Document:

Amendment No. 1 to Employment Agreement

 Exhibit 10.74 
 EMPLOYMENT AGREEMENT FOR HEIDI ROTH 
 AMENDMENT NO. 1 
 This Amendment No. 1 to the Employment Agreement for Heidi Roth (“Amendment No. 1”) is made, effective as of December 31, 2008,
by and between Kilroy Realty Corporation, a Maryland corporation (the “Company”), Kilroy Realty, L.P., a Delaware limited partnership (the “Operating Partnership”), and Heidi Roth (“Executive”). The Operating
Partnership and the Company are hereinafter referred to collectively as the “Companies.” 
 Recitals: 
 WHEREAS, Executive and the Companies previously entered into a letter agreement dated as of July 24, 2007, setting forth the terms of
Executive’s employment with the Companies (the “Employment Agreement”); and 
 WHEREAS, Executive and the Companies
desire to amend the Employment Agreement to comply with the requirements of Section 409A of the Internal Revenue Code of 1986, as amended. 
 Agreement: 
 NOW, THEREFORE, in consideration of the agreements contained herein and of such other good and
valuable consideration, the sufficiency of which Executive acknowledges, the Companies and Executive, intending to be legally bound, agree as follows: 
 1. Section 4 of the Employment Agreement is amended by adding the following sentence at the end thereof: 
 “Any Annual Incentive earned pursuant to this Section 4 shall be paid, whether in cash or equity as provided above, between January 1 and March 15 of the year following the year for which
such Annual Incentive was earned, provided, however, that if the board of directors of the Company shall determine that it is administratively impracticable, which may include inability of the Company to gain certification of its financial
statements, to make such Annual Incentive payment by March 15, any such payment shall be made as soon as reasonably practicable after such period and in no event later than December 31 of the year following the year for which such Annual
Incentive was earned.” 

 2. The second bullet of Section 7 of the Employment Agreement is amended to read as
follows: 
 “A single severance payment in cash on or as soon as practicable after the first day after the release
described in Section 13 becomes irrevocable in accordance with its terms (but in no event later than March 15 of the year following the year in which the termination of employment occurs), in an aggregate amount equal to the sum
of: (i) one and one-half times Base Salary plus (ii) one and one-half times the average of the two highest Annual Incentives received by you during the preceding three completed performance years; provided, however, if employment is
terminated by reason of death, your severance payment will be one times Base Salary and your average Annual Incentive;” 
 3. The third bullet of Section 7 of the Employment Agreement is amended to read as follows: 
 “In lieu of
any Annual Incentive compensation a partial year bonus based on actual performance against bonus targets as of the date of termination, payable within the time period set forth in Section 4 above.” 
 4. Section 12 of the Employment Agreement is amended by adding the following sentence at the end thereof: 
 “Notwithstanding the foregoing, you will not be entitled to any of the termination payments or benefits provided in
Section 7 as a result of a termination of your employment by you for Good Reason unless such termination becomes effective within 90 days following the expiration of the 30 day cure period described above.” 
 5. Section 13 of the Employment Agreement is amended to read as follows: 
 “You agree as a condition to receipt of any termination payments and benefits provided for in Section 7 herein, that you will
execute and not revoke a general release in substantially the form attached hereto as Exhibit A. Such general release shall be provided to you within three (3) days of the date of your termination of employment and you shall
execute the general release within 21 days and, pursuant to Exhibit A, the revocation period with respect to such release is 7 days. 
  

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 6. The Employment Agreement is amended by adding a new Section 16 as follows:

