall cause the Additional Securities to
      be
      voted:

     

    (a) in
      favor
      of the adoption of the Arrangement Agreement and the Plan of Arrangement (as
      the
      same may be amended in accordance with their terms), the approval of the
      Arrangement, the Share Issuance and any matter that could reasonably be expected
      to facilitate the Arrangement;

     

    (b) against
      any action or agreement that would result in a breach of any representation,
      warranty, covenant or obligation of Parent under the Arrangement Agreement
      or
      the Plan of Arrangement; and

     

    (c) against
      any of the following actions (other than in furtherance of the Arrangement
      and
      the transactions contemplated by the Arrangement Agreement and except as
      otherwise agreed to or directed by the Company in writing): (A) any
      extraordinary corporate transaction or fundamental change, such as a merger,
      consolidation or other arrangement or business combination involving Parent
      or
      any subsidiary of Parent; (B) any sale, lease or transfer of a material amount
      of assets of Parent or any subsidiary of Parent; (C) any reorganization,
      recapitalization, dissolution or liquidation of Parent or any subsidiary of
      Parent; (D) any change in a majority of the board of directors of Parent or
      change in the management of Parent; (E) any change in the authorized capital
      of
      the Company or any amendment to Parent’s articles of incorporation or bylaws;
      (F) any material change in the capitalization of Parent or Parent’s corporate
      structure and (G) any other action which is intended, or could reasonably be
      expected, to impede, interfere with, delay, prevent, postpone, discourage or
      adversely affect the Arrangement or any of the other transactions contemplated
      by the Arrangement Agreement or this Agreement.

     

    

    
      
        
          
          

        

        
          5

          
            

          

        

        
          
          

        

      

    

    

    Prior
      to
      the Voting Covenant Expiration Date, Stockholder shall not enter into any
      agreement or understanding with any Person to vote or give instructions in
      any
      manner inconsistent with clause “(a)”, “(b)”, or “(c)” of the preceding
      sentence. If requested by the Company, Stockholder will execute a written
      resolution or any other documents as may be reasonably required to give effect
      to the provisions of this Section upon Stockholder having received reasonable
      opportunity to consult with legal counsel. Stockholder further agrees that,
      during the Term, it shall not enter into any agreement or understanding with
      any
      person, whether or not in writing, directly or indirectly the effect of which
      would be inconsistent or contrary to the provisions and agreements contained
      herein.

     

    4.3 Proxy;
      Further Assurances.

     

    (a) Contemporaneously
      with the execution of this Agreement: (i) Stockholder shall deliver to the
      Company a proxy in the form attached to this Agreement as Exhibit A, which
      shall
      be irrevocable to the fullest extent permitted by law (at all times prior to
      the
      Voting Covenant Expiration Date) with respect to the shares referred to therein
      (the “Proxy”)
      and
      (ii) Stockholder shall cause to be delivered to the Company an additional proxy
      (in the form attached hereto as Exhibit A) executed on behalf of the record
      owner of any outstanding shares of Parent Common Stock that are owned
      beneficially (within the meaning of Rule 13d-3 under the Securities Exchange
      Act
      of 1934), but not of record, by Stockholder. Stockholder hereby irrevocably
      constitutes and appoints the Company the true and lawful agent, attorney and
      attorney in fact of Stockholder with respect to the Subject Securities, with
      full power of substitution (such power of attorney, being coupled with an
      interest, being irrevocable) to, at any time during the Term, execute and
      deliver such additional instruments of proxy, authorizations or consents, and
      to
      exercise such other similar rights of Stockholder, in respect of the Subject
      Securities at any annual, special or adjourned meeting of stockholders of
      Parent, and in any written consent in lieu of any such meeting, as may be
      necessary or desirable to give effect to the terms and intent of this
      Agreement.

     

    (b) Stockholder
      shall, at his or its own expense, perform such further acts and execute such
      further proxies and other documents and instruments as may reasonably be
      required to vest in the Company the power to carry out and give effect to the
      provisions of this Agreement.

     

    Section
      5. Representations
      and Warranties of Stockholder

     

    Stockholder
      hereby represents and warrants to the Company as follows:

     

    5.1 Authorization,
      etc. Stockholder
      has the absolute and unrestricted right, power, authority and capacity to
      execute and deliver this Agreement and the Proxy and to perform his or its
      obligations hereunder and thereunder. This Agreement and the Proxy have been
      duly executed and delivered by Stockholder and constitute legal, valid and
      binding obligations of Stockholder, enforceable against Stockholder in
      accordance with their terms, subject to (i) laws of general application relating
      to bankruptcy, insolvency and the relief of debtors and (ii) rules of law
      governing specific performance, injunctive relief and other equitable remedies.
      If Stockholder is a general or limited partnership, then Stockholder is a
      partnership duly organized, validly existing and in good standing under the
      laws
      of the jurisdiction in which it was organized. If Stockholder is a limited
      liability company or other body corporate, then Stockholder is a limited
      liability company or body corporate duly organized, validly existing and in
      good
      standing under the laws of the jurisdiction in which it was
      organized.

     

    

    
      
        
          
          

        

        
          6

          
            

          

        

        
          
          

        

      

    

    

    5.2 No
      Conflicts or Consents.

     

    (a) The
      execution and delivery of this Agreement and the Proxy by Stockholder do not,
      and the performance of this Agreement and the Proxy by Stockholder will not:
      (i)
      conflict with or violate any law, rule, regulation, order, decree or judgment
      applicable to Stockholder or by which he or it or any of his or its properties
      is or may be bound or affected or (ii) result in or constitute (with or without
      notice or lapse of time) any breach of or default under, or give to any other
      Person (with or without notice or lapse of time) any right of termination,
      amendment, acceleration or cancellation of, or result (with or without notice
      or
      lapse of time) in the creation of any encumbrance or restriction on any of
      the
      Subject Securities pursuant to, any contract to which Stockholder is a party
      or
      by which Stockholder or any of his or its affiliates or properties is or may
      be
      bound or affected.

     

    (b) The
      execution and delivery of this Agreement and the Proxy by Stockholder do not,
      and the performance of this Agreement and the Proxy by Stockholder will not,
      require any consent or approval of any Person.

     

    5.3 Title
      to Securities.
      As of
      the date of this Agreement: (a) Stockholder holds of record (free and clear
      of
      any encumbrances or restrictions) the number of outstanding shares of Parent
      Common Stock set forth under the heading “Shares Held of Record” on the
      signature page hereof; (b) Stockholder holds (free and clear of any encumbrances
      or restrictions) the units and warrants to acquire shares of Parent Common
      Stock
      set forth under the heading “Other Rights” on the signature page hereof; (c)
      Stockholder Owns the additional securities of Parent set forth under the heading
      “Additional Securities Beneficially Owned” on the signature page hereof and (d)
      Stockholder does not directly or indirectly Own any shares of capital stock
      or
      other securities of Parent, or any option, warrant or other right to acquire
      (by
      purchase, conversion or otherwise) any shares of capital stock or other
      securities of Parent, other than the units and warrants set forth on the
      signature page hereof.

     

    5.4 Accuracy
      of Representations.
      The
      representations and warranties contained in this Agreement are accurate in
      all
      respects as of the date of this Agreement, will be accurate in all respects
      at
      all times through the Voting Covenant Expiration Date and will be accurate
      in
      all respects as of the date of the consummation of the Arrangement as if made
      on
      that date.

     

    Section
      6. Additional
      Covenants of Stockholder.
      

     

    6.1 Assistance
      with Arrangement. Subject
      to Section 4.2, until the Voting Covenant Expiration Date, Stockholder agrees
      to
      (i) cooperate with the Company in obtaining all governmental, regulatory and
      other approvals, including the Interim Order and the Final Order (the
“Required
      Approvals”),
      required to permit Parent, Purchaser and the Company to complete the
      transactions provided for therein, (ii) if Parent fails to convene and hold
      a
      meeting of stockholders for the purpose of considering the Arrangement
      Resolution in accordance with Section 2.1(c) of the Arrangement Agreement,
      to
      the extent permissible under applicable law, cause the directors of Parent
      to
      call a meeting of stockholders for the purpose of considering the Arrangement
      Resolution, and (iii) not directly or indirectly: (A) take any actions that
      could have the result of delaying or impeding the ability of Parent, Purchaser
      or the Company to obtain any of the Required Approvals or causing the Court
      to
      amend the Interim Order or the Final Order or the terms and conditions of the
      Arrangement Agreement and/or Plan of Arrangement, other than as requested by
      Parent or Company, (B) take any action or fail to take any action that would
      reasonably be expected to result in the postponement, adjournment or
      cancellation of a shareholder’s meeting convened to consider the Arrangement
      without prior consent of the Company and (C) take any action that would make
      any
      representation or warranty of Stockholder contained in the Agreement untrue
      or
      that would otherwise undermine the effect and the intent of the
      Agreement.

     

    

    
      
        
          
          

        

        
          7

          
            

          

        

        
          
          

        

      

    

    

    6.2 Further
      Assurances.
      From
      time to time and without additional consideration, Stockholder shall (at
      Stockholder’s sole expense) execute and deliver, or cause to be executed and
      delivered, such additional transfers, assignments, endorsements, proxies,
      consents and other instruments, and shall (at Stockholder’s sole expense) take
      such further actions, as the Company may request for the purpose of carrying
      out
      and furthering the intent of this Agreement.

     

    Section
      7. Miscellaneous

     

    7.1 Survival
      of Representations, Warranties and Agreements.
      All
      representations, warranties, covenants and agreements made by Stockholder in
      this Agreement shall survive (i) the consummation of the Arrangement, (ii)
      any
      termination of the Arrangement Agreement and (iii) the Voting Covenant
      Expiration Date.

     

    7.2 Expenses.
      All
      costs and expenses incurred in connection with the transactions contemplated
      by
      this Agreement shall be paid by the party incurring such costs and
      expenses.

     

    7.3 Notices.
      Any
      notice or other communication required or permitted to be delivered to either
      party under this Agreement shall be in writing and shall be deemed properly
      delivered, given and received when delivered (by hand, by registered mail,
      by
      courier or express delivery service or by facsimile) to the address or facsimile
      telephone number set forth beneath the name of such party below (or to such
      other address or facsimile telephone number as such party shall have specified
      in a written notice given to the other party):

     

    if
      to
      Stockholder:

     

    at
      the
      address set forth on the signature page hereof; and

    if
      to the
      Company:

     

    180
      Connect Inc.

    135
      Parkways Cross Drive

    Suite
      400

    Woodbury,
      NY 11797

    Attn:
      Chief Executive Officer

    Fax: (516)
      677-5388

     

    7.4 Severability.
      Any
      term or provision of this Agreement that is invalid or unenforceable in any
      situation in any jurisdiction shall not affect the validity or enforceability
      of
      the remaining terms and provisions hereof or the validity or enforceability
      of
      the offending term or provision in any other situation or in any other
      jurisdiction. If the final judgment of a court of competent jurisdiction
      declares that any term or provision hereof is invalid or unenforceable, the
      parties hereto agree that the court making such determination shall have the
      power to limit the term or provision, to delete specific words or phrases,
      or to
      replace any invalid or unenforceable term or provision with a term or provision
      that is valid and enforceable and that comes closest to expressing the intention
      of the invalid or unenforceable term or provision, and this Agreement shall
      be
      enforceable as so modified. In the event such court does not exercise the power
      granted to it in the prior sentence, the parties hereto agree to replace such
      invalid or unenforceable term or provision with a valid and enforceable term
      or
      provision that will achieve, to the extent possible, the economic, business
      and
      other purposes of such invalid or unenforceable term.

     

    7.5 Entire
      Agreement.
      This
      Agreement, the Proxy and any other documents delivered by the parties in
      connection herewith constitute the entire agreement between the parties with
      respect to the subject matter hereof and thereof and supersede all prior
      agreements and understandings between the parties with respect thereto. No
      addition to or modification of any provision of this Agreement shall be binding
      upon either party unless made in writing and signed by both parties.

     

    

    
      
        
          
          

        

        
          8

          
            

          

        

        
          
          

        

      

    

    

    7.6 Assignment;
      Binding Effect.
      Except
      as provided herein, neither this Agreement nor any of the interests or
      obligations hereunder may be assigned or delegated by Stockholder, and any
      attempted or purported assignment or delegation of any of such interests or
      obligations shall be void. Subject to the preceding sentence, this Agreement
      shall be binding upon Stockholder and his heirs, estate, executors and personal
      representatives and his or its successors and assigns, and shall inure to the
      benefit of the Company and its successors and assigns. Without limiting any
      of
      the restrictions set forth in Section 2 or Section 6 or elsewhere in this
      Agreement, this Agreement shall be binding upon any Person to whom any Subject
      Securities are transferred. Nothing in this Agreement is intended to confer
      on
      any Person (other than the Company and its successors and assigns) any rights
      or
      remedies of any nature.

     

    7.7 Indemnification.
      Stockholder
      shall hold harmless and indemnify the Company and the Company’s affiliates from
      and against, and shall compensate and reimburse the Company and the Company’s
      affiliates for, any loss, damage, claim, liability, fee (including attorneys’
fees), demand, cost or expense (regardless of whether or not such loss, damage,
      claim, liability, fee, demand, cost or expense relates to a third-party claim)
      that is directly or indirectly suffered or incurred by the Company or any of
      the
      Company’s affiliates, or to which the Company or any of the Company’s affiliates
      otherwise becomes subject, and that arises directly or indirectly from, or
      relates directly or indirectly to, (a) any inaccuracy in or breach of any
      representation or warranty contained in this Agreement or (b) any failure on
      the
      part of Stockholder to observe, perform or abide by, or any other breach of,
      any
      restriction, covenant, obligation or other provision contained in this Agreement
      or in the Proxy.

     

    7.8 Specific
      Performance. The
      parties agree that irreparable damage would occur in the event that any of
      the
      provisions of this Agreement or the Proxy were not performed in accordance
      with
      its specific terms or were otherwise breached. Stockholder agrees that, in
      the
      event of any breach or threatened breach by Stockholder of any covenant or
      obligation contained in this Agreement or in the Proxy, the Company shall be
      entitled (in addition to any other remedy that may be available to it, including
      monetary damages) to seek and obtain (a) a decree or order of specific
      performance to enforce the observance and performance of such covenant or
      obligation and (b) an injunction restraining such breach or threatened breach.
      Stockholder further agrees that neither the Company nor any other Person shall
      be required to obtain, furnish or post any bond or similar instrument in
      connection with or as a condition to obtaining any remedy referred to in this
      Section 7.8, and Stockholder irrevocably waives any right he or it may have
      to
      require the obtaining, furnishing or posting of any such bond or similar
      instrument.

     

    7.9 Non-Exclusivity.
      The
      rights and remedies of the Company under this Agreement are not exclusive of
      or
      limited by any other rights or remedies which it may have, whether at law,
      in
      equity, by contract or otherwise, all of which shall be cumulative (and not
      alternative). Without limiting the generality of the foregoing, the rights
      and
      remedies of the Company under this Agreement, and the obligations and
      liabilities of Stockholder under this Agreement, are in addition to their
      respective rights, remedies, obligations and liabilities under common law
      requirements and under all applicable statutes, rules and regulations. Nothing
      in this Agreement shall limit any of Stockholder’s obligations, or the rights or
      remedies of the Company, under this Agreement. 

     

    7.10 Governing
      Law; Venue.

     

    (a) This
      Agreement and the Proxy shall be construed in accordance with, and governed
      in
      all respects by, the laws of the State of New York (without giving effect to
      principles of conflicts of laws).

     

    

    
      
        
          
          

        

        
          9

          
            

          

        

        
          
          

        

      

    

    

    (b) Any
      legal
      action or other legal proceeding relating to this Agreement or the Proxy or
      the
      enforcement of any provision of this Agreement or the Proxy may be brought
      or
      otherwise commenced in any state or federal court located in the State of New
      York. Stockholder agrees that service of any process, summons, notice or
      document by U.S. mail addressed to him or it at the address set forth on the
      signature page hereof shall constitute effective service of such process,
      summons, notice or document for purposes of any such legal
      proceeding.

     

    (c) STOCKHOLDER
      IRREVOCABLY WAIVES THE RIGHT TO A JURY TRIAL IN CONNECTION WITH ANY LEGAL
      PROCEEDING RELATING TO THIS AGREEMENT OR THE PROXY OR THE ENFORCEMENT OF ANY
      PROVISION OF THIS AGREEMENT OR THE PROXY.

     

    7.11 Counterparts.
      This
      Agreement may be executed in separate counterparts, each of which when so
      executed and delivered shall be an original, but all such counterparts shall
      together constitute one and the same instrument. A signed counterpart provided
      by way of facsimile or other electronic transmission shall be as binding upon
      parties as an originally signed counterpart.

     

    7.12 Captions.
      The
      captions contained in this Agreement are for convenience of reference only,
      shall not be deemed to be a part of this Agreement and shall not be referred
      to
      in connection with the construction or interpretation of this
      Agreement.

     

    7.13 Attorneys’
      Fees.
      If any
      legal action or other legal proceeding relating to this Agreement or the
      enforcement of any provision of this Agreement is brought against Stockholder,
      the prevailing party shall be entitled to recover reasonable attorneys’ fees,
      costs and disbursements (in addition to any other relief to which the prevailing
      party may be entitled).

     

    7.14 Waiver.
      No
      failure on the part of the Company to exercise any power, right, privilege
      or
      remedy under this Agreement, and no delay on the part of the Company in
      exercising any power, right, privilege or remedy under this Agreement, shall
      operate as a waiver of such power, right, privilege or remedy; and no single
      or
      partial exercise of any such power, right, privilege or remedy shall preclude
      any other or further exercise thereof or of any other power, right, privilege
      or
      remedy. The Company shall not be deemed to have waived any claim available
      to
      the Company arising out of this Agreement, or any power, right, privilege or
      remedy of the Company under this Agreement, unless the waiver of such claim,
      power, right, privilege or remedy is expressly set forth in a written instrument
      duly executed and delivered on behalf of the Company; and any such waiver shall
      not be applicable or have any effect except in the specific instance in which
      it
      is given.

     

    7.15 Construction.

     

    (a) For
      purposes of this Agreement, whenever the context requires: the singular number
      shall include the plural, and vice versa; the masculine gender shall include
      the
      feminine and neuter genders; the feminine gender shall include the masculine
      and
      neuter genders; and the neuter gender shall include masculine and feminine
      genders.

     

    (b) The
      parties agree that any rule of construction to the effect that ambiguities
      are
      to be resolved against the drafting party shall not be applied in the
      construction or interpretation of this Agreement.

     

    (c) As
      used
      in this Agreement, the words “include” and “including,” and variations thereof,
      shall not be deemed to be terms of limitation, but rather shall be deemed to
      be
      followed by the words “without limitation.”

     

    

    
      
        
          
          

        

        
          10

          
            

          

        

        
          
          

        

      

    

    

    (d) Except
      as
      otherwise indicated, all references in this Agreement to “Sections” and
“Exhibits” are intended to refer to Sections of this Agreement and Exhibits to
      this Agreement.

     

    7.16 Independent
      Legal Advice.
      Each of
      the parties acknowledge that they have been advised to and have obtained
      independent legal advice (or declined doing so, despite having the opportunity
      to do so) with respect to this Agreement prior to their execution hereof and
      that they have read and understand the terms of their rights and obligations
      hereunder.

    

    
      
        
          
          

        

        
          11

          
            

          

        

        
          
          

        

      

    

    

    Target
      and Stockholder have caused this Agreement to be executed as of the date first
      written above.

     

     

    
      	
            	 	 
	 	180
              CONNECT INC.
	 
 	 
 	 
 
	 	By:  	 
	 	
              
Name:
              Peter Giacalone
	 	Title:
              Chief Executive Officer

      
        	 	 	 
	 	 	 
	 	SHAREHOLDER
	 	 
	 	 
	 	
                
Name: 
	 	 
	 	Address: ________________________
	 	            
                ________________________
	 	Facsimile:________________________ 
	 	 
	 	 
	Shares Held of Record Options
                and Other Rights  	Additional Securities
                Beneficially  
	 	
                Owned 

              

      

       

    

    

    
      
        
          
          

          
          

        

        
          12

          
            

          

        

        
          
          

          
            

            

          

        

      

    

    

    Exhibit
      A

     

    FORM
      OF IRREVOCABLE PROXY

     

    The
      undersigned stockholder (the “Stockholder”)
      of
Ad.Venture
      Partners, Inc., a
      Delaware corporation (“Parent”),
      hereby irrevocably (to the fullest extent permitted by law) appoints and
      constitutes Peter
      Giacalone and
      180
      Connect Inc., a
      corporation organized under the laws of Canada (the “Company”),
      and
      each of them, the attorneys and proxies of the Stockholder with full power
      of
      substitution and resubstitution, to the full extent of the Stockholder’s rights
      with respect to (i) the outstanding shares of capital stock of Parent owned
      of
      record by the Stockholder as of March 13, 2007 and (ii) the outstanding shares
      of capital stock of Parent Stockholder acquired after March 13, 2007 through
      the
      date of this proxy and any and all other shares of capital stock of the Company
      which the Stockholder may acquire on or after the date hereof (the “Additional
      Shares”).
      (The
      shares of the capital stock of Parent referred to in clauses “(i)” and “(ii)” of
      the immediately preceding sentence are collectively referred to as the
“Shares.”
Upon
      the execution hereof, all prior proxies given by the Stockholder with respect
      to
      any of the Shares are hereby revoked, and the Stockholder agrees that no
      subsequent proxies will be given with respect to any of the Shares.

     

    This
      proxy is irrevocable, is coupled with an interest and is granted in connection
      with the Voting Agreement, dated as of the date hereof, between the Company
      and
      the Stockholder (the “Voting
      Agreement”),
      and
      is granted in consideration of the Company entering into the Arrangement
      Agreement, dated as of the date hereof, among Parent, 6732097 Canada Inc.,
      a
      corporation organized under the laws of Canada and a wholly-owned subsidiary
      of
      Parent and the Company (the “Arrangement
      Agreement”).
      This
      proxy will terminate on the Voting Covenant Expiration Date (as defined in
      the
      Voting Agreement).

     

    The
      attorneys and proxies named above will be empowered, and may exercise this
      proxy, to vote the Shares at any time until the earlier to occur of the valid
      termination of the Arrangement Agreement or the effective time of the
      transactions contemplated thereby (the “Arrangement”)
      at any
      meeting of the stockholders of Parent, however called:

     

    (a) in
      favor
      of the
      change of the name of Parent to 180 Connect Inc.;

     

    (b) in
      favor
      of an amendment to remove, from and after the Closing, those provisions of
      Article Fifth of Parent’s Amended and Restated Certificate of Incorporation that
      will no longer be applicable following the Arrangement;

     

    (c) in
      favor
      of an increase in the authorized capital stock of Parent; and 

     

    (d) in
      favor
      of the election of (A) M. Brian McCarthy, Peter Giacalone and Howard Balter
      as
      Class C directors of Parent, (B) David Hallmen, Ilan Slasky and such person
      selected by the Company’s Board of Directors who qualifies as an “independent
      director” (as that term is defined in Rule 4200(15) of the NASDAQ Marketplace
      Rules (an “Independent Director”) as Class B directors of Parent and (C) Byron
      Osing, Lawrence J. Askowitz and such person selected by mutual agreement of
      the
      Company and Parent who qualifies as an Independent Director as Class A directors
      of Parent.

     

    In
      addition, the attorneys and proxies named above will be empowered, and may
      exercise this proxy, to vote the Additional Shares at any time until the earlier
      to occur of the valid termination of the Arrangement Agreement or the effective
      time of the Arrangement at any meeting of the stockholders of Parent, however
      called:

     

    

    
      
        
           

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    (a) in
      favor
      of the adoption of the Arrangement Agreement and the Plan of Arrangement (as
      the
      same may be amended in accordance with their terms), the approval of the
      Arrangement, the Share Issuance and any matter that could reasonably be expected
      to facilitate the Arrangement;

     

    (b) against
      any action or agreement that would result in a breach of any representation,
      warranty, covenant or obligation of Parent under the Arrangement Agreement
      or
      the Plan of Arrangement; and

     

    (c) against
      any of the following actions (other than in furtherance of the Arrangement
      and
      the transactions contemplated by the Arrangement Agreement and except as
      otherwise agreed to or directed by the Company in writing): (A) any
      extraordinary corporate transaction or fundamental change, such as a merger,
      consolidation or other arrangement or business combination involving Parent
      or
      any subsidiary of Parent; (B) any sale, lease or transfer of a material amount
      of assets of Parent or any subsidiary of Parent; (C) any reorganization,
      recapitalization, dissolution or liquidation of Parent or any subsidiary of
      Parent; (D) any change in a majority of the board of directors of Parent or
      change in the management of Parent; (E) any change in the authorized capital
      of
      the Company or any amendment to Parent’s articles of incorporation or bylaws;
      (F) any material change in the capitalization of Parent or Parent’s corporate
      structure and (G) any other action which is intended, or could reasonably be
      expected, to impede, interfere with, delay, prevent, postpone, discourage or
      adversely affect the Arrangement or any of the other transactions contemplated
      by the Arrangement Agreement or this Agreement.

     

    The
      Stockholder may vote the Shares on all other matters not referred to in this
      proxy, and the attorneys and proxies named above may not exercise this proxy
      with respect to such other matters.

     

    This
      proxy shall be binding upon the heirs, estate, executors, personal
      representatives, successors and assigns of the Stockholder (including any
      transferee of any of the Shares).

     

    Any
      term
      or provision of this proxy that is invalid or unenforceable in any situation
      in
      any jurisdiction shall not affect the validity or enforceability of the
      remaining terms and provisions hereof or the validity or enforceability of
      the
      offending term or provision in any other situation or in any other jurisdiction.
      If the final judgment of a court of competent jurisdiction declares that any
      term or provision hereof is invalid or unenforceable, the Stockholder agrees
      that the court making such determination shall have the power to limit the
      term
      or provision, to delete specific words or phrases, or to replace any invalid
      or
      unenforceable term or provision with a term or provision that is valid and
      enforceable and that comes closest to expressing the intention of the invalid
      or
      unenforceable term or provision, and this proxy shall be enforceable as so
      modified. In the event such court does not exercise the power granted to it
      in
      the prior sentence, the Stockholder agrees to replace such invalid or
      unenforceable term or provision with a valid and enforceable term or provision
      that will achieve, to the extent possible, the economic, business and other
      purposes of such invalid or unenforceable term.

     

    

    [Signature
      Page Follows]

    

    

    

    
      
        
           

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    

    Dated:
      March __, 2007

    
      	 	 
	 	Name
	 	 
	 	Number of shares of common stock of
              Parent
              owned of record as of the date of this proxy: 
	 	 
	 	 
	 	
              Number
                of shares of common stock of Parent acquired between March __, 2007
                and
                the date of this proxy and owned of record as of the date of this
                proxy:
 

    

    
      
        
           

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    Schedule
      C

     

    SPECIAL
      RESOLUTION OF THE COMPANY SECURITIES HOLDERS

     

    Be
      It Resolved That:

     

    The
      arrangement (the “Arrangement”)
      under
      Section 192 of the Canada Business Corporations Act (the “CBCA”)
      involving 180 Connect Inc. (the “Company”),
      as
      more particularly described and set forth in the Management Information Circular
      (the “Circular”)
      of the
      Company accompanying the notice of this meeting (as the Arrangement may be
      modified or amended), is hereby authorized, approved and adopted.

     

    The
      plan
      of arrangement, as it may be or have been amended, (the “Plan
      of Arrangement”)
      involving the Company, the full text of which is set out in Schedule A to the
      Arrangement Agreement dated as of March 13, 2007, among Parent, Purchaser and
      the Company (the “Arrangement
      Agreement”),
      is
      hereby approved and adopted.

     

    The
      Arrangement Agreement and all transactions contemplated thereby, the actions
      of
      the directors of the Company in approving the Arrangement and the actions of
      the
      officers of the Company in executing and delivering the Arrangement Agreement
      and any amendments thereto are each hereby ratified and approved.

     

    Notwithstanding
      that this resolution has been passed (and the Arrangement adopted) by the
      shareholders of the Company or that the Arrangement has been approved by the
      Court of Queens Bench of Alberta, the directors of the Company are hereby
      authorized and empowered (i) to amend the Arrangement Agreement, or the Plan
      Arrangement to the extent permitted by the Arrangement Agreement, and (ii)
      subject to the terms of the Arrangement Agreement, not to proceed with the
      Arrangement.

     

    Any
      officer or director of the Company is hereby authorized and directed for and
      on
      behalf of the Company to execute and deliver articles of arrangement and such
      other documents as are necessary or desirable to the Director under the CBCA
      in
      accordance with the Arrangement Agreement.

     

    Any
      officer or director of the Company is hereby authorized and directed for and
      on
      behalf of the Company to execute or cause to be executed and to deliver or
      cause
      to be delivered, all such other documents and instruments and to perform or
      cause to be performed all such other acts and things as in such Person’s opinion
      may be necessary or desirable to give full effect to the foregoing resolution
      and the matters authorized thereby, such determination to be conclusively
      evidenced by the execution and delivery of such document, agreement or
      instrument or the doing of any such act or thing.

     

     

    

    
      
        
          
             

          

          
          

        

        
          
          

          
            

          

        

        
          
          

          
            

            

          

        

      

    

    

    Schedule
      D

     

    PLAN
      OF ARRANGEMENT

     

    

     

     

    

    
      
        
          
             

          

          
          

        

        
          
          

          
            

          

        

        
          
          

          
            

            

          

        

      

    

    

    PLAN
      OF ARRANGEMENT

    UNDER
      SECTION 192

    OF
      THE CANADA BUSINESS CORPORATIONS ACT

    INVOLVING
      AND AFFECTING

    180
      CONNECT INC. AND

    ITS
      SECURITYHOLDERS

     

    ARTICLE
      1

     

    INTERPRETATION

     

    1.1  Definitions.
      In
      this
      Plan of Arrangement, unless there is something in the subject matter or context
      inconsistent therewith, the following terms shall have the respective meanings
      set out below (and grammatical variations of such terms shall have corresponding
      meanings):

     

    “Affiliate”
has
      the
      meaning ascribed thereto in the CBCA;

     

    “Ancillary
      Rights”
means
      the interest of a holder of Exchangeable Shares as a beneficiary of the trust
      created under the Voting and Exchange Trust Agreement;

     

    “Arrangement”
means
      the arrangement under Section 192 of the CBCA on the terms and subject to the
      conditions set out in this Plan of Arrangement, subject to any amendments
      thereto made (i) in accordance with Section 8.3 of the Arrangement Agreement;
      (ii) in accordance with Section 6.1 hereof, or (iii) at the direction of
      the Court in the Final Order;

     

    “Arrangement
      Agreement”
means
      the arrangement agreement by and among Parent, the Company and the Purchaser
      dated March 13, 2007, as amended and restated from time to time, providing
      for,
      among other things, this Plan of Arrangement and the Arrangement;

     

    “Arrangement
      Resolution”
means
      the special resolution passed by the Company Shareholders at the Company
      Shareholder Meeting, such resolution to be substantially in the form and content
      of Schedule A to the Arrangement Agreement;

     

    “Articles
      of Arrangement”
means
      the articles of arrangement in respect of the Arrangement required under
      Subsection 192(6) of the CBCA to be sent to the Director after the Final Order
      has been granted;

     

    “Business
      Day”
means
      a
      day of the year in which banks are not required or authorized to be closed
      in
      the City of Calgary, Alberta or the City of New York, New York;

     

    “Canadian
      Tax Act”
means
      the Income
      Tax Act
      (Canada)
      and the regulations thereunder, as now in effect and as they may be amended
      or
      promulgated from time to time prior to the Effective Time;

     

    “Canadian
      Resident”
means
      a
      resident of Canada for purposes of the Canadian Tax Act and includes a
      partnership any member of which is a resident of Canada for purposes of the
      Canadian Tax Act;

     

    “Canco”
means
      1305699 Alberta ULC, an unlimited liability corporation existing under the
      laws
      of Alberta and a direct wholly-owned subsidiary of Parent or any other direct
      or
      indirect wholly-owned subsidiary designated by Parent from time to time in
      replacement thereof;

     

    

    
      
        
          
          

        

        
          1.

          
            

          

        

        
          
          

        

      

    

    

    “CBCA”
means
      the Canada Business Corporations Act, as the same has been and may hereafter
      from time to time be amended;

     

    “Certificate”
means
      the certificate to be issued by the Director pursuant to Subsection 192(7)
      of
      the CBCA giving effect to the Arrangement, after the Articles of Arrangement
      have been filed;

     

    “CRA”
means
      the Canada Revenue Agency;

     

    “Change
      of Law”
means
      any amendment to the Canadian Tax Act and other applicable provincial income
      tax
      laws that permits holders of Exchangeable Shares who are resident in Canada,
      hold the Exchangeable Shares as capital property and deal at arm’s length with
      Parent and Purchaser (all for the purposes of the Canadian Tax Act and other
      applicable provincial income tax laws) to exchange their Exchangeable Shares
      for
      Parent Shares on a basis that will not require such holders to recognize any
      gain or loss or any actual or deemed dividend in respect of such exchange for
      the purposes of the Canadian Tax Act or applicable provincial income tax
      laws;

     

    “Change
      of Law Call Date”
has
      the
      meaning provided in Section 5.3(b);

     

    “Change
      of Law Call Purchase Price”
has
      the
      meaning provided in Section 5.3(a);

     

    “Change
      of Law Call Right”
has
      the
      meaning provided in Section 5.3(a);

     

    “Code”
means
      the United States Internal Revenue Code of 1986, as amended;

     

    “Common
      Shares”
means
      the common shares in the capital of the Company;

     

    “Company”
means
      180 Connect Inc., a corporation incorporated under the laws of
      Canada;

     

    “Company
      Shareholders”
means
      holders of Common Shares from time to time;

     

    “Company
      Shareholder Meeting”
means
      the special meeting of the Company Shareholders to be held to consider this
      Plan
      of Arrangement and any adjournments thereof;

     

    “Court”
means
      the Court of Queen’s Bench of Alberta;

     

    “Depositary”
means
      the duly appointed depositary in respect of the Arrangement at its principal
      transfer offices in Calgary, Alberta and Toronto, Ontario;

     

    “Director”
means
      the Director appointed pursuant to Section 260 of the CBCA;

     

    “Dissent
      Rights”
has
      the
      meaning provided in Section 3.1;

     

    “Effective
      Date”
means
      the effective date of the Arrangement, being the date shown on the
      Certificate;

     

    “Effective
      Time”
means
      12:01 am on the Effective Date or the time specified in writing by the Company
      in a notice delivered to parties to the Arrangement Agreement;

     

    “Election
      Deadline”
means
      2:00 pm (Calgary time) at the place of deposit on the date which is 3 Business
      Days before the Meeting Date;

     

    

    
      
        
          
          

        

        
          2.

          
            

          

        

        
          
          

        

      

    

    

    “Equivalent
      Vote Amount”
means,
      with respect to any matter, proposition or question on which holders of Parent
      Shares are entitled to vote, consent or otherwise act, the number of votes
      to
      which a holder of one Parent Share is entitled with respect to such matter,
      proposition or question;

     

    “Exchange
      Ratio”
means,
      subject to adjustment, if any, as provided in Section 2.4, [•];

     

    “Exchangeable
      Elected Shares”
means
      any Common Shares (other than a Common Share held by Parent or an Affiliate
      thereof) that the holder thereof shall have elected in accordance with
      Section 2.3(a), in a duly completed Letter of Transmittal and Election Form
      deposited with the Depositary no later than the Election Deadline, to transfer
      to Purchaser under the Arrangement for Exchangeable Shares and Ancillary
      Rights;

     

    “Exchangeable
      Share Consideration”
has
      the
      meaning provided in the Exchangeable Share Provisions;

     

    “Exchangeable
      Share Price”
has
      the
      meaning provided in the Exchangeable Share Provisions;

     

    “Exchangeable
      Share Provisions”
means
      the rights, privileges, restrictions and conditions attaching to the
      Exchangeable Shares, as set out in Appendix I hereto;

     

    “Exchangeable
      Shares”
means
      the exchangeable shares in the capital of Purchaser governed by the Exchangeable
      Share Provisions;

     

    “Final
      Order”
means
      the final order of the Court approving the Arrangement under Section 192 of
      the
      CBCA, as such order may be amended or modified by the Court at any time and
      from
      time to time prior to the Effective Time or, if appealed, unless such appeal
      is
      withdrawn, abandoned or denied, as affirmed or amended on appeal;

     

    “Interim
      Order”
means
      the interim order of the Court in relation to the Arrangement and the holding
      of
      the Company Shareholder Meeting, as such order may be amended, modified,
      supplemented or varied by the Court at any time and from time to
      time;

     

    “Letter
      of Transmittal and Election Form”
means
      the letter of transmittal and election form provided for use by holders of
      Common Shares in connection with the Arrangement;

     

    “Liquidation
      Amount”
has
      the
      meaning provided in the Exchangeable Share Provisions;

     

    “Liquidation
      Call Purchase Price”
has
      the
      meaning provided in Section 5.1(a);

     

    “Liquidation
      Call Right”
has
      the
      meaning provided in Section 5.1(a);

     

    “Liquidation
      Date”
has
      the
      meaning provided in the Exchangeable Share Provisions;

     

    “Meeting
      Date”
means
      the date of the Company Shareholder Meeting;

     

    “Parent”
means
      Ad.Venture Partners, Inc., a company formed under the laws of
      Delaware;

     

    “Parent
      Control Transaction”
has
      the
      meaning provided in the Exchangeable Share Provisions;

     

    “Person”
means
      any individual, corporation (including any non-profit corporation), general
      partnership, limited partnership, limited liability partnership, joint venture,
      estate, trust, company (including any limited liability company, unlimited
      liability company or joint stock company), firm, enterprise, association,
      organization or any other entity, including a governmental
      authority;

     

    

    
      
        
          
          

        

        
          3.

          
            

          

        

        
          
          

        

      

    

    

    “Parent
      Shares”
has
      the
      meaning provided in the Exchangeable Share Provisions and any other securities
      into which such shares may be changed, exchanged or converted;

     

    “Parent
      Special Voting Share”
means
      one share of preferred stock of Parent to which that number of voting rights
      attach equal to the number of outstanding Exchangeable Shares held by
      Beneficiaries multiplied by the Equivalent Vote Amount;

     

    “Purchaser”
means
      6732097 Canada Inc., a corporation incorporated under the laws of
      Canada;

     

    “Redemption
      Call Purchase Price”
has
      the
      meaning provided in Section 5.2(a);

     

    “Redemption
      Call Right”
has
      the
      meaning provided in Section 5.2(a);

     

    “Redemption
      Date”
has
      the
      meaning provided in the Exchangeable Share Provisions;

     

    “Redemption
      Price”
has
      the
      meaning provided in the Exchangeable Share Provisions;

     

    “Registered
      or Beneficial Canadian Resident”
means
      a
      holder of Common Shares that is either (i) a Canadian Resident who holds such
      shares on its own behalf, or (ii) a Person who holds such shares on behalf
      of
      one or more Canadian Residents;

     

    “Support
      Agreement”
means
      the agreement so entitled among Parent, Canco and Purchaser dated as of the
      Effective Time;

     

    “Transfer
      Agent”
means
      the duly appointed transfer agent for the time being of the Exchangeable Shares,
      and, if there is more than one such transfer agent, then the principal Canadian
      transfer agent; 

     

    “Trustee”
means
      Valiant Trust Company; and

     

    “Voting
      and Exchange Trust Agreement”
means
      the agreement so entitled among Parent, Purchaser and the Trustee, dated as
      of
      the Effective Time.

     

    1.2  Sections
      and Headings. The
      division of this Plan of Arrangement into sections and the insertion of headings
      are for reference purposes only and shall not affect the interpretation of
      this
      Plan of Arrangement. Unless otherwise indicated, any reference in this Plan
      of
      Arrangement to a Section refers to the specified Section of this Plan of
      Arrangement.

     

    1.3  Number,
      Gender and Persons. In
      this
      Plan of Arrangement, unless the context otherwise requires, words importing
      the
      singular number include the plural and vice versa, words importing any gender
      include all genders and words importing persons include individuals, bodies
      corporate, partnerships, associations, trusts, unincorporated organizations,
      governmental bodies and other legal or business entities of any
      kind.

     

    1.4  Date
      for any Action. In
      the
      event that any date on or by which any action is required or permitted to be
      taken hereunder is not a Business Day, such action shall be required or
      permitted to be taken on or by the next succeeding day which is a Business
      Day.

     

    1.5  Currency.
      Unless
      otherwise expressly stated herein, all references to currency and payments
      in
      cash or money in this Plan of Arrangement are to Canadian dollars.

     

    
      
        
        

      

      
        4.

        
          

        

      

      
        
        

      

    

     

    1.6  Statutory
      References. Any
      reference in this Plan of Arrangement to a statute includes such statute as
      amended, consolidated or re-enacted from time to time, all regulations made
      thereunder, all amendments to such regulations from time to time, and any
      statute or regulation which supersedes such statute or regulations.

     

    ARTICLE
      2

     

    ARRANGEMENT

     

    2.1  Binding
      Effect. This
      Plan
      of Arrangement will become effective at, and be binding at and after, the
      Effective Time on (i) Parent, Purchaser and Canco; (ii) the Company; and (iii)
      all holders and all beneficial owners of Common Shares. 

     

    The
      Articles of Arrangement and Certificate shall be held and issued, respectively,
      with respect to the Arrangement in its entirety. The Certificate shall be
      conclusive evidence that the Arrangement has become effective at the Effective
      Time and that each of the transactions set forth in Section 2.2 has become
      effective in the sequence and at the times set out therein.

     

    2.2  Arrangement.
      At
      the
      Effective Time, the following transactions shall occur and shall be deemed
      to
      occur in the following order (except that the issuance of Exchangeable Shares
      pursuant to Section 2.2(b) and the entering into of the Support Agreement and
      Voting and Exchange Trust Agreement pursuant to Section 2.2(e) shall occur
      and
      be deemed to occur simultaneously at the time of the issuance of Exchangeable
      Shares pursuant to Section 2.2(b)) without any further act or
      formality:

     

    (a)  the
      issued and outstanding Common Shares held by each holder of Common Shares other
      than: 

     

    (i)  the
      Exchangeable Elected Shares;

     

    (ii)  Common
      Shares held by a holder who has exercised its Dissent Rights and is ultimately
      entitled to be paid the fair value of its Common Shares (as determined in
      accordance with Section 3.1); and

     

    (iii)  Common
      Shares held by Parent or any Affiliate thereof, 

     

    shall
      be
      transferred by the holder thereof to Purchaser, without any further act or
      formality on the part of the holder of such Common Shares and free and clear
      of
      all liens, claims and encumbrances, in exchange for a number of fully paid
      and
      non-assessable Parent Shares equal to the product of the total number of Common
      Shares held by that holder multiplied by the Exchange Ratio.

     

    (b)  each
      Exchangeable Elected Share shall be transferred by the holder thereof to
      Purchaser, without any further act or formality on its part and free and clear
      of all liens, claims and encumbrances, in exchange for a number of Exchangeable
      Shares (and certain Ancillary Rights) equal to the product of the total number
      of Common Shares held by that holder multiplied by the Exchange Ratio, as set
      forth in the validly completed and delivered Letter of Transmittal and Election
      Form of the holder of such Exchangeable Elected Share; 

     

    (c)  the
      names
      of the holders of the Common Shares transferred to Purchaser in exchange for
      Parent Shares pursuant to Section 2.2(a) shall be removed from the applicable
      register of holders of Common Shares and added to the applicable register of
      holders of Parent Shares, and Purchaser shall be recorded as the registered
      holder of the Common Shares so exchanged and shall be deemed to be the legal
      and
      beneficial owner thereof;

     

    
      
        
        

      

      
        5.

        
          

        

      

      
        
        

      

    

     

    (d)  the
      names
      of the holders of the Exchangeable Elected Shares transferred to Purchaser
      in
      exchange for Exchangeable Shares pursuant to Section 2.2(b) shall be removed
      from the applicable register of holders of Common Shares and added to the
      applicable register of holders of Exchangeable Shares, and Purchaser shall
      be
      recorded as the registered holder of the Exchangeable Elected Shares so
      exchanged and shall be deemed to be the legal and beneficial owner
      thereof;

     

    (e)  coincident
      with the share exchanges set out in Section 2.2(b), Parent, Purchaser and Canco
      shall execute the Support Agreement and Parent, Purchaser and the Trustee shall
      execute the Voting and Exchange Trust Agreement and Parent shall issue to and
      deposit with the Trustee the Parent Special Voting Share, in consideration
      of
      the payment to Parent of $1.00, to be thereafter held of record by the Trustee
      as trustee for and on behalf of, and for the use and benefit of, the holders
      of
      the Exchangeable Shares in accordance with the Voting and Exchange Trust
      Agreement. All rights of holders of Exchangeable Shares under the Voting and
      Exchange Trust Agreement shall be received by them as part of the property
      receivable by them under Section 2.2(b) in exchange for the Exchangeable Elected
      Shares for which they were exchanged; and

     

    (f)  each
      Common Share in respect of which a duly completed Letter of Transmittal and
      Election Form has not been deposited with the Depositary on or prior to the
      Election Deadline will be transferred to, and acquired by, Purchaser, without
      any further act or formality on the part of the holder of such Common Shares
      and
      free and clear of all liens, claims and encumbrances, in exchange for Parent
      Shares in accordance with Section 2.2(a) and the holder thereof shall be deemed
      not to have elected to receive Exchangeable Shares of Purchaser.

     

    2.3  Elections.

     

    (a)  Each
      holder of Common Shares who, at or prior to the Election Deadline, is a
      Registered or Beneficial Canadian Resident that is not exempt from tax under
      Part I of the Canadian Tax Act will be entitled, with respect to all or a
      portion of such holder’s Common Shares, to make or deliver an election (in the
      form of a duly completed Letter of Transmittal and Election Form delivered
      to
      the Depositary at or prior to the Election Deadline) to receive Exchangeable
      Shares (and certain Ancillary Rights) in exchange for such holder’s Common
      Shares on the basis set forth herein and in the Letter of Transmittal and
      Election Form.

     

    (b)  Holders
      of Common Shares who are Canadian Residents, other than any such holders who
      are
      exempt from tax under Part I of the Canadian Tax Act, and who have elected
      to
      receive Exchangeable Shares (and the Ancillary Rights) shall be entitled to
      make
      an income tax election pursuant to subsection 85(1) of the Canadian Tax Act
      or,
      if the holder is a partnership, subsection 85(2) of the Canadian Tax Act (and
      in
      each case, where applicable, the analogous provisions of provincial income
      tax
      law) with respect to the transfer of their Common Shares to Purchaser by
      providing two signed copies of the necessary prescribed election forms to the
      Depositary within 90 days following the Effective Date, duly completed with
      the
      details of the number of Common Shares transferred and the applicable agreed
      amounts for the purposes of such elections (which cannot be less than the fair
      market value of the Ancillary Rights at the time of the transfer). Thereafter,
      subject to the election forms being correct and complete and complying with
      the
      provisions of the Canadian Tax Act (or any applicable provincial income tax
      law), the forms will be signed by Purchaser and returned to such holders within
      90 days after the receipt thereof by the Depositary for filing with CRA (or
      the
      applicable provincial taxing authority). Purchaser will not be responsible
      for
      the proper or accurate completion of any election form or to check or verify
      the
      content of any election form and, except for Purchaser’s obligation to return
      duly completed election forms which are received by the Depositary within 90
      days following the Effective Date, within 90 days after the receipt thereof
      by
      the Depositary, Purchaser will not be responsible for any taxes, interest,
      penalties or any other costs or damages resulting from the failure by a holder
      of Common Shares to properly or accurately complete or file the election forms
      in the form and manner and within the time prescribed by the Canadian Tax Act
      (or any applicable provincial income tax law). In its sole discretion, Purchaser
      may choose to sign and return an election form received more than 90 days
      following the Effective Date, but Purchaser will have no obligation to do
      so.

     

    
      
        
        

      

      
        6.

        
          

        

      

      
        
        

      

    

    2.4  Adjustments
      To Exchange Ratio. The
      Exchange Ratio shall be proportionately and appropriately adjusted to reflect
      fully the effect of (a) any stock split, reverse split, stock dividend
      (including any dividend or distribution of securities convertible into Parent
      Shares or Common Shares), reorganization, recapitalization or other like change
      with respect to Parent Shares or Common Shares, and (b) any extraordinary
      dividend or distribution with respect to Parent Shares (other than a dividend
      or
      distribution referenced in clause (a)); provided that the foregoing adjustments
      shall only be made if the record date for the stock split, reverse split, stock
      dividend, reorganization, recapitalization or other like change or extraordinary
      dividend or distribution referred to in clauses (a) and (b) above occurs after
      the date of the Arrangement Agreement and prior to the Effective
      Time.

     

    ARTICLE
      3

     

    RIGHTS
      OF DISSENT

     

    3.1  Rights
      of Dissent. Holders
      of Common Shares may exercise rights of dissent with respect to such Common
      Shares, pursuant to and in the manner set forth in Section 190 of the CBCA
      as
      modified by the Interim Order and this Section 3.1 in connection with the
      Arrangement (the “Dissent Rights”); provided that, notwithstanding subsection
      190(5) of the CBCA, the written objection to the Arrangement Resolution referred
      to in subsection 190(5) of the CBCA must be received by the Company not later
      than 2:00 p.m. (Calgary time) on the Business Day preceding the Company
      Shareholder Meeting. Holders of Common Shares who duly exercise such rights
      of
      dissent and who:

     

    (a)  are
      ultimately determined to be entitled to be paid fair value for their Common
      Shares shall be deemed to have transferred such Common Shares as of the
      Effective Time, without any further act or formality and free and clear of
      all
      liens, claims and encumbrances, to the Company, in consideration for a payment
      of cash from the Company equal to such fair value and such Common Shares shall
      be cancelled as of the Effective Time; or 

     

    (b)  are
      ultimately determined not to be entitled, for any reason, to be paid fair value
      for their Common Shares shall be deemed to have participated in the Arrangement,
      as of the Effective Time, on the same basis as a non-dissenting holder of Common
      Shares who did not make a valid election to receive Exchangeable Shares and
      shall receive Parent Shares on the basis determined in accordance with Section
      2.2,

     

    but
      in no
      case shall Parent, the Company, Purchaser, Canco or any other Person be required
      to recognize any holder of Common Shares who exercises rights of dissent as
      a
      holder of Common Shares after the Effective Time and the names of each such
      holder shall be deleted from the register of holders of Common Shares at the
      Effective Time.

