Document:

evri_Ex10-11

		
			EXHIBIT 10.11
		

		
			 
		

		
			EXECUTION VERSION
		

		
			 
		

		
			 
		

		
			 
		

		
			CONTRACT CASH SOLUTIONS AGREEMENT
		

		
			 
		

		
			DATED AS OF NOVEMBER 12, 2010
		

		
			 
		

		
			BETWEEN
		

		
			 
		

		
			GLOBAL CASH ACCESS, INC.
		

		
			 
		

		
			AND
		

		
			 
		

		
			WELLS FARGO BANK, N. A.
		

		
			 
		

		
			
		

		
			

		 

		

			 

		

 

 
		

		
			This CONTRACT CASH SOLUTIONS AGREEMENT (this “Agreement”) is entered into as of November 12, 2010 (the “Effective Date”), by and between GLOBAL CASH ACCESS, INC. (“GCA” or “Client”), a Delaware corporation, with its principal office located at 3525 E. Post Road, Suite 120, Las Vegas, NV 89120 and WELLS FARGO BANK, N.A. (“Wells Fargo”), a national banking association organized and existing under the laws of the United States with an office located at 3800 Howard Hughes Parkway, Suite 400, Las Vegas NV 89169. Client and Wells Fargo may be referred to herein as a “Party,” or “Parties” when referring to both of them.
		

		
			 
		

		
			Recitals
		

		
			 
		

		
			1. Client, directly or through its affiliates, owns leases, operates, provides cash for or manages a network of automated teller machines and other similar types of devices that can dispense currency (collectively, “ATMs” or “Machines”).
		

		
			 
		

		
			2. The Machines that are subject to this Agreement (the “Covered Machines”) are listed in Exhibit A to this Agreement; as such exhibit may be amended from time to time pursuant to the terms of this Agreement.
		

		
			 
		

		
			3. Client may, from time to time, replace existing Machines with other Machines in accordance with the terms of this Agreement.
		

		
			 
		

		
			4. Subject to the terms of this Agreement, Wells Fargo desires (a) to provide the currency needed for the dispensing requirements of all of the Covered Machines (the “Contract Cash Services”) in the amounts to be specified by Client from time to time pursuant to the terms of this Agreement, and (b) to perform balancing and processing services (“Balancing and Processing Services”) (and collectively, the “Work”) for the Covered Machines.
		

		
			 
		

		
			5. Wells Fargo, through its vault network, Federal Reserve Bank vaults, and various third-party providers (each a “Cash Supplier”) will cause the Cash to be made available to the Armored Carriers for use in the Covered Machines, and Armored Carriers shall transport and replenish the Cash in the Covered Machines in accordance with this Agreement and the Armored Carrier Letter Agreements.
		

		
			 
		

		
			6. Client has entered into contracts with each of the persons and entities listed on Exhibit B as servicers (together with any successor or assign, individually, a “Servicer” and collectively, “Servicers”) to perform certain services in connection with the Covered Machines pursuant to separate agreements with Servicers (hereinafter referred to individually as a “Servicer Agreement” and collectively as the “Servicer Agreements”). In the event Client desires to add a new service provider to provide certain services in connection with one or more Covered Machines (other than dispensing change incidental to the service), Client may add such new service provider as a Servicer to Exhibit B by providing 30 days written notice to Wells Fargo and submitting an amended Exhibit B to Wells Fargo listing the new and current Servicers and an executed Servicer Letter for the new service provider.
		

		
			 
		

		
			7. Client has entered into, and will, with respect to future services, enter into prior to any Servicer providing any services, a letter agreement with each Servicer, in substantially the form attached hereto as Exhibit C (each, a “Servicer Letter”) by which the parties thereto acknowledge or will acknowledge their rights and obligations with respect to the Cash and Receivables (as defined therein) and the procedures for settlement of transactions involving the dispensing of Cash from Covered Machines.
		

		
			 
		

		
			8. Client has entered into contracts with one or more armored carriers (together with any successor or assign, and individually, “Armored Carrier” and collectively, “Armored Carriers”) for purposes, among other things, of delivering Cash to, and retrieving Cash from, the Covered Machines (collectively, the “Armored Carrier Contracts,” and individually, an “Armored Carrier Contract”) and has entered into a separate letter agreement in substantially the form attached hereto as Exhibit D with each Armored Carrier in connection with the Covered Machines among Client, Wells Fargo and Armored Carrier (individually, “Armored Carrier Letter Agreement” and collectively the “Armored Carrier Letter Agreements”).
		

		
			 
		

		
			9. Client may contract with one or more third-parties (together with any successor or assign, individually, a “Maintenance Provider,” and collectively, the “Maintenance Providers”) who in connection with its duties to maintain the Covered Machines, may have access to the Cash in the Covered Machines. Each such agreement with a Maintenance Provider shall be referred to individually herein as a “Maintenance Contract” and collectively, “Maintenance Contracts”. Client has entered into, and will, with respect to future Maintenance Providers, enter into a separate letter agreement with each Maintenance Provider in substantially the form attached hereto as Exhibit E (individually a “Maintenance Letter” and collectively, the “Maintenance Letters”).
		

		
			 
		

		
			Agreement
		

		
			 
		

		
			ACCORDINGLY, the Parties to this Agreement agree as follows:
		

		
			 
		

		
			I.     General.
		

		
			 
		

		
			A.   Inconsistencies; Incorporation of Recitals. In the case of inconsistencies between this Agreement and any other agreements between Wells Fargo and Client that deal with the subject matter of this Agreement (including Wells Fargo account 
		

		
			 
		

		
			 
		

		
			

		 

		

			 

		

 

 
		

		
			agreements), the terms of this Agreement shall prevail. The Recitals set forth above are incorporated herein by reference as part of this Agreement.
		

		
			 
		

		
			B.   Effect of non-Business Days on deadlines. If any deadline specified in this Agreement falls upon a non-Business Day, such deadline shall be extended to the next day that is a Business Day.
		

		
			 
		

		
			C.   Recovery Plan. The provisions of the current cash retrieval and disaster recovery plans attached hereto as Exhibit F (“Recovery Plan”) are incorporated in and supplement the terms of this Agreement. The locations and delivery times of Wells Fargo Network Locations and other information in the cash recovery plan attached as Exhibit F will be supplemented or otherwise restated monthly based upon updated information from Client and upon Client’s addition or deletion of a Covered Machine. Any other supplements or restatements of the Recovery Plan shall become effective only upon the prior written consent of Client.
		

		
			 
		

		
			D.   Covered Machines. The current list of Covered Machines is set forth in Exhibit A. Subject to Section I.F. below, Client may (i) upon five Business Days prior written notice to Wells Fargo, delete Machines listed as Covered Machines (such deletion to be effective only after all Cash is removed from the Covered Machines by the Armored Carrier) or (ii) add new Covered Machines to Exhibit A from time to time upon written notice to Wells Fargo according to the procedure set forth in this Paragraph. If the new Covered Machines can be serviced by an existing Wells Fargo Network Location and the aggregate number of Covered Machines being added does not exceed 10, Client will provide Wells Fargo fourteen calendar days’ prior written notice of the change. If the new Covered Machines will require a new Wells Fargo Network Location or if the aggregate number of Covered Machines being added exceeds 10 but is less than 50, Client will provide Wells Fargo 30 calendar days’ prior written notice of the change. If the aggregate number of new Covered Machines equals or exceeds 50, Client will provide notice to Wells Fargo and the parties will work together to establish a reasonable time frame within which the new Covered Machines will be added. Wells Fargo agrees to supply the Cash to the new Covered Machines in the continental United States from the nearest Wells Fargo Network Location. Wells Fargo will respond to Client’s request for a new Wells Fargo Network Location in writing within 10 Business Days of Client’s request to add new Covered Machine(s), and such response will indicate the proposed Wells Fargo Network Location that Wells Fargo intends to use to supply the Cash to the new Covered Machine(s). Client will respond in writing to Wells Fargo within 10 Business Days, either approving or rejecting the proposed Wells Fargo Network Location for the proposed Covered Machine(s) and describing the reasons for a rejection. If Client rejects the proposed Wells Fargo Network Location(s) for a proposed Covered Machine(s), Client may supply the new Machine(s) with currency and coin from another source, and such new Machine(s) shall not be added to Exhibit A as a Covered Machine(s). Notwithstanding any other provision to the contrary, any Covered Machines being added during the first or last week of a month (the “Freeze Period”) will be done solely on a best efforts basis. In no event will Work be performed for Covered Machines except by Wells Fargo.
		

		
			 
		

		
			E.   Exceptions. For avoidance of doubt and in addition to any exclusions set forth in this Agreement, the Parties agree that nothing herein shall be deemed to prohibit Client from procuring currency and coin for the Covered Machines from any source other than Wells Fargo if Wells Fargo is unable to provide Cash (on account of a Force Majeure Event or otherwise) so long as (i) any Cash is first removed from the applicable Covered Machine (at which time the Machine will be deleted from Exhibit A), and (ii) Cash is never commingled with currency or coin of Client or any other person or source.
		

		
			 
		

		
			F.   Annual Covered Machines Count. On the Effective Date and on each May 1 during the term hereof, Client will provide to Wells Fargo a forecast of the number of Machines that will be Covered Machines during the following calendar year.
		

		
			 
		

		
			II.    Contract Cash Services; Work.
		

		
			 
		

		
			A.   Wells Fargo’s General Obligation to Supply Cash. Subject to the terms of this Agreement, Wells Fargo agrees to furnish or cause to be furnished all United States currency in denominations and that either is new or is in a physical condition suitable for dispensing from a Machine in the amounts to be ordered by Client, on behalf of Client or any of its affiliates (such new or ATM fit United States currency as provided or arranged by Wells Fargo, the “Cash”).
		

		
			 
		

		
			B.   Orders. Subject to Section II.C below, Wells Fargo agrees to supply (or cause to be supplied) all of the Covered Machines with adequate Cash to meet Client’s Cash order requests for each of the Covered Machines. Prior to the date that Wells Fargo begins supplying Cash under this Agreement, Client will provide Wells Fargo with a forecast of Cash needed per Wells Fargo Network Location and denomination to meet operating activities and Wells Fargo and Client acknowledge and agree that Client has provided an initial forecast of Cash needed prior to the Effective Date. Client will also provide at least ten calendar days’ prior written notice of the forecasted amount and denomination of Cash needed per Wells Fargo Network Location to accommodate holiday spikes, new locations and increased activities. Client shall give Wells Fargo an order for Cash by the time(s) designated for each Wells Fargo, Cash Supplier, Federal Reserve or other vault location (each a “Wells Fargo Network Location”). Client shall specify the amount and denomination of Cash to be supplied in the manner required under Wells Fargo’s cash vault ordering requirements. In the event that any applicable Wells Fargo Network Location cannot supply a Client with the volume of adequate Cash required to meet each Cash order for the Covered Machines, Wells Fargo 
		

		
			 
		

		
			
		

		
			

		 

		

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			shall use commercially reasonable efforts to obtain from other sources as much of such Cash as is practicable to fill Client’s order.
		

		
			 
		

		
			C.   Maximum Amount of Cash to be Supplied. The aggregate total of Cash to be provided by Wells Fargo under this Agreement shall at no time exceed $400 Million Dollars including (i) all Cash with Armored Carriers, (ii) all Cash in Covered Machines, and (iii) all payments owed by Servicers, including any amount to be reimbursed by way of credit to the Settlement Account in immediately available funds, net of all adjustments, chargebacks, representations and other corrections to all transactions under the Servicing Agreements (the “Maximum Available Amount”); provided, however, Wells Fargo acknowledges that Client may require Cash not to exceed $50 Million Dollars in excess of the Maximum Available Amount (the “Additional Requested Amount”) for a particular calendar day (e.g. New Year’s Eve), on an occasional basis but in no event more than four times in any calendar year, and in such a situation, Client shall use best efforts to notify Wells Fargo with reasonable advance notice of the anticipated calendar day and the anticipated amount of the Additional Requested Amount”) and Wells Fargo shall provide the Maximum Available Amount and shall use best efforts to provide Cash in an amount equal to the Additional Requested Amount.
		

		
			 
		

		
			D.   No Commingling of Cash. Client agrees that during the term of this Agreement the only currency to be placed in any of the cash cassettes used for dispensing currency from a Covered Machine shall be Wells Fargo’s Cash. This restriction on commingling applies irrespective of whether Client intends to supply currency to a particular Covered Machine from another cash provider and regardless of whether Wells Fargo failed to supply the Covered Machine or otherwise.
		

		
			 
		

		
			E.   Cash May Only be Used in Covered Machines. Client agrees that at no time will Cash (i) be used or placed in Machines other than the Covered Machines, or (ii) be used for a purpose other than dispensing currency needs at the Covered Machines.
		

		
			 
		

		
			F.   Work. Subject to the terms and conditions hereof, Wells Fargo will provide Work for the Covered Machines during the term of this Agreement in a manner consistent with the terms of this Agreement.
		

		
			 
		

		
			G.   Third-Party Premises. Except as otherwise provided below, all agreements between Client and its affiliates and their respective customers (“Customer(s)”) for the placement of a Machine on such Customer’s premises (each a “Machine Placement Agreement”) shall comply with the following requirements before such Machine shall be deemed a Covered Machine:
		

		
			 
		

		
			1.   Ownership of Cash. The Machine Placement Agreement, or equivalent agreement, shall not grant any ownership interest or other right to Customer in and to the Cash contained in the Covered Machines.
		

		
			 
		

		
			2.   Wells Fargo Access to Covered Machines. At least between the hours of 8:00 a.m. and 5:00 p.m. local time and such additional time periods that a Customer may deem to be its normal business hours (and upon reasonable request during non-business hours), Wells Fargo, and its authorized agents, shall be permitted by a Customer to enter on the premises on which the Covered Machines are located to inspect the Covered Machines, deliver Cash to and retrieve Cash from the Covered Machines, supervise and/or inspect the servicing and repair of Covered Machines and otherwise protect Wells Fargo’s interest in the Cash contained in the Covered Machines; subject to a Customer’s licensing and security policies and procedures regarding vendors performing services on a Customer’s premises.
		

		
			 
		

		
			3.   Third-Party Access to Cash Prohibited. The Machine Placement Agreement shall not allow or grant Customer any right to access the Cash in any Covered Machine without the express written consent of Client.
		

		
			 
		

		
			III.  Plan and Procedures. To ensure repayment of the Cash dispensed from the Covered Machines (the “Dispensed Cash”) and to enable Wells Fargo to perform the Work, the Parties agree to the settlement, and balancing and processing procedures set forth below:
		

		
			 
		

		
			A.   Pilot Period and Pilot Machines. Before the Work begins under this Agreement, Wells Fargo and Client agree that Wells Fargo will conduct a test pilot of Contract Cash Services (the “Pilot”) at one or more mutually agreed upon locations covering a mutually agreed upon number of Machines. The Pilot will commence as soon as possible after the execution of this Agreement by the Parties and will terminate on November 29, 2010, unless an extension is separately agreed to in writing by the Parties. The aggregate total of Cash to be provided during the Pilot shall at no time exceed $4 million including (i) all Cash with Armored Carriers, (ii) all Cash in Pilot Machines, and (iii) all payments owed by Client in accordance with Exhibit G hereto. Client agrees to use commercially reasonable efforts to cause any required third parties to fully cooperate with Well Fargo in connection with the Pilot. With respect to any Cash dispensed from any Machine during the Pilot, the Parties agree to the settlements and reconciliation procedures set forth on Exhibit G attached hereto. The Pilot may be terminated (i) by either Party for convenience upon notice to the other Party; or, (ii) immediately upon notice by Wells Fargo to Client in the event Client fails to pay the settlement for the Pilot Cash as set forth in Exhibit G. The Parties agree that the Pilot Machines shall be Covered Machines for the purposes of this Agreement and the rights and responsibilities of the Parties during the Pilot shall be governed by the terms of this Agreement except as such terms are modified specifically for the Pilot in this Section or in Exhibit G.
		

		
			 
		

		
			
		

		
			

		 

		

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B.   Commencement. The settlement procedures for Covered Machines shall become effective on a date to be agreed upon in writing by the Parties (the “Settlement Start Date”). The Settlement Start Date shall be the date the Wells Fargo currency is placed in the cash cassette at one or more of the initial Covered Machines, or is in the Armored Carrier’s vault or is in transit with the Armored Carrier, in each case intended for use in such Covered Machines (the “Starting Cash”). The Starting Cash shall be effected as orders are placed and Cash is dispensed from each Covered Machine, and as Cash is in the Armored Carrier’s vault or is in transit with the Armored Carrier, in each case intended for use in Covered Machines.
		

		
			 
		

		
			C.   Daily Reports.
		

		
			 
		

		
			1.   By 7:00 a.m., Central Time, on each Business Day, Client shall deliver to Wells Fargo daily reports (“Daily Reports”) as follows:
		

		
			 
		

		
			a.   File 1. A report (a “File 1 Report”) that provides the amount of Cash dispensed from each Covered Machine between 3 p.m. Pacific Time (the “Beginning Measurement Time”) through settlement, which is 3:00 p.m. Pacific Time of the immediately preceding Business Day (“Daily Dispensed Cash”); and
		

		
			 
		

		
			b.   File 2. A report (a “File 2 Report”) that provides the amount of Cash dispensed from each Covered Machine serviced since the preceding Business Day from the Beginning Measurement Time until such Covered Machine was serviced and cash cassettes swapped by the Armored Carrier on the immediately preceding Business Day.
		

		
			 
		

		
			2.   Armored Carrier Service Report. Utilizing the iCom Reporting System selected by Wells Fargo, by 12:00 p.m. local time (unless an exception is granted in writing by Wells Fargo) on each Business Day, the Armored Carriers shall deliver to Wells Fargo a report reflecting each Covered Machine serviced and the Cash balance in each Covered Machine at the time of service (together with corrections and adjustments input in such system, the “Service Report”). Service Reports shall be used by Wells Fargo as part of the reconciliation process contemplated hereby. Wells Fargo will provide, without additional cost to Client, training for agreed upon systems changes.
		

		
			 
		

		
			3.   Daily Report by Wells Fargo. By 4:00 p.m. Pacific Time on each Business Day (provided Wells Fargo has timely received all reports and information provided for hereunder from third-parties), Wells Fargo shall deliver to Client daily reports (each a “Bank Report”) in substantially the form attached hereto as Exhibit H which provides daily information for the Covered Machines. Reports will be for the activity occurring two Business Days prior to the current date.
		

		
			 
		

		
			4.   Daily Report of Transfer Activity. By 11:00 a.m. Pacific Time on each Business Day, Wells Fargo shall deliver to Client a report detailing funds transfers between the Settlement Account and the Operating Account (the “Funds Transfer Report”).
		

		
			 
		

		
			5.   Other Reports. Client shall provide access and passwords to Wells Fargo, when and as needed by Wells Fargo to satisfy its agreement to provide Work hereunder, so that Wells Fargo can determine load amounts (as well as expected return) by Machine. All information will be in an electronic file format readily usable by Wells Fargo.
		

		
			 
		

		
			D.   Settlement Accounts. The Wells Fargo account designated by WF to Client separately in writing shall be used as the settlement account (the “Settlement Account). Wells Fargo may from time to time designate a different account to be used as the Settlement Account by giving 30 Business Days prior written notice to Client.
		

		
			 
		

		
			E.   Settlements. All settlements with Servicers or Client for Dispensed Cash shall be effected by wire transfer directly into the Settlement Account. By 9:00 a.m., Pacific Time, on each Business Day, Client shall wire transfer into the Settlement Account an amount equal to the difference, if any, between the Daily Dispensed Cash and the amounts received from Servicers on such Business Day. At or after 1:00 p.m. Pacific Time each Business Day, Wells Fargo shall debit the Settlement Account for an amount not to exceed the Daily Dispensed Cash for the previous day and thereafter shall either (i) credit the Operating Account by the amount, if any, by which the balance in the Settlement Account prior to debit exceeds the Daily Dispensed Cash or (ii) debit the Operating Account by the amount, if any, by which the balance in the Settlement Account is negative. For the avoidance of doubt, the Parties agree that the provisions of this Section shall be suspended in the event and during the period of a temporary system failure that may not rise to the level of a Force Majeure Event, but nonetheless prevents Client from making payments of Cash Settlement, provided that Client notifies Wells Fargo of the reason for such failure and provides Wells Fargo with supporting documentation substantiating the reason for such failure.
		

		
			 
		

		
			Client hereby acknowledges and understands that it is completely responsible for any loss to Wells Fargo as the result of the misrouting of Dispensed Cash by any network processor, whether or not a Servicer.
		

		
			 
		

		
			F.   Viewing of Settlement Accounts. Client shall have viewing access to the Settlement Account until Final Settlement occurs. “Final Settlement” means, with regards to the Parties, Servicers, Armored Carriers, the Maintenance Providers, and each and every other related party, the closing settlement of the Settlement Account and the Operating Account, including all fees and expenses, all Cash and other funds, and all obligations and duties owed which are subject to this Agreement, at the time of the expiration or termination of this Agreement.
		

		
			

		 

		

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			G.   Reconciliation.
		

		
			 
		

		
			1.    Ongoing Reconciliation. Following receipt of the Daily Reports each Business Day, Wells Fargo shall endeavor to reconcile all out-of-balance amounts of Cash from the amounts reported in the Daily Reports and the Service Reports. If at any time Wells Fargo learns that Cash is out-of-balance (by use of the Bank Reports or otherwise), Wells Fargo shall notify Client of the imbalance within five days of such discovery, and within 60 days of the Business Day on which the Machine was out-of-balance, Wells Fargo shall credit or debit, as applicable, the Operating Account for any remaining overage or shortage.
		

		
			 
		

		
			2.    Final Reconciliation. The Parties will use commercially reasonable efforts to complete a final reconciliation of Cash amounts upon termination or expiration of this Agreement within 10 Business Days after the effective date of such termination or expiration.
		

		
			 
		

		
			H.    Client Operating Account. Client shall designate a Wells Fargo deposit account as their operating account (the “Operating Account”). The Operating Account shall be used for (i) all credits and debits of imbalances, and (ii) for debit by Wells Fargo of fees owing pursuant to this Agreement. Client may designate a different account at Wells Fargo to be used as the Operating Account from time to time upon 30 Business Days’ prior written notice to Wells Fargo.
		

		
			 
		

		
			I.    Business Day. “Business Day” shall mean any day other than weekends or holidays observed by the Federal Reserve Banks or Wells Fargo, and with respect to each Covered Machine, the Cash Supplier that is making Cash available to such Covered Machine.
		

		
			 
		

		
			IV.  Risk of Loss.
		

		
			 
		

		
			A.   Risk of Loss — Cash in Covered Machines. As between Wells Fargo and Client, Client shall bear all risk of loss and all liability with respect to the Cash during the time the Cash is located in the Covered Machines, including, but not limited to, loss due to theft or destruction of any of the Cash (whether or not such theft or destruction is due to an event beyond Client’s reasonable control), malfunction of equipment, or misfeasance or malfeasance of Client, Maintenance Provider, and their agents or employees. Notwithstanding the foregoing, Client shall not be liable or responsible for any loss of Cash:
		

		
			 
		

		
			1.   to the extent due to the intentional acts or omissions of Wells Fargo, its agents, or employees;
		

		
			 
		

		
			2.   where specifically provided otherwise herein;
		

		
			 
		

		
			3.   before Cash ordered under this Agreement has been picked up by an Armored Carrier.
		

		
			 
		

		
			B.   Risk of Loss — Cash In Possession of Wells Fargo or a Wells Fargo Network Location. As between Wells Fargo and Client, Wells Fargo shall bear all risk of loss with respect to Cash both (1) after such Cash has been returned to a Wells Fargo Network Location, and (2) before such Cash has been picked up by an Armored Carrier pursuant to Client’s order for the ultimate purpose of supplying a Covered Machine. The foregoing risk of loss includes without limitation, loss due to theft or destruction of any of the Cash (whether or not such theft or destruction is due to an event beyond Wells Fargo’s reasonable control), malfunction of Wells Fargo equipment, or misfeasance or malfeasance of Wells Fargo, its agents or employees.
		

		
			 
		

		
			C.   Risk of Loss — Cash in Possession of Armored Carrier. Except as otherwise provided herein, as between Wells Fargo and Client, Client expressly assumes and agrees to indemnify Wells Fargo for any and all liability with respect to a Cash shortage, or loss, theft, disappearance, robbery, or destruction of any of the Cash during the time the same is (or should be) in the possession of an Armored Carrier until it is returned to a Wells Fargo Network Location.
		

		
			 
		

		
			1.   Notwithstanding the foregoing, Client shall not be liable to Wells Fargo for any loss, theft, or destruction of the Cash to the extent due to the gross negligence or intentional misconduct of Wells Fargo, any Cash Supplier or their respective agents or employees. Nothing herein shall be deemed to relieve an Armored Carrier of its responsibilities with regard to the Cash.
		

		
			 
		

		
			2.   Wells Fargo shall assign to Client all of Wells Fargo’s rights to collect any Cash losses, theft or destruction from the Armored Carrier upon collection by Wells Fargo from Client for such losses, theft or destruction. Wells Fargo shall use commercially reasonable efforts to cooperate with, and assist, Client in collecting such unpaid amounts after such assignment, including providing Client with any evidence of the claimed shortage, loss, theft or destruction. All such efforts by Wells Fargo shall be at Client’s expense.
		

		
			 
		

		
			3.   Notwithstanding anything to the contrary herein, any risk of loss during redelivery upon a Wells Fargo Event of Default of the Cash shall be borne by Wells Fargo, provided that Client shall remain liable for Cash shortages in the Covered Machines prior to pick-up. Nothing herein shall be deemed to relieve an Armored Carrier of its responsibilities with regard to the Cash.
		

		
			 
		

		
			
		

		
			

		 

		

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D.   Risk of Loss — Nonpayment by Servicer. Client agrees to indemnify and hold Wells Fargo harmless from, for, and against non-payment or any losses from nonpayment by any Servicer.
		

		
			 
		

		
			V.    Ownership of Cash.
		

		
			 
		

		
			A.   Cash Remains the Property of Wells Fargo. Wells Fargo shall have absolute ownership, title and control of all of the Cash used in the Covered Machines at all times. No ownership of the Cash or payments owing from Servicers for Dispensed Cash shall accrue, transfer, or otherwise inure to Client or any other person. Client and Wells Fargo agree that:
		

		
			 
		

		
			1.   all of the Cash shall remain the property of Wells Fargo, and Wells Fargo shall have all right, title, and interest in and to the Cash and may treat the Cash as its asset until such time as it is dispensed from any of the Covered Machines in a cash dispensing transaction; and
		

		
			 
		

		
			2.   none of the Cash shall at any time become the property of Client, or any other person until such time as it is dispensed from any of the Covered Machines in a cash dispensing transaction.
		

		
			 
		

		
			Client shall take no action inconsistent with the terms of this Agreement or the intent of the Parties that all Cash provided to an Armored Carrier by a Wells Fargo Network Location, regardless of physical location, remains the property of Wells Fargo until it is dispensed from the Covered Machines or surrendered by the Armored Carrier to a Wells Fargo Network Location as set forth in this Agreement.
		

		
			 
		

		
			B.   No Client or Third-Party Interest in Cash. It is expressly agreed between the Parties that neither Client nor any other person or entity has any possessory or ownership rights to the Cash or Receivables (as defined in the Servicer Letters) under Section 362 of the Bankruptcy Code or otherwise. It is expressly understood that no other financial institution, including without limitation, any Cash Supplier, can utilize the Cash to satisfy its own reserve requirements. Neither Client, nor any other person (other than an Armored Carrier and the Maintenance Providers for purposes of maintenance of the Covered Machines pursuant to the Maintenance Contracts) shall have any access to, or use of, any of the Cash after delivery of the same to Armored Carrier, whether during transportation or storage by Armored Carrier or while it is stored in the vaults of the Covered Machines, except as such use relates to the dispensing of any of the Cash in a cash dispensing transaction from one of the Covered Machines. Once any of the Cash is delivered to Armored Carrier, it shall only be transported or stored by Armored Carrier and finally placed in one of the Covered Machines or handled by the Maintenance Providers in a way that is consistent with the terms of the Maintenance Contracts. Under no circumstances shall Client hold itself out as the owner of the Cash or in any way represent to any person or entity that it owns the Cash.
		

		
			 
		

		
			C.   Redelivery. Client can initiate a redelivery of Cash upon a Wells Fargo Event of Default or a Termination Trigger Event invoked by Client, and Wells Fargo can initiate redelivery of Cash upon a Client Event of Default or a Termination Trigger Event invoked by it.
		

		
			 
		

		
			VI.  Armored Carrier Service.
		

		
			 
		

		
			A.   Armored Carrier — General. Each Armored Carrier selected to handle the Cash, including all loading of any of the Cash into any of the Covered Machines, shall be a duly qualified armored car operator, selected by Client (and reasonably acceptable to Wells Fargo) and contracted for by Client. Client may replace any Armored Carrier only upon prior written notice and with Wells Fargo’s express written consent which may not be unreasonably withheld, conditioned or delayed, Client will provide at least 30 days prior written notice to Wells Fargo prior to such replacement, but in no event later than is reasonably necessary to ensure that the replacement Armored Carrier is a duly qualified armored car operator. For avoidance of doubt, a “duly qualified armored carrier operator” is one that is properly licensed, has provided to the Wells Fargo Network Locations a signature list of those authorized to pick up Cash and the photos of whom are on file, for whom an authorization letter is on file from Client indicating what actions Wells Fargo is to take with respect to a particular Armored Carrier, whose trucks, uniforms and other identifications match and who otherwise meets the security and operational standards of such Wells Fargo Network Locations. Wells Fargo will use commercially reasonable efforts to assist Client to transition from any Armored Carrier who Wells Fargo determines is no longer a “duly qualified armored car operator” to another Armored Carrier.
		

		
			 
		

		
			B.   Cash Held by Armored Carrier. Client shall contractually obligate Armored Carrier to segregate Cash held by Armored Carrier from all other currency and coin until such time as the Cash is required to be placed in specific Covered Machines or until it is requested to be returned to Wells Fargo and to meet the standards set forth in Section VI.A above.
		

		
			 
		

		
			C.   Covered Machine Access. No employee of Armored Carrier shall have the authority to access the Cash stored in any Covered Machine, except as provided below. The only parties having authorized access to the Cash stored in the Covered Machines shall be (i) Armored Carriers for the purposes of loading Cash in, or removing Cash from, the Covered Machines, as provided in the Armored Carrier Contracts, (ii) Armored Carriers for purposes of redelivery of the Cash to Wells Fargo Network Locations pursuant to this Agreement, and (iii) the Maintenance Providers for purposes of Machine maintenance as set forth in the Maintenance Contracts.
		

		
			
		

		
			

		 

		

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			D.   Responsibilities. Wells Fargo and Client each agree that they shall not conceal or misrepresent any material fact or circumstance concerning the Cash delivered to Armored Carrier pursuant to this Agreement and the Armored Carrier Contracts.
		

		
			 
		

		
			1.   Wells Fargo agrees to supply all the Cash to Armored Carrier directly through any of the applicable Wells Fargo Network Location(s) in a sealed or locked bag, together with a shipping document verifying the value of the Cash in the bag. The value of the Cash set forth in such shipping document that accompanies the release by the applicable Wells Fargo Network Location of any sealed or locked bag shall be conclusively deemed the amount of the Cash invoiced. Client’s contract with each Armored Carrier shall, in the event of any reportable shortage claimed in the contents of a sealed or locked cash bag received by Armored Carrier from the Wells Fargo Network Location, obligate Armored Carrier to promptly notify Client and Wells Fargo of the shortage. With respect to cash bags received from the Federal Reserve Bank or a Cash Supplier, each such contract shall also obligate the Armored Carrier to (i) provide reasonable assistance to Wells Fargo in presenting difference claims to the relevant Federal Reserve Bank or Cash Supplier in accordance with Federal Reserve Bank regulations or operating circular, if any; and (ii) comply with any requirements imposed by the Federal Reserve Bank or the relevant Cash Supplier in connection with the reporting of such shortages. In the event that such difference cannot be resolved, Wells Fargo and Client will in good faith attempt to resolve the difference between them. If such efforts are unsuccessful (i) with respect to sums which Client claims in writing are owed to it, within 60 days of receipt of the claim by Wells Fargo, or (ii) with respect to sums which Wells Fargo claims in writing are owed to it, within 60 days of receipt of the claim by Client, the parties agree to resolve the issue in accordance with the arbitration provisions of this Agreement. The parties will from time to time mutually agree upon any minimal differences that need not be reported and such threshold amounts that must be reported on a same-day or next-Business-Day basis.
		

		
			 
		

		
			E.   Armored Carrier Letter Agreements. Prior to utilizing any Armored Carrier, each Client, Wells Fargo and the Armored Carrier shall enter into an Armored Carrier Letter Agreement substantially in the form set forth in Exhibit D.
		

		
			 
		

		
			F.   Vault Security. Wells Fargo shall inform Client in writing of any regulatory requirements imposed upon Wells Fargo with respect to security measures that are applicable to the maintenance of the Cash in each Armored Carrier’s vault facilities. Client shall promptly but in no event more than two Business Days communicate such information to each Armored Carrier. Client shall take commercially reasonable steps to ensure that each Armored Carrier agrees to comply with any such regulatory requirements.
		

		
			 
		

		
			VII. Fees.
		

		
			 
		

		
			A.   General. Client agrees to pay Wells Fargo the fees for the Work calculated in accordance with the terms of a separate fee letter between Wells Fargo and Client (the “Fee Letter”), which is hereby incorporated into this Agreement, and which may be amended after the initial term of this Agreement as provided herein. Following the initial term of this Agreement, Well Fargo may change the fees for the Work with respect to any renewal term by providing Client with written notice of such fee changes at least 120 days prior to the commencement of such renewal term and Client is free to accept such changes or terminate this Agreement; and provided further that Wells Fargo may only change such fees once with respect to each applicable renewal term. For the avoidance of doubt, it is understood and agreed that the fees referenced in this Section are the fees for the Work only and do not include any fees charged for other services provided by Wells Fargo to Client.
		

		
			 
		

		
			B.   Taxes. Client shall pay or reimburse Wells Fargo for any applicable taxes levied, imposed or assessed upon Wells Fargo as a result of its provision of Cash to Client under this Agreement, excluding personal property taxes assessed against or payable by Wells Fargo (except for taxes relating to personal property owned by Client), taxes based upon Wells Fargo’s net income and Wells Fargo’s corporate franchise taxes. Alternatively to such payment or reimbursement, Client may satisfy its obligation in this paragraph by providing Wells Fargo with an exemption certificate that establishes that no tax is due. Wells Fargo shall furnish Client with invoices showing separately itemized amounts due under this paragraph with respect to applicable taxes (if any). If Client pays or reimburses Wells Fargo for any taxes pursuant to this paragraph, Wells Fargo hereby assigns and transfers to Client all of Wells Fargo’s rights, title and interest in and to any refund for taxes paid. Any claim for refund of taxes against the assessing authority may be made in the name of Client or Wells Fargo, or both at Client’s option. Client may initiate and manage litigation brought in the name of Client or Wells Fargo, or both, to obtain refunds of amounts of taxes paid under this paragraph. Wells Fargo shall cooperate fully with Client in pursuing any refund claims, including any related litigation or administration procedures. Wells Fargo and Client each acknowledge that it is not aware of any taxes owing contemplated by this Section VII.B with respect to the Cash as of the Effective Date.
		

		
			 
		

		
			C.   Costs and Expenses. Client and Wells Fargo each shall be responsible for any legal and other costs and expenses incurred by it in connection with the preparation, negotiation and delivery of this Agreement and its Exhibits and any amendments or waivers thereto.
		

		
			 
		

		
			D.   Monthly Servicing Fees and Billing Statement. All fees and charges payable by Client pursuant to this Agreement will be detailed for Client in a monthly billing statement using Wells Fargo’s standard account analysis format which will be 
		

		
			 
		

		
			
		

		
			

		 

		

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provided to Client on the first Business Day after the 10th of each calendar month. Such statement shall contain categories of information as set forth in an Exhibit to the Fee Letter or as otherwise mutually agreed in writing by the Parties from time to time. Wells Fargo shall debit the Operating Account for all billed amounts on an agreed-upon day of the month that is no later than the 20th day after delivery of such monthly billing statement. To the extent that the Operating Account contains insufficient funds to accommodate such debit, the unpaid amount shall become immediately due and payable upon notice to Client and Client shall immediately pay the unpaid amount to Wells Fargo.
		

		
			 
		

		
			E.   Service Level Adjustments. Adjustments to fees set forth herein may be made under the following circumstances:
		

		
			 
		

		
			1.   If Wells Fargo fails to either (i) provide Cash for any particular Covered Machine pursuant to Section II.A (unless otherwise excused pursuant to the terms of this Agreement), or (ii) provide Cash as required in Section II.B. above, then Wells Fargo shall either pay those additional expenses to Client which have been incurred by Client related solely to the failure on the part of Wells Fargo to deliver Cash to the Armored Carrier, or credit such amounts to Client against the above referenced billing statement, at the election of Wells Fargo.
		

		
			 
		

		
			2.   If at any time during the term of this Agreement, the number of Covered Machines is less than 920 and the average outstanding daily balance of Cash is less than $225 million during any 90 consecutive day period (the “Baseline”), Wells Fargo shall be entitled to adjust the fees provided for hereunder so that its expected fees, yields and returns are at least equal to those that would have been achieved had the Baseline been maintained.
		

		
			 
		

		
			VIII.      Insurance.
		

		
			 
		

		
			A.   Required Insurance. During the initial and any renewal term of this Agreement, Client, at its sole cost and expense shall, at a minimum, maintain insurance through a third party insurance provider as described in this Section VIII, as follows:
		

		
			 
		

		
			1.   Commercial Crime Policy including coverage for employee theft/dishonesty/fidelity; Inside the Premises — the theft of money including disappearance, destruction and robbery; Outside the Premises — the theft of money, including disappearance, destruction and robbery; Computer Crime with limits not less than $5,000,000 per loss. Wells Fargo will be included as joint loss payable under the policy.
		

		
			 
		

		
			2.   Errors and Omissions with limits not less than $1,000,000 per occurrence.
		

		
			 
		

		
			3.   Commercial General Liability/Umbrella insurance providing coverage for premises-operations liability, products-completed operations liability, independent contractors liability, personal and advertising and contractual liability with limits of at least $10,000,000.
		

		
			 
		

		
			4.   Statutory workers’ compensation and employers liability insurance with limits no less than $1,000,000 each accident for bodily injury; $1,000,000 each accident for disease per employee and $1,000,000 bodily injury for disease in the aggregate.
		

		
			 
		

		
			5.   Comprehensive Automobile Liability Insurance/Umbrella in the minimum amount of $10,000,000 combined single limits for bodily injury and property damage covering owned and non-owned hired vehicles.
		

		
			 
		

		
			B.   Additional Requirements. In addition, Client agrees that:
		

		
			 
		

		
			1.   Client, at the request of Wells Fargo, shall furnish certificates of insurance to Wells Fargo at the time of the signing of this Agreement and upon renewal thereafter. Client will ensure that the insurance carrier and/or Client will provide 10 days advance written notice to Wells Fargo before termination, change or cancellation takes effect of any coverage under such policies evident on such certificate, regardless of whether cancelled by Client or the insurance company.
		

		
			 
		

		
			2.   The insurance required hereunder will be primary and noncontributory to any insurance maintained by Wells Fargo.
		

		
			 
		

		
			3.   All of the insurance policies required hereunder will be maintained with companies licensed to do business in the state where the services will be performed and rated no less than “A-” as to policy holder’s rating in the then current edition of Best’s Insurance Guide (or with an association of companies each of the members of which are so rated).
		

		
			 
		

		
			4.   Client will add Wells Fargo as an additional insured to Client’s commercial general/umbrella liability and automobile/umbrella policies.
		

		
			 
		

		
			C.   No Relief From Liability. The foregoing requirements as to the types and limits of insurance coverage to be maintained by Client and any approval or waiver of said insurance by Wells Fargo are not intended to and shall not in any manner limit or qualify the liabilities and obligations otherwise assumed by Client pursuant to this Agreement, including but not limited to the provisions concerning the indemnification obligations of Client; provided that any amounts paid to Wells Fargo pursuant 
		

		
			 
		

		
			
		

		
			

		 

		

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to Client’s indemnification obligations shall be reduced dollar for dollar by the amount of any insurance proceeds that are paid to Wells Fargo pursuant to Section VIII of this Agreement.
		

		
			 
		

		
			IX.  Default; Termination Trigger Events.
		

		
			 
		

		
			A.   Termination Upon Default. Wells Fargo shall have the right to immediately terminate this Agreement upon written notice to Client in the event of a Client Event of Default. Client shall have the right to immediately terminate this Agreement upon written notice to Wells Fargo in the event of a Wells Fargo Event of Default.
		

		
			 
		

		
			B.   Client Events of Default. “Client Event of Default” shall mean the occurrence and continuance of any of the following events, acts, occurrences or conditions described in Paragraphs 1 through 8 below, for whatever reason:
		

		
			 
		

		
			1.   Any of the following occur: (i) Client shall commence a voluntary case concerning itself under Title 11 of the United States Code entitled “Bankruptcy,” as amended from time to time, and any successor statute or statutes (“Bankruptcy Code”); or (ii) an involuntary case is commenced against Client under the Bankruptcy Code and the petition is not controverted within 10 days, or is not dismissed within 90 days after commencement of the case; or (iii) a custodian (as defined in the Bankruptcy Code) is appointed for, or takes charge of, all or substantially all of the property of Client, or Client commences any other proceedings under any reorganization, arrangement, adjustment of debt, relief of debtors, dissolution, insolvency or liquidation or similar law of any jurisdiction whether now or hereafter in effect relating to Client or there is commenced against Client any such proceeding which remains undismissed for a period of 90 days; or (iv) any order for relief or other order approving any such case or proceeding is entered; or (v) Client is adjudicated insolvent or bankrupt; or (vi) Client suffers any appointment of any custodian or the like for it or any substantial part of its property to continue undischarged or unstayed for a period of 90 days; or (vii) Client makes a general assignment for the benefit of creditors; or (viii) Client fails to pay, or states that it is unable to pay, or is unable to pay its debts generally as they become due; or (ix) Client calls a meeting of its creditors generally with a view of arranging a composition or adjustment of its debts; or (x) Client by any act or failure to act consents to, approves of or acquiesces in any of the foregoing; or (xi) Client takes any corporate action for the purpose of effecting any of the foregoing.
		

