Document:

Exhibit 10.6.2

 Exhibit 10.6.2 
  
 EXECUTION COPY 
  
 GUARANTY 
  
 This Guaranty (“Guaranty”) is made as of November 4, 2005 by Municipal Mortgage & Equity, LLC (“Guarantor”) in favor of
Bank of America, N.A., successor by merger to Fleet National Bank, in its capacity as Agent for the Banks (in such capacity, the “Agent”) under the Tax Credit Warehouse Agreement (as defined below). Unless otherwise defined in this
Guaranty or in Schedule 1 hereto, capitalized terms used in this Guaranty (including Schedule 1 hereto) shall have the meanings given such terms in the Tax Credit Warehouse Agreement. 
  
 RECITALS 
  
 WHEREAS, the Banks have extended and propose to extend credit to and have entered into and propose to continue credit arrangements with MMA Financial
Warehousing, LLC and MMA Financial Bond Warehousing, LLC (collectively, the “Borrower”), pursuant to and as now or hereafter evidenced by that certain Fifth Amended and Restated Revolving Loan and Letter of Credit Agreement of even date
herewith among the Borrower, the Agent, the Banks, the Guarantor and the Other Guarantors (as amended and/or restated from time to time, the “Tax Credit Warehouse Agreement”); 
  
 WHEREAS, Guarantor is an affiliate of and controls the Borrower and, will realize substantial economic benefits from the
extension of credit and the continuation of the credit arrangements between the Banks and Borrower described in the Credit Documents; 
  
 WHEREAS, the execution and delivery of this Guaranty, and the performance by the Guarantor of its obligations hereunder, is necessary and convenient to
the conduct, promotion and attainment of the businesses of the Guarantor and Borrower; and 
  
 WHEREAS, it is a condition precedent to the effectiveness of the Tax Credit Warehouse Agreement, and the extension and continuation of the credit facilities described in the Credit Documents, that the Guarantor
execute and deliver this Guaranty. 
  
 NOW, THEREFORE, in order to
induce the Banks to enter into the Tax Credit Warehouse Agreement, and to make, extend or continue the credit arrangements evidenced thereby and by the Credit Documents, and in consideration thereof, and for other good and valuable consideration,
the receipt and adequacy of which are hereby acknowledged, the parties hereto agree as follows: 
  
 1. Guaranty of Payment and Performance. Guarantor hereby unconditionally and irrevocably guarantees to Agent, as the primary obligor and not
secondarily, that Borrower will duly and punctually pay and perform at the place specified therefor, or if no place is specified, at Agent’s address set forth in the Tax Credit Warehouse Agreement, all indebtedness, obligations and liabilities,
direct or indirect, matured or unmatured, primary or secondary, certain or contingent, of Borrower under the Credit Documents, whether now or hereafter owing or incurred, including without limitation, all reasonable out-of-pocket fees, costs and
expenses incurred by Agent or the Banks in attempting to collect or enforce any of the foregoing (collectively, the “Obligations”). Upon the occurrence of an Event of Default, the liabilities and 
  

	*	The term “<[CONFIDENTIAL]>” indicates material that has been omitted and for which confidential treatment has been requested. All such omitted material has
been filed with the Securities and Exchange Commission pursuant to Rule 24b-2 under the Securities Exchange Act of 1934, as amended. 

 obligations of Guarantor hereunder shall, at the option of Agent, become forthwith due and payable to Agent without
demand or notice of any nature, all of which are expressly waived by Guarantor. Payments by Guarantor hereunder may be required by Agent on any number of occasions. 
  
 2. Enforcement and Collection Costs. Guarantor further agrees, as the principal obligor and not as a
guarantor, to pay to Agent, forthwith upon demand, in immediately available federal funds, all reasonable out-of-pocket costs and expenses (including court costs and reasonable legal fees and expenses) incurred or expended by Agent in connection
with this Guaranty, and the enforcement hereof and thereof, together with interest on amounts thereon from the time such amounts become due until payment at the Default Rate applicable to Prime Rate Amounts. All such costs and expenses, together
with interest thereon, are referred to herein as “Expenses”. 
  
 3. Payments. Guarantor covenants and agrees that the Obligations and the Expenses will be paid strictly in accordance with their respective terms regardless of any law, regulation or order now or hereinafter in effect in any
jurisdiction affecting any of such terms or the rights of Agent with respect thereto, and that all payments and obligations to Agent with respect to the Obligations and the Expenses, whether by Borrower or Guarantor, will be made in immediately
available federal funds on the due date thereof. 
  
 4.
Taxes. All payments hereunder shall be made without any counterclaim or set-off, free and clear of, and without reduction by reason of, any taxes, levies, imposts, charges and withholdings, restrictions or conditions of any nature
(collectively, “Taxes”), which are now or may hereafter be imposed, levied or assessed by any country, political subdivision or taxing authority on payments hereunder, excluding, however, all taxes on or measured by Agent’s (or any
Bank’s) net income, all of which will be for the account of and paid by Guarantor. If for any reason any such reduction is made or any Taxes are paid by Agent (or any Bank), Guarantor will pay to Agent (or such Bank) such additional amounts as
may be necessary to ensure that Agent (or such Bank) receives the same net amount which it would have received had no reduction been made or Taxes paid. 
  
 5. Absolute; Joint and Several. This Guaranty is an absolute, unconditional and continuing guaranty of the full and punctual payment and
performance of the Obligations and not of their collectibility only and is in no way conditioned upon any requirement that Agent first attempt to collect any of the Obligations from Borrower or resort to any security, guaranty or other means of
obtaining payment of any of the Obligations which Agent now has or may acquire after the date hereof or upon any other contingency whatsoever. Agent has and shall have the absolute right to enforce the liability of Guarantor hereunder without resort
to any other right or remedy including any right or remedy under the Credit Documents, the Other Guaranty (as defined below), any other guaranty of the Obligations, or applicable law, and the release or discharge of any guarantor of the Obligations
or other person or entity (including, without limitation, Borrower or any of the Other Guarantors (as defined below)) now or hereafter liable (whether in whole or in part, primarily or otherwise) for the Obligations (or the Expenses, as applicable)
shall not affect the continuing liability of Guarantor hereunder. The obligations of Guarantor hereunder shall be joint and several with the obligations of MMA Financial Holdings Inc., MMA Equity Corporation, MMA Financial TC Corp., MMA Financial
BFGLP, LLC, MMA Financial BFRP, Inc., MMA Financial BFG Investments, LLC and MMA Special Limited 

  

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Partner, Inc. (collectively, the “Other Guarantors”), which have guaranteed on a joint and several basis the Obligations of the Borrower pursuant
to the Guaranty (as defined in the Tax Credit Warehouse Agreement, but defined herein as the “Other Guaranty”). The obligations of Guarantor hereunder and of the Other Guarantors under the Other Guaranty shall be joint and several
obligations, and, further, shall be joint and several with the liability of each other party who has guaranteed or who in the future guarantees the Obligations. 
  

6. Effectiveness. The obligations of the Guarantor under this Guaranty (a) shall continue in full force and effect and shall remain
in operation until all of the Obligations and Expenses have been paid in full indefeasibly in cash or are otherwise fully satisfied and the Banks shall be under no further obligation to extend credit to or enter into credit arrangements with
Borrower under the Credit Documents or otherwise, and (b) shall continue to be effective or be reinstated, as the case may be, if at any time payment or other satisfaction of any of the Obligations or the Expenses is rescinded or must otherwise
be restored or returned upon the bankruptcy, insolvency, or reorganization of Borrower, the Guarantor or any other guarantor of the Obligations (including, without limitation, any of the Other Guarantors), or otherwise, as though such payment had
not been made or other satisfaction occurred. No invalidity, irregularity or unenforceability by reason of applicable bankruptcy laws, or any other similar law, or any law or order of any governmental body or agency thereof purporting to reduce,
amend or otherwise affect the Obligations or the Expenses shall impair, affect, be a defense to or claim against the obligations of Guarantor under this Guaranty. If acceleration of the Obligations is stayed upon the insolvency, bankruptcy or
reorganization of Borrower or any of the Other Guarantors, all such Obligations otherwise subject to such acceleration shall nonetheless be payable by Guarantor. 
  
 7. Security; Set-off. The Guarantor grants to Agent, as security for the full and punctual payment and
performance of all of Guarantor’s obligations hereunder, a continuing lien on and security interest in all of Guarantor’s right, title and interest in and to amounts, securities and property now or hereafter (a) due to Guarantor from
Borrower, (b) belonging to Borrower and held by Guarantor, or (c) belonging to Guarantor and held by any of the Banks, including without limitation, all loans, accounts, accounts receivable, notes, bills, drafts, acceptances, instruments,
documents, securities, investment property of any kind, deposits and chattel paper and all proceeds of the foregoing (collectively, the “Guaranty Collateral”). Regardless of the adequacy of any security, guaranty or other means of
obtaining repayment of the Obligations or the Expenses, Agent may at any time after the occurrence of an Event of Default set off the whole or any portion or portions of any or all sums due from Agent to Guarantor, including Guaranty Collateral
consisting of such sums, against the obligations of Guarantor hereunder. 
  
 8. Freedom of Agent to deal with Borrower and Other Parties. Agent shall be at liberty, without giving notice to or obtaining the assent of Guarantor and without relieving Guarantor of any liability
hereunder, to deal with Borrower, the Other Guarantors and each other party who now is or after the date hereof becomes liable in any manner for any of the Obligations or Expenses, in such manner as Agent in its sole discretion deems fit, and in
furtherance, but not limitation, of this end, Guarantor gives to Agent full authority in its sole discretion to do any or all of the following things: (a) extend credit, make loans and afford other financial accommodations to Borrower at such
times, in such amounts and on such terms as Agent may approve, (b) increase the amount of, vary the terms and grant extensions of any 

  

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present or future Obligations or Expenses, (c) grant time, waivers and other indulgences in respect to the Obligations or the Expenses to any party,
including Borrower, Guarantor, or any of the Other Guarantors, (d) vary, exchange, release or discharge, wholly or partially, or delay in or abstain from perfecting and enforcing any security or guaranty or other means of obtaining payment of
any of the Obligations or Expenses which Agent now has or may acquire after the date hereof, including, without limitation, under the Other Guaranty, (e) accept partial payments of the Obligations and the Expenses from Borrower, any of the
Other Guarantors, or any other party, (f) release or discharge, wholly or partially, any guarantor of the Obligations or other person or entity (including, without limitation, Borrower, Guarantor, or any of the Other Guarantors) now or
hereafter liable (whether in whole or in part, primarily or otherwise) for the Obligations or the Expenses and compromise or make any settlement or other arrangement with Borrower, Guarantor, any of the Other Guarantors, or any such guarantor, other
person or entity, and (g) amend, restate, supplement or otherwise modify the Tax Credit Warehouse Agreement, the Other Guaranty, or the other Credit Documents in any respect, including, without limitation, to increase the Maximum Amount, extend
or accelerate the Maturity Date or increase the LIBOR Rate or the Prime Rate. 
  
 9. Unenforceability of Obligations Against Borrower; Invalidity of Security or Other Guaranties. If for any reason Borrower has no legal existence or is under no legal obligation to discharge any of the
Obligations undertaken or purported to be undertaken by it or on its behalf, or if any of the moneys included in the Obligations have become unrecoverable from Borrower by operation of law or for any other reason, this Guaranty shall nevertheless be
binding on Guarantor to the same extent as if Guarantor at all times had been the principal debtor on all Obligations. This Guaranty shall be in addition to the Other Guaranty and any other guaranty or other security for the Obligations, and it
shall not be prejudiced or rendered unenforceable by the invalidity of the Other Guaranty or any such other guaranty or security, regardless of whether such invalidity results from any failure of Agent to take any steps to perfect or maintain or
preserve any rights with respect to the Other Guaranty or such other guaranty or security. 
  