     

    
      
        
        

      

      
        7.

        
          

        

      

      
        
        

      

    

    ARTICLE
      4

     

    CERTIFICATES
      AND FRACTIONAL SHARES

     

    4.1  Issuance
      of Certificates Representing Exchangeable Shares. At
      or
      promptly after the Effective Time, Purchaser shall deposit with the Depositary,
      for the benefit of the holders of Exchangeable Elected Shares who will receive
      Exchangeable Shares (and the Ancillary Rights) in connection with the
      Arrangement, certificates representing the number of Exchangeable Shares
      sufficient to satisfy all of the Exchangeable Share payment obligations to
      Company Shareholders in connection with the acquisition of Exchangeable Elected
      Shares pursuant to the Arrangement. Upon surrender to the Depositary for
      transfer to Purchaser of a certificate which immediately prior to or upon the
      Effective Time represented Common Shares in respect of which the holder is
      entitled to receive Exchangeable Shares under the Arrangement, together with
      (i)
      a duly completed Letter of Transmittal and Election Form (ii) such other
      documents and instruments as would have been required to effect the transfer
      of
      the Common Shares formerly represented by such certificate under the CBCA and
      the by-laws of the Company, and (iii) such additional documents and instruments
      as the Depositary may reasonably require, the holder of such surrendered
      certificate shall be entitled to receive in exchange therefor, and after the
      Effective Time the Depositary shall deliver to such holder, a certificate
      representing that number (rounded up or down to the nearest whole number in
      accordance with Section 4.4) of Exchangeable Shares which such holder has the
      right to receive (together with any unpaid dividends or distributions declared
      on the surrendered Common Shares prior to the Effective Time), and any
      certificate so surrendered shall forthwith be transferred to Purchaser. No
      interest shall be paid or accrued on unpaid dividends and distributions, if
      any,
      payable to holders of certificates that formerly represented Common Shares.
      In
      the event of a transfer of ownership of Common Shares that was not registered
      in
      the securities register of the Company, a certificate representing the proper
      number of Exchangeable Shares (together with any unpaid dividends or
      distributions payable pursuant to Section 4.3) may be issued to the
      transferee if the certificate representing such Common Shares is presented
      to
      the Depositary as provided above, accompanied by all documents required to
      evidence and effect such transfer and to evidence that any applicable stock
      transfer taxes have been paid. Until surrendered as contemplated by this Section
      4.1, each certificate which immediately prior to or upon the Effective Time
      represented one or more Common Shares that, under the Arrangement, were
      exchanged or were deemed to be exchanged for Exchangeable Shares pursuant to
      Section 2.2 shall be deemed at all times after the Effective Time, but subject
      to Section 4.3, to represent only the right to receive upon such surrender
      a
      certificate representing that number of Exchangeable Shares (together with
      any
      unpaid dividends or distributions payable pursuant to Section 4.3) which such
      holder has the right to receive.

     

    4.2  Issuance
      of Certificates Representing Parent Shares . At
      or
      promptly after the Effective Time, Purchaser shall deposit with the Depositary,
      for the benefit of the holders of Common Shares who will receive Parent Shares
      in connection with the Arrangement, certificates representing the number of
      Parent Shares sufficient to satisfy all of the Parent Share payment obligations
      to Company Shareholders in connection with the acquisition of Common Shares
      pursuant to the Arrangement. Upon surrender to the Depositary for transfer
      to
      Purchaser of a certificate which immediately prior to or upon the Effective
      Time
      represented Common Shares in respect of which the holder is entitled to receive
      Parent Shares under the Arrangement, together with (i) such other documents
      and
      instruments as would have been required to effect the transfer of the Common
      Shares formerly represented by such certificate under the CBCA and the by-laws
      of the Company, and (ii) such additional documents and instruments as the
      Depositary may reasonably require, the holder of such surrendered certificate
      shall be entitled to receive in exchange therefor, and after the Effective
      Time
      the Depositary shall deliver to such holder, a certificate representing that
      number (rounded up or down to the nearest whole number in accordance with
      Section 4.4) of Parent Shares which such holder has the right to receive
      (together with any unpaid dividends or distributions payable pursuant to Section
      4.3), and any certificate so surrendered shall forthwith be transferred to
      Purchaser. No interest shall be paid or accrued on unpaid dividends and
      distributions, if any, payable to holders of certificates that formerly
      represented Common Shares. In the event of a transfer of ownership of Common
      Shares that was not registered in the securities register of the Company, a
      certificate representing the proper number of Parent Shares (together with
      any
      unpaid dividends or distributions payable pursuant to Section 4.3) may be issued
      to the transferee if the certificate representing such Common Shares is
      presented to the Depositary as provided above, accompanied by all documents
      required to evidence and effect such transfer and to evidence that any
      applicable stock transfer taxes have been paid. Until surrendered as
      contemplated by this Section 4.2, each certificate which immediately prior
      to or
      upon the Effective Time represented one or more Common Shares that, under the
      Arrangement, were exchanged or were deemed to be exchanged for Parent Shares
      pursuant to Section 2.2 shall be deemed at all times after the Effective Time,
      but subject to Section 4.3, to represent only the right to receive upon such
      surrender a certificate representing that number of Parent Shares (together
      with
      any unpaid dividends or distributions payable pursuant to Section 4.3)
      which such holder has the right to receive.

     

    
      
        
        

      

      
        8.

        
          

        

      

      
        
        

      

    

    4.3  Distributions
      With Respect To Unsurrendered Certificates. No
      dividends or other distributions paid, declared or made with respect to
      Exchangeable Shares or Parent Shares, in each case with a record date after
      the
      Effective Time, shall be paid to the holder of any unsurrendered certificate
      which immediately prior to the Effective Time represented outstanding Common
      Shares that were exchanged for Exchangeable Shares or Parent Shares pursuant
      to
      Section 2.2 unless and until the holder of such certificate shall comply with
      the provisions of Sections 4.1 or 4.2. Subject to applicable law, at the time
      such holder shall have complied with the provisions of Section 4.1 or 4.2 (or,
      in the case of clause (ii) below, at the appropriate payment date), there shall
      be paid to the holder of the certificates formerly representing Common Shares,
      without interest, (i) the amount of dividends or other distributions with a
      record date after the Effective Time paid with respect to the Exchangeable
      Shares or Parent Shares, respectively, to which such holder is entitled pursuant
      hereto, and (ii) on the appropriate payment date, the amount of dividends
      or other distributions with a record date after the Effective Time but prior
      to
      the date of compliance by such holder with the provisions of Section 4.1 or
      4.2 and a payment date subsequent to the date of such compliance and payable
      with respect to such Exchangeable Shares or Parent Shares,
      respectively.

     

    4.4  Fractions.
      Notwithstanding
      anything herein contained, Purchaser and Parent shall not be required, upon
      exchange of the Common Shares for Exchangeable Shares or Parent Shares pursuant
      to the Arrangement, to issue fractions of Exchangeable Shares or Parent Shares
      or to distribute certificates which evidence fractional Exchangeable Shares
      or
      Parent Shares or make any cash payment as compensation for such fractions of
      an
      Exchangeable Share or Parent Share. Upon application of the Exchange Ratio,
      all
      fractional Exchangeable Shares or Parent Shares, respectively, that would
      otherwise be issuable and which are less than 0.50 shall be rounded down to
      the
      next whole number of Exchangeable Shares or Parent Shares, respectively, and
      all
      fractional Exchangeable Shares or Parent Shares that would otherwise be issuable
      and which are greater than or equal to 0.50 shall be rounded up to the next
      whole number of Exchangeable Shares or Parent Shares.

     

    4.5  Lost
      Certificates. In
      the
      event any certificate which immediately prior to the Effective Time represented
      one or more outstanding Common Shares that were exchanged pursuant to Section
      2.2 shall have been lost, stolen or destroyed, upon the making of an affidavit
      of that fact by the holder of Common Shares claiming such certificate to be
      lost, stolen or destroyed, the Depositary will issue in exchange for such lost,
      stolen or destroyed certificate, one or more certificates representing one
      or
      more Exchangeable Shares or Parent Shares pursuant to Sections 4.2 or 4.3 (and
      any dividends or distributions with respect thereto) in each case deliverable
      in
      accordance with Section 2.2. When authorizing such payment in exchange for
      any
      lost, stolen or destroyed certificate, the holder to whom certificates
      representing Exchangeable Shares or Parent Shares are to be issued shall, as
      a
      condition precedent to the issuance thereof, give a bond satisfactory to Parent
      or Purchaser, as applicable, and their respective transfer agents in such sum
      as
      they may direct or otherwise indemnify Parent or Purchaser, as applicable,
      in a
      manner satisfactory to the Parent against any claim that may be made against
      Parent or Purchaser, as applicable, with respect to the certificate alleged
      to
      have been lost, stolen or destroyed. If
      any
      provisions of this Section 4.7 are inconsistent with Section 9.3 of the
      Arrangement Agreement, Section 9.3 of the Arrangement Agreement shall
      govern.

     

    
      
        
        

      

      
        9.

        
          

        

      

      
        
        

      

    

    4.6  Extinguishment
      Of Rights. Any
      certificate which immediately prior to the Effective Time represented
      outstanding Common Shares that are not held by a Company Shareholder who has
      exercised its right to dissent in accordance with Article 3 hereof and who
      is
      ultimately entitled to be paid fair value of the Common Shares held by such
      Company Shareholder but was exchanged or was deemed to have been exchanged
      pursuant to Section 2.2, that has not been deposited with all other instruments
      required by Section 4.1 or Section 4.2, on or prior to the sixth anniversary
      of
      the Effective Date shall cease to represent a claim or interest of any kind
      or
      nature as a holder of Exchangeable Shares or Parent Shares. On such date, the
      Exchangeable Shares or Parent Shares (and any dividends or distributions with
      respect thereto) to which the former holder of the certificate referred to
      in
      the preceding sentence was ultimately entitled shall be deemed to have been
      surrendered for no consideration to Purchaser together with all entitlements
      to
      dividends, distributions, cash and interest in respect thereof held for such
      former holder. None of Parent, the Company, Purchaser, Canco or the Depositary
      shall be liable to any Person in respect of the Exchangeable Shares or Parent
      Shares (or dividends or distributions) delivered to a public official pursuant
      to and in compliance with any applicable abandoned property, escheat or similar
      law.

     

    4.7  Withholding
      Rights. Parent,
      Company, Purchaser, Canco and the Depositary shall be entitled to deduct and
      withhold from any dividend, price or consideration otherwise payable to any
      holder of Common Shares, Exchangeable Shares or Parent Shares such amounts
      as
      the Company, Purchaser, Canco, Parent or the Depositary is required to deduct
      and withhold with respect to such payment under the Canadian Tax Act, the Code
      or any provision of federal, provincial, territorial, state, local or foreign
      tax law, in each case, as amended. To the extent that amounts are so withheld,
      such withheld amounts shall be treated for all purposes hereof as having been
      paid to the holder of the shares in respect of which such deduction and
      withholding was made, provided that such withheld amounts are actually remitted
      to the appropriate taxing authority. The Company, Purchaser, Canco, Parent
      and
      the Depositary are hereby authorized to sell or otherwise dispose of such
      portion of the consideration as is necessary to provide sufficient funds to
      the
      Company, Purchaser, Canco, Parent or the Depositary, as the case may be, to
      enable it to comply with such deduction or withholding requirement and the
      Corporation, Purchaser, Canco, Parent or the Depositary shall notify the holder
      thereof and remit any unapplied balance of the net proceeds of such sale. If
      any
      provisions of this Section 4.7 are inconsistent with Section 9.3 of the
      Arrangement Agreement, Section 9.3 of the Arrangement Agreement shall
      govern.
       

    

     

    ARTICLE
      5

     

    CERTAIN
      RIGHTS OF CANCO TO ACQUIRE EXCHANGEABLE SHARES

     

    5.1  Canco
      Liquidation Call Right. Canco
      shall have the overriding right (the “Liquidation Call Right”), in the event of
      and notwithstanding the proposed liquidation, dissolution or winding-up of
      Purchaser or any other distribution of the assets of Purchaser among its
      shareholders for the purpose of winding-up its affairs, pursuant to Article
      5 of
      the Exchangeable Share Provisions, to purchase from all but not less than all
      of
      the holders of Exchangeable Shares (other than any holder of Exchangeable Shares
      which is an Affiliate of Parent) on the Liquidation Date all but not less than
      all of the Exchangeable Shares held by each such holder upon payment by Canco
      to
      each such holder of the Exchangeable Share Price applicable on the last Business
      Day prior to the Liquidation Date (the “Liquidation Call Purchase Price”) in
      accordance with Section 5.1(c). In the event of the exercise of the Liquidation
      Call Right by Canco, each holder shall be obligated to sell all the Exchangeable
      Shares held by such holder to Canco on the Liquidation Date upon payment by
      Canco to such holder of the Liquidation Call Purchase Price for each such
      Exchangeable Share, whereupon Purchaser shall have no obligation to pay any
      Liquidation Amount to the holders of such shares so purchased by
      Canco.

     

    
      
        
        

      

      
        10.

        
          

        

      

      
        
        

      

    

    (a)  To
      exercise the Liquidation Call Right, Canco must notify Purchaser and the
      Transfer Agent of Canco’s intention to exercise such right at least 45 days
      before the Liquidation Date, in the case of a voluntary liquidation, dissolution
      or winding-up of Purchaser or any other voluntary distribution of the assets
      of
      Purchaser among its shareholders for the purpose of winding-up its affairs,
      and
      at least [five]
      Business
      Days before the Liquidation Date, in the case of an involuntary liquidation,
      dissolution or winding-up of Purchaser or any other involuntary distribution
      of
      the assets of Purchaser among its shareholders for the purpose of winding up
      its
      affairs. The Transfer Agent will notify the holders of Exchangeable Shares
      as to
      whether Canco has exercised the Liquidation Call Right forthwith after the
      expiry of the period during which the same may be exercised by Canco. If Canco
      exercises the Liquidation Call Right, then on the Liquidation Date, Canco will
      purchase and the holders of Exchangeable Shares will sell all of the
      Exchangeable Shares then outstanding for a price per share equal to the
      Liquidation Call Purchase Price.

     

    (b)  For
      the
      purposes of completing the purchase of the Exchangeable Shares pursuant to
      the
      Liquidation Call Right, Canco shall deposit or cause to be deposited with the
      Transfer Agent, on or before the Liquidation Date, the Exchangeable Share
      Consideration representing the total Liquidation Call Purchase Price. Provided
      that such Exchangeable Share Consideration has been so deposited with the
      Transfer Agent, on and after the Liquidation Date, the holders of the
      Exchangeable Shares shall cease to be holders of the Exchangeable Shares and
      shall not be entitled to exercise any of the rights of holders in respect
      thereof (including any rights under the Voting and Exchange Trust Agreement),
      other than the right to receive their proportionate part of the total
      Liquidation Call Purchase Price payable by Canco, without interest, upon
      presentation and surrender by the holder of certificates representing the
      Exchangeable Shares held by such holder and the holder shall on and after the
      Liquidation Date be considered and deemed for all purposes to be the holder
      of
      Parent Shares to which such holder is entitled. Upon surrender to the Transfer
      Agent of a certificate or certificates representing Exchangeable Shares,
      together with such other documents and instruments as may be required to effect
      a transfer of Exchangeable Shares under the CBCA and the by-laws of Purchaser
      and such additional documents and instruments as the Transfer Agent may
      reasonably require, the holder of such surrendered certificate or certificates
      shall be entitled to receive in exchange therefor, and the Transfer Agent on
      behalf of Canco shall deliver to such holder, the Exchangeable Share
      Consideration to which such holder is entitled. If Canco does not exercise
      the
      Liquidation Call Right in the manner described above, on the Liquidation Date
      the holders of the Exchangeable Shares will be entitled to receive in exchange
      therefor the Liquidation Amount otherwise payable by Purchaser in connection
      with the liquidation, dissolution or winding-up of Purchaser pursuant to Article
      5 of the Exchangeable Share Provisions.

     

    5.2  Canco
      Redemption Call Right. In
      addition to Canco’s rights contained in the Exchangeable Share Provisions,
      including the Retraction Call Right (as defined in the Exchangeable Share
      Provisions), Canco shall have the following rights in respect of the
      Exchangeable Shares:

     

    (a)  Canco
      shall have the overriding right (the “Redemption Call Right”), in the event of
      and notwithstanding the proposed redemption of the Exchangeable Shares by
      Purchaser pursuant to Article 7 of the Exchangeable Share Provisions, to
      purchase from all but not less than all of the holders of Exchangeable Shares
      (other than any holder of Exchangeable Shares which is an Affiliate of Parent)
      on the Redemption Date all but not less than all of the Exchangeable Shares
      held
      by each such holder upon payment by Canco to each such holder of the
      Exchangeable Share Price applicable on the last Business Day prior to the
      Redemption Date (the “Redemption Call Purchase Price”) in accordance with
      Section 5.2(c). In the event of the exercise of the Redemption Call Right
      by Canco, each holder of Exchangeable Shares shall be obligated to sell all
      the
      Exchangeable Shares held by such holder to Canco on the Redemption Date upon
      payment by Canco to such holder of the Redemption Call Purchase Price for each
      such Exchangeable Share, whereupon Purchaser shall have no obligation to redeem,
      or to pay the Redemption Price in respect of, such shares so purchased by
      Canco.

     

    
      
        
        

      

      
        11.

        
          

        

      

      
        
        

      

    

    (b)  To
      exercise the Redemption Call Right, Canco must notify the Transfer Agent of
      Canco’s intention to exercise such right at least 30 days before the Redemption
      Date, except in the case of a redemption occurring as a result of an Parent
      Control Transaction, a Exchangeable Share Voting Event or an Exempt Exchangeable
      Share Voting Event (each as defined in the Exchangeable Share Provisions),
      in
      which case Canco shall so notify the Transfer Agent and Purchaser on or before
      the Redemption Date. The Transfer Agent will notify the holders of the
      Exchangeable Shares as to whether Canco has exercised the Redemption Call Right
      forthwith after the expiry of the period during which the same may be exercised
      by Canco. If Canco exercises the Redemption Call Right, then, on the Redemption
      Date, Canco will purchase and the holders of Exchangeable Shares will sell
      all
      of the Exchangeable Shares then outstanding for a price per share equal to
      the
      Redemption Call Purchase Price.

     

    (c)  For
      the
      purposes of completing the purchase of the Exchangeable Shares pursuant to
      the
      exercise of the Redemption Call Right, Canco shall deposit or cause to be
      deposited with the Transfer Agent, on or before the Redemption Date, the
      Exchangeable Share Consideration representing the total Redemption Call Purchase
      Price. Provided that such Exchangeable Share Consideration has been so deposited
      with the Transfer Agent, on and after the Redemption Date the holders of the
      Exchangeable Shares shall cease to be holders of the Exchangeable Shares and
      shall not be entitled to exercise any of the rights of holders in respect
      thereof (including any rights under the Voting and Exchange Trust Agreement),
      other than the right to receive their proportionate part of the total Redemption
      Call Purchase Price payable by Canco, without interest, upon presentation and
      surrender by the holder of certificates representing the Exchangeable Shares
      held by such holder and the holder shall on and after the Redemption Date be
      considered and deemed for all purposes to be the holder of Parent Shares to
      which such holder is entitled. Upon surrender to the Transfer Agent of a
      certificate or certificates representing Exchangeable Shares, together with
      such
      other documents and instruments as may be required to effect a transfer of
      Exchangeable Shares under the CBCA and the by-laws of Purchaser and such
      additional documents and instruments as the Transfer Agent may reasonably
      require, the holder of such surrendered certificate or certificates shall be
      entitled to receive in exchange therefor, and the Transfer Agent on behalf
      of
      Canco shall deliver to such holder, the Exchangeable Share Consideration to
      which such holder is entitled. If Canco does not exercise the Redemption Call
      Right in the manner described above, on the Redemption Date the holders of
      the
      Exchangeable Shares will be entitled to receive in exchange therefor the
      Redemption Price otherwise payable by Purchaser in connection with the
      redemption of the Exchangeable Shares pursuant to Article 7 of the Exchangeable
      Share Provisions.

     

    5.3  Change
      of Law Call Right. Parent
      shall have the overriding right (the “Change of Law Call Right”), in the event
      of a Change of Law, to purchase (or to cause Canco to purchase) from all but
      not
      less than all of the holders of Exchangeable Shares (other than any holder
      of
      Exchangeable Shares which is an Affiliate of Parent) all but not less than
      all
      of the Exchangeable Shares held by each such holder upon payment by Parent
      or
      Canco, as the case may be, of an amount per share (the “Change of Law Call
      Purchase Price”) equal to the Exchangeable Share Price applicable on the last
      Business Day prior to the Change of Law Call Date, in accordance with Section
      5.3(c). In the event of the exercise of the Change of Law Call Right by Parent
      or Canco, as the case may be, each holder of Exchangeable Shares shall be
      obligated to sell all the Exchangeable Shares held by such holder to Parent
      or
      Canco, as the case may be, on the Change of Law Call Date upon payment by Parent
      or Canco, as the case may be, to such holder of the Change of Law Call Purchase
      Price for each such Exchangeable Share.

     

    
      
        
        

      

      
        12.

        
          

        

      

      
        
        

      

    

    (a)  To
      exercise the Change of Law Call Right, Parent or Canco must notify the Transfer
      Agent of its intention to exercise such right at least 45 days before the date
      on which Parent or Canco intends to acquire the Exchangeable Shares (the “Change
      of Law Call Date”). If Parent or Canco exercises the Change of Law Call Right,
      then, on the Change of Law Call Date, Parent or Canco, as the case may be,
      will
      purchase and the holders of Exchangeable Shares will sell all of the
      Exchangeable Shares then outstanding for a price per share equal to the Change
      of Law Call Purchase Price.

     

    (b)  For
      the
      purposes of completing the purchase of the Exchangeable Shares pursuant to
      the
      exercise of the Change of Law Call Right, Parent or Canco, as the case may
      be,
      shall deposit or cause to be deposited with the Transfer Agent, on or before
      the
      Change of Law Call Date, the Exchangeable Share Consideration representing
      the
      Change of Law Call Purchase Price. Provided that such Exchangeable Share
      Consideration has been so deposited with the Transfer Agent, on and after the
      Change of Law Call Date the holders of the Exchangeable Shares shall cease
      to be
      holders of the Exchangeable Shares and shall not be entitled to exercise any
      of
      the rights of holders in respect thereof (including any rights under the Voting
      and Exchange Trust Agreement), other than the right to receive their
      proportionate part of the total Change of Law Purchase Price payable by Parent
      or Canco, as the case may be, without interest, upon presentation and surrender
      by the holder of certificates representing the Exchangeable Shares held by
      such
      holder and the holder shall on and after the Change of Law Call Date be
      considered and deemed for all purposes to be the holder of Parent Shares to
      which such holder is entitled. Upon surrender to the Transfer Agent of a
      certificate or certificates representing Exchangeable Shares, together with
      such
      other documents and instruments as may be required to effect a transfer of
      Exchangeable Shares under the CBCA and the by-laws of Purchaser and such
      additional documents and instruments as the Transfer Agent may reasonably
      require, the holder of such surrendered certificate or certificates shall be
      entitled to receive in exchange therefor, and the Transfer Agent on behalf
      of
      Parent or Canco, as the case may be, shall deliver to such holder, the
      Exchangeable Share Consideration to which such holder is entitled.

     

    ARTICLE
      6  

     

    

     

    AMENDMENT

     

    6.1  Plan
      of Arrangement Amendment. The
      Company and Parent reserve the right to amend, modify and/or supplement this
      Plan of Arrangement from time to time at any time prior to the Effective Time
      provided that any such amendment, modification or supplement must be contained
      in a written document that is (a) agreed to by Parent, (b) filed with the Court
      and, if made following the Company Shareholder Meeting, approved by the Court,
      and (c) communicated to Company Shareholders in the manner required by the
      Court
      (if so required).

     

    Any
      amendment, modification or supplement to this Plan of Arrangement may be
      proposed by the Company at any time prior to or at the Company Shareholder
      Meeting (provided that Parent shall have consented thereto) with or without
      any
      other prior notice or communication, and if so proposed and accepted by the
      Persons voting at the Company Shareholder Meeting (other than as may be required
      under the Interim Order), shall become part of this Plan of Arrangement for
      all
      purposes.

     

    Any
      amendment, modification or supplement to this Plan of Arrangement which is
      approved or directed by the Court following the Company Shareholder Meeting
      shall be effective only if it is consented to by each of the Company and Parent,
      and if required by the Court or applicable law, it is consented to by the
      Company Shareholders voting in the manner directed by the Court.

     

    Subject
      to applicable law, any amendment, modification or supplement to this Plan of
      Arrangement may be made following the Effective Time unilaterally by Parent;
      provided that it concerns a matter which, in the reasonable opinion of Parent,
      is of an administrative nature required to better give effect to the
      implementation of this Plan of Arrangement and is not adverse to the financial
      or economic interests of any Company Shareholders.

     

    
      
        
        

      

      
        13.

        
          

        

      

      
        
        

      

    

    ARTICLE
      7

     

    FURTHER
      ASSURANCES

     

    Notwithstanding
      that the transactions and events set out herein will occur and be deemed to
      occur at the times and in the order set out in this Plan of Arrangement, within
      the meaning of Section 192 of the CBCA and, in particular, that the share
      exchanges, within the meaning of Subsection 192(1)(f) of the CBCA, will become
      effective in accordance with Section 192(8) of the CBCA, without any further
      act
      or formality, each of the parties to the Arrangement Agreement will make, do
      and
      execute, or cause to be made, done and executed, all such further acts, deeds,
      agreements, transfers, assurances, instruments or documents as may reasonably
      be
      required by any of them in order further to document or evidence any of the
      transactions or events set out herein.

     

     

    
      
        
        

      

      
        14.

        
          

        

      

      
        
        

      

    

     

    

      
         

        APPENDIX
          I

        6732097
          CANADA INC.

         

        (hereinafter
          referred to as the "Purchaser")

         

        PROVISIONS
          ATTACHING TO

        THE
          EXCHANGEABLE SHARES

         

        The
          Exchangeable Shares in the capital of the Purchaser shall have the following
          rights, privileges, restrictions and conditions:

         

        ARTICLE 1

        INTERPRETATION

         

        
          	
                  1.1

                	
                  For
                    the purposes of these share
                    provisions:

                

        

         

        "Affiliate"
          has the
          meaning ascribed thereto in the Securities Act, unless otherwise expressly
          stated herein;

         

        "Arrangement
          Agreement"
          means
          the Arrangement Agreement by and between Parent, 180 Connect, Inc. and
          the
          Purchaser dated as of March 13, 2007, as amended and restated from time
          to time,
          providing for, among other things, the Arrangement resulting in the first
          issuance of Exchangeable Shares;

         

        "Board
          of Directors"
          means
          the board of directors of the Purchaser;

         

        "Business
          Day"
          means a
          day of the year in which banks are not required or authorized to be closed
          in
          the City of Calgary, Alberta, or the City of New York, New York;

         

        "Canadian
          Tax Act"
          means
          the Income
          Tax Act
          (Canada)
          and the regulations thereunder, as amended from time to time;

         

        "Canco"
          means
          1305699 Alberta ULC, an unlimited liability corporation existing under
          the laws
          of Alberta and direct wholly-owned subsidiary of Parent or any other direct
          or
          indirect wholly-owned subsidiary designated by Parent from time to time
          in
          replacement thereof;

         

        "Canco
          Call Notice"
          has the
          meaning ascribed thereto in Section 6.3
          of these
          share provisions;

         

        "Canadian
          Dollar Equivalent"
          means
          in respect of an amount expressed in a currency other than Canadian dollars
          (the
          "Foreign Currency Amount") at any date the product obtained by
          multiplying:

         

        
          	 	
                  (a)

                	
                  the
                    Foreign Currency Amount, by

                

        

         

        
          
            
            

          

          
            
            

            
              

            

          

          
            
            

          

        

        
          	 	
                  (b)

                	
                  the
                    noon spot exchange rate on such date for such foreign currency
                    expressed
                    in Canadian dollars as reported by the Bank of Canada or, in
                    the event
                    such spot exchange rate is not available, such spot exchange
                    rate on such
                    date for such foreign currency expressed in Canadian dollars
                    as may be
                    deemed by the Board of Directors to be appropriate for such
                    purpose;

                

        

         

        "CBCA"
          means
          the Canada
          Business Corporations Act,
          as
          amended from time to time prior to the Effective Time;

         

        "Change
          of Law"
          means
          any amendment to the Canadian Tax Act and other applicable provincial income tax
          laws that permits holders of Exchangeable Shares who are resident in Canada,
          hold the Exchangeable Shares as capital property and deal at arm's length
          with
          Parent and the Purchaser (all for the purposes of the Canadian Tax Act
          and other
          applicable provincial income tax laws) to exchange their Exchangeable Shares
          for
          Parent Shares on a basis that will not require such holders to recognize
          any
          gain or loss or any actual or deemed dividend in respect of such exchange
          for
          the purposes of the Canadian Tax Act or applicable provincial income tax
          laws;

         

        "Change
          of Law Call Date"
          has the
          meaning provided in Section 10.2 of these share provisions;

         

        "Change
          of Law Call Purchase Price"
          has
          the meaning provided in Section 10.1 of these share provisions;

         

        "Change
          of Law Call Right"
          has the
          meaning provided in Section 10.1 of these share provisions;

         

        "Common
          Shares"
          means
          the common shares in the capital of the Purchaser;

         

        "Current
          Market Price"
          means,
          in respect of a Parent Share on any date, the Canadian Dollar Equivalent
          of the
          average of the closing bid and asked prices of Parent Shares during a period
          of
          20 consecutive trading days ending not more than three trading days before
          such date on the NASDAQ, or, if the Parent Shares are not then listed on
          the
          NASDAQ, on such other stock exchange or automated quotation system on which
          the
          Parent Shares are listed or quoted, as the case may be, as may be selected
          by
          the Board of Directors for such purpose; provided, however, that if in
          the
          opinion of the Board of Directors the public distribution or trading activity
          of
          Parent Shares during such period does not create a market which reflects
          the
          fair market value of a Parent Share, then the Current Market Price of a
          Parent
          Share shall be determined by the Board of Directors, in good faith and
          in its
          sole discretion, and provided further that any such selection, opinion
          or
          determination by the Board of Directors shall be conclusive and
          binding;

         

        "Effective
          Time"
          has the
          meaning given to that term in the Plan of Arrangement;

         

        
          
            
            

          

          
            -2-

            
              

            

          

          
            
            

          

        

        "Exchangeable
          Shares"
          mean
          the non-voting exchangeable shares in the capital of the Purchaser, having
          the
          rights, privileges, restrictions and conditions set forth herein;

         

        "Exchangeable
          Share Consideration"
          means,
          with respect to each Exchangeable Share, for any acquisition of, redemption
          of
          or distribution of assets of the Purchaser in respect of, or purchase pursuant
          to, these share provisions, the Exchangeable Share Support Agreement, the
          Voting
          and Exchange Trust Agreement or the Plan of Arrangement:

         

        
          	 	
                  (a)

                	
                  the
                    Current Market Price of one Parent Share deliverable in connection
                    with
                    such action; plus 

                

        

         

        
          	 	
                  (b)

                	
                  a
                    cheque or cheques payable at par at any branch of the bankers
                    of the payor
                    in the amount of all declared, payable and unpaid, and all undeclared
                    but
                    payable, cash dividends deliverable in connection with such action;
                    plus
                    

                

        

         

        
          	 	
                  (c)

                	
                  such
                    stock or other property constituting any declared and unpaid
                    non-cash
                    dividends deliverable in connection with such
                    action,

                

        

         

        provided
          that (i) the part of the consideration which represents (a) above
          shall be fully paid and satisfied by the delivery of one Parent Share,
          such
          share to be duly issued, fully paid and non-assessable, (ii) the part of
          the consideration which represents (c) above shall be fully paid and
          satisfied by delivery of such non-cash items, (iii) any such consideration
          shall be delivered free and clear of any lien, claim, encumbrance, security
          interest or adverse claim or interest and (iv) any such consideration shall
          be paid less any tax required to be deducted and withheld therefrom and
          without
          interest;

         

        "Exchangeable
          Share Price"
          means,
          for each Exchangeable Share, an amount equal to the aggregate of:

         

        
          	 	
                  (a)

                	
                  the
                    Current Market Price of one Parent Share;
                    plus

                

        

         

        
          	 	
                  (b)

                	
                  an
                    additional amount equal to the full amount of all cash dividends
                    declared,
                    payable and unpaid, on such Exchangeable Share; plus
                    

                

        

         

        
          	 	
                  (c)

                	
                  an
                    additional amount representing the full amount of all non-cash
                    dividends
                    declared, payable and unpaid, on such Exchangeable Share;
                    plus

                

        

         

        
          	 	
                  (d)

                	
                  an
                    additional amount equal to the full amount of all dividends declared
                    and
                    payable or paid on Parent Shares which have not been declared
                    or paid on
                    Exchangeable Shares in accordance
                    herewith;

                

        

         

        "Exchangeable
          Share Support Agreement"
          means
          the agreement made between Parent, Canco and the Purchaser substantially
          in the
          form and content of Schedule K
          annexed
          to the Arrangement Agreement, with such changes thereto as the parties
          to the
          Arrangement Agreement, acting reasonably, may agree;

         

        
          
            
            

          

          
            -3-

            
              

            

          

          
            
            

          

        

        "Exchangeable
          Share Voting Event"
          means
          any matter in respect of which holders of Exchangeable Shares are entitled
          to
          vote as shareholders of the Purchaser in order to approve or disapprove,
          as
          applicable, any change to, or in the rights of the holders of, the Exchangeable
          Shares, where the approval or disapproval, as applicable, of such change
          would
          be required to maintain the equivalence of the Exchangeable Shares and
          the
          Parent Shares;

         

        "Governmental
          Authority"
          means
          any (a) multinational, federal, provincial, territorial, state, regional,
          municipal, local or other government, governmental or public department,
          central
          bank, court, tribunal, arbitral body, commission, board, bureau or agency,
          domestic or foreign, (b) subdivision, agent, including any tribunal,
          commission, regulatory agency or self regulatory organization or authority
          of
          any of the foregoing, or (c) quasi-governmental or private body exercising
          any regulatory, expropriation or taxing authority under or for the account
          of
          any of the foregoing;

         

        "Holder"
          means,
          when used with reference to the Exchangeable Shares, the holders of Exchangeable
          Shares shown from time to time in the register maintained by or on behalf
          of the
          Purchaser in respect of the Exchangeable Shares;

         

        "Liquidation
          Amount"
          has the
          meaning ascribed thereto in Section 5.1 of these share
          provisions;

         

        "Liquidation
          Call Right"
          has the
          meaning ascribed thereto in Section 8.1 of these share provisions;

         

        "Liquidation
          Date"
          has the
          meaning ascribed thereto in Section 5.1 of these share
          provisions;

         

        "Parent"
          means
          Ad.Venture Partners, Inc., a corporation incorporated under the laws of
          Delaware;

         

        "Parent
          Control Transaction"
          means
          any merger, amalgamation, tender offer, material sale of shares or rights
          or
          interests therein or thereto or similar transactions involving Parent,
          or any
          proposal to carry out the same;

         

        "Parent
          Dividend Declaration Date"
          means
          the date on which the board of directors of Parent declares any dividend
          on the
          Parent Shares;

         

        "Parent
          Shares"
          means
          the shares in the common stock of Parent and any other securities into
          which
          such shares may be changed, exchanged or converted;

         

        "Person"
          includes any individual, corporation (including any non-profit corporation),
          general partnership, limited partnership, firm, joint venture, estate,
          trust
          company (including any limited liability company, unlimited liability company,
          joint stock company, firm, enterprise, association) or organization or
          other
          entity including a Governmental Authority, syndicate or other entity, whether
          or
          not having legal status;

         

        
          
            
            

          

          
            -4-

            
              

            

          

          
            
            

          

        

        "Plan
          of Arrangement"
          means
          the Arrangement contemplated by the Arrangement Agreement;

         

        "Purchase
          Price"
          has the
          meaning ascribed thereto in Section 6.3
          of these
          share provisions;

         

        "Purchaser"
          means
          6732097Canada Inc., a corporation existing under the CBCA;

         

        "Redemption
          Call Purchase Price"
          has the
          meaning ascribed thereto in Section 9.1(a) of these share
          provisions;

         

        "Redemption
          Call Right"
          has the
          meaning ascribed thereto in Section 9.1(a) of these share
          provisions;

         

        "Redemption
          Date"
          means
          the second anniversary of the Effective Time, or, in the event that any
          of the
          circumstances in items (a), (b) or (c) arise, such earlier date established
          by
          the Board of Directors for the redemption by the Purchaser of all but not
          less
          than all of the outstanding Exchangeable Shares pursuant to Article 7
          of these
          share provisions:

         

        
          	 	
                  (a)

                	
                  the
                    number of Exchangeable Shares outstanding (other than Exchangeable
                    Shares
                    held by Parent and its Affiliates) is less than twenty percent
                    of the
                    number Exchangeable Shares outstanding as of the Effective
                    Time;

                

        

         

        
          	 	
                  (b)

                	
                  a
                    Parent Control Transaction occurs, in which case, provided that
                    the Board
                    of Directors determines, in good faith and in its sole discretion,
                    that it
                    is not reasonably practicable to enable Holders to participate
                    in such
                    transaction to the same extent as, and on a basis that is equivalent
                    (economically and otherwise) to the basis on which, the holders
                    of Parent
                    Shares participate, without discrimination, then the Board of
                    Directors
                    shall accelerate such redemption date to such date prior to the
                    second
                    anniversary of the Effective Time as it may determine, upon such
                    number of
                    days' prior written notice to the registered holders of the Exchangeable
                    Shares and the Trustee as the Board of Directors may determine
                    to be
                    reasonably practicable in such circumstances to enable Holders
                    to
                    participate in the Parent Control Transaction as holders of Parent
                    Shares;
                    or

                

        

         

        
          	 	
                  (c)

                	
                  an
                    Exchangeable Share Voting Event is proposed and the holders of
                    the
                    Exchangeable Shares fail to take the necessary action at a meeting
                    or
                    other vote of holders of Exchangeable Shares, to approve or disapprove,
                    as
                    applicable, the Exchangeable Share Voting Event, in which case
                    the
                    redemption date shall be the Business Day following the day on
                    which the
                    holders of the Exchangeable Shares failed to take such action,
                    

                

        

         

        provided,
          however, that the accidental failure or omission to give any notice of
          redemption under clauses (a) or (b) above to any of such holders of Exchangeable
          Shares shall not affect the validity of any such redemption;

         

        
          
            
            

          

          
            -5-

            
              

            

          

          
            
            

          

        

        "Redemption
          Price"
          has the
          meaning ascribed thereto in Section 7.1
          of these
          share provisions;

         

        "Retracted
          Shares"
          has the
          meaning ascribed thereto in Section 6.1(a)
          of these
          share provisions;

         

        "Retraction
          Call Right"
          has the
          meaning ascribed thereto in Section 6.1(c)
          of these
          share provisions;

         

        "Retraction
          Date"
          has the
          meaning ascribed thereto in Section 6.1(b)
          of these
          share provisions;

         

        "Retraction
          Price"
          has the
          meaning ascribed thereto in Section 6.1
          of these
          share provisions;

         

        "Retraction
          Request"
          has the
          meaning ascribed thereto in Section 6.1
          of these
          share provisions;

         

        "Securities
          Act"
          means
          the Securities
          Act
          (Alberta) and the rules, regulations and policies made thereunder, as now
          in
          effect and as they may be amended from time to time prior to the Effective
          Time;

         

        "Transfer
          Agent"
          means
          Valiant Trust Company or such other Person as may from time to time be
          appointed
          by the Purchaser as the registrar and transfer agent for the Exchangeable
          Shares;

         

        "Trustee"
          means
          Valiant Trust Company or
          such
          other trustee as is chosen by Parent and the Purchaser, acting reasonably,
          to
          act as trustee under the Voting and Exchange Trust Agreement, being a
          corporation organized and existing under the laws of Alberta, and any successor
          trustee appointed under the Voting and Exchange Trust Agreement;
          and

         

        "Voting
          and Exchange Trust Agreement"
          means
          the agreement made among Parent, the Purchaser and the Trustee substantially
          in
          the form and content of Schedule L annexed to the Arrangement Agreement
          with such changes thereto as the parties to the Arrangement Agreement,
          acting
          reasonably, may agree.

         

        ARTICLE 2

        RANKING
          OF EXCHANGEABLE SHARES

         

        
          	
                  2.1

                	
                  The
                    Exchangeable Shares shall be entitled to a preference over the
                    Common
                    Shares and any other shares ranking junior to the Exchangeable
                    Shares with
                    respect to the payment of dividends and the distribution of assets
                    in the
                    event of the liquidation, dissolution or winding-up of the Purchaser,
                    whether voluntary or involuntary, or any other distribution of
                    the assets
                    of the Purchaser, among its shareholders for the purpose of winding-up
                    its
                    affairs.

                

        

         

        
          
            
            

          

          
            -6-

            
              

            

          

          
            
            

          

        

        ARTICLE 3

        DIVIDENDS

         

        
          	
                  3.1

                	
                  A
                    holder of an Exchangeable Share shall be entitled to receive
                    and the Board
                    of Directors shall, subject to applicable law, on each Parent
                    Dividend
                    Declaration Date, declare a dividend on each Exchangeable
                    Share:

                

        

         

        
          	 	
                  (a)

                	
                  in
                    the case of a cash dividend declared on the Parent Shares, in
                    an amount in
                    cash for each Exchangeable Share in U.S. dollars on the Parent
                    Dividend
                    Declaration Date, in each case, corresponding to the cash dividend
                    declared on each Parent Share;

                

        

         

        
          	 	
                  (b)

                	
                  in
                    the case of a stock dividend declared on the Parent Shares, to
                    be paid in
                    Parent Shares, by the issue or transfer by the Purchaser of such
                    number of
                    Exchangeable Shares for each Exchangeable Share as is equal to
                    the number
                    of Parent Shares to be paid on each Parent Share; and
                    

                

        

         

        
          	 	
                  (c)

                	
                  in
                    the case of a dividend declared on the Parent Shares in property
                    other
                    than cash or Parent Shares, in such type and amount of property
                    for each
                    Exchangeable Share as is the same as or economically equivalent
                    to (to be
                    determined by the Board of Directors as contemplated by Section 3.5)
                    the type and amount of property declared as a dividend on each
                    Parent
                    Share.

                

        

         

        Such
          dividends shall be paid out of money, assets or property of the Purchaser
          properly applicable to the payment of dividends, or out of authorized but
          unissued shares of the Purchaser, as applicable.

         

        
          	
                  3.2

                	
                  Cheques
                    of the Purchaser payable at par at any branch of the bankers
                    of the
                    Purchaser shall be issued in respect of any cash dividends contemplated
                    by
                    Section 3.1(a)
                    and the sending of such a cheque to each holder of an Exchangeable
                    Share
                    shall satisfy the cash dividend represented thereby unless the
                    cheque is
                    not paid on presentation. Subject to applicable law, certificates
                    registered in the name of the registered holder of Exchangeable
                    Shares
                    shall be issued or transferred in respect of any stock dividends
                    contemplated by Section 3.1(b)
                    and the sending of such a certificate to each holder of an Exchangeable
                    Share shall satisfy the stock dividend represented thereby. Such
                    other
                    type and amount of property in respect of any dividends contemplated
                    by
                    Section 3.1(c)
                    shall be issued, distributed or transferred by the Purchaser
                    in such
                    manner as it shall determine and the issuance, distribution or
                    transfer
                    thereof by the Purchaser to each holder of an Exchangeable Share
                    shall
                    satisfy the dividend represented thereby. No holder of an Exchangeable
                    Share shall be entitled to recover by action or other legal process
                    against the Purchaser any dividend that is represented by a cheque
                    that
                    has not been duly presented to the Purchaser's bankers for payment
                    or that
                    otherwise remains unclaimed for a period of six years from the
                    date on
                    which such dividend was first
                    payable.

                

        

         

        
          	
                  3.3

                	
                  The
                    record date for the determination of the holders of Exchangeable
                    Shares
                    entitled to receive payment of, and the payment date for, any
                    dividend
                    declared on the Exchangeable Shares under Section 3.1
                    shall be the same dates as the record date and payment date,
                    respectively,
                    for the corresponding dividend declared on the Parent
                    Shares.

                

        

         

        
          
            
            

          

          
            -7-

            
              

            

          

          
            
            

          

        

        
          	
                  3.4

                	
                  If
                    on any payment date for any dividends declared on the Exchangeable
                    Shares
                    under Section 3.1
                    the dividends are not paid in full on all of the Exchangeable
                    Shares then
                    outstanding, any such dividends that remain unpaid shall be paid
                    on the
                    earliest subsequent date or dates determined by the Board of
                    Directors on
                    which the Purchaser shall have sufficient moneys, assets or property
                    properly applicable to the payment of such
                    dividends.

                

        

         

        
          	
                  3.5

                	
                  The
                    Board of Directors shall determine, in good faith and in its
                    sole
                    discretion, economic equivalence for the purposes of
                    Section 3.1
                    and Article 14, and each such determination shall be conclusive
                    and
                    binding on the Purchaser and its shareholders. In making each
                    such
                    determination, the following factors shall, without excluding
                    other
                    factors determined by the Board of Directors to be relevant,
                    be considered
                    by the Board of Directors:

                

        

         

        
          	 	
                  (a)

                	
                  in
                    the case of any stock dividend or other distribution payable
                    in Parent
                    Shares, the number of such shares issued in proportion to the
                    number of
                    Parent Shares previously outstanding;

                

        

         

        
          	 	
                  (b)

                	
                  in
                    the case of the issuance or distribution of any rights, options
                    or
                    warrants to subscribe for or purchase Parent Shares (or securities
                    exchangeable for or convertible into or carrying rights to acquire
                    Parent
                    Shares), the relationship between the exercise price of each
                    such right,
                    option or warrant and the Current Market Price, the volatility
                    of the
                    Parent Shares and the term of any such
                    instrument;

                

        

         

        
          	 	
                  (c)

                	
                  in
                    the case of the issuance or distribution of any other form of
                    property
                    (including any shares or securities of Parent of any class other
                    than
                    Parent Shares, any rights, options or warrants other than those
                    referred
                    to in Section 3.5(b)
                    above, any evidences of indebtedness of Parent or any assets
                    of Parent)
                    the relationship between the fair market value (as determined
                    by the Board
                    of Directors in the manner above contemplated) of such property
                    to be
                    issued or distributed with respect to each outstanding Parent
                    Share and
                    the Current Market Price; and 

                

        

         

        
          	 	
                  (d)

                	
                  in
                    all such cases, the general taxation consequences of the relevant
                    event to
                    holders of Exchangeable Shares to the extent that such consequences
                    may
                    differ from the taxation consequences to holders of Parent Shares
                    as a
                    result of differences between taxation laws of Canada and the
                    United
                    States (except for any differing consequences arising as a result
                    of
                    differing withholding taxes and marginal taxation rates and without
                    regard
                    to the individual circumstances of holders of Exchangeable
                    Shares).

                

        

         

        
          
            
            

          

          
            -8-

            
              

            

          

          
            
            

          

        

        
          	
                  3.6

                	
                  Except
                    as provided in this Article 3,
                    the holders of Exchangeable Shares shall not be entitled to receive
                    dividends in respect thereof.

                

        

         

        ARTICLE 4

        CERTAIN
          RESTRICTIONS

         

        
          	
                  4.1

                	
                  So
                    long as any of the Exchangeable Shares are outstanding, the Purchaser
                    shall not at any time without, but may at any time with, the
                    approval of
                    the holders of the Exchangeable Shares given as specified in
                    Section 13.2 of these share
                    provisions:

                

        

         

        
          	 	
                  (a)

                	
                  pay
                    any dividends on the Common Shares or any other shares ranking
                    junior to
                    the Exchangeable Shares with respect to the payment of dividends,
                    other
                    than stock dividends payable in Common Shares or any such other
                    shares
                    ranking junior to the Exchangeable Shares, as the case may
                    be;

                

        

         

        
          	 	
                  (b)

                	
                  redeem
                    or purchase or make any capital distribution in respect of Common
                    Shares
                    or any other shares ranking junior to the Exchangeable Shares
                    with respect
                    to the payment of dividends or on any liquidation, dissolution
                    or
                    winding-up of the Purchaser or any other distribution of the
                    assets of the
                    Purchaser;

                

        

         

        
          	 	
                  (c)

                	
                  redeem
                    or purchase or make any capital distribution in respect of any
                    other
                    shares of the Purchaser ranking equally with the Exchangeable
                    Shares with
                    respect to the payment of dividends or on any liquidation, dissolution
                    or
                    winding-up of the Purchaser or any other distribution of the
                    assets of the
                    Purchaser; or

                

        

         

        
          	 	
                  (d)

                	
                  issue
                    any Exchangeable Shares or any other shares of the Purchaser
                    ranking
                    equally with, or superior to, the Exchangeable Shares other than
                    by way of
                    stock dividends to the holders of such Exchangeable
                    Shares;

                

        

         

        provided
          that the restrictions in Sections 4.1(a),
          (b),
          (c)
          and (d)
          shall
          not apply if all dividends on the outstanding Exchangeable Shares corresponding
          to dividends declared and paid to date on the Parent Shares shall have
          been
          declared and paid on the Exchangeable Shares.

