Document:

Exhibit 4.2

Execution Copy

 

HARLEY-DAVIDSON
MOTORCYCLE TRUST 2007-3,

as Issuer,

and

THE
BANK OF NEW YORK TRUST COMPANY, N.A.,

not
in its individual capacity but solely in its capacity

as Indenture Trustee

INDENTURE

Dated as of August 15, 2007

Motorcycle
Contract Backed Notes

 

CROSS-REFERENCE TABLE

	
  TIA

  	
   

  	
  Indenture

  
	
  Section

  	
   

  	
  Section

  
	
  310

  	
  (a)(1)

  	
   

  	
  6.11

  
	
   

  	
  (a)(2)

  	
   

  	
  6.11

  
	
   

  	
  (a)(3)

  	
   

  	
  6.10

  
	
   

  	
  (a)(4)

  	
   

  	
  N.A.

  
	
   

  	
  (a)(5)

  	
   

  	
  6.11

  
	
   

  	
  (b)

  	
   

  	
  6.08; 6.11; 11.04

  
	
   

  	
  (c)

  	
   

  	
  N.A.

  
	
  311

  	
  (a)

  	
   

  	
  6.13

  
	
   

  	
  (b)

  	
   

  	
  6.13

  
	
   

  	
  (c)

  	
   

  	
  N.A.

  
	
  312

  	
  (a)

  	
   

  	
  7.01; 7.02

  
	
   

  	
  (b)

  	
   

  	
  7.02

  
	
   

  	
  (c)

  	
   

  	
  7.02

  
	
  313

  	
  (a)

  	
   

  	
  7.04

  
	
   

  	
  (b)

  	
   

  	
  7.04

  
	
   

  	
  (c)

  	
   

  	
  7.04

  
	
   

  	
  (d)

  	
   

  	
  7.04

  
	
  314

  	
  (a)

  	
   

  	
  7.03

  
	
   

  	
  (b)

  	
   

  	
  3.06

  
	
   

  	
  (c)(1)

  	
   

  	
  2.02; 6.02; 11.01

  
	
   

  	
  (c)(2)

  	
   

  	
  11.01

  
	
   

  	
  (c)(3)

  	
   

  	
  11.01

  
	
   

  	
  (d)

  	
   

  	
  11.01

  
	
   

  	
  (e)

  	
   

  	
  11.01

  
	
   

  	
  (f)

  	
   

  	
  N.A.

  
	
  315

  	
  (a)

  	
   

  	
  6.01

  
	
   

  	
  (b)

  	
   

  	
  6.05

  
	
   

  	
  (c)

  	
   

  	
  6.01

  
	
   

  	
  (d)

  	
   

  	
  5.12; 6.01

  
	
   

  	
  (e)

  	
   

  	
  5.14

  
	
  316

  	
  (a)(1)(A)

  	
   

  	
  5.12

  
	
   

  	
  (a)(1)(B)

  	
   

  	
  5.02

  
	
   

  	
  (a)(2)

  	
   

  	
  N.A.

  
	
   

  	
  (b)

  	
   

  	
  5.08

  
	
   

  	
  (c)

  	
   

  	
  N.A.

  
	
  317

  	
  (a)

  	
   

  	
  5.03; 5.04

  
	
   

  	
  (b)

  	
   

  	
  3.03

  
	
  318

  	
  (a)

  	
   

  	
  11.18

  

 

*           N.A. means Not Applicable

*           This Cross-Reference Table shall not, for any
purpose, be deemed to be a part of the Indenture.

 i
 

TABLE OF CONTENTS

	
  

  	
   

  	
   

  	
  Page

  
	
   ARTICLE ONE

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  DEFINITIONS AND
  INCORPORATION BY REFERENCE

  	
  2

  	
   

  
	
   

  	
   

  	
   

  
	
  Section 1.01.

  	
   

  	
  Definitions

  	
  2

  	
   

  
	
  Section 1.02.

  	
   

  	
  Incorporation by Reference of
  Trust Indenture Act

  	
  9

  	
   

  
	
  Section 1.03.

  	
   

  	
  Rules of Construction

  	
  9

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE TWO

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  THE NOTES

  	
  10

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 2.01.

  	
   

  	
  Form

  	
  10

  	
   

  
	
  Section 2.02.

  	
   

  	
  Execution, Authentication and
  Delivery

  	
  10

  	
   

  
	
  Section 2.03.

  	
   

  	
  Temporary Notes

  	
  11

  	
   

  
	
  Section 2.04.

  	
   

  	
  Registration; Registration of
  Transfer and Exchange

  	
  11

  	
   

  
	
  Section 2.05.

  	
   

  	
  Mutilated, Destroyed, Lost or
  Stolen Notes

  	
  13

  	
   

  
	
  Section 2.06.

  	
   

  	
  Persons Deemed Owner

  	
  13

  	
   

  
	
  Section 2.07.

  	
   

  	
  Payment of Principal and
  Interest; Defaulted Interest

  	
  14

  	
   

  
	
  Section 2.08.

  	
   

  	
  Cancellation

  	
  14

  	
   

  
	
  Section 2.09.

  	
   

  	
  Book-Entry Notes

  	
  15

  	
   

  
	
  Section 2.10.

  	
   

  	
  Notices to Clearing Agency

  	
  15

  	
   

  
	
  Section 2.11.

  	
   

  	
  Definitive Notes

  	
  15

  	
   

  
	
  Section 2.12.

  	
   

  	
  Release of Collateral

  	
  16

  	
   

  
	
  Section 2.13.

  	
   

  	
  Tax Treatment

  	
  16

  	
   

  
	
  Section 2.14.

  	
   

  	
  Calculation Agent

  	
  16

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE THREE

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  COVENANTS

  	
  17

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 3.01.

  	
   

  	
  Payment of Principal and
  Interest

  	
  17

  	
   

  
	
  Section 3.02.

  	
   

  	
  Maintenance of Office or Agency

  	
  17

  	
   

  
	
  Section 3.03.

  	
   

  	
  Money for Payments to be Held
  in Trust

  	
  17

  	
   

  
	
  Section 3.04.

  	
   

  	
  Existence

  	
  19

  	
   

  
	
  Section 3.05.

  	
   

  	
  Protection of Collateral

  	
  19

  	
   

  
	
  Section 3.06.

  	
   

  	
  Opinions as to Collateral

  	
  20

  	
   

  
	
  Section 3.07.

  	
   

  	
  Performance of Obligations;
  Servicing of Contracts

  	
  20

  	
   

  
	
  Section 3.08.

  	
   

  	
  Negative Covenants

  	
  20

  	
   

  
	
  Section 3.09.

  	
   

  	
  Annual Statement as to
  Compliance

  	
  21

  	
   

  
	
  Section 3.10.

  	
   

  	
  Issuer May Consolidate, etc.
  Only on Certain Terms

  	
  21

  	
   

  
	
  Section 3.11.

  	
   

  	
  Successor or Transferee

  	
  23

  	
   

  
	
  Section 3.12.

  	
   

  	
  No Other Business

  	
  23

  	
   

  
	
  Section 3.13.

  	
   

  	
  No Borrowing

  	
  23

  	
   

  
	
  Section 3.14.

  	
   

  	
  Servicer’s Obligations

  	
  23

  	
   

  
	
  Section 3.15.

  	
   

  	
  Guarantees, Loans Advances and
  Other Liabilities

  	
  23

  	
   

  
	
  Section 3.16.

  	
   

  	
  Capital Expenditures

  	
  24

  	
   

  
	
  Section 3.17.

  	
   

  	
  Restricted Payments

  	
  24

  	
   

  
	
  Section 3.18.

  	
   

  	
  Notice of Events of Default

  	
  24

  	
   

  
									

 

 ii
 

 

	
  Section 3.19.

  	
   

  	
  Further Instruments and Acts

  	
  24

  	
   

  
	
  Section 3.20.

  	
   

  	
  Compliance with Laws

  	
  24

  	
   

  
	
  Section 3.21.

  	
   

  	
  Amendments of Sale and
  Servicing Agreement and Trust Agreement

  	
  24

  	
   

  
	
  Section 3.22.

  	
   

  	
  Removal of Administrator

  	
  24

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE FOUR

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  SATISFACTION AND DISCHARGE

  	
  24

  	
   

  
	
   

  	
   

  	
   

  
	
  Section 4.01.

  	
   

  	
  Satisfaction and Discharge of
  Indenture

  	
  24

  	
   

  
	
  Section 4.02.

  	
   

  	
  Application of Trust Money

  	
  25

  	
   

  
	
  Section 4.03.

  	
   

  	
  Repayment of Moneys Held by
  Paying Agent

  	
  26

  	
   

  
	
  Section 4.04.

  	
   

  	
  Release of Collateral

  	
  26

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE FIVE

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  REMEDIES

  	
  26

  	
   

  
	
   

  	
   

  	
   

  
	
  Section 5.01.

  	
   

  	
  Events of Default

  	
  26

  	
   

  
	
  Section 5.02.

  	
   

  	
  Rights Upon Event of Default

  	
  27

  	
   

  
	
  Section 5.03.

  	
   

  	
  Collection of Indebtedness and
  Suits for Enforcement by Indenture Trustee; Authority of Indenture Trustee

  	
  27

  	
   

  
	
  Section 5.04.

  	
   

  	
  Remedies

  	
  29

  	
   

  
	
  Section 5.05.

  	
   

  	
  Optional Preservation of the
  Contracts

  	
  30

  	
   

  
	
  Section 5.06.

  	
   

  	
  Priorities

  	
  30

  	
   

  
	
  Section 5.07.

  	
   

  	
  Limitation of Suits

  	
  30

  	
   

  
	
  Section 5.08.

  	
   

  	
  Unconditional Rights of
  Noteholders to Receive Principal and Interest

  	
  31

  	
   

  
	
  Section 5.09.

  	
   

  	
  Restoration of Rights and
  Remedies

  	
  31

  	
   

  
	
  Section 5.10.

  	
   

  	
  Rights and Remedies Cumulative

  	
  31

  	
   

  
	
  Section 5.11.

  	
   

  	
  Delay or Omission Not a Waiver

  	
  31

  	
   

  
	
  Section 5.12.

  	
   

  	
  Control by Noteholders

  	
  31

  	
   

  
	
  Section 5.13.

  	
   

  	
  Waiver of Past Defaults

  	
  32

  	
   

  
	
  Section 5.14.

  	
   

  	
  Undertaking for Costs

  	
  32

  	
   

  
	
  Section 5.15.

  	
   

  	
  Waiver of Stay or Extension
  Laws

  	
  32

  	
   

  
	
  Section 5.16.

  	
   

  	
  Action on Notes

  	
  33

  	
   

  
	
  Section 5.17.

  	
   

  	
  Performance and Enforcement of
  Certain Obligations

  	
  33

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE SIX

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  THE INDENTURE TRUSTEE

  	
  33

  	
   

  
	
   

  	
   

  	
   

  
	
  Section 6.01.

  	
   

  	
  Duties of Indenture Trustee

  	
  33

  	
   

  
	
  Section 6.02.

  	
   

  	
  Rights of Indenture Trustee

  	
  34

  	
   

  
	
  Section 6.03.

  	
   

  	
  Individual Rights of Indenture
  Trustee

  	
  35

  	
   

  
	
  Section 6.04.

  	
   

  	
  Indenture Trustee’s Disclaimer

  	
  35

  	
   

  
	
  Section 6.05.

  	
   

  	
  Notice of Defaults

  	
  36

  	
   

  
	
  Section 6.06.

  	
   

  	
  Reports by Indenture Trustee to
  Holders

  	
  36

  	
   

  
	
  Section 6.07.

  	
   

  	
  Compensation and Indemnity

  	
  36

  	
   

  
	
  Section 6.08.

  	
   

  	
  Replacement of Indenture
  Trustee

  	
  36

  	
   

  
							

 

 iii
 

 

	
  Section 6.09.

  	
   

  	
  Successor Indenture Trustee by
  Merger

  	
  37

  	
   

  
	
  Section 6.10.

  	
   

  	
  Appointment of Co-Indenture
  Trustee or Separate Indenture Trustee

  	
  38

  	
   

  
	
  Section 6.11.

  	
   

  	
  Eligibility

  	
  39

  	
   

  
	
  Section 6.12.

  	
   

  	
  Pennsylvania Motor Vehicle
  Sales Finance Act Licenses

  	
  40

  	
   

  
	
  Section 6.13.

  	
   

  	
  Preferential Collection of
  Claims Against Issuer

  	
  40

  	
   

  
	
  Section 6.14.

  	
   

  	
  Representations and Warranties
  of Indenture Trustee

  	
  40

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE SEVEN

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  NOTEHOLDERS’ LISTS AND
  REPORTS

  	
  41

  	
   

  
	
   

  	
   

  	
   

  
	
  Section 7.01.

  	
   

  	
  Issuer to Furnish Indenture
  Trustee Names and Addresses of Noteholders

  	
  41

  	
   

  
	
  Section 7.02.

  	
   

  	
  Preservation of Information:
  Communication to Noteholders

  	
  41

  	
   

  
	
  Section 7.03.

  	
   

  	
  Reports by Issuer

  	
  41

  	
   

  
	
  Section 7.04.

  	
   

  	
  Reports by Indenture Trustee

  	
  42

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE EIGHT

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ACCOUNTS, DISBURSEMENTS AND
  RELEASES

  	
  42

  	
   

  
	
   

  	
   

  	
   

  
	
  Section 8.01.

  	
   

  	
  Collection of Money

  	
  42

  	
   

  
	
  Section 8.02.

  	
   

  	
  Trust Accounts

  	
  42

  	
   

  
	
  Section 8.03.

  	
   

  	
  General Provisions Regarding
  Accounts

  	
  43

  	
   

  
	
  Section 8.04.

  	
   

  	
  Release of Collateral

  	
  43

  	
   

  
	
  Section 8.05.

  	
   

  	
  Opinion of Counsel

  	
  44

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE NINE

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  SUPPLEMENTAL INDENTURES

  	
  44

  	
   

  
	
   

  	
   

  	
   

  
	
  Section 9.01.

  	
   

  	
  Supplemental Indentures Without
  Consent of Noteholders

  	
  44

  	
   

  
	
  Section 9.02.

  	
   

  	
  Supplemental Indentures With
  Consent of Noteholders and the Swap Counterparty

  	
  45

  	
   

  
	
  Section 9.03.

  	
   

  	
  Execution of Supplemental
  Indentures

  	
  47

  	
   

  
	
  Section 9.04.

  	
   

  	
  Effect of Supplemental
  Indenture

  	
  47

  	
   

  
	
  Section 9.05.

  	
   

  	
  Conformity With Trust Indenture
  Act

  	
  47

  	
   

  
	
  Section 9.06.

  	
   

  	
  Reference in Notes to
  Supplemental Indentures

  	
  47

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE TEN

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  REDEMPTION OF NOTES

  	
  47

  	
   

  
	
   

  	
   

  	
   

  
	
  Section 10.01.

  	
   

  	
  Redemption

  	
  47

  	
   

  
	
  Section 10.02.

  	
   

  	
  Form of Redemption Notice

  	
  48

  	
   

  
	
  Section 10.03.

  	
   

  	
  Notes Payable on Redemption
  Date

  	
  48

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE ELEVEN

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  MISCELLANEOUS

  	
  49

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Section 11.01.

  	
   

  	
  Compliance Certificates and
  Opinions, etc.

  	
  49

  	
   

  
								

 

 iv
 

 

	
  Section 11.02.

  	
   

  	
  Form of Documents Delivered to
  Indenture Trustee

  	
  50

  	
   

  
	
  Section 11.03.

  	
   

  	
  Acts of Noteholders and the
  Swap Counterparty

  	
  51

  	
   

  
	
  Section 11.04.

  	
   

  	
  Notices

  	
  51

  	
   

  
	
  Section 11.05.

  	
   

  	
  Notices to Noteholders; Waiver

  	
  51

  	
   

  
	
  Section 11.06.

  	
   

  	
  Alternate Payment and Notice
  Provisions

  	
  52

  	
   

  
	
  Section 11.07.

  	
   

  	
  Effect of Headings and Table of
  Contents

  	
  52

  	
   

  
	
  Section 11.08.

  	
   

  	
  Successors and Assigns

  	
  52

  	
   

  
	
  Section 11.09.

  	
   

  	
  Separability

  	
  52

  	
   

  
	
  Section 11.10.

  	
   

  	
  Benefits of Indenture

  	
  52

  	
   

  
	
  Section 11.11.

  	
   

  	
  Legal Holidays

  	
  53

  	
   

  
	
  Section 11.12.

  	
   

  	
  Governing Law

  	
  53

  	
   

  
	
  Section 11.13.

  	
   

  	
  Counterparts

  	
  53

  	
   

  
	
  Section 11.14.

  	
   

  	
  Recording of Indenture

  	
  53

  	
   

  
	
  Section 11.15.

  	
   

  	
  Trust Obligation

  	
  53

  	
   

  
	
  Section 11.16.

  	
   

  	
  No Petition

  	
  53

  	
   

  
	
  Section 11.17.

  	
   

  	
  Inspection

  	
  53

  	
   

  
	
  Section 11.18.

  	
   

  	
  Conflict with Trust Indenture Act

  	
  54

  	
   

  
	
  Section 11.19.

  	
   

  	
  Disclaimer and Subordination

  	
  54

  	
   

  
	
  Section 11.20.

  	
   

  	
  Limitation of Rights

  	
  54

  	
   

  

 

	
  EXHIBITS

  	
   

  	
   

  	
   

  	
  Page

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit A-1 -

  	
   

  	
  Form of Class A-1 Note

  	
   

  	
  A-1-1

  
	
  Exhibit A-2a -

  	
   

  	
  Form of Class A-2a Note

  	
   

  	
  A-2a-1

  
	
  Exhibit A-2b -

  	
   

  	
  Form of Class A-2b Note

  	
   

  	
  A-2b-1

  
	
  Exhibit A-3 -

  	
   

  	
  Form of Class A-3 Note

  	
   

  	
  A-3-1

  
	
  Exhibit A-4 -

  	
   

  	
  Form of Class A-4 Note

  	
   

  	
  A-4-1

  
	
  Exhibit A-5 -

  	
   

  	
  Form of Class B Note

  	
   

  	
  A-5-1

  
	
  Exhibit A-6 -

  	
   

  	
  Form of Class C Note

  	
   

  	
  A-6-1

  
	
  Exhibit B -

  	
   

  	
  Form of Assignment

  	
   

  	
  B-1

  
	
  Exhibit C -

  	
   

  	
  Form of Note Depository Agreement

  	
   

  	
  C-1

  

 

 v

INDENTURE

Indenture, dated as of
August 15, 2007 (this “Indenture”), between Harley-Davidson Motorcycle Trust
2007-3, a Delaware statutory trust (the “Issuer”) and The Bank of New York
Trust Company, N.A., in its capacity as indenture trustee (the “Indenture
Trustee”) and not in its individual capacity.

Each party agrees as follows
for the benefit of the other parties and for the equal and ratable benefit of
the Holders of the Issuer’s Notes.

GRANTING CLAUSE

The Issuer hereby grants,
transfers, assigns and otherwise conveys to the Indenture Trustee on the
Closing Date, on behalf of and for the benefit of the Holders of the Notes,
without recourse, all of the Issuer’s right, title and interest (exclusive of
the amount, if any, allocable to any rebatable insurance premium financed by
any Contract) in, to and under: (i) the Contracts secured by the Motorcycles
(which Contracts shall be listed in the List of Contracts); (ii) certain monies
due under the Contracts after the Cutoff Date, including, without limitation,
all payments of principal and interest with respect to any Motorcycles to which
a Contract relates received after the Cutoff Date and all other proceeds
received on or in respect of such Contracts (other than payments of principal
and interest due on or prior to the Cutoff Date); (iii) security interests in
the Motorcycles; (iv) amounts on deposit in the Collection Account, the Note
Distribution Account, the Reserve Fund and the Yield Supplement Account,
including all Eligible Investments therein and all income from the investment
of funds therein and all proceeds therefrom; (v) proceeds from claims under
certain insurance policies, debt insurance policies or debt cancellation
agreements in respect of individual Motorcycles or obligors under the Contracts;
(vi) its rights under the Sale and Servicing Agreement; (vii) the protective
security interest in certain of the above-described property granted by the
Trust Depositor in favor of the Issuer; (viii) all present and future claims,
demands, causes of and choses in action in respect of any or all of the
foregoing; (ix) all rights to certain rebates of premiums and other amounts
relating to insurance policies, debt cancellation agreements, extended service
contracts or other repair agreements and other items financed under such
Contracts, (x) all rights of the Issuer under the Interest Rate Swap Agreement,
and (xi) all payments on or under and all proceeds of every kind and nature
whatsoever in respect of any or all of the foregoing, including all proceeds of
the conversion, voluntary or involuntary, into cash of other liquid property,
all cash proceeds, accounts, accounts receivable, notes, drafts, acceptances,
chattel paper, checks, deposit accounts, insurance proceeds, condemnation
awards, rights to payment of any and every kind and other forms of obligations
and receivables, instruments and other property which at any time constitute
all or part of or are included in the proceeds of any of the foregoing (as each
such defined term is defined in Section 1.01) (collectively, the “Collateral”).

The foregoing Grant is made
in trust to secure the payment of principal of and interest on, and any other
amounts owing in respect of, the Notes, and amounts payable by the Issuer to
the Swap Counterparty under the Interest Rate Swap Agreement, equally and
ratably without prejudice, priority or distinction, except for the
subordination of the Class B Notes and Class C Notes provided herein and all
other sums owing by the Issuer hereunder or under any other Transaction Document,
and to secure compliance with the provisions of this Indenture, all as provided
in this Indenture.

The Indenture Trustee, as
Indenture Trustee on behalf of the Holders of the Notes and the Swap
Counterparty, acknowledges such Grant, accepts the trust under this Indenture
in accordance

with the provisions of this Indenture and agrees to
perform its duties required in this Indenture in accordance with its terms and
the terms of the other Transaction Documents to which it is a party.

ARTICLE ONE

DEFINITIONS AND INCORPORATION BY REFERENCE

Section
1.01.        Definitions.

(a)           Except as otherwise specified herein or as the context may otherwise
require, capitalized terms used but not otherwise defined herein shall have the
meanings ascribed thereto in the Sale and Servicing Agreement and the following
terms have the respective meanings set forth below for all purposes of this
Indenture.

“Act” shall have the meaning specified in Section 11.03(a).

“Administration Agreement” means the Administration Agreement, dated as of the date hereof, among
the Administrator, the Issuer, the Trust Depositor and the Indenture Trustee.

“Administrator”
means Harley-Davidson Credit Corp. or any successor Administrator under the
Administration Agreement.

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

“Authorized Officer” means, with respect to the Issuer, any officer of the Owner Trustee
who is authorized to act for the Owner Trustee in matters relating to the
Issuer and who is identified on the list of Authorized Officers delivered by
the Owner Trustee to the Indenture Trustee on the Closing Date (as such list
may be modified or supplemented from time to time thereafter) and, so long as
the Administration Agreement is in effect, any Vice President or more senior
officer of the Administrator who is authorized to act for the Administrator in
matters relating to the Issuer and to be acted upon by the Administrator
pursuant to the Administration Agreement and who is identified on the list of
Authorized Officers delivered by the Administrator to the Indenture Trustee on
the Closing Date (as such list may be modified or supplemented from time to
time thereafter).

“Book Entry Notes” means a beneficial interest in the Notes, ownership and transfers of
which shall be made through book entries by a Clearing Agency as described in
Section 2.09.

“Business Day”
means any day other than a Saturday, Sunday or other day on which banking
institutions in  the city of Chicago,
Illinois, Wilmington, Delaware or New York, New York are authorized or
obligated by law, executive order or governmental decree to be closed.

“Certificate of Trust” means the Certificate of Trust of the Issuer substantially in the form
of Exhibit A to the Trust Agreement.

“Class” means
all Notes whose form is identical except for variation in denomination,
principal amount or owner.

 2
 

“Class A-1 Final Distribution Date” has the meaning set forth in the Sale and
Servicing Agreement.

“Class A-1 Notes” means the Class A-1 Notes, substantially in the form of Exhibit A-1.

“Class A-1 Rate”
has the meaning set forth in the Sale and Servicing Agreement.

“Class A-2 Final Distribution Date” has the meaning set forth in the Sale and
Servicing Agreement.

“Class A-2 Notes” means the Class A-2a Notes and the Class A-2b Notes.

“Class A-2a Notes” means the Class A-2a Notes, substantially in the form of Exhibit A-2a.

“Class A-2a Rate” has the meaning set forth in the Sale and Servicing Agreement.

“Class A-2b Notes” means the Class A-2b Notes, substantially in the form of Exhibit A-2b.

“Class A-2b Rate” has the meaning set forth in the Sale and Servicing Agreement.

 “Class A-3 Final Distribution
Date” has the meaning
set forth in the Sale and Servicing Agreement.

“Class A-3 Notes” means the Class A-3 Notes, substantially in the form of Exhibit A-3.

“Class A-3 Rate”
has the meaning set forth in the Sale and Servicing Agreement.

“Class A-4 Final Distribution Date” has the meaning set forth in the Sale and
Servicing Agreement.

“Class A-4 Notes” means the Class A-4 Notes, substantially in the form of Exhibit A-4.

“Class A-4 Rate”
has the meaning set forth in the Sale and Servicing Agreement.

“Class B Final Distribution Date” has the meaning set forth in the Sale and
Servicing Agreement.

“Class B Notes”
means the Class B Notes, substantially in the form of Exhibit A-5.

“Class B Rate”
has the meaning set forth in the Sale and Servicing Agreement.

“Class C Final Distribution Date” has the meaning set forth in the Sale and
Servicing Agreement.

“Class C Notes”
means the Class C Notes, substantially in the form of Exhibit A-6.

“Class C Rate”
has the meaning set forth in the Sale and Servicing Agreement.

“Clearing Agency” means an organization registered as a “clearing agency” pursuant to
Section 17A of the Exchange Act.

 3
 

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

“Closing Date” has the meaning set forth in the Sale and
Servicing Agreement.

“Code” means the Internal Revenue Code of 1986, as amended.

“Collateral” means the Collateral Granted to the Indenture
Trustee under this Indenture, including all proceeds thereof.

“Commission” means the Securities and Exchange
Commission.

“Controlling Class” has the meaning set forth in the Sale and Servicing
Agreement.

“Corporate Trust Office” means the office of the Indenture Trustee at which at any particular
time its corporate trusts business shall be administered which office at date
of the execution of this Indenture is located at 2 North LaSalle Street, Suite
1020, Chicago, Illinois 60602, Attention: Corporate Trust Administration; or at
such other address as the Indenture Trustee may designate from time to time by
notice to the Noteholders, the Swap Counterparty and the Issuer, or the principal
corporate trust office of any successor Indenture Trustee (the address of which
the successor Indenture Trustee will notify the Noteholders, the Swap
Counterparty and the Issuer).

“Default”
means any occurrence that is, or with notice or the lapse of time or both would
become, an Event of Default.

“Definitive Notes” shall have the meaning specified in Section
2.09.

“Distribution Date” has the meaning set forth in the Sale and Servicing Agreement.

“DTC” means The Depository Trust Company, and its
successors and assigns.

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

“Event of Default” shall have the meaning specified in Section
5.01.

“Exchange Act” means the Securities Exchange Act of 1934,
as amended.

“Executive Officer” means, with respect to any corporation, the Chief Executive Officer,
Chief Operating Officer, Chief Financial Officer, President, Executive Vice
President, any Vice President, the Secretary or the Treasurer of such
corporation; and with respect to any partnership, any general partner thereof.

“Floating Rate Notes” has the meaning set forth in the Sale and
Servicing Agreement.

“Grant” means
mortgage, pledge, bargain, sell, warrant, alienate, remise, release, convey,
assign, transfer, create and grant a lien upon and a security interest in and
right of set-off against, deposit, set over and confirm pursuant to this
Indenture.  A Grant of the Collateral or
of any other agreement or instrument shall include all rights, powers and
options (but none of the obligations) of the granting party thereunder,
including the immediate and continuing right to claim for, collect, receive and
give receipt for principal and interest payments in respect of the Collateral
and all other moneys payable thereunder, to give and receive notices and other
communications, to make waivers

 4
 

or other agreements, to exercise all rights and options, to bring
Proceedings in the name of the granting party or otherwise and generally to do
and receive anything that the granting party is or may be entitled to do or
receive thereunder or with respect thereto.

“Harley-Davidson Credit” means Harley-Davidson Credit Corp., and its successors and assigns.

“Holder” or “Noteholder” or “Note Owner”
means, with respect to a Book-Entry Note, the Person who is the owner of such
Book-Entry Note, as reflected on the books of the Clearing Agency, or on the
books of a Person maintaining an account with such Clearing Agency (directly as
a Clearing Agency participant or as an indirect participant, in each case in
accordance with the rules of such Clearing Agency) and with respect to a
Definitive Note the Person in whose name a Note is registered on the Note
Register.

“Indebtedness”
means, with respect to any Person at any time, (i) indebtedness or liability of
such Person for borrowed money whether or not evidenced by bonds, debentures,
notes or other instruments, or for the deferred purchase price of property or
services (including trade obligations); (ii) obligations of such Person as
lessee under leases which should have been or should be, in accordance with
generally accepted accounting principles, recorded as capital leases; (iii)
current liabilities of such Person in respect of unfunded vested benefits under
plans covered by Title IV of ERISA; (iv) obligations issued for or liabilities
incurred on the account of such Person; (v) obligations or liabilities of such
Person arising under acceptance facilities; (vi) obligations of such Person
under any guaranties, endorsements (other than for collection or deposit in the
ordinary course of business) and other contingent obligations to purchase, to
provide funds for payment, to supply funds to invest in any Person or otherwise
to assure a creditor against loss; (vii) obligations of such Person secured by
any lien on property or assets of such Person, whether or not the obligations
have been assumed by such Person; or (viii) obligations of such Person under
any interest rate or currency exchange agreement.

“Indenture”
means this Indenture, as amended or supplemented from time to time.

“Indenture Securities” means the Notes.

“Indenture Security Holder” means a Noteholder.

“Indenture Trustee” means The Bank of New York Trust Company, N.A., as Indenture Trustee
under this Indenture, or any successor Indenture Trustee under this Indenture.

“Independent”
means, when used with respect to any specified Person, that the Person (i) is
in fact independent of the Issuer, any other obligor upon the Notes, the Trust
Depositor, the Seller and any of their respective Affiliates, (ii) does not have
any direct financial interest or any material indirect financial interest in
the Issuer, any such other obligor, the Seller or any of their respective
Affiliates, and (iii) is not connected with the Issuer, any such other obligor,
the Seller or any Affiliate of any of the foregoing Persons as an officer,
employee, promoter, underwriter, trustee, partner, director or person
performing similar functions.

“Independent Certificate” means a certificate or opinion to be delivered to the Indenture
Trustee under the circumstances described in, and otherwise complying with, the
applicable requirements of Section 11.01, made by an Independent appraiser or
other expert appointed by an Issuer Order and approved by the Indenture Trustee
in the exercise of reasonable care, and such

 5
 

opinion or certificate shall state that the signer has read the
definition of “Independent” in this Indenture
and that the signer is Independent within the meaning thereof.

“Interest Rate”
means the Class A-1 Rate, the Class A-2a Rate, the Class A-2b Rate, the Class
A-3 Rate, the Class A-4 Rate, the Class B Rate and/or the Class C Rate, as
applicable.

“Issuer”
means Harley-Davidson Motorcycle Trust 2007-3 until a successor replaces it
and, thereafter, means the successor and, for purposes of any provision
contained herein and required by the TIA, each other obligor on the Notes.

“Issuer Order”
and “Issuer Request” means a written order
or request signed in the name of the Issuer by any one of its Authorized
Officers and delivered to the Indenture Trustee.

 “Note” means, as the context requires, a Class A-1
Note, a Class A-2a Note, a Class A-2b Note, a Class A-3 Note, a Class A-4 Note,
a Class B Note or a Class C Note.

“Note Depository Agreement” means the agreement dated as of the Closing Date, between the Issuer
and DTC, as the initial Clearing Agency, relating to the Notes, substantially
in the form of Exhibit C hereto.

“Note Register”
and “Note Registrar” have the respective
meanings specified in Section 2.04.

“Officer’s Certificate” means a certificate signed by any Authorized Officer of the Issuer,
under the circumstances described in, and otherwise complying with, the
applicable requirements of Section 11.01, and delivered to, the Indenture
Trustee.  Unless otherwise specified, any
reference in this Indenture to an Officer’s Certificate shall be to an Officer’s
Certificate of any Authorized Officer of the Issuer.

“Opinion of Counsel” means one or more written opinions of counsel who may, except as
otherwise expressly provided in this Indenture, be employees of or counsel to
the Issuer and who shall be satisfactory to the Indenture Trustee and which
shall comply with any applicable requirements of Section 11.01, and shall be in
form and substance satisfactory to the Indenture Trustee.

“Outstanding”
means, as of the date of determination, all Notes theretofore authenticated and
delivered under this Indenture except:

(i)            Notes theretofore cancelled by the Note
Registrar or delivered to the Note Registrar for cancellation;

(ii)           Notes or portions thereof the payment for which money in the necessary
amount has been theretofore deposited with the Indenture Trustee or any Paying
Agent in trust for the Holders of such Notes (provided,
however, that if such Notes are to be redeemed, notice of such redemption
has been duly given pursuant to this Indenture or provision for such notice has
been made, satisfactory to the Indenture Trustee, has been made); and

(iii)          Notes in exchange for or in lieu of other Notes which have been
authenticated and delivered pursuant to this Indenture unless proof
satisfactory to the

 6
 

Indenture
Trustee is presented that any such Notes are held by a protected purchaser,
within the meaning of § 8-303 of the UCC;

provided,
however, that in
determining whether the Holders of the requisite Outstanding Amount have given
any request, demand, authorization, direction, notice, consent or waiver
hereunder or under any other Transaction Document, Notes owned by the Issuer,
any other obligor upon the Notes, the Trust Depositor, Harley-Davidson Credit
or any of their respective Affiliates shall be disregarded and deemed not to be
Outstanding, except that, in determining whether the Indenture Trustee shall be
protected in relying upon any such request, demand, authorization, direction,
notice, consent or waiver, only Notes that the Indenture Trustee knows to be so
owned shall be so disregarded.  Notes so
owned that have been pledged in good faith may be regarded as Outstanding if
the pledgee establishes to the satisfaction of the Indenture Trustee the
pledgee’s right so to act with respect to such Notes and that the pledgee is
not the Issuer, any other obligor upon the Notes, the Trust Depositor,
Harley-Davidson Credit or any of their respective Affiliates.

“Outstanding Amount” means the aggregate principal amount of all Notes of one Class or of
all Classes, as the case may be, Outstanding at the date of determination.

“Owner Trustee”
means Wilmington Trust Company, not in its individual capacity but solely as
Owner Trustee under the Trust Agreement, or any successor trustee under the
Trust Agreement.

“Paying Agent” means
the Indenture Trustee or any other Person that meets the eligibility standards
for the Indenture Trustee specified in Section 6.11 and is authorized by the
Issuer to make the distributions from the Note Distribution Account, including
payment of principal of or interest on the Notes on behalf of the Issuer.

“Person”
means any individual, corporation, estate, partnership, limited liability
company, joint venture, association, joint stock company, trust (including any
beneficiary thereof), unincorporated organization or government or any agency
or political subdivision thereof.

“Plan” means
an employee benefit plan, as defined in Section 3(3) of ERISA, that is subject
to Title I of ERISA or a plan, as defined in Section 4975(e)(1) of the Code.

“Predecessor Note” means, with respect to any particular Note, every previous Note
evidencing all or a portion of the same debt as that evidenced by such
particular Note; and for the purpose of this definition, any Note authenticated
and delivered under Section 2.05 in lieu of a mutilated, lost, destroyed or
stolen Note shall be deemed to evidence the same debt as the mutilated, lost,
destroyed or stolen Note.

“Proceeding”
means any suit in equity, action at law or other judicial or administrative
proceeding.

“Rating Agency” means each of Moody’s and Standard & Poor’s.

“Rating Event” means
the qualification, reduction or withdrawal by either Rating Agency of its
then-current rating of any Class of Notes.

“Record Date” means,
with respect to a Redemption Date, the close of business on the last Business
Day of the immediately preceding month and, with respect to a Distribution
Date, the close of business on the day immediately preceding such date.

 7
 

“Redemption Date” means, in the case of a redemption of the Notes pursuant to Section
10.01(a) or a payment to Noteholders pursuant to Section 10.01(b), the
Distribution Date specified by the Servicer or the Issuer pursuant to Section
10.01(a) or 10.01(b), as the case may be.

“Redemption Date Amount” means (i) in the case of a redemption of the Notes pursuant to Section
10.01(a), an amount equal to the unpaid principal amount of the Notes redeemed
plus accrued and unpaid interest thereon at the weighted average of the
Interest Rate for each Class of Notes being so redeemed to but excluding the
Redemption Date, or (ii) in the case of a payment made to Noteholders pursuant
to Section 10.01(b), the amount on deposit in the Note Distribution Account,
but not in excess of the amount specified in clause (i) above.

“Registered Holder” means the Person in whose name a Note is registered on the Note
Register on the applicable Record Date.

“Responsible Officer” means, with respect to the Indenture Trustee, any officer within the
Corporate Trust Office (or any successor group of the Indenture Trustee),
including any Vice President, assistant secretary or other officer or assistant
officer of the Indenture Trustee customarily performing functions similar to
those performed by the people who at such time shall be officers, respectively,
or to whom any corporate trust matter is referred at the Corporate Trust Office
of the Indenture Trustee because of his knowledge of and familiarity with the
particular subject.

“Sale and Servicing Agreement” means the Sale and Servicing Agreement, dated as of the date hereof,
among the Issuer, the Trust Depositor, the Indenture Trustee and the Servicer.

“Seller”  means Harley-Davidson Credit, in its capacity
as Seller under the Transfer and Sale Agreement, and any successors and
assigns.

“Servicer” means
Harley-Davidson Credit, in its capacity as Servicer under the Sale and
Servicing Agreement, and any Successor Servicer thereunder.

“Similar Law”
means any foreign, federal, state or local law with provisions substantially
similar to Title I of ERISA or Section 4975 of the Code.

“State” means
any one of the 50 states of the United States or any of its territories, or the
District of Columbia.

“Termination Date” means the date on which the Indenture Trustee shall have received
payment and performance of all amounts and obligations which the Issuer may owe
to or on behalf of the Indenture Trustee for the benefit of the Noteholders
under this Indenture or the Notes.

“Trust Depositor” shall mean Harley-Davidson Customer Funding Corp., in its capacity as
trust depositor under the Sale and Servicing Agreement.

“Trust Indenture Act” or “TIA” means the Trust Indenture Act of
1939, as amended.

“UCC” means
the Uniform Commercial Code as in effect on the date hereof and from time to
time in the State of Illinois, provided that if by reason of mandatory
provisions of law, the perfection or the effect of perfection or non-perfection
or priority of the security interests in any collateral or the availability of
any remedy hereunder is governed by the Uniform Commercial Code as in effect on
or after the date hereof in any other jurisdiction, “UCC”
means the Uniform

 8
 

Commercial Code as in effect in such other jurisdiction for purposes of
the provisions hereof relating to such perfection or effect of perfection or
non-perfection or priority or availability of such remedy.

“United States” means the United States of America.

(b)           Except as otherwise specified herein or as the context may otherwise
require, capitalized terms used herein that are not otherwise defined shall
have the meanings ascribed thereto in the Sale and Servicing Agreement.

Section
1.02.        Incorporation by Reference
of Trust Indenture Act.  Whenever this Indenture refers to a provision
of the TIA, the provision is incorporated by reference in and made a part of
this Indenture.  The following TIA terms
used in this Indenture have the following meanings:

“Commission” means the Securities and Exchange
Commission.