 10. Representations, Warranties, Acknowledgments and Covenants. Guarantor hereby represents, warrants and covenants to and with Agent that: 
  
 10.1. Guarantor does not currently have (and will not have, upon execution of this Guaranty) any defenses,
counterclaims or rights of set-off against Agent in connection with this Guaranty; 
  
 10.2. Other than in favor of Agent, Guarantor does not currently have, and shall not at any time after the date of this Guaranty create,
assume, incur, or permit to exist, any mortgage, lien, pledge, charge, security interest or other encumbrance of any kind in respect of any of the Guaranty Collateral whether heretofore or hereafter acquired by the Guarantor; 
  
 10.3. Guarantor does not now, and shall not while any of the
Obligations or Expenses remain outstanding, have, exercise or benefit from, and hereby waives, any security interest in or lien (whether granted consensually by operation of law or otherwise) upon the assets or properties of Borrower; and

  
 10.4. All representations and warranties made
herein shall survive until such 

  

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time as all of the Obligations and Expenses have been paid in full indefeasibly in cash or are otherwise fully satisfied and Agent shall be under no further
obligation to extend credit to or enter into credit arrangements with Borrower under the Credit Documents or otherwise. 
  
 10.5. Each warranty and representation made by Guarantor or by the Borrower on Guarantor’s behalf in the Tax Credit Warehouse
Agreement or any other Credit Document is true, accurate and complete and is incorporated herein by reference. 
  
 10.6. In addition to the covenants and obligations set forth elsewhere in this Guaranty or by which Guarantor is bound under any other
Credit Document, Guarantor hereby covenants and agrees that Guarantor shall comply with the additional covenants and obligations set forth on Schedule 1 hereto. 
  
 11. Waivers by Guarantor. Guarantor waives: presentment, demand, notice of any delinquency or default by
Borrower, any guarantor of the Obligations or any other person or entity now or hereafter liable (whether in whole or in part, primarily or otherwise) for the Obligations or Expenses, notice of acceptance hereof, notice of any action taken or
omitted by Agent in reliance hereon, any requirement that Agent be diligent or prompt in making demands hereunder, giving notice of any default by Borrower or asserting any other rights of Agent hereunder. Guarantor also irrevocably waives, to the
fullest extent permitted by law, all defenses that at any time may be available in respect of Guarantor’s obligations hereunder by virtue of any statute of limitations, valuation, stay, moratorium law or other similar law now or hereafter in
effect. 
  
 12. Waiver of Subrogation Rights. While
any Obligations or Expenses are outstanding, notwithstanding any other provision to the contrary contained herein or provided by applicable law, Guarantor hereby irrevocably waives any and all rights it may have at any time (whether arising directly
or indirectly, by operation of law or by contract) to assert any claim against Borrower on account of payments made under this Guaranty, including without limitation, any and all rights of or claim for subrogation, contribution, reimbursement,
exoneration and indemnity, and further waives any benefit of and any right to participate in any collateral now or hereafter securing the Obligations or the Expenses which may be held by Agent or any agent of Agent. In addition, Guarantor shall not
claim any set-off or counterclaim against Borrower in respect of any liability they may now or hereafter have to Borrower. 
  
 13. Subordination. Guarantor hereby subordinates its rights to payment of any principal, interest and all other amounts now or hereafter
owing from Borrower (including, without limitation, any Co-Funding Amounts) and its rights in and to any collateral therefor (collectively, the “Subordinated Debt”) to Agent’s right to receive payment of all Obligations and Expenses.
Until the Obligations and Expenses have been paid in full indefeasibly in cash or are otherwise fully satisfied and Agent shall be under no further obligation to extend credit to or enter into credit arrangements with Borrower under the Credit
Documents or otherwise, without the prior written consent of Agent: 
  
 13.1. Guarantor shall not demand, nor accept from Borrower or any other person, any payment or transfer of property in payment or satisfaction or otherwise on account of the Subordinated Debt, nor take any action
prejudicial to, or inconsistent with, 

  

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Agent’s right to have the Obligations and the Expenses fully paid and discharged prior to the Subordinated Debt; 
  
 13.2. Should any distribution of Borrower’s property be
made to Guarantor other than as specifically permitted by this Guaranty, such property shall be held by Guarantor in trust for Agent, shall not be commingled with any other assets of Guarantor, and shall be delivered immediately to Agent with all
necessary assignments and/or endorsements; and 
  
 13.3. Guarantor shall not commence nor participate in any bankruptcy, reorganization or insolvency proceeding against Borrower. In the event any such proceeding is commenced by or against Borrower, Guarantor hereby irrevocably authorizes
Agent to: (a) enforce claims associated with the Subordinated Debt, either in Agent’s name or in the name of Guarantor, by proof of claim or otherwise; (b) collect all assets of Borrower distributed on account of the Subordinated Debt
and apply them to the Obligations and the Expenses, delivering any surplus to Guarantor; (c) vote claims associated with the Subordinated Debt to accept or reject any plan of partial or complete liquidation, reorganization, arrangement,
composition or extension; and (d) take any other action in connection with any such proceeding which Guarantor would otherwise be entitled to take. 
  
 Notwithstanding the limitations set forth above in this Section, provided there does not then exist any Default or Event of Default, Guarantor may accept
and retain repayment of the Co-Funding Amount advanced in connection with Revolving Loans or Letters of Credit used by Borrower or an MTE in connection with investment in or loans to a particular Property Partnership after the Release Conditions
with respect to such Property Partnerships have been satisfied. 
  
 14. Demands and Notices. All notices, requests and demands required or permitted under the terms of this Guaranty shall be given and deemed received in accordance with the notice provisions of the Tax Credit Warehouse
Agreement. 
  
 15. Amendments, Waivers, Etc. No
provision of this Guaranty can be changed, waived, discharged or terminated except by an instrument in writing signed by Agent and Guarantor expressly referring to the provision of this Guaranty to which such instrument relates and no such waiver
shall extend to, affect or impair any right of Agent with respect to any Obligation which is not expressly dealt with therein. No course of dealing or delay or omission on the part of Agent in exercising any right, power or privilege hereunder or
under the Tax Credit Warehouse Agreement or any of the other Credit Documents shall operate as a waiver thereof or otherwise be prejudicial thereto, nor shall any single or partial exercise thereof preclude any other or future exercise thereof or
the exercise of any other right, power or privilege hereunder or thereunder. 
  
 16. Further Assurances. Guarantor at its sole cost and expense agrees to do all such things and execute, acknowledge and deliver all such documents and instruments as Agent from time to time may
reasonably request in order to give full effect to this Guaranty and to perfect and preserve the rights and powers of Agent hereunder. 
  

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 17. Conflicts. In the event of any conflict between any provision of this Guaranty, the Tax
Credit Warehouse Agreement, the other Credit Documents or any other document evidencing the Obligations or Agent’s security interest in the Collateral, it is the express and absolute understanding and agreement of Guarantor that this Guaranty
shall be interpreted so as to be consistent with such other agreements and documents and to give full effect to the rights granted to Agent herein and therein. 
  

18. Provisions to Survive. All representations, warranties, covenants and agreements contained in this Guaranty shall survive the
execution and delivery hereof and of the Tax Credit Warehouse Agreement, the other Credit Documents and any other document executed in connection herewith or therewith and shall continue until payment in full of the Obligations and the Expenses and
the termination of any further commitment to make any Revolving Loans or to issue Letters of Credit under the Tax Credit Warehouse Agreement. 
  
 19. Governing Law. This Guaranty is intended to take effect as a sealed instrument to be governed by and construed in accordance with the
internal laws of the State of New York (including Sections 5-1401 and 5-1402 of the General Obligations Law, but otherwise without regard to its conflicts of law rules). 
  
 20. Miscellaneous Provisions. This Guaranty shall inure to the benefit of Agent, the Banks and their
respective its successors and assigns, and shall be binding on Guarantor and its successors, assigns and legal representatives. The rights of the Agent and the Banks hereunder may be transferred to the extent that any of the Obligations are
assigned. The Guarantor shall have no right to assign its rights and obligations hereunder without the prior written consent of the Agent. The rights and remedies herein provided are cumulative and not exclusive of any remedies provided by law or
any other agreement. The invalidity or unenforceability of any one or more sections of this Guaranty in their entirety or under certain circumstances shall not affect the validity or enforceability of its remaining provisions or the invalid or
unenforceable provisions in different circumstances. Captions are for ease of reference only and shall not affect the meaning of the relevant provisions. The meanings of all defined terms used in this Guaranty shall be equally applicable to the
singular and plural forms of the terms defined. 
  
 21.
Default; Cure. It shall be a default hereunder, and an Event of Default under the Tax Credit Warehouse Agreement, if: (a) the Guarantor fails to perform or observe any of its covenants in this Guaranty (other than the covenants set forth
in Sections 2, 4, 5, 6, 11.1, 12, 13, 15, 20, 21 and 22 of Schedule 1 to this Guaranty), and such failure continues uncured for 10 days; (b) the Guarantor fails to perform or observe any of its covenants under Sections 2, 4, 5, 6,
11.1, 12, 13 and 15 of this Schedule 1, and such failure continues uncured for a period of 30 days after the Guarantor becomes aware of such failure (whether through notice from the Agent, any Bank or otherwise); or (c) the Guarantor fails
to perform or observe any of its covenants under Sections 20, 21 and 22 of Schedule 1 to this Guaranty (for which there shall be no cure period). 
  
 [Remainder of page left intentionally blank; signature page follows] 
  

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 IN WITNESS WHEREOF, Guarantor has executed this Guaranty under seal as of the date first above written.

  

									
	 	 	 	 	GUARANTOR:
				
	 	 	 	 	 	 	MUNICIPAL MORTGAGE & EQUITY, LLC
					
	 	 	 	 	 	 	By:	 	/s/    WILLIAM S.
HARRISON        
	 	 	 	 	 	 	 	 	(Signature)
					
	 	 	 	 	 	 	 	 	William S. Harrison, EVP
	 	 	 	 	 	 	 	 	(Printed Name and Title)

  

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 SCHEDULE 1 
  

GUARANTOR COVENANTS 
  
 So long as any Obligation remains unsatisfied, or the Banks are obligated to make additional advances or the Agent is obligated to issue letters of credit
pursuant to the Tax Credit Warehouse Agreement, or any such letter of credit continues to be outstanding and is not fully cash collateralized, the Guarantor hereby covenants to the Agent and the Banks as follows: 
  
 1. Merger; Sale. Without obtaining the prior written consent of the
Agent and the Majority Banks under the Tax Credit Warehouse Agreement in each instance, the Guarantor shall not reorganize, be reconstituted, or enter into any agreement for the sale or other transfer of substantially all of its assets or for the
merger or consolidation of the Guarantor with or into another entity. 
  
 2. Taxes; Reserves. The Guarantor shall pay or cause to be paid all taxes, assessments or governmental charges on or against it or its properties prior to the time when they shall become delinquent, except to the extent that failure
to make such payments would not reasonably be expected to have a material adverse effect on the business, properties or condition (financial or otherwise) of the Guarantor; and provided that this covenant shall not apply to any tax, assessment or
charge which is being contested in good faith and with respect to which adequate reserves have been established and are being maintained in accordance with GAAP. 
  
 3. Notices. 
  
 3.1 Defaults. The Guarantor, promptly after obtaining actual knowledge thereof, shall advise the Agent, on behalf of the Banks, of
the existence of any default or event of default under any agreement or other document binding upon or executed and delivered by any of the Borrower, the Guarantor, the Other Guarantors, the MTEs, or MuniMae TE Bond Subsidiary, LLC, including any
Default or Event of Default under the Tax Credit Warehouse Agreement; provided, however, that such notice(s) need not be provided if such default or event of default does not constitute a Default or an Event of Default and: (a) could not
reasonably be expected to subject them to liability in excess of $1,000,000 (as to the Other Guarantors) or $10,000,000 (as to the Guarantor or MuniMae TE Bond Subsidiary, LLC); (b) does not involve a default by MuniMae TE Bond Subsidiary, LLC
on its P-Floatsm program or any other securitization; or (c) does not occur with respect to any entity under
the direct or indirect Control of MuniMae TE Bond Subsidiary, LLC. 
  
 3.2 Litigation and Judgments. The Guarantor, as the case may be, will give notice to the Agent and each of the Banks in writing, in form and detail satisfactory to the Agent and each Bank, within five Business
Days of becoming aware of (a) any litigation or proceedings threatened in writing against it or any pending litigation or proceedings to which it is or becomes a party involving a fully or partially uninsured claim against it; or (b) any
litigation or proceeding against any Persons; in either case, which, if adversely determined could materially and adversely affect its financial condition, assets or operations and stating the nature and status of such litigation or proceedings. The
Guarantor will give notice, in writing, to the Agent and each of the Banks, in form and detail reasonably satisfactory to the Agent and each Bank within five 

  

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Business Days of any judgments, final or otherwise, against it in an aggregate amount in excess of $100,000 as to the Borrower or any MTE or $1,000,000 as to
the Guarantor or the Other Guarantors which is not fully covered by insurance (other than customary deductibles disclosed to and reasonably acceptable to the Agent). 
  