         

        ARTICLE 5

        DISTRIBUTION
          ON LIQUIDATION

         

        
          	
                  5.1

                	
                  In
                    the event of the liquidation, dissolution or winding-up of the
                    Purchaser
                    or any other distribution of the assets of the Purchaser among
                    its
                    shareholders for the purpose of winding up its affairs, a holder
                    of
                    Exchangeable Shares shall be entitled, subject to applicable
                    law and to
                    the exercise by Canco of the Liquidation Call Right, to receive
                    from the
                    assets of the Purchaser in respect of each Exchangeable Share
                    held by such
                    holder on the effective date (the "Liquidation Date") of such
                    liquidation,
                    dissolution, winding-up or distribution of assets, before any
                    distribution
                    of any part of the assets of the Purchaser among the holders
                    of the Common
                    Shares or any other shares ranking junior to the Exchangeable
                    Shares, an
                    amount per share equal to the Exchangeable Share Price applicable
                    on the
                    last Business Day prior to the Liquidation Date (the "Liquidation
                    Amount").

                

        

         

        
          
            
            

          

          
            -9-

            
              

            

          

          
            
            

          

        

        
          	
                  5.2

                	
                  On
                    or promptly after the Liquidation Date, and subject to the exercise
                    by
                    Canco of the Liquidation Call Right, the Purchaser shall cause
                    to be
                    delivered to the holders of the Exchangeable Shares the Liquidation
                    Amount
                    for each such Exchangeable Share upon presentation and surrender
                    of the
                    certificates representing such Exchangeable Shares, together
                    with such
                    other documents and instruments as may be required to effect
                    a transfer of
                    Exchangeable Shares under the CBCA and the articles and by-laws
                    of the
                    Purchaser and such additional documents and instruments as the
                    Transfer
                    Agent and the Purchaser may reasonably require, at the registered
                    office
                    of the Purchaser or at any office of the Transfer Agent as may
                    be
                    specified by the Purchaser by notice to the holders of the Exchangeable
                    Shares. Payment of the total Liquidation Amount for such Exchangeable
                    Shares shall be made by delivery to each Holder, at the address
                    of the
                    Holder recorded in the register of the Purchaser for the Exchangeable
                    Shares or by holding for pick-up by the Holder at the registered
                    office of
                    the Purchaser or at any office of the Transfer Agent as may be
                    specified
                    by the Purchaser by notice to the holders of Exchangeable Shares,
                    on
                    behalf of the Purchaser of the Exchangeable Share Consideration
                    representing the total Liquidation Amount. On and after the Liquidation
                    Date, the holders of the Exchangeable Shares shall cease to be
                    holders of
                    such Exchangeable Shares and shall not be entitled to exercise
                    any of the
                    rights of Holders in respect thereof (including any rights under
                    the
                    Voting and Exchange Trust Agreement), other than the right to
                    receive
                    their proportionate part of the total Liquidation Amount, unless
                    payment
                    of the total Liquidation Amount for such Exchangeable Shares
                    shall not be
                    made upon presentation and surrender of share certificates in
                    accordance
                    with the foregoing provisions, in which case the rights of the
                    holders
                    shall remain unaffected until the total Liquidation Amount to
                    which such
                    holders are entitled shall have been paid to such holders in
                    the manner
                    hereinbefore provided. The Purchaser shall have the right at
                    any time on
                    or before the Liquidation Date to deposit or cause to be deposited
                    the
                    Exchangeable Share Consideration in respect of the Exchangeable
                    Shares
                    represented by certificates that have not at the Liquidation
                    Date been
                    surrendered by the holders thereof in a custodial account with
                    any
                    chartered bank or trust company in Canada. Upon such deposit
                    being made,
                    the rights of the holders of Exchangeable Shares, after such
                    deposit,
                    shall be limited to receiving their proportionate part of the
                    total
                    Liquidation Amount for such Exchangeable Shares so deposited,
                    against
                    presentation and surrender of the said certificates held by them,
                    respectively, in accordance with the foregoing provisions. Upon
                    such
                    payment or deposit of such Exchangeable Share Consideration,
                    the holders
                    of the Exchangeable Shares shall thereafter be considered and
                    deemed for
                    all purposes to be holders of the Parent Shares delivered to
                    them or the
                    custodian on their behalf.

                

        

         

        
          	
                  5.3

                	
                  After
                    the Purchaser has satisfied its obligations to pay the holders
                    of the
                    Exchangeable Shares the Liquidation Amount per Exchangeable Share
                    pursuant
                    to Section 5.1
                    of
                    these share provisions, such holders shall not be entitled to
                    share in any
                    further distribution of the assets of the
                    Purchaser.

                

        

         

        
          
            
            

          

          
            -10-

            
              

            

          

          
            
            

          

        

        ARTICLE 6

        RETRACTION
          OF EXCHANGEABLE SHARES BY HOLDER

         

        
          	
                  6.1

                	
                  A
                    holder of Exchangeable Shares shall be entitled at any time,
                    subject to
                    the exercise by Canco of the Retraction Call Right and otherwise
                    upon
                    compliance with the provisions of this Article 6,
                    to require the Purchaser to redeem any or all of the Exchangeable
                    Shares
                    registered in the name of such holder for an amount per share
                    equal to the
                    Exchangeable Share Price applicable on the last Business Day
                    prior to the
                    Retraction Date (the "Retraction Price"), which shall be satisfied
                    in full
                    by the Purchaser causing to be delivered to such holder the Exchangeable
                    Share Consideration representing the Retraction Price. To effect
                    such
                    redemption, the Holder shall present and surrender at the registered
                    office of the Purchaser or at any office of the Transfer Agent
                    as may be
                    specified by the Purchaser by notice to the holders of Exchangeable
                    Shares, the certificate or certificates representing the Exchangeable
                    Shares which the Holder desires to have the Purchaser redeem,
                    together
                    with such other documents and instruments as may be required
                    to effect a
                    transfer of Exchangeable Shares under the CBCA and the articles
                    and bylaws
                    of the Purchaser and such additional documents and instruments
                    as the
                    Transfer Agent and the Purchaser may reasonably require, and
                    together with
                    a duly executed statement (the "Retraction Request") in the form
                    of
                    Schedule A hereto or in such other form as may be acceptable to the
                    Purchaser:

                

        

         

        
          	 	
                  (a)

                	
                  specifying
                    that the Holder desires to have all or any number specified therein
                    of the
                    Exchangeable Shares represented by such certificate or certificates
                    (the
                    "Retracted Shares") redeemed by the
                    Purchaser;

                

        

         

        
          	 	
                  (b)

                	
                  stating
                    the Business Day on which the holder desires to have the Purchaser
                    redeem
                    the Retracted Shares (the "Retraction Date"), provided that the
                    Retraction
                    Date shall be not less than three Business Days nor more than
                    15 Business Days after the date on which the Retraction Request
                    is
                    received by the Purchaser and further provided that, in the event
                    that no
                    such Business Day is specified by the Holder in the Retraction
                    Request,
                    the Retraction Date shall be deemed to be the 15th
                    Business Day after the date on which the Retraction Request is
                    received by
                    the Purchaser; and

                

        

         

        
          	 	
                  (c)

                	
                  acknowledging
                    the overriding right (the "Retraction Call Right") of Canco to
                    purchase
                    all but not less than all the Retracted Shares directly from
                    the holder
                    and that the Retraction Request shall be deemed to be a revocable
                    offer by
                    the holder to sell the Retracted Shares to Canco in accordance
                    with the
                    Retraction Call Right on the terms and conditions set out in
                    Section 6.3
                    below.

                

        

         

        
          	
                  6.2

                	
                  Subject
                    to the exercise by Canco of the Retraction Call Right, upon receipt
                    by the
                    Purchaser or the Transfer Agent in the manner specified in
                    Section 6.1
                    of
                    a certificate or certificates representing the number of Retracted
                    Shares,
                    together with a Retraction Request and such additional documents
                    and
                    instruments as the Transfer Agent and the Purchaser may reasonably
                    require, and provided that the Retraction Request is not revoked
                    by the
                    Holder in the manner specified in Section 6.7,
                    the Purchaser shall redeem the Retracted Shares effective at
                    the close of
                    business on the Retraction Date and shall cause to be delivered
                    to such
                    Holder the total Retraction Price with respect to such shares
                    in
                    accordance with Section 6.4.
                    If only a part of the Exchangeable Shares represented by any
                    certificate
                    is redeemed (or purchased by Canco pursuant to the Retraction
                    Call Right),
                    a new certificate for the balance of such Exchangeable Shares
                    shall be
                    issued to the holder at the expense of the
                    Purchaser.

                

        

         

        
          
            
            

          

          
            -11-

            
              

            

          

          
            
            

          

        

        
          	
                  6.3

                	
                  Upon
                    receipt by the Purchaser of a Retraction Request, the Purchaser
                    shall
                    immediately notify Canco thereof and shall provide to Canco a
                    copy of the
                    Retraction Request. In order to exercise the Retraction Call
                    Right, Canco
                    must notify the Purchaser of its determination to do so (the
                    "Canco Call
                    Notice") within three Business Days of receipt by the Purchaser
                    of the
                    Retraction Request. If Canco does not so notify the Purchaser
                    within such
                    three Business Day period, the Purchaser will notify the Holder
                    as soon as
                    possible thereafter that Canco will not exercise the Retraction
                    Call
                    Right. If Canco delivers the Canco Call Notice within such three
                    Business
                    Day period, and provided that the Retraction Request is not revoked
                    by the
                    Holder in the manner specified in Section 6.7,
                    the Retraction Request shall thereupon be considered only to
                    be an offer
                    by the Holder to sell all but not less than all the Retracted
                    Shares to
                    Canco in accordance with the Retraction Call Right. In such event,
                    the
                    Purchaser shall not redeem the Retracted Shares and Canco shall
                    purchase
                    from such holder and such holder shall sell to Canco on the Retraction
                    Date all but not less than all the Retracted Shares for a purchase
                    price
                    (the "Purchase Price") per share equal to the Retraction Price,
                    which, as
                    set forth in Section 6.4,
                    shall be fully paid and satisfied by the delivery by or on behalf
                    of
                    Canco, of the Exchangeable Share Consideration representing the
                    total
                    Purchase Price. For the purposes of completing a purchase pursuant
                    to the
                    Retraction Call Right, Canco shall deposit with the Transfer
                    Agent, on or
                    before the Retraction Date, the Exchangeable Share Consideration
                    representing the total Purchase Price. Provided that Canco has
                    complied
                    with Section 6.4,
                    the closing of the purchase and sale of the Retracted Shares
                    pursuant to
                    the Retraction Call Right shall be deemed to have occurred as
                    at the close
                    of business on the Retraction Date and, for greater certainty,
                    no
                    redemption by the Purchaser of such Retracted Shares shall take
                    place on
                    the Retraction Date. In the event that Canco does not deliver
                    a Canco Call
                    Notice within such three Business Day period, and provided that
                    the
                    Retraction Request is not revoked by the holder in the manner
                    specified in
                    Section 6.7,
                    the Purchaser shall redeem the Retracted Shares on the Retraction
                    Date and
                    in the manner otherwise contemplated in this Article 6.

                

        

         

        
          	
                  6.4

                	
                  The
                    Purchaser or Canco, as the case may be, shall deliver or cause
                    the
                    Transfer Agent to deliver to the relevant Holder, at the address
                    of the
                    Holder recorded in the register of the Purchaser for the Exchangeable
                    Shares or at the address specified in the Holder's Retraction
                    Request or,
                    if specified in such Retraction Request, by holding for pick-up
                    by the
                    Holder at the registered office of the Purchaser or at any office
                    of the
                    Transfer Agent as may be specified by the Purchaser by notice
                    to such
                    holder of Exchangeable Shares, the Exchangeable Share Consideration
                    representing the total Retraction Price or the total Purchase
                    Price, as
                    the case may be, and such delivery of such Exchangeable Share
                    Consideration to the Transfer Agent shall be deemed to be payment
                    of and
                    shall satisfy and discharge all liability for the total Retraction
                    Price
                    or total Purchase Price, as the case may be, to the extent that
                    the same
                    is represented by such Exchangeable Share
                    Consideration.

                

        

         

        
          
            
            

          

          
            -12-

            
              

            

          

          
            
            

          

        

        
          	
                  6.5

                	
                  On
                    and after the close of business on the Retraction Date, the holder
                    of the
                    Retracted Shares shall cease to be a holder of such Retracted
                    Shares and
                    shall not be entitled to exercise any of the rights of a holder
                    in respect
                    thereof, other than the right to receive the total Retraction
                    Price or
                    total Purchase Price, as the case may be, unless upon presentation
                    and
                    surrender of certificates in accordance with the foregoing provisions,
                    payment of the total Retraction Price or the total Purchase Price,
                    as the
                    case may be, shall not be made as provided in Section 6.4,
                    in which case the rights of such holder shall remain unaffected
                    until the
                    total Retraction Price or the total Purchase Price, as the case
                    may be,
                    has been paid in the manner hereinbefore provided. On and after
                    the close
                    of business on the Retraction Date, provided that presentation
                    and
                    surrender of certificates and payment of the total Retraction
                    Price or the
                    total Purchase Price, as the case may be, has been made in accordance
                    with
                    the foregoing provisions, the holder of the Retracted Shares
                    so redeemed
                    by the Purchaser or purchased by Canco shall thereafter be considered
                    and
                    deemed for all purposes to be the holder of Parent Shares delivered
                    to
                    it.

                

        

         

        
          	
                  6.6

                	
                  Notwithstanding
                    any other provision of this Article 6,
                    the Purchaser shall not be obligated to redeem Retracted Shares
                    specified
                    by a holder in a Retraction Request to the extent that such redemption
                    of
                    Retracted Shares would be contrary to solvency requirements or
                    other
                    provisions of applicable law. If the Purchaser believes, acting
                    reasonably, that on any Retraction Date it would not be permitted
                    by any
                    of such provisions to redeem the Retracted Shares tendered for
                    redemption
                    on such date, and provided that Canco shall not have exercised
                    the
                    Retraction Call Right with respect to the Retracted Shares, the
                    Purchaser
                    shall only be obligated to redeem Retracted Shares specified
                    by a holder
                    in a Retraction Request to the extent of the maximum number that
                    may be so
                    redeemed (rounded down to a whole number of shares) as would
                    not be
                    contrary to such provisions and shall notify the holder at least
                    two
                    Business Days prior to the Retraction Date as to the number of
                    Retracted
                    Shares which will not be redeemed by the Purchaser. In any case
                    in which
                    the redemption by the Purchaser of Retracted Shares would be
                    contrary to
                    solvency requirements or other provisions of applicable law,
                    the Purchaser
                    shall redeem the maximum number of Exchangeable Shares which
                    the Board of
                    Directors determines the Purchaser is permitted to redeem as
                    of the
                    Retraction Date on a pro rata basis and shall issue to each holder
                    of
                    Retracted Shares a new certificate, at the expense of the Purchaser,
                    representing the Retracted Shares not redeemed by the Purchaser
                    pursuant
                    to Section 6.2.
                    Provided that the Retraction Request is not revoked by the holder
                    in the
                    manner specified in Section 6.7
                    and Canco does not exercise the Retraction Call Right, the holder
                    of any
                    such Retracted Shares not redeemed by the Purchaser pursuant
                    to
                    Section 6.2
                    as
                    a result of solvency requirements or other provisions of applicable
                    law
                    shall be deemed by giving the Retraction Request to have instructed
                    the
                    Trustee to require Parent to purchase such Retracted Shares from
                    such
                    holder on the Retraction Date or as soon as practicable thereafter
                    on
                    payment by Parent to such holder of the Retraction Price for
                    each such
                    Retracted Share, all as more specifically provided in the Voting
                    and
                    Exchange Trust Agreement.

                

        

         

        
          
            
            

          

          
            -13-

            
              

            

          

          
            
            

          

        

        
          	
                  6.7

                	
                  A
                    holder of Retracted Shares may, by notice in writing given by
                    the holder
                    to the Purchaser before the close of business on the Business
                    Day
                    immediately preceding the Retraction Date, withdraw its Retraction
                    Request, in which event such Retraction Request shall be null
                    and void
                    and, for greater certainty, the revocable offer constituted by
                    the
                    Retraction Request to sell the Retracted Shares to Canco shall
                    be deemed
                    to have been revoked.

                

        

         

        ARTICLE 7

        REDEMPTION
          OF EXCHANGEABLE SHARES BY THE CORPORATION

         

        
          	
                  7.1

                	
                  Subject
                    to applicable law, and provided Canco has not exercised the Redemption
                    Call Right, the Purchaser shall on the Redemption Date redeem
                    all but not
                    less than all of the then outstanding Exchangeable Shares for
                    an amount
                    per share equal to the Exchangeable Share Price applicable on
                    the last
                    Business Day prior to the Redemption Date (the "Redemption
                    Price").

                

        

         

        
          	
                  7.2

                	
                  In
                    any case of a redemption of Exchangeable Shares under this Article 7,
                    the Purchaser shall, at least 45 days
                    before the Redemption Date (other than a Redemption Date established
                    in
                    connection with a Parent Control Transaction or an Exchangeable
                    Share
                    Voting Event), send or cause to be sent to each holder of Exchangeable
                    Shares a notice in writing of the redemption by the Purchaser
                    or the
                    purchase by Canco under the Redemption Call Right, as the case
                    may be, of
                    the Exchangeable Shares held by such holder. In the case of a
                    Redemption
                    Date established in connection with a Parent Control Transaction,
                    the
                    written notice of redemption by the Purchaser or the purchase
                    by Canco
                    under the Redemption Call Right will be sent on or before the
                    Redemption
                    Date, on as many days prior written notice as may be determined
                    by the
                    Board of Directors to be reasonably practicable in the circumstances.
                    In
                    any such case, such notice shall set out the formula for determining
                    the
                    Redemption Price or the Redemption Call Purchase Price, as the
                    case may
                    be, the Redemption Date and, if applicable, particulars of the
                    Redemption
                    Call Right. In the case of any notice given in connection with
                    a possible
                    Redemption Date, such notice will be given contingently and will
                    be
                    withdrawn if the contingency does not occur.

                

        

         

        
          	
                  7.3

                	
                  On
                    or after the Redemption Date and subject to the exercise by Canco
                    of the
                    Redemption Call Right, the Purchaser shall cause to be delivered
                    to the
                    holders of the Exchangeable Shares to be redeemed the Redemption
                    Price for
                    each such Exchangeable Share upon presentation and surrender
                    at the
                    registered office of the Purchaser or at any office of the Transfer
                    Agent
                    as may be specified by the Purchaser in the notice described
                    in
                    Section 7.2 of the certificates representing such Exchangeable
                    Shares, together with such other documents and instruments as
                    may be
                    required to effect a transfer of Exchangeable Shares under the
                    CBCA and
                    the articles and by-laws of the Purchaser and such additional
                    documents
                    and instruments as the Transfer Agent and the Purchaser may reasonably
                    require. Payment of the total Redemption Price for such Exchangeable
                    Shares shall be made by delivery to each Holder, at the address
                    of the
                    Holder recorded in the securities register of the Purchaser or
                    by holding
                    for pick-up by the Holder at the registered office of the Purchaser
                    or at
                    any office of the Transfer Agent as may be specified by the Purchaser
                    in
                    such notice, on behalf of the Purchaser of the Exchangeable Share
                    Consideration representing the total Redemption Price. On and
                    after the
                    Redemption Date, the holders of the Exchangeable Shares called
                    for
                    redemption shall cease to be holders of such Exchangeable Shares
                    and shall
                    not be entitled to exercise any of the rights of holders in respect
                    thereof, other than the right to receive their proportionate
                    part of the
                    total Redemption Price, unless payment of the total Redemption
                    Price for
                    such Exchangeable Shares shall not be made upon presentation
                    and surrender
                    of certificates in accordance with the foregoing provisions,
                    in which case
                    the rights of the holders shall remain unaffected until the total
                    Redemption Price has been paid in the manner hereinbefore provided.
                    The
                    Purchaser shall have the right at any time after the sending
                    of notice of
                    its intention to redeem the Exchangeable Shares as aforesaid
                    to deposit or
                    cause to be deposited the Exchangeable Share Consideration with
                    respect to
                    the Exchangeable Shares so called for redemption, or of such
                    of the said
                    Exchangeable Shares represented by certificates that have not
                    at the date
                    of such deposit been surrendered by the holders thereof in connection
                    with
                    such redemption, in a custodial account with any chartered bank
                    or trust
                    company in Canada named in such notice. Upon the later of such
                    deposit
                    being made and the Redemption Date, the Exchangeable Shares in
                    respect
                    whereof such deposit shall have been made shall be redeemed and
                    the rights
                    of the holders thereof after such deposit or Redemption Date,
                    as the case
                    may be, shall be limited to receiving their proportionate part
                    of the
                    total Redemption Price for such Exchangeable Shares so deposited,
                    against
                    presentation and surrender of the said certificates held by them,
                    respectively, in accordance with the foregoing provisions. Upon
                    such
                    payment or deposit of such Exchangeable Share Consideration after
                    the
                    Redemption Date, the holders of the Exchangeable Shares shall
                    thereafter
                    be considered and deemed for all purposes to be holders of Parent
                    Shares
                    delivered to them or the custodian on their
                    behalf.

                

        

         

        
          
            
            

          

          
            -14-

            
              

            

          

          
            
            

          

        

        ARTICLE 8

        CANCO
          LIQUIDATION CALL RIGHT

         

        
          	
                  8.1

                	
                  Canco
                    shall have the overriding right (the "Liquidation Call Right"),
                    in the
                    event of and notwithstanding the proposed liquidation, dissolution
                    or
                    winding-up of the Purchaser or any other distribution of the
                    assets of the
                    Purchaser among its shareholders for the purpose of winding-up
                    its
                    affairs, pursuant to Article 5, to purchase from all but not
                    less than all
                    of the holders of Exchangeable Shares (other than any holder
                    of
                    Exchangeable Shares which is an affiliate of Parent) on the Liquidation
                    Date all but not less than all of the Exchangeable Shares held
                    by each
                    such holder upon payment by Canco to each such holder of the
                    Exchangeable
                    Share Price applicable on the last Business Day prior to the
                    Liquidation
                    Date (the "Liquidation Call Purchase Price") in accordance with
                    Section
                    8.3. In the event of the exercise of the Liquidation Call Right
                    by Canco,
                    each Holder shall be obligated to sell all the Exchangeable Shares
                    held by
                    such Holder to Canco on the Liquidation Date upon payment by
                    Canco to such
                    Holder of the Liquidation Call Purchase Price for each such Exchangeable
                    Share, whereupon the Purchaser shall have no obligation to pay
                    any
                    Liquidation Amount to the Holders of such shares so purchased
                    by
                    Canco.

                

        

         

        
          
            
            

          

          
            -15-

            
              

            

          

          
            
            

          

        

        
          	
                  8.2

                	
                  To
                    exercise the Liquidation Call Right, Canco must notify the Purchaser
                    and
                    the Transfer Agent of Canco's intention to exercise such right
                    at least 45
                    days before the Liquidation Date, in the case of a voluntary
                    liquidation,
                    dissolution or winding-up of the Purchaser or any other voluntary
                    distribution of the assets of the Purchaser among its shareholders
                    for the
                    purpose of winding-up its affairs, and at least five Business
                    Days before
                    the Liquidation Date, in the case of an involuntary liquidation,
                    dissolution or winding-up of the Purchaser or any other involuntary
                    distribution of the assets of the Purchaser among its shareholders
                    for the
                    purpose of winding up its affairs. The Transfer Agent will notify
                    the
                    holders of Exchangeable Shares as to whether Canco has exercised
                    the
                    Liquidation Call Right forthwith after the expiry of the period
                    during
                    which the same may be exercised by Canco. If Canco exercises
                    the
                    Liquidation Call Right, then on the Liquidation Date, Canco will
                    purchase
                    and the holders of Exchangeable Shares will sell all of the Exchangeable
                    Shares then outstanding for a price per Exchangeable Share equal
                    to the
                    Liquidation Call Purchase Price.

                

        

         

        
          	
                  8.3

                	
                  For
                    the purposes of completing the purchase of the Exchangeable Shares
                    pursuant to the Liquidation Call Right, Canco shall deposit or
                    cause to be
                    deposited with the Transfer Agent, on or before the Liquidation
                    Date, the
                    Exchangeable Share Consideration representing the total Liquidation
                    Call
                    Purchase Price. Provided that such Exchangeable Share Consideration
                    has
                    been so deposited with the Transfer Agent, on and after the Liquidation
                    Date, the holders of the Exchangeable Shares shall cease to be
                    holders of
                    the Exchangeable Shares and shall not be entitled to exercise
                    any of the
                    rights of holders in respect thereof (including any rights under
                    the
                    Voting and Exchange Trust Agreement), other than the right to
                    receive
                    their proportionate part of the total Liquidation Call Purchase
                    Price
                    payable by Canco, without interest, upon presentation and surrender
                    by the
                    holder of certificates representing the Exchangeable Shares held
                    by such
                    Holder and the Holder shall on and after the Liquidation Date
                    be
                    considered and deemed for all purposes to be the holder of Parent
                    Shares
                    to which such Holder is entitled. Upon surrender to the Transfer
                    Agent of
                    a certificate or certificates representing Exchangeable Shares,
                    together
                    with such other documents and instruments as may be required
                    to effect a
                    transfer of Exchangeable Shares under the CBCA and the by-laws
                    of the
                    Purchaser and such additional documents and instruments as the
                    Transfer
                    Agent may reasonably require, the Holder of such surrendered
                    certificate
                    or certificates shall be entitled to receive in exchange therefor,
                    and the
                    Transfer Agent on behalf of Canco shall deliver to such Holder,
                    the
                    Exchangeable Share Consideration to which such holder is entitled.
                    If
                    Canco does not exercise the Liquidation Call Right in the manner
                    described
                    above, on the Liquidation Date the holders of the Exchangeable
                    Shares will
                    be entitled to receive in exchange therefor the Liquidation Amount
                    otherwise payable by the Purchaser in connection with the liquidation,
                    dissolution or winding-up of the Purchaser pursuant to Article
                    5
                    hereof.

                

        

         

        
          
            
            

          

          
            -16-

            
              

            

          

          
            
            

          

        

        ARTICLE 9

        CANCO
          REDEMPTION CALL RIGHT

         

        
          	
                  9.1

                	
                  In
                    addition to Canco's rights contained herein, including the Retraction
                    Call
                    Right, Canco shall have the following rights in respect of the
                    Exchangeable Shares:

                

        

         

        
          	 	
                  (a)

                	
                  Canco
                    shall have the overriding right (the "Redemption Call Right"),
                    in the
                    event of and notwithstanding the proposed redemption of the Exchangeable
                    Shares by the Purchaser pursuant to Article 7, to purchase from
                    all but
                    not less than all of the holders of Exchangeable Shares (other
                    than any
                    holder of Exchangeable Shares which is an affiliate of Parent)
                    on the
                    Redemption Date all but not less than all of the Exchangeable
                    Shares held
                    by each such holder upon payment by Canco to each such holder
                    of the
                    Exchangeable Share Price applicable on the last Business Day
                    prior to the
                    Redemption Date (the "Redemption Call Purchase Price") in accordance
                    with
                    Section 9.1(c). In the event of the exercise of the Redemption
                    Call Right
                    by Canco, each holder of Exchangeable Shares shall be obligated
                    to sell
                    all the Exchangeable Shares held by such holder to Canco on the
                    Redemption
                    Date upon payment by Canco to such holder of the Redemption Call
                    Purchase
                    Price for each such Exchangeable Share, whereupon the Purchaser
                    shall have
                    no obligation to redeem, or to pay the Redemption Price in respect
                    of,
                    such shares so purchased by Canco.

                

        

         

        
          	 	
                  (b)

                	
                  To
                    exercise the Redemption Call Right, Canco must notify the Transfer
                    Agent
                    and the Purchaser of Canco's intention to exercise such right
                    at least 30
                    days before the Redemption Date, except in the case of a redemption
                    occurring as a result of a Parent Control Transaction or an Exchangeable
                    Share Voting Event, in which case Canco shall so notify the Transfer
                    Agent
                    and the Purchaser as soon as practicable and, in any event, on
                    or before
                    the Redemption Date. The Transfer Agent will notify the holders
                    of the
                    Exchangeable Shares as to whether Canco has exercised the Redemption
                    Call
                    Right forthwith after the expiry of the period during which the
                    same may
                    be exercised by Canco. If Canco exercises the Redemption Call
                    Right, then,
                    on the Redemption Date, Canco will purchase and the holders of
                    Exchangeable Shares will sell all of the Exchangeable Shares
                    then
                    outstanding for a price per share equal to the Redemption Call
                    Purchase
                    Price. 

                

        

         

        
          	 	
                  (c)

                	
                  For
                    the purposes of completing the purchase of the Exchangeable Shares
                    pursuant to the exercise of the Redemption Call Right, Canco
                    shall deposit
                    or cause to be deposited with the Transfer Agent, on or before
                    the
                    Redemption Date, the Exchangeable Share Consideration representing
                    the
                    total Redemption Call Purchase Price. Provided that such Exchangeable
                    Share Consideration has been so deposited with the Transfer Agent,
                    on and
                    after the Redemption Date the holders of the Exchangeable Shares
                    shall
                    cease to be holders of the Exchangeable Shares and shall not
                    be entitled
                    to exercise any of the rights of holders in respect thereof (including
                    any
                    rights under the Voting and Exchange Trust Agreement), other
                    than the
                    right to receive their proportionate part of the total Redemption
                    Call
                    Purchase Price payable by Canco, without interest, upon presentation
                    and
                    surrender by the holder of certificates representing the Exchangeable
                    Shares held by such holder and the holder shall on and after
                    the
                    Redemption Date be considered and deemed for all purposes to
                    be the holder
                    of Parent Shares to which such holder is entitled. Upon surrender
                    to the
                    Transfer Agent of a certificate or certificates representing
                    Exchangeable
                    Shares, together with such other documents and instruments as
                    may be
                    required to effect a transfer of Exchangeable Shares under the
                    CBCA and
                    the by-laws of the Purchaser and such additional documents and
                    instruments
                    as the Transfer Agent may reasonably require, the holder of such
                    surrendered certificate or certificates shall be entitled to
                    receive in
                    exchange therefor, and the Transfer Agent on behalf of Canco
                    shall deliver
                    to such holder, the Exchangeable Share Consideration to which
                    such holder
                    is entitled. If Canco does not exercise the Redemption Call Right
                    in the
                    manner described above, on the Redemption Date the holders of
                    the
                    Exchangeable Shares will be entitled to receive in exchange therefor
                    the
                    Redemption Price otherwise payable by the Purchaser in connection
                    with the
                    redemption of the Exchangeable Shares pursuant to Article 7 of
                    the
                    Exchangeable Share Provisions.

                

        

         

        
          
            
            

          

          
            -17-

            
              

            

          

          
            
            

          

        

        ARTICLE 10

        CHANGE
          OF LAW CALL RIGHT

         

        
          	
                  10.1

                	
                  Parent
                    shall have the overriding right (the "Change of Law Call Right"),
                    in the
                    event of a Change of Law, to purchase (or to cause Canco to purchase)
                    from
                    all but not less than all of the holders of Exchangeable Shares
                    (other
                    than any holder of Exchangeable Shares which is an affiliate
                    of Parent)
                    all but not less than all of the Exchangeable Shares held by
                    each such
                    holder upon payment by Parent or Canco, as the case may be, of
                    an amount
                    per share (the "Change of Law Call Purchase Price") equal to
                    the
                    Exchangeable Share Price applicable on the last Business Day
                    prior to the
                    Change of Law Call Date, in accordance with Section 10.3. In
                    the event of
                    the exercise of the Change of Law Call Right by Parent or Canco,
                    as the
                    case may be, each holder of Exchangeable Shares shall be obligated
                    to sell
                    all the Exchangeable Shares held by such holder to Parent or
                    Canco, as the
                    case may be, on the Change of Law Call Date upon payment by Parent
                    or
                    Canco, as the case may be, to such holder of the Change of Law
                    Call
                    Purchase Price for each such Exchangeable
                    Share.

                

        

         

        
          	
                  10.2

                	
                  To
                    exercise the Change of Law Call Right, Parent or Canco must notify
                    the
                    Transfer Agent of its intention to exercise such right at least
                    45 days
                    before the date on which Parent or Canco intends to acquire the
                    Exchangeable Shares (the "Change of Law Call Date"). If Parent
                    or Canco
                    exercises the Change of Law Call Right, then, on the Change of
                    Law Call
                    Date, Parent or Canco, as the case may be, will purchase and
                    the holders
                    of Exchangeable Shares will sell all of the Exchangeable Shares
                    then
                    outstanding for a price per share equal to the Change of Law
                    Call Purchase
                    Price.

                

        

         

        
          	
                  10.3

                	
                  For
                    the purposes of completing the purchase of the Exchangeable Shares
                    pursuant to the exercise of the Change of Law Call Right, Parent
                    or Canco,
                    as the case may be, shall deposit or cause to be deposited with
                    the
                    Transfer Agent, on or before the Change of Law Call Date, the
                    Exchangeable
                    Share Consideration representing the total Change of Law Call
                    Purchase
                    Price. Provided that such Exchangeable Share Consideration has
                    been so
                    deposited with the Transfer Agent, on and after the Change of
                    Law Call
                    Date the holders of the Exchangeable Shares shall cease to be
                    holders of
                    the Exchangeable Shares and shall not be entitled to exercise
                    any of the
                    rights of holders in respect thereof (including any rights under
                    the
                    Voting and Exchange Trust Agreement), other than the right to
                    receive
                    their proportionate part of the total Change of Law Purchase
                    Price payable
                    by Parent or Canco, as the case may be, without interest, upon
                    presentation and surrender by the holder of certificates representing
                    the
                    Exchangeable Shares held by such holder and the holder shall
                    on and after
                    the Change of Law Call Date be considered and deemed for all
                    purposes to
                    be the holder of Parent Shares to which such holder is entitled.
                    Upon
                    surrender to the Transfer Agent of a certificate or certificates
                    representing Exchangeable Shares, together with such other documents
                    and
                    instruments as may be required to effect a transfer of Exchangeable
                    Shares
                    under the CBCA and the by-laws of the Purchaser and such additional
                    documents and instruments as the Transfer Agent may reasonably
                    require,
                    the holder of such surrendered certificate or certificates shall
                    be
                    entitled to receive in exchange therefor, and the Transfer Agent
                    on behalf
                    of Parent or Canco, as the case may be, shall deliver to such
                    holder, the
                    Exchangeable Share Consideration to which such holder is
                    entitled.

                

        

         

        
          
            
            

          

          
            -18-

            
              

            

          

          
            
            

          

        

        ARTICLE 11

         

        [intentionally
          left blank]

         

         

        ARTICLE 12

        VOTING
          RIGHTS

         

        
          	
                  12.1

                	
                  Except
                    as required by applicable law and by Article 13, Section 14.1 and
                    Section 15.2, the holders of the Exchangeable Shares shall not be
                    entitled as such to receive notice of or to attend any meeting
                    of the
                    shareholders of the Purchaser or to vote at any such
                    meeting.

                

        

         

        ARTICLE 13

        AMENDMENT
          AND APPROVAL

         

        
          	
                  13.1

                	
                  The
                    rights, privileges, restrictions and conditions attaching to
                    the
                    Exchangeable Shares may be added to, changed or removed but only
                    with the
                    approval of the holders of the Exchangeable Shares given as hereinafter
                    specified.

                

        

         

        
          	
                  13.2

                	
                  Any
                    approval given by the holders of the Exchangeable Shares to add
                    to, change
                    or remove any right, privilege, restriction or condition attaching
                    to the
                    Exchangeable Shares or any other matter requiring the approval
                    or consent
                    of the holders of the Exchangeable Shares shall be deemed to
                    have been
                    sufficiently given if it shall have been given in accordance
                    with
                    applicable law subject to a minimum requirement that such approval
                    be
                    evidenced by resolution passed by not less than 66-2/3% of the
                    votes cast
                    on such resolution by holders (other than Parent and its Affiliates)
                    represented in person or by proxy at a meeting of holders of
                    Exchangeable
                    Shares duly called and held at which the holders of at least
                    10% of the
                    outstanding Exchangeable Shares (other than Exchangeable Shares
                    held by
                    Parent and its Affiliates) at that time are present or represented
                    by
                    proxy; provided that if at any such meeting the holders of at
                    least 10% of
                    the outstanding Exchangeable Shares at that time are not present
                    or
                    represented by proxy within one-half hour after the time appointed
                    for
                    such meeting, then the meeting shall be adjourned to such date
                    not less
                    than five days thereafter and to such time and place as may be
                    designated
                    by the Chair of such meeting. At such adjourned meeting, the
                    holders of
                    Exchangeable Shares (other than Parent and its Affiliates) present
                    or
                    represented by proxy thereat may transact the business for which
                    the
                    meeting was originally called and a resolution passed thereat
                    by the
                    affirmative vote of not less than 66-2/3% of the votes cast on
                    such
                    resolution by holders (other than Parent and its Affiliates)
                    represented
                    in person or by proxy at such meeting shall constitute the approval
                    or
                    consent of the holders of the Exchangeable Shares. For purposes
                    of this
                    section, any spoiled votes, illegible votes, defective votes
                    and
                    abstentions shall be deemed to be votes not
                    cast.

                

        

         

        
          
            
            

          

          
            -19-

            
              

            

          

          
            
            

          

        

        ARTICLE 14

        RECIPROCAL
          CHANGES, ETC. IN RESPECT OF PARENT SHARES

         

        
          	
                  14.1

                	
                  Each
                    holder of an Exchangeable Share acknowledges that the Exchangeable
                    Share
                    Support Agreement provides, in part, that Parent will
                    not:

                

        

         

        
          	 	
                  (a)

                	
                  issue
                    or distribute Parent Shares (or securities exchangeable for or
                    convertible
                    into or carrying rights to acquire Parent Shares) to the holders
                    of all or
                    substantially all of the then outstanding Parent Shares by way
                    of stock
                    dividend or other distribution, other than an issue of Parent
                    Shares (or
                    securities exchangeable for or convertible into or carrying rights
                    to
                    acquire Parent Shares) to holders of Parent Shares who (i) exercise
                    an option to receive dividends in Parent Shares (or securities
                    exchangeable for or convertible into or carrying rights to acquire
                    Parent
                    Shares) in lieu of receiving cash dividends, or (ii) pursuant to any
                    dividend reinvestment plan or scrip
                    dividend;

                

        

         

        
          	 	
                  (b)

                	
                  issue
                    or distribute rights, options or warrants to the holders of all
                    or
                    substantially all of the then outstanding Parent Shares entitling
                    them to
                    subscribe for or to purchase Parent Shares (or securities exchangeable
                    for
                    or convertible into or carrying rights to acquire Parent Shares);
                    or

                

        

         

        
          	 	
                  (c)

                	
                  issue
                    or distribute to the holders of all or substantially all of the
                    then
                    outstanding Parent Shares: 

                

        

         

        
          
            
            

          

          
            -20-

            
              

            

          

          
            
            

          

        

        
          	 	
                  (i)

                	
                  shares
                    or securities of Parent of any class other than Parent Shares
                    (other than
                    shares convertible into or exchangeable for or carrying rights
                    to acquire
                    Parent Shares); 

                

        

         

        
          	 	
                  (ii)

                	
                  rights,
                    options or warrants other than those referred to in Section 14.1(b)
                    above; 

                

        

         

        
          	 	
                  (iii)

                	
                  evidences
                    of indebtedness of Parent; or 

                

        

         

        
          	 	
                  (iv)

                	
                  assets
                    of Parent,

                

        

         

        unless
          the economic equivalent on a per share basis of such rights, options, warrants,
          securities, shares, evidences of indebtedness or other assets is issued
          or
          distributed simultaneously to holders of the Exchangeable Shares.

         

        
          	
                  14.2

                	
                  Each
                    holder of an Exchangeable Share acknowledges that the Exchangeable
                    Share
                    Support Agreement further provides, in part, that Parent will
                    not without
                    the prior approval of the Purchaser and the prior approval of
                    the holders
                    of the Exchangeable Shares given in accordance with
                    Section 13.2:

                

        

         

        
          	 	
                  (a)

                	
                  subdivide,
                    re-divide or change the then outstanding Parent Shares into a
                    greater
                    number of Parent Shares;

                

        

         

        
          	 	
                  (b)

                	
                  reduce,
                    combine, consolidate or change the then outstanding Parent Shares
                    into a
                    lesser number of Parent Shares; or 

                

        

         

        
          	 	
                  (c)

                	
                  reclassify
                    or otherwise change the Parent Shares or effect an amalgamation,
                    merger,
                    reorganization or other transaction affecting the Parent
                    Shares;

                

        

         

        unless
          the same or an economically equivalent change shall simultaneously be made
          to,
          or in the rights of the holders of, the Exchangeable Shares and such change
          is
          permitted under applicable law. The Exchangeable Share Support Agreement
          further
          provides, in part, that the provisions of the Exchangeable Share Support
          Agreement described in Section 14.1 and this Section 14.2 shall not be
          changed without the approval of the holders of the Exchangeable Shares
          given in
          accordance with Section 13.2.

         

        
          	
                  14.3

                	
                  Notwithstanding
                    the foregoing provisions of this Article 14, in the event of
                    a Parent
                    Control Transaction:

                

        

         

        
          	 	
                  (a)

                	
                  in
                    which Parent merges or amalgamates with, or in which all or substantially
                    all of the then outstanding Parent Shares are acquired by, one
                    or more
                    other corporations to which Parent is, immediately before such
                    merger,
                    amalgamation or acquisition, "related" within the meaning of
                    the Canadian
                    Tax Act  (otherwise
                    than by virtue of a right referred to in paragraph 251(5)(b)
                    thereof);

                

        

         

        
          
            
            

          

          
            -21-

            
              

            

          

          
            
            

          

        

        
          	 	
                  (b)

                	
                  which
                    does not result in an acceleration of the Redemption Date in
                    accordance
                    with paragraph (b) of that definition;
                    and

                

        

         

        
          	 	
                  (c)

                	
                  in
                    which all or substantially all of the then outstanding Parent
                    Shares are
                    converted into or exchanged for shares or rights to receive such
                    shares
                    (the "Other Shares") of another corporation (the "Other Purchaser")
                    that,
                    immediately after such Parent Control Transaction, owns or controls,
                    directly or indirectly, Parent;

                

        

         

        then
          all
          references herein to "Parent" shall thereafter be and be deemed to be references
          to "Other Purchaser" and all references herein to "Parent Shares" shall
          thereafter be and be deemed to be references to "Other Shares" (with appropriate
          adjustments, if any, as are required to result in a holder of Exchangeable
          Shares on the exchange, redemption or retraction of such shares pursuant
          to
          these share provisions or exchange of such shares pursuant to the Voting
          and
          Exchange Trust Agreement immediately subsequent to the Parent Control
          Transaction being entitled to receive that number of Other Shares equal
          to the
          number of Other Shares such holder of Exchangeable Shares would have received
          if
          the exchange, redemption or retraction of such shares pursuant to these
          share
          provisions, or exchange of such shares pursuant to the Voting and Exchange
          Trust
          Agreement had occurred immediately prior to the Parent Control Transaction
          and
          the Parent Control Transaction was completed) without any need to amend
          the
          terms and conditions of the Exchangeable Shares and without any further
          action
          required.

         

        ARTICLE 15

        ACTIONS
          BY THE PURCHASER UNDER SUPPORT AGREEMENT AND VOTING EXCHANGE TRUST
          AGREEMENT

         

        
          	
                  15.1

                	
                  The
                    Purchaser will take all such actions and do all such things as
                    shall be
                    necessary or advisable to perform and comply with and to ensure
                    performance and compliance by Parent, Canco and the Purchaser
                    with all
                    provisions of the Exchangeable Share Support Agreement and the
                    Voting and
                    Exchange Trust Agreement applicable to Parent, Canco and the
                    Purchaser,
                    respectively, in accordance with the terms thereof including
                    taking all
                    such actions and doing all such things as shall be necessary
                    or advisable
                    to enforce to the fullest extent possible for the direct benefit
                    of the
                    Purchaser all rights and benefits in favour of the Purchaser
                    under or
                    pursuant thereto. 

                

        

         

        
          	
                  15.2

                	
                  The
                    Purchaser shall not propose, agree to or otherwise give effect
                    to any
                    amendment to, or waiver or forgiveness of its rights or obligations
                    under,
                    the Exchangeable Share Support Agreement or the Voting and Exchange
                    Trust
                    Agreement without the approval of the holders of the Exchangeable
                    Shares
                    given in accordance with Section 13.2 other than such amendments,
                    waivers and/or forgiveness as may be necessary or advisable for
                    the
                    purposes of:

                

        

         

        
          	 	
                  (a)

                	
                  adding
                    to the covenants of the other parties to such agreement for the
                    protection
                    of the Purchaser or the holders of the Exchangeable Shares
                    thereunder;

                

        

         

        
          
            
            

          

          
            -22-

            
              

            

          

          
            
            

          

        

        
          	 	
                  (b)

                	
                  making
                    such provisions or modifications not inconsistent with such agreement
                    as
                    may be necessary or desirable with respect to matters or questions
                    arising
                    thereunder which, in the good faith opinion of the Board of Directors,
                    it
                    may be expedient to make, provided that the Board of Directors
                    shall be of
                    the good faith opinion, after consultation with counsel, that
                    such
                    provisions and modifications will not be prejudicial to the interests
                    of
                    the holders of the Exchangeable Shares; or

                

        

         

        
          	 	
                  (c)

                	
                  making
                    such changes in or corrections to such agreement which, on the
                    advice of
                    counsel to the Purchaser, are required for the purpose of curing
                    or
                    correcting any ambiguity or defect or inconsistent provision
                    or clerical
                    omission or mistake or manifest error contained therein, provided
                    that the
                    Board of Directors shall be of the good faith opinion, after
                    consultation
                    with counsel, that such changes or corrections will not be prejudicial
                    to
                    the interests of the holders of the Exchangeable
                    Shares.

                

        

         

        ARTICLE 16

        LEGEND;
          CALL RIGHTS; WITHHOLDING RIGHTS

         

        
          	
                  16.1

                	
                  The
                    certificates evidencing the Exchangeable Shares shall contain
                    or have
                    affixed thereto a legend in form and on terms approved by the
                    Board of
                    Directors, with respect to the Exchangeable Share Support Agreement,
                    the
                    Liquidation Call Right, the Retraction Call Right, the Redemption
                    Call
                    Right and the Change of Law Call Right, and the Voting and Exchange
                    Trust
                    Agreement (including the provisions with respect to the voting
                    rights,
                    exchange right and automatic exchange thereunder) and with respect
                    to
                    restrictions on resale under the United States Securities Act
                    of 1933, as
                    amended, until such time as the Purchaser shall determine that
                    such U.S.
                    Securities Act legend shall no longer be
                    necessary.

                

        

         

        
          	
                  16.2

                	
                  Each
                    holder of an Exchangeable Share, whether of record or beneficial,
                    by
                    virtue of becoming and being such a holder shall be deemed to
                    acknowledge
                    each of the Liquidation Call Right, the Retraction Call Right
                    and the
                    Redemption Call Right, in each case, in favour of Canco, and
                    the Change of
                    Law Call Right in favour of Parent and Canco and the overriding
                    nature
                    thereof in connection with the liquidation, dissolution or winding-up
                    of
                    the Purchaser or any other distribution of the assets of the
                    Purchaser
                    among its shareholders for the purpose of winding-up its affairs,
                    or the
                    retraction or redemption of Exchangeable Shares, or a Change
                    of Law (as
                    defined for purposes of the Change of Law Call Right), as the
                    case may be,
                    and to be bound thereby in favour of Canco or Parent, as the
                    case may be,
                    as therein provided.

                

        

         

        
          	
                  16.3

                	
                  The
                    Purchaser, Canco, Parent and the Transfer Agent shall be entitled
                    to
                    deduct and withhold from any dividend or consideration otherwise
                    payable
                    to any holder of Exchangeable Shares such amounts as the Purchaser,
                    Canco,
                    Parent or the Transfer Agent is required to deduct and withhold
                    with
                    respect to such payment under the Canadian Tax Act, the United
                    States
                    Internal Revenue Code of 1986 or any provision of provincial,
                    state,
                    territorial, local or foreign tax law, in each case, as amended.
                    To the
                    extent that amounts are so withheld, such withheld amounts shall
                    be
                    treated for all purposes hereof as having been paid to the holder
                    of the
                    Exchangeable Shares in respect of which such deduction and withholding
                    was
                    made, provided that such withheld amounts are actually remitted
                    to the
                    appropriate taxing authority. The Purchaser, Canco, Parent and
                    the
                    Transfer Agent are hereby authorized to sell or otherwise dispose
                    of such
                    portion of the consideration as is necessary to provide sufficient
                    funds
                    to the Purchaser, Canco, Parent or the Transfer Agent, as the
                    case may be,
                    to enable it to comply with such deduction or withholding requirement
                    and
                    the Purchaser, Canco, Parent or the Transfer Agent shall notify
                    the holder
                    thereof and remit any unapplied balance of the net proceeds of
                    such
                    sale.

                

        

         

        
          
            
            

          

          
            -23-

            
              

            

          

          
            
            

          

        

        
          	
                  16.4

                	
                  The
                    Purchaser will make an election with respect to the Exchangeable
                    Shares
                    under subsection 191.2(1) of the Canadian Tax Act to the extent
                    required
                    by the Arrangement Agreement.

                

        

         

        
          	
                  16.5

                	
                  The
                    amount specified in respect of each Exchangeable Share for the
                    purposes of
                    subsection 191(4) of the Canadian Tax Act is CDN $[•].

                

        

         

        ARTICLE 17

        GENERAL

         

        
          	
                  17.1

                	
                  Any
                    notice, request or other communication to be given to the Purchaser
                    by a
                    holder of Exchangeable Shares shall be in writing and shall be
                    valid and
                    effective if given by mail (postage prepaid) or by telecopy or
                    by delivery
                    to the registered office of the Purchaser and addressed to the
                    attention
                    of the Secretary of the Purchaser. Any such notice, request or
                    other
                    communication, if given by mail, telecopy or delivery, shall
                    only be
                    deemed to have been given and received upon actual receipt thereof
                    by the
                    Purchaser. 

