Document:

Exhibit
10.1

AMENDMENT
NO. 12 TO

LOAN FUNDING AND SERVICING AGREEMENT

(VFCC Transaction with ACS Funding Trust I)

 

THIS
AMENDMENT NO. 12 TO LOAN FUNDING AND SERVICING AGREEMENT,
dated as of March 25, 2003 (this “Amendment”), is entered into by
and among ACS FUNDING TRUST I, as the borrower (in such capacity, the “Borrower”),
AMERICAN CAPITAL STRATEGIES, LTD., as the servicer (in such capacity, the “Servicer”),
certain INVESTORS, VARIABLE FUNDING CAPITAL CORPORATION, as a lender (in such
capacity, a “Lender”), WACHOVIA SECURITIES, INC. (f/k/a First Union
Securities, Inc. and successor-in-interest to First Union Capital Markets
Corp.), as the deal agent (in such capacity, the “Deal Agent”), WACHOVIA
BANK, NATIONAL ASSOCIATION (f/k/a First Union National Bank) (“WBNA”),
as a lender (in such capacity, a “Lender”) and as the liquidity agent
(in such capacity, the “Liquidity Agent”), WELLS FARGO BANK MINNESOTA,
NATIONAL ASSOCIATION (f/k/a Norwest Bank Minnesota, National Association), as
the collateral custodian (in such capacity, the “Collateral Custodian”)
and as the backup servicer (in such capacity, the “Backup Servicer”),
and is acknowledged and agreed to by WACHOVIA BANK, NATIONAL ASSOCIATION (f/k/a
First Union National Bank), as the hedge counterparty (in such capacity, the “Hedge
Counterparty”).  Capitalized terms
used and not otherwise defined herein shall have the meanings given to such
terms in the Agreement (as defined below).

 

R
E  C  I  T  A  L  S

 

WHEREAS,
the parties hereto entered into that certain Loan Funding and Servicing
Agreement, dated as of March 31, 1999, as amended by that Amendment No. 1,
dated as of June 30, 1999, Amendment No. 2, dated as of September 24, 1999,
Amendment No. 3, dated as of December 14, 1999, Amendment No. 4, dated as of
June 16, 2000, Amendment No. 5, dated as of December 20, 2000, Amendment No. 6,
dated as of March 29, 2001, Amendment No. 7, dated as of April 19, 2001,
Amendment No. 8, dated as of January 15, 2002, Amendment No. 9, dated as of
March 29, 2002, Amendment No. 10, dated as of June 24, 2002 and Amendment 

No. 11, dated as of December 30, 2002 (such agreement as amended, modified,
supplemented, waived or restated from time to time, the “Agreement”);

 

WHEREAS,
pursuant to Amendment No.11, the Facility Amount was increased from
$225,000,000 to $275,000,000 until January 15, 2003; and

 

WHEREAS,
on January 15, 2003, the Facility Amount reverted back to $225,000,000 pursuant
to the terms of the Agreement; and

 

WHEREAS,
the parties hereto desire to amend the Agreement to provide for a permanent
increase in the Facility Amount and in certain other respects as provided
herein;

 

NOW,
THEREFORE, based upon the above Recitals, the mutual premises
and agreements contained herein, and other good and valuable consideration, the
receipt and sufficiency of which are hereby acknowledged, the parties hereto,
intending to be legally bound, hereby agree as follows:

 

Amendment No 12 to

Loan Funding & Servicing Agreement

(VFCC/ACS Funding Trust I)

 

SECTION
1.  Amendments.

 

(a)           The following
definitions in Section 1.1 of the Agreement are hereby amended and
restated in their entirety as follows:

 

“Default
Ratio:  With
respect to any Collection Period, the percentage equivalent of a fraction,
calculated as of the Determination Date for such Collection period, (a) the
numerator of which is equal to the aggregate Outstanding Loan Balance of all
Defaulted Loans (excluding Charged-Off Loans), and (b) the denominator of which
is equal to the decimal equivalent of a fraction the numerator of which is
equal to the sum of (i) the Aggregate Outstanding Loan Balance as of the first
day of such Collection Period and (ii) the Aggregate Outstanding Loan Balance
as of the last day of such Collection Period and the denominator of which is
2.”

 

“Facility
Amount: 
$275,000,000; provided, however, on and after
the Termination Date, the Facility Amount shall be zero.”

 

(b)           Article II of the Agreement is
hereby amended by amending and restating the first sentence of Section
2.5(a) thereof as follows:

 

“Section
2.5   The Structured Notes.

 

(a)           The
Borrower shall deliver to the Deal Agent, on behalf of the Lenders, at the
applicable address set forth on the signature pages of this Agreement, a duly
executed structured note, in the form of Exhibit B-2 (the “VFCC
Structured Note”), dated as of the date of this Agreement, in a face amount
equal to $275,000,000, and otherwise duly completed in the case of VFCC
Advances and a duly executed structured note, in the form of Exhibit B-1
(the “WBNA Structured Note”) dated as of the date of this Agreement, in
a face amount equal to the $30,000,000, and otherwise duly completed in the
case of WBNA Advances (the VFCC Structured Note together with the WBNA
Structured Note, the “Notes”); provided, however, that
notwithstanding anything to the contrary contained herein or in any other
Transaction Document, the indebtedness of the Borrower evidenced by the Notes
shall not in the aggregate exceed the Facility Amount.”

