Document:

a50045679ex103.htm

Exhibit 10.3

 

 

 

 

 

 

NETWORK DRIVE AT NORTHWEST PARK

 

OFFICE LEASE

 

 

 

 

NETVIEW 5 AND 6 LLC

(AS LANDLORD)

 

 

AND

 

 

DYAX CORP

(AS TENANT)

 

FOR PREMISES AT

 

 

 

55 NETWORK DRIVE

BURLINGTON, MASSACHUSETTS

 

 

 

 

 

 

  

  

  

 

TABLE OF CONTENTS

 

	TABLE OF CONTENTS	2
	 	 
	
ARTICLE 1 REFERENCE DATA

	
4

	  
	
1.1

	
SUBJECT REFERRED TO.

	
4

	
1.2

	
EXHIBITS.

	
5

	  
	
ARTICLE 2 PREMISES AND TERM

	
6

	  
	
2.1

	
PREMISES.

	
6

	
2.2

	
TERM.

	
6

	
2.3

	
EXTENSION OPTION.

	
6

	  
	
ARTICLE 3 IMPROVEMENTS; TENANT'S WORK; ALLOWANCE.

	
8

	  
	
3.1

	
PERFORMANCE OF WORK AND APPROVAL OF LANDLORD'S WORK.

	
8

	
3.2

	
TENANT'S WORK.

	
8

	
3.3

	
TI ALLOWANCE.

	
9

	
3.4

	
SUPPLEMENTAL ALLOWANCE.

	
9

	
3.5

	
ACCEPTANCE OF THE PREMISES.

	
10

	
3.6

	
PRE-COMMENCEMENT ENTRY.

	
10

	  
	
ARTICLE 4 RENT

	
10

	  
	
4.1

	
THE FIXED RENT.

	
10

	
4.1.1

	  	
Supplemental Rent.

	
10

	
4.2

	
ADDITIONAL RENT.

	
10

	
4.2.1

	  	
Real Estate Taxes.

	
10

	
4.2.2

	  	
Personal Property Taxes.

	
11

	
4.2.3

	  	
Operating Costs.

	
11

	
4.2.4

	  	
Insurance.

	
13

	
4.2.5

	  	
Utilities.

	
13

	
4.3

	
LATE PAYMENT OF RENT.

	
14

	
4.4

	
LETTER OF CREDIT.

	
14

	
4.4.1

	  	
Amount of Letter of Credit.

	
14

	
4.4.2

	  	
Renewal of Letter of Credit.

	
14

	
4.4.3

	  	
Draws to Cure Defaults.

	
15

	
4.4.4

	  	
Draws to Pay Damages.

	
15

	
4.4.5

	  	
Issuing Bank.

	
15

	
4.4.6

	  	
Draws for Failure to Deliver Substitute Letter of Credit.

	
15

	
4.4.7

	  	
Transferability.

	
15

	
4.4.8

	  	
Return of Letter of Credit at End of Term.

	
15

	  
	
ARTICLE 5 LANDLORD'S COVENANTS

	
15

	  
	
5.1

	
AFFIRMATIVE COVENANTS.

	
15

	
5.1.1

	  	
Heat and Air-Conditioning.

	
15

	
5.1.2

	  	
Electricity.

	
16

	
5.1.3

	  	
Laboratory Utilities.

	
16

	
5.1.4

	  	
Cleaning; Water.

	
16

	
5.1.5

	  	
Elevator; Fire Alarm.

	
16

	
5.1.6

	  	
Repairs.

	
16

	
5.1.7

	  	
Compliance with Laws.

	
16

	
5.2

	
INTERRUPTION.

	
17

	
5.3

	
OUTSIDE SERVICES.

	
17

	
5.4

	
ACCESS.

	
17

	
5.5

	
BUILDING AMENITIES.

	
17

	
5.6

	
REPRESENTATIONS.

	
17

	
5.7

	
INDEMNIFICATION.

	
17

	  
	
ARTICLE 6 TENANT'S ADDITIONAL COVENANTS

	
18

	  
	
6.1

	
AFFIRMATIVE COVENANTS.

	
18

	
6.1.1

	  	
Perform Obligations.

	
18

	
6.1.2

	  	
Use.

	
18

	
6.1.3

	  	
Repair and Maintenance.

	
18

	
6.1.4

	  	
Compliance with Law.

	
18

	
6.1.5

	  	
Indemnification.

	
18

	
6.1.6

	  	
Landlord's Right to Enter.

	
19

	
6.1.7

	  	
Personal Property at Tenant's Risk.

	
19

	
6.1.8

	  	
Payment of Landlord's Cost of Enforcement.

	
19

	
6.1.9

	  	
Yield Up.

	
19

	
6.1.10

	  	
Rules and Regulations.

	
20

	
6.1.11

	  	
Estoppel Certificate.

	
20

	
6.1.12

	  	
Landlord's Expenses Re Consents.

	
20

	
6.2

	
NEGATIVE COVENANTS.

	
20

	
6.2.1

	  	
Assignment and Subletting.

	
20

	
6.2.2

	  	
Nuisance.

	
21

 

  

  

  

 

	
6.2.3

	  	
Intentionally Omitted.

	
21

	
6.2.4

	  	
Floor Load; Heavy Equipment.

	
21

	
6.2.5

	  	
Installation, Alterations or Additions.

	
22

	
6.2.6

	  	
Abandonment.

	
22

	
6.2.7

	  	
Signs.

	
22

	
6.2.8

	  	
Parking and Storage.

	
22

	  
	
ARTICLE 7 CASUALTY OR TAKING

	
22

	  
	
7.1

	
TERMINATION.

	
22

	
7.2

	
RESTORATION.

	
23

	
7.3

	
AWARD.

	
23

	  
	
ARTICLE 8 DEFAULTS

	
23

	  
	
8.1

	
EVENTS OF DEFAULT.

	
23

	
8.2

	
REMEDIES.

	
24

	
8.3

	
REMEDIES CUMULATIVE.

	
24

	
8.4

	
LANDLORD'S RIGHT TO CURE DEFAULTS.

	
24

	
8.5

	
EFFECT OF WAIVERS OF DEFAULT.

	
24

	
8.6

	
NO WAIVER, ETC.

	
24

	
8.7

	
NO ACCORD AND SATISFACTION.

	
24

	  
	
ARTICLE 9 RIGHTS OF MORTGAGE HOLDERS

	
24

	  
	
9.1

	
RIGHTS OF MORTGAGE HOLDERS.

	
24

	
9.2

	
LEASE SUPERIOR OR SUBORDINATE TO MORTGAGES.