                

        

         

        
          	
                  17.2

                	
                  Any
                    presentation and surrender by a holder of Exchangeable Shares
                    to the
                    Purchaser or the Transfer Agent of certificates representing
                    Exchangeable
                    Shares in connection with the liquidation, dissolution or winding-up
                    of
                    the Purchaser or the retraction or redemption of Exchangeable
                    Shares shall
                    be made by registered mail (postage prepaid) or by delivery to
                    the
                    registered office of the Purchaser addressed to the attention
                    of the
                    Secretary of the Purchaser or to such office of the Transfer
                    Agent as may
                    be specified by the Purchaser. Any such presentation and surrender
                    of
                    certificates shall only be deemed to have been made and to be
                    effective
                    upon actual receipt thereof by the Purchaser or the Transfer
                    Agent, as the
                    case may be. Any such presentation and surrender of certificates
                    made by
                    registered mail shall be at the sole risk of the holder mailing
                    the
                    same. 

                

        

         

        
          	
                  17.3

                	
                  Any
                    notice, request or other communication to be given to a holder
                    of
                    Exchangeable Shares by or on behalf of the Purchaser shall be
                    in writing
                    and shall be valid and effective if given by mail (postage prepaid)
                    or by
                    delivery to the address of the holder recorded in the register
                    of the
                    Purchaser or, in the event of the address of any such holder
                    not being so
                    recorded, then at the last address of such holder known to the
                    Purchaser.
                    Any such notice, request or other communication, if given by
                    mail, shall
                    be deemed to have been given and received on the third Business
                    Day
                    following the date of mailing and, if given by delivery, shall
                    be deemed
                    to have been given and received on the date of delivery. Accidental
                    failure or omission to give any notice, request or other communication
                    to
                    one or more holders of Exchangeable Shares shall not invalidate
                    or
                    otherwise alter or affect any action or proceeding intended to
                    be taken by
                    the Purchaser pursuant thereto. 

                

        

         

        
          
            
            

          

          
            -24-

            
              

            

          

          
            
            

          

        

        
          	
                  17.4

                	
                  Subject
                    to the requirements of National Instrument 54-101 and any successor
                    instrument, policy statement or rule of the Canadian Securities
                    Administrators or other applicable law, for greater certainty,
                    the
                    Purchaser shall not be required for any purpose under these share
                    provisions to recognize or take account of Persons who are not
                    recorded as
                    such in the securities register for the Exchangeable
                    Shares.

                

        

         

        
          	
                  17.5

                	
                  If
                    the Purchaser determines that mail service is or is threatened
                    to be
                    interrupted at the time when the Purchaser is required or elects
                    to give
                    any notice to the holders of Exchangeable Shares hereunder, the
                    Purchaser
                    shall, notwithstanding the provisions hereof, give such notice
                    by means of
                    publication in The Globe and Mail, national edition, or any other
                    English
                    language daily newspaper or newspapers of general circulation
                    in Canada
                    and in a French language daily newspaper of general circulation
                    in the
                    Province of Québec, once in each of two successive weeks, and notice so
                    published shall be deemed to have been given on the latest date
                    on which
                    the first publication has taken place. If, by reason of any actual
                    or
                    threatened interruption of mail service due to strike, lock-out
                    or
                    otherwise, any notice to be given to the Purchaser would be unlikely
                    to
                    reach its destination in a timely manner, such notice shall be
                    valid and
                    effective only if delivered personally to the Purchaser in accordance
                    with
                    Section 17.1 or17.2, as the case may be.

                

        

         

        
          
            
            

          

          
            -25-

            
              

            

          

          
            
            

          

        

        SCHEDULE
          A

        RETRACTION
          REQUEST

        [TO
          BE PRINTED ON EXCHANGEABLE SHARE CERTIFICATES]

         

        To: 6732097Canada
          Inc. ("Purchaser") and 1305699 Alberta ULC ("Canco")

         

        This
          notice is given pursuant to Article 6
          of the
          rights, privileges, restrictions and conditions (the "Share Provisions")
          attaching to the Exchangeable Shares of the Purchaser represented by this
          certificate and all capitalized words and expressions used in this notice
          that
          are defined in the Share Provisions have the meanings ascribed to such
          words and
          expressions in such Share Provisions.

         

        The
          undersigned hereby notifies the Purchaser that, subject to the Retraction
          Call
          Right referred to below, the undersigned desires to have the Purchaser
          redeem in
          accordance with Article 6
          of the
          Share Provisions:

         

        

        
          	
                  o

                	
                  all
                    share(s) represented by this certificate; or

                
	 	 
	
                  o

                	
                  ___________
                    share(s) only represented by this
                    certificate.

                

        

      

      
         

        The
          undersigned hereby notifies the Purchaser that the Retraction Date shall
          be
          ___________________________.

         

        NOTE: The
          Retraction Date must be a Business Day and must not be less than
          three Business Days nor more than 15 Business Days after the date upon
          which this notice is received by the Purchaser. If no such Business Day
          is
          specified above, the Retraction Date shall be deemed to be the
          15th Business Day after the date on which this notice is received by the
          Purchaser.

         

        The
          undersigned acknowledges the overriding Retraction Call Right of Canco
          to
          purchase all but not less than all the Retracted Shares from the undersigned
          and
          that this notice is and shall be deemed to be a revocable offer by the
          undersigned to sell the Retracted Shares to Canco in accordance with the
          Retraction Call Right on the Retraction Date for the Purchase Price and
          on the
          other terms and conditions set out in Section 6.3
          of the
          Share Provisions. This Retraction Request, and this offer to sell the Retracted
          Shares to Canco, may be revoked and withdrawn by the undersigned only by
          notice
          in writing given to the Purchaser at any time before the close of business
          on
          the Business Day immediately preceding the Retraction Date.

         

        The
          undersigned acknowledges that if, as a result of solvency provisions of
          applicable law, the Purchaser is unable to redeem all Retracted Shares,
          the
          undersigned will be deemed to have exercised the Exchange Right (as defined
          in
          the Voting and Exchange Trust Agreement) so as to require Parent to purchase
          the
          unredeemed Retracted Shares.

         

        
          
            
            

          

          
            
            

            
              

            

          

          
            
            

          

        

        The
          undersigned hereby represents and warrants to Canco and the Purchaser that
          the
          undersigned:

         
          

          
            	
                    o

                  	
                    is

                  
	 	 
	 	
                    (select
                      one)

                  
	 	 
	
                    o

                  	
                    is
                      not

                  

          

          
             

          

        

        resident
          in Canada for purposes of the Income
          Tax Act
          (Canada). THE UNDERSIGNED ACKNOWLEDGES THAT IN THE ABSENCE OF AN INDICATION
          THAT
          THE UNDERSIGNED IS A RESIDENT IN CANADA, WITHHOLDING ON ACCOUNT OF CANADIAN
          TAX
          MAY BE MADE FROM AMOUNTS PAYABLE TO THE UNDERSIGNED ON THE REDEMPTION OR
          PURCHASE OF THE RETRACTED SHARES.

         

        The
          undersigned hereby represents and warrants to Canco and the Purchaser that
          the
          undersigned has good title to, and owns, the share(s) represented by this
          certificate to be acquired by Canco or the Purchaser, as the case may be,
          free
          and clear of all liens, claims and encumbrances.

         

        
          	 	 	 	 	 
	
                  (Date)

                	 	
                  (Signature
                    of Shareholder)

                	 	
                  (Guarantee
                    of Signature)

                

        

        

        
          

          
            	
                    o

                  	
                    
                      Please
                        check box if the securities and any cheque(s) resulting from
                        the
                        retraction or purchase of the Retracted Shares are to be
                        held for pick-up
                        by the shareholder from the Transfer Agent, failing which
                        the securities
                        and any cheque(s) will be mailed to the last address of the
                        shareholder as
                        it appears on the register.

                    

                  
	 	 
	
                    NOTE:

                  	
                    This
                      panel must be completed and this certificate, together with
                      such
                      additional documents as the Transfer Agent may require, must
                      be deposited
                      with the Transfer Agent. The securities and any cheque(s) resulting
                      from
                      the retraction or purchase of the Retracted Shares will be
                      issued and
                      registered in, and made payable to, respectively, the name
                      of the
                      shareholder as it appears on the register of the Purchaser
                      and the
                      securities and any cheque(s) resulting from such retraction
                      or purchase
                      will be delivered to such shareholder as indicated above, unless
                      the form
                      appearing immediately below is duly completed.

                  
	 	 
	
                    Date:

                  	______________________________

          

           

        

        Name
          of
          Person in Whose Name Securities or Cheque(s) Are to be Registered, Issued
          or
          Delivered (please print): ______________________________

         

        Street
          Address or P.O. Box: ___________________________________________

         

        Signature
          of Shareholder: ___________________________________________

         

        City,
          Province and Postal Code:
          ___________________________________________

         

        
          
            
            

          

          
            A-2

            
              

            

          

          
            
            

          

        

        Signature
          Guaranteed by: ___________________________________________

         

        
          
            
              	
                      NOTE:

                    	
                      
                        If
                          this Retraction Request is for less than all of the shares
                          represented by
                          this certificate, a certificate representing the remaining
                          share(s) of the
                          Purchaser represented by this certificate will be issued
                          and registered in
                          the name of the shareholder as it appears on the register
                          of the
                          Purchaser, unless the Share Transfer Power on the share
                          certificate is
                          duly completed in respect of such share(s)

                         

                        

                      

                    

            

             

          

        
          
            
            

          

          
            A-3

            
              

            

          

          
            
            

          

        

         

      

    Schedule
      E

     

    REGULATORY
      APPROVALS

     

    

     

    [Intentionally
      left blank]

     

    

    
      
        
          
             

          

          
          

        

        
          
          

          
            

          

        

        
          
          

          
            

            

          

        

      

    

    

    Schedule
      F

     

    COMPANY
      BRING DOWN CERTIFICATE

     

    

    
      
        
           

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    180
      CONNECT INC.

     

    BRING
      DOWN CERTIFICATE

     

    Pursuant
      to Section 2.8(a)(i) of the Arrangement Agreement dated March 13, 2007 (the
      “Agreement”)
      among
      Ad.Venture Partners, Inc., a Delaware corporation (“Parent”),
      6732097 Canada Inc., a corporation incorporated under the laws of Canada and
      an
      indirect wholly-owned subsidiary of Parent (“Purchaser”),
      and
      180 Connect Inc., a corporation incorporated under the laws of Canada (the
      “Company”),
      the
      undersigned certifies on behalf of the Company as follows:

     

    
      	1.  	
              He
                is the Chief Executive Officer of the
                Company.

            

    

     

    
      	2.  	
              The
                Company’s representations and warranties (i) set forth in Section 3.4 of
                the Agreement were true and correct in all material respects on and
                as of
                the date of the Agreement and are true and correct in all material
                respects on and as of the date hereof (or, in the case of those
                representations and warranties in Section 3.4 that are made as of
                a
                particular date or period, at and as of such date or period), and
                (ii)
                otherwise set forth in the Agreement were true and correct as of
                the date
                of the Agreement and are true and correct in all respects as of the
                date
                hereof (or, in the case of those representations and warranties that
                are
                made as of a particular date or period, at and as of such date or
                period)
                except for inaccuracies in such representation or warranties the
                circumstances giving rise to which, individually or in the aggregate,
                do
                not have and would not reasonably be expected to have, a Company
                Material
                Adverse Effect.

            

    

     

    
      	3.  	
              All
                of the covenants and obligations that the Acquired Companies are
                required
                to perform or comply with under the Agreement have been duly performed
                and
                complied with in all material
                respects.

            

    

     

    Capitalized
      terms used but not defined herein have the meanings ascribed to them in the
      Agreement.

     

    

    (Signature
      page follows)

    

    

    
      
        
          
             

          

          
          

        

        
          
          

          
            

          

        

        
          
          

          
            

            

          

        

      

    

    

    The
      undersigned has executed this certificate as of the date first written
      above.

     

    
      	 	 	 
	 	180
              CONNECT INC.
	 
 	 
 	 
 
	 	By:  	 
	 	
              
Peter
              Giacalone
	 	Chief
              Executive Officer

    

     

    

    
      
        
          
             

          

          
          

        

        
          
          

          
            

          

        

        
          
          

          
            

            

          

        

      

    

    

    SCHEDULE
      G

     

    ACQUIRED
      COMPANIES’ CERTIFICATE RE: CORPORATE MATTERS

     

    

    
      
        
           

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    180
      CONNECT INC.

     

    Officer’s
      Certificate

     

    This
      Officer’s Certificate is provided pursuant to Section 2.8(a)(ii) of the
      Arrangement Agreement dated March 13, 2007 (the “Agreement”)
      among
      Ad.Venture Partners, Inc., a Delaware corporation (the “Parent”),
      6732097 Canada Inc., a corporation incorporated under the laws of Canada and
      an
      indirect wholly-owned subsidiary of Parent (“Purchaser”),
      and
      180 Connect Inc., a corporation incorporated under the laws of Canada (the
      “Target”).
      Capitalized terms used but not defined herein have the meanings ascribed to
      them
      in the Agreement.

     

    The
      undersigned hereby certifies on behalf of ____________ (the “Acquired
      Company”)
      as
      follows:

     

    1.  Attached
      as Exhibit A
      is a
      true and correct copy of the Acquired Company’s Articles of Incorporation as
      filed with the ___________ on _________, as certified by ____________ and in
      effect as of the date hereof (the “Articles
      of Incorporation”).
      Attached as Exhibit
      B
      is a
      true and correct copy of the Acquired Company’s Bylaws in effect as of the date
      hereof (the “Bylaws”).
      No
      steps have been taken by the board of directors or the shareholders of the
      Acquired Company to effect or authorize any amendment or other modification
      to
      such Articles of Incorporation or Bylaws.

     

    2.  Attached
      as Exhibit C
      is a
      certificate of good standing of the Acquired Company issued on
      ____________.

     

    3.  Attached
      as Exhibit D
      [is]/[are] [a] true and correct [copy]/[copies] of the resolutions adopted
      by
      the Board of Directors of the Acquired Company on __________, 2007. Such
      resolutions have not been altered, amended, modified or rescinded and remain
      in
      full force and effect on the date hereof. 

     

    4.  Each
      of
      the individuals named below is, as of the date hereof, a duly elected, qualified
      and acting officer of the Acquired Company as set forth opposite his name,
      and
      the signature appearing opposite his name and title is his true and genuine
      signature:

    

    
      	
              Name 

            	
              Title 

            	
              Signature

            
	 	 	
               

              ____________________________________

            
	 	 	
               

              ____________________________________

            

    

    

    [Signature
      page follows]

     

    

    
      
        
          
             

          

          
          

        

        
          
          

          
            

          

        

        
          
          

          
            

          

        

      

    

    

    I
      have
      set my hand thereto as of _______________, 2007.

     

     

     

    
      	 	 
	 	[Name,
              Title] 

    

     

    

     

    

    
      
        
          
            

            
               

            

          

          
          

        

        
          
          

          
            

          

        

        
          
          

          
            

          

        

      

    

    

    Exhibit
      A

     

    ARTICLES
      OF INCORPORATION

     

    

     

    

     

    

    
      
        
           

           

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    Exhibit
      B

     

    BYLAWS

     

    

    
      
        
          
             

          

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    Exhibit
      C

     

    CERTIFICATE
      OF GOOD STANDING

     

    

     

    

     

    

    
      
        
           

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    Exhibit
      D

     

    BOARD
      RESOLUTIONS

     

    

     

    

     

    

    

     

    

    
      
        
          
             

          

          
          

        

        
          
          

          
            

          

        

        
          
          

          
            

          

        

      

    

    

    Schedule
      H

     

    PARENT
      BRING DOWN CERTIFICATE

     

    

    
      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    AD.VENTURE
      PARTNERS, INC.

     

    BRING
      DOWN CERTIFICATE

     

    Pursuant
      to Section 2.8(b)(i) of the Arrangement Agreement dated March 13, 2007 (the
      “Agreement”)
      among
      Ad.Venture Partners, Inc., a Delaware corporation (the “Parent”),
      6732097 Canada Inc., a corporation incorporated under the laws of Canada and
      an
      indirect wholly-owned subsidiary of Parent (“Purchaser”),
      and
      180 Connect Inc., a corporation incorporated under the laws of Canada (the
      “Company”),
      the
      undersigned certifies on behalf of Parent as follows:

     

    
      	 	
              1.

            	
              He
                is the Chief Executive Officer of the
                Parent.

            

    

     

    
      	 	
              2.

            	
              The
                Parent’s representations and warranties (i) set forth in Section 4.4 of
                the Agreement were true and correct in all material respects on and
                as of
                the date of the Agreement and are true and correct in all material
                respects on and as of the date hereof (or, in the case of those
                representations and warranties in Section 4.4 that are made as of
                a
                particular date or period, at and as of such date or period), and
                (ii)
                otherwise set forth in the Agreement were true and correct in all
                respects
                as of the date of the Agreement and are true and correct in all material
                respects as of the date hereof (or, in the case of those representations
                and warranties that are made as of a particular date or period, at
                and as
                of such date or period) except for inaccuracies in such representation
                or
                warranties the circumstances giving rise to which, individually or
                in the
                aggregate, do not have and would not reasonably be expected to have,
                a
                Parent Material Adverse Effect.

            

    

     

    
      	 	
              3.

            	
              All
                of the covenants and obligations that the Parent or the Purchaser
                are
                required to perform or comply with under the Agreement have been
                duly
                performed and complied with in all material
                respects.

            

    

     

    Capitalized
      terms used but not defined herein have the meanings ascribed to them in the
      Agreement.

     

    

    (Signature
      page follows)

    

    

    
      
        
          
            1029006
              v2/SF 

          

          
          

        

        
          
          

          
            

          

        

        
          
          

          
            

          

        

      

    

    

    The
      undersigned has executed this certificate as of the date first written
      above.

     

    
      	 	 	 
	 	AD.VENTURE
              PARTNERS, INC.
	 
 	 
 	 
 
	 	By:  	 
	 	
              
Howard
              S. Balter
	 	Chief
              Executive Officer

    

     

     

    

    
      
        
          
             

          

          
          

        

        
          
          

          
            

          

        

        
          
          

          
            

          

        

      

    

    

    Schedule
      I

     

    PARENT
      CERTIFICATE RE: CORPORATE MATTERS

     

    

    
      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    AD.VENTURE
      PARTNERS, INC.

     

    Officer’s
      Certificate

     

    This
      Officer’s Certificate is provided pursuant to Section 2.8(b)(ii) of the
      Arrangement Agreement dated March 13, 2007 (the “Agreement”)
      among
      Ad.Venture Partners, Inc., a Delaware corporation (the “Parent”),
      6732097 Canada Inc., a corporation incorporated under the laws of Canada and
      an
      indirect wholly-owned subsidiary of Parent (“Purchaser”),
      and
      180 Connect Inc., a corporation incorporated under the laws of Canada (the
      “Company”).
      Capitalized terms used but not defined herein have the meanings ascribed to
      them
      in the Agreement.

     

    The
      undersigned hereby certifies on behalf of [Parent/Purchaser/Canco] as
      follows:

     

    1.  Attached
      as Exhibit A
      is a
      true and correct copy of the [Parent/Purchaser/Canco]’s [Amended and Restated
      Certificate of Incorporation/ Articles of Incorporation] (the “Charter”)
      as
      filed with the [Secretary of State of the State of
      Delaware/__________/___________] on [August 24, 2005/March 8, 2007], as
      certified by [Secretary of State of the State of
      Delaware/__________/___________] and in effect as of the date hereof. Attached
      as Exhibit
      B
      is a
      true and correct copy of the [Parent/Purchaser/Canco]’s Bylaws in effect as of
      the date hereof (the “Bylaws”).
      No
      steps have been taken by the board of directors or the shareholders of the
      [Parent/Purchaser/Canco] to effect or authorize any amendment or other
      modification to such Charter or Bylaws.

     

    2.  Attached
      as Exhibit C
      is a
      certificate of good standing of the [Parent/Purchaser/Canco] issued on
      ____________.

     

    3.  Attached
      as Exhibit D
      [is]/[are] [a] true and correct [copy]/[copies] of the resolutions adopted
      by
      the Board of Directors of the [Parent/Purchaser/Canco] on __________, 2007.
      Such
      resolutions have not been altered, amended, modified or rescinded and remain
      in
      full force and effect on the date hereof.

     

    4.  Each
      of
      the individuals named below is, as of the date hereof, a duly elected, qualified
      and acting officer of the [Parent/Purchaser/Canco] as set forth opposite his
      name, and the signature appearing opposite his name and title is his true and
      genuine signature:

    

    
      	
              Name 

            	
              Title 

            	
              Signature

            
	 	 	
               

              ____________________________________

            
	 	 	
               

              ____________________________________

            

    

    

    [Signature
      page follows]

    

    

    

    

    

     

    

    
      
        
          
            

          

          
          

        

        
          
          

          
            

          

        

        
          
          

          
            

          

        

      

    

    

    I
      have
      set my hand thereto as of _______________, 2007.

     

     

    
      	 	 
	 	[Name,
              Title] 

    

     

    

     

    

    
      
        
          
             

             

          

          
          

        

        
          
          

          
            

          

        

        
          
          

          
            

          

        

      

    

    

    Exhibit
      A

     

    CHARTER

     

    

     

    

     

    

    
      
        
           

           

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    Exhibit
      B

     

    BYLAWS

     

    

    
      
        
           

           

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    Exhibit
      C

     

    CERTIFICATE
      OF GOOD STANDING

     

    

     

    

     

    

    
      
        
           

           

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    Exhibit
      D

     

    BOARD
      RESOLUTIONS

     

    

     

    

     

    

    

     

    

    
      
        
          
            

          

          
          

        

        
          
          

          
            

          

        

        
          
          

          
            

          

        

      

    

    

    Schedule
      J

     

    FORM
      OF COMPANY AFFILIATE AGREEMENT

     

    

    
      
        
           

          
          

        

        
          1.

          
            

          

        

        
          
          

        

      

    

    

    AFFILIATE
      AGREEMENT

     

    This
      Affiliate Agreement
      (“Affiliate
      Agreement”)
      is
      being executed and delivered as of March 13, 2007 by
      ________________ (“Shareholder”)
      in
      favor of and for the benefit of Ad.Venture
      Partners, Inc.,
      a
      Delaware corporation (“Parent”).

     

    Recitals

     

    A. Shareholder
      is a shareholder of, and is an officer and/or director of, 180
      Connect Inc.,
      a
      corporation organized under the laws of Canada (the “Company”).

     

    B. Parent,
      the Company and 6732097
      Canada Inc.,
      a
      corporation organized under the laws of Canada and a wholly-owned subsidiary
      of
      Parent (“Purchaser”),
      have
      entered into an Arrangement Agreement dated as of March 13, 2007 (the
“Arrangement
      Agreement”),
      which
      provides that Purchaser and Parent shall acquire all of the issued and
      outstanding Common Shares of the Company and assume the obligation to issue
      common stock upon exercise of the Company Options and Company Warrants and
      conversion of the Convertible Debentures, in each case in accordance with the
      Arrangement Agreement (collectively, the “Arrangement”).
      Terms
      not otherwise defined herein shall have the meanings ascribed to them in the
      Arrangement Agreement.

     

    C. Shareholder
      understands that the Parent Common Stock being issued in the Arrangement will
      be
      issued pursuant to a registration statement on Form S-4, and that Shareholder
      may be deemed an “affiliate” of Parent as such term is defined for purposes of
      paragraphs (c) and (d) of Rule 145 under the Securities Act of 1933, as amended
      (the “Securities
      Act”).

     

    Agreement

     

    Shareholder,
      intending to be legally bound, agrees as follows:

     

    1.  Representations
      and Warranties of Shareholder.
      Shareholder represents and warrants to Parent as follows: 

     

    Shareholder
      is the holder and “beneficial owner” (as defined in Rule 13d-3 under the
      Securities Exchange Act of 1934, as amended) of the number of outstanding common
      shares of the Company set forth beneath Shareholder’s signature on the signature
      page hereof (the “Company
      Shares”),
      and
      Shareholder has good and valid title to the Company Shares, free and clear
      of
      any liens, pledges, security interests, adverse claims, equities, options,
      proxies, charges, encumbrances or restrictions of any nature. Shareholder has
      the sole right to vote and to dispose of the Company Shares.

     

    Shareholder
      is the holder of options to purchase the number of common shares of the Company
      set forth beneath Shareholder’s signature on the signature page hereof (the
“Company
      Options”),
      and
      Shareholder has good and valid title to the Company Options, free and clear
      of
      any liens, pledges, security interests, adverse claims, equities, options,
      proxies, charges, encumbrances or restrictions of any nature.

     

    Shareholder
      is the holder of warrants to purchase the number of common shares of the Company
      set forth beneath Shareholder’s signature on the signature page hereof (the
“Company
      Warrants”),
      and
      Shareholder has good and valid title to the Company Warrants, free and clear
      of
      any liens, pledges, security interests, adverse claims, equities, options,
      proxies, charges, encumbrances or restrictions of any nature.

     

    

    
      
        
           

          
          

        

        
          2.

          
            

          

        

        
          
          

        

      

    

    

    Shareholder
      does not own, of record or beneficially, directly or indirectly, any securities
      of the Company other than the Company Shares, the Company Options and the
      Company Warrants.

     

    Shareholder
      has carefully read this Affiliate Agreement and, to the extent Shareholder
      felt
      necessary, has discussed with counsel the limitations imposed on Shareholder’s
      ability to sell, transfer or otherwise dispose of the shares of Parent Common
      Stock that Shareholder is to receive in the Arrangement (the “Parent
      Shares”).
      Shareholder fully understands the limitations this Affiliate Agreement places
      upon Shareholder’s ability to sell, transfer or otherwise dispose of securities
      of Parent.

     

    2.  Prohibitions
      Against Transfer. Shareholder
      agrees that Shareholder shall not effect any sale, transfer or other disposition
      of any Parent Shares unless: (a) such sale, transfer or other disposition is
      effected pursuant to an effective registration statement under the Securities
      Act; (b) such sale, transfer or other disposition is made in conformity with
      the
      requirements of Rule 145 under the Securities Act, as evidenced by a broker’s
      letter and a representation letter executed by Shareholder (satisfactory in
      form
      and content to Parent) stating that such requirements have been met; (c) counsel
      reasonably satisfactory to Parent shall have advised Parent in a written opinion
      letter (satisfactory in form and content to Parent), upon which Parent may
      rely,
      that such sale, transfer or other disposition will be exempt from the
      registration requirements of the Securities Act; or (d) an authorized
      representative of the Securities and Exchange Commission (“SEC”)
      shall
      have rendered written advice to Shareholder to the effect that the SEC would
      take no action, or that the staff of the SEC would not recommend that the SEC
      take action, with respect to such sale, transfer or other disposition, and
      a
      copy of such written advice and all other related communications with the SEC
      shall have been delivered to Parent.

     

    3.  Lock-Up.
      Notwithstanding the foregoing, Shareholder agrees that Shareholder shall not,
      directly or indirectly, (a) offer, pledge, sell, transfer or otherwise dispose
      of, by contract, option, right or otherwise, any Parent Shares or lend, grant
      or
      otherwise transfer or dispose of any such Parent Shares or (b) enter into any
      swap or other agreement that transfers, in whole or in part, any of the economic
      characteristics of ownership of such Parent Shares (whether any such transaction
      described in clause (a) or (b) above is to be settled by delivery of such Parent
      Shares, in cash or otherwise), until the date that is [six][four] months
      following the Effective Date.

     

    4.  Stop
      Transfer Instructions; Legend.

     

    Shareholder
      acknowledges and agrees that (a) stop transfer instructions will be given to
      Parent’s transfer agent with respect to the Parent Shares, and (b) each
      certificate representing any of such shares shall bear a legend identical or
      similar in effect to the following legend (together with any other legend or
      legends required by applicable state securities laws or otherwise):

     

    “THE
      SHARES REPRESENTED BY THIS CERTIFICATE WERE ISSUED IN A TRANSACTION TO WHICH
      RULE 145(d) OF THE SECURITIES ACT OF 1933 APPLIES AND MAY NOT BE OFFERED, SOLD
      OR OTHERWISE TRANSFERRED, ASSIGNED, PLEDGED OR HYPOTHECATED EXCEPT IN ACCORDANCE
      WITH THE PROVISIONS OF SUCH RULE AND IN ACCORDANCE WITH THE TERMS OF AN
      AGREEMENT DATED AS OF MARCH
      13,
      2007,
      BETWEEN
      THE REGISTERED HOLDER HEREOF AND THE ISSUER, A COPY OF WHICH IS ON FILE AT
      THE
      PRINCIPAL OFFICES OF THE ISSUER.”

     

    5.  Independence
      of Obligations.
      The
      covenants and obligations of Shareholder set forth in this Affiliate Agreement
      shall be construed as independent of any other agreement or arrangement between
      Shareholder, on the one hand, and the Company or Parent, on the other. The
      existence of any claim or cause of action by Shareholder against the Company
      or
      Parent shall not constitute a defense to the enforcement of any of such
      covenants or obligations against Shareholder.

     

    
      
        
        

      

      
        3.

        
          

        

      

      
        
        

      

    

    6.  Specific
      Performance.
      Shareholder agrees that in the event of any breach or threatened breach by
      Shareholder of any covenant, obligation or other provision contained in this
      Affiliate Agreement, Parent shall be entitled (in addition to any other remedy
      that may be available to Parent) to: (a) a decree or order of specific
      performance or mandamus to enforce the observance and performance of such
      covenant, obligation or other provision; and (b) an injunction restraining
      such breach or threatened breach. Shareholder further agrees that neither Parent
      nor any other person or entity shall be required to obtain, furnish or post
      any
      bond or similar instrument in connection with or as a condition to obtaining
      any
      remedy referred to in this Section 6, and Shareholder irrevocably waives any
      right Shareholder may have to require the obtaining, furnishing or posting
      of
      any such bond or similar instrument.

     

    7.  No
      Admission.
      Execution of this Affiliate Agreement shall not be considered an admission
      by
      Shareholder that Shareholder is an “affiliate,” or as a waiver of any rights
      Shareholder may have to object to any claim that Shareholder is such an
“affiliate” on or after the date of this Affiliate Agreement.

     

    8.  Other
      Agreements.
      Nothing
      in this Affiliate Agreement shall limit any of the rights or remedies of Parent
      under the Arrangement Agreement, or any of the rights or remedies of Parent
      or
      any of the obligations of Shareholder under any agreement between Shareholder
      and Parent or any certificate or instrument executed by Shareholder in favor
      of
      Parent; and nothing in the Arrangement Agreement or in any other agreement,
      certificate or instrument shall limit any of the rights or remedies of Parent
      or
      any of the obligations of Shareholder under this Affiliate
      Agreement.

     

    9.  NoticesError!
      Bookmark not defined..
      Any
      notice or other communication required or permitted to be delivered to
      Shareholder or Parent under this Affiliate Agreement shall be in writing and
      shall be deemed properly delivered, given and received when delivered to the
      address or facsimile telephone number set forth beneath the name of such party
      below (or to such other address or facsimile telephone number as such party
      shall have specified in a written notice given to the other party):

     

    if
      to Parent:

     

    Ad.Venture
      Partners, Inc.

    360
      Madison Avenue, 21st
      Floor

    New
      York,
      NY 10017

    Attn:
      Chief Executive Officer

    Facsimile:
      (914) 576-5101

     

    if
      to Shareholder:

     

     

     

     

    Attn: 

    Fax:
      (___)  

     

    10.  Severability.
      Any
      term or provision of this Affiliate Agreement that is invalid or unenforceable
      in any situation in any jurisdiction shall not affect the validity or
      enforceability of the remaining terms and provisions hereof or the validity
      or
      enforceability of the offending term or provision in any other situation or
      in
      any other jurisdiction. If the final judgment of a court of competent
      jurisdiction declares that any term or provision hereof is invalid or
      unenforceable, the parties hereto agree that the court making such determination
      shall have the power to limit the term or provision, to delete specific words
      or
      phrases, or to replace any invalid or unenforceable term or provision with
      a
      term or provision that is valid and enforceable and that comes closest to
      expressing the intention of the invalid or unenforceable term or provision,
      and
      this Affiliate Agreement shall be enforceable as so modified. In the event
      such
      court does not exercise the power granted to it in the prior sentence, the
      parties hereto agree to replace such invalid or unenforceable term or provision
      with a valid and enforceable term or provision that will achieve, to the extent
      possible, the economic, business and other purposes of such invalid or
      unenforceable term. 

     

    
      
        
        

      

      
        4.

        
          

        

      

      
        
        

      

    

    11.  Applicable
      Law; Jurisdiction.
      THIS
      AFFILIATE AGREEMENT IS MADE UNDER, AND SHALL BE CONSTRUED AND ENFORCED IN
      ACCORDANCE WITH, THE LAWS OF NEW YORK APPLICABLE TO AGREEMENTS MADE AND TO
      BE
      PERFORMED SOLELY THEREIN, WITHOUT GIVING EFFECT TO PRINCIPLES OF CONFLICTS
      OF
      LAW. In any action between or among any of the parties, whether arising out
      of
      this Affiliate Agreement or otherwise, (a) each of the parties irrevocably
      and unconditionally agree to the non-exclusive jurisdiction of the courts of
      the
      State of New York; (b) each of the parties irrevocably waives the right to
      any trial by jury in any action, proceeding or counterclaim arising out of
      or
      relating to this Affiliate Agreement or otherwise; and (c) each of the
      parties irrevocably consents to service of process by first class certified
      mail, return receipt requested, postage prepared, to the address at which such
      party is to receive notice in accordance with Section 9.

     

    12.  Waiver;
      Termination.
      No
      failure on the part of Parent to exercise any power, right, privilege or remedy
      under this Affiliate Agreement, and no delay on the part of Parent in exercising
      any power, right, privilege or remedy under this Affiliate Agreement, shall
      operate as a waiver of such power, right, privilege or remedy; and no single
      or
      partial exercise of any such power, right, privilege or remedy shall preclude
      any other or further exercise thereof or of any other power, right, privilege
      or
      remedy. Parent shall not be deemed to have waived any claim arising out of
      this
      Affiliate Agreement, or any power, right, privilege or remedy under this
      Affiliate Agreement, unless the waiver of such claim, power, right, privilege
      or
      remedy is expressly set forth in a written instrument duly executed and
      delivered on behalf of Parent; and any such waiver shall not be applicable
      or
      have any effect except in the specific instance in which it is given. If the
      Arrangement Agreement is terminated, this Affiliate Agreement shall thereupon
      terminate.

     

    13.  Captions.
      The
      captions contained in this Affiliate Agreement are for convenience of reference
      only, shall not be deemed to be a part of this Affiliate Agreement and shall
      not
      be referred to in connection with the construction or interpretation of this
      Affiliate Agreement.

     

    14.  Further
      Assurances.
      Shareholder shall execute and/or cause to be delivered to Parent such
      instruments and other documents and shall take such other actions as Parent
      may
      reasonably request to effectuate the intent and purposes of this Affiliate
      Agreement.

     

    15.  Entire
      Agreement.
      This
      Affiliate Agreement, the Arrangement Agreement and, as applicable, the Voting
      Agreement between Shareholder and Parent collectively set forth the entire
      understanding of Parent and Shareholder relating to the subject matter hereof
      and thereof and supersede all other prior agreements and understandings between
      Parent and Shareholder relating to the subject matter hereof and
      thereof.

     

    16.  Non-Exclusivity.
      The
      rights and remedies of Parent hereunder are not exclusive of or limited by
      any
      other rights or remedies which Parent may have, whether at law, in equity,
      by
      contract or otherwise, all of which shall be cumulative (and not alternative).
      

     

    
      
        
        

      

      
        5.

        
          

        

      

      
        
        

      

    

    17.  Amendments.
      This
      Affiliate Agreement may not be amended, modified, altered or supplemented other
      than by means of a written instrument duly executed and delivered on behalf
      of
      Parent and Shareholder.

     

    18.  Assignment.
      This
      Affiliate Agreement and all obligations of Shareholder hereunder are personal
      to
      Shareholder and may not be transferred or delegated by Shareholder at any time.
      Parent may freely assign any or all of its rights under this Affiliate
      Agreement, in whole or in part, to any other person or entity without obtaining
      the consent or approval of Shareholder.

     

    19.  Binding
      Nature.
      Subject
      to Section 18, this Affiliate Agreement will inure to the benefit of Parent
      and
      its successors and assigns and will be binding upon Shareholder and
      Shareholder’s representatives, executors, administrators, estate, heirs,
      successors and assigns.

     

    20.  Survival.
      Each of
      the representations, warranties, covenants and obligations contained in this
      Affiliate Agreement shall survive the consummation of the
      Arrangement.

     

    

    
      
        
           

          
          

        

        
          6.

          
            

          

        

        
          
          

        

      

    

    

    Shareholder
      has executed this Affiliate Agreement on March __, 2007.

     

    __________________________________________

    (Signature)

     

    __________________________________________

    (Print
      Name)

     

    Number
      of Outstanding Common Shares of 

    of
      the Company Held by Shareholder:

     

    _______________________________

     

    Number
      Outstanding Common Shares of the Company

    Subject
      to Options or other rights held by Shareholder:

     

    _______________________________

    

    

    
      
        
           

          
          

        

        
          7.

          
            

          

        

        
          
          

        

      

    

    

    Schedule
      K

     

    SUPPORT
      AGREEMENT

     

    

    

    

    
      
        
          
             

          

          
          

        

        
          8.

          
            

          

        

        
          
          

          
            

          

        

      

    

    

    Support
      Agreement (“Agreement”)
      made
      as of the [•] day of [•], 2007. 

     

    AMONG:

     

    Ad.Venture
      Partners, Inc.,
      a
      corporation existing under the laws of the State of Delaware (hereinafter
      referred to as “Parent”)

     

    and

     

    1305699
      Alberta ULC,
      a
      corporation existing under the laws of Alberta (hereinafter referred to as
      “Canco”)

     

    and

     

    6732097
      Canada Inc.,
      a
      corporation existing under the laws of Canada (hereinafter referred to as
“Purchaser”)

     

    Whereas,
      in
      connection with an arrangement agreement (the “Arrangement Agreement”) dated as
      of March 13, 2007 among the Company, Parent and Purchaser, it was agreed that
      on
      the Effective Date (as defined in the Plan of Arrangement), Purchaser and Parent
      would enter into a support agreement containing the terms and conditions set
      forth in the Arrangement Agreement together with such other terms and conditions
      as may be agreed by the parties acting reasonably; 

     

    And
      Whereas,
      under
      the Arrangement Agreement, it is contemplated that Exchangeable Shares may
      be
      issued by Purchaser, having the attributes described in the Arrangement
      Agreement; 

     

    And
      Whereas,
      the
      parties hereto desire to make appropriate provision and to establish a procedure
      whereby the Parent will take certain actions and make certain payments and
      deliveries necessary to ensure that Purchaser and Canco will be able to make
      certain payments and to deliver or cause to be delivered Parent Shares in
      satisfaction of the obligations of Purchaser and Canco under the Exchangeable
      Share Provisions (as defined below) with respect to the payment and satisfaction
      of Liquidation Amounts, Retraction Prices, Change of Law Call Purchase Prices
      and Redemption Prices, all in accordance with the Exchangeable Share
      Provisions.

     

    Now,
      Therefore,
      in
      consideration of the respective covenants and agreements provided in this
      Agreement and for other good and valuable consideration (the receipt and
      sufficiency of which are hereby acknowledged), the parties hereto covenant
      and
      agree as follows:

     

    ARTICLE
      1

     

    INTERPRETATION

     

    1.1  Defined
      Terms. Each
      term
      denoted herein by initial capital letters and not otherwise defined herein
      shall
      have the meaning ascribed thereto in the rights, privileges, restrictions and
      conditions (collectively, the “Exchangeable Share Provisions”) attaching to the
      Exchangeable Shares as set out in the Articles of Purchaser, unless the context
      requires otherwise.

     

    1.2  Interpretation
      Not Affected By Headings. The
      division of this agreement into articles, sections and other portions and the
      insertion of headings are for convenience of reference only and shall not affect
      the construction or interpretation hereof. Unless otherwise indicated, all
      references to an “Article” or “Section” followed by a number refer to the
      specified Article or Section of this Agreement. The terms “this Agreement,”
“hereof,” “herein” and “hereunder” and similar expressions refer to this
      agreement and not to any particular Article, Section or other portion hereof
      and
      include any agreement or instrument supplementary or ancillary
      hereto.

     

    
      
        
        

      

      
        1.

        
          

        

      

      
        
        

      

    

    1.3  Rules
      of Construction. Unless
      otherwise specifically indicated or the context otherwise requires, (a) all
      references to “dollars” or “$” mean United States dollars, (b) words importing
      the singular shall include the plural and vice versa and words importing any
      gender shall include all genders, and (c) “include,” “includes” and “including”
shall be deemed to be followed by the words “without limitation.”

     

    1.4  Date
      for Any Action. If
      the
      event that any date on which any action is required to be taken hereunder by
      any
      of the parties hereto is not a Business Day, such action shall be required
      to be
      taken on the next succeeding day that is a Business Day.

     

    ARTICLE
      2

     

    COVENANTS
      OF PARENT

     

    2.1  Covenants
      Regarding Exchangeable Shares. So
      long
      as any Exchangeable Shares not owned by Parent or its Affiliates as defined
      in
      the Arrangement Agreement are outstanding, Parent will:

     

    (a)  not
      declare or pay any dividend on the Parent Shares unless (i) Purchaser shall
      (w)
      simultaneously declare or pay, as the case may be, an equivalent dividend or
      other distribution economically equivalent thereto (as provided for in the
      Exchangeable Share Provisions) on the Exchangeable Shares (an “Equivalent
      Dividend”) and (x) Purchaser shall have sufficient money or other assets or
      authorized but unissued securities available to enable the due declaration
      and
      the due and punctual payment, in accordance with applicable law and the terms
      of
      the Exchangeable Share Provisions, of any such Equivalent Dividend;

     

    (b)  advise
      Purchaser sufficiently in advance of the declaration by Parent of any dividend
      on Parent Shares and take all such other actions as are reasonably necessary,
      in
      cooperation with Purchaser, to ensure that (i) the respective declaration date,
      record date and payment date for an Equivalent Dividend on the Exchangeable
      Shares shall be the same as the declaration date, record date and payment date
      for the corresponding dividend on the Parent Shares, or (ii) the record date
      and
      effective date for an Equivalent Stock Subdivision shall be the same as the
      record date and payment date for the stock dividend on the Parent Shares and
      that such dividend on the Exchangeable Shares will correspond with any
      requirement of the principal stock exchange on which the Exchangeable Shares
      are
      listed;

     

    (c)  ensure
      that the record date for any dividend declared on Parent Shares is not less
      than
      10 Business Days after the declaration date of such dividend;

     

    (d)  take
      all
      such actions and do all such things as are reasonably necessary or desirable
      to
      enable and permit Purchaser, in accordance with applicable law, to pay and
      otherwise perform its obligations with respect to the satisfaction of the
      Liquidation Amount, the Retraction Price, the Change of Law Call Purchase Price
      or the Redemption Price in respect of each issued and outstanding Exchangeable
      Share (other than Exchangeable Shares owned by Parent or its Affiliates) upon
      the liquidation, dissolution or winding up of Purchaser or any other
      distribution of the assets of Purchaser among its shareholders for the purpose
      of winding up its affairs, the delivery of a Retraction Request by a holder
      of
      Exchangeable Shares, an event constituting a Change of Law or a redemption
      of
      Exchangeable Shares by Purchaser, as the case may be, including all such actions
      and all such things as are necessary or desirable to enable and permit Purchaser
      to cause to be delivered Parent Shares to the holders of Exchangeable Shares
      in
      accordance with the provisions of Article 5, 6, 7 or 10, as the case may be,
      of
      the Exchangeable Share Provisions and cash and other property in respect of
      declared and unpaid dividends; 

     

    
      
        
        

      

      
        2.

        
          

        

      

      
        
        

      

    

    (e)  take
      all
      such actions and do all such things as are reasonably necessary or desirable
      to
      enable and permit Canco, in accordance with applicable law, to perform its
      obligations arising upon the exercise by it of the Liquidation Call Right,
      the
      Retraction Call Right, the Change of Law Call Right or the Redemption Call
      Right, including all such actions and all such things as are necessary or
      desirable to enable and permit Canco to cause to be delivered Parent Shares
      to
      the holders of Exchangeable Shares in accordance with the provisions of the
      Liquidation Call Right, the Retraction Call Right, the Change of Law Call Right
      or the Redemption Call Right, as the case may be, and cash and other property
      in
      respect of declared and unpaid dividends; and

     

    (f)  not
      (and
      will ensure that Canco or any of its Affiliates does not) exercise its vote
      as a
      shareholder to initiate the voluntary liquidation, dissolution or winding-up
      of
      Purchaser or any other distribution of the assets of Purchaser among its
      shareholders for the purpose of winding up its affairs nor take any action
      or
      omit to take any action (and Parent will not permit Canco or any of its
      Affiliates to take any action or omit to take any action) that is designed
      to
      result in the liquidation, dissolution or winding up of Purchaser or any other
      distribution of the assets of Purchaser among its shareholders for the purpose
      of winding up its affairs.

     

    2.2  Segregation
      of Funds. Parent
      will cause Purchaser to deposit a sufficient amount of funds in a separate
      account of Purchaser and segregate a sufficient amount of such other assets
      and
      property as is necessary to enable Purchaser to pay dividends when due and
      to
      pay or otherwise satisfy its respective obligations under Article 5, 6 or 7
      of
      the Exchangeable Share Provisions.

     

    2.3  Reservation
      of Parent Shares. Parent
      hereby represents, warrants and covenants in favour of Purchaser and Canco
      that
      Parent has reserved for issuance and will, at all times while any Exchangeable
      Shares (other than Exchangeable Shares held by Parent or its Affiliates) are
      outstanding, keep available, free from pre-emptive and other rights, out of
      its
      authorized and unissued capital stock such number of Parent Shares (or other
      shares or securities into which Parent Shares may be reclassified or changed
      as
      contemplated by Section 2.7 hereof): (a) as is equal to the sum of (i) the
      number of Exchangeable Shares issued and outstanding from time to time; and
      (ii)
      the number of Exchangeable Shares issuable upon the exercise of all rights
      to
      acquire Exchangeable Shares outstanding from time to time and (b) as are now
      and
      may hereafter be required to enable and permit Parent to meet its obligations
      under the Voting and Exchange Trust Agreement, to enable and permit Canco to
      meet its obligations arising upon exercise by it of each of the Liquidation
      Call
      Right, the Retraction Call Right and the Redemption Call Right and to enable
      and
      permit Purchaser to meet its obligations hereunder and under the Exchangeable
      Share Provisions.

     

    2.4  Notification
      of Certain Events. In
      order
      to assist Parent in compliance with its obligations hereunder and to permit
      Canco to exercise the Liquidation Call Right, the Retraction Call Right, and
      the
      Redemption Call Right, Purchaser will notify Parent and Canco of each of the
      following events at the times set forth below:

     

    (a)  in
      the
      event of any determination by the Board of Directors of Purchaser to institute
      voluntary liquidation, dissolution or winding up proceedings with respect to
      Purchaser or to effect any other distribution of the assets of Purchaser among
      its shareholders for the purpose of winding up its affairs, at least 60 days
      prior to the proposed effective date of such liquidation, dissolution, winding
      up or other distribution;

     

    
      
        
        

      

      
        3.

        
          

        

      

      
        
        

      

    

    (b)  promptly,
      upon the earlier of receipt by Purchaser of notice of or Purchaser otherwise
      becoming aware of any threatened or instituted claim, suit, petition or other
      proceeding with respect to the involuntary liquidation, dissolution or winding
      up of Purchaser or to effect any other distribution of the assets of Purchaser
      among its shareholders for the purpose of winding up its affairs;

     

    (c)  promptly,
      upon receipt by Purchaser of a Retraction Request;

     

    (d)  promptly
      following the date on which notice of redemption is given to holders of
      Exchangeable Shares, upon the determination of a Redemption Date in accordance
      with the Exchangeable Share Provisions; and

     

    (e)  promptly
      upon the issuance by Purchaser of any Exchangeable Shares or rights to acquire
      Exchangeable Shares.

     

    2.5  Delivery
      of Parent Shares to Canco and Purchaser. In
      furtherance of its obligations under Sections 2.1(d) and (e) hereof, upon notice
      from Purchaser or Canco of any event that requires Purchaser or Canco to cause
      to be delivered Parent Shares to any holder of Exchangeable Shares, Parent
      shall
      forthwith issue and deliver the requisite number of Parent Shares to be received
      by, and issued to or to the order of, the former holder of the surrendered
      Exchangeable Shares, as Purchaser or Canco shall direct. All such Parent Shares
      shall be duly authorized, validly issued and fully paid and non assessable
      and
      shall be free and clear of any lien, claim or encumbrance. In consideration
      of
      the issuance and delivery of such Parent Shares, Canco or Purchaser, as the
      case
      may be, shall pay a purchase price equal to the fair market value of such Parent
      Shares.

     

    2.6  Qualification
      of Parent Shares. Parent
      covenants that if any Parent Shares (or other shares or securities into which
      Parent Shares may be reclassified or changed as contemplated by Section 2.7
      hereof) to be issued and delivered hereunder (including for greater certainty,
      pursuant to the Exchangeable Share Provisions, or pursuant to the Change of
      Law
      Call Right, Exchange Right or the Automatic Exchange Rights (all as defined
      in
      the Voting and Exchange Trust Agreement)) require registration or qualification
      with, or approval of, or the filing of any document, including any prospectus
      or
      similar document, the taking of any proceeding with, or the obtaining of any
      order, ruling or consent from, any governmental or regulatory authority under
      any Canadian or United States federal, provincial, territorial or state
      securities or other law or regulation or pursuant to the rules and regulations
      of any securities or other regulatory authority, or the fulfilment of any other
      United States or Canadian legal requirement (collectively, the “Applicable
      Laws”) before such shares (or other shares or securities into which Parent
      Shares may be reclassified or changed as contemplated by Section 2.7 hereof)
      may
      be issued and delivered by Parent at the direction of Purchaser or Canco, if
      applicable, to the holder of surrendered Exchangeable Shares or in order that
      such shares (or other shares or securities into which Parent Shares may be
      reclassified or changed as contemplated by Section 2.7 hereof) may be freely
      traded thereafter (other than any restrictions of general application on
      transfer by reason of a holder being a “control person” of Parent for purposes
      of Canadian provincial securities law or an “affiliate” of Parent for purposes
      of United States federal or state securities law), Parent will use its
      reasonable best efforts and in good faith expeditiously take all such actions
      and do all such things as are necessary or desirable and within its power to
      cause such Parent Shares (or other shares or securities into which Parent Shares
      may be reclassified or changed as contemplated by Section 2.7 hereof) to be
      and
      remain duly registered, qualified or approved under United States and/or
      Canadian law, as the case may be, to the extent expressly provided in the
      Arrangement Agreement. Parent will use its reasonable best efforts and in good
      faith expeditiously take all such actions and do all such things as are
      reasonably necessary or desirable to cause all Parent Shares (or other shares
      or
      securities into which Parent Shares may be reclassified or changed as
      contemplated by Section 2.7 hereof) to be delivered hereunder to be listed,
      quoted or posted for trading on all stock exchanges and quotation systems on
      which outstanding Parent Shares (or other shares or securities into which Parent
      Shares may be reclassified or changed as contemplated by Section 2.7
      hereof) are listed and are quoted or posted for trading at such
      time.