 16. Section 409A 
 (i) Anything in this Agreement to the contrary notwithstanding, to the maximum extent permitted by applicable law, amounts payable
to you pursuant to Section 7 shall be made in reliance upon Treas. Reg. Section 1.409A-1(b)(9) (Separation Pay Plans) or Treas. Reg. Section 1.409A-1(b)(4) (Short-Term Deferrals). However, if (A) on the date of termination of
your employment with the Company or a subsidiary, any of the Company’s stock is publicly traded on an established securities market or otherwise (within the meaning of Section 409A(a)(2)(B)(i) of the Internal Revenue Code, as amended (the
“Code”)), (B) you are determined to be a “specified employee” within the meaning of Section 409A(a)(2)(B) of the Code, (C) the payments exceed the amounts permitted to be paid pursuant to Treasury Regulations
Section 1.409A-1(b)(9)(iii), if applicable, and (D) such delay is required to avoid the imposition of the tax set forth in Section 409A(a)(1) of the Code, as a result of such termination, you would receive any payment that, absent the
application of this Section 16(i), would be subject to interest and additional tax imposed pursuant to Section 409A(a) of the Code as a result of the application of Section 409A(2)(B)(i) of the Code, then no such payment shall be
payable prior to the date that is the earliest of (1) six (6) months and one day after your termination date, (2) your death or (3) such other date (the “Delay Period”) as will cause such payment not to be subject to
such interest and additional tax (with a catch-up payment equal to the sum of all amounts that have been delayed to be made as of the date of the initial payment). In particular, with respect to any lump sum payment otherwise required hereunder, in
the event of any delay in the payment date as a result of Code Section 409A(a)(2)(A)(i) and (B)(i), the Company will adjust the payments to reflect the deferred payment date by crediting interest thereon at the prime rate in effect at the time
such amount first becomes payable, as quoted by the Company’s principal bank. 
  

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 (ii) To the extent that any benefits to be provided during the Delay Period are
considered deferred compensation under Code Section 409A provided on account of a “separation from service,” and such benefits are not otherwise exempt from Code Section 409A, the Executive shall pay the cost of such benefits
during the Delay Period, and the Company shall reimburse the Executive, to the extent that such costs would otherwise have been paid by the Company or to the extent that such benefits would otherwise have been provided by the Company at no cost to
the Executive, the Company’s share of the cost of such benefits upon expiration of the Delay Period, and any remaining benefits shall be reimbursed or provided by the Company in accordance with the procedures specified herein.

 (iii) In addition, other provisions of this Agreement or any other such plan notwithstanding, the Company shall
have no right to accelerate any such payment or to make any such payment as the result of any specific event except to the extent permitted under Section 409A. 
 (iv) For purposes of Section 409A of the Code, each payment made after termination of employment, including each health
insurance continuation payment or reimbursement, will be considered one of a series of separate payments. 
 (v)
To the extent any cash payments to be made to you upon a termination of your employment would be deemed to be nonqualified deferred compensation under Code Section 409A, then with respect to such cash payments, a termination of
employment shall not be deemed to have occurred unless such termination is also a “separation from service” within the meaning of Section 409A of the Code and, for purposes of any such provision of this Agreement with respect to such
cash payments, references to a “termination,” “termination of employment” or like terms shall mean “separation from service.” 
  

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 (vi) Any amount that you are entitled to be reimbursed under this Agreement that
may be treated as taxable compensation will be reimbursed to you as promptly as practical and in any event not later than sixty (60) days after the end of the calendar year in which the expenses are incurred; provided, that, you shall have
provided a reimbursement request to the Company no later than thirty (30) days prior to the date the reimbursement is due. The amount of the expenses eligible for reimbursement during any calendar year will not affect the amount of expenses
eligible for reimbursement in any other calendar year, except as may be required pursuant to an arrangement providing for the reimbursement of expenses referred to in Section 105(b) of the Code. 
 (vii) The Company shall not be obligated to reimburse you for any tax penalty or interest or provide a gross-up in connection with
any tax liability you may incur under Section 409A of the Code. 
 (viii) Whenever a payment under this
Agreement specifies a payment period with reference to a number of days (e.g., “payment shall be made within thirty (30) days following the date of termination”), the actual date of payment within the specified period shall be within
the sole discretion of the Company. 
 (ix) Unless this Agreement provides a specified and objectively
determinable payment schedule to the contrary, to the extent that any payment of base salary or other compensation is to be paid for a specified continuing period of time beyond the date of termination of Executive’s employment in accordance
with the Company’s payroll practices (or other similar term), the payments of such base salary or other compensation shall be made on a monthly basis.” 
 6. The provisions of this Amendment No. 1 may be amended and waived only with the prior written consent of the parties hereto. This
Amendment No. 1 may be executed and delivered in one or more counterparts, each of which shall be deemed an original and together shall constitute one and the same instrument. 
  