 3.3 Material Adverse Change. The Guarantor will promptly notify the Agent, on behalf of the Banks, of
any material adverse change which would reasonably be expected to have a material adverse effect on its business, properties or condition (financial or otherwise) or which would cause any Offering Memorandum to be materially incorrect, incomplete or
misleading. 
  
 3.4 Governmental
Authorities. The Guarantor will promptly notify the Agent, on behalf of the Banks, of all material notices received from any Governmental Authority and shall provide copies thereof to the Agent, on behalf of the Banks, promptly after receipt
thereof. 
  
 3.5 ERISA. With respect to
any Plan, the Guarantor, shall, or shall cause its Affiliates to, furnish to the Agent, on behalf of the Banks, promptly (a) written notice of the occurrence and its obtaining knowledge of a Reportable Event, (b) a copy of any request for
a waiver of the funding standards or an extension of the amortization periods required under Section 412 of the Code and Section 302 of ERISA, (c) a copy of any notice of intent to terminate any funded Plan, (d) notice that the
Guarantor or any Affiliate will or may incur any liability to or on account of a Plan, and (e) upon the Agent’s request, a copy of the annual report of each Plan (Form 5500 or comparable form) required to be filed with the Internal Revenue
Service and/or the Department of Labor. Any notice to be provided to the Agent under this Section shall include a certificate of the chief financial officer of the Guarantor setting forth details as to such occurrence and the action, if any, which
the Guarantor and/or the Affiliate is required or proposes to take, together with any notices required or proposed to be filed with or by the Borrower, and/or any Affiliate, the Pension Benefit Guaranty Corporation, the Internal Revenue Service, the
trustee or the Plan administrator with respect thereto. Prior to the adoption of any Plan subject to ERISA, the Guarantor shall notify the Agent, on behalf of the Banks, of such adoption and of the vesting and funding schedules and other principal
provisions thereof. 
  
 3.6 Environmental
Laws. If the Guarantor shall (a) receive notice that any violation of Environmental Laws may have been committed or is about to be committed by the Borrower, the Guarantor, or the Other Guarantors or a general partner of any Property
Partnership, (b) receive notice that any administrative or judicial complaint or order has been filed or is about to be filed against either the Borrower, the Guarantor or the Other Guarantors alleging a violation of any Environmental Law or
requiring the Borrower, the Guarantor or the Other Guarantors to take any action in connection with the release of toxic or hazardous wastes, substances or materials into the environment, or (c) receive any notice from a federal, state, or
local governmental agency or private party alleging that either the Borrower, the Guarantor or Other Guarantors may be liable or responsible for any costs associated with a response to or cleanup of a release of toxic or hazardous wastes, substances
or materials into the environment or any damages caused thereby, then the Guarantor shall provide the Agent and each of the Banks with a copy of such notice within ten (10) days after the Borrower’s, the Guarantor’s or the Other
Guarantors’, as the case may be, receipt thereof. Within fifteen (15) days after any of the Borrower, the Guarantor or the Other Guarantors have learned of the enactment or promulgation 

  

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of any Environmental Law which to Guarantor’s knowledge, may result in any material adverse change in the business, properties or conditions (financial
or otherwise) of the Borrower, the Guarantor or the Other Guarantors or in which the Borrower, the Guarantor or the Other Guarantors hold a direct or indirect ownership or beneficial interest, the Guarantor shall provide the Agent and each of the
Banks with notice thereof. 
  
 4. Inspection. The Guarantor
will permit the Agent or its agents, at the Guarantor’s expense, to inspect any of its properties, including, without limitation, books and records, computer files and tapes and financial records, to examine and make copies of its books of
account and other records and to discuss its affairs, finances and accounts with, and to be advised as to the same by, its officers and other responsible employees and professional advisers at such reasonable times and intervals as the Agent may
designate after reasonable notice and during normal business hours; provided, however, that as long as no Default or Event of Default exists under the Tax Credit Warehouse Agreement, the Guarantor shall not be liable for the costs of more than one
such inspection and examination during each calendar quarter. The Agent shall use its best efforts to maintain the confidentiality of the information obtained pursuant to such inspections and examinations; provided, however, such information may be
disclosed (a) to the Banks, (b) to the Agent’s directors, officers, employees, representatives, agents and attorneys, (c) to the Agent’s independent third party auditors, and their directors, officers, employees,
representatives, agents and attorneys, (d) to all federal and state bank examiners and to all parties to whom the Agent is required to disclose such information under any present or future federal and/or state banking law or regulation, as
determined by the Agent, (e) in accordance with any subpoena or court order which the Agent in good faith believes requires such disclosure, (f) to potential participants in and assignees of the Agent’s or Banks’ interests
hereunder pursuant to the Agent or the Banks’ customary confidentiality practices, and (g) as the Agent and the Majority Banks under the Tax Credit Warehouse Agreement deems necessary in connection with any exercise of the Banks’
rights and remedies under the Credit Documents. 
  
 5.
Financial Reporting 
  
 5.1. The Guarantor
shall provide to the Agent: 
  
 (a) promptly upon
the written request of the Agent or any of the Banks therefor, the Guarantor’s federal and state income tax returns; 
  
 (b) as soon as available, but in any event within one hundred twenty (120) days after the end of its fiscal year, its income
statement, balance sheet and any other related financial statements, prepared in accordance with GAAP (except as otherwise noted therein) and audited by PricewaterhouseCoopers LLP, or such other national accounting firm as may be retained from time
to time by the Guarantor (which national accounting firm shall be, in the event that the Guarantor is not then required to file periodic reports with the United States Securities and Exchange Commission, reasonably acceptable to the Agent);

  
 (c) as soon as available, but in any
event within sixty (60) days after the end of the first three fiscal quarters of each fiscal year, and within ninety (90) days after the end of the fourth fiscal quarter of each fiscal year, management-prepared income statements, balance
sheets, a statement of cash flows and related financial statements prepared in accordance 

  

 - 11 - 

 
with GAAP (subject only to normal year-end audit adjustments and the absence of footnotes), and similar to those required by clause (b) above for and as
of the end of such period; 
  
 (d) promptly upon
the written request of the Agent therefor, copies of all management letters of substance and other material reports, if any, which are submitted in connection with financial audits of the Guarantor by its independent accountants; 
  
 (e) promptly after the filing thereof, copies of each Form
10-K and Form 10-Q and all other material documents or material correspondence filed by the Guarantor or any of its Subsidiaries with, or received by the Guarantor or any of its Subsidiaries from, the United States Securities and Exchange
Commission; and 
  
 (f) from time to time, such
other financial data and information about the Guarantor as the Agent or any Bank may reasonably request. 
  
 5.2 The financial statements to be delivered pursuant to Sections 5.1(b) and (c) of this Schedule 1 shall be
accompanied by (a) a certification to the Agent and each Bank in the form attached to this Schedule 1 as Exhibit A by the Guarantor’s chief financial officer, controller or assistant controller that such financial statements are
accurate and complete in all material respects, (b) financial data and calculations evidencing the Guarantor’s financial and covenant compliance to be attached as Schedule A to the form annexed to this Schedule 1 as Exhibit A, and
(c) the Supplemental Package for the fiscal quarter then ended. 
  
 5.3 The documents and information required to be delivered pursuant to Section 5.1 of this Schedule 1 and the Supplemental Package required to be delivered under Section 5.2 of this Schedule 1
may be delivered electronically and if so delivered, shall be deemed to have been delivered on the date on which such documents are posted on the Guarantor’s website; provided that: (a) the Guarantor shall deliver paper copies of such
documents to the Agent or any Bank that requests such paper copies until a written request to cease delivering paper copies is given by the Agent or such Bank, and (b) the Guarantor shall notify (which may be by facsimile or electronic mail)
the Agent and the Banks of the posting of any such documents and provide to the Agent and the Banks by electronic mail electronic versions of such documents. The Guarantor represents and warrants that all documents and information delivered to the
Agent and the Banks electronically via access to the Guarantor’s website pursuant to this Section 5.3 are true, accurate and complete in all material respects. Notwithstanding anything contained herein, in every instance the
Borrower and the Guarantors shall be required to provide paper copies of the compliance certificates described in Section 5.2 of this Schedule 1 to the Agent and the Banks. 
  
 5.4 Upon the Agent’s or any Bank’s written request, the Guarantor shall provide to the Agent and
each of the Banks for each Investment Partnership issuing an Offering Memorandum the Guarantor’s (or its Affiliates’) internal unaudited tax benefit projections for such Investment Partnership on an internal rate of return basis prepared
in accordance with the Guarantor’s (or its Affiliates’, as applicable) customary standards. 
  
 5.5 With respect to any development projects for which the Guarantor has given its guaranty, the Guarantor shall provide to the Agent and
each of the Banks such financial and other project information as the Agent or any Bank may require. 
  

 - 12 - 

 5.6 With respect to any interest rate or other financial derivatives, any hedging or any
counterparty transactions, or other similar transactions or other transactions addressed in or contemplated in FASB 133, the Guarantor shall provide to the Agent and each of the Banks such information as the Agent or any Bank may reasonably require.

  
 6. Collateral. The Guarantor will, and will cause the
Borrower and each MTE to, duly execute and deliver, or cause to be executed and delivered, appropriate financing statements and other documents and take all other reasonable actions requested by the Agent necessary to enable the Agent, on behalf of
the Banks, to maintain continuously perfected security interests in the Collateral. The Agent may inspect the Collateral at any reasonable time, wherever located, upon reasonable notice. The Guarantor will pay or cause to be paid all taxes and
assessments upon the Collateral or for its use and/or operation prior to the time when any penalties or interest accrue with respect thereto, or non-payment thereof; provided, however, that, so long as no distraint, foreclosure sale or other levy
upon or transfer with respect to the Collateral or any part thereof shall have been effected or threatened, and no Event of Default shall have occurred and be continuing, the Guarantor shall not be required to pay or cause to be paid such taxes and
assessments if (a) the amount, applicability or validity thereof is currently being contested by the Guarantor in good faith by appropriate legal proceedings, (b) the Guarantor shall have set aside on its books reserves (segregated to the
extent required by GAAP, or, if not applicable, sound accounting principles and practices) reasonably deemed by the Agent to be adequate with respect thereto, and (c) the Guarantor shall have provided to the Agent or the applicable taxing
authority a bond or other security of such nature and in such amount as the Agent reasonably deems sufficient as security for payment thereof. 
  
 7. Further Assurances. The Guarantor shall at any time and from time to time execute and deliver such further instruments and take such further
actions as may reasonably be requested by the Agent, in each case further and more perfectly to effect the purposes of the Tax Credit Warehouse Agreement and the other Credit Documents. 
  
 8. No Amendments to Certain Documents. The Guarantor will not amend, modify or terminate, or agree to the amendment,
modification or termination of (a) its Organizational Documents, (b) the Organizational Documents of (i) any Other Guarantor or the Borrower, (ii) any Property Partnership receiving Direct Investments or Convertible Loans or
(ii) any MTE receiving Capital Contributions (prior to satisfaction of the Release Conditions with respect to such Property Partnership or MTE), or (c) any other document relating to the transactions with respect to which any Revolving
Loan is made or any Letter of Credit is issued, without the prior written consent of the Agent, except in connection with amendments which would not have any adverse impact on the Agent or the Banks, or the Agent’s interest, on behalf of the
Banks, in any Collateral. 
  
 9. Change of Jurisdiction of
Organization; Name Change; Change in Location. The Guarantor will not, nor will it permit the Borrower, any Other Guarantor or any MTE to, at any time change its jurisdiction of organization, legal name, form of organization, federal
identification number or state organizational number, without giving prior written notice to the Agent and each Bank specifying the new jurisdiction of organization, name, form or number. 
  

 - 13 - 

 10. Offering Memoranda. Until such time as a particular Investment Partnership has been syndicated
and fully capitalized, the Guarantor shall cause each such Investment Partnership to not amend or modify any of the provisions of its Offering Memorandum in any material manner without the prior written consent of the Agent, which consent shall not
be unreasonably withheld or delayed, except that no such consent shall be required for amendments that are necessary to correct any inaccuracy or omission in an Offering Memorandum unless such correction consists of a decrease in the projected
returns on an investment in such Investment Partnership. 
  