     

    
      
        
        

      

      
        4.

        
          

        

      

      
        
        

      

    

    2.7  Economic
      Equivalence. So
      long
      as any Exchangeable Shares not owned by Parent or its Affiliates are
      outstanding:

     

    (a)  Parent
      will not:

     

    (i)  issue
      or
      distribute Parent Shares (or securities exchangeable for or convertible into
      or
      carrying rights to acquire Parent Shares) to the holders of all or substantially
      all of the then outstanding Parent Shares by way of stock dividend or other
      distribution, other than an issue of Parent Shares (or securities exchangeable
      for or convertible into or carrying rights to acquire Parent Shares) to holders
      of Parent Shares who (A) exercise an option to receive dividends in Parent
      Shares (or securities exchangeable for or convertible into or carrying rights
      to
      acquire Parent Shares) in lieu of receiving cash dividends, or (B) pursuant
      to
      any dividend reinvestment plan or scrip dividend; or

     

    (ii)  issue
      or
      distribute rights, options or warrants to the holders of all or substantially
      all of the then outstanding Parent Shares entitling them to subscribe for or
      to
      purchase Parent Shares (or securities exchangeable for or convertible into
      or
      carrying rights to acquire Parent Shares); or

     

    (iii)  issue
      or
      distribute to the holders of all or substantially all of the then outstanding
      Parent Shares (A) shares or securities of Parent of any class other than Parent
      Shares (other than shares convertible into or exchangeable for or carrying
      rights to acquire Parent Shares), (B) rights, options or warrants other than
      those referred to in Section 2.7(a)(ii) above, (C) evidences of indebtedness
      of
      Parent or (D) assets of Parent (including cash),

     

    unless
      the economic equivalent on a per Exchangeable Share basis of such rights,
      options, warrants, securities, shares, evidences of indebtedness or other assets
      is issued or distributed simultaneously to holders of the Exchangeable Shares;
      provided that, for greater certainty, the above restrictions shall not apply
      to
      any securities issued or distributed by Parent in order to give effect to and
      to
      consummate the transactions contemplated by, and in accordance with, the
      Arrangement Agreement.

     

    (b)  Parent
      will not:

     

    (i)  subdivide,
      redivide or change the then outstanding Parent Shares into a greater number
      of
      Parent Shares; or

     

    (ii)  reduce,
      combine, consolidate or change the then outstanding Parent Shares into a lesser
      number of Parent Shares; or

     

    (iii)  reclassify
      or otherwise change Parent Shares or effect an amalgamation, merger,
      reorganization or other transaction affecting the Parent Shares,

     

    unless
      the same or an economically equivalent change shall simultaneously be made
      to,
      or in the rights of the holders of, the Exchangeable Shares; provided that,
      for
      greater certainty, the above restrictions shall not apply to any securities
      issued or distributed by Parent in order to give effect to and to consummate
      the
      transactions contemplated by, and in accordance with, the Arrangement
      Agreement.

     

    (c)  Parent
      will ensure that the record date for any event referred to in Section 2.7(a)
      or
      2.7(b) above, or (if no record date is applicable for such event) the effective
      date for any such event, is not less than five Business Days after the date
      on
      which such event is declared or announced by Parent (with contemporaneous
      notification thereof by Parent to Purchaser).

     

    
      
        
        

      

      
        5.

        
          

        

      

      
        
        

      

    

    (d)  The
      Board
      of Directors of Purchaser shall determine, in good faith and in its sole
      discretion, economic equivalence for the purposes of any event referred to
      in
      Section 2.7(a) or 2.7(b) above and each such determination shall be conclusive
      and binding on Parent and the holders of Exchangeable Shares. In making each
      such determination, the following factors shall, without excluding other factors
      determined by the Board of Directors of Purchaser to be relevant, be considered
      by the Board of Directors of Purchaser:

     

    (i)  in
      the
      case of any stock dividend or other distribution payable in Parent Shares,
      the
      number of such shares issued as a result of any stock dividend or other
      distribution in proportion to the number of Parent Shares previously
      outstanding;

     

    (ii)  in
      the
      case of the issuance or distribution of any rights, options or warrants to
      subscribe for or purchase Parent Shares (or securities exchangeable for or
      convertible into or carrying rights to acquire Parent Shares), the relationship
      between the exercise price of each such right, option or warrant and the Current
      Market Price, the volatility of the Parent Shares and the term of any such
      instrument;

     

    (iii)  in
      the
      case of the issuance or distribution of any other form of property (including
      any shares or securities of Parent of any class other than Parent Shares, any
      rights, options or warrants other than those referred to in Section 2.7(d)(ii)
      above, any evidences of indebtedness of Parent or any assets, including cash,
      of
      Parent), the relationship between the fair market value (as determined by the
      Board of Directors of Purchaser in the manner above contemplated) of such
      property to be issued or distributed with respect to each outstanding Parent
      Share and the Current Market Price;

     

    (iv)  in
      the
      case of any subdivision, redivision or change of the then outstanding Parent
      Shares into a greater number of Parent Shares or the reduction, combination,
      consolidation or change of the then outstanding Parent Shares into a lesser
      number of Parent Shares or any amalgamation, merger, reorganization or other
      transaction affecting Parent Shares, the effect thereof upon the then
      outstanding Parent Shares; and

     

    (v)  in
      all
      such cases, the general taxation consequences of the relevant event to holders
      of Exchangeable Shares to the extent that such consequences may differ from
      the
      taxation consequences to holders of Parent Shares as a result of differences
      between taxation laws of Canada and the United States (except for any differing
      consequences arising as a result of differing withholding
      taxes and marginal taxation rates and without regard to the
      individual circumstances of holders of Exchangeable Shares).

     

    (e)  Purchaser
      agrees that, to the extent required, upon due notice from Parent, Purchaser
      will
      use its best efforts to take or cause to be taken such steps as may be necessary
      for the purposes of ensuring that appropriate dividends are paid or other
      distributions are made by Purchaser, or subdivisions, redivisions or changes
      are
      made to the Exchangeable Shares, in order to implement the required economic
      equivalent with respect to the Parent Shares and Exchangeable Shares as provided
      for in this Section 2.7.

     

    
      
        
        

      

      
        6.

        
          

        

      

      
        
        

      

    

    2.8  Tender
      Offers. For
      so
      long as Exchangeable Shares remain outstanding (not including Exchangeable
      Shares held by Parent and its Affiliates), in the event that a tender offer,
      share exchange offer, issuer bid, take over bid or similar transaction with
      respect to Parent Shares (an “Offer”) is proposed by Parent or is proposed to
      Parent or its shareholders and is recommended by the Board of Directors of
      Parent, or is otherwise effected or to be effected with the consent or approval
      of the Board of Directors of Parent, Parent will use its reasonable best efforts
      expeditiously and in good faith to take all such actions and do all such things
      as are necessary or desirable to enable and permit holders of Exchangeable
      Shares (other than Parent and its Affiliates) to participate in such Offer
      to
      the same extent as, and on a basis that is equivalent (economically and
      otherwise) to the basis on which, the holders of Parent Shares participate,
      without discrimination, it being understood that if such equivalent
      participation cannot be achieved, the Exchangeable Shares shall be redeemed
      by
      Purchaser (as set forth in clause (b) of the definition of “Redemption Date”) or
      purchased by Canco pursuant to the Redemption Call Right. Without limiting
      the
      generality of the foregoing, Parent will use its reasonable best efforts
      expeditiously and in good faith to ensure that holders of Exchangeable Shares
      may participate in each such Offer without being required to retract
      Exchangeable Shares as against Purchaser (or, if so required, to ensure that
      any
      such retraction, shall be effective only upon, and shall be conditional upon,
      the closing of such Offer and only to the extent necessary to tender or deposit
      to the Offer). Nothing herein shall limit the rights of Purchaser to redeem
      (or
      Canco to purchase pursuant to the Redemption Call Right) Exchangeable Shares,
      as
      applicable, as described above.

     

    2.9  Ownership
      of Outstanding Shares. Without
      the prior approval of Purchaser and the prior approval of the holders of the
      Exchangeable Shares given in accordance with Section 13.2 of the Exchangeable
      Share Provisions, Parent covenants and agrees in favour of Purchaser that,
      as
      long as any outstanding Exchangeable Shares are owned by any Person other than
      Parent or any of its Affiliates, Parent will be and remain the direct or
      indirect beneficial owner of all issued and outstanding voting shares in the
      capital of Purchaser and Canco. Notwithstanding the foregoing, Parent shall
      not
      be in violation of this section if any person or group of persons acting jointly
      or in concert acquires all or substantially all of the assets of Parent or
      the
      Parent Shares pursuant to any merger of Parent pursuant to which Parent was
      not
      the surviving corporation.

     

    2.10  Parent
      and Affiliates Not to Vote Exchangeable Shares. Parent
      and Canco each covenants and agrees that it will not, and will cause its
      Affiliates not to, exercise any voting rights which may be exercisable by
      holders of Exchangeable Shares from time to time pursuant to the Exchangeable
      Share Provisions or pursuant to the provisions of the CBCA (or any successor
      or
      other corporate statute by which Purchaser may in the future be governed) with
      respect to any Exchangeable Shares held by it or by its Affiliates in respect
      of
      any matter considered at any meeting of holders of Exchangeable
      Shares.

     

    2.11  Rule
      10b 18 Purchases. For
      greater certainty, nothing contained in this Agreement, including the
      obligations of Parent contained in Section 2.8 hereof, shall limit the ability
      of Parent or Purchaser to make a “Rule l0b 18 purchase” of Parent Shares
      pursuant to Rule 10b 18 of the United States Securities Exchange Act of 1934,
      as
      amended, or any successor rule.

     

    ARTICLE
      3

     

    PARENT
      SUCCESSORS

     

    3.1  Certain
      Requirements in Respect of Combination, Etc.
      As long
      as any Exchangeable Shares (other than those owned by Parent or its Affiliates)
      are outstanding, neither Parent nor Canco shall consummate any transaction
      (whether by way of reconstruction, reorganization, consolidation, merger,
      transfer, sale, lease or otherwise) whereby all or substantially all of its
      undertaking, property and assets would become the property of any other Person
      or, in the case of a merger, of the continuing corporation resulting therefrom
      unless, but may do so if:

     

    (a)  such
      other Person or continuing corporation (the “Parent Successor”) by operation of
      law, becomes, without more, bound by the terms and provisions of this Agreement
      or, if not so bound, executes, prior to or contemporaneously with the
      consummation of such transaction, an agreement supplemental hereto and such
      other instruments (if any) as are reasonably necessary or advisable to evidence
      the assumption by the Parent Successor of liability for all moneys payable
      and
      property deliverable hereunder and the covenant of such Parent Successor to
      pay
      and deliver or cause to be delivered the same and its agreement to observe
      and
      perform all the covenants and obligations of Parent or Canco, as the case may
      be, under this Agreement; 

     

    
      
        
        

      

      
        7.

        
          

        

      

      
        
        

      

    

    (b)  in
      the
      event that the Parent Shares are reclassified or otherwise changed as part
      of
      such transaction, the same or an economically equivalent change is
      simultaneously made to, or in the rights of the holders of, the Exchangeable
      Shares; and

     

    (c)  such
      transaction shall be upon such terms and conditions as substantially to preserve
      and not to impair in any material respect any of the rights, duties, powers
      and
      authorities of the other parties hereunder or the holders of Exchangeable
      Shares.

     

    3.2  Vesting
      of Powers in Successor. Whenever
      the conditions of Section 3.1 have been duly observed and performed, the
      parties, if required by Section 3.1, shall execute and deliver the supplemental
      agreement provided for in Section 3.1(a) and thereupon the Parent Successor
      shall possess and from time to time may exercise each and every right and power
      of Parent or Canco, as the case may be, under this Agreement in the name of
      Parent or otherwise and any act or proceeding by any provision of this Agreement
      required to be done or performed by the Board of Directors of Parent or any
      officers of Parent may be done and performed with like force and effect by
      the
      directors or officers of such Parent Successor.

     

    3.3  Wholly
      Owned Subsidiaries. Nothing
      herein shall be construed as preventing the amalgamation or merger of any wholly
      owned direct or indirect subsidiary of Parent (other than Purchaser or Canco)
      with or into Parent or the winding up, liquidation or dissolution of any wholly
      owned subsidiary of Parent provided that all of the assets of such subsidiary
      are transferred to Parent or another wholly owned direct or indirect subsidiary
      of Parent and any such transactions are expressly permitted by this Article
      3.

     

    3.4  Successorship
      Transaction. Notwithstanding
      the foregoing provisions of Article 3, in the event of a Parent Control
      Transaction:

     

    (a)  in
      which
      Parent merges or amalgamates with, or in which all or substantially all of
      the
      then outstanding Parent Shares are acquired by, one or more other corporations
      to which Parent is, immediately before such merger, amalgamation or acquisition,
      “related” within the meaning of the Canadian Tax Act (otherwise than by virtue
      of a right referred to in paragraph 251(5)(b) thereof);

     

    (b)  which
      does not result in an acceleration of the Redemption Date in accordance with
      paragraph (b) of that definition; and

     

    (c)  in
      which
      all or substantially all of the then outstanding Parent Shares are converted
      into or exchanged for shares or rights to receive such shares (the “Other
      Shares”) of another corporation (the “Other Corporation”) that, immediately
      after such Parent Control Transaction, owns or controls, directly or indirectly,
      Parent;

     

    then
      all
      references herein to “Parent” shall thereafter be and be deemed to be references
      to “Other Corporation” and all references herein to “Parent Shares” shall
      thereafter be and be deemed to be references to “Other Shares” (with appropriate
      adjustments, if any, as are required to result in a holder of Exchangeable
      Shares on the exchange, redemption or retraction of such shares pursuant to
      the
      Exchangeable Share Provisions or exchange of such shares pursuant to the Voting
      and Exchange Trust Agreement immediately subsequent to the Parent Control
      Transaction being entitled to receive that number of Other Shares equal to
      the
      number of Other Shares such holder of Exchangeable Shares would have received
      if
      the exchange, redemption or retraction of such shares pursuant to the
      Exchangeable Share Provisions or exchange of such shares pursuant to the Voting
      and Exchange Trust Agreement had occurred immediately prior to the Parent
      Control Transaction and the Parent Control Transaction was completed) without
      any need to amend the terms and conditions of the Exchangeable Shares and
      without any further action required.

     

    
      
        
        

      

      
        8.

        
          

        

      

      
        
        

      

    

    ARTICLE
      4

     

    GENERAL

     

    4.1  Term.
      This
      Agreement shall come into force and be effective as of the date hereof and
      shall
      terminate and be of no further force and effect at such time as no Exchangeable
      Shares (or securities or rights convertible into or exchangeable for or carrying
      rights to acquire Exchangeable Shares) are held by any Person other than Parent
      and any of its Affiliates.

     

    4.2  Changes
      in Capital of Parent or Purchaser. At
      all
      times after the occurrence of any event contemplated pursuant to Sections 2.7
      and 2.8 hereof or otherwise, as a result of which either Parent Shares or the
      Exchangeable Shares or both are in any way changed, this Agreement shall
      forthwith be deemed amended and modified as necessary in order that it shall
      apply with full force and effect, mutatis mutandis, to all new securities into
      which Parent Shares or the Exchangeable Shares or both are so changed and the
      parties hereto shall execute and deliver an agreement in writing giving effect
      to and evidencing such necessary amendments and modifications.

     

    4.3  Notices
      To Parties. All
      notices and other communications hereunder shall be in writing and shall be
      deemed given when delivered personally, telecopied (which is confirmed) or
      dispatched (postage prepaid) to a nationally recognized overnight courier
      service with overnight delivery instructions, in each case addressed to the
      particular party at:

     

    [•]

     

    Attention:
      Chief Executive Officer

    Telecopier
      Number: [•]

     

    With
      a
      copy to:

     

    Macleod
      Dixon LLP

    3700
      Canterra Tower

    400
      Third
      Avenue, S.W.

    Calgary,
      Alberta T2P 4H2

     

    Attention:
      Jennifer Kennedy

    Telecopier
      Number: (403) 264-5973

     

    

    
      
        
           

          
          

        

        
          9.

          
            

          

        

        
          
          

        

      

    

    

    and
      to:

     

    McDermott
      Will & Emery LLP

    340
      Madison Avenue

    New
      York,
      New York 10173

     

    Attention:
      Mark Selinger

    Telecopier
      Number: (212) 547 5444

     

    or
      at
      such other address of which any party may, from time to time, advise the other
      parties by notice in writing given in accordance with the foregoing. Any notice
      or other communication given personally shall be deemed to have been given
      and
      received upon delivery thereof and if given by telecopy shall be deemed to
      have
      been given and received on the date of confirmed receipt thereof unless such
      day
      is not a Business Day in which case it shall be deemed to have been given and
      received upon the immediately following Business Day.

     

    4.4  Assignment.
      No
      party
      hereto may assign this Agreement or any of its rights, interests or obligations
      under this Agreement (whether by operation of law or otherwise) except that
      each
      of Purchaser and Canco may assign in its sole discretion, any or all of its
      rights, interests and obligations hereunder to any wholly owned subsidiary
      of
      Parent.

     

    4.5  Binding
      Effect. Subject
      to Section 4.4, this Agreement shall be binding upon, enure to the benefit
      of
      and be enforceable by the parties hereto and by the Exchangeable Shareholders
      and their respective successors and assigns.

     

    4.6  Amendments,
      Modifications. Subject
      to Sections 4.2, 4.7 and 4.11, this Agreement may not be amended or modified
      except by an agreement in writing executed by Purchaser, Canco and Parent and
      approved by the holders of the Exchangeable Shares in accordance with Section
      13.2 of the Exchangeable Share Provisions.

     

    4.7  Ministerial
      Amendments. Notwithstanding
      the provisions of Section 4.6, the parties to this Agreement may in writing
      at
      any time and from time to time, without the approval of the holders of the
      Exchangeable Shares, amend or modify this Agreement for the purposes
      of:

     

    (a)  adding
      to
      the covenants of any or all parties provided that the board of directors of
      each
      of Purchaser, Canco and Parent shall be of the good faith opinion that such
      additions will not be prejudicial to the rights or interests of the holders
      of
      the Exchangeable Shares;

     

    (b)  making
      such amendments or modifications not inconsistent with this Agreement as may
      be
      necessary or desirable with respect to matters or questions which, in the good
      faith opinion of the board of directors of each of Purchaser, Canco and Parent,
      it may be expedient to make, provided that each such board of directors shall
      be
      of the good faith opinion that such amendments or modifications will not be
      prejudicial to the rights or interests of the holders of the Exchangeable
      Shares; or

     

    (c)  making
      such changes or corrections which, on the advice of counsel to Purchaser, Canco
      and Parent, are required for the purpose of curing or correcting any ambiguity
      or defect or inconsistent provision or clerical omission or mistake or manifest
      error, provided that the board of directors of each of Purchaser, Canco and
      Parent shall be of the good faith opinion that such changes or corrections
      will
      not be prejudicial to the rights or interests of the holders of the Exchangeable
      Shares.

     

    
      
        
        

      

      
        10.

        
          

        

      

      
        
        

      

    

    4.8  Meeting
      to Consider Amendments. Purchaser,
      at the request of Parent, shall call a meeting or meetings of the holders of
      the
      Exchangeable Shares for the purpose of considering any proposed amendment or
      modification requiring approval pursuant to Section 4.6 hereof; provided that
      any such meeting shall only be called for a bona fide business purpose and
      not
      for the principal purpose of causing a Redemption Date to occur or transpire.
      Any such meeting or meetings shall be called and held in accordance with the
      bylaws of Purchaser, the Exchangeable Share Provisions and all applicable
      laws.

     

    4.9  Amendments
      Only in Writing. No
      amendment to or modification or waiver of any of the provisions of this
      Agreement otherwise permitted hereunder shall be effective unless made in
      writing and signed by all of the parties hereto.

     

    4.10  Governing
      Laws; Consent to Jurisdiction. This
      Agreement shall be governed by and construed in accordance with the laws of
      the
      Province of Alberta and the laws of Canada applicable therein and shall be
      treated in all respects as an Alberta contract. Each party hereby irrevocably
      attorns to the jurisdiction of the courts of the Province of Alberta in respect
      of all matters arising under or in relation to this Agreement.

     

    4.11  Severability.
      If
      any
      term or other provision of this Agreement is invalid, illegal or incapable
      of
      being enforced by any rule of law or public policy, all other conditions and
      provisions of this Agreement shall nevertheless remain in full force and effect
      so long as the economic or legal substance of the transactions contemplated
      hereby is not affected in any manner materially adverse to any party. Upon
      such
      determination that any term or other provision is invalid, illegal or incapable
      of being enforced, the parties hereto shall negotiate in good faith to modify
      this Agreement so as to effect the original intent of the parties as closely
      as
      possible in an acceptable manner to the end that transactions contemplated
      hereby are fulfilled to the extent possible.

     

    4.12  Counterparts.
      This
      Agreement may be executed in counterparts, each of which shall be deemed to
      be
      an original but all of which together shall constitute one and the same
      instrument.

     

    4.13  Third
      Party Beneficiaries. The
      provisions of this Agreement are: (i) intended for the benefit of the holders
      of
      Exchangeable Shares (other than Parent or its Affiliates), as and to the extent
      applicable in accordance with their terms, and shall be enforceable by each
      of
      such holders of Exchangeable Shares and their respective heirs, executors
      administrators and other legal representatives (collectively, the “Third Party
      Beneficiaries”) and the Purchaser shall hold the rights and benefits of this
      Agreement in trust for and on behalf of the Third Party Beneficiaries and the
      Purchaser hereby accepts such trust and agrees to hold the benefit of and
      enforce performance of such covenants on behalf of the Third Party
      Beneficiaries, and (ii) are in addition to, and not in substitution for, any
      other rights that the Third Party Beneficiaries may have by statute, contract
      or
      otherwise.

     

    

     

    [Remainder
      Of Page Intentionally Left Blank]

     

    

    
      
        
           

          
          

        

        
          11.

          
            

          

        

        
          
          

        

      

    

    

    In
      Witness Whereof,
      the
      parties hereto have caused this Agreement to be duly executed as of the date
      first above written.

     

    
      	 	 	 
	 	Ad.Venture
              Partners, Inc.
	 
 	 
 	 
 
	 	By:  	 
	 	
              
Name:
	 	Title 

      	 	 	 
	 	1305699
              Alberta ULC
	 
 	 
 	 
 
	 	By:  	 
	 	
              

            
	 	Title 

      	 	 	 
	 	6732097
              Canada Inc.
	 
 	 
 	 
 
	 	By:  	 
	 	
              

            
	 	Title 

    

     

    

     

    [Support
      Agreement Execution Page]

    
 

     

    

    
      
        
          
            .

          

          
          

        

        
          12.

          
            

          

        

        
          
          

          
            

          

        

      

    

    

    Schedule
      L

     

    VOTING
      AND EXCHANGE TRUST AGREEMENT

     

    

     

    

     

    

    
      
        
          
             

          

          
          

        

        
          1.

          
            

          

        

        
          
          

          
            

          

        

      

    

    

    Voting
      And Exchange Trust Agreement
      (“Agreement”) made as of the [•] day of [•], 2007.

     

    AMONG:

     

    Ad.Venture
      Partners, Inc.,
      a
      corporation existing under the laws of the State of Delaware (hereinafter
      referred to as “Parent”)

     

    and

     

    6732097
      Canada Inc.,
      a
      corporation existing under the laws of Canada (hereinafter referred to as
“Purchaser”)

     

    and

     

    Valiant
      Trust Company,
      a trust
      company incorporated under the laws of Alberta (hereinafter referred to as
      the
“Trustee”)

     

    Whereas,
      in
      connection with an arrangement agreement (the “Arrangement Agreement”) dated as
      of March 13, 2007 between the Company, Parent and Purchaser, it was agreed
      that
      on the Effective Date (as defined in the Plan of Arrangement contemplated in
      the
      Arrangement Agreement), Purchaser and Parent would enter into a voting and
      exchange trust agreement containing the terms and conditions set forth in the
      Arrangement Agreement together with such other terms and conditions as may
      be
      agreed by the parties acting reasonably; 

     

    And
      Whereas,
      under
      the Arrangement Agreement, it is contemplated that Parent will directly or
      indirectly acquire the issued and outstanding Common Shares of the Company;
      

     

    And
      Whereas, under
      the
      Arrangement Agreement, it is contemplated that exchangeable shares of Purchaser
      (“Exchangeable Shares”) may be issued by Purchaser, having the attributes
      described in the Arrangement Agreement including certain exchange rights and
      voting rights to be created for the benefit of the holders of Exchangeable
      Shares from time to time;

     

    And
      Whereas,
      these
      recitals are made by Parent and Purchaser but not by the Trustee;

     

    Now
      Therefore, in
      consideration of $10.00, the respective covenants and agreements provided in
      this Agreement and for other good and valuable consideration (the receipt and
      sufficiency of which are hereby acknowledged), the parties hereto covenant
      and
      agree as follows:

     

    ARTICLE
      1

     

    INTERPRETATION

     

    Section
      1.1 Definitions.
      In
      this
      Agreement, unless the context otherwise requires, the following terms shall
      have
      the following meanings respectively:

     

    “Affiliate”
has
      the
      meaning ascribed thereto in the Securities Act (Alberta), unless otherwise
      expressly stated herein;

     

    

    
      
        
           

          
          

        

        
          1.

          
            

          

        

        
          
          

        

      

    

    

    “Arrangement
      Agreement”
means
      the Arrangement Agreement by and among Parent, the Company and Purchaser dated
      as of March 13, 2007, as amended and restated from time to time, providing
      for,
      among other things, the arrangement resulting in the first issuance of
      Exchangeable Shares;

     

    “Beneficiaries”
means
      the registered holders from time to time of Exchangeable Shares, other than
      Parent and its Affiliates;

     

    “Beneficiary
      Votes”
has
      the
      meaning ascribed thereto in Section 4.2;

     

    “Business
      Day”
means
      a
      day of the year in which banks are not required or authorized to be closed
      in
      the City of Calgary, Alberta or the City of New York, New York;

     

    “Canco”
means
      1305699 Alberta ULC, a corporation incorporated under the laws of Alberta,
      or
      any other direct or indirect Subsidiary of the Parent designated by the Parent
      from time to time;

     

    “CBCA”
means
      the Canada Business Corporations Act as the same has been and may hereafter
      from
      time to time be amended;

     

    “Change
      of Law Call Right”
has
      the
      meaning ascribed thereto in the Exchangeable Share Provisions;

     

    “Company”
means
      180 Connect Inc., a corporation incorporated under the CBCA;

     

    “Equivalent
      Vote Amount”
means,
      with respect to any matter, proposition or question on which holders of Parent
      Shares are entitled to vote, consent or otherwise act, the number of votes
      to
      which a holder of one Parent Share is entitled with respect to such matter,
      proposition or question;

     

    “Exchange
      Right”
has
      the
      meaning ascribed thereto in Section 5.1;

     

    “Exchangeable
      Share Consideration”
has
      the
      meaning ascribed thereto in the Exchangeable Share Provisions;

     

    “Exchangeable
      Share Price”
has
      the
      meaning ascribed thereto in the Exchangeable Share Provisions;

     

    “Exchangeable
      Share Provisions”
means
      the rights, privileges, restrictions and conditions attaching to the
      Exchangeable Shares;

     

    “Exchangeable
      Share Support Agreement”
means
      that certain support agreement made as of even date herewith among Purchaser,
      Canco and Parent substantially in the form and content of Schedule K to the
      Arrangement Agreement, with such changes thereto as the parties to the
      Arrangement Agreement, acting reasonably, may agree;

     

    “Exchangeable
      Shares”
means
      the non voting Exchangeable Shares in the capital of Purchaser, having the
      rights, privileges, restrictions and conditions set out in attaching to the
      Exchangeable Shares as set out in the Articles of Purchaser;

     

    “Indemnified
      Parties”
has
      the
      meaning ascribed thereto in Section 8.1;

     

    “Insolvency
      Event”
means
      (i) the institution by Purchaser of any proceeding to be adjudicated a bankrupt
      or insolvent or to be wound up, or the consent of Purchaser to the institution
      of bankruptcy, insolvency or winding up proceedings against it, or (ii) the
      filing of a petition, answer or consent seeking dissolution or winding up under
      any bankruptcy, insolvency or analogous laws, including the Companies
      Creditors’ Arrangement Act (Canada)
      and the Bankruptcy
      and Insolvency Act (Canada),
      and the failure by Purchaser to contest in good faith any such proceedings
      commenced in respect of Purchaser within 30 days of becoming aware thereof,
      or
      the consent by Purchaser to the filing of any such petition or to the
      appointment of a receiver, or (iii) the making by Purchaser of a general
      assignment for the benefit of creditors, or the admission in writing by
      Purchaser of its inability to pay its debts generally as they become due, or
      (iv) Purchaser not being permitted, pursuant to solvency requirements of
      applicable law, to redeem any Retracted Shares pursuant to Section 6.6 of the
      Exchangeable Share Provisions;

     

    

    
      
        
           

          
          

        

        
          2.

          
            

          

        

        
          
          

        

      

    

    

    “Liquidation
      Call Right”
has
      the
      meaning ascribed thereto in the Exchangeable Share Provisions;

     

    “Liquidation
      Event”
has
      the
      meaning ascribed thereto in Section 5.12(b);

     

    “Liquidation
      Event Effective Time”
has
      the
      meaning ascribed thereto in Section 5.12(c);

     

    “List”
has
      the
      meaning ascribed thereto in Section 4.6;

     

    “Officer’s
      Certificate”
means,
      with respect to Parent or Purchaser, as the case may be, a certificate signed
      by
      any one of the authorized signatories of Parent or Purchaser, as the case may
      be;

     

    “Parent
      Consent”
has
      the
      meaning ascribed thereto in Section 4.2;

     

    “Parent
      Control Transaction”
has
      the
      meaning ascribed thereto in the Exchangeable Share Provisions;

     

    “Parent
      Meeting”
has
      the
      meaning ascribed thereto in Section 4.2;

     

    “Parent
      Shares”
has
      the
      meaning provided in the Exchangeable Share Provisions;

     

    “Parent
      Special Voting Share”
means
      one share of preferred stock of Parent to which that number of voting rights
      attach (each such voting right to be equal to the voting rights attached to
      one
      Parent Share) equal to the number of outstanding Exchangeable Shares held by
      Beneficiaries; 

     

    “Parent
      Successor”
has
      the
      meaning ascribed thereto in Section 10.1(a);

     

    “Person”
means
      any individual, corporation (including any non-profit corporation), general
      partnership, limited partnership, limited liability partnership, joint venture,
      estate, trust, company (including any limited liability company, unlimited
      liability company or joint stock company), firm, enterprise, association,
      organization or any other entity, including any (a) multinational, federal,
      provincial, territorial, state, regional, municipal, local or other government,
      governmental or public department, central bank, court, tribunal, arbitral
      body,
      commission, board, bureau or agency, domestic or foreign, (b) subdivision,
      agent, including any tribunal, commission, regulatory agency or self regulatory
      organization or authority of any of the foregoing in (a), or (c) quasi
      governmental or private body exercising any regulatory, expropriation or taxing
      authority under or for the account of any of the foregoing in (a) or
      (b);

     

    “Redemption
      Call Right”
has
      the
      meaning ascribed thereto in the Exchangeable Share Provisions;

     

    “Redemption
      Date”
has
      the
      meaning ascribed thereto in the Exchangeable Share Provisions;

     

    

    
      
        
           

          
          

        

        
          3.

          
            

          

        

        
          
          

        

      

    

    

    “Retracted
      Shares”
has
      the
      meaning ascribed thereto in Section 5.7;

     

    “Retraction
      Call Right”
has
      the
      meaning ascribed thereto in the Exchangeable Share Provisions;

     

    “Rights
      upon Automatic Exchange”
means
      the benefit of the obligation of Parent to effect the automatic exchange of
      Exchangeable Shares for Parent Shares pursuant to Section 5.12;

     

    “Trust”
means
      the trust created by this Agreement;

     

    “Trust
      Estate”
means
      the Parent Special Voting Share, any other securities, the Exchange Right,
      the
      Rights upon Automatic Exchange and any money or other property which may be
      held
      by the Trustee from time to time pursuant to this Agreement; and

     

    “Voting
      Rights”
means
      the voting rights of the Parent Special Voting Share held by the
      Trustee.

     

    In
      addition to the foregoing, all capitalized terms used herein and not otherwise
      defined have the same meaning as set forth in the Arrangement
      Agreement.

     

    Section
      1.2 Interpretation
      Not Affected By Headings, Etc.
      The
      division of this Agreement into articles, sections and other portions and the
      insertion of headings are for convenience of reference only and should not
      affect the construction or interpretation hereof. Unless otherwise indicated,
      all references to an “Article” or “Section” followed by a number refer to the
      specified Article or Section of this Agreement. The terms “this Agreement,”
“hereof”, “herein” and “hereunder” and similar expressions refer to this
      Agreement and not to any particular Article, Section or other portion
      hereof.

     

    Section
      1.3 Rules
      of Construction. Unless
      otherwise specifically indicated or the context otherwise requires, (a) all
      references to “dollars” or “$” mean United States dollars, (b) words importing
      the singular shall include the plural and vice versa and words importing any
      gender shall include all genders, and (c) “include,” “includes” and “including”
shall be deemed to be followed by the words “without limitation.”

     

    Section
      1.4 Date
      for Any Action.
      In the
      event that any date on which any action is required to be taken hereunder by
      any
      of the parties hereto is not a Business Day, such action shall be required
      to be
      taken on the next succeeding day that is a Business Day.

     

    Section
      1.5 Payments.
      All
      payments to be made hereunder will be made without interest and less any tax
      required by applicable law to be deducted or withheld.

     

    ARTICLE
      2

     

    PURPOSE
      OF AGREEMENT

     

    Section
      2.1 Establishment
      of Trust.
      The
      purpose of this Agreement is to create the Trust for the benefit of the
      Beneficiaries as herein provided. The Trustee will hold the Parent Special
      Voting Share in order to enable the Trustee to exercise the Voting Rights and
      will hold the Exchange Right and the Rights upon Automatic Exchange in order
      to
      enable the Trustee to exercise such rights, in each case as trustee for and
      on
      behalf of the Beneficiaries as provided in this Agreement. 

     

    

    
      
        
           

          
          

        

        
          4.

          
            

          

        

        
          
          

        

      

    

    

    ARTICLE
      3

     

    PARENT
      SPECIAL VOTING SHARE

     

    Section
      3.1 Issue
      and Ownership of the Parent Special Voting Share.
      Parent
      hereby agrees to issue to, and deposit with, the Trustee the Parent Special
      Voting Share to be hereafter held of record by the Trustee as trustee for and
      on
      behalf of, and for the use and benefit of, the Beneficiaries and in accordance
      with the provisions of this Agreement. Parent hereby acknowledges receipt from
      the Trustee as trustee for and on behalf of the Beneficiaries of good and
      valuable consideration (and the adequacy thereof) for the issuance of the Parent
      Special Voting Share by Parent to the Trustee. During the term of the Trust
      and
      subject to the terms and conditions of this Agreement, the Trustee shall possess
      and be vested with full legal ownership of such Parent Special Voting Share
      and
      shall be entitled to exercise all of the rights and powers of an owner with
      respect to such Parent Special Voting Share provided that the Trustee
      shall:

     

    (a) hold
      such
      Parent Special Voting Share and the legal title thereto as trustee solely for
      the use and benefit of the Beneficiaries in accordance with the provisions
      of
      this Agreement; and

     

    (b) except
      as
      specifically authorized by this Agreement, have no power or authority to sell,
      transfer, vote or otherwise deal in or with such Parent Special Voting Share
      and
      such Parent Special Voting Share shall not be used or disposed of by the Trustee
      for any purpose other than the purposes for which this Trust is created pursuant
      to this Agreement.

     

    Section
      3.2 Legended
      Share Certificates.
      Purchaser will cause each certificate representing Exchangeable Shares to bear
      an appropriate legend notifying the Beneficiaries of their right to instruct
      the
      Trustee with respect to the exercise of the portion of the Voting Rights in
      respect of the Exchangeable Shares held by the Beneficiaries.

     

    Section
      3.3 Safe
      Keeping of Certificate.
      The
      physical certificate representing the Parent Special Voting Share shall at
      all
      times be held in safe keeping by the Trustee or its duly authorized
      agent.

     

    ARTICLE
      4

     

    EXERCISE
      OF VOTING RIGHTS

     

    Section
      4.1 Voting
      Rights. The
      Trustee, as the holder of record of the Parent Special Voting Share forming
      part
      of the Trust Estate, shall be entitled to all of the Voting Rights, including
      the right to vote in person or by proxy the Parent Special Voting Share held
      by
      the Trustee on any matter, question, proposal or proposition whatsoever that
      may
      properly come before the shareholders of Parent at a Parent Meeting or in
      connection with a Parent Consent. The Voting Rights shall be and remain vested
      in and exercised by the Trustee. Subject to Section 6.14 hereof:

     

    (a) the
      Trustee shall exercise the Voting Rights only on the basis of instructions
      received pursuant to this Article 4 from Beneficiaries entitled to instruct
      the
      Trustee as to the voting thereof at the time at which the Parent Meeting is
      held
      or a Parent Consent is sought; and 

     

    (b) to
      the
      extent that no instructions are received from a Beneficiary with respect to
      the
      Voting Rights to which such Beneficiary is entitled, the Trustee shall not
      exercise or permit the exercise of such Voting Rights.

     

    

    
      
        
           

          
          

        

        
          5.

          
            

          

        

        
          
          

        

      

    

    

    Section
      4.2 Number
      of Votes. With
      respect to all meetings of shareholders of Parent at which holders of Parent
      Shares are entitled to vote (each, a “Parent
      Meeting”)
      and
      with respect to all written consents sought from Parent’s shareholders,
      including the holders of Parent Shares (each, a “Parent
      Consent”),
      each
      Beneficiary shall be entitled to instruct the Trustee to cast and exercise,
      in
      the manner instructed, a number of votes equal to the Equivalent Vote Amount
      for
      each Exchangeable Share owned of record by such Beneficiary on the record date
      established by Parent or by applicable law for such Parent Meeting or Parent
      Consent, as the case may be (collectively, the “Beneficiary
      Votes”),
      in
      respect of each matter, question, proposal or proposition to be voted on at
      such
      Parent Meeting or consented to in connection with such Parent
      Consent.

     

    Any
      Beneficiary who chooses to attend a Parent Meeting in person will be entitled
      to
      one vote on a show of hands.

     

    Section
      4.3 Mailings
      to Shareholders. With
      respect to each Parent Meeting and Parent Consent, the Trustee will use its
      reasonable commercial efforts promptly to mail or cause to be mailed (or
      otherwise communicate in the same manner as Parent utilizes in communications
      to
      holders of Parent Shares subject to applicable regulatory requirements and
      provided such manner of communications is reasonably available to the Trustee)
      to each of the Beneficiaries named in the List, such mailing or communication
      to
      commence on the same day as the mailing or notice (or other communication)
      with
      respect thereto is commenced by Parent to its shareholders:

     

    (a) a
      copy of
      such notice, together with any related materials, including any proxy or
      information statement, to be provided to shareholders of Parent;

     

    (b) a
      statement that such Beneficiary is entitled to instruct the Trustee as to the
      exercise of the Beneficiary Votes with respect to such Parent Meeting or Parent
      Consent or, pursuant to Section 4.7, to attend such Parent Meeting and to
      exercise personally thereat the Beneficiary Votes of such
      Beneficiary;

     

    (c) a
      statement as to the manner in which such instructions may be given to the
      Trustee, including an express indication that instructions may be given to
      the
      Trustee to give:

     

    (i) a
      proxy
      to such Beneficiary or its designee to exercise personally the Beneficiary
      Votes; or

     

    (ii) a
      proxy
      to a designated agent or other representative of the management of Parent to
      exercise such Beneficiary Votes;

     

    (d) a
      statement that if no such instructions are received from the Beneficiary, the
      Beneficiary Votes to which such Beneficiary is entitled will not be
      exercised;

     

    (e) a
      form of
      direction whereby the Beneficiary may so direct and instruct the Trustee as
      contemplated herein; and 

     

    (f) a
      statement of the time and date by which such instructions must be received
      by
      the Trustee in order to be binding upon it, which in the case of a Parent
      Meeting shall not be earlier than the close of business on the second Business
      Day prior to such meeting, and of the method for revoking or amending such
      instructions.

     

    For
      the
      purpose of determining Beneficiary Votes to which a Beneficiary is entitled
      in
      respect of any Parent Meeting or Parent Consent, the number of Exchangeable
      Shares owned of record by the Beneficiary shall be determined at the close
      of
      business on the record date established by Parent or by applicable law for
      purposes of determining shareholders entitled to vote at such Parent Meeting
      or
      to give written consent in connection with such Parent Consent. Parent will
      notify the Trustee of any decision of the Board of Directors of Parent with
      respect to the calling of any Parent Meeting or the seeking of any Parent
      Consent and shall provide all necessary information and materials to the Trustee
      in each case promptly and in any event in sufficient time to enable the Trustee
      to perform its obligations contemplated by this Section 4.3.

     

    

    
      
        
           

          
          

        

        
          6.

          
            

          

        

        
          
          

        

      

    

    

    The
      materials referred to in this Section 4.3 are to be provided to the Trustee
      by
      Parent and the materials referred to in Section 4.3(c), Section 4.3(e) and
      Section 4.3(f) shall be subject to reasonable comment by the Trustee in a timely
      manner. Parent shall ensure that the materials to be provided to the Trustee
      are
      provided in sufficient time to permit the Trustee to comment as aforesaid and
      to
      send all materials to each Beneficiary at the same time as such materials are
      first sent to holders of Parent Shares. Parent agrees not to communicate with
      holders of Parent Shares with respect to the materials referred to in this
      Section 4.3 otherwise than by mail unless such method of communication is also
      reasonably available to the Trustee for communication with the Beneficiaries.
      Notwithstanding the foregoing, Parent may at its option exercise the duties
      of
      the Trustee to deliver copies of all materials to each Beneficiary as required
      by this Section 4.3 so long as in each case Parent delivers a certificate to
      the
      Trustee stating that Parent has undertaken to perform the obligations set forth
      in this Section 4.3.

     

    Section
      4.4 Copies
      of Shareholder Information. Parent
      will deliver to the Trustee copies of all proxy materials (including notices
      of
      Parent Meetings but excluding proxies to vote Parent Shares), information
      statements, reports (including all interim and annual financial statements)
      and
      other written communications that, in each case, are to be distributed from
      time
      to time to holders of Parent Shares in sufficient quantities and in sufficient
      time so as to enable the Trustee to send those materials to each Beneficiary,
      to
      the extent possible, at the same time as such materials are first sent to
      holders of Parent Shares. The Trustee will mail or otherwise send to each
      Beneficiary, at the expense of Parent, copies of all such materials (and all
      materials specifically directed to the Beneficiaries or to the Trustee for
      the
      benefit of the Beneficiaries by Parent) received by the Trustee from Parent,
      to
      the extent possible, at the same time as such materials are sent to holders
      of
      Parent Shares. The Trustee will make copies of all such materials available
      for
      inspection by any Beneficiary at the Trustee’s principal office in Calgary,
      Alberta. Notwithstanding the foregoing, Parent at its option may exercise the
      duties of the Trustee to deliver copies of all materials to each Beneficiary
      as
      required by this Section 4.4 so long as in each case Parent delivers a
      certificate to the Trustee stating that Parent has undertaken to perform the
      obligations set forth in this Section 4.4.

     

    Section
      4.5 Other
      Materials. As
      soon
      as reasonably practicable after receipt by Parent or holders of Parent Shares
      (if such receipt is known by Parent) of any material sent or given by or on
      behalf of a third party to holders of Parent Shares generally, including
      dissident proxy and information circulars (and related information and material)
      and tender and exchange offer circulars (and related information and material),
      Parent shall use its reasonable best efforts to obtain and deliver to the
      Trustee copies thereof in sufficient quantities so as to enable the Trustee
      to
      forward such material (unless the same has been provided directly to
      Beneficiaries by such third party) to each Beneficiary as soon as possible
      thereafter. As soon as reasonably practicable after receipt thereof, the Trustee
      will mail or otherwise send to each Beneficiary, at the expense of Parent,
      copies of all such materials received by the Trustee from Parent. The Trustee
      will also make available for inspection by any Beneficiary at the Trustee’s
      principal office in Calgary, Alberta, copies of all such materials.
      Notwithstanding the foregoing, Parent at its option may exercise the duties
      of
      the Trustee to deliver copies of all such materials to each Beneficiary as
      required by this Section 4.5 so long as in each case Parent delivers a
      certificate to the Trustee stating that Parent has undertaken to perform the
      obligations set forth in this Section 4.5.

     

    

    
      
        
           

          
          

        

        
          7.

          
            

          

        

        
          
          

        

      

    

    

    Section
      4.6 List
      of Persons Entitled to Vote. Purchaser
      shall, (a) prior to each annual and special Parent Meeting or the seeking of
      any
      Parent Consent and (b) forthwith upon each request made at any time by the
      Trustee in writing, prepare or cause to be prepared a list (a “List”)
      of the
      names and addresses of the Beneficiaries arranged in alphabetical order and
      showing the number of Exchangeable Shares held of record by each such
      Beneficiary, in each case at the close of business on the date specified by
      the
      Trustee in such request or, in the case of a List prepared in connection with
      a
      Parent Meeting or a Parent Consent, at the close of business on the record
      date
      established by Parent or pursuant to applicable law for determining the holders
      of Parent Shares entitled to receive notice of and/or to vote at such Parent
      Meeting or to give consent in connection with such Parent Consent. Each such
      List shall be delivered to the Trustee promptly after receipt by Purchaser
      of
      such request or the record date for such meeting or seeking of consent, as
      the
      case may be, and in any event within sufficient time as to permit the Trustee
      to
      perform its obligations under this Agreement. Parent agrees to give Purchaser
      notice (with a copy to the Trustee) of the calling of any Parent Meeting or
      the
      seeking of any Parent Consent by Parent or its management, together with the
      record dates therefor, sufficiently prior to the date of the calling of such
      meeting or seeking of such consent so as to enable Purchaser to perform its
      obligations under this Section 4.6.

     

    Section
      4.7 Entitlement
      to Direct Votes. Any
      Beneficiary named in a List prepared in connection with any Parent Meeting
      or
      Parent Consent will be entitled (a) to instruct the Trustee in the manner
      described in Section 4.2 with respect to the exercise of the Beneficiary Votes
      to which such Beneficiary is entitled or (b) to attend such meeting and
      personally exercise thereat (or to personally exercise with respect to any
      Parent Consent), as the proxy of the Trustee, the Beneficiary Votes to which
      such Beneficiary is entitled.

     

    Section
      4.8 Voting
      by Trustee and Attendance of Trustee Representative at
      Meeting.

     

    (a) In
      connection with each Parent Meeting and Parent Consent, the Trustee shall
      exercise, either in person or by proxy, in accordance with the instructions
      received from a Beneficiary pursuant to Section 4.2, the Beneficiary Votes
      as to
      which such Beneficiary is entitled to direct the vote (or any lesser number
      thereof as may be set forth in the instructions); provided, however, that such
      written instructions are received by the Trustee from the Beneficiary prior
      to
      the time and date fixed by the Trustee for receipt of such instruction in the
      notice given by the Trustee to the Beneficiary pursuant to Section
      4.3.

     

    (b) The
      Trustee shall cause a representative who is empowered by it to sign and deliver,
      on behalf of the Trustee, proxies for Voting Rights to attend each Parent
      Meeting. Upon submission by a Beneficiary (or its designee) of identification
      satisfactory to the Trustee’s representative, and at the Beneficiary’s request,
      such representative shall sign and deliver to such Beneficiary (or its designee)
      a proxy to exercise personally the Beneficiary Votes as to which such
      Beneficiary is otherwise entitled hereunder to direct the vote, if such
      Beneficiary either (i) has not previously given the Trustee instructions
      pursuant to Section 4.2 in respect of such meeting or (ii) submits to such
      representative written revocation of any such previous instructions. At such
      meeting, upon receipt of a proxy from the Trustee’s representative, the
      Beneficiary exercising such Beneficiary Votes shall have the same rights as
      the
      Trustee to speak at the meeting in respect of any matter, question, proposal
      or
      proposition, to vote by way of ballot at the meeting in respect of any matter,
      question, proposal or proposition, and to vote at such meeting by way of a
      show
      of hands in respect of any matter, question or proposition.

     

    Section
      4.9 Distribution
      of Written Materials. Any
      written materials distributed by or on behalf of the Trustee pursuant to this
      Agreement shall be sent by mail (or otherwise communicated in the same manner
      as
      Parent utilizes in communications to holders of Parent Shares, subject to
      applicable regulatory requirements and provided such manner of communications
      is
      reasonably available to the Trustee) to each Beneficiary at its address as
      shown
      on the books of Purchaser. Parent agrees not to communicate with holders of
      Parent Shares with respect to such written material otherwise than by mail
      unless such method of communication is also reasonably available to the Trustee
      for communication with the Beneficiaries. Purchaser shall provide or cause
      to be
      provided to the Trustee for purposes of communication, on a timely basis and
      without charge or other expense:

     

    

    
      
        
           

          
          

        

        
          8.