 

(c)           The Commitment of WBNA as an Investor
set forth on the signature pages of the Agreement is hereby amended and
restated to be “$275,000,000; provided, however, that the sum
of the Commitments of the Investors and the Lender shall not exceed the
Facility Amount.”

 

SECTION
2.  Increase in Facility Amount and
Amount of VFCC Structured Note.

 

Effective on the
date of this Amendment, the Facility Amount shall be increased to $275,000,000;
provided,
that,  the Deal Agent shall
have first received an executed version of the amended, restated and
substituted VFCC Structured Note attached to this Amendment as Annex A
(the “New Note”).  Such New Note
shall replace and supersede any VFCC Structured Note

 

2

 

previously executed by
the Borrower pursuant to the Agreement (the “Replaced Note").  Such New Note evidences the same
indebtedness, and is secured by the same Collateral as the Replaced Note.  The Deal Agent shall return the Replaced
Note to the Borrower.

 

SECTION
3.  Waiver.

 

Pursuant to and in accordance with the provisions of Section
11.1 of the Agreement, each of the undersigned hereby agrees to waive
non-compliance with the provisions of subsection 5.3(a)(iii) of the
Agreement with respect to the Required Notional Amount for the month of
December 2002.  This is a one–time  waiver and shall not be construed to be (i)
a waiver as to non–compliance with the any other covenants in subsection
5.3(a) or any other Servicer Termination Event that exists, (ii) a waiver
as to any future or other non–compliance with the covenants in subsection
5.3(a)(iii), other than as specifically set forth in the preceding
sentence, (iii) a waiver of any other or future Unmatured Termination Event or
Termination Event that may exist, other than as specifically set forth in the
preceding sentence, or (iv) an amendment or modification of the Agreement.  This limited waiver is expressly subject to
the terms of this Amendment.

 

SECTION
4.  Agreement in Full Force and
Effect as Amended and Waived.

 

Except as
specifically amended and waived hereby, all provisions of the Agreement shall
remain in full force and effect.  After
this Amendment becomes effective, all references to the Agreement, the “Loan
Funding and Servicing Agreement,” 
“hereof,”  “herein,” on words of
similar effect referring to the Agreement shall be deemed to mean the Agreement
as amended hereby.  This Amendment shall
not constitute a novation of the Agreement, but shall constitute an amendment
and waiver thereof.  This Amendment
shall not be deemed to expressly or impliedly waive, amend or supplement any
provision of the Agreement other than as expressly set forth herein.

 

SECTION
5.  Representations.

 

Each of the
Borrower and Servicer represent and warrant as of the date of this Amendment as
follows:

 

(i)            it is duly incorporated or
organized, validly existing and in good standing under the laws of its
jurisdiction of incorporation or organization;

 

(ii)           the execution, delivery and
performance by it of this Amendment are within its powers, have been duly
authorized, and do not contravene (A) its charter, by-laws, or other
organizational documents, or (B) any Applicable Law;

 

(iii)          no consent, license, permit, approval
or authorization of, or registration, filing or declaration with any
governmental authority, is required in connection with the execution, delivery,
performance, validity or enforceability of this Amendment by or against it;

 

(iv)          this Amendment has been duly executed
and delivered by it;

 

3

 

(v)           this Amendment constitutes its legal,
valid and binding obligation enforceable against it in accordance with its
terms, except as enforceability may be limited by applicable bankruptcy,
insolvency, reorganization, moratorium or similar laws affecting the
enforcement of creditors’ rights generally or by general principles of equity;

 

(vi)          it is not in default under the
Agreement; and

 

(vii)         there is no Termination Event,
Unmatured Termination Event, or Servicer Termination Event.

 

SECTION
6.  Conditions to Effectiveness.

 

This effectiveness of this Amendment is conditioned
upon the payment by the Servicer of all fees and expenses set forth on the
Facility Increase Fee Letter Agreement dated as of the date hereof among the
Borrower, the Servicer and the Deal Agent.

 

SECTION
7.  Miscellaneous.

 

(a)           This
Amendment may be executed in any number of counterparts (including by
facsimile), and by the different parties hereto on the same or separate
counterparts, each of which shall be deemed to be an original instrument but
all of which together shall constitute one and the same agreement.

 

(b)           The
descriptive headings of the various sections of this Amendment are inserted for
convenience of reference only and shall not be deemed to affect the meaning or
construction of any of the provisions hereof.

 

(c)           This
Amendment may not be amended or otherwise modified except as provided in the
Agreement.

 

(d)           WBNA
certifies by execution hereof that it is an Investor with Commitments in excess
of 66-2/3% of the Facility Amount, and therefore is a Required Investor pursuant
to the Agreement.

 

(e)           The
failure or unenforceability of any provision hereof shall not affect the other
provisions of this Amendment.

 

(f)            Whenever
the context and construction so require, all words used in the singular number
herein shall be deemed to have been used in the plural, and vice versa, and the
masculine gender shall include the feminine and neuter and the neuter shall
include the masculine and feminine.