 11.
Conduct of Business  
  
 11.1. The
Guarantor will duly observe and comply with all applicable laws and all requirements of any governmental authorities relative to its existence, rights and franchises, to the conduct of its business and to the property and assets owned or managed by
it (except where the failure to observe and comply would not materially and adversely affect the condition (financial or otherwise), properties, business, or results of the Guarantor, or the ability of the Guarantor to perform the Obligations or its
obligations under the Credit Documents to the Agent and the Banks) and will maintain and keep in full force and effect all licenses and permits necessary to the proper conduct of its business. 
  
 11.2. The Guarantor will maintain its existence and remain
or engage in substantially the same business in which it is now engaged, except that the Guarantor may, upon notice to the Agent and the Banks, withdraw from any business activity which its managers or board of directors reasonably deem unprofitable
or unsound in the due exercise of their authority; provided, however, such withdrawal shall not impair in any way such entity’s ability to fully pay and perform all of its Obligations. Notwithstanding the foregoing, the Guarantor may enter into
any line of business substantially related or incidental to a line of business in which it is currently engaged. 
  
 11.3. The Guarantor shall cause each Property Partnership to own no more than one Project and to be a single-purpose entity which shall
have no assets or liabilities and conduct no business other than that related to such Project; and cause the Borrower, each Property Partnership and each MTE to maintain its Organizational Documents in the form required under the Tax Credit
Warehouse Agreement. 
  
 12. ERISA Compliance. Neither the
Guarantor, nor any Plan or any fiduciary thereof or other ERISA Party-in-Interest or ERISA Disqualified Person with respect to any Plan shall (a) engage in any “prohibited transaction,” (as defined in ERISA and the Code),
(b) incur any “accumulated funding deficiency” (as defined in Section 412(a) of the Code and Section 302 of ERISA) whether or not waived, (c) fail to satisfy any additional funding requirements set forth in
Section 412 of the Code and Section 302 of ERISA, or (d) terminate, in whole or in part, any “pension benefit plan” (as defined in Section 3(2) of ERISA) in a manner which could result in the imposition of a lien on any
property of the Guarantor. Each Plan shall comply in all material respects with ERISA; provided, however, that the Guarantor’s failure to file audited financial statements with respect to the Municipal Mortgage & Equity, LLC 401(k)
Retirement Savings Plan (the “401(k) Plan”) for the 401(k) Plan’s 2001,2002, 2003 and 2004 fiscal years, as required under ERISA rules and regulations applicable to the 401(k) Plan (the “Filing Requirement”), 

  

 - 14 - 

 
shall not be deemed to violate this covenant to the extent that the Guarantor is working diligently to comply with the Filing Requirement, as demonstrated by
(a) the Guarantor’s continued retention of Ellin & Tucker Chartered (or another accounting firm reasonably acceptable to the Agent) to audit the 401(k) Plan’s financial statements for the 2001, 2002, 2003 and 2004 fiscal
years, and (b) the Guarantor’s reasonable cooperation with such auditing firm to complete such audit. 
  
 13. Maintenance of Books and Records. The Guarantor will keep adequate books and records of account in which true and complete entries will be made
reflecting all of its business and financial transactions, and such entries will be made in accordance with GAAP (except as otherwise disclosed) and applicable law including, without limitation, laws with respect to questionable, improper or corrupt
payments. 
  
 14. Transactions with Affiliates. 

 
 14.1. The Guarantor will not, directly or indirectly,
enter into any purchase, sale, lease or other transaction with any Affiliate except (a) as would not materially and adversely affect the condition (financial or otherwise), the properties, business or results of operations of the Guarantor,
(b) as disclosed in the Offering Memorandum of a particular Investment Partnership, if applicable, (c) as disclosed in the Proposed Property Partnership Agreement or other Organizational Documents of a Property Partnership submitted to the
Agent’s counsel for acquisition approval, with such disclosure highlighted in the transmittal notice to the Agent’s counsel, or (d) that certain promissory note, dated on or about July 1, 2003, in the principal face amount of
$120,000,000 made by TC Corp. payable to the order of the Guarantor. 
  
 14.2. The Guarantor hereby agrees that payment and performance of any obligations under any contract, agreement or arrangement (whether written or oral) now or hereafter entered into between Borrower on the one hand
and the Guarantor or any Affiliate of the Guarantor on the other hand shall be subordinated to payment and performance of the Obligations. Payment and performance under such contracts, agreements or arrangements may be made and received in the
ordinary course of business on a current basis as long as no Default or Event of Default has occurred and is continuing. 
  
 15. Environmental Regulations. The Guarantor will comply, and shall use its best efforts to cause the general partner of each Property Partnership
to comply, in all material respects with all Environmental Laws in each and every jurisdiction in which it operates now or in the future, and will comply or use its commercially reasonable efforts to cause compliance in all material respects with
all such Environmental Laws that may in the future be applicable to it and to the properties and assets owned, directly or indirectly, or managed by it, except that the Guarantor shall not be required to take any action which could reasonably be
expected to subject the Guarantor to general partner or other liability in respect of an affected Project or Property Partnership. 
  
 16. Fiscal Year. The Guarantor shall have a fiscal year ending on December 31 of each year, and shall not change such fiscal year without the
prior written consent of the Agent, unless a different fiscal year is required by the Code. 
  

 - 15 - 

 17. Restricted Payments. The Guarantor will not make any Restricted Payments of any kind to the
holders of any of its equity or their Affiliates if at the time of such Restricted Payments, with or without the making of such Restricted Payments, there shall exist or result a Default or Event of Default involving either (a) the payment of
money by the Borrower or a Guarantor, or (b) the breach of any of the covenants set forth in Section 20 of this Schedule 1. 
  
 18. Ownership; Control. Without the prior written approval of the Majority Banks under the Tax Credit Warehouse Agreement, which shall not be
unreasonably withheld, the Guarantor will not cause or permit any change in the ownership or Control of the Borrower or the Other Guarantors, or any MTE, except to the extent that (a) with respect to the Borrower or the Other Guarantors,
following such change the Guarantor retains Control (directly or indirectly) of the Borrower and the Other Guarantors, and (b) with respect to each MTE, the Release Conditions with respect to such MTE have been satisfied, and provided that, in
addition to the foregoing restrictions, the Guarantor shall cause MFH to continue to maintain MFH’s ownership and Control of MFH’s Subsidiaries other than MEC, MMA Capital Corporation, MMA Financial International, LLC and their respective
Subsidiaries. 
  
 19. Separate Credit Reliance. The
Guarantor acknowledges that the Agent and each of the Banks have entered into the transactions contemplated by this Guaranty, and accepted this Guaranty in reliance upon Borrower’s, each MTE’s, the Guarantor’s and the Other
Guarantors’ separate and distinct corporate existences and their separate and distinct operations, and, accordingly, the separate credit of Borrower, each MTE, the Guarantor and the Other Guarantors. 
  
 20. Financial Covenants. 
  
 (a) Unencumbered Liquidity. The Guarantor shall not
permit the Unencumbered Liquidity of the Guarantor to be less than the amount set forth on Exhibit B to this Schedule 1 at any time. 
  
 (b) Minimum Consolidated Tangible Net Worth. The Guarantor shall not permit the Consolidated Tangible Net Worth of the Guarantor to
be less than the amount set forth on Exhibit B to this Schedule 1 at any time. 
  
 (c) Consolidated Leverage Ratio. The Guarantor shall not permit the Consolidated Leverage Ratio of the Guarantor to be greater than
the ratio set forth on Exhibit B to this Schedule 1 at any time. 
  
 (d) Consolidated Senior Indebtedness to Consolidated Tangible Net Worth. The Guarantor shall not permit the ratio of Consolidated Senior Indebtedness of the Guarantor to Consolidated Tangible Net Worth of the
Guarantor to exceed the ratio set forth on Exhibit B to this Schedule 1 at any time. 
  
 (e) Consolidated Interest and Distribution Coverage Ratio. The Guarantor shall not permit the Consolidated Interest and
Distribution Coverage Ratio of the Guarantor to be less than the ratio set forth on Exhibit B to this Schedule 1 at any time. 
  

 - 16 - 

 21. Payments; Co-Fundings; Cash Management. 
  
 21.1. The Guarantor shall deposit, and cause the deposit by
the Borrower, each MTE, Property Partnership, Investment Partnership, Investor or other source of repayment, of all payments and repayments of Capital Contributions, Direct Investments and Convertible Loans, and all other Obligations of the
Borrower, directly into the appropriate Repayment Account, as applicable. To the extent that any such payments or repayments are received directly by the Guarantor, the same shall be delivered immediately to the Agent in the form received, duly
endorsed to the Agent, if necessary, for deposit into the appropriate Repayment Account, as applicable, and for application by the Agent to each of the Banks in accordance with the Tax Credit Warehouse Agreement. Until so delivered, the Guarantor
acknowledges that it holds such payments and repayments in trust for the benefit of the Agent on behalf of the Banks and shall keep such payments and repayments segregated from other funds and property of the Guarantor. The Guarantor shall deposit,
and cause the deposit of, all Co-Funding Amounts (other than those constituting Cash Collateral) into the applicable Disbursement Account. 
  
 21.2. The Guarantor shall continue to maintain a cash management system and a web-based fixed income trading system, each of which shall
be reasonably acceptable to the Agent and the Banks. 
  
 22.
Warehouse Credit Facilities. The Tax Credit Warehouse Agreement and the credit facilities described therein shall constitute the sole and exclusive warehouse-type credit facility utilized by the Borrower, the Guarantor, the Other Guarantors
and their Affiliates in connection with the acquisition and syndication of low income housing tax credits under Section 42 of the Code, except as otherwise provided in the Tax Credit Warehouse Agreement. 
  
 23. Subordination Agreement. Guarantor shall cause any Subsidiary of
Guarantor not already a party to the Subordination Agreement that after the date of the Tax Credit Warehouse Agreement becomes owed any Indebtedness by TC. Corp. or MEC to (a) join in the Subordination Agreement by executing and delivering a
joinder agreement in form and substance satisfactory to the Agent, and (b) insert a legend on any note or instrument at any time evidencing such Indebtedness, indicating that such note or instrument is subject to the terms of the Subordination
Agreement, in each case prior to or simultaneously with the creation of such Indebtedness. 
  
 24. Definitions. As used in this Guaranty (including this Schedule 1), the following terms shall have the meanings set forth below: 
  
 “401(k) Plan” has the meaning set forth in Section 12 of Schedule 1 to this Guaranty.

  
 “Agent” has the meaning set forth in the
Recitals of this Guaranty. 
  
 “Approved Subordinate
Debt” means Indebtedness subject to the Subordination Agreement and any other Indebtedness which is unsecured and subordinated to payment of the Obligations in a manner acceptable to the Agent in its sole discretion. 
  
 “Attributable Indebtedness” means, on any date, (a) in
respect of any capital lease of the Guarantor, the capitalized amount thereof that would appear on a balance sheet of the Guarantor 

  

 - 17 - 

 
prepared as of such date in accordance with GAAP, and (b) in respect of any Synthetic Lease Obligation, the capitalized amount of the remaining lease
payments under the relevant lease that would appear on a balance sheet of the Guarantor prepared as of such date in accordance with GAAP if such lease were accounted for as a capital lease. 
  
 “Borrower” has the meaning set forth in the Recitals of this
Guaranty. 
  
 “Consolidated CAD” means, for any
period of determination, the cash available for distribution for such period, as determined in accordance with Guarantor’s policies and procedures for determining cash available for distribution (a) as reflected in its earnings packages
furnished to the SEC as supporting documentation for the financial information contained in its periodic filings on Form 10-K or Form 10-Q or any relevant filings on Form 8-K or (b) as otherwise made available to Guarantor’s investors and
research analysts from time to time. 
  
 “Consolidated
Debt” means the total liabilities minus deferred taxes of Guarantor and its Subsidiaries, all as determined on a consolidated basis in accordance with GAAP, excluding any liabilities of Guarantor and its Subsidiaries existing solely as a
result of the application of FIN46. 
  