“indenture securities” means the Notes.

“indenture security holder” means a Noteholder.

“indenture to be qualified” means this Indenture.

“indenture trustee” or “institutional trustee” means the
Indenture Trustee.

“obligor” on
the indenture securities means the Issuer and any other obligor on the indenture
securities.

All
other TIA terms used in this Indenture that are defined by the TIA, defined by
TIA reference to another statute or defined by Commission rule have the meaning
assigned to them by such definitions.

Section
1.03.        Rules of Construction.  Unless the context otherwise requires:

(i)            a term has the meaning assigned to it;

(ii)           an accounting term not otherwise defined has the meaning assigned to it
in accordance with generally accepted accounting principles as in effect from
time to time;

(iii)          “or” is not
exclusive;

(iv)          “including” means
including without limitation;

(v)           words in the singular include the plural and words in the plural
include the singular;

(vi)          any agreement, instrument or statute defined or referred to herein or
in any instrument or certificate delivered in connection herewith means such
agreement, instrument or statute as from time to time amended, modified or
supplemented and includes (in the case of agreements or instruments) references
to all attachments thereto and instruments incorporated therein; references to
a Person are also to its permitted successors and assigns; and

(vii)         the words “hereof,”  “herein”
and “hereunder” and words of similar import
when used in this Indenture shall refer to this Indenture as a whole and not to
any particular

 9
 

provision of this Indenture; Section and subsection
references contained in this Indenture are references to Sections and
subsections in or to this Indenture unless otherwise specified.

ARTICLE TWO

THE NOTES

Section
2.01.        Form.  The
Notes, in each case together with the Indenture Trustee’s certificate of
authentication, shall be in substantially the forms set forth as Exhibits to
this Indenture with such appropriate insertions, omissions, substitutions and
other variations as are required or permitted by this Indenture and may have
such letters, numbers or other marks of identification and such legends or
endorsements placed thereon as may, consistently herewith, be determined by the
officers executing such Notes, as evidenced by their execution of the
Notes.  Any portion of the text of any
Note may be set forth on the reverse thereof, with an appropriate reference
thereto on the face of the Note.

Each
Note shall be dated the date of its authentication.  The terms of the Notes set forth in Exhibits
hereto are part of the terms of this Indenture.

Section
2.02.        Execution, Authentication
and Delivery.  The Notes shall be executed on behalf of the
Issuer by any of its Authorized Officers. 
The signature of any such Authorized Officer on the Notes may be manual
or facsimile.  Notes bearing the manual
or facsimile signature of individuals who were at any time Authorized Officers
of the Issuer shall bind the Issuer, notwithstanding that such individuals or
any of them have ceased to hold such offices prior to the authentication and
delivery of such Notes or did not hold such offices at the date of such Notes.

The
Indenture Trustee shall, upon receipt of an Issuer Order, authenticate and
deliver the Notes for original issue in the Classes and aggregate principal
amounts as set forth below:

	
  Class

  	
   

  	
  Aggregate Principal Amount

  	
   

  
	
  Class A-1

  	
   

  	
  $

  	
  120,000,000

  	
   

  
	
  Class A-2a

  	
   

  	
  $

  	
  65,000,000

  	
   

  
	
  Class A-2b

  	
   

  	
  $

  	
  120,000,000

  	
   

  
	
  Class A-3

  	
   

  	
  $

  	
  230,000,000

  	
   

  
	
  Class A-4

  	
   

  	
  $

  	
  174,660,000

  	
   

  
	
  Class B

  	
   

  	
  $

  	
  50,832,000

  	
   

  
	
  Class C

  	
   

  	
  $

  	
  21,508,000

  	
   

  

 

The
aggregate principal amount of such Classes of Notes Outstanding at any time may
not exceed such respective amounts, except as otherwise provided in Section
2.05.

Each
Note shall be dated the date of its authentication.  The Notes shall be issuable as registered
Notes in the minimum denomination of $100,000 and in integral multiples of
$1,000 in excess thereof.

No
Note shall be entitled to any benefit under this Indenture or be valid or
obligatory for any purpose, unless there appears on such Note a certificate of
authentication substantially in the form provided for herein by the Indenture
Trustee by the manual signature of one of its authorized signatories, and such
certificate upon any Note shall be conclusive evidence, and the only evidence,
that such Note has been duly authenticated and delivered hereunder.

 10
 

Section
2.03.        Temporary Notes. 
Pending the preparation of Book-Entry Notes or Definitive Notes, the
Issuer may execute, and upon receipt of an Issuer Order the Indenture Trustee
shall authenticate and deliver, temporary Notes that are printed, lithographed,
typewritten, mimeographed or otherwise produced, of the tenor of the definitive
Notes in lieu of which they are issued and with such variations not inconsistent
with the terms of this Indenture as the officers executing such Notes may
determine, as evidenced by their execution of such Notes.

If
temporary Notes are issued, the Issuer will cause Book-Entry Notes or
Definitive Notes to be prepared without unreasonable delay.  After the preparation of Book-Entry Notes or
Definitive Notes, the temporary Notes shall be exchangeable for Book-Entry
Notes or Definitive Notes upon surrender of the temporary Notes at the office
or agency of the Issuer to be maintained as provided in Section 3.02, without
charge to the Holder.  Upon surrender for
cancellation of any one or more temporary Notes, the Issuer shall execute and
the Indenture Trustee shall authenticate and deliver in exchange therefor a
like tenor and principal amount of definitive Notes of authorized
denominations.  Until so exchanged, the
temporary Notes shall in all respects be entitled to the same benefits under
this Indenture as Book-Entry Notes or Definitive Notes.

Section
2.04.        Registration; Registration
of Transfer and Exchange.  The Issuer shall cause to be kept a register
(the “Note Register”) in which, subject to such reasonable regulations as it
may prescribe, the Note Registrar shall provide for the registration of Notes
and the registration of transfers of Notes. 
The Indenture Trustee shall be “Note Registrar” for the purpose of
registering Notes and transfers of Notes as herein provided.  Upon any resignation of any Note Registrar,
the Issuer shall promptly appoint a successor or, if it elects not to make such
an appointment, assume the duties of Note Registrar.

If
a Person other than the Indenture Trustee is appointed by the Issuer as Note
Registrar, the Issuer will give the Indenture Trustee prompt written notice of
the appointment of such Note Registrar and of the location, and any change in
the location, of the Note Register, and the Indenture Trustee shall have the
right to inspect the Note Register at all reasonable times and to obtain copies
thereof, and the Indenture Trustee shall have the right to rely upon a
certificate executed on behalf of the Note Registrar by an Executive Officer
thereof as to the names and addresses of the Holders of the Notes and the
principal amounts and the amounts and number of such Notes.

Upon
surrender for registration of transfer of any Note at the office or agency of
the Issuer to be maintained as provided in Section 3.02, the Issuer shall
execute, and the Indenture Trustee shall authenticate and the Noteholder shall
obtain from the Indenture Trustee, in the name of the designated transferee or
transferees, one or more new Notes of the same Class in any authorized
denominations, of a like aggregate principal amount.

At
the option of the Holder, Notes may be exchanged for other Notes of the same
Class in any authorized denominations, of a like aggregate principal amount,
upon surrender of the Notes to be exchanged at such office or agency.  Whenever any Notes are so surrendered for
exchange, the Issuer shall execute, and the Indenture Trustee shall
authenticate and the Noteholder shall obtain from the Indenture Trustee, the
Notes which the Noteholder making the exchange is entitled to receive.

All
Notes issued upon any registration of transfer or exchange of Notes shall be
the valid obligations of the Issuer, evidencing the same debt, and entitled to
the same benefits under this Indenture, as the Notes surrendered upon such
registration of transfer or exchange.

 11
 

Every
Note presented or surrendered for registration of transfer or exchange shall be
duly endorsed by, or be accompanied by a written instrument of transfer in form
satisfactory to the Indenture Trustee duly executed by, the Holder thereof or
such Holder’s attorney duly authorized in writing, with such signature
guaranteed by a commercial bank or trust company located, or having a
correspondent located in the city in which the Corporate Trust Office is
located, or by a member firm of a national securities exchange, and such other
documents as the Indenture Trustee may require.

No
service charge shall be made to a Holder for any registration of transfer or
exchange of Notes, but the Issuer or the Indenture Trustee may require payment
of a sum sufficient to cover any tax or other governmental charge that may be
imposed in connection with any registration of transfer or exchange of Notes,
other than exchanges pursuant to Section 2.03 not involving any transfer.

Each
Person that acquires a Note shall be required to represent, or in the case of a
Book Entry Note, will be deemed to represent by its acceptance of the Note,
that (i) it is not, and is not acquiring the Note on behalf of or with “plan
assets” (as determined under Department of Labor Regulation Section 2510.3-101
or otherwise) of a Plan, or any employee benefit plan subject to Similar Law,
or (ii) its acquisition and holding of the Note do not give rise to a nonexempt
prohibited transaction under Section 406 of ERISA or Section 4975 of the Code,
or any Similar Law.  Any transfer with
respect to which the representation in clause (i) or (ii) above is not true shall
be void ab initio.

The
Notes may not be purchased with the assets of a Plan if the Issuer, the
Indenture Trustee, the Owner Trustee, the Servicer or the Underwriters or any
of their affiliates has investment or administrative discretion with respect to
those Plan assets; has authority or responsibility to give, or regularly gives,
investment advice with respect to those Plan assets for a fee and pursuant to
an agreement or understanding that the advice will serve as a primary basis for
investment decisions with respect to those Plan assets and will be based on the
particular investment needs for the Plan; or is an employer maintaining or
contributing to the Plan.

The
preceding provisions of this Section notwithstanding, the Issuer shall not be
required to make and the Note Registrar need not register transfers or
exchanges of Notes selected for redemption or of any Note for a period of 15
days preceding the due date for any payment with respect to the Note.

(i)            the Note Registrar and the Indenture Trustee will
be entitled to deal with the Clearing Agency for all purposes of this Indenture
(including the payment of principal of and interest on the Notes and the giving
of instructions or directions hereunder) as the sole holder of the Notes, and
shall have no obligation to the Noteholders;

(ii)            the rights of Noteholders will be exercised only through the Clearing
Agency and will be limited to those established by law and agreements between
such Noteholders and the Clearing Agency and/or the Clearing Agency Participants
pursuant to the Depository Agreement;

(iii)           whenever this Indenture requires or permits actions to be taken based
upon instructions or directions of Holders of Notes evidencing a specified
percentage of the Outstanding Amount of the Notes, the Clearing Agency will be
deemed to represent such percentage only to the extent that it has received
instructions to such effect from Noteholders and/or Clearing Agency
Participants owning or representing, respectively, such required percentage of
the beneficial interest in the Notes and has delivered such instructions to the
Indenture Trustee; and

 12
 

(iv)
         without the consent of the Issuer and the
Indenture Trustee, no such Note may be transferred by the Depository except to
a successor Depository that agrees to hold such Note for the account of the
Owners or except upon the election of the Owner thereof or a subsequent
transferee to hold such Note in physical form.

Neither
the Indenture Trustee nor the Registrar shall have any responsibility to
monitor or restrict the transfer of beneficial ownership in any Note an
interest in which is transferable through the facilities of the Depository.

Section
2.05.        Mutilated, Destroyed, Lost
or Stolen Notes.  If (i) any mutilated Note is surrendered to
the Indenture Trustee, or the Indenture Trustee receives evidence to its
satisfaction of the destruction, loss or theft of any Note, and (ii) there is
delivered to the Indenture Trustee such security or indemnity as may be
required by them to hold the Issuer and the Indenture Trustee harmless, then,
in the absence of notice to the Issuer, the Note Registrar or the Indenture
Trustee that such Note has been acquired by a protected purchaser, within the
meaning of § 8-303 of the UCC, the Issuer shall execute and upon its request
the Indenture Trustee shall authenticate and deliver, in exchange for or in
lieu of any such mutilated, destroyed, lost or stolen Note, a replacement Note
of the same Class and denomination; provided, however, that if any such
destroyed, lost or stolen Note, but not a mutilated Note, shall have become or
within seven days shall be due and payable, or shall have been called for
redemption, instead of issuing a replacement Note, the Issuer may pay such
destroyed, lost or stolen Note when so due or payable or upon the Redemption
Date without surrender thereof.  If,
after the delivery of such replacement Note or payment of a destroyed, lost or
stolen Note pursuant to the proviso to the preceding sentence, a protected purchaser,
within the meaning of § 8-303 of the UCC, of the original Note in lieu of
which such replacement Note was issued presents for payment such original Note,
the Issuer, and the Indenture Trustee shall be entitled to recover such
replacement Note (or such payment) from the Person to whom it was delivered or
any Person taking such replacement Note from such Person to whom such
replacement Note was delivered or any assignee of such Person, except a
protected purchaser, within the meaning of § 8-303 of the UCC, and shall
be entitled to recover upon the security or indemnity provided therefor to the
extent of any loss, damage, cost or expense incurred by the Issuer or the
Indenture Trustee in connection therewith.

Upon
the issuance of any replacement Note under this Section, the Issuer or the
Indenture Trustee may require the payment by the Holder of such Note of a sum
sufficient to cover any tax or other governmental charge that may be imposed in
relation thereto and any other reasonable expenses (including the fees and
expenses of the Indenture Trustee or the Note Registrar) connected therewith.

Every
replacement Note issued pursuant to this Section in replacement of any
mutilated, destroyed, lost or stolen Note shall constitute an original
additional contractual obligation of the Issuer, whether or not the mutilated,
destroyed, lost or stolen Note shall be at any time enforceable by anyone, and
shall be entitled to all the benefits of this Indenture equally and
proportionately with any and all other Notes duly issued hereunder.

The
provisions of this Section are exclusive and shall preclude (to the extent
lawful) all other rights and remedies with respect to the replacement or
payment of mutilated, destroyed, lost or stolen Notes.

Section
2.06.        Persons Deemed Owner. 
Prior to due presentment for registration of transfer of any Note, the
Issuer, the Indenture Trustee, and any of their respective agents may treat the
Person in whose name any Note is registered (as of the day of determination) as
the owner of

 13
 

such Note for the purpose of receiving payments of principal of and
interest, if any, on such Note and for all other purposes whatsoever, whether
or not such Note be overdue, and none of the Issuer, the Indenture Trustee nor
any of their respective agents shall be affected by notice to the contrary.

Section
2.07.        Payment of Principal and
Interest; Defaulted Interest.

(a)           Each Class of Notes shall accrue interest at the related Interest Rate,
and such interest shall be payable on each Distribution Date as specified
therein, subject to Section 3.01.  Any
installment of interest or principal, if any, payable on any Note which is
punctually paid or duly provided for by the Issuer on the applicable
Distribution Date shall be paid to the Person in whose name such Note (or one
or more Predecessor Notes) is registered on the Record Date, by wire transfer
in immediately available funds to the account designated by such nominee and
except for the final installment of principal payable with respect to such Note
on a Distribution Date or on the related Final Distribution Date, as the case
may be (and except for the Redemption Price for any Note called for redemption
pursuant to Section 10.01(a)), which shall be payable as provided below.  The funds represented by any such checks
returned undelivered shall be held in accordance with Section 3.03.

(b)           The principal of each Note shall be payable on each Distribution Date
to the extent provided in the form of the related Note set forth as an Exhibit
hereto.  Notwithstanding the foregoing,
the entire unpaid principal amount of the Notes shall be due and payable, if
not previously paid, on the date on which the maturity of the Notes has been
accelerated in the manner provided in Section 5.02.  All principal payments on each Class of Notes
shall be made pro rata to the Noteholders of such Class entitled thereto.  The Indenture Trustee shall notify the Person
in whose name a Note is registered at the close of business on the Record Date
preceding the Distribution Date on which the Issuer expects that the final
installment of principal of and interest on such Note will be paid.  Such notice shall be mailed within five
Business Days of receipt of notice of termination of the Trust pursuant to
Section 9.01(c) of the Trust Agreement and shall specify that such final
installment will be payable only upon presentation and surrender of such Note
and shall specify the place where such Note may be presented and surrendered
for payment of such installment.  Notices
in connection with redemptions of Notes shall be mailed to Noteholders as
provided in Section 10.02.

(c)           If the Issuer defaults in a payment of interest on the Notes, the
Issuer shall pay defaulted interest (plus interest on such defaulted interest
to the extent lawful) at the applicable Interest Rate in any lawful
manner.  The Issuer may pay such
defaulted interest to the Persons who are Noteholders on a subsequent special
record date, which date shall be at least five Business Days prior to the
related payment date.  The Issuer shall
fix or cause to be fixed any such special record date and payment date and, at
least 15 days before any such special record date, the Issuer shall mail to the
Indenture Trustee and each Noteholder a notice that states the special record
date, the payment date and the amount of defaulted interest to be paid.

Section
2.08.        Cancellation.  All
Notes surrendered for payment, registration of transfer, exchange or redemption
shall, if surrendered to any Person other than the Indenture Trustee, be
delivered to the Indenture Trustee and shall be promptly cancelled by the
Indenture Trustee.  The Issuer may at any
time deliver to the Indenture Trustee for cancellation any Notes previously
authenticated and delivered hereunder which the Issuer may have acquired in any
manner whatsoever, and all Notes so delivered shall be promptly cancelled by
the Indenture Trustee.  No Notes shall be
authenticated in lieu of or in exchange for any Notes cancelled as provided in
this Section, except as expressly permitted by this Indenture.  All cancelled Notes may be held or disposed
of by the Indenture Trustee in accordance with its standard retention or
disposal policy as in effect at the time unless the Issuer shall direct by an
Issuer Order that they be destroyed or returned

 14
 

to it; provided that such Issuer Order is timely and the Notes have not
been previously disposed of by the Indenture Trustee.

Section
2.09.        Book-Entry Notes.  The
Notes, upon original issuance, will be issued in the form of a typewritten Note
or Notes representing the Book-Entry Notes, to be delivered to DTC, the initial
Depository, by, or on behalf of, the Issuer. 
Such Notes shall initially be registered on the Note Register in the
name of Cede & Co., the nominee of the initial Clearing Agency, and no
Noteholder will receive a Definitive Note representing such Noteholder’s
interest in such Note, except as provided in Section 2.11.  Unless and until definitive, fully registered
Notes (the “Definitive Notes”) have been issued to Noteholders pursuant to
Section 2.11:

(i)            the provisions of this Section shall be in
full force and effect;

(ii)           the Note Registrar and the Indenture Trustee shall be entitled to deal
with the Clearing Agency for all purposes of this Indenture (including the
payment of principal of and interest on the Notes and the giving of instructions
or directions hereunder) as the sole holder of the Notes, and shall have no
obligation to the Noteholders;

(iii)          to the extent that the provisions of this Section conflict with any
other provisions of this Indenture, the provisions of this Section shall
control;

(iv)          the rights of Noteholders shall be exercised only through the Clearing
Agency and shall be limited to those established by law and agreements between
such Noteholders and the Clearing Agency and/or the Clearing Agency
Participants.  Pursuant to the Note
Depository Agreement, unless and until Definitive Notes are issued pursuant to
Section 2.11, the Clearing Agency will make book-entry transfers among the
Clearing Agency Participants and receive and transmit payments of principal of
and interest on the Notes to such Clearing Agency Participants; and

(v)           whenever this Indenture requires or permits actions to be taken based
upon instructions or directions of Noteholders evidencing a specified
percentage of the Outstanding Amount, the Clearing Agency shall be deemed to
represent such percentage only to the extent that it has received instructions
to such effect from Noteholders and/or Clearing Agency Participants owning or
representing, respectively, such required percentage of the beneficial interest
in the Notes and has delivered such instructions to the Indenture Trustee.

Section
2.10.        Notices to Clearing Agency. 
Whenever a notice or other communication to the Noteholders is required
under this Indenture, unless and until Definitive Notes shall have been issued
to Noteholders pursuant to Section 2.11, the Indenture Trustee shall give all
such notices and communications specified herein to be given to Noteholders of
the Notes to the Clearing Agency, and shall have no obligation to the Noteholders.

Section
2.11.        Definitive Notes.  If
(i)(A) the Administrator advises the Indenture Trustee in writing that the
Clearing Agency is no longer willing or able to properly discharge its
responsibilities as described in the Note Depository Agreement, and (B)
Indenture Trustee or the Administrator is unable to locate a qualified
successor, (ii) the Administrator or the Owner Trustee, as applicable, notifies
the Clearing Agency of its intent to terminate the book-entry system through
the Clearing Agency and requests a withdrawal of the Book-Entry Notes held by
the Clearing Agency, and after receipt by the Clearing Agency Participants of
an important notice issued by the Clearing Agency notifying the Clearing Agency
Participants of such withdrawal request, the Clearing Agency Participants
holding beneficial interests in the Book-Entry Notes agree to initiate

 15
 

such termination, or (iii) after the occurrence of an Event of Default,
the Modified Required Holders advise the Indenture Trustee and the Clearing
Agency through the Clearing Agency Participants in writing that the
continuation of a book-entry system through the Clearing Agency is no longer in
the best interests of the related Noteholders, then the Indenture Trustee shall
notify all Noteholders of the related Class or Classes of Notes, through the
Clearing Agency, of the occurrence of any such event and of the availability of
Definitive Notes of the related Class of Notes to Noteholders requesting the
same.  Upon surrender to the Indenture
Trustee of the Note or Notes representing the Book-Entry Notes by the Clearing
Agency, accompanied by registration instructions, the Issuer shall execute and
the Indenture Trustee shall authenticate the Definitive Notes in accordance
with the instructions of the Clearing Agency. 
None of the Issuer, the Note Registrar or the Indenture Trustee shall be
liable for any delay in delivery of such instructions and may conclusively rely
on, and shall be protected in relying on, such instructions.  Upon the issuance of Definitive Notes of a
Class, the Indenture Trustee shall recognize the Noteholders of the Definitive
Notes as Noteholders hereunder.

The
Indenture Trustee shall not be liable if the Indenture Trustee or the
Administrator is unable to locate a qualified successor Clearing Agency.  The Definitive Notes shall be typewritten,
printed, lithographed or engraved or produced by any combination of these
methods (with or without steel engraved borders), all as determined by the
officers executing such Notes, as evidenced by their execution of such Notes.

Section
2.12.        Release of Collateral. 
Subject to Sections 4.04, 8.04 and 11.01 and the terms of the
Transaction Documents, the Indenture Trustee shall release property from the
lien of this Indenture only upon receipt of an Issuer Request accompanied by an
Officer’s Certificate.

Section
2.13.        Tax Treatment.  The
Issuer and the purchasers of the Notes intend, and will take all actions
consistent with the intention, that the Notes be treated as indebtedness for
all federal, state, local, and foreign income and franchise tax purposes and
that, pursuant to Treasury Regulations Section 301.7701-3(b)(1)(ii) as in
effect for periods after January 1, 1997, the Trust be disregarded as a
separate entity from the Trust Depositor for federal income tax purposes.  The Issuer, by entering into this Indenture,
and each Noteholder, by its acceptance of its Note agree to treat the Notes for
federal, state and local income, single business and franchise tax purposes as
indebtedness of the Issuer.

Section
2.14.        Calculation Agent.

(a)           The Issuer agrees that for so long as any of the Floating Rate Notes
are Outstanding there will at all times be an agent appointed to calculate
LIBOR in respect of each Interest Period (the “Calculation
Agent”).  The Issuer appoints
The Bank of New York Trust Company, N.A., as the initial Calculation Agent for
purposes of determining LIBOR for each Interest Period and The Bank of New York
Trust Company, N.A. accepts such appointment. 
On each Interest Determination Date, the Calculation Agent will
calculate the interest rate with respect to the Floating Rate Notes.  All determinations of interest by the
Calculation Agent shall, in the absence of manifest error, be conclusive for
all purposes and binding on the Noteholders.

(b)           The Calculation Agent
may be removed by the Issuer at any time. 
If the Calculation Agent is unable or unwilling to act as such or is
removed by the Issuer, the Issuer will promptly appoint as a replacement
Calculation Agent a leading bank which is engaged in transactions in Eurodollar
deposits in the international Eurodollar market and which does not control or
is not controlled by or under common control with the Issuer or its
Affiliates.  The Calculation Agent may
not resign its duties without a successor having been duly appointed; provided, however,  that upon the
appointment of a successor Indenture Trustee pursuant to Section 6.09, The Bank
of New York

 16

Trust Company, N.A., as initial Calculation
Agent, may immediately resign and such successor Indenture Trustee shall
automatically become the Calculation Agent under this Indenture.

(c)           The Calculation Agent shall be entitled to the same rights, protections,
indemnities and immunities as the Indenture Trustee, as set forth in Article VI
of this Indenture.

ARTICLE THREE

COVENANTS

Section
3.01.        Payment of Principal and
Interest.  The Issuer will duly and punctually pay the
principal of and interest, if any, on the Notes in accordance with the terms of
the Notes and this Indenture.  Without
limiting the foregoing, subject to Section 8.02(c), the Issuer and the
Indenture Trustee will cause to be deposited into the Note Distribution Account
amounts allocated pursuant to Section 7.05 of the Sale and Servicing Agreement,
and cause to be distributed all such amounts on a Distribution Date as
deposited therein (i) for the benefit of the Class A-1 Notes, to the
Class A-1 Noteholders, (ii) for the benefit of the Class A-2 Notes,
to the Class A-2 Noteholders, (iii) for the benefit of the Class A-3
Notes, to the Class A-3 Noteholders, (iv) for the benefit of the Class A-4
Notes, to the Class A-4 Noteholders, (v) for the benefit of the Class B
Notes, to the Class B Noteholders, (vi) for the benefit of the Class C Notes,
to the Class C Noteholders, in each case as further specified herein and (vii)
for the benefit of and to the Swap Counterparty.  Amounts properly withheld under the Code by
any Person from a payment to any Noteholder of interest and/or principal shall
be considered as having been paid by the Issuer to such Noteholder for all
purposes of this Indenture.

Section
3.02.        Maintenance of Office or
Agency.  The Issuer will maintain in Wilmington,
Delaware, an office or agency where Notes may be surrendered for registration
of transfer or exchange, and where notices and demands to or upon the Issuer in
respect of the Notes and this Indenture may be served.  The Issuer hereby initially appoints the
Indenture Trustee to serve as its agent for the foregoing purposes.  The Issuer will give prompt written notice to
the Indenture Trustee of the location, and of any change in the location, of
any such office or agency.  If at any
time the Issuer shall fail to maintain any such office or agency or shall fail
to furnish the Indenture Trustee with the address thereof, such surrenders,
notices and demands may be made or served at the Corporate Trust Office, and
the Issuer hereby appoints the Indenture Trustee as its agent to receive all
such surrenders, notices and demands.

Section
3.03.        Money for Payments to be
Held in Trust.  As provided in Section 8.02, all payments of
amounts due and payable with respect to any Notes or the Interest Rate Swap
Agreement that are to be made from amounts withdrawn from the Collection
Account, the Note Distribution Account 
or the Swap Collateral Account pursuant to Section 8.02(b) and 8.03
shall be made on behalf of the Issuer by the Indenture Trustee or by another
Paying Agent, and no amounts so withdrawn from such accounts for payments of
Notes or to the Swap Counterparty shall be paid over to the Issuer except as
provided in this Section.

On
or before the Business Day immediately preceding each Distribution Date and
Redemption Date, the Issuer shall deposit or cause to be deposited in the Note
Distribution Account an aggregate sum sufficient to pay the amounts then
becoming due under the Notes and the Interest Rate Swap Agreement, such sum to
be held in trust for the benefit of the Persons entitled thereto and (unless
the Paying Agent is the Indenture Trustee) shall promptly notify the Indenture
Trustee of its action or failure so to act.

 17
 

The
Issuer will cause each Paying Agent other than the Indenture Trustee to execute
and deliver to the Indenture Trustee an instrument in which such Paying Agent
shall agree with the Indenture Trustee (and if the Indenture Trustee acts as
Paying Agent, it hereby so agrees), subject to the provisions of this Section,
that such Paying Agent will:

(i)            hold all sums held by it for the payment of
amounts due with respect to the Notes or under the Interest Rate Swap Agreement
in trust for the benefit of the Persons entitled thereto until such sums shall
be paid to such Persons or otherwise disposed of as herein provided and pay
such sums to such Persons as herein provided;

(ii)           give the Indenture Trustee notice of any default by the Issuer (or any
other obligor upon the Notes) in the making of any payment required to be made
with respect to the Notes or under the Interest Rate Swap Agreement;

(iii)          at any time during the continuance of any such default, upon the
written request of the Indenture Trustee, forthwith pay to the Indenture
Trustee all sums so held in trust by such Paying Agent;

(iv)          immediately resign as a Paying Agent and forthwith pay to the Indenture
Trustee all sums held by it in trust for the payment of Notes or in respect of
the Interest Rate Swap Agreement if at any time it ceases to meet the standards
required to be met by a Paying Agent at the time of its appointment; and

(v)           comply with all requirements of the Code with respect to the
withholding from any payments made by it on any Notes or under the Interest
Rate Swap Agreement of any applicable withholding taxes imposed thereon and
with respect to any applicable reporting requirements in connection therewith.

The
Issuer may at any time, for the purpose of obtaining the satisfaction and
discharge of this Indenture or for any other purpose, by Issuer Order direct
any Paying Agent to pay to the Indenture Trustee all sums held in trust by such
Paying Agent, such sums to be held by the Indenture Trustee upon the same
trusts as those upon which the sums were held by such Paying Agent; and upon
such payment by any Paying Agent to the Indenture Trustee, such Paying Agent
shall be released from all further liability with respect to such money.

Subject
to applicable laws with respect to escheat of funds, any money held by the
Indenture Trustee or any Paying Agent in trust for the payment of any amount
due with respect to any Note and remaining unclaimed for two years after such
amount has become due and payable shall be discharged from such trust and upon
receipt of an Issuer Request shall be deposited by the Indenture Trustee in the
Collection Account; and the Holder of such Note shall thereafter, as an
unsecured general creditor, look only to the Issuer for payment thereof, and
all liability of the Indenture Trustee or such Paying Agent with respect to
such trust money shall thereupon cease; provided, however,
that if such money or any portion thereof had been previously deposited by the
Issuer with the Indenture Trustee for the payment of principal or interest on
the Notes; and provided, further, that the
Indenture Trustee or such Paying Agent, before being required to make any such
repayment, may at the expense of the Issuer cause to be published once, in a
newspaper published in the English language, customarily published on each
Business Day and of general circulation in The City of New York, notice that
such money remains unclaimed and that, after a date specified therein, which
shall not be less than 30 days from the date of such publication, any unclaimed
balance of such money then remaining will be repaid to or for the account of
the Issuer.  The Indenture Trustee may
also adopt and employ, at the expense of the Issuer, any other reasonable means
of notification of such

 18
 

repayment (including, but not limited to, mailing notice of such
repayment to Holders whose Notes have been called but not have not been surrendered
for redemption or whose right to or interest in moneys due and payable but not
claimed is determinable from the records of the Indenture Trustee or of any
Paying Agent, at the last address of record for each such Holder).

Section
3.04.        Existence.  The
Issuer will keep in full effect its existence, rights and franchises as a
statutory trust under the laws of the State of Delaware (unless it becomes, or
any successor Issuer hereunder is or becomes, organized under the laws of any
other state or of the United States, in which case the Issuer will keep in full
effect its existence, rights and franchises under the laws of such other
jurisdiction) and will obtain and preserve its qualification to do business in
each jurisdiction in which such qualification is or shall be necessary to
protect the validity and enforceability of this Indenture, the Notes, the
Collateral and each other instrument or agreement included in the Collateral.

Section
3.05.        Protection of Collateral.  The
Issuer intends the security interest Granted pursuant to this Indenture in
favor of the Indenture Trustee on behalf of the Noteholders and the Swap
Counterparty to be prior to all other liens in respect of the Collateral, and
the Issuer shall take all actions necessary to obtain and maintain, for the
benefit of the Indenture Trustee on behalf of the Noteholders and the Swap
Counterparty, a first lien on and a first priority, perfected security interest
in the Collateral.  The Issuer will from
time to time execute and deliver all such supplements and amendments hereto and
all such financing statements, continuation statements, instruments of further
assurance and other instruments, all as prepared by the Servicer and delivered
to the Issuer, and will take such other action necessary or advisable to:

(i)            Grant more effectively all or any portion of
the Collateral;

(ii)           maintain or preserve the lien and security interest (and the priority
thereof) created by this Indenture or carry out more effectively the purposes
hereof;

(iii)          perfect, publish notice of or protect the validity of any Grant made or
to be made by this Indenture;

(iv)          enforce any of the Collateral;

(v)           preserve and defend title to the Collateral and the rights of the
Indenture Trustee, the Noteholders and the Swap Counterparty in such Collateral
against the claims of all persons and parties; and

(vi)          pay all taxes or assessments levied or assessed upon the Collateral
when due.

The Issuer shall file the financing statements on Form UCC1.  All financing statements filed or to be filed
against the Issuer in favor of the Indenture Trustee in connection herewith
describing the Collateral shall contain a statement to the following
effect:  “A purchase of or security
interest in any collateral described in this financing statement, except as
permitted in the Indenture, will violate the rights of the Secured Party.”  The Issuer hereby authorizes the Indenture
Trustee to file all continuation statements or other instruments required to be
executed pursuant to this Section and hereby designates the Indenture Trustee
its agent and attorney-in-fact for such purpose; provided, however, that the
Indenture Trustee shall have no obligation to monitor or file any financing
statements, continuation statements, financing statement amendments or any other
instrument.

 19
 

Section
3.06.        Opinions as to Collateral.  On the Closing
Date, the Issuer shall furnish to the Indenture Trustee an Opinion of Counsel
to the effect that, in the opinion of such counsel, either (i) all financing
statements and continuation statements have been executed and filed that are
necessary to create and continue the Indenture Trustee’s first priority
perfected security interest in the Collateral for the benefit of the
Noteholders, and reciting the details of such filings or (ii) no such action
shall be necessary to perfect such security interest.

Section
3.07.        Performance of Obligations;
Servicing of Contracts.

(a)           The Issuer will not take any action and will use its best efforts not
to permit any action to be taken by others that would release any Person from
any such Person’s material covenants or obligations under any instrument or
agreement included in the Collateral or that would result in the amendment,
hypothecation, subordination, termination or discharge of, or impair the validity
or effectiveness of, any such instrument or agreement, except as expressly
provided in the Transaction Documents or such other instrument or agreement.

(b)           The Issuer may contract with other Persons to assist it in performing
its duties and obligations under this Indenture, and any performance of such
duties by a Person identified to the Indenture Trustee in an Officer’s
Certificate shall be deemed to be action taken by the Issuer.  The Indenture Trustee shall not be
responsible for the action or inaction of the Servicer or the
Administrator.  Initially, the Issuer has
contracted with the Servicer and the Administrator to assist the Issuer in
performing its duties under this Indenture.

(c)           The Issuer will punctually perform and observe all of its obligations
and agreements contained in this Indenture, the other Transaction Documents and
in the instruments and agreements included in the Collateral, including but not
limited to filing or causing to be filed all UCC financing statements and
continuation statements required to be filed by the terms of this Indenture and
the Sale and Servicing Agreement in accordance with and within the time periods
provided for herein and therein.  Except
as otherwise expressly provided therein, the Issuer shall not waive, amend,
modify, supplement or terminate any Transaction Document or any provision
thereof without the consent of the Indenture Trustee or the Required Holders.

(d)           If the Issuer shall have knowledge of the occurrence of an Event of
Termination, the Issuer shall promptly notify the Indenture Trustee and each
Rating Agency thereof.  Upon any
termination of the Servicer’s rights and powers pursuant to the Sale and
Servicing Agreement, the Issuer shall promptly notify the Indenture
Trustee.  As soon as a Successor Servicer
is appointed, the Issuer shall notify the Indenture Trustee and the Rating
Agencies of such appointment, specifying in such notice the name and address of
such Successor Servicer.

(e)           The Issuer agrees that it will not waive timely performance or
observance by the Servicer or the Seller of their respective duties under the
Transaction Documents if the effect thereof would adversely affect the Holders
of the Notes.

Section
3.08.        Negative Covenants.  Until
the Termination Date, the Issuer shall not:

(i)            except as expressly permitted by the
Transaction Documents, sell, transfer, exchange or otherwise dispose of any of
the properties or assets of the Issuer, including those included in the
Collateral, unless directed to do so by the Indenture Trustee;

(ii)           claim any credit on, or make any deduction from the principal or
interest payable in respect of, the Notes (other than amounts properly withheld
from such payments under

 20
 

the Code or applicable state law) or assert any
claim against any present or former Noteholder by reason of the payment of the
taxes levied or assessed upon any part of the Collateral;

(iii)          except as may be expressly permitted hereby, (A)  permit the validity or effectiveness of this
Indenture to be impaired, or permit the lien created by this Indenture to be
amended, hypothecated, subordinated, terminated or discharged, or permit any
Person to be released from any covenant; or obligations with respect to the
Notes under this Indenture except as may be expressly permitted hereby, (B)
permit any lien, charge, excise, claim, security interest, mortgage or other
encumbrance (other than the lien of this Indenture) to be created on or extend
to or otherwise arise upon or burden the Collateral or any part thereof or any
interest therein or the proceeds thereof (other than tax liens, mechanics’
liens and other liens that arise by operation of law, in each case on a
Motorcycle and arising solely as a result of an action or omission of the
related Obligor), (C) permit the lien created by this Indenture not to
constitute a valid first priority (other than with respect to any such tax,
mechanics’ or other lien) security interest in the Collateral, or (D) amend,
modify or fail to comply with the provisions of the Transaction Documents
without the prior written consent of the Indenture Trustee, except where the
Transaction Documents allow for amendment or modification without the consent
or approval of the Indenture Trustee;

(iv)          dissolve or liquidate in whole or in part; or

(v)           change its name or state of formation.

Section
3.09.        Annual Statement as to
Compliance.  The Issuer will deliver to the Indenture
Trustee and the Swap Counterparty, on or before March 31 of each year
commencing March 31, 2008, an Officer’s Certificate stating, as to the Authorized
Officer signing such Officer’s Certificate, that:

(i)            a review of the activities of the Issuer
during the prior calendar year and of performance under this Indenture has been
made under such Authorized Officer’s supervision; and

(ii)           to the best of such Authorized Officer’s knowledge, based on such
review, the Issuer has complied with all conditions and covenants under this
Indenture throughout such year, or, if there has been a default in the
compliance of any such condition or covenant, specifying each such default
known to such Authorized Officer and the nature and status thereof.

Section
3.10.        Issuer May Consolidate,
etc. Only on Certain Terms.

(a)           The Issuer shall not consolidate or merge with or into any other
Person, unless:

(i)            the Person (if other than the Issuer) formed
by or surviving such consolidation or merger shall be a Person organized and
existing under the laws of the United States or any State and shall expressly
assume, by an indenture supplemental hereto, executed and delivered to the
Indenture Trustee, in form and substance satisfactory to the Indenture Trustee,
the due and punctual payment of the principal of and interest on all Notes and
the performance or observance of every agreement and covenant of this Indenture
and each other Transaction Document on the part of the Issuer to be performed
or observed, all as provided herein;

(ii)           immediately after giving effect to such
transaction, no Default or Event of Default shall have occurred and be
continuing;

 21
 

(iii)          the Rating Agency Condition shall have been
satisfied with respect to such transaction;

(iv)          the Issuer shall have received an Opinion of
Counsel which shall be delivered to and shall be satisfactory to the Indenture
Trustee to the effect that such transaction will not have any material adverse
tax consequence to the Trust, any Noteholder, the Swap Counterparty or any
Certificateholder;

(v)           any action as is necessary to maintain the
lien and security interest created by this Indenture shall have been taken;

(vi)          the Issuer shall have delivered to the
Indenture Trustee an Officer’s Certificate and an Opinion of Counsel (which
shall describe the actions taken as required by clause (v) above or that no
such actions will be taken) each stating that such consolidation or merger and
such supplemental indenture comply with this Article Three and that all
conditions precedent herein provided for relating to such transaction have been
complied with; and

(vii)         the Person (if other than the Issuer) formed
by or surviving such consolidation or merger has a net worth, immediately after
such consolidation or merger, that is (A) greater than zero and (B) not less
than the net worth of the Issuer immediately prior to giving effect to such
consolidation or merger.