 

(g)           This
Amendment represents the final agreement between the parties and may not be contradicted
by evidence of prior, contemporaneous or subsequent oral agreements between the
parties.  There are no unwritten oral
agreements between the parties.

 

(h)           THIS AMENDMENT AND THE RIGHTS AND OBLIGATIONS OF THE
PARTIES UNDER THIS AMENDMENT SHALL BE GOVERNED BY AND

 

4

 

CONSTRUED AND INTERPRETED
IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK WITHOUT REFERENCE TO ITS
CONFLICT OF LAWS PROVISIONS.

 

[REMAINDER
OF PAGE INTENTIONALLY LEFT BLANK]

 

5

 

IN
WITNESS WHEREOF, the parties have caused this Amendment to be
executed by their respective officers thereunto duly authorized, as of the date
first above written.

 

	
  THE BORROWER:

  	
  ASC FUNDING TRUST I

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ [ILLEGIBLE]

  
	
   

  	
  Name:

  	
   

  
	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  ACS Funding Trust I

  c/o American Capital Strategies, Ltd.

  2 Bethesda Metro Center, 14th Floor

  Bethesda, Maryland 20814

  
	
   

  	
  Attention:

  	
  Compliance Officer

  
	
   

  	
  Facsimile:

  	
  (301) 654-6714

  
	
   

  	
  Telephone:

  	
  (301) 951-6122

  
	
   

  	
   

  	
   

  
	
  THE SERVICER:

  	
  AMERICAN CAPITAL STRATEGIES, LTD.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ [ILLEGIBLE]

  
	
   

  	
  Name:

  	
   

  
	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  American Capital Strategies, Ltd.

  2 Bethesda Metro Center, 10 Floor

  Bethesda, Maryland 20814

  
	
   

  	
  Attention:

  	
  Compliance Officer

  
	
   

  	
  Facsimile:

  	
  (301) 654-6714

  
	
   

  	
  Telephone:

  	
  (301) 951-6122

  
							

 

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6

 

	
  THE INVESTORS:

  	
  WACHOVIA BANK, NATIONAL 

  ASSOCIATION (f/k/a First Union National Bank)

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Raj Shah

  
	
   

  	
  Name:

  	
  RAJ SHAH

  
	
   

  	
  Title:

  	
  Director

  
	
   

  	
   

  	
   

  
	
   

  	
  Commitment: $275,000,000; provided,  however,
 that the sum of the Commitments
  of the Investors 

  and the Lender shall not exceed the Facility 

  Amount.

  
	
   

  	
   

  	
   

  
	
   

  	
  Wachovia Bank, National Association

  	
   

  
	
   

  	
  One Wachovia Center, Mail Code: NC0610

  	
   

  
	
   

  	
  301 South College Street

  	
   

  
	
   

  	
  Charlotte, North Carolina 28288

  
	
   

  	
  Attention:

  	
  Raj Shah

  
	
   

  	
  Facsimile:

  	
  (704) 383-4012

  
	
   

  	
  Telephone:

  	
  (704) 374-6230

  
								

 

 

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7

 

	
  LENDER:

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  VARIABLE
  FUNDING CAPITAL 

  CORPORATION

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  By Wachovia Securities, Inc. (f/k/a First Union
  Securities, Inc. and successor-in-interest to First Union Capital Markets
  Corp.), as attorney-in-fact

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  By:

  	
  /s/ Douglas R.
  Wilson, SR

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Name:

  	
  DOUGLAS R.
  WILSON, SR.

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Title:

  	
  VICE PRESIDENT

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Variable Funding Capital Corporation

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  c/o Wachovia Securities, Inc.

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  One Wachovia Center, Mail Code: NC0610

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  301 South College Street

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Charlotte, North Carolina 28288

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Attention:

  	
  Conduit Administration

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Facsimile:

  	
  (704) 383-6036

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Telephone:

  	
  (704) 383-9343

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  with a copy to:

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Lord Securities Corp.

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  2 Wall Street, 19th Floor

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  New York, New York 10005

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Attention:

  	
  Vice President

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Facsimile:

  	
  (212) 346-9012

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Telephone:

  	
  (212) 346-9008

  
												

 

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8

 

	
  THE
  BACKUP SERVICER:

  	
   

  	
   

  	
   

  	
   

  	
  WELLS
  FARGO BANK MINNESOTA,

  NATIONAL ASSOCIATION (f/k/a Norwest Bank Minnesota,
  National Association)

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  By:

  	
  /s/ Timothy
  Matyi

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Name:

  	
   

  	
  Timothy Matyi

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Title:

  	
   

  	
  Assistant Vice President

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
    

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Wells Fargo Bank Minnesota, National Association

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Sixth Street and Marquette, MAC: N9311-161

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Minneapolis, Minnesota 55479

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Attention:

  	
  Corporate Trust Services

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Asset-Backed Administration

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Facsimile:

  	
  (612) 667-3464

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Telephone:

  	
  (612) 667-8058

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  THE
  COLLATERAL CUSTODIAN:

  	
   

  	
   

  	
   

  	
   