 “Consolidated
Interest Charges and Distributions” means, for any period, for the Guarantor and its Subsidiaries on a consolidated basis, the sum of (a) all interest, premium payments, debt discounts, fees, charges and related expenses of the
Guarantor and its Subsidiaries in connection with borrowed money (including capitalized interest) or in connection with the deferred purchase price of assets, in each case to the extent treated as interest in accordance with GAAP, (b) the
portion of rent expense of the Guarantor and its Subsidiaries with respect to such period under capital leases that is treated as interest in accordance with GAAP, and (c) Restricted Payments made with respect to the preferred shares of
Guarantor and its Subsidiaries provided, that there shall be excluded any interest which would otherwise have been included herein solely as a result of the application of FIN 46. 
  
 “Consolidated Interest and Distributions Coverage Ratio” means, as of any date of determination, the ratio
of (a) Consolidated CAD for the four fiscal quarters most recently ended for which the Guarantor has delivered or should have delivered financial statements pursuant to Section 4.1 of this Schedule 1, plus Consolidated Interest
Charges and Distributions for such period to (b) Consolidated Interest Charges and Distributions for such period. 
  
 “Consolidated Leverage Ratio” means, as of any date of determination, the ratio of (a) Consolidated Debt as of such date to
(b) Consolidated Tangible Net Worth as of such date. 
  
 “Consolidated Senior Indebtedness” means, as of any date of determination, the aggregate amount of the following liabilities which would be shown on the consolidated balance sheet of the Guarantor and its Subsidiaries
prepared in accordance with GAAP: (a) the outstanding principal amount of all obligations, whether current or long term, for borrowed money (including Obligations hereunder) and all obligations evidenced by bonds, debentures, notes, loan
agreements or other similar instruments, (b) all purchase money Indebtedness, (c) all obligations in respect of the deferred purchase price of property or services (other than trade accounts payable in the ordinary course of business),
(d) Attributable Indebtedness in respect of 

  

 - 18 - 

 
capital leases and Synthetic Lease Obligations, and (e) all Indebtedness of the types referred to in clauses (a) through (d) above of any
partnership or joint venture (other than a joint venture that is itself a corporation or limited liability company) in which the Guarantor or a Subsidiary is a general partner or joint venturer, unless such Indebtedness is expressly made
non-recourse to the Borrowers or such Subsidiary, excluding, however (i) Approved Subordinate Debt and (ii) any such Indebtedness which exists solely as a result of the application of FIN 46. 
  
 “Consolidated Tangible Net Worth” means, as of any date of
determination, for the Guarantor and its Subsidiaries on a consolidated basis, Shareholders’ Equity of the Guarantor and its Subsidiaries on that date minus the Intangible Assets of the Guarantor and its Subsidiaries on that date, provided,
that the determination of Consolidated Tangible Net Worth shall be adjusted to exclude the effect of FIN 46. 
  
 “Contingent Obligation” means, as to the Guarantor, (a) any obligation, contingent or otherwise, of the Guarantor guaranteeing or
having the economic effect of guaranteeing any Indebtedness or other obligation payable or performable by another Person (the “primary obligor”) in any manner, whether directly or indirectly, and including any obligation of the Guarantor,
direct or indirect, (i) to purchase or pay (or advance or supply funds for the purchase or payment of) such Indebtedness or other obligation, (ii) to purchase or lease property, securities or services for the purpose of assuring the
obligee in respect of such Indebtedness or other obligation of the payment or performance of such Indebtedness or other obligation, (iii) to maintain working capital, equity capital or any other financial statement condition or liquidity or
level of income or cash flow of the primary obligor so as to enable the primary obligor to pay such Indebtedness or other obligation, or (iv) entered into for the purpose of assuring in any other manner the obligee in respect of such
Indebtedness or other obligation of the payment or performance thereof or to protect such obligee against loss in respect thereof (in whole or in part), or (b) any Encumbrance on any assets of the Guarantor securing any Indebtedness or other
obligation of any other Person, whether or not such Indebtedness or other obligation is assumed by the Guarantor. The amount of any Contingent Obligation shall be deemed to be an amount equal to the stated or determinable amount of the related
primary obligation, or portion thereof, in respect of which such Contingent Obligation is made or, if not stated or determinable, the maximum reasonably anticipated liability in respect thereof as determined by the guaranteeing Person in good faith.

  
 “Filing Requirement” has the meaning set
forth in Section 12 of Schedule 1 to this Guaranty. 
  
 “FIN 46” means the Interpretation of Accounting Research Bulletin no. 51, Consolidated Financial Statements, promulgated by the Financial Accounting Standards Board, as the same may be restated, modified or changed from
time to time. 
  
 “GAAP” means generally accepted
accounting principles and practices in the United States of America and as set forth in the opinions and pronouncements of the Accounting Principles Board of the American Institute of Certified Public Accountants and statements and pronouncements of
the Financial Accounting Standards Board or in such other statements by such other entity as may be approved by a significant segment of the accounting profession. GAAP shall be consistently applied from one accounting period to another. 

 

 - 19 - 

 “Guarantor” has the meaning set forth in the Recitals of this Guaranty. 
  
 “Guaranty Collateral” has the meaning set forth in
Section 7 of this Guaranty. 
  
 “Indebtedness” means, as to the Guarantor at a particular time, without duplication, all of the following, whether or not included as indebtedness or liabilities in accordance with GAAP: 
  
 (a) all obligations of the Guarantor for borrowed money and
all obligations of the Guarantor evidenced by bonds, debentures, notes, loan agreements or other similar instruments; 
  
 (b) all direct or contingent obligations of the Guarantor arising under letters of credit (including standby and commercial),
bankers’ acceptances, bank guaranties, surety bonds and similar instruments; 
  
 (c) net obligations of the Guarantor under any Swap Contract; 
  
 (d) all obligations of the Guarantor to pay the deferred purchase price of property or services (other than
trade accounts payable in the ordinary course of business); 
  
 (e) indebtedness (excluding prepaid interest thereon) secured by an Encumbrance on property owned or being purchased by the Guarantor (including indebtedness arising under conditional sales or other title retention
agreements), whether or not such indebtedness shall have been assumed by the Guarantor or is limited in recourse; 
  
 (f) capital leases and Synthetic Lease Obligations; and 
  
 (g) all Contingent Obligations of the Guarantor in respect of any of the foregoing. 
  
 For all purposes hereof, the Indebtedness of the Guarantor shall include the Indebtedness of
any partnership or joint venture (other than a joint venture that is itself a corporation or limited liability company) in which the Guarantor is a general partner or a joint venturer, unless such Indebtedness is expressly made non-recourse to the
Guarantor. The amount of any net obligation under any Swap Contract on any date shall be deemed to be the Swap Termination Value thereof as of such date. The amount of any capital lease or Synthetic Lease Obligation as of any date shall be deemed to
be the amount of Attributable Indebtedness in respect thereof as of such date. 
  
 “Intangible Assets” means assets that are considered to be intangible assets under GAAP, including customer lists, goodwill, computer software, copyrights, trade names, trademarks, patents,
franchises, licenses, unamortized deferred charges, and unamortized debt discount. 
  
 “Obligations” has the meaning set forth in Section 1 of this Guaranty. 
  
 “Other Guarantors” has the meaning set forth in Section 5 of this Guaranty. 
  
 “Other Guaranty” has the meaning set forth in
Section 5 of this Guaranty. 
  

 - 20 - 

 “Restricted Payment” means any dividend or other distribution (whether in cash,
securities or other property) with respect to any capital stock or other equity interest of the Guarantor or any of the Guarantor’s Subsidiaries, or any payment (whether in cash, securities or other property), including any sinking fund or
similar deposit, on account of the purchase, redemption, retirement, acquisition, cancellation or termination of any such capital stock or other equity interest or of any option, warrant or other right to acquire any such capital stock or other
equity interest. 
  
 “Shareholders’ Equity”
means consolidated shareholders’ equity of the Guarantor and its Subsidiaries as of the date of determination computed in accordance with GAAP. 
  
 “Subordinated Debt” has the meaning set forth in Section 13 of this Guaranty. 
  
 “Swap Contract” means (a) any and all rate swap
transactions, basis swaps, credit derivative transactions, forward rate transactions, commodity swaps, commodity options, forward commodity contracts, equity or equity index swaps or options, bond or bond price or bond index swaps or options or
forward bond or forward bond price or forward bond index transactions, interest rate options, forward foreign exchange transactions, cap transactions, floor transactions, collar transactions, currency swap transactions, cross-currency rate swap
transactions, currency options, spot contracts, or any other similar transactions or any combination of any of the foregoing (including any options to enter into any of the foregoing), whether or not any such transaction is governed by or subject to
any master agreement, and (b) any and all transactions of any kind, and the related confirmations, which are subject to the terms and conditions of, or governed by, any form of master agreement published by the International Swaps and
Derivatives Association, Inc., any International Foreign Exchange Master Agreement, or any other master agreement (any such master agreement, together with any related schedules, a “Master Agreement”), including any such obligations
or liabilities under any Master Agreement. 
  
 “Swap
Termination Value” means, in respect of any one or more Swap Contracts, after taking into account the effect of any legally enforceable netting agreement relating to such Swap Contracts, (a) for any date on or after the date such Swap
Contracts have been closed out and termination value(s) determined in accordance therewith, such termination value(s), and (b) for any date prior to the date referenced in clause (a), the amount(s) determined as the mark-to-market value(s) for
such Swap Contracts, as determined based upon one or more mid-market or other readily available quotations provided by any recognized dealer in such Swap Contracts (which may include a Bank or any Affiliate of a Bank). 
  
 “Synthetic Lease Obligation” means the monetary obligation
of the Guarantor under (a) a so-called synthetic, off-balance sheet or tax retention lease, or (b) an agreement for the use or possession of property creating obligations that do not appear on the balance sheet of the Guarantor but which,
upon the insolvency or bankruptcy of the Guarantor, would be characterized as the indebtedness of the Guarantor (without regard to accounting treatment). 
  
 “Tax Credit Warehouse Agreement” has the meaning set forth in the Recitals to this Guaranty. 
  

 - 21 - 

 “Unencumbered Liquidity” means, as of any date of determination, the aggregate market
value of the following assets owned by the Guarantor and which are neither (i) the subject of any Encumbrance nor (ii) being held for the benefit of third parties or otherwise restricted: 
  
 (a) cash, and obligations issued or guaranteed by the United
States of America, 
  
 (b) marketable direct
obligations issued or guaranteed by the Guarantor controlled or supervised by and acting as an agency or instrumentality of the United States of America pursuant to authority granted by the Congress of the United States, and maturing within one year
of the date of acquisition thereof, 
  
 (c)
certificates of deposit issued, or banker’s acceptances drawn on and accepted by, or money market accounts or time deposits in, commercial banks which are members of the Federal Deposit Insurance Corporation and which have a combined capital,
surplus and undistributed profits of at least $50,000,000, and maturing within one year of the date of acquisition thereof, 
  
 (d) repurchase agreements maturing within one year of the date of acquisition thereof with any such commercial bank, or with
broker-dealers or other institutions, that are secured by marketable direct obligations issued or guaranteed by the United States of America or an agency or instrumentality thereof, 
  
 (e) other money market instruments and mutual funds, substantially all of the assets of which are invested
in any or all of the investments described in clauses (a) through (d) above, and 
  
 (f) commercial paper (other than commercial paper issued by the Guarantor or any of its Affiliates), maturing no more than ninety
(90) days after the date of creation thereof, and with a rating of at least P-1 by Moody’s or A-1 by S&P on the date of acquisition (the value of which shall be determined in accordance with generally accepted accounting principles).

  

 - 22 - 

 EXHIBIT A TO SCHEDULE 1 TO GUARANTY: COMPLIANCE CERTIFICATE 
  
 COMPLIANCE CERTIFICATE 
  

	To:	Bank of America, N.A., as Agent 

  
 Ladies and Gentlemen: 
  
 Reference is made to that certain Guaranty dated as of November 4, 2005 (as amended and/or restated from time to time, the
“Guaranty;” the terms defined therein being used herein as therein defined), by Municipal Mortgage & Equity LLC, as Guarantor (the “Guarantor”), in favor of Bank of America, N.A., as Agent, pursuant to which the
Guarantor has guaranteed payment and performance of the obligations of the Borrower under the Tax Credit Warehouse Agreement. 
  
 The undersigned hereby certifies as of the date hereof that he/she is
the                                       
                                 
                                        
                                     of the Guarantor, as
designated, and that, as such, he/she is authorized to execute and deliver this Compliance Certificate to the Agent and the Banks on the behalf of the Guarantor, and that: 
  
 [Use the following paragraph 1 for fiscal year-end financial statements] 
  
 1. Attached hereto are the year-end audited financial statements required by
Section 5(b) of Schedule 1 to the Guaranty for the fiscal year of the Guarantor ended as of             , 20__, together with the report and opinion of an independent
certified public accountant required by such section. Such financial statements fairly present the consolidated financial condition and results of operations of the Guarantor in accordance with GAAP as at such date and for such period. 