	
25

	  
	
ARTICLE 10 HAZARDOUS MATERIALS

	
25

	  
	
10.1

	
NO RELEASES OF HAZARDOUS MATERIALS.

	
25

	
10.2

	
NOTICES OF RELEASE OF HAZARDOUS MATERIALS.

	
25

	
10.3

	
LANDLORD'S RIGHT TO INSPECT.

	
26

	
10.4

	
LANDLORD'S RIGHT TO AUDIT.

	
26

	
10.5

	
TENANT AUDIT.

	
26

	
10.6

	
REMEDIATION.

	
26

	
10.7

	
TENANT'S REPORTING REQUIREMENTS; MANAGEMENT AND SAFETY PLAN.

	
26

	
10.8

	
INDEMNIFICATIONS.

	
26

	  
	
ARTICLE 11 MISCELLANEOUS PROVISIONS

	
26

	  
	
11.1

	
NOTICES FROM ONE PARTY TO THE OTHER.

	
26

	
11.2

	
QUIET ENJOYMENT.

	
26

	
11.3

	
LEASE NOT TO BE RECORDED.

	
27

	
11.4

	
LIMITATION OF LANDLORD'S LIABILITY.

	
27

	
11.5

	
FORCE MAJEURE.

	
27

	
11.6

	
LANDLORD'S DEFAULT.

	
27

	
11.7

	
BROKERAGE.

	
27

	
11.8

	
APPLICABLE LAW AND CONSTRUCTION; MERGER; JURY TRIAL.

	
27

	
11.9

	
CONSENTS.

	
27

	
11.10

	
AUTHORITY.

	
28

	
11.11

	
DISCLOSURE.

	
28

 

  

3

  

 

OFFICE L E A S E

 

ARTICLE 1

Reference Data

 

	
1.1  

	
Subject Referred To.

 

Each reference in this Lease to any of the following subjects shall be construed to incorporate the data stated for that subject in this Section 1.1.

 

	
Date of this Lease:

	
July 14, 2011

	 	 
	
Building:

	
The three-story building in Burlington Massachusetts, located on the parcel of land identified as Lot 6 as shown on the “Definitive Subdivision Plan, Sun Microsystems” prepared by Vanasse Hangen Brustlin, Inc., recorded with Middlesex County (South District) Registry of Deeds as Plan 672 of 2007, and known as  55 Network Drive (the Building and such parcel of land hereinafter being collectively referred to as the “Property”).  The Property is located within the office park located off Network Drive in Burlington, Massachusetts, known Network Drive at Northwest Park (the “Park”).

	 	 
	
Premises:

	
A portion of the 3rd floor of the Building comprised of approximately 44,171 rentable square feet] and a portion of the 2nd floor of the Building comprised of approximately 397 rentable square feet, substantially as shown on Exhibit A and Exhibit A-1 attached hereto.

	 	 
	
Rentable Floor Area of Premises:

	
44,568 rentable square feet

	 	 
	
Landlord:

	
Netview 5 and 6 LLC

	 	 
	
Original Notice Address of Landlord:

	
c/o Nordblom Management Company, Inc.

15 Third Avenue

Burlington, Massachusetts  01803

	 	 
	
Tenant:

	
Dyax Corp, a Delaware corporation

	 	 
	
Original Notice Address of Tenant:

	
55 Network Drive

Burlington, MA  01803

	 	 
	
Expiration Date:

	
The last day of the tenth (10th) Lease Year (as hereinafter defined)

	 	 
	
Commencement Date:

	
See Section 2.2.

	 	 
	
Rent Commencement Date:

	
The date which is 210 days after the Commencement Date.

	 	 
	
Annual Fixed Rent Rate:1

	
Commencement Date-Rent Commencement Date:                  $0.00

Rent Commencement Date-through 2nd Lease Year:               $1,381,608.00

3rd and 4th Lease Years:                                                                $1,493,028.00

5th and 6th Lease Years:                                                                $1,582,164.00

7th and 8th Lease Years:                                                                $1,671,300.00

9th and 10th Lease Years:                                                              $1,760,436.00

	 	 
	
Monthly Fixed Rent Rate:

	
Commencement Date-Rent Commencement Date:                  $0.00

Rent Commencement Date-through 2nd Lease Year:               $115,134.00

3rd and 4th Lease Years:                                                                $124,419.00

5th and 6th Lease Years:                                                                $131,847.00

7th and 8th Lease Years:                                                                $139,275.00

9th and 10th Lease Years:                                                              $146,703.00

	 	 
	
TI Allowance:

	
$1,940,000.00

	 	 
	
Supplemental Allowance:

	
Up to $15.00/RSF, subject to Section 3.4.

	 	 
	
Letter of Credit Amount:

	
$1,100,000.00, subject to reduction pursuant to Section 4.4.

	 	 
	
Tenant’s Percentage:

	
The ratio of the Rentable Floor Area of the Premises to the total rentable area of the Building (130,706 rentable square feet), which shall initially be deemed to be 34.10%.

 

______________________________

1 The Annual Fixed Rent Rate and the Monthly Fixed Rent Rate set forth above are net of electricity charges, which shall be paid for by Tenant during the Term commencing as of the Commencement Date, in accordance with Section 4.2.5 of the Lease.

 

  

4

  

 

	
Base Taxes:

	
Taxes for fiscal tax year 2012 (i.e., July 1, 2011 – June 30, 2012).

	 	 
	
Base Operating Costs:

	
Operating Costs for calendar year 2012.

	 	 
	
Permitted Uses:

	
General offices, and non-vivarium bio-medical laboratory, and uses ancillary thereto.

	  	  
	
CommercialGeneral

 LiabilityInsurance Limits:

	
$3,000,000 per occurrence

$5,000,000 general aggregate

 

	
1.2  

	
Exhibits.

 

	
The Exhibits listed below in this section are incorporated in this Lease by reference and are to be construed as a part of this Lease.

	 
	
EXHIBIT A

	
Plan showing the 3rd floor portion of the Premises.

	 	 
	
EXHIBIT A-1

	
Plan showing the 2nd floor portion of the Premises.