  	
  WELLS
  FARGO BANK MINNESOTA,

  NATIONAL ASSOCIATION (f/k/a Norwest Bank Minnesota,
  National Association)

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  By:

  	
  /s/ Timothy
  Matyi

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Name:

  	
   

  	
  Timothy Matyi

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Title:

  	
   

  	
  Assistant Vice President

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Wells Fargo Bank Minnesota, National Association

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Sixth Street and Marquette, MAC: N9311-161

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Minneapolis, Minnesota 55479

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Attention:

  	
  Corporate Trust Services

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Asset-Backed Administration

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Facsimile:

  	
  (612) 667-3464

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Telephone:

  	
  (612) 667-8058

  	
   

  
													

 

 

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9

 

	
  THE
  DEAL AGENT:

  	
   

  	
   

  	
   

  	
   

  	
  WACHOVIA
  SECURITIES, INC. 

  (f/k/a First Union Securities, Inc. successor-in-interest
  to First Union Capital Markets Corp.)

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  By:

  	
  /s/ Paul
  Burkhart

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Name:

  	
  Paul Burkhart

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Title:

  	
  VP

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
    

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Wachovia Securities, Inc.

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  One Wachovia Center, Mail Code: NC0610

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  301 South College Street

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Charlotte, North Carolina 28288

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Attention:

  	
  Mary K. Jett

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Facsimile:

  	
  (704) 383-4012

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Telephone:

  	
  (704) 383-0906

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  LENDER
  AND LIQUIDITY AGENT:

  	
   

  	
   

  	
   

  	
   

  	
  WACHOVIA
  BANK, NATIONAL 

  ASSOCIATION (f/k/a First Union National Bank)

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Raj Shah

  	 

	
   

  	
  Name:

  	
  RAJ SHAH

  	 

	
   

  	
  Title:

  	
  Director

  	 

	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Wachovia Bank, National Association

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  One Wachovia Center, Mail Code: NC0610

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  301 South College Street

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Charlotte, North Carolina 28288

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Attention:

  	
  Raj Shah

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Facsimile:

  	
  (704) 383-4012

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Telephone:

  	
  (704) 374-6230

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Lender Commitment: $30,000,000; provided,  however,
  that the sum of the Commitments of the Investors and the Lender shall not
  exceed the Facility Amount.

  
																	

 

 

[SIGNATURES CONTINUED ON THE FOLLOWING PAGE]

 

10

 

	
  Acknowledged and Agreed to

  	
   

  
	
  as of the date written above.

  	
   

  
	
   

  	
   

  
	
  WACHOVIA
  BANK, NATIONAL ASSOCIATION (f/k/a First Union National
  Bank), as the Hedge Counterparty

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  By:

  	
  /s/ Raj Shah

  	
   

  
	
  Name:

  	
  RAJ SHAH

  	
   

  
	
  Title:

  	
  Director

  	
   

  
	
   

  	
   

  
	
  Wachovia Bank, National Association

  	
   

  
	
  One Wachovia Center, Mail Code: NC0610

  	
   

  
	
  Charlotte, North Carolina 28288

  
	
  Attention:

  	
  Raj Shah

  
	
  Facsimile:

  	
  (704) 383-4012

  
	
  Telephone:

  	
  (704) 374-6230

  
						

 

11

 

ANNEX A

 

EXHIBIT B-2

To Loan Funding

and Servicing

Agreement

 

$275,000,000;  provided, however,

that the sum of the Commitments of

the Investors and the Lender shall not

exceed the Facility Amount.

 

March 31, 1999

 

AMENDED, RESTATED AND
SUBSTITUTED

VFCC STRUCTURED NOTE

 

THIS AMENDED, RESTATED AND SUBSTITUTED VFCC STRUCTURED
NOTE (THE “VFCC STRUCTURED NOTE”) HAS NOT BEEN REGISTERED UNDER THE
SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”) OR UNDER ANY
STATE SECURITIES LAWS AND THE BORROWER (AS DEFINED BELOW) HAS NOT BEEN
REGISTERED UNDER THE INVESTMENT COMPANY ACT OF 1940, AS AMENDED (THE “INVESTMENT
COMPANY ACT”). THIS VFCC STRUCTURED NOTE MAY NOT BE SOLD, OFFERED FOR SALE
OR OTHERWISE TRANSFERRED WITHOUT REGISTRATION UNDER THE SECURITIES ACT AND ANY
APPLICABLE STATE SECURITIES LAWS EXCEPT IN A TRANSACTION THAT IS EXEMPTED UNDER
THE SECURITIES ACT AND APPLICABLE STATE SECURITIES LAWS.

 

THIS VFCC STRUCTURED NOTE IS NOT PERMITTED TO BE
TRANSFERRED, ASSIGNED, EXCHANGED OR OTHERWISE PLEDGED OR CONVEYED EXCEPT IN
COMPLIANCE WITH THE TERMS OF THE LOAN FUNDING AND SERVICING AGREEMENT REFERRED
TO HEREIN.