 
 [Use the following paragraph 1 for fiscal quarter-end financial
statements] 
  
 1. Attached hereto are the unaudited
financial statements required by Section 5(c) of Schedule 1 to the Guaranty for the fiscal quarter of the Guarantor ended as of             , 20__. Such financial
statements fairly present the consolidated financial condition and results of operations of the Guarantor in accordance with GAAP as at such date and for such period, subject only to normal year-end audit adjustments and the absence of footnotes.

  
 2. The undersigned has reviewed and is familiar with the terms
of the Guaranty and has made, or has caused to be made under his/her supervision, a detailed review of the transactions and condition (financial or otherwise) of the Guarantor during the accounting period covered by the attached financial
statements. 
  
 3. A review of the activities of the Guarantor
during such fiscal period has been made under the supervision of the undersigned with a view to determining whether during such fiscal period the Guarantor performed and observed all its obligations under the Guaranty, and 
  
 [select one:] 
  
 [to the best knowledge of the undersigned during such fiscal period, the
Guarantor performed and observed each covenant and condition of the Guaranty applicable to it.] 
  
 —or— 
  

 - 23 - 

 [the following covenants or conditions have not been performed or observed and the following is a list of
each such Default and its nature and status:] 
  
 4. The
representations and warranties of the Guarantor contained in the Guaranty, or which are contained in any document furnished at any time under or in connection with the Guaranty, are true and correct on and as of the date hereof, except to the extent
that such representations and warranties specifically refer to an earlier date, in which case they are true and correct as of such earlier date, and except that for purposes of this Compliance Certificate, the representations and warranties
referring to the Initial Financial Statements shall be deemed to refer to the most recent financial statements furnished pursuant to Sections 5(b) and 5(c) of Schedule 1 to the Guaranty, including the financial statements delivered in
connection with this Compliance Certificate. 
  
 5. The financial
covenant analyses and information set forth on Schedule A attached hereto are true and accurate on and as of the date of this Compliance Certificate. 
  
 6. To the extent that any financial statements or other information required to be submitted in connection with this Compliance Certificate are delivered
by the Guarantor electronically via access to the Guarantor’s website, as permitted pursuant to Section 5.3 of Schedule 1 to the Guaranty, then the Guarantor hereby represents and warrants that all such documents and information are
true, accurate and complete in all material respects. 
  
 IN
WITNESS WHEREOF, the undersigned has executed this Compliance Certificate as of
                                        .

  

			
	MUNICIPAL MORTGAGE & EQUITY, LLC
		
	 By:
	 	 
	 	 	(Signature)
		
	 	 	 
	 	 	(Printed Name and Title)

  

 - 24 - 

 SCHEDULE A to Compliance Certificate dated as of:
                             
  

					
	I.	 	 Unencumbered Liquidity.
	  	 
			
	A.	 	 Actual Unencumbered Liquidity:
	  	$_______________
			
	B.	 	 Minimum required Unencumbered Liquidity:
	  	$<[CONFIDENTIAL]>
			
	C.	 	 Excess (deficiency) for covenant compliance (Line I.A – I.B):
	  	$_______________
			
	II.	 	 Consolidated Tangible Net Worth.
	  	 
			
	A.	 	 Actual Consolidated Tangible Net Worth:
	  	 
			
	1.	 	 Shareholders’ Equity:
	  	$_______________
			
	2.	 	 Intangible Assets:
	  	$_______________
			
	3.	 	 Consolidated Tangible Net Worth (Line II.A.1 less Line II.A.2):
	  	$_______________
			
	B.	 	 Minimum required Consolidated Tangible Net Worth:
	  	$<[CONFIDENTIAL]>
			
	C.	 	 Excess (deficiency) for covenant compliance (Line II.A–II.B):
	  	$_______________
			
	III.	 	 Consolidated Leverage Ratio.
	  	 
			
	A.	 	 Consolidated Debt:
	  	$_______________
			
	B.	 	 Consolidated Tangible Net Worth (Line II.A.3 above):
	  	________________
			
	C.	 	 Consolidated Leverage Ratio (Line III.A to Line III.B):
	  	                           to 1
			
	D.	 	 Maximum Consolidated Leverage Ratio:
	  	<[CONFIDENTIAL]>
			
	IV.	 	 Consolidated Senior Indebtedness to Tangible Net Worth
	  	 
			
	A.	 	 Consolidated Senior Indebtedness:
	  	$_______________
			
	B.	 	 Consolidated Tangible Net Worth (Line II.A.3 above):
	  	$_______________
			
	C.	 	Consolidated Senior Indebtedness to Consolidated Tangible Net Worth (Line IV.A to Line IV.B):	  	$_______________
			
	D.	 	 Maximum Consolidated Senior Indebtedness to Consolidated Tangible Net Worth:
	  	<[CONFIDENTIAL]>
			
	V.	 	 Consolidated Interest and Distribution Coverage Ratio.
	  	 
			
	A.	 	 Consolidated CAD:
	  	$_______________
			
	B.	 	 Consolidated Interest Charges and Distributions:
	  	$_______________
			
	C.	 	 Consolidated Interest and Distribution Coverage Ratio (Line V.A. plus Line V.B to Line V.B):
	  	                           to 1
			
	D.	 	 Minimum Consolidated Interest and Distribution Coverage Ratio
	  	<[CONFIDENTIAL]>
			
	E.	 	Amount of Restricted Payments to holders of preferred shares included in the above calculation:	  	$_______________

  

	*	The term “<[CONFIDENTIAL]>” indicates material that has been omitted and for which confidential treatment has been requested. All such omitted material has
been filed with the Securities and Exchange Commission pursuant to Rule 24b-2 under the Securities Exchange Act of 1934, as amended. 

  

 - 25 - 

 EXHIBIT B TO SCHEDULE 1 TO GUARANTY: FINANCIAL COVENANTS 
  
 The amounts and ratios to be used with respect to the financial covenants of
Guarantor set forth in Section 20 of Schedule 1 to the Guaranty shall be as follows: 
  

	 	1.	Minimum Unencumbered Liquidity: $<[CONFIDENTIAL]> 

  

	 	2.	Minimum Consolidated Tangible Net Worth: $<[CONFIDENTIAL]>. 

  

	 	3.	Maximum Consolidated Leverage Ratio: <[CONFIDENTIAL]> 

  

	 	4.	Maximum Consolidated Senior Indebtedness to Consolidated Tangible Net Worth: <[CONFIDENTIAL]>. 

  

	 	5.	Minimum Consolidated Interest and Distribution Coverage Ratio: <[CONFIDENTIAL]>. 

  

	*	The term “<[CONFIDENTIAL]>” indicates material that has been omitted and for which confidential treatment has been requested. All such omitted material has
been filed with the Securities and Exchange Commission pursuant to Rule 24b-2 under the Securities Exchange Act of 1934, as amended.Exhibit 10.8

 Exhibit 10.8 
  
 MUNICIPAL MORTGAGE AND EQUITY, L.L.C. 
 1998 SHARE INCENTIVE PLAN 
  
 1. Purpose. The purpose of this 1998 Share Incentive Plan (the “Plan”) of Municipal Mortgage and Equity, L.L.C., a Delaware limited liability company (the “Company”), is to advance the interests of the Company and its
shareholders by providing a means to attract, retain, and reward executive officers and other key individuals of the Company and its subsidiaries, to link compensation to measures of the Company’s performance in order to provide additional
share-based incentives to such individuals for the creation of shareholder value, and to promote ownership of a greater proprietary interest in the Company, thereby aligning such individuals’ interests more closely with the interests of
shareholders of the Company. 
  
 2. Definitions. The definitions
of awards under the Plan, including Options, SARs (including Limited SARs), Restricted Shares, Deferred Shares, and Shares granted as a bonus or in lieu of other awards are set forth in Section 6 of the Plan. Such awards, together with any other
right or interest granted to a Participant under the Plan, are termed “Awards.” The definitions of terms relating to a Change in Control of the Company are set forth in Section 8 of the Plan. In addition to such terms and the terms defined
in Section 1, the following are defined terms under the Plan: 
  
 (a) “Award Agreement” means any written agreement, contract, notice to a Participant, or other instrument or document evidencing an Award. 
  
 (b) “Beneficiary” means the person, persons, trust, or trusts which have been designated by a Participant in his or her most recent written
beneficiary designation filed with the Committee to receive the benefits specified under this Plan upon such Participant’s death. If, upon a Participant’s death, there is no designated Beneficiary or surviving designated Beneficiary, then
the term Beneficiary means the Participant’s estate. 
  
 (c)
“Board” means the Board of Directors of the Company. 
  
 (d) “Code” means the Internal Revenue Code of 1986, as amended from time to time. References to any provision of the Code include regulations thereunder and successor provisions and regulations thereto. 
  
 (e) “Committee” means the Share Incentive Committee, or such other
Board committee as may be designated by the Board to administer the Plan. 
  
 (f) “Exchange Act” means the Securities Exchange Act of 1934, as amended from time to time. References to any provision of the Exchange Act include rules thereunder and successor provisions and rules
thereto. 
  
 (g) “Fair Market Value” means, with respect
to Shares, Awards, or other property, the fair market value of such Shares, Awards, or other property determined by such methods or procedures as shall be established from time to time by the Committee. Unless otherwise determined by the Committee,
the Fair Market Value of a Share means, as of any given date, the closing sales price of a Share reported in the table entitled “American Stock Exchange Composite Transactions” contained in The Wall Street Journal (or an equivalent
successor table) for such date or, if no such closing sales price was reported for such date, for the most recent trading day prior to such date for which a closing sales price was reported. 
  
 (h) “Participant” means a person who, as an executive officer, key
employee or key independent contractor of the Company or a subsidiary, has been granted an Award under the Plan which remains outstanding. 
  
 (i) “Rule 16b-3” means Rule 16b-3, as from time to time in effect and applicable to the Plan and Participants, promulgated by the Securities and
Exchange Commission under Section 16 of the Exchange Act. 
  
 (j) “Share” means a Growth Share of the Company and such other securities as may be substituted for such Share or such other securities pursuant to Section 4. 
  
 3. Administration. 
  
 (a) Authority of the Committee. The Plan shall be administered by the Committee. The Committee shall have full and final authority to take the following
actions, in each case subject to and consistent with the provisions of the Plan: 
  
 (i) to select Participants to whom Awards may be granted; 
  
 (ii) to determine the type or types of Awards to be granted to each Participant; 

 (iii) to determine the number of Awards to be granted, the number of Shares to which an
Award will relate, the terms and conditions of any Award granted under the Plan (including, but not limited to, any exercise price, grant price, or purchase price, any restriction or condition, any schedule or performance conditions for the lapse of
restrictions or conditions relating to transferability, forfeiture, exercisability, or settlement of an Award, and waivers, accelerations, or modifications thereof, based in each case on such considerations as the Committee shall determine), and all
other matters to be determined in connection with an Award; 
  
 (iv) to determine whether, to what extent, and under what circumstances an Award may be settled, or the exercise price of an Award may be paid, in cash, Shares, other Awards, or other property, or an Award may be
canceled, forfeited, or surrendered; 
  
 (v) to
determine whether, to what extent, and under what circumstances cash, Shares, other Awards, or other property payable with respect to an Award will be deferred either automatically, at the election of the Committee, or at the election of the
Participant; 
  
 (vi) to prescribe the form of
each Award Agreement, which need not be identical for each Participant; 
  
 (vii) to adopt, amend, suspend, waive, and rescind such rules and regulations and appoint such agents as the Committee may deem necessary or advisable to administer the Plan; 
  
 (viii) to correct any defect or supply appropriate text for
any omission or reconcile any inconsistency in the Plan and to construe and interpret the Plan and any Award, rules and regulations, Award Agreement, or other instrument hereunder; and 
  
 (ix) to make all other decisions and determinations as may be required under the terms of the Plan or as the
Committee may deem necessary or advisable for the administration of the Plan. 
  