		
			 
		

		
			2.   Any creditor or group of creditors of Client shall attempt for any reason to levy upon, seize under color of law, attach or make a bona fide claim against any Cash.
		

		
			 
		

		
			3.   Client takes any action or makes any material representation that is inconsistent with Wells Fargo’s sole and exclusive ownership, title and control of the Cash.
		

		
			 
		

		
			4.   Client defaults in (a) the payment under the terms of any contract, instrument or document extending a credit facility of $25 Million or more pursuant to which Client has incurred any debt or other liability to any person or entity, including Wells Fargo (each, a “Credit Facility”), or (b) the performance of any other obligation, or any defined event of default unrelated to payment, (each, a “Non-payment Default”) under a Credit Facility, provided that Client shall have 60 days following notice to it by Wells Fargo to cure a Non-payment Default.
		

		
			 
		

		
			5.   Client either (a) breaches any representation, warranty or covenant in this Agreement (other than failure to make any payments or other monetary obligations or as otherwise provided herein) and such failure continues for a period of more than 30 days after Client’s receipt of written notice from Wells Fargo of such breach, or (b) fails to make timely payments for Fees upon 15 days notice and opportunity to cure, or (c) fails to make payments for Cash Settlement for any reason other than a temporary system failure, or fails to meet any other undisputed monetary obligations (other than Fees) under this Agreement, and the same continues, not more than once in any 12-month period, for a period of two Business Days if Client notifies Wells Fargo of the reason for such failure and has provided Wells Fargo with supporting documentation substantiating the reason for such failure. Notwithstanding the foregoing, Wells Fargo may terminate the Agreement if at the conclusion of the applicable cure periods described above Client fails to pay the Wells Fargo determined estimated settlement amounts into the Settlement Account for the day(s) of such failure.
		

		
			 
		

		
			6.   Inability or failure by Client to deliver the Daily Reports or to satisfy any reporting, certification, notification or documentation requirements under this Agreement, in each case where such inability or failure continues, not more than once in any 12 month period, for a period of two Business Days if Client notifies Wells Fargo of the reason for such inability or failure and has provided Wells Fargo with supporting documentation substantiating the reason for such inability or failure.
		

		
			 
		

		
			7.   If any Armored Carrier is unable, for any reason (except as the result of a Force Majeure Event or due to the malfunction of a Covered Machine), to obtain independent access to any Covered Machine pursuant to this Agreement subject to Customer’s licensing and security policies and procedures regarding vendors performing services on or at a Customer’s premises.
		

		
			 
		

		
			8.   Client sells or otherwise transfers all or a substantial portion of its Covered Machines and the Baseline of Covered Machines is not met after giving effect to such sale or transfer.
		

		
			 
		

		
			
		

		
			

		 

		

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			C.   Wells Fargo Event of Default. “Wells Fargo Event of Default” shall mean the occurrence of any of the following events, acts, occurrences or conditions described in Paragraphs 1 and 2 below, for whatever reason:
		

		
			 
		

		
			1.   Any of the following occur: (i) the Office of the Comptroller of the Currency (“OCC”), the Federal Deposit Insurance Corporation (“FDIC”) or any successor regulatory agencies thereto determines that Wells Fargo is insolvent; or (ii) the OCC or the FDIC appoints a receiver, custodian or the like or initiates proceedings for relief or other order for all or any substantial part of its property; or (iii) Wells Fargo fails to pay, or states that it is unable to pay, or shall be unable to pay, its debts generally as they become due; or (iv) Wells Fargo calls a meeting of its creditors generally with a view of arranging a composition or adjustment of its debts; or (v) Wells Fargo by any act or failure to act consents to, approves of or acquiesces in any of the foregoing; or (vi) Wells Fargo takes any corporate action for the purpose of effecting any of the foregoing.
		

		
			 
		

		
			2.   Wells Fargo breaches any representation, warranty or covenant or fails to perform under this Agreement or any related agreements, and such breach remains uncured 30 days after Client provides notice to Wells Fargo describing the alleged breach in reasonable detail. The Parties agree that Wells Fargo shall be in breach of this Agreement without further right to cure if it is unable to furnish sufficient Cash to comply with this Agreement at any time and such failure continues for three or more consecutive Business Days after written notice from Client, unless applicable regulations specifically prohibit the furnishing of such Cash or because of Force Majeure Event.
		

		
			 
		

		
			D.   Termination Trigger Events. “Termination Trigger Event” shall mean the occurrence and continuance of any of the following events, acts, occurrences or conditions described in Paragraphs 1 through 9 below, for whatever reason. This Agreement may be terminated without penalty upon the occurrence of any of the following Termination Trigger Events:
		

		
			 
		

		
			1.   Immediately upon a Party giving written notice to the other Parties:
		

		
			 
		

		
			a.   in the event that (i) any federal or state regulatory authority takes any action, including, but not limited to, the issuance of a ruling, formal or informal opinion, or interpretation of any kind whatsoever that makes the continued performance of this Agreement illegal or exposes Wells Fargo to civil penalties, (ii) any law is adopted or regulation promulgated that makes the continued performance of this Agreement illegal or exposes Wells Fargo to civil penalties, or (iii) any law or regulation is interpreted by a court of competent jurisdiction, any of which, in the opinion of Wells Fargo’s legal counsel, would prohibit Wells Fargo from providing the Cash to Client as described in this Agreement, then in such event, Wells Fargo shall have the right to cancel this Agreement immediately by notifying Client in writing of its intent to do so;
		

		
			 
		

		
			b.   upon cancellation, reduction, or non-renewal of insurance required to be carried by Client, Armored Carrier, or any Servicer pursuant to this Agreement, unless such insurance is replaced by a similar or better carrier, or unless such new carrier is otherwise reasonably acceptable to Wells Fargo;
		

		
			 
		

		
			c.   upon termination of a Servicer Letter with respect to the Covered Machines serviced by that Servicer under which Cash would be dispensed, unless the outgoing Servicer is promptly (i.e., within 30 days) replaced by a successor service provider (and the termination of the Servicer is not effective until such successor service provider is in place) or such service is discontinued by Client;
		

		
			 
		

		
			d.   subject to Force Majeure Event provisions herein, if a Servicer fails to (i) make payments pursuant to the applicable Servicer Letter when due on three or more consecutive Business Days; (ii) satisfy any material regulatory reporting, certification, notification, or documentation requirements; (iii) observe or perform any material covenant outlined in its Servicer Letter, or (iv) meet any agreed-upon performance and financial tests unless replaced within 90 days by a Servicer reasonably acceptable to Wells Fargo.
		

		
			 
		

		
			2.   With respect to both Client and Wells Fargo, an event or series of events (a “Change of Control”) by which any “person” or “group” (as such terms are used in Sections 13(d) and 14(d) of the Securities Exchange Act of 1934, but excluding any employee benefit plan of such person or its subsidiaries, and any person or entity acting in its capacity as trustee, agent or other fiduciary or administrator of any such plan) becomes the “beneficial owner” (as defined in Rules 13d-3 and 13d-5 under the Securities Exchange Act of 1934, except that a person or group shall be deemed to have “beneficial ownership” of all securities that such person or group has the right to acquire (such right, an “option right”), whether such right is exercisable immediately or only after the passage of time), directly or indirectly, of more than 50% of the equity securities of such Party entitled to vote for members of the board of directors or equivalent governing body of such Party on a fully-diluted basis (and taking into account all such securities that such person or group has the right to acquire pursuant to any option right) and 90 days elapses without Wells Fargo or Client, as applicable, consenting in writing to such Change of Control or ratifying in writing that an Actual Termination Date has not occurred and Client has accepted in writing any changes in pricing proposed by Wells Fargo as a result of such Change of Control.
		

		
			 
		

		
			
		

		
			

		 

		

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3.   Subject to the Force Majeure Event provisions hereof, immediately upon written notice by Client in the event Wells Fargo at any time does not have the availability of sufficient vault cash to furnish Client with sufficient Cash as specified by Client or if Wells Fargo has exercised its right to demand redelivery according to this Agreement.
		

		
			 
		

		
			4.   Immediately by Wells Fargo in the event the following conditions have not been satisfied by Client prior to the commencement of the Work:
		

		
			 
		

		
			a.   No Client Event of Default shall then be existing;
		

		
			 
		

		
			b.   All Agreement requirements have been satisfied;
		

		
			 
		

		
			c.   Satisfactory review of the material contracts to the extent not already in Wells Fargo’s possession;
		

		
			 
		

		
			d.   Satisfactory review of bonding and insurance requirements specified herein (which review the Parties agree has been accomplished and the insurances tendered in writing accepted by Wells Fargo);
		

		
			 
		

		
			e.   Satisfactory regulatory and compliance review; and
		

		
			 
		

		
			f.   Such other due diligence and investigation as Wells Fargo deems necessary.
		

		
			 
		

		
			5.   In the event any agreements with a Servicer are terminated by Client due to a material default of an obligation to process accurate and timely transmissions under such agreement, Wells Fargo may immediately terminate the service with respect to the affected Machines and Client shall immediately reimburse Wells Fargo for any outstanding Cash relating to the terminated Machines.
		

		
			 
		

		
			6.   In the event Client fails to implement, not later than March 31, 2011 (or as may otherwise be agreed to by the Parties in writing before March 31, 2011), the corrective actions required and as are separately documented by the Parties, as a result of the November 2010 MSB audit conducted on Client’s operations by Wells Fargo.
		

		
			 
		

		
			7.   In the event Client fails to pass a satisfactory MSB audit conducted by Wells Fargo of its operations at any time, provided that Client shall have 45 days following the conclusion of such unsatisfactory audit to respond and comment and seek a mutually agreeable resolution thereof with Wells Fargo.
		

		
			 
		

		
			8.   Immediately upon notice to Client in the event Client fails to make payments for Cash Settlement and such failure is a result of a temporary system failure that may not rise to the level of a Force Majeure Event, but nonetheless prevents Client from making payment(s), and such failure continues for a period of three Business Days, if Client notifies Wells Fargo of the reason for such failure and has provided Wells Fargo with supporting documentation substantiating the reason for such failure. In addition, in the event there are excessive temporary system failures resulting in Client’s failure to make payments for Cash Settlement, Wells Fargo may terminate this Agreement regardless of whether or not such failures have continued for a period of three Business Days.
		

		
			 
		

		
			9.   In the event of the inability or failure of any Armored Carrier to deliver required Daily Reports or other documentation requirements under the Armored Carrier Agreements, and the same continues, not more than once in any 12 month period, for a period of two Business Days, and such failure is not cured within such two day period, Wells Fargo may immediately terminate the service with respect to the affected Machines and Client shall immediately reimburse Wells Fargo for any outstanding Cash relating to the terminated Machines.
		

		
			 
		

		
			X.   Indemnification; Limitations on Liability.
		

		
			 
		

		
			A.   Covered Machines. Subject to the risk of loss provisions set forth in Section IV and the limitations of liability set forth in Section X.D., Client shall indemnify, defend and hold Wells Fargo harmless from, for, and against any loss of any of the Cash, and all adjustments, chargebacks, representments, and other corrections to all Cash dispensing transactions under the Servicing Agreements or otherwise, however caused, including, but not limited to, any loss resulting from the operation of the Covered Machines, including any malfunctions thereof, or losses resulting from actions of each Armored Carrier, Servicer or Maintenance Provider while performing services on behalf of Client. Wells Fargo shall promptly notify Client of any regulations or changes of applicable laws which might affect the terms of this Agreement or a Party’s obligations hereunder, and if Wells Fargo and Client determine that it is necessary to amend this Agreement as a result thereof, the parties agree to negotiate in good faith and execute such an amendment. Notwithstanding the foregoing, but subject to the risk of loss provisions set forth in Section IV, Client shall have no indemnity liability hereunder for any claim or loss resulting to the extent that such claim or loss results from the act or omission of Wells Fargo or its employees, agents, or representatives.
		

		
			 
		

		
			B.   Actions of a Party and its Representatives. In addition to the indemnification set forth in Section X.A. above, each Party agrees to indemnify, defend and hold harmless the other Party, its officers, directors, and employees from, for, and against 
		

		
			
		

		
			

		 

		

			11

		

 

 
		

		
			any and all losses, damages, claims, liabilities, penalties (including, but not limited to, any penalties imposed by any governmental entity or agency), and expenses (including, but not limited to, to the extent permitted by law, reasonable attorneys’ fees) suffered or incurred by such other Party as a result of or arising out of, or attributed, directly or indirectly, to the breach of any obligation under this Agreement by the indemnifying party, its agents or representatives.
		

		
			 
		

		
			C.   Taxes. Client agrees to indemnify, defend and hold Wells Fargo harmless from, for and against any loss of the Cash or Receivables (as defined in the Servicer Letters) caused by any loss from Client’s failure to pay taxes, including local and special assessments and governmental and other charges, as well as all public and/or private utility charges, of any type or description, that may from time to time be imposed, assessed and levied against the Covered Machines, against transactions resulting in dispensed Cash, or against Client.
		

		
			 
		

		
			D.   No Consequential Damages. IN NO EVENT WILL ANY PARTY BE LIABLE UNDER ANY THEORY OF LIABILITY (INCLUDING NEGLIGENCE) FOR ANY INDIRECT, INCIDENTAL, SPECIAL, PUNITIVE, EXEMPLARY OR CONSEQUENTIAL DAMAGES OF ANY KIND OR NATURE WHATSOEVER, SUFFERED BY ANOTHER PARTY OR ITS AFFILIATES, EMPLOYEES OR AGENTS, INCLUDING, WITHOUT LIMITATION, LOST PROFITS, BUSINESS INTERRUPTIONS OR OTHER ECONOMIC LOSS ARISING OUT OF THE PERFORMANCE OR NON-PERFORMANCE HEREUNDER, EVEN IF SUCH PARTY HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES AND NOTWITHSTANDING THE FAILURE OF THE ESSENTIAL PURPOSE OF ANY LIMITED REMEDY. For the avoidance of doubt, the Parties agree that the foregoing limitation does not apply to limit a Party’s obligation to indemnify or defend the other Party as provided in this Agreement.
		

		
			 
		

		
			E.   Acknowledgement. EACH OF THE PARTIES UNDERSTANDS THE LEGAL AND ECONOMIC RAMIFICATIONS OF THIS SECTION, AND ACKNOWLEDGES THAT THE PROVISIONS OF THIS SECTION WERE NEGOTIATED BETWEEN THE PARTIES AND THAT SUCH PROVISIONS WERE CONSIDERED BY EACH PARTY IN DETERMINING THE SPECIFIC RISKS THAT IT ASSUMED IN AGREEING TO ITS OBLIGATIONS SET FORTH IN THE AGREEMENT, AND THE AMOUNTS OF THE PAYMENTS TO BE MADE UNDER THE AGREEMENT.
		

		
			 
		

		
			F.   Acts or Omissions. It is the understanding and agreement of the Parties to this Agreement that (i) Wells Fargo shall not be liable for any acts or omissions on the part of Client or any third party whether with respect to any transactions generated through Covered Machines or otherwise, and (ii) Client shall not be liable for any acts or omissions on the part of Wells Fargo or any third party whether with respect to any transactions under this Agreement or otherwise.
		

		
			 
		

		
			G.   Force Majeure. No Party shall be deemed to be in default of any provision herein or to be liable to another Party for any delay, failure of performance, or interruption of service arising due to acts or events beyond such Party’s control including by way of illustration, but not limitation, acts of God, civil and military authority, terrorism, civil disturbance, war, fires, delay of Armored Carrier suppliers, interruptions in telecommunications or networking facilities, or those of its subcontractors for like causes (each a “Force Majeure Event”). The Parties agree that the provisions of this paragraph do not relieve them of their respective risks of loss with respect to Cash as set forth in Section IV of this Agreement.
		

		
			 
		

		
			XI.  Term; Survival; Early Termination Fee.
		

		
			 
		

		
			A.   General. The initial term of this Agreement shall begin on the Effective Date and continue through November 30, 2013 and shall be renewed for additional one-year periods unless a Party gives at least 90 days’ prior written notice of its intent not to renew, provided, however, that each such renewal shall be subject to a written agreement about pricing and such other terms and conditions to be mutually agreed upon among the Parties (the “Stated Termination Date”), unless earlier terminated by a Party as provided in this Agreement (the “Actual Termination Date”).
		

		
			 
		

		
			B.   Redelivery. Upon redelivery as provided in this Agreement, Client shall be responsible and liable for: (i) collecting and delivering to Wells Fargo all payments due from Servicers for Dispensed Cash; and (ii) using its best commercially reasonable efforts to ensure that the Armored Carriers effect redelivery of the Cash in accordance with the terms of this Agreement. In the event Client terminates the Agreement as provided herein, Wells Fargo shall use its best commercially reasonable efforts to effect redelivery and shall not delay or otherwise obstruct the efforts of Client to transition currency and coin services to another provider and shall provide commercially reasonable transition assistance to Client if Client has elected to engage another provider of Cash Services.
		

		
			 
		

		
			C.   Survival. Notwithstanding the termination of this Agreement as provided herein, the obligations of the Parties hereto under (i) Sections II.D, II.E, III (until Final Settlement), IV, V, VI, VII, VIII, IX, XI and XII shall survive and continue in full force and effect until such time as all Cash then outstanding has been returned to Wells Fargo (or reimbursed to Client for any corrective payments of shortfall or overpayment by Client), all payments due from Servicers for Dispensed Cash then outstanding have been paid to Wells Fargo, and all fees owing pursuant to the terms of this Agreement have been paid and (ii) Section X shall survive and continue in full force and effect until the expiration of the applicable period of limitations.
		

		
			 
		

		
			
		

		
			

		 

		

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			D.   Failure to Furnish Cash. If Client terminates this Agreement because Wells Fargo is unable to furnish sufficient Cash to comply with this Agreement, the Cash shall either be redelivered within the timeframe and in the manner mutually agreed-to between Client and Wells Fargo or transferred via Fedwire to Wells Fargo in an amount equal to the then outstanding Cash within such timeframe. Wells Fargo shall be liable for any actual costs incurred by Client in connection with such redelivery. Subject to Section IV (Risk of Loss) and Section VII.E. (Service Level Adjustments), Wells Fargo shall not otherwise be liable for any damages incurred by Client on account of redelivery instituted by Client due to Wells Fargo’s inability to furnish the Cash, nor shall Wells Fargo be liable for any damages resulting from the inability of cardholders to use the Covered Machines because they then contain no currency.
		

		
			 
		

		
			E.   Certain Costs. Client shall not be liable for the cost of redelivery as a result of a Wells Fargo Event of Default.
		

		
			 
		

		
			F.   Early Termination Fee. In the event this Agreement is, for any reason other than a Wells Fargo Default or because of Wells Fargo’s election to terminate the Agreement before the Stated Termination Date when no Client Event of Default exists, terminated prior to the Stated Termination Date, Client shall pay to Wells Fargo a termination fee of (i) $450,000 if such termination occurs during the first year of the Agreement; or (ii) $250,000 if such termination occurs during the second or third year of the Agreement.
		

		
			 
		

		
			G.   Purchase Option. Wells Fargo hereby grants Client an option to purchase the Cash under the following circumstances and subject to the following conditions: (i) this Agreement is terminated for any reason, (ii) the purchase is evidenced by a Currency Bill of Sale in form and substance mutually satisfactory to Client and Wells Fargo and (iii) the purchase is exercised and purchase price paid immediately at termination.
		

		
			 
		

		
			XII. Representations Warranties and Covenants.
		

		
			 
		

		
			A.   Representations and Warranties of Client. Client represents and warrants to, and covenants with Wells Fargo as follows (such representations and warranties being deemed to be made and renewed on each day during the term of this Agreement):
		

		
			 
		

		
			1.   Organization: Client (i) is a duly organized and validly existing corporation or partnership in good standing under the laws of the jurisdiction of its formation, (ii) has the corporate or partnership power and authority to own its property and assets and to transact the business in which it is engaged or presently proposes to engage and (iii) has duly qualified and is authorized to do business and is in good standing in every jurisdiction in which it owns or leases real property or in which the nature of its business requires it to be so qualified, except to the extent that any failure to be so qualified, authorized or in good standing does not have a reasonable likelihood of materially affecting the operations, properties, or business of Client.
		

		
			 
		

		
			2.   Authorization: Client has the corporate or partnership power and authority to execute, deliver and carry out the terms and provisions of this Agreement and has taken all necessary action to authorize the execution, delivery and performance by it of this Agreement. Client has duly executed and delivered this Agreement, and this Agreement constitutes its legal, valid and binding obligation, enforceable in accordance with its terms except as such enforceability may be affected by (i) bankruptcy, insolvency, reorganization, moratorium or other similar laws now or hereafter in effect relating to or affecting creditors’ rights generally and (ii) by general principles of equity (regardless of whether enforcement is sought in a proceeding in equity or at law).
		

		
			 
		

		
			3.   No Conflicts: Neither the execution, delivery or performance by Client of this Agreement, nor compliance by it with the terms and provisions hereof, (i) will contravene any applicable provision of any material law, statute, rule, regulation, order, writ, injunction or decree of any court or governmental instrumentality, or (ii) will conflict or be inconsistent with or result in any material breach of any of the terms, covenants, conditions or provisions of, or constitute a default under, or result in the creation or imposition of (or the obligation to create or impose) any lien (except pursuant to this Agreement) upon any of the property or assets of Client pursuant to the terms of any indenture, mortgage, deed of trust, agreement or other instrument to which Client is a party or by which it or any of its property or assets is bound or to which it may be subject.
		

		
			 
		

		
			4.   No Actions: Client represents and warrants that there are no actions, suits or proceedings pending, to the best of its knowledge, or threatened with respect to this Agreement or the transactions contemplated hereby or that adversely affect the ability or capacity of Client, any Servicer or any Maintenance Provider to perform as agreed-upon hereunder, in its Servicer Letter or Maintenance Provider Letter.
		

		
			 
		

		
			5.   Servicer Contracts: Client represents and warrants that following notice of any such regulatory requirements from Wells Fargo, Client shall notify Wells Fargo if Client becomes aware that a Servicer has failed to conform to any regulatory requirement imposed upon Wells Fargo with respect to the Cash, the Covered Machines, and any related record keeping or reporting requirements imposed on Wells Fargo, including, without limiting the generality of the foregoing, the provisions of the regulations of the OCC, if any, regarding minimum security devices and procedures and the provisions 
		

		
			 
		

		
			
		

		
			

		 

		

			13

		

 

 
		

		
			of the Bank Protection Act of 1968, as amended, 12 USC § 1881 et seq., as such provisions relate to automated teller or cash dispensing machines in off-premises locations.
		

		
			 
		

		
			6.   Access to Covered Machines: No employee of Client or any retail establishment where a Covered Machine is located has access to the Cash stored in any Covered Machine, except through a cash dispensing transaction.
		

		
			 
		

		
			7.   No Liens: To the best of its knowledge, Client represents and warrants that the ownership interest of Wells Fargo in the Cash is and at all times will be free and clear of any and all liens, rights or claims of all other persons. Client shall defend the Cash against all claims and demands of a Servicer claiming the same or any interest therein adverse to Wells Fargo. To the knowledge of Client, no financing statement or other evidence of lien covering or purporting to cover any of the Cash is on file in any public office.
		

		
			 
		

		
			8.   No Defaults: Client is not currently in default under or with respect to any contractual obligation that would, either individually or in the aggregate, reasonably be expected to have a material adverse effect on Client’s operation of the Machines or its performance under this Agreement. To the best of Client’s knowledge, no default under or with respect to any contractual obligation would result from the consummation of the transactions contemplated by this Agreement or any other document related to this Agreement.
		

		
			 
		

		
			9.   Location of Covered Machines: All Covered Machines owned, leased, operated or managed by Client are and at all times will be at the business establishments listed on Exhibit A, as modified from time to time in accordance with this Agreement.
		

		
			 
		

		
			B.   Representations and Warranties of Wells Fargo. Wells Fargo represents and warrants to, and covenants with, Client as follows:
		

		
			 
		

		
			1.   Organization: Wells Fargo (i) is a duly organized and validly existing national bank in good standing under the laws of the United States of America, (ii) has the corporate power and authority to own its property and assets and to transact the business in which it is engaged or presently proposes to engage and (iii) has duly qualified and is authorized to do business as a bank in every jurisdiction in which it owns or leases real property or in which the nature of its business requires it to be so qualified, except to the extent that any failure to be so qualified, authorized or in good standing does not have a reasonable likelihood of materially affecting the operations, properties, or business of Wells Fargo.
		

		
			 
		

		
			2.   Authorization: Wells Fargo has the corporate power and authority to execute, deliver and carry out the terms and provisions of this Agreement and has taken all necessary action to authorize the execution, delivery and performance by it of this Agreement. Wells Fargo has duly executed and delivered this Agreement, and this Agreement constitutes its legal, valid and binding obligation, enforceable in accordance with its terms except that such enforceability may be subject to (i) bankruptcy, insolvency, reorganization, moratorium or other similar laws now or hereafter in effect relating to or affecting creditors’ rights generally and (ii) by general principles of equity (regardless of whether enforcement is sought in a proceeding in equity or at law).
		

		
			 
		

		
			3.   No Conflicts: Neither the execution, delivery or performance by Wells Fargo of this Agreement, nor compliance by it with the terms and provisions hereof, (i) will contravene any applicable provision of any material law, statute, rule, regulation, order, writ, injunction or decree of any court or governmental instrumentality or (ii) will conflict or be inconsistent with or result in any material breach of any of the terms, covenants, conditions or provisions of, or constitute a default under, or result in the creation or imposition of (or the obligation to create or impose) any lien upon any of the property or assets of Wells Fargo pursuant to the terms of any indenture, mortgage, deed of trust, agreement or other instrument to which Wells Fargo is a party or by which it or any of its property or assets is bound or to which it may be subject.
		

		
			 
		

		
			4.   No Actions: There are no actions, suits or proceedings pending or, to its knowledge, threatened with respect to this Agreement or the transactions contemplated hereby.
		

		
			 
		

		
			5.   No Defaults: Wells Fargo is not currently in default under or with respect to any contractual obligation that could, either individually or in the aggregate, reasonably be expected to have a material adverse effect on Wells Fargo’s ability to perform under this Agreement. To Wells Fargo’s best knowledge, no default under or with respect to any contractual obligation would result from the consummation of the transactions contemplated by this Agreement or any other document related to this Agreement.
		

		
			 
		

		
			C.   Covenants of Client. Client covenants and agrees with Wells Fargo that from and after the Effective Date of this Agreement:
		

		
			 
		

		
			1.    Further Assurances: Upon the request of Wells Fargo, and at the expense of Wells Fargo (unless such cooperation is related to a breach by Client), Client will cooperate with Wells Fargo to the extent Wells Fargo may reasonably deem necessary in protecting its ownership interest in the Cash and in the payments from Servicers for Dispensed Cash, and in complying with applicable laws and regulations.
		

		
			 
		

		
			
		

		
			

		 

		

			14

		

 

 
		

		
			2.    Change of Name or Entity Structure: Client shall notify Wells Fargo within 30 days of changing its name, jurisdiction of incorporation, or entity structure or moving its principal executive office outside of the metropolitan Las Vegas, Nevada area.
		

		
			 
		

		
			3.    Right of Inspection: If a discrepancy arises in connection with the Cash settlement, Client will provide Wells Fargo with access, during normal business hours and upon reasonable prior notice to Client to all books, correspondence and records of Client directly relating to the discrepancy. Wells Fargo and its representatives may examine the same, take extracts therefrom and make photocopies thereof, at the cost and expense of Client. Client agrees to render to Wells Fargo, without cost or expense, such clerical and other assistance as may be reasonably requested with regard thereto.
		

		
			 
		

		
			4.    Compliance with Laws Affecting Cash: Client will comply in all material respects with all requirements of law applicable to the Cash or any part thereof; provided however, that Client may contest any requirement of law in any reasonable manner which shall not adversely affect Wells Fargo’s rights in the Cash.
		

		
			 
		

		
			5.    Electronic Reports; Access: Client will provide any data deliverable in connection with this Agreement to Wells Fargo in the agreed-to format and will provide access as required in Section III.C.5 hereof.
		

		
			 
		

		
			6.    Negative Pledge: Client will not create, incur or permit to exist, will defend the Cash against, and will take such other action as is necessary to remove, any lien or claim on or to the Cash against the claims and demands of a Servicer or an Armored Carrier (except arising through or on account of Wells Fargo).
		

		
			 
		

		
			7.    Notice: Upon becoming aware thereof, Client will promptly advise Wells Fargo, in reasonable detail, in accordance with the provisions hereof, (i) of any breach under this Agreement, (ii) of any lien on, or claim asserted against, any of the Cash, and (iii) of the occurrence of any other event which could reasonably be expected to have a material adverse effect on the aggregate value of the Cash or on the liens created hereunder.
		

		
			 
		

		
			8.    Compliance with Rules and Regulations: Client will abide by and operate in accordance with all applicable network rules and regulations and all applicable banking laws and regulations following notice by Wells Fargo of such rules or regulations. Client will comply with the applicable regulations of any network processor and all state and federal regulations, including Regulation E.
		

		
			 
		

		
			9.    Notice to Wells Fargo: Client shall deliver to Wells Fargo, within three Business Days of receipt, a copy of all notices or correspondence it receives from any third-party relating to the operation of the Covered Machines or the provisioning of Cash for the Covered Machines that may materially affect another Party’s performance of its obligations under this Agreement. Client shall promptly inform Wells Fargo of the location of all Covered Machines and will advise in advance of any proposed relocation, in each case in accordance with the terms of this Agreement.
		

		
			 
		

		
			10.  Financial Statements: To the extent that Global Cash Access Holdings, Inc. (“Holdings”), Client’s parent entity, is no longer a public reporting company under the securities laws of the United States, Client will, from time to time, deliver to Wells Fargo copies of its quarterly and annual financial statements and reports as reasonably requested by Wells Fargo, together with any financial information supporting such financial statements and reports. Quarterly financial statements will be due within 45 days of the end of each quarter and annual financial statements within 90 days of the end of each fiscal year.
		

		
			 
		

		
			11.  Maintenance of Records. Client agrees to maintain sufficient records to permit an audit by Wells Fargo as is necessary for the settlement of all Cash transactions; provided, however, that neither Client nor their agents shall be required to maintain records beyond six months unless a dispute exists or other circumstances reasonably warrant a longer period of time. Client shall maintain its records as mutually agreed by the Parties in order to permit Wells Fargo additional information to confirm the contents of the Daily Reports and to confirm information on a transaction-by-transaction basis.
		

		
			 
		

		
			D.   Covenants of Wells Fargo. Wells Fargo covenants and agrees with Client that from and after the date of this Agreement:
		

		
			 
		

		
			1.   Compliance with Laws Affecting Cash: Wells Fargo will comply in all material respects with all requirements of law applicable to the Cash or any part thereof; provided however, that Wells Fargo may contest any requirement of law in any reasonable manner.
		

		
			 
		

		
			2.   Notice: Upon becoming aware thereof, Wells Fargo will advise Client promptly, in reasonable detail, in accordance with the provisions hereof, (i) of any breach under this Agreement, (ii) of any lien on, or claim asserted against, any of the Cash, and (iii) of the occurrence of any other event which could reasonably be expected to have a material adverse effect on the aggregate value of the Cash or its agreements hereunder.
		

		
			 
		

		
			
		

		
			

		 

		

			15

		

 

3.   Compliance with Rules and Regulations: Wells Fargo will abide by and operate in accordance with all applicable network rules and regulations and all applicable banking laws and regulations. Wells Fargo will comply with the applicable regulations of any network processor and all state and federal regulations, including Regulation E.
		

		
			 
		

		
			XIII.      General Provisions.
		

		
			 
		

		
			A.   Counterparts. This Agreement may be executed simultaneously in one or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same agreement.
		

		
			 
		

		
			B.   Relationship of the Parties. Wells Fargo and Client shall at all times be deemed to be independent contractors. Except as expressly provided herein to the contrary, neither Wells Fargo nor Client will have authority to enter into contracts on each other’s behalf, to hire or fire employees of one another, nor in any way to obligate each other to any third party.
		

		
			 
		

		
			C.   Entire Agreement; Modification. This Agreement, along with the appendices, exhibits, the Fee Letter, and the addenda referenced herein, constitutes the entire agreement between Wells Fargo and Client relating to the subject matter herein and may not be changed orally but only by a written instrument signed by both Parties. There are no restrictions, promises, warranties, covenants, or undertakings relating to the subject matter of this Agreement, other than those expressly set forth or referred to herein. This Agreement supersedes all prior agreements and understandings between the parties with respect to such subject matter.
		

		
			 
		

		
			D.   Assignment. No Party may assign this Agreement to any other person or business entity without the other Party’s prior written consent; provided, however, that either Party may assign this Agreement, in whole or in part, with written notice to the other Party, to its parent company, a wholly owned direct or indirect subsidiary of the parent company, its affiliate, or subsidiary corporation, provided that such assignment shall be contingent upon the assigning Party agreeing to continue to guarantee any and all obligations owed hereunder by such assignee under this Agreement and the Servicer Letters and shall document such continuing guaranty in a form acceptable to the non-assigning Parties.
		

		
			 
		

		
			E.   Notices. All notices, requests and approvals required by this Agreement shall: (a) be in writing; (b) be addressed to the Parties as indicated below unless notice is given in writing of a change in address; (c) be deemed to have been given when received; and (d) unless otherwise provided in this Agreement, be sent by certified first class mail, return receipt requested, postage prepaid, or other receipted express delivery service, or telecopy with written acknowledgment of receipt:
		

		
			 
		

			
					
						If to Wells Fargo:

				
	
					
						 

				
	
					
						Wells Fargo Bank, N.A.

				
	
					
						Attn: Olga Wisnicky

				
	
					
						3800 Howard Hughes Pkwy, Suite 400

				
	
					
						Las Vegas, Nevada 89169

				
	
					
						(866) 935-4452 e-fax

				
	
					
						 

				
	
					
						With 2nd notice to:

				
	
					
						Wells Fargo Bank, N.A.

				
	
					
						Attn: Management — Urgent Attention Required

				
	
					
						3800 Howard Hughes Pkwy, Suite 400

				
	
					
						Las Vegas, Nevada 89169

				
	
					
						(702) 791-6365 fax

				
	
					
						 

				
	
					
						If to Client:

				
	
					
						 

				
	
					
						Global Cash Access, Inc.

				
	
					
						3525 E. Post Road, Suite 120

				
	
					
						Las Vegas, NV 89120

				
	
					
						Attn: General Counsel

				
	
					
						Fax: _________________

				

		
			 
		

		
			Notices given under this Section may be given by electronic mail provided that both of the Parties agree to this method of communication for the notices, requests or approvals for which electronic mail is desired to be used.
		

		
			 
		

		
			F.   Governing Law and Venue. This Agreement shall be governed by and interpreted under the laws of the State of Delaware (“Governing Law”), without regard to conflicts of laws principles. Subject to the arbitration provisions in Section XIII.H below, the Parties hereby irrevocably submit to the jurisdiction of any state or federal court in Las Vegas, Nevada with respect to any action or proceeding arising out of or relating to this Agreement. Subject to the arbitration provisions in Section XIII.H below, the Parties hereby consent to and grant to any such court jurisdiction over the persons of such Parties 
		

		
			 
		

		
			
		

		
			

		 

		

			16

		

 

and over the subject matter of any such dispute and agree that delivery or mailing of any process or other papers in the manner provided herein, or in such other manner as may be permitted by law, shall be valid and sufficient service thereof.
		

		
			 
		

		
			G.   Section Headings. The section headings in the Agreement are for purposes of reference only and shall not limit or affect any of the terms herein.
		

		
			 
		

		
			H.   Arbitration.
		

		
			 
		

		
			1.    Arbitral Process: Upon the demand of either Party, any “Dispute” shall be resolved by binding arbitration (except as set forth below in “Judicial Review of Awards”) in accordance with the terms of this Agreement. A “Dispute” shall mean any action, dispute, claim, or controversy of any kind, whether in contract or tort, statutory or common law, legal or equitable, now existing or hereafter arising under or in connection with, or in any way pertaining to, the subject matter of this Agreement, or any past, present, or future activities, transactions, or obligations of any kind related directly or indirectly to the subject matter of this Agreement, including, without limitation, any of the foregoing arising in connection with the exercise of any self-help or any ancillary or other remedies or actions taken relating to the subject matter of this Agreement. Any Party may by summary proceedings bring an action in court to compel arbitration of a Dispute. Any Party who fails or refuses to submit to arbitration following a lawful demand by any other Party shall bear all costs and expenses incurred by such other Party in compelling arbitration of any Dispute.
		

		
			 
		

		
			2.    Rules Governing Arbitration: Arbitration proceedings shall be administered by the American Arbitration Association (“AAA”) or such other administrator as the parties shall mutually agree upon in accordance with the AAA Commercial Arbitration Rules. All Disputes submitted to arbitration shall be resolved in accordance with the Federal Arbitration Act (Title 9 of the United States Code), notwithstanding any conflicting choice of law provision in this Agreement. The arbitration shall be conducted at a location in Las Vegas, Nevada selected by the AAA or other administrator. If there is any inconsistency between the terms hereof and any such rules, the terms and procedures set forth herein shall control. All statutes of limitation applicable to any Dispute shall apply to any arbitration proceeding. All discovery activities shall be expressly limited to matters directly relevant to the Dispute being arbitrated. Judgment upon any award rendered in an arbitration may be entered in any court having jurisdiction; provided, however, that nothing contained herein shall be deemed to be a waiver by either Party which is a bank of the protections afforded to it under 12 USC § 91 or any similar applicable state law.
		

		
			 
		

		
			3.    Arbitration; Provisional Remedies: Except as otherwise provided in this Agreement, no provision hereof shall limit the right of either Party to exercise self-help remedies such as setoff, or to obtain provisional or ancillary remedies, including, without limitation, injunctive relief, sequestration, attachment, garnishment, or the appointment of a receiver, from a court of competent jurisdiction before, after, or during the pendency of any arbitration or other proceeding. The exercise of any such remedy shall not waive the right of either Party to compel arbitration hereunder.
		

		
			 
		

		
			4.    Arbitrator Qualifications and Awards; Powers: All Arbitrators shall be selected in accordance with the AAA Commercial Arbitration Rules. Arbitrators must (a) be active members of the State Bar of Nevada with expertise in the substantive laws applicable to the subject matter of the Dispute, (b) not be affiliated with either of the Parties and (c) have at least five years experience in arbitrating sophisticated commercial contract disputes. Arbitrators are empowered to resolve Disputes by summary rulings in response to motions filed prior to the final arbitration hearing. Arbitrators (i) shall resolve all Disputes in accordance with the Governing Law, (ii) may grant any remedy or relief that a federal or state court of Nevada could order or grant within the scope hereof and such ancillary relief as is necessary to make effective any award, and (iii) shall have the power to award recovery of all costs and fees, to impose sanctions and to take such other actions as they deem necessary to the same extent a judge could pursuant to the Federal Rules of Civil Procedure, the Rules of Civil Procedure of the State of Nevada, or other applicable law. Disputes less than $5,000,000 shall be decided by a single arbitrator mutually agreed by the Parties. If the Parties cannot mutually agree on a single arbitrator within five Business Days of initiation of arbitration, then the AAA shall select an arbitrator on behalf of the Parties. Disputes of $5,000,000 or more shall be decided by majority vote of a panel of three arbitrators; provided, however, that all three arbitrators must actively participate in all hearings and deliberations. The panel of arbitrators will be comprised of three arbitrators, with one arbitrator selected by each of Wells Fargo and Client and the third arbitrator selected by the two arbitrators chosen by the Parties. If an arbitrator is unable to serve, his or her replacement will be selected in the same manner as the arbitrator to be replaced.
		

		
			 
		

		
			5.    Judicial Review of Awards: Notwithstanding anything herein to the contrary, in any arbitration in which the amount in controversy exceeds $25,000,000, the arbitrators shall be required to make specific, written findings of fact and conclusions of law. In such arbitrations (i) the arbitrators shall not have the power to make any award which is not supported by substantial evidence or which is based on legal error, (ii) an award shall not be binding upon the parties unless the findings of fact are supported by substantial evidence and the conclusions of law are not erroneous under the Governing Law, and (iii) the parties shall have, in addition to the grounds referred to in the Federal Arbitration Act for vacating, modifying or correcting an award, the right to judicial review of (a) whether the findings of fact rendered by the arbitrators are supported by substantial evidence, and (b) whether the conclusions of law are erroneous under the 
		

		
			
		

		
			

		 

		

			17

		

 

Governing Law. Judgment confirming an award in such a proceeding may be entered only if a court determines the award is supported by substantial evidence and not based on legal error under the Governing Law.
		

		
			 
		

		
			6.    Arbitration; Other Matters: To the maximum extent practicable, the AAA, the arbitrators and the Parties shall take all action required to conclude any arbitration proceeding within 180 days of the filing of the Dispute with the AAA. No arbitrator or other Party to an arbitration proceeding may disclose the existence, content or results thereof, except for disclosures of information by a Party required in the ordinary course of its business, by applicable law or regulation, or to the extent necessary to exercise any judicial review rights set forth herein. If more than one agreement for arbitration by or between the Parties potentially applies to a Dispute, the arbitration provision most directly related to the subject matter of the Dispute shall control. This arbitration provision shall survive the termination of this Agreement.
		