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 7. Except as set forth in this Amendment No. 1, the Employment Agreement shall
remain unchanged and shall continue in full force and effect. 
  

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 IN WITNESS WHEREOF, the parties hereto have executed and delivered this Amendment No. 1 on
the date first written above. 
  

					
	KILROY REALTY CORPORATION
		
	By:	 	/s/ Tyler Rose
		 	Name: 	 	Tyler Rose
		 	Title:	 	Senior Vice President and Treasurer
	
	KILROY REALTY CORPORATION
		
	By:	 	/s/ Tamara J. Porter
		 	Name: 	 	Tamara J. Porter
		 	Title:	 	Vice President and Corporate Counsel
	
	KILROY REALTY, L.P.
		
	By:	 	/s/ Tyler Rose
		 	Name: 	 	Tyler Rose
		 	Title:	 	Senior Vice President and Treasurer
	
	KILROY REALTY, L.P.
		
	By:	 	/s/ Tamara J. Porter
		 	Name: 	 	Tamara J. Porter
		 	Title:	 	Vice President and Corporate Counsel
	
	EXECUTIVE
	
	/s/ Heidi Roth
	Heidi Roth

  

 7Third Supplemental Indenture

 Exhibit 4.1 
 THIRD SUPPLEMENTAL INDENTURE 
 Third Supplemental Indenture (this “Third Supplemental
Indenture”), dated as of February 6, 2009 (the “Effective Date”), by and among Forbes Energy Services LLC, a Delaware limited liability company (the “Company”), Forbes Energy Capital Inc., a Delaware
corporation (“Capital,” together with the Company, the “Issuers”), the Guarantors (as defined below) and Wells Fargo Bank, National Association, as Trustee (in such capacity, the “Trustee”) and
Collateral Agent (in such capacity, the “Collateral Agent”) under that certain Indenture, dated as of February 12, 2008 (the “Original Indenture”), such Original Indenture having previously been supplemented by
the Supplemental Indenture, dated as of May 29, 2008 (the “First Supplemental Indenture”) and the Supplemental Indenture, dated as of October 6, 2008 (together with the Original Indenture and the First Supplemental
Indenture, the “Indenture”), in each case, between the Issuers, the Guarantors listed therein or added thereto by supplement, (the “Guarantors,” and together with the Issuers, the “Obligors”) and
the Trustee. 
 WITNESSETH 
 WHEREAS, the Issuers have $205 million aggregate principal amount of 11% Senior Secured Notes due 2015 (the “Notes”) issued and outstanding under the Indenture; 
 WHEREAS, the Obligors desire to supplement the Indenture to (a) amend certain covenants and other terms or provisions contained in the Indenture and
(b) add certain new covenants and provisions to the Indenture; 
 WHEREAS, Section 9.02 of the Indenture provides, among other
things, that the Indenture may be amended or supplemented and any compliance with any provision of the Indenture may be waived, in each case with the consent of the Holders of a majority in aggregate principal amount of the then outstanding Notes;

 WHEREAS, Section 9.03 of the Indenture provides, among other things, that every amendment or supplement to the Indenture will be set
forth in an amended or supplemental indenture that complies with the Trust Indenture Act as then in effect; 
 WHEREAS, pursuant to a consent
solicitation by the Issuers, Wells Fargo Bank, National Association, as Tabulation Agent, received consents of Holders of at least a majority in aggregate principal amount of the then outstanding Notes not owned by the Obligors or an affiliate of
the Obligors consenting to the amendments to the Indenture that require such consent, which amendments are set forth in Section 2(a) hereof; 
 WHEREAS, in order to induce the Holders of the Notes to grant such consent, the Issuers have agreed to certain other amendments that provide additional rights or benefits to the Holders of the Notes, which amendments are set forth in
Sections 2(b) – (f) hereof; and 
 WHEREAS, upon the execution and delivery of this Third Supplemental Indenture, 

 
all things necessary to make this Third Supplemental Indenture a valid and legally binding agreement of each of the Obligors will have been done; 