 (b) Manner of Exercise of Committee Authority. Unless authority is specifically reserved to the Board under the terms of the Plan, the Company’s Amended and Restated Certificate of Formation and Operating
Agreement, or applicable law, the Committee shall have discretion to exercise authority under the Plan. Any action of the Committee with respect to the Plan shall be final, conclusive, and binding on all persons, including the Company, subsidiaries
of the Company, Participants, any person claiming any rights under the Plan from or through any Participant, and Shareholders. The express grant of any specific power to the Committee, and the taking of any action by the Committee, shall not be
construed as limiting any power or authority of the Committee. To the extent permitted by applicable law, the Committee may delegate to officers or employees of the Company or any subsidiary the authority, subject to such terms as the Committee
shall determine, (i) to perform administrative functions, (ii) with respect to Participants not subject to Section 16 of the Exchange Act, to perform such other functions of the Committee as the Committee may determine, and (iii) with
respect to Participants subject to Section 16, to perform such other functions of the Committee as the Committee may determine to the extent performance of such functions will not result in the loss of an exemption under Rule 16b-3 otherwise
available for transactions by such persons. 
  
 (c) Limitation of
Liability. Each member of the Committee shall be entitled to, in good faith, rely or act upon any report or other information furnished to him by any officer or other employee of the Company or any subsidiary, the Company’s independent
certified public accountants, or any executive compensation consultant, legal counsel, or other professional retained by the Company to assist in the administration of the Plan. No member of the Committee, nor any officer or employee of the Company
acting on behalf of the Committee, shall be personally liable for any action, determination, or interpretation taken or made in good faith with respect to the Plan, and all members of the Committee and any officer or employee of the Company acting
on behalf of the Committee or members thereof shall, to the extent permitted by law, be fully indemnified and protected by the Company with respect to any such action, determination, or interpretation. 
  
 4. Shares Available Under Plan; Individual Award Limitations; Adjustments.

  
 (a) Shares Reserved for Awards. Subject to adjustment as
hereinafter provided, the total number of Shares reserved and available for issuance to Participants in connection with Awards under the Plan shall be 839,000 Shares; provided, however, that the number of Shares issued as Restricted Shares shall not
exceed 20% of such total; the number of Shares issued as Awards other than Options (including Restricted Shares) shall not exceed 40% of such total; and the number of Shares with respect to which Awards 

 
of Options and SARs may be granted to any Participant shall not exceed 400,000 during any 12 month period. No Award may be granted if the number of Shares to
which such Award relates, when added to the number of Shares to which other then-outstanding Awards relate, exceeds an applicable limitation on the number of Shares then remaining available for issuance under this Section 4. If all or any
portion of an Award is forfeited, settled in cash, or terminated without issuance of Shares to the Participant, the Shares to which such Award or portion thereof related shall again be available for Awards under the Plan, and such Award or portion
thereof shall not count against the percentage limitations applicable to Restricted Shares and Awards other than Options; provided, however, that Shares withheld in payment of the exercise price of any Option or withholding taxes relating to any
Award and Shares equal to the number of Shares surrendered in payment of the exercise price of any Option or withholding taxes relating to any Award shall, for purposes of this provision, be deemed not to have been issued to the Participant in
connection with such Awards under the Plan. The Committee may adopt procedures for the counting of Shares relating to any Award to ensure appropriate counting and avoid double counting (in the case of tandem or substitute awards). Any Shares issued
pursuant to an Award may consist, in whole or in part, of authorized and unissued Shares, treasury Shares, or Shares acquired in the market for the account of the Participant (which treasury Shares or acquired Shares will be deemed to have been
“issued” pursuant to such Award). 
  
 (b) Adjustments.
In the event that the Committee shall determine that any recapitalization, reorganization, merger, consolidation, spin-off, combination, repurchase, exchange of Shares or other securities of the Company, stock split or reverse split, extraordinary
dividend (whether in the form of cash, Shares, or other property), liquidation, dissolution, or other similar corporate transaction or event affects the Shares such that an adjustment is appropriate in order to prevent dilution or enlargement of
each Participant’s rights under the Plan, then the Committee shall, in such manner as it may deem equitable, adjust any or all of (i) the number and kind of Shares remaining reserved and available for issuance under Section 4(a), (ii)
the number and kind of outstanding Restricted Shares or Restricted Shares relating to any other outstanding Award in connection with which Restricted Shares may be issued, (iii) the number and kind of Shares that may be issued in respect of
other outstanding Awards, and (iv) the exercise price or grant price relating to any Award (or, if deemed appropriate, the Committee may make provision for a cash payment with respect to any outstanding Award). In addition, the Committee is
authorized to make adjustments in the terms and conditions of, and the criteria included in, Awards in recognition of unusual or nonrecurring events (including, without limitation, events described in the preceding sentence) affecting the Company or
any subsidiary or the financial statements of the Company or any subsidiary, or in response to changes in applicable laws, regulations, or accounting principles. 
  
 5. Eligibility. Executive officers, other key employees and other key independent contractors of the Company and its
subsidiaries, including any director who is also an executive officer or employee, are eligible to be granted Awards under the Plan; provided, however, that members of the Committee are not eligible to be granted Awards under the Plan. 

 
 6. Specific Terms of Awards. 
  
 (a) General. Awards may be granted on the terms and conditions set forth in
this Section 6. In addition, the Committee may impose on any Award or the exercise thereof, at the date of grant or thereafter (subject to Section 9(f)), such additional terms and conditions, not inconsistent with the provisions of the Plan, as
the Committee shall determine, including terms requiring forfeiture of Awards in the event of termination of employment by the Participant or upon the occurrence of other events. In addition, the Committee shall require, as the condition of the
issuance of Shares in connection with any Award, that consideration be received by the Company which meets the requirements of the Delaware Limited Liability Company Act. 
  
 (b) Options. The Committee is authorized to grant Options (which are not to be treated as incentive options under
Section 422 of the Code) to Participants (including “reload” options automatically granted upon the occurrence of specified exercises of options) on the following terms and conditions: 
  
 (i) Exercise Price. The exercise price per Share purchasable
under an Option shall be determined by the Committee without regard to the Fair Market Value of a Share on the date of grant of the Option. 
  
 (ii) Time and Method of Exercise. The Committee shall determine the time or times at which an Option may be exercised in whole or in part,
the methods by which such exercise price may be paid or deemed to be paid, the form of such payment, including, without limitation, cash, Shares, other Awards or awards granted under other Company plans, or other property (including notes or other
contractual obligations of Participants 

 
to make payment on a deferred basis, such as through “cashless exercise” arrangements, to the extent permitted by applicable law), and the methods
by which Shares will be delivered or deemed to be delivered to Participants. 
  
 (iii) Forfeiture. Except as otherwise determined by the Committee, upon termination of employment or contract during the applicable term of the Options, unexercised Options shall be forfeited and again be available
for Award by the Company; provided, however, that the Committee may provide, by rule or regulation or in any Award Agreement, or may determine in any individual case, that forfeiture conditions relating to the Options will be waived in whole or in
part in the event of terminations resulting from specified causes. 
  
 (iv) Dividend Equivalents. The Committee may provide that payments in the form of dividend equivalents will be credited in respect of an Option. The amount of the dividend equivalent shall be credited on the dividend
payment date in any of the following forms: in cash, or in unrestricted Shares having a Fair Market Value equal to the amount of such dividends, or in options to acquire additional shares under the Option at no cost based on the dividend payments,
or in a reduction of the exercise price of the Option. If the Committee provides for crediting dividend equivalents in the form of additional Options or Shares, such dividend equivalents must be approved by the Committee before such Options or
Shares can be credited to the Participant. 
  
 (c) Share
Appreciation Rights. The Committee is authorized to grant SARs to Participants on the following terms and conditions: 
  
 (i) Right to Payment. A SAR shall confer on the Participant to whom it is granted a right to receive, upon exercise thereof, the excess of
(A) the Fair Market Value of one Share on the date of exercise (or, if the Committee shall so determine, the Fair Market Value of one Share at any time during a specified period before or after the date of exercise), over (B) the grant
price of the SAR as determined by the Committee as of the date of grant of the SAR. 
  
 (ii) Other Terms. The Committee shall determine the time or times at which a SAR may be exercised in whole or in part, the method of
exercise, method of settlement, form of consideration payable in settlement, method by which Shares will be delivered or deemed to be delivered to Participants, whether or not a SAR shall be in tandem with any other Award, and any other terms and
conditions of any SAR. Limited SARs that may only be exercised upon the occurrence of a Change in Control (as such term is defined in Section 8(b) or as otherwise defined by the Committee) may be granted on such terms, not inconsistent with
this Section 6(c), as the Committee may determine. Such Limited SARs may be either freestanding or in tandem with other Awards. 
  
 (iii) Forfeiture. Except as otherwise determined by the Committee, upon termination of employment or contract during the applicable term
of the SARs, unexercised SARs shall be forfeited and again be available for Award by the Company; provided, however, that the Committee may provide, by rule or regulation or in any Award Agreement, or may determine in any individual case, that
forfeiture conditions relating to the SARs will be waived in whole or in part in the event of terminations resulting from specified causes. 
  
 (d) Restricted Shares. The Committee is authorized to grant Restricted Shares to Participants on the following terms and conditions: 
  
 (i) Grant and Restrictions. Restricted Shares shall be
subject to such restrictions on transferability and other restrictions, if any, as the Committee may impose, which restrictions may lapse separately or in combination at such times, under such circumstances, in such installments, or otherwise as the
Committee may determine. Except to the extent restricted under the terms of the Plan and any Award Agreement relating to the Restricted Shares, a Participant granted Restricted Shares shall have all of the rights of a shareholder including, without
limitation, the right to vote Restricted Shares and the right to receive dividends thereon. 
  
 (ii) Forfeiture. Except as otherwise determined by the Committee, upon termination of employment during the applicable restriction period,
Restricted Shares that are at that time subject to restrictions shall be forfeited and reacquired by the Company; provided, however, that the Committee may provide, by rule or regulation or in any Award Agreement, or may determine in any individual
case, that restrictions or forfeiture conditions relating to Restricted Shares will be waived in whole or in part in the event of terminations resulting from specified causes. 
  
 (iii) Certificates for Shares. Restricted Shares granted under the Plan may be evidenced in such manner as
the Committee shall determine. If certificates representing Restricted Shares are registered in the name of 

 
the Participant, such certificates shall bear an appropriate legend referring to the terms, conditions, and restrictions applicable to such Restricted
Shares, the Company may retain physical possession of the certificate, and the Participant shall have delivered a stock power to the Company, endorsed in blank, relating to the Restricted Shares. 
  
 (iv) Dividends and Distributions. Dividends paid on
Restricted Shares shall be either paid at the dividend payment date in the form the dividends are paid to other shareholders, in cash, or in unrestricted Shares having a Fair Market Value equal to the amount of such dividends, or the payment of such
dividends shall be deferred and/or the amount or value thereof automatically reinvested in additional Restricted Shares, other Awards, or other investment vehicles, as the Committee shall determine or permit the Participant to elect. Shares
distributed in connection with a Share split or Share dividend, and other property distributed as a dividend, shall be subject to restrictions and a risk of forfeiture to the same extent as the Restricted Shares with respect to which such Shares or
other property are distributed. 
  
 (e) Deferred Shares. The
Committee is authorized to grant Deferred Shares to Participants, subject to the following terms and conditions: 
  
 (i) Award and Restrictions. Issuance of Shares will occur upon expiration of the deferral period specified for an Award of Deferred Shares
by the Committee (or, if permitted by the Committee, as elected by the Participant). In addition, Deferred Shares shall be subject to such restrictions as the Committee may impose, if any, which restrictions may lapse at the expiration of the
deferral period or at earlier specified times, separately or in combination, under such circumstances, in such installments, or otherwise as the Committee may determine. 
  
 (ii) Forfeiture. Except as otherwise determined by the Committee, upon termination of employment during the
applicable deferral period or portion thereof to which forfeiture conditions apply (as provided in the Award Agreement evidencing the Deferred Shares), all Deferred Shares that are at that time subject to such risk of forfeiture shall be forfeited;
provided, however, that the Committee may provide, by rule or regulation or in any Award Agreement, or may determine in any individual case, that restrictions or forfeiture conditions relating to Deferred Shares will be waived in whole or in part in
the event of terminations resulting from specified causes. 
  
 (iii) Dividend Equivalents. The Committee may provide that payments in the form of dividend equivalents will be credited in respect of Deferred Shares, which amounts may be paid or distributed when accrued or deemed
reinvested in additional Deferred Shares. 
  