          
            

          

        

        
          
          

        

      

    

    

    (a) a
      current
      List; and

     

    (b) upon
      the
      request of the Trustee, mailing labels to enable the Trustee to carry out its
      duties under this Agreement.

     

    Purchaser’s
      obligations under this Section 4.9 shall be deemed satisfied to the extent
      Parent exercises its option to perform the duties of the Trustee to deliver
      copies of materials to each Beneficiary and Purchaser provides the required
      information and materials to Parent.

     

    Section
      4.10 Termination
      of Voting Rights. Except
      as
      otherwise provided herein or in the Exchangeable Share Provisions, all of the
      rights of a Beneficiary with respect to the Beneficiary Votes exercisable in
      respect of the Exchangeable Shares held by such Beneficiary, including the
      right
      to instruct the Trustee as to the voting of or to vote personally such
      Beneficiary Votes, shall be deemed to be surrendered by the Beneficiary to
      Parent or Canco, as the case may be, and such Beneficiary Votes and the Voting
      Rights represented thereby shall cease and be terminated immediately, upon
      the
      delivery by such Beneficiary to the Trustee of the certificates representing
      such Exchangeable Shares in connection with the exercise by the Beneficiary
      of
      the Exchange Right or upon the occurrence of the automatic exchange of
      Exchangeable Shares for Parent Shares, as specified in Article 5 (unless, in
      either case, Parent shall not have delivered the Exchangeable Share
      Consideration deliverable in exchange therefor to the Trustee for delivery
      to
      the Beneficiaries), or upon the redemption of Exchangeable Shares pursuant
      to
      Article 6 or Article 7 of the Exchangeable Share Provisions, or upon the
      effective date of the liquidation, dissolution or winding up of Purchaser
      pursuant to Article 5 of the Exchangeable Share Provisions, or upon the purchase
      of Exchangeable Shares from the holder thereof by Canco pursuant to the exercise
      by Canco of the Retraction Call Right, the Redemption Call Right or the
      Liquidation Call Right, or upon the purchase of Exchangeable Shares from the
      holders thereof by Parent or Canco pursuant to the exercise by Parent or Canco
      of the Change of Law Call Right.

     

    ARTICLE
      5

     

    EXCHANGE
      RIGHT AND AUTOMATIC EXCHANGE

     

    Section
      5.1 Grant
      and Ownership of the Exchange Right. Parent
      hereby grants to the Trustee as trustee for and on behalf of, and for the use
      and benefit of, the Beneficiaries the right (the “Exchange
      Right”),
      upon
      the occurrence and during the continuance of an Insolvency Event, to require
      Parent to purchase from each or any Beneficiary all or any part of the
      Exchangeable Shares held by such Beneficiary and the Rights upon Automatic
      Exchange, all in accordance with the provisions of this Agreement. Parent hereby
      acknowledges receipt from the Trustee as trustee for and on behalf of the
      Beneficiaries of good and valuable consideration (and the adequacy thereof)
      for
      the grant of the Exchange Right and the Rights upon Automatic Exchange by Parent
      to the Trustee. During the term of the Trust and subject to the terms and
      conditions of this Agreement, the Trustee shall possess and be vested with
      full
      legal ownership of the Exchange Right and the Rights upon Automatic Exchange
      and
      shall be entitled to exercise all of the rights and powers of an owner with
      respect to the Exchange Right and the Rights upon Automatic Exchange, provided
      that the Trustee shall:

     

    

    
      
        
           

          
          

        

        
          9.

          
            

          

        

        
          
          

        

      

    

    

    (a) hold
      the
      Exchange Right and the Rights upon Automatic Exchange and the legal title
      thereto as trustee solely for the use and benefit of the Beneficiaries in
      accordance with the provisions of this Agreement; and

     

    (b) except
      as
      specifically authorized by this Agreement, have no power or authority to
      exercise or otherwise deal in or with the Exchange Right or the Rights upon
      Automatic Exchange, and the Trustee shall not exercise any such rights for
      any
      purpose other than the purposes for which the Trust is created pursuant to
      this
      Agreement.

     

    Section
      5.2 Legended
      Share Certificates. Purchaser
      will cause each certificate representing Exchangeable Shares to bear an
      appropriate legend notifying the Beneficiaries of:

     

    (a) their
      right to instruct the Trustee with respect to the exercise of the Exchange
      Right
      in respect of the Exchangeable Shares held by a Beneficiary; and

     

    (b) the
      Rights upon Automatic Exchange.

     

    Section
      5.3 General
      Exercise of Exchange Right. The
      Exchange Right shall be and remain vested in and exercisable by the Trustee.
      Subject to Section 6.14, the Trustee shall exercise the Exchange Right only
      on
      the basis of instructions received pursuant to this Article 5 from Beneficiaries
      entitled to instruct the Trustee as to the exercise thereof. To the extent
      that
      no instructions are received from a Beneficiary with respect to the Exchange
      Right, the Trustee shall not exercise or permit the exercise of the Exchange
      Right.

     

    Section
      5.4 Purchase
      Price. The
      purchase price payable by Parent for each Exchangeable Share to be purchased
      by
      Parent under the Exchange Right shall be an amount per share equal to the
      Exchangeable Share Price on the last Business Day prior to the day of closing
      of
      the purchase and sale of such Exchangeable Share under the Exchange Right.
      In
      connection with each exercise of the Exchange Right, Parent shall provide to
      the
      Trustee an Officer’s Certificate setting forth the calculation of the
      Exchangeable Share Price for each Exchangeable Share. The Exchangeable Share
      Price for each such Exchangeable Share so purchased may be satisfied only by
      Parent delivering or causing to be delivered to the Trustee, on behalf of the
      relevant Beneficiary, the Exchangeable Share Consideration representing the
      total Exchangeable Share Price. Upon payment by Parent of such purchase price
      to
      the Trustee for the benefit of the Beneficiary, the relevant Beneficiary shall
      cease to have any right to be paid any amount in respect of declared and unpaid
      dividends on each such Exchangeable Share by Purchaser.

     

    Section
      5.5 Exercise
      Instructions. Subject
      to the terms and conditions herein set forth, a Beneficiary shall be entitled,
      upon the occurrence and during the continuance of an Insolvency Event, to
      instruct the Trustee to exercise the Exchange Right with respect to all or
      any
      part of the Exchangeable Shares registered in the name of such Beneficiary
      on
      the books of Purchaser. To cause the exercise of the Exchange Right by the
      Trustee, the Beneficiary shall deliver to the Trustee, in person or by certified
      or registered mail, at its principal office in Calgary, Alberta or at such
      other
      places in Canada as the Trustee may from time to time designate by written
      notice to the Beneficiaries, the certificates representing the Exchangeable
      Shares which such Beneficiary desires Parent to purchase, duly endorsed in
      blank
      for transfer, and accompanied by such other documents and instruments as may
      be
      required to effect a transfer of Exchangeable Shares under the Act and the
      by
      laws of Purchaser and such additional documents and instruments as the Trustee,
      Purchaser and Parent may reasonably require together with (a) a duly completed
      form of notice of exercise of the Exchange Right, contained on the reverse
      of or
      attached to the Exchangeable Share certificates, stating (i) that the
      Beneficiary thereby instructs the Trustee to exercise the Exchange Right so
      as
      to require Parent to purchase from the Beneficiary the number of Exchangeable
      Shares specified therein, (ii) that such Beneficiary has good title to and
      owns
      all such Exchangeable Shares to be acquired by Parent free and clear of all
      liens, claims, security interests and encumbrances, (iii) the names in which
      the
      certificates representing Parent Shares issuable in connection with the exercise
      of the Exchange Right are to be issued and (iv) the names and addresses of
      the
      persons to whom such new certificates should be delivered, and (b) payment
      (or
      evidence satisfactory to the Trustee, Purchaser and Parent of payment) of the
      taxes (if any) payable as contemplated by Section 5.8 of this Agreement. If
      only
      a part of the Exchangeable Shares represented by any certificate or certificates
      delivered to the Trustee are to be purchased by Parent under the Exchange Right,
      a new certificate for the balance of such Exchangeable Shares shall be issued
      to
      the holder at the expense of Purchaser.

     

    

    
      
        
           

          
          

        

        
          10.

          
            

          

        

        
          
          

        

      

    

    

    Section
      5.6 Delivery
      of Parent Shares; Effect of Exercise. Promptly
      after the receipt by the Trustee of the certificates representing the
      Exchangeable Shares which the Beneficiary desires Parent to purchase under
      the
      Exchange Right, together with such documents and instruments of transfer and
      a
      duly completed form of notice of exercise of the Exchange Right (and payment
      of
      taxes, if any payable as contemplated by Section 5.8 or evidence thereof),
      duly
      endorsed for transfer to Parent, the Trustee shall notify Parent and Purchaser
      of its receipt of the same, which notice to Parent and Purchaser shall
      constitute exercise of the Exchange Right by the Trustee on behalf of the
      Beneficiary in respect of such Exchangeable Shares, and Parent shall promptly
      thereafter deliver or cause to be delivered to the Trustee, for delivery to
      the
      Beneficiary in respect of such Exchangeable Shares (or to such other persons,
      if
      any, properly designated by such Beneficiary) the Exchangeable Share
      Consideration deliverable in connection with the exercise of the Exchange Right;
      provided, however, that no such delivery shall be made unless and until the
      Beneficiary requesting the same shall have paid (or provided evidence
      satisfactory to the Trustee, Purchaser and Parent of the payment of) the taxes
      (if any) payable as contemplated by Section 5.8 of this Agreement. Immediately
      upon the giving of notice by the Trustee to Parent and Purchaser of the exercise
      of the Exchange Right, as provided in this Section 5.6, the closing of the
      transaction of purchase and sale contemplated by the Exchange Right shall be
      deemed to have occurred, and the Beneficiary of such Exchangeable Shares shall
      be deemed to have transferred to Parent all of such Beneficiary’s right, title
      and interest in and to such Exchangeable Shares and in the related interest
      in
      the Trust Estate and shall cease to be a holder of such Exchangeable Shares
      and
      shall not be entitled to exercise any of the rights of a holder in respect
      thereof, other than the right to receive his proportionate part of the total
      Exchangeable Share Consideration therefor, unless such Exchangeable Share
      Consideration is not delivered by Parent to the Trustee for delivery to such
      Beneficiary (or to such other person, if any, properly designated by such
      Beneficiary) within three Business Days of the date of the giving of such notice
      by the Trustee, in which case the rights of the Beneficiary shall remain
      unaffected until such Exchangeable Share Consideration is delivered by Parent
      and any cheque included therein is paid. Upon delivery of such Exchangeable
      Share Consideration by Parent to the Trustee, the Trustee shall promptly deliver
      such Exchangeable Share Consideration to such Beneficiary (or to such other
      person, if any, properly designated by such Beneficiary). Concurrently with
      such
      Beneficiary ceasing to be a holder of Exchangeable Shares, the Beneficiary
      shall
      be considered and deemed for all purposes to be the holder of the Parent Shares
      delivered to it pursuant to the Exchange Right.

     

    Section
      5.7 Exercise
      of Exchange Right Subsequent to Retraction. In
      the
      event that a Beneficiary has exercised its right under Article 6 of the
      Exchangeable Share Provisions to require Purchaser to redeem any or all of
      the
      Exchangeable Shares held by the Beneficiary (the “Retracted Shares”) and is
      notified by Purchaser pursuant to Section 6.6 of the Exchangeable Share
      Provisions that Purchaser will not be permitted as a result of solvency
      requirements of applicable law to redeem all such Retracted Shares, and provided
      that Canco shall not have exercised the Retraction Call Right with respect
      to
      the Retracted Shares and that the Beneficiary has not revoked the retraction
      request delivered by the Beneficiary to Purchaser pursuant to Section 6.7 of
      the
      Exchangeable Share Provisions, and provided further that the Trustee has
      received written notice of same from Purchaser or Parent, the retraction request
      will constitute and will be deemed to constitute notice from the Beneficiary
      to
      the Trustee instructing the Trustee to exercise the Exchange Right with respect
      to those Retracted Shares that Purchaser is unable to redeem. In any such event,
      Purchaser hereby agrees with the Trustee and in favour of the Beneficiary
      promptly to forward or cause to be forwarded to the Trustee all relevant
      materials delivered by the Beneficiary to Purchaser or to the transfer agent
      of
      the Exchangeable Shares (including a copy of the retraction request delivered
      pursuant to Section 6.7 of the Exchangeable Share Provisions) in connection
      with
      such proposed redemption of the Retracted Shares and the Trustee will thereupon
      exercise the Exchange Right with respect to the Retracted Shares that Purchaser
      is not permitted to redeem and will require Parent to purchase such shares
      in
      accordance with the provisions of this Article 5.

     

    

    
      
        
           

          
          

        

        
          11.

          
            

          

        

        
          
          

        

      

    

    

    Section
      5.8 Stamp
      or Other Transfer Taxes. Upon
      any
      sale of Exchangeable Shares to Parent pursuant to the Exchange Right or the
      Rights upon Automatic Exchange, the share certificate or certificates
      representing Parent Shares to be delivered in connection with the payment of
      the
      purchase price therefor shall be issued in the name of the Beneficiary in
      respect of the Exchangeable Shares so sold or in such names as such Beneficiary
      may otherwise direct in writing without charge to the holder of the Exchangeable
      Shares so sold; provided, however, that such Beneficiary (a) shall pay (and
      none
      of Parent, Purchaser or the Trustee shall be required to pay) any documentary,
      stamp, transfer or other taxes that may be payable in respect of any transfer
      involved in the issuance or delivery of such shares to a person other than
      such
      Beneficiary or (b) shall have evidenced to the satisfaction of Parent that
      such
      taxes, if any, have been paid.

     

    Section
      5.9 Notice
      of Insolvency Event. As
      soon
      as practicable following the occurrence of an Insolvency Event or any event
      that
      with the giving of notice or the passage of time or both would be an Insolvency
      Event, Purchaser and Parent shall give written notice thereof to the Trustee.
      As
      soon as practicable following the receipt of notice from Purchaser and Parent
      of
      the occurrence of an Insolvency Event, or upon the Trustee becoming aware of
      an
      Insolvency Event, the Trustee will mail to each Beneficiary, at the expense
      of
      Parent (such funds to be received in advance), a notice of such Insolvency
      Event
      in the form provided by Parent, which notice shall contain a brief statement
      of
      the rights of the Beneficiaries with respect to the Exchange Right.

     

    Section
      5.10 Qualification
      of Parent Shares. Parent
      covenants that if any Parent Shares issuable pursuant to the Exchange Right
      or
      the Rights upon Automatic Exchange require registration or qualification with
      or
      approval of or the filing of any document, including any registration statement,
      prospectus or similar document, or the taking of any proceeding with or the
      obtaining of any order, ruling or consent from any governmental or regulatory
      authority under any Canadian or United States federal, provincial, territorial
      or state law or regulation or pursuant to the rules and regulations of any
      regulatory authority or stock exchange or the fulfilment of any other Canadian
      or United States federal, provincial, territorial or state legal requirement
      before such shares may be issued and delivered by Parent to the initial holder
      thereof or in order that such shares may be freely traded thereafter (other
      than
      any restrictions of general application on transfer by reason of a holder being
      a “control person” of Parent for purposes of Canadian provincial securities law
      or an “affiliate” of Parent for purposes of United States federal or state
      securities law), Parent will in good faith use its reasonable best efforts
      to
      take all such actions and do all such things as are necessary or desirable
      to
      cause such Parent Shares to be and remain duly registered, qualified or approved
      under United States and/or Canadian law, as the case may be, to the extent
      provided in the Arrangement Agreement. Parent will use its reasonable best
      efforts and in good faith expeditiously take all such actions and do all such
      things as are reasonably necessary or desirable to cause all Parent Shares
      to be
      delivered pursuant to the Exchange Right or the Rights upon Automatic Exchange
      to be listed, quoted or posted for trading on all stock exchanges and quotation
      systems on which outstanding Parent Shares are listed, quoted or posted for
      trading at such time.

     

    

    
      
        
           

          
          

        

        
          12.

          
            

          

        

        
          
          

        

      

    

    

    Section
      5.11 Parent
      Shares. Parent
      hereby represents, warrants and covenants that the Parent Shares issuable to
      Beneficiaries as described herein will be duly authorized and validly issued,
      fully paid and non assessable and shall be free and clear of any lien, claim
      or
      encumbrance.

     

    Section
      5.12 Automatic
      Exchange on Liquidation of Parent.

     

    (a) Parent
      will give the Trustee written notice of each of the following events at the
      time
      set forth below:

     

    (i) in
      the
      event of any determination by the Board of Directors of Parent to institute
      voluntary liquidation, dissolution or winding up proceedings with respect to
      Parent or to effect any other distribution of assets of Parent among its
      shareholders for the purpose of winding up its affairs, at least 60 days prior
      to the proposed effective date of such liquidation, dissolution, winding up
      or
      other distribution; and

     

    (ii) promptly
      following the earlier of (A) receipt by Parent of notice of, and (B) Parent
      otherwise becoming aware of, any threatened or instituted claim, suit, petition
      or other proceedings with respect to the involuntary liquidation, dissolution
      or
      winding up of Parent or to effect any other distribution of assets of Parent
      among its shareholders for the purpose of winding up its affairs, in each case
      where Parent has failed to contest in good faith any such proceeding commenced
      in respect of Parent within 30 days of becoming aware thereof.

     

    (b) Promptly
      following receipt by the Trustee from Parent of notice of any event (a
“Liquidation
      Event”)
      contemplated by Section 5.12(a) above, the Trustee will give notice thereof
      to
      the Beneficiaries. Such notice shall be provided to the Trustee by Parent and
      shall include a brief description of rights of the Beneficiaries with respect
      to
      the Rights upon Automatic Exchange provided for in Section 5.12(c).

     

    (c) In
      order
      that the Beneficiaries will be able to participate on a pro rata basis with
      the
      holders of Parent Shares in the distribution of assets of Parent in connection
      with a Liquidation Event, immediately prior to the effective time (the
“Liquidation
      Event Effective Time”)
      of a
      Liquidation Event all of the then outstanding Exchangeable Shares shall be
      automatically exchanged for Parent Shares. To effect such automatic exchange,
      Parent shall purchase each Exchangeable Share outstanding immediately prior
      to
      the Liquidation Event Effective Time and held by Beneficiaries, and each
      Beneficiary shall sell the Exchangeable Shares held by such Beneficiary at
      such
      time, for a purchase price per share equal to the Exchangeable Share Price
      applicable at that time. Parent shall provide the Trustee with an Officer’s
      Certificate in connection with any automatic exchange setting forth the
      calculation of the Exchangeable Share Price for each Exchangeable
      Share.

     

    (d) The
      closing of the transaction of purchase and sale contemplated by the automatic
      exchange of Exchangeable Shares for Parent Shares shall be deemed to have
      occurred immediately prior to the Liquidation Event Effective Time, and each
      Beneficiary shall be deemed to have transferred to Parent all of the
      Beneficiary’s right, title and interest in and to such Beneficiary’s
      Exchangeable Shares and the related interest in the Trust Estate. Any right
      of
      each such Beneficiary to receive declared and unpaid dividends from Purchaser
      shall be deemed to be satisfied and discharged and each such Beneficiary shall
      cease to be a holder of such Exchangeable Shares and Parent shall deliver to
      the
      Beneficiary the Exchangeable Share Consideration deliverable upon the automatic
      exchange of Exchangeable Shares. Concurrently with such Beneficiary ceasing
      to
      be a holder of Exchangeable Shares, the Beneficiary shall be considered and
      deemed for all purposes to be the holder of the Parent Shares issued pursuant
      to
      the automatic exchange of Exchangeable Shares for Parent Shares and the
      certificates held by the Beneficiary previously representing the Exchangeable
      Shares exchanged by the Beneficiary with Parent pursuant to such automatic
      exchange shall thereafter be deemed to represent Parent Shares issued to the
      Beneficiary by Parent pursuant to such automatic exchange. Upon the request
      of a
      Beneficiary and the surrender by the Beneficiary of Exchangeable Share
      certificates deemed to represent Parent Shares, duly endorsed in blank and
      accompanied by such instruments of transfer as Parent may reasonably require,
      Parent shall deliver or cause to be delivered to the Beneficiary certificates
      representing Parent Shares of which the Beneficiary is the holder.

     

    

    
      
        
           

          
          

        

        
          13.

          
            

          

        

        
          
          

        

      

    

    

    Section
      5.13 Withholding
      Rights. Parent,
      Purchaser and the Trustee shall be entitled to deduct and withhold from any
      consideration otherwise payable under this Agreement to any holder of
      Exchangeable Shares or Parent Shares such amounts as Parent, Purchaser or the
      Trustee is required to deduct and withhold with respect to such payment under
      the Income Tax Act (Canada), the United States Internal Revenue Code of 1986
      or
      any provision of federal, provincial, state, local or foreign tax law, in each
      case as amended or succeeded. The Trustee may act on the advice of counsel
      with
      respect to such matters. To the extent that amounts are so withheld, such
      withheld amounts shall be treated for all purposes as having been paid to the
      holder of the shares in respect of which such deduction and withholding was
      made, provided that such withheld amounts are actually remitted to the
      appropriate taxing authority. Parent, Purchaser and the Trustee are hereby
      authorized to sell or otherwise dispose of such portion of the consideration
      as
      is necessary to provide sufficient funds to Parent, Purchaser or the Trustee,
      as
      the case may be, to enable it to comply with such deduction or withholding
      requirement and Parent, Purchaser or the Trustee shall notify the holder thereof
      and remit to such holder any unapplied balance of the net proceeds of such
      sale.

     

    ARTICLE
      6

     

    CONCERNING
      THE TRUSTEE

     

    Section
      6.1 Powers
      and Duties of the Trustee. The
      rights, powers, duties and authorities of the Trustee under this Agreement,
      in
      its capacity as trustee of the Trust, shall include:

     

    (a) receipt
      and deposit of the Parent Special Voting Share from Parent as trustee for and
      on
      behalf of the Beneficiaries in accordance with the provisions of this
      Agreement;

     

    (b) granting
      proxies and distributing materials to Beneficiaries as provided in this
      Agreement;

     

    (c) casting
      and exercising the Beneficiary Votes in accordance with the provisions of this
      Agreement;

     

    (d) receiving
      the grant of the Exchange Right and the Rights upon Automatic Exchange from
      Parent as trustee for and on behalf of the Beneficiaries in accordance with
      the
      provisions of this Agreement;

     

    (e) exercising
      the Exchange Right and enforcing the benefit of the Rights upon Automatic
      Exchange, in each case in accordance with the provisions of this Agreement,
      and
      in connection therewith receiving from Beneficiaries Exchangeable Shares and
      other requisite documents and distributing to such Beneficiaries Parent Shares
      and cheques, if any, to which such Beneficiaries are entitled upon the exercise
      of the Exchange Right or pursuant to the Rights upon Automatic Exchange, as
      the
      case may be;

     

    (f) holding
      title to the Trust Estate;

     

    

    
      
        
           

          
          

        

        
          14.

          
            

          

        

        
          
          

        

      

    

    

    (g) investing
      any moneys forming, from time to time, a part of the Trust Estate as provided
      in
      this Agreement;

     

    (h) taking
      action on its own initiative or at the direction of a Beneficiary or
      Beneficiaries to enforce the obligations of Parent and Purchaser under this
      Agreement; and

     

    (i) taking
      such other actions and doing such other things as are specifically provided
      in
      this Agreement.

     

    In
      the
      exercise of such rights, powers, duties and authorities, the Trustee shall
      have
      (and is granted) such incidental and additional rights, powers, duties and
      authority not in conflict with any of the provisions of this Agreement as the
      Trustee, acting in good faith and in the reasonable exercise of its discretion,
      may deem necessary, appropriate or desirable to effect the purpose of the Trust.
      Any exercise of such discretionary rights, powers, duties and authorities by
      the
      Trustee shall be final, conclusive and binding upon all persons.

     

    The
      Trustee in exercising its rights, powers, duties and authorities hereunder
      shall
      act honestly and in good faith and with a view to the best interests of the
      Beneficiaries and shall exercise the care, diligence and skill that a reasonably
      prudent trustee would exercise in comparable circumstances.

     

    The
      Trustee shall not be bound to give notice or do or take any act, action or
      proceeding by virtue of the powers conferred on it hereby unless and until
      it
      shall be specifically required to do so under the terms hereof, nor shall the
      Trustee be required to take any notice of, or to do, or to take any act, action
      or proceeding as a result of any default or breach of any provision hereunder,
      unless and until notified in writing of such default or breach, which notices
      shall distinctly specify the default or breach desired to be brought to the
      attention of the Trustee, and in the absence of such notice the Trustee may
      for
      all purposes of this Agreement conclusively assume that no default or breach
      has
      been made in the observance or performance of any of the representations,
      warranties, covenants, agreements or conditions contained herein.

     

    Section
      6.2 No
      Conflict of Interest. The
      Trustee represents to Parent and Purchaser that at the date of execution and
      delivery of this Agreement there exists no material conflict of interest in
      the
      role of the Trustee as a fiduciary hereunder and the role of the Trustee in
      any
      other capacity. The Trustee shall, within 90 days after it becomes aware that
      such material conflict of interest exists, either eliminate such material
      conflict of interest or resign in the manner and with the effect specified
      in
      Article 9. If, notwithstanding the foregoing provisions of this Section 6.2,
      the
      Trustee has such a material conflict of interest, the validity and
      enforceability of this Agreement shall not be affected in any manner whatsoever
      by reason only of the existence of such material conflict of interest. If the
      Trustee contravenes the foregoing provisions of this Section 6.2, any interested
      party may apply to the Court of Queen’s Bench of Alberta for an order that the
      Trustee be replaced as trustee hereunder.

     

    Section
      6.3 Dealings
      with Transfer Agents, Registrars, Etc. Parent
      and Purchaser irrevocably authorize the Trustee, from time to time,
      to:

     

    (a) consult,
      communicate and otherwise deal with the respective registrars and transfer
      agents, and with any such subsequent registrar or transfer agent, of the
      Exchangeable Shares and Parent Shares; and

     

    (b) requisition,
      from time to time, (i) from any such registrar or transfer agent any information
      readily available from the records maintained by it which the Trustee may
      reasonably require for the discharge of its duties and responsibilities under
      this Agreement and (ii) from the transfer agent of Parent Shares, and any
      subsequent transfer agent of such shares, the share certificates issuable upon
      the exercise from time to time of the Exchange Right and pursuant to the Rights
      upon Automatic Exchange.

     

    

    
      
        
           

          
          

        

        
          15.

          
            

          

        

        
          
          

        

      

    

    

    Parent
      and Purchaser irrevocably authorize their respective registrars and transfer
      agents to comply with all such requests. Parent covenants that it will supply
      its transfer agent with duly executed share certificates for the purpose of
      completing the exercise from time to time of the Exchange Right and the Rights
      upon Automatic Exchange.

     

    Section
      6.4 Books
      and Records. The
      Trustee shall keep available for inspection by Parent and Purchaser at the
      Trustee’s principal office in Calgary, Alberta correct and complete books and
      records of account relating to the Trust created by this Agreement, including
      all relevant data relating to mailings and instructions to and from
      Beneficiaries and all transactions pursuant to the Exchange Right and the Rights
      upon Automatic Exchange. On or before January 15 in every year, so long as
      any
      Parent Shares are on deposit with the Trustee, the Trustee shall transmit to
      Parent and Purchaser a brief report, dated as of the preceding December 31,
      with
      respect to:

     

    (a) the
      property and funds comprising the Trust Estate as of that date;

     

    (b) the
      number of exercises of the Exchange Right, if any, and the aggregate number
      of
      Exchangeable Shares received by the Trustee on behalf of Beneficiaries in
      consideration of the issuance by Parent of Parent Shares in connection with
      the
      Exchange Right, during the calendar year ended on such December 31;
      and

     

    (c) any
      action taken by the Trustee in the performance of its duties under this
      Agreement which it had not previously reported and which, in the Trustee’s
      opinion, materially affects the Trust Estate.

     

    Section
      6.5 Indemnification
      Prior to Certain Actions by Trustee. The
      Trustee shall exercise any or all of the rights, duties, powers or authorities
      vested in it by this Agreement at the request, order or direction of any
      Beneficiary upon such Beneficiary furnishing to the Trustee reasonable funding,
      security or indemnity against the costs, expenses and liabilities which may
      be
      incurred by the Trustee therein or thereby, provided that no Beneficiary shall
      be obligated to furnish to the Trustee any such security or indemnity in
      connection with the exercise by the Trustee of any of its rights, duties, powers
      and authorities with respect to the Parent Special Voting Share held by the
      Trustee pursuant to Article 4, subject to Section 6.14, with respect to the
      Exchange Right pursuant to Article 5, subject to Section 6.14, and with respect
      to the Rights upon Automatic Exchange pursuant to Article 5, subject to Section
      6.14.

     

    None
      of
      the provisions contained in this Agreement shall require the Trustee to expend
      or risk its own funds or otherwise incur financial liability in the exercise
      of
      any of its rights, powers, duties, or authorities unless funded, given security
      or indemnified as aforesaid.

     

    Section
      6.6 Action
      of Beneficiaries. No
      Beneficiary shall have the right to institute any action, suit or proceeding
      or
      to exercise any other remedy authorized by this Agreement for the purpose of
      enforcing any of its rights or for the execution of any trust or power hereunder
      unless the Beneficiary has requested the Trustee to take or institute such
      action, suit or proceeding and furnished the Trustee with the funding, security
      or indemnity required by Section 6.5 and the Trustee shall have failed to act
      within a reasonable time thereafter. In such case, but not otherwise, the
      Beneficiary shall be entitled to take proceedings in any court of competent
      jurisdiction such as the Trustee might have taken; it being understood and
      intended that no one or more Beneficiaries shall have any right in any manner
      whatsoever to affect, disturb or prejudice the rights hereby created by any
      such
      action, or to enforce any right hereunder or the Voting Rights, the Exchange
      Rights or the Rights upon Automatic Exchange except subject to the conditions
      and in the manner herein provided, and that all powers and trusts hereunder
      shall be exercised and all proceedings at law shall be instituted, had and
      maintained by the Trustee, except only as herein provided, and in any event
      for
      the equal benefit of all Beneficiaries.

     

    

    
      
        
           

          
          

        

        
          16.

          
            

          

        

        
          
          

        

      

    

    

    Section
      6.7 Reliance
      Upon Declarations. The
      Trustee shall not be considered to be in contravention of any of its rights,
      powers, duties and authorities hereunder if, when required, it acts and relies
      in good faith upon statutory declarations, certificates, opinions, Lists,
      reports or other papers or documents furnished pursuant to the provisions hereof
      or required by the Trustee to be furnished to it in the exercise of its rights,
      powers, duties and authorities hereunder if such statutory declarations,
      certificates, opinions, Lists, reports or other papers or documents comply
      with
      the provisions of Section 6.8, if applicable, and with any other applicable
      provisions of this Agreement.

     

    Section
      6.8 Evidence
      and Authority to Trustee. Parent
      and/or Purchaser shall furnish to the Trustee evidence of compliance with the
      conditions provided for in this Agreement relating to any action or step
      required or permitted to be taken by Parent and/or Purchaser or the Trustee
      under this Agreement or as a result of any obligation imposed under this
      Agreement, including in respect of the Voting Rights or the Exchange Right
      or
      the Rights upon Automatic Exchange and the taking of any other action to be
      taken by the Trustee at the request of or on the application of Parent and/or
      Purchaser promptly if and when:

     

    (a) such
      evidence is required by any other section of this Agreement to be furnished
      to
      the Trustee in accordance with the terms of this Section 6.8; or

     

    (b) the
      Trustee, in the exercise of its rights, powers, duties and authorities under
      this Agreement, gives Parent and/or Purchaser written notice requiring it to
      furnish such evidence in relation to any particular action or obligation
      specified in such notice.

     

    Such
      evidence shall consist of an Officer’s Certificate of Parent and/or Purchaser or
      a statutory declaration or a certificate made by persons entitled to sign an
      Officer’s Certificate stating that any such condition has been complied with in
      accordance with the terms of this Agreement.

     

    Whenever
      such evidence relates to a matter other than the Voting Rights or the Exchange
      Right or the Rights upon Automatic Exchange or the taking of any other action
      to
      be taken by the Trustee at the request or on the application of Parent and/or
      Purchaser, and except as otherwise specifically provided herein, such evidence
      may consist of a report or opinion of any solicitor, attorney, auditor,
      accountant, appraiser, valuer, engineer or other expert or any other person
      whose qualifications give authority to a statement made by him, provided that
      if
      such report or opinion is furnished by a director, officer or employee of Parent
      and/or Purchaser it shall be in the form of an Officer’s Certificate or a
      statutory declaration.

     

    Each
      statutory declaration, Officer’s Certificate, opinion or report furnished to the
      Trustee as evidence of compliance with a condition provided for in this
      Agreement shall include a statement by the person giving the
      evidence:

     

    (c) declaring
      that such person has read and understands the provisions of this Agreement
      relating to the condition in question;

     

    (d) describing
      the nature and scope of the examination or investigation upon which such person
      based the statutory declaration, certificate, statement or opinion;
      and

     

    

    
      
        
           

          
          

        

        
          17.

          
            

          

        

        
          
          

        

      

    

    

    (e) declaring
      that such person has made such examination or investigation as such person
      believes is necessary to enable such person to make the statements or give
      the
      opinions contained or expressed therein.

     

    Section
      6.9 Experts,
      Advisers and Agents. The
      Trustee may:

     

    (a) in
      relation to these presents act and rely on the opinion or advice of or
      information obtained from any solicitor, attorney, auditor, accountant,
      appraiser, valuer, engineer or other expert, whether retained by the Trustee
      or
      by Parent and/or Purchaser or otherwise, and may retain or employ such
      assistants as may be necessary to the proper discharge of its powers and duties
      and determination of its rights hereunder and may pay proper and reasonable
      compensation for all such legal and other advice or assistance as aforesaid;
      and

     

    (b) employ
      such agents and other assistants as it may reasonably require for the proper
      determination and discharge of its powers and duties hereunder, and may pay
      reasonable remuneration for all services performed for it (and shall be entitled
      to receive reasonable remuneration for all services performed by it) in the
      discharge of the trusts hereof and compensation for all disbursements, costs
      and
      expenses made or incurred by it in the discharge of its duties hereunder and
      in
      the management of the Trust.

     

    Section
      6.10 Investment
      of Moneys Held by Trustee. Unless
      otherwise provided in this Agreement, any moneys held by or on behalf of the
      Trustee which under the terms of this Agreement may or ought to be invested
      or
      which may be on deposit with the Trustee or which may be in the hands of the
      Trustee may be invested and reinvested in the name or under the control of
      the
      Trustee, in trust for the Beneficiaries, in securities in which, under the
      laws
      of the Province of Alberta, trustees are authorized to invest trust moneys,
      provided that such securities are stated to mature within two years after their
      purchase by the Trustee, and the Trustee shall so invest such moneys on the
      written direction of Purchaser. Pending the investment of any moneys as
      hereinbefore provided, such moneys may be deposited in the name of the Trustee
      in any chartered bank in Canada or, with the consent of Purchaser, in the
      deposit department of the Trustee or any other loan or trust company authorized
      to accept deposits under the laws of Canada or any province thereof at the
      rate
      of interest then current on similar deposits.

     

    Section
      6.11 Trustee
      Not Required to Give Security. The
      Trustee shall not be required to give any bond or security in respect of the
      execution of the trusts, rights, duties, powers and authorities of this
      Agreement or otherwise in respect of the premises.

     

    Section
      6.12 Trustee
      Not Bound to Act on Request. Except
      as
      in this Agreement otherwise specifically provided, the Trustee shall not be
      bound to act in accordance with any direction or request of Parent and/or
      Purchaser or of the directors thereof until a duly authenticated copy of the
      instrument or resolution containing such direction or request shall have been
      delivered to the Trustee, and the Trustee shall be empowered to act and rely
      upon any such copy purporting to be authenticated and believed by the Trustee
      to
      be genuine.

     

    Section
      6.13 Authority
      to Carry on Business. The
      Trustee represents to Parent and Purchaser that at the date of execution and
      delivery by it of this Agreement it is authorized to carry on the business
      of a
      trust company in each of the Provinces of Canada but if, notwithstanding the
      provisions of this Section 6.13, it ceases to be so authorized to carry on
      business, the validity and enforceability of this Agreement and the Voting
      Rights, the Exchange Right and the Rights upon Automatic Exchange shall not
      be
      affected in any manner whatsoever by reason only of such event but the Trustee
      shall, within 90 days after ceasing to be authorized to carry on the business
      of
      a trust company in any province of Canada, either become so authorized or resign
      in the manner and with the effect specified in Article 9.

     

    

    
      
        
           

          
          

        

        
          18.

          
            

          

        

        
          
          

        

      

    

    

    Section
      6.14 Conflicting
      Claims. If
      conflicting claims or demands are made or asserted with respect to any interest
      of any Beneficiary in any Exchangeable Shares, including any disagreement
      between the heirs, representatives, successors or assigns succeeding to all
      or
      any part of the interest of any Beneficiary in any Exchangeable Shares,
      resulting in conflicting claims or demands being made in connection with such
      interest, then the Trustee shall be entitled, at its sole discretion, to refuse
      to recognize or to comply with any such claims or demands. In so refusing,
      the
      Trustee may elect not to exercise any Voting Rights, Exchange Right or Rights
      upon Automatic Exchange subject to such conflicting claims or demands and,
      in so
      doing, the Trustee shall not be or become liable to any person on account of
      such election or its failure or refusal to comply with any such conflicting
      claims or demands. The Trustee shall be entitled to continue to refrain from
      acting and to refuse to act until:

     

    (a) the
      rights of all adverse claimants with respect to the Voting Rights, Exchange
      Right or Rights upon Automatic Exchange subject to such conflicting claims
      or
      demands have been adjudicated by a final judgment of a court of competent
      jurisdiction and all rights of appeal have expired; or

     

    (b) all
      differences with respect to the Voting Rights, Exchange Right or Rights upon
      Automatic Exchange subject to such conflicting claims or demands have been
      conclusively settled by a valid written agreement binding on all such adverse
      claimants, and the Trustee shall have been furnished with an executed copy
      of
      such agreement certified to be in full force and effect.

     

    If
      the
      Trustee elects to recognize any claim or comply with any demand made by any
      such
      adverse claimant, it may in its discretion require such claimant to furnish
      such
      surety bond or other security satisfactory to the Trustee as it shall deem
      appropriate to fully indemnify it as between all conflicting claims or
      demands.

     

    Section
      6.15 Acceptance
      of Trust. The
      Trustee hereby accepts the Trust created and provided for by and in this
      Agreement and agrees to perform the same upon the terms and conditions herein
      set forth and to hold all rights, privileges and benefits conferred hereby
      and
      by law in trust for the various persons who shall from time to time be
      Beneficiaries, subject to all the terms and conditions herein set
      forth.

     

    Section
      6.16 Maintenance
      of Office or Agency. Parent
      will maintain in Calgary, Alberta an office or agency where certificates
      representing Exchangeable Shares may be presented or surrendered for exchange
      by
      Beneficiaries and where notices and demands to or upon Parent or Purchaser
      in
      respect of the Exchangeable Shares may be served. Parent will give prompt
      written notice to the Trustee of the location, and any change in the location,
      of such office or agency. If at any time Parent shall fail to maintain any
      such
      office or agency or shall fail to furnish the Trustee with the address thereof,
      such presentations, surrenders, notices and demands may be served at the
      Corporate Trust Office of the Trustee, and Parent and Purchaser hereby appoint
      the Trustee as their agent to receive all such presentations, surrenders,
      notices and demands. Furthermore, copies of all Parent proxy materials will
      be
      made available for inspection by any Beneficiary at such office or
      agency.

     

    ARTICLE
      7

     

    COMPENSATION

     

    Section
      7.1 Fees
      and Expenses of the Trustee. Parent
      and Purchaser jointly and severally agree to pay the Trustee reasonable
      compensation for all of the services rendered by it under this Agreement and
      will reimburse the Trustee for all reasonable expenses (including taxes other
      than taxes based on the net income of the Trustee, fees paid to legal counsel
      and other experts and advisors and travel expenses) and disbursements, including
      the cost and expense of any suit or litigation of any character and any
      proceedings before any governmental agency reasonably incurred by the Trustee
      in
      connection with its duties under this Agreement; provided that Parent and
      Purchaser shall have no obligation to reimburse the Trustee for any expenses
      or
      disbursements paid, incurred or suffered by the Trustee in any suit or
      litigation in which the Trustee is determined to have acted in bad faith or
      with
      gross negligence, recklessness or wilful misconduct.

     

    

    
      
        
           

          
          

        

        
          19.

          
            

          

        

        
          
          

        

      

    

    

    ARTICLE
      8

     

    INDEMNIFICATION
      AND LIMITATION OF LIABILITY

     

    Section
      8.1 Indemnification
      of the Trustee. Parent
      and Purchaser jointly and severally agree to indemnify and hold harmless the
      Trustee and each of its directors, officers, employees and agents appointed
      and
      acting in accordance with this Agreement (collectively, the “Indemnified
      Parties”)
      against all claims, losses, damages, reasonable costs, penalties, fines and
      reasonable expenses (including reasonable expenses of the Trustee’s legal
      counsel) which, without fraud, gross negligence, recklessness, wilful misconduct
      or bad faith on the part of such Indemnified Party, may be paid, incurred or
      suffered by the Indemnified Party by reason or as a result of the Trustee’s
      acceptance or administration of the Trust, its compliance with its duties set
      forth in this Agreement, or any written or oral instruction delivered to the
      Trustee by Parent or Purchaser pursuant hereto.

     

    Parent
      or
      Purchaser shall not be liable under this indemnity for any claim against any
      of
      the Indemnified Parties unless Parent and Purchaser shall be notified by the
      Trustee of the written assertion of a claim or of any action commenced against
      the Indemnified Parties, promptly after any of the Indemnified Parties shall
      have received any such written assertion of a claim or shall have been served
      with a summons or other first legal process giving information as to the nature
      and basis of the claim, but Parent and Purchaser shall not be liable only to
      the
      extent that a delay in such notification by the Trustee prejudices the claim.
      Subject to (ii) below, Parent and Purchaser shall be entitled to participate
      at
      their own expense in the defense and, if Parent and Purchaser so elect at any
      time after receipt of such notice, either of them may assume the defense of
      any
      suit brought to enforce any such claim. The Trustee shall have the right to
      employ separate counsel in any such suit and participate in the defense thereof,
      but the fees and expenses of such counsel shall be at the expense of the Trustee
      unless: (i) the employment of such counsel has been authorized by Parent or
      Purchaser; or (ii) the named parties to any such suit include both the Trustee
      and Parent or Purchaser and the Trustee shall have been advised by counsel
      acceptable to Parent or Purchaser that there may be one or more legal defenses
      available to the Trustee that are different from or in addition to those
      available to Parent or Purchaser and that, in the judgment of such counsel,
      would present a conflict of interest were a joint representation to be
      undertaken (in which case Parent and Purchaser shall not have the right to
      assume the defense of such suit on behalf of the Trustee but shall be liable
      to
      pay the reasonable fees and expenses of counsel for the Trustee). This indemnity
      shall survive the termination of this Agreement and the resignation or removal
      of the Trustee.

     

    Section
      8.2 Limitation
      of Liability. The
      Trustee shall not be held liable for any loss which may occur by reason of
      depreciation of the value of any part of the Trust Estate or any loss incurred
      on any investment of funds pursuant to this Agreement, except to the extent
      that
      such loss is attributable to the fraud, gross negligence, recklessness, wilful
      misconduct or bad faith on the part of the Trustee.

     

    

    
      
        
           

          
          

        

        
          20.

          
            

          

        

        
          
          

        

      

    

    

    ARTICLE
      9

     

    CHANGE
      OF TRUSTEE

     

    Section
      9.1 Resignation.
      The
      Trustee, or any trustee hereafter appointed, may at any time resign by giving
      written notice of such resignation to Parent and Purchaser specifying the date
      on which it desires to resign, provided that such notice shall not be given
      less
      than thirty (30) days before such desired resignation date unless Parent and
      Purchaser otherwise agree and provided further that such resignation shall
      not
      take effect until the date of the appointment of a successor trustee and the
      acceptance of such appointment by the successor trustee. Upon receiving such
      notice of resignation, Parent and Purchaser shall promptly appoint a successor
      trustee, which shall be a corporation organized and existing under the laws
      of
      Canada or any Province thereof, by written instrument in duplicate, one copy
      of
      which shall be delivered to the resigning trustee and one copy to the successor
      trustee. Failing the appointment and acceptance of a successor trustee, a
      successor trustee may be appointed by order of a court of competent jurisdiction
      upon application of one or more of the parties to this Agreement. If the
      retiring trustee is the party initiating an application for the appointment
      of a
      successor trustee by order of a court of competent jurisdiction, Parent and
      Purchaser shall be jointly and severally liable to reimburse the retiring
      trustee for its legal costs and expenses in connection with same.

     

    Section
      9.2 Removal.
      The
      Trustee, or any trustee hereafter appointed, may (provided a successor trustee
      is appointed) be removed at any time on not less than 30 days’ prior notice by
      written instrument executed by Parent and Purchaser, in duplicate, one copy
      of
      which shall be delivered to the trustee so removed and one copy to the successor
      trustee.

     

    Section
      9.3 Successor
      Trustee. Any
      successor trustee appointed as provided under this Agreement shall execute,
      acknowledge and deliver to Parent and Purchaser and to its predecessor trustee
      an instrument accepting such appointment. Thereupon the resignation or removal
      of the predecessor trustee shall become effective and such successor trustee,
      without any further act, deed or conveyance, shall become vested with all the
      rights, powers, duties and obligations of its predecessor under this Agreement,
      with the like effect as if originally named as trustee in this Agreement.
      However, on the written request of Parent and Purchaser or of the successor
      trustee, the trustee ceasing to act shall, upon payment of any amounts then
      due
      it pursuant to the provisions of this Agreement, execute and deliver an
      instrument transferring to such successor trustee all the rights and powers
      of
      the trustee so ceasing to act. Upon the request of any such successor trustee,
      Parent, Purchaser and such predecessor trustee shall execute any and all
      instruments in writing for more fully and certainly vesting in and confirming
      to
      such successor trustee all such rights and powers.

     

    Section
      9.4 Notice
      of Successor Trustee. Upon
      acceptance of appointment by a successor trustee as provided herein, Parent
      and
      Purchaser shall cause to be mailed notice of the succession of such trustee
      hereunder to each Beneficiary specified in a List. If Parent or Purchaser shall
      fail to cause such notice to be mailed within 10 days after acceptance of
      appointment by the successor trustee, the successor trustee shall cause such
      notice to be mailed at the expense of Parent and Purchaser.

     

    ARTICLE
      10

     

    PARENT
      SUCCESSORS

     

    Section
      10.1 Certain
      Requirements in Respect of Combination, Etc. Parent
      shall not consummate any transaction (whether by way of reconstruction,
      reorganization, consolidation, merger, transfer, sale, lease or otherwise)
      whereby all or substantially all of its undertaking, property and assets would
      become the property of any other person or, in the case of a merger, of the
      continuing corporation resulting therefrom, but may do so if:

     

    

    
      
        
           

          
          

        

        
          21.

          
            

          

        

        
          
          

        

      

    

    

    (a) such
      other person or continuing corporation (herein called the “Parent
      Successor”),
      by
      operation of law, becomes, without more, bound by the terms and provisions
      of
      this Agreement or, if not so bound, executes, prior to or contemporaneously
      with
      the consummation of such transaction, a trust agreement supplemental hereto
      and
      such other instruments (if any) as are satisfactory to the Trustee, acting
      reasonably, and in the opinion of legal counsel to the Trustee are reasonably
      necessary or advisable to evidence the assumption by the Parent Successor of
      liability for all moneys payable and property deliverable hereunder (including
      without limitation one or more voting securities of such Parent Successor to
      allow Beneficiaries to exercise voting rights in respect of the Parent Successor
      substantially similar to those provided for in this Agreement in respect of
      Parent) and the covenant of such Parent Successor to pay and deliver or cause
      to
      be delivered the same and its agreement to observe and perform all the covenants
      and obligations of Parent under this Agreement; and

     

    (b) such
      transaction shall be upon such terms and conditions as substantially to preserve
      and not to impair in any material respect any of the rights, duties, powers
      and
      authorities of the Trustee or of the Beneficiaries hereunder.

     

    Section
      10.2 Vesting
      of Powers in Successor. Whenever
      the conditions of Section 10.1 have been duly observed and performed, the
      Trustee, Parent Successor and Purchaser shall, if required by Section 10.1,
      execute and deliver the supplemental trust agreement provided for in Article
      11
      and thereupon Parent Successor shall possess and from time to time may exercise
      each and every right and power of Parent under this Agreement in the name of
      Parent or otherwise and any act or proceeding by any provision of this Agreement
      required to be done or performed by the Board of Directors of Parent or any
      officers of Parent may be done and performed with like force and effect by
      the
      directors or officers of such Parent Successor.

     

    Section
      10.3 Wholly-Owned
      Subsidiaries. Nothing
      herein shall be construed as preventing the amalgamation or merger of any wholly
      owned direct or indirect subsidiary of Parent with or into Parent or the winding
      up, liquidation or dissolution of any wholly owned subsidiary of Parent provided
      that all of the assets of such subsidiary are transferred to Parent or another
      wholly owned direct or indirect subsidiary of Parent and any such transactions
      are expressly permitted by this Article 10.