 

IN NO EVENT SHALL THE BORROWER (DEFINED BELOW) BE
ENTITLED TO HAVE ADVANCES MADE TO IT UNDER THIS VFCC STRUCTURED NOTE AND THE
WBNA STRUCTURED NOTE IN AN AGGREGATE AMOUNT IN EXCESS OF THE FACILITY AMOUNT
(AS DEFINED IN THE LOAN FUNDING AND SERVICING AGREEMENT (AS DEFINED BELOW)).

 

FOR VALUE RECEIVED, ACS FUNDING TRUST I, a Delaware
business trust (the “Borrower”), promises to pay to WACHOVIA SECURITIES,
INC.  (f/k/a First Union Securities,
Inc. and successor-in-interest to First Union Capital Markets Corp.), as the
deal agent for the Lenders (the “Deal Agent”), or the Lenders’ assigns,
the principal sum of TWO HUNDRED AND SEVENTY-FIVE MILLION DOLLARS
($275,000,000) or, if less, the unpaid principal amount of the aggregate
advances (“Advances”) made by the Lenders (as defined below) to the
Borrower pursuant to the Loan Funding and Servicing Agreement (as defined
below), as set forth on the attached Schedule, on the dates specified in Section
2.6 of the Loan Funding and Servicing Agreement, and to pay interest on the
unpaid principal amount of each Advance on each day that such unpaid principal
amount is outstanding at the Interest Rate related to such

 

Amendment No 12 to

Loan Funding & Servicing Agreement

(VFCC/ACS Funding Trust I)

 

 

12

 

Advance as provided in the Loan Funding and Servicing Agreement on each
Payment Date and each other dates specified in the Loan Funding and Servicing
Agreement.

 

This VFCC Structured Note is issued pursuant to the
Loan Funding and Servicing Agreement, dated as of March 31, 1999, as amended by
Amendment No. 1, dated as of June 30, 1999, Amendment No. 2, dated as of
September 24, 1999, Amendment No. 3, dated as of December 14, 1999, Amendment
No. 4, dated as of June 16, 2000, Amendment No. 5, dated as of December 20,
2000, Amendment No. 6, dated as of March 29, 2001, Amendment No. 7, dated as of
April 29, 2001, Amendment No. 8, dated as of January 15, 2002, Amendment No. 9,
dated as of March 29, 2002, Amendment No. 10, dated as of June 24, 2002,
Amendment No. 11, dated as of December 30, 2002, and Amendment No. 12, dated as
of March       , 2003 (as amended, modified,
waived, supplemented, or restated from time to time, the “Loan Funding and
Servicing Agreement”), by and among the Borrower, American Capital
Strategies, Ltd., as servicer, Variable Funding Capital Corporation, as a
lender, the Investors named therein, Wells Fargo Bank Minnesota, National
Association (f/k/a Norwest Bank Minnesota, National Association), as backup
servicer and as collateral custodian, the Deal Agent, and Wachovia Bank,
National Association (f/k/a First Union National Bank), as a lender and as
liquidity agent. Capitalized terms used but not defined in this VFCC Structured
Note are used with the meanings ascribed to them in the Loan Funding and
Servicing Agreement.

 

Notwithstanding any other provisions contained in this
VFCC Structured Note, if at any time the Interest Rate payable by the Paying
Agent on behalf of the Borrower under this VFCC Structured Note, when combined
with any and all other charges provided for in this VFCC Structured Note, in
the Loan Funding and Servicing Agreement or in any other document (to the
extent such other charges would constitute interest for the purpose of any
applicable law limiting interest that may be charged on this VFCC Structured
Note), exceeds the highest rate of interest permissible under applicable law
(the “Maximum Lawful Rate”), then so long as the Maximum Lawful Rate
would be exceeded the Interest Rate under this VFCC Structured Note shall be
equal to the Maximum Lawful Rate. If at any time thereafter the Interest Rate
payable under this VFCC Structured Note is less than the Maximum Lawful Rate,
the Paying Agent on behalf of the Borrower shall continue to pay Interest under
this VFCC Structured Note at the Maximum Lawful Rate until such time as the total
Interest paid by the Paying Agent on behalf of the Borrower is equal to the
total interest that would have been paid had applicable law not limited the
Interest Rate payable under this VFCC Structured Note. In no event shall the
total Interest received by the Lenders under this VFCC Structured Note exceed
the amount which such Lenders could lawfully have received had the Interest due
under this VFCC Structured Note been calculated since the date of this VFCC
Structured Note at the Maximum Lawful Rate.

 

Payments of the principal of, and Interest on, the
Advances by the Lenders and represented by this VFCC Structured Note shall be
made by the Paying Agent on behalf of the Borrower to the holder or holders
hereof by wire transfer of immediately available funds in the manner and at the
address specified for such purpose as provided in the Loan Funding and
Servicing Agreement, or in such manner or at such other address as the holder
or holders of this VFCC Structured Note shall have specified in writing to the
Borrower for such purpose, without the presentation or surrender of this VFCC
Structured Note or the making of any notation on this VFCC Structured Note.

 

13

 

If any payment under this VFCC Structured Note falls
due on a day that is not a Business Day, then such due date shall be extended
to the next succeeding Business Day and Interest shall be payable on any
principal so extended at the applicable Interest Rate.