	 	 
	
EXHIBIT B

	
Commencement Date Notification

	 	 
	
EXHIBIT C

	
Landlord’s Base Building Work

	 	 
	
EXHIBIT C-1

	
Initial Schematic Design Plans

	 	 
	
EXHIBIT D

	
Work Change Order

	 	 
	
EXHIBIT E

	
Rules and Regulations

	 	 
	
EXHIBIT F

	
Form Tenant Estoppel Certificate

	 	 
	
EXHIBIT G

	
Landlord’s Consent and Waiver

	 	 
	
EXHIBIT H

	
Form Letter of Credit

	 	 
	
EXHIBIT I

	
Construction Schedule

 

  

5

  

 

ARTICLE 2

Premises and Term

 

	
2.1  

	
Premises. Landlord hereby leases the Premises to Tenant and Tenant hereby leases the Premises from Landlord, subject to and with the benefit of the terms, covenants, conditions and provisions of this Lease, and of any agreements, cross easements and restrictions, as the same may be amended from time to time, applicable to the Property, all of which Tenant and Landlord shall observe and perform insofar as the same are applicable to the Property.  Excluded from the Premises are the roof, exterior walls and their surfaces, the common stairways, stairwells, elevators and elevator shafts, and pipes, ducts, conduits, wires, and appurtenant fixtures serving exclusively or in common other parts of the Building (and any areas, such as the space above the ceiling or in the walls, that may contain such pipes, ducts, conduits, wires or appurtenant fixtures), and if Tenant’s space includes less than entire rentable area of any floor, excluding the central core area of such floor.

 

Tenant shall have, as appurtenant to the Premises, rights to use in common, subject to reasonable rules of general applicability to tenants of the Building from time to time made by Landlord of which Tenant is given notice:  (a)  the common lobbies, hallways, stairways, and elevators of the Building, (b)  common walkways, roadways, and driveways necessary for access to the Building and the Property, (c)  the common parking areas serving the Building, and (d)  if the Premises include less than the entire rentable area of any floor, the common toilets and other common facilities in the central core area of such floor; and (e) all so-called common areas and amenities of the Park serving the Property for the benefit of tenants for access, egress and the like, including the common on-site cafeteria.  The areas and facilities described in clauses (a) through (d) above are referred to as “Building Common Areas.”  The areas, facilities and amenities of the Park described to in clause (e) are referred to as “Campus Common Areas.”

 

Tenant shall have the right, on an unreserved first-come-first-served basis, to use up to 3.3 parking spaces per 1000 rentable square feet of the Premises, in the surface parking area serving the Building, or in a parking area proximate to the Building.  Landlord shall have the right to relocate the parking area, or any portion thereof, at any time during the term of this Lease, so long as Tenant’s parking rights pursuant to this paragraph are not diminished and the relocated parking is in an area reasonably proximate to the Building.

 

Landlord reserves the right from time to time, subject to Section 6.1.6 hereof, without unreasonable interference with use of the Premises:  (a)  to install, use, maintain, repair, replace and relocate for service to the Premises and other parts of the Building, or either, pipes, ducts, conduits, wires and appurtenant fixtures, wherever located in the Premises or Building, (b)  to alter or relocate any other common facility, (c)  to make any repairs and replacements to the Premises which Landlord may deem necessary, and (d)  in connection with any excavation made upon adjacent land of Landlord or others, to enter, and to license others to enter, upon the Premises to do such work as the person causing such excavation deems necessary to preserve the wall of the Building from injury or damage and to support the same.  Landlord shall at all times, use diligent efforts to minimize interference with or disruption to Tenant’s use of the Premises.

 

Landlord and Tenant agree that the rentable square footage areas of the Premises and Building are as set forth in Section 1.1 and that such areas as specified in Section 1.1 shall be the areas used for the purposes of making any calculations hereunder in which rentable square footage is a factor, except if (a) additional square footage is added to the Building, or (b) Landlord determines in its sole but reasonable discretion that it is necessary to re-measure the Building or Premises following a casualty or taking or in any other commercially reasonable instance where a reasonably prudent landlord would re-measure the Building or Premises due to changed circumstances.

 

	
2.2  

	
Term. TO HAVE AND TO HOLD for a term (the “Original Term”) beginning on the date (the “Commencement Date”), which shall be the earlier of (a) January 15, 2012 or (b) the date on which Tenant’s Work has been substantially completed with only punch list items outstanding, and a certificate of occupancy has issued (which may be temporary), and ending on the Expiration Date, unless sooner terminated or extended as hereinafter provided.  When the dates of the beginning and end of the term and the date of rent commencement have been determined, such dates shall be evidenced by a document, in the form attached hereto as Exhibit B, which Landlord shall complete and deliver to Tenant, and which shall be deemed conclusive unless Tenant shall notify Landlord of any disagreement therewith within fifteen (15) days of receipt.

 

The term “Lease Year” as used herein shall mean a period of twelve (12) consecutive full calendar months.  The first Lease Year shall begin on the Commencement Date if the Commencement Date is the first day of a calendar month; if not, then the first Lease Year shall commence upon the first day of the calendar month next following the Commencement Date.  Each succeeding Lease Year shall commence upon the anniversary date of the first Lease Year.

 

	
2.3  

	
Extension Option. (A) Tenant shall have one option (the “Extension Option”) to extend the term of this Lease, for an additional period of five (5) years.  Such period (the "Extended Term") shall begin immediately upon the expiration of the Original Term of this Lease, provided that each of the following conditions has been satisfied:

 

  

6

  

 

 

	 	
(i)  

	
As of the date of an Extension Notice (defined below) and as of the commencement of the Extended Term, Tenant shall not then be in default beyond the expiration of applicable notice and cure periods;

 

	 	
(ii)  

	
As of the date of the Extension Notice and also immediately prior to the commencement of the Extended Term, Tenant shall have a net worth and revenues not less than Tenant’s net worth and revenues as of the Date of this Lease; and

 

	 	
(iii)  

	
Simultaneously with the delivery of the Extension Notice, and also as of  the date that is five (5) days prior to the commencement of the Extended Term, Tenant shall have delivered to Landlord audited statements prepared by Tenant’s accountant using generally accepted accounting principles evidencing Tenant’s net worth and revenues during the fiscal year(s) of Tenant ended closest to the date of  the Extension Notice and closest to the commencement of the Extended Term, as appropriate, together with statements from Tenant’s Chief Financial Officer certifying that Tenant’s net worth and revenues are not less than they had been as of the Date of this Lease. The requirements of the preceding sentence shall not apply so long as the Tenant under this Lease is a publicly traded company.

 

	 	
(iv)  

	
Further, if Tenant had previously been in default under this Lease more than two (2) times in the 4-year period preceding Tenant’s Extension Notice and had not cured both such defaults before the expiration of the cure periods set forth in Section 8.1, then this Extension Option shall be null and void and Tenant shall have no right to extend this Lease.