 (f) Bonus Shares and
Awards in Lieu of Cash Obligations. The Committee is authorized to grant Shares as a bonus, or to grant Shares or other Awards in lieu of Company obligations to pay cash under other plans or compensatory arrangements; provided, however, that, in the
case of Participants subject to Section 16 of the Exchange Act, the amount of such Shares or Awards shall be determined by the Committee in a manner conforming to then-applicable requirements of Rule 16b-3. Shares or Awards granted hereunder
shall be subject to such other terms as shall be determined by the Committee. 
  
 7. Certain Provisions Applicable to Awards. 
  
 (a) Stand-Alone, Additional, Tandem, and Substitute Awards. Awards granted under the Plan may, in the discretion of the Committee, be granted either alone or in addition to, in tandem with, or in substitution for, any
other Award granted under the Plan or any award granted under any other plan of the Company, any subsidiary, or any business entity to be acquired by the Company or a subsidiary, or any other right of a Participant to receive payment from the
Company or any subsidiary. Awards granted in addition to or in tandem with other Awards or awards may be granted either as of the same time as or a different time from the grant of such other Awards or awards. The per Share exercise price of any
Option, grant price of any SAR, or purchase price of any other Award conferring a right to purchase Shares granted in substitution for an outstanding Award or award may be adjusted to reflect the in-the-money value of the surrendered Award or award.

  
 (b) Term of Awards. The term of each Award shall be for such
period as may be determined by the Committee. 
  
 (c) Form of
Payment Under Awards. Subject to the terms of the Plan and any applicable Award Agreement, payments to be made by the Company or a subsidiary upon the grant or exercise of an Award may be made in such forms as the Committee shall determine,
including, without limitation, cash, Shares, other Awards, or other property, and may be made in a single payment or transfer, in installments, or on a deferred basis. Such payments may include, without limitation, provisions for the payment or
crediting of 

 
reasonable interest on installment or deferred payments or the grant or crediting of dividend equivalents in respect of installment or deferred payments
denominated in Shares. 
  
 (d) Rule 16b-3 Compliance. It is the
intent of the Company that this Plan comply in all respects with applicable provisions of Rule 16b-3 in connection with any grant of Awards to or other transaction by a Participant who is subject to Section 16 of the Exchange Act (except for
transactions exempted under alternative Exchange Act Rules or acknowledged in writing to be non-exempt by such Participant). Accordingly, if, at such time, any provision of this Plan or any Award Agreement relating to an Award does not comply with
the requirements of Rule 16b-3 as then applicable to any such transaction, such provision will be construed or deemed amended to the extent necessary to conform to the applicable requirements of Rule 16b-3 so that such Participant shall avoid
liability under Section 16(b). 
  
 (e) Loan Provisions. With
the consent of the Committee, and subject at all times to, and only to the extent, if any, permitted under and in accordance with, laws and regulations and other binding obligations or provisions applicable to the Company, the Company may make,
guarantee, or arrange for a loan or loans to a Participant with respect to the exercise of any Option or other payment in connection with any Award, including the payment by a Participant of any or all federal, state, or local income or other taxes
due in connection with any Award. Subject to such limitations, the committee shall have full authority to decide whether to make a loan or loans hereunder and to determine the amount, terms, and provisions of any such loan or loans, including the
interest rate to be charged in respect of any such loan or loans, whether the loan or loans are to be with or without recourse against the borrower, the terms on which the loan is to be repaid and conditions, if any, under which the loan or loans
may be forgiven. 
  
 8. Change in Control Provisions. 

 
 (a) In the event of a “Change in Control,” as defined in this
Section, the following acceleration provisions shall apply: 
  
 (i) any Award carrying a right to exercise that was not previously exercisable and vested shall become fully exercisable and vested, subject only to the restrictions set forth in Sections 7(d) and 9(a); and

  
 (ii) the restrictions, deferral of
settlement, and forfeiture conditions applicable to any other Award granted under the Plan shall lapse and such Award shall be deemed fully vested, and any performance conditions imposed with respect to any Award shall be deemed to be fully
achieved, subject to the restrictions set forth in Sections 7(d) and 9(a). 
  
 (b) For purposes of the Plan, a “Change in Control” shall have occurred if, after consummation of the Transaction: 
  
 (i) Any “Person,” as such term is used in Sections 13(d) and 14(d) of the Exchange Act (other than the Company, a subsidiary,
any trustee or other fiduciary holding securities under an employee benefit plan of the Company or any corporation owned, directly or indirectly, by the shareholders of the Company in substantially the same proportions as their ownership of shares
of the Company), is or becomes the “beneficial owner” (as defined in Rule 13d-3 under the Exchange Act), directly or indirectly, of securities of the Company representing 25% or more of the combined voting power of the Company’s then
outstanding voting securities; 
  
 (ii) during
any period of two consecutive years, individuals who at the beginning of such period constitute the Board, and any new director (other than a director designated by a person who has entered into an agreement with the Company to effect a transaction
described in clause (i), (iii), or (iv) of this Section 8(b)) whose election by the Board or nomination for election by the Company’s shareholders was approved by a vote of at least two-thirds (2/3) of the directors then still in
office who either were directors at the beginning of the period or whose election or nomination for election was previously so approved, cease for any reason to constitute at least a majority thereof; 
  
 (iii) the shareholders of the Company approve a merger,
consolidation, recapitalization, or reorganization of the Company, or a reverse share split of any class of voting securities of the Company, or the consummation of any such transaction if shareholder approval is not obtained, other than any such
transaction which would result in at least 75% of the total voting power represented by the voting securities of the Company or the surviving entity outstanding immediately after such transaction being beneficially owned by persons who together
beneficially owned at least 75% of the combined voting power of the voting securities of the Company outstanding immediately prior to such transaction, with the relative voting power of each such continuing holder compared to the voting power of
each such continuing holder not substantially altered as a result of the transaction; provided that, for purposes of this paragraph 

 
(iii), such continuity of ownership (and preservation of relative voting power) shall be deemed to be satisfied if the failure to meet such 75% threshold (or
to substantially preserve such relative voting power) is due solely to the acquisition of voting securities by an employee benefit plan of the Company or such surviving entity or of any subsidiary of the Company or such surviving entity; or

  
 (iv) the shareholders of the Company approve
a plan of complete liquidation of the Company or an agreement for the sale or disposition by the Company of all or substantially all of the Company’s assets (or any transaction having a similar effect). 
  
 9. General Provisions. 
  
 (a) Compliance With Laws and Obligations. The Company will not be obligated
to issue or deliver Shares in connection with any Award or take any other action under the Plan in a transaction subject to the registration requirements of the Securities Act of 1933, as amended, or any other federal or state securities law, any
requirement under any listing agreement between the Company and any stock exchange or automated quotation system, or any other law, regulation, or contractual obligation of the Company, until the Company is satisfied that such laws, regulations, and
other obligations of the Company have been complied with in full. Certificates representing Shares issued under the Plan will be subject to such stop-transfer orders and other restrictions as may be applicable under such laws, regulations, and other
obligations of the Company, including any requirement that a legend or legends be placed thereon. 
  
 (b) Limitations on Transferability. Awards and other rights under the Plan will not be transferable by a Participant except by will or the laws of descent
and distribution (or to a designated Beneficiary in the event of the Participant’s death), and, if exercisable, shall be exercisable during the lifetime of a Participant only by such Participant or his or her guardian or legal representative;
provided, however, that such Awards and other rights may be transferred to one or more transferees during the lifetime of the Participant in connection with the Participant’s estate or tax planning, and such transferees may exercise rights
thereunder in accordance with the terms thereof, but only if and to the extent consistent with the registration of the offer and sale of Shares on Form S-8, Form S-3, or such other registration form of the Securities and Exchange Commission as may
then be filed and effective with respect to the Plan and permitted by the Committee. The Company may rely upon the beneficiary designation last filed in accordance with this Section 9(b). Awards and other rights under the Plan may not be pledged,
mortgaged, hypothecated, or otherwise encumbered by a Participant and shall not be subject to the claims of a Participant’s creditors. 
  
 (c) Taxes. The Company and any subsidiary is authorized to withhold from any Award granted or to be settled, any delivery of Shares in connection with an
Award, any other payment relating to an Award, or any payroll or other payment to a Participant amounts of withholding and other taxes due or potentially payable in connection with any transaction involving an Award, and to take such other action as
the Committee may deem advisable to enable the Company and Participants to satisfy obligations for the payment of withholding taxes and other tax obligations relating to any Award. This authority shall include authority to withhold or receive Shares
or other property and to make cash payments in respect thereof in satisfaction of a Participant’s tax obligations. 
  
 (d) No Right to Continued Employment; Leaves of Absence. Neither the Plan, any Award Agreement, or any action taken hereunder shall be construed as giving
any Participant the right to be retained in the employ or contract of the Company or any of its subsidiaries, nor shall it interfere in any way with the right of the Company or any of its subsidiaries to terminate any Participant’s employment
or contract at any time. Unless otherwise specified in the applicable Award Agreement, an approved leave of absence shall not be considered a termination of employment for purposes of an Award under the Plan. 
  
 (e) No Rights to Awards; No Shareholder Rights. No Participant or employee or
independent contractor shall have any claim to be granted any Award under the Plan, and there is no obligation for uniformity of treatment of Participants, employees or independent contractors. No Award shall confer on any Participant any of the
rights of a shareholder of the Company unless and until Shares are duly issued or transferred and delivered to the Participant in accordance with the terms of the Award or, in the case of an Option, the Option is duly exercised. 
  
 (f) Changes to the Plan and Awards. The Board may amend, alter, suspend,
discontinue, or terminate the Plan or the Committee’s authority to grant Awards under the Plan without the consent of shareholders or Participants, except that any amendment or alteration will be subject to the approval of the Company’s
shareholders at or before the next annual meeting of shareholders for which the record date is after the date of such Board 

 
action if such shareholder approval is required by any applicable federal or state law or regulation or the rules of any stock exchange or automated
quotation system on which Company securities may then be listed or quoted, and the Board may otherwise determine to submit other such amendments or alterations to shareholders for approval; provided, however, that, without the consent of an affected
Participant, no such action may materially impair the rights of such Participant with respect to any Award theretofore granted to him. The Committee may waive any conditions or rights under, or amend, alter, suspend, discontinue, or terminate, any
Award theretofore granted and any Award Agreement relating thereto; provided, however, that, without the consent of an affected Participant, no such action may materially impair the rights of such Participant under such Award. 
  
 (g) Unfunded Status of Awards; Creation of Trusts. The Plan is intended to
constitute an “unfunded” plan for incentive and deferred compensation. With respect to any payments not yet made to a Participant pursuant to an Award, nothing contained in the Plan or any Award shall give any such Participant any rights
that are greater than those of a general creditor of the Company; provided, however, that the Committee may authorize the creation of trusts or make other arrangements to meet the Company’s obligations under the Plan to deliver cash, Shares,
other Awards, or other property pursuant to any Award, which trusts or other arrangements shall be consistent with the “unfunded” status of the Plan unless the Committee otherwise determines with the consent of each affected Participant.

  
 (h) Nonexclusivity of the Plan. Neither the adoption of the
Plan by the Board nor its submission to the shareholders of the Company for approval shall be construed as creating any limitations on the power of the Board to adopt such other compensatory arrangements as it may deem desirable, including the
granting of awards otherwise than under the Plan, and such arrangements may be either applicable generally or only in specific cases. 
  
 (i) No Fractional Shares. No fractional Shares shall be issued or delivered pursuant to the Plan or any Award. The Committee shall determine whether cash,
other Awards, or other property shall be issued or paid in lieu of such fractional Shares or whether such fractional Shares or any rights thereto shall be forfeited or otherwise eliminated. 
  
 (j) Governing Law. The validity, construction, and effect of the Plan, any
rules and regulations under the Plan, and any Award Agreement will be determined in accordance with the Delaware Limited Liability Company Act and other laws (including those governing contracts) of the State of Delaware, without giving effect to
principles of conflicts of laws, and applicable federal law. 
  
 10. Shareholder Approval, Effective Date, and Plan Termination. The Plan will be effective upon June 18, 1998, subject to its approval by the shareholders of the Company. Unless earlier terminated by action of the Board, the Plan will
remain in effect until such time as no Shares remain available for issuance under the Plan and the Company and Participants have no further rights or obligations under the Plan. 
  
 As adopted by the Board of Directors: March 23, 1998.

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