(b)           The Issuer shall not convey or transfer all or substantially all of its
properties or assets, including those included in the Collateral, to any Person
(except as expressly permitted by the Transaction Documents), unless:

(i)            the Person that acquires by conveyance or
transfer the properties and assets of the Issuer shall (A) be a United States
citizen or a Person organized and existing under the laws of the United States
or any State, (B) expressly assume, by an indenture supplemental hereto,
executed and delivered to the Indenture Trustee, in form and substance
satisfactory to the Indenture Trustee, the due and punctual payment of the
principal of and interest on all Notes and the performance or observance of
every agreement and covenant of this Indenture and each other Transaction Document
on the part of the Issuer to be performed or observed, all as provided herein,
(C) expressly agree by means of such supplemental indenture that all right,
title and interest so conveyed or transferred shall be subject and subordinate
to the rights of Holders of the Notes and (D) unless otherwise provided in such
supplemental indenture, expressly agree to indemnify, defend and hold harmless
the Issuer against and from any loss, liability or expense arising under or
related to this Indenture and the Notes.

(ii)           immediately after giving effect to such transaction, no Default or
Event of Default shall have occurred and be continuing;

(iii)          the Rating Agency Condition shall have been satisfied with respect to
such transaction;

(iv)          the Issuer shall have received an Opinion of Counsel which shall be
delivered to and shall be satisfactory to the Indenture Trustee to the effect
that such transaction will not have any material adverse tax consequence to the
Trust, any Noteholder, the Swap Counterparty or any Certificateholder;

 22
 

(v)           any action as is necessary to maintain the lien and security interest
created by this Indenture shall have been taken;

(vi)          the Issuer shall have delivered to the Indenture Trustee an Officer’s
Certificate and an Opinion of Counsel (which shall describe the actions taken
as required by clause (v) above or that no such actions will be taken) each
stating that such conveyance or transfer and such supplemental indenture comply
with this Article Three and that all conditions precedent herein provided for
relating to such transaction have been complied with (including any filings
required by Exchange Act); and

(vii)         the Issuer has a net worth, immediately after such conveyance or
transfer, that is (A) greater than zero and (B) not less than the net worth of
the Issuer immediately prior to giving effect to such conveyance or transfer.

Section
3.11.        Successor or Transferee.

(a)           Upon any consolidation or merger of the Issuer in accordance with
Section 3.10(a), the Person formed by or surviving such consolidation or merger
(if other than the Issuer) shall succeed to, and be substituted for, and may
exercise every right and power of, the Issuer under this Indenture with same
effect as if such Person has been named as the Issuer herein.

(b)           Upon a conveyance or transfer of all or substantially all the assets or
properties of the Issuer pursuant to Section 3.10(b), the Issuer will be
released from every covenant and agreement of this Indenture to be observed or
performed on the part of the Issuer with respect to the Notes and the Interest
Rate Swap Agreement immediately upon the delivery of written notice to the
Indenture Trustee stating that the Issuer is to be so released.

Section
3.12.        No Other Business.  The
Issuer shall not engage in any business other than financing, purchasing,
owning, selling and managing the Contracts in the manner contemplated by this
Indenture and the other Transaction Documents and activities incidental
thereto.

Section
3.13.        No Borrowing.  The
Issuer shall not issue, incur, assume, guarantee or otherwise become liable,
directly or indirectly, for any Indebtedness except for (i) the Notes and (ii)
any other Indebtedness permitted by or arising under the other Transaction
Documents.  The proceeds of the Notes
shall be used exclusively to fund the Issuer’s purchase of the Contracts and
the other assets specified in the Sale and Servicing Agreement, to fund the
Reserve Fund and the Yield Supplement Account and to pay the transactional
expenses of the Issuer.

Section
3.14.        Servicer’s Obligations.  The
Issuer shall cause the Servicer to comply with Article Five and Article Nine of
its obligations under the Sale and Servicing Agreement.

Section
3.15.        Guarantees, Loans Advances
and Other Liabilities.  Except as otherwise contemplated by the
Transaction Documents, the Issuer shall not make any loan or advance or credit
to, or guarantee (directly or indirectly or by an instrument having the effect
of assuming another’s payment or performance on any obligation or capability of
so doing or otherwise), endorse or otherwise become contingently liable,
directly or indirectly, in connection with the obligations, stocks or dividends
of, or own, purchase, repurchase or acquire (or agree contingently to do so)
any stock, obligations, assets or securities of, any other interest in, or make
any capital contribution to, any other Person.

 23
 

Section
3.16.        Capital Expenditures.  The
Issuer shall not make any expenditure (by long-term or operating lease or
otherwise) for capital assets (either realty or personalty).

Section
3.17.        Restricted Payments. 
Except as permitted by the Transaction Documents, the Issuer shall not,
directly or indirectly, (i) pay any dividend or make any distribution (by
reduction of capital or otherwise), whether in cash, property, securities or a
combination thereof, to the Owner Trustee or any owner of a beneficial interest
in the Issuer or otherwise with respect to any ownership or equity interest or
security in or of the Issuer or to the Servicer, (ii) redeem, purchase, retire
or otherwise acquire for value any such ownership or equity interest or
security or (iii) set aside or otherwise segregate any amounts for any such
purpose; provided, however, that the Issuer may make, or cause to be made, (A)
distributions to the Servicer, the Owner Trustee and the Certificateholder as
contemplated by, and to the extent funds are available for such purpose under,
the Sale and Servicing Agreement or the Trust Agreement and (B) payments to the
Indenture Trustee and the Owner Trustee pursuant to Section 1(a)(ii) of the
Administration Agreement.  The Issuer
will not, directly or indirectly, make payments to or distributions from the
Collection Account except in accordance with this Indenture and the other Transaction
Documents.

Section
3.18.        Notice of Events of
Default.  The Issuer agrees to give the Indenture
Trustee, the Swap Counterparty and each Rating Agency prompt written notice of
each Event of Default hereunder and an Event of Termination under the Sale and
Servicing Agreement.

Section
3.19.        Further Instruments and
Acts.  Upon request of the Indenture Trustee, the
Issuer will execute and deliver such further instruments and do such further
acts as may be reasonably necessary or proper to carry out more effectively the
purpose of this Indenture.

Section
3.20.        Compliance with Laws.  The
Issuer shall comply with the requirements of all applicable laws, the
non-compliance with which would, individually or in the aggregate, materially
and adversely affect the ability of the Issuer to perform its obligations under
the Notes, this Indenture or any other Transaction Document.

Section
3.21.        Amendments of Sale and
Servicing Agreement and Trust Agreement.  The Issuer shall not agree to
any amendment to Section 11.01 of the Trust Agreement to eliminate the
requirements thereunder that the Indenture Trustee or the Holders of the Notes
consent to amendments thereto as provided therein.

Section
3.22.        Removal of Administrator.  So
long as any Notes are issued and outstanding, the Issuer shall not remove the
Administrator without cause unless the Rating Agency Condition shall have been
satisfied in connection with such removal.

ARTICLE FOUR

SATISFACTION AND DISCHARGE

Section
4.01.        Satisfaction and Discharge
of Indenture.  This Indenture shall cease to be of further
effect with respect to the Notes except as to (i) rights of registration of
transfer and exchange, (ii) substitution of mutilated, destroyed, lost or
stolen Notes, (iii) rights of Noteholders to receive payments of  principal thereof and interest thereon, (iv)
Sections 3.01, 3.03, 3.04, 3.05, 3.07, 3.08, 3.10, 3.12, 3.13, 3.20 and 3.21,
(v) the rights, obligations and immunities of the Indenture Trustee hereunder
(including the rights of the Indenture Trustee under Section 6.07 and the
obligations of the Indenture Trustee under Section 4.02) and (vi) the rights of
Noteholders as beneficiaries hereof with

 24
 

respect to the property so deposited with the Indenture Trustee payable
to all or any of them, and the Indenture Trustee, on demand of and at the expense
of the Issuer, shall execute proper instruments acknowledging satisfaction and
discharge of this Indenture with respect to the Notes, when

(A)          either

(1)           all Notes therefore authenticated and
delivered (other than (i) Notes that have been destroyed, lost or stolen and
that have been replaced or paid as provided in Section 2.05 and (ii) Notes for
whose payment money has theretofore been deposited in trust or segregated and
held in trust by the Issuer and thereafter repaid to the Issuer or discharged
from such trust, as provided in Section 3.03) have been delivered to the
Indenture Trustee for cancellation;

(2)           all Notes not theretofore delivered to the
Indenture Trustee for cancellation

(i)            have become due and payable, or

(ii)           will become due and payable at their respective final Distribution
Dates within one year, or

(iii)          are to be called for redemption within one year under arrangements
satisfactory to the Indenture Trustee for the giving of notice of redemption by
the Indenture Trustee in the name, and at the expense, of the Issuer, and the
Issuer, in the case of (i), (ii) or (iii) above, has irrevocably deposited or
caused to be irrevocably deposited with the Indenture Trustee cash or direct
obligations of or obligations guaranteed by the United States (which will
mature prior to the date such amounts are payable), in trust in an Eligible
Account for such purpose, in an amount sufficient to pay and discharge the
entire indebtedness on such Note not theretofore delivered to the Indenture
Trustee for cancellation when due to the final scheduled Distribution Date (if
Notes shall have been called for redemption pursuant to Section 10.01(a)), as
the case may be;

(B)           the Issuer has paid or performed or caused to
be paid or performed all amounts and obligations which the Issuer may owe to or
on behalf of the Indenture Trustee for the benefit of the Noteholders under
this Indenture or the Notes and the Swap Counterparty under the Interest Rate
Swap Agreement; and

(C)           the Issuer has delivered to the Indenture
Trustee an Officer’s Certificate and an Opinion of Counsel and (if required by
the TIA or the Indenture Trustee) an Independent Certificate from a firm of
certified public accountants, each meeting the applicable requirements of
Section 11.01(a) and, subject to Section 11.02, stating that all conditions
precedent herein provided for relating to the satisfaction and discharge of
this Indenture have been complied with and the Rating Agency Condition has been
satisfied.

Section
4.02.        Application of Trust Money.  All
moneys deposited with the Indenture Trustee pursuant to Section 4.01 shall be
held in trust and applied by it, in accordance with the provisions of the Notes
and this Indenture, to the payment, either directly or through any Paying
Agent, as the Indenture Trustee may determine, to the Swap Counterparty and to
the Holders of the particular Notes for the payment or redemption of which such
moneys have been deposited with the Indenture Trustee, of all sums due and to
become due thereon for principal and interest; but such

 25
 

moneys need not be segregated from other funds except to the extent
required herein or in the Sale and Servicing Agreement or required by law.

Section
4.03.        Repayment of Moneys Held by
Paying Agent.  In connection with the satisfaction and
discharge of this Indenture with respect to the Notes, all moneys then held by
any Paying Agent other than the Indenture Trustee under the provisions of this
Indenture with respect to such Notes shall, upon demand of the Issuer, be paid
to the Indenture Trustee to be held and applied according to Section 3.03 and
thereupon such Paying Agent shall be released from all further liability with
respect to such moneys.

Section
4.04.        Release of Collateral. 
Subject to Section 11.01 and the terms of the Transaction Documents, the
Indenture Trustee shall release property from the lien of this Indenture only
upon receipt of an Issuer Request accompanied by an Officer’s Certificate and
an Opinion of Counsel and Independent Certificates in accordance with TIA
§§314(c) and 314(d)(1) or an Opinion of Counsel in lieu of such Independent
Certificates to the effect that the TIA does not require any such Independent
Certificates.

ARTICLE FIVE

REMEDIES

Section
5.01.        Events of Default.  “Event
of Default,” wherever used herein, means any one of the following events
(whatever the reason for such Event of Default and whether it shall be
voluntary or involuntary or be effected by operation of law or pursuant to any
judgment, decree or order of any court or any order, rule or regulation of any
administrative or governmental body):

(i)            default in the payment of any interest on any
Note of the Controlling Class when the same becomes due and payable, and such
default shall continue for a period of five days;

(ii)           default in the payment of the principal of or any installment of the
principal of any Note when the same becomes due and payable;

(iii)          default in the observance or performance of any covenant or agreement
of the Issuer made in this Indenture (other than a covenant or agreement, a
default in the observance or performance of which is elsewhere in this Section
specifically dealt with) which default has a material adverse effect on the
Noteholders, or any representation or warranty of the Issuer made in this
Indenture or in any certificate or other writing delivered pursuant hereto or
in connection herewith proving to have been incorrect in any material respect
as of the time when the same shall have been made, and such default shall
continue or not be cured, or the circumstance or condition in respect of which
such misrepresentation or warranty was incorrect shall not have been eliminated
or otherwise cured, for a period of 30 days after there shall have been given,
by registered or certified mail, to the Issuer by the Indenture Trustee or by
the Holders of at least 25% of the Outstanding Amount of the Controlling Class
a written notice specifying such default or incorrect representation or
warranty and requiring it to be remedied and stating that such notice is a “Notice
of Default” hereunder;

(iv)          the filing of a decree or order for relief by a court having
jurisdiction in the premises in respect of the Issuer or any substantial part
of the Collateral in an involuntary case under any applicable federal or state
bankruptcy, insolvency or other similar law now or hereafter in effect, or
appointing a receiver, liquidator, assignee, custodian, trustee, sequestrator
or similar official of the

 26
 

Issuer or for any substantial part of the
Collateral, or ordering the winding-up or liquidation of the Issuer’s affairs,
and such decree or order shall remain unstayed and in effect for a period of 60
consecutive days; or

(v)           the commencement by the Issuer of a voluntary case under any applicable
federal or state bankruptcy, insolvency or other similar law now or hereafter
in effect, or the consent by the Issuer to the entry of an order for relief in
an involuntary case under any such law, or the consent by the Issuer to the
appointment or taking possession by a receiver, liquidator, assignee, custodian,
trustee, sequestrator or similar official of the Issuer or for any substantial
part of the Collateral, or the making by the Issuer of any general assignment
for the benefit of creditors, or the failure by the Issuer generally to pay its
debts as such debts become due, or the taking of action by the Issuer in
furtherance of any of the foregoing.

The
Issuer shall deliver to the Indenture Trustee within five days after obtaining
knowledge of the occurrence thereof, written notice in the form of an Officer’s
Certificate of any event which with the giving of notice and the lapse of time
would become an Event of Default under clause (iii) above, its status and what
action the Issuer is taking or proposes to take with respect thereto.

Section
5.02.        Rights Upon Event of
Default.  If an Event of Default shall have occurred
and be continuing, other than an Event of Default described in Section 5.01(iv)
or (v) above, the Indenture Trustee or the Modified Required Holders may
declare the principal amount of the Notes immediately due and payable at
par.  At any time after such declaration
of acceleration of maturity has been made and before a judgment or decree for
payment of the money due has been obtained by the Indenture Trustee as
hereinafter in this Article Five, provided,
the Required Holders may rescind such declaration if (i) the Issuer has made
all payments of principal of and interest on all Notes when the same becomes
due and payable and (ii) the Issuer has paid all amounts due and payable to the
Indenture Trustee.  If an Event of
Default described in Section 5.01(iv) or (v) shall have occurred and be
continuing, the principal amount of the Notes shall become immediately due and
payable.

Section
5.03.        Collection of Indebtedness
and Suits for Enforcement by Indenture Trustee; Authority of Indenture Trustee.

(a)           The Issuer covenants that if the Notes are accelerated following the
occurrence of an Event of Default, the Issuer will, upon demand of the
Indenture Trustee, pay to it, for the benefit of the Holders of the Notes, the
whole amount then due and payable on such Notes for principal and interest,
with interest upon the overdue principal, and, to the extent payment at such
rate of interest shall be legally enforceable, upon overdue installments of
interest, at the applicable Interest Rate and in addition thereto such further
amount as shall be sufficient to cover costs and expenses of collection,
including the reasonable compensation, expenses, disbursements and advances of
the Indenture Trustee and its agents and counsel.

(b)           The Indenture Trustee following the occurrence of an Event of Default,
shall have full right, power and authority to take, or defer from taking, any
and all acts with respect to the administration, maintenance or disposition of
the Collateral.

(c)           If an Event of Default occurs and is continuing, the Indenture Trustee
may in its discretion (except as provided in Section 5.03(d)), proceed to
protect and enforce its rights and the rights of the Noteholders and the Swap
Counterparty, by such appropriate Proceedings as the Indenture Trustee shall
deem most effective to protect and enforce any such rights, whether for the
specific enforcement of any covenant or agreement in this Indenture or in aid
of the exercise of any

 27
 

power granted herein, or to enforce any other
proper remedy or legal or equitable right vested in the Indenture Trustee by
this Indenture or by law.

(d)           Notwithstanding anything to the contrary contained in this Indenture,
if an Event of Default shall have occurred and be continuing and if the Issuer
fails to perform its obligations under Section 10.01(b) when and as due, the
Indenture Trustee may in its discretion proceed to protect and enforce its
rights and the rights of the Noteholders and the Swap Counterparty by such
appropriate Proceedings as the Indenture Trustee shall deem most effective to
protect and enforce any such rights, whether for specific performance of any
covenant or agreement in this Indenture or in aid of the exercise of any power
granted herein, or to enforce any other proper remedy or legal or equitable
right vested in the Indenture Trustee by this Indenture or by law, provided
that the Indenture Trustee shall only be entitled to take any such actions to
the extent such actions (i) are taken only to enforce the Issuer’s obligations
to redeem the principal amount of Notes, and (ii) are taken only against the
Collateral any investments therein and any proceeds thereof.

(e)           In case there shall be pending, relative to the Issuer or any other
obligor upon the Notes or any Person having or claiming an ownership interest
in the Collateral, Proceedings under Title 11 of the United States Code or any
other applicable federal or state bankruptcy, insolvency or other similar law,
or in case a receiver, assignee or trustee in bankruptcy or reorganization,
liquidator, sequestrator or similar official shall have been appointed for or
taken possession of the Issuer or its property or such other obligor or Person,
or in case of any other comparable judicial Proceedings relative to the Issuer
or other obligor upon the Notes, or to the creditors or property of the Issuer
or such other obligor, the Indenture Trustee, irrespective of whether the
principal of any Notes shall then be due and payable as therein expressed or by
declaration or otherwise and irrespective of whether the Indenture Trustee
shall have made any demand pursuant to the provisions of this Section, shall be
entitled and empowered, by intervention in such Proceedings or otherwise:

(i)            to
file and prove a claim or claims for the whole amount of principal and interest
owing and unpaid in respect of the Notes and to file such other papers or
documents as may be necessary or advisable in order to have the claims of the
Indenture Trustee (including any claim for reasonable compensation to the
Indenture Trustee and each predecessor Indenture Trustee, and their respective
agents, attorneys and counsel, and for reimbursement of all expenses and
liabilities incurred, and all advances made, by the Indenture Trustee and each
predecessor Indenture Trustee, except as a result of negligence or bad faith)
and of the Noteholders and the Swap Counterparty allowed in such Proceedings;

(ii)           unless
prohibited by applicable law and regulations, to vote on behalf of the Holders
of Notes in any election of a trustee, a standby trustee or Person performing
similar functions in any such Proceedings;

(iii)          to
collect and receive any moneys or other property payable or deliverable on any
such claims and to distribute all amounts received with respect to the claims
of the Noteholders, the Swap Counterparty and the Indenture Trustee on their
behalf; and

(iv)          to
file such proofs of claim and other papers or documents as may be necessary or
advisable in order to have the claims of the Indenture Trustee or the Holders
of Notes allowed in any judicial proceedings relative to the Issuer, its
creditors and its property;

and any trustee, receiver, liquidator, custodian or
other similar official in any such Proceeding is hereby authorized by each of
such Noteholders to make payments to the Indenture Trustee, and, in

 28
 

the event that the Indenture Trustee shall consent
to the making of payments directly to such Noteholders, to pay to the Indenture
Trustee such amounts as shall be sufficient to cover reasonable compensation to
the Indenture Trustee, each predecessor Indenture Trustee and their respective
agents, attorneys and counsel, and all other expenses and liabilities incurred,
and all advances made, by the Indenture Trustee and each predecessor Indenture
Trustee except as a result of negligence or bad faith.

(f)            Nothing herein contained shall be deemed to
authorize the Indenture Trustee to authorize or consent to or vote for or
accept or adopt on behalf of any Noteholder or the Swap Counterparty any plan
of reorganization, arrangement, adjustment or composition affecting the Notes
or the rights of any Holder thereof or to authorize the Indenture Trustee to
vote in respect of the claim of any Noteholder or the Swap Counterparty in any
such proceeding except, as aforesaid, to vote for the election of a trustee in
bankruptcy or similar Person.

(g)           All rights of action and of asserting claims under this Indenture or
under any of the Notes or the Interest Rate Swap Agreement, may be enforced by
the Indenture Trustee without the possession of any of the Notes or the
production thereof in any trial or other Proceedings relative thereto, and any
such action or Proceedings instituted by the Indenture Trustee shall be brought
in its own name as trustee of an express trust, and any recovery of judgment,
subject to the payment of the expenses, disbursements and compensation of the
Indenture Trustee, each predecessor Indenture Trustee and their respective
agents and attorneys, shall be for the ratable benefit of the Holders of the
Notes and the Swap Counterparty.

(h)           In any Proceedings brought by the Indenture Trustee (including any
Proceedings involving the interpretation of any provision of this Indenture),
the Indenture Trustee shall be held to represent all of the Holders of the
Notes, and it shall not be necessary to make any Noteholder or the Swap
Counterparty a party to any such proceedings.

Section
5.04.        Remedies.  If an
Event of Default shall have occurred and be continuing, the Indenture Trustee
(subject to Section 5.05) may, and shall if so directed by the Required Holders
in writing:

(i)            institute Proceedings in its own name and as
or on behalf of a trustee of an express trust for the collection of all amounts
then payable on the Notes or under this Indenture with respect thereto, whether
by declaration or otherwise, enforce any judgment obtained, and collect from
the Issuer, the Swap Counterparty and any other obligor upon such Notes moneys
adjudged due;

(ii)           institute Proceedings from time to time for the complete or partial
foreclosure of this Indenture with respect to the Collateral;

(iii)          exercise
any remedies of a secured party under the UCC and any other remedy available to
the Indenture Trustee and take any other appropriate action to protect and
enforce the rights and remedies of the Indenture Trustee on behalf of the
Noteholders and the Swap Counterparty under this Indenture or the Notes; and

(iv)
         sell the Collateral or any portion thereof or
rights or interest therein, at one or more public or private sales called and
conducted in any manner permitted by law; provided, however, that the Indenture
Trustee may not sell or otherwise liquidate the Collateral following an Event
of Default, unless (A) the Holders of 100% of the Outstanding Amount of the
Notes, consent thereto, (B) the proceeds of such sale or liquidation
distributable to the Noteholders and the Swap

 29
 

Counterparty are sufficient to discharge in full all
amounts then due and unpaid upon such Notes for principal and interest and all
payments due in respect of the Interest Rate Swap Agreement or (C) there has
been an Event of Default described in Section 5.01(i) or (ii) and the Indenture
Trustee determines that the Collateral will not continue to provide sufficient
funds for the payment of principal of and interest on the Notes and all amounts
due to the Swap Counterparty under the Interest Rate Swap Agreement as they
would have become due if the Notes had not been declared due and payable, and
the Indenture Trustee provides prior written notice to each Rating Agency and
obtains the consent of the Required Holders. 
In determining such sufficiency or insufficiency with respect to clauses
(B) and (C), the Indenture Trustee may, but need not, obtain and rely upon an opinion
of an Independent investment banking or accounting firm of national reputation
as to the feasibility of such proposed action and as to the sufficiency of the
Collateral for such purpose.

Section
5.05.        Optional Preservation of
the Contracts.  Following an Event of Default and if such
Event of Default has not been rescinded and annulled, the Indenture Trustee
may, but need not, elect to maintain possession of the Collateral.  It is the desire of the parties hereto and
the Noteholders and the Swap Counterparty that there be at all times sufficient
funds for the payment of principal and interest on the Notes and amounts due to
the Swap Counterparty under the Interest Rate Swap Agreement, and the Indenture
Trustee shall take such desire into account when determining whether or not to
maintain possession of the Collateral. 
In determining whether to maintain possession of the Collateral, the
Indenture Trustee may, but need not, obtain and rely upon an opinion of an
Independent investment banking or accounting firm of national reputation as to
the feasibility of such proposed action and as to the sufficiency of the
Collateral for such purpose.

Section
5.06.        Priorities.

(a)           If the Indenture Trustee collects any money or property pursuant to
this Article Five, it shall pay out the money or property in the order and
priority set forth in Section 7.05(b) or (c) of the Sale and Servicing
Agreement.

(b)           The Indenture Trustee may fix a record date and payment date for any
payment to Noteholders pursuant to this Section.  At least 15 days before such record date, the
Issuer shall mail to each Noteholder and the Indenture Trustee a notice that
states the record date, the payment date and the amount to be paid.

Section
5.07.        Limitation of Suits.  No
Holder of any Note shall have any right to institute any Proceeding, judicial
or otherwise, with respect to this Indenture, or for the appointment of a
receiver or trustee, or for any other remedy hereunder, unless (and in all
events subject to Section 11.16 hereof):

(i)            such Holder has previously given written
notice to the Indenture Trustee of a continuing Event of Default;

(ii)           the Holders of not less than 25% of the
Outstanding Amount of the Controlling Class have made written request to the
Indenture Trustee to institute such Proceeding in respect of such Event of
Default in its own name as Indenture Trustee hereunder;

(iii)          such Holder or Holders have offered to the
Indenture Trustee reasonable indemnity against the costs, expenses and
liabilities to be incurred in complying with such request;

(iv)          the Indenture Trustee for 60 days after its
receipt of such notice, request and offer of indemnity has failed to institute
such Proceedings; and

 30
 

(v)           no direction inconsistent with such written
request has been given to the Indenture Trustee during such 60-day period by
the Required Holders.

It is understood and intended that no one or more Holders of Notes
shall have any right in any manner whatever by virtue of, or by availing of,
any provision of this Indenture to affect, disturb or prejudice the rights of
any other Holders of Notes or to obtain or to seek to obtain priority or
preference over any other Holders or to enforce any right under this Indenture,
except in the manner herein provided.

In
the event the Indenture Trustee shall receive conflicting or inconsistent
requests and indemnity from two or more groups of Holders of Notes of the
Controlling Class, each representing less than a majority of the Outstanding
Amount of the Controlling Class, the Indenture Trustee in its sole discretion
may determine what action, if any, shall be taken, notwithstanding any other
provisions of this Indenture.

Section
5.08.        Unconditional Rights of
Noteholders to Receive Principal and Interest. 
Notwithstanding any other provisions in this Indenture, the Holder of
any Note shall have the right, which is absolute and unconditional, to receive
payment of the principal of and interest on such Note on or after the
respective due dates thereof expressed in such Note or in this Indenture (or,
in the case of redemption, on or after the Redemption Date) and to institute
suit for the enforcement of any such payment, and such right shall not be
impaired without the consent of such Holder.

Section
5.09.        Restoration of Rights and
Remedies.  If the Indenture Trustee or any Noteholder
has instituted any Proceeding to enforce any right or remedy under this
Indenture and such proceeding has been discontinued or abandoned for any reason
or has been determined adversely to the Indenture Trustee or to such
Noteholder, then and in every such case the Indenture Trustee and the
Noteholders shall, subject to any determination in such Proceeding, be restored
severally and respectively to their former positions hereunder, and thereafter
all rights and remedies of the Indenture Trustee and the Noteholders shall
continue as though no such Proceeding had been instituted.

Section
5.10.        Rights and Remedies
Cumulative.  No right or remedy herein conferred upon or
reserved to the Indenture Trustee or to the Noteholders is intended to be
exclusive of any other right or remedy, and every right and remedy shall, to
the extent permitted by law, be cumulative and in addition to every other right
and remedy given hereunder or now or hereafter existing at law or in equity or
otherwise.  The assertion or employment
of any right or remedy hereunder, or otherwise, shall not prevent the
concurrent assertion or employment of any other appropriate right or remedy.

Section
5.11.        Delay or Omission Not a
Waiver.  No delay or omission of the Indenture Trustee
or any Holder of any Note to exercise any right or remedy accruing upon any
Default of Event of Default shall impair any such right or remedy or constitute
a waiver of any such Default or Event of Default or an acquiescence
therein.  Every right and remedy given by
this Article Five or by law to the Indenture Trustee, the Swap Counterparty or
to the Noteholders may be exercised from time to time, and as often as may be
deemed expedient, by the Indenture Trustee, the Swap Counterparty or by the
Noteholders, as the case may be.

Section
5.12.        Control by Noteholders.  The
Required Holders shall have the right to direct the time, method and place of
conducting any Proceeding for any remedy available to the Indenture Trustee
with respect to the Notes or exercising any trust or power conferred on the
Indenture Trustee; provided that:

 31
 

(i)            such direction shall not be in conflict with
any rule of law or with this Indenture;

(ii)           subject to the terms of Section 5.04, any
direction to the Indenture Trustee to sell or liquidate the Collateral shall be
by the Holders of Notes representing not less than 100% of the Outstanding
Amount of the Notes;

(iii)          if the conditions set forth in Section 5.05
have been satisfied and the Indenture Trustee elects to retain the Collateral
pursuant to such Section, then any direction to the Indenture Trustee by
Holders of Notes representing less than 100% of the Outstanding Amount of the
Notes to sell or liquidate the Collateral shall be of no force and effect; and

(iv)          the Indenture Trustee may take any other
action deemed proper by the Indenture Trustee that is not inconsistent with
such direction.

Notwithstanding the rights of Noteholders set forth in this Section,
subject to Section 6.01, the Indenture Trustee need not take any action that it
determines might involve it in liability or might materially and adversely
affect the rights of any Noteholders not consenting to such action.

Section
5.13.        Waiver of Past Defaults.  In
the case of any waiver of an Event of Default, the Issuer, the Indenture
Trustee and the Holders of the Notes shall be restored to their former
positions and rights hereunder, respectively; but no such waiver shall extend
to any subsequent or other Event of Default or impair any right consequent
thereto.  Upon any such waiver, such
Event of Default shall cease to exist and be deemed to have been cured and not
to have occurred, for every purpose of this Indenture; but no such waiver shall
extend to any subsequent or other Default or Event of Default or impair any
right consequent thereto.

Section 5.14.        Undertaking for Costs.  All
parties to this Indenture agree, and each Holder of any Note by such Holder’s
acceptance thereof shall be deemed to have agreed, that any court may in its
discretion require, in any suit for the enforcement of any right or remedy
under this Indenture, or in any suit against the Indenture Trustee for any
action taken, suffered or omitted by it as Indenture Trustee, the filing by any
party litigant in such suit of an undertaking to pay the costs of such suit and
that such court may in its discretion assess reasonable costs, including
reasonable attorneys’ fees, against any party litigant in such suit, having due
regard to the merits and good faith of the claims or defenses made by such
party litigant; but the provisions of this Section shall not apply to (i) any
suit instituted by the Indenture Trustee, (ii) any suit instituted by any
Noteholder, or group of Noteholders, in each case holding in the aggregate more
than 10% of the Outstanding Amount of the Controlling Class or (iii) any suit
instituted by any Noteholder for the enforcement of the payment of principal of
or interest on any Note on or after the respective due dates expressed in such
Note and in this Indenture (or, in the case of redemption, on or after the
Redemption Date).

Section 5.15.        Waiver of Stay or
Extension Laws.  The Issuer covenants
(to the extent that it may lawfully do so) that it will not at any time insist
upon, or plead or in any manner whatsoever, claim or take the benefit or
advantage of, any stay or extension law wherever enacted, now or at any time
hereafter in force, that may affect the covenants or the performance of this
Indenture; and the Issuer (to the extent that it may lawfully do so) hereby
expressly waives all benefit or advantages of any such law, and covenants that
it will not hinder, delay or impede the execution of any power herein granted
to the Indenture Trustee, but will suffer and permit the execution of every
such power as though no such law had been enacted.

 32

Section
5.16.                         Action on Notes.  The
Indenture Trustee’s right to seek and recover judgment on the Notes or the
Interest Rate Swap Agreement under this Indenture shall not be affected by the
seeking, obtaining or application of any other relief under or with respect to
this Indenture.  Neither the lien of this
Indenture nor any rights or remedies of the Indenture Trustee, the Noteholders
or the Swap Counterparty shall be impaired by the recovery of any judgment by
the Indenture Trustee against the Issuer or by the levy of any execution under
such judgment upon any portion of the Collateral or upon any of the assets of
the Issuer.  Any money or property
collected by the Indenture Trustee shall be applied in accordance with Section
5.06.

Section
5.17.                         Performance and Enforcement
of Certain Obligations.

(a)                                  Promptly following a request from the
Indenture Trustee to do so and at the Administrator’s expense, the Issuer shall
take all such lawful action as the Indenture Trustee may request to compel or
secure the performance and observance by the Trust Depositor, the Servicer and
the Swap Counterparty, as applicable, of each of their obligations to the
Issuer under or in connection with the Sale and Servicing Agreement and the
Interest Rate Swap Agreement in accordance with the terms thereof, and to
exercise any and all rights, remedies, powers and privileges lawfully available
to the Issuer under or in connection with the Sale and Servicing Agreement and
the Interest Rate Swap Agreement to the extent and in the manner directed by
the Indenture Trustee, including the transmission of notices of default on the
part of the Trust Depositor or the Servicer thereunder and the institution of
legal of administrative actions or proceedings to compel or secure performance
by the Trust Depositor or the Servicer of each of their obligations under the
Sale and Servicing Agreement.

(b)                                 If an Event of Default has occurred and is
continuing, the Indenture Trustee may, and at the direction (which direction
shall be in writing, including facsimile) of the Modified Required Holders
shall exercise all rights, remedies, powers, privileges and claims of the
Issuer against the Trust Depositor, the Servicer or the Swap Counterparty under
or in connection with the Sale and Servicing Agreement or the Interest Rate
Swap Agreement, including the right or power to take any action to compel or
secure performance or observance by the Trust Depositor or the Servicer of each
of their obligations to the Issuer thereunder and to give any consent, request,
notice, direction, approval, extension or waiver under the Sale and Servicing
Agreement, and any right of the Issuer to take such action shall be suspended.

ARTICLE SIX

THE INDENTURE TRUSTEE

Section
6.01.                         Duties of Indenture
Trustee.

(a)                                  If an Event of Default has occurred and is
continuing, the Indenture Trustee shall exercise the rights and powers vested
in it by this Indenture and in the same degree of care and skill in their
exercise as a prudent person would exercise or use under the circumstances in the
conduct of such person’s own affairs.

(b)                                 Except during the continuance of an Event of
Default:

(i)                                     the Indenture Trustee undertakes to perform
such duties and only such duties as are specifically set forth in this
Indenture and no implied covenants or obligations shall be read into this
Indenture against the Indenture Trustee; and

 33
 

(ii)                                  in the absence of bad faith on its part, the
Indenture Trustee may conclusively rely, as to the truth of the statements and
the correctness of the opinions expressed therein, upon certificates or
opinions furnished to the Indenture Trustee and conforming to the requirements
of this Indenture; however, the Indenture Trustee shall examine the
certificates and opinions to determine whether or not they conform to the
requirements of this Indenture and the other Transaction Documents to which the
Indenture Trustee is a party.

(c)                                  The Indenture Trustee may not be relieved
from liability for its own negligent action, its own negligent failure to act
or its own willful misconduct, except that:

(i)                                     this paragraph does not limit the effect of
Section 6.01(b);

(ii)                                  the Indenture Trustee shall not be liable for
any error of judgment made in good faith by a Responsible Officer unless it is
proved that the Indenture Trustee was negligent in ascertaining the pertinent
facts; and

(iii)                             the Indenture Trustee shall not be liable
with respect to any action it takes or omits to take in good faith in
accordance with a direction received by it pursuant to Section 5.12.

(d)                                 Every provision of this Indenture that in any
way relates to the Indenture Trustee is subject to paragraphs (a), (b) and (c)
of this Section.

(e)                                  The Indenture Trustee shall not be liable for
interest on any money received by it except as the Indenture Trustee may agree
in writing with the Issuer.

(f)                                    Money held in trust by the Indenture Trustee
need not be segregated from other funds except to the extent required by law or
the terms of this Indenture or the Sale and Servicing Agreement.

(g)                                 No provision of this Indenture shall require
the Indenture Trustee to expend or risk its own funds or otherwise incur
financial liability in the performance of any of its duties hereunder or in the
exercise of any of its rights or powers, if it shall have reasonable grounds to
believe that repayments of such funds or adequate indemnity against such risk
or liability is not reasonably assured to it.

(h)                                 The Indenture Trustee shall have no
discretionary duties other than performing those ministerial acts set forth
above necessary to accomplish the purpose of this Trust as set forth in this
Indenture.

(i)                                     Every provision of this Indenture relating to
the conduct or affecting the liability of or affording protection to the
Indenture Trustee shall be subject to the provisions of this section and to the
provisions of the TIA.

Section
6.02.                         Rights of Indenture
Trustee.

(a)                                  The Indenture Trustee may rely on any
document believed by it to be genuine and to have been signed or presented by
the proper person. The Indenture Trustee need not investigate any fact or
matter stated in the document.

 34
 

(b)                                 Before the Indenture Trustee acts or refrains
from acting, it may require an Officer’s Certificate (with respect to factual
matters) or an Opinion of Counsel, as applicable.  The Indenture Trustee shall not be liable for
any action it takes or omits to take in good faith in reliance on the Officer’s
Certificate or Opinion of Counsel.

(c)                                  The Indenture Trustee may execute any of the
trusts or powers hereunder or perform any duties hereunder either directly or
by or through Affiliates, agents or attorneys or a custodian or nominee, and
the Indenture Trustee shall not be responsible for any misconduct or negligence
on the part of, or for the supervision of, any such agent, attorney, custodian
or nominee appointed with due care by it hereunder.

(d)                                 The Indenture Trustee shall not be liable for
any action it takes or omits to take in good faith which it believes to be
authorized or within its rights or powers; provided, however, that the
Indenture Trustee’s conduct does not constitute willful misconduct, negligence
or bad faith.

(e)                                  The Indenture Trustee may consult with
counsel, and the advice of such counsel or any Opinion of Counsel with respect
to legal matters relating to this Indenture and the Notes shall be full and
complete authorization and protection from liability in respect to any action
taken, omitted or suffered by it hereunder in good faith and in accordance with
such advice or Opinion of Counsel.

(f)                                    The Indenture Trustee shall be under no
obligation to institute, conduct or defend any litigation under this Indenture
or in relation to this Indenture, at the request, order or direction of any of
the Holders of Notes, pursuant to the provisions of this Indenture, unless such
Holders of Notes shall have offered to the Indenture Trustee reasonable
security or indemnity against the costs, expenses and liabilities that may be
incurred therein or thereby; provided, however, that the Indenture Trustee
shall, upon the occurrence of an Event of Default (that has not been cured),
exercise the rights and powers vested in it by this Indenture in a manner
consistent with Section 6.01.