		
			 
		

		
			I.    Attorneys’ Fees. In the event either Party to this Agreement shall be required to initiate legal or arbitration proceedings (a) to interpret or enforce performance of any term or condition of this Agreement, (b) to enjoin any action prohibited hereunder, or (c) to gain any other form of relief whatsoever, the prevailing Party shall be entitled to recover, to the extent permitted by law, in addition to any other damages or compensation received, reasonable attorneys’ fees and court costs incurred by it on account thereof notwithstanding the nature of the claim or cause of action asserted by the prevailing Party. “Attorneys’ fees” includes the reasonable expense to any corporation of the service of its in-house counsel.
		

		
			 
		

		
			J.    Waiver. If a Party waives any of its rights on any one or more occasions it will not be deemed to be a waiver of that Party’s rights on any other occasion. No delay on the part of any Party hereto in exercising any right, power, or privilege hereunder shall operate as a waiver thereof, and no single or partial exercise of any right, power, or privilege hereunder shall preclude other or further exercise thereof, or be deemed to establish a custom or course of dealing or performance between the Parties hereto, or preclude the exercise of any other right, power, or privilege.
		

		
			 
		

		
			K.   No Third Party Beneficiaries. Nothing in this Agreement is intended or shall be construed to give any person, other than the Parties to or Parties indemnified under this Agreement, any legal or equitable right, remedy or claim under or in respect of this Agreement or any provision contained in this Agreement.
		

		
			 
		

		
			L.   Remedies Cumulative. The rights and remedies herein expressly provided are cumulative and may be exercised singly or concurrently and as often and in such order as the Party entitled to such right or remedy deems expedient and are not exclusive of any rights or remedies which such Party would otherwise have whether by agreement or now or hereafter existing under applicable law.
		

		
			 
		

		
			M.   Severability. In case any provision in or obligation under this Agreement shall be invalid, illegal or unenforceable in any jurisdiction, the validity, legality and enforceability of the remaining provisions or obligations, or of such provision or obligation in any other jurisdiction, shall not in any way be affected or impaired thereby.
		

		
			 
		

		
			N.   Examinations and Audits.
		

		
			 
		

		
			1.    Of Armored Carrier: Client shall take all steps reasonably necessary to ensure to the satisfaction of Wells Fargo that each Armored Carrier shall allow Wells Fargo, Client, their respective designees, and any regulatory or supervisory body to which Wells Fargo or its affiliates is subject (“Auditors”), access to its facilities that maintain inventories of the Cash, subject to the terms and conditions of this Section. Such access shall be for the purpose of allowing the Auditors to perform a physical audit of the Cash, and shall be permitted on regular Business Days during the Armored Carrier’s regular business hours at any time without prior notice, but subject to the Armored Carrier’s regular security policies. The Auditors must present proper credentials to the manager of the Armored Carrier’s facilities prior to gaining admission. The Party on whose behalf the audit is to be conducted (which, in the case of an audit by any regulatory or supervisory body, shall be the Party subject to the regulation or supervision of such body) shall indemnify, defend and hold harmless the other Party and the Armored Carrier from any liability, loss, damage, cost, or expense, including reasonable attorney’s fees, arising out of any bodily injury, death, or damage to property sustained by an Auditor as a result of being on the Armored Carrier’s premises or entering or leaving therefrom, to the extent that such bodily injury, death, or damage to property does not arise from the negligence or intentional misconduct of the Armored Carrier or any of its officers, agents, or employees. In addition, Client (provided the audit is to be conducted by or on behalf of Wells Fargo) and Armored Carrier shall furnish to the Auditors their respective records relating to the Cash and the performance of Client’s obligations under this Agreement. Client (provided the audit is to be conducted by or on behalf of Wells Fargo) and Armored Carrier shall have the right to have an employee or agent present at all times during any examination or audit of their respective records. Armored Carrier shall have the right to have an employee present at all times during any audit conducted pursuant to this section.
		

		
			 
		

		
			2.    Of Wells Fargo: Wells Fargo shall allow Client or its designees (“Client’s Auditors”), reasonable access to Wells Fargo’s records relating to the Cash and the performance of its obligations under this Agreement for the purpose of allowing the Client’s Auditors to perform a review of the services provided by Wells Fargo under this Agreement. Such access shall be permitted on regular Business Days during Wells Fargo’s regular business hours at times mutually agreed upon by 
		

		
			
		

		
			

		 

		

			18

		

 

 
		

		
			Wells Fargo and the Client’s Auditor. If Wells Fargo elects to give Client’s Auditors access to its records on Wells Fargo’s premises, Client’s Auditors may be required to present proper credentials to the manager of such premises prior to gaining admission. Client shall indemnify, defend and hold harmless Wells Fargo from any liability, loss, damage, cost, or expense, including reasonable attorney’s fees, arising out of any bodily injury, death, or damage to property sustained by Client’s Auditor as a result of gaining access to Wells Fargo’s premises or entering or leaving therefrom, to the extent that such bodily injury, death, or damage to property does not arise from the negligence or intentional misconduct of Wells Fargo or any of its officers, agents, or employees. Wells Fargo shall have the right to have an employee or agent present at all times during any examination or audit of its records.
		

		
			 
		

		
			3.    Of Amounts in Covered Machines: At least monthly, Armored Carrier shall swap the cash cassettes in and balance each Covered Machine and report the balances to Wells Fargo using iCom Reporting Systems. In the event there is a discrepancy between the balances in any Covered Machine reported by Armored Carrier and the balances reported to Client by Wells Fargo for those Covered Machines, Wells Fargo shall promptly, and in any event within 5 days following discovery of such discrepancy, report such discrepancy to Client.
		

		
			 
		

		
			4.    MSB Audit of Client: At least annually, and more frequently if required in Wells Fargo’s sole discretion, Wells Fargo will conduct an MSB audit of Client’s operations. Wells Fargo will provide reasonable notice to Client of any such audit. Client agrees to fully cooperate in any such audit and to make available to Wells Fargo all records and other information that are requested by Wells Fargo and are necessary for the Bank to perform such audit.
		

		
			 
		

		
			O.   SEC Reporting Requirements. Wells Fargo hereby acknowledges that Holdings may be required by law to file this Agreement as an exhibit to one or more of its public filings or reports with the Securities and Exchange Commission and Wells Fargo consents to the filing of this Agreement as an exhibit to any such report or filing; provided that Client shall seek confidential treatment with respect to the amount of fees set forth in Section VII.A of this Agreement for purposes of redacting such fee information from any public filings or reports filed by Holdings with the Securities and Exchange Commission.
		

		
			 
		

		
			P.   Wells Fargo’s Records Presumed Correct. Except as otherwise expressly set forth in this Agreement, if at any time during the term of this Agreement there is a discrepancy between the records of Wells Fargo and the records of Client or any third party, the records of Wells Fargo shall be rebuttably presumed to be correct.
		

		
			 
		

		
			Q.   Construction. The Parties acknowledge that this Agreement was jointly drafted and the provisions herein shall not be construed against any Party.
		

		
			 
		

		
			R.   Wholesaling Prohibited. The services provided under this Agreement to Client are intended for the direct benefit of Client and no other person. If at any time Wells Fargo, in its sole determination, concludes that Cash supplied to a Covered Machine is in furtherance of a transaction in which the services provided by Wells Fargo to Client under this Agreement are being directly or indirectly resold to a third party, Wells Fargo may immediately terminate its obligations under this Agreement with respect to such Covered Machine.
		

		
			 
		

		
			S.   Patriot Act Notice; OFAC and Bank Secrecy Act. Wells Fargo hereby notifies Client that pursuant to the requirements of the Patriot Act, it is required to obtain, verify and record information that identifies Client, which information includes the name and address of Client in accordance with the Patriot Act. Client will provide such information and take such actions as are reasonably requested by Wells Fargo in order to assist Wells Fargo in maintaining compliance with the Patriot Act. “Patriot Act” means the Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism Act of 2001, Pub. L. 107-56, signed into law October 26, 2001. In addition, Client shall (a) ensure that no person, firm or entity who owns a controlling interest in or otherwise controls Client or any subsidiary of Client is or shall be listed on the Specially Designated National and Blocked Persons List or similar lists maintained by the Office of Foreign Assets Control (“OFAC”), the Department of Treasury or included in any Executive Orders, (b) not use or permit to use any funds to violate any of the foreign asset control regulations of OFAC or any enabling statute or Executive Order relating thereto, the Bank Secrecy Act, the Money Laundering Act of 1986, or any other law or legal requirement relating to money laundering, all as amended from time to time, and (c) comply, and cause its subsidiaries to comply, with all such laws and other legal requirements.
		

		
			 
		

		
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			IN WITNESS WHEREOF, each of the Parties hereto has caused this Agreement to be executed on its behalf by its duly authorized officers, as of the date and year written above.
		

		
			 
		

			
					
						GLOBAL CASH ACCESS, INC.

					
					
						 

					
					
						WELLS FARGO BANK, N. A.

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						By:

					
					
						/s/ Scott Betts

					
					
						 

					
					
						By:

					
					
						/s/ Olga E. Wisinicky

				
	
					
						 

					
					
						Name: Scott Betts

					
					
						 

					
					
						 

					
					
						Name: Olga E. Wisinicky

				
	
					
						 

					
					
						Title: CEO

					
					
						 

					
					
						 

					
					
						Title: Vice President

				

		
			 
		

		
			 
		

		
			 
		

		
			

		 

		

			20

		

 

		

			 

		

 
		

		
			EXHIBIT A
		

		
			 
		

		
			Covered Machines
		

		
			 
		

		
			See Exhibit F (Recovery Plan) which includes the list of Covered Machines
		

		
			 
		

		
			
		

		
			

		 

		

			 

		

 

		

			 

		

 
		

		
			EXHIBIT B
		

		
			 
		

		
			Servicer Settlement Accounts
		

		
			 
		

			
					
						 

					
					
						 

					
					
						 

				
	
					
						Servicer Names

					
					
						 

					
					
						Settlement Account Number

				
	
					
						 

					
					
						 

					
					
						 

				
	
					
						*

					
					
						 

					
					
						*

				
	
					
						 

					
					
						 

					
					
						 

				
	
					
						*

					
					
						 

					
					
						*

				
	
					
						 

					
					
						 

					
					
						 

				
	
					
						*       Identified in separate writing between Wells Fargo and Client.

					
					
						 

					
					
						 

				

		
			 
		

		
			 
		

		
			 
		

		
			

		 

		

			 

		

 

 
		

		
			EXHIBIT C
		

		
			 
		

		
			Servicer Letter
		

		
			(Processor)
		

		
			 
		

			
					
						[INSERT DATE]

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						Attention: 

					
					
						 

					
					
						 

				

		
			 
		

		
			Ladies and Gentlemen:
		

		
			 
		

		
			Wells Fargo Bank, National Association (“Wells Fargo”) has entered into, or intends to enter into, a Contract Cash Solutions Agreement with _____ (“Client”) (the “Contract Cash Solutions Agreement”) pursuant to which Wells Fargo shall provide U.S. currency for the operation of ATM machines owned, operated or managed by Client and listed on Exhibit A as the same may be supplemented from time to time by joint written notice from Wells Fargo and Client to Servicer (the “Covered Machines”). Client has also contracted with the above named addressee (“Servicer”) to perform certain services in connection with the Covered Machines pursuant to a separate agreement between Servicer and Client (the “Servicing Agreement”). The purpose of this letter agreement is to set forth certain rights and obligations of Servicer, Wells Fargo and Client.
		

		
			 
		

		
			1.    Definitions. For purposes of this letter agreement the following words shall have the corresponding meanings below:
		

		
			 
		

		
			(a)   “Cash” shall mean the U.S. currency provided by Wells Fargo for the operation of the Covered Machines pursuant to the Contract Cash Solutions Agreement.
		

		
			 
		

		
			(b)   “Receivables” shall mean, for any period, an amount equal to the total amount of Cash dispensed from the Covered Machines for any given period for which Servicer is required to reimburse Wells Fargo pursuant to Section 4 of this Agreement.
		

		
			 
		

		
			2.    Ownership of Cash and Receivables. Notwithstanding that the Cash or the Receivables may be in the physical possession or custody of a party other than Wells Fargo, Servicer and Client agree that Wells Fargo shall have absolute control of all of the Cash at all times, that the Cash and the Receivables are the sole and exclusive property of Wells Fargo and that Servicer shall not at any time have any interest (including any security interest) in such Cash or Receivables.
		

		
			 
		

		
			3.    Access to Cash; Regulatory Requirements. Servicer acknowledges that it has no access to or control of the Cash and that Servicer shall not, and shall not instruct its agents and subcontractors (if any) to, physically remove the Cash from Covered Machines or hinder Wells Fargo’s physical access to the Cash. Servicer shall cooperate with Wells Fargo by furnishing all information in the possession of Servicer and reasonably required by Wells Fargo to meet regulatory requirements that Wells Fargo notifies Servicer of in writing.
		

		
			 
		

		
			4.    Settlement of Cash. Wells Fargo maintains depository accounts (each a “Settlement Account”) which shall be used to settle transactions, including electronic transfer of funds, that are consummated at the Covered Machines when Cash is dispensed from a Covered Machine. Servicer’s settlement of transactions with respect to Cash dispensed from a Covered Machine pursuant to the terms of the Servicing Agreement shall be made by wire transfer of the required amount of funds in immediately available funds into the appropriate Settlement Account. Client and Servicer each acknowledges that all Cash dispensing transactions with respect to the Covered Machines, including all charges with respect thereto, and all adjustments, chargebacks, representments and other corrections thereto will be settled to the appropriate Settlement Account. The Settlement Account shall be Wells Fargo account no. _____. The designation of a Settlement Account may be changed only in writing by Client and Wells Fargo and Servicer shall not make payment of any settlement amounts attributable to the Covered Machines to any other account unless so instructed jointly by Client and Wells Fargo.
		

		
			 
		

		
			5.    No Obligation. Servicer shall have no rights or obligations under the Contract Cash Solutions Agreement. Wells Fargo shall have no rights or obligations under the Servicing Agreement. The sole rights or obligations between Servicer and Wells Fargo are set forth herein.
		

		
			 
		

		
			6.    Term and Termination.
		

		
			 
		

		
			(a)   Client shall promptly provide Wells Fargo with notice of any notice of termination of the Servicing Agreement. This letter agreement shall automatically terminate upon the termination of the Servicing Agreement or the Contract Cash Solutions Agreement.
		

		
			 
		

		
			(b)   Wells Fargo and Client shall each promptly provide Servicer with notice of any notice of termination of the Contract Cash Solutions Agreement.
		

		
			 
		

		
			
		

		
			

		 

 

		

			____, 20___

		

		

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			(c)   No party shall have liability to the other party for any delay beyond the control of such party in the provision of notice pursuant to subsections (a) or (b) above.
		

		
			 
		

		
			(d)   Nothing contained herein is intended to alter the provisions for termination of the Servicing Agreement and the Contract Cash Solutions Agreement found therein, which termination shall be permissible solely to the extent permitted under the relevant agreements and pursuant to the terms thereof.
		

		
			 
		

		
			7.    Representations and Warranties.
		

		
			 
		

		
			(a)   Representations of Client. Client represents and warrants to, and covenants with, Wells Fargo as follows:
		

		
			 
		

		
			1.   Organization. Client is a corporation, validly existing and in good standing under the laws of the jurisdiction of its formation and has all necessary power and authority to own or lease its properties and to carry on its business as now being conducted.
		

		
			 
		

		
			2.   Authorization. Client has the power to enter into this letter agreement, and the execution, delivery and performance of this letter agreement has been duly authorized by all requisite action. This letter agreement when executed and delivered shall constitute the valid and binding obligation of Client.
		

		
			 
		

		
			(b)   Representations of Servicer. Servicer represents and warrants to, and covenants with, Wells Fargo as follows:
		

		
			 
		

		
			1.   Organization. Servicer is duly formed, validly existing and in good standing under the laws of the jurisdiction of its formation and has all necessary corporate power and authority to own or lease its properties and to carry on its business.
		

		
			 
		

		
			2.   Authorization. Servicer has the corporate power to enter into this letter agreement, and the execution, deliver and performance of this letter agreement has been duly authorized by all requisite corporate action. This letter agreement when executed and delivered shall constitute the valid and binding obligation of Servicer.
		

		
			 
		

		
			(c)   Representations of Wells Fargo. Wells Fargo represents and warrants to, and covenants with, Client and Servicer as follows:
		

		
			 
		

		
			1.   Organization. Wells Fargo is duly organized, validly existing and in good standing under the laws of the United States and has all necessary corporate power and authority to own or lease its properties and to carry on its business as now being conducted, and possesses all licenses, franchises, rights and privileges material to the conduct of its business, taken as a whole.
		

		
			 
		

		
			2.   Authorization. Wells Fargo has the corporate power to enter into this letter agreement, and the execution, delivery and performance of this letter agreement has been duly authorized by all requisite corporate action. This letter agreement when executed and delivered shall constitute the valid and binding obligation of Wells Fargo.
		

		
			 
		

		
			8.    Conflicts. In the event of a conflict between the terms set forth in Section 2 of this letter agreement and the Servicing Agreement, the terms set forth in Section 2 of this letter agreement shall prevail.
		

		
			 
		

		
			9.    Governing Law. This letter agreement shall be governed by [INSERT STATE] law.
		

		
			 
		

		
			10.   Notices. All notices under this letter agreement shall be sent by certified first class mail, return receipt requested, postage prepaid, or other receipted express delivery services, or by facsimile with written acknowledgment of receipt, and shall be effective upon receipt:
		

		
			 
		

		
			If to Client to:
		

		
			 
		

		
			If to Servicer to:
		

		
			 
		

		
			If to Wells Fargo to:
		

		
			 
		

		
			Wells Fargo Bank, National Association
		

		
			 
		

		
			11.   Amendments. The terms of this letter agreement may not be amended without the prior written consent of each party hereto.
		

		
			 
		

		
			12.   Counterparts. This letter agreement may be executed in one or more counterparts, each of which shall be deemed an original. All counterparts executed shall constitute one agreement binding all of the parties.
		

		
			 
		

		
			13.   Waiver. If a party waives any of its rights on any one or more occasions it will not be deemed to be a waiver of that party’s rights on any other occasion.
		

		
			 
		

		
			
		

		
			

		 

		

			 

		

 

		

			____, 20___

		

		

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			14.   Severability. Any provision of this letter agreement held by a court of competent jurisdiction to be invalid or unenforceable shall not impair or invalidate the remainder of this letter agreement and the effect thereof shall be confined to the provision so held to be invalid or unenforceable.
		

		
			 
		

		
			Please acknowledge your receipt and agreement with the provisions of this letter agreement by having your authorized officer execute the copy included herewith and returning it to the undersigned.
		

		
			 
		

			
					
						 

					
					
						 

					
					
						Sincerely,

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						 

					
					
						 

					
					
						[CLIENT]

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						 

					
					
						 

					
					
						By:

					
					
						 

				
	
					
						 

					
					
						 

					
					
						 

					
					
						Name:

				
	
					
						 

					
					
						 

					
					
						 

					
					
						Title:

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						ACKNOWLEDGED AND AGREED TO THIS________ DAY OF_____,20_____.

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						[SERVICER]

					
					
						 

					
					
						 

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						By:

					
					
						 

					
					
						 

					
					
						 

				
	
					
						 

					
					
						Name:

					
					
						 

					
					
						 

				
	
					
						 

					
					
						Title:

					
					
						 

					
					
						 

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						WELLS FARGO BANK, NATIONAL ASSOCIATION

					
					
						 

					
					
						 

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						By:

					
					
						 

					
					
						 

					
					
						 

				
	
					
						 

					
					
						Name:

					
					
						 

					
					
						 

				
	
					
						 

					
					
						Title:

					
					
						 

					
					
						 

				

		
			 
		

		
			 
		

		
			

		 

		

			 

		

 

 
		

		
			EXHIBIT D
		

		
			 
		

		
			ARMORED CARRIER LETTER AGREEMENT
		

		
			 
		

		
			[INSERT DATE]
		

		
			 
		

		
			Ladies and Gentlemen:
		

		
			 
		

		
			Wells Fargo Bank, National Association, a national banking association organized under the laws of the United States (“Wells Fargo”) has entered into, or intends to enter into, a Contract Cash Solutions Agreement with _____ (“Client”) (the “Contract Cash Solutions Agreement”) pursuant to which Wells Fargo shall provide U.S. currency for the cash dispensement operations of the ATM machines owned, operated or managed by Client and listed on Exhibit A as the same may be supplemented from time to time by joint written notice from Wells Fargo and Client to Armored Carrier (the “Covered Machines”). Client has also contracted with the above named addressee (“Armored Carrier”) to perform certain currency and coin delivery and retrieval services with respect to the Covered Machines pursuant to a separate agreement between Armored Carrier and Client (the “Armored Carrier Agreement”). Client, Wells Fargo, and Armored Carrier may be referred to herein as a “Party” or “Parties” when referring to each of them.
		

		
			 
		

		
			1.    Definition. For purposes of this letter agreement, “Cash” shall mean the U.S. currency provided by Wells Fargo for the cash dispensing operations of the Covered Machines pursuant to the Contract Cash Solutions Agreement.
		

		
			 
		

		
			2.    Ownership of Cash. Armored Carrier agrees that the Cash is the sole and exclusive property of Wells Fargo and that Armored Carrier shall not at any time have any interest (including any security interest or right of setoff) in such Cash and shall not setoff against the Cash any claims it may now have or claims that may accrue to it in the future against Client, Wells Fargo or any other person. Armored Carrier agrees that Wells Fargo shall have all right, title, and interest in and to the Cash, regardless of physical location, and may treat the Cash as its asset until it is dispensed from the Covered Machines. Upon demand by Wells Fargo, all Cash shall be surrendered by Armored Carrier to Wells Fargo. At no time shall Armored Carrier assert or otherwise claim any interest in the Cash that would under any circumstances be contrary to Wells Fargo’s treatment of the Cash as “vault cash” as defined in section 204.2(k) of Regulation D.
		

		
			 
		

		
			3.    Commingling of Cash. Armored Carrier acknowledges that it will not at any time commingle the Cash with any other funds it is holding or transporting; provided, that the holding of Cash in an armored vehicle or vault with other funds shall not constitute commingling of the Cash with other funds so long as the Cash shall remain segregated and separately identified from such other funds at all times.
		

		
			 
		

		
			4.    Armored Carrier Services.
		

		
			 
		

		
			(a)   Redelivery of Cash. Notwithstanding any provision of any Armored Carrier Agreement to the contrary, Wells Fargo may demand at any time, without prior notice or qualification, that all or any part of the Cash stored in the Covered Machines or otherwise in possession of Armored Carrier be redelivered to Wells Fargo. In response to any such demand, Armored Carrier shall use its best efforts to redeliver the Cash to Wells Fargo as fast as is reasonably practicable. Unless otherwise agreed to in advance, such redelivery shall be made at Wells Fargo’s expense at such reasonable service charge as shall then be determined in good faith by Armored Carrier. Such Cash shall be returned to Wells Fargo at the address that corresponds to each Covered Machine that is specified in Exhibit A.
		

		
			 
		

		
			(b)   Cash Held by Armored Carrier. When Cash is held by Armored Carrier in the Armored Carrier’s vault, all such Cash shall be kept in separate inventory until such time as the Cash is required to be placed in a specific Covered Machine or until it is requested to be returned to Wells Fargo pursuant to this letter. The Cash shall not be commingled with any other cash in the possession, custody or control of Armored Carrier.
		

		
			 
		

		
			(c)   Cash Control. At no time shall Client be given access to the Cash held by Armored Carrier, nor shall Armored Carrier give Client access to the Cash held in any Covered Machine.
		

		
			 
		

		
			(d)   Covered Machine Access. Except as may be necessary to perform the services under any Armored Carrier Agreement, including, but not limited to, loading and removing Cash to and from the Covered Machines or redelivery of Cash to Wells Fargo provided for in this letter agreement, no employee of Armored Carrier shall have the authority to access the Cash stored in any Covered Machine. Armored Carrier shall not give access to the Cash stored in any of the Covered Machines to any third party without first obtaining the agreement of Wells Fargo. Client’s maintenance providers may have access to the Covered Machines independent of Armored Carrier.
		

		
			 
		

		
			5.   Cash Discrepancy. The amount set forth in the shipping document released by a Federal Reserve Bank in connection with the release by such Federal Reserve Bank to Armored Carrier of any sealed or locked bag shall be deemed the amount of the Cash received. In the event of any discrepancy between such shipping document and the contents of a sealed or locked cash bag received by Armored Carrier from a Federal Reserve Bank, Armored Carrier shall notify Client and Wells Fargo in writing immediately of the discrepancy, and Armored Carrier shall provide reasonable assistance to Wells Fargo in presenting difference 
		

		
			 
		

		
			
		

		
			

		 

 

		

			 

		

 
		

		
			claims to the Federal Reserve Bank in accordance with Federal Reserve Bank regulations. With respect to any Cash made available to Armored Carrier from any one of the Cash Suppliers listed on Exhibit B (each a “Cash Supplier”) or a Wells Fargo cash vault, the amount set forth on the packing slip for that Cash shipment shall be deemed the amount of Cash received. In the event of any Cash shipment discrepancy between such packing slip provided by a Cash Supplier and the contents as counted by Armored Carrier, Armored Carrier shall notify Client and Wells Fargo in writing immediately of the discrepancy, and Armored Carrier shall provide reasonable assistance to Wells Fargo in presenting difference claims. Wells Fargo and Client each agree that they shall not conceal or misrepresent any material fact or circumstance concerning the Cash delivered to Armored Carrier pursuant to this letter agreement.
		

		
			 
		

		
			6.   Reporting Requirement. Each Business Day, Armored Carrier shall use commercially reasonable efforts to provide a report to Wells Fargo by 12:00 p.m. local time, which shall contain: (i) the amount of Cash placed in each Covered Machine by Armored Carrier the immediately preceding Business Day, (ii) the amount of Cash returned to the Armored Carrier’s vault from the Covered Machines the immediately preceding Business Day, (iii) the total amount of all Cash shipments from Wells Fargo’s vault to Armored Carrier’s vault the immediately proceeding Business Day, (iv) the total amount of all Cash shipments from Armored Carrier’s vault to Wells Fargo the immediately proceeding Business Day, (v) the closing vault balance of Armored Carrier’s vault the immediately preceding Business Day, and (vi) such other additional information as Wells Fargo may reasonably request. All reports delivered by Armored Carrier shall be completed by the reporting systems selected by Wells Fargo. “Business Day” shall mean any day other than weekends or holidays observed by the Federal Reserve Banks or Wells Fargo, and with respect to each Covered Machine, the Cash Supplier that is making Cash available to such Covered Machine.Recovery Plan. Armored Carrier agrees to comply with the terms of the Recovery Plan attached hereto as Exhibit C, as the same may be supplemented from time to time by joint written notice from Wells Fargo and Client to Armored Carrier.
		

		
			 
		

		
			7.   Insurance. Armored Carrier, at its own expense, shall provide and maintain insurance coverage during the complete term of the Agreement, that conforms in all material respects with the following requirements:
		

		
			 
		

		
			(a)   Workers’ Compensation Insurance. Statutory Workers’ Compensation coverage for all of its employees, including occupational disease coverage, as required by applicable law, and employer’s liability with limits of at least $1,000,000 bodily injury each accident, $1,000,000 bodily injury by disease per employee, and $1,000,000 bodily injury by disease in the aggregate. If any class of employees providing any services under the Agreement is not protected by the Workers’ Compensation statute, Armored Carrier shall provide special insurance for the protection of such employees not otherwise protected that is similar to the coverage required above. The policy shall be endorsed to include “all states” coverage (if applicable). If any Services are to be performed by Armored Carrier in North Dakota, Ohio, Washington, West Virginia or Wyoming, Armored Carrier shall purchase, in each of the aforementioned states in which Armored Carrier will be performing Services, (i) Workers’ Compensation in the State Fund established by each such state, and (ii) Stop Gap coverage providing Employer’s liability coverage in each such state.
		

		
			 
		

		
			(b)   Commercial General Liability Insurance. Commercial General Liability Insurance written on an “occurrence” basis with a combined single limit of at least $2,000,000 per occurrence, and a general aggregate of $5,000,000, in forms providing coverage not less than the standard commercial general liability policy including hazards of operation, broad form property damage liability coverage, products/completed operations coverage, independent contractor coverage and broad form contractual coverage for liability assumed under this Agreement, to the extent insurable under the policy. The policy shall insure against claims for personal injury, bodily injury (including death), and property damage occurring on or about the site of any Services following the date of the Agreement by reason of, or as a result of, the negligent acts or omissions of Armored Carrier or any of its employees, agents or contractors. Coverage shall include (a) liability arising out of acts of agents or contractors of Armored Carrier and (b) provisions that the insurance company has a duty to defend all insureds under the policy and that defense costs are paid in addition to and do not deplete the policy limits.
		

		
			 
		

		
			(c)   Automobile Liability Insurance. Coverage for all motor vehicles operated by or for Armored Carrier, including protection for automobiles and trucks used by Armored Carrier either on or away from Client’s and Wells Fargo’s facilities or other sites at which Armored Carrier’s services are provided, with a combined single limit of at least $1,000,000 per occurrence for bodily injury and property damage. The policy shall include coverage for all hired, owned and non-owned vehicles.
		

		
			 
		

		
			(d)   Commercial Umbrella/Follow Form Excess Policy. Excess liability policy with limits of not less than $10,000,000 per occurrence in excess of the primary underlying policy limits. The policy must provide coverage at least as broad as the underlying policies.
		

		
			 
		

		
			(e)   All-Risk Property Insurance. Replacement cost coverage on all buildings, equipment and other property used in the performance of the Services, and Armored Carrier hereby waives any right of subrogation against Client and Wells Fargo (including, their respective officers, directors and employees) for any loss or damage to same. Armored Carrier shall have the option to self-insure for such coverage, but if Armored Carrier elects to self-insure, Armored Carrier shall protect Client and Wells Fargo (including their respective officers, directors and employees) to the same extent as it would if it had obtained an “all risk” property coverage policy covering such property.
		

		
			 
		

		
			
		

		
			

		 

		

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(f)   Comprehensive. Comprehensive Crime/Money and Securities insurance with a limit of not less than the greater of (i) $50,000,000 for any Armored Carrier facility ($50,000,000 for an Armored Carrier facility without a Class II vault), (ii) $50,000,000 for property in transit, or (iii) an amount equal to the maximum amount of cash, currency and valuables held for all Clients at each Armored Carrier facility (determined on a facility by facility basis) covering all loss, damage or destruction of “Property” (as defined in this Agreement) while same is in the care, custody and control of Armored Carrier, its employees, agents or contractors or as may otherwise be the responsibility of Armored Carrier under this Agreement. The insurance shall include, but not be limited to, the following coverages:
		

		
			 
		

		
			(i)   Employee Theft/Dishonesty Coverage (including Client and Wells Fargo Property endorsement)
		

		
			 
		

		
			(ii)   In transit coverage
		

		
			 
		

		
			(iii)   On premises coverage
		

		
			 
		

		
			(iv)   Computer theft and funds transfer coverage
		

		
			 
		

		
			(v)   Joint loss payable endorsement in favor of Client and Wells Fargo
		

		
			 
		

		
			(vi)   Legal Liability coverage for loss of and/or damage or destruction of Property
		

		
			 
		

		
			(g)   General Requirements. The following general requirements shall apply to all insurance policies required to be obtained by Armored Carrier hereunder:
		

		
			 
		

		
			(i)   Armored Carrier shall maintain the foregoing insurance coverage in force at all times during the performance of any Services under the Agreement.
		

		
			 
		

		
			(ii)  Armored Carrier shall furnish Client and Wells Fargo with certificates of insurance evidencing the insurance required by this Agreement prior to the commencement of any services and at least annually from the date of the Agreement and as policies are renewed, replaced, or modified. Failure to provide the certificates will constitute a material breach and entitle Client and Wells Fargo to terminate the Agreement.
		

		
			 
		

		
			(iii)  All policies shall be written by insurance companies that are (a) lawfully authorized to do business in the jurisdiction (s) where work is being performed or services are provided and (b) carry an A.M. Best rating of “A” or better and financial category of “X” or higher. Should any policy be written on a surplus lines and non-admitted basis, Client and Wells Fargo reserve the right to approve the insurance company.
		

		
			 
		

		
			(iv)  Each policy shall include a provision requiring that at least 30 days prior written notice be given to Client and Wells Fargo in the event of cancellation, non-renewal, lowering of policy limits or exhaustion of aggregates. Armored Carrier shall provide Client and Wells Fargo with 30 days prior written notice of any material change in any policy.
		

		
			 
		

		
			(v)  Armored Carrier shall pay the premiums on all required insurance policies and the cost for such premiums shall be deemed included in the compensation payable to Armored Carrier for its services pursuant to the terms of the Armored Carrier Agreement.
		

		
			 
		

		
			(vi)  All required insurance policies, except for Workers’ Compensation and “All Risk” Property Insurance, to the extent permitted by applicable law, shall name Client and Wells Fargo and their respective officers, directors and employees as “additional insureds.” Any General Liability and Umbrella policy must utilize ISO endorsement form CG2010 (11/85) Additional Insured — Owners, Lessees, or Contractors (Form B) or equivalent endorsement that names Client and Wells Fargo and their respective officers, directors and employees as additional insureds for both ongoing operations of Armored Carrier and completed operations of Armored Carrier.
		

		
			 
		

		
			(vii)  Except where prohibited by law, all insurance policies required by this Agreement shall include a Waiver of Subrogation in favor of Client and Wells Fargo and their respective officers, directors and employees.
		

		
			 
		

		
			(viii)  Each of Armored Carrier’s insurance policies shall be written so as to provide primary coverage and to be non-contributing with respect to any other insurance or self insurance which may be maintained by Client and Wells Fargo.
		

		
			 
		

		
			(ix)  The insurance requirements set forth herein shall in no way limit the liability of Armored Carrier or its contractors arising under the Armored Carrier Agreement, this letter or any other agreement or as a result of any related activities.
		

		
			 
		

		
			(x)  Armored Carrier shall be responsible for the payment of any and all deductibles or SIR (“Self Insurance Retention”) applicable under its insurance policies. Armored Carrier’s deductible and/or SIR shall not exceed Armored Carrier’s current limits on any given policy, unless approved in writing by Client and Wells Fargo. Client and Wells Fargo acknowledge that Armored Carrier’s deductibles on Armored Carrier’s policies in existence at the inception of this letter 
		

		
			

		 

		

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			agreement are acceptable and Armored Carrier agrees to notify Client and Wells Fargo in writing at least thirty (30) days in advance of any future proposed changes in such deductible and to obtain Client’s and Wells Fargo’s written approval prior to increasing any deductibles.
		

		
			 
		

		
			(xi)  Client and Wells Fargo shall have the right to request from time to time that Armored Carrier obtain additional insurance in connection with Armored Carrier’s performance of any of its services.
		

		
			 
		

		
			8.   Examinations and Audits Of Armored Carrier. Armored Carrier shall allow Wells Fargo, Client, their respective designees, and any regulatory or supervisory body to which Wells Fargo is subject (“Auditors”), access to its facilities that maintain inventories of the Cash. Such access shall be for the purpose of allowing the Auditors to perform a physical audit of the Cash, and shall be permitted on regular business days during the Armored Carrier’s regular business hours at times to be determined by the Party on whose behalf the audit is being conducted. The Auditors must present proper credentials to the manager of the Armored Carrier’s facilities prior to gaining admission and Armored Carrier shall have the right to independently verify with Wells Fargo that such auditors are authorized prior to having access to such facilities. The Party on whose behalf the audit is being conducted shall indemnify, defend and hold harmless the Armored Carrier from any liability, loss, damage, cost, or expense, including reasonable attorneys’ fees, arising out of any bodily injury, death or damage to property sustained by an Auditor as a result of being on the Armored Carrier’s premises or entering or leaving therefrom, to the extent that such bodily injury, death or damage to property does not arise from the negligence or intentional misconduct of the Armored Carrier or any of its officers, agents, or employees. In addition, Client (provided the audit is being conducted by or on behalf of Wells Fargo) and Armored Carrier shall furnish to the Auditors their respective records relating to any discrepancy in Cash settlement. Client (provided the audit is being conducted by or on behalf of Wells Fargo) and Armored Carrier shall have the right to have an employee or agent present at all times during any examination or audit of their respective records. Armored Carrier shall have the right to have an employee present at all times during any such audit.
		

		
			 
		

		
			9.   Representations, Warranties and Covenants of Armored Carrier. Armored Carrier represents, warrants, and covenants to Client and Wells Fargo as follows:
		

		
			 
		

		
			(a)   Organization. Armored Carrier is duly organized, validly existing and in good standing under the laws of the jurisdiction of its formation and has all necessary corporate power and authority to own or lease its properties and to carry on its business as now being conducted, and possesses all licenses, franchises, rights and privileges material to the conduct of its business, taken as a whole.
		

		
			 
		

		
			(b)   Authorization. Armored Carrier has the corporate power to enter into this letter agreement, and the execution, delivery and performance of this letter agreement has been duly authorized by all requisite corporate action. This letter agreement when executed and delivered shall constitute the valid and binding obligation of Armored Carrier.
		

		
			 
		

		
			(c)   Amendment of Armored Carrier Agreement. Armored Carrier agrees to provide Wells Fargo with at least 60 days prior written notice of any amendment to any Armored Carrier Agreement that may have a material adverse effect on Wells Fargo.
		

		
			 
		

		
			(d)   Compliance with Insurance Requirements. Armored Carrier represents and warrants that at no time shall the amount of Cash contained in any delivery vehicle of Armored Carrier exceed the truck load limit set for that vehicle by Armored Carrier’s insurance carrier.
		

		
			 
		

		
			(e)   Vault Security. Armored Carrier agrees that it shall conform to any regulatory requirements imposed upon Wells Fargo with respect to security measures that are applicable to the maintenance of the Cash in Armored Carrier’s vaults.
		

		
			 
		

		
			10.   Indemnification. As between Wells Fargo and Armored Carrier, Armored Carrier shall bear all risk of loss with respect to Cash in its possession or control, including, without limitation, loss due to theft or destruction of any of the Cash, or misfeasance of malfeasance of Armored Carrier, its agents or employees; provided that the foregoing sentence shall not supersede any limitations on liability as agreed by Client and Armored Carrier and set forth in the Armored Carrier Agreement. Armored Carrier agrees to indemnify, defend and hold harmless Wells Fargo for loss, theft or destruction of the Cash to the same extent it is required to indemnify Client under the Armored Carrier Agreement. Armored Carrier shall not be liable or responsible for any loss of Cash: (i) due solely to the intentional act or omission of Wells Fargo, its agents, or employees, (ii) that occurs after such Cash has been returned to a Cash Supplier, a Federal Reserve Bank or Wells Fargo, or (iii) that occurs before such Cash has been delivered to Armored Carrier.
		

		
			 
		

		
			11.   No Obligation. Armored Carrier shall have no rights or obligations under the Contract Cash Solutions Agreement. Wells Fargo shall have no rights or obligations under the Armored Carrier Agreement. The sole rights or obligations between Armored Carrier and Wells Fargo are set forth herein.
		

		
			 
		

		
			
		

		
			

		 

		

			- 4  -

		

 

		

			 

		

12.   Term and Termination.
		

		
			 
		

		
			(a)   Client shall promptly provide Wells Fargo and Armored Carrier with any notice of termination of the Armored Carrier Agreement. This letter agreement shall automatically terminate upon the termination of the Armored Carrier Agreement or the Contract Cash Solutions Agreement.
		

		
			 
		

		
			(b)   Wells Fargo and Client shall each promptly provide Armored Carrier with notice of any notice of termination of the Contract Cash Solutions Agreement.
		

		
			 
		

		
			(c)   In the event of any regulatory requirements imposed on Wells Fargo with regards to security measures in which Wells Fargo has notified Client in writing and which Client is unable to or unwilling to comply, Client may terminate this letter agreement without any liability on 30 days’ written notice to Wells Fargo.
		

		
			 
		

		
			(d)   No Party shall have liability to any other Party for any delay beyond the control of such Party in the provision of notice pursuant to subsections (a) or (b) above.
		

		
			 
		

		
			13.   Settlement of Disputes.
		

		
			 
		

		
			(a)   Conflicts. To the extent any dispute resolution terms in this letter are inconsistent with any such terms in the Contract Cash Solutions Agreement, the terms of this letter shall prevail.
		

		
			 
		

		
			(b)   Arbitration. Upon the demand of any Party, any “Dispute” shall be resolved by binding arbitration (except as set forth below in “Judicial Review of Arbitration Awards”) in accordance with the terms of this letter agreement. A “Dispute“ shall mean any action, dispute, claim or controversy of any kind, whether in contract or tort, statutory or common law, legal or equitable, now existing or hereafter arising under or in connection with, or in any way pertaining to, the subject matter of this letter agreement, or any past, present or future activities, transactions or obligations of any kind related directly or indirectly to the subject matter of this letter agreement, including, without limitation, any of the foregoing arising in connection with the exercise of any self-help or any ancillary or other remedies or actions taken relating to the subject matter of this letter agreement. Notwithstanding the foregoing, a “Dispute” shall not include any claim arising out of the bodily injury to, or death of, any person. Any Party may by summary proceedings bring an action in court to compel arbitration of a Dispute. Any Party who fails or refuses to submit to arbitration following a lawful demand by any other Party shall bear all costs and expenses incurred by such other Party in compelling arbitration of any Dispute.
		

		
			 
		

		
			(c)   Rules Governing Arbitration. Arbitration proceedings shall be administered by the American Arbitration Association (“AAA”) or such other administrator as the Parties shall mutually agree upon in accordance with the AAA Commercial Arbitration Rules. All Disputes submitted to arbitration shall be resolved in accordance with the Federal Arbitration Act (Title 9 of the United States Code), notwithstanding any conflicting choice of law provision in this letter agreement. The arbitration shall be conducted at a location in [INSERT STATE] selected by the AAA or other administrator. If there is any inconsistency between the terms hereof and any such rules, the terms and procedures set forth herein shall control. All statutes of limitation applicable to any Dispute shall apply to any arbitration proceeding. All discovery activities shall be expressly limited to matters directly relevant to the Dispute being arbitrated. Judgment upon any award rendered in an arbitration may be entered in any court having jurisdiction.
		