 

If all or a portion of (i) the principal amount hereof
or (ii) any Interest payable thereon or (iii) any other amounts payable
hereunder shall not be paid when due (whether at maturity, by acceleration or
otherwise), such overdue amount shall bear Interest at a rate per annum that is
equal to the Base Rate plus 1.0%, in each case from the date of such
non-payment to (but excluding) the date such amount is paid in full.

 

Portions or all of the principal amount of the VFCC
Structured Note shall become due and payable at the time or times set forth in
the Loan Funding and Servicing Agreement. Any portion or all of the principal
amount of this VFCC Structured Note may be prepaid, together with Interest
thereon (and, as set forth in the Loan Funding and Servicing Agreement, certain
costs and expenses of the Lenders) at the time and in the manner set forth in,
but subject to the provisions of, the Loan Funding and Servicing Agreement.

 

The Borrower expressly waives presentment, demand,
diligence, protest and all notices of any kind whatsoever with respect to this
VFCC Structured Note.

 

All amounts evidenced by this VFCC Structured Note,
the Advances, Advances Outstanding and all payments and prepayments of the
principal hereof and the respective dates and maturity dates thereof shall be
endorsed by the Deal Agent, as agent for the Lenders, on the Schedule attached
hereto and made a part hereof or on a continuation thereof, which shall be
attached hereto and made a part hereof or otherwise recorded in its internal
books or records or computer system; provided, however, that the failure of
the Deal Agent to make such a notation or recordation shall not in any way
limit or otherwise affect the obligations of the Borrower under this VFCC
Structured Note as provided in the Loan Funding and Servicing Agreement.

 

The holder or holders hereof may sell, assign,
transfer, negotiate, grant participations in or otherwise dispose of all or any
portion of any Advance, Advances Outstanding or the Commitment represented by
this VFCC Structured Note. All transfers and pledges of this VFCC Structured
Note must be done in compliance with the Securities Act, applicable state
securities laws and Article 8 of the UCC.

 

This VFCC Structured Note is secured by the security
interests granted pursuant to Section 2.9 of the Loan Funding and
Servicing Agreement. The holder or holders of this VFCC Structured Note are
entitled to the benefits of the Loan Funding and Servicing Agreement and may
enforce the agreements of the Borrower contained in the Loan Funding and
Servicing Agreement and exercise the remedies provided for by, or otherwise
available in respect of, the Loan Funding and Servicing Agreement, all in
accordance with, and subject to the restrictions contained in, the terms of the
Loan Funding and Servicing Agreement. If a Termination Event shall occur and
the Termination Date has been declared or has otherwise occurred, the unpaid
balance of the principal of all Advances, together with accrued Interest
thereon, shall be accelerated and become immediately due and payable.

 

14

 

This VFCC Structured Note is one of the “Structured
Notes” referred to in Section 2.5 of the Loan Funding and Servicing
Agreement. THIS VFCC STRUCTURED NOTE SHALL BE CONSTRUED IN ACCORDANCE WITH AND
GOVERNED BY THE LAWS OF THE STATE OF NEW YORK.

 

This VFCC Structured Note is intended to be and is a
replacement of the VFCC Structured Note, dated March 31, 1999, in the maximum
principal amount of $225,000,000 (the “Replaced Note”). This VFCC
Structured Note evidences the same indebtedness and is secured by the same
Collateral securing the Replaced Note and is not intended to constitute a
novation in any manner.

 

[REMAINDER OF PAGE INTENTIONALLY LEFT BLANK]

 

15

 

IN WITNESS WHEREOF, the
undersigned has executed this VFCC Structured Note as on the date first written
above.

 

	
   

  	
  ACS FUNDING TRUST I

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Name:

  	
   

  
	
   

  	
  Title:

  	
   

  
					

 

16

 

	
  Schedule attached to Amended, Restated and Substituted
  VFCC Structured Note dated March 31, 1999 of ACS Funding Trust I payable to
  the order of Wachovia Securities, Inc., as the Deal Agent

  
	
   

  	
  $

  	
   

  
	
  Advances Outstanding as of March
      ,  2003

  (Date
  of Amendment No. 12)

  	
   

  	
   

  

 

	
  Date of

  Advance or

  Repayment

  	
   

  	
  Principal

  Amount of

  Advance

  	
   

  	
  Principal

  Amount of

  Repayment

  	
   

  	
  Advances

  Outstanding

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

17Exhibit
10.2

 

$275,000,000; provided, however,

that the sum of the Commitments of

the Investors and the Lender shall not

exceed the Facility Amount.

 

March 31, 1999

 

AMENDED,
RESTATED AND SUBSTITUTED

VFCC STRUCTURED NOTE

 

THIS AMENDED, RESTATED AND SUBSTITUTED VFCC STRUCTURED
NOTE (THE “VFCC STRUCTURED NOTE”) HAS NOT BEEN REGISTERED UNDER THE
SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”) OR UNDER ANY
STATE SECURITIES LAWS AND THE BORROWER (AS DEFINED BELOW) HAS NOT BEEN
REGISTERED UNDER THE INVESTMENT COMPANY ACT OF 1940, AS AMENDED (THE “INVESTMENT
COMPANY ACT”). THIS VFCC STRUCTURED NOTE MAY NOT BE SOLD, OFFERED FOR SALE
OR OTHERWISE TRANSFERRED WITHOUT REGISTRATION UNDER THE SECURITIES ACT AND ANY
APPLICABLE STATE SECURITIES LAWS EXCEPT IN A TRANSACTION THAT IS EXEMPTED UNDER
THE SECURITIES ACT AND APPLICABLE STATE SECURITIES LAWS.