     

    Section
      10.4 Successorship
      Transaction. Notwithstanding
      the foregoing provisions of this Article 10, in the event of a Parent Control
      Transaction:

     

    (a) in
      which
      Parent merges or amalgamates with, or in which all or substantially all of
      the
      then outstanding Parent Shares are acquired by, one or more other corporations
      to which Parent is, immediately before such merger, amalgamation or acquisition,
      “related” within the meaning of the Income Tax Act (Canada) (otherwise than by
      virtue of a right referred to in paragraph 251(5)(b) thereof); 

     

    (b) which
      does not result in an acceleration of the Redemption Date in accordance with
      paragraph (b) of that definition; and

     

    (c) in
      which
      all or substantially all of the then outstanding Parent Shares are converted
      into or exchanged for shares or rights to receive such shares (the “Other
      Shares”)
      of
      another corporation (the “Other
      Corporation”)
      that,
      immediately after such Parent Control Transaction, owns or controls, directly
      or
      indirectly, Parent;

     

    

    
      
        
           

          
          

        

        
          22.

          
            

          

        

        
          
          

        

      

    

    

    then
      1.
      all references herein to “Parent” shall thereafter be and be deemed to be
      references to “Other
      Corporation”
and
      all
      references herein to “Parent Shares” shall thereafter be and be deemed to be
      references to “Other Shares” (with appropriate adjustments, if any, as are
      required to result in a holder of Exchangeable Shares on the exchange,
      redemption or retraction of such shares pursuant to the Exchangeable Share
      Provisions or exchange of such shares pursuant to this Agreement immediately
      subsequent to the Parent Control Transaction being entitled to receive that
      number of Other Shares equal to the number of Other Shares such holder of
      Exchangeable Shares would have received if the exchange, redemption or
      retraction of such shares pursuant to the Exchangeable Share Provisions or
      exchange of such shares pursuant to this Agreement had occurred immediately
      prior to the Parent Control Transaction and the Parent Control Transaction
      was
      completed) without any need to amend the terms and conditions of this Agreement
      and without any further action required; and 2. Parent shall cause the Other
      Corporation to deposit one or more voting securities of such Other Corporation
      to allow Beneficiaries to exercise voting rights in respect of the Other
      Corporation substantially similar to those provided for in this Agreement.
      

     

    ARTICLE
      11

     

    AMENDMENTS
      AND SUPPLEMENTAL TRUST AGREEMENTS

     

    Section
      11.1 Amendments,
      Modifications, Etc. Subject
      to Section 11.2, Section 11.4 and Section 13.1, this Agreement may not be
      amended or modified except by an agreement in writing executed by Parent,
      Purchaser and the Trustee and approved by the Beneficiaries in accordance with
      Section 13.2 of the Exchangeable Share Provisions.

     

    Section
      11.2 Ministerial
      Amendments. Notwithstanding
      the provisions of Section 11.1, the parties to this Agreement may in writing,
      at
      any time and from time to time, without the approval of the Beneficiaries,
      amend
      or modify this Agreement for the purposes of

     

    (a) adding
      to
      the covenants of any or all parties hereto for the protection of the
      Beneficiaries hereunder provided that the Board of Directors of each of
      Purchaser and Parent shall be of the good faith opinion that such additions
      will
      not be prejudicial to the rights or interests of the Beneficiaries;

     

    (b) making
      such amendments or modifications not inconsistent with this Agreement as may
      be
      necessary or desirable with respect to matters or questions which, in the good
      faith opinion of the Board of Directors of each of Parent and Purchaser and
      in
      the opinion of the Trustee, having in mind the best interests of the
      Beneficiaries it may be expedient to make, provided that such Boards of
      Directors and the Trustee, acting on the advice of counsel, shall be of the
      opinion that such amendments and modifications will not be prejudicial to the
      interests of the Beneficiaries; or

     

    (c) making
      such changes or corrections which, on the advice of counsel to Parent, Purchaser
      and the Trustee, are required for the purpose of curing or correcting any
      ambiguity or defect or inconsistent provision or clerical omission or mistake
      or
      manifest error, provided that the Trustee, acting on the advice of counsel,
      and
      the Board of Directors of each of Parent and Purchaser shall be of the opinion
      that such changes or corrections will not be prejudicial to the rights and
      interests of the Beneficiaries.

     

    Section
      11.3 Meeting
      to Consider Amendments. Purchaser,
      at the request of Parent, shall call a meeting or meetings of the Beneficiaries
      for the purpose of considering any proposed amendment or modification requiring
      approval pursuant hereto. Any such meeting or meetings shall be called and
      held
      in accordance with the by laws of Purchaser, the Exchangeable Share Provisions
      and all applicable laws; provided that any such meeting shall only be called
      for
      a bona fide business purpose and not for the principal purpose of causing a
      Redemption Date (as defined in the Exchangeable Share Provisions) to occur
      or
      transpire.

     

    

    
      
        
           

          
          

        

        
          23.

          
            

          

        

        
          
          

        

      

    

    

    Section
      11.4 Changes
      in Capital of Parent and Purchaser. At
      all
      times after the occurrence of any event contemplated pursuant to Section 2.7
      or
      2.8 of the Exchangeable Share Support Agreement or otherwise, as a result of
      which either Parent Shares or the Exchangeable Shares or both are in any way
      changed, this Agreement shall forthwith be deemed amended and modified as
      necessary in order that it shall apply with full force and effect, mutatis
      mutandis,
      to all
      new securities into which Parent Shares or the Exchangeable Shares or both
      are
      so changed and the parties hereto shall execute and deliver a supplemental
      trust
      agreement giving effect to and evidencing such necessary amendments and
      modifications.

     

    Section
      11.5 Execution
      of Supplemental Trust Agreements. No
      amendment to or modification or waiver of any of the provisions of this
      Agreement otherwise permitted hereunder shall be effective unless made in
      writing and signed by all of the parties hereto. From time to time Purchaser,
      Parent and the Trustee may, subject to the provisions of these presents, and
      they shall, when so directed by these presents, execute and deliver by their
      proper officers, trust agreements or other instruments supplemental hereto,
      which thereafter shall form part hereof, for any one or more of the following
      purposes:

     

    (a) evidencing
      the succession of Parent Successors and the covenants of and obligations assumed
      by each such Parent Successor in accordance with the provisions of Article
      10
      and the successors of any successor trustee in accordance with the provisions
      of
      Article 9;

     

    (b) making
      any additions to, deletions from or alterations of the provisions of this
      Agreement or the Voting Rights, the Exchange Right or the Rights upon Automatic
      Exchange which, in the opinion of the Trustee, will not be prejudicial to the
      interests of the Beneficiaries or are, in the opinion of counsel to the Trustee,
      necessary or advisable in order to incorporate, reflect or comply with any
      legislation the provisions of which apply to Parent, Purchaser, the Trustee
      or
      this Agreement; and

     

    (c) for
      any
      other purposes not inconsistent with the provisions of this Agreement, including
      to make or evidence any amendment or modification to this Agreement as
      contemplated hereby, provided that, in the opinion of the Trustee, the rights
      of
      the Trustee and Beneficiaries will not be prejudiced thereby.

     

    ARTICLE
      12

     

    TERMINATION

     

    Section
      12.1 Term.
      The
      Trust
      created by this Agreement shall continue until the earliest to occur of the
      following events:

     

    (a) no
      outstanding Exchangeable Shares are held by a Beneficiary; and

     

    (b) each
      of
      Parent and Purchaser elects in writing to terminate the Trust and such
      termination is approved by the Beneficiaries in accordance with Section 13.2
      of
      the Exchangeable Share Provisions.

     

    Section
      12.2 Survival
      of Agreement. This
      Agreement shall survive any termination of the Trust and shall continue until
      there are no Exchangeable Shares outstanding held by a Beneficiary; provided,
      however, that the provisions of Article 7 and Article 8 shall survive any such
      termination of this Agreement.

     

    

    
      
        
           

          
          

        

        
          24.

          
            

          

        

        
          
          

        

      

    

    

    ARTICLE
      13

     

    GENERAL

     

    Section
      13.1 Severability.
      If
      any
      term or other provision of this Agreement is invalid, illegal or incapable
      of
      being enforced by any rule of law or public policy, all other conditions and
      provisions of this Agreement shall nevertheless remain in full force and effect
      so long as the economic or legal substance of the transactions contemplated
      hereby is not affected in any manner materially adverse to any party. Upon
      such
      determination that any term or other provision is invalid, illegal or incapable
      of being enforced, the parties hereto shall negotiate in good faith to modify
      this Agreement so as to effect the original intent of the parties as closely
      as
      possible in an acceptable manner to the end that transactions contemplated
      hereby are fulfilled to the extent possible.

     

    Section
      13.2 Assignment.
      No
      party
      hereto may assign this Agreement or any of its rights, interests or obligations
      under this Agreement (whether by operation of law or otherwise) except that
      Purchaser may assign in its sole discretion, any or all of its rights, interests
      and obligations hereunder to any wholly owned subsidiary of Parent.

     

    Section
      13.3 Binding
      Effect. Subject
      to Section 13.2, this Agreement shall be binding upon, enure to the benefit
      of
      and be enforceable by the parties hereto and their respective successors and
      assigns and to the benefit of the Beneficiaries.

     

    Section
      13.4 Notices
      to Parties. All
      notices and other communications hereunder shall be in writing and shall be
      deemed given when delivered personally, telecopied (which is confirmed) or
      dispatched (postage prepaid) to a nationally recognized overnight courier
      service with overnight delivery instructions, in each case addressed to the
      particular party at:

     

    (a) if
      to
      Parent or Purchaser, at:

     

    [•]
      

     

    Attention:
      Chief Executive Officer

    Telecopier
      Number: ([•]) [•]

     

    With
      a
      copy to:

     

    Macleod
      Dixon LLP

    3700
      Canterra Tower

    400
      Third
      Avenue, S.W.

    Calgary,
      Alberta T2P 4H2

     

    Attention:
      Jennifer Kennedy

    Telecopier
      Number: (403) 264-5973

     

    

    
      
        
           

          
          

        

        
          25.

          
            

          

        

        
          
          

        

      

    

    

    and
      to:

     

    McDermott
      Will & Emery LLP

    340
      Madison Avenue

    New
      York,
      New York 10173

     

    Attention:
      Mark Selinger

    Telecopier
      Number: (212) 547 5444

     

    (b) if
      to the
      Trustee, at:

     

    310,
      606
      - 4th Street S.W.

    Calgary,
      Alberta

    T2P
      1T1

     

    Attention:
      Manager, Corporate Trust 

    Telecopier
      Number: 233-2857

     

    or
      at
      such other address of which any party may, from time to time, advise the other
      parties by notice in writing given in accordance with the foregoing. Any notice
      or other communication given personally shall be deemed to have been given
      and
      received upon delivery thereof and if given by telecopy shall be deemed to
      have
      been given and received on the date of confirmed receipt thereof unless such
      day
      is not a Business Day in which case it shall be deemed to have been given and
      received upon the immediately following Business Day.

     

    Section
      13.5 Notice
      to Beneficiaries. Any
      and
      all notices to be given and any documents to be sent to any Beneficiaries may
      be
      given or sent to the address of such Beneficiary shown on the register of
      holders of Exchangeable Shares in any manner permitted by the by laws of
      Purchaser from time to time in force in respect of notices to shareholders
      and
      shall be deemed to be received (if given or sent in such manner) at the time
      specified in such by laws, the provisions of which by laws shall apply mutatis
      mutandis to notices or documents as aforesaid sent to such
      Beneficiaries.

     

    Section
      13.6 Counterparts.
      This
      Agreement may be executed in counterparts, each of which shall be deemed to
      be
      an original but all of which together shall constitute one and the same
      instrument.

     

    Section
      13.7 Governing
      Laws; Consent to Jurisdiction. This
      Agreement shall be governed by and construed in accordance with the laws of
      Alberta. Each party hereby irrevocably attorns to the jurisdiction of the courts
      of Alberta in respect of all matters arising under or in relation to this
      Agreement and Parent hereby appoints Macleod Dixon LLP as its registered office
      in Alberta as attorney for service of process. 

     

    [Remainder
      Of Page Intentionally Left Blank]

     

    

     

    

    
      
        
           

          
          

        

        
          26.

          
            

          

        

        
          
          

        

      

    

    

    In
      Witness Whereof the
      parties hereto have caused this Agreement to be duly executed as of the date
      first above written.

     

    
      	 	 	 
	 	
              Ad.Venture
                Partners, Inc.

            
	 
 	 
 	 
 
	 	By:  	 
	 	
              
Name:
	 	Title:

    

    
      	 	 	 
	 	 	 
	 	By:  	 
	 	
              
Name:
	 	Title:

    

    
      	 	 	 
	 	 	 
	 	6732097
              Canada Inc. 
	 
 	 
 	 
 
	 	By:  	 
	 	
              
Name:
	 	Title:

    

    
      	 	 	 
	 	 	 
	 	By:  	 
	 	
              
Name:
	 	Title:

    

    
      	 	 	 
	 	 	 
	 	Valiant
              Trust Company 
	 
 	 
 	 
 
	 	By:  	 
	 	
              
Name:
	 	Title: 

    

     

    
      	 	 	 
	 
 	 
 	 
 
	 	By:  	 
	 	
              
Name:
	 	Title:

    

    
      	 	 	 
	 	 	 
	 	By:  	 
	 	
              
Name:
	 	Title:

    

     

     

    [Voting
      and Exchange Trust Agreement Execution Page]

     

    

     

    

    
      
        
          
            .

          

          
          

        

        
          27.

          
            

          

        

        
          
          

          
            

          

        

      

    

    

    Schedule
      M

     

    AMENDED
      AND RESTATED REGISTRATION RIGHTS AGREEMENT

     

    

    
      
        
           

          
          

        

        
          1.

          
            

          

        

        
          
          

        

      

    

    

    AMENDED
      AND RESTATED REGISTRATION RIGHTS AGREEMENT

     

    This
      Amended And Restated Registration Rights Agreement
      (this
“Agreement”)
      is
      entered into as of ___________, 2007, by and among Ad.Venture Partners, Inc.,
      a
      Delaware corporation (the “Company”)
      and
      each of the undersigned parties listed under Insiders on the signature page
      hereto (each, an “Insider”
      and
      collectively, the “Insiders”).

     

    Whereas,
      pursuant
      to the Arrangement Agreement dated March 13, 2007 among the Company, 6732097
      Canada Inc., a corporation incorporated under the laws of Canada and an indirect
      wholly owned subsidiary of the Company (the “Purchaser”),
      and
      180 Connect Inc., a corporation incorporated under the laws of Canada (the
      “Arrangement”),
      the
      New Insiders (as defined below) are receiving shares of Common Stock (as defined
      below) or common shares of Purchaser that are exchangeable for Common Stock
      (the
“Exchangeable
      Shares”)
      as
      consideration for their common shares in the Company;

     

    Whereas,
      the
      Initial Insiders (as defined below) acquired Common Stock prior to the date
      hereof;

     

    Whereas,
      the
      Initial Insiders and the Company are parties to a Registration Rights Agreement
      dated August 31, 2005 (the “Prior
      Registration Rights Agreement”);
      and

     

    Whereas,
      in
      connection with the Arrangement and pursuant to Section 6.6(a) of the Prior
      Registration Rights Agreement, the Company and the Initial Insiders wish to
      amend and restate the Prior Registration Rights Agreement and accept the rights
      and covenants hereof in lieu of their rights and covenants under the Prior
      Registration Rights Agreement;

     

    Now,
      Therefore,
      in
      consideration of the mutual covenants and agreements set forth herein, and
      for
      other good and valuable consideration, the receipt and sufficiency of which
      are
      hereby acknowledged, the parties hereto agree as follows:

     

    1.  Definitions.
      The
      following capitalized terms used herein have the following
      meanings:

     

    “Agreement”
      means
      this Agreement, as amended, restated, supplemented, or otherwise modified from
      time to time.

     

    “Business
      Day”
      means
      any day, except a Saturday, Sunday or legal holiday on which the banking
      institutions in the City of New York are authorized or obligated by law or
      executive order to close.

     

    “Commission”
      means
      the Securities and Exchange Commission, or such successor federal agency or
      agencies as may be established in lieu thereof.

     

    “Common
      Stock”
      means
      the common stock, par value $0.0001 per share, of the Company.

     

    “Company”
      is
      defined in the preamble to this Agreement.

     

    “Exchange
      Act”
      means
      the Securities Exchange Act of 1934, as amended, and the rules and regulations
      of the Commission promulgated thereunder.

     

    “Form
      S-3”
      is
      defined in Section 2.3.

     

    

    
      
        
           

          
          

        

        
          2.

          
            

          

        

        
          
          

        

      

    

    

    “Indemnified
      Party”
      is
      defined in Section 4.3.

     

    “Indemnifying
      Party”
      is
      defined in Section 4.3.

     

    “Initial
      Insiders”
      means
      Howard S. Balter, Ilan M. Slasky, Lawrence K. Askowitz, Dr. Shlomo Kalish,
      Thomas Rogers, JF Investments LLC, William Margiloff and Hillel
      Weinberger.

     

    “Initial
      Insider Demand Registration”
      is
      defined in Section 2.1.1(a).

     

    “Initial
      Insider Demanding Holder”
      is
      defined in Section 2.1.1(b).

     

    “Initial
      Insider Shares”
      mean all
      of the shares of Common Stock owned or held by Initial Insiders as of the date
      of the consummation of the Arrangement; provided,
      that
      such shares shall cease to be Initial Insider Shares when: (a) a Registration
      Statement with respect to the sale of such securities shall have become
      effective under the Securities Act (as defined below) and such securities shall
      have been sold, transferred, disposed of or exchanged in accordance with such
      Registration Statement; (b) such securities shall have been otherwise
      transferred pursuant to Rule 144 of the Securities Act (or any similar
      provisions thereunder, but not Rule 144A), and new certificates for them not
      bearing a legend restricting further transfer shall have been delivered by
      the
      Company and subsequent public distribution of them shall not require
      registration under the Securities Act; or (c) such securities shall have ceased
      to be outstanding.

     

    “Insider”
      is
      defined in the preamble to this Agreement.

     

    “Insider
      Indemnified Party”
      is
      defined in Section 4.1.

     

    “Insider
      Shares”
      means
      the Initial Insider Shares and the New Insider Shares.

     

    “Maximum
      Number Of Shares”
      is
      defined in Section 2.1.1(d).

     

    “New
      Insiders”
      means M.
      Brian McCarthy, Peter Giacalone, Anton R. Simunovic, Byron G. Osing, David
      R.
      Hallmen and Matthew G. Roszak.

     

    “New
      Insider Demand Registration”
      is
      defined in Section 2.1.2(a).

     

    “New
      Insider Demanding Holder”
      is
      defined in Section 2.1.2(b).

     

    “New
      Insider Shares”
      mean all
      of the shares of Common Stock received by the New Insiders in connection with
      the Arrangement (including the shares of Common stock issued upon exchange
      of
      the Exchangeable Shares); provided,
      that
      such shares shall cease to be New Insider Shares when: (a) a Registration
      Statement with respect to the sale of such securities shall have become
      effective under the Securities Act (as defined below) and such securities shall
      have been sold, transferred, disposed of or exchanged in accordance with such
      Registration Statement; (b) such securities shall have been otherwise
      transferred pursuant to Rule 144 of the Securities Act (or any similar
      provisions thereunder, but not Rule 144A), and new certificates for them not
      bearing a legend restricting further transfer shall have been delivered by
      the
      Company and subsequent public distribution of them shall not require
      registration under the Securities Act; or (c) such securities shall have ceased
      to be outstanding.

     

    “Notices”
      is
      defined in Section 6.2.

     

    “Piggy-Back
      Registration”
      is
      defined in Section 2.2.1.

     

    

    
      
        
           

          
          

        

        
          3.

          
            

          

        

        
          
          

        

      

    

    

    “Prospectus”
      means a
      prospectus relating to a Registration Statement, as amended or supplemented,
      and
      all materials incorporated by reference in such Prospectus.

     

    “Purchase
      Option”
      means
      the option to purchase 450,000 units (each consisting of one share of common
      stock and two warrants) issued to Wedbush Morgan Securities Inc. or its
      designees in connection with the Company’s initial public offering (as
      transferred from time to time in accordance with its terms).

     

    “Purchase
      Option Shares”
      means
      the Purchase Option, the units issuable thereof, the Common Stock and warrants
      included in such units and the Common Stock issuable upon exercise of such
      warrants.

     

    “Register,”
      “registered”
      and
“registration”
      mean a
      registration effected by preparing and filing a registration statement or
      similar document under the Securities Act and such registration statement
      becoming effective.

     

    “Registration
      Statement”
      means a
      registration statement filed by the Company with the Commission in compliance
      with the Securities Act and the rules and regulations promulgated thereunder
      for
      a public offering and sale of Common Stock (other than a registration statement
      on Form S-4 or Form S-8, or their successors, or any registration statement
      covering only securities proposed to be issued in exchange for securities or
      assets of another entity).

     

    “Release
      Date”
      means
      the date that is six months after the consummation of the
      Arrangment.

     

    “Securities
      Act”
      means
      the Securities Act of 1933, as amended, and the rules and regulations of the
      Commission promulgated thereunder.

     

    “Underwriter”
      means a
      securities dealer who purchases any Insider Shares as principal in an
      underwritten offering and not as part of such dealer’s market-making
      activities.

     

    
      	2.  	
              Registration
                Rights.

            

    

     

    2.1  Demand
      Registration.

     

    2.1.1  Demand
      Registration by Initial Insiders.

     

    (a)  General
      Request for Registration.
      At any
      time and from time to time on or after the Release Date, the holders of a
      majority-in-interest of the Initial Insider Shares held by the Initial Insiders
      or the transferees of the Initial Insider Shares, may make a written demand
      for
      registration under the Securities Act of all or part of their Initial Insider
      Shares (an “Initial
      Insider Demand Registration”).
      Any
      demand for an Initial Insider Demand Registration shall specify the number
      of
      Initial Insider Shares proposed to be sold and the intended method(s) of
      distribution thereof. The Company will notify all holders of Initial Insider
      Shares of any demand pursuant to this Section 2.1.1(a), or pursuant to Section
      2.1.1(b) below, as the case may be, within five (5) Business Days, and each
      holder of Initial Insider Shares who wishes to include all or a portion of
      such
      holder’s Initial Insider Shares in such Initial Insider Demand Registration
      (each such holder including shares of Initial Insider Shares in such Initial
      Insider Demand Registration, a “Initial
      Insider Demanding
      Holder”)
      shall
      so notify the Company within ten (10) Business Days after the receipt by the
      holder of the notice from the Company. Upon any such request, the Initial
      Insider Demanding Holders shall be entitled to have their Initial Insider Shares
      included in the Initial Insider Demand Registration subject to Section 2.1.1(d)
      and the provisions set forth in Section 3.1.1. The Company shall not be
      obligated to effect more than an aggregate of two (2) Initial Insider Demand
      Registrations under this Section 2.1.1(a) in respect of Initial Insider
      Shares.

     

    
      
        
        

      

      
        4.

        
          

        

      

      
        
        

      

    

    (b)  Effective
      Registration.
      A
      registration will not count as an Initial Insider Demand Registration until
      the
      Registration Statement filed with the Commission with respect to such Initial
      Insider Demand Registration has been declared effective and the Company has
      complied with all of its obligations under this Agreement with respect thereto;
      provided,
      however,
      that
      if, after such Registration Statement has been declared effective, the offering
      of Initial Insider Shares pursuant to an Initial Insider Demand Registration
      is
      interfered with by any stop order or injunction of the Commission or any other
      governmental agency or court, the Registration Statement with respect to such
      Initial Insider Demand Registration will be deemed not to have been declared
      effective, unless and until, (i) such stop order or injunction is removed,
      rescinded or otherwise terminated, and (ii) with respect to a Initial Insider
      Demand Registration, a majority-in-interest of the Initial Insider Demanding
      Holders thereafter elect to continue the offering; provided,
      further,
      that
      the Company shall not be obligated to file a second Registration Statement
      until
      any such Registration Statement that has been filed is counted as an Initial
      Insider Demand Registration or is terminated.

     

    (c)  Underwritten
      Offering.
      If a
      majority-in-interest of the Initial Insider Demanding Holders so elect and
      such
      holders so advise the Company as part of their written demand for an Initial
      Insider Demand Registration, the offering of such Initial Insider Shares
      pursuant to such Initial Insider Demand Registration shall be in the form of
      an
      underwritten offering. In each such case, the right of any holder to include
      such holder’s Initial Insider Shares in such registration shall be conditioned
      upon such holder’s participation in such underwriting and the inclusion of such
      holder’s Initial Insider Shares in the underwriting to the extent provided
      herein. All Initial Insider Demanding Holders who propose to distribute their
      Initial Insider Shares through such an underwriting shall enter into an
      underwriting agreement in customary form with the Underwriter or Underwriters
      selected for such underwriting by a majority-in-interest of the holders
      initiating the Initial Insider Demand Registration.

     

    (d)  Reduction
      of Offering.
      If the
      managing Underwriter or Underwriters for an Initial Insider Demand Registration
      that is to be an underwritten offering advises the Company and the Initial
      Insider Demanding Holders in writing that the dollar amount or number of shares
      of Initial Insider Shares that the Initial Insider Demanding Holders desire
      to
      sell, taken together with all other shares of Common Stock or other securities
      that the Company desires to sell and the shares of Common Stock, if any, as
      to
      which registration has been requested pursuant to written contractual piggy-back
      registration rights held by other holders of the Company’s securities who desire
      to sell securities, exceeds the maximum dollar amount or maximum number of
      shares that can be sold in such offering without adversely affecting the
      proposed offering price, the timing, the distribution method, or the probability
      of success of such offering (such maximum dollar amount or maximum number of
      shares, as applicable, the “Maximum
      Number Of Shares”),
      then
      the Company shall include in such registration: (i) first, the Initial Insider
      Shares as to which the Initial Insider Demand Registration has been requested
      together with all other shares of Common Stock or other securities that the
      Company desires to sell and the shares of Common Stock, if any, as to which
      registration has been requested pursuant to the Purchase Option, that can be
      sold without exceeding the Maximum Number of Shares (all pro rata in accordance
      with the number of such shares that the Company or such holders shall have
      requested to be included in such registration); (ii) second, to the extent
      that
      the Maximum Number of Shares has not been reached under the foregoing clause
      (i), the shares of Common Stock for the account of other persons that the
      Company is obligated to register pursuant to written contractual arrangements
      with such persons and that can be sold without exceeding the Maximum Number
      of
      Shares; and (iii), third, to the extent that the Maximum Number of Shares have
      not been reached under the foregoing clauses (i) and (ii), the shares of Common
      Stock that other stockholders desire to sell that can be sold without exceeding
      the Maximum Number of Shares.

     

    
      
        
        

      

      
        5.

        
          

        

      

      
        
        

      

    

    (e)  Withdrawal.
      If a
      majority-in-interest of the Initial Insider Demanding Holders disapprove of
      the
      terms of any underwriting or are not entitled to include all of their Initial
      Insider Shares in any offering, such majority-in-interest of the Initial Insider
      Demanding Holders may elect to withdraw from such offering by giving written
      notice to the Company and the Underwriter or Underwriters of their request
      to
      withdraw prior to the effectiveness of the Registration Statement filed with
      the
      Commission with respect to such Initial Insider Demand Registration. In such
      event, the Company need not seek effectiveness of such Registration Statement
      for the benefit of other Initial Insiders. If the majority-in-interest of the
      Initial Insider Demanding Holders withdraws from a proposed offering relating
      to
      a Initial Insider Demand Registration then such registration shall not count
      as
      an Initial Insider Demand Registration provided for in Section
      2.1.1(a).

     

    2.1.2  Demand
      Registration by New Insiders.

     

    (a)  General
      Request for Registration.
      At any
      time and from time to time on or after the Release Date, any New Insider or
      a
      transferee of New Insider Shares, may make a written demand for registration
      under the Securities Act of all or part of their New Insider Shares (a
“New
      Insider Demand Registration”).
      Any
      demand for a New Insider Demand Registration shall specify the number of New
      Insider Shares proposed to be sold and the intended method(s) of distribution
      thereof. The Company will notify all holders of New Insider Shares of any demand
      pursuant to this Section 2.1.2(a), or pursuant to Section 2.1.2(b) below, as
      the
      case may be, within five (5) Business Days, and each holder of New Insider
      Shares who wishes to include all or a portion of such holder’s New Insider
      Shares in such New Insider Demand Registration (each such holder including
      shares of New Insider Shares in such New Insider Demand Registration, a
“New
      Insider Demanding
      Holder”)
      shall
      so notify the Company within ten (10) Business Days after the receipt by the
      holder of the notice from the Company. Upon any such request, the New Insider
      Demanding Holders shall be entitled to have their New Insider Shares included
      in
      the New Insider Demand Registration subject to Section 2.1.2(d) and the
      provisions set forth in Section 3.1.1. The Company shall not be obligated to
      effect more than an aggregate of two (2) New Insider Demand Registrations under
      this Section 2.1.2(a) in respect of New Insider Shares.

     

    (b)  Effective
      Registration.
      A
      registration will not count as a New Insider Demand Registration until the
      Registration Statement filed with the Commission with respect to such New
      Insider Demand Registration has been declared effective and the Company has
      complied with all of its obligations under this Agreement with respect thereto;
      provided,
      however,
      that
      if, after such Registration Statement has been declared effective, the offering
      of New Insider Shares pursuant to a New Insider Demand Registration is
      interfered with by any stop order or injunction of the Commission or any other
      governmental agency or court, the Registration Statement with respect to such
      New Insider Demand Registration will be deemed not to have been declared
      effective, unless and until, (i) such stop order or injunction is removed,
      rescinded or otherwise terminated, and (ii) with respect to a New Insider Demand
      Registration, a majority-in-interest of the New Insider Demanding Holders
      thereafter elect to continue the offering; provided,
      further,
      that
      the Company shall not be obligated to file a second Registration Statement
      until
      any such Registration Statement that has been filed is counted as a New Insider
      Demand Registration or is terminated.

     

    (c)  Underwritten
      Offering.
      If a
      majority-in-interest of the New Insider Demanding Holders so elect and such
      holders so advise the Company as part of their written demand for a New Insider
      Demand Registration, the offering of such New Insider Shares pursuant to such
      New Insider Demand Registration shall be in the form of an underwritten
      offering. In each such case, the right of any holder to include such holder’s
      New Insider Shares in such registration shall be conditioned upon such holder’s
      participation in such underwriting and the inclusion of such holder’s New
      Insider Shares in the underwriting to the extent provided herein. All New
      Insider Demanding Holders who propose to distribute their New Insider Shares
      through such an underwriting shall enter into an underwriting agreement in
      customary form with the Underwriter or Underwriters selected for such
      underwriting by a majority-in-interest of the holders initiating the New Insider
      Demand Registration.

     

    
      
        
        

      

      
        6.

        
          

        

      

      
        
        

      

    

    (d)  Reduction
      of Offering.
      If the
      managing Underwriter or Underwriters for a New Insider Demand Registration
      that
      is to be an underwritten offering advises the Company and the New Insider
      Demanding Holders in writing that the dollar amount or number of shares of
      New
      Insider Shares that the New Insider Demanding Holders desire to sell, taken
      together with all other shares of Common Stock or other securities that the
      Company desires to sell and the shares of Common Stock, if any, as to which
      registration has been requested pursuant to written contractual piggy-back
      registration rights held by other holders of the Company’s securities who desire
      to sell securities, exceeds the maximum dollar amount or maximum number of
      shares that can be sold in such offering without adversely affecting the
      proposed offering price, the timing, the distribution method, or the probability
      of success of such offering, then the Company shall include in such
      registration: (i) first, the New Insider Shares as to which the New Insider
      Demand Registration has been requested together with all other shares of Common
      Stock or other securities that the Company desires to sell and the shares of
      Common Stock, if any, as to which registration has been requested pursuant
      to
      the Purchase Option, that can be sold without exceeding the Maximum Number
      of
      Shares (all pro rata in accordance with the number of such shares that the
      Company or such holders shall have requested to be included in such
      registration); (ii) second, to the extent that the Maximum Number of Shares
      has
      not been reached under the foregoing clause (i), the shares of Common Stock
      for
      the account of other persons that the Company is obligated to register pursuant
      to written contractual arrangements with such persons and that can be sold
      without exceeding the Maximum Number of Shares; and (iii), third, to the extent
      that the Maximum Number of Shares have not been reached under the foregoing
      clauses (i) and (ii), the shares of Common Stock that other stockholders desire
      to sell that can be sold without exceeding the Maximum Number of
      Shares.

     

    (e)  Withdrawal.
      If a
      majority-in-interest of the New Insider Demanding Holders disapprove of the
      terms of any underwriting or are not entitled to include all of their New
      Insider Shares in any offering, such majority-in-interest of the New Insider
      Demanding Holders may elect to withdraw from such offering by giving written
      notice to the Company and the Underwriter or Underwriters of their request
      to
      withdraw prior to the effectiveness of the Registration Statement filed with
      the
      Commission with respect to such New Insider Demand Registration. In such event,
      the Company need not seek effectiveness of such Registration Statement for
      the
      benefit of other New Insiders. If the majority-in-interest of the New Insider
      Demanding Holders withdraws from a proposed offering relating to a New Insider
      Demand Registration then such registration shall not count as a New Insider
      Demand Registration provided for in Section 2.1.2(a).

     

    2.2  Piggy-Back
      Registration.

     

    2.2.1  Piggy-Back
      Rights.
      If at
      any time on or after the Release Date the Company proposes to file by
      Registration Statement, other than a Registration Statement in connection with
      a
      transaction contemplated by Rule 145(a) promulgated under the Securities Act
      or
      pursuant to Form S-8, then the Company shall (a) give written notice of such
      proposed filing to the holders of Insider Shares as soon as practicable but
      in
      no event less than ten (10) Business Days before the anticipated filing date,
      which notice shall describe the amount and type of securities to be included
      in
      such offering, the intended method(s) of distribution, and the name of the
      proposed managing Underwriter or Underwriters, if any, of the offering, and
      (b)
      offer to the holders of Insider Shares in such notice the opportunity to
      register such number of Insider Shares as such holders may request in writing
      within five (5) Business Days following receipt of such notice (a “Piggy-Back
      Registration”).
      The
      Company shall cause such Insider Shares to be included in such registration
      and
      shall use commercially reasonable efforts to cause the managing Underwriter
      or
      Underwriters of a proposed underwritten offering to permit the Insider Shares
      requested to be included in a Piggy-Back Registration to be included on the
      same
      terms and conditions as any similar securities of the Company and to permit
      the
      sale or other disposition of such Insider Shares in accordance with the intended
      method(s) of distribution thereof. All holders of Insider Shares who propose
      to
      distribute securities through a Piggy-Back Registration that involves an
      Underwriter or Underwriters shall enter into an underwriting agreement in
      customary form with the Underwriter or Underwriters selected for such Piggy-Back
      Registration.

     

    
      
        
        

      

      
        7.

        
          

        

      

      
        
        

      

    

    2.2.2  Reduction
      of Offering.
      If the
      managing Underwriter or Underwriters for a Piggy-Back Registration that is
      to be
      an underwritten offering advises the Company and the holders of Insider Shares
      in writing that the dollar amount or number of shares of Common Stock that
      the
      Company desires to sell, taken together with shares of Common Stock, if any,
      as
      to which registration has been demanded pursuant to written contractual
      arrangements with persons other than the holders of Insider Shares hereunder,
      the Insider Shares as to which registration has been requested under this
      Section 2.2, and the shares of Common Stock, if any, as to which registration
      has been requested pursuant to the written contractual piggy-back registration
      rights of other shareholders of the Company, exceeds the Maximum Number of
      Shares, then the Company shall include in any such registration:

     

    (i)  first,
      subject to the demand registration rights granted to the holders of the Purchase
      Option Shares, the shares of Common Stock or other securities that the Company
      desires to sell that can be sold without exceeding the Maximum Number of Shares
      together with the Insider Shares as to which registration has been requested
      and
      any other shares of Common Stock or other securities as to which registration
      has been requested pursuant to the Purchase Option (pro rata in accordance
      with
      the number of shares which each such person has actually requested to be
      included in such registration that can be sold without exceeding the Maximum
      Number of Shares),

     

    (ii)  second,
      to the extent that the Maximum Number of Shares has not been reached under
      the
      foregoing clause (i), the shares of Common Stock, if any, as to which
      registration has been requested pursuant to written contractual piggy-back
      registration rights which other shareholders desire to sell that can be sold
      without exceeding the Maximum Number of Shares, and

     

    (iii)  third,
      to
      the extent that the Maximum Number of Shares has not been reached under the
      foregoing clauses (i) and (ii), the shares of Common Stock, if any, that other
      stockholders desire to sell that can be sold without exceeding the Maximum
      Number of Shares.

     

    2.2.3  Withdrawal.
      Any
      holder of Insider Shares may elect to withdraw such holder’s request for
      inclusion of Insider Shares in any Piggy-Back Registration by giving written
      notice to the Company of such request to withdraw prior to the effectiveness
      of
      the Registration Statement. The Company may also elect to withdraw a
      registration statement at any time prior to the effectiveness of the
      Registration Statement. Notwithstanding any such withdrawal, the Company shall
      pay all expenses incurred by the holders of Insider Shares in connection with
      such Piggy-Back Registration as provided in Section 3.3.

     

    2.3  Registrations
      on Form S-3.
      Any
      holder of Insider Shares may at any time and from time to time after the Release
      Date, request in writing that the Company register the resale of any or all
      of
      such Insider Shares on Form S-3 or any similar short-form registration that
      may
      be available at such time (“Form
      S-3”);
      provided,
      however,
      that:
      (a) the Company shall not be obligated to effect such request through an
      underwritten offering and (b) the Company shall not be obligated to effect
      such
      a request if the Company has within the preceding twelve (12) month period
      effected two (2) registrations on Form S-3. Upon receipt of such written
      request, the Company will promptly give written notice of the proposed
      registration to all other holders of Insider Shares and, as soon as practicable
      thereafter, effect the registration of all or such portion of such holder’s or
      holders’ Insider Shares, as the case may be, as are specified in such request,
      together with all or such portion of the Insider Shares of any other holder
      or
      holders joining in such request as are specified in a written request given
      within five (5) Business Days after receipt of such written notice from the
      Company; provided,
      however,
      that
      the Company shall not be obligated to effect any such registration pursuant
      to
      this Section 2.3: (i) if Form S-3 is not available for such offering; or (ii)
      if
      the holders of the Insider Shares, together with the holders of any other
      securities of the Company entitled to inclusion in such registration, propose
      to
      sell Insider Shares and such other securities (if any) at any aggregate price
      to
      the public of less than $500,000. Registrations effected pursuant to this
      Section 2.3 shall not be counted as Demand Registrations effected pursuant
      to
      Section 2.1.

     

    
      
        
        

      

      
        8.

        
          

        

      

      
        
        

      

    

    
      	3.  	
              Registration
                Procedures.

            

    

     

    3.1  Filings;
      Information.
      Whenever the Company is required to effect the registration of any Insider
      Shares pursuant to Section 2, the Company shall use commercially reasonable
      efforts to effect the registration and sale of such Insider Shares in accordance
      with the intended method(s) of distribution thereof as expeditiously as
      practicable, and in connection with any such request:

     

    3.1.1  Filing
      Registration Statement.
      The
      Company shall, as expeditiously as possible and in any event within sixty (60)
      days after receipt of a request for a Demand Registration pursuant to Section
      2.1, prepare and file with the Commission a Registration Statement on any form
      for which the Company then qualifies or which counsel for the Company shall
      deem
      appropriate and which form shall be available for the sale of all Insider Shares
      to be registered thereunder in accordance with the intended method(s) of
      distribution thereof, and shall use commercially reasonable efforts to cause
      such Registration Statement to become and remain effective for the period
      required by Section 3.1.3; provided,
      however,
      that
      the Company shall have the right to defer any Demand Registration for up to
      ninety (90) days, and any Piggy-Back Registration for such period as may be
      applicable to deferment of any demand registration to which such Piggy-Back
      Registration relates, in each case if the Company shall furnish to the holders
      a
      certificate signed by the Chief Executive Officer of the Company stating that,
      in the good faith judgment of the Board of Directors of the Company, it would
      be
      materially detrimental to the Company and its shareholders for such Registration
      Statement to be effected at such time; provided further,
      however, that the Company shall not have the right to exercise the right set
      forth in the immediately preceding proviso more than once in any 365-day period
      in respect of a Demand Registration hereunder.

     

    3.1.2  Copies.
      The
      Company shall, prior to filing a Registration Statement or Prospectus, or any
      amendment or supplement thereto, furnish without charge to the holders of
      Insider Shares included in such registration, and such holders’ legal counsel,
      copies of such Registration Statement as proposed to be filed, each amendment
      and supplement to such Registration Statement (in each case including all
      exhibits thereto and documents incorporated by reference therein), the
      Prospectus included in such Registration Statement (including each preliminary
      Prospectus), and such other documents as the holders of Insider Shares included
      in such registration or legal counsel for any such holders may reasonably
      request in order to facilitate the disposition of the Insider Shares owned
      by
      such holders.

     

    3.1.3  Amendments
      and Supplements.
      The
      Company shall prepare and file with the Commission such amendments, including
      post-effective amendments, and supplements to such Registration Statement and
      the Prospectus used in connection therewith as may be necessary to keep such
      Registration Statement effective and in compliance with the provisions of the
      Securities Act until all Insider Shares, and all other securities covered by
      such Registration Statement, have been disposed of in accordance with the
      intended method(s) of distribution set forth in such Registration Statement
      (which period shall not exceed the sum of one hundred eighty (180) days plus
      any
      period during which any such disposition is interfered with by any stop order
      or
      injunction of the Commission or any governmental agency or court) or such
      securities have been withdrawn.

     

    
      
        
        

      

      
        9.

        
          

        

      

      
        
        

      

    

    3.1.4  Notification.
      After
      the filing of a Registration Statement, the Company shall promptly, and in
      no
      event more than two (2) Business Days after such filing, notify the holders
      of
      Insider Shares included in such Registration Statement of such filing, and
      shall
      further notify such holders promptly and confirm such advice in writing in
      all
      events within two (2) Business Days of the occurrence of any of the following:
      (i) when such Registration Statement becomes effective; (ii) when any
      post-effective amendment to such Registration Statement becomes effective;
      (iii)
      the issuance or threatened issuance by the Commission of any stop order (and
      the
      Company shall take all actions required to prevent the entry of such stop order
      or to remove it if entered); and (iv) any request by the Commission for any
      amendment or supplement to such Registration Statement or any Prospectus
      relating thereto or for additional information or of the occurrence of an event
      requiring the preparation of a supplement or amendment to such Prospectus so
      that, as thereafter delivered to the purchasers of the securities covered by
      such Registration Statement, such Prospectus will not contain an untrue
      statement of a material fact or omit to state any material fact required to
      be
      stated therein or necessary to make the statements therein not misleading,
      and
      promptly make available to the holders of Insider Shares included in such
      Registration Statement any such supplement or amendment; except that before
      filing with the Commission a Registration Statement or Prospectus or any
      amendment or supplement thereto, including documents incorporated by reference,
      the Company shall furnish to the holders of Insider Shares included in such
      Registration Statement and to the legal counsel for any such holders, copies
      of
      all such documents proposed to be filed sufficiently in advance of filing to
      provide such holders and legal counsel with a reasonable opportunity to review
      such documents and comment thereon, and the Company shall not file any
      Registration Statement or Prospectus or amendment or supplement thereto,
      including documents incorporated by reference, to which such holders or their
      legal counsel shall reasonably object.

     

    3.1.5  State
      Securities Laws Compliance.
      The
      Company shall use commercially reasonable efforts to (i) register or qualify
      the
      Insider Shares covered by the Registration Statement under such securities
      or
“blue sky” laws of such jurisdictions in the United States as the holders of
      Insider Shares included in such Registration Statement (in light of their
      intended plan of distribution) may request and (ii) take such action necessary
      to cause such Insider Shares covered by the Registration Statement to be
      registered with or approved by such other federal or state authorities as may
      be
      necessary by virtue of the business and operations of the Company and do any
      and
      all other acts and things that may be necessary or advisable to enable the
      holders of Insider Shares included in such Registration Statement to consummate
      the disposition of such Insider Shares in such jurisdictions; provided,
      however,
      that in
      no event shall the Company be required to register the Insider Shares in a
      jurisdiction in which such registration would cause (i) the Company to be
      obligated to qualify to do business in any such jurisdiction, or would subject
      the Company to taxation as a foreign corporation doing business in such
      jurisdiction or (ii) the principal stockholders of the Company to be obligated
      to escrow their shares of capital stock of the Company (except to the extent
      such shares are already subject to an escrow in such jurisdiction).

     

    3.1.6  Agreements
      for Disposition.
      The
      Company shall enter into customary agreements (including, if applicable, an
      underwriting agreement in customary form) and take such other actions as are
      reasonably required in order to expedite or facilitate the disposition of such
      Insider Shares. The representations, warranties and covenants of the Company
      in
      any underwriting agreement which are made to or for the benefit of any
      Underwriters, to the extent applicable, shall also be made to and for the
      benefit of the holders of Insider Shares included in such registration
      statement. No holder of Insider Shares included in such registration statement
      shall be required to make any representations or warranties in the underwriting
      agreement except as reasonably requested by the Company and, if applicable,
      with
      respect to such holder’s organization, good standing, authority, title to
      Insider Shares, lack of conflict of such sale with such holder’s material
      agreements and organizational documents, and with respect to written information
      relating to such holder that such holder has furnished in writing expressly
      for
      inclusion in such Registration Statement. Holders of Insider Shares shall agree
      to such covenants and indemnification and contribution obligations for selling
      stockholders as are customarily contained in agreements of that type. Further,
      such holders shall cooperate fully in the preparation of the registration
      statement and other documents relating to any offering in which they include
      securities pursuant to Section 2 hereof. Each holder shall also furnish to
      the
      Company such information regarding itself, the Insider Shares held by such
      holder, and the intended method of disposition of such securities as shall
      be
      reasonably required to effect the registration of the Insider
      Shares.

     

    
      
        
        

      

      
        10.

        
          

        

      

      
        
        

      

    

    3.1.7  Cooperation.
      The
      principal executive officer of the Company, the principal financial officer
      of
      the Company, the principal accounting officer of the Company and all other
      officers and members of the management of the Company shall cooperate fully
      in
      any offering of Insider Shares hereunder, which cooperation shall include,
      without limitation, the preparation of the Registration Statement with respect
      to such offering and all other offering materials and related documents, and
      participation in meetings with Underwriters, attorneys, accountants and
      potential investors.

     

    3.1.8  Records.
      The
      Company shall make available for inspection by the holders of Insider Shares
      included in such Registration Statement, any Underwriter participating in any
      disposition pursuant to such registration statement and any attorney, accountant
      or other professional retained by any holder of Insider Shares included in
      such
      Registration Statement or any Underwriter, all financial and other records,
      pertinent corporate documents and properties of the Company, as shall be
      necessary to enable them to exercise their due diligence responsibility, and
      cause the Company’s officers, directors and employees to supply all information
      reasonably requested by any of them in connection with such Registration
      Statement.

     

    3.1.9  Opinions
      and Comfort Letters.
      The
      Company shall furnish to each holder of Insider Shares included in any
      Registration Statement a signed counterpart, addressed to such holder, of (i)
      any opinion of counsel to the Company delivered to any Underwriter and (ii)
      any
      comfort letter from the Company’s independent public accountants delivered to
      any Underwriter. In the event no legal opinion is delivered to any Underwriter,
      the Company shall furnish to each holder of Insider Shares included in such
      Registration Statement, at any time that such holder elects to use a Prospectus,
      an opinion of counsel to the Company to the effect that the Registration
      Statement containing such Prospectus has been declared effective and that no
      stop order is in effect.

     

    3.1.10  Earnings
      Statement.
      The
      Company shall comply with all applicable rules and regulations of the Commission
      and the Securities Act, and make available to its shareholders, as soon as
      practicable, an earnings statement covering a period of twelve (12) months,
      beginning within six (6) months after the effective date of the registration
      statement, which earnings statement shall satisfy the provisions of Section
      11(a) of the Securities Act and Rule 158 thereunder.

     

    3.1.11  Listing.
      The
      Company shall use commercially reasonable efforts to cause all Insider Shares
      included in any registration to be listed on such exchanges or otherwise
      designated for trading in the same manner as similar securities issued by the
      Company are then listed or designated or, if no such similar securities are
      then
      listed or designated, in a manner satisfactory to the holders of a majority
      of
      the Insider Shares that are included in such registration.

     

    3.2  Obligation
      to Suspend Distribution.
      Upon
      receipt of any notice from the Company of the happening of any event of the
      kind
      described in Section 3.1.4(iv), or, in the case of a resale registration on
      Form
      S-3 pursuant to Section 2.3 hereof, upon any suspension by the Company, pursuant
      to a written insider trading compliance program adopted by the Company’s Board
      of Directors, of the ability of all “insiders” covered by such program to
      transact in the Company’s securities because of the existence of material
      non-public information, each holder of Insider Shares included in any
      registration shall immediately discontinue disposition of such Insider Shares
      pursuant to the Registration Statement covering such Insider Shares until such
      holder receives the supplemented or amended Prospectus contemplated by Section
      3.1.4(iv) or the restriction on the ability of “insiders” to transact in the
      Company’s securities is removed, as applicable, and, if so directed by the
      Company, each such holder will deliver to the Company all copies, other than
      permanent file copies then in such holder’s possession, of the most recent
      Prospectus covering such Insider Shares at the time of receipt of such
      notice.

     

    
      
        
        

      

      
        11.