		
			 
		

		
			(d)   Arbitration; Provisional Remedies. Except as otherwise provided in this letter agreement, no provision hereof shall limit the right of any Party to exercise self-help remedies such as setoff, or to obtain provisional or ancillary remedies, including, without limitation, injunctive relief, sequestration, attachment, garnishment or the appointment of a receiver, from a court of competent jurisdiction before, after or during the pendency of any arbitration or other proceeding. The exercise of any such remedy shall not waive the right of any Party to compel arbitration hereunder.
		

		
			 
		

		
			(e)   Arbitrator Qualifications and Awards; Powers. Arbitrators must be active members of the Bar in [INSERT STATE] or retired judges of the state or federal judiciary of [INSERT STATE] with expertise in the substantive laws applicable to the subject matter of the Dispute. Arbitrators are empowered to resolve Disputes by summary rulings in response to motions filed prior to the final arbitration hearing. Arbitrators (i) shall resolve all Disputes in accordance with the Governing Law, (ii) may grant any remedy or relief that a federal or state court of [INSERT STATE] could order or grant within the scope hereof and such ancillary relief as is necessary to make effective any award, and (iii) shall have the power to award recovery of all costs and fees, to impose sanctions and to take such other actions as they deem necessary to the same extent a judge could pursuant to the Federal Rules of Civil Procedure, the Rules of Civil Procedure of the State of [INSERT STATE] or other applicable law. Disputes shall be decided by majority vote of a panel of three arbitrators; provided, however, that all three arbitrators must actively participate in all hearings and deliberations.
		

		
			 
		

		
			(f)   Judicial Review of Awards. Notwithstanding anything herein to the contrary, in any arbitration in which the amount in controversy exceeds $25,000,000, the arbitrators shall be required to make specific, written findings of fact and conclusions of law. In such arbitrations (i) the arbitrators shall not have the power to make any award which is not supported by 
		

		
			

		 

		

			- 5  -

		

 

		

			 

		

substantial evidence or which is based on legal error, (ii) an award shall not be binding upon the Parties unless the findings of fact are supported by substantial evidence and the conclusions of law are not erroneous under the Governing Law, and (iii) the Parties shall have, in addition to the grounds referred to in the Federal Arbitration Act for vacating, modifying or correcting an award, the right to judicial review of (a) whether the findings of fact rendered by the arbitrators are supported by substantial evidence, and (b) whether the conclusions of law are erroneous under the Governing Law. Judgment confirming an award in such a proceeding may be entered only if a court determines the award is supported by substantial evidence and not based on legal error under the Governing Law.
		

		
			 
		

		
			(g)   Arbitration; Other Matters. To the maximum extent practicable, the AAA, the arbitrators and the Parties shall take all action required to conclude any arbitration proceeding within 180 days of the filing of the Dispute with the AAA. No arbitrator or other Party to an arbitration proceeding may disclose the existence, content or results thereof, except for disclosures of information by a Party required in the ordinary course of its business, by applicable law or regulation, or to the extent necessary to exercise any judicial review rights set forth herein. If more than one agreement for arbitration by or between the Parties potentially applies to a Dispute, the arbitration provision most directly related to the subject matter of the Dispute shall control. This arbitration provision shall survive the termination of this letter agreement.
		

		
			 
		

		
			14.   Notices. All notices under this letter agreement shall be sent by certified first class mail, return receipt requested, postage prepaid, or other receipted express delivery services, or by facsimile with written acknowledgment of receipt, and shall be effective upon receipt:
		

		
			 
		

		
			If to Client to:
		

		
			 
		

		
			If to Servicer to:
		

		
			 
		

		
			If to Wells Fargo to:
		

		
			 
		

		
			Wells Fargo Bank, National Association
		

		
			 
		

		
			15.   Governing Law. This letter agreement shall be governed by [INSERT STATE] law.
		

		
			 
		

		
			16.   Amendments. The terms of this letter agreement may not be amended without the prior written consent of each Party hereto.
		

		
			 
		

		
			17.   Counterparts. This letter agreement may be executed in one or more counterparts, each of which shall be deemed an original. All counterparts executed shall constitute one agreement binding all of the Parties.
		

		
			 
		

		
			18.   Waiver. If a Party waives any of its rights on any one or more occasions it will not be deemed to be a waiver of that Party’s rights on any other occasion. Please acknowledge your receipt and agreement to the representations, covenants, warranties, and provisions of this letter agreement by having your authorized officer execute the copy included herewith and returning it to the undersigned.
		

		
			 
		

			
					
						 

					
					
						 

					
					
						Sincerely,

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						 

					
					
						 

					
					
						[CLIENT]

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						 

					
					
						 

					
					
						By:

					
					
						 

				
	
					
						 

					
					
						 

					
					
						 

					
					
						Name:

				
	
					
						 

					
					
						 

					
					
						 

					
					
						Title:

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						ACKNOWLEDGED AND AGREED TO THIS ______ DAY OF______,20_____.

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						[ARMORED CARRIER]

					
					
						 

					
					
						 

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						By:

					
					
						 

					
					
						 

					
					
						 

				
	
					
						 

					
					
						Name:

					
					
						 

					
					
						 

				
	
					
						 

					
					
						Title:

					
					
						 

					
					
						 

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						WELLS FARGO BANK, NATIONAL ASSOCIATION

					
					
						 

					
					
						 

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						By:

					
					
						 

					
					
						 

					
					
						 

				
	
					
						 

					
					
						Name:

					
					
						 

					
					
						 

				
	
					
						 

					
					
						Title:

					
					
						 

					
					
						 

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						EXHIBIT A

					
					
						 

					
					
						 

				

		
			
		

		
			

		 

		

			- 6  -

		

 

		

			 

		

 
		

		
			Covered Machines
		

		
			 
		

		
			EXHIBIT B
		

		
			 
		

		
			Cash Suppliers
		

		
			 
		

		
			EXHIBIT C
		

		
			 
		

		
			Recovery Plan
		

		
			 
		

		
			 
		

		
			

		 

		

			- 7  -

		

 

 
		

		
			EXHIBIT E
		

		
			 
		

		
			Maintenance Provider Letter
		

		
			 
		

		
			 
		

			
					
						_______________, 20____

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						Attention:

					
					
						 

					
					
						 

				

		
			 
		

		
			Ladies and Gentlemen:
		

		
			 
		

		
			Wells Fargo Bank, National Association (“Wells Fargo”) has entered into a Contract Cash Solutions Agreement with _____ (“Client”) (the “Contract Cash Solutions Agreement”) pursuant to which Wells Fargo shall provide U.S. currency for the dispensing from the ATM machines (the “Cash”) owned, operated or managed by Client (the “Covered Machines”). Client has also contracted with the above named addressee (“Maintenance Provider”) to perform certain maintenance services in connection with certain of the Covered Machines (the “Serviced Machines”) pursuant to one or more written agreements between Maintenance Provider and Client (the “Maintenance Contracts”). The purpose of this letter agreement is to set forth certain rights and obligations of Maintenance Provider, Wells Fargo and Client.
		

		
			 
		

		
			1. Ownership of Cash. Maintenance Provider and Client agree that Wells Fargo shall have absolute control of all of the Cash in the Serviced Machines at all times, that the Cash is the sole and exclusive property of Wells Fargo and that Maintenance Provider shall not at any time have any interest (including any security interest) in such Cash.
		

		
			 
		

		
			2. Access to Cash. Maintenance Provider acknowledges that it has no right of control of the Cash and that Maintenance Provider shall not, and shall not instruct its agents and subcontractors (if any) to, physically remove the Cash from Serviced Machines or hinder any Armored Carrier’s physical access to the Cash. “Armored Carrier” shall mean one or more armored carriers that Client and Wells Fargo have contracted with for purposes of delivering monies to, and retrieving monies from the Covered Machines.
		

		
			 
		

		
			3. Conflicts. In the event of a conflict between the terms set forth in Section 2 of this letter agreement and the Maintenance Contracts, the terms set forth in Section 2 of this letter agreement shall prevail.
		

		
			 
		

		
			4. Counterparts. This letter agreement may be executed in one or more counterparts, each of which shall be deemed an original. All counterparts executed shall constitute one agreement binding all of the parties.
		

		
			 
		

		
			5. Term. This letter is effective until Maintenance Provider receives notice of termination from Wells Fargo.
		

		
			 
		

		
			Please acknowledge your receipt and agreement with the provisions of this letter agreement by having your authorized officer execute the copy included herewith and returning it to the undersigned. Addresses for notices can be found in Exhibit E-1 to this letter.
		

		
			 
		

			
					
						 

					
					
						 

					
					
						Sincerely,

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						 

					
					
						 

					
					
						[CLIENT]

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						 

					
					
						 

					
					
						By:

					
					
						 

				
	
					
						 

					
					
						 

					
					
						 

					
					
						Name:

				
	
					
						 

					
					
						 

					
					
						 

					
					
						Title:

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						ACKNOWLEDGED AND AGREED TO THIS_____ DAY OF ______, 20_____.

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						[MAINTENANCE PROVIDER]

					
					
						 

					
					
						 

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						By:

					
					
						 

					
					
						 

					
					
						 

				
	
					
						 

					
					
						Name:

					
					
						 

					
					
						 

				
	
					
						 

					
					
						Title:

					
					
						 

					
					
						 

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						WELLS FARGO BANK, NATIONAL ASSOCIATION

					
					
						 

					
					
						 

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						By:

					
					
						 

					
					
						 

					
					
						 

				
	
					
						 

					
					
						Name:

					
					
						 

					
					
						 

				
	
					
						 

					
					
						Title:

					
					
						 

					
					
						 

				
	
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						 

					
					
						 

					
					
						 

				

		
			 
		

		
			
		

		
			

		 

 

		

			 

		

 
		

		
			Exhibit E-1
		

		
			 
		

		
			Addresses for Notices
		

		
			 
		

		
			If to Client to:
		

		
			 
		

		
			If to Maintenance Provider to:
		

		
			 
		

		
			If to Wells Fargo to:
		

		
			 
		

		
			Wells Fargo Bank, National Association
		

		
			 
		

		
			 
		

		
			

		 

		

			-  2  -

		

 

 
		

		
			EXHIBIT F
		

		
			 
		

		
			Recovery Plan
		

		
			 
		

		
			See Attached
		

		
			 
		

		
			 
		

		
			

		 

		

			-  1  -

		

 

		

			 

		

 
		

		
			EXHIBIT G
		

		
			 
		

		
			Pilot Settlement and Reconciliation Procedures
		

		
			 
		

		
			1.   Commencement. The settlement procedures for Pilot Machines (as defined below) shall become effective at 12:00 a.m. Pacific Time on a date mutually agreed upon by Wells Fargo and Client (the “Pilot Start Date”). For purposes of the Pilot, the Pilot Machines shall include only those ATMs separately agreed to in writing. One week prior to the Pilot Start Date, Client shall provide a detailed written description of the currency and coin balances required for the initial cash orders to Wells Fargo intended for use in the Pilot Machines (the “Starting Pilot Cash”). Upon Client’s receipt of the Starting Pilot Cash (which will be deemed to be the time when the Armored Carrier receives the Cash from the Wells Fargo Network Location), the U.S. currency and coin for the dispensing from the Pilot Machines as of the Pilot Start Date shall be the property of Wells Fargo and shall be referred to as the “Pilot Cash.” Client shall remove any Cash that is not Starting Pilot Cash from the Pilot Machines before the Starting Pilot Cash is loaded into the Pilot Machines and the only Cash in the Pilot Machines shall be Wells Fargo owned Cash.
		

		
			 
		

		
			2.   Reports.
		

		
			 
		

		
			A.   Daily Reports. By 9:00 a.m., Central Time, on each Business Day after the Pilot Start Date, Client shall deliver to Wells Fargo two daily reports (“Daily Reports”) as follows:
		

		
			 
		

		
			(i)   File 1. A report (the “File 1 Report”) that provides the amount of Cash dispensed from each Pilot Machine between 3:00 p.m. Pacific Time on the day immediately preceding the day on which the immediately preceding File 1 Report was delivered and 3 p.m. Pacific Time of the immediately preceding Business Day (“Daily Dispensed Cash”); and
		

		
			 
		

		
			(ii)   File 2. A report (the “File 2 Report”) that provides the amount of Pilot Cash dispensed from each Pilot Machine serviced since the preceding Business Day from 3:00 p.m. Pacific Time until such Pilot Machine was serviced and cash cassettes swapped by the applicable armored carrier on the immediately preceding Business Day.
		

		
			 
		

		
			B.   Armored Carrier Service Report. Utilizing iCom Reporting Systems, on each Business Day, the applicable Armored Carrier shall deliver to Wells Fargo a report reflecting each Pilot Machine serviced and cash cassettes swapped since the preceding report and the Pilot Cash balance in each Pilot Machine at the time of service (together with corrections and adjustments input in the iCom Reporting System, the “Service Report(s)”). Service Reports shall be used by Wells Fargo as part of the reconciliation process contemplated hereby.
		

		
			 
		

		
			C.   Daily Report by Wells Fargo. Although the Bank Report will not be supplied to Customer, Wells Fargo will supply Customer similar information for each Pilot Machine daily.
		

		
			 
		

		
			3.   Settlements. All settlements with Client of Pilot Cash shall be effected by wire transfer directly into the Settlement Account by 9 a.m. Pacific Time on the same day Client receives the funds from its current provider.
		

		
			 
		

		
			4.   Viewing of Settlement Account. Client shall have viewing access to the Settlement Account during the Pilot if such access is available. If such access is not available during the Pilot, Wells Fargo shall use commercially reasonable efforts to provide information about the Settlement Account requested by Client.
		

		
			 
		

		
			5.   Reconciliation. Following receipt of the Daily Reports each Business Day, Wells Fargo shall endeavor to reconcile all out-of-balance amounts of Pilot Cash from the amounts reported in the Daily Reports and the Service Reports. If at any time Wells Fargo learns that the Pilot Cash is out-of-balance (by use of the bank reports or otherwise), Wells Fargo shall notify Client of the imbalance within three (3) days of such discovery, and within sixty (60) days of providing such notice to Client, Wells Fargo shall credit or debit, as applicable, the Operating Account (as defined below) for such overage or shortage. Variances will be settled as of the last Business Day of the month when the difference reaches sixty (60) days.
		

		
			 
		

		
			6.   Receivables. Notwithstanding anything in this letter agreement to the contrary, Wells Fargo and Client agree that during the Pilot, Wells Fargo owns the Pilot Cash and any receivables arising from such Pilot Cash being dispensed.
		

		
			 
		

		
			7.   Fees. Client agrees to pay Wells Faro the Fees for the Pilot calculated in accordance with the terms of the Fee Letter.
		

		
			 
		

		
			 
		

		
			

		 

		

			 

		

 

		

			 

		

 
		

		
			EXHIBIT G
		

		
			 
		

		
			Form of Bank Report
		

		
			 
		

		
			See attachedExhibit 4.1

 

SYNCHRONY CREDIT CARD MASTER NOTE TRUST,

 

as Issuer

 

and

 

DEUTSCHE BANK TRUST COMPANY AMERICAS,

 

as Indenture Trustee

 

Series 2016-1 INDENTURE SUPPLEMENT

 

Dated as of March 18, 2016

 

     

     

    

 

TABLE OF CONTENTS

 

	 	 	Page
	 	 	 
	ARTICLE I	Definitions	 
	 	 	 	 
	SECTION 1.1.	Definitions	1
	SECTION 1.2.	Incorporation of Terms	16
	 	 	 	 
	ARTICLE II	Creation of the Series 2016-1 Notes	 
	 	 	 	 
	SECTION 2.1.	Designation	16
	SECTION 2.2.	Transfer Restrictions Applicable to the Class B Notes, the Class C Notes and the Class D Notes	16
	 	 	 	 
	ARTICLE III	REPRESENTATIONS, WARRANTIES and Covenants	 
	 	 	 	 
	SECTION 3.1.	Representations, Warranties and Covenants with respect to Receivables	19
	SECTION 3.2.	Representations, Warranties and Covenants with respect to ERISA	19
	 	 	 	 
	ARTICLE IV	Rights of Series 2016-1 Noteholders and Allocation and Application of Collections	 
	 	 	 	 
	SECTION 4.1.	Determination of Interest and Principal	19
	SECTION 4.2.	Establishment of Accounts	21
	SECTION 4.3.	Calculations and Series Allocations	22
	SECTION 4.4.	Application of Available Finance Charge Collections and Available Principal Collections	23
	SECTION 4.5.	Distributions	27
	SECTION 4.6.	Investor Charge-Offs	27
	SECTION 4.7.	Reallocated Principal Collections	28
	SECTION 4.8.	Excess Finance Charge Collections	28
	SECTION 4.9.	Shared Principal Collections	28
	SECTION 4.10.	Reserve Account	29
	SECTION 4.11.	Spread Account	29
	SECTION 4.12.	Investment of Accounts	30
	SECTION 4.13.	Controlled Accumulation Period	31
	SECTION 4.14.	[Reserved]	31
	SECTION 4.15.	Deposit of Collections	32
	 	 	 	 
	ARTICLE V	Delivery of Series 2016-1 Notes; Reports to Series 2016-1 Noteholders	 
	 	 	 	 
	SECTION 5.1.	Delivery and Payment for the Series 2016-1 Notes	32
	SECTION 5.2.	Reports and Statements to Series 2016-1 Noteholders	32
	 	 	 
	ARTICLE VI	Series 2016-1 Early Amortization Events	 
	 	 	 	 
	SECTION 6.1.	Series 2016-1 Early Amortization Events	32
	 	 	 	 
	ARTICLE VII	Redemption of Series 2016-1 Notes; Final Distributions; Series Termination	 

 

    	 	i	 

     

    

  

TABLE OF CONTENTS

(continued)

 

	 	 	Page
	 	 	 
	SECTION 7.1.	Optional Redemption of Series 2016-1 Notes; Final Distributions	34
	SECTION 7.2.	Series Termination	35
	SECTION 7.3.	Sale of Collateral	35
	 	 	 	 
	ARTICLE VIII	Miscellaneous Provisions	 
	 	 	 	 
	SECTION 8.1.	Ratification of Indenture; Amendments	36
	SECTION 8.2.	Form of Delivery of the Series 2016-1 Notes	36
	SECTION 8.3.	Counterparts	36
	SECTION 8.4.	GOVERNING LAW	36
	SECTION 8.5.	Limitation of Liability	37
	SECTION 8.6.	Rights of the Indenture Trustee	37
	SECTION 8.7.	Notice Address for Rating Agencies	37
	SECTION 8.8.	Compliance with Applicable Anti-Terrorism and Anti-Money Laundering Regulations	38
	SECTION 8.9.	Notes to be Treated as Debt for Tax	38
	SECTION 8.10.	Deemed Consent	38

 

EXHIBITS

 

	EXHIBIT A-1	FORM OF CLASS A NOTE
	 	 
	EXHIBIT A-2	FORM OF CLASS B NOTE
	 	 
	EXHIBIT A-3	FORM OF CLASS C NOTE
	 	 
	EXHIBIT A-4	FORM OF CLASS D NOTE
	 	 
	EXHIBIT B	FORM OF MONTHLY NOTEHOLDER’S STATEMENT

 

SCHEDULES

 

	SCHEDULE I	PERFECTION REPRESENTATIONS, WARRANTIES AND COVENANTS (With Respect to Receivables)

 

    	 	ii	 

     

    

  

SERIES 2016-1 INDENTURE
SUPPLEMENT, dated as of March 18, 2016 (this “Indenture Supplement”), between SYNCHRONY CREDIT CARD MASTER NOTE
TRUST, a Delaware statutory trust (herein, the “Issuer” or the “Trust”), and DEUTSCHE BANK
TRUST COMPANY AMERICAS, a New York banking corporation, not in its individual capacity, but solely as indenture trustee (herein,
together with its successors as provided in the Master Indenture referred to below, the “Indenture Trustee”)
under the Master Indenture, dated as of September 25, 2003 (the “Indenture”), between the Issuer and the Indenture
Trustee, as amended by the Omnibus Amendment No.1 to Securitization Documents, dated as of February 9, 2004, among RFS Holding,
L.L.C., RFS Funding Trust, the Issuer, Deutsche Bank Trust Company Delaware, as trustee of RFS Funding Trust, RFS Holding, Inc.
and the Indenture Trustee, as further amended by the Second Amendment to Master Indenture, dated as of June 17, 2004, between the
Issuer and the Indenture Trustee, as further amended by the Third Amendment to Master Indenture, dated as of August 31, 2006, between
the Issuer and the Indenture Trustee, as further amended by the Fourth Amendment to Master Indenture, dated as of June 28, 2007,
between the Issuer and the Indenture Trustee, as further amended by the Fifth Amendment to Master Indenture, dated as of May 22,
2008, between the Issuer and the Indenture Trustee, as further amended by the Sixth Amendment to Master Indenture, dated as of
August 7, 2009, between the Issuer and the Indenture Trustee, as further amended by the Seventh Amendment to Master Indenture,
dated as of January 21, 2014, between the Issuer and the Indenture Trustee, as further amended by the Eighth Amendment to
Master Indenture and Omnibus Supplement to Specified Indenture Supplements, dated as of March 11, 2014, between the Issuer
and the Indenture Trustee, as further amended by the Ninth Amendment to Master Indenture, dated as of November 24, 2015, between
the Issuer and the Indenture Trustee, and as further amended by the Tenth Amendment to Master Indenture, dated as of March 3, 2016,
between the Issuer and the Indenture Trustee (the Indenture, together with this Indenture Supplement, the “Agreement”).

 

The Principal Terms of
this Series are set forth in this Indenture Supplement to the Indenture.

 

ARTICLE
I

Definitions

 

SECTION 1.1. Definitions.

 

(a)          Capitalized
terms used and not otherwise defined herein are used as defined in Section 1.1 of the Indenture. This Indenture Supplement
shall be interpreted in accordance with the conventions set forth in Section 1.2 and Section 1.3 of the Indenture.

 

(b)          Each
capitalized term defined herein relates only to Series 2016-1 and to no other Series. Whenever used in this Indenture Supplement,
the following words and phrases shall have the following meanings:

 

“Accumulation
Shortfall” means (a) for the first Payment Date during the Controlled Accumulation Period, zero; and (b) thereafter,
for any Payment Date during the Controlled Accumulation Period, the excess, if any, of the Controlled Deposit Amount for the previous
Payment Date over the amount deposited into the Principal Accumulation Account pursuant to Section 4.4(c)(i) for the previous
Payment Date.

 

     

     

    

  

“Addition Date”
means an “Addition Date” as such term is defined in the Transfer Agreement.

 

“Additional Interest”
means, for any Payment Date, Class A Additional Interest, Class B Additional Interest, Class C Additional Interest and Class
D Additional Interest for such Payment Date.

 

“Administration
Agreement” means the Administration Agreement, dated as of September 25, 2003, between the Administrator and the Issuer.

 

“Administrator”
means SYNCHRONY FINANCIAL, in its capacity as Administrator under the Administration Agreement or any other Person designated as
an Administrator under the Administration Agreement.

 

“Agreement”
is defined in the preamble.

 

“Allocation Percentage”
means, with respect to any date of determination in any Monthly Period, the percentage equivalent of a fraction:

 

(a)  the
numerator of which shall be equal to:

 

(i) for Principal
Collections during the Revolving Period and for Finance Charge Collections and Default Amounts at any time, the Collateral Amount
at the end of the last day of the prior Monthly Period (or, in the case of the first Monthly Period, on the Closing Date); or

 

(ii) for Principal
Collections during the Early Amortization Period and the Controlled Accumulation Period, the Collateral Amount at the end of the
last day of the Revolving Period; provided, that on and after the date on which the Principal Accumulation Account Balance
equals the Note Principal Balance, the numerator shall equal zero; and

 

(b)  the
denominator of which shall be the greater of (x) the Aggregate Principal Receivables determined as of the close of business
on the last day of the prior Monthly Period (or, in the case of the first Monthly Period, on the Closing Date) and (y) the
sum of the numerators used to calculate the allocation percentages for allocations with respect to Finance Charge Collections,
Principal Collections or Default Amounts, as applicable, for all outstanding Series on such date of determination; provided,
that if one or more Reset Dates occur in a Monthly Period, the denominator determined pursuant to clause (x) of this clause (b)
shall be (A) the Aggregate Principal Receivables as of the close of business on the last day of the prior Monthly Period for the
period from and including the first day of the current Monthly Period, to but excluding such Reset Date and (B) the Aggregate Principal
Receivables as of the close of business on such Reset Date, for the period from and including such Reset Date to the earlier of
the last day of such Monthly Period (in which case such period shall include such day) or the next succeeding Reset Date (in which
case such period shall not include such succeeding Reset Date); and provided, further, that notwithstanding the preceding
proviso, if a Reset Date occurs during any Monthly Period and the Issuer makes a single monthly deposit of Collections to the Collection
Account pursuant to Section 8.4 of the Indenture for such Monthly Period and has not elected to make daily deposits to the
Collection Account, then the denominator determined pursuant to clause (x) of this clause (b) for each day during such Monthly
Period shall equal the Average Principal Balance for such Monthly Period.

 

    	 	2	 

     

    

  

“Available Finance
Charge Collections” means, for any Monthly Period, an amount equal to the sum of (a) the Investor Finance Charge Collections
for such Monthly Period, (b) the Series 2016-1 Excess Finance Charge Collections for such Monthly Period, (c) Principal Accumulation
Investment Proceeds, if any, with respect to the related Transfer Date, (d) interest and earnings on funds on deposit in the Reserve
Account which will be treated as Available Finance Charge Collections pursuant to Section 4.10(a) and (e) amounts, if any,
to be withdrawn from the Reserve Account which will be deposited into the Finance Charge Account on the related Transfer Date
to be treated as Available Finance Charge Collections pursuant to Section 4.10(c); provided, that for purposes of
the statement to be delivered pursuant to Section 5.2(a), the Servicer may estimate the amount of interest, earnings and
expenses on any Series Account based on the most recent statement delivered by the related deposit bank.

 

“Available Principal
Collections” means, for any Monthly Period, an amount equal to the sum of (a) the Investor Principal Collections for
such Monthly Period, minus (b) the amount of Reallocated Principal Collections with respect to such Monthly Period which
pursuant to Section 4.7 are required to be applied on the related Payment Date, plus (c) the sum of (i) any
Shared Principal Collections with respect to other Principal Sharing Series (including any amounts on deposit in the Excess Funding
Account that are allocated to Series 2016-1 for application as Shared Principal Collections), (ii) the aggregate amount to be
treated as Available Principal Collections pursuant to Sections 4.4(a)(vii), (viii) and (xi) and (iii)
during an Early Amortization Period, the amount of Available Finance Charge Collections used to pay principal on the Notes pursuant
to Section 4.4(a)(xiv) for the related Payment Date.

 

“Available Reserve
Account Amount” means, for any Transfer Date, the lesser of (a) the amount on deposit in the Reserve Account (after taking
into account any interest and earnings retained in the Reserve Account pursuant to Section 4.10(a) on such date, but before
giving effect to any deposit made or to be made pursuant to Section 4.4(a)(ix) to the Reserve Account on such date) and
(b) the Required Reserve Account Amount.

 

“Available Spread
Account Amount” means, for any Transfer Date, an amount equal to the lesser of (a) the amount on deposit in the Spread
Account (exclusive of Investment Earnings on such date and before giving effect to any deposit to, or withdrawal from, the Spread
Account made or to be made with respect to such date) and (b) the Required Spread Account Amount, in each case on such Transfer
Date.

 

“Average Principal
Balance” means for any Monthly Period in which a Reset Date occurs, the sum of (i) the Aggregate Principal Receivables
determined as of the close of business on the last day of the prior Monthly Period, multiplied by a fraction, the numerator
of which is the number of days from and including the first day of such Monthly Period, to but excluding the related Reset Date,
and the denominator of which is the number of days in such Monthly Period and (ii) for each such Reset Date, the product of the
Aggregate Principal Receivables determined as of the close of business on such Reset Date, multiplied by a fraction, the
numerator of which is the number of days from and including such Reset Date, to the earlier of the last day of such Monthly Period
(in which case such period shall include such date) or the next succeeding Reset Date (in which case such period shall exclude
such date), and the denominator of which is the number of days in such Monthly Period.

 

    	 	3	 

     

    

  

“Base Rate”
means, for any Monthly Period, the annualized percentage (based on a 360-day year of twelve 30-day months, or in the case of the
initial Monthly Period, the actual number of days and a 360-day year) equivalent of a fraction, the numerator of which is equal
to the sum of (a) the Monthly Interest, (b) the amount required to be paid pursuant to Section 4.4(a)(i) and (c) the Noteholder
Servicing Fee, each with respect to the related Payment Date, and the denominator of which is the Collateral Amount plus amounts
on deposit in the Principal Accumulation Account, each as of the close of business on the last day of such Monthly Period.

 

“Benefit Plan”
means (i) an “employee benefit plan” as defined in Section 3(3) of ERISA, that is subject to Title I of ERISA, (ii)
a “plan” as defined in Section 4975 of the Code that is subject to Section 4975 of the Code, or (iii) an entity whose
underlying assets include plan assets by reason of investment by an employee benefit plan or plan in such entity.

 

“Business Day”
means any day that is not a Saturday, a Sunday or a day on which banks are required or permitted to be closed in the State of New
York or the State of Connecticut.

 

“Class A Additional
Interest” is defined in Section 4.1(a).

 

“Class A Deficiency
Amount” is defined in Section 4.1(a).

 

“Class A Monthly
Interest” is defined in Section 4.1(a).

 

“Class A Note
Initial Principal Balance” means $750,000,000.

 

“Class A Note
Interest Rate” means a per annum rate of 2.04%.

 

“Class A Note
Principal Balance” means, on any date of determination, an amount equal to (a) the Class A Note Initial Principal Balance,
minus (b) the aggregate amount of principal payments made to the Class A Noteholders on or prior to such date.

 

“Class A Noteholder”
means the Person in whose name a Class A Note is registered in the Note Register.

 

“Class A Notes”
means any one of the Notes executed by the Issuer and authenticated by or on behalf of the Indenture Trustee, substantially in
the form of Exhibit A-1.

 

“Class A Required
Amount” means, for any Payment Date, an amount equal to the excess of the amounts described in Sections 4.4(a)(i),
(ii) and (iii) over Available Finance Charge Collections applied to pay such amount pursuant to Section 4.4(a).

 

“Class B Additional
Interest” is defined in Section 4.1(b).

 

“Class B Deficiency
Amount” is defined in Section 4.1(b).

 

    	 	4	 

     

    

  

“Class B Monthly
Interest” is defined in Section 4.1(b).

 

“Class B Note
Initial Principal Balance” means $71,917,808.

 

“Class B Note
Interest Rate” means a per annum rate of 2.39%.

 

“Class B Note
Principal Balance” means, on any date of determination, an amount equal to (a) the Class B Note Initial Principal Balance,
minus (b) the aggregate amount of principal payments made to the Class B Noteholders on or prior to such date.

 

“Class B Note
Transfer” is defined in Section 2.2(b).

 

“Class B Noteholder”
means the Person in whose name a Class B Note is registered in the Note Register.

 

“Class B Notes”
means any one of the Notes executed by the Issuer and authenticated by or on behalf of the Indenture Trustee, substantially in
the form of Exhibit A-2.

 

“Class B Required
Amount” means, for any Payment Date, an amount equal to the excess of the amount described in Section 4.4(a)(iv)
over Available Finance Charge Collections applied to pay such amount pursuant to Section 4.4(a).

 

“Class C Additional
Interest” is defined in Section 4.1(c).

 

“Class C Deficiency
Amount” is defined in Section 4.1(c).

 

“Class C Monthly
Interest” is defined in Section 4.1(c).

 

“Class C Note
Initial Principal Balance” means $61,643,836.

 

“Class C Note
Interest Rate” means a per annum rate of 2.88%.

 

“Class C Note
Principal Balance” means, on any date of determination, an amount equal to (a) the Class C Note Initial Principal Balance,
minus (b) the aggregate amount of principal payments made to the Class C Noteholders on or prior to such date.

 

“Class C Note
Transfer” is defined in Section 2.2(b).

 

“Class C Noteholder”
means the Person in whose name a Class C Note is registered in the Note Register.

 

“Class C Notes”
means any one of the Notes executed by the Issuer and authenticated by or on behalf of the Indenture Trustee, substantially in
the form of Exhibit A-3.

 

“Class C Required
Amount” means, for any Payment Date, an amount equal to the excess of the amount described in Section 4.4(a)(v)
over Available Finance Charge Collections applied to pay such amount pursuant to Section 4.4(a).

 

“Class D Additional
Interest” is defined in Section 4.1(d).

 

    	 	5	 

     

    

  

“Class D Deficiency
Amount” is defined in Section 4.1(d).

 

“Class D Monthly
Interest” is defined in Section 4.1(d).

 

“Class D Note
Initial Principal Balance” means $92,465,753.

 

“Class D Note
Interest Rate” means a per annum rate of 3.38%.

 

“Class D Note
Principal Balance” means, on any date of determination, an amount equal to (a) the Class D Note Initial Principal Balance,
minus (b) the aggregate amount of principal payments made to the Class D Noteholders on or prior to such date.

 

“Class D Note
Transfer” is defined in Section 2.2(b).

 

“Class D Noteholder”
means the Person in whose name a Class D Note is registered in the Note Register.

 

“Class D Notes”
means any one of the Notes executed by the Issuer and authenticated by or on behalf of the Indenture Trustee, substantially in
the form of Exhibit A-4.

 

“Class D Required
Amount” means with respect to any Payment Date, an amount equal to the excess of the amount described in Section 4.4(a)(vi)
over Available Finance Charge Collections applied to pay such amount pursuant to Section 4.4(a).

 

“Closing Date”
means March 18, 2016.

 

“Collateral Amount”
means, as of any date of determination, an amount equal to the excess of (a) the Initial Collateral Amount, over (b) the
sum of (i) the amount of principal previously paid to the Series 2016-1 Noteholders (other than any principal payments made from
funds on deposit in the Spread Account), (ii) reductions in the Collateral Amount pursuant to Section 4.4(f), (iii) the
Principal Accumulation Account Balance and (iv) the excess, if any, of the aggregate amount of Investor Charge-Offs and Reallocated
Principal Collections over the reimbursements of such amounts pursuant to Section 4.4(a)(viii) prior to such date.

 

“Controlled Accumulation
Amount” means, for any Payment Date with respect to the Controlled Accumulation Period, $325,342,466; provided,
however, that if the Controlled Accumulation Period Length is determined to be more than or less than three months pursuant
to Section 4.13, the Controlled Accumulation Amount for each Payment Date with respect to the Controlled Accumulation Period
will be equal to (i) the initial Note Principal Balance divided by (ii) the Controlled Accumulation Period Length; provided,
further, that the Controlled Accumulation Amount for any Payment Date shall not exceed the Note Principal Balance minus
any amount already on deposit in the Principal Accumulation Account on such Payment Date.

 

“Controlled Accumulation
Period” means, unless an Early Amortization Event shall have occurred prior thereto, the period commencing on the first
day of the third Monthly Period preceding the Expected Principal Payment Date or such other date as is determined in accordance
with Section 4.13 and ending on the first to occur of (a) the commencement of the Early Amortization Period and (b) the
Final Payment Date.

 

    	 	6	 

     

    

  

“Controlled Accumulation
Period Length” is defined in Section 4.13.

 

“Controlled Deposit
Amount” means, for any Payment Date with respect to the Controlled Accumulation Period, an amount equal to the sum of
the Controlled Accumulation Amount for such Payment Date and any existing Accumulation Shortfall.

 

“Covered Amount”
means an amount, determined as of each Transfer Date for any Interest Period, equal to the sum of:

 

(a)          product
of (i) the Class A Monthly Interest and (ii) a fraction (A) the numerator of which is equal to the lesser of the Principal Accumulation
Account Balance and the Class A Note Principal Balance, each as of the last day of the calendar month preceding such Transfer Date,
and (B) the denominator of which is equal to the Class A Note Principal Balance as of the last day of the calendar month preceding
such Transfer Date;

 

(b)          product
of (i) the Class B Monthly Interest and (ii) a fraction (A) the numerator of which is equal to the lesser of (x) the excess of
the Principal Accumulation Account Balance over the Class A Note Principal Balance as of the last day of the calendar month preceding
such Transfer Date and (y) the Class B Note Principal Balance as of the last day of the calendar month preceding such Transfer
Date, and (B) the denominator of which is equal to the Class B Note Principal Balance as of the last day of the calendar month
preceding such Transfer Date; and

 

(c)          product
of (i) the Class C Monthly Interest and (ii) a fraction (A) the numerator of which is equal to the lesser of (x) the excess of
the Principal Accumulation Account Balance over the Class A Note Principal Balance and the Class B Note Principal Balance as of
the last day of the calendar month preceding such Transfer Date and (y) the Class C Note Principal Balance as of the last day of
the calendar month preceding such Transfer Date, and (B) the denominator of which is equal to the Class C Note Principal Balance
as of the last day of the calendar month preceding such Transfer Date; and

 

(d)          product
of (i) the Class D Monthly Interest and (ii) a fraction (A) the numerator of which is equal to the lesser of (x) the excess of
the Principal Accumulation Account Balance over the sum of the Class A Note Principal Balance, the Class B Note Principal Balance
and the Class C Note Principal Balance, each as of the last day of the calendar month preceding such Transfer Date and (y) the
Class D Note Principal Balance as of the last day of the calendar month preceding such Transfer Date, and (B) the denominator
of which is equal to the Class D Note Principal Balance as of the last day of the calendar month preceding such Transfer Date.

 

“Default Amount”
means, as to any Defaulted Account, the amount of Principal Receivables (other than Ineligible Receivables (as such term is defined
in the Transfer Agreement), unless there is an Insolvency Event with respect to the Originator or the Transferor) in such Defaulted
Account on the day it became a Defaulted Account.

 

“Defaulted Account”
means an Account in which there are Charged-Off Receivables.

 

“Dilution”
means any downward adjustment made by Servicer in the amount of any Transferred Receivable (a) because of a rebate, refund or billing
error to an accountholder, (b) because such Transferred Receivable was created in respect of merchandise which was refused or returned
by an accountholder or (c) for any other reason other than receiving Collections therefor or charging off such amount as uncollectible.

 

    	 	7	 

     

    

  

“Distribution
Account” means the account designated as such, established and owned by the Issuer and maintained in accordance with
Section 4.2.

 

“Early Amortization
Period” means the period commencing on the date on which a Trust Early Amortization Event or a Series 2016-1 Early Amortization
Event is deemed to occur and ending on the Final Payment Date.

 

“ERISA”
means the Employee Retirement Income Security Act of 1974, as amended.

 

“Excess Collateral
Amount” means, at any time, the excess of (a) the sum of (i) the Collateral Amount and (ii) the Principal Accumulation
Account Balance, over (b) the Note Principal Balance.

 

“Excess Spread
Percentage” means, for any Monthly Period, a percentage equal to (a) the Portfolio Yield for such Monthly Period, minus
(b) the Base Rate for such Monthly Period.

 

“Expected Principal
Payment Date” means the March 2019 Payment Date.

 

“Final Payment
Date” means the earliest to occur of (a) the date on which the Note Principal Balance is paid in full, (b) the date on
which the Collateral Amount is reduced to zero and (c) the Series Maturity Date.

 

“Finance Charge
Account” means the account designated as such, established and owned by the Issuer and maintained in accordance with
Section 4.2.

 

“Finance Charge
Shortfall” is defined in Section 4.8.

 

“Group One”
means Series 2016-1 and each other outstanding Series previously or hereafter specified in the related Indenture Supplement to
be included in Group One.

 

“Indenture”
is defined in the preamble.

 

“Indenture Trustee”
is defined in the preamble.

 

“Initial Collateral
Amount” means $1,027,397,261, which equals the sum of (i) the Class A Note Initial Principal Balance, (ii) the Class
B Note Initial Principal Balance, (iii) the Class C Note Initial Principal Balance, (iv) the Class D Note Initial Principal Balance
and (v) the Initial Excess Collateral Amount.

 

“Initial Excess
Collateral Amount” means $51,369,864.

 

“Interest Period”
means, for any Payment Date, the period from and including the Payment Date immediately preceding such Payment Date (or, in the
case of the initial Payment Date, from and including the Closing Date) to but excluding such Payment Date.

 

    	 	8	 

     

    

  

“Investment Earnings”
means, for any Payment Date, all interest and earnings on Permitted Investments included in the Spread Account (net of losses and
investment expenses) during the period commencing on and including the Payment Date immediately preceding such Payment Date and
ending on but excluding such Payment Date.

 

“Investor Charge-Offs”
is defined in Section 4.6.

 

“Investor Default
Amount” means, for any Monthly Period, the sum for all Accounts that became Defaulted Accounts during such Monthly Period,
of the following amount: the product of (a) the Default Amount with respect to each such Defaulted Account and (b) the Allocation
Percentage on the day such Account became a Defaulted Account.

 

“Investor Finance
Charge Collections” means, for any Monthly Period, an amount equal to the aggregate amount of Finance Charge Collections
allocated to the Series issued pursuant to this Indenture Supplement pursuant to Section 4.3(a) for all Dates of Processing during
such Monthly Period.