 

THIS VFCC STRUCTURED NOTE IS NOT PERMITTED TO BE
TRANSFERRED, ASSIGNED, EXCHANGED OR OTHERWISE PLEDGED OR CONVEYED EXCEPT IN
COMPLIANCE WITH THE TERMS OF THE LOAN FUNDING AND SERVICING AGREEMENT REFERRED
TO HEREIN.

 

IN NO EVENT SHALL THE BORROWER (DEFINED BELOW) BE
ENTITLED TO HAVE ADVANCES MADE TO IT UNDER THIS VFCC STRUCTURED NOTE AND THE
FUNB STRUCTURED NOTE IN AN AGGREGATE AMOUNT IN EXCESS OF THE FACILITY AMOUNT (AS
DEFINED IN THE LOAN FUNDING AND SERVICING AGREEMENT (AS DEFINED BELOW)).

 

FOR VALUE RECEIVED, ACS FUNDING TRUST I, a Delaware
business trust (the “Borrower”), promises to pay to WACHOVIA SECURITIES,
INC. (f/k/a First Union Securities, Inc. and successor-in-interest to First
Union Capital Markets Corp.), as the deal agent for the Lenders (the “Deal
Agent”), or the Lenders’ assigns, the principal sum of TWO HUNDRED AND
SEVENTY-FIVE MILLION DOLLARS ($275,000,000) or, if less, the unpaid principal
amount of the aggregate advances (“Advances”) made by the Lenders (as
defined below) to the Borrower pursuant to the Loan Funding and Servicing
Agreement (as defined below), as set forth on the attached Schedule, on the
dates specified in Section 2.6 of the Loan Funding and Servicing
Agreement, and to pay interest on the unpaid principal amount of each Advance
on each day that such unpaid principal amount is outstanding at the Interest
Rate related to such Advance as provided in the Loan Funding and Servicing Agreement
on each Payment Date and each other dates specified in the Loan Funding and
Servicing Agreement.

 

This VFCC Structured Note is issued pursuant to the
Loan Funding and Servicing Agreement, dated as of March 31, 1999, as amended by
Amendment No. 1, dated as of June 30,

 

 

1999, Amendment No. 2, dated as of September 24, 1999, Amendment No. 3,
dated as of December 14, 1999, Amendment No. 4, dated as of June 16, 2000,
Amendment No. 5, dated as of December 20, 2000, Amendment No. 6, dated as of
March 29, 2001, Amendment No. 7, dated as of April 19, 2001, Amendment No. 8,
dated as of January 15, 2002, Amendment No. 9, dated as of March 29, 2002,
Amendment No. 10, dated as of June 24, 2002 and Amendment No. 11, dated as of
December 30, 2002 (as amended, modified, waived, supplemented, or restated from
time to time, the “Loan Funding and Servicing Agreement”), by and among
the Borrower, American Capital Strategies, Ltd., as servicer, Variable Funding
Capital Corporation, as a lender, the Investors named therein, Wells Fargo Bank
Minnesota, National Association (f/k/a Norwest Bank Minnesota, National
Association), as backup servicer and as collateral custodian, the Deal Agent,
and Wachovia Bank, National Association (f/k/a First Union National Bank), as a
lender and as liquidity agent. Capitalized terms used but not defined in this
VFCC Structured Note are used with the meanings ascribed to them in the Loan
Funding and Servicing Agreement.

 

Notwithstanding any other provisions contained in this
VFCC Structured Note, if at any time the Interest Rate payable by the Paying
Agent on behalf of the Borrower under this VFCC Structured Note, when combined
with any and all other charges provided for in this VFCC Structured Note, in
the Loan Funding and Servicing Agreement or in any other document (to the
extent such other charges would constitute interest for the purpose of any
applicable law limiting interest that may be charged on this VFCC Structured
Note), exceeds the highest rate of interest permissible under applicable law
(the “Maximum Lawful Rate”), then so long as the Maximum Lawful Rate
would be exceeded the Interest Rate under this VFCC Structured Note shall be
equal to the Maximum Lawful Rate. If at any time thereafter the Interest Rate
payable under this VFCC Structured Note is less than the Maximum Lawful Rate,
the Paying Agent on behalf of the Borrower shall continue to pay Interest under
this VFCC Structured Note at the Maximum Lawful Rate until such time as the
total Interest paid by the Paying Agent on behalf of the Borrower is equal to
the total Interest that would have been paid had applicable law not limited the
Interest Rate payable under this VFCC Structured Note. In no event shall the
total Interest received by the Lenders under this VFCC Structured Note exceed
the amount which such Lenders could lawfully have received had the Interest due
under this VFCC Structured Note been calculated since the date of this VFCC
Structured Note at the Maximum Lawful Rate.