(g)                                 The Indenture Trustee shall not be bound to
make any investigation into the facts or matters stated in any resolution,
certificate, statement, instrument, opinion, report, notice, request, consent,
order, approval, bond or other paper or document, unless so requested by the
Holders of Notes evidencing not less than 25% of the Outstanding Amount of the
Notes; provided, however, that if the payment within a reasonable time to the
Indenture Trustee of the costs, expenses 
or liabilities likely to be incurred by it in the making of such
investigation is, in the opinion of the Indenture Trustee, not reasonably
assured to the Indenture Trustee by the security afforded to it by the terms of
this Indenture or the Sale and Servicing Agreement, the Indenture Trustee may
require reasonable indemnity against such cost, expense or liability as a
condition to so proceeding; the reasonable expense of every such examination
shall be paid by the Person making such request, or, if paid by the Indenture
Trustee, shall be reimbursed by the Person making such request upon demand.

Section
6.03.                         Individual Rights of
Indenture  Trustee.  The
Indenture Trustee in its individual or any other capacity may become the owner
or pledgee of Notes and may otherwise deal with the Issuer or its Affiliates
with the same rights it would have if it were not Indenture Trustee.  Any Paying Agent, Note Registrar, Calculation
Agent, co-registrar or co-paying agent may do the same with like rights.  However, the Indenture Trustee is required to
comply with Section 6.11.

Section
6.04.                         Indenture Trustee’s Disclaimer.
 The Indenture Trustee shall not be responsible
for and makes no representation as to the validity or adequacy of this
Indenture, the Interest Rate Swap Agreement, the Collateral or the Notes, it
shall not be accountable for the Issuer’s use of the proceeds from the Notes,
and it shall not be responsible for any statement of the Issuer in

 35
 

this Indenture or the Interest Rate Swap Agreement or in any document
issued in connection with the sale of the Notes or in the Notes other than the
Indenture Trustee’s certificate of authentication.

Section
6.05.                         Notice of Defaults.  If a Default occurs and is continuing and if it is known to a
Responsible Officer of the Indenture Trustee, the Indenture Trustee shall mail
to the Swap Counterparty and each Noteholder notice of the Default within 90
days after it occurs.  Except in the case
of a Default in payment of principal of or interest on any Note (including
payments pursuant to the redemption of such Notes), the Indenture Trustee may
withhold the notice if and so long as a committee of its Responsible Officers
in good faith determines that withholding the notice is in the interests of
Noteholders and the Swap Counterparty, as applicable.

Section
6.06.                         Reports by Indenture
Trustee to Holders.  Within the prescribed period of time for tax
reporting purposes after the end of each calendar year during the term of this
Indenture, the Indenture Trustee shall deliver to each Noteholder such
information, including without limitation, IRS Form 1099, as may be required by
applicable law to enable such holder to prepare its federal and state income tax
returns.

Section
6.07.                         Compensation and Indemnity.  The Issuer shall pay or shall cause the Administrator to pay to the
Indenture Trustee from time to time reasonable compensation for its
services.  The Indenture Trustee’s
compensation shall not be limited by any law on compensation of a trustee of an
express trust.  The Issuer shall or shall
cause the Administrator to reimburse the Indenture Trustee for all reasonable
out-of-pocket expenses incurred or made by it, including costs of collection,
in addition to the compensation for its services.  Such expenses shall include the reasonable
compensation and expenses, disbursements and advances of the Indenture Trustee’s
agents, counsel, accountants and experts. 
The Issuer shall indemnify or shall cause the Administrator to indemnify
the Indenture Trustee against any and all loss, liability or expense (including
attorneys’ fees) incurred by it in connection with the administration of this
trust and the performance of its duties hereunder.  The Indenture Trustee shall notify the Issuer
and the Administrator promptly of any claim for which it may seek
indemnity.  Failure by the Indenture
Trustee to so notify the Issuer and the Administrator shall not relieve the
Issuer or the Administrator of its obligations hereunder.  The Issuer shall defend or shall cause the
Administrator to defend any such claim, and the Indenture Trustee may have
separate counsel and the Issuer shall pay or shall cause the Administrator to
pay the fees and expenses of such counsel. 
Neither the Issuer nor the Administrator need reimburse any expense or
indemnify against any loss, liability or expense incurred by the Indenture
Trustee through the Indenture Trustee’s own willful misconduct, negligence or
bad faith.

The
Issuer’s payment obligations and indemnification to the Indenture Trustee
pursuant to this Section shall survive the resignation or removal of the
Indenture Trustee and the termination and discharge of this Indenture; provided
that the Indenture Trustee shall be entitled only to compensation for its
services for the period prior to the date of such resignation or removal of the
Indenture Trustee.  When the Indenture
Trustee incurs expenses after the occurrence of an Event of Default specified in
Section 5.01(iv) or (v) with respect to the Issuer, the expenses are intended
to constitute expenses of administration under Title 11 of the United States
Code or any other applicable federal or state bankruptcy, insolvency or similar
law.

Section
6.08.                         Replacement of Indenture
Trustee.  The Indenture Trustee may resign at any time
by so notifying the Issuer and the Servicer. 
The Issuer shall remove the Indenture Trustee if:

(i)                                     the Indenture Trustee fails to comply with
Section 6.11;

 36
 

(ii)                                  a court having jurisdiction in the premises
in respect of the Indenture Trustee in an involuntary case or proceeding under
federal or state banking or bankruptcy laws, as now or hereafter constituted,
or any other applicable federal or state bankruptcy, insolvency or other
similar law, shall have entered a decree or order granting relief or appointing
a receiver, liquidator, assignee, custodian, trustee, conservator, sequestrator
(or similar official) for the Indenture Trustee or for any substantial part of
the Indenture Trustee’s property, or ordering the winding-up or liquidation of
the Indenture Trustee’s affairs, provided any such decree or order shall have
continued unstayed and in effect for a period of 30 consecutive days;

(iii)                               the Indenture Trustee commences a voluntary
case under any federal or state banking or bankruptcy laws, as now or hereafter
constituted, or any other applicable federal or state bankruptcy, insolvency or
other similar law, or consents to the appointment of or taking possession by a
receiver, liquidator, assignee, custodian, trustee, conservator, sequestrator
or other similar official for the Indenture Trustee or for any substantial part
of the Indenture Trustee’s property, or makes any assignment for the benefit of
creditors or fails generally to pay its debts as such debts become due or takes
any corporate action in furtherance of any of the foregoing; or

(iv)                              the Indenture Trustee otherwise becomes
incapable of acting.

If
the Indenture Trustee resigns or is removed, the Issuer shall promptly appoint
a successor Indenture Trustee.  A
successor Indenture Trustee shall deliver a written acceptance of its
appointment to the retiring Indenture Trustee, the Swap Counterparty and to the
Issuer.  Thereupon the resignation or
removal of the retiring Indenture Trustee shall become effective, and the
successor Indenture Trustee shall have all the rights, powers and duties of the
Indenture Trustee under this Indenture. 
The Issuer or the successor Indenture Trustee shall mail a notice of its
succession to Noteholders and the Swap Counterparty.  The retiring Indenture Trustee shall promptly
transfer all property held by it as Indenture Trustee to the successor
Indenture Trustee.

If
a successor Indenture Trustee does not take office within 60 days after the
retiring Indenture Trustee resigns or is removed, the retiring Indenture
Trustee, the Issuer or the Holders of a majority in Outstanding Amount of the
Notes may appoint or petition any court of competent jurisdiction for the
appointment of a successor Indenture Trustee.

If
the Indenture Trustee fails to comply with Section 6.11, any Noteholder may
petition any court of competent jurisdiction for the removal of the Indenture
Trustee and the appointment of a successor Indenture Trustee.

Any
resignation or removal of the Indenture Trustee and appointment of a successor
Indenture Trustee pursuant to any of the provisions of this Section shall not
become effective until acceptance of appointment by the successor Indenture
Trustee pursuant to this Section and payment of all fees and expenses owed to the
outgoing Indenture Trustee. 
Notwithstanding the replacement of the Indenture Trustee pursuant to
this Section, the retiring Indenture Trustee shall be entitled to payment or
reimbursement of such amounts as such Person is entitled pursuant to Section 6.07.

Section
6.09.                         Successor Indenture Trustee
by Merger.  If the Indenture Trustee consolidates with,
merges or converts into, or transfers all or substantially all its corporate
trust business or assets to, another corporation or banking association, the resulting,
surviving or transferee corporation without any further act shall be the
successor Indenture Trustee; provided, that such corporation or banking
association shall be otherwise qualified and eligible under Section 6.11.  The Indenture Trustee shall provide each
Rating Agency prompt notice of any such transaction.

 37
 

In
case at the time such successor or successors by merger, conversion or
consolidation to the Indenture Trustee shall succeed to the trusts created by
this Indenture, any of the Notes shall have been authenticated but not
delivered, any such successor to the Indenture Trustee may adopt the
certificate of authentication of any predecessor Indenture Trustee, and deliver
such Notes so authenticated; and in case at that time any of the Notes shall
not have been authenticated, any successor to the Indenture Trustee may
authenticate such Notes either in the name of any predecessor hereunder or in
the name of the successor to the Indenture Trustee; and in all such cases such
certificates shall have the full force which it is anywhere in the Notes or in
this Indenture provided that the certificate of the Indenture Trustee shall
have.

Section
6.10.                         Appointment of Co-Indenture
Trustee or Separate Indenture Trustee.

(a)                                  Notwithstanding any other provision of this
Indenture, at any time, for the purpose of meeting any legal requirement of any
jurisdiction in which any part of the Collateral may at the time be located,
the Indenture Trustee and the Administrator acting jointly shall have the power
and may execute and deliver all instruments to appoint one or more Persons to
act as a co-Indenture Trustee or co-Indenture Trustees, jointly with the
Indenture Trustee, or separate Indenture Trustee or separate Indenture
Trustees, of all or any part of the Trust, and to vest in such Person or
Persons, in such capacity and for the benefit of the Noteholders, such title to
the Collateral, or any part hereof, and, subject to the other provisions of
this Section, such powers, duties, obligations, rights and trusts as the
Indenture Trustee and the Administrator may consider necessary or
desirable.  If the Administrator shall
not have joined in such appointment within 15 days after the receipt by it of a
request so to do, the Indenture Trustee alone shall have the power to make such
appointment.  No co-Indenture Trustee or
separate Indenture Trustee hereunder shall be required to meet the terms of
eligibility of a successor Indenture Trustee under Section 6.11 and no notice
to Noteholders or the Swap Counterparty of the appointment of any co-Indenture
Trustee or separate Indenture Trustee shall be required under Section 6.08.

(b)                                 Every separate Indenture Trustee and
co-Indenture Trustee shall, to the extent permitted by law, be appointed and
act subject to the following provisions and conditions:

(i)                                     all rights, powers, duties and obligations
conferred or imposed upon the Indenture Trustee shall be conferred or imposed
upon and exercised or performed by the Indenture Trustee and such separate
Indenture Trustee or co-Indenture Trustee jointly (it being understood that
such separate Indenture Trustee or co-Indenture Trustee is not authorized to
act separately without the Indenture Trustee joining in such act), except to
the extent that under any law of any jurisdiction in which any particular act
or acts are to be performed the Indenture Trustee shall be incompetent or
unqualified to perform such act or acts, in which event such rights, powers,
duties and obligations (including the holding of title to the Trust or any portion
thereof in any such jurisdiction) shall be exercised and performed singly by
such separate Indenture Trustee or co-Indenture Trustee, but solely at the
direction of the Indenture Trustee;

(ii)                                  no Indenture Trustee hereunder shall be
personally liable by reason of any act or omission of any other Indenture
Trustee hereunder; and

(iii)                             the Indenture Trustee and the Administrator
may at any time accept the resignation of or remove any separate Indenture
Trustee or co-Indenture Trustee.

(c)                                  Any notice, request or other writing given to
the Indenture Trustee shall be deemed to have been given to each of the then
separate Indenture Trustees and co-Indenture Trustees, as

 38
 

effectively as if given to each of them.  Every instrument appointing any separate
Indenture Trustee or co-Indenture Trustee shall refer to this Indenture and the
conditions of this Article.  Each
separate Indenture Trustee and co-Indenture Trustee, upon its acceptance of the
trusts conferred, shall be vested with the estates or property specified in its
instrument of co-appointment, either jointly with the Indenture Trustee or
separately, as may be provided therein, subject to all the provisions of this
Indenture, specifically including every provision of this Indenture relating to
the conduct of, affecting the liability of or affording protection to, the
Indenture Trustee.  Every such instrument
shall be filed with the Indenture Trustee and a copy thereof given to the
Administrator.

(d)                                 Any separate Indenture Trustee or
co-Indenture Trustee may at any time constitute the Indenture Trustee, its
agent or attorney-in-fact with full power and authority, to the extent not
prohibited by law, to do any lawful act under or in respect of this Indenture
on its behalf and in its name.  If any
separate Indenture Trustee or co-Indenture Trustee shall die, become incapable
of acting, resign or be removed, all of its estates, properties, rights,
remedies and trusts shall vest in and be exercised by the Indenture Trustee, to
the extent permitted by law, without the appointment of a new or successor
Indenture Trustee.  Notwithstanding
anything to the contrary in this Indenture, the appointment of any separate
Indenture Trustee or co-Indenture Trustee shall not relieve the Indenture
Trustee of its obligations and duties under this Indenture.

Section
6.11.                         Eligibility.

(a)                                  The Indenture Trustee shall at all times
satisfy the requirements of TIA §310(a). 
The Indenture Trustee hereunder shall at all times be a financial
institution organized and doing business under the laws of the United States of
America or any state, authorized under such laws to exercise corporate trust
powers.  The Indenture Trustee or its
parent shall have a long term unsecured debt rating of at least Baa3 by Moody’s
and shall have a combined capital and surplus of at least $50,000,000 and
subject to supervision or examination by federal or state authority, provided
that the Indenture Trustee’s separate capital and surplus shall at all times be
at least the amount required by Section 310(a)(2) of the TIA.  If such Person publishes reports of condition
at least annually, pursuant to law or to the requirements of a supervising or
examining authority, then for the purposes of this Section 6.ll, the combined
capital and surplus of such Person shall be deemed to be its combined capital
and surplus as set forth in its most recent report of condition so published.

(b)                                 If a Default occurs and is continuing and the
Indenture Trustee is deemed to have a “conflicting interest” (as defined in the
TIA) as a result of acting as trustee for the Class A-1 Notes, the Class A-2
Notes, the Class A-3 Notes and the Class A-4 Notes, the Class B Notes and the
Class C Notes, the Issuer shall appoint a successor Indenture Trustee for the
Class A-1 Notes, the Class A-2 Notes, the Class A-3 Notes and the Class A-4
Notes, a successor Indenture Trustee for the Class B Notes and a successor
Indenture Trustee for the Class C Notes so that there will be separate
Indenture Trustees for the Class A-1 Notes, the Class A-2 Notes, the Class A-3
Notes and the Class A-4 Notes, for the Class B Notes and for the Class C
Notes.  No such event shall alter the
voting rights of the Noteholders under this Indenture or under any of the other
Transaction Documents.

(c)                                  In the case of an appointment hereunder of a
successor Indenture Trustee with respect to any Class of Notes, the Issuer, the
retiring Indenture Trustee and the successor Indenture Trustee with respect to
such Class of Notes shall execute and deliver an indenture supplement hereto
wherein the successor Indenture Trustee shall accept such appointment and which
(i) shall contain such provisions as shall be necessary or desirable to
transfer and confirm to, and to vest in, the successor Indenture Trustee all
rights, powers, trusts and duties of the retiring Indenture Trustee with
respect to the Notes of such Class as to which the appointment of such
Indenture Trustee relates, (ii) if the retiring Indenture Trustee is not
retiring with respect to all Classes of Notes, shall contain such

 39
 

provisions as shall be deemed necessary or
desirable to confirm that all the rights, powers, trusts and duties of the
retiring Indenture Trustee with respect to the Notes of each Class as to which
the retiring Indenture Trustee is not retiring shall continue to be vested in
the retiring Indenture Trustee and (iii) shall add to or change any of the
provisions of this Indenture as shall be necessary to provide for or facilitate
the administration of the trusts hereunder by more than one Indenture Trustee,
it being understood that nothing herein or in such supplemental indenture shall
constitute such Indenture Trustees co-trustees of the same trust and that each
such Indenture Trustee; and upon execution and delivery of such supplemental
indenture the resignation or removal of the retiring Indenture Trustee shall
become effective to the extent provided therein.

(d)                                 In case at any time the Indenture Trustee
shall cease to be eligible in accordance with the provisions of this Section
6.11, the Indenture Trustee shall resign immediately in the manner and with the
effect specified in Section 6.08.  The
Indenture Trustee shall comply with TIA §310(b); provided, however, that there
shall be excluded from the operation of TIA §310(b)(1) any indenture or
indentures under which other securities of the Issuer are outstanding if the
requirements for such exclusion set forth in TIA §310(b)(1) are met.

Section
6.12.                         Pennsylvania Motor Vehicle
Sales Finance Act Licenses.  The Indenture Trustee shall use its best
efforts to maintain the effectiveness of all licenses required under the
Pennsylvania Motor Vehicle Sales Finance Act in connection with this Indenture
and the transactions contemplated hereby until the lien and security interest
of this Indenture shall no longer be in effect in accordance with the terms
hereof.

Section
6.13.                         Preferential Collection of
Claims Against Issuer.  The Indenture Trustee shall comply with TIA
§311(a), excluding any creditor relationship listed in TIA §311(b).  An Indenture Trustee who has resigned or been
removed shall be subject to TIA §311(a) to the extent indicated.

Section 6.14.                         Representations and Warranties of
Indenture Trustee.  The Indenture Trustee hereby represents and
warrants to the Issuer as follows:

(a)                                  Organization. It has been duly organized and is validly
existing as a national banking association organized under the laws of the
United States and has the power to conduct its business and affairs as a
trustee.

(b)                                 Authorization; Binding
Obligations. It has the
corporate power and authority to perform the duties and obligations of Trustee
under this Indenture. It has taken all necessary corporate action to authorize
the execution, delivery and performance of each Transaction Document to which
it is a party, and all of the documents required to be executed by it pursuant
hereto. Upon execution and delivery by the Issuer, this Indenture will
constitute the legal, valid and binding obligation of it enforceable against it
in accordance with its terms, subject to applicable bankruptcy, reorganization,
insolvency, fraudulent conveyance, moratorium, and similar laws affecting the
rights of creditors and subject to equitable principles (whether enforcement is
sought in a legal or equitable proceeding).

(c)                                  No Conflict. Neither the execution, delivery and
performance of any Transaction Document to which it is a party, nor the
consummation of the transactions contemplated thereby, (i) is prohibited by, or
requires it to obtain any consent, authorization, approval or registration
under, any law, statute, rule, regulation, judgment, order, writ, injunction or
decree that is binding upon it or any of its properties or assets or (ii) will
violate any provision of, result in any default or acceleration

 40
 

of any obligations under, result in the
creation or imposition of any lien pursuant to, or require any consent under,
any agreement to which it is a party or by which it or any of its property is
bound.

(d)                                 No Proceedings. There are no proceedings pending, or to the
best of its knowledge, threatened against it before any federal, state,
provincial or other governmental agency, authority, administrator or regulatory
body, arbitrator, court or other tribunal, foreign or domestic, that could
reasonably be expected to have a material adverse effect on the Collateral or
the Noteholders or any action taken or to be taken by it under any Transaction
Document to which it is a party.

(e)                                  Eligible Trustee. It is an eligible trustee under the TIA as
of the Closing Date.

ARTICLE SEVEN

NOTEHOLDERS’ LISTS AND
REPORTS

Section
7.01.                         Issuer to Furnish Indenture
Trustee Names and Addresses of Noteholders.  The Issuer will furnish or
cause to be furnished to the Indenture Trustee (i) not more than five days
after the earlier of (a) each Record Date and (b) three months after the last
Record Date, a list, in such form as the Indenture Trustee may reasonably
require, of the names and addresses of the Noteholders as of such Record Date
and (ii) at such other times as the Indenture Trustee may request in writing,
within 30 days after receipt by the Issuer of any such request, a list of
similar form and content as of a date not more than ten days prior to the time
such list is furnished; provided, however, that so long as the Indenture
Trustee is the Note Registrar, no such list shall be required to be furnished.

Section
7.02.                         Preservation of
Information: Communication to Noteholders.

(a)                                  The Indenture Trustee shall preserve, in as
current a form as is reasonably practicable, the names and addresses of the
Noteholders contained in the most recent list furnished to the Indenture
Trustee as provided in Section 7.01 and the names and addresses of Noteholders
received by the Indenture Trustee in its capacity as Note Registrar and shall
otherwise comply with TIA §312(a).  The
Indenture Trustee may destroy any list furnished to it as provided in such
Section 7.01 upon receipt of a new list so furnished.

(b)                                 Noteholders may communicate pursuant to TIA §
312(b) with other Noteholders with respect to their rights under this Indenture
or under the Notes.

(c)                                  The Issuer, the Indenture Trustee and the
Note Registrar shall have the protection of TIA § 312(c).

Section
7.03.                         Reports by Issuer.

(a)                                  The Issuer shall:

(i)                                     file with the Indenture Trustee, within 15
days after the Issuer is required (if at all) to file the same with the
Commission, copies of the annual reports and of the information, documents and
other reports (or copies of such portions of any of the foregoing as the
Commission may from time to time by rules and regulations prescribe) that the
Issuer may be required to file with the Commission pursuant to Section 13 or
15(d) of the Exchange Act;

 41
 

(ii)                                  file with the Indenture Trustee and the
Commission in accordance with rules and regulations prescribed from time to
time by the Commission such additional information, documents and reports with
respect to compliance by the Issuer with the conditions and covenants of this
Indenture as may be required from time to time by such rules and regulations;

(iii)                               supply to the Indenture Trustee (and the Indenture
Trustee shall transmit by mail to all Noteholders described in TIA §313(c))
such summaries of any information, documents and reports required to be filed
by the Issuer pursuant to clauses (i) and (ii) of this Section 7.03(a) and by
rules and regulations prescribed from time to time by the Commission.

(b)                                 Unless the Issuer otherwise determines, the
fiscal year of the Issuer shall end on December 31 of each year.

Section
7.04.                         Reports by Indenture
Trustee.  If required by TIA §313(a), within 60 days after
each January 31st beginning with January 31, 2008, the Indenture
Trustee shall mail to each Noteholder as required by TIA §313(c) a brief report
dated as of such date that complies with TIA §313(a).  The Indenture Trustee also shall comply with
TIA §313(b).

A
copy of each report at the time of its mailing to Noteholders shall be filed by
the Indenture Trustee with the Commission and each stock exchange, if any, on
which the Notes are listed.  The Issuer
shall notify the Indenture Trustee if and when the Notes are listed on any
stock exchange.

ARTICLE EIGHT

ACCOUNTS, DISBURSEMENTS AND
RELEASES

Section
8.01.                         Collection of Money. 
Except as otherwise expressly provided herein, the Indenture Trustee may
demand payment or delivery of, and shall receive and collect, directly and
without intervention or assistance of any fiscal agent or other intermediary,
all money and other property payable to or receivable by the Indenture Trustee
pursuant to this Indenture and the Sale and Servicing Agreement.  The Indenture Trustee shall apply all such
money received by it as provided in this Indenture and the Sale and Servicing
Agreement.  Except as otherwise expressly
provided in this Indenture, if any default occurs in the making of any payment
or performance under any agreement or instrument that is part of the
Collateral, the Indenture Trustee may take such action as may be appropriate to
enforce such payment or performance, including the institution and prosecution
of appropriate Proceedings.  Any such
action shall be without prejudice to any right to claim a Default or Event of
Default under this Indenture and any right to proceed thereafter as provided in
Article Five.

Section
8.02.                         Trust Accounts.

(a)                                  On or prior to the Closing Date, the Issuer
shall cause the Servicer to establish and maintain, in the name of the
Indenture Trustee, for the benefit of the Noteholders and the
Certificateholders, the Trust Accounts as provided in Section 5.05 of the Sale
and Servicing Agreement.

(b)                                 All Available Monies with respect to each Due
Period will be deposited in the Collection Account as provided in Section 5.05
of the Sale and Servicing Agreement.  On
or before

 42
 

each Distribution Date, all amounts required
to be deposited in the Note Distribution Account with respect to the preceding
Due Period pursuant to Section 7.05 of the Sale and Servicing Agreement will be
transferred from the Collection Account and/or the Reserve Account to the Note
Distribution Account.

(c)                                  On each Distribution Date, the Indenture
Trustee shall distribute all amounts on deposit in the Note Distribution
Account to Noteholders in respect of the Notes to the extent of amounts due and
unpaid on the Notes for principal and interest in the order and priority set
forth in Section 7.05 of the Sale and Servicing Agreement.

Section
8.03.                         General Provisions
Regarding Accounts.

(a)                                  So long as no Default or Event of Default
shall have occurred and be continuing, all or a portion of the funds in the
Trust Accounts and the Swap Collateral Account shall be invested in accordance
with the provisions of Section 5.05 of the Sale and Servicing Agreement.  Except as otherwise provided in Section 5.05
of the Sale and Servicing Agreement, all income or other gain from investments
of moneys deposited in such Trust Accounts (other than the Reserve Fund) shall
be deposited by the Indenture Trustee in the Collection Account and all income
or other gain from investments of moneys deposited into the Swap Collateral
Account shall be deposited into the Swap Collateral Account, and any loss
resulting from such investments shall be charged to the related Trust Account
or Swap Collateral Account, as applicable. 
The Issuer will not direct the Indenture Trustee to make any investment
of any funds or to sell any investment held in any of the Trust Accounts unless
the security interest granted and perfected in such account will continue to be
perfected in such investment or the proceeds of such sale, in either case
without any further action by any Person, and, in connection with any direction
to the Indenture Trustee to make any such investment or sale, if requested by
the Indenture Trustee, the Issuer shall deliver to the Indenture Trustee an
Opinion of Counsel, acceptable to the Indenture Trustee, to such effect.

(b)                                 Subject to Section 6.01(c), the Indenture
Trustee shall not in any way be held liable by reason of any insufficiency in
any of the  Trust Accounts resulting from
any loss on any Eligible Investment included therein except for losses
attributable to the Indenture Trustee’s failure to make payments on such
Eligible Investments issued by the Indenture Trustee, in its commercial
capacity as principal obligor and not as Indenture Trustee, in accordance with
their terms.

(c)                                  If (i) the Issuer shall have failed to give
investment directions for any funds on deposit in the Trust Accounts to the
Indenture Trustee by 11:00 a.m., New York City time (or such other time as may
be agreed by the Issuer and Indenture Trustee), on any Business Day or (ii) a
Default or Event of Default shall have occurred and be continuing with respect
to the Notes but the Notes shall not have been declared due and payable
pursuant to Section 5.02 or (iii) if such Notes shall have been declared due
and payable following an Event of Default, but amounts collected or receivable
from the Collateral are being applied in accordance with Section 5.05 as if
there had not been such a declaration, then the Indenture Trustee shall, to the
fullest extent practicable, invest and reinvest funds in the Trust Accounts and
the Swap Collateral Account in one or more Eligible Investments satisfying the
requirements of clause (d) of the definition thereof.

Section
8.04.                         Release of Collateral.

(a)                                  Subject to the payment of its fees and
expenses pursuant to Section 6.07, the Indenture Trustee may, and when required
by the provisions of this Indenture or the Sale and Servicing Agreement shall,
execute instruments to release property from the lien of this Indenture, or
convey the Indenture Trustee’s interest in the same, in a manner and under circumstances
that are not

 43
 

inconsistent with the provisions of this
Indenture.  No party relying upon an
instrument executed by the Indenture Trustee as provided in this Article shall
be bound to ascertain the Indenture Trustee’s authority, inquire into the
satisfaction of any conditions precedent or see to the application of any
moneys.

(b)                                 The Indenture Trustee shall, at such time as
there are no Notes Outstanding and all sums due the Indenture Trustee pursuant
to Section 6.07 have been paid, and all sums due to the Swap Counterparty have
been paid pursuant to the Interest Rate Swap Agreement, release any remaining
portion of the Collateral that secured the Notes from the lien of this
Indenture and release to the Issuer or any other Person entitled thereto any
funds then on deposit in the Trust Accounts. 
The Indenture Trustee shall release property from the lien of this
Indenture pursuant to this Section 8.04(b) only upon receipt of an Issuer
Request accompanied by an Officer’s Certificate, an Opinion of Counsel and (if
required by the TIA as so stated in the Opinion of Counsel) Independent
Certificates in accordance with TIA §§314(c) and 314(d)(1) meeting the
applicable requirements of Section 11.01.

Section
8.05.                         Opinion of Counsel.  The
Indenture Trustee shall receive at least seven days notice when requested by
the Issuer to take any action pursuant to Section 8.04(a), accompanied by
copies of any instruments involved, and the Indenture Trustee shall also
require, as a condition to such action, an Opinion of Counsel, in form and
substance satisfactory to the Indenture Trustee, stating the legal effect of
any such action, outlining the steps required to complete the same, and
concluding that all conditions precedent to the taking of such action have been
complied with and such action will not materially and adversely impair the
security for the Notes or the rights of the Noteholders or the Swap
Counterparty in contravention of the provisions for this Indenture; provided,
however, that such Opinion of Counsel shall not be required to express an
opinion as to the fair value of the Collateral. 
Counsel rendering any such opinion may rely, without independent
investigation, on the accuracy and validity of any certificate or other
instrument delivered to the Indenture Trustee in connection with any such
action.

ARTICLE NINE

SUPPLEMENTAL INDENTURES

Section
9.01.                         Supplemental Indentures
Without Consent of Noteholders.

(a)                                  Without the consent of the Holders of any
Notes or the Swap Counterparty and with prior notice to each Rating Agency, the
Issuer and the Indenture Trustee, when authorized by an Issuer Order, and the
other parties hereto at any time from time to time, may enter into one or more
indentures supplemental hereto (which shall conform to the provisions of the
TIA as in force at the date of the execution thereof), in form satisfactory to
the Indenture Trustee, for any of the following purposes:

(i)                                     to correct or amplify the description of any
property at any time subject to the lien of this Indenture, or better to
assure, convey and confirm unto the Indenture Trustee any property subject or
required to be subjected to the lien created by this Indenture, or to subject
additional property to the lien created by this Indenture;

(ii)                                  to evidence the succession, in compliance
with the applicable provisions hereof, of another Person to the Issuer, and the
assumption by any such successor of the covenants of the Issuer herein and in
the Notes contained;

 44
 

(iii)                             to add to the covenants of the Issuer, for
the benefit of the Holders of the Notes and the Swap Counterparty, or to
surrender any right or power herein conferred upon the Issuer;

(iv)                            to convey, transfer, assign, mortgage or
pledge any property to or with the Indenture Trustee;

(v)                                 to cure any ambiguity, to correct or
supplement any provision herein or in any supplemental indenture which may be
inconsistent with any other provision herein, in any supplemental indenture, in
the Transaction Documents or in the Prospectus or to add any other provisions
with respect to matters or questions arising under this Indenture, in any
supplemental indenture, in the Transaction Documents or in the Prospectus;
provided that such action shall not adversely affect the interests of the
Holders of the Notes or the Swap Counterparty;

(vi)                            to evidence and provide for the acceptance of
the appointment hereunder by a successor Indenture Trustee and to add to or
change any of the provisions of this Indenture as shall be necessary to
facilitate the administration of the trusts hereunder by more than one
Indenture Trustee, pursuant to the requirements of Article Six; and

(vii)                         to modify, eliminate or add to the provisions
of this Indenture to such extent as shall be necessary to effect the
qualification of this Indenture under the TIA or under any similar federal
statute hereafter enacted and to add to this Indenture such other provisions as
may be expressly required by the TIA.

The
Indenture Trustee is hereby authorized to join in the execution of any such
supplemental indenture and to make any further appropriate agreements and
stipulations that may be therein contained.

(b)                                 The Issuer and the Indenture Trustee, when
authorized by an Issuer Order, may, also without the consent of any of the
Holders of the Notes or the Swap Counterparty and with prior notice to each
Rating Agency, enter into an indenture or indentures supplemental hereto for
the purpose of adding any provisions to, or changing in any manner or
eliminating any of the provisions of, this Indenture or of modifying in any manner
the rights of the Holders of the Notes or the Swap Counterparty under this
Indenture; provided, however, that such action shall not, as evidenced by an
Opinion of Counsel, adversely affect in any material respect the interests of
any Noteholder or the Swap Counterparty.

Section
9.02.                         Supplemental Indentures
With Consent of Noteholders and the Swap Counterparty.

(a)                                  The Issuer and the Indenture Trustee, when
authorized by an Issuer Order, may, with the consent of the Required Holders,
by Act of such Holders delivered to the Issuer and the Indenture Trustee, enter
into an indenture or indentures supplemental hereto for the purpose of adding
any provisions to, or changing in any manner or eliminating any of the
provisions of, this Indenture or of modifying in any manner the rights of the
Holders of the Notes under this Indenture; provided, however, that no such
supplemental indenture shall, without the consent of the Holder of each
Outstanding Note affected thereby:

(i)                                     change the date of payment of any installment
of principal of or interest on any Note, or reduce the principal amount
thereof, the interest rate thereon or the Redemption Date 

 45
 

Amount with respect thereto, change the provisions of this Indenture
relating to the application of collections on, or the proceeds of the sale of,
the Collateral to payment of principal of or interest on the Notes, or change
any place of payment where, or the coin or currency in which, any Note or the
interest thereon is payable, or impair the right to institute suit for the
enforcement of the provisions of this Indenture requiring the application of
funds available therefor, as provided in Article Five, to the payment of any
such amount due on the Notes on or after the respective due dates thereof (or,
in the case of redemption, on or after the 
Redemption Date);

(ii)                                  reduce the percentage of the Outstanding
Amount of the Notes, the consent of the Holders of which is required for any
such supplemental indenture, or the consent of the Holders of which is required
for any waiver of compliance with certain provisions of this Indenture or
certain defaults hereunder and their consequences provided for in this
Indenture;

(iii)                             modify or alter the provisions of the second
proviso to the definition of the term “Outstanding”;

(iv)                            reduce the percentage of the Outstanding
Amount of the Notes required to direct the Indenture Trustee to sell or
liquidate the Collateral pursuant to Section 5.04 or amend the provisions of
this Article which specify the percentage of the Outstanding Amount of the
Notes required to amend this Indenture or the other Transaction Documents;

(v)                               modify any provision of this Section except
to increase any percentage specified herein or to provide that certain
additional provisions of this Indenture or the other Transaction Documents
cannot be modified or waived without the consent of the Holder of each
Outstanding Note affected thereby; or

(vi)                            permit the creation of any lien ranking prior
to or on a parity with the lien created by this Indenture with respect to any
part of the Collateral or, except as otherwise permitted or contemplated
herein, terminate the lien created by this Indenture on any property at any
time subject hereto or deprive the Holder of any Note of the security provided
by the lien created by this Indenture.

(b)                                 The Issuer and the Indenture Trustee, when
authorized by an Issuer Order, also may, with prior written notice to the
Rating Agencies and with the consent in writing of the Swap Counterparty to
such action (which consent shall not be unreasonably withheld or delayed),
enter into an indenture or indentures supplemental hereto for the purpose of
adding any provisions to, or changing in any manner or eliminating any of the
provisions of, this Indenture or of modifying in any manner the rights of the
Swap Counterparty.

The
Indenture Trustee may in its discretion determine whether or not any Notes
would be affected by any supplemental indenture and any such determination
shall be conclusive upon the Holders of the Notes and the Swap Counterparty,
whether theretofore or thereafter authenticated and delivered hereunder.  The Indenture Trustee shall not be liable for
any such determination made in good faith.

It
shall not be necessary for any Act of Noteholders or the Swap Counterparty
under this Section to approve the particular form of any proposed supplemental
indenture, but it shall be sufficient if such Act shall approve the substance
thereof.

Promptly
after the execution by the parties hereto of any supplemental indenture
pursuant to this Section, the Indenture Trustee shall mail to the Holders of
the Notes and the Swap Counterparty

 46
 

to which such amendment or supplemental indenture relates a notice
setting forth in general terms the substance of such supplemental
indenture.  Any failure of the Indenture
Trustee to mail such notice, or any defect therein, shall not, however, in any
way impair or affect the validity of any such supplemental indenture.

Section
9.03.                         Execution of Supplemental
Indentures.  In executing, or permitting the additional
trusts created by, any supplemental indenture permitted by this Article or the
modifications thereby of the trusts created by this Indenture, the Indenture
Trustee shall be entitled to receive, and subject to Sections 6.01 and 6.02
shall be fully protected in relying upon, an Opinion of Counsel stating that
the execution of such supplemental indenture is authorized or permitted by this
Indenture.  The Indenture Trustee may,
but shall not be obligated to, enter into any such supplemental indenture that
affects the Indenture Trustee’s own rights, duties, liabilities or immunities
under this Indenture or otherwise.

Section
9.04.                         Effect of Supplemental
Indenture.  Upon the execution of any supplemental
indenture pursuant to the provisions hereof, this Indenture shall be and be
deemed to be modified and amended in accordance therewith with respect to the
Notes affected thereby and the rights of the Swap Counterparty under the
Interest Rate Swap Agreement, and the respective rights, limitations of rights,
obligations, duties, liabilities and immunities under this Indenture of the
parties hereto and the Holders of the Notes and the Swap Counterparty shall
thereafter be determined, exercised and enforced hereunder subject in all
respects to such modifications and amendments, and all the terms and conditions
of any such supplemental indenture shall be and be deemed to be part of the
terms and conditions of this Indenture for any and all purposes.

Section
9.05.                         Conformity With Trust
Indenture Act.  Every amendment of this Indenture and every
supplemental indenture executed pursuant to this Article shall conform to the
requirements of the Trust Indenture Act as then in effect so long as this
Indenture shall then be qualified under the Trust Indenture Act.

Section
9.06.                         Reference in Notes to
Supplemental Indentures.  Notes authenticated and delivered after the
execution of any supplemental indenture pursuant to this Article may, and if
required by the Indenture Trustee shall, bear a notation in form approved by
the Indenture Trustee as to any matter provided for in such supplemental
indenture.  If the Issuer or the
Indenture Trustee shall so determine, new notes so modified as to conform, in
the opinion of the Indenture Trustee and the Issuer, to any such supplemental
indenture may be prepared and executed by the Issuer and authenticated and
delivered by the Indenture Trustee in exchange for Outstanding Notes.

ARTICLE TEN

REDEMPTION OF NOTES

Section
10.01.                  Redemption.

(a)                                  In the event that the Servicer pursuant to
Section 7.10 of the Sale and Servicing Agreement purchases the corpus of the
Trust, the Notes are subject to redemption in whole, but not in part, on the
Distribution Date on which such repurchase occurs, for a purchase price equal
to the outstanding principal, and accrued interest on the Notes; provided,
however, that the Issuer has available funds sufficient to pay such
amounts.  The Servicer or the Issuer
shall furnish each Rating Agency notice of such redemption.  If the Notes are to be redeemed pursuant to
this Section 10.01(a), the Servicer or the Issuer shall furnish notice of such
election to the Indenture Trustee not

 47
 

later than 20 days prior to the Redemption
Date and the Issuer shall deposit with the Indenture Trustee in the Note
Distribution Account the Redemption Price to be redeemed whereupon all such
Notes shall be due and payable on the Redemption Date upon the furnishing of a
notice complying with Section 10.02 to each Holder of the Notes.

(b)                                 In the event that the assets of the Trust are
sold pursuant to Section 5.03(b) of this Indenture, the proceeds of such sale
shall be distributed as provided in Section 5.06.  If amounts are to be paid to Noteholders
pursuant to this Section 10.01(b), the Servicer or the Issuer shall, to the
extent practicable, furnish notice of such event to the Indenture Trustee not
later than 20 days prior to the Redemption Date whereupon all such amounts
shall be payable on the Redemption Date.

Section
10.02.                  Form of Redemption Notice.