 

“Investor Principal
Collections” means, for any Monthly Period, (a) during the Revolving Period, amounts deposited by the holder(s) of the
Transferor Interest to the Collection Account in respect of Reallocated Principal Collections pursuant to Section 4.3(c),
and (b) during the Controlled Accumulation Period or the Early Amortization Period, an amount equal to the lesser of (i) the Required
Principal Deposit Amount for such Monthly Period and (ii) the aggregate amount of Principal Collections allocated to the Series
issued pursuant to this Indenture Supplement pursuant to Section 4.3(b) for all Dates of Processing during such Monthly
Period; provided, that for any Monthly Period in which the Early Amortization Period commences, the amount described in
this clause (ii) shall equal the sum of (x) the lesser of (A) the aggregate amount of Principal Collections allocated to
the Series issued pursuant to this Indenture Supplement pursuant to Section 4.3(b) for all Dates of Processing during any
portion of the Monthly Period preceding the date on which the Early Amortization Period commences and (B) the Required Principal
Deposit Amount during the portion of such Monthly Period preceding the date on which the Early Amortization Period commences, plus
(y) the aggregate amount of Principal Collections allocated to the Series issued pursuant to this Indenture Supplement pursuant
to Section 4.3(b) for all Dates of Processing during any portion of the Monthly Period on and after the commencement of
the Early Amortization Period.

 

“Investor Uncovered
Dilution Amount” means, for any Monthly Period, an amount equal to the product of (a) the Series Allocation Percentage
for such Monthly Period (which with respect to any Monthly Period in which a Reset Date occurs during that Monthly Period will
be the daily average of the Series Allocation Percentages for all dates during such Monthly Period) and (b) the aggregate Dilutions
occurring during such Monthly Period as to which any deposit is required to be made hereunder but has not been made, provided,
that if the Free Equity Amount is greater than zero at the time the deposit referred to in clause (b) is required to be
made, the Investor Uncovered Dilution Amount shall be deemed to be zero.

 

“Issuer”
is defined in the preamble.

 

“Maximum Delinquency
Percentage” means, for purposes of Series 2016-1, 9.0%.

 

    	 	9	 

     

    

  

“Minimum Free
Equity Percentage” means, for purposes of Series 2016-1, 5.5%.

 

“Monthly Interest”
means, for any Payment Date, the sum of the Class A Monthly Interest, the Class B Monthly Interest, the Class C Monthly Interest
and the Class D Monthly Interest for such Payment Date.

 

“Monthly Period”
means, as to the April 2016 Payment Date, the period beginning on the Closing Date and ending on March 21, 2016, and as to each
Payment Date thereafter, the period beginning on the 22nd day of the second preceding calendar month and ending on the
21st day of the immediately preceding calendar month.

 

“Monthly Principal”
is defined in Section 4.1(e).

 

“Monthly Principal
Reallocation Amount” means, for any Monthly Period, an amount equal to the sum of:

 

(a)          the
lesser of (i) the Class A Required Amount and (ii) 27.00% of the Initial Collateral Amount minus the sum of (x) the amount
of unreimbursed Investor Charge-Offs (after giving effect to Investor Charge-Offs for the related Monthly Period) and unreimbursed
Reallocated Principal Collections (as of the previous Payment Date) and (y) any reductions to the Collateral Amount pursuant to
Section 4.4(f), but not less than zero;

 

(b)          the
lesser of (i) the Class B Required Amount and (ii) 20.00% of the Initial Collateral Amount minus the sum of (x) the amount
of unreimbursed Investor Charge-Offs (after giving effect to Investor Charge-Offs for the related Monthly Period) and unreimbursed
Reallocated Principal Collections (as of the previous Payment Date and as required in clause (a) above) and (y) any reductions
to the Collateral Amount pursuant to Section 4.4(f), but not less than zero;

 

(c)          the
lesser of (i) the Class C Required Amount and (ii) 14.00% of the Initial Collateral Amount minus the sum of (x) the amount
of unreimbursed Investor Charge-Offs (after giving effect to Investor Charge-Offs for the related Monthly Period) and unreimbursed
Reallocated Principal Collections (as of the previous Payment Date and as required in clauses (a) and (b) above)
and (y) any reductions to the Collateral Amount pursuant to Section 4.4(f), but not less than zero; and

 

(d)          the
lesser of (i) the Class D Required Amount and (ii) 5.00% of the Initial Collateral Amount minus the sum of (x) the amount
of unreimbursed Investor Charge-Offs after giving effect to Investor Charge-Offs for the related Monthly Period) and unreimbursed
Reallocated Principal Collections (as of the previous Payment Date and as required in clauses (a), (b) and (c)
above) and (y) any reduction to the Collateral Amount pursuant to Section 4.4(f), but not less than zero.

 

“Note Principal
Balance” means, on any date of determination, an amount equal to the sum of the Class A Note Principal Balance, the Class
B Note Principal Balance, the Class C Note Principal Balance and the Class D Note Principal Balance.

 

    	 	10	 

     

    

  

“Noteholder Servicing
Fee” means, for any Transfer Date, an amount equal to one-twelfth of the product of (a) the Series Servicing Fee Percentage
and (b) the Collateral Amount as of the last day of the Monthly Period preceding such Transfer Date; provided, however,
that with respect to the first Transfer Date, the Noteholder Servicing Fee shall be calculated based on the Collateral Amount as
of the Closing Date and shall be pro rated for the number of days in the first Monthly Period.

 

“Payment Date”
means April 15, 2016 and the 15th day of each calendar month thereafter, or if such 15th day is not a Business
Day, the next succeeding Business Day.

 

“Portfolio Yield”
means, for any Monthly Period, the annualized percentage (based on a 360-day year of twelve 30-day months, or in the case of the
initial Monthly Period, the actual number of days and a 360-day year) equivalent of a fraction, (a) the numerator of which is equal
to the excess of (i) the Available Finance Charge Collections (excluding any Excess Finance Charge Collections), over (ii) the
Investor Default Amount and the Investor Uncovered Dilution Amount for such Monthly Period and (b) the denominator of which is
the Collateral Amount plus amounts on deposit in the Principal Accumulation Account, each as of the close of business on the last
day of such Monthly Period.

 

“Principal Account”
means the account designated as such, established and owned by the Issuer and maintained in accordance with Section 4.2.

 

“Principal Accumulation
Account” means the account designated as such, established and owned by the Issuer and maintained in accordance with
Section 4.2.

 

“Principal Accumulation
Account Balance” means, for any date of determination, the principal amount, if any, on deposit in the Principal Accumulation
Account on such date of determination.

 

“Principal Accumulation
Investment Proceeds” means, with respect to each Transfer Date, the investment earnings on funds in the Principal Accumulation
Account (net of investment expenses and losses) for the period from and including the immediately preceding Transfer Date to but
excluding such Transfer Date; provided, that for purposes of all calculations to be made prior to the related Payment Date
and the statement to be delivered pursuant to Section 5.2(a), the Servicer may estimate the amount of interest, earnings
and expenses on the Principal Accumulation Account based on the most recent statement delivered by the related deposit bank.

 

“Principal Shortfall”
is defined in Section 4.9.

 

“QIB”
means a qualified institutional buyer, within the meaning of Rule 144A under the Securities Act.

 

“Quarterly Excess
Spread Percentage” means (a) with respect to the June 2016 Payment Date, the percentage equivalent of a fraction the
numerator of which is the sum of (i) the Excess Spread Percentage for the Monthly Period relating to the May 2016 Payment Date
and (ii) the Excess Spread Percentage for the Monthly Period relating to the June 2016 Payment Date and the denominator of which
is two and (b) with respect to the July 2016 Payment Date and each Payment Date thereafter, the percentage equivalent of a fraction
the numerator of which is the sum of the Excess Spread Percentages determined with respect to the Monthly Periods relating to such
Payment Date and the immediately preceding two Payment Dates and the denominator of which is three.

 

    	 	11	 

     

    

  

“Rating Agency”
means, as of any date and with respect to any Class of the Series 2016-1 Notes, the nationally recognized statistical rating organizations
that have been requested by the Transferor to provide ratings of such Class and that are rating the Series 2016-1 Notes on such
date.

 

“Rating Agency
Condition” means, with respect to Series 2016-1 and any action, (i) with respect to any Class of the Series 2016-1 Notes
with respect to which S&P is a Rating Agency, if any, that S&P shall have notified the Issuer in writing that such action
will not result in a reduction or withdrawal of the rating, if any, of such Class (ii) with respect to any outstanding Class of
the Series 2016-1 Notes rated by any other Rating Agency, ten (10) days’ prior written notice (or, if ten (10) days’
advance notice is impracticable, as much advance notice as is practicable) is delivered electronically to each applicable Rating
Agency as provided in Section 8.7.

 

“Reallocated Principal
Collections” is defined in Section 4.7.

 

“Reassignment
Amount” means, with respect to Series 2016-1, the Redemption Amount.

 

“Redemption Amount”
means, for any Transfer Date, after giving effect to any deposits and payments otherwise to be made on the related Payment Date,
the sum of (i) the Note Principal Balance on such Payment Date, (ii) Monthly Interest for such Payment Date and any Monthly Interest
previously due but not distributed to the Series 2016-1 Noteholders and (iii) the amount of Additional Interest, if any, for the
related Payment Date and any Additional Interest previously due but not distributed to the Series 2016-1 Noteholders on a prior
Payment Date.

 

“Removal Date”
means a “Removal Date” as such term is defined in the Transfer Agreement.

 

“Required Deposit
Amount” means, with respect to the Series issued pursuant to this Indenture Supplement, for any Monthly Period, the sum
of (a) the Required Finance Charge Deposit Amount on such Date of Processing and (b) the Required Principal Deposit Amount on such
Date of Processing.

 

“Required Excess
Collateral Amount” means, at any time, 5.00% of the Collateral Amount; provided, that:

 

(a)          except
as provided in clause (c), the Required Excess Collateral Amount shall never be less than 3.00% of the Initial Collateral
Amount;

 

(b)          except
as provided in clause (c), the Required Excess Collateral Amount shall not decrease during an Early Amortization Period;
and

 

    	 	12	 

     

    

 

 

(c)          the
Required Excess Collateral Amount shall never be greater than the excess of the Note Principal Balance over the balance on deposit
in the Principal Accumulation Account.

 

“Required Finance
Charge Deposit Amount” means, with respect to the Series issued pursuant to this Indenture Supplement, for any Monthly
Period, the sum of (a) the fees payable to the Indenture Trustee, the Trustee and the Administrator on the related Payment Date,
(b) the Monthly Interest on the related Payment Date, (c) the Noteholder Servicing Fee, (d) if on such Date of Processing the Free
Equity Amount is less than the Minimum Free Equity Amount after giving effect to all transfers and deposits on that Date of Processing,
the Investor Default Amount and (e) any amount required to be deposited in the Reserve Account and the Spread Account on the related
Payment Date. To the extent any data needed to calculate the Required Finance Charge Deposit Amount is not available on any Date
of Processing, the Issuer shall use the corresponding data as most recently determined or other reasonable estimate of such data
until the required data is available (which shall be no later than the Transfer Date in the following Monthly Period). Without
limiting the foregoing, for purposes of determining the Investor Default Amount on any Date of Processing, the Investor Default
Amount shall be estimated based on the assumption that the Investor Default Amount for the current Monthly Period will equal the
Investor Default Amount for the prior Monthly Period multiplied by 1.25.

 

“Required Principal
Deposit Amount” means, with respect to the Series issued pursuant to this Indenture Supplement, for any Monthly Period,
an amount equal to (a) during the Revolving Period, zero, (b) during the Controlled Accumulation Period, the Controlled Deposit
Amount for the related Payment Date, and (c) during the Early Amortization Period, the Note Principal Balance, minus any amount
already on deposit in the Principal Accumulation Account.

 

“Required Reserve
Account Amount” means, for any Transfer Date on or after the Reserve Account Funding Date, an amount equal to (a) 0.50%
of the Note Principal Balance or (b) any other amount designated by the Issuer; provided, however, that if such designation
is of a lesser amount, the Issuer shall (i) provide the Indenture Trustee with evidence that the Rating Agency Condition shall
have been satisfied and (ii) deliver to the Indenture Trustee a certificate of an Authorized Officer to the effect that, based
on the facts known to such officer at such time, in the reasonable belief of the Issuer, such designation will not cause an Early
Amortization Event or an event that, after the giving of notice or the lapse of time, would cause an Early Amortization Event to
occur with respect to Series 2016-1; provided, further, however, that at any time during which the Controlled
Accumulation Period Length is equal to one month, the Required Reserve Account Amount shall be equal to $0.00.

 

“Required Spread
Account Amount” means, for the April 2016 Payment Date and the May 2016 Payment Date, zero, and for any Payment Date
thereafter, the product of (i) the Spread Account Percentage in effect on such date and (ii) during (x) the Revolving Period, the
Collateral Amount, and (y) during the Controlled Accumulation Period or the Early Amortization Period, the Collateral Amount as
of the last day of the Revolving Period; provided, that, prior to the occurrence of an Event of Default and acceleration
of the Series 2016-1 Notes, the Required Spread Account Amount will never exceed the Class D Note Principal Balance (after taking
into account any payments to be made on such Payment Date).

 

    	 	13	 

     

    

  

“Reserve Account”
means the account designated as such, established and owned by the Issuer and maintained in accordance with Section 4.2.

 

“Reserve Account
Funding Date” means the Payment Date selected by the Servicer on behalf of the Issuer which occurs not later than the
earliest of the Payment Date with respect to the Monthly Period which commences three months prior to the commencement of the Controlled
Accumulation Period (which commencement shall be subject to postponement pursuant to Section 4.13); provided, however,
that if the Rating Agency Condition is satisfied, the Issuer may postpone the Reserve Account Funding Date.

 

“Reserve Account
Surplus” means, as of any Transfer Date following the Reserve Account Funding Date, the amount, if any, by which the
amount on deposit in the Reserve Account exceeds the Required Reserve Account Amount, after giving effect to all deposits to and
withdrawals from the Reserve Account to occur on or prior to the related Payment Date.

 

“Reserve Draw
Amount” means, with respect to each Transfer Date relating to the Controlled Accumulation Period or the first Transfer
Date relating to the Early Amortization Period, the amount, if any, by which the Principal Accumulation Investment Proceeds for
such Payment Date are less than the Covered Amount determined as of such Transfer Date.

 

“Reset Date”
means:

 

(a)          each
Addition Date;

 

(b)          each
Removal Date on which, if any Series of Notes has been paid in full, Principal Receivables for that Series are removed from the
Trust;

 

(c)          each
date on which there is an increase in the outstanding balance of any Variable Interest; and

 

(d)          each
date on which a new Series or Class of Notes is issued.

 

“Revolving Period”
means the period beginning on the Closing Date and ending at the close of business on the day immediately preceding the earlier
of the day the Controlled Accumulation Period commences or the day the Early Amortization Period commences.

 

“Series Accounts”
means, collectively, the Finance Charge Account, the Principal Account, the Principal Accumulation Account, the Distribution Account,
the Reserve Account and the Spread Account.

 

“Series Allocation
Percentage” means, with respect to any Monthly Period, the percentage equivalent of a fraction, the numerator of which
is the numerator used in determining the Allocation Percentage for Finance Charge Collections for that Monthly Period and the denominator
of which is the sum of the numerators used in determining the Allocation Percentage for Finance Charge Collections for all outstanding
Series on such date of determination; provided, that if one or more Reset Dates occur in a Monthly Period, the Series Allocation
Percentage for the portion of the Monthly Period falling on and after each such Reset Date and prior to any subsequent Reset Date
will be determined using a denominator which is equal to the sum of the numerators used in determining the Allocation Percentage
for Finance Charge Collections for all outstanding Series as of the close of business on the subject Reset Date.

 

    	 	14	 

     

    

  

“Series Maturity
Date” means, with respect to Series 2016-1, the March 2022 Payment Date.

 

“Series Servicing
Fee Percentage” means 2% per annum.

 

“Series 2016-1”
means the Series of Notes the terms of which are specified in this Indenture Supplement.

 

“Series 2016-1
Early Amortization Event” is defined in Section 6.1.

 

“Series 2016-1
Excess Finance Charge Collections” means Excess Finance Charge Collections allocated from other Series in Group One to
Series 2016-1 pursuant to Section 8.6 of the Indenture.

 

“Series 2016-1
Note” means a Class A Note, a Class B Note, a Class C Note or a Class D Note.

 

“Series 2016-1
Noteholder” means a Class A Noteholder, a Class B Noteholder, a Class C Noteholder or a Class D Noteholder.

 

“Similar Law”
means any applicable law that is substantially similar to the fiduciary responsibility provisions of ERISA or Section 4975 of the
Code.

 

“Spread Account”
means the account designated as such, established and owned by the Issuer and maintained in accordance with Section 4.2.

 

“Spread Account
Deficiency” means the excess, if any, of the Required Spread Account Amount over the Available Spread Account Amount.

 

“Spread Account
Percentage” means, (i) 0% if the Quarterly Excess Spread Percentage on such Payment Date is greater than or equal to
5.00%, (ii) 2.00% if the Quarterly Excess Spread Percentage on such Payment Date is less than 5.00% and greater than or equal to
4.50%, (iii) 2.50% if the Quarterly Excess Spread Percentage on such Payment Date is less than 4.50% and greater than or equal
to 4.00%, (iv) 3.50% if the Quarterly Excess Spread Percentage on such Payment Date is less than 4.00% and greater than or equal
to 3.50%, (v) 4.50% if the Quarterly Excess Spread Percentage on such Payment Date is less than 3.50% and greater than or equal
to 3.00%, (vi) 5.50% if the Quarterly Excess Spread Percentage on such Payment Date is less than 3.00% and greater than or equal
to 2.50%, (vii) 6.50% if the Quarterly Excess Spread Percentage on such Payment Date is less than 2.50% and greater than or equal
to 1.50%, (viii) 7.50% if the Quarterly Excess Spread Percentage on such Payment Date is less than 1.50% and greater than or equal
to 0.50% and (ix) 8.50% if the Quarterly Excess Spread Percentage on such Payment Date is less than 0.50%.

 

    	 	15	 

     

    

  

“Surplus Collateral
Amount” means, with respect to any Payment Date, the excess, if any, of the Excess Collateral Amount over the Required
Excess Collateral Amount, in each case calculated after giving effect to any deposits into the Principal Accumulation Account and
payments of principal on such Payment Date, but before giving effect to any reduction in the Collateral Amount on such Payment
Date pursuant to Section 4.4(f).

 

“Trust”
is defined in the preamble.

 

SECTION 1.2. Incorporation
of Terms. The terms of the Indenture are incorporated in this Supplement as if set forth in full herein. As supplemented by
this Supplement, the Indenture is in all respects ratified and confirmed and both together shall be read, taken and construed as
one and the same agreement. If the terms of this Supplement and the terms of the Indenture conflict, the terms of this Supplement
shall control with respect to the Series 2016-1.

 

ARTICLE
II

Creation of the Series 2016-1 Notes

 

SECTION 2.1. Designation.

 

(a)          There
is hereby created and designated a Series of Notes to be issued pursuant to the Indenture and this Indenture Supplement to be known
as “Synchrony Credit Card Master Note Trust, Series 2016-1” or the “Series 2016-1 Notes.”
The Series 2016-1 Notes shall be issued in four Classes, known as the “Class A Series 2016-1 Fixed Rate Asset Backed Notes”,
the “Class B Series 2016-1 Fixed Rate Asset Backed Notes”, the “Class C Series 2016-1 Fixed Rate Asset
Backed Notes” and the “Class D Series 2016-1 Fixed Rate Asset Backed Notes.”

 

(b)          Series
2016-1 shall be included in Group One and shall be a Principal Sharing Series. Series 2016-1 shall be an Excess Allocation Series
with respect to Group One only. Series 2016-1 shall not be subordinated to any other Series.

 

(c)          The
Series 2016-1 Class A Notes shall be issued in minimum denominations of $100,000 and in integral multiples of $1,000 and the Class
B Notes, the Class C Notes and the Class D Notes shall be issued in minimum denominations of $100,000 and in integral multiples
of $1.

 

SECTION 2.2. Transfer
Restrictions Applicable to the Class B Notes, the Class C Notes and the Class D Notes.

 

(a)          The
Class B Notes, the Class C Notes and the Class D Notes have not been registered under the Securities Act or any state securities
law. None of the Issuer, the Note Registrar or the Indenture Trustee is obligated to register the Class B Notes, the Class C Notes
or the Class D Notes under the Securities Act or any other securities or “blue sky” laws or to take any other action
not otherwise required under this Indenture Supplement or the Trust Agreement to permit the transfer of any Class B Note, Class
C Note or Class D Note without registration.

 

    	 	16	 

     

    

  

(b)          Until
such time as any such Class of Notes has been registered under the Securities Act and any applicable state securities law, the
Class B Notes, the Class C Notes and the Class D Notes may not be sold, transferred, assigned, participated, pledged or otherwise
disposed of (any such act, a “Class B Note Transfer,” “Class C Note Transfer” or “Class
D Note Transfer,” as applicable) to any Person except in accordance with the provisions of this Section 2.2, and
any attempted Class B Note Transfer, Class C Note Transfer or Class D Note Transfer in violation of this Section 2.2 will
be null and void.

 

(c)          Each
Class B Note, Class C Note and Class D Note will bear a legend to the effect of the following unless determined otherwise by the
Administrator (as certified to the Indenture Trustee in an Officer’s Certificate) consistent with applicable law:

 

THIS NOTE HAS
NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), AND, ACCORDINGLY,
MAY NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED EXCEPT AS SET FORTH IN THE NEXT SENTENCE. BY ITS ACQUISITION HEREOF
OR OF A BENEFICIAL INTEREST HEREIN, THE HOLDER OF THIS NOTE:

 

(1)   AGREES
FOR THE BENEFIT OF THE ISSUER AND THE TRANSFEROR THAT THIS NOTE MAY BE SOLD, TRANSFERRED, ASSIGNED, PARTICIPATED, PLEDGED OR OTHERWISE
DISPOSED OF ONLY IN COMPLIANCE WITH THE SECURITIES ACT AND OTHER APPLICABLE LAWS, AND ONLY (I) PURSUANT TO RULE 144A UNDER THE
SECURITIES ACT (“RULE 144A”) TO A PERSON THAT THE HOLDER REASONABLY BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER,
WITHIN THE MEANING OF RULE l44A (A “QIB”), PURCHASING FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QIB, WHOM
THE HOLDER HAS INFORMED, IN EACH CASE, THAT THE REOFFER, RESALE, PLEDGE, OR OTHER TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A,
OR (II) TO THE DEPOSITOR OR ITS AFFILIATES, IN EACH CASE IN ACCORDANCE WITH ALL APPLICABLE SECURITIES LAWS OF THE UNITED STATES;
AND

 

(2)   AGREES
THAT IT WILL DELIVER TO EACH PERSON TO WHOM THIS NOTE OR AN INTEREST HEREIN IS TRANSFERRED A NOTICE SUBSTANTIALLY TO THE EFFECT
OF THIS LEGEND.

 

(d)          By
acceptance of any Class B Note, Class C Note or Class D Note, the Class B Noteholder, the Class C Noteholder or the Class D Noteholder
specifically agrees with and represents to the Transferor, the Issuer and the Note Registrar, that no Class B Note Transfer, Class
C Note Transfer or Class D Note Transfer will be made unless (i) the registration requirements of the Securities Act and any applicable
state securities laws have been complied with, (ii) such Class B Note Transfer, Class C Note Transfer or Class D Note Transfer
is to the Transferor or its Affiliates or (iii) such Class B Note Transfer, Class C Note Transfer or Class D Note Transfer is exempt
from the registration requirements under the Securities Act because such Class B Note Transfer, Class C Note Transfer or Class
D Note Transfer is in compliance with Rule 144A under the Securities Act, to a transferee who the transferor reasonably believes
is a QIB that is purchasing for its own account or for the account of a QIB and to whom notice is given that such Class B Note
Transfer, Class C Note Transfer or Class D Note Transfer, as applicable, is being made in reliance upon Rule 144A under the Securities
Act.

 

    	 	17	 

     

    

  

(e)          The
Issuer will make available to the prospective transferor and transferee of a Class B Note, Class C Note or Class D Note information
requested to satisfy the requirements of paragraph (d)(4) of Rule 144A.

 

(f)          Each
Class A Note, Class B Note, Class C Note and Class D Note will bear a legend to the effect of the following unless determined otherwise
by the Administrator (as certified to the Indenture Trustee in an Officer’s Certificate) consistent with applicable law:

 

THE HOLDER OF
THIS NOTE BY ITS ACCEPTANCE OF THIS NOTE, AND EACH HOLDER OF A BENEFICIAL INTEREST THEREIN, SHALL BE DEEMED TO REPRESENT AND WARRANT
THAT EITHER (I) SUCH HOLDER IS NOT (AND FOR SO LONG AS IT HOLDS SUCH NOTE WILL NOT BE), IS NOT ACTING ON BEHALF OF (AND FOR SO
LONG AS IT HOLDS SUCH NOTE WILL NOT BE ACTING ON BEHALF OF), AND IS NOT INVESTING THE ASSETS OF (A) AN “EMPLOYEE BENEFIT
PLAN” (AS DEFINED IN SECTION 3(3) OF THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974, AS AMENDED (“ERISA”))
THAT IS SUBJECT TO TITLE I OF ERISA, (B) A “PLAN” (AS DEFINED IN SECTION 4975 OF THE INTERNAL REVENUE CODE OF 1986,
AS AMENDED (THE “CODE”)) THAT IS SUBJECT TO SECTION 4975 OF THE CODE, (C) AN ENTITY WHOSE UNDERLYING ASSETS ARE DEEMED
TO BE PLAN ASSETS OF A PLAN DESCRIBED IN (A) OR (B) ABOVE (EACH, A “BENEFIT PLAN”) OR (D) A GOVERNMENTAL PLAN, CHURCH
PLAN OR NON-U.S. PLAN THAT IS SUBJECT TO ANY APPLICABLE LAW THAT IS SUBSTANTIALLY SIMILAR TO THE FIDUCIARY RESPONSIBILITY PROVISIONS
OF ERISA OR SECTION 4975 OF THE CODE (“SIMILAR LAW”) OR (II) ITS ACQUISITION, CONTINUED HOLDING AND DISPOSITION OF
THIS NOTE WILL NOT RESULT IN A NON-EXEMPT PROHIBITED TRANSACTION UNDER ERISA OR SECTION 4975 OF THE CODE OR A VIOLATION OF ANY
SIMILAR LAW. BENEFIT PLANS MAY NOT ACQUIRE THIS NOTE AT ANY TIME THAT THIS NOTE DOES NOT HAVE A CURRENT INVESTMENT GRADE RATING
FROM A NATIONALLY RECOGNIZED STATISTICAL RATING ORGANIZATION.

 

(g)          Any
Notes that were beneficially owned by the Issuer or the single beneficial owner of the Issuer for U.S. federal income tax purposes
as of the Closing Date, may not be transferred for U.S. federal income tax purposes to another Person (other than the single beneficial
owner of the Issuer for U.S. federal income tax purposes) unless the Administrator shall cause an opinion of nationally recognized
tax counsel to be delivered to the Administrator and Indenture Trustee to the effect that such Notes will be treated as debt for
U.S. federal income tax purposes. In addition, if for tax or other reasons it may be necessary to track such Notes (e.g., if the
Notes have original issue discount), tracking conditions such as requiring that such Notes be in definitive registered form may
be required by the Administrator as a condition to such transfer.

 

    	 	18	 

     

    

  

ARTICLE
III

REPRESENTATIONS, WARRANTIES and Covenants

 

SECTION 3.1. Representations,
Warranties and Covenants with respect to Receivables. The parties hereto agree that the representations, warranties and covenants
set forth in Schedule I shall be a part of this Indenture Supplement for all purposes.

 

SECTION 3.2. Representations,
Warranties and Covenants with respect to ERISA. By acquiring a Series 2016-1 Note (or interest therein), each purchaser and
subsequent transferee shall be deemed to represent and warrant that either (i) it is not (and for so long as it holds such Series
2016-1 Note will not be), is not acting on behalf of (and for so long as it holds such Series 2016-1 Note will not be acting on
behalf of), and is not investing the assets of a Benefit Plan or a governmental plan, church plan or non-U.S. plan that is subject
to any Similar Law or (ii) its acquisition, continued holding and disposition of such Series 2016-1 Note will not result in a non-exempt
prohibited transaction under ERISA or Section 4975 of the Code or a violation of any Similar Law. Benefit Plans may not acquire
the Series 2016-1 Notes at any time that the Series 2016-1 Notes do not have a current investment grade rating from a nationally
recognized statistical rating organization.

 

ARTICLE
IV

Rights of Series 2016-1 Noteholders and Allocation and Application of Collections

 

SECTION 4.1. Determination
of Interest and Principal.

 

(a)          The
amount of monthly interest (“Class A Monthly Interest”) due and payable with respect to the Class A Notes on
any Payment Date shall be an amount equal to the product of (i) a fraction, the numerator of which is 30 (but in the case of the
initial Interest Period, 27) and the denominator of which is 360, (ii) the Class A Note Interest Rate in effect with respect to
the related Interest Period and (iii) the Class A Note Principal Balance as of the close of business on the last day of the preceding
Monthly Period (or, with respect to the initial Payment Date, the Class A Note Initial Principal Balance).

 

With respect to each Payment
Date, the Issuer shall determine the excess, if any (the “Class A Deficiency Amount”), of (x) the aggregate
amount of Class A Monthly Interest payable pursuant to this Section 4.1(a) as of the prior Payment Date over (y)
the amount of Class A Monthly Interest actually paid on such Payment Date. If the Class A Deficiency Amount for any Payment Date
is greater than zero, on each subsequent Payment Date until such Class A Deficiency Amount is fully paid, an additional amount
(“Class A Additional Interest”) equal to the product of (i) a fraction, the numerator of which is 30 and the
denominator of which is 360, (ii) the Class A Note Interest Rate in effect with respect to the related Interest Period plus
2% per annum and (iii) such Class A Deficiency Amount (or the portion thereof which has not been paid to the Class A Noteholders)
shall be payable as provided herein with respect to the Class A Notes. Notwithstanding anything to the contrary herein, Class A
Additional Interest shall be payable or distributed to the Class A Noteholders only to the extent permitted by applicable law.

 

    	 	19	 

     

    

  

(b)          The
amount of monthly interest (“Class B Monthly Interest”) due and payable with respect to the Class B Notes on
any Payment Date shall be an amount equal to the product of (i) a fraction, the numerator of which is 30 (but in the case of the
initial Interest Period, 27) and the denominator of which is 360, (ii) the Class B Note Interest Rate in effect with respect to
the related Interest Period and (iii) the Class B Note Principal Balance as of the close of business on the last day of the preceding
Monthly Period (or, with respect to the initial Payment Date, the Class B Note Initial Principal Balance).

 

With respect to each Payment
Date, the Issuer shall determine the excess, if any (the “Class B Deficiency Amount”), of (x) the aggregate
amount of Class B Monthly Interest payable pursuant to this Section 4.1(b) as of the prior Payment Date over (y)
the amount of Class B Monthly Interest actually paid on such Payment Date. If the Class B Deficiency Amount for any Payment Date
is greater than zero, on each subsequent Payment Date until such Class B Deficiency Amount is fully paid, an additional amount
(“Class B Additional Interest”) equal to the product of (i) a fraction, the numerator of which is 30 and the
denominator of which is 360, (ii) the Class B Note Interest Rate in effect with respect to the related Interest Period plus
2% per annum and (iii) such Class B Deficiency Amount (or the portion thereof which has not been paid to the Class B Noteholders)
shall be payable as provided herein with respect to the Class B Notes. Notwithstanding anything to the contrary herein, Class B
Additional Interest shall be payable or distributed to the Class B Noteholders only to the extent permitted by applicable law.

 

(c)          The
amount of monthly interest (“Class C Monthly Interest”) due and payable with respect to the Class C Notes on
any Payment Date shall be an amount equal to the product of (i) a fraction, the numerator of which is 30 (but in the case of the
initial Interest Period, 27) and the denominator of which is 360, (ii) the Class C Note Interest Rate in effect with respect to
the related Interest Period and (iii) the Class C Note Principal Balance as of the close of business on the last day of the preceding
Monthly Period (or, with respect to the initial Payment Date, the Class C Note Initial Principal Balance).

 

With respect to each Payment
Date, the Issuer shall determine the excess, if any (the “Class C Deficiency Amount”), of (x) the aggregate
amount of Class C Monthly Interest payable pursuant to this Section 4.1(c) as of the prior Payment Date over (y)
the amount of Class C Monthly Interest actually paid on such Payment Date. If the Class C Deficiency Amount for any Payment Date
is greater than zero, on each subsequent Payment Date until such Class C Deficiency Amount is fully paid, an additional amount
(“Class C Additional Interest”) equal to the product of (i) a fraction, the numerator of which is 30 and the
denominator of which is 360, (ii) the Class C Note Interest Rate in effect with respect to the related Interest Period plus
2% per annum and (iii) such Class C Deficiency Amount (or the portion thereof which has not been paid to the Class C Noteholders)
shall be payable as provided herein with respect to the Class C Notes. Notwithstanding anything to the contrary herein, Class C
Additional Interest shall be payable or distributed to the Class C Noteholders only to the extent permitted by applicable law.

 

    	 	20	 

     

    

  

(d)          The
amount of monthly interest (“Class D Monthly Interest”) due and payable with respect to the Class D Notes on
any Payment Date shall be an amount equal to the product of (i) a fraction, the numerator of which is 30 (but in the case of the
initial Interest Period, 27) and the denominator of which is 360, (ii) the Class D Note Interest Rate in effect with respect to
the related Interest Period and (iii) the Class D Note Principal Balance as of the close of business on the last day of the preceding
Monthly Period (or, with respect to the initial Payment Date, the Class D Note Initial Principal Balance).

 

With respect to each Payment
Date, the Issuer shall determine the excess, if any (the “Class D Deficiency Amount”), of (x) the aggregate
amount of Class D Monthly Interest payable pursuant to this Section 4.1(d) as of the prior Payment Date over
(y) the amount of Class D Monthly Interest actually paid on such Payment Date. If the Class D Deficiency Amount for any Payment
Date is greater than zero, on each subsequent Payment Date until such Class D Deficiency Amount is fully paid, an additional amount
(“Class D Additional Interest”) equal to the product of (i) a fraction, the numerator of which is 30 and the
denominator of which is 360, (ii) the Class D Note Interest Rate in effect with respect to the related Interest Period
plus 2% per annum and (iii) such Class D Deficiency Amount (or the portion thereof which has not been paid to the Class
D Noteholders) shall be payable as provided herein with respect to the Class D Notes. Notwithstanding anything to the contrary
herein, Class D Additional Interest shall be payable or distributed to the Class D Noteholders only to the extent permitted by
applicable law.

 

(e)          The
amount of monthly principal to be transferred from the Principal Account with respect to the Notes on each Payment Date (the “Monthly
Principal”), beginning with the Payment Date in the Monthly Period following the Monthly Period in which the Controlled
Accumulation Period or, if earlier, the Early Amortization Period, begins, shall be equal to the least of (i) the Available Principal
Collections on deposit in the Principal Account with respect to the related Monthly Period, (ii) for each Payment Date with respect
to the Controlled Accumulation Period, the Controlled Deposit Amount for such Payment Date, (iii) the Collateral Amount (after
taking into account any adjustments to be made on such Payment Date pursuant to Sections 4.6 and 4.7) prior to any
deposit into the Principal Accumulation Account on such Payment Date and (iv) the Note Principal Balance, minus any amount already
on deposit in the Principal Accumulation Account on such Payment Date.

 

SECTION 4.2. Establishment
of Accounts.

 

(a)          As
of the Closing Date, the Issuer covenants to have established and shall thereafter maintain the Finance Charge Account, the Principal
Account, the Principal Accumulation Account, the Distribution Account, the Reserve Account and the Spread Account, each of which
shall be an Eligible Deposit Account.

 

(b)          If
the depositary institution wishes to resign as depositary of any of the Series Accounts for any reason or fails to carry out the
instructions of the Issuer for any reason, then the Issuer shall promptly notify the Indenture Trustee on behalf of the Noteholders.

 

    	 	21	 

     

    

  

(c)          On
or before the Closing Date, the Issuer shall enter into a depositary agreement to govern the Series Accounts pursuant to which
such accounts are continuously identified in the depositary institution’s books and records as subject to a security interest
in favor of the Indenture Trustee on behalf of the Noteholders and, except as may be expressly provided herein to the contrary,
in order to perfect the security interest of the Indenture Trustee on behalf of the Noteholders under the UCC, the Indenture Trustee
on behalf of the Noteholders shall have the power to direct disposition of the funds in the Series Accounts without further consent
by the Issuer; provided, however, that prior to the delivery by the Indenture Trustee on behalf of the Noteholders
of notice otherwise, the Issuer shall have the right to direct the disposition of funds in the Series Accounts; provided,
further, that the Indenture Trustee on behalf of the Noteholders agrees that it will not deliver such notice or exercise
its power to direct disposition of the funds in the Series Accounts unless an Event of Default has occurred and is continuing.

 

(d)          The
Issuer shall not close any of the Series Accounts unless it shall have (i) received the prior consent of the Indenture Trustee
on behalf of the Noteholders, (ii) established a new Eligible Deposit Account with the depositary institution or with a new depositary
institution satisfactory to the Indenture Trustee on behalf of the Noteholders, (iii) entered into a depositary agreement to govern
such new account(s) with such new depositary institution which agreement is satisfactory in all respects to the Indenture Trustee
on behalf of the Noteholders (whereupon such new account(s) shall become the applicable Series Account(s) for all purposes of this
Indenture Supplement) and (iv) taken all such action as the Indenture Trustee on behalf of the Noteholders shall reasonably require
to grant and perfect a first priority security interest in such account(s) under this Indenture Supplement.

 

SECTION 4.3. Calculations
and Series Allocations.

 

(a)          Allocations
of Finance Charge Collections. On each Date of Processing, the Issuer shall allocate to the Noteholders of the Series issued
pursuant to this Indenture Supplement an amount equal to the product of (A) the Allocation Percentage and (B) the aggregate Finance
Charge Collections processed on such Date of Processing. On or prior to 12:00 noon, New York City time, on each Transfer Date,
the Issuer shall transfer from the Collection Account to the Finance Charge Account, an amount equal to the lesser of the Investor
Finance Charge Collections for the preceding Monthly Period and the Required Finance Charge Deposit Amount for the preceding Monthly
Period.

 

(b)          Allocations
of Principal Collections. On each Date of Processing, the Issuer shall allocate to the Noteholders of the Series issued pursuant
to this Indenture Supplement an amount equal to the product of (A) the Allocation Percentage and (B) the aggregate amount of Principal
Collections processed on such Date of Processing. Principal Collections allocated to the Series issued pursuant to this Indenture
Supplement in excess of the Investor Principal Collections shall be treated as Shared Principal Collections. On or prior to 12:00
noon, New York City time, on each Transfer Date, the Issuer shall transfer from the Collection Account to the Principal Account,
an amount equal to the Available Principal Collections to the extent such funds have not been deposited into the Principal Account
pursuant to Section 4.4(a) or any other provision of this Agreement.

 

    	 	22	 

     

    

  

(c)          Calculations
and Additional Deposits. With respect to each Monthly Period falling in the Revolving Period, to the extent that Principal
Collections allocated to the Noteholders of the Series issued pursuant to this Indenture Supplement pursuant to Section 4.3(b)
are paid to the holders(s) of the Transferor Interest, the Issuer shall cause the holder(s) of the Transferor Interest to make
an amount equal to the Reallocated Principal Collections for the related Transfer Date available on or prior to the related Payment
Date for application in accordance with Section 4.7. Notwithstanding the provisions of Section 8.4(a) of the Indenture
allowing Collections for any Monthly Period in excess of the Aggregate Required Deposit Amount for such Monthly Period to be distributed
to the holder(s) of the Transferor Interest, (1) “Reallocated Principal Collections” for the related Transfer
Date shall be calculated as if the full amount of Finance Charge Collections allocated to the Series issued pursuant to this Indenture
Supplement during that Monthly Period had been deposited in the Collection Account and applied as Available Finance Charge Collections
on the related Payment Date in accordance with Section 4.4(a) and (2) Collections of Finance Charge Receivables allocated
to the Series issued pursuant to this Indenture Supplement during that Monthly Period that were released to the holder(s) of the
Transferor Interest pursuant to Section 8.4(a) of the Indenture shall be deemed, for purposes of all calculations under this Indenture
Supplement, to have been applied as Available Finance Charge Collections to the items specified in Section 4.4(a) to which
such amounts would have been applied (and in the priority in which they would have been applied) had such amounts been available
in the Collection Account on the related Payment Date. To avoid doubt, the calculations referred to in clause (2) of the preceding
sentence include the calculations required by clause (b)(iv) of the definition of Collateral Amount. If on any Transfer
Date the Free Equity Amount is less than the Minimum Free Equity Amount after giving effect to all transfers and deposits to occur
on or prior to the related Payment Date, the Issuer shall cause the holder(s) of the Transferor Interest, on or prior to the related
Payment Date, to deposit into the Principal Account funds in an amount equal to the amounts of Available Finance Charge Collections
that are required to be treated as Available Principal Collections pursuant to Sections 4.4(a)(vii), (viii) and (xi)
but are not available from funds in the Finance Charge Account as a result of the release of Collections to the holder(s) of the
Transferor Interest pursuant to Section 8.4(a) of the Indenture.

 

(d)          Notwithstanding
anything to the contrary contained in the Agreement, (i) funds required to be deposited into the Finance Charge Account or Principal
Account pursuant to this Indenture Supplement that would be subsequently transferred to the Distribution Account may instead be
directly deposited to the Distribution Account, and (ii) any funds required to be deposited into the Finance Charge Account or
Principal Account pursuant to this Indenture Supplement that would be subsequently transferred to the Issuer or the holder(s) of
the Transferor Interest shall not be required to be transferred to any Series Account and may be directly paid to the Issuer or
the holder(s) of the Transferor Interest pursuant to the priority of payments set forth in this Indenture Supplement.