 

 

(B)    All of the terms, covenants and provisions of this Lease shall apply to the Extended Term except that the Annual Fixed Rent Rate for the Extended Term shall be the then-fair market rental rate during the Extended Term for comparable space in comparable first class buildings in the Burlington market taking into consideration all relevant market factors, including without limitation, free rent periods, tenant improvements, base years for operating cost and tax, and amenities (the "Fair Market Rate") as of the commencement of the Extended Term but in no event less than $35.50 per rentable square foot.  If Tenant shall elect to exercise the Extension Option, it shall do so by giving Landlord written notice (the “Extension Notice”) of its intention to do so not later than twelve (12) months prior to the expiration of the Original Term of this Lease.  Subject to Tenant’s right to withdraw its Extension Notice as set forth below, if Tenant gives the Extension Notice and satisfies the conditions specified above, the extension of this Lease shall be automatically effected without the execution of any additional documents.  The Original Term and the Extended Term are hereinafter collectively sometimes called the "Term" or the “term”.

 

(C)    Not later than eleven (11) months prior to the expiration of the Original Term, Landlord shall notify Tenant of Landlord’s determination of the Fair Market Rate for the Extended Term.  Within ten (10) days after Landlord gives Tenant Landlord’s proposal for the Fair Market Rate, Tenant shall notify Landlord in writing whether Tenant accepts or disputes such rate.  If Tenant notifies Landlord that Tenant disputes Landlord’s designation, Tenant’s notification shall include Tenant’s determination of the Fair Market Rate and the parties shall commence negotiations to agree upon the Fair Market Rate by the end of a second ten (10) day period (such 10-day period is referred to as the “Negotiation Period”).    If Landlord and Tenant are unable to reach agreement on the Fair Market Rate by the end of the Negotiation Period, then Tenant shall have the right to withdraw its exercise of the Extension Option by delivering written notice of withdrawal ("Tenant's Extension Notice Withdrawal") to Landlord no later than three (3) business days after the expiration of the Negotiation Period.

 

(D)    If Tenant does not deliver the Tenant’s Extension Notice Withdrawal as aforesaid, Landlord and Tenant shall each simultaneously submit to the other in a sealed envelope its good faith estimate of the Fair Market Rate no later than seven (7) days after the end of the Negotiation Period.  If the higher of such estimates is not more than one hundred five percent (105%) of the other estimate, then the Fair Market Rate shall be the average of the two estimates. If the matter is not resolved by the exchange of estimates, then Fair Market Rate shall be determined by an independent arbitrator as set forth below.  If Tenant fails to timely deliver the Tenant’s Extension Notice Withdrawal and/or its good faith estimate of the Fair Market Rate, then the extension of this Lease shall be conclusively effected and Tenant shall be deemed to have accepted Landlord’s estimate of the Fair Market Rate submitted pursuant to this subparagraph.

 

(E)    Within seven (7) days after the exchange of estimates, the parties shall select, as an arbitrator, a mutually acceptable commercial real estate broker or appraiser licensed in the Commonwealth of Massachusetts specializing in the field of commercial office leasing in the Burlington area, having no less than ten (10) years' experience (an “Approved Arbitrator”).  If the parties cannot agree on such person, then within a second period of seven (7) days, each shall select one Approved Arbitrator and the two appointed Arbitrators shall, within five (5) days, select a third Approved Arbitrator who shall be the final decision-maker (the “Final Arbitrator”).  If one party shall fail to timely make such appointment, then the person chosen by the other party shall be the sole arbitrator. Once the Final Arbitrator has been selected as provided for above, then, as soon thereafter as practicable, but in any case within fourteen (14) days after his or her appointment, the arbitrator shall determine the Fair Market Rate by selecting either the Landlord’s estimate of Fair Market Rate or the Tenant’s estimate of Fair Market Rate.  Such arbitrator must choose the proposed Fair Market Rate that he/she determines is closest to the actual market rental rate for the Premises. There shall be no discovery or similar proceedings. The arbitrator’s decision as to which estimate shall be the Fair Market Rate for the Extended Term (or with respect to any expansion space, as applicable) shall be rendered in writing to both Landlord and Tenant and shall be final and binding upon them and shall be the Annual Fixed Rent Rate for the Extended Term.  The costs of the Final Arbitrator will be equally divided between Landlord and Tenant.  Any fees of any counsel engaged by Landlord or Tenant, however, shall be borne by the party that retained such counsel.

 

  

7

  

 

(F)    Once the Fair Market Rate has been determined, the parties shall promptly execute an amendment to this Lease setting  forth the Fixed Rent for the Premises during the Extended Term.  For any part of the Extended Term during which the Fixed Rent Rate is in dispute, or has not yet been finally determined, Tenant shall make payments to Landlord on account of Fixed Rent at the rate per square foot of Rentable Floor Area of the Premises last paid under this Lease.  The parties shall adjust for any overpayments or underpayments upon final determination of such rent.

 

(G)    Tenant’s rights to extend pursuant to this Section 2.3 are personal to the initial named Tenant, Dyax Corp, and may not be assigned except in connection with an assignment of this Lease to a Permitted Transferee (defined in Section 6.2.1 hereof).

 

(H)    It is agreed that time is of the essence of this Section 2.3.

 

ARTICLE 3

Improvements; Tenant’s Work; Allowance.

 

 

	
3.1

	
Performance of Work and Approval of Landlord’s Work. Landlord shall, at its sole expense, cause to be performed the base building work described in Exhibit C attached hereto, and shall demise the Premises with glass at the top of the stairs to the third floor in a manner similar to that provided to e-Dialog on the 4th floor of 65 Network Drive (or as mutually and reasonably agreed upon by the parties) (the “Base Building Work”).  All such work shall be done in a good and workmanlike manner employing good materials and so as to conform to all applicable building laws.  Tenant agrees that Landlord may make any changes in such work which may become reasonably necessary or advisable, other than substantial changes, without approval of Tenant, provided written notice is promptly given to Tenant; and Landlord may make substantial changes in such work, with the written approval of Tenant, which shall not be unreasonably withheld or delayed.  Landlord shall use diligence to cause Landlord’s Base Building Work to be substantially completed (with only punch list items remaining) by the date set forth in the Construction Schedule (the “Delivery Date”), subject to the Force Majeure events and any delays actually caused by the action or inaction of Tenant.  Landlord shall use diligence to complete any punch list items within thirty (30) days of the Delivery Date.  Landlord agrees that Tenant may make changes in such work with the approval of Landlord and the execution by Landlord and Tenant of a Work Change Order, in the form attached hereto as Exhibit D.  The Base Building Work will be completed and delivered in compliance with applicable laws, regulations, permits and building codes, including life safety.  Included as part of the Base Building Work, Landlord shall also separately sub-meter the Premises for Tenant’s office electricity.