(a)                                  Notice of redemption under Section 10.01(a)
shall be given by the Indenture Trustee by first-class mail, postage prepaid,
mailed not less than five days prior to the applicable Redemption Date to each
Holder of Notes, as of the close of business on the Record Date preceding the
applicable Redemption Date, at such Holder’s address appearing in the Note
Register and to the Swap Counterparty.

All
notices of redemption shall state:

(i)                                     the Redemption Date;

(ii)                                  the Redemption Date Amount; and

(iii)                               the place where such Notes are to be
surrendered for payment of the Redemption Date Amount (which shall be the
office or agency of the Issuer to be maintained as provided in Section 3.02).

Notice
of redemption of the Notes shall be given by the Indenture Trustee in the name
and at the expense of the Issuer. 
Failure to give notice of redemption, or any defect therein, to any
Holder of any Note shall not impair or affect the validity of the redemption of
any other Note.

(b)                                 Prior notice of redemption under Section
10.01(b) is not required to be given to Noteholders.

Section
10.03.                  Notes Payable on Redemption
Date.  The Notes or portions thereof to be redeemed
shall, following notice of redemption (if any) as required by Section 10.02, on
the Redemption Date become due and payable at the Redemption Date Amount and
(unless the Issuer shall default in the payment of the Redemption Date Amount)
no interest shall accrue on the Redemption Date Amount for any period after the
date to which accrued interest is calculated for purposes of calculating the
Redemption Date Amount.

 48

ARTICLE ELEVEN

MISCELLANEOUS

Section
11.01.                  Compliance Certificates and
Opinions, etc.

(a)                                  Upon any application or request by the Issuer
to the Indenture Trustee to take any action under any provision of this
Indenture, the Issuer shall furnish to the Indenture Trustee (i) an Officer’s
Certificate stating that all conditions precedent, if any, provided for in this
Indenture relating to the proposed action have been complied with, (ii) an
Opinion of Counsel stating that in the opinion of such counsel all such
conditions precedent, if any, have been complied with, and (iii) (if required
by the TIA as so stated in the Opinion of Counsel) an Independent Certificate
from a firm of certified public accountants meeting the applicable requirements
of this Section and TIA §314(c), except that, in the case of any such
application or request as to which the furnishing of such documents is
specifically required by any provision of this Indenture, no additional
certificate or opinion need be furnished. 
No additional certificate or opinion need be furnished.

Every
certificate or opinion with respect to compliance with a condition or covenant
provided for in this Indenture shall include:

(i)                               a statement that each signatory of such
certificate or opinion has read or has caused to be read such covenant or
condition and the definitions herein relating thereto;

(ii)                            a brief statement as to the nature and scope
of the examination or investigation upon which the statements or opinions
contained in such certificate or opinion are based;

(iii)                         a statement that, in the opinion of each such
signatory, such signatory has made such examination or investigation as is
necessary to enable such signatory to express an informed opinion as to whether
or not such covenant or condition has been complied with; and

(iv)                        a statement as to whether, in the opinion of
each such signatory, such condition or covenant has been complied with.

(b)                                 (i)                                     Prior to the deposit of any Collateral or
other property or securities with the Indenture Trustee that is to be made the
basis for authentication and delivery of the Notes or the release of any
property subject to the lien created by this Indenture, the Issuer shall, in
addition to any obligation imposed in Section 11.01(a) or elsewhere in this
Indenture, furnish to the Indenture Trustee an Officer’s Certificate certifying
or stating the opinion of the signer thereof as to the fair value (within 90
days of such deposit) of the Collateral or other property or securities to be
so deposited.

(ii)                                  Whenever the Issuer is required to furnish to
the Indenture Trustee an Officer’s Certificate certifying or stating the
opinion of any signer thereof as to  the
matters described in clause (i) above, the Issuer shall also deliver to the
Indenture Trustee an Independent Certificate as to the named matters, if the
fair value to the Issuer of the property to be so deposited and of all other
such property made the basis of any such withdrawal or release since the
commencement of the then-current fiscal year of the Issuer, as set forth in the
certificates delivered pursuant to clause (i) above and this clause (ii), is
10% or more of the Outstanding Amount of the Notes, but such a certificate need
not be furnished with respect to any property so deposited, if the fair value
thereof to the Issuer as set forth in the related Officer’s Certificate is less
than $25,000 or less than one percent of the Outstanding Amount of the Notes.

(iii)                               Other than with respect to any release
described in clause (A) or (B) of Section 11.01(b)(v), whenever any property or
securities are to be released from the lien created by

 49
 

this Indenture, the Issuer shall also furnish to the Indenture Trustee
an Officer’s Certificate certifying or stating the opinion of each person
signing such certificate as to the fair value (within 90 days of such release)
of the property or securities proposed to be released and stating that in the
opinion of such person the proposed release will not impair the security
created by this Indenture in contravention of the provisions hereof.

(iv)                              Whenever the Issuer is required to furnish to
the Indenture Trustee an Officer’s Certificate certifying or stating the
opinion of any signer thereof as to the matters described in clause (iii)
above, the Issuer shall also furnish to the Indenture Trustee an Independent
Certificate as to the same matters if the fair value of the property or
securities and of all other property or securities (other than property
described in clauses (A) or (B) of Section 11.01(b)(v)) released from the lien
created by this Indenture since the commencement of the then current fiscal
year, as set forth in the certificates required by clause (iii) above and this
clause (iv), equals 10% or more of the Outstanding Amount of the Notes, but
such certificate need not be furnished in the case of any release of property
or securities if the fair value thereof as set forth in the related Officer’s
Certificate is less than $25,000 or less than one percent of the then
Outstanding Amount of the Notes.

(v)                                 Notwithstanding any other provision of this
Section, the Issuer may, without compliance with the other provisions of this
Section, (A) collect, liquidate, sell or otherwise dispose of the Contracts as
and to the extent permitted or required by the Transaction Documents, and (B) make
cash payments out of the Trust Accounts as and to the extent permitted or
required by the Transaction Documents, so long as the Issuer shall deliver to
the Indenture Trustee every six months, commencing June 1, 2007, an Officer’s
Certificate stating that all the dispositions of Collateral described in
clauses (A) or (B) that occurred during the preceding six calendar months were
in the ordinary course of the Issuer’s business and that the proceeds thereof
were applied in accordance with the Transaction Documents.

Section
11.02.                  Form of Documents Delivered
to Indenture Trustee.  In any case where several matters are
required to be certified by, or covered by an opinion of, any specified Person,
it is not necessary that all such matters be certified by, or covered by the
opinion of, only one such Person, or that they be so certified or covered by
only one document, but one such Person may certify or give an opinion with
respect to some matters and one or more other such Person as to other matters,
and any such Person may certify or given an opinion as to such matters in one
or several documents.

Any
certificate or opinion of an Authorized Officer of the Issuer may be based,
insofar as it relates to legal matters, upon a certificate or opinion of, or
representations by, counsel, unless such officer knows, or in the exercise of
reasonable care should know, that the certificate or opinion or representations
with respect to the matters upon which his certificate or opinion is based are
erroneous.  Any such certificate of an
Authorized Officer or Opinion of Counsel may be based, insofar as it relates to
factual matters, upon a certificate or opinion of, or representations by, an
officer or officers of the Servicer, the Seller or the Issuer, stating that the
information with respect to such factual matters is in the possession of the
Servicer, the Seller or the Issuer, unless such counsel knows, or in the
exercise of reasonable care should know, that the certificate or opinion or
representations with respect to such matters are erroneous.

Where
any Person is required to make, give or execute two or more applications,
requests, consents, certificates, opinions or other instruments under this
Indenture, they may, but need not, be consolidated and form one instrument.

 50
 

Whenever
in this Indenture, in connection with any application or certificate or report
to the Indenture Trustee, it is provided that the Issuer shall deliver any
document as a condition of the granting of such application, or as evidence of
the Issuer’s compliance with any term hereof, it is intended that the truth and
accuracy, at the time of the granting of such application or at the effective
date of such certificate or report (as the case may be), of the facts and
opinions stated in such document shall in such case be conditions precedent to
the right of the Issuer to have such application granted or to the sufficiency
of such certificate or report.  The
foregoing shall not, however, be construed to affect the Indenture Trustee’s
right to rely upon the truth and accuracy of any statement or opinion contained
in any such document as provided in Article Six.

Section
11.03.                  Acts of Noteholders and the
Swap Counterparty.

(a)                                  Any request, demand, authorization,
direction, notice, consent, waiver or other action provided by this Indenture
to be given or taken by Noteholders and/or the Swap Counterparty may be
embodied in and evidenced by one or more instruments of substantially similar
tenor signed by such Noteholders or the Swap Counterparty, as the case may be,
in person or by agents duly appointed in writing; and except as herein
otherwise expressly provided such action shall become effective when such
instrument or instruments are delivered to the Indenture Trustee, and, where it
is hereby expressly required, to the Issuer. 
Such instrument or instruments (and the action embodied therein and
evidenced thereby) are herein sometimes referred to as the “Act” of the
Noteholders and/or the Swap Counterparty, as applicable, signing such
instrument or instruments.  Proof of
execution of any such instrument or of a writing appointing any such agent
shall be sufficient for any purpose of this Indenture and (subject to Section
6.01) conclusive in favor of the Indenture Trustee and the Issuer, if made in
the manner provided in this Section.

(b)                                 The fact and date of the execution by any
person of any such instrument or writing may be proved in any manner that the
Indenture Trustee deems sufficient.

(c)                                  The ownership of Notes shall be proved by the
Note Register.

(d)                                 Any request, demand, authorization,
direction, notice, consent, waiver or other action by the Holder of any Notes
shall bind the Holder of every Note issued upon the registration thereof or in
exchange therefor or in lieu thereof, in respect of anything done, omitted or
suffered to be done by the Indenture Trustee or the Issuer in reliance thereon,
whether or not notation of such action is made upon such Note.

Section
11.04.                  Notices.  All
notices, demands, certificates, requests and communications hereunder (“notices”)
shall be in writing and shall be effective (a) upon receipt when sent through
the U.S. mails, registered or certified mail, return receipt requested, postage
prepaid, with such receipt to be effective the date of delivery indicated on
the return receipt, or (b) one Business Day after delivery to an overnight
courier, or (c) on the date personally delivered to an Authorized Officer of
the party to which sent, or (d) on the date transmitted by legible telecopier
or electronic mail transmission with a confirmation of receipt, in all cases
addressed to the recipient at the address specified in the Sale and Servicing
Agreement for such recipient.  Each party
hereto may, by notice given in accordance herewith to each of the other parties
hereto, designate any further or different address to which subsequent notices
shall be sent.

Section
11.05.                  Notices to Noteholders;
Waiver.  Where this Indenture provides for notice to
Noteholders of any event, such notice shall be sufficiently given (unless
otherwise herein expressly provided) if in writing and mailed, first-class,
postage prepaid to each Noteholder affected by such event, at its address as it
appears on the Note Register, not later than the latest date, and not earlier

 51
 

than the earliest date, prescribed for the giving of such notice.  In any case where notice to Noteholders is
given by mail, neither the failure to mail such notice nor any defect in any
notice so mailed to any particular Noteholder shall affect the sufficiency of
such notice with respect to other Noteholders, and any notice that is mailed in
the manner herein provided shall conclusively be presumed to have been duly
given.

Where
this Indenture provides for notice in any manner, such notice may be waived in
writing by any Person entitled to receive such notice, either before or after
the event, and such waiver shall be the equivalent of such notice.  Waivers of notice by Noteholders shall be
filed with the Indenture Trustee but such filing shall not be a condition
precedent to the validity of any action taken in reliance upon such a waiver.

In
case, by reason of the suspension of regular mail service as a result of a
strike, work stoppage or similar activity, it shall be impractical to mail
notice of any event of Noteholders when such notice is required to be given
pursuant to any provision of this Indenture, then any manner of giving such
notice as shall be satisfactory to the Indenture Trustee shall be deemed to be
a sufficient giving of such notice.

Where
this Indenture provides for notice to the Rating Agencies, failure to give such
notice shall not affect any other rights or obligations created hereunder, and
shall not under any circumstance constitute a Default or Event of Default.

Section
11.06.                  Alternate Payment and
Notice Provisions.  Notwithstanding any provisions of this
Indenture or any of the Notes to the contrary, the Issuer may enter into any
agreement with any Holder of a Note providing for a method of payment, or
notice by the Indenture Trustee or any Paying Agent to such Holder, that is
different from the methods provided for in this Indenture for such payments or
notices.  The Issuer will furnish to the
Indenture Trustee a copy of each such agreement and the Indenture Trustee will
cause payments to be made and notices to be given in accordance with such
agreements.

Section
11.07.                  Effect of Headings and
Table of Contents.  The Article and Section headings herein and
the Table of Contents are for convenience only and shall not affect the
construction hereof.

Section
11.08.                  Successors and Assigns.  All
covenants and agreements in this Indenture and the Notes by the Issuer shall
bind its successors and assigns, whether so expressed or not.  All agreements of the Indenture Trustee in
this Indenture shall bind its successors, co-Indenture Trustees and agents.

Section
11.09.                  Separability.  In
case any provision in this Indenture or in the Notes shall be invalid, illegal
or unenforceable, the validity, legality and enforceability of the remaining
provisions shall not in any way be affected or impaired thereby.

Section
11.10.                  Benefits of Indenture.  The
Swap Counterparty shall be a third-party beneficiary to the provisions of this
Indenture.  Nothing in this Indenture or
in the Notes, express or implied, shall give to any Person, other than the
parties hereto and their successors hereunder, and the Noteholders and the Swap
Counterparty and any other party secured hereunder, and any other Person with
an ownership interest in any part of the Collateral, any benefit or any legal
or equitable right, remedy or claim under this Indenture.

 52
 

Section
11.11.                  Legal Holidays.  In
any case where the date on which any payment is due shall not be a Business
Day, then (notwithstanding any other provision of the Notes or this Indenture)
payment need not be made on such date, but may be made on the next succeeding
Business Day with the same force and effect as if made on the date on which
nominally due, and no interest shall accrue for the period from and after any
such nominal date.

Section
11.12.                  Governing Law.  THIS
INDENTURE SHALL BE CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF
ILLINOIS AND THE OBLIGATIONS, RIGHTS, AND REMEDIES OF THE PARTIES UNDER THE
AGREEMENT SHALL BE DETERMINED IN ACCORDANCE WITH SUCH LAWS.

Section
11.13.                  Counterparts.  This
Indenture may be executed in several counterparts, each of which shall be an
original and all of which shall constitute but one and the same instrument.

Section
11.14.                  Recording of Indenture.  If
this Indenture is subject to recording in any appropriate public recording
offices, such recording is to be effected by the Issuer and at its expense
accompanied by an Opinion of Counsel (which may be counsel to the Indenture
Trustee or any other counsel reasonably acceptable to the Indenture Trustee) to
the effect that such recording is necessary either for the protection of the
Noteholders or any other Person secured hereunder or for the enforcement of any
right or remedy granted to the Indenture Trustee under this Indenture.

Section
11.15.                  Trust Obligation.  No
recourse may be taken, directly or indirectly, with respect to the obligations
of the Issuer, the Owner Trustee or the Indenture Trustee on the Notes or under
Indenture or any certificate or other writing delivered in connection herewith
or therewith, against (i) the Indenture Trustee or the Owner Trustee in its
individual capacity, (ii) any owner of a beneficiary interest in the Issuer or
(iii) any partner, owner, beneficiary, agent, officer, director, employee or
agent of the Indenture Trustee or the Owner Trustee in its individual capacity,
any holder of a beneficial interest in the Issuer, the Owner Trustee or the
Indenture Trustee or of any successor or assign of the Indenture Trustee or the
Owner Trustee in its individual capacity, except as any such Person may have
expressly agreed (it being understood that the Indenture Trustee and the Owner
Trustee have no such obligations in their individual capacity) and except that
any such partner, owner or beneficiary shall be fully liable, to the extent
provided by applicable law, for any unpaid consideration for stock, unpaid
capital contribution or failure to pay any installment or call owing to such
entity.  For all purposes of this
Indenture, in the performance of any duties or obligations of the Issuer
hereunder, the Owner Trustee shall be subject to, and entitled to the benefits
of, the terms and provisions of Article Six, Seven and Eight of the Trust
Agreement.

Section
11.16.                  No Petition.  The
parties hereto, by entering into this Indenture, and each Noteholder, by
accepting a Note or a beneficial interest in a Note, hereby covenant and agree
that they will not at any time institute against the Trust Depositor or the
Issuer, or join in any institution against the Trust Depositor or the Issuer
of, any bankruptcy, reorganization, arrangement, insolvency or liquidation
proceedings, or other proceedings under any United States federal or state
bankruptcy or similar law in connection with any obligations relating to the
Notes, this Indenture or any of the other Transaction Documents.

Section
11.17.                  Inspection.  The
Issuer agrees that, on reasonable prior notice, it will permit any
representative of the Indenture Trustee, during the Issuer’s normal business
hours, to examine all the books of account, records, reports and other papers
of the Issuer, to make copies and extracts therefrom, to cause such books to be
audited by independent certified public accountants, and to discuss the Issuer’s
affairs, finances and accounts with the Issuer’s officers, employees and
independent certified public accountants, all at such reasonable times and as
often as may be

 53
 

reasonably requested, the Indenture Trustee shall and shall cause its
representatives to hold in confidence all such information except to the extent
disclosure may be required by law (and all reasonable applications for
confidential treatment are unavailing) and except to the extent that the
Indenture Trustee may reasonably determine that such disclosure is consistent
with its obligations hereunder.

Section
11.18.                  Conflict with Trust
Indenture Act.  If any provision hereof limits, qualifies or
conflicts with another provision hereof that is required to be included in this
Indenture by any of the provisions of the Trust Indenture Act, such required
provision shall control.

The
provisions of TIA §§310 through 317 that impose duties on any person (including
the provisions automatically deemed included herein unless expressly excluded
by this Indenture) are a part of and govern this Indenture, whether or not
physically contained herein.

Section
11.19.                  Disclaimer and
Subordination.  Each Noteholder by accepting a Note
acknowledges and agrees that such Note represents a debt obligation of the
Trust Depositor only and does not represent an interest in any assets (other
than the Trust Assets) of the Trust Depositor (including by virtue of any
deficiency claim in respect of obligations not paid or otherwise satisfied from
the Trust Assets and proceeds thereof). 
In furtherance of and not in derogation of the foregoing, each
Noteholder by accepting a Note acknowledges and agrees that it shall have no
right, title or interest in or to any assets (or interests therein) (other than
Trust Assets) conveyed or purported to be conveyed by the Trust Depositor to
another securitization trust (i.e., other than the Issuer) or other Person or
Persons in connection therewith (whether by way of a sale, capital contribution
or by virtue of the granting of a Lien) (“Other Assets”).  To the extent that, notwithstanding the
agreements and provisions contained in the preceding sentences of this Section
11.19, any Noteholder either (i) asserts an interest in or claim to, or benefit
from, Other Assets, whether asserted against or through the Trust Depositor or
any other Person owned by the Trust Depositor, or (ii) is deemed to have any
such interest, claim or benefit in or from Other Assets, whether by operation
of law, legal process, pursuant to applicable provisions of any applicable
insolvency laws or otherwise (including without limitation by virtue of Section
1111(b) of the federal Bankruptcy Code or any successor provision having
similar effect under the Bankruptcy Code or any successor provision having
similar effect under the Bankruptcy Code), and whether deemed asserted against
or through the Trust Depositor or any other Person owned by the Trust
Depositor, then each Noteholder by accepting a Note further acknowledges and
agrees that any such interest, claim or benefit in or from Other Assets is and
shall be expressly subordinated to the indefeasible payment in full of all
obligations and liabilities of the Trust Depositor which, under the terms of
the relevant documents relating to the securitization of such Other Assets, are
entitled to be paid from, entitled to the benefits of, or otherwise secured by such
Other Assets (whether or not any such entitlement or security interest is
legally perfected or otherwise entitled to a priority of distribution or
application under applicable law, including any applicable insolvency laws, and
whether asserted against the Trust Depositor or any other Person owned by the
Depositor), including, without limitation, the payment of post-petition
interest on such other obligations and liabilities.  This subordination agreement shall be deemed
a subordination agreement within the meaning of Section 510(a) of the
Bankruptcy Code.  Each Noteholder further
acknowledges and agrees that no adequate remedy at law exists for a breach of
this Section 11.19 and that the terms and provisions of this Section 11.19 may
be enforced by an action for specific performance.

Section
11.20.                  Limitation of Rights.  All
of the rights of the Swap Counterparty in, to and under this Indenture or any
other Transaction Document (including, but not limited to, all of the Swap
Counterparty’s rights as a third-party beneficiary of this Indenture and all of
the Swap Counterparty’s rights to receive notice of any action hereunder or
under any other Transaction

 54
 

Document and to give or withhold consent to any action hereunder or
under any other Transaction Document) shall terminate upon the termination of
the Interest Rate Swap Agreement in accordance with the terms thereof and the
payment in full of all amounts owing to the Swap Counterparty under such
Interest Rate Swap Agreement.

[signature page follows]

 55

IN WITNESS WHEREOF, the parties hereto have caused this Indenture to be
duly executed and delivered as of the day and year first above written.

	
  

  	
  HARLEY-DAVIDSON MOTORCYCLE

  
	
   

  	
  TRUST 2007-3

  
	
   

  	
   

  
	
   

  	
  By:

  	
  WILMINGTON TRUST COMPANY, not in its 

  individual capacity but solely on behalf of the 

  Issuer as Owner Trustee under the Trust Agreement

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ James P. Lawler

  	
   

  
	
   

  	
  Printed Name:   James P. Lawler

  	
   

  
	
   

  	
  Title:  Vice President

  	
   

  
	
   

  	
   

  
	
   

  	
  THE BANK OF NEW YORK TRUST COMPANY, N.A., 

  not in its individual capacity but solely as Indenture Trustee

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Corine D. Twin

  	
   

  
	
   

  	
  Printed Name:   Corine D. Twin

  
	
   

  	
  Title:  Assistant Vice President

  
					

 

STATE OF ILLINOIS     )

     )        SS

COUNTY OF COOK             )

	
             On

  	
     August 29, 2007

  	
   

  
	
   

  	
  [insert date]

  
	
   

  
	
  before me,

  	
     Michelle Kallick, Paralegal

  	
   

  
	
   

  	
  [Insert name and title of notary]

  
	
   

  
	
  personally appeared 

  	
   

  	
  ,

  
									

 

x           personally
known to me, or

o                                    proved to me on the basis of satisfactory
evidence to be the person(s) whose name(s) is/are subscribed to the within
instrument,

and acknowledged to me
that he/she/they executed the same in his/her/their authorized capacity(ties),
and that by his/her/their signature(s) on the instrument the person(s), or the
entity upon behalf of which such person(s) acted, executed the instrument.

WITNESS my hand and official seal.

	
  Signature

  	
     /s/ Michelle Kallick

  	
  [Seal]

  

 

STATE
OF DELAWARE                               )

)  SS

COUNTY OF NEW CASTLE       )

	
               On

  	
     August 23, 2007

  	
   

  
	
   

  	
  [insert date]

  
	
   

  	
   

  
	
  before me,

  	
     Amanda E. Gamble—Sales
  Associate

  	
   

  
	
   

  	
  [Insert name and title of notary]

  
	
   

  	
   

  
	
  personally appeared 

  	
   

  	
  ,

  
									

 

x                                  personally known to me, or

o                                    proved to me on the basis of satisfactory
evidence to be the person(s) whose name(s) is/are subscribed to the within
instrument,

and acknowledged to me
that he/she/they executed the same in his/her/their authorized capacity(ties),
and that by his/her/their signature(s) on the instrument the person(s), or the
entity upon behalf of which such person(s) acted, executed the instrument.

WITNESS my hand and official seal.

	
  Signature

  	
     /s/ Amanda E. Gamble

  	
   

  	
  [Seal]

  

 

EXHIBIT A-1

FORM OF CLASS A-1 NOTE

UNLESS
THIS NOTE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST
COMPANY, A NEW YORK CORPORATION (“DTC”), TO THE TRUST 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
SECURITY IS NOT A SAVINGS ACCOUNT OR DEPOSIT AND IT IS NOT INSURED BY THE
UNITED STATES OR ANY AGENCY OR FUND OF THE UNITED STATES.

THE
PRINCIPAL OF THIS NOTE IS PAYABLE IN INSTALLMENTS AS SET FORTH HEREIN.  ACCORDINGLY, THE OUTSTANDING PRINCIPAL AMOUNT
OF THIS NOTE AT ANY TIME MAY BE LESS THAN THE AMOUNT SHOWN ON THE FACE HEREOF.

HARLEY-DAVIDSON
MOTORCYCLE TRUST 2007-3

[      ]%
MOTORCYCLE CONTRACT BACKED NOTES, CLASS A-1

	
  REGISTERED

  	
                              $

  
	
   

  	
   

  
	
  No. R-

  	
  CUSIP No.            

  

 

Harley-Davidson
Motorcycle Trust 2007-3, a statutory trust organized and existing under the
laws of the State of Delaware (herein referred to as the “Issuer”), for value
received, hereby promises to pay to [          ],
or registered assigns, the principal sum of 
            
($      ) payable on the earlier of the
Distribution Date occurring in [            ]
(the “Class A-1 Final Distribution Date”) and the Redemption Date, if any,
pursuant to Section 10.01 of the Indenture referred to on the reverse hereof.

The
Issuer will pay interest on this Note at the rate per annum shown above on each
Distribution Date until the principal of this Note is paid or made available
for payment, on the principal amount of this Note outstanding on the preceding
Distribution Date (after giving effect to all payments of principal made on the
preceding Distribution Date), subject to certain limitations contained in
Section 3.01 of the Indenture.  Interest
on this Note will accrue for each Distribution Date during the related Interest
Period and will be computed for the actual number of days elapsed in the
related Interest Period based on a 360-day year.  Such principal of and interest on this Note
shall be paid in the manner specified 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.

 A-1-1
 

All payments made by the
Issuer with respect to this Note shall be applied first to interest due and
payable on this Note as provided above and then to the unpaid principal of this
Note.

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 the Indenture
Trustee whose name appears below by manual signature, this Note shall not be
entitled to any benefit under the indenture referred to on the reverse hereof,
or be valid or obligatory for any purpose.

 A-1-2
 

IN
WITNESS WHEREOF, the Issuer has caused this instrument to be signed, manually
or in facsimile, by an Authorized Officer, as of the date set forth below.

	
  Date:

  	
   

  	
   

  	
  HARLEY-DAVIDSON MOTORCYCLE

  
	
   

  	
  TRUST 2007-3

  
	
   

  	
   

  
	
   

  	
  By:

  	
  WILMINGTON TRUST COMPANY, not 

  in its individual capacity but solely on 

  behalf of the Issuer as Owner Trustee, 

  under the Trust Agreement

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
  Printed Name:

  	
   

  	
   

  
	
   

  	
  Title:

  	
   

  	
   

  
									

 

 A-1-3
 

INDENTURE TRUSTEE’S
CERTIFICATE OF AUTHENTICATION

This is one of the Notes
designated above and referred to in the within-mentioned Indenture.

	
  

  	
  THE BANK OF NEW YORK TRUST

  
	
   

  	
  COMPANY, N.A.

  
	
   

  	
  not in its individual capacity but solely as
  Indenture 

  Trustee

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
  Authorized Signatory

  

 

 A-1-4
 

[REVERSE OF CLASS A-1 NOTE]

This Note is one of a duly
authorized issue of Notes of the Issuer, designated as its [      ]%
Motorcycle Contract Backed Notes, Class A-1 (the “Class A-1 Notes”), all issued
under an Indenture, dated as of August 15, 2007 (the “Indenture”), between the
Issuer and The Bank of New York Trust Company, N.A., as Indenture Trustee (the “Indenture
Trustee”), to which Indenture and all indentures supplemental thereto reference
is hereby made for a statement of the respective rights and obligations
thereunder of the Issuer, the Indenture Trustee and the Holders of the
Notes.  The Class A-1 Notes are subject
to all terms of the Indenture.  All terms
used in this Note that are defined in the Indenture, as supplemented or
amended, shall have the meanings assigned to them in or pursuant to the
Indenture, as so supplemented or amended.

The Class A-1 Notes and the
other Classes of Notes described in the Indenture (collectively, the “Notes”)
are and will be equally and ratably secured by the collateral pledged as
security therefor as provided in the Indenture subject to the priorities of
allocations as to interest and principal payments as described in the Sale and
Servicing Agreement.

Principal of the Class A-1
Notes will be payable on the earlier of the Class A-1 Final Distribution Date
and the Redemption Date, if any, selected pursuant to the Indenture.  Notwithstanding the foregoing, the entire
unpaid principal amount of the Class A-1 Notes shall be due and payable on the
date following the occurrence of an Event of Default on which the maturity of
the Notes shall have been accelerated in the manner provided in the
Indenture.  All principal payments on the
Class A-1 Notes shall be made pro rata to the Class A-1 Noteholders entitled
thereto.

Payments of interest on this
Note due and payable on each Distribution Date shall be made by wire transfer
to the account of the Person whose name appears as the Registered Holder of
this Note (or one or more Predecessor Notes) on the Note Register as of the
close of business on each Record Date except that with respect to Notes
registered on the Record Date in the name of the nominee of the Clearing Agency
(initially, such nominee to be Cede & Co.), payments will be made by wire
transfer in immediately available funds to the account designated by such
nominee.  Such checks shall be mailed to
the Person entitled thereto at the address of such Person as it appears on the
Note Register as of the applicable Record Date without requiring that this Note
be submitted for notation of payment. 
Any reduction in the principal amount of this Note (or any one or more
Predecessor Notes) affected by any payments made on any Distribution Date shall
be binding upon all future Holders of this Note and of any Note issued upon the
registration of transfer hereof or in exchange hereof or in lieu hereof,
whether or not noted hereon.  If funds
are expected to be available, as provided in the Indenture, for payment in full
of the then remaining unpaid principal amount of this Note on a Distribution
Date, then the Indenture Trustee, in the name of and on behalf of the Issuer,
will notify the Person who was the Registered Holder hereof as of the Record
Date preceding such Distribution Date by notice mailed within five days of such
Distribution Date and the amount then due and payable shall be payable only
upon presentation and surrender of this Note at the Corporate Trust Office of
the Indenture Trustee or at the office of the Indenture Trustee’s agent
appointed for such purposes located in the City of Chicago, Illinois.

The Issuer shall pay
interest on overdue installments of interest at the Class A-1 Rate to the
extent lawful.

As provided in the Indenture, the Notes may be
redeemed pursuant to Section 10.01(a) of the Indenture, in whole, but not in
part, at the option of the Servicer, on any Distribution Date on or after the
date on which the Pool Balance is less than 10% of the Pool Balance as of the
Cutoff Date.

 A-1-5
 

As provided in the Indenture
and subject to certain limitations set forth therein, the transfer of this Note
may be registered on the Note Register upon surrender of this Note for
registration of transfer at the office or agency designated by the Issuer
pursuant to the Indenture, duly endorsed by, or accompanied by a written
instrument of transfer in form satisfactory to the Indenture Trustee duly
executed by, the Holder hereof or his attorney duly authorized in writing, with
such signature guaranteed by an eligible guarantor institution which is a
participant in the Securities Transfer Agent’s Medallion Program (STAMP) or
similar signature guarantee program, and such other documents as the Indenture
Trustee may require, and thereupon one or more new program, and such other
documents as the Indenture Trustee may require, and thereupon one or more new
Class A-1 Notes of authorized denominations and in the same aggregate principal
amount will be issued to the designated transferee or transferees.  No service charge will be charged for any
registration of transfer or exchange of this Note, but the transferor may be
required to pay a sum sufficient to cover any tax or other governmental charge
that may be imposed in connection with any such registration of transfer or
exchange.

Each Noteholder by
acceptance of a Note or a beneficial interest in a Note covenants and agrees
that no recourse may be taken, directly or indirectly, with respect to the
obligations of the Issuer, the Owner Trustee or the Indenture Trustee on the
Notes or under the Indenture or any certificate or other writing delivered in
connection therewith, against (i) the Indenture Trustee or the Owner Trustee in
its individual capacity, (ii) any owner of a beneficial interest in the Issuer
or (iii) any partner, owner, beneficiary, agent, officer, director or employee
of the Indenture Trustee or the Owner Trustee in its individual capacity, any
holder of a beneficial interest in the Issuer, the Owner Trustee or the
Indenture Trustee or of any successor or assign of the Indenture Trustee or the
Owner Trustee in its individual capacity, except as any such Person may have
expressly agreed and except that any such partner, owner or beneficiary shall
be fully liable, to the extent provided by applicable law, for any unpaid
consideration for stock, unpaid capital contribution or failure to pay any
installment or call owing to such entity.

Each Noteholder, by
acceptance of a Note or a beneficial interest in a Note covenants and agrees
that by accepting the benefits of the Indenture and such Note that such
Noteholder will not at any time institute against the Trust Depositor or the
Issuer, or join in any institution against the Trust Depositor or the Issuer
of, any bankruptcy, reorganization, arrangement, insolvency or liquidation
proceedings under any United States federal or state bankruptcy or similar law
in connection with any obligations relating to the Notes, the Indenture or the
Transaction Documents.

The Issuer has entered into
the Indenture, and this Note is issued with the intention that, for federal,
state and local income, single business and franchise tax purposes, the Notes
will qualify as indebtedness secured by the Collateral and that the Issuer will
be disregarded as a separate entity for federal income tax purposes pursuant to
Treasury Regulations Section 301.7701-3(b)(1)(ii).  Each Noteholder, by acceptance of a Note or a
beneficial interest in a Note, agrees to treat the Notes for federal, state and
local income, single business and franchise tax purposes as indebtedness of the
Issuer.

Prior to the due presentment
for registration of transfer of this Note, the Issuer and the Indenture Trustee
and any agent of the Issuer and the Indenture Trustee may treat the Person in
whose name this Note (as of the day of determination or as of such other date
as may be specified in the Indenture) is registered as the owner hereof for all
purposes, whether or not this Note be overdue, and neither the Issuer, the
Indenture Trustee nor any such agent shall be affected by notice to the
contrary.

 A-1-6
 

The Indenture permits, with
certain exceptions as therein provided, the amendment thereof and the
modification of the rights and obligations of the Issuer and the rights of the
Noteholders under the Indenture at any time by the Issuer and the Modified
Required Holders.  The Indenture also
contains provisions permitting the Noteholders representing specified
percentages of the Outstanding Amount of the Notes, on behalf of the
Noteholders, to waive compliance by the Issuer with certain provisions of the
Indenture and certain past defaults under the Indenture and their
consequences.  Any such consent or waiver
by the Noteholder  (or any one of more
Predecessor Notes) shall be conclusive and binding upon such Holders and upon
all future Noteholders  and of any Note
issued upon the registration of transfer hereof or in exchange hereof or in
lieu hereof whether or not notation of such consent or waiver is made upon this
Note.  The Indenture also permits the
Indenture Trustee to amend or waive certain terms and conditions set forth in
the Indenture without the consent of Noteholders issued thereunder.

Each Noteholder, by
acceptance of a Note or a beneficial interest in a Note is deemed to represent
that (i) it is not, and is not acquiring a Note or a beneficial interest in a
Note on behalf of or with “plan assets” (as determined under Department of
Labor Regulation Section 2510.3-101 or otherwise) of a Plan, or any employee
benefit plan subject to Similar Law, or (ii) its acquisition and holding of a
Note or a beneficial interest in a Note do not give rise to a nonexempt
prohibited transaction under Section 406 of ERISA or Section 4975 of the Code,
or any Similar Law.  Each Noteholder, by
acceptance of a Note or a beneficial interest in a Note is deemed to make one
of the foregoing representations.

The Notes are issuable only
in registered form in denominations as provided in the Indenture, subject to
certain limitations therein set forth.

This Note and the Indenture
shall be construed in accordance with the laws of the State of Illinois, and
the obligations, rights and remedies of the parties hereunder and thereunder
shall be determined in accordance with such laws.

No reference herein to the Indenture and no provision
of this Note or of the Indenture shall alter or impair the obligation of the
Issuer, which is absolute and unconditional, to pay the principal of and
interest on this Note at the times, place, and rate, and in the coin or
currency herein prescribed.

 A-1-7

EXHIBIT A-2a

FORM OF CLASS A-2a NOTE

UNLESS THIS NOTE IS
PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY, A
NEW YORK CORPORATION (“DTC”), TO THE TRUST 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 SECURITY IS NOT A
SAVINGS ACCOUNT OR DEPOSIT AND IT IS NOT INSURED BY THE UNITED STATES OR ANY
AGENCY OR FUND OF THE UNITED STATES.

THE PRINCIPAL OF THIS NOTE
IS PAYABLE IN INSTALLMENTS AS SET FORTH HEREIN. 
ACCORDINGLY, THE OUTSTANDING PRINCIPAL AMOUNT OF THIS NOTE AT ANY TIME
MAY BE LESS THAN THE AMOUNT SHOWN ON THE FACE HEREOF.

HARLEY-DAVIDSON MOTORCYCLE TRUST 2007-3

[      ]%
MOTORCYCLE CONTRACT BACKED NOTES,

CLASS A-2a

	
  REGISTERED

  	
                           $

  
	
   

  	
   

  
	
  No. R-

  	
  CUSIP No.          

  

 

Harley-Davidson Motorcycle
Trust 2007-3, a statutory trust organized and existing under the laws of the
State of Delaware (herein referred to as the “Issuer”), for value received,
hereby promises to pay to [              ],
or registered assigns, the principal sum of              
($            )
payable on the earlier of the Distribution Date occurring in [            ]
(the “Class A-2 Final Distribution Date”) and the Redemption Date, if any,
pursuant to Section 10.01 of the Indenture referred to on the reverse
hereof.  No payments of principal of the
Class A-2a Notes shall be made until the principal on the Class A-1 Notes have
been paid in full.

The Issuer will pay interest
on this Note at the rate per annum shown above on each Distribution Date until
the principal of this Note is paid or made available for payment, on the
principal amount of this Note outstanding on the preceding Distribution Date
(after giving effect to all payments of principal made on the preceding
Distribution Date), subject to certain limitations contained in Section 3.01 of
the Indenture.  Interest on this Note
will accrue for each Distribution Date during the related Interest Period and
will be computed on the basis of a 360-day year of twelve 30-day months.  Such principal of and interest on this Note
shall be paid in the manner specified 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.

 A-2a-1
 

All
payments made by the Issuer with respect to this Note shall be applied first to
interest due and payable on this Note as provided above and then to the unpaid
principal of this Note.

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 the Indenture Trustee whose name
appears below by manual signature, this Note shall not be entitled to any
benefit under the indenture referred to on the reverse hereof, or be valid or
obligatory for any purpose.

 A-2a-2
 

IN WITNESS WHEREOF, the
Issuer has caused this instrument to be signed, manually or in facsimile, by an
Authorized Officer, as of the date set forth below.

	
  Date:

  	
   

  	
   

  	
  HARLEY-DAVIDSON MOTORCYCLE

  
	
   

  	
  TRUST 2007-3

  
	
   

  	
   

  
	
   

  	
  By:

  	
  WILMINGTON TRUST COMPANY, not 

  in its individual capacity but solely on 

  behalf of the Issuer as Owner Trustee, 

  under the Trust Agreement

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
  Printed Name:

  	
   

  	
   

  
	
   

  	
  Title:

  	
   

  	
   

  
										

 

 A-2a-3
 

INDENTURE
TRUSTEE’S CERTIFICATE OF AUTHENTICATION

This is one of the Notes designated above and
referred to in the within-mentioned Indenture.