 

(e)          Allocations
of Interchange. Notwithstanding anything to the contrary in Section 4.3(a) or the Indenture, Interchange for each Monthly Period
shall be allocated to the Noteholders of the Series issued pursuant to this Indenture Supplement based on the daily average of
the Allocation Percentages for Finance Charge Collections for all dates during such Monthly Period, and shall be deposited into
the Collection Account not later 12:00 noon, New York City time, on the Payment Date following the related Monthly Period.

 

SECTION 4.4. Application
of Available Finance Charge Collections and Available Principal Collections. On or prior to each Transfer Date or related Payment
Date, as applicable, the Issuer shall withdraw, to the extent of available funds, the amount required to be withdrawn from the
Finance Charge Account, the Principal Accumulation Account, the Principal Account and the Distribution Account as follows:

 

    	 	23	 

     

    

  

(a)          On
or prior to each Payment Date, an amount equal to the Available Finance Charge Collections with respect to the related Monthly
Period will be paid or deposited in the following priority:

 

(i)          to
pay, on a pari passu basis, the following amounts, to the extent allocated to Series 2016-1 pursuant to Section 8.4(d) of
the Indenture: (A) the payment to the Indenture Trustee of the accrued and unpaid fees and other amounts owed to the Indenture
Trustee up to a maximum amount of $25,000 for each calendar year, (B) the payment to the Trustee of the accrued and unpaid fees
and other amounts owed to the Trustee up to a maximum amount of $25,000 for each calendar year and (C) the payment to the Administrator
of the accrued and unpaid fees and other amounts owed to the Administrator up to a maximum amount of $25,000 for each calendar
year;

 

(ii)         an
amount equal to the Noteholder Servicing Fee for the related Transfer Date, plus the amount of any Noteholder Servicing
Fee previously due but not paid by the Issuer on a prior Payment Date, shall be paid to the Servicer;

 

(iii)        an
amount equal to Class A Monthly Interest for such Payment Date, plus any Class A Deficiency Amount, plus the amount
of any Class A Additional Interest for such Payment Date, plus the amount of any Class A Additional Interest previously
due but not paid to Class A Noteholders on a prior Payment Date, shall be deposited into the Distribution Account;

 

(iv)        an
amount equal to Class B Monthly Interest for such Payment Date, plus any Class B Deficiency Amount, plus the amount
of any Class B Additional Interest for such Payment Date, plus the amount of any Class B Additional Interest previously
due but not paid to Class B Noteholders on a prior Payment Date, shall be deposited into the Distribution Account;

 

(v)         an
amount equal to Class C Monthly Interest for such Payment Date, plus any Class C Deficiency Amount, plus the amount
of any Class C Additional Interest for such Payment Date, plus the amount of any Class C Additional Interest previously
due but not paid to Class C Noteholders on a prior Payment Date, shall be deposited into the Distribution Account;

 

(vi)        an
amount equal to Class D Monthly Interest for such Payment Date, plus any Class D Deficiency Amount, plus the amount
of any Class D Additional Interest for such Payment Date, plus the amount of any Class D Additional Interest previously
due but not paid to Class D Noteholders on a prior Payment Date shall be deposited into the Distribution Account;

 

(vii)       (A)
first, an amount equal to the Investor Default Amount for such Payment Date shall be treated as a portion of Available Principal
Collections for such Payment Date and (B) second, an amount equal to any Investor Uncovered Dilution Amount for such Payment
Date shall be treated as a portion of Available Principal Collections for such Payment Date, and any amounts treated as Available
Principal Collections pursuant to subclause (A) or (B) of this clause (vii) during the Controlled Accumulation
Period or the Early Amortization Period, shall be deposited into the Principal Account on the related Payment Date;

 

    	 	24	 

     

    

  

(viii)      an
amount equal to the sum of the aggregate amount of Investor Charge-Offs and the amount of Reallocated Principal Collections which
have not been previously reimbursed pursuant to this Section 4.4(a)(viii) shall be treated as a portion of Available Principal
Collections for such Payment Date and, during the Controlled Accumulation Period or Early Amortization Period, shall be deposited
into the Principal Account on the related Payment Date;

 

(ix)         on
each Transfer Date from and after the Reserve Account Funding Date, but prior to the date on which the Reserve Account terminates
as described in Section 4.10(e), an amount up to the excess, if any, of the Required Reserve Account Amount over
the Available Reserve Account Amount shall be deposited into the Reserve Account;

 

(x)          an
amount equal to the amounts required to be deposited in the Spread Account pursuant to Section 4.11(e) shall be deposited
into the Spread Account;

 

(xi)         without
duplication of the amount specified in clause (vii)(B) of this Section 4.4(a), an amount equal to the Series Allocation
Percentage (calculated by excluding all outstanding Series of Notes excluded from this calculation pursuant to the terms of the
Indenture Supplement for such Series) of the excess, if any, of the Minimum Free Equity Amount over the Free Equity Amount, shall
be treated as a portion of Available Principal Collections for such Payment Date and, during the Controlled Accumulation Period
or the Early Amortization Period, deposited into the Principal Account on the related Payment Date;

 

(xii)        [Reserved];

 

(xiii)       unless
an Early Amortization Event shall have occurred and be continuing, on a pari passu basis any amounts owed to such Persons listed
in clause (i) above that have been allocated to Series 2016-1 pursuant to Section 8.4(d) of the Indenture and that
have not been paid pursuant to clause (i) above shall be paid to such Persons; and

 

(xiv)      the
balance, if any, will constitute a portion of Excess Finance Charge Collections for such Payment Date and will be applied in accordance
with Section 8.6 of the Indenture; provided, that during an Early Amortization Period, if any such Excess Finance
Charge Collections would be paid to the Transferor in accordance with Section 8.6 of the Indenture, the portion of such
Excess Finance Charge Collections that would otherwise be payable to the Transferor, first shall be used to pay Monthly
Principal pursuant to Section 4.4(c) to the extent not paid in full from Available Principal Collections (calculated without
regard to amounts available to be treated as Available Principal Collections pursuant to this clause (xiv)), second,
shall be used to pay on a pari passu basis any amounts owed to such Persons listed in clause (i) above that have been allocated
to Series 2016-1 pursuant to Section 8.4(d) of the Indenture and that have not been paid pursuant to clauses (i)
and (xiii) above, and, third, any amounts remaining after payment in full of the Monthly Principal and amounts owed
to such Persons listed in clause (i) above shall be paid to the Issuer.

 

    	 	25	 

     

    

  

(b)          On
or prior to each Transfer Date with respect to the Revolving Period, an amount equal to the Available Principal Collections for
the related Monthly Period shall be treated as Shared Principal Collections and allocated in accordance with Section 8.5
of the Indenture.

 

(c)          On
or prior to each Transfer Date or Payment Date, as applicable, with respect to the Controlled Accumulation Period or the Early
Amortization Period, an amount equal to the Available Principal Collections for the related Monthly Period shall be paid or deposited
in the following order of priority:

 

(i)          during
the Controlled Accumulation Period, an amount equal to the Monthly Principal for each Transfer Date shall be deposited into the
Principal Accumulation Account on the related Payment Date;

 

(ii)         during
the Early Amortization Period, an amount equal to the Monthly Principal for each Transfer Date shall be deposited into the Distribution
Account on the related Payment Date and on such Payment Date shall be paid, first to the Class A Noteholders on the related
Payment Date until the Class A Note Principal Balance has been reduced to zero; second to the Class B Noteholders until
the Class B Note Principal Balance has been reduced to zero; third to the Class C Noteholders until the Class C Note Principal
Balance has been reduced to zero; and fourth to the Class D Noteholders until the Class D Note Principal Balance has been
reduced to zero; and

 

(iii)        the
balance of such Available Principal Collections remaining after application in accordance with clauses (i) and (ii)
above shall be treated as Shared Principal Collections and applied in accordance with Section 8.5 of the Indenture.

 

(d)          On
each Payment Date, the Issuer shall pay in accordance with Section 4.5 to the Class A Noteholders from the Distribution
Account, the amount deposited into the Distribution Account pursuant to Section 4.4(a)(iii) on such Payment Date, to the
Class B Noteholders from the Distribution Account, the amount deposited into the Distribution Account pursuant to Section 4.4(a)(iv)
on such Payment Date, to the Class C Noteholders from the Distribution Account, the amount deposited into the Distribution Account
pursuant to Section 4.4(a)(v) on such Payment Date and to the Class D Noteholders from the Distribution Account, the amount
deposited into the Distribution Account pursuant to Section 4.4(a)(vi) on such Payment Date.

 

(e)          On
the earlier to occur of (i) the first Payment Date with respect to the Early Amortization Period and (ii) the Expected Principal
Payment Date, the Issuer shall withdraw from the Principal Accumulation Account and deposit into the Distribution Account the amount
deposited into the Principal Accumulation Account pursuant to Section 4.4(c)(i) and on such Payment Date shall pay such
amount first to the Class A Noteholders, until the Class A Note Principal Balance is paid in full; second to the
Class B Noteholders, until the Class B Note Principal Balance is paid in full; third to the Class C Noteholders until the
Class C Principal Balance is paid in full; and fourth to the Class D Noteholders until the Class D Note Principal Balance
is paid in full.

 

    	 	26	 

     

    

  

(f)          As
of any Payment Date during the Controlled Accumulation Period or Early Amortization Period on which Principal Collections allocated
to the Series issued pursuant to this Indenture Supplement are treated as Shared Principal Collections, the Collateral Amount shall
be reduced by an amount equal to the lesser of (x) the amount of Principal Collections allocated to the Series issued pursuant
to this Indenture Supplement that are applied as Shared Principal Collections and (y) the Surplus Collateral Amount.

 

SECTION 4.5. Distributions.

 

(a)          On
each Payment Date, the Issuer shall pay to each Class A Noteholder of record on the related Record Date such Class A Noteholder’s
pro rata share of the amounts on deposit in the Distribution Account that are allocated and available on such Payment
Date and as are payable to the Class A Noteholders pursuant to this Indenture Supplement.

 

(b)          On
each Payment Date, the Issuer shall pay to each Class B Noteholder of record on the related Record Date such Class B Noteholder’s
pro rata share of the amounts on deposit in the Distribution Account that are allocated and available on such Payment
Date and as are payable to the Class B Noteholders pursuant to this Indenture Supplement.

 

(c)          On
each Payment Date, the Issuer shall pay to each Class C Noteholder of record on the related Record Date such Class C Noteholder’s
pro rata share of the amounts on deposit in the Distribution Account that are allocated and available on such Payment
Date and as are payable to the Class C Noteholders pursuant to this Indenture Supplement.

 

(d)          On
each Payment Date, the Issuer shall pay to each Class D Noteholder of record on the related Record Date such Class D Noteholder’s
pro rata share of the amounts on deposit in the Distribution Account (including amounts withdrawn from the Spread
Account (at the times and in the amounts specified in Section 4.11)) that are allocated and available on such Payment Date
and as are payable to the Class D Noteholders pursuant to this Indenture Supplement.

 

(e)          The
payments to be made pursuant to this Section 4.5 are subject to the provisions of Section 7.1 of this Indenture Supplement.

 

(f)          All
payments to Noteholders hereunder shall be made by (i) check mailed to each Series 2016-1 Noteholder (at such Noteholder’s
address as it appears in the Note Register), except that for any Series 2016-1 Notes registered in the name of the nominee of a
Clearing Agency, such payment shall be made by wire transfer of immediately available funds and (ii) except as provided in Section
2.7(b) of the Indenture, without presentation or surrender of any Series 2016-1 Note or the making of any notation thereon.

 

SECTION 4.6. Investor
Charge-Offs. On each Determination Date, the Issuer shall calculate the Investor Default Amount and any Investor Uncovered
Dilution Amount for the preceding Monthly Period. If, on any Transfer Date, the sum of the Investor Default Amount and any Investor
Uncovered Dilution Amount for the preceding Monthly Period exceeds the amount of Available Finance Charge Collections allocated
with respect thereto pursuant to Section 4.4(a)(vii) with respect to such Transfer Date, the Collateral Amount will be reduced
(but not below zero) by the amount of such excess (such reduction, an “Investor Charge-Off”).

 

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SECTION 4.7. Reallocated
Principal Collections. On each Transfer Date, the Issuer shall allocate Investor Principal Collections with respect to that
Transfer Date, to fund any deficiency pursuant to and in the priority set forth in Sections 4.4(a)(i), (ii), (iii),
(iv), (v) and (vi) on the related Payment Date (any such Investor Principal Collections so allocated, “Reallocated
Principal Collections”); provided, that for any Monthly Period, Reallocated Principal Collections may not exceed
the Monthly Principal Reallocation Amount for such Monthly Period. On each Transfer Date, the Collateral Amount shall be reduced
by the amount of Reallocated Principal Collections for such Transfer Date.

 

SECTION 4.8. Excess
Finance Charge Collections. Series 2016-1 shall be an Excess Allocation Series with respect to Group One only. Subject to Section 8.6
of the Indenture, Excess Finance Charge Collections with respect to the Excess Allocation Series in Group One with respect to any
Monthly Period will be allocated to Series 2016-1 in an amount equal to the product of (x) the aggregate amount of Excess Finance
Charge Collections with respect to all the Excess Allocation Series in Group One for such Monthly Period and (y) a fraction, the
numerator of which is the Finance Charge Shortfall for Series 2016-1 for such Monthly Period and the denominator of which is the
aggregate amount of Finance Charge Shortfalls for all the Excess Allocation Series in Group One, in each case with respect to payments
to be made on or prior to the Payment Date following such Monthly Period. The “Finance Charge Shortfall” for
Series 2016-1 for any date on which Excess Finance Charge Collections are allocated pursuant to Section 8.6 of the Indenture
will be equal to the excess, if any, of (a) the full amount required to be paid, without duplication, pursuant to Sections
4.4(a)(i) through (xiii) with respect to the next following Payment Date over (b) the Available Finance
Charge Collections with respect to the related Monthly Period (excluding any portion thereof attributable to Excess Finance Charge
Collections).

 

SECTION 4.9. Shared
Principal Collections. Subject to Section 8.5 of the Indenture, Shared Principal Collections allocable to Series
2016-1 with respect to any Monthly Period will be equal to the product of (x) the aggregate amount of Shared Principal Collections
with respect to all Principal Sharing Series for such Monthly Period and (y) a fraction, the numerator of which is the Principal
Shortfall for Series 2016-1 for such Monthly Period and the denominator of which is the aggregate amount of Principal Shortfalls
for all the Series which are Principal Sharing Series, in each case with respect to payments to be made on or prior to the Payment
Date following such Monthly Period. The “Principal Shortfall” for Series 2016-1 for any date on which Shared
Principal Collections are allocated pursuant to Section 8.5 of the Indenture will be equal to (a) for any allocation date
with respect to the Revolving Period or any allocation date during the Early Amortization Period prior to the earlier of (i) the
end of the Monthly Period immediately preceding the Expected Principal Payment Date and (ii) the date on which all outstanding
Series are in early amortization periods, zero, (b) for any allocation date with respect to the Controlled Accumulation Period,
the excess, if any, of the Controlled Deposit Amount with respect to the next following Payment Date over the amount of
Available Principal Collections for the related Monthly Period (excluding any portion thereof attributable to Shared Principal
Collections or amounts available to be treated as Available Principal Collections pursuant to clause (ix) of Section
4.4(a)) and (c) for any allocation date on or after the earlier of (i) the end of the Monthly Period immediately preceding
the Expected Principal Payment Date and (ii) the date on which all outstanding Series are in early amortization periods, the Note
Principal Balance.

 

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SECTION 4.10. Reserve
Account.

 

(a)          On
each Transfer Date, all interest and earnings (net of losses and investment expenses) accrued since the preceding Transfer Date
on funds on deposit in the Reserve Account shall be retained in the Reserve Account (to the extent that the Available Reserve Account
Amount is less than the Required Reserve Account Amount). Any remaining interest and earnings (net of losses and investment expenses)
shall be (i) deposited on or prior to the related Payment Date into the Finance Charge Account (to the extent such funds are needed
for distributions pursuant to Section 4.4(a)) and (ii) included in Available Finance Charge Collections for the related Monthly
Period. For purposes of determining the availability of funds or the balance in the Reserve Account for any reason under this Indenture
Supplement, except as otherwise provided in the preceding sentence, investment earnings on such funds shall be deemed not to be
available or on deposit.

 

(b)          On
or before each Transfer Date with respect to the Controlled Accumulation Period and on or before the first Transfer Date with respect
to the Early Amortization Period, the Issuer shall calculate the Reserve Draw Amount; provided, however, that such
amount will be reduced to the extent that funds otherwise would be available for deposit in the Reserve Account under Section 4.4(a)(ix)
on the following Payment Date.

 

(c)          If
for any Transfer Date the Reserve Draw Amount is greater than zero, the Reserve Draw Amount, up to the Available Reserve Account
Amount, shall be withdrawn from the Reserve Account on or prior to the related Payment Date by the Issuer and deposited into the
Finance Charge Account for application as Available Finance Charge Collections on the following Payment Date.

 

(d)          If
the Reserve Account Surplus on any Transfer Date is greater than zero, on or prior to the related Payment Date, the Indenture Trustee,
acting in accordance with the written instructions of the Issuer, shall withdraw from the Reserve Account an amount equal to such
Reserve Account Surplus and distribute any such amounts to the holders of the Transferor Interest.

 

(e)          Upon
the earliest to occur of (i) the termination of the Trust pursuant to Article VIII of the Trust Agreement, (ii) the
first Transfer Date relating to the Early Amortization Period and (iii) the Expected Principal Payment Date, the Issuer, after
the prior payment of all amounts owing to the Series 2016-1 Noteholders that are payable from the Reserve Account as provided herein,
shall withdraw from the Reserve Account all amounts, if any, on deposit in the Reserve Account and distribute any such amounts
to the holders of the Transferor Interest. The Reserve Account shall thereafter be deemed to have terminated for purposes of this
Indenture Supplement.

 

SECTION 4.11. Spread
Account.

 

(a)          On
or before each Payment Date, if the aggregate amount of Available Finance Charge Collections available for application pursuant
to Section 4.4(a)(vi) is less than the aggregate amount required to be deposited pursuant to Section 4.4(a)(vi),
the Issuer shall withdraw from the Spread Account the amount of such deficiency up to the Available Spread Account Amount and,
if the Available Spread Account Amount is less than such deficiency, Investment Earnings credited to the Spread Account, and shall
apply such amount in accordance with Section 4.4(a)(vi).

 

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(b)          Unless
an Early Amortization Event occurs, the Issuer will withdraw from the Spread Account and deposit in the Collection Account for
payment to the Class D Noteholders on the Expected Principal Payment Date for the Series 2016-1 Notes an amount equal to the lesser
of: (i) the amount on deposit in the Spread Account after application of any amounts set forth in clause (a) above and (ii)
the Class D Note Principal Balance.

 

(c)          Upon
an Early Amortization Event, the amount, if any, remaining on deposit in the Spread Account, after making the payments described
in clause (a) above, shall be applied to pay principal on the Class D Notes on the earlier of the Series Maturity Date and
the first Payment Date on which the Class A Note Principal Balance, the Class B Note Principal Balance and the Class C Note Principal
Balance have been paid in full.

 

(d)          On
any day following the occurrence of an Event of Default with respect to Series 2016-1 that has resulted in the acceleration of
the Series 2016-1 Notes, the Issuer shall withdraw from the Spread Account the Available Spread Account Amount and deposit such
amount in the Distribution Account for payment to the Series 2016-1 Notes in the following order of priority until all amounts
owed to such Noteholders have been paid in full: (i) the Class D Noteholders, (ii) the Class A Noteholders, (iii) the Class B Noteholders
and (iv) the Class C Noteholders.

 

(e)          If
on any Payment Date, after giving effect to all withdrawals from the Spread Account, the Available Spread Account Amount is less
than the Required Spread Account Amount then in effect, Available Finance Charge Collections shall be deposited into the Spread
Account pursuant to Section 4.4(a)(x) up to the amount of the Spread Account Deficiency.

 

(f)          If,
after giving effect to all deposits to and withdrawals from the Spread Account with respect to any Payment Date, the amount on
deposit in the Spread Account exceeds the Required Spread Account Amount, the Issuer shall withdraw an amount equal to such excess
from the Spread Account and distribute such amount to the Transferor. On the date on which the Class D Note Principal Balance
has been paid in full, after making any payments to the Noteholders required pursuant to Sections 4.11(a), (b),
(c) and (d), the Issuer shall withdraw from the Spread Account all amounts then remaining in the Spread Account
and pay such amounts to the holders of the Transferor Interest.

 

SECTION 4.12. Investment
of Accounts. (a) Except as provided in the following sentence, to the extent there are uninvested amounts deposited in the
Series Accounts, the Issuer shall cause such amounts to be invested in Permitted Investments selected by the Issuer that mature
no later than the following Transfer Date. To the extent there are uninvested amounts deposited into any Series Account on a Transfer
Date for distribution on the related Payment Date, the Issuer shall cause such amounts to be invested overnight in Permitted Investments
described in clause (b) of the definition of “Permitted Investments” held at the Indenture Trustee or at a depository
institution or trust company that has entered into an agreement with the Issuer and the Indenture Trustee in accordance with the
Custody and Control Agreement.

 

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(b)          On
each Transfer Date with respect to the Controlled Accumulation Period and on the first Transfer Date with respect to the Early
Amortization Period, the Issuer shall transfer from the Principal Accumulation Account to the Finance Charge Account the Principal
Accumulation Investment Proceeds on deposit in the Principal Accumulation Account for application as Available Finance Charge Collections
in accordance with Section 4.4.

 

(c)          Principal
Accumulation Investment Proceeds (including reinvested interest) shall not be considered part of the amounts on deposit in the
Principal Accumulation Account for purposes of this Indenture Supplement.

 

(d)          On
each Transfer Date (but subject to Section 4.11(a)), the Investment Earnings, if any, credited since the preceding Transfer
Date on funds on deposit in the Spread Account shall be retained in the Spread Account (to the extent that the Available Spread
Account Amount is less than the Required Spread Account Amount) and, on or before the related Payment Date, the balance, if any,
shall be paid to the holders of the Transferor Interest. For purposes of determining the availability of funds or the balance in
the Spread Account for any reason under this Indenture Supplement (subject to Section 4.11(a)), all Investment Earnings
shall be deemed not to be available or on deposit; provided, that after the maturity of the Series 2016-1 Notes has been
accelerated as a result of an Event of Default, all Investment Earnings shall be added to the balance on deposit in the Spread
Account and treated like the rest of the Available Spread Account Amount.

 

SECTION 4.13. Controlled
Accumulation Period. The Controlled Accumulation Period is scheduled to commence on the first day of the third Monthly Period
preceding the Expected Principal Payment Date; provided, that if the Controlled Accumulation Period Length (determined as
described below) on any Determination Date is less than or more than the number of months in the scheduled Controlled Accumulation
Period, upon written notice to the Indenture Trustee, with a copy to each Rating Agency, the Issuer shall either postpone or accelerate,
as applicable, the date on which the Controlled Accumulation Period actually commences, so that, as a result, the number of Monthly
Periods in the Controlled Accumulation Period will equal the Controlled Accumulation Period Length; provided, that the length
of the Controlled Accumulation Period will not be less than one month. The “Controlled Accumulation Period Length”
will mean a number of whole months such that the amount available for payment of principal on the Notes on the Expected Principal
Payment Date is expected to equal or exceed the Note Principal Balance, assuming for this purpose that (1) the payment rate with
respect to Principal Collections remains constant at the lowest level of such payment rate during the twelve preceding Monthly
Periods, (2) the total amount of Principal Receivables in the Trust (and the principal amount on deposit in the Excess Funding
Account, if any) remains constant at the level on such date of determination, (3) no Early Amortization Event with respect to any
Series will subsequently occur and (4) no additional Series (other than any Series being issued on such date of determination)
will be subsequently issued. Any notice by Issuer modifying the commencement of the Controlled Accumulation Period pursuant to
this Section 4.13 shall specify (i) the Controlled Accumulation Period Length, (ii) the commencement date of the Controlled
Accumulation Period and (iii) the Controlled Accumulation Amount with respect to each Monthly Period during the Controlled Accumulation
Period.

 

SECTION 4.14. [Reserved].

 

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SECTION 4.15. Deposit
of Collections. Notwithstanding anything to the contrary in the Indenture, for any Monthly Period during which the Issuer is
permitted to make a single monthly deposit to the Collection Account pursuant to Section 8.4 of the Indenture for such Monthly
Period, the Issuer need not make the daily deposits of Collections into the Collection Account as provided in Section 8.4
of the Indenture, but may make a single deposit in the Collection Account in immediately available funds not later than 12:00 noon,
New York City time, on the related Payment Date.

 

ARTICLE
V

Delivery of Series 2016-1 Notes;

Reports to Series 2016-1 Noteholders

 

SECTION 5.1. Delivery
and Payment for the Series 2016-1 Notes.

 

The Issuer shall execute
and issue, and the Indenture Trustee shall authenticate, the Series 2016-1 Notes in accordance with Section 2.2 of
the Indenture. The Indenture Trustee shall deliver the Series 2016-1 Notes to or upon the written order of the Issuer when so authenticated.

 

SECTION 5.2. Reports
and Statements to Series 2016-1 Noteholders.

 

(a)          Not
later than the second Business Day preceding each Payment Date, the Issuer shall deliver or cause the Servicer to deliver to the
Trustee, the Indenture Trustee and each Rating Agency a statement substantially in the form of Exhibit B prepared by the
Servicer; provided, that the Issuer may amend the form of Exhibit B from time to time, with the prior written consent
of the Indenture Trustee.

 

(b)          A
copy of each statement or certificate provided pursuant to Section 5.2(a) may be obtained by any Series 2016-1 Noteholder
by a request in writing to the Issuer.

 

(c)          On
or before January 31 of each calendar year, beginning with January 31, 2017, the Issuer shall furnish or cause to be furnished
to each Person who at any time during the preceding calendar year was a Series 2016-1 Noteholder the information for the preceding
calendar year, or the applicable portion thereof during which the Person was a Noteholder, as is required to be provided by an
issuer of indebtedness under the Code to the holders of the Issuer’s indebtedness and such other customary information as
is necessary to enable such Noteholder to prepare its federal income tax returns. Notwithstanding anything to the contrary contained
in this Agreement, the Issuer shall, to the extent required by applicable law, from time to time furnish to the appropriate Persons,
at least five (5) Business Days prior to the end of the period required by applicable law, the information required to complete
a Form 1099-INT.

 

ARTICLE
VI

Series 2016-1 Early Amortization Events

 

SECTION 6.1. Series
2016-1 Early Amortization Events. If any one of the following events shall occur with respect to the Series 2016-1 Notes:

 

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(a)          (i)
failure on the part of Transferor to make any payment or deposit required to be made by it by the terms of the Trust Receivables
Purchase Agreement or the Transfer Agreement on or before the date occurring five (5) Business Days after the date such payment
or deposit is required to be made therein or herein or (ii) failure of the Transferor duly to observe or perform in any material
respect any other of its covenants or agreements set forth in the Trust Receivables Purchase Agreement or the Transfer Agreement
which failure has a material adverse effect on the Series 2016-1 Noteholders and which continues unremedied for a period of sixty
(60) days after the date on which written notice of such failure, requiring the same to be remedied, shall have been given to the
Transferor by the Indenture Trustee, or to the Transferor and the Indenture Trustee by any Noteholder of the Series 2016-1 Notes;

 

(b)          any
representation or warranty made by Transferor in the Transfer Agreement or the Trust Receivables Purchase Agreement or any information
contained in an account schedule required to be delivered by it pursuant to Section 2.1 or Section 2.6(c) of
the Transfer Agreement, Trust Agreement or the Bank Receivables Sale Agreement shall prove to have been incorrect in any material
respect when made or when delivered, which continues to be incorrect in any material respect for a period of sixty (60) days after
the date on which written notice of such failure, requiring the same to be remedied, shall have been given to the Transferor by
the Indenture Trustee, or to the Transferor and the Indenture Trustee by any Noteholder of the Series 2016-1 Notes and as a result
of which the interests of the Series 2016-1 Noteholders are materially and adversely affected for such period; provided,
however, that a Series 2016-1 Early Amortization Event pursuant to this Section 6.1(b) shall not be deemed to have occurred
hereunder if the Transferor has accepted reassignment of the related Transferred Receivable, or all of such Transferred Receivables,
if applicable, during such period in accordance with the provisions of the Transfer Agreement or the Trust Receivables Purchase
Agreement;

 

(c)          a
failure by Transferor under the Transfer Agreement to convey Transferred Receivables in Additional Accounts (as such term is defined
in the Transfer Agreement) or Participation Interests to the Trust when it is required to convey such Transferred Receivables pursuant
to Section 2.6(a) of the Transfer Agreement;

 

(d)          any
Servicer Default or any Indenture Servicer Default shall occur;

 

(e)          (i)
the average of the Portfolio Yields for the two Monthly Periods immediately preceding the June 2016 Payment Date is less than the
average of the Base Rates for the same Monthly Periods, or (ii) beginning with the three consecutive Monthly Periods immediately
preceding the July 2016 Payment Date, the average of the Portfolio Yields for three consecutive Monthly Periods is less than the
average of the Base Rates for the same Monthly Periods (for the avoidance of doubt, the Monthly Period preceding the April 2016
Payment Date shall be excluded for purposes of calculating the three-month average Portfolio Yield and Base Rate under this clause
(e)(ii));

 

(f)          the
Note Principal Balance shall not be paid in full on the Expected Principal Payment Date; or

 

(g)          without
limiting the foregoing, the occurrence of an Event of Default with respect to Series 2016-1 and acceleration of the maturity
of the Series 2016-1 Notes pursuant to Section 5.3 of the Indenture; 

 

    	 	33	 

     

    

  

then, in the case of any
event described in subsection (a), (b) or (d), after the applicable grace period, if any, set forth in such
subparagraphs, either the Indenture Trustee or the holders of Series 2016-1 Notes evidencing more than 50% of the aggregate unpaid
principal amount of Series 2016-1 Notes by notice then given in writing to the Issuer (and to the Indenture Trustee if given by
the Series 2016-1 Noteholders) may declare that a “Series Early Amortization Event” with respect to Series 2016-1
(a “Series 2016-1 Early Amortization Event”) has occurred as of the date of such notice, and, in the case of
any event described in subsection (c), (e), (f) or (g) a Series 2016-1 Early Amortization Event
shall occur without any notice or other action on the part of the Indenture Trustee or the Series 2016-1 Noteholders immediately
upon the occurrence of such event.

 

ARTICLE
VII

Redemption of Series 2016-1 Notes; Final Distributions; Series Termination

 

SECTION 7.1. Optional
Redemption of Series 2016-1 Notes; Final Distributions.

 

(a)          On
any day occurring on or after the date on which the outstanding principal balance of the Series 2016-1 Notes is reduced to 10%
or less of the initial outstanding principal balance of Series 2016-1 Notes, Transferor has the option pursuant to the Trust Agreement
to reduce the Collateral Amount to zero by paying a purchase price equal to the greater of (x) the Collateral Amount, plus the
applicable Allocation Percentage of outstanding Finance Charge Receivables and (y) a minimum amount equal to (i) if such day is
a Payment Date, the Redemption Amount for such Payment Date or (ii) if such day is not a Payment Date, the Redemption Amount for
the Payment Date following such day. If Transferor exercises such option, Issuer will apply such purchase price to repay the Notes
in full as specified below.

 

(b)          Issuer
shall give the Indenture Trustee at least thirty (30) days’ prior written notice of the date on which Transferor intends
to exercise such optional redemption. Not later than 12:00 noon, New York City time, on such day Transferor shall deposit into
the Distribution Account in immediately available funds the excess of the Redemption Amount over the amount, if any, on deposit
in the Principal Accumulation Account. Such redemption option is subject to payment in full of the Redemption Amount. Following
such deposit into the Distribution Account in accordance with the foregoing, the Collateral Amount for Series 2016-1 shall be reduced
to zero and the Series 2016-1 Noteholders shall have no further security interest in the Transferred Receivables. The Redemption
Amount shall be paid as set forth in Section 7.1(d).

 

(c)          (i)
The amount to be paid by the Transferor with respect to Series 2016-1 in connection with a reassignment of Transferred Receivables
to the Transferor pursuant to Section 6.1(f) of the Transfer Agreement shall not be less than the Redemption Amount
for the first Payment Date following the Monthly Period in which the reassignment obligation arises under the Transfer Agreement.

 

(ii)          The
amount to be paid by the Issuer with respect to Series 2016-1 in connection with a repurchase of the Notes pursuant to Section
10.1 of the Trust Agreement shall not be less than the Redemption Amount for the Payment Date of such repurchase.

 

    	 	34	 

     

    

  

(d)          With
respect to (i) the Redemption Amount deposited into the Distribution Account pursuant to this Section 7.1 or (ii) the
proceeds of any sale of Transferred Receivables pursuant to Section 5.3 of the Indenture with respect to Series 2016-1,
the Indenture Trustee shall, in accordance with the written direction of the Issuer, not later than 12:00 noon, New York City time,
on the related Payment Date, make payments of the following amounts (in the priority set forth below and, in each case, after giving
effect to any deposits and payments otherwise to be made on such date) in immediately available funds: (i) (x) the Class A Note
Principal Balance on such Payment Date will be paid to the Class A Noteholders and (y) an amount equal to the sum of (A) Class
A Monthly Interest due and payable on such Payment Date or any prior Payment Date, (B) any Class A Deficiency Amount for such
Payment Date and (C) the amount of Class A Additional Interest, if any, for such Payment Date and any Class A Additional Interest
previously due but not paid to the Class A Noteholders on any prior Payment Date, will be paid to the Class A Noteholders, (ii) (x)
the Class B Note Principal Balance on such Payment Date will be paid to the Class B Noteholders and (y) an amount equal to the
sum of (A) Class B Monthly Interest due and payable on such Payment Date or any prior Payment Date, (B) any Class B Deficiency
Amount for such Payment Date and (C) the amount of Class B Additional Interest, if any, for such Payment Date and any Class B Additional
Interest previously due but not paid to the Class B Noteholders on any prior Payment Date, will be paid to the Class B Noteholders,
(iii) (x) the Class C Note Principal Balance on such Payment Date will be paid to the Class C Noteholders and (y) an amount
equal to the sum of (A) Class C Monthly Interest due and payable on such Payment Date or any prior Payment Date, (B) any Class
C Deficiency Amount for such Payment Date and (C) the amount of Class C Additional Interest, if any, for such Payment Date and
any Class C Additional Interest previously due but not paid to the Class C Noteholders on any prior Payment Date, will be paid
to the Class C Noteholders, (iv) (x) the Class D Note Principal Balance on such Payment Date will be paid to the Class D Noteholders
and (y) an amount equal to the sum of (A) Class D Monthly Interest due and payable on such Payment Date or any prior Payment Date,
(B) any Class D Deficiency Amount for such Payment Date and (C) the amount of Class D Additional Interest, if any, for such Payment
Date and any Class D Additional Interest previously due but not paid to the Class D Noteholders on any prior Payment Date, will
be paid to the Class D Noteholders and (v) any excess shall be released to the Issuer.

 

SECTION 7.2. Series
Termination.

 

On the Series Maturity
Date, the unpaid principal amount of the Series 2016-1 Notes shall be due and payable.

 

SECTION 7.3. Sale of
Collateral.

 

If the Indenture Trustee
exercises its right to sell any portion of the Collateral in accordance with Section 5.16 of the Indenture upon the occurrence
of an Event of Default with respect to Series 2016-1, SYNCHRONY FINANCIAL shall have a right of first refusal to purchase any portion
of the Collateral for which the Indenture Trustee has received a bona fide offer from a third-party that is not an affiliate of
the Transferor at a price equal to the highest price bid for such Collateral by such third-party bidder.

 

    	 	35	 

     

    

  

ARTICLE
VIII

Miscellaneous Provisions

 

SECTION 8.1. Ratification
of Indenture; Amendments. As supplemented by this Indenture Supplement, the Indenture is in all respects ratified and confirmed
and the Indenture as so supplemented by this Indenture Supplement shall be read, taken and construed as one and the same instrument.
This Indenture Supplement may be amended only by a Supplemental Indenture entered in accordance with the terms of Section 9.1
or 9.2 of the Indenture. For purposes of the application of Section 9.2 to any amendment of this Indenture Supplement,
the Series 2016-1 Noteholders shall be the only Noteholders whose vote shall be required.

 

SECTION 8.2. Form of
Delivery of the Series 2016-1 Notes. The Class A Notes, the Class B Notes, the Class C Notes and the Class D Notes shall be
Book-Entry Notes and shall be delivered as provided in Sections 2.1 and 2.2 of the Indenture.

 

SECTION 8.3. Counterparts.
This Indenture Supplement may be executed in one or more counterparts, and by different parties on separate counterparts, each
of which shall be an original, but all of which shall constitute one and the same instrument.

 

SECTION 8.4. GOVERNING
LAW. (a) THIS INDENTURE SUPPLEMENT AND THE OBLIGATIONS ARISING HEREUNDER SHALL IN ALL RESPECTS, INCLUDING ALL MATTERS OF CONSTRUCTION,
VALIDITY AND PERFORMANCE, BE GOVERNED BY, AND CONSTRUED AND ENFORCED IN ACCORDANCE WITH, THE INTERNAL LAWS OF THE STATE OF NEW
YORK (INCLUDING SECTION 5-1401(1) OF THE NEW YORK GENERAL OBLIGATIONS LAW, BUT WITHOUT REGARD TO ANY OTHER CONFLICT OF LAW PROVISIONS
THEREOF) AND ANY APPLICABLE LAWS OF THE UNITED STATES OF AMERICA. THIS INDENTURE SUPPLEMENT IS SUBJECT TO THE TRUST INDENTURE ACT
OF 1939, AS AMENDED, AND SHALL BE GOVERNED THEREBY AND CONSTRUED IN ACCORDANCE THEREWITH.

 

(b)          EACH
PARTY HERETO HEREBY CONSENTS AND AGREES THAT THE STATE OR FEDERAL COURTS LOCATED IN THE BOROUGH OF MANHATTAN IN NEW YORK CITY SHALL
HAVE EXCLUSIVE JURISDICTION TO HEAR AND DETERMINE ANY CLAIMS OR DISPUTES BETWEEN THEM PERTAINING TO THIS INDENTURE SUPPLEMENT OR
TO ANY MATTER ARISING OUT OF OR RELATING TO THIS INDENTURE SUPPLEMENT; PROVIDED,
THAT EACH PARTY HERETO ACKNOWLEDGES THAT ANY APPEALS FROM THOSE COURTS MAY HAVE TO BE HEARD BY A COURT LOCATED OUTSIDE OF THE
BOROUGH OF MANHATTAN IN NEW YORK CITY; PROVIDED, FURTHER, THAT NOTHING IN THIS INDENTURE SUPPLEMENT SHALL BE DEEMED
OR OPERATE TO PRECLUDE THE INDENTURE TRUSTEE FROM BRINGING SUIT OR TAKING OTHER LEGAL ACTION IN ANY OTHER JURISDICTION TO REALIZE
ON THE COLLATERAL OR ANY OTHER SECURITY FOR THE NOTES, OR TO ENFORCE A JUDGMENT OR OTHER COURT ORDER IN FAVOR OF THE INDENTURE
TRUSTEE. EACH PARTY HERETO SUBMITS AND CONSENTS IN ADVANCE TO SUCH JURISDICTION IN ANY ACTION OR SUIT COMMENCED IN ANY SUCH COURT,
AND EACH PARTY HERETO HEREBY WAIVES ANY OBJECTION THAT SUCH PARTY MAY HAVE BASED UPON LACK OF PERSONAL JURISDICTION, IMPROPER VENUE
OR FORUM NON CONVENIENS AND HEREBY CONSENTS TO THE GRANTING OF SUCH LEGAL OR EQUITABLE RELIEF AS IS DEEMED APPROPRIATE BY
SUCH COURT. EACH PARTY HERETO HEREBY WAIVES PERSONAL SERVICE OF THE SUMMONS, COMPLAINT AND OTHER PROCESS ISSUED IN ANY SUCH ACTION
OR SUIT AND AGREES THAT SERVICE OF SUCH SUMMONS, COMPLAINT AND OTHER PROCESS MAY BE MADE BY REGISTERED OR CERTIFIED MAIL ADDRESSED
TO SUCH PARTY AT ITS ADDRESS DETERMINED IN ACCORDANCE WITH SECTION 10.4 OF THE INDENTURE AND THAT SERVICE SO MADE SHALL
BE DEEMED COMPLETED UPON THE EARLIER OF SUCH PARTY’S ACTUAL RECEIPT THEREOF OR THREE (3) DAYS AFTER DEPOSIT IN THE UNITED
STATES MAIL, PROPER POSTAGE PREPAID. NOTHING IN THIS SECTION SHALL AFFECT THE RIGHT OF ANY PARTY HERETO TO SERVE LEGAL PROCESS
IN ANY OTHER MANNER PERMITTED BY LAW.

 

    	 	36	 

     

    

  

BECAUSE DISPUTES ARISING
IN CONNECTION WITH COMPLEX FINANCIAL TRANSACTIONS ARE MOST QUICKLY AND ECONOMICALLY RESOLVED BY AN EXPERIENCED AND EXPERT PERSON
AND THE PARTIES WISH APPLICABLE STATE AND FEDERAL LAWS TO APPLY (RATHER THAN ARBITRATION RULES), THE PARTIES DESIRE THAT THEIR
DISPUTES BE RESOLVED BY A JUDGE APPLYING SUCH APPLICABLE LAWS. THEREFORE, TO ACHIEVE THE BEST COMBINATION OF THE BENEFITS OF THE
JUDICIAL SYSTEM AND OF ARBITRATION, THE PARTIES HERETO WAIVE ALL RIGHT TO TRIAL BY JURY IN ANY ACTION, SUIT, OR PROCEEDING BROUGHT
TO RESOLVE ANY DISPUTE, WHETHER SOUNDING IN CONTRACT, TORT OR OTHERWISE, ARISING OUT OF, CONNECTED WITH, RELATED TO, OR INCIDENTAL
TO THE RELATIONSHIP ESTABLISHED AMONG THEM IN CONNECTION WITH THIS INDENTURE SUPPLEMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY.