NOW THEREFORE, in consideration of the foregoing and for good and valuable consideration, the receipt and sufficiency of which are hereby
acknowledged, each party hereto agrees as follows for the benefit of the other parties and for the equal and ratable benefit of the Holders: 
 SECTION 1. Capitalized Terms. Capitalized terms used herein without definition shall have the respective meanings assigned to them in the Indenture. 
 SECTION 2. Amendments to the Indenture. The Indenture is hereby amended as follows: 
 (a) Amendment to the Definition
of “Net Income.” The definition of “Net Income” set forth in Section 1.01 of the Indenture is hereby amended by inserting, at the end of the definition as additional exclusions from Net Income, the following: 
 “(3) for all purposes, except with respect to (A) any Restricted Payments described in the first clause (1) of Section 4.13(a) that
would otherwise be permitted to be made pursuant to the second clause (3) of Section 4.13(a), (B) the definition of “Excess Cash Flow” and (C) the associated application of the Excess Cash Flow Offer covenant contained
in Section 4.12, any non-cash charge or loss from the impairment writedowns or writeoffs of noncurrent assets required to be made in accordance with GAAP; and 
 (4) for all purposes, except with respect to (A) any Restricted Payments described in the first clause (1) of Section 4.13(a) that would otherwise be permitted to be made pursuant to the second clause
(3) of Section 4.13(a), (B) the definition of “Excess Cash Flow” and (C) the associated application of the Excess Cash Flow Offer covenant contained in Section 4.12, any non-cash item classified as an
extraordinary, unusual or nonrecurring gain, loss or charge, including any non-cash deferred tax expense related to the effect of recognizing deferred tax items upon a change in tax status.” 
 (b) Amendment to the Definition of “Permitted Lien.” The definition of “Permitted Liens” set forth in Section 1.01 of the Indenture is hereby
amended by deleting paragraph (11) of the definition and replacing it in its entirely with the following: 
 “(11) Liens created for
the benefit of (or to secure) the Notes and all other Obligations under this Indenture, the Collateral Agreements and the Note Guarantees, excluding, however, any Liens on Collateral created for the benefit of (or to secure) any Additional
Notes;” 
 (c) Amendment to Section 4.12. Section 4.12 of the Indenture shall be amended as 

  

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follows: 
 (1) Subsection 4.12(a) of the
Indenture shall be amended by inserting the phrase, “, purchases by tender offer in compliance with Regulation 14D of the Exchange Act” after the words “open market purchases” in the paragraph comprising such subsection.

 (2) Subsection 4.12(b) of the Indenture shall be amended by inserting the phrase, “, repurchased in a tender offer in compliance with
Regulation 14D of the Exchange Act” after the words “in the open market” in the fourth sentence of such paragraph comprising such subsection. 
 (d) Amendment to Subsection 4.14(a). Subsection 4.14(a) of the Indenture is amended by inserting, at the end of the paragraph comprising such subsection, the following sentence: 
 “Notwithstanding the foregoing, except for such Liens otherwise permitted under this Indenture, any new Indebtedness otherwise permitted under this
subsection 4.14(a) may not be secured by any Lien on Collateral.” 
 (e) Amendment to Section 4.15. Section 4.15 of the Indenture shall be
amended as follows: 
 (1) The lead-in paragraph to Section 4.15 of the Indenture shall be deleted in its entirety and replaced with the
following: 
 “Any New Parent will not, the Company will not and neither of them will permit any of their Restricted Subsidiaries to make
or commit to make any Capital Expenditure, except Adjusted Capital Expenditures not exceeding the amount set forth in the table below for such period; provided that (1)(a) the amount of Adjusted Capital Expenditures permitted for fiscal
periods ending in 2009 and 2010 may increase beyond the amount set forth in the table below by the amount calculated in accordance with subsection (B) of the second clause (3) in Section 4.13(a) and (b) for all other fiscal
periods may increase beyond the amount set forth below by the amount calculated in accordance with the second clause (3) in Section 4.13(a), provided that any such increase in Adjusted Capital Expenditures made with such amounts
calculated in accordance with clause (1)(a) and (b) above will be excluded from the sum of the amounts in such clause (3) in Section 4.13(a)(3); (2) the quarterly base amount set forth in the table below for quarters ending
in 2010 will be reduced to $11.25 million for any quarter where, in the quarter immediately preceding such quarter, either (A) the average daily spot price for WTI crude oil at Cushing, OK was less than $80 per barrel or (B) the average
daily spot price for natural gas at Henry Hub was less than $8.00 per MMbtu, in each case as quoted on the New York Mercantile Exchange (or its successor); (3) if the amount 