 

	
3.2  

	
Tenant’s Work. (A) Except for the Base Building Work, all work that is necessary or desirable for Tenant’s use and occupancy of the Premises shall be performed by Tenant (“Tenant’s Work”).  Tenant shall be permitted to access the Premises for the conduct of the Tenant’s Work upon the full execution and delivery of this Lease, and shall diligently pursue the same to completion so long as the Tenant’s Work does not delay the Base Building Work.  During Tenant’s period of occupancy of the Premises for the performance of Tenant’s Work, Tenant shall be subject to all of the terms and conditions of this Lease but shall not be obligated to pay (i) Fixed Rent to Landlord unless the Rent Commencement Date has occurred and (ii) charges for utilities unless the Commencement Date has occurred.  Landlord shall not charge Tenant any fees for plan review and approval or construction oversight or supervision.

 

 (B)    Tenant’s Work shall be performed by Tenant substantially as shown on Tenant’s initial schematic design plan attached hereto as Exhibit C-1 attached hereto, in accordance with the terms of this Lease, including, without limitation, the requirements of Section 6.2.5 hereof.  Tenant’s Work shall be at Tenant’s sole cost and expense and performed pursuant to architectural, electrical and mechanical construction drawings, plans and specifications which shall emanate from and be consistent with said Exhibit C-1, and which shall be first approved by Landlord.  Landlord shall approve or disapprove Tenant’s plans within five (5) business days following Landlord’s receipt of a full set of Tenant’s final construction plans and specifications and any other information reasonably required by Landlord, noting specific reasons for disapproval or request for additional information.  Tenant shall revise and resubmit the plans to Landlord within five (5) business days thereafter, and the process shall be repeated until Landlord has approved Tenant’s plans.  The plans approved by Landlord shall be referred to herein as the “Final Plans.”  Once the Final Plans have been approved by Landlord, Landlord shall not be permitted to require any changes to the details, features or components of the Final Plans, except where necessary as a result of existing conditions in the Building.  Any and all changes made by Tenant to the Final Plans must also be approved in writing by Landlord.   Landlord’s approval of Tenant’s plans in each instance shall not be unreasonably withheld, conditioned or delayed for any plans which (i) do not involve or affect any structural or exterior element of the Building or any portion thereof, provided that Tenant’s equipment is located in Landlord approved locations whether in the Building, adjacent to the Building or on the roof of the Building, or (ii) do not adversely affect the proper functioning of the Building systems or other facilities, or (iii) will not change the aesthetic character of the interior architectural design of the Building (excluding the Premises) and common areas.  It is understood and agreed that the Base Building Work and the Tenant’s Work will be performed concurrently by the same general contractor that was approved by Landlord and Tenant prior to the Date of this Lease (the “General Contractor”).  All contractors employed by Tenant shall be require to carry worker’s compensation insurance in accordance with statutory requirements and comprehensive public liability insurance covering such contractors on or about the Premises in amounts at least equal to the limits set forth in Section 1.1, and to submit certificates evidencing such coverage to Landlord prior to the commencement of such work.  Landlord shall have the right to require Tenant to use Landlord’s roofing contractor for any work that involves penetration of the roof.

 

  

8

  

 

(C)    Each of Landlord and Tenant shall cause their respective architects, contractors, and construction representatives to coordinate their work with the General Contractor and in accordance with a mutually acceptable construction schedule so as to ensure timely completion of the Landlord’s Base Building Work and the Tenant’s Work.  The construction schedule has not been finalized as of the Date of this Lease; however each of Landlord and Tenant agree to cause their respective representatives to cooperate and act reasonably and with diligence to approve the construction schedule following the execution of this Lease.  The approved construction schedule will be attached hereto as Exhibit I (the “Construction Schedule”).  If Landlord fails to complete any component of the Base Building Work by the respective date set forth in the Construction Schedule for completion of such component for any reason other than a Force Majeure event or delay caused by Tenant, and such failure actually causes a delay in the performance of the Tenant’s Work in accordance with the Construction Schedule, as confirmed by the General Contractor (a “Base Building Work Delay”), then the Rent Commencement Date shall be postponed on a day for day basis beginning on the first day a Base Building Work Delay actually causes delay in the timely performance of the Tenant’s Work as aforesaid and shall end on the date on which the Base Building Work Delay no longer causes delay in Tenant’s Work, as confirmed by the General Contractor.

 

	
3.3 

	
TI Allowance. (A) Landlord shall provide Tenant with an amount equal to the TI Allowance to be used for the construction of its office and lab space. The Allowance shall be used by Tenant for hard and soft construction costs in connection with Tenant’s Work, including architectural, engineering and permitting fees.  The TI Allowance shall be payable to Tenant in periodic disbursements (not more frequently than every thirty (30) days) within thirty (30) days after Landlord’s receipt of all of the following documentation to Landlord’s reasonable satisfaction:

 

(i) a requisition for payment from Tenant’s architect in the form of AIA Document G702 for all work for which disbursement is to be made;

 

(ii) partial or final waivers of lien (conditional or unconditional, as applicable) from all contractors, subcontractors and suppliers performing work or providing materials to date,

 

(iii) the submission by Tenant of a written statement from Tenant’s architect or engineer that the Tenant’s Work for which payment is being requisitioned has been completed in accordance with the approved plans,

 

(iv) copies of paid invoices or receipts evidencing Tenant’s costs for which payment is being requested, and

 

(v) a reasonable breakdown of the aggregate cost of all Tenant’s Work completed to date.

 

(B)  Notwithstanding the foregoing, 20% of each disbursement of the TI Allowance will be held back by Landlord.  The aggregate sum of the amounts so held back is referred to as  the “Retainage Amount”.  Landlord shall disburse the Retainage Amount to Tenant once Landlord receives all of the following:  (a) unconditional releases and waivers of lien from all contractors, subcontractors and suppliers involved in the performance of Tenant’s Work (unless the same were previously furnished pursuant to clause (ii) above), (b) a written statement from Tenant’s architect or engineer that the Tenant’s Work has been completed in accordance with the approved Tenant’s Plans, (c) a copy of the final certificate of occupancy for the Premises (d) one (1) set of “as-built” plans for Tenant’s Work, and (e) Tenant has paid the total cost of Tenant’s Work and delivered to Landlord evidence of such payment.  If the Town of Burlington will only issue a temporary certificate of occupancy for the Premises at the time Tenant has satisfied the conditions of clauses (a), (b), (d) and (e) above, Landlord will disburse 10% of the Retainage Amount and will hold back the remaining 10% of the Retainage Amount until such time that Tenant delivers to Landlord a copy of the final certificate of occupancy issued  by the Town of Burlington.  Any unused or unrequested portion of the TI Allowance shall accrue to Landlord.  If the final actual cost of the Tenant’s Work shall be in excess of the TI Allowance, then the entire amount of such excess cost shall be paid solely by Tenant and Landlord shall be under no obligation to pay any such excess.