 

SECTION 8.5. Limitation
of Liability. Notwithstanding any other provision herein or elsewhere, this Indenture Supplement has been executed and delivered
by BNY Mellon Trust of Delaware, not in its individual capacity, but solely in its capacity as Trustee of the Trust, in no event
shall BNY Mellon Trust of Delaware in its individual capacity have any liability in respect of the representations, warranties
or obligations of the Issuer hereunder or under any other document, as to all of which recourse shall be had solely to the assets
of the Trust, and for all purposes of this Indenture Supplement and each other document, the Trustee (as such or in its individual
capacity) shall be subject to, and entitled to the benefits of, the terms and provisions of the Trust Agreement.

 

SECTION 8.6. Rights
of the Indenture Trustee. The Indenture Trustee shall have herein the same rights, protections, indemnities and immunities
as specified in the Master Indenture.

 

SECTION 8.7. Notice
Address for Rating Agencies. Delivery of any notices required to be delivered to the Rating Agencies by the Issuer, the Indenture
Trustee or the Trustee shall be sufficient for the purposes of this Indenture Supplement and the other Related Documents if sent
to such mailing addresses or such email addresses as may be provided by the Rating Agencies.

 

    	 	37	 

     

    

  

SECTION 8.8. Compliance
with Applicable Anti-Terrorism and Anti-Money Laundering Regulations. In order to comply with laws, rules and regulations applicable
to banking institutions, including those relating to the funding of terrorist activities and money laundering, the Indenture Trustee
is required to obtain, verify and record certain information relating to individuals and entities which maintain a business relationship
with the Indenture Trustee. Accordingly, each of the parties hereto agrees to provide to the Indenture Trustee upon its request
from time to time such identifying information and documentation as may be available for such party in order to enable the Indenture
Trustee to comply with applicable law.

 

SECTION 8.9. Notes to
be Treated as Debt for Tax. It is the intent of the parties hereto that, for purposes of federal, state and local income and
franchise tax and any other tax measured in whole or in part by income, the Class A Notes, the Class B Notes, the Class C Notes
and the Class D Notes shall be treated as debt and a person purchasing such Notes agrees to treat such Notes as debt for such purposes.
Notwithstanding the foregoing and the Indenture, no party is bound to treat any Notes beneficially owned during any period of time
either by the Issuer or the single beneficial owner of the Issuer for U.S. federal income tax purposes as debt for the purposes
described in the preceding sentence.

 

SECTION 8.10. Deemed
Consent. The Series 2016-1 Noteholders will be deemed to have consented to any amendment to any Related Document that changes
the definition of “Rating Agency Condition” in such Related Document to match the definition of “Rating Agency
Condition” in this Indenture Supplement.

 

[SIGNATURE PAGE FOLLOWS]

 

    	 	38	 

     

    

  

IN WITNESS WHEREOF, the
undersigned have caused this Indenture Supplement to be duly executed and delivered by their respective duly authorized officers
on the day and year first above written.

 

	 	SYNCHRONY CREDIT CARD MASTER NOTE TRUST, as Issuer
	 	 	 
	 	By:	BNY Mellon Trust of Delaware, not in its individual capacity, but solely as Trustee on behalf of Issuer
	 	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:
	 	 	 
	 	DEUTSCHE BANK TRUST COMPANY AMERICAS, as Indenture Trustee
	 	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:
	 	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:

 

Indenture Supplement

Series 2016-1

 

    	 	S-1	 

     

    

  

EXHIBIT A-1

FORM OF CLASS A SERIES 2016-1 FIXED RATE ASSET
BACKED NOTE

 

UNLESS THIS NOTE IS PRESENTED
BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION (“DTC”), TO THE ISSUER OR ITS
AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY NOTE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR IN
SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR TO SUCH OTHER
ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE
BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.

 

THE HOLDER OF THIS
NOTE BY ITS ACCEPTANCE HEREOF COVENANTS AND AGREES THAT IT WILL NOT AT ANY TIME DIRECTLY OR INDIRECTLY INSTITUTE OR CAUSE TO BE
INSTITUTED AGAINST THE ISSUER ANY BANKRUPTCY, REORGANIZATION, ARRANGEMENT, INSOLVENCY OR LIQUIDATION PROCEEDING OR OTHER PROCEEDING
UNDER ANY FEDERAL OR STATE BANKRUPTCY LAW UNLESS NOTEHOLDERS OF NOT LESS THAN 662⁄3% OF THE OUTSTANDING PRINCIPAL AMOUNT OF
EACH CLASS OF EACH SERIES HAS APPROVED SUCH FILING AND IT WILL NOT DIRECTLY OR INDIRECTLY INSTITUTE OR CAUSE TO BE INSTITUTED AGAINST
THE TRANSFEROR ANY BANKRUPTCY, REORGANIZATION, ARRANGEMENT, INSOLVENCY OR LIQUIDATION PROCEEDING OR OTHER PROCEEDING UNDER ANY
FEDERAL OR STATE BANKRUPTCY LAW IN ANY INSTANCE; PROVIDED, THAT THE FOREGOING SHALL NOT IN ANY WAY LIMIT THE NOTEHOLDER’S
RIGHTS TO PURSUE ANY OTHER CREDITOR RIGHTS OR REMEDIES THAT THE NOTEHOLDERS MAY HAVE FOR CLAIMS AGAINST THE ISSUER.

 

THE HOLDER OF THIS CLASS
A NOTE, BY ACCEPTANCE OF THIS NOTE, AND EACH HOLDER OF A BENEFICIAL INTEREST THEREIN, AGREE TO TREAT THE CLASS A NOTES (OTHER THAN
A NOTE beneficially owned during any period of time either by the Issuer or the single
beneficial owner of the Issuer for U.S. federal income tax purposes) AS INDEBTEDNESS OF THE ISSUER FOR APPLICABLE FEDERAL,
STATE, AND LOCAL INCOME AND FRANCHISE TAX LAW AND FOR PURPOSES OF ANY OTHER TAX IMPOSED ON, OR MEASURED BY, INCOME.

 

    	 	Exhibit A-1 (Page 1)	 

     

    

  

THE HOLDER OF THIS NOTE
BY ITS ACCEPTANCE OF THIS NOTE, AND EACH HOLDER OF A BENEFICIAL INTEREST THEREIN, SHALL BE DEEMED TO REPRESENT AND WARRANT THAT
EITHER (I) SUCH HOLDER IS NOT (AND FOR SO LONG AS IT HOLDS SUCH NOTE WILL NOT BE), IS NOT ACTING ON BEHALF OF (AND FOR SO LONG
AS IT HOLDS SUCH NOTE WILL NOT BE ACTING ON BEHALF OF), AND IS NOT INVESTING THE ASSETS OF (A) AN “EMPLOYEE BENEFIT PLAN”
(AS DEFINED IN SECTION 3(3) OF THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974, AS AMENDED (“ERISA”)) THAT IS SUBJECT
TO TITLE I OF ERISA, (B) A “PLAN” (AS DEFINED IN SECTION 4975 OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED (THE
“CODE”)) THAT IS SUBJECT TO SECTION 4975 OF THE CODE, (C) AN ENTITY WHOSE UNDERLYING ASSETS ARE DEEMED TO BE PLAN ASSETS
OF A PLAN DESCRIBED IN (A) OR (B) ABOVE (EACH, A “BENEFIT PLAN”) OR (D) A GOVERNMENTAL PLAN, CHURCH PLAN OR NON-U.S.
PLAN THAT IS SUBJECT TO ANY APPLICABLE LAW THAT IS SUBSTANTIALLY SIMILAR TO THE FIDUCIARY RESPONSIBILITY PROVISIONS OF ERISA OR
SECTION 4975 OF THE CODE (“SIMILAR LAW”) OR (II) ITS ACQUISITION, CONTINUED HOLDING AND DISPOSITION OF THIS NOTE WILL
NOT RESULT IN A NON-EXEMPT PROHIBITED TRANSACTION UNDER ERISA OR SECTION 4975 OF THE CODE OR A VIOLATION OF ANY SIMILAR LAW. BENEFIT
PLANS MAY NOT ACQUIRE THIS NOTE AT ANY TIME THAT THIS NOTE DOES NOT HAVE A CURRENT INVESTMENT GRADE RATING FROM A NATIONALLY RECOGNIZED
STATISTICAL RATING ORGANIZATION.

 

    	 	Exhibit A-1 (Page 2)	 

     

    

  

	REGISTERED

No. R-                                      	$750,000,000 

CUSIP NO. 87165L AX9

 

SYNCHRONY
CREDIT CARD

MASTER NOTE TRUST SERIES 2016-1

CLASS A SERIES 2016-1 FIXED RATE ASSET BACKED NOTE

 

Synchrony Credit Card Master
Note Trust (herein referred to as the “Issuer” or the “Trust”), a Delaware statutory trust governed by
a Trust Agreement dated as of September 25, 2003, for value received, hereby promises to pay to Cede & Co., or registered assigns,
subject to the following provisions, the principal sum of SEVEN HUNDRED FIFTY MILLION DOLLARS, or such greater or lesser amount
as determined in accordance with the Indenture, on the March 2022 Payment Date, except as otherwise provided below or in the Indenture.
The Issuer will pay interest on the unpaid principal amount of this Note at the Class A Note Interest Rate on each Payment Date
until the Final Payment Date (which is the earlier to occur of (a) the Payment Date on which the Note Principal Balance is paid
in full, (b) the date on which the Collateral Amount is reduced to zero and (c) the March 2022 Payment Date). Interest on this
Note will accrue for each Payment Date from and including the most recent Payment Date on which interest has been paid to but excluding
such Payment Date or, for the initial Payment Date, from and including the Closing Date to but excluding such Payment Date. Interest
will be computed on the basis of a 360-day year and twelve 30-day months (and in the case of the initial interest period, for a
period of 27 days). Principal of this Note shall be paid in the manner specified in the Indenture Supplement referred to on the
reverse hereof.

 

The principal of and interest
on this Note are payable in such coin or currency of the United States of America as at the time of payment is legal tender for
payment of public and private debts.

 

Reference is made to the
further provisions of this Note set forth on the reverse hereof, which shall have the same effect as though fully set forth on
the face of this Note.

 

Unless the certificate
of authentication hereon has been executed by or on behalf of the Indenture Trustee, by manual signature, this Note shall not be
entitled to any benefit under the Indenture or the Indenture Supplement referred to on the reverse hereof, or be valid for any
purpose.

 

    	 	Exhibit A-1 (Page 3)	 

     

    

  

IN WITNESS WHEREOF, the Issuer has caused this Class A Note to be
duly executed.

 

	 	SYNCHRONY CREDIT CARD MASTER NOTE TRUST, as Issuer
	 	 	 
	 	By:	BNY Mellon Trust of Delaware,
	 	 	not in its individual capacity but solely as
	 	 	Trustee on behalf of Issuer
	 	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:
	 	 	 
	Dated:                          ,          	 	 

 

    	 	Exhibit A-1 (Page 4)	 

     

    

  

INDENTURE TRUSTEE’S CERTIFICATE OF AUTHENTICATION

 

This is one of the Class A Notes described in the within-mentioned
Indenture.

 

	 	DEUTSCHE BANK TRUST COMPANY AMERICAS, as Indenture Trustee
	 	 
	 	By:	 
	 	 	Authorized Signatory

 

    	 	Exhibit A-1 (Page 5)	 

     

    

  

SYNCHRONY CREDIT CARD

MASTER NOTE TRUST SERIES 2016-1

CLASS A SERIES 2016-1 FIXED RATE ASSET BACKED NOTE

Summary of Terms and Conditions

 

This Class A Note is one
of a duly authorized issue of Notes of the Issuer, designated as Synchrony Credit Card Master Note Trust, Series 2016-1 (the “Series
2016-1 Notes”), issued under a Master Indenture dated as of September 25, 2003 (as amended, the “Master Indenture”),
between the Issuer and Deutsche Bank Trust Company Americas, as indenture trustee (the “Indenture Trustee”),
as supplemented by the Indenture Supplement, dated as of March 18, 2016 (the “Indenture Supplement”), and representing
the right to receive certain payments from the Issuer. The term “Indenture,” unless the context otherwise requires,
refers to the Master Indenture as supplemented by the Indenture Supplement. The Notes are subject to all of the terms of the Indenture.
All terms used in this Note that are defined in the Indenture shall have the meanings assigned to them in or pursuant to the Indenture.
In the event of any conflict or inconsistency between the Indenture and this Note, the Indenture shall control.

 

The Class B Notes, the
Class C Notes and the Class D Notes will also be issued under the Indenture.

 

The Noteholder, by its
acceptance of this Note, agrees that it will look solely to the property of the Issuer allocated to the payment of this Note for
payment hereunder and that neither the Owner Trustee nor the Indenture Trustee is liable to the Noteholders for any amount payable
under the Notes or the Indenture or, except in the case of the Indenture Trustee as expressly provided in the Indenture, subject
to any liability under the Indenture.

 

This Note does not purport
to summarize the Indenture and reference is made to the Indenture for the interests, rights and limitations of rights, benefits,
obligations and duties evidenced thereby, and the rights, duties and immunities of the Indenture Trustee.

 

THIS CLASS A NOTE DOES
NOT REPRESENT AN OBLIGATION OF, OR AN INTEREST IN, GENERAL ELECTRIC CAPITAL CORPORATION, SYNCHRONY BANK, SYNCHRONY FINANCIAL, RFS
HOLDING, L.L.C., OR ANY OF THEIR AFFILIATES, AND IS NOT INSURED OR GUARANTEED BY THE FEDERAL DEPOSIT INSURANCE CORPORATION OR ANY
OTHER GOVERNMENTAL AGENCY OR INSTRUMENTALITY. THIS CLASS A NOTE IS LIMITED IN RIGHT OF PAYMENT TO CERTAIN COLLECTIONS OF THE RECEIVABLES
(AND CERTAIN OTHER COLLATERAL) ALLOCATED TO THE SERIES 2016-1 NOTES, ALL AS MORE SPECIFICALLY SET FORTH HEREINABOVE AND IN THE
MASTER INDENTURE AND INDENTURE SUPPLEMENT.

 

The Issuer, the Indenture
Trustee and any agent of the Issuer or the Indenture Trustee shall treat the person in whose name this Class A Note is registered
as the owner hereof for all purposes, and neither the Issuer, the Indenture Trustee nor any agent of the Issuer or the Indenture
Trustee shall be affected by notice to the contrary.

 

    	 	Exhibit A-1 (Page 6)	 

     

    

  

THIS CLASS A NOTE SHALL
BE CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK, WITHOUT REFERENCE TO ITS CONFLICT OF LAW PROVISIONS, AND THE
OBLIGATIONS, RIGHTS AND REMEDIES OF THE PARTIES HEREUNDER SHALL BE DETERMINED IN ACCORDANCE WITH SUCH LAWS.

 

    	 	Exhibit A-1 (Page 7)	 

     

    

  

ASSIGNMENT

 

Social Security or other identifying number of assignee                                                                                                

 

FOR VALUE RECEIVED, the
undersigned hereby sells, assigns and transfers unto                                              
(name and address of assignee) the within certificate and all rights thereunder, and hereby irrevocably constitutes and appoints
                                                       
attorney, to transfer said certificate on the books kept for registration thereof, with full power of substitution in the premises.

 

	Dated:	 	 	 	**
	 	 	 	Signature Guaranteed:	 

 

 

		**	The signature to this assignment must correspond with the
name of the registered owner as it appears on the face of the within Note in every particular, without alteration, enlargement
or any change whatsoever.

 

    	 	Exhibit A-1 (Page 8)	 

     

    

  

EXHIBIT A-2

FORM OF CLASS B SERIES 2016-1 FIXED RATE ASSET
BACKED NOTE

 

UNLESS THIS NOTE IS PRESENTED
BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION (“DTC”), TO THE ISSUER OR ITS
AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY NOTE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR IN
SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR TO SUCH OTHER
ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE
BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.

 

THIS NOTE HAS NOT BEEN
REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), AND, ACCORDINGLY, MAY
NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED EXCEPT AS SET FORTH IN THE NEXT SENTENCE. BY ITS ACQUISITION HEREOF OR OF
A BENEFICIAL INTEREST HEREIN, THE HOLDER OF THIS NOTE:

 

(1)     AGREES
FOR THE BENEFIT OF THE ISSUER AND THE TRANSFEROR THAT THIS NOTE MAY BE SOLD, TRANSFERRED, ASSIGNED, PARTICIPATED, PLEDGED OR OTHERWISE
DISPOSED OF ONLY IN COMPLIANCE WITH THE SECURITIES ACT AND OTHER APPLICABLE LAWS, AND ONLY (I) PURSUANT TO RULE 144A UNDER THE
SECURITIES ACT (“RULE 144A”) TO A PERSON THAT THE HOLDER REASONABLY BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER, WITHIN
THE MEANING OF RULE l44A (A “QIB”), PURCHASING FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QIB, WHOM THE HOLDER HAS
INFORMED, IN EACH CASE, THAT THE REOFFER, RESALE, PLEDGE, OR OTHER TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A, OR (II) TO
THE DEPOSITOR OR ITS AFFILIATES, IN EACH CASE IN ACCORDANCE WITH ALL APPLICABLE SECURITIES LAWS OF THE UNITED STATES; AND

 

(2)     AGREES
THAT IT WILL DELIVER TO EACH PERSON TO WHOM THIS NOTE OR AN INTEREST HEREIN IS TRANSFERRED A NOTICE SUBSTANTIALLY TO THE EFFECT
OF THIS LEGEND.

 

    	 	Exhibit A-2 (Page 1)	 

     

    

  

THE HOLDER OF THIS NOTE
BY ITS ACCEPTANCE HEREOF COVENANTS AND AGREES THAT IT WILL NOT AT ANY TIME DIRECTLY OR INDIRECTLY INSTITUTE OR CAUSE TO BE INSTITUTED
AGAINST THE ISSUER ANY BANKRUPTCY, REORGANIZATION, ARRANGEMENT, INSOLVENCY OR LIQUIDATION PROCEEDING OR OTHER PROCEEDING UNDER
ANY FEDERAL OR STATE BANKRUPTCY LAW UNLESS NOTEHOLDERS OF NOT LESS THAN 662⁄3% OF THE OUTSTANDING PRINCIPAL AMOUNT OF EACH
CLASS OF EACH SERIES HAS APPROVED SUCH FILING AND IT WILL NOT DIRECTLY OR INDIRECTLY INSTITUTE OR CAUSE TO BE INSTITUTED AGAINST
THE TRANSFEROR ANY BANKRUPTCY, REORGANIZATION, ARRANGEMENT, INSOLVENCY OR LIQUIDATION PROCEEDING OR OTHER PROCEEDING UNDER ANY
FEDERAL OR STATE BANKRUPTCY LAW IN ANY INSTANCE; PROVIDED, THAT THE FOREGOING SHALL NOT IN ANY WAY LIMIT THE NOTEHOLDER’S
RIGHTS TO PURSUE ANY OTHER CREDITOR RIGHTS OR REMEDIES THAT THE NOTEHOLDERS MAY HAVE FOR CLAIMS AGAINST THE ISSUER.

 

THE HOLDER OF THIS CLASS B NOTE, BY ACCEPTANCE
OF THIS NOTE, AND EACH HOLDER OF A BENEFICIAL INTEREST THEREIN, AGREE TO TREAT THE CLASS B NOTES (OTHER THAN A NOTE beneficially
owned during any period of time either by the Issuer or the single beneficial owner of the Issuer for U.S. federal income tax purposes)
AS INDEBTEDNESS OF THE ISSUER FOR APPLICABLE FEDERAL, STATE, AND LOCAL INCOME AND FRANCHISE TAX LAW AND FOR PURPOSES OF ANY OTHER
TAX IMPOSED ON, OR MEASURED BY, INCOME.

 

THE HOLDER OF THIS NOTE
BY ITS ACCEPTANCE OF THIS NOTE, AND EACH HOLDER OF A BENEFICIAL INTEREST THEREIN, SHALL BE DEEMED TO REPRESENT AND WARRANT THAT
EITHER (I) SUCH HOLDER IS NOT (AND FOR SO LONG AS IT HOLDS SUCH NOTE WILL NOT BE), IS NOT ACTING ON BEHALF OF (AND FOR SO LONG
AS IT HOLDS SUCH NOTE WILL NOT BE ACTING ON BEHALF OF), AND IS NOT INVESTING THE ASSETS OF (A) AN “EMPLOYEE BENEFIT PLAN”
(AS DEFINED IN SECTION 3(3) OF THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974, AS AMENDED (“ERISA”)) THAT IS SUBJECT
TO TITLE I OF ERISA, (B) A “PLAN” (AS DEFINED IN SECTION 4975 OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED (THE
“CODE”)) THAT IS SUBJECT TO SECTION 4975 OF THE CODE, (C) AN ENTITY WHOSE UNDERLYING ASSETS ARE DEEMED TO BE PLAN ASSETS
OF A PLAN DESCRIBED IN (A) OR (B) ABOVE (EACH, A “BENEFIT PLAN”) OR (D) A GOVERNMENTAL PLAN, CHURCH PLAN OR NON-U.S.
PLAN THAT IS SUBJECT TO ANY APPLICABLE LAW THAT IS SUBSTANTIALLY SIMILAR TO THE FIDUCIARY RESPONSIBILITY PROVISIONS OF ERISA OR
SECTION 4975 OF THE CODE (“SIMILAR LAW”) OR (II) ITS ACQUISITION, CONTINUED HOLDING AND DISPOSITION OF THIS NOTE WILL
NOT RESULT IN A NON-EXEMPT PROHIBITED TRANSACTION UNDER ERISA OR SECTION 4975 OF THE CODE OR A VIOLATION OF ANY SIMILAR LAW. BENEFIT
PLANS MAY NOT ACQUIRE THIS NOTE AT ANY TIME THAT THIS NOTE DOES NOT HAVE A CURRENT INVESTMENT GRADE RATING FROM A NATIONALLY RECOGNIZED
STATISTICAL RATING ORGANIZATION.

 

    	 	Exhibit A-2 (Page 2)	 

     

    

  

	REGISTERED

No. R-                                     	$71,917,808

CUSIP NO. 87165L AY7

 

SYNCHRONY CREDIT CARD

MASTER NOTE TRUST SERIES 2016-1

CLASS B SERIES 2016-1 FIXED RATE ASSET BACKED NOTE

 

Synchrony Credit Card Master
Note Trust (herein referred to as the “Issuer” or the “Trust”), a Delaware statutory trust governed by
a Trust Agreement dated as of September 25, 2003, for value received, hereby promises to pay to Cede & Co., or registered assigns,
subject to the following provisions, the principal sum of SEVENTY-ONE MILLION NINE HUNDRED SEVENTEEN THOUSAND EIGHT HUNDRED EIGHT
DOLLARS, or such greater or lesser amount as determined in accordance with the Indenture, on the March 2022 Payment Date, except
as otherwise provided below or in the Indenture. The Issuer will pay interest on the unpaid principal amount of this Note at the
Class B Note Interest Rate on each Payment Date until the Final Payment Date (which is the earlier to occur of (a) the Payment
Date on which the Note Principal Balance is paid in full, (b) the date on which the Collateral Amount is reduced to zero and (c)
the March 2022 Payment Date). Interest on this Note will accrue for each Payment Date from and including the most recent Payment
Date on which interest has been paid to but excluding such Payment Date or, for the initial Payment Date, from and including the
Closing Date to but excluding such Payment Date. Interest will be computed on the basis of a 360-day year and twelve 30-day months
(and in the case of the initial interest period, for a period of 27 days). Principal of this Note shall be paid in the manner specified
in the Indenture Supplement referred to on the reverse hereof.

 

The principal of and interest
on this Note are payable in such coin or currency of the United States of America as at the time of payment is legal tender for
payment of public and private debts.

 

Reference is made to the
further provisions of this Note set forth on the reverse hereof, which shall have the same effect as though fully set forth on
the face of this Note.

 

Unless the certificate
of authentication hereon has been executed by or on behalf of the Indenture Trustee, by manual signature, this Note shall not be
entitled to any benefit under the Indenture or the Indenture Supplement referred to on the reverse hereof, or be valid for any
purpose.

 

THIS CLASS B NOTE IS SUBORDINATED
TO THE EXTENT NECESSARY TO FUND PAYMENTS ON THE CLASS A NOTES TO THE EXTENT SPECIFIED IN THE INDENTURE SUPPLEMENT.

 

    	 	Exhibit A-2 (Page 3)	 

     

    

  

IN WITNESS WHEREOF, the Issuer has caused this Class B Note to be
duly executed.

 

	 	SYNCHRONY CREDIT CARD MASTER NOTE TRUST, as Issuer
	 	 	 
	 	By:	 BNY Mellon Trust of Delaware, not in its individual capacity but
    solely as Trustee on behalf of Issuer
	 	 	
	 	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:
	 	 	 
	Dated:                       ,          	 	 

 

    	 	Exhibit A-2 (Page 4)	 

     

    

  

INDENTURE TRUSTEE’S CERTIFICATE OF AUTHENTICATION

 

This is one of the Class B Notes described in the within-mentioned
Indenture.

 

	 	DEUTSCHE BANK TRUST COMPANY AMERICAS, as Indenture Trustee
	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:

 

    	 	Exhibit A-2 (Page 5)	 

     

    

  

SYNCHRONY CREDIT CARD

MASTER NOTE TRUST SERIES 2016-1

CLASS B SERIES 2016-1 FIXED RATE ASSET BACKED NOTE

Summary of Terms and Conditions

 

This Class B Note is one
of a duly authorized issue of Notes of the Issuer, designated as Synchrony Credit Card Master Note Trust, Series 2016-1 (the “Series
2016-1 Notes”), issued under a Master Indenture dated as of September 25, 2003 (as amended, the “Master Indenture”),
between the Issuer and Deutsche Bank Trust Company Americas, as indenture trustee (the “Indenture Trustee”),
as supplemented by the Indenture Supplement, dated as of March 18, 2016 (the “Indenture Supplement”), and representing
the right to receive certain payments from the Issuer. The term “Indenture,” unless the context otherwise requires,
refers to the Master Indenture as supplemented by the Indenture Supplement. The Notes are subject to all of the terms of the Indenture.
All terms used in this Note that are defined in the Indenture shall have the meanings assigned to them in or pursuant to the Indenture.
In the event of any conflict or inconsistency between the Indenture and this Note, the Indenture shall control.

 

The Class A Notes, the
Class C Notes and the Class D Notes will also be issued under the Indenture.

 

The Noteholder, by its
acceptance of this Note, agrees that it will look solely to the property of the Issuer allocated to the payment of this Note for
payment hereunder and that neither the Owner Trustee nor the Indenture Trustee is liable to the Noteholders for any amount payable
under the Notes or the Indenture or, except in the case of the Indenture Trustee as expressly provided in the Indenture, subject
to any liability under the Indenture.

 

This Note does not purport
to summarize the Indenture and reference is made to the Indenture for the interests, rights and limitations of rights, benefits,
obligations and duties evidenced thereby, and the rights, duties and immunities of the Indenture Trustee.

 

THIS CLASS B NOTE DOES
NOT REPRESENT AN OBLIGATION OF, OR AN INTEREST IN, GENERAL ELECTRIC CAPITAL CORPORATION, SYNCHRONY BANK, SYNCHRONY FINANCIAL, RFS
HOLDING, L.L.C., OR ANY OF THEIR AFFILIATES, AND IS NOT INSURED OR GUARANTEED BY THE FEDERAL DEPOSIT INSURANCE CORPORATION OR ANY
OTHER GOVERNMENTAL AGENCY OR INSTRUMENTALITY. THIS CLASS B NOTE IS LIMITED IN RIGHT OF PAYMENT TO CERTAIN COLLECTIONS OF THE RECEIVABLES
(AND CERTAIN OTHER COLLATERAL) ALLOCATED TO THE SERIES 2016-1 NOTES, ALL AS MORE SPECIFICALLY SET FORTH HEREINABOVE AND IN THE
MASTER INDENTURE AND INDENTURE SUPPLEMENT.

 

The Issuer, the Indenture
Trustee and any agent of the Issuer or the Indenture Trustee shall treat the person in whose name this Class B Note is registered
as the owner hereof for all purposes, and neither the Issuer, the Indenture Trustee nor any agent of the Issuer or the Indenture
Trustee shall be affected by notice to the contrary.

 

    	 	Exhibit A-2 (Page 6)	 

     

    

  

THIS CLASS B NOTE SHALL
BE CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK, WITHOUT REFERENCE TO ITS CONFLICT OF LAW PROVISIONS, AND THE
OBLIGATIONS, RIGHTS AND REMEDIES OF THE PARTIES HEREUNDER SHALL BE DETERMINED IN ACCORDANCE WITH SUCH LAWS.

 

    	 	Exhibit A-2 (Page 7)	 

     

    

 

 

ASSIGNMENT

 

Social Security or other identifying number of assignee                                                                                                          

 

FOR VALUE RECEIVED, the
undersigned hereby sells, assigns and transfers unto                                  
(name and address of assignee) the within certificate and all rights thereunder, and hereby irrevocably constitutes and appoints
                            
attorney, to transfer said certificate on the books kept for registration thereof, with full power of substitution in the premises.

 

	Dated:	 	 	 	**
	 	 	 	Signature Guaranteed:	 

 

 

		**	The signature to this assignment must correspond with the name of the registered owner as it appears on the face of the within
Note in every particular, without alteration, enlargement or any change whatsoever.

 

    	 	Exhibit A-2 (Page 8)	 

     

    

  

EXHIBIT A-3

FORM OF CLASS C SERIES 2016-1 FIXED RATE ASSET
BACKED NOTE

 

UNLESS THIS NOTE IS PRESENTED
BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION (“DTC”), TO THE ISSUER OR ITS
AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY NOTE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR IN
SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR TO SUCH OTHER
ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE
BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.

 

THIS NOTE HAS NOT BEEN
REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), AND, ACCORDINGLY, MAY
NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED EXCEPT AS SET FORTH IN THE NEXT SENTENCE. BY ITS ACQUISITION HEREOF OR OF
A BENEFICIAL INTEREST HEREIN, THE HOLDER OF THIS NOTE:

 

(1)    AGREES
FOR THE BENEFIT OF THE ISSUER AND THE TRANSFEROR THAT THIS NOTE MAY BE SOLD, TRANSFERRED, ASSIGNED, PARTICIPATED, PLEDGED OR OTHERWISE
DISPOSED OF ONLY IN COMPLIANCE WITH THE SECURITIES ACT AND OTHER APPLICABLE LAWS, AND ONLY (I) PURSUANT TO RULE 144A UNDER THE
SECURITIES ACT (“RULE 144A”) TO A PERSON THAT THE HOLDER REASONABLY BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER, WITHIN
THE MEANING OF RULE l44A (A “QIB”), PURCHASING FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QIB, WHOM THE HOLDER HAS
INFORMED, IN EACH CASE, THAT THE REOFFER, RESALE, PLEDGE, OR OTHER TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A, OR (II) TO
THE DEPOSITOR OR ITS AFFILIATES, IN EACH CASE IN ACCORDANCE WITH ALL APPLICABLE SECURITIES LAWS OF THE UNITED STATES; AND

 

(2)    AGREES
THAT IT WILL DELIVER TO EACH PERSON TO WHOM THIS NOTE OR AN INTEREST HEREIN IS TRANSFERRED A NOTICE SUBSTANTIALLY TO THE EFFECT
OF THIS LEGEND.

 

    	 	Exhibit A-3 (Page 1)	 

     

    

  

THE HOLDER OF THIS NOTE
BY ITS ACCEPTANCE HEREOF COVENANTS AND AGREES THAT IT WILL NOT AT ANY TIME DIRECTLY OR INDIRECTLY INSTITUTE OR CAUSE TO BE INSTITUTED
AGAINST THE ISSUER ANY BANKRUPTCY, REORGANIZATION, ARRANGEMENT, INSOLVENCY OR LIQUIDATION PROCEEDING OR OTHER PROCEEDING UNDER
ANY FEDERAL OR STATE BANKRUPTCY LAW UNLESS NOTEHOLDERS OF NOT LESS THAN 662⁄3% OF THE OUTSTANDING PRINCIPAL AMOUNT OF EACH
CLASS OF EACH SERIES HAS APPROVED SUCH FILING AND IT WILL NOT DIRECTLY OR INDIRECTLY INSTITUTE OR CAUSE TO BE INSTITUTED AGAINST
THE TRANSFEROR ANY BANKRUPTCY, REORGANIZATION, ARRANGEMENT, INSOLVENCY OR LIQUIDATION PROCEEDING OR OTHER PROCEEDING UNDER ANY
FEDERAL OR STATE BANKRUPTCY LAW IN ANY INSTANCE; PROVIDED, THAT THE FOREGOING SHALL NOT IN ANY WAY LIMIT THE NOTEHOLDER’S
RIGHTS TO PURSUE ANY OTHER CREDITOR RIGHTS OR REMEDIES THAT THE NOTEHOLDERS MAY HAVE FOR CLAIMS AGAINST THE ISSUER.

 

THE HOLDER OF THIS CLASS
C NOTE, BY ACCEPTANCE OF THIS NOTE, AND EACH HOLDER OF A BENEFICIAL INTEREST THEREIN, AGREE TO TREAT THE CLASS C NOTES (OTHER THAN
A NOTE beneficially owned during any period of time either by the Issuer or the single
beneficial owner of the Issuer for U.S. federal income tax purposes) AS INDEBTEDNESS OF THE ISSUER FOR APPLICABLE FEDERAL,
STATE, AND LOCAL INCOME AND FRANCHISE TAX LAW AND FOR PURPOSES OF ANY OTHER TAX IMPOSED ON, OR MEASURED BY, INCOME.

 

THE HOLDER OF THIS NOTE
BY ITS ACCEPTANCE OF THIS NOTE, AND EACH HOLDER OF A BENEFICIAL INTEREST THEREIN, SHALL BE DEEMED TO REPRESENT AND WARRANT THAT
EITHER (I) SUCH HOLDER IS NOT (AND FOR SO LONG AS IT HOLDS SUCH NOTE WILL NOT BE), IS NOT ACTING ON BEHALF OF (AND FOR SO LONG
AS IT HOLDS SUCH NOTE WILL NOT BE ACTING ON BEHALF OF), AND IS NOT INVESTING THE ASSETS OF (A) AN “EMPLOYEE BENEFIT PLAN”
(AS DEFINED IN SECTION 3(3) OF THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974, AS AMENDED (“ERISA”)) THAT IS SUBJECT
TO TITLE I OF ERISA, (B) A “PLAN” (AS DEFINED IN SECTION 4975 OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED (THE
“CODE”)) THAT IS SUBJECT TO SECTION 4975 OF THE CODE, (C) AN ENTITY WHOSE UNDERLYING ASSETS ARE DEEMED TO BE PLAN ASSETS
OF A PLAN DESCRIBED IN (A) OR (B) ABOVE (EACH, A “BENEFIT PLAN”) OR (D) A GOVERNMENTAL PLAN, CHURCH PLAN OR NON-U.S.
PLAN THAT IS SUBJECT TO ANY APPLICABLE LAW THAT IS SUBSTANTIALLY SIMILAR TO THE FIDUCIARY RESPONSIBILITY PROVISIONS OF ERISA OR
SECTION 4975 OF THE CODE (“SIMILAR LAW”) OR (II) ITS ACQUISITION, CONTINUED HOLDING AND DISPOSITION OF THIS NOTE WILL
NOT RESULT IN A NON-EXEMPT PROHIBITED TRANSACTION UNDER ERISA OR SECTION 4975 OF THE CODE OR A VIOLATION OF ANY SIMILAR LAW. BENEFIT
PLANS MAY NOT ACQUIRE THIS NOTE AT ANY TIME THAT THIS NOTE DOES NOT HAVE A CURRENT INVESTMENT GRADE RATING FROM A NATIONALLY RECOGNIZED
STATISTICAL RATING ORGANIZATION.

 

    	 	Exhibit A-3 (Page 2)	 

     

    

  

	REGISTERED

No. R-                                     	$61,643,836

CUSIP NO. 87165L AZ4

 

SYNCHRONY CREDIT CARD

MASTER NOTE TRUST SERIES 2016-1

CLASS C SERIES 2016-1 FIXED RATE ASSET BACKED NOTE

 

Synchrony Credit Card Master
Note Trust (herein referred to as the “Issuer” or the “Trust”), a Delaware statutory trust governed by
a Trust Agreement dated as of September 25, 2003, for value received, hereby promises to pay to Cede & Co., or registered assigns,
subject to the following provisions, the principal sum of SIXTY-ONE MILLION SIX HUNDRED FORTY-THREE THOUSAND EIGHT HUNDRED THIRTY
SIX DOLLARS, or such greater or lesser amount as determined in accordance with the Indenture, on the March 2022 Payment Date, except
as otherwise provided below or in the Indenture. The Issuer will pay interest on the unpaid principal amount of this Note at the
Class C Note Interest Rate on each Payment Date until the Final Payment Date (which is the earlier to occur of (a) the Payment
Date on which the Note Principal Balance is paid in full, (b) the date on which the Collateral Amount is reduced to zero and (c)
the March 2022 Payment Date). Interest on this Note will accrue for each Payment Date from and including the most recent Payment
Date on which interest has been paid to but excluding such Payment Date or, for the initial Payment Date, from and including the
Closing Date to but excluding such Payment Date. Interest will be computed on the basis of a 360-day year and twelve 30-day months
(and in the case of the initial interest period, for a period of 27 days). Principal of this Note shall be paid in the manner specified
in the Indenture Supplement referred to on the reverse hereof.

 

The principal of and interest
on this Note are payable in such coin or currency of the United States of America as at the time of payment is legal tender for
payment of public and private debts.

 

Reference is made to the
further provisions of this Note set forth on the reverse hereof, which shall have the same effect as though fully set forth on
the face of this Note.

 

Unless the certificate
of authentication hereon has been executed by or on behalf of the Indenture Trustee, by manual signature, this Note shall not be
entitled to any benefit under the Indenture or the Indenture Supplement referred to on the reverse hereof, or be valid for any
purpose.

 

THIS CLASS C NOTE IS SUBORDINATED
TO THE EXTENT NECESSARY TO FUND PAYMENTS ON THE CLASS A NOTES AND CLASS B NOTES TO THE EXTENT SPECIFIED IN THE INDENTURE SUPPLEMENT.

 

    	 	Exhibit A-3 (Page 3)	 

     

    

  

IN WITNESS WHEREOF, the Issuer has caused this Class C Note to be
duly executed.

 

	 	SYNCHRONY CREDIT CARD MASTER NOTE TRUST, as Issuer
	 	 
	 	By:	 BNY Mellon Trust of Delaware, not in its
    individual capacity but solely as Trustee on behalf of Issuer
	 	 	
	 	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:
	 	 	 
	Dated:                      ,        	 	 

 

    	 	Exhibit A-3 (Page 4)	 

     

    

  

INDENTURE TRUSTEE’S CERTIFICATE OF AUTHENTICATION

 

This is one of the Class C Notes described in the within-mentioned
Indenture.

 

	 	DEUTSCHE BANK TRUST COMPANY AMERICAS, as Indenture Trustee
	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:

 

    	 	Exhibit A-3 (Page 5)	 

     

    

  

SYNCHRONY CREDIT CARD

MASTER NOTE TRUST SERIES 2016-1

CLASS C SERIES 2016-1 FIXED RATE ASSET BACKED NOTE

Summary of Terms and Conditions

 

This Class C Note is one
of a duly authorized issue of Notes of the Issuer, designated as Synchrony Credit Card Master Note Trust, Series 2016-1 (the “Series
2016-1 Notes”), issued under a Master Indenture dated as of September 25, 2003 (as amended, the “Master Indenture”),
between the Issuer and Deutsche Bank Trust Company Americas, as indenture trustee (the “Indenture Trustee”),
as supplemented by the Indenture Supplement, dated as of March 18, 2016 (the “Indenture Supplement”), and representing
the right to receive certain payments from the Issuer. The term “Indenture,” unless the context otherwise requires,
refers to the Master Indenture as supplemented by the Indenture Supplement. The Notes are subject to all of the terms of the Indenture.
All terms used in this Note that are defined in the Indenture shall have the meanings assigned to them in or pursuant to the Indenture.
In the event of any conflict or inconsistency between the Indenture and this Note, the Indenture shall control.

 

The Class A Notes, the
Class B Notes and the Class D Notes will also be issued under the Indenture.

 

The Noteholder, by its
acceptance of this Note, agrees that it will look solely to the property of the Issuer allocated to the payment of this Note for
payment hereunder and that neither the Owner Trustee nor the Indenture Trustee is liable to the Noteholders for any amount payable
under the Notes or the Indenture or, except in the case of the Indenture Trustee as expressly provided in the Indenture, subject
to any liability under the Indenture.

 

This Note does not purport
to summarize the Indenture and reference is made to the Indenture for the interests, rights and limitations of rights, benefits,
obligations and duties evidenced thereby, and the rights, duties and immunities of the Indenture Trustee.

 

THIS CLASS C NOTE DOES
NOT REPRESENT AN OBLIGATION OF, OR AN INTEREST IN, GENERAL ELECTRIC CAPITAL CORPORATION, SYNCHRONY BANK, SYNCHRONY FINANCIAL, RFS
HOLDING, L.L.C., OR ANY OF THEIR AFFILIATES, AND IS NOT INSURED OR GUARANTEED BY THE FEDERAL DEPOSIT INSURANCE CORPORATION OR ANY
OTHER GOVERNMENTAL AGENCY OR INSTRUMENTALITY. THIS CLASS C NOTE IS LIMITED IN RIGHT OF PAYMENT TO CERTAIN COLLECTIONS OF THE RECEIVABLES
(AND CERTAIN OTHER COLLATERAL) ALLOCATED TO THE SERIES 2016-1 NOTES, ALL AS MORE SPECIFICALLY SET FORTH HEREINABOVE AND IN THE
MASTER INDENTURE AND INDENTURE SUPPLEMENT.