	
   

  	
  THE BANK OF NEW YORK TRUST 

  COMPANY, N.A.,

  
	
   

  	
  not in its individual capacity but solely as
  Indenture 

  Trustee

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
  Authorized Signatory

  

 

 A-2a-4
 

[REVERSE OF CLASS A-2a NOTE]

This Note is one of a duly authorized issue of Notes
of the Issuer, designated as its [       ]%
Motorcycle Contract Backed Notes, Class A-2a (the “Class A-2a Notes”), all
issued under an Indenture, dated as of August 15, 2007 (the “Indenture”),
between the Issuer and The Bank of New York Trust Company, N.A., as Indenture
Trustee (the “Indenture Trustee”), to which Indenture and all indentures
supplemental thereto reference is hereby made for a statement of the respective
rights and obligations thereunder of the Issuer, the Indenture Trustee and the
Holders of the Notes.  The Notes are
subject to all terms of the Indenture. 
All terms used in this Note that are defined in the Indenture, as
supplemented or amended, shall have the meanings assigned to them in or
pursuant to the Indenture, as so supplemented or amended.

The Class A-2a Notes and the other Classes of Notes
described in the Indenture (collectively, the “Notes”) are and will be equally
and ratably secured by the collateral pledged as security therefor as provided
in the Indenture subject to the priorities of allocations as to interest and
principal payments as described in the Sale and Servicing Agreement.

Principal of the Class A-2a Notes will be payable on
the earlier of the Class A-2 Final Distribution Date and the Redemption Date,
if any, pursuant to Section 10.01(a) or 10.01(b) of the Indenture.  Notwithstanding the foregoing, the entire
unpaid principal amount of the Class A-2a Notes shall be due and payable on the
date on which following the occurrence of an Event of Default on which the
maturity of the Notes shall have been accelerated in the manner provided in the
Indenture.  All principal payments on the
Class A-2a Notes shall be made pro rata to the Class A-2a Noteholders entitled
thereto.

Payments of interest on this Note due and payable on
each Distribution Date shall be made by wire transfer to the account of the
Person whose name appears as the Registered Holder of this Note (or one or more
Predecessor Notes) on the Note Register as of the close of business on each
Record Date, except that with respect to Notes registered on the Record Date in
the name of nominee of the Clearing Agency (initially, such nominee to be Cede
& Co.), payments will be made by wire transfer in immediately available
funds to the account designated by such nominee.  Such checks shall be mailed to the Person
entitled thereto at the address of such Person as it appears on the Note
Register as of the applicable Record Date without requiring that this Note be
submitted for notation of payment.  Any
reduction in the principal amount of this Note (or any one or more Predecessor
Notes) affected by any payments made on any Distribution Date shall be binding
upon all future Holders of this Note and of any Note issued upon the
registration of transfer hereof or in exchange hereof or in lieu hereof,
whether or not noted hereon.  If funds
are expected to be available, as provided in the Indenture, for payment in full
of the then remaining unpaid principal amount of this Note on a Distribution
Date, then the Indenture Trustee, in the name of and on behalf of the Issuer,
will notify the Person who was the Registered Holder hereof as of the Record
Date preceding such Distribution Date by notice mailed within five days of such
Distribution Date and the amount then due and payable shall be payable only
upon presentation and surrender of this Note at the Indenture Trustee’s
principal Corporate Trust Office or at the office of the Indenture Trustee’s
agent appointed for such purposes located in the City of Chicago, Illinois.

The Issuer shall pay interest on overdue
installments of interest at the Class A-2a Rate to the extent lawful.

As provided in the Indenture, the Notes may be
redeemed pursuant to Section 10.01(a) of the Indenture, in whole, but not in
part, at the option of the Servicer, on any Distribution Date on or after the
date on which the Pool Balance is less than 10% of the Pool Balance as of the
Cutoff Date.

 A-2a-5
 

As provided in the Indenture and subject to certain
limitations set forth therein, the transfer of this Note may be registered on
the Note Register upon surrender of this Note for registration of transfer at
the office or agency designated by the Issuer pursuant to the Indenture, duly
endorsed by, or accompanied by a written instrument of transfer in form
satisfactory to the Indenture Trustee duly executed by, the Holder hereof or
his attorney duly authorized in writing, with such signature guaranteed by an
eligible guarantor institution which is a participant in the Securities
Transfer Agent’s Medallion Program (STAMP) or similar signature guarantee
program, and such other documents as the Indenture Trustee may require, and thereupon
one or more new program, and such other documents as the Indenture Trustee may
require, and thereupon one or more new Class A-2a Notes of authorized
denomination and in the same aggregate principal amount will be issued to the
designated transferee or transferees.  No
service charge will be charged for any registration of transfer or exchange of
this Note, but the transferor may be required to pay a sum sufficient to cover
any tax or other governmental charge that may be imposed in connection with any
such registration of transfer or exchange.

Each Noteholder, by acceptance of a Note or  a beneficial interest in a Note covenants and
agrees that no recourse may be taken, directly or indirectly, with respect to
the obligations of the Issuer, the Owner Trustee or the Indenture Trustee on
the Notes or under the Indenture or any certificate or other writing delivered
in connection therewith, against (i) the Indenture Trustee or the Owner Trustee
in their individual capacities, (ii) any owner of a beneficial interest in the
Issuer or (iii) any partner, owner, beneficiary, agent, officer, director or
employee of the Indenture Trustee or the Owner Trustee in their individual
capacities, any holder of a beneficial interest in the Issuer, the Owner
Trustee or the Indenture Trustee or of any successor or assign of the Indenture
Trustee or the Owner Trustee in their individual capacities, except as any such
Person may have expressly agreed and except that any such partner, owner or
beneficiary shall be fully liable, to the extent provided by applicable law,
for any unpaid consideration for stock, unpaid capital contribution or failure
to pay any installment or call owing to such entity.

Each Noteholder, by acceptance of a Note or a
beneficial interest in a Note covenants and agrees that by accepting the
benefits of the Indenture and such Note that such Noteholder will not at any
time institute against the Trust Depositor or the Issuer, or join in any
institution against the Trust Depositor or the Issuer of any bankruptcy,
reorganization, arrangement, insolvency or liquidation proceedings under any
United States federal or state bankruptcy or similar law in connection with any
obligations relating to the Notes, the Indenture or the Transaction Documents.

The Issuer has entered into the Indenture, and this
Note is issued with the intention that, for federal, state and local income,
single business and franchise tax purposes, the Notes will qualify as
indebtedness secured by the Collateral and that the Issuer will be disregarded
as a separate entity for federal income tax purposes pursuant to Treasury
Regulations Section 301.7701-3(b)(1)(ii). 
Each Noteholder, by acceptance of a Note or a beneficial interest in a
Note, agrees to treat the Notes for federal, state and local income, single
business and franchise tax purposes as indebtedness of the Issuer.

Prior to the due presentment for registration of
transfer of this Note, the Issuer and the Indenture Trustee and any agent of
the Issuer, the Indenture Trustee may treat the Person in whose name this Note
(as of the day of determination or as of such other date as may be specified in
the Indenture) is registered as the owner hereof for all purposes, whether or
not this Note be overdue, and neither the Issuer, the Indenture Trustee nor any
such agent shall be affected by notice to the contrary.

 A-2a-6
 

The Indenture permits, with certain exceptions as
therein provided, the amendment thereof and the modification of the rights and
obligations of the Issuer and the rights of the Holders of the Notes under the
Indenture at any time by the Issuer and the consent of the Modified Required
Holders.  The Indenture also contains
provisions permitting the Holders of Notes representing specified percentages of
the Outstanding Amount of the Notes, on behalf of the Holders of all the Notes,
to waive compliance by the Issuer with certain provisions of the Indenture and
certain past defaults under the Indenture and their consequences.  Any such consent or waiver by the Holder of
this Note (or any one of more Predecessor Notes) shall be conclusive and
binding upon such Holders and upon all future Holders of this Note and of any
Note issued upon the registration of transfer hereof or in exchange hereof or
in lieu hereof whether or not notation of such consent or waiver is made upon
this Note.  The Indenture also permits
the Indenture Trustee to amend or waive certain terms and conditions set forth
in the Indenture without the consent of Holders of the Notes issued thereunder.

Each Noteholder, by
acceptance of a Note or a beneficial interest in a Note is deemed to represent
that (i) it is not, and is not acquiring a Note or a beneficial interest in a
Note on behalf of or with “plan assets” (as determined under Department of
Labor Regulation Section 2510.3-101 or otherwise) of a Plan, or any employee
benefit plan subject to Similar Law, or (ii) its acquisition and holding of a
Note or a beneficial interest in a Note do not give rise to a nonexempt
prohibited transaction under Section 406 of ERISA or Section 4975 of the Code,
or any Similar Law.  Each Noteholder, by
acceptance of a Note or a beneficial interest in a Note is deemed to make one
of the foregoing representations.

The Notes are issuable only in registered form in
denominations as provided in the Indenture, subject to certain limitations
therein set forth.

This Note and the Indenture shall be construed in
accordance with the laws of the State of Illinois, and the obligations, rights
and remedies of the parties hereunder and thereunder shall be determined in
accordance with such laws.

No reference herein to the Indenture and no
provision of this Note or of the Indenture shall alter or impair the obligation
of the Issuer, which is absolute and unconditional, to pay the principal of and
interest on this Note at the times, place, and rate, and in the coin or
currency herein prescribed.

 A-2a-7

EXHIBIT A-2b

FORM OF CLASS A-2b NOTE

UNLESS THIS NOTE IS
PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY, A
NEW YORK CORPORATION (“DTC”), TO THE TRUST 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 SECURITY IS NOT A
SAVINGS ACCOUNT OR DEPOSIT AND IT IS NOT INSURED BY THE UNITED STATES OR ANY
AGENCY OR FUND OF THE UNITED STATES.

THE PRINCIPAL OF THIS NOTE
IS PAYABLE IN INSTALLMENTS AS SET FORTH HEREIN. 
ACCORDINGLY, THE OUTSTANDING PRINCIPAL AMOUNT OF THIS NOTE AT ANY TIME
MAY BE LESS THAN THE AMOUNT SHOWN ON THE FACE HEREOF.

HARLEY-DAVIDSON MOTORCYCLE TRUST 2007-3

FLOATING
RATE MOTORCYCLE CONTRACT BACKED NOTES,

CLASS A-2b

	
  REGISTERED

  	
                               $

  
	
   

  	
   

  
	
  No. R-

  	
  CUSIP No.                    

  

 

Harley-Davidson Motorcycle
Trust 2007-3, a statutory trust organized and existing under the laws of the
State of Delaware (herein referred to as the “Issuer”), for value received,
hereby promises to pay to [             ],
or registered assigns, the principal sum of              
($            )
payable on the earlier of the Distribution Date occurring in [            ]
(the “Class A-2 Final Distribution Date”) and the Redemption Date, if any,
pursuant to Section 10.01 of the Indenture referred to on the reverse
hereof.  No payments of principal of the
Class A-2b Notes shall be made until the principal on the Class A-1 Notes have
been paid in full.

The Issuer will pay interest
on this Note at a rate based on LIBOR determined in accordance with the terms
of the Sale and Servicing Agreement plus [      ]%
per annum until the principal of this Note is paid or made available for
payment, on the principal amount of this Note outstanding on the preceding
Distribution Date (after giving effect to all payments of principal made on the
preceding Distribution Date), subject to certain limitations contained in
Section 3.01 of the Indenture.  Interest
on this Note will accrue for each Distribution Date during the related Interest
Period and will be computed for the actual number of days elapsed in the
related Interest Period based on a 360-day year.  Such principal of and interest on this Note
shall be paid in the manner specified on the reverse hereof.

 A-2b-1
 

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.  All payments made by the
Issuer with respect to this Note shall be applied first to interest due and
payable on this Note as provided above and then to the unpaid principal of this
Note.

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 the Indenture Trustee whose name
appears below by manual signature, this Note shall not be entitled to any
benefit under the indenture referred to on the reverse hereof, or be valid or
obligatory for any purpose.

 A-2b-2
 

IN WITNESS WHEREOF, the
Issuer has caused this instrument to be signed, manually or in facsimile, by an
Authorized Officer, as of the date set forth below.

	
  Date:

  	
   

  	
   

  	
  HARLEY-DAVIDSON MOTORCYCLE

  	 

	
   

  	
  TRUST 2007-3

  	 

	
   

  	
   

  	 

	
   

  	
  By:

  	
  WILMINGTON TRUST COMPANY,
  not 

  in its individual capacity but solely on 

  behalf of the Issuer as Owner Trustee, 

  under the Trust Agreement

  	 

	
   

  	
   

  	
   

  	 

	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
  Printed Name:

  	
   

  	
   

  	 

	
   

  	
  Title:

  	
   

  	
   

  
											

 

 A-2b-3
 

INDENTURE
TRUSTEE’S CERTIFICATE OF AUTHENTICATION

This is one of the Notes designated above and
referred to in the within-mentioned Indenture.

	
   

  	
  THE BANK OF NEW YORK TRUST 

  COMPANY, N.A.,

  
	
   

  	
  not in its individual capacity but solely as
  Indenture 

  Trustee

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
  Authorized Signatory

  

 

 A-2b-4
 

[REVERSE OF CLASS A-2b NOTE]

This Note is one of a duly authorized issue of Notes
of the Issuer, designated as its Floating Rate Motorcycle Contract Backed
Notes, Class A-2b (the “Class A-2b Notes”), all issued under an Indenture,
dated as of August 15, 2007 (the “Indenture”), between the Issuer and The Bank
of New York Trust Company, N.A., as Indenture Trustee (the “Indenture Trustee”),
to which Indenture and all indentures supplemental thereto reference is hereby
made for a statement of the respective rights and obligations thereunder of the
Issuer, the Indenture Trustee and the Holders of the Notes.  The Notes are subject to all terms of the
Indenture.  All terms used in this Note
that are defined in the Indenture, as supplemented or amended, shall have the
meanings assigned to them in or pursuant to the Indenture, as so supplemented
or amended.

The Class A-2b Notes and the other Classes of Notes
described in the Indenture (collectively, the “Notes”) are and will be equally
and ratably secured by the collateral pledged as security therefor as provided
in the Indenture subject to the priorities of allocations as to interest and
principal payments as described in the Sale and Servicing Agreement.

Principal of the Class A-2b Notes will be payable on
the earlier of the Class A-2 Final Distribution Date and the Redemption Date,
if any, pursuant to Section 10.01(a) or 10.01(b) of the Indenture.  Notwithstanding the foregoing, the entire
unpaid principal amount of the Class A-2b Notes shall be due and payable on the
date on which following the occurrence of an Event of Default on which the
maturity of the Notes shall have been accelerated in the manner provided in the
Indenture.  All principal payments on the
Class A-2b Notes shall be made pro rata to the Class A-2b Noteholders entitled
thereto.

Payments of interest on this Note due and payable on
each Distribution Date shall be made by wire transfer to the account of the
Person whose name appears as the Registered Holder of this Note (or one or more
Predecessor Notes) on the Note Register as of the close of business on each Record
Date, except that with respect to Notes registered on the Record Date in the
name of nominee of the Clearing Agency (initially, such nominee to be Cede
& Co.), payments will be made by wire transfer in immediately available
funds to the account designated by such nominee.  Such checks shall be mailed to the Person
entitled thereto at the address of such Person as it appears on the Note
Register as of the applicable Record Date without requiring that this Note be submitted
for notation of payment.  Any reduction
in the principal amount of this Note (or any one or more Predecessor Notes)
affected by any payments made on any Distribution Date shall be binding upon
all future Holders of this Note and of any Note issued upon the registration of
transfer hereof or in exchange hereof or in lieu hereof, whether or not noted
hereon.  If funds are expected to be
available, as provided in the Indenture, for payment in full of the then
remaining unpaid principal amount of this Note on a Distribution Date, then the
Indenture Trustee, in the name of and on behalf of the Issuer, will notify the
Person who was the Registered Holder hereof as of the Record Date preceding
such Distribution Date by notice mailed within five days of such Distribution
Date and the amount then due and payable shall be payable only upon
presentation and surrender of this Note at the Indenture Trustee’s principal
Corporate Trust Office or at the office of the Indenture Trustee’s agent
appointed for such purposes located in the City of Chicago, Illinois.

The Issuer shall pay interest on overdue
installments of interest at the Class A-2b Rate to the extent lawful.

As provided in the Indenture, the Notes may be
redeemed pursuant to Section 10.01(a) of the Indenture, in whole, but not in
part, at the option of the Servicer, on any Distribution Date on or after the
date on which the Pool Balance is less than 10% of the Pool Balance as of the
Cutoff Date.

 A-2b-5
 

As provided in the Indenture and subject to certain
limitations set forth therein, the transfer of this Note may be registered on
the Note Register upon surrender of this Note for registration of transfer at
the office or agency designated by the Issuer pursuant to the Indenture, duly
endorsed by, or accompanied by a written instrument of transfer in form
satisfactory to the Indenture Trustee duly executed by, the Holder hereof or
his attorney duly authorized in writing, with such signature guaranteed by an
eligible guarantor institution which is a participant in the Securities
Transfer Agent’s Medallion Program (STAMP) or similar signature guarantee
program, and such other documents as the Indenture Trustee may require, and
thereupon one or more new program, and such other documents as the Indenture
Trustee may require, and thereupon one or more new Class A-2b Notes of
authorized denomination and in the same aggregate principal amount will be
issued to the designated transferee or transferees.  No service charge will be charged for any
registration of transfer or exchange of this Note, but the transferor may be
required to pay a sum sufficient to cover any tax or other governmental charge
that may be imposed in connection with any such registration of transfer or
exchange.

Each Noteholder, by acceptance of a Note or  a beneficial interest in a Note covenants and
agrees that no recourse may be taken, directly or indirectly, with respect to
the obligations of the Issuer, the Owner Trustee or the Indenture Trustee on
the Notes or under the Indenture or any certificate or other writing delivered
in connection therewith, against (i) the Indenture Trustee or the Owner Trustee
in their individual capacities, (ii) any owner of a beneficial interest in the
Issuer or (iii) any partner, owner, beneficiary, agent, officer, director or
employee of the Indenture Trustee or the Owner Trustee in their individual
capacities, any holder of a beneficial interest in the Issuer, the Owner
Trustee or the Indenture Trustee or of any successor or assign of the Indenture
Trustee or the Owner Trustee in their individual capacities, except as any such
Person may have expressly agreed and except that any such partner, owner or
beneficiary shall be fully liable, to the extent provided by applicable law,
for any unpaid consideration for stock, unpaid capital contribution or failure
to pay any installment or call owing to such entity.

Each Noteholder, by acceptance of a Note or a
beneficial interest in a Note covenants and agrees that by accepting the
benefits of the Indenture and such Note that such Noteholder will not at any
time institute against the Trust Depositor or the Issuer, or join in any
institution against the Trust Depositor or the Issuer of any bankruptcy,
reorganization, arrangement, insolvency or liquidation proceedings under any
United States federal or state bankruptcy or similar law in connection with any
obligations relating to the Notes, the Indenture or the Transaction Documents.

The Issuer has entered into the Indenture, and this
Note is issued with the intention that, for federal, state and local income,
single business and franchise tax purposes, the Notes will qualify as
indebtedness secured by the Collateral and that the Issuer will be disregarded
as a separate entity for federal income tax purposes pursuant to Treasury
Regulations Section 301.7701-3(b)(1)(ii). 
Each Noteholder, by acceptance of a Note or a beneficial interest in a
Note, agrees to treat the Notes for federal, state and local income, single
business and franchise tax purposes as indebtedness of the Issuer.

Prior to the due presentment for registration of
transfer of this Note, the Issuer and the Indenture Trustee and any agent of
the Issuer, the Indenture Trustee may treat the Person in whose name this Note
(as of the day of determination or as of such other date as may be specified in
the Indenture) is registered as the owner hereof for all purposes, whether or
not this Note be overdue, and neither the Issuer, the Indenture Trustee nor any
such agent shall be affected by notice to the contrary.

 A-2b-6
 

The Indenture permits, with certain exceptions as
therein provided, the amendment thereof and the modification of the rights and
obligations of the Issuer and the rights of the Holders of the Notes under the
Indenture at any time by the Issuer and the consent of the Modified Required
Holders.  The Indenture also contains
provisions permitting the Holders of Notes representing specified percentages
of the Outstanding Amount of the Notes, on behalf of the Holders of all the
Notes, to waive compliance by the Issuer with certain provisions of the
Indenture and certain past defaults under the Indenture and their
consequences.  Any such consent or waiver
by the Holder of this Note (or any one of more Predecessor Notes) shall be
conclusive and binding upon such Holders and upon all future Holders of this
Note and of any Note issued upon the registration of transfer hereof or in
exchange hereof or in lieu hereof whether or not notation of such consent or
waiver is made upon this Note.  The
Indenture also permits the Indenture Trustee to amend or waive certain terms
and conditions set forth in the Indenture without the consent of Holders of the
Notes issued thereunder.

Each Noteholder, by
acceptance of a Note or a beneficial interest in a Note is deemed to represent
that (i) it is not, and is not acquiring a Note or a beneficial interest in a
Note on behalf of or with “plan assets” (as determined under Department of
Labor Regulation Section 2510.3-101 or otherwise) of a Plan, or any employee
benefit plan subject to Similar Law, or (ii) its acquisition and holding of a
Note or a beneficial interest in a Note do not give rise to a nonexempt
prohibited transaction under Section 406 of ERISA or Section 4975 of the Code,
or any Similar Law.  Each Noteholder, by
acceptance of a Note or a beneficial interest in a Note is deemed to make one
of the foregoing representations.

The Notes are issuable only in registered form in
denominations as provided in the Indenture, subject to certain limitations
therein set forth.

This Note and the Indenture shall be construed in
accordance with the laws of the State of Illinois, and the obligations, rights
and remedies of the parties hereunder and thereunder shall be determined in
accordance with such laws.

No reference herein to the Indenture and no
provision of this Note or of the Indenture shall alter or impair the obligation
of the Issuer, which is absolute and unconditional, to pay the principal of and
interest on this Note at the times, place, and rate, and in the coin or
currency herein prescribed.

 A-2b-7

EXHIBIT A-3

FORM OF CLASS A-3 NOTE

UNLESS THIS NOTE IS
PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY, A
NEW YORK CORPORATION (“DTC”), TO THE TRUST 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 SECURITY IS NOT A
SAVINGS ACCOUNT OR DEPOSIT AND IT IS NOT INSURED BY THE UNITED STATES OR ANY
AGENCY OR FUND OF THE UNITED STATES.

THE PRINCIPAL OF THIS NOTE
IS PAYABLE IN INSTALLMENTS AS SET FORTH HEREIN. 
ACCORDINGLY, THE OUTSTANDING PRINCIPAL AMOUNT OF THIS NOTE AT ANY TIME
MAY BE LESS THAN THE AMOUNT SHOWN ON THE FACE HEREOF.

HARLEY-DAVIDSON MOTORCYCLE TRUST 2007-3

FLOATING
RATE MOTORCYCLE CONTRACT BACKED NOTES,

CLASS A-3

	
  REGISTERED

  	
                             $

  
	
  No. R-

  	
  CUSIP No.                

  

 

Harley-Davidson Motorcycle
Trust 2007-3, a statutory trust organized and existing under the laws of the
State of Delaware (herein referred to as the “Issuer”), for value received,
hereby promises to pay to [                 ],
or registered assigns, the principal sum of                
($               )
payable on the earlier of the Distribution Date occurring in [              ]
(the “Class A-3 Final Distribution Date”) and the Redemption Date, if any,
pursuant to Section 10.01 of the Indenture referred to on the reverse
hereof.  No payments of principal of the
Class A-3 Notes shall be made until the principal on the Class A-1 Notes have
been paid in full.

The Issuer will pay interest
on this Note at a rate based on LIBOR determined in accordance with the terms
of the Sale and Servicing Agreement plus [       ]%
per annum until the principal of this Note is paid or made available for
payment, on the principal amount of this Note outstanding on the preceding
Distribution Date (after giving effect to all payments of principal made on the
preceding Distribution Date), subject to certain limitations contained in
Section 3.01 of the Indenture.  Interest
on this Note will accrue for each Distribution Date during the related Interest
Period and will be computed for the actual number of days elapsed in the
related Interest Period based on a 360-day year.  Such principal of and interest on this Note
shall be paid in the manner specified on the reverse hereof.

 A-3-1
 

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.  All payments made by the
Issuer with respect to this Note shall be applied first to interest due and
payable on this Note as provided above and then to the unpaid principal of this
Note.

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 the Indenture Trustee whose name
appears below by manual signature, this Note shall not be entitled to any
benefit under the indenture referred to on the reverse hereof, or be valid or
obligatory for any purpose.

 A-3-2
 

IN WITNESS WHEREOF, the
Issuer has caused this instrument to be signed, manually or in facsimile, by an
Authorized Officer, as of the date set forth below.

	
  Date:

  	
   

  	
   

  	
  HARLEY-DAVIDSON MOTORCYCLE

  	 

	
   

  	
  TRUST 2007-3

  	 

	
   

  	
   

  	 

	
   

  	
  By:

  	
  WILMINGTON TRUST COMPANY,
  not 

  in its individual capacity but solely on 

  behalf of the Issuer as Owner Trustee, 

  under the Trust Agreement

  	 

	
   

  	
   

  	
   

  	 

	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
  Printed Name:

  	
   

  	
   

  	 

	
   

  	
  Title:

  	
   

  	
   

  
											

 

 A-3-3
 

INDENTURE
TRUSTEE’S CERTIFICATE OF AUTHENTICATION

This is one of the Notes designated above and
referred to in the within-mentioned Indenture.

	
   

  	
  THE BANK OF NEW YORK TRUST 

  COMPANY, N.A.,

  
	
   

  	
  not in its individual capacity but solely as
  Indenture 

  Trustee

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
  Authorized Signatory

  

 

 A-3-4
 

[REVERSE OF CLASS A-3 NOTE]

This Note is one of a duly authorized issue of Notes
of the Issuer, designated as its Floating Rate Motorcycle Contract Backed
Notes, Class A-3 (the “Class A-3 Notes”), all issued under an Indenture, dated
as of August 15, 2007 (the “Indenture”), between the Issuer and The Bank of New
York Trust Company, N.A., as Indenture Trustee (the “Indenture Trustee”), to
which Indenture and all indentures supplemental thereto reference is hereby
made for a statement of the respective rights and obligations thereunder of the
Issuer, the Indenture Trustee and the Holders of the Notes.  The Notes are subject to all terms of the
Indenture.  All terms used in this Note
that are defined in the Indenture, as supplemented or amended, shall have the
meanings assigned to them in or pursuant to the Indenture, as so supplemented
or amended.

The Class A-3 Notes and the other Classes of Notes
described in the Indenture (collectively, the “Notes”) are and will be equally
and ratably secured by the collateral pledged as security therefor as provided
in the Indenture subject to the priorities of allocations as to interest and
principal payments as described in the Sale and Servicing Agreement.

Principal of the Class A-3 Notes will be payable on
the earlier of the Class A-3 Final Distribution Date and the Redemption Date, if
any, pursuant to Section 10.01(a) or 10.01(b) of the Indenture.  Notwithstanding the foregoing, the entire
unpaid principal amount of the Class A-3 Notes shall be due and payable on the
date on which following the occurrence of an Event of Default on which the
maturity of the Notes shall have been accelerated in the manner provided in the
Indenture.  All principal payments on the
Class A-3 Notes shall be made pro rata to the Class A-3 Noteholders entitled
thereto.

Payments of interest on this Note due and payable on
each Distribution Date shall be made by wire transfer to the account of the
Person whose name appears as the Registered Holder of this Note (or one or more
Predecessor Notes) on the Note Register as of the close of business on each
Record Date, except that with respect to Notes registered on the Record Date in
the name of nominee of the Clearing Agency (initially, such nominee to be Cede
& Co.), payments will be made by wire transfer in immediately available
funds to the account designated by such nominee.  Such checks shall be mailed to the Person
entitled thereto at the address of such Person as it appears on the Note
Register as of the applicable Record Date without requiring that this Note be
submitted for notation of payment.  Any
reduction in the principal amount of this Note (or any one or more Predecessor
Notes) affected by any payments made on any Distribution Date shall be binding
upon all future Holders of this Note and of any Note issued upon the
registration of transfer hereof or in exchange hereof or in lieu hereof,
whether or not noted hereon.  If funds
are expected to be available, as provided in the Indenture, for payment in full
of the then remaining unpaid principal amount of this Note on a Distribution
Date, then the Indenture Trustee, in the name of and on behalf of the Issuer,
will notify the Person who was the Registered Holder hereof as of the Record
Date preceding such Distribution Date by notice mailed within five days of such
Distribution Date and the amount then due and payable shall be payable only
upon presentation and surrender of this Note at the Indenture Trustee’s
principal Corporate Trust Office or at the office of the Indenture Trustee’s
agent appointed for such purposes located in the City of Chicago, Illinois.

The Issuer shall pay interest on overdue
installments of interest at the Class A-3 Rate to the extent lawful.

As provided in the Indenture, the Notes may be
redeemed pursuant to Section 10.01(a) of the Indenture, in whole, but not in
part, at the option of the Servicer, on any Distribution Date on or after the
date on which the Pool Balance is less than 10% of the Pool Balance as of the
Cutoff Date.

 A-3-5
 

As provided in the Indenture and subject to certain
limitations set forth therein, the transfer of this Note may be registered on
the Note Register upon surrender of this Note for registration of transfer at
the office or agency designated by the Issuer pursuant to the Indenture, duly
endorsed by, or accompanied by a written instrument of transfer in form satisfactory
to the Indenture Trustee duly executed by, the Holder hereof or his attorney
duly authorized in writing, with such signature guaranteed by an eligible
guarantor institution which is a participant in the Securities Transfer Agent’s
Medallion Program (STAMP) or similar signature guarantee program, and such
other documents as the Indenture Trustee may require, and thereupon one or more
new program, and such other documents as the Indenture Trustee may require, and
thereupon one or more new Class A-3 Notes of authorized denomination and in the
same aggregate principal amount will be issued to the designated transferee or
transferees.  No service charge will be
charged for any registration of transfer or exchange of this Note, but the
transferor may be required to pay a sum sufficient to cover any tax or other
governmental charge that may be imposed in connection with any such
registration of transfer or exchange.

Each Noteholder, by acceptance of a Note or  a beneficial interest in a Note covenants and
agrees that no recourse may be taken, directly or indirectly, with respect to
the obligations of the Issuer, the Owner Trustee or the Indenture Trustee on
the Notes or under the Indenture or any certificate or other writing delivered
in connection therewith, against (i) the Indenture Trustee or the Owner Trustee
in their individual capacities, (ii) any owner of a beneficial interest in the
Issuer or (iii) any partner, owner, beneficiary, agent, officer, director or
employee of the Indenture Trustee or the Owner Trustee in their individual
capacities, any holder of a beneficial interest in the Issuer, the Owner
Trustee or the Indenture Trustee or of any successor or assign of the Indenture
Trustee or the Owner Trustee in their individual capacities, except as any such
Person may have expressly agreed and except that any such partner, owner or
beneficiary shall be fully liable, to the extent provided by applicable law,
for any unpaid consideration for stock, unpaid capital contribution or failure
to pay any installment or call owing to such entity.

Each Noteholder, by acceptance of a Note or a
beneficial interest in a Note covenants and agrees that by accepting the
benefits of the Indenture and such Note that such Noteholder will not at any
time institute against the Trust Depositor or the Issuer, or join in any
institution against the Trust Depositor or the Issuer of any bankruptcy,
reorganization, arrangement, insolvency or liquidation proceedings under any
United States federal or state bankruptcy or similar law in connection with any
obligations relating to the Notes, the Indenture or the Transaction Documents.

The Issuer has entered into the Indenture, and this
Note is issued with the intention that, for federal, state and local income,
single business and franchise tax purposes, the Notes will qualify as
indebtedness secured by the Collateral and that the Issuer will be disregarded
as a separate entity for federal income tax purposes pursuant to Treasury
Regulations Section 301.7701-3(b)(1)(ii). 
Each Noteholder, by acceptance of a Note or a beneficial interest in a
Note, agrees to treat the Notes for federal, state and local income, single
business and franchise tax purposes as indebtedness of the Issuer.

Prior to the due presentment for registration of
transfer of this Note, the Issuer and the Indenture Trustee and any agent of
the Issuer, the Indenture Trustee may treat the Person in whose name this Note
(as of the day of determination or as of such other date as may be specified in
the Indenture) is registered as the owner hereof for all purposes, whether or
not this Note be overdue, and neither the Issuer, the Indenture Trustee nor any
such agent shall be affected by notice to the contrary.

 A-3-6
 

The Indenture permits, with certain exceptions as
therein provided, the amendment thereof and the modification of the rights and
obligations of the Issuer and the rights of the Holders of the Notes under the
Indenture at any time by the Issuer and the consent of the Modified Required
Holders.  The Indenture also contains
provisions permitting the Holders of Notes representing specified percentages
of the Outstanding Amount of the Notes, on behalf of the Holders of all the
Notes, to waive compliance by the Issuer with certain provisions of the
Indenture and certain past defaults under the Indenture and their
consequences.  Any such consent or waiver
by the Holder of this Note (or any one of more Predecessor Notes) shall be
conclusive and binding upon such Holders and upon all future Holders of this
Note and of any Note issued upon the registration of transfer hereof or in
exchange hereof or in lieu hereof whether or not notation of such consent or
waiver is made upon this Note.  The
Indenture also permits the Indenture Trustee to amend or waive certain terms
and conditions set forth in the Indenture without the consent of Holders of the
Notes issued thereunder.

Each Noteholder, by
acceptance of a Note or a beneficial interest in a Note is deemed to represent
that (i) it is not, and is not acquiring a Note or a beneficial interest in a
Note on behalf of or with “plan assets” (as determined under Department of
Labor Regulation Section 2510.3-101 or otherwise) of a Plan, or any employee
benefit plan subject to Similar Law, or (ii) its acquisition and holding of a
Note or a beneficial interest in a Note do not give rise to a nonexempt
prohibited transaction under Section 406 of ERISA or Section 4975 of the Code,
or any Similar Law.  Each Noteholder, by
acceptance of a Note or a beneficial interest in a Note is deemed to make one
of the foregoing representations.

The Notes are issuable only in registered form in
denominations as provided in the Indenture, subject to certain limitations
therein set forth.

This Note and the Indenture shall be construed in
accordance with the laws of the State of Illinois, and the obligations, rights
and remedies of the parties hereunder and thereunder shall be determined in
accordance with such laws.

No reference herein to the Indenture and no
provision of this Note or of the Indenture shall alter or impair the obligation
of the Issuer, which is absolute and unconditional, to pay the principal of and
interest on this Note at the times, place, and rate, and in the coin or
currency herein prescribed.

 A-3-7

EXHIBIT A-4

FORM OF CLASS A-4 NOTE

UNLESS THIS NOTE IS
PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY, A
NEW YORK CORPORATION (“DTC”), TO THE TRUST 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 SECURITY IS NOT A
SAVINGS ACCOUNT OR DEPOSIT AND IT IS NOT INSURED BY THE UNITED STATES OR ANY
AGENCY OR FUND OF THE UNITED STATES.

THE PRINCIPAL OF THIS NOTE
IS PAYABLE IN INSTALLMENTS AS SET FORTH HEREIN. 
ACCORDINGLY, THE OUTSTANDING PRINCIPAL AMOUNT OF THIS NOTE AT ANY TIME
MAY BE LESS THAN THE AMOUNT SHOWN ON THE FACE HEREOF.

HARLEY-DAVIDSON MOTORCYCLE TRUST 2007-3

[      ]%
MOTORCYCLE CONTRACT BACKED NOTES,

CLASS A-4

	
  REGISTERED

  	
                          $

  
	
  No. R-

  	
  CUSIP No.             

  

 

Harley-Davidson Motorcycle
Trust 2007-3, a statutory trust organized and existing under the laws of the
State of Delaware (herein referred to as the “Issuer”), for value received,
hereby promises to pay to [               ],
or registered assigns, the principal sum of              
($            )
payable on the earlier of the Distribution Date occurring in [                 ]
(the “Class A-4 Final Distribution Date”) and the Redemption Date, if any,
pursuant to Section 10.01 of the Indenture referred to on the reverse
hereof.  No payments of principal of the
Class A-4 Notes shall be made until the principal on the Class A-1 Notes have
been paid in full.

The Issuer will pay interest
on this Note at the rate per annum shown above on each Distribution Date until
the principal of this Note is paid or made available for payment, on the
principal amount of this Note outstanding on the preceding Distribution Date
(after giving effect to all payments of principal made on the preceding
Distribution Date), subject to certain limitations contained in Section 3.01 of
the Indenture.  Interest on this Note
will accrue for each Distribution Date during the related Interest Period and
will be computed on the basis of a 360-day year of twelve 30-day months.  Such principal of and interest on this Note
shall be paid in the manner specified 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.

 A-4-1
 

All
payments made by the Issuer with respect to this Note shall be applied first to
interest due and payable on this Note as provided above and then to the unpaid
principal of this Note.

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 the Indenture Trustee whose name
appears below by manual signature, this Note shall not be entitled to any
benefit under the indenture referred to on the reverse hereof, or be valid or
obligatory for any purpose.

 A-4-2
 

IN WITNESS WHEREOF, the
Issuer has caused this instrument to be signed, manually or in facsimile, by an
Authorized Officer, as of the date set forth below.

	
  Date:

  	
   

  	
   

  	
  HARLEY-DAVIDSON MOTORCYCLE

  
	
   

  	
  TRUST 2007-3

  
	
   

  	
   

  
	
   

  	
  By:

  	
  WILMINGTON TRUST COMPANY,
  not 

  in its individual capacity but solely on 

  behalf of the Issuer as Owner Trustee, 

  under the Trust Agreement

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
  Printed Name:

  	
   

  	
   

  
	
   

  	
  Title:

  	
   

  	
   

  
										

 

 A-4-3
 

INDENTURE
TRUSTEE’S CERTIFICATE OF AUTHENTICATION

This is one of the Notes designated above and
referred to in the within-mentioned Indenture.

	
   

  	
  THE BANK OF NEW YORK TRUST 

  COMPANY, N.A.,

  
	
   

  	
  not in its individual capacity but solely as
  Indenture 

  Trustee

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
  Authorized Signatory

  

 

 A-4-4
 

[REVERSE OF CLASS A-4 NOTE]

This Note is one of a duly authorized issue of Notes
of the Issuer, designated as its [      ]%
Motorcycle Contract Backed Notes, Class A-4 (the “Class A-4 Notes”), all issued
under an Indenture, dated as of August 15, 2007 (the “Indenture”), between the
Issuer and The Bank of New York Trust Company, N.A., as Indenture Trustee (the “Indenture
Trustee”), to which Indenture and all indentures supplemental thereto reference
is hereby made for a statement of the respective rights and obligations
thereunder of the Issuer, the Indenture Trustee and the Holders of the
Notes.  The Notes are subject to all
terms of the Indenture.  All terms used
in this Note that are defined in the Indenture, as supplemented or amended,
shall have the meanings assigned to them in or pursuant to the Indenture, as so
supplemented or amended.

The Class A-4 Notes and the other Classes of Notes
described in the Indenture (collectively, the “Notes”) are and will be equally
and ratably secured by the collateral pledged as security therefor as provided
in the Indenture subject to the priorities of allocations as to interest and
principal payments as described in the Sale and Servicing Agreement.

Principal of the Class A-4 Notes will be payable on
the earlier of the Class A-4 Final Distribution Date and the Redemption Date,
if any, pursuant to Section 10.01(a) or 10.01(b) of the Indenture.  Notwithstanding the foregoing, the entire
unpaid principal amount of the Class A-4 Notes shall be due and payable on the
date on which following the occurrence of an Event of Default on which the
maturity of the Notes shall have been accelerated in the manner provided in the
Indenture.  All principal payments on the
Class A-4 Notes shall be made pro rata to the Class A-4 Noteholders entitled
thereto.