 

(C)  In addition to the Allowance and to assist Tenant in completing its build-out of the Premises, Tenant shall have the right to use all existing building materials and equipment currently on-site within the Premises and elsewhere within the Building, provided that in the case of materials and equipment located outside of the Premises, the same are not built-in items or otherwise attached or installed (rolls of carpeting, and unattached hvac equipment being examples of permissible items).

 

	
3.4  

	
Supplemental Allowance. Tenant may request in writing, on or before November 30, 2011, the Supplemental Allowance to be added to and made a part of the TI Allowance, specifying the amount Tenant desires to utilize.  Any unused portion of the Supplemental Allowance shall accrue to Landlord.  In the event that Tenant makes such request on or before such date, then the Supplemental Allowance shall be added to the TI Allowance, and the Fixed Rent shall be adjusted pursuant to Section 4.1.1 below.  The Supplemental Allowance shall be used in connection with the construction of depreciable improvements in the Premises included in Tenant’s Work.

 

  

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3.5

	
Acceptance of the Premises. Tenant or its representatives may, at reasonable times, enter upon the Premises during the progress of the Base Building Work to inspect the progress thereof and to determine if such work is being performed in accordance with the requirements of Section 3.1. Tenant shall promptly give to Landlord notices of any alleged failure by Landlord to comply with those requirements.  Landlord’s Base Building Work shall be deemed approved by Tenant when Tenant occupies the Premises for the conduct of its business, except for items of Landlord’s Base Building Work which are uncompleted or do not conform to Exhibit C and as to which Tenant shall, in either case, have given written notice to Landlord prior to such occupancy.  A certificate of completion by a licensed architect or registered engineer shall be conclusive evidence that Landlord’s Base Building Work has been completed except for items stated in such certificate to be incomplete or not in conformity with Exhibit C.

 

	
3.6

	
Pre-commencement Entry. With Landlord’s prior consent, which shall not be unreasonably withheld, Tenant shall have the right to enter the Premises at least thirty (30) days prior to the Commencement Date, during normal business hours and without payment of rent, but otherwise subject to all of the terms and conditions of this Lease, to perform work for the installation of Tenant’s furnishings, fixtures and equipment so long as such work does not delay the performance of Landlord’s Base Building Work.

 

 

ARTICLE 4

Rent

 

	
4.1  

	
The Fixed Rent. Commencing on the Rent Commencement Date, Tenant covenants and agrees to pay rent to Landlord, by electronic fund transfer (or by such other method, as set forth below, or to such other person or entity as Landlord may by notice in writing to Tenant from time to time direct), at the Annual Fixed Rent Rate, in equal installments at the Monthly Fixed Rent Rate (which is 1/12th of the Annual Fixed Rent Rate), in advance, without notice or demand, and without setoff, abatement, suspension, deferment, reduction or deduction, except as otherwise expressly provided herein, on the first day of each calendar month included in the term; and for any portion of a calendar month at beginning of the term, at the rate for the first lease year payable in advance for such portion. It is the intention of the parties hereto that the obligations of Tenant hereunder shall be separate and independent covenants and agreements, that the Annual Fixed Rent, the Additional Rent and all other sums payable by Tenant to Landlord shall continue to be payable in all events and that the obligations of Tenant hereunder shall continue unaffected, unless the requirement to pay or perform the same shall have been terminated pursuant to an express provision of this Lease.

 

If Landlord shall give notice to Tenant that all rent and/or other payments due hereunder are to be made to Landlord by check, or by any other commercially reasonable means, Tenant shall make all such payments as shall be due after receipt of said notice by means as designated by Landlord, with such payments to be made to such address and to such person or entity as is specified by Landlord.

 

	 	
4.1.1

	Supplemental Rent. If Tenant requests the Supplemental Allowance to be added to the TI Allowance, then, no later than thirty (30) days following the Commencement Date, the parties shall enter into an amendment to this Lease whereby the Annual Fixed Rent Rate specified in Section 1.1 shall be increased by the amortized amount of the Supplemental Allowance disbursed to Tenant, amortized over the Original Term at a rate of eight percent (8%) annually.

  

	
4.2  

	
Additional Rent. Tenant covenants and agrees to pay, as Additional Rent, insurance costs, utility charges, personal property taxes and Tenant’s Percentage of increases in Taxes and Operating Costs with respect to the Premises and the Property as provided in this Section 4.2 as follows:

 

	 	
4.2.1

	

Real Estate Taxes. If Taxes (as hereinafter defined) for any Tax Year during the Term shall exceed Base Taxes, Tenant shall reimburse Landlord, as additional rent, for Tenant’s Percentage of such excess (such amount hereinafter referred to as “Tax Excess”).  Tenant shall remit to Landlord, on the first day of each calendar month, estimated payments on account of Tax Excess, such monthly amounts to be sufficient to provide Landlord, by the time real estate tax payments are due and payable to any governmental authority responsible for collection of same, a sum equal to the Tax Excess, as reasonably estimated by Landlord from time to time on the basis of the most recent tax data available.  If the total of such monthly remittances for any Tax Year is greater than the actual Tax Excess for such Tax year, Landlord shall promptly pay to Tenant, or credit against the next accruing payments to be made by Tenant pursuant to this subsection 4.2.1, the difference; if the total of such remittances is less than the actual Tax Excess for such Tax Year, Tenant shall pay the difference to Landlord within thirty (30) days following Landlord’s written notice to Tenant, which notice shall set forth the manner of computation of Tax Excess.

 

If, after Tenant shall have made reimbursement to Landlord pursuant to this subsection 4.2.1, Landlord shall receive a refund of any portion of Taxes paid by Tenant with respect to any Tax Year during the term hereof as a result of an abatement of such Taxes by legal proceedings, settlement or otherwise (without either party having any obligation to undertake any such proceedings), Landlord shall promptly pay to Tenant, or credit against the next accruing payments to be made by Tenant pursuant to this subsection 4.2.1, the Tenant’s Percentage of the refund (less the proportional, pro rata expenses, including attorneys’ fees and appraisers’ fees, incurred in connection with obtaining any such refund), as relates to the Tax Excess paid by Tenant to Landlord with respect to any Tax Year for which such refund is obtained.