 

The Issuer, the Indenture
Trustee and any agent of the Issuer or the Indenture Trustee shall treat the person in whose name this Class C Note is registered
as the owner hereof for all purposes, and neither the Issuer, the Indenture Trustee nor any agent of the Issuer or the Indenture
Trustee shall be affected by notice to the contrary.

 

    	 	Exhibit A-3 (Page 6)	 

     

    

  

THIS CLASS C NOTE SHALL
BE CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK, WITHOUT REFERENCE TO ITS CONFLICT OF LAW PROVISIONS, AND THE
OBLIGATIONS, RIGHTS AND REMEDIES OF THE PARTIES HEREUNDER SHALL BE DETERMINED IN ACCORDANCE WITH SUCH LAWS.

 

    	 	Exhibit A-3 (Page 7)	 

     

    

 

 

ASSIGNMENT

 

Social Security or other identifying number of assignee                                                                                                                 

 

FOR VALUE RECEIVED, the
undersigned hereby sells, assigns and transfers unto                                  
(name and address of assignee) the within certificate and all rights thereunder, and hereby irrevocably constitutes and appoints
                            
attorney, to transfer said certificate on the books kept for registration thereof, with full power of substitution in the premises.

 

	Dated:	 	 	 	**
	 	 	 	Signature Guaranteed:	 

 

 

		**	The signature to this assignment must correspond with the name of the registered owner as it appears
on the face of the within Note in every particular, without alteration, enlargement or any change whatsoever.

 

    	 	Exhibit A-3 (Page 8)	 

     

    

  

EXHIBIT A-4

FORM OF CLASS D SERIES 2016-1 FIXED RATE ASSET
BACKED NOTE

 

UNLESS THIS NOTE IS PRESENTED
BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION (“DTC”), TO THE ISSUER OR ITS
AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY NOTE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR IN
SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR TO SUCH OTHER
ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE
BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.

 

THIS NOTE HAS NOT BEEN
REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), AND, ACCORDINGLY, MAY
NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED EXCEPT AS SET FORTH IN THE NEXT SENTENCE. BY ITS ACQUISITION HEREOF OR OF
A BENEFICIAL INTEREST HEREIN, THE HOLDER OF THIS NOTE:

 

(1)     AGREES
FOR THE BENEFIT OF THE ISSUER AND THE TRANSFEROR THAT THIS NOTE MAY BE SOLD, TRANSFERRED, ASSIGNED, PARTICIPATED, PLEDGED OR OTHERWISE
DISPOSED OF ONLY IN COMPLIANCE WITH THE SECURITIES ACT AND OTHER APPLICABLE LAWS, AND ONLY (I) PURSUANT TO RULE 144A UNDER THE
SECURITIES ACT (“RULE 144A”) TO A PERSON THAT THE HOLDER REASONABLY BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER, WITHIN
THE MEANING OF RULE l44A (A “QIB”), PURCHASING FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QIB, WHOM THE HOLDER HAS
INFORMED, IN EACH CASE, THAT THE REOFFER, RESALE, PLEDGE, OR OTHER TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A, OR (II) TO
THE DEPOSITOR OR ITS AFFILIATES, IN EACH CASE IN ACCORDANCE WITH ALL APPLICABLE SECURITIES LAWS OF THE UNITED STATES; AND

 

(2)     AGREES
THAT IT WILL DELIVER TO EACH PERSON TO WHOM THIS NOTE OR AN INTEREST HEREIN IS TRANSFERRED A NOTICE SUBSTANTIALLY TO THE EFFECT
OF THIS LEGEND.

 

    	 	 Exhibit A-4 (Page 1)	 

     

    

  

THE HOLDER OF THIS NOTE
BY ITS ACCEPTANCE HEREOF COVENANTS AND AGREES THAT IT WILL NOT AT ANY TIME DIRECTLY OR INDIRECTLY INSTITUTE OR CAUSE TO BE INSTITUTED
AGAINST THE ISSUER ANY BANKRUPTCY, REORGANIZATION, ARRANGEMENT, INSOLVENCY OR LIQUIDATION PROCEEDING OR OTHER PROCEEDING UNDER
ANY FEDERAL OR STATE BANKRUPTCY LAW UNLESS NOTEHOLDERS OF NOT LESS THAN 662⁄3% OF THE OUTSTANDING PRINCIPAL AMOUNT OF EACH
CLASS OF EACH SERIES HAS APPROVED SUCH FILING AND IT WILL NOT DIRECTLY OR INDIRECTLY INSTITUTE OR CAUSE TO BE INSTITUTED AGAINST
THE TRANSFEROR ANY BANKRUPTCY, REORGANIZATION, ARRANGEMENT, INSOLVENCY OR LIQUIDATION PROCEEDING OR OTHER PROCEEDING UNDER ANY
FEDERAL OR STATE BANKRUPTCY LAW IN ANY INSTANCE; PROVIDED, THAT THE FOREGOING SHALL NOT IN ANY WAY LIMIT THE NOTEHOLDER’S
RIGHTS TO PURSUE ANY OTHER CREDITOR RIGHTS OR REMEDIES THAT THE NOTEHOLDERS MAY HAVE FOR CLAIMS AGAINST THE ISSUER.

 

THE HOLDER OF THIS CLASS D NOTE, BY ACCEPTANCE
OF THIS NOTE, AND EACH HOLDER OF A BENEFICIAL INTEREST THEREIN, AGREE TO TREAT THE CLASS D NOTES (OTHER THAN A NOTE beneficially
owned during any period of time either by the Issuer or the single beneficial owner of the Issuer for U.S. federal income tax purposes)
AS INDEBTEDNESS OF THE ISSUER FOR APPLICABLE FEDERAL, STATE, AND LOCAL INCOME AND FRANCHISE TAX LAW AND FOR PURPOSES OF ANY OTHER
TAX IMPOSED ON, OR MEASURED BY, INCOME.

 

THE HOLDER OF THIS NOTE
BY ITS ACCEPTANCE OF THIS NOTE, AND EACH HOLDER OF A BENEFICIAL INTEREST THEREIN, SHALL BE DEEMED TO REPRESENT AND WARRANT THAT
EITHER (I) SUCH HOLDER IS NOT (AND FOR SO LONG AS IT HOLDS SUCH NOTE WILL NOT BE), IS NOT ACTING ON BEHALF OF (AND FOR SO LONG
AS IT HOLDS SUCH NOTE WILL NOT BE ACTING ON BEHALF OF), AND IS NOT INVESTING THE ASSETS OF (A) AN “EMPLOYEE BENEFIT PLAN”
(AS DEFINED IN SECTION 3(3) OF THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974, AS AMENDED (“ERISA”)) THAT IS SUBJECT
TO TITLE I OF ERISA, (B) A “PLAN” (AS DEFINED IN SECTION 4975 OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED (THE
“CODE”)) THAT IS SUBJECT TO SECTION 4975 OF THE CODE, (C) AN ENTITY WHOSE UNDERLYING ASSETS ARE DEEMED TO BE PLAN ASSETS
OF A PLAN DESCRIBED IN (A) OR (B) ABOVE (EACH, A “BENEFIT PLAN”) OR (D) A GOVERNMENTAL PLAN, CHURCH PLAN OR NON-U.S.
PLAN THAT IS SUBJECT TO ANY APPLICABLE LAW THAT IS SUBSTANTIALLY SIMILAR TO THE FIDUCIARY RESPONSIBILITY PROVISIONS OF ERISA OR
SECTION 4975 OF THE CODE (“SIMILAR LAW”) OR (II) ITS ACQUISITION, CONTINUED HOLDING AND DISPOSITION OF THIS NOTE WILL
NOT RESULT IN A NON-EXEMPT PROHIBITED TRANSACTION UNDER ERISA OR SECTION 4975 OF THE CODE OR A VIOLATION OF ANY SIMILAR LAW. BENEFIT
PLANS MAY NOT ACQUIRE THIS NOTE AT ANY TIME THAT THIS NOTE DOES NOT HAVE A CURRENT INVESTMENT GRADE RATING FROM A NATIONALLY RECOGNIZED
STATISTICAL RATING ORGANIZATION.

 

    	 	 Exhibit A-4 (Page 2)	 

     

    

  

	REGISTERED

No. R-                                     	$92,465,753

CUSIP NO. 87165L BA8

 

SYNCHRONY CREDIT CARD

MASTER NOTE TRUST SERIES 2016-1

 

CLASS D SERIES 2016-1 FIXED RATE ASSET BACKED
NOTE

 

Synchrony Credit Card Master
Note Trust (herein referred to as the “Issuer” or the “Trust”), a Delaware statutory trust
governed by a Trust Agreement dated as of September 25, 2003, for value received, hereby promises to pay to Cede & Co., or
registered assigns, subject to the following provisions, the principal sum of NINETY-TWO MILLION FOUR HUNDRED SIXTY-FIVE THOUSAND
SEVEN HUNDRED FIFTY-THREE DOLLARS, or such greater or lesser amount as determined in accordance with the Indenture, on the March
2022 Payment Date, except as otherwise provided below or in the Indenture. The Issuer will pay interest on the unpaid principal
amount of this Note at the Class D Note Interest Rate on each Payment Date until the Final Payment Date (which is the earlier to
occur of (a) the Payment Date on which the Note Principal Balance is paid in full, (b) the date on which the Collateral Amount
is reduced to zero and (c) the March 2022 Payment Date). Interest on this Note will accrue for each Payment Date from and including
the most recent Payment Date on which interest has been paid to but excluding such Payment Date or, for the initial Payment Date,
from and including the Closing Date to but excluding such Payment Date. Interest will be computed on the basis of a 360-day year
and twelve 30-day months (and in the case of the initial interest period, for a period of 27days). Principal of this Note shall
be paid in the manner specified in the Indenture Supplement referred to on the reverse hereof.

 

The principal of and interest
on this Note are payable in such coin or currency of the United States of America as at the time of payment is legal tender for
payment of public and private debts.

 

Reference is made to the
further provisions of this Note set forth on the reverse hereof, which shall have the same effect as though fully set forth on
the face of this Note.

 

Unless the certificate
of authentication hereon has been executed by or on behalf of the Indenture Trustee, by manual signature, this Note shall not be
entitled to any benefit under the Indenture or the Indenture Supplement referred to on the reverse hereof, or be valid for any
purpose.

 

THIS CLASS D NOTE IS SUBORDINATED
TO THE EXTENT NECESSARY TO FUND PAYMENTS ON THE CLASS A NOTES, CLASS B NOTES AND CLASS C NOTES TO THE EXTENT SPECIFIED IN THE INDENTURE
SUPPLEMENT.

 

    	 	 Exhibit A-4 (Page 3)	 

     

    

  

IN WITNESS WHEREOF, the Issuer has caused this Class D Note to be
duly executed.

 

	 	SYNCHRONY CREDIT CARD MASTER NOTE TRUST, as Issuer
	 	 	 
	 	By:	BNY MELLON TRUST OF DELAWARE
	 	 	not in its individual capacity but solely as
	 	 	Trustee on behalf of Issuer
	 	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:
	 	 	 
	Dated:                   ,            	 	 

 

    	 	 Exhibit A-4 (Page 4)	 

     

    

  

INDENTURE TRUSTEE’S CERTIFICATE OF AUTHENTICATION

 

This is one of the Class D Notes described in the within-mentioned
Indenture.

 

	 	DEUTSCHE BANK TRUST COMPANY AMERICAS, as Indenture Trustee
	 	 
	 	By:	 
	 	 	Authorized Signatory

 

    	 	 Exhibit A-4 (Page 5)	 

     

    

  

SYNCHRONY CREDIT CARD

MASTER NOTE TRUST SERIES 2016-1

 

CLASS D SERIES 2016-1 FIXED RATE ASSET BACKED
NOTE

 

Summary of Terms and Conditions

 

This Class D Note is one
of a duly authorized issue of Notes of the Issuer, designated as Synchrony Credit Card Master Note Trust, Series 2016-1 (the “Series
2016-1 Notes”), issued under a Master Indenture dated as of September 25, 2003 (as amended, the “Master Indenture”),
between the Issuer and Deutsche Bank Trust Company Americas, as indenture trustee (the “Indenture Trustee”),
as supplemented by the Indenture Supplement, dated as of March 18, 2016 (the “Indenture Supplement”), and representing
the right to receive certain payments from the Issuer. The term “Indenture,” unless the context otherwise requires,
refers to the Master Indenture as supplemented by the Indenture Supplement. The Notes are subject to all of the terms of the Indenture.
All terms used in this Note that are defined in the Indenture shall have the meanings assigned to them in or pursuant to the Indenture.
In the event of any conflict or inconsistency between the Indenture and this Note, the Indenture shall control.

 

The Class A Notes, the
Class B Notes and the Class C Notes will also be issued under the Indenture.

 

The Noteholder, by its
acceptance of this Note, agrees that it will look solely to the property of the Issuer allocated to the payment of this Note for
payment hereunder and that neither the Owner Trustee nor the Indenture Trustee is liable to the Noteholders for any amount payable
under the Notes or the Indenture or, except in the case of the Indenture Trustee as expressly provided in the Indenture, subject
to any liability under the Indenture.

 

This Note does not purport
to summarize the Indenture and reference is made to the Indenture for the interests, rights and limitations of rights, benefits,
obligations and duties evidenced thereby, and the rights, duties and immunities of the Indenture Trustee.

 

THIS CLASS D NOTE DOES
NOT REPRESENT AN OBLIGATION OF, OR AN INTEREST IN, GENERAL ELECTRIC CAPITAL CORPORATION, SYNCHRONY BANK, SYNCHRONY FINANCIAL, RFS
HOLDING, L.L.C., OR ANY OF THEIR AFFILIATES, AND IS NOT INSURED OR GUARANTEED BY THE FEDERAL DEPOSIT INSURANCE CORPORATION OR ANY
OTHER GOVERNMENTAL AGENCY OR INSTRUMENTALITY. THIS CLASS D NOTE IS LIMITED IN RIGHT OF PAYMENT TO CERTAIN COLLECTIONS OF THE RECEIVABLES
(AND CERTAIN OTHER COLLATERAL) ALLOCATED TO THE SERIES 2016-1 NOTES, ALL AS MORE SPECIFICALLY SET FORTH HEREINABOVE AND IN THE
MASTER INDENTURE AND INDENTURE SUPPLEMENT.

 

The Issuer, the Indenture
Trustee and any agent of the Issuer or the Indenture Trustee shall treat the person in whose name this Class D Note is registered
as the owner hereof for all purposes, and neither the Issuer, the Indenture Trustee nor any agent of the Issuer or the Indenture
Trustee shall be affected by notice to the contrary.

 

    	 	 Exhibit A-4 (Page 6)	 

     

    

  

THIS CLASS D NOTE SHALL
BE CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK, WITHOUT REFERENCE TO ITS CONFLICT OF LAW PROVISIONS, AND THE
OBLIGATIONS, RIGHTS AND REMEDIES OF THE PARTIES HEREUNDER SHALL BE DETERMINED IN ACCORDANCE WITH SUCH LAWS.

 

    	 	 Exhibit A-4 (Page 7)	 

     

    

  

ASSIGNMENT

 

Social Security or other identifying number of assignee                                                                                                          

 

FOR VALUE RECEIVED, the
undersigned hereby sells, assigns and transfers unto                                                  
(name and address of assignee) the within certificate and all rights thereunder, and hereby irrevocably constitutes and appoints
                                         
attorney, to transfer said certificate on the books kept for registration thereof, with full power of substitution in the premises.

 

	Dated:	 	 	 	**
	 	 	 	Signature Guaranteed:	 

 

 

		**	The signature to this assignment must correspond with the name of the registered owner as it appears
on the face of the within Note in every particular, without alteration, enlargement or any change whatsoever.

 

    	 	 Exhibit A-4 (Page 8)	 

     

    

  

EXHIBIT B

 

FORM OF MONTHLY NOTEHOLDER’S STATEMENT

 

Monthly Noteholder’s Statement

Synchrony Credit Card Master Note Trust

 

Series 2016-1

Class A 2.04% Notes

Class B 2.39% Notes

Class C 2.88% Notes

Class D 3.38% Notes

 

Pursuant to the Master
Indenture, dated as of September 25, 2003 (as amended and supplemented, the “Indenture”) between Synchrony Credit
Card Master Note Trust (the “Issuer”) and Deutsche Bank Trust Company Americas, as indenture trustee (the “Indenture
Trustee”), as supplemented by the Series 2016-1 Indenture Supplement (the “Indenture Supplement”),
dated as of March 18, 2016, between the Issuer and the Indenture Trustee, the Issuer is required to prepare, or cause the Servicer
to prepare, certain information each month regarding current distributions to the Series 2016-1 Noteholders and the performance
of the Trust during the previous month. The information required to be prepared with respect to the Payment Date of [●], 20[●],
and with respect to the performance of the Trust during the Monthly Period ended [●], 20[●] is set forth below.
Capitalized terms used herein are defined in the Indenture and the Indenture Supplement. The Discount Percentage (as defined in
the Transfer Agreement) remains at 0% for all the Receivables in the Trust until otherwise indicated. The undersigned, an Authorized
Officer of the Servicer, does hereby certify as follows:

  

	Record Date:	[●], 20[●]
	Monthly Period Beginning:	[●], 20[●]
	Monthly Period Ending:	[●], 20[●]
	Previous Payment Date:	[●], 20[●]
	Payment Date:	[●], 20[●]
	Interest Period Beginning:	[●], 20[●]
	Interest Period Ending:	[●], 20[●]
	Days in Monthly Period:	[●]
	Days in Interest Period:	[●]
	Is there a Reset Date?	[No][Yes]

 

	I.          Trust Receivables Information	 
	a.   Number of Accounts Beginning	 
	b.   Number of Accounts Ending	 
	c.   Average Account Balance (q/b)	 
	d.   BOP Principal Receivables	 

 

    	 	Exhibit B (Page 1)	 

     

    

 

	e.   BOP Finance Charge Receivables	 
	f.    BOP Total Receivables	 
	g.   Increase in Principal Receivables from Additional Accounts	 
	h.   Increase in Principal Activity on Existing Securitized Accounts	 
	i.    Increase in Finance Charge Receivables from Additional Accounts	 
	j.    Increase in Finance Charge Activity on Existing Securitized Accounts	 
	k.   Increase in Total Receivables	 
	l.    Decrease in Principal Receivables due to Account Removal	 
	m.  Decrease in Principal Activity on Existing Securitized Accounts	 
	n.   Decrease in Finance Charge Receivables due to Account Removal	 
	o.   Decrease in Finance Charge Activity on Existing Securitized Accounts	 
	p.   Decrease in Total Receivables	 
	q.   EOP Aggregate Principal Receivables	 
	r.    EOP Finance Charge Receivables	 
	s.   EOP Total Receivables	 
	t.    Excess Funding Account Balance	 
	u.   Required Principal Balance	 
	v.   Minimum Free Equity Amount (EOP Aggregate Principal Receivables * 5.5%)	 
	w.  Free Equity Amount (EOP Principal Receivables - EOP Collateral Amount (II.d.ii+II.a.ii+II.b.ii+II.b.iii))	 
	 	 
	II.          Investor Information (Sum of all Series, excluding new issuances and additional draws subsequent to end of the Monthly Period)	 
	a.   Note Principal Balance 	 
	i.    Beginning of Interest Period	 
	ii.   Increase in Note Principal Balance due to New Issuance / Additional draws	 
	iii.  Decrease in Note Principal Balance due to Principal Paid and Notes Retired	 
	iv.  As of Payment Date	 
	b.   Excess Collateral Amount 	 
	i.    Beginning of Interest Period	 
	
        ii.   Change
        to Excess Collateral Amount in connection with the Supplemental Indenture

        iii. Increase in Excess Collateral
        Amount due to New Issuance
	 
	iv.  Reductions in Required Excess Collateral Amount	 
	v.   Increase in Unreimbursed Investor Charge-Off	 

 

    	 	Exhibit B (Page 2)	 

     

    

 

	vi.  Decrease in Unreimbursed Investor Charge-Off	 
	vii.  Increase in Unreimbursed Reallocated Principal Collections	 
	viii. Decrease in Unreimbursed Reallocated Principal Collections	 
	ix.    As of Payment Date	 
	
        c.   Principal
        Accumulation Account Balance

              i.  Beginning of Interest Period

            
         ii.  Controlled Deposit Amount

             
        iii.  Withdrawal for Principal         Payment

            
         iv.  As of Payment Date

        d. Collateral Amount
	  
	i.    End of Prior Monthly Period	 
	ii.   Beginning of Interest Period (a.i + b.i)	 
	iii.  As of Payment Date	 
	 	 
	III.        Trust Performance Data (Monthly Period)	 
	a.   Gross Trust Yield (Finance Charge Collections + Recoveries / BOP Principal Receivables)	 
	i.    Current	 
	ii.   Prior Monthly Period	 
	iii.  Two Months Prior Monthly Period	 
	iv.  Three-Month Average	 
	b.   Payment Rate (Principal Collections / BOP Principal Receivables)	 
	i.    Current	 
	ii.   Prior Monthly Period	 
	iii.  Two Months Prior Monthly Period	 
	iv.  Three-Month Average	 
	c.   Gross Charge-Off Rate excluding Fraud (Default Amount for Defaulted Accounts – Fraud Amount / BOP Principal Receivables)	 
	i.    Current	 
	ii.   Prior Monthly Period	 
	iii.  Two Months Prior Monthly Period	 
	iv.  Three-Month Average	 
	d.   Gross Charge-Off Rate (Default Amount for Defaulted Accounts / BOP Principal Receivables)	 
	e.   Net Charge-Off Rate excluding Fraud (Default Amount for Defaulted Accounts – Recoveries – Fraud Amount / BOP Principal Receivables	 
	i.    Current	 
	ii.   Prior Monthly Period	 
	iii.  Two Months Prior Monthly Period	 
	iv.  Three-Month Average	 

 

    	 	Exhibit B (Page 3)	 

     

    

 

	f.     Net Charge-Off Rate (Default Amount for Defaulted Accounts – Recoveries / BOP Principal Receivables)	 
	g.    Trust excess spread percentage ((FC Coll – Charged-Off Rec – Monthly Interest +/- Net Swaps – Monthly Servicing Fee) / BOP Principal Receivables)	 
	h.    Default Amount for Defaulted Accounts	 
	i.     Recovery Amount	 
	j.     Collections	 
	i.    Total Trust Finance Charge Collections	 
	ii.   Total Trust Principal Collections	 
	iii.  Total Trust Collections	 

 

	k.   Delinquency Data	Percentage	 	Total
    Receivables
	i.    1-29 Days Delinquent	 	 	 
	ii.    30-59 Days Delinquent	 	 	 
	iii.   60-89 Days Delinquent	 	 	 
	iv.   90-119 Days Delinquent	 	 	 
	v.   120-149 Days Delinquent	 	 	 
	
              vi.  150-179
        Days Delinquent

             vii. 180 or Greater Days
        Delinquent
	 	 	 

 

	IV.   Series Performance Data	 
	a.   Portfolio Yield (Finance Charge Collections + Recoveries – Aggregate Investor Default Amount + PAA Inv Proceeds / BOP Collateral)	 
	i.    Current	 
	ii.   Prior Monthly Period	 
	iii.  Two Months Prior Monthly Period	 
	iv.  Three-Month Average	 
	b.   Base Rate (Noteholder Servicing Fee + Admin Fee + Monthly Interest / + Swap Payments – Swap Receipts / BOP Collateral)	 
	i.    Current	 
	ii.   Prior Monthly Period	 
	iii.  Two Months Prior Monthly Period	 
	iv.  Three-Month Average	 
	c.   Excess Spread Percentage (Portfolio Yield – Base Rate)	 
	i.    Current	 
	ii.   Prior Monthly Period	 
	iii.  Two Months Prior Monthly Period	 
	iv.  Quarterly Excess Spread Percentage	 

 

    	 	Exhibit B (Page 4)	 

     

    

 

	V.         Investor Information Regarding Distributions to Noteholders	 
	a.   The total amount of the distribution to Class A Noteholders per $1000 Note Initial Principal Balance.	 
	b.   The amount of the distribution set forth in paragraph a. above in respect of interest on the Class A Notes, per $1000 Note Initial Principal Balance.	 
	c.   The amount of the distribution set forth in paragraph a. above in respect of principal on the Class A Notes, per $1000 Note Initial Principal Balance.	 
	d.   The total amount of the distribution to Class B Noteholders per $1000 Note Initial Principal Balance.	 
	e.   The amount of the distribution set forth in paragraph d. above in respect of interest on the Class B Notes, per $1000 Note Initial Principal Balance.	 
	f.    The amount of the distribution set forth in paragraph d. above in respect of principal on the Class B Notes, per $1000 Note Initial Principal Balance.	 
	g.   The total amount of the distribution to Class C Noteholders per $1000 Note Initial Principal Balance.	 
	h.   The amount of the distribution set forth in paragraph g. above in respect of interest on the Class C Notes, per $1000 Note Initial Principal Balance.	 
	i.    The amount of the distribution set forth in paragraph g. above in respect of principal on the Class C Notes, per $1000 Note Initial Principal Balance.	 
	j.    The total amount of the distribution to Class D Noteholders per $1000 Note Initial Principal Balance.	 
	k.   The amount of the distribution set forth in paragraph j. above in respect of interest on the Class D Notes, per $1000 Note Initial Principal Balance.	 
	l.    The amount of the distribution set forth in paragraph j. above in respect of principal on the Class D Notes, per $1000 Note Initial Principal Balance.	 
	 	 
	VI.       Investor Information	 
	a.   Class A Note Initial Principal Balance	 
	b.   Class B Note Initial Principal Balance 

c.   Class C Note Initial Principal Balance	 
	d.   Class D Note Initial Principal Balance	 

 

    	 	Exhibit B (Page 5)	 

     

    

 

	e.   Initial Excess Collateral Amount	 
	f.    Initial Collateral Amount	 
	g.   Class A Note Principal Balance	 
	i.    Beginning of Interest Period	 
	ii.   Principal Payment	 
	iii.  As of Payment Date	 
	h.   Class B Note Principal Balance	 
	i.    Beginning of Interest Period	 
	ii.   Principal Payment	 
	iii.  As of Payment Date	 
	i.    Class C Note Principal Balance	 
	i.    Beginning of Interest Period	 
	ii.   Principal Payment	 
	iii.  As of Payment Date	 
	j.    Class D Note Principal Balance	 
	i.    Beginning of Interest Period	 
	ii.   Principal Payment	 
	iii.  As of Payment Date	 
	k.   Excess Collateral Amount	 
	i.    Beginning of Interest Period	 
	
              ii.   Increase
        in Excess Collateral Amount in connection with the Supplemental Indenture

             iii.   Reduction in Excess
        Collateral Amount
	 
	iv.  As of Payment Date	 
	l.    Collateral Amount	 
	i.    Beginning of Interest Period	 
	
        ii.   Increase
        in Excess Collateral Amount in connection with the Supplemental Indenture

        iii.  Increase/Decrease in
        Unreimbursed Investor Charge-Offs
	 
	iv.  Increase/Decrease in Reallocated Principal Collections	 
	v.   Reduction in Excess Collateral Amount	 
	vi.  Principal Accumulation Account Deposit	 
	vii. As of Payment Date	 
	viii. Collateral Amount as a Percentage of Note Trust Principal Balance	 
	ix. Amount by which Note Principal Balance exceeds Collateral Amount	 
	m.   Required Excess Collateral Amount	 
	 	 
	VII.       Investor Charge-Offs and Reallocated Principal Collections

(Section references relate to Indenture Supplement)	 
	a.   Beginning Unreimbursed Investor Charge-Offs	 

 

    	 	Exhibit B (Page 6)	 

     

    

 

	b.   Current Unreimbursed Investor Defaults	 
	c.   Current Unreimbursed Investor Uncovered Dilution Amount	 
	d.   Current Reimbursement of Investor Charge-Offs pursuant to Section 4.4(a)(viii)	 
	e.   Ending Unreimbursed Investor Charge-Offs	 
	f.    Beginning Unreimbursed Reallocated Principal Collections	 
	g.   Current Reallocated Principal Collections pursuant to Section 4.7	 
	h.   Current Reimbursement of Reallocated Principal Collections pursuant to Section 4.4(a)(viii)	 
	i.    Ending Unreimbursed Reallocated Principal Collections	 
	 	 
	VIII.     Investor Percentages –BOP Balance and Series Account Information	 
	a.   Allocation Percentage Numerator – for Finance Charge Collections and Default Amounts	 
	b.   Allocation Percentage Numerator – for Principal Collections	 
	c.   Allocation Percentage Denominator	 
	i.    Aggregate Principal Receivables Balance as of Prior Monthly Period	 
	ii.   Number of Days at Balance	 
	iii.  Weighted Average Principal Balance	 
	d.   Sum of Allocation Percentage Numerators for all outstanding Series with respect to Finance Charge Collections and Default Amounts	 
	e.   Sum of Allocation Percentage Numerators for all outstanding Series with respect to Principal Collections	 
	f.    Average Daily Allocation Percentage, Finance Charge Collections and Default Amount (a./greater of c.iii. or d.)	 
	g.   Average Daily Allocation Percentage, Principal Collections (b./ greater of c.iii. or e.)	 
	h.   Series Allocation Percentage	 
	 	 
	IX.        Collections and Allocations	 

 

	 	Trust	 	Series
	a.   Finance Charge Collections	 	 	 
	b.   Recoveries	 	 	 
	c.   Principal Collections	 	 	 
	d.   Default Amount	 	 	 
	e.   Dilution	 	 	 
	f.    Investor Uncovered Dilution Amount	 	 	 
	g.   Dilution including Fraud Amount	 	 	 

	h.   Available Finance Charge Collections	 
	i.    Investor Finance Charge Collections	 
	ii.   Excess Finance Charge Collections allocable to Series 2016-1	 
	iii.  Principal Accumulation Account Investment Proceeds	 

 

    	 	Exhibit B (Page 7)	 

     

    

 

	iv.  Investment earnings in the Reserve Account	 
	
              v.   Reserve
        Account Draw Amount

              vi. Net Swap Receipts
	 
	vii. Recoveries	 
	i.    Available Finance Charge Collections (Sum of h.i through h.vii)	 
	j.    Total Collections (c. Series + i.)	 
	k.   Total Finance Charge Collections deposited in the Collection Account (net of any amounts distributed to Transferor and owed to Servicer)	 
	 	 
	X.          Application of Available Funds pursuant to Section 4.4(a) of the Indenture Supplement	 
	a.    Available Finance Charge Collections	 
	i.    On a pari passu basis:	 
	a.   Payment to the Indenture Trustee, to a maximum of $25,000	 
	b.   Payment to the Trustee, to a maximum of $25,000	 
	c.   Payment to the Administrator, to a maximum of $25,000	 
	ii.    To the Servicer:	 
	a.   Noteholder Servicing Fee	 
	b.   Noteholder Servicing Fee previously due but not paid	 
	c.   Total Noteholder Servicing Fee	 
	iii.   On a pari passu basis:	 
	a.   Class A Monthly Interest	 
	b.   Class A Deficiency Amount	 
	c.   Class A Additional Interest	 
	d.   Class A Additional Interest not paid on prior Payment Date	 
	iv.   On a pari passu basis:	 
	a.   Class B Monthly Interest	 
	b.   Class B Deficiency Amount	 
	c.   Class B Additional Interest	 
	d.   Class B Additional Interest not paid on prior Payment Date	 
	v.   On a pari passu basis:	 
	a.   Class C Monthly Interest	 
	b.   Class C Deficiency Amount	 
	c.   Class C Additional Interest	 
	d.   Class C Additional Interest not paid on prior Payment Date	 
	vi.  On a pari passu basis:	 
	a.   Class D Monthly Interest	 

 

    	 	Exhibit B (Page 8)	 

     

    

 

	b.   Class D Deficiency Amount	 
	c.   Class D Additional Interest	 
	d.   Class D Additional Interest not paid on prior Payment Date	 
	vii.  To be treated as Available Principal Collections	 
	a.   Aggregate Investor Default Amount	 
	b.   Aggregate Investor Uncovered Dilution Amount	 
	viii.  To be treated as Available Principal Collections, to the extent not previously reimbursed	 
	a.   Investor Charge-offs	 
	b.   Reallocated Principal Collections	 
	ix.    Excess of Required Reserve Account Amount Over Available Reserve Account Amount	 
	x.     Amounts required to be deposited to the Spread Account or Reserve Account	 
	xi.    To be treated as Available Principal Collections:  Series Allocation Percentage of Minimum Free Equity Shortfall	 
	xii.   Unless an Early Amortization Event has occurred, amounts that have not been paid pursuant to (a)(i) above	 
	xiii.  The balance, if any, will constitute a portion of Excess Finance Charge Collections for such Payment Date and first will be available for allocation to other Series in Group One and, then:	 
	a.   Unless an Early Amortization Event has occurred, to the Transferor; or 	 
	b.   If an Early Amortization Event has occurred, first, to pay Monthly Principal in accordance with Section 4.4(c) of the Indenture Supplement to the extent not paid in full from Available Principal Collections (calculated without regard to amounts available to be treated as Available Principal Collections pursuant to this clause), second, to pay on a pari passu basis any amounts owed to such Persons listed in clause (a)(i) above that have been allocated to Series 2016-1 in accordance with Section 8.4(d) of the Indenture and that have not been paid pursuant to clauses (a)(i) and (a)(xii) above, and, third, any amounts remaining after payment in full of the Monthly Principal and amounts owed to such Persons listed in clause (a)(i) above shall be paid to the Issuer.	 

 

	XI.        Excess Finance Charge Collections (Group One)	 
	a.   Total Excess Finance Charge Collections in Group One	 

 

    	 	Exhibit B (Page 9)	 

     

    

 

	b.   Finance Charge Shortfall for Series 2016-1	 
	c.   Finance Charge Shortfall for all Series in Group One	 
	d.   Excess Finance Charges Collections Allocated to Series 2016-1	 
	 	 
	XII.        Available Principal Collections and Distributions (Section references relate to Indenture Supplement)	 
	a.   Investor Principal Collections	 
	b.   Less:  Reallocated Principal Collections for the Monthly Period pursuant to Section 4.7	 
	c.   Plus:  Shared Principal Collections allocated to this Series	 
	d.   Plus:  Aggregate amount to be treated as Available Principal Collections pursuant to Section 4.4(a)(vii)	 
	e.   Plus:  Aggregate amount to be treated as Available Principal Collections pursuant to Section 4.4(a)(viii)	 
	f.    Plus:  During an Early Amortization Period, the amount of Available Finance Charge Collections used to pay principal on the Notes pursuant to Section 4.4(a)(xiv)	 
	g.   Available Principal Collections (Deposited to Principal Account)	 
	i.    During the Revolving Period, Available Principal Collections treated as Shared Principal Collections pursuant to Section 4.4(b)	 
	ii.    During the Controlled Accumulation Period, Available Principal Collections deposited to the Principal Accumulation Account pursuant to Section 4.4(c)(i), (ii)	 
	iii.   During the Early Amortization Period, Available Principal Collections deposited to the Distribution Account pursuant to Section 4.4(c)	 
	iv.   Series Shared Principal Collections available to Group One pursuant to Section 4.4(c)(iii)	 
	v.   Principal Distributions pursuant to Section 4.4(e) in order of priority	 
	a.   Principal paid to Class A Noteholders	 
	b.   Principal paid to Class B Noteholders	 
	c.   Principal paid to Class C Noteholders	 
	d.   Principal paid to Class D Noteholders	 
	vi.   Total Principal Collections Available to Share (Inclusive of Series 2016-1)	 
	vii.  Series Principal Shortfall	 
	viii. Shared Principal Collections allocated to this Series from other Series	 

 

    	 	Exhibit B (Page 10)	 

     

    

 

	XIII.     Series 2016-1 Accumulation	 
	a.   Controlled Accumulation Period Length in months (scheduled)	 
	b.   Controlled Accumulation Amount	 
	c.   Controlled Deposit Amount	 
	d.   Accumulation Shortfall	 
	e.   Principal Accumulation Account Balance	 
	i.    Beginning of Interest Period	 
	ii.    Controlled Deposit Amount	 
	iii.   Withdrawal for Principal Payment	 
	iv.   As of Payment Date	 
	 	 
	XIV.     Reserve Account Funding (Section references relate to Indenture Supplement)	 
	a.   Reserve Account Funding Date (scheduled)	 
	b.   Required Reserve Account Amount (0.50% of Note Principal Balance beginning on Reserve Account Funding Date)	 
	c.   Beginning Available Reserve Account Amount	 
	d.   Reserve Draw Amount	 
	e.   Deposit pursuant to 4.4(a)(ix) the excess of b. over c.	 
	f.    Withdrawal for Reserve Account Surplus paid to Transferor pursuant to Section 4.10(d)	 
	g.   Withdrawal for Reserve Account Surplus paid to Transferor pursuant to Section 4.10(e)	 
	h.   Ending Available Reserve Account Amount	 
	 	 
	XV.     Spread Account Funding (Section references relate to Indenture Supplement)	 
	a.   Spread Account Percentage	 
	b.   Required Spread Account Amount	 
	c.   Beginning Available Spread Account Amount	 
	d.   Withdrawal pursuant to 4.11(a) – Section 4.4(a)(vi) Shortfall	 
	e.   Withdrawal pursuant to 4.11(b) – Class D Expected Principal Payment Date	 
	f.    Withdrawal pursuant to 4.11(c) – Early Amortization Event	 
	g.   Withdrawal pursuant to 4.11(d) – Event of Default	 
	h.   Deposit pursuant to 4.4(a)(x) – Spread Account Deficiency	 

 

    	 	Exhibit B (Page 11)	 

     

    

 

	i.    Withdrawal pursuant to 4.11(f) – Spread Account Surplus Amount	 
	j.    Ending Available Spread Account Amount	 

 

	XVI.     Series Early Amortization Events	 
	a.   The Free Equity Amount is less than the Minimum Free Equity Amount	 
	Free Equity:	 
	i.    Free Equity Amount	 
	ii.   Minimum Free Equity Amount	 
	iii.  Excess Free Equity Amount	 
	b.   The Note Trust Principal Balance is less than the Required Principal Balance Note Trust Principal Balance:	 
	i.    Note Trust Principal Balance	 
	ii.   Required Principal Balance	 
	iii.  Excess Principal Balance	 
	c.   The three-month Average Portfolio Yield is less than three-month average Base Rate Portfolio Yield:	 
	i.    Three month Average Portfolio Yield	 
	ii.   Three month Average Base Rate	 
	iii.  Three Month Average Excess Spread	 
	d.   The Note Principal Balance is outstanding beyond the Expected Principal Payment Date	 
	i.    Expected Principal Payment Date	 
	ii.   Current Payment Date	 
	e.   Are there any material modifications, extensions or waivers to pool asset terms, fees, penalties or payments?	 
	f.    Are there any material breaches or pool of assets representations and warranties or covenants?	 
	g.   Are there any material changes in criteria used to originate, acquire, or select new pool assets?	 
	h.   Has an early amortization event occurred?	 

  

IN WITNESS WHEREOF, the
undersigned has duly executed this Monthly Noteholder’s Statement as of the ___ day of _____________.

 

	 	SYNCHRONY FINANCIAL, as Servicer
	 	 
	 	By:	 
	 	Name:
	 	Title:

 

    	 	Exhibit B (Page 12)	 

     

    

  

SCHEDULE I

PERFECTION REPRESENTATIONS, WARRANTIES

AND COVENANTS (WITH RESPECT TO RECEIVABLES)

 

(a)          In
addition to the representations, warranties and covenants contained in the Indenture, the Issuer hereby represents, warrants and
covenants to the Indenture Trustee as follows as of the Closing Date:

 

(1)         The
Indenture creates a valid and continuing security interest (as defined in the applicable UCC) in the Receivables in favor of the
Indenture Trustee, which security interest is prior to all other Liens, and is enforceable as such against creditors of and purchasers
from the Issuer.

 

(2)         The
Receivables constitute either “accounts” or “general intangibles” within the meaning of the applicable
UCC.

 

(3)         The
Issuer owns and has good and marketable title to the Receivables free and clear of any Lien, claim or encumbrance of any Person.

 

(4)         There
are no consents or approvals required for the pledge of the Receivables to the Indenture Trustee pursuant to the Indenture.

 

(5)         The
Issuer (or the Administrator on behalf of the Issuer) has caused the filing of all appropriate financing statements in the proper
filing office in the appropriate jurisdictions under applicable law in order to perfect the security interest granted to the Indenture
Trustee under the Indenture in the Receivables.

 

(6)         Other
than the pledge of the Receivables to the Indenture Trustee pursuant to the Indenture, the Issuer has not pledged, assigned, sold,
granted a security interest in, or otherwise conveyed the Receivables. The Issuer has not authorized the filing of and is not aware
of any financing statements against the Issuer that include a description of the Receivables, except for the financing statement
filed pursuant to the Indenture.

 

(7)         Notwithstanding
any other provision of the Indenture, the representations and warranties set forth in this Schedule I shall be continuing,
and remain in full force and effect, until such time as the Series 2016-1 Notes are retired.

 

(b)          The
Indenture Trustee covenants that it shall not, without satisfying the Rating Agency Condition, waive a breach of any representation
or warranty set forth in this Schedule I.

 

(c)          The
Issuer covenants that in order to evidence the interests of the Issuer and the Indenture Trustee under the Indenture, the Issuer
shall take such action, or execute and deliver such instruments as may be necessary or advisable (including, without limitation,
such actions as are requested by the Indenture Trustee) to maintain and perfect, as a first priority interest, the Indenture Trustee’s
security interest in the Receivables.

 

    	 	 Schedule I (Page 1)

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