Payments of interest on this Note due and payable on
each Distribution Date shall be made by wire transfer to the account of the
Person whose name appears as the Registered Holder of this Note (or one or more
Predecessor Notes) on the Note Register as of the close of business on each
Record Date, except that with respect to Notes registered on the Record Date in
the name of nominee of the Clearing Agency (initially, such nominee to be Cede
& Co.), payments will be made by wire transfer in immediately available
funds to the account designated by such nominee.  Such checks shall be mailed to the Person
entitled thereto at the address of such Person as it appears on the Note
Register as of the applicable Record Date without requiring that this Note be
submitted for notation of payment.  Any
reduction in the principal amount of this Note (or any one or more Predecessor
Notes) affected by any payments made on any Distribution Date shall be binding
upon all future Holders of this Note and of any Note issued upon the
registration of transfer hereof or in exchange hereof or in lieu hereof,
whether or not noted hereon.  If funds
are expected to be available, as provided in the Indenture, for payment in full
of the then remaining unpaid principal amount of this Note on a Distribution
Date, then the Indenture Trustee, in the name of and on behalf of the Issuer,
will notify the Person who was the Registered Holder hereof as of the Record
Date preceding such Distribution Date by notice mailed within five days of such
Distribution Date and the amount then due and payable shall be payable only
upon presentation and surrender of this Note at the Indenture Trustee’s
principal Corporate Trust Office or at the office of the Indenture Trustee’s
agent appointed for such purposes located in the City of Chicago, Illinois.

The Issuer shall pay interest on overdue
installments of interest at the Class A-4 Rate to the extent lawful.

As provided in the Indenture, the Notes may be
redeemed pursuant to Section 10.01(a) of the Indenture, in whole, but not in
part, at the option of the Servicer, on any Distribution Date on or after the
date on which the Pool Balance is less than 10% of the Pool Balance as of the
Cutoff Date.

 A-4-5
 

As provided in the Indenture and subject to certain
limitations set forth therein, the transfer of this Note may be registered on
the Note Register upon surrender of this Note for registration of transfer at
the office or agency designated by the Issuer pursuant to the Indenture, duly
endorsed by, or accompanied by a written instrument of transfer in form
satisfactory to the Indenture Trustee duly executed by, the Holder hereof or
his attorney duly authorized in writing, with such signature guaranteed by an
eligible guarantor institution which is a participant in the Securities
Transfer Agent’s Medallion Program (STAMP) or similar signature guarantee
program, and such other documents as the Indenture Trustee may require, and
thereupon one or more new program, and such other documents as the Indenture
Trustee may require, and thereupon one or more new Class A-4 Notes of
authorized denomination and in the same aggregate principal amount will be
issued to the designated transferee or transferees.  No service charge will be charged for any
registration of transfer or exchange of this Note, but the transferor may be
required to pay a sum sufficient to cover any tax or other governmental charge
that may be imposed in connection with any such registration of transfer or
exchange.

Each Noteholder, by acceptance of a Note or  a beneficial interest in a Note covenants and
agrees that no recourse may be taken, directly or indirectly, with respect to
the obligations of the Issuer, the Owner Trustee or the Indenture Trustee on
the Notes or under the Indenture or any certificate or other writing delivered
in connection therewith, against (i) the Indenture Trustee or the Owner Trustee
in their individual capacities, (ii) any owner of a beneficial interest in the
Issuer or (iii) any partner, owner, beneficiary, agent, officer, director or
employee of the Indenture Trustee or the Owner Trustee in their individual
capacities, any holder of a beneficial interest in the Issuer, the Owner
Trustee or the Indenture Trustee or of any successor or assign of the Indenture
Trustee or the Owner Trustee in their individual capacities, except as any such
Person may have expressly agreed and except that any such partner, owner or
beneficiary shall be fully liable, to the extent provided by applicable law,
for any unpaid consideration for stock, unpaid capital contribution or failure
to pay any installment or call owing to such entity.

Each Noteholder, by acceptance of a Note or a
beneficial interest in a Note covenants and agrees that by accepting the
benefits of the Indenture and such Note that such Noteholder will not at any
time institute against the Trust Depositor or the Issuer, or join in any
institution against the Trust Depositor or the Issuer of any bankruptcy, reorganization,
arrangement, insolvency or liquidation proceedings under any United States
federal or state bankruptcy or similar law in connection with any obligations
relating to the Notes, the Indenture or the Transaction Documents.

The Issuer has entered into the Indenture, and this
Note is issued with the intention that, for federal, state and local income,
single business and franchise tax purposes, the Notes will qualify as
indebtedness secured by the Collateral and that the Issuer will be disregarded as
a separate entity for federal income tax purposes pursuant to Treasury
Regulations Section 301.7701-3(b)(1)(ii). 
Each Noteholder, by acceptance of a Note or a beneficial interest in a
Note, agrees to treat the Notes for federal, state and local income, single
business and franchise tax purposes as indebtedness of the Issuer.

Prior to the due presentment for registration of
transfer of this Note, the Issuer and the Indenture Trustee and any agent of
the Issuer, the Indenture Trustee may treat the Person in whose name this Note
(as of the day of determination or as of such other date as may be specified in
the Indenture) is registered as the owner hereof for all purposes, whether or
not this Note be overdue, and neither the Issuer, the Indenture Trustee nor any
such agent shall be affected by notice to the contrary.

 A-4-6
 

The Indenture permits, with certain exceptions as
therein provided, the amendment thereof and the modification of the rights and
obligations of the Issuer and the rights of the Holders of the Notes under the
Indenture at any time by the Issuer and the consent of the Modified Required
Holders.  The Indenture also contains
provisions permitting the Holders of Notes representing specified percentages
of the Outstanding Amount of the Notes, on behalf of the Holders of all the
Notes, to waive compliance by the Issuer with certain provisions of the
Indenture and certain past defaults under the Indenture and their
consequences.  Any such consent or waiver
by the Holder of this Note (or any one of more Predecessor Notes) shall be
conclusive and binding upon such Holders and upon all future Holders of this
Note and of any Note issued upon the registration of transfer hereof or in
exchange hereof or in lieu hereof whether or not notation of such consent or waiver
is made upon this Note.  The Indenture
also permits the Indenture Trustee to amend or waive certain terms and
conditions set forth in the Indenture without the consent of Holders of the
Notes issued thereunder.

Each Noteholder, by
acceptance of a Note or a beneficial interest in a Note is deemed to represent
that (i) it is not, and is not acquiring a Note or a beneficial interest in a
Note on behalf of or with “plan assets” (as determined under Department of
Labor Regulation Section 2510.3-101 or otherwise) of a Plan, or any employee
benefit plan subject to Similar Law, or (ii) its acquisition and holding of a
Note or a beneficial interest in a Note do not give rise to a nonexempt
prohibited transaction under Section 406 of ERISA or Section 4975 of the Code,
or any Similar Law.  Each Noteholder, by
acceptance of a Note or a beneficial interest in a Note is deemed to make one
of the foregoing representations.

The Notes are issuable only in registered form in
denominations as provided in the Indenture, subject to certain limitations
therein set forth.

This Note and the Indenture shall be construed in
accordance with the laws of the State of Illinois, and the obligations, rights
and remedies of the parties hereunder and thereunder shall be determined in
accordance with such laws.

No reference herein to the Indenture and no
provision of this Note or of the Indenture shall alter or impair the obligation
of the Issuer, which is absolute and unconditional, to pay the principal of and
interest on this Note at the times, place, and rate, and in the coin or
currency herein prescribed.

 A-4-7

EXHIBIT A-5

FORM
OF CLASS B NOTE

UNLESS
THIS NOTE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST
COMPANY, A NEW YORK CORPORATION (“DTC”), TO THE TRUST 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
SECURITY IS NOT A SAVINGS ACCOUNT OR DEPOSIT AND IT IS NOT INSURED BY THE
UNITED STATES OR ANY AGENCY OR FUND OF THE UNITED STATES.

THE
PRINCIPAL OF THIS NOTE IS PAYABLE IN INSTALLMENTS AS SET FORTH HEREIN.  ACCORDINGLY, THE OUTSTANDING PRINCIPAL AMOUNT
OF THIS NOTE AT ANY TIME MAY BE LESS THAN THE AMOUNT SHOWN ON THE FACE HEREOF.

HARLEY-DAVIDSON MOTORCYCLE
TRUST 2007-3

[        ]% MOTORCYCLE CONTRACT
BACKED NOTES,

CLASS B

	
  REGISTERED

  	
   

  	
  $

  
	
   

  	
   

  	
   

  
	
  No. R-

  	
  CUSIP No.                     

  

 

Harley-Davidson
Motorcycle Trust 2007-3, a statutory trust organized and existing under the
laws of the State of Delaware (herein referred to as the “Issuer”), for value
received, hereby promises to pay to [                     ], or registered assigns, the principal sum
of                        ($                     ) payable on the earlier of the Distribution
Date occurring in [                       ] (the “Class B Final Distribution Date”) and
the Redemption Date, if any, pursuant to Section 10.01 of the Indenture
referred to on the reverse hereof.

The
Issuer will pay interest on this Note at the rate per annum shown above on each
Distribution Date until the principal of this Note is paid or made available
for payment, on the principal amount of this Note outstanding on the preceding
Distribution Date (after giving effect to all payments of principal made on the
preceding Distribution Date), subject to certain limitations contained in
Section 3.01 of the Indenture.  Interest
on this Note will accrue for each Distribution Date during the related Interest
Period and will be computed on the basis of a 360-day year of twelve 30-day
months.  Such principal of and interest
on this Note shall be paid in the manner specified 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.

 A-5-1
 

All payments made by the Issuer with respect to this Note shall be
applied first to interest due and payable on this Note as provided above and
then to the unpaid principal of this Note.

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 the Indenture
Trustee whose name appears below by manual signature, this Note shall not be
entitled to any benefit under the indenture referred to on the reverse hereof,
or be valid or obligatory for any purpose.

 A-5-2
 

IN WITNESS WHEREOF, the
Issuer has caused this instrument to be signed, manually or in facsimile, by an
Authorized Officer, as of the date set forth below.

	
  Date:

  	
   

  	
   

  	
  HARLEY-DAVIDSON MOTORCYCLE

  	
   

  
	
   

  	
   

  	
   

  	
  TRUST 2007-3

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
  WILMINGTON TRUST COMPANY, not

  in its individual capacity but solely on

  behalf of the Issuer as Owner Trustee,

  under the Trust Agreement

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
  Printed Name:

  	
   

  	
   

  
	
   

  	
  Title:

  	
   

  	
   

  
										

 

 A-5-3
 

INDENTURE TRUSTEE’S CERTIFICATE OF AUTHENTICATION

This is one of the Notes
designated above and referred to in the within-mentioned Indenture.

	
  

  	
  THE BANK OF NEW YORK TRUST

  COMPANY, N.A.,

  
	
   

  	
  not in its individual capacity but solely as
  Indenture

  Trustee

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
  Authorized Signatory

  

 

 A-5-4
 

[REVERSE OF CLASS B NOTE]

This Note is one of a duly
authorized issue of Notes of the Issuer, designated as its [        ]%
Motorcycle Contract, Class B (the “Class B Notes”), all issued under an
Indenture, dated as of August 15, 2007 (the “Indenture”), between the Issuer
and The Bank of New York Trust Company, N.A., as Indenture Trustee (the “Indenture
Trustee”), to which Indenture and all indentures supplemental thereto reference
is hereby made for a statement of the respective rights and obligations
thereunder of the Issuer, the Indenture Trustee and the Holders of the
Notes.  The Notes are subject to all
terms of the Indenture.  All terms used
in this Note that are defined in the Indenture, as supplemented or amended,
shall have the meanings assigned to them in or pursuant to the Indenture, as so
supplemented or amended.

The Class B Notes and the
other Classes of Notes described in the Indenture (collectively, the “Notes”)
are and will be equally and ratably secured by the collateral pledged as
security therefor as provided in the Indenture subject to the priorities of
allocations as to interest and principal payments as described in the Sale and
Servicing Agreement.

Principal of the Class B
Notes will be payable on the earlier of the Class B Final Distribution Date and
the Redemption Date, if any, pursuant to Section 10.01(a) or 10.01(b) of the
Indenture.  Notwithstanding the
foregoing, the entire unpaid principal amount of the Class B Notes shall be due
and payable on the date on which following the occurrence of an Event of
Default on which the maturity of the Notes shall have been accelerated in the
manner provided in the Indenture.  All
principal payments on the Class B Notes shall be made pro rata to the Class B
Noteholders entitled thereto.

Payments of interest on this
Note due and payable on each Distribution Date shall be made by wire transfer
to the account of the Person whose name appears as the Registered Holder of
this Note (or one or more Predecessor Notes) on the Note Register as of the
close of business on each Record Date, except that with respect to Notes
registered on the Record Date in the name of nominee of the Clearing Agency
(initially, such nominee to be Cede & Co.), payments will be made by wire
transfer in immediately available funds to the account designated by such
nominee.  Such checks shall be mailed to
the Person entitled thereto at the address of such Person as it appears on the
Note Register as of the applicable Record Date without requiring that this Note
be submitted for notation of payment. 
Any reduction in the principal amount of this Note (or any one or more
Predecessor Notes) affected by any payments made on any Distribution Date shall
be binding upon all future Holders of this Note and of any Note issued upon the
registration of transfer hereof or in exchange hereof or in lieu hereof,
whether or not noted hereon.  If funds
are expected to be available, as provided in the Indenture, for payment in full
of the then remaining unpaid principal amount of this Note on a Distribution
Date, then the Indenture Trustee, in the name of and on behalf of the Issuer,
will notify the Person who was the Registered Holder hereof as of the Record
Date preceding such Distribution Date by notice mailed within five days of such
Distribution Date and the amount then due and payable shall be payable only
upon presentation and surrender of this Note at the Indenture Trustee’s
principal Corporate Trust Office or at the office of the Indenture Trustee’s
agent appointed for such purposes located in the City of Chicago, Illinois.

The Issuer shall pay
interest on overdue installments of interest at the Class B Rate to the extent
lawful.

As provided in the
Indenture, the Notes may be redeemed pursuant to Section 10.01(a) of the
Indenture, in whole, but not in part, at the option of the Servicer, on any
Distribution Date on or after the date on which the Pool Balance is less than
10% of the Pool Balance as of the Cutoff Date.

 A-5-5
 

As provided in the Indenture
and subject to certain limitations set forth therein, the transfer of this Note
may be registered on the Note Register upon surrender of this Note for
registration of transfer at the office or agency designated by the Issuer
pursuant to the Indenture, duly endorsed by, or accompanied by a written
instrument of transfer in form satisfactory to the Indenture Trustee duly
executed by, the Holder hereof or his attorney duly authorized in writing, with
such signature guaranteed by an eligible guarantor institution which is a
participant in the Securities Transfer Agent’s Medallion Program (STAMP) or
similar signature guarantee program, and such other documents as the Indenture
Trustee may require, and thereupon one or more new program, and such other
documents as the Indenture Trustee may require, and thereupon one or more new
Class B Notes of authorized denomination and in the same aggregate principal
amount will be issued to the designated transferee or transferees.  No service charge will be charged for any
registration of transfer or exchange of this Note, but the transferor may be
required to pay a sum sufficient to cover any tax or other governmental charge
that may be imposed in connection with any such registration of transfer or
exchange.

Each Noteholder, by
acceptance of a Note or  a beneficial
interest in a Note covenants and agrees that no recourse may be taken, directly
or indirectly, with respect to the obligations of the Issuer, the Owner Trustee
or the Indenture Trustee on the Notes or under the Indenture or any certificate
or other writing delivered in connection therewith, against (i) the Indenture
Trustee or the Owner Trustee in their individual capacities, (ii) any owner of
a beneficial interest in the Issuer or (iii) any partner, owner, beneficiary,
agent, officer, director or employee of the Indenture Trustee or the Owner
Trustee in their individual capacities, any holder of a beneficial interest in
the Issuer, the Owner Trustee or the Indenture Trustee or of any successor or
assign of the Indenture Trustee or the Owner Trustee in their individual
capacities, except as any such Person may have expressly agreed and except that
any such partner, owner or beneficiary shall be fully liable, to the extent
provided by applicable law, for any unpaid consideration for stock, unpaid
capital contribution or failure to pay any installment or call owing to such
entity.

Each Noteholder, by
acceptance of a Note or a beneficial interest in a Note covenants and agrees
that by accepting the benefits of the Indenture and such Note that such
Noteholder will not at any time institute against the Trust Depositor or the
Issuer, or join in any institution against the Trust Depositor or the Issuer of
any bankruptcy, reorganization, arrangement, insolvency or liquidation
proceedings under any United States federal or state bankruptcy or similar law
in connection with any obligations relating to the Notes, the Indenture or the
Transaction Documents.

The Issuer has entered into
the Indenture, and this Note is issued with the intention that, for federal,
state and local income, single business and franchise tax purposes, the Notes
will qualify as indebtedness secured by the Collateral and that the Issuer will
be disregarded as a separate entity for federal income tax purposes pursuant to
Treasury Regulations Section 301.7701-3(b)(1)(ii).  Each Noteholder, by acceptance of a Note or a
beneficial interest in a Note, agrees to treat the Notes for federal, state and
local income, single business and franchise tax purposes as indebtedness of the
Issuer.

Prior to the due presentment
for registration of transfer of this Note, the Issuer and the Indenture Trustee
and any agent of the Issuer, the Indenture Trustee may treat the Person in
whose name this Note (as of the day of determination or as of such other date
as may be specified in the Indenture) is registered as the owner hereof for all
purposes, whether or not this Note be overdue, and neither the Issuer, the
Indenture Trustee nor any such agent shall be affected by notice to the
contrary.

 A-5-6
 

The Indenture permits, with
certain exceptions as therein provided, the amendment thereof and the
modification of the rights and obligations of the Issuer and the rights of the
Holders of the Notes under the Indenture at any time by the Issuer and the
consent of the Modified Required Holders. 
The Indenture also contains provisions permitting the Holders of Notes
representing specified percentages of the Outstanding Amount of the Notes, on
behalf of the Holders of all the Notes, to waive compliance by the Issuer with
certain provisions of the Indenture and certain past defaults under the
Indenture and their consequences.  Any
such consent or waiver by the Holder of this Note (or any one of more
Predecessor Notes) shall be conclusive and binding upon such Holders and upon
all future Holders of this Note and of any Note issued upon the registration of
transfer hereof or in exchange hereof or in lieu hereof whether or not notation
of such consent or waiver is made upon this Note.  The Indenture also permits the Indenture
Trustee to amend or waive certain terms and conditions set forth in the
Indenture without the consent of Holders of the Notes issued thereunder.

Each
Noteholder, by acceptance of a Note or a beneficial interest in a Note is
deemed to represent that (i) it is not, and is not acquiring a Note or a beneficial
interest in a Note on behalf of or with “plan assets” (as determined under
Department of Labor Regulation Section 2510.3-101 or otherwise) of a Plan, or
any employee benefit plan subject to Similar Law, or (ii) its acquisition and
holding of a Note or a beneficial interest in a Note do not give rise to a
nonexempt prohibited transaction under Section 406 of ERISA or Section 4975 of
the Code, or any Similar Law.  Each
Noteholder, by acceptance of a Note or a beneficial interest in a Note is
deemed to make one of the foregoing representations.

The Notes are issuable only
in registered form in denominations as provided in the Indenture, subject to
certain limitations therein set forth.

This Note and the Indenture
shall be construed in accordance with the laws of the State of Illinois, and
the obligations, rights and remedies of the parties hereunder and thereunder
shall be determined in accordance with such laws.

No reference herein to the
Indenture and no provision of this Note or of the Indenture shall alter or
impair the obligation of the Issuer, which is absolute and unconditional, to
pay the principal of and interest on this Note at the times, place, and rate,
and in the coin or currency herein prescribed.

 A-5-7

EXHIBIT A-6

FORM OF CLASS C NOTE

UNLESS THIS NOTE IS
PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY, A
NEW YORK CORPORATION (“DTC”), TO THE TRUST 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 SECURITY IS NOT A
SAVINGS ACCOUNT OR DEPOSIT AND IT IS NOT INSURED BY THE UNITED STATES OR ANY AGENCY
OR FUND OF THE UNITED STATES.

THE PRINCIPAL OF THIS NOTE
IS PAYABLE IN INSTALLMENTS AS SET FORTH HEREIN. 
ACCORDINGLY, THE OUTSTANDING PRINCIPAL AMOUNT OF THIS NOTE AT ANY TIME
MAY BE LESS THAN THE AMOUNT SHOWN ON THE FACE HEREOF.

HARLEY-DAVIDSON MOTORCYCLE TRUST 2007-3

[        ]%
MOTORCYCLE CONTRACT BACKED NOTES,

CLASS C

	
  REGISTERED

  	
   

  	
  $

  
	
   

  	
   

  	
   

  
	
  No. R-

  	
  CUSIP No.                      

  

 

Harley-Davidson Motorcycle
Trust 2007-3, a statutory trust organized and existing under the laws of the
State of Delaware (herein referred to as the “Issuer”), for value received,
hereby promises to pay to [                     ], or registered assigns, the principal sum
of                         ($                      ) payable on the earlier of the Distribution
Date occurring in [                          ] (the “Class C Final Distribution Date”) and
the Redemption Date, if any, pursuant to Section 10.01 of the Indenture
referred to on the reverse hereof.

The Issuer will pay interest
on this Note at the rate per annum shown above on each Distribution Date until
the principal of this Note is paid or made available for payment, on the
principal amount of this Note outstanding on the preceding Distribution Date
(after giving effect to all payments of principal made on the preceding
Distribution Date), subject to certain limitations contained in Section 3.01 of
the Indenture.  Interest on this Note
will accrue for each Distribution Date during the related Interest Period and
will be computed on the basis of a 360-day year of twelve 30-day months.  Such principal of and interest on this Note
shall be paid in the manner specified 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.

 A-6-1
 

All
payments made by the Issuer with respect to this Note shall be applied first to
interest due and payable on this Note as provided above and then to the unpaid
principal of this Note.

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 the Indenture Trustee whose name
appears below by manual signature, this Note shall not be entitled to any
benefit under the indenture referred to on the reverse hereof, or be valid or
obligatory for any purpose.

 A-6-2
 

IN WITNESS WHEREOF, the
Issuer has caused this instrument to be signed, manually or in facsimile, by an
Authorized Officer, as of the date set forth below.

	
  Date:

  	
                       

  	
   

  	
  HARLEY-DAVIDSON MOTORCYCLE

  
	
   

  	
  TRUST 2007-3

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  WILMINGTON TRUST COMPANY, not

  in its individual capacity but solely on

  behalf of the Issuer as Owner Trustee,

  under the Trust Agreement

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  	
   

  
	
   

  	
  Printed Name:

  	
   

  	
   

  	
   

  
	
   

  	
  Title:

  	
   

  	
   

  	
   

  
												

 

 A-6-3
 

INDENTURE
TRUSTEE’S CERTIFICATE OF AUTHENTICATION

This is one of the Notes designated above and
referred to in the within-mentioned Indenture.

	
  

  	
  THE BANK OF NEW YORK TRUST

  COMPANY, N.A.,

  
	
   

  	
  not in its individual capacity but solely as
  Indenture

  Trustee

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
  Authorized Signatory

  

 

 A-6-4
 

[REVERSE OF CLASS C NOTE]

This Note is one of a duly authorized issue of Notes
of the Issuer, designated as its [        ]%
Motorcycle Contract, Class C (the “Class C Notes”), all issued under an
Indenture, dated as of August 15, 2007 (the “Indenture”), between the Issuer
and The Bank of New York Trust Company, N.A., as Indenture Trustee (the “Indenture
Trustee”), to which Indenture and all indentures supplemental thereto reference
is hereby made for a statement of the respective rights and obligations
thereunder of the Issuer, the Indenture Trustee and the Holders of the
Notes.  The Notes are subject to all
terms of the Indenture.  All terms used
in this Note that are defined in the Indenture, as supplemented or amended,
shall have the meanings assigned to them in or pursuant to the Indenture, as so
supplemented or amended.

The Class C Notes and the other Classes of Notes
described in the Indenture (collectively, the “Notes”) are and will be equally
and ratably secured by the collateral pledged as security therefor as provided
in the Indenture subject to the priorities of allocations as to interest and
principal payments as described in the Sale and Servicing Agreement.

Principal of the Class C Notes will be payable on
the earlier of the Class C Final Distribution Date and the Redemption Date, if
any, pursuant to Section 10.01(a) or 10.01(b) of the Indenture.  Notwithstanding the foregoing, the entire
unpaid principal amount of the Class C Notes shall be due and payable on the
date on which following the occurrence of an Event of Default on which the
maturity of the Notes shall have been accelerated in the manner provided in the
Indenture.  All principal payments on the
Class C Notes shall be made pro rata to the Class C Noteholders entitled
thereto.

Payments of interest on this Note due and payable on
each Distribution Date shall be made by wire transfer to the account of the
Person whose name appears as the Registered Holder of this Note (or one or more
Predecessor Notes) on the Note Register as of the close of business on each
Record Date, except that with respect to Notes registered on the Record Date in
the name of nominee of the Clearing Agency (initially, such nominee to be Cede
& Co.), payments will be made by wire transfer in immediately available
funds to the account designated by such nominee.  Such checks shall be mailed to the Person
entitled thereto at the address of such Person as it appears on the Note
Register as of the applicable Record Date without requiring that this Note be
submitted for notation of payment.  Any
reduction in the principal amount of this Note (or any one or more Predecessor
Notes) affected by any payments made on any Distribution Date shall be binding
upon all future Holders of this Note and of any Note issued upon the registration
of transfer hereof or in exchange hereof or in lieu hereof, whether or not
noted hereon.  If funds are expected to
be available, as provided in the Indenture, for payment in full of the then
remaining unpaid principal amount of this Note on a Distribution Date, then the
Indenture Trustee, in the name of and on behalf of the Issuer, will notify the
Person who was the Registered Holder hereof as of the Record Date preceding
such Distribution Date by notice mailed within five days of such Distribution
Date and the amount then due and payable shall be payable only upon
presentation and surrender of this Note at the Indenture Trustee’s principal
Corporate Trust Office or at the office of the Indenture Trustee’s agent
appointed for such purposes located in the City of Chicago, Illinois.

The Issuer shall pay interest on overdue
installments of interest at the Class C Rate to the extent lawful.

As provided in the Indenture, the Notes may be
redeemed pursuant to Section 10.01(a) of the Indenture, in whole, but not in
part, at the option of the Servicer, on any Distribution Date on or after the
date on which the Pool Balance is less than 10% of the Pool Balance as of the
Cutoff Date.

 A-6-5
 

As provided in the Indenture and subject to certain
limitations set forth therein, the transfer of this Note may be registered on
the Note Register upon surrender of this Note for registration of transfer at
the office or agency designated by the Issuer pursuant to the Indenture, duly
endorsed by, or accompanied by a written instrument of transfer in form
satisfactory to the Indenture Trustee duly executed by, the Holder hereof or
his attorney duly authorized in writing, with such signature guaranteed by an
eligible guarantor institution which is a participant in the Securities Transfer
Agent’s Medallion Program (STAMP) or similar signature guarantee program, and
such other documents as the Indenture Trustee may require, and thereupon one or
more new program, and such other documents as the Indenture Trustee may
require, and thereupon one or more new Class C Notes of authorized denomination
and in the same aggregate principal amount will be issued to the designated
transferee or transferees.  No service
charge will be charged for any registration of transfer or exchange of this Note,
but the transferor may be required to pay a sum sufficient to cover any tax or
other governmental charge that may be imposed in connection with any such
registration of transfer or exchange.

Each Noteholder, by acceptance of a Note or  a beneficial interest in a Note covenants and
agrees that no recourse may be taken, directly or indirectly, with respect to
the obligations of the Issuer, the Owner Trustee or the Indenture Trustee on
the Notes or under the Indenture or any certificate or other writing delivered
in connection therewith, against (i) the Indenture Trustee or the Owner Trustee
in their individual capacities, (ii) any owner of a beneficial interest in the
Issuer or (iii) any partner, owner, beneficiary, agent, officer, director or
employee of the Indenture Trustee or the Owner Trustee in their individual
capacities, any holder of a beneficial interest in the Issuer, the Owner
Trustee or the Indenture Trustee or of any successor or assign of the Indenture
Trustee or the Owner Trustee in their individual capacities, except as any such
Person may have expressly agreed and except that any such partner, owner or
beneficiary shall be fully liable, to the extent provided by applicable law,
for any unpaid consideration for stock, unpaid capital contribution or failure
to pay any installment or call owing to such entity.

Each Noteholder, by acceptance of a Note or a
beneficial interest in a Note covenants and agrees that by accepting the
benefits of the Indenture and such Note that such Noteholder will not at any
time institute against the Trust Depositor or the Issuer, or join in any
institution against the Trust Depositor or the Issuer of any bankruptcy,
reorganization, arrangement, insolvency or liquidation proceedings under any
United States federal or state bankruptcy or similar law in connection with any
obligations relating to the Notes, the Indenture or the Transaction Documents.

The Issuer has entered into the Indenture, and this
Note is issued with the intention that, for federal, state and local income,
single business and franchise tax purposes, the Notes will qualify as
indebtedness secured by the Collateral and that the Issuer will be disregarded
as a separate entity for federal income tax purposes pursuant to Treasury
Regulations Section 301.7701-3(b)(1)(ii). 
Each Noteholder, by acceptance of a Note or a beneficial interest in a
Note, agrees to treat the Notes for federal, state and local income, single
business and franchise tax purposes as indebtedness of the Issuer.

Prior to the due presentment for registration of
transfer of this Note, the Issuer and the Indenture Trustee and any agent of
the Issuer, the Indenture Trustee may treat the Person in whose name this Note
(as of the day of determination or as of such other date as may be specified in
the Indenture) is registered as the owner hereof for all purposes, whether or
not this Note be overdue, and neither the Issuer, the Indenture Trustee nor any
such agent shall be affected by notice to the contrary.

 A-6-6
 

The Indenture permits, with certain exceptions as
therein provided, the amendment thereof and the modification of the rights and
obligations of the Issuer and the rights of the Holders of the Notes under the
Indenture at any time by the Issuer and the consent of the Modified Required
Holders.  The Indenture also contains
provisions permitting the Holders of Notes representing specified percentages
of the Outstanding Amount of the Notes, on behalf of the Holders of all the
Notes, to waive compliance by the Issuer with certain provisions of the Indenture
and certain past defaults under the Indenture and their consequences.  Any such consent or waiver by the Holder of
this Note (or any one of more Predecessor Notes) shall be conclusive and
binding upon such Holders and upon all future Holders of this Note and of any
Note issued upon the registration of transfer hereof or in exchange hereof or
in lieu hereof whether or not notation of such consent or waiver is made upon
this Note.  The Indenture also permits the
Indenture Trustee to amend or waive certain terms and conditions set forth in
the Indenture without the consent of Holders of the Notes issued thereunder.

Each Noteholder, by
acceptance of a Note or a beneficial interest in a Note is deemed to represent
that (i) it is not, and is not acquiring a Note or a beneficial interest in a
Note on behalf of or with “plan assets” (as determined under Department of
Labor Regulation Section 2510.3-101 or otherwise) of a Plan, or any employee
benefit plan subject to Similar Law, or (ii) its acquisition and holding of a
Note or a beneficial interest in a Note do not give rise to a nonexempt
prohibited transaction under Section 406 of ERISA or Section 4975 of the Code,
or any Similar Law.  Each Noteholder, by
acceptance of a Note or a beneficial interest in a Note is deemed to make one
of the foregoing representations.

The Notes are issuable only in registered form in
denominations as provided in the Indenture, subject to certain limitations
therein set forth.

This Note and the Indenture shall be construed in accordance
with the laws of the State of Illinois, and the obligations, rights and
remedies of the parties hereunder and thereunder shall be determined in
accordance with such laws.

No reference herein to the Indenture and no
provision of this Note or of the Indenture shall alter or impair the obligation
of the Issuer, which is absolute and unconditional, to pay the principal of and
interest on this Note at the times, place, and rate, and in the coin or
currency herein prescribed.

 A-6-7

EXHIBIT B

FORM OF ASSIGNMENT

FOR
VALUE RECEIVED the undersigned hereby sells, assigns and transfers unto

PLEASE INSERT SOCIAL SECURITY OR

OTHER IDENTIFYING NUMBER OF ASSIGNEE

(Please print or type name and address, including postal zip code, of
assignee)

the within Note, and all rights thereunder, hereby irrevocably
constituting and appointing

to transfer said Note on the
books kept for registration thereof, with full power of substitution in the
premises.

	
  Dated:

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Signature Guaranteed:

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  Signature must be
  guaranteed by an eligible

  guarantor institution which is a participant in the

  Securities Transfer Agent’s Medallion Program

  (STAMP) or similar signature guarantee

  program.

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  Notice:  The signature(s) on this assignment

  must correspond with the name(s) as it appears

  on the face of the within Note in every

  particular, without alteration or enlargement or

  any change whatsoever.

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  (Authorized Officer)

  	
   

  

 

 B-1

EXHIBIT C

FORM OF NOTE DEPOSITORY
AGREEMENT

 C-1Exhibit 10.1

Execution Copy

 

TRANSFER AND SALE
AGREEMENT

by and between

HARLEY-DAVIDSON CREDIT CORP.,

as  Seller

and

HARLEY-DAVIDSON CUSTOMER FUNDING CORP.,

as Purchaser

Dated as of August 15, 2007

 

 

TABLE OF CONTENTS

	
  ARTICLE I DEFINITION

  	
   

  	
  1

  
	
   

  	
   

  	
   

  
	
  Section 1.01.

  	
   

  	
  General

  	
   

  	
  1

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE II TRANSFER
  OF CONTRACTS; ASSIGNMENT OF AGREEMENT

  	
   

  	
  1

  
	
   

  	
   

  	
   

  
	
  Section 2.01.

  	
   

  	
  Closing

  	
   

  	
  1

  
	
  Section 2.02.

  	
   

  	
  Conditions to the Closing

  	
   

  	
  2

  
	
  Section 2.03.

  	
   

  	
  Assignment of Agreement

  	
   

  	
  3

  
	
  Section 2.04.

  	
   

  	
  [Intentionally Omitted]

  	
   

  	
  3

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE III
  REPRESENTATIONS AND WARRANTIES

  	
   

  	
  3

  
	
   

  	
   

  	
   

  
	
  Section 3.01.

  	
   

  	
  Representations and Warranties
  Regarding Seller

  	
   

  	
  4

  
	
  Section 3.02.

  	
   

  	
  Representations and Warranties
  Regarding Each Contract

  	
   

  	
  5

  
	
  Section 3.03.

  	
   

  	
  Representations and Warranties
  Regarding the Contracts in the Aggregate

  	
   

  	
  8

  
	
  Section 3.04.

  	
   

  	
  Representations and Warranties
  Regarding the Contract Files

  	
   

  	
  8

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE IV PERFECTION
  OF TRANSFER AND PROTECTION OF SECURITY INTERESTS

  	
   

  	
  9

  
	
   

  	
   

  	
   

  
	
  Section 4.01.

  	
   

  	
  Custody of Contracts

  	
   

  	
  9

  
	
  Section 4.02.

  	
   

  	
  Filing

  	
   

  	
  9

  
	
  Section 4.03.

  	
   

  	
  Name Change or Relocation

  	
   

  	
  9

  
	
  Section 4.04.

  	
   

  	
  Costs and Expenses

  	
   

  	
  10

  
	
  Section 4.05

  	
   

  	
  Sale Treatment

  	
   

  	
  10

  
	
  Section 4.06

  	
   

  	
  Separateness from Trust
  Depositor

  	
   

  	
  10

  
	
  Section 4.07

  	
   

  	
  Protection of Security
  Interests

  	
   

  	
  10

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE
  V REMEDIES UPON MISREPRESENTATION

  	
   

  	
  10

  
	
   

  	
   

  	
   

  
	
  Section 5.01.

  	
   

  	
  Repurchases of Contracts for
  Breach of Representations and Warranties

  	
   

  	
  10

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE VI
  INDEMNITIES

  	
   

  	
  11

  
	
   

  	
   

  	
   

  
	
  Section 6.01.

  	
   

  	
  Seller Indemnification

  	
   

  	
  11

  
	
  Section 6.02.

  	
   

  	
  Liabilities to Obligors

  	
   

  	
  11

  
	
  Section 6.03.

  	
   

  	
  Tax Indemnification

  	
   

  	
  11

  
	
  Section 6.04.

  	
   

  	
  Operation of Indemnities

  	
   

  	
  11

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE VII
  MISCELLANEOUS

  	
   

  	
  12

  
	
   

  	
   

  	
   

  
	
  Section 7.01.

  	
   

  	
  Prohibited Transactions with
  Respect to the Trust

  	
   

  	
  12

  
	
  Section 7.02.

  	
   

  	
  Merger or Consolidation

  	
   

  	
  12

  
	
  Section 7.03.

  	
   

  	
  Termination

  	
   

  	
  12

  
	
  Section 7.04.

  	
   

  	
  Assignment or Delegation by
  Seller

  	
   

  	
  12

  
	
  Section 7.05.

  	
   

  	
  Amendment

  	
   

  	
  12

  
	
  Section 7.06.

  	
   

  	
  Notices

  	
   

  	
  13

  
	
  Section 7.07.

  	
   

  	
  Merger and Integration

  	
   

  	
  13

  
	
  Section 7.08.

  	
   

  	
  Headings

  	
   

  	
  13

  
	
  Section 7.09.

  	
   

  	
  Governing Law

  	
   

  	
  14

  

 

 i
 

EXHIBITS

Exhibit
A                Form of Assignment

Exhibit B                Form of
Officer’s Certificate

 ii

THIS AGREEMENT, dated as of
August 15, 2007, is made by and between Harley-Davidson Credit Corp., a Nevada
corporation, as seller hereunder (together with its successors and assigns “Harley-Davidson Credit” or “Seller”),
and Harley-Davidson Customer Funding Corp., a Nevada corporation and wholly-owned
subsidiary of Seller (together with its successors and assigns “Trust Depositor”), as purchaser hereunder.

WHEREAS, in the regular
course of its business, Seller purchases and services (i) motorcycle conditional
sales contracts from Harley-Davidson motorcycle retailers and (ii)
motorcycle promissory note and security agreements from Eaglemark Savings Bank,
each of which contracts provides for installment payment obligations by or on
behalf of the retailer’s customer/purchaser and grants a security interest in
the related motorcycle in order to secure such obligations;

WHEREAS, Seller and
Trust Depositor wish to set forth the terms and conditions pursuant to which
Trust Depositor will acquire from time to time the “Contract
Assets,” as hereinafter defined; and

WHEREAS, Trust
Depositor intends concurrently with its purchase of Contract Assets hereunder
to convey all right, title and interest in such Contract Assets to
Harley-Davidson Motorcycle Trust 2007-3 (the “Trust”)
pursuant to the Sale and Servicing Agreement dated as of August 15, 2007 by and
among Trust Depositor, Harley-Davidson Credit, as Servicer, the Trust, as
issuer (the “Issuer”) and The Bank of New York Trust
Company, N.A., as Indenture Trustee (as amended, supplemented or otherwise
modified from time to time, the “Sale and Servicing
Agreement”), executed concurrently herewith;

NOW, THEREFORE, in
consideration of the premises and the mutual agreements hereinafter set forth,
Seller and Trust Depositor agree as follows:

ARTICLE
I

DEFINITIONS

Section 1.01.        General.  Unless otherwise defined in this Agreement,
capitalized terms used herein (including in the preamble above) shall have the
meanings assigned to them in the Sale and Servicing Agreement.