 

  

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In the event this Lease shall commence, or shall end (by reason of expiration of the term or earlier termination pursuant to the provisions hereof), on any date other than the first or last day of the Tax Year, or should the Tax Year or period of assessment of real estate taxes be changed or be more or less than one (1) year, as the case may be, then the amount of Tax Excess which may be payable by Tenant as provided in this subsection 4.2.1 shall be appropriately apportioned and adjusted.

 

The term “Taxes” shall mean all taxes, assessments, betterments and other charges and impositions (including, but not limited to, fire protection service fees and similar charges) levied or assessed, or which may be equitably attributable to the Property, for or in respect of the Property, at any time during the term by any governmental authority, or taxes in lieu thereof, and additional types of taxes to supplement real estate taxes due to legal limits imposed thereon.  If, at any time during the term of this Lease, any tax or excise on rents or other taxes, however described, are levied or assessed against Landlord with respect to the rent reserved hereunder, either wholly or partially in substitution for, or in addition to, real estate taxes assessed or levied on the Property, such tax or excise on rents shall be included in Taxes; however, Taxes shall not include franchise, estate, inheritance, succession, capital levy, transfer, income or excess profits taxes assessed on Landlord.  Taxes shall include any estimated payment made by Landlord on account of a fiscal tax period for which the actual and final amount of taxes for such period has not been determined by the governmental authority as of the date of any such estimated payment.  Currently, the Building and the adjacent building known as 65 Network Drive are located on land which is identified as a single tax parcel included in one tax bill from the Town of Burlington.  Until such time that separate tax parcels are defined and assessed by the Town to include a separately identified tax parcel including the Building and the Premises, Taxes hereunder shall include the Tenant’s Percentage of the portion of such Taxes allocated by the Town of Burlington to the Building, plus the Tenant’s Percentage of the portion of such Taxes equitably attributable to the land comprising the Property, which is equitably attributable to the Building.

 

	 	
4.2.2

	
Personal Property Taxes.  Tenant shall pay all taxes charged, assessed or imposed upon the personal property of Tenant in or upon the Premises.

 

	 	
4.2.3

	
Operating Costs.  If, during the Term, Operating Costs (as hereinafter defined) incurred by Landlord in any calendar year shall exceed Base Operating Costs, Tenant shall reimburse Landlord, as additional rent, for Tenant’s Percentage of any such excess (such amount being hereinafter referred to as the “Operating Costs Excess”).  Tenant shall remit to Landlord, on the first day of each calendar month, estimated payments on account of Operating Costs Excess, such monthly amounts to be sufficient to provide Landlord, by the end of the calendar year, a sum equal to the Operating Costs Excess, as reasonably estimated by Landlord from time to time.  If, at the expiration of the year in respect of which monthly installments of Operating Costs Excess shall have been made as aforesaid, the total of such monthly remittances is greater than the actual Operating Costs Excess for such year, Landlord shall promptly pay to Tenant, or credit against the next accruing payments to be made by Tenant pursuant to this subsection 4.2.3, the difference; if the total of such remittances is less than the Operating Costs Excess for such year, Tenant shall pay the difference to Landlord within thirty (30) days from the date Landlord shall furnish to Tenant an itemized statement of the Operating Costs Excess, prepared, allocated and computed in accordance with generally accepted accounting principles.  Any reimbursement for Operating Costs due and payable by Tenant with respect to periods of less than twelve (12) months shall be equitably prorated.

 

The term “Operating Costs” shall mean all costs and expenses incurred for the operation, cleaning, maintenance, repair and upkeep of the Property, and the portion of such costs and expenses with  regard to the Campus Common Areas which is equitably allocable to the Property, including, without limitation, all costs of maintaining and repairing the Property and the Park (including snow removal, landscaping and grounds maintenance, operation and maintenance of parking lots, sidewalks, walking paths, access roads and driveways, Building exterior and service areas, security, operation and repair of heating and air-conditioning equipment, elevators, lighting and any other Building equipment or systems) and of all repairs and replacements (other than repairs or replacements for which Landlord has received full reimbursement from contractors, other tenants of the Building or from others) necessary to keep the Property and the Park in good working order, repair, appearance and condition; all payments under any cross easement agreement, declaration of restrictive covenants and like instruments pertaining to the sharing of costs by the Building and other buildings in the Park; all costs, including material and equipment costs, for cleaning and janitorial services to the Building (including window cleaning of the Building); all costs of any reasonable insurance carried by Landlord relating to the Property; all costs related to provision of heat (including oil, electric and/or gas), chilled water for air-conditioning, and water (including sewer charges) and other utilities to the Premises, if not sub-metered, and to the Building Common Areas and the Property (exclusive of reimbursement to Landlord for any of same received as a result of direct billing to Tenant or any tenant of the Building); payments under all service contracts relating to the foregoing; all compensation, fringe benefits, payroll taxes and workmen’s compensation insurance premiums related thereto with respect to any employees of Landlord or its affiliates engaged in security and maintenance of the Property and the Park; costs of maintaining and operating any amenities available for the general use of all tenants now or hereafter located in the Campus Common Areas including an on-site cafeteria (including a monthly cafeteria subsidy, if any); attorneys’ fees and disbursements (exclusive of any such fees and disbursements incurred in tax abatement proceedings or the preparation of leases) and auditing and other professional fees and expenses; and a management fee which shall be consistent with market rates for comparable buildings in the Burlington area.

 

  

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There shall not be included in such Operating Costs (a) brokerage fees (including rental fees) related to the operation of the Building; (b) interest, amortization and depreciation charges incurred on the Property; (c) expenditures made by Tenant with respect to (i)  cleaning, maintenance and upkeep of the Premises, and (ii) the provision of electricity to the Premises; (d) depreciation on equipment or systems serving the Building or the Park; (e) costs in connection with leasing, releasing, or subleasing space at the Building or the Park (including but not limited to brokerage commissions); (f) costs incurred in connection with the sale, financing or refinancing of the Building and/or the Park; (g) the cost of repairs or other work to the extent Landlord is reimbursed by insurance or condemnation proceeds or by any other third party; (h) costs incurred in enforcing leases against other tenants; (i) the cost of special services rendered to tenants (including Tenant) for which a special charge is made; (j) any expense to the extent resulting from the negligent act or omission of Landlord, its agents, contractors or employees; (k) costs resulting from Landlord's breach of this Lease or any lease for space in the Building or the Park or Landlord’s enforcement of any lease for space in the Building or the Park; (l) except to the extent required by a new law, regulation or code or a new interpretation of an existing law, regulation or code, the cost of correcting any code or legal violations in the Building, including but not limited to the American with Disabilities Act; (m) capital costs and expenses, except as provided below; and capital expenses not otherwise included in Landlord's Operating Costs pursuant to the next paragraph; (n) costs of cleaning Tenant’s lab space; and (o) costs (other than the cost of routine maintenance and monitoring) of remediation of Hazardous Materials which are in or on the Building or the Park as of the Date of this Lease.