        
          

        

      

      
        
        

      

    

    3.3  Registration
      Expenses.
      The
      Company shall bear all customary costs and expenses incurred in connection
      with
      any Demand Registration pursuant to Section 2.1, any Piggy-Back Registration
      pursuant to Section 2.2, and any registration on Form S-3 effected pursuant
      to
      Section 2.3, and all reasonable expenses incurred in performing or complying
      with its other obligations under this Agreement, whether or not the Registration
      Statement becomes effective, including, without limitation: (i) all registration
      and filing fees; (ii) fees and expenses of compliance with securities or “blue
      sky” laws (including fees and disbursements of counsel in connection with blue
      sky qualifications of the Insider Shares, subject to the limit set forth in
      paragraph (ix) below); (iii) printing expenses; (iv) the Company’s internal
      expenses (including, without limitation, all salaries and expenses of its
      officers and employees); (v) the fees and expenses incurred in connection with
      the listing of the Insider Shares, as required by Section 3.1.11; (vi) National
      Association of Securities Dealers, Inc. fees; (vii) fees and disbursements
      of
      counsel for the Company and fees and expenses for independent certified public
      accountants retained by the Company (including the expenses or costs associated
      with the delivery of any opinions or comfort letters requested pursuant to
      Section 3.1.9); (viii) the fees and expenses of any special experts retained
      by
      the Company in connection with such registration and (ix) the fees and expenses
      of one legal counsel selected by the holders of a majority-in-interest of the
      Insider Shares that are included in such registration (not to exceed, including
      the fees and disbursements to counsel in clause (ii) of this Section 3.3,
      $20,000). The Company shall have no obligation to pay any underwriting discounts
      or selling commissions attributable to the Insider Shares being sold by the
      holders thereof, which underwriting discounts or selling commissions shall
      be
      borne solely by such holders. Additionally, in an underwritten offering, all
      selling shareholders and the Company shall bear the expenses of the underwriter
      pro rata in proportion to the respective amount of shares each is selling in
      such offering.

     

    3.4  Information.
      The
      holders of Insider Shares shall provide such information as may reasonably
      be
      requested by the Company, or the managing Underwriter, if any, in connection
      with the preparation of any Registration Statement, including amendments and
      supplements thereto, in order to effect the registration of any Insider Shares
      under the Securities Act pursuant to Section 2 and in connection with the
      Company’s obligation to comply with federal and applicable state securities
      laws.

     

    3.5  Holder
      Obligations.
      No
      holder of Insider Shares may participate in any underwritten offering pursuant
      to this Section 3 unless such holder (i) agrees to sell only such holder’s
      Insider Shares on the basis reasonably provided in any underwriting agreement,
      and (ii) completes, executes and delivers any and all questionnaires, powers
      of
      attorney, custody agreements, indemnities, underwriting agreements and other
      documents reasonably required by or under the terms of any underwriting
      agreement or as reasonably requested by the Company.

     

    
      	4.  	
              Indemnification
                And Contribution.

            

    

     

    4.1  Indemnification
      by the Company.
      The
      Company agrees to indemnify and hold harmless each Insider and each other holder
      of Insider Shares, and each of their respective officers, employees, affiliates,
      directors, partners, members, attorneys and agents, and each person, if any,
      who
      controls an Insider and each other holder of Insider Shares (within the meaning
      of Section 15 of the Securities Act or Section 20 of the Exchange Act) (each,
      an
“Insider
      Indemnified Party”),
      from
      and against any expenses, losses, judgments, claims, damages or liabilities,
      whether joint or several, arising out of or based upon any untrue statement
      (or
      allegedly untrue statement) of a material fact contained in any Registration
      Statement under which the sale of such Insider Shares was registered under
      the
      Securities Act, any preliminary Prospectus, final Prospectus or summary
      Prospectus contained in the Registration Statement, or any amendment or
      supplement to such Registration Statement, or arising out of or based upon
      any
      omission (or alleged omission) to state a material fact required to be stated
      therein or necessary to make the statements therein not misleading, except
      insofar as such expense, loss, claim, damage or liability arises out of or
      is
      based upon any untrue statement or allegedly untrue statement or omission or
      alleged omission made in such Registration Statement, preliminary Prospectus,
      final Prospectus, or summary Prospectus, or any such amendment or supplement,
      in
      reliance upon and in conformity with information furnished to the Company,
      in
      writing, by such selling holder expressly for use therein; provided,
      however,
      that
      the foregoing indemnity shall not inure to the benefit of any holder (or to
      the
      benefit of any person controlling such holder) from whom the person asserting
      such losses, claims or liabilities purchased the Insider Shares, if a copy
      of
      the Prospectus (as then amended or supplemented if the Company shall have
      furnished any amendments or supplements thereto) was not sent or given by or
      on
      behalf of such holder to such person, if required by law so to have been
      delivered at or prior to the written confirmation of the sale of the Insider
      Shares to such person, and if the Prospectus (as so amended or supplemented)
      would have cured the defect giving rise to such losses, claims, damages or
      liabilities, unless such failure is the result of noncompliance by the Company
      with Section 3.1.3 hereof. The Company also shall indemnify the Underwriter,
      their officers, employees, affiliates, directors, partners, members, attorneys
      and agents, and each person who controls the Underwriter on substantially the
      same basis as that of the indemnification provided above in this Section
      4.1.

     

    
      
        
        

      

      
        12.

        
          

        

      

      
        
        

      

    

    4.2  Indemnification
      by Holders of Insider Shares.
      Each
      selling holder of Insider Shares will, with respect to any Registration
      Statement where Insider Shares were registered under the Securities Act,
      indemnify and hold harmless the Company, each of its directors and officers,
      each underwriter, if any, and each other person, if any, who controls such
      selling holder, such underwriter or the Company (within the meaning of Section
      15 of the Securities Act or Section 20 of the Exchange Act), against any losses,
      claims, judgments, damages or liabilities, whether joint or several, insofar
      as
      such losses, claims, judgments, damages or liabilities (or actions in respect
      thereof) arise out of or are based upon any untrue statement or allegedly untrue
      statement of a material fact contained in any Registration Statement under
      which
      the sale of such Insider Shares was registered under the Securities Act, any
      preliminary Prospectus, final Prospectus or summary Prospectus contained in
      the
      Registration Statement, or any amendment or supplement to the Registration
      Statement, or arise out of or are based upon any omission or the alleged
      omission to state a material fact required to be stated therein or necessary
      to
      make the statement therein not misleading, if the statement or omission was
      made
      in reliance upon and in conformity with information furnished in writing to
      the
      Company by such selling holder expressly for use therein, and shall reimburse
      the Company, its directors and officers, and each such controlling person for
      any legal or other expenses reasonably incurred by any of them in connection
      with investigation or defending any such loss, claim, damage, liability or
      action. Each selling holder’s indemnification obligations hereunder shall be
      several and not joint and shall be limited to the amount of any net proceeds
      actually received by such selling holder in connection with the sale of the
      Insider Shares by such selling holder pursuant to the Registration Statement
      containing such untrue statement or allegedly untrue statement.

     

    4.3  Conduct
      of Indemnification Proceedings.
      Promptly after receipt by any person of any notice of any loss, claim, damage
      or
      liability or any action in respect of which indemnity may be sought pursuant
      to
      Section 4.1 or 4.2, such person (the “Indemnified
      Party”)
      shall,
      if a claim in respect thereof is to be made against any other person for
      indemnification hereunder, promptly notify such other person (the “Indemnifying
      Party”)
      in
      writing of the loss, claim, judgment, damage, liability or action. If the
      Indemnified Party is seeking indemnification with respect to any claim or action
      brought against the Indemnified Party, then the Indemnifying Party shall be
      entitled to participate in such claim or action, and, to the extent that it
      elects jointly with all other Indemnifying Parties, to assume control of the
      defense thereof with counsel satisfactory to the Indemnified Party. After notice
      from the Indemnifying Party to the Indemnified Party of its election to assume
      control of the defense of such claim or action, the Indemnifying Party shall
      not
      be liable to the Indemnified Party for any legal or other expenses subsequently
      incurred by the Indemnified Party in connection with the defense thereof other
      than reasonable costs of investigation. In any such proceeding, the Indemnified
      Party shall have the right to retain its own counsel, but the fees and expenses
      of such counsel shall be at the expense of such Indemnified Party unless (i)
      the
      Indemnified Party and the Indemnifying Party shall have mutually agreed to
      the
      retention of such counsel, or (ii) the named parties to any such proceeding
      (including any impleaded parties) include both the Indemnified Party and the
      Indemnifying Party and representation of both parties by the same counsel would
      be inappropriate due to actual or potential differing interest between them.
      The
      Indemnifying Party shall not be liable for any settlement of any proceeding
      effected without its written consent, but if settled with such consent or there
      is a final judgment for the plaintiff, the Indemnifying Party agrees to
      indemnify the Indemnified Party from and against any loss or liability by reason
      of such settlement or judgment. Notwithstanding the foregoing sentence, if
      at
      any time an Indemnified Party shall have requested an Indemnifying Party to
      reimburse the Indemnified Party for fees and expenses of counsel as contemplated
      in this Section 4.3, the Indemnifying Party agrees that it shall be liable
      for
      any settlement of any proceeding effected without its written consent if (i)
      such settlement is entered into more than thirty (30) days after receipt by
      such
      Indemnifying Party of the aforesaid request, and (ii) such Indemnifying Party
      shall not have reimbursed the Indemnified Party in accordance with such request
      prior to the date of such settlement (other than reimbursement for fees and
      expenses the Indemnifying Party is contesting in good faith). No Indemnifying
      Party shall, without the prior written consent of the Indemnified Party, consent
      to entry of judgment or effect any settlement of any claim or pending or
      threatened proceeding in respect of which the Indemnified Party is or could
      have
      been a party and indemnity could have been sought hereunder by such Indemnified
      Party, unless such judgment or settlement includes an unconditional release
      of
      such Indemnified Party from all liability arising out of such claim or
      proceeding.

     

    
      
        
        

      

      
        13.

        
          

        

      

      
        
        

      

    

    4.4  Contribution.

     

    4.4.1  If
      the
      indemnification provided for in the foregoing Sections 4.1, 4.2 and 4.3 is
      unavailable to any Indemnified Party in respect of any loss, claim, damage,
      liability or action referred to herein, then each such Indemnifying Party,
      in
      lieu of indemnifying such Indemnified Party, shall contribute to the amount
      paid
      or payable by such Indemnified Party as a result of such loss, claim, damage,
      liability or action in such proportion as is appropriate to reflect the relative
      benefits received by the Indemnified Parties on the one hand and the
      Indemnifying Parties on the other from the offering. If, however, the allocation
      provided by the immediately preceding sentence is not permitted by applicable
      law or if the Indemnified Party failed to give the notice required under Section
      4.3 above, then each Indemnifying Party shall contribute to such amount paid
      or
      payable by such Indemnified Party in such proportion as is appropriate to
      reflect not only such relative benefits but also the relative fault of the
      Indemnified Parties on the one hand and the Indemnifying Parties on the other
      in
      connection with the actions or omissions which resulted in such loss, claim,
      damage, liability or action, as well as any other relevant equitable
      considerations. The relative fault of any Indemnified Party and any Indemnifying
      Party shall be determined by reference to, among other things, whether the
      untrue or alleged untrue statement of a material fact or the omission or alleged
      omission to state a material fact relates to information supplied by such
      Indemnified Party or such Indemnifying Party and the parties’ relative intent,
      knowledge, access to information and opportunity to correct or prevent such
      statement or omission.

     

    
      
        
        

      

      
        14.

        
          

        

      

      
        
        

      

    

    4.4.2  The
      parties hereto agree that it would not be just and equitable if contribution
      pursuant to this Section 4.4 were determined by pro
      rata
      allocation or by any other method of allocation which does not take account
      of
      the equitable considerations referred to in the immediately preceding Section
      4.4.1. The amount paid or payable by an Indemnified Party as a result of any
      loss, claim, damage, liability or action referred to in the immediately
      preceding paragraph shall be deemed to include, subject to the limitations
      set
      forth above, any legal or other expenses incurred by such Indemnified Party
      in
      connection with investigating or defending any such action or claim.
      Notwithstanding the provisions of this Section 4.4, no holder of Insider Shares
      shall be required to contribute any amount in excess of the dollar amount of
      the
      net proceeds (after payment of any underwriting fees, discounts, commissions
      or
      taxes) actually received by such holder from the sale of Insider Shares which
      gave rise to such contribution obligation. No person guilty of fraudulent
      misrepresentation (within the meaning of Section 11(f) of the Securities Act)
      shall be entitled to contribution from any person who was not guilty of such
      fraudulent misrepresentation.

     

    
      	5.  	
              Underwriting
                And Distribution.

            

    

     

    5.1  Rule
      144.
      The
      Company covenants that it shall file any reports required to be filed by it
      under the Securities Act and the Exchange Act and shall take such further action
      as the holders of Insider Shares may reasonably request, all to the extent
      required from time to time to enable such holders to sell Insider Shares without
      registration under the Securities Act within the limitation of the exemptions
      provided by Rule 144 under the Securities Act, or any similar provision thereto,
      but not Rule 144A.

     

    
      	6.  	
              Miscellaneous.

            

    

     

    6.1  Assignment;
      No Third Party Beneficiaries.
      This
      Agreement and the rights, duties and obligations of the Company hereunder may
      not be assigned or delegated by the Company in whole or in part. This Agreement
      and the rights, duties and obligations of the holders of Insider Shares
      hereunder may be freely assigned or delegated by such holder of Insider Shares
      in conjunction with and to the extent of any permitted transfer of Insider
      Shares by any such holder in accordance with applicable law. This Agreement
      and
      the provisions hereof shall be binding upon and shall inure to the benefit
      of
      each of the parties and their respective successors and the permitted assigns
      of
      the Insider or holder of Insider Shares or of any assignee of the Insider or
      holder of Insider Shares. This Agreement is not intended to confer any rights
      or
      benefits on any persons that are not party hereto other than as expressly set
      forth in Section 4 and this Section 6.1.

     

    6.2  Notices.
      All
      notices, demands, requests, consents, approvals or other communications
      (collectively, “Notices”)
      required or permitted to be given hereunder or which are given with respect
      to
      this Agreement shall be in writing and shall be personally served, delivered
      by
      reputable air courier service with charges prepaid, or transmitted by hand
      delivery, telegram, telex or facsimile, addressed as set forth below, or to
      such
      other address as such party shall have specified most recently by written notice
      provided in accordance with this Section 6.2. Notice shall be deemed given
      on
      the date of service or transmission if personally served or transmitted by
      telegram, telex or facsimile; provided,
      that if
      such service or transmission is not on a Business Day or is after normal
      business hours, then such notice shall be deemed given on the next Business
      Day.
      Notice otherwise sent as provided herein shall be deemed given on the next
      Business Day following timely delivery of such notice to a reputable air courier
      service with an order for next-day delivery.

     

    

    
      
        
           

          
          

        

        
          15.

          
            

          

        

        
          
          

        

      

    

    

    To
      the
      Company:

     

    Ad.Venture
      Partners, Inc.

    360
      Madison Avenue, 21st Floor 

    New
      York,
      New York 10017 

    Attention:
      Chief Executive Officer

     

    with
      a
      copy to:

     

    Cooley
      Godward Kronish LLP 

    101
      California Street, 5th
      Floor

    San
      Francisco, CA 94111 

    Attention:
      Kenneth L. Guernsey

    To
      an
      Insider, to the address set forth below such Insider’s name on the signature
      pages hereof.

     

    with
      a
      copy to:

     

    Cooley
      Godward Kronish LLP 

    101
      California Street, 5th
      Floor

    San
      Francisco, CA 94111 

    Attention:
      Kenneth L. Guernsey

     

    6.3  Severability.
      This
      Agreement shall be deemed severable, and the invalidity or unenforceability
      of
      any term or provision hereof shall not affect the validity or enforceability
      of
      this Agreement or of any other term or provision hereof. Furthermore, in lieu
      of
      any such invalid or unenforceable term or provision, the parties hereto intend
      that there shall be added as a part of this Agreement a provision as similar
      in
      terms to such invalid or unenforceable provision as may be possible and be
      valid
      and enforceable.

     

    6.4  Counterparts.
      This
      Agreement may be executed in multiple counterparts, each of which shall be
      deemed an original, and all of which taken together shall constitute one and
      the
      same instrument.

     

    6.5  Entire
      Agreement.
      This
      Agreement (including all agreements entered into pursuant hereto and all
      certificates and instruments delivered pursuant hereto and thereto) constitute
      the entire agreement of the parties with respect to the subject matter hereof
      and supersede all prior and contemporaneous agreements, representations,
      understandings, negotiations and discussions between the parties, whether oral
      or written.

     

    6.6  Modifications
      and Amendments.
      No
      amendment, modification or termination of this Agreement shall be binding upon
      any party unless executed in writing by such party.

     

    6.7  Titles
      and Headings.
      Titles
      and headings of sections of this Agreement are for convenience only and shall
      not affect the construction of any provision of this Agreement.

     

    6.8  Waivers
      and Extensions.
      Any
      party to this Agreement may waive any right, breach or default which such party
      has the right to waive, provided,
      that
      such waiver will not be effective against the waiving party unless it is in
      writing, is signed by such party, and specifically refers to this Agreement.
      Waivers may be made in advance or after the right waived has arisen or the
      breach or default waived has occurred. Any waiver may be conditional. No waiver
      of any breach of any agreement or provision herein contained shall be deemed
      a
      waiver of any preceding or succeeding breach thereof nor of any other agreement
      or provision herein contained. No waiver or extension of time for performance
      of
      any obligations or acts shall be deemed a waiver or extension of the time for
      performance of any other obligations or acts.

     

    
      
        
        

      

      
        16.

        
          

        

      

      
        
        

      

    

    6.9  Remedies
      Cumulative.
      In the
      event that the Company fails to observe or perform any covenant or agreement
      to
      be observed or performed under this Agreement, the Insider or any other holder
      of Insider Shares may proceed to protect and enforce its rights by suit in
      equity or action at law, whether for specific performance of any term contained
      in this Agreement or for an injunction against the breach of any such term
      or in
      aid of the exercise of any power granted in this Agreement or to enforce any
      other legal or equitable right, or to take any one or more of such actions,
      without being required to post a bond. None of the rights, powers or remedies
      conferred under this Agreement shall be mutually exclusive, and each such right,
      power or remedy shall be cumulative and in addition to any other right, power
      or
      remedy, whether conferred by this Agreement or now or hereafter available at
      law, in equity, by statute or otherwise.

     

    6.10  Governing
      Law.
      This
      Agreement shall be governed by and interpreted and construed in accordance
      with
      the laws of the State of New York applicable to contracts formed and to be
      performed entirely within the State of New York, without regard to the conflicts
      of law provisions thereof to the extent such principles or rules would require
      or permit the application of the laws of another jurisdiction. The Company
      and
      the holders of the Insider Shares irrevocably and unconditionally submit to
      the
      exclusive jurisdiction of the United States District Court for the Southern
      District of New York or, if such court does not have jurisdiction, the New
      York
      State Supreme Court in the Borough of Manhattan, in any action arising out
      of or
      relating to this Agreement, agree that all claims in respect of the action
      may
      be heard and determined in any such court and agree not to bring any action
      arising out of or relating to this Agreement in any other court. In any action,
      the Company and the holders of the Insider Shares irrevocably and
      unconditionally waive and agree not to assert by way of motion, as a defense
      or
      otherwise any claims that it is not subject to the jurisdiction of the above
      court, that such action is brought in an inconvenient forum or that the venue
      of
      such action is improper. Without limiting the foregoing, the Company and the
      holders of the Insider Shares agree that service of process at each parties
      respective addresses as provided for in Section 6.2 above shall be deemed
      effective service of process on such party.

     

    6.11  Waiver
      of Trial by Jury.
      Each
      party hereby irrevocably and unconditionally waives the right to a trial by
      jury
      in any action, suit, counterclaim or other proceeding (whether based on
      contract, tort or otherwise) arising out of, connected with or relating to
      this
      Agreement, the transactions contemplated hereby, or the actions of the Insider
      in the negotiation, administration, performance or enforcement
      hereof.

     

    [Remainder
      Of Page Intentionally Left Blank]

    
 

    

    
      
        
          
             

          

          
          

        

        
          17.

          
            

          

        

        
          
          

          
            

          

        

      

    

    

    In
      Witness Whereof,
      the
      parties have caused this Amended and Restated Registration Rights Agreement
      to
      be executed and delivered by their duly authorized representatives as of the
      date first written above.

     

    AD.VENTURE
      PARTNERS, INC.

     

    By:
      __________________________________ 

    Name:
      Howard S. Balter 

    Title:
      Chief Executive Officer

     

    INSIDERS:

     

    By:
      __________________________________ 

    Howard
      S.
      Balter

     

    c/o
      Ad.Venture Partners, Inc.

    360
      Madison Avenue, 21st
      Floor

    New
      York,
      New York 10017

     

    By:
      __________________________________ 

    Ilan
      M.
      Slasky

     

    c/o
      Ad.Venture Partners, Inc.

    360
      Madison Avenue, 21st
      Floor

    New
      York,
      New York 10017

     

    By:
      __________________________________ 

    Lawrence
      J. Askowitz

     

    c/o
      Ad.Venture Partners, Inc.

    360
      Madison Avenue, 21st
      Floor

    New
      York,
      New York 10017

     

    By:
      __________________________________ 

    Dr.
      Shlomo Kalish

     

    c/o
      Ad.Venture Partners, Inc.

    360
      Madison Avenue, 21st
      Floor

    New
      York,
      New York 10017

     

    

    
      
        
           

          
          

        

        
          1.

          
            

          

        

        
          
          

        

      

    

    

    By:
      __________________________________ 

    Thomas
      Rogers

     

    c/o
      Ad.Venture Partners, Inc.

    360
      Madison Avenue, 21st
      Floor

    New
      York,
      New York 10017

     

    JF
      Investments
      LLC

     

    By:
      __________________________________ 

    Name:
      Ken
      Jacquin

    Title:

     

    c/o
      Ad.Venture Partners, Inc.

    360
      Madison Avenue, 21st
      Floor

    New
      York,
      New York 10017

     

    By:
      __________________________________ 

    William
      Margiloff

     

    c/o
      Ad.Venture Partners, Inc.

    360
      Madison Avenue, 21st
      Floor

    New
      York,
      New York 10017

     

    By:
      __________________________________ 

    Hillel
      Weinberger

     

    c/o
      Ad.Venture Partners, Inc.

    360
      Madison Avenue, 21st
      Floor

    New
      York,
      New York 10017

     

    By:
      __________________________________

    M.
      Brian
      McCarthy

     

    [Address]

     

    By:
      __________________________________

    
      	 	 	
              Peter
                Giacalone

            

    

     

    [Address]

     

    

    
      
        
           

          
          

        

        
          2.

          
            

          

        

        
          
          

        

      

    

    

    By:
      __________________________________

    
      	 	 	
              Anton
                R. Simunovic

            

    

     

    [Address]

     

    By:
      __________________________________

    
      	 	 	
              Byron
                G. Osing

            

    

     

    [Address]

     

    By:
      __________________________________

    
      	 	 	
              David
                R. Hallmen

            

    

     

    [Address]

     

    By:
      __________________________________

    
      	 	 	
              Matthew
                G. Roszak

            

    

     

    [Address]

     

    

     

    

     

    

    
      
        
          
             

          

          
          

        

        
          3.

          
            

          

        

        
          
          

          
            

          

        

      

    

     

    
      Schedule
        N

       

      AMENDED
        AND RESTATED CERTIFICATE OF INCORPORATION

       

      
        
          
          

        

        
          1.

          
            

          

        

        
          
          

        

      

      AMENDED
        AND RESTATED CERTIFICATE OF INCORPORATION OF

      AD.VENTURE
        PARTNERS, INC.

      ____________________________

       

      Pursuant
        to Sections 242 and 245

      of
        the

      Delaware
        General Corporation Law

       

      ____________________________

       

      Howard
        S.
        Balter hereby certifies as follows:

       

      1.  The
        original name of the corporation was “ad.venture
        partners, inc.”,
        and
        the date of filing of the original Certificate of Incorporation with the
        Secretary of State of the State of Delaware was April 7, 2005.

       

      2.  The
        present name of the corporation, as reflected in the Amended and Restated
        Certificate of Incorporation filed with the Secretary of State of the State
        of
        Delaware on August 24, 2005 (the “Prior
        Certificate”)
        is
“Ad.Venture
        Partners, Inc.”;

       

      3.  This
        Amended and Restated Certificate of Incorporation restates, integrates and
        amends the Prior Certificate;

       

      4.  This
        Amended and Restated Certificate of Incorporation was duly adopted by the
        directors and stockholders of the corporation in accordance with the applicable
        provisions of Sections 242 and 245 of the General Corporation Law of the
        State
        of Delaware (“DGCL”);
        and

       

      5.  The
        text
        of the Prior Certificate of the corporation is hereby amended and restated
        to
        read, in full, as follows: 

       

      First.
        The name
        of the Corporation is hereby changed to “180
        Connect Inc.”
(the
        “Corporation”).

       

      Second.
        The
        registered office of the Corporation is located at 1209 Orange Street, in
        the
        City of Wilmington, County of New Castle 19801. The name of its registered
        agent
        at that address is The Corporation Trust Company.

       

      Third.
        The
        purpose of the Corporation shall be: To engage in any lawful act or activity
        for
        which corporations may be organized under the DGCL.

       

      Fourth.
        The
        total number of shares of all classes of capital stock which the Corporation
        shall have authority to issue is 101,000,000 of which 100,000,000 shares
        shall
        be Common Stock with a par value of $0.0001 per share and of which 1,000,000
        shares shall be Preferred Stock with a par value of $0.0001 per
        share.

       

      A.  Common
        Stock.
        Except
        as otherwise required by law, as provided below with respect to the Special
        Voting Share or as otherwise provided in any Preferred Stock Designation,
        the
        holders of Common Stock shall exclusively possess all voting power and each
        share of Common Stock shall have one vote; provided, however, that except
        as
        otherwise required by law, holders of Common Stock shall not be entitled
        to vote
        on any amendment to this Amended and Restated Certificate of Incorporation
        (including any certificate of designation filed with respect to any series
        of
        Preferred Stock) that relates solely to the terms of one or more outstanding
        series of Preferred Stock if the holders of such affected series are entitled,
        either separately or together as a class with the holders or one or more
        other
        such series, to vote thereon by law or pursuant to this Amended and Restated
        Certificate of Incorporation (including any certificate of designation filed
        with respect to any series of Preferred Stock).

       

      
        
          
          

        

        
          2.

          
            

          

        

        
          
          

        

      

       

      B.  Preferred
        Stock. 1
        of the
        authorized shares of Preferred Stock is hereby designated as the “Special Voting
        Share” (the “Special
        Voting Share”).
        The
        remaining shares of Preferred Stock may be issued from time to time in one
        or
        more series. The Board of Directors is expressly granted authority to issue
        any
        or all of the remaining unissued and undesignated shares of Preferred Stock,
        in
        one or more series, and to fix for each such series such voting powers, full
        or
        limited, and such designations, preferences and relative, participating,
        optional or other special rights and such qualifications, limitations or
        restrictions thereof as shall be stated and expressed in the resolution or
        resolutions adopted by the Board of Directors providing for the issue of
        such
        series (a “Preferred
        Stock Designation”)
        and as
        may be permitted by the DGCL. The number of authorized shares of Preferred
        Stock
        may be increased or decreased (but not below the number of shares thereof
        then
        outstanding) by the affirmative vote of the holders of a majority of the
        voting
        power of all of the then outstanding shares of the capital stock of the
        Corporation entitled to vote generally in the election of directors, voting
        together as a single class, without a separate vote of the holders of the
        Preferred Stock, or any series thereof, unless a vote of any such holders
        is
        required to take such action pursuant to any Preferred Stock Designation.
        In
        case the number of shares of any series shall be decreased in accordance
        with
        the foregoing sentence, the shares constituting such decrease shall resume
        the
        status that they had prior to the adoption of the resolution originally fixing
        the number of shares of such series.

       

      C.  Special
        Voting Share. The
        rights, preferences, privileges, restrictions and other matters relating
        to the
        Special Voting Share are as follows:

       

      (1)  Voting
        Rights.

       

      a.  The
        Special Voting Share shall entitle the holder thereof to an aggregate number
        of
        votes,
        on any
        particular matter, proposition or question,
        equal to
        the number of exchangeable shares (“Exchangeable
        Shares”)
        of
6732097
        Canada Inc., a corporation incorporated under the laws of Canada and an indirect
        wholly-owned subsidiary of the Corporation, outstanding from time to time
        which
        are not owned by the Corporation or any of its direct or indirect
        subsidiaries,
        multiplied by a number equal to the number of votes to which a holder of
        one
        share of common stock is entitled with respect to such matter, proposition
        or
        question.

       

      b.  Except
        as
        otherwise provided herein or by law, the holder of the Special Voting Share
        and
        the holders of shares of Common Stock shall vote together as one class on
        all
        matters submitted to a vote of the stockholders of the Corporation.

       

      
        
          
          

        

        
          3.

          
            

          

        

        
          
          

        

      

       

      c.  Except
        as
        set forth herein, the holder of the Special Voting Share shall have no special
        voting rights, and its consent shall not be required (except to the extent
        it is
        entitled to vote with the holders of shares of Common Stock as set forth
        herein)
        for taking any corporate action.

       

      d.  The
        holder of the Special Voting Share is entitled to exercise the voting rights
        attendant thereto in such manner as such holder desires.

       

      (2)  Cancellation
        or Reacquisition.

       

      a.  At
        such
        time as (A) the Special Voting Share entitles its holder to a number of votes
        equal to zero because there are no Exchangeable Shares of l
        outstanding which are not owned by the Corporation or any of its direct or
        indirect subsidiaries and (B) there is no share of stock, debt, option or
        other
        agreement, obligation or commitment of l
        which
        could by its terms require it to issue any Exchangeable Shares to any person
        other than the Corporation or any of its direct or indirect subsidiaries,
        then
        the Special Voting Share shall thereupon be retired and cancelled promptly
        thereafter. 

       

      b.  If
        the
        Special Voting Share should be repurchased or otherwise acquired by the
        Corporation in any manner whatsoever, then the Special Voting Share shall
        be
        retired and cancelled promptly after the acquisition thereof. 

       

      c.  Such
        share shall upon its cancellation, and upon the taking of any action required
        by
        applicable law, become an authorized but unissued preferred share as part
        of a
        new series of preferred shares to be created by resolution or resolutions
        of the
        Board of Directors, subject to the conditions and restrictions on issuance
        set
        forth herein.

       

      (3)  Dividends
        and Distributions.
        The
        holder of the Special Voting Share shall not be entitled to receive any portion
        of any dividend or distribution at any time.

       

      (4)  Liquidation,
        Dissolution or Winding Up.
        Upon any
        liquidation, dissolution or winding up of the Corporation, the holder of
        the
        Special Voting Share shall not be entitled to any portion of any related
        distribution.

       

      (5)  No
        Redemption or Conversion. The
        Special Voting Share shall not be redeemable or convertible.

       

      Fifth. The
        Board
        of Directors shall be divided into three classes: Class A, Class B and Class
        C.
        The number of directors in each class shall be as nearly equal as possible.
        The
        directors of the Corporation on the date hereof shall determine their class.
        To
        the extent any additional directors are elected or appointed prior to the
        Corporation’s first Annual Meeting of Stockholders, the directors of the
        Corporation shall determine the class of such additional directors. The
        directors in Class A shall be elected for a term expiring at the first Annual
        Meeting of Stockholders
        occurring after the date of this Amended and Restated Certificate of
        Incorporation,
        the
        directors in Class B shall be elected for a term expiring at the second Annual
        Meeting of Stockholders occurring
        after the date of this Amended and Restated Certificate of Incorporation
        and
        the
        directors in Class C shall be elected for a term expiring at the third Annual
        Meeting of Stockholders
        occurring after the date of this Amended and Restated Certificate of
        Incorporation.
        Commencing at the first Annual Meeting of Stockholders, and at each Annual
        Meeting of Stockholders thereafter, directors elected to succeed those directors
        whose terms expire in connection with such Annual Meeting of Stockholders
        shall
        be elected for a term of office to expire at the third succeeding Annual
        Meeting
        of Stockholders after their election. Except as the DGCL may otherwise require,
        in the interim between Annual Meetings of Stockholders or Special Meetings
        of
        Stockholders called for the election of directors and/or the removal of one
        or
        more directors and the filling of any vacancy in connection therewith, newly
        created directorships and any vacancies in the Board of Directors, including
        unfilled vacancies resulting from the removal of directors for cause, may
        be
        filled by the vote of a majority of the remaining directors then in office,
        although less than a quorum (as defined in the Corporation’s Bylaws), or by the
        sole remaining director. All directors shall hold office until the expiration
        of
        their respective terms of office and until their successors shall have been
        elected and qualified. A director elected to fill a vacancy resulting from
        the
        death, resignation or removal of a director shall serve for the remainder
        of the
        full term of the director whose death, resignation or removal shall have
        created
        such vacancy and until his successor shall have been elected and
        qualified.

       

      
        
          
          

        

        
          4.

          
            

          

        

        
          
          

        

      

       

      Sixth.
        The following provisions are inserted for the management of the business
        and for
        the conduct of the affairs of the Corporation, and for further definition,
        limitation and regulation of the powers of the Corporation and of its directors
        and stockholders:

       

      A.  Election
        of directors need not be by ballot unless the Corporation’s Bylaws so
        provide.

       

      B.  The
        Board
        of Directors shall have the power, without the assent or vote of the
        stockholders, to make, alter, amend, change, add to or repeal the Corporation’s
        Bylaws as provided in the Corporation’s Bylaws.

       

      C.  The
        directors in their discretion may submit any contract or act for approval
        or
        ratification at any Annual Meeting of Stockholders or at any Special Meeting
        of
        Stockholders called for the purpose of considering any such act or contract,
        and
        any contract or act that shall be approved or be ratified by the vote of
        the
        holders of a majority of the stock of the Corporation which is represented
        in
        person or by proxy at such meeting and entitled to vote thereat (provided
        that a
        lawful quorum of stockholders be there represented in person or by proxy)
        shall
        be as valid and binding upon the Corporation and upon all the stockholders
        as
        though it had been approved or ratified by every stockholder of the Corporation,
        whether or not the contract or act would otherwise be open to legal attack
        because of directors’ interests, or for any other reason.

       

      D.  In
        addition to the powers and authorities hereinbefore stated or by statute
        expressly conferred upon them, the directors are hereby empowered to exercise
        all such powers and do all such acts and things as may be exercised or done
        by
        the Corporation; subject, notwithstanding, to the provisions of applicable
        law,
        this Amended and Restated Certificate of Incorporation, and any bylaws from
        time
        to time made by the stockholders; provided,
        however,
        that no
        bylaw so made shall invalidate any prior act of the directors which would
        have
        been valid if such bylaw had not been made.

       

      
        
          
          

        

        
          5.

          
            

          

        

        
          
          

        

      

       

      Seventh.
        The
        following paragraphs shall apply with respect to liability and indemnification
        of officers and directors:

       

      A.  A
        director of the Corporation shall not be personally liable to the Corporation
        or
        its stockholders for monetary damages for breach of fiduciary duty as a
        director, except for liability (i) for any breach of the director’s duty of
        loyalty to the Corporation or its stockholders, (ii) for acts or omissions
        not
        in good faith or which involve intentional misconduct or a knowing violation
        of
        law, (iii) under Section 174 of the DGCL, or (iv) for any transaction from
        which
        the director derived an improper personal benefit. If the DGCL is amended
        to
        authorize corporate action further eliminating or limiting the personal
        liability of directors, then the liability of a director of the Corporation
        shall be eliminated or limited to the fullest extent permitted by the DGCL,
        as
        so amended. Any repeal or modification of this paragraph A by the stockholders
        of the Corporation shall not adversely affect any right or protection of
        a
        director of the Corporation with respect to events occurring prior to the
        time
        of such repeal or modification.

       

      B.  The
        Corporation, to the full extent permitted by Section 145 of the DGCL, as
        amended
        from time to time, shall indemnify all persons whom it may indemnify pursuant
        thereto. Expenses (including attorneys’ fees) incurred by an officer or director
        in defending any civil, criminal, administrative, or investigative action,
        suit
        or proceeding or which such officer or director may be entitled to
        indemnification hereunder shall be paid by the Corporation in advance of
        the
        final disposition of such action, suit or proceeding upon receipt of an
        undertaking by or on behalf of such director or officer to repay such amount
        if
        it shall ultimately be determined that he or she is not entitled to be
        indemnified by the Corporation as authorized hereby.

       

      Eighth.
        Whenever
        a compromise or arrangement is proposed between this Corporation and its
        creditors or any class of them and/or between this Corporation and its
        stockholders or any class of them, any court of equitable jurisdiction within
        the State of Delaware may, on the application in a summary way of this
        Corporation or of any creditor or stockholder thereof or on the application
        of
        any receiver or receivers appointed for this Corporation under Section 291
        of
        Title 8 of the Delaware Code or on the application of trustees in dissolution
        or
        of any receiver or receivers appointed for this Corporation under Section
        279 of
        Title 8 of the Delaware Code order a meeting of the creditors or class of
        creditors, and/or of the stockholders or class of stockholders of this
        Corporation, as the case may be, to be summoned in such manner as the said
        court
        directs. If a majority in number representing three fourths in value of the
        creditors or class of creditors, and/or of the stockholders or class of
        stockholders of this Corporation, as the case may be, agree to any compromise
        or
        arrangement and to any reorganization of this Corporation as a consequence
        of
        such compromise or arrangement, the said compromise or arrangement and the
        said
        reorganization shall, if sanctioned by the court to which the said application
        has been made, be binding on all the creditors or class of creditors, and/or
        on
        all the stockholders or class of stockholders, of this Corporation, as the
        case
        may be, and also on this Corporation.

       

      
        
          
          

        

        
          6.

          
            

          

        

        
          
          

        

      

       

      In
        Witness Whereof,
        the
        Corporation has caused this Amended and Restated Certificate of Incorporation
        to
        be signed by Howard S. Balter, its Chief Executive Officer, as of the ___
        day of
        ___________, 2007.

       

      
        	 	               
                
	 	Howard
                S. Balter,
	 	Chief
                Executive Officer

      

       

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

     

      Table
        of Contents

       

      Page

      

        
          	
                  ARTICLE
                    1

                	
                  INTERPRETATION

                	
                  1

                
	
                  1.1

                	
                  Definitions

                	
                  1

                
	
                  1.2

                	
                  Construction

                	
                  14

                
	
                  ARTICLE
                    2

                	
                  THE
                    ACQUISITION

                	
                  15

                
	
                  2.1

                	
                  Implementation
                    Steps by the Company

                	
                  15

                
	
                  2.2

                	
                  Interim
                    Order

                	
                  15

                
	
                  2.3

                	
                  Implementation
                    Steps by Parent

                	
                  16

                
	
                  2.4

                	
                  Articles
                    of Arrangement; Closing

                	
                  16

                
	
                  2.5

                	
                  Circular

                	
                  16

                
	
                  2.6

                	
                  Preparation
                    of Filings

                	
                  17

                
	
                  2.7

                	
                  Shareholder/Stockholder
                    Communications and Public Announcements

                	
                  18

                
	
                  2.8

                	
                  Closing
                    Deliveries

                	
                  18

                
	
                  ARTICLE
                    3

                	
                  REPRESENTATIONS
                    AND WARRANTIES OF COMPANY

                	
                  20

                
	
                  3.1

                	
                  Organization
                    and Good Standing

                	
                  20

                
	
                  3.2

                	
                  Authority
                    and Enforceability

                	
                  20

                
	
                  3.3

                	
                  No
                    Conflict

                	
                  21

                
	
                  3.4

                	
                  Capitalization
                    and Ownership

                	
                  22

                
	
                  3.5

                	
                  Financial
                    Statements and Compliance

                	
                  23

                
	
                  3.6

                	
                  No
                    Undisclosed Liabilities

                	
                  25

                
	
                  3.7

                	
                  Transactions
                    with Affiliates and Employees

                	
                  25

                
	
                  3.8

                	
                  Absence
                    of Certain Changes or Events

                	
                  25

                
	
                  3.9

                	
                  Taxes

                	
                  25

                
	
                  3.10

                	
                  Company
                    Intellectual Property

                	
                  28

                
	
                  3.11

                	
                  Compliance;
                    Permits; Restrictions

                	
                  30

                
	
                  3.12

                	
                  Litigation

                	
                  30

                
	
                  3.13

                	
                  Investment
                    Banking, Brokers’ and Finders’ Fees

                	
                  30

                
	
                  3.14

                	
                  Employee
                    Benefit Plans

                	
                  30

                
	
                  3.15

                	
                  Absence
                    of Liens and Encumbrances

                	
                  33

                
	
                  3.16

                	
                  Environmental
                    Matters

                	
                  33

                
	
                  3.17

                	
                  Agreements,
                    Contracts and Commitments

                	
                  34

                
	
                  3.18

                	
                  Company
                    Properties

                	
                  35

                
	
                  3.19

                	
                  Takeover
                    Statutes

                	
                  35

                
	
                  3.20

                	
                  Foreign
                    Corrupt Practices Act

                	
                  36

                
	
                  3.21

                	
                  Labor
                    Matters

                	
                  36

                
	
                  3.22

                	
                  Insurance

                	
                  37

                
	
                  ARTICLE
                    4

                	
                  REPRESENTATIONS
                    AND WARRANTIES OF PARENT AND PURCHASER

                	
                  37

                
	
                  4.1

                	
                  Organization
                    and Good Standing

                	
                  37

                
	
                  4.2

                	
                  Authority
                    and Enforceability

                	
                  38

                
	
                  4.3

                	
                  No
                    Conflict

                	
                  38

                
	
                  4.4

                	
                  Capitalization
                    and Ownership.

                	
                  39

                
	
                  4.5

                	
                  Financial
                    Statements and Compliance

                	
                  40

                
	
                  4.6

                	
                  No
                    Undisclosed Liabilities

                	
                  41

                
	
                  4.7

                	
                  Transactions
                    with Affiliates and Employees

                	
                  42

                
	
                  4.8

                	
                  Absence
                    of Certain Changes or Events

                	
                  42

                
	
                  4.9

                	
                  Taxes

                	
                  42

                
	
                  4.10

                	
                  Parent
                    Intellectual Property

                	
                  42

                
	
                  4.11

                	
                  Compliance;
                    Permits; Restrictions

                	
                  43

                

        

         

        
          
            
            

          

          
            -i-

            
              

            

          

          
            
            

          

           

          
            Table
              of Contents

            (continued)

            Page

             

          

        

        
          	
                  4.12

                	
                  Litigation

                	
                  43

                
	
                  4.13

                	
                  Brokers’
                    and Finders’ Fees

                	
                  43

                
	
                  4.14

                	
                  Employee
                    Benefit Plans

                	
                  43

                
	
                  4.15

                	
                  Absence
                    of Liens and Encumbrances

                	
                  43

                
	
                  4.16

                	
                  Agreements,
                    Contracts and Commitments

                	
                  43

                
	
                  4.17

                	
                  Parent
                    Properties

                	
                  44

                
	
                  4.18

                	
                  Trust
                    Account

                	
                  44

                
	
                  4.19

                	
                  Over-The-Counter
                    Bulletin Board Quotation

                	
                  44

                
	
                  4.20

                	
                  State
                    Takeover Statutes

                	
                  44

                
	
                  4.21

                	
                  Foreign
                    Corrupt Practices Act

                	
                  44

                
	
                  4.22

                	
                  Canco
                    and Purchaser Status

                	
                  44

                
	
                  4.23

                	
                  Business
                    Combinations

                	
                  45

                
	
                  ARTICLE
                    5

                	
                  COVENANTS

                	
                  45

                
	
                  5.1

                	
                  Access
                    and Investigation

                	
                  45

                
	
                  5.2

                	
                  Operation
                    of the Businesses of the Acquired Companies

                	
                  45

                
	
                  5.3

                	
                  Conduct
                    of Business By Parent

                	
                  47

                
	
                  5.4

                	
                  Consents
                    and Filings; Commercially Reasonable Efforts

                	
                  48

                
	
                  5.5

                	
                  Covenants
                    of the Company Regarding the Arrangement

                	
                  48

                
	
                  5.6

                	
                  Covenants
                    of Parent Regarding the Performance of Obligations

                	
                  49

                
	
                  5.7

                	
                  Mutual
                    Covenants

                	
                  49

                
	
                  5.8

                	
                  Notification

                	
                  50

                
	
                  5.9

                	
                  Confidentiality

                	
                  50

                
	
                  5.10

                	
                  Unaudited
                    Monthly and Quarterly Statements; Audited Annual Statements;
                    Pro Forma
                    Financial Statements

                	
                  50

                
	
                  5.11

                	
                  Dissenting
                    Shareholders

                	
                  51

                
	
                  5.12

                	
                  Structure
                    Changes

                	
                  51

                
	
                  5.13

                	
                  Further
                    Actions

                	
                  51

                
	
                  5.14

                	
                  Parent
                    Board Composition and Executive Officers

                	
                  51

                
	
                  5.15

                	
                  Company
                    Registration

                	
                  52

                
	
                  5.16

                	
                  Treatment
                    of Company Options, SARs, Warrants and Convertible
                    Debentures

                	
                  52

                
	
                  ARTICLE
                    6

                	
                  CONDITIONS
                    PRECEDENT TO OBLIGATION TO CLOSE

                	
                  54

                
	
                  6.1

                	
                  Conditions
                    to the Obligation of the Parent

                	
                  54

                
	
                  6.2

                	
                  Conditions
                    to the Obligation of the Company

                	
                  55

                
	
                  ARTICLE
                    7

                	
                  ADDITIONAL
                    AGREEMENTS

                	
                  56

                
	
                  7.1

                	
                  Non-Solicitation

                	
                  56

                
	
                  7.2

                	
                  Right
                    to Match

                	
                  57

                
	
                  7.3

                	
                  Agreement
                    as to Damages

                	
                  58

                
	
                  7.4

                	
                  Transaction
                    Expenses

                	
                  59

                
	
                  7.5

                	
                  Liquidated
                    Damages, Injunctive Relief and No Liability of Others

                	
                  59

                
	
                  7.6

                	
                  Resignations

                	
                  59

                
	
                  7.7

                	
                  No
                    Claim Against Trust Account

                	
                  59

                
	
                  7.8

                	
                  Parent
                    Common Stock Listing

                	
                  60

                
	
                  7.9

                	
                  Company
                    Affiliates; Restrictive Legend; Section 16 Matters

                	
                  60

                
	
                  7.10

                	
                  Form
                    S-8

                	
                  61

                
	
                  7.11

                	
                  Post-Effective
                    Time Covenants

                	
                  61

                
	
                  7.12

                	
                  Tax-Deferred
                    Transaction.

                	
                  61

                
	
                  7.13

                	
                  Withholding
                    Taxes

                	
                  61

                
	
                  7.14

                	
                  Issuer
                    Tax

                	
                  62

                
	
                  7.15

                	
                  Actions
                    Affecting Exchangeable Shares

                	
                  62

                

        

         

        
          
            
            

          

          
            -ii-

            
              

            

          

          
            
            

          

           

          
            Table
              of Contents

            (continued)

            Page

          

           

        

        
          	
                  7.16

                	
                  Solvency
                    of Purchaser

                	
                  62

                
	
                  ARTICLE
                    8

                	
                  TERM,
                    TERMINATION, AMENDMENT AND WAIVER

                	
                  62

                
	
                  8.1

                	
                  Term

                	
                  62

                
	
                  8.2

                	
                  Termination

                	
                  62

                
	
                  8.3

                	
                  Amendment

                	
                  64

                
	
                  8.4

                	
                  Waiver

                	
                  64

                
	
                  ARTICLE
                    9

                	
                  CERTAIN
                    TAX MATTERS

                	
                  65

                
	
                  9.1

                	
                  Tax
                    Matters

                	
                  65

                
	
                  9.2

                	
                  Post-Closing
                    Filings

                	
                  65

                
	
                  9.3

                	
                  Transfer
                    Taxes and Withholding Taxes

                	
                  65

                
	
                  ARTICLE
                    10

                	
                  GENERAL
                    PROVISIONS

                	
                  65

                
	
                  10.1

                	
                  Nonsurvival
                    of Representation and Warranties

                	
                  65

                
	
                  10.2

                	
                  Notices

                	
                  65

                
	
                  10.3

                	
                  Governing
                    Law; Waiver of Jury Trial

                	
                  67

                
	
                  10.4

                	
                  Injunctive
                    Relief

                	
                  67

                
	
                  10.5

                	
                  Entire
                    Agreement, Binding Effect and Assignment

                	
                  67

                
	
                  10.6

                	
                  Severability

                	
                  67

                
	
                  10.7

                	
                  Exhibits
                    and Schedules

                	
                  68

                
	
                  10.8

                	
                  No
                    Third Party Beneficiaries

                	
                  68

                
	
                  10.9

                	
                  Interpretation

                	
                  68

                
	
                  10.10

                	
                  Counterparts

                	
                  68

                

        

         

      

    

     

    

    
      
        
          
            
              	
                       

                    	
                       

                    	 

            

            

          

          
          

        

        
          -iii-

          
            

          

        

        
          
          

          
             

          

        

      

    

    

    EXHIBIT
      A
      TRANSACTION EXPENSE STATEMENT / EXCHANGE RATIO ADJUSTMENT  FORMULA

    

    SCHEDULE
      A-1 PERSONS PARTY TO COMPANY VOTING AGREEMENTS

    SCHEDULE
      A -2 PERSONS PARTY TO PARENT VOTING AGREEMENTS

    SCHEDULE
      B-1 FORM OF COMPANY VOTING AGREEMENT

    SCHEDULE
      B-2 FORM OF PARENT VOTING AGREEMENT

    SCHEDULE
      C SPECIAL RESOLUTION OF THE COMPANY SHAREHOLDERS

    SCHEDULE
      D PLAN OF ARRANGEMENT

    SCHEDULE
      E REGULATORY APPROVALS

    SCHEDULE
      F COMPANY BRING DOWN CERTIFICATE

    SCHEDULE
      G ACQUIRED COMPANIES’ CERTIFICATE RE: CORPORATE MATTERS

    SCHEDULE
      H PARENT BRING DOWN CERTIFICATE

    SCHEDULE
      I PARENT, PURCHASER AND CANCO CERTIFICATE RE: CORPORATE MATTERS

    SCHEDULE
      J FORM OF COMPANY AFFILIATE AGREEMENT

    SCHEDULE
      K SUPPORT AGREEMENT

    SCHEDULE
      L VOTING AND EXCHANGE TRUST AGREEMENT

    SCHEDULE
      M AMENDED AND RESTATED REGISTRATION RIGHTS AGREEMENT

    SCHEDULE
      N AMENDED AND RESTATED CERTIFICATE OF INCORPORATION OF PARENT

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00119-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00119-of-00352.parquet"}]]