ARTICLE
II

TRANSFER
OF CONTRACTS; ASSIGNMENT OF AGREEMENT

Section 2.01.        Closing.  Subject to and upon the terms and conditions
set forth in this Agreement, Seller hereby sells, transfers, assigns, sets over
and otherwise conveys to Trust Depositor, in consideration of Trust Depositor’s
payment of $782,000,0000 (less fees and expenses in connection with the
offering and sale of the Notes and certain deposits to the Reserve Fund and the
Yield Supplement Account on the Closing Date) in cash as the purchase price
therefor, (i) all the right, title and interest of Seller in and to the
Contracts listed on the List of Contracts in effect on the Closing Date
(including, without limitation, all security interests and all rights to
receive payments which are collected pursuant thereto after the Cutoff Date,
including any liquidation proceeds therefrom, but excluding any rights to
receive payments which were collected pursuant thereto on or prior to the
Cutoff Date), (ii) all rights of Seller under any physical damage or other
individual insurance policy (including a “forced placed”
policy, if any), any debt insurance policy or any debt cancellation agreement
relating to any such

Contract,
an Obligor or a Motorcycle securing such Contract, (iii) all security interests
in each such Motorcycle, (iv) all documents contained in the related Contract
Files, (v) all rights of Seller in the Lockbox, Lockbox Account and related
Lockbox Agreement to the extent they relate to the Contracts, (vi) all rights
(but not the obligations) of the Seller under any motorcycle dealer agreements
between the dealers (i.e. originators of certain Contracts) and the Seller,
(vii) all rights of Seller to certain rebates of premiums and other amounts
relating to insurance policies, debt cancellation agreements, extended service
contracts or other repair agreements and other items financed under such
Contracts and (viii) all proceeds and products of the foregoing (items (i) -
(viii), being collectively referred to herein as the “Contract
Assets”).  Although Seller and
Trust Depositor agree that any such transfer is intended to be a sale of
ownership in the Contract Assets, rather than the mere granting of a security
interest to secure a borrowing, in the event such transfer is deemed to be of a
mere security interest to secure indebtedness, Seller shall be deemed to have
granted Trust Depositor a perfected first priority security interest in such
Contract Assets and this Agreement shall constitute a security agreement under
applicable law.  If such transfer is deemed
to be the mere granting of a security interest to secure a borrowing, Trust
Depositor may, to secure Trust Depositor’s own borrowing under the Sale and
Servicing Agreement (to the extent that the transfer of the Contract Assets
thereunder is deemed to be a mere granting of a security interest to secure a
borrowing) repledge and reassign (i) all or a portion of the Contract Assets
pledged to Trust Depositor and not released from the security interest of this
Agreement at the time of such pledge and assignment, and (ii) all proceeds
thereof.  Such repledge and reassignment
may be made by Trust Depositor with or without a repledge and reassignment by
Trust Depositor of its rights under this Agreement, and without further notice
to or acknowledgment from Seller.  Seller
waives, to the extent permitted by applicable law, all claims, causes of action
and remedies, whether legal or equitable (including any right of setoff),
against Trust Depositor or any assignee of Trust Depositor relating to such
action by Trust Depositor in connection with the transactions contemplated by
the Sale and Servicing Agreement.  To the
extent the cash purchase price for the Contract Assets sold by the Seller to
the Trust Depositor is less than the principal balance of the Contracts as of
the Cutoff Date, the difference shall be deemed to be a capital contribution by
the Seller to the Trust Depositor.

Section 2.02.        Conditions to the Closing.  On or before the Closing Date, Seller shall
deliver or cause to be delivered to Trust Depositor each of the documents,
certificates and other items as follows:

(a)           The List of Contracts, certified by the
Chairman of the Board, President or any Vice President of Seller together with
an Assignment substantially in the form attached as Exhibit A
hereto.

(b)           A certificate of an officer of Seller
substantially in the form of Exhibit B
hereto.

(c)           An opinion of counsel for Seller
substantially in the form of Exhibit D to
the Sale and Servicing Agreement.

(d)           A letter or letters from Ernst & Young
LLP, or another nationally recognized accounting firm, addressed to Trust
Depositor and the Issuer and the Trustees and stating that such firm has
reviewed a sample of the Contracts and performed specific procedures for such
sample with respect to certain contract terms and identifying those Contracts
which do not so conform.

(e)           Copies of resolutions of the Board of
Directors of Seller or of the Executive Committee of the Board of Directors of
Seller approving the execution, delivery and performance 

 2
 

of
this Agreement and the transactions contemplated hereunder, certified in each
case by the Secretary or an Assistant Secretary of Seller.

(f)            Officially certified recent evidence of due
incorporation and good standing of Seller under the laws of Nevada.

(g)           Evidence of proper filing with the
appropriate office in Nevada of a UCC financing statement naming Seller as
debtor, naming Trust Depositor as assignor secured party and the Issuer as
secured party, and listing the Contract Assets as collateral as well as evidence
of proper filing with the appropriate office in Delaware of a UCC financing
statement naming the Issuer as debtor, naming the Indenture Trustee, as secured
party, and listing the Contract Assets as collateral.

(h)           An Officer’s Certificate from Seller
certifying that the Seller, on or prior to the Closing Date, has indicated in
its computer files, in accordance with its customary standards, policies and
procedures, that the Contracts have been conveyed to the Trust Depositor
pursuant to this Agreement.

(i)            The documents, certificates and other items
described in Section 2.02 of the Sale and Servicing Agreement, to the extent
not already described above.

Section 2.03.        Assignment of Agreement.  Trust Depositor has the right to assign its
interest under this Agreement to the Issuer as may be required to effect the
purposes of the Sale and Servicing Agreement, without further notice to, or
consent of, Seller, and the Issuer shall succeed to such of the rights of Trust
Depositor hereunder as shall be so assigned. 
Seller acknowledges that, pursuant to the Sale and Servicing Agreement,
Trust Depositor will assign all of its right, title and interest in and to the
Contract Assets and its right to exercise the remedies created by Section 5.01
hereof for breaches of representations and warranties of Seller contained in
Sections 3.01, 3.02, 3.03 and 3.04 hereof to the Issuer and the Indenture
Trustee for the benefit of the Noteholders. 
Seller agrees that, upon such assignment to the Issuer and the Indenture
Trustee, such representations will run to and be for the benefit of the Issuer
and the Indenture Trustee and the Issuer and the Indenture Trustee may enforce
directly without joinder of Trust Depositor, the obligations of Seller set
forth herein.

Section 2.04.        [Intentionally Omitted].

ARTICLE
III

REPRESENTATIONS
AND WARRANTIES

Seller makes the following
representations and warranties, on which Trust Depositor will rely in
purchasing the Contract Assets on the Closing Date and concurrently reconveying
the same to the Trust, and on which the Trust, the Indenture Trustee and the
Noteholders will rely under the Sale and Servicing Agreement.  Such representations speak as of the
execution and delivery of this Agreement and as of the Closing Date, but shall
survive the sale, transfer and assignment of the Contracts to the Trust and the
pledge of the Contracts to the Indenture Trustee.  The repurchase obligation of Seller set forth
in Section 5.01 below and in Section 7.08 of the Sale and Servicing Agreement
constitutes the sole remedy available for a breach of a representation or
warranty of Seller set forth in Section 3.02, 3.03 or 3.04 of this Agreement.

 3
 

Section 3.01.        Representations and Warranties
Regarding Seller.  Seller
represents and warrants, as of the execution and delivery of this Agreement and
as of the Closing Date that:

(a)           Organization and Good Standing. 
Seller is a corporation duly organized, validly existing and in good
standing under the laws of the jurisdiction of its organization and has the
corporate power to own its assets and to transact the business in which it is
currently engaged.  Seller is duly
qualified to do business as a foreign corporation and is in good standing in
each jurisdiction in which the character of the business transacted by it or properties
owned or leased by it requires such qualification and in which the failure so
to qualify would have a material adverse effect on the business, properties,
assets, or condition (financial or otherwise) of Seller or Trust Depositor.  Seller is properly licensed in each
jurisdiction to the extent required by the laws of such jurisdiction to service
the Contracts in accordance with the terms of the Sale and Servicing Agreement.

(b)           Authorization; Binding
Obligation.  Seller has the power and authority to make,
execute, deliver and perform this Agreement and the other Transaction Documents
to which the Seller is a party and all of the transactions contemplated under
this Agreement and the other Transaction Documents to which the Seller is a
party, and has taken all necessary corporate action to authorize the execution,
delivery and performance of this Agreement and the other Transaction Documents
to which the Seller is a party.  This
Agreement and the other Transaction Documents to which the Seller is a party
constitute the legal, valid and binding obligation of Seller enforceable in
accordance with their terms, except as enforcement of such terms may be limited
by bankruptcy, insolvency or similar laws affecting the enforcement of
creditors’ rights generally and by the availability of equitable remedies.

(c)           No Consent Required. 
Seller is not required to obtain the consent of any other party or any
consent, license, approval or authorization from, or registration or
declaration with, any governmental authority, bureau or agency in connection
with the execution, delivery, performance, validity or enforceability of this
Agreement and the other Transaction Documents to which the Seller is a party.

(d)           No Violations. 
Seller’s execution, delivery and performance of this Agreement and the
other Transaction Documents to which the Seller is a party will not violate any
provision of any existing law or regulation or any order or decree of any court
or the Articles of Incorporation or Bylaws of Seller, or constitute a material
breach of any mortgage, indenture, contract or other agreement to which Seller
is a party or by which Seller or any of Seller’s properties may be bound.

(e)           Litigation.  No
litigation or administrative proceeding of or before any court, tribunal or
governmental body is currently pending, or to the knowledge of Seller
threatened, against Seller or any of its properties or with respect to this
Agreement or any other Transaction Document to which the Seller is a party
which, if adversely determined, would in the opinion of Seller have a material
adverse effect on the business, properties, assets or condition (financial or
other) of Seller or the transactions contemplated by this Agreement or any
other Transaction Document to which the Seller is a party.

(f)            State of Incorporation; Name; No
Changes.  Seller’s state of incorporation is the State
of Nevada.  Seller’s exact legal name is
as set forth in the first paragraph of this Agreement.  Seller has not changed its name whether by
amendment of its Articles of Incorporation, by

 4
 

reorganization or otherwise, and has not changed its state of
incorporation, within the four months preceding the Closing Date.

(g)           Operations. 
Approximately 5.00% of the aggregate principal balance of contracts
financed from time to time by the Seller are secured by motorcycles
manufactured by Buell.

(h)           Solvency.  The
Seller, after giving effect to the conveyances made by it hereunder, is
Solvent.

Section 3.02.        Representations and Warranties
Regarding Each Contract. 
Seller represents and warrants as to each Contract as of the execution
and delivery of this Agreement and as of the Closing Date that:

(a)           List of Contracts.  The
information set forth in the List of Contracts is true, complete and correct in
all material respects as of the Cutoff Date.

(b)           Payments.  As
of the Cutoff Date, the most recent scheduled payment with respect to any
Contract either had been made or was not delinquent for more than 30 days.  To the best of Seller’s knowledge, all
payments made on each Contract were made by the respective Obligor or under a
debt insurance policy or debt cancellation agreement.

(c)           No Waivers.  As
of the Closing Date, the terms of the Contracts have not been waived, altered
or modified in any respect, except by instruments or documents included in the
related Contract File.

(d)           Binding Obligation.  Each
Contract is a legal, valid and binding payment obligation of the Obligor
thereunder and is enforceable in accordance with its terms, except as such
enforceability may be limited by insolvency, bankruptcy, moratorium,
reorganization, or other similar laws affecting the enforcement of creditors’
rights generally.

(e)           No Defenses.  No
Contract is subject to any right of rescission, setoff, counterclaim or
defense, including the defense of usury, and the operation of any of the terms
of such Contract or the exercise of any right thereunder will not render the
Contract unenforceable in whole or in part or subject to any right of
rescission, setoff, counterclaim or defense, including the defense of usury,
and no such right of rescission, setoff, counterclaim or defense has been
asserted with respect thereto.

(f)            Insurance.  The
Seller, in accordance with its policies and procedures, has determined that, as
of the date of origination of each Contract, the related Obligor had obtained
or agreed to obtain physical damage insurance covering the Motorcycle.  The terms of each Contract require that for
the term of such Contract the Motorcycle securing such Contract will be covered
by physical damage insurance.

(g)           Origination.  Each
Contract (i) was originated by a Harley-Davidson motorcycle dealer or by
Eaglemark Savings Bank, in each case, in the regular course of its business,
(ii) was fully and properly executed by the parties thereto, and (iii) has been
purchased by Seller in the regular course of its business.  Each Contract was sold by Eaglemark Savings
Bank or such

 5
 

motorcycle dealer,
as the case may be, to the Seller without any fraud or misrepresentation on the
part of Eaglemark Savings Bank or, to the knowledge of the Seller, such
motorcycle dealer.

(h)           Lawful Assignment.  No
Contract was originated in or is subject to the laws of any jurisdiction whose
laws would make the sale, transfer and assignment of the Contract under this
Agreement or under the Sale and Servicing Agreement or the pledge of the
Contract under the Indenture unlawful, void or voidable.

(i)            Compliance with Law.  None
of the Contracts, the origination of the Contracts by Harley-Davidson
motorcycle dealers or Eaglemark Savings Bank, the purchase of the Contracts by
the Seller, the sale of the Contracts by the Seller to the Trust Depositor or
by the Trust Depositor to the Trust, or any combination of the foregoing,
violated at the time of origination or as of the Closing Date, in any material
respect any requirement of any federal, state or local law and regulations
thereunder, including, without limitation, usury, truth in lending, motor
vehicle installment loan and equal credit opportunity laws, applicable to the Contracts
and the sale of Motorcycles.

(j)            Contract in Force.  As
of the Closing Date, no Contract has been satisfied or subordinated in whole or
in part or rescinded, and the related Motorcycle securing any Contract has not
been released from the lien of the Contract in whole or in part.

(k)           Valid Security Interest.  Each
Contract creates a valid, subsisting and enforceable first priority perfected
security interest in favor of Seller or Eaglemark Savings Bank (as the case may
be) in the Motorcycle covered thereby, and such security interest has been
validly assigned by Eaglemark Savings Bank to Seller (where applicable) and by
Seller to the Trust Depositor.  Seller’s
security interest has been validly assigned by the Seller to the Trust
Depositor pursuant to this Agreement and by the Trust Depositor to the Issuer
pursuant to the Sale and Servicing Agreement. 
Immediately prior to the transfer, assignment and conveyance thereof,
each Contract is secured by a first priority, validly perfected security
interest in the Motorcycle covered thereby in favor of the Seller or Eaglemark
Savings Bank as secured party or all necessary and appropriate actions have
been commenced that would result in a first priority, validly perfected
security interest in the Motorcycle covered thereby in favor of the Seller or
Eaglemark Savings Bank as secured party, except, in each case, as to priority
for any lien for taxes, labor, materials or of any state law enforcement agency
affecting a Motorcycle.

(l)            Good Title.  Each
Contract was purchased by Seller for value and taken into possession prior to
the Cutoff Date in the ordinary course of its business, without knowledge that
the Contract was subject to a security interest.  No Contract has been sold, assigned or
pledged to any person other than Trust Depositor and the Issuer as the
transferee of Trust Depositor, and prior to the transfer of the Contract to
Trust Depositor, Seller had good and marketable title to each Contract free and
clear of any encumbrance, equity, loan, pledge, charge, claim or security
interest and was the sole owner thereof and had full right to transfer the
Contract to Trust Depositor, and, immediately upon the transfer of each
Contract by the Seller, the Trust Depositor shall have good and marketable
title to each Contract free and clear of any encumbrance, equity, loan, pledge,
charge, claim or security interest, and, immediately upon the transfer of each
Contract by the Trust Depositor, the Issuer shall have good and marketable
title to each Contract free and clear of any encumbrance, equity, loan, pledge,
charge, claim or security interest.

 6
 

(m)          No Defaults.  As
of the Cutoff Date , no default, breach, violation or event permitting
acceleration existed with respect to any Contract and no event had occurred
which, with notice and the expiration of any grace or cure period, would
constitute such a default, breach, violation or event permitting acceleration
under such Contract.  Seller has not
waived any such default, breach, violation or event permitting acceleration,
and Seller has not granted any extension of payment terms on any Contract.  As of the Cutoff Date, no Motorcycle had been
repossessed.

(n)           No Liens.  As
of the Closing Date there are, to the best of Seller’s knowledge, no liens or
claims which have been filed for work, labor or materials affecting the
Motorcycle securing any Contract which are liens prior to, or equal with, the
lien of such Contract.

(o)           Installments.  Each
Contract has a fixed Contract Rate and provides for monthly payments of
principal and interest which, if timely made, would fully amortize the loan on
a simple-interest basis over its term.

(p)           Enforceability.  Each
Contract contains customary and enforceable provisions such as to render the
rights and remedies of the holder thereof adequate for the realization against
the collateral of the benefits of the security.

(q)           One Original.  Each
Contract is evidenced by only one original executed Contract, which original
has been delivered to the Issuer or its designee on or before the Closing Date.

(r)            No Government Obligors.  No
Obligor is the United States government or an agency, authority,
instrumentality or other political subdivision of the United States government.

(s)           Lockbox Bank.  The
Lockbox Bank is the only institution holding any Lockbox Account for receipt of
payments from Obligors, and all Obligors have been instructed to make payments
to the Lockbox Account (either directly by remitting payments to the Lockbox,
or indirectly by making payments through direct debit, the telephone or the
internet to an account of the Servicer which payments will be subsequently
transferred from such account to one or more Lockbox Banks), and no person
claiming through or under Seller has any claim or interest in the Lockbox
Account other than the Lockbox Bank; provided, however,
that other “Trusts” (as defined in the Lockbox Agreement) shall have an
interest in certain other collections therein not related to the Contracts.

(t)            Obligor Bankruptcy.  At
the Cutoff Date, no Obligor was subject to a bankruptcy proceeding (according
to the records of the Seller) within the one year preceding the Cutoff Date.

(u)           Chattel Paper.  The
Contracts constitute tangible chattel paper within the meaning of the UCC.

(v)           Contract Not Assumable.  No
Contract is assumable by another Person in a manner which would release the
Obligor thereof from such Obligor’s obligations to the Trust Depositor with
respect to such Contract.

(w)          Selection Criteria.  Each Contract is secured by a new or used
Motorcycle.  No Contract has a Contract
Rate less than 4.027%.  Each Contract
amortizes the amount financed

 7
 

over an original term no greater than 84 months.  Each Contract has a Principal Balance of at
least $500.00 as of the Cutoff Date.

Section 3.03.        Representations and Warranties
Regarding the Contracts in the Aggregate.  Seller represents and warrants, as of the
execution and delivery of this Agreement and as of the Closing Date that:

(a)           Amounts.  The
sum of the aggregate Principal Balances payable by Obligors under the Contracts
as of the Cutoff Date equals or exceeds the sum of the principal balance
of  the Notes on the Closing Date.

(b)           Characteristics.  The
Contracts have the following characteristics: (i) all the Contracts are secured
by Motorcycles; (ii) no Contract has a remaining maturity of more than 84
months; and (iii) the final scheduled payment on the Contract with the latest
maturity is due no later than October 2014. 
Approximately 84.42% of the Principal Balance of the Contracts as of the
Cutoff Date is attributable to loans for purchases of new Motorcycles and
approximately 15.58% is attributable to loans for purchases of used
Motorcycles.  No Contract was originated
after the Cutoff Date.  Approximately
99.06% of the Principal Balance of the Contracts as of the Cutoff Date is
attributable to loans for purchases of Motorcycles manufactured by
Harley-Davidson or Buell and approximately 0.94% of the Principal Balance of
the Contracts as of the Cutoff Date is attributable to loans to purchase
Motorcycles not manufactured by Harley-Davidson or Buell.

(c)           Marking Records.  As
of the Closing Date, Seller has caused the Computer File relating to the
Contracts sold hereunder and concurrently reconveyed by Trust Depositor to the
Trust and pledged by the Trust to the Indenture Trustee to be clearly and
unambiguously marked to indicate that such Contracts constitute part of the
Trust, are owned by the Trust and constitute security for the Notes.

(d)           No Adverse Selection.  No
selection procedures adverse to Noteholders have been employed in selecting the
Contracts.

(e)           True Sale.  The
transactions contemplated by this Agreement and the Sale and Servicing
Agreement constitute valid sales, transfers and assignments from Seller to
Trust Depositor and from Trust Depositor to the Trust of all of Seller’s right,
title and interest in the Contract Assets as of the Closing Date.

(f)            All Filings Made.  All
filings (including, without limitation, UCC filings) required to be made by any
Person and actions required to be taken or performed by any Person in any
jurisdiction to give the Indenture Trustee a first priority perfected lien on,
or ownership interest in, the Contracts and the proceeds thereof and the rest
of the Trust Corpus have been made, taken or performed.

(g)           Delta Loans.  No
more than 11.00% of the Principal Balance of the Contracts as of the Cutoff
Date is attributable to Delta Loans.

Section 3.04.        Representations and Warranties
Regarding the Contract Files.  Seller represents and warrants as of the
execution and delivery of this Agreement and as of the Closing Date that:

 8
 

(a)           Possession. 
Immediately prior to the Closing Date, the Servicer, or its custodian,
will have possession of each original Contract and the related complete
Contract File.  Each of such documents
which is required to be signed by the Obligor has been signed by the Obligor in
the appropriate spaces.  All blanks on
any form have been properly filled in and each form has otherwise been
correctly prepared.  The complete
Contract File for each Contract currently is in the possession of the Servicer
or its custodian.

(b)           Bulk Transfer Laws.  The
transfer, assignment and conveyance of the Contracts and the Contract Files by
Seller pursuant to this Agreement and by Trust Depositor pursuant to the Sale
and Servicing Agreement is not subject to the bulk transfer or any similar
statutory provisions in effect in any applicable jurisdiction.

ARTICLE
IV

PERFECTION
OF TRANSFER AND PROTECTION OF SECURITY INTERESTS

Section 4.01.        Custody of Contracts.  The contents of each Contract File shall be
held by the Servicer, or its custodian, for the benefit of the Trust as the
owner thereof in accordance with the Sale and Servicing Agreement.

Section 4.02.        Filing.  On or prior to the Closing Date, Seller shall
cause the UCC financing statement(s) referred to in Section 2.02(g) hereof and
in Section 2.02(g) of the Sale and Servicing Agreement to be filed and from
time to time Seller shall take and cause to be taken such actions and execute
such documents as are necessary or desirable or as Trust Depositor or the Trust
may reasonably request to perfect and protect the Trust Depositor’s and the
Trust’s ownership interest in the Contract Assets against all other persons,
including, without limitation, the filing of financing statements, amendments
thereto and continuation statements, the execution of transfer instruments and
the making of notations on or taking possession of all records or documents of
title.  The Seller authorizes the Trust
Depositor to file financing statements describing the Contract Assets as
collateral.  All financing statements
filed or to be filed against the Seller in favor of the Trust Depositor or the
Trust in connection herewith describing the Contract Assets as collateral shall
contain a statement to the following effect: “A purchase of or security
interest in any collateral described in this financing statement, except as
permitted in the Transfer and Sale Agreement or Sale and Servicing Agreement,
will violate the rights of the Secured Party.”

Section 4.03.        Name Change
or Relocation.  (a) During
the term of this Agreement, Seller shall not change its name, identity or
structure or state of incorporation without first giving at least 30 days’
prior written notice to Trust Depositor and to the Trustees.

(b)           If any change in Seller’s
name, identity or structure or other action would make any financing or
continuation statement or notice of ownership interest or lien filed under this
Agreement seriously misleading within the meaning of applicable provisions of
the UCC or any title statute, Seller, no later than five days after the
effective date of such change, shall file such amendments as may be required to
preserve and protect the Trust Depositor’s and the Trust’s interests in the
Contract Assets and proceeds thereof.  In
addition, Seller shall not change its state of incorporation unless it has
first taken such action as is advisable or necessary to preserve and protect
the Trust Depositor’s and the Trusts’ interest in the Contract Assets.  Promptly after taking any of the foregoing
actions, Seller shall deliver to Trust Depositor and the Trustees an opinion of
counsel stating that, in the opinion of such counsel, all 

 9
 

financing
statements or amendments necessary to preserve and protect the interests of the
Trust Depositor and the Trust in the Contract Assets have been filed, and
reciting the details of such filing.

Section 4.04.        Costs and Expenses.  Seller agrees to pay all reasonable costs and
disbursements in connection with the perfection and the maintenance of perfection,
as against all third parties, of (i) Trust Depositor’s, the Issuer’s and the
Indenture Trustee’s right, title and interest in and to the Contract Assets
(including, without limitation, the security interest in the Motorcycles
related thereto) and (ii) the security interests provided for in the Indenture.

Section 4.05         Sale Treatment.  Each of Seller and Trust Depositor shall
treat the transfer of Contract Assets made hereunder for all purposes
(including tax and financial accounting purposes) as a sale and purchase on all
of its relevant books, records, financial statements and other applicable
documents.

Section 4.06         Separateness from Trust
Depositor.  The Seller
agrees to take or refrain from taking or engaging in with respect to the Trust
Depositor each of the actions or activities specified in the “substantive
consolidation” opinion of Winston & Strawn LLP (or in any related
certificate of Seller) delivered on the Closing Date, upon which the
conclusions expressed therein are based.

Section 4.07         Protection of Security Interests.  The Seller agrees to deliver an Officer’s
Certificate to the Owner Trustee and the Indenture Trustee, as promptly as
practicable after the Closing Date, and in any event within 60 days thereof,
certifying that the Seller’s compliance officer has reviewed the original of
each Contract and each related Contract File, that each Contract and related
Contract File conforms in all material respects with the List of Contracts and
each such Contract File is complete and that each document required be an
original.

ARTICLE
V

REMEDIES
UPON MISREPRESENTATION

Section 5.01.        Repurchases of Contracts for
Breach of Representations and Warranties.  Seller hereby agrees, for the benefit of the
Issuer, the Indenture Trustee and the Trust Depositor, that it shall repurchase
a Contract (together with all related Contract Assets), at its Repurchase
Price, not later than two Business Days prior to the first Distribution Date
after the last day of the calendar month in which the Seller becomes aware or
receives written notice from Trust Depositor, either of the Trustees or the
Servicer of any breach of a representation or warranty of Seller set forth in
Article III of this Agreement that materially adversely affects Trust Depositor’s
or the Trust’s interest in such Contract (without regard to the benefits of the
Reserve Fund) and which breach has not been cured; provided,
however, that with respect to any Contract described on the List of
Contracts with respect to an incorrect unpaid Principal Balance which Seller
would otherwise be required to repurchase pursuant to this Section 5.01 and
Section 7.08 of the Sale and Servicing Agreement, Seller may, in lieu of
repurchasing such Contract, deposit in the Collection Account not later than
one Business Day prior to such Distribution Date cash in an amount sufficient
to cure any deficiency or discrepancy; and provided further
that with respect to a breach of a representation or warranty relating to the
Contracts in the aggregate and not to any particular Contract, Seller may
select Contracts (without adverse selection) to repurchase such that had such
Contracts not been reconveyed by Trust Depositor and included as part of the
Trust there would have been no breach of such representation or warranty; provided further that the failure to maintain perfection of
the security interest in the Motorcycle securing a Contract in accordance with
the Sale and Servicing Agreement, shall be deemed to be a breach materially and
adversely affecting the Trust’s interest in the Contracts or in the

 10
 

related
Contract Assets.  Notwithstanding any
other provision of this Agreement, the obligation of Seller under this Section
5.01 and under Section 7.08 of the Sale and Servicing Agreement shall not
terminate upon a Service Transfer pursuant to Article VIII of the Sale and
Servicing Agreement.

ARTICLE
VI

INDEMNITIES

Section 6.01.        Seller Indemnification.  Seller will defend and indemnify Trust
Depositor, the Trust, the Trustees, any agents of the Trustees and the
Noteholders against any and all costs, expenses, losses, damages, claims and
liabilities, joint or several, including reasonable fees and expenses of
counsel and expenses of litigation arising out of or resulting from (i) this
Agreement or the use, ownership or operation of any Motorcycle by Seller or the
Servicer or any Affiliate of either, (ii) any representation or warranty or
covenant made by Seller in this Agreement being untrue or incorrect (subject to
the second sentence of the preamble to Article III of this Agreement above),
and (iii) any untrue statement or alleged untrue statement of a material fact
contained in the Prospectus or in any amendment thereto or the omission or
alleged omission to state therein a material fact necessary to make the
statements therein, in light of the circumstances in which they were made, not
misleading, in each case to the extent, but only to the extent, that such
untrue statement or alleged untrue statement was made in conformity with
information furnished to Trust Depositor by Seller specifically for use
therein.  Notwithstanding any other
provision of this Agreement, the obligation of Seller under this Section 6.01
shall not terminate upon a Service Transfer pursuant to Article VIII of the
Sale and Servicing Agreement and shall survive any termination of that
agreement or this Agreement.

Section 6.02.        Liabilities
to Obligors.  No obligation
or liability to any Obligor under any of the Contracts is intended to be
assumed by the Trustees, the Trust or the Noteholders under or as a result of
this Agreement and the transactions contemplated hereby.

Section 6.03.        Tax Indemnification.  Seller covenants and agrees to pay, and to
indemnify, defend and hold harmless the Trust Depositor, the Trust, the
Trustees or the Noteholders from, any taxes that may at any time be asserted
against any such Person as a result of or relating to the transactions
contemplated herein and in the other Transaction Documents, including any
sales, gross receipts, gross margin, general corporation, tangible personal property,
Illinois personal property replacement privilege or license taxes (but not
including any federal, state or other taxes arising out of the creation of the
Trust and the issuance of the Notes) and costs, expenses and reasonable counsel
fees in defending against the same, whether arising by reason of the acts to be
performed by Seller under this Agreement or the Servicer under the Sale and
Servicing Agreement or imposed against the Trust Depositor, the Trust, a
Noteholder or otherwise.  Notwithstanding
any other provision of this Agreement, the obligation of Seller under this
Section 6.03 shall not terminate upon a Service Transfer pursuant to Article
VIII of the Sale and Servicing Agreement and shall survive any termination of
this Agreement.

Section 6.04.        Operation of Indemnities.  Indemnification under this Article VI shall
include, without limitation, reasonable fees and expenses of counsel and
expenses of litigation.  If Seller has
made any indemnity payments to Trust Depositor or the Trustees pursuant to this
Article VI and Trust Depositor or the Trustees thereafter collects any of such
amounts from others, Trust Depositor or the Trustees will repay such amounts
collected to Seller, except that any payments received by Trust Depositor or
the Trustees from an insurance provider as a result of the events under which
the Seller’s indemnity payments arose shall be repaid prior to any repayment of
the Seller’s indemnity payment.

 11
 

ARTICLE
VII

MISCELLANEOUS

Section 7.01.        Prohibited Transactions with
Respect to the Trust.  Seller
shall not:

(a)           Provide
credit to any Noteholder for the purpose of enabling such Noteholder to
purchase Notes;

(b)           Purchase
any Notes in an agency or trustee capacity; or

(c)           Except
in its capacity as Servicer as provided in the Sale and Servicing Agreement,
lend any money to the Trust.

Section 7.02.        Merger or Consolidation.  (a) Except as otherwise provided in this
Section 7.02, Seller will keep in full force and effect its existence, rights
and franchises as a Nevada corporation, and will obtain and preserve its
qualification to do business as a foreign corporation in each jurisdiction in
which such qualification is or shall be necessary to protect the validity and
enforceability of this Agreement and of any of the Contracts and to perform its
duties under this Agreement.

(b)           Any person into which Seller
may be merged or consolidated, or any corporation  or other entity resulting from such merger or
consolidation to which Seller is a party, or any person succeeding to the
business of Seller, shall be the successor to Seller hereunder, without the
execution or filing of any paper or any further act on the part of any of the
parties hereto, anything herein to the contrary notwithstanding.

(c)           Upon the merger or
consolidation of the Seller as described in this Section 7.02, the Seller shall
provide Standard & Poor’s and Moody’s notice of such merger or
consolidation within thirty (30) days after completion of the same.

Section 7.03.        Termination.  This Agreement shall terminate (after distribution
of any Note Distributable Amount due pursuant to Section 7.05 of the Sale and
Servicing Agreement) on the Distribution Date on which the principal balance of
the Notes is reduced to zero; provided, that
Seller’s representations and warranties and indemnities by Seller shall survive
termination.

Section 7.04.        Assignment or Delegation by
Seller.  Except as specifically
authorized hereunder, Seller may not convey and assign or delegate any of its
rights or obligations hereunder absent the prior written consent of Trust
Depositor and the Trustees, and any attempt to do so without such consent shall
be void.

Section 7.05.        Amendment.  (a) This Agreement may be amended from time
to time by Seller and Trust Depositor, with notice to the Rating Agencies, but
without the consent of the Trustees or any of the Noteholders to correct
manifest error, to cure any ambiguity, to correct or supplement any provisions
herein or therein which may be inconsistent with any other provisions herein,
therein or in the Prospectus, as the case may be, or to add any other
provisions with respect to matters or questions arising under this Agreement
which shall not be inconsistent with the provisions of this Agreement or the
Prospectus;

 12
 

provided,
however, that such action shall not, as evidenced by an
Opinion of Counsel for Seller acceptable to the Trustees, adversely affect the
interests of any Noteholder.

(b)           This Agreement may also be
amended from time to time by Seller and Trust Depositor, with the consent of
the Required Holders, for the purpose of adding any provisions to or changing
in any manner or eliminating any of the provisions of this Agreement or of
modifying in any manner the rights of the Indenture Trustee for the benefit of
Noteholders; provided, however, that no such amendment
or waiver shall (a) reduce in any manner the amount of, or delay the timing of,
collections of payments on the Contracts or distributions which are required to
be made on any Note or (b) reduce the aforesaid percentage required to consent
to any such amendment, without the consent of the holders of all Notes then
outstanding.

(c)           Promptly after the execution
of any amendment or consent pursuant to this Section 7.05, Trust Depositor
shall furnish written notification of the substance of such amendment and a
copy of such amendment to each Trustee and each Rating Agency.

(d)           It shall not be necessary
for the consent of Noteholders under this Section 7.05 to approve the
particular form of any proposed amendment, but it shall be sufficient if such
consent shall approve the substance thereof. 
The manner of obtaining such consents and of evidencing the
authorization of the execution thereof by Noteholders shall be subject to such
reasonable requirements as the Trustees may prescribe.

(e)           Upon the execution of any
amendment or consent pursuant to this Section 7.05, this Agreement shall be
modified in accordance therewith, and such amendment or consent shall form a
part of this Agreement for all purposes, and every holder of Notes theretofore
or thereafter issued hereunder shall be bound thereby.

Section 7.06.        Notices.  All notices, demands,
certificates, requests and communications hereunder (“notices”) shall be in
writing and shall be effective (a) upon receipt when sent through the U.S.
mails, registered or certified mail, return receipt requested, postage prepaid,
with such receipt to be effective the date of delivery indicated on the return
receipt, or (b) one Business Day after delivery to an overnight courier, or (c)
on the date personally delivered to an Authorized Officer of the party to which
sent, or (d) on the date transmitted by legible telecopier transmission with a
confirmation of receipt, in all cases addressed to the recipient at the address
for such recipient set forth in the Sale and Servicing Agreement.

Each
party hereto may, by notice given in accordance herewith to each of the other
parties hereto, designate any further or different address to which subsequent
notices shall be sent.

All communications and
notices pursuant hereto to Noteholders shall be in writing and delivered or
mailed at the address shown in the Note Register.

Section 7.07.        Merger and Integration.  Except as specifically stated otherwise
herein, this Agreement sets forth the entire understanding of the parties
relating to the subject matter hereof, and all prior understandings, written or
oral, are superseded by this Agreement. 
This Agreement may not be modified, amended, waived, or supplemented
except as provided herein.

Section 7.08.        Headings.  The headings herein are for purposes of
reference only and shall not otherwise affect the meaning or interpretation of
any provision hereof.

 13
 

Section 7.09.        Governing Law.  This Agreement shall be governed by, and
construed and enforced in accordance with, the internal laws of the State of
Illinois.

Section 7.10.        No Bankruptcy Petition.  The Seller covenants and agrees that, prior
to the date that is one year and one day after the payment in full of all
amounts owing in respect of all outstanding Securities, as well as any other
amounts distributable or payable from the Trust Estate, together with any other
amounts owing in respect of obligations of the Trust Depositor, it will not
institute against, or solicit or join in or cooperate with or encourage any
Person to institute against, the Trust Depositor or the Trust, any bankruptcy,
reorganization, arrangement, insolvency or liquidation proceedings or other
similar proceedings under the laws of the United States or any State of the
United States.  This Section 7.10 shall
survive termination of this Agreement.

[signature page follows]

 14

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

	
  

  	
  HARLEY-DAVIDSON CUSTOMER FUNDING CORP.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
     /s/ Lawrence G. Hund

  	
   

  
	
   

  	
   

  	
  Printed Name:   Lawrence
  G. Hund

  
	
   

  	
   

  	
  Title:   Vice
  President, Chief Financial Officer & Assistant Secretary

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  HARLEY-DAVIDSON CREDIT CORP.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
     /s/ Lawrence G. Hund

  	
   

  
	
   

  	
   

  	
  Printed Name:   Lawrence
  G. Hund

  
	
   

  	
   

  	
  Title:   Vice
  President, Chief Financial Officer & Assistant Secretary

  

 

 

Signature Page to Transfer and
Sale 

Agreement

Exhibit A

Transfer and Sale

Agreement

FORM OF ASSIGNMENT

In accordance with the
Transfer and Sale Agreement (the “Agreement”)
dated as of August 15, 2007 made by and between the undersigned, as seller
thereunder (“Seller”), and Harley-Davidson
Customer Funding Corp., a Nevada corporation and wholly-owned subsidiary
of Seller (“Trust Depositor”), as purchaser
thereunder, the undersigned does hereby sell, transfer, convey and assign, set
over and otherwise convey to Trust Depositor (i) all the right, title and
interest of Seller in and to the Contracts listed on the List of Contracts in
effect on the Closing Date (including, without limitation, all security
interests and all rights to receive payments which are collected pursuant
thereto after the Cutoff Date, including any liquidation proceeds therefrom,
but excluding any rights to receive payments which were collected pursuant
thereto on or prior to the Cutoff Date), (ii) all rights of Seller under any
physical damage or other individual insurance policy (including a “forced placed” policy, if any), any debt insurance policy or
any debt cancellation agreement relating to any such Contract, an Obligor or a
Motorcycle securing such Contract, (iii) all security interests in each such
Motorcycle, (iv) all documents contained in the related Contract Files, (v) all
rights of Seller in the Lockbox, Lockbox Account and related Lockbox Agreement
to the extent they relate to the Contracts, (vi) all rights (but not the
obligations) of the Seller under any motorcycle dealer agreements between the
dealers (i.e. originators of certain Contracts) and the Seller, (vii) all
rights of Seller to certain rebates of premiums and other amounts relating to
insurance policies, debt cancellation agreements, extended service contracts or
other repair agreements and other items financed under such Contracts and
(viii) all proceeds and products of the foregoing

This Assignment is made
pursuant to and in reliance upon the representation and warranties on the part
of the undersigned contained in Article III of the Agreement and no others.

Capitalized terms used
herein but not otherwise defined shall have the meanings assigned to such terms
in the Sale and Servicing Agreement dated as of August 15, 2007 made by and
among the undersigned, as servicer, the Trust Depositor, Harley-Davidson
Motorcycle Trust 2007-3, as issuer, and The Bank of New York Trust Company,
N.A., as indenture trustee.

 A-1
 

IN WITNESS WHEREOF, the undersigned has caused this
Assignment to be duly executed this [       ]
day of                 .

	
  

  	
  HARLEY-DAVIDSON CREDIT CORP.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Printed Name:

  
	
   

  	
   

  	
  Title:

  

 

 A-2

Exhibit B

Transfer and Sale

Agreement

FORM OF OFFICER’S
CERTIFICATE

(See Exhibit C to the Sale and Servicing
Agreement)

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