  

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of Adjusted Capital Expenditures permitted for any quarter in 2010 has been reduced in accordance with the immediately preceding clause (2), any New Parent,
the Company or any Restricted Subsidiaries will be able to increase the amount of Adjusted Capital Expenditures permitted in any such quarter or any subsequent quarter of 2010 in the aggregate by $0.25 for each $1.00 any New Parent, the Company or
any Restricted Subsidiary spends (not including for this purpose any amount that may be spent in accordance with the Issuers’ obligations under Section 4.29) to repurchase Notes for cash from Holders in 2010 that are then retired;
(4) if the amount of Adjusted Capital Expenditures actually made by any New Parent, the Company and the Restricted Subsidiaries in any quarter ending in 2010 is less than the amount of Adjusted Capital Expenditures permitted for such quarter,
the amount of Adjusted Capital Expenditures permitted for subsequent calendar quarters in 2010 (in the aggregate) will be increased by the amount of the unused, although permitted, Adjusted Capital Expenditures for such quarter; and (5) up to
$10 million of Adjusted Capital Expenditures permitted in any year pursuant to this Section 4.15, but not used in such year, will be carried forward to the immediately subsequent year and will increase the amount of permitted Adjusted Capital
Expenditures for such subsequent year, provided that any such amount carried forward shall be used before any other Adjusted Capital Expenditures permitted in such immediately subsequent year and, if not used, shall expire at the end of such
immediately subsequent year.” 
 (2) The entries for 2009 and 2010 in the table set forth in Section 4.15 of the Indenture shall be
deleted in their entirety and replaced with the following: 
  

					
	 Period
	  	 Amount
	  	 
	 Fiscal Year ending
 December 31, 2009

	  	$35 million, as a base amount.	  	
			
	Fiscal Year 2010	  		  	
			
	         Quarter ending
         March 31, 2010
	  	$21.25 million, as a base amount.	  	
			
	         Quarter ending
         June 30, 2010
	  	$21.25 million, as a base amount.	  	
			
	         Quarter ending
         September 30, 2010
	  	$21.25 million, as a base amount.	  	
			
	         Quarter ending
         December 31, 2010
	  	$21.25 million, as a base amount.	  	

 (f) Addition of Section 4.29. The following is hereby added as Section 4.29 of the Indenture and is
titled “Note Repurchases and Offer”: 
 “The Issuers are required to spend an aggregate of $2 million in cash to repurchase
Notes during the first quarter of 2009 and to spend an 

  