 

Payments of the principal of, and Interest on, the
Advances by the Lenders and represented by this VFCC Structured Note shall be
made by the Paying Agent on behalf of the Borrower to the holder or holders
hereof by wire transfer of immediately available funds in the manner and at the
address specified for such purpose as provided in the Loan Funding and
Servicing Agreement, or in such manner or at such other address as the holder
or holders of this VFCC Structured Note shall have specified in writing to the
Borrower for such purpose, without the presentation or surrender of this VFCC
Structured Note or the making of any notation on this VFCC Structured Note.

 

If any payment under this VFCC Structured Note falls
due on a day that is not a Business Day, then such due date shall be extended
to the next succeeding Business Day and Interest shall be payable on any
principal so extended at the applicable Interest Rate.

 

2

 

If all or a portion of (i) the principal amount hereof
or (ii) any Interest payable thereon or (iii) any other amounts payable
hereunder shall not be paid when due (whether at maturity, by acceleration or
otherwise), such overdue amount shall bear Interest at a rate per annum that is
equal to the Base Rate plus 1.0%, in each case from the date of such
non-payment to (but excluding) the date such amount is paid in full.

 

Portions or all of the principal amount of the VFCC
Structured Note shall become due and payable at the time or times set forth in
the Loan Funding and Servicing Agreement. Any portion or all of the principal
amount of this VFCC Structured Note may be prepaid, together with Interest
thereon (and, as set forth in the Loan Funding and Servicing Agreement, certain
costs and expenses of the Lenders) at the time and in the manner set forth in,
but subject to the provisions of, the Loan Funding and Servicing Agreement.

 

The Borrower expressly waives presentment, demand,
diligence, protest and all notices of any kind whatsoever with respect to this
VFCC Structured Note.

 

All amounts evidenced by this VFCC Structured Note,
the Advances, Advances Outstanding and all payments and prepayments of the
principal hereof and the respective dates and maturity dates thereof shall be
endorsed by the Deal Agent, as agent for the Lenders, on the Schedule attached
hereto and made a part hereof or on a continuation thereof, which shall be
attached hereto and made a part hereof or otherwise recorded in its internal
books or records or computer system; provided,
however, that the failure of the Deal Agent to make such a
notation or recordation shall not in any way limit or otherwise affect the
obligations of the Borrower under this VFCC Structured Note as provided in the
Loan Funding and Servicing Agreement.

 

The holder or holders hereof may sell, assign, transfer,
negotiate, grant participations in or otherwise dispose of all or any portion
of any Advance, Advances Outstanding or the Commitment represented by this VFCC
Structured Note. All transfers and pledges of this VFCC Structured Note must be
done in compliance with the Securities Act, applicable state securities laws
and Article 8 of the UCC.

 

This VFCC Structured Note is secured by the security
interests granted pursuant to Section 2.9 of the Loan Funding and
Servicing Agreement. The holder or holders of this VFCC Structured Note are
entitled to the benefits of the Loan Funding and Servicing Agreement and may
enforce the agreements of the Borrower contained in the Loan Funding and
Servicing Agreement and exercise the remedies provided for by, or otherwise
available in respect of, the Loan Funding and Servicing Agreement, all in
accordance with, and subject to the restrictions contained in, the terms of the
Loan Funding and Servicing Agreement. If a Termination Event shall occur and
the Termination Date has been declared or has otherwise occurred, the unpaid
balance of the principal of all Advances, together with accrued Interest
thereon, shall be accelerated and become immediately due and payable.

 

This VFCC Structured Note is one of the “Structured
Notes” referred to in Section 2.5 of the Loan Funding and Servicing
Agreement. THIS VFCC STRUCTURED NOTE SHALL BE CONSTRUED IN ACCORDANCE WITH AND
GOVERNED BY THE LAWS OF THE STATE OF NEW YORK.

 

3

 

This VFCC Structured Note is intended to be and is a
replacement of the VFCC Structured Note, dated March 31, 1999, in the maximum
principal amount of $225,000,000 (the “Replaced Note”). This VFCC
Structured Note evidences the same indebtedness and is secured by the same
Collateral securing the Replaced Note and is not intended to constitute a
novation in any manner.

 

[Remainder of Page
Intentionally Left Blank]

 

4

 

IN WITNESS WHEREOF, the undersigned has executed this
VFCC Structured Note as on the date first written above.

 

	
   

  	
  ACS FUNDING TRUST I

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ John Erickson

  
	
   

  	
  Name:

  	
  John Erickson

  
	
   

  	
  Title:

  	
  Executive Vice President and CFO

  
					

 

5

 

	
  Schedule attached to Amended, Restated and
  Substituted VFCC Structured Note dated March 31, 1999 of ACS Funding Trust I
  payable to the order of Wachovia Securities, Inc., as the Deal Agent

  
	
   

  
	
  Advances Outstanding as of March
      ,  2003

  (Date
  of Amendment No. 12)

  	
  $

  	
   

  

 

	
  Date of

  Advance or

  Repayment

  	
   

  	
  Principal

  Amount of

  Advance

  	
   

  	
  Principal

  Amount of

  Repayment

  	
   

  	
  Advances

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6

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00052-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00052-of-00352.parquet"}]]