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additional aggregate of $8 million in cash to repurchase Notes by the end of the second quarter of 2010, in either case by purchasing Notes in the open
market or by a tender offer in compliance with Regulation 14D of the Exchange Act. Notwithstanding the foregoing, if the Company offers to repurchase Notes, either in the open market or by such a tender offer, at a price of at least 100% of the
principal amount per Note, and in such aggregate principal amount that when taken together with Notes actually repurchased in the first quarter of 2009 or by the end of the second quarter of 2010, respectively, equals the total principal amount
required for such period, but is not able to repurchase the total principal amount required for such period despite the offer to do so, the Company shall be deemed to be in compliance with its obligations hereunder, with respect to such period. Any
Notes repurchased in 2009 and 2010 pursuant to this Section 4.29 will reduce the amount of any purchases of Notes required to be made in such years under Section 4.12.” 
 SECTION 3. Effectiveness. Except as set forth in the following sentence, this Third Supplemental Indenture shall become effective as of the
Effective Date. The amendment to the Indenture described in Section 2(a) of this Third Supplemental Indenture will be effective from and after the Issue Date. 
 SECTION 4. Parties. Nothing expressed or mentioned herein is intended or shall be construed to give any Person, firm or corporation, other than the parties hereto and their successors and assigns and the
Holders, any legal or equitable right, remedy or claim under or in respect of this Third Supplemental Indenture or the Indenture or any provision herein or therein contained. 
 SECTION 5. Governing Law. This Third Supplemental Indenture shall be governed by, and construed in accordance with the laws of the State of New
York. 
 SECTION 6. Ratification of Indenture; Third Supplemental Indenture Part of Indenture. Except as expressly amended hereby, the
Indenture is in all respects ratified and confirmed and all the terms, conditions and provisions thereof shall remain in full force and effect. This Third Supplemental Indenture shall form a part of the Indenture for all purposes, and every Holder
of Notes heretofore or hereafter authenticated and delivered shall be bound hereby. 
 SECTION 7. Successors and Assigns. All of the
covenants, stipulations, promises and agreements in this Third Supplemental Indenture contained by or on behalf of the Obligors shall bind their successors and assigns, whether so expressed or not. 
 SECTION 8. Counterparts. The parties hereto may sign one or more copies of the Third Supplemental Indenture in counterparts, all of which together
shall constitute one and the same agreement. 
 SECTION 9. Headings. The headings of the Sections in this Third Supplemental 

  

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Indenture are for convenience of reference only and shall not be deemed to alter or affect the meaning or interpretation of any provisions hereof.

 SECTION 10. Severability. In case any one or more of the provisions in this Third Supplemental Indenture shall be held invalid,
illegal or unenforceable in any respect for any reason, the validity, legality and enforceability of any such provision in every other respect and the remaining provisions shall not in any way be affected or impaired thereby, it being intended that
all of the provisions hereof shall be enforceable to the full extent permitted by law. 
 SECTION 11. Trustee. The Trustee makes no
representations as to the validity or sufficiency of this Third Supplemental Indenture. The recitals and statements herein are deemed to be those of the Obligors and not of the Trustee. 
 SECTION 12. Trust Indenture Act Controls. The terms of the Notes include those stated in the Indenture and those made part of the Indenture by the
TIA, which apply to the Indenture and to this Third Supplemental Indenture and is incorporated by reference therein and herein. If any provision of this Third Supplemental Indenture limits, qualifies or conflicts with the duties imposed by TIA
§318(c), the imposed duties will control. 
 [Remainder of page intentionally left blank – signature page follows] 
  

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

			
	FORBES ENERGY SERVICES LLC, as an Issuer
		
	By:	 	/s/ L. Melvin Cooper
		 	 L. Melvin Cooper,
 Senior Vice President and Chief
Financial Officer

	
	FORBES ENERGY CAPITAL INC., as an Issuer
		
	By:	 	/s/ L. Melvin Cooper
		 	 L. Melvin Cooper,
 Senior Vice President and Chief
Financial Officer

	
	FORBES ENERGY SERVICES LTD., as a Guarantor
		
	By:	 	/s/ L. Melvin Cooper
		 	 L. Melvin Cooper,
 Senior Vice President and Chief
Financial Officer

	
	C.C. FORBES, LLC, as a Guarantor
		
	By:	 	/s/ L. Melvin Cooper
		 	 L. Melvin Cooper,
 Senior Vice President and Chief
Financial Officer

	
	TX ENERGY SERVICES, LLC, as a Guarantor
		
	By:	 	/s/ L. Melvin Cooper
		 	 L. Melvin Cooper,
 Senior Vice President and Chief
Financial Officer

	
	SUPERIOR TUBING TESTERS, LLC, as a Guarantor
		
	By:	 	/s/ L. Melvin Cooper
		 	 L. Melvin Cooper,
 Senior Vice President and Chief
Financial Officer

	
	 FORBES ENERGY INTERNATIONAL, LLC,
 as a Guarantor

		
	By:	 	/s/ L. Melvin Cooper
		 	 L. Melvin Cooper,
 Senior Vice President, Chief
Financial Officer and Assistant Secretary

	
	 WELLS FARGO BANK, NATIONAL ASSOCIATION,
 as Trustee

		
	By:	 	/s/ Martin Reed
		 	Vice President

  

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