 

If, during the term of this Lease, Landlord shall replace any capital items or make any capital expenditures which (a) are intended to reduce Operating Costs or (b) are required to comply with laws enacted after the date of this Lease, or (c) are required to replace worn-out items as may be necessary to maintain the Building in good working order, repair and condition and not to enhance the Building over and above its current appearance and condition (collectively called “capital expenditures”) the total amount of which is not properly included in Operating Costs for the calendar year in which they were made, there shall nevertheless be included in Operating Costs for each calendar year in which and after such capital expenditure is made the annual charge-off of such capital expenditure.  Annual charge-off shall be determined by (i) dividing the original cost of the capital expenditure by the number of years of useful life thereof (with the useful life being reasonably determined by Landlord in accordance with generally accepted accounting principles and practices in effect at the time of acquisition of the capital item), and (ii)  adding to such quotient an interest factor computed on the unamortized balance of such capital expenditure based upon an interest rate reasonably determined by Landlord as being the interest rate then being charged for long-term mortgages by institutional lenders on like properties within the locality in which the Building is located.

 

If during any portion of any year for which Operating Costs are being computed, including the base year, the Building was not fully occupied by tenants or if Landlord was not supplying all tenants with the services, amenities or benefits being supplied hereunder, actual Operating Costs incurred shall be reasonably extrapolated by Landlord to the estimated Operating Costs that would have been incurred if the Building were fully occupied by tenants or if such services were being supplied to all tenants, and such extrapolated amount shall, for the purposes of this Section 4.2.3, be deemed to be the Operating Costs for such year.

 

Tenant shall have the right to examine, copy and audit Landlord’s books and records establishing the Operating Costs set forth in this Section 4.2.3 of this Lease, for the calendar year immediately preceding Landlord’s annual year-end reconciliation statement of Operating Costs.  Tenant shall give Landlord at least 30 days prior written notice (the “Audit Notice”) of its intention to examine and audit such books and records, and such examination and audit shall take place at Landlord’s or Landlord’s building manager’s office no later than one hundred and twenty (120) days following Tenant’s receipt of any year-end reconciliation statement and shall be completed no later than ninety (90) days following the date Tenant was first given access to Landlord’s books and records.  No subtenant shall have any right to conduct an audit.  As a condition to performing any such inspection, Tenant and its examiners may be required to execute and deliver to Landlord an agreement to keep confidential any information which Tenant and the examining party discover about the Building in connection with such examination, except for disclosures required by law, court order or regulatory authorities, or to Tenant's attorneys, accountants, auditors, or potential purchasers of  the Tenant company.  Tenant agrees to use for such audit a certified public accountant or an accounting firm that is not being paid on a contingency fee basis.  All costs of the examination and audit shall be borne by Tenant; provided, however, that if such examination and audit establishes that the Operating Costs Excess for the year in question is less than the amount set forth in Landlord’s statements delivered to Tenant by more than five percent (5%), then Landlord shall pay to Tenant the reasonable costs of such examination and audit.  If, pursuant to the audit, the payments made for such year by Tenant exceed Tenant’s required payment on account thereof for such year, such overpayment shall be credited against Rent next due, or refunded to Tenant if the term of this Lease has then expired and Tenant has no further obligation to Landlord; but, if the payments made by Tenant for such year are less than Tenant’s required payment as established by the examination and audit, Tenant shall pay the deficiency to Landlord within thirty (30) days after conclusion of the examination and audit.  If there is any dispute over the results of the audit, Landlord shall have ninety (90) days following receipt of the audit results to obtain an audit from an accountant of Landlord's choice, at Landlord's cost and expense.  In the event that Landlord's and Tenant's accountants shall be unable to reconcile the results which thirty (30) days following completion of Landlord’s accountants’ review, then, both accountants shall mutually agree upon a third accountant whose determination shall be conclusive.  The cost of any such third accountant shall be shared equally between Landlord and Tenant.

 

  

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4.2.4

	
Insurance.   Tenant shall, at its expense, as Additional Rent, take out and maintain throughout the Term the following insurance protecting Landlord:

 

	
4.2.4.1  

	
Commercial general liability insurance naming Landlord, Tenant, and Landlord’s managing agent and any mortgagee of which Tenant has been given notice as insureds or additional insureds  and indemnifying the parties so named against all claims and demands for death or any injury to person or damage to property which may be claimed to have occurred on the Premises (or the Property, insofar as used by customers, employees, servants or invitees of the Tenant), in amounts which shall, at the beginning of the term, be at least equal to the limits set forth in Section 1.1, and, which, from time to time during the Term, shall be for such higher limits, if any, as are customarily carried in the area in which the Premises are located on property similar to the Premises and used for similar purposes; and workmen’s compensation insurance with statutory limits covering all of Tenant’s employees working on the Premises.

 

	 	
4.2.4.2  

	
Special Risk property insurance with the usual extended coverage endorsements covering all Tenant’s furniture, furnishings, fixtures and equipment, and business interruption insurance with extra expense coverage.

 

	 	
4.2.4.3  

	
All such policies shall be obtained from responsible companies qualified to do business and in good standing in Massachusetts, which companies and the amount of insurance allocated thereto shall be subject to Landlord’s approval.  Tenant agrees to furnish Landlord with certificates evidencing all such insurance prior to the beginning of the term hereof and evidencing renewal thereof at least thirty (30) days prior to the expiration of any such policy.  Each such policy shall provide that the insurer will deliver to Landlord a notice of cancellation with respect to the interest of Landlord within ten (10) days following the date of any such cancellation.  In the event provision for any such insurance is to be by a blanket insurance policy, the policy shall allocate a specific and sufficient amount of coverage to the Premises.

 

	
4.2.4.4  

	
All insurance which is carried by either party with respect to the Building, Premises or to furniture, furnishings, fixtures, or equipment therein or alterations or improvements thereto, whether or not required, shall include provisions which either designate the other party as one of the insured or deny to the insurer acquisition by subrogation of rights of recovery against the other party to the extent such rights have been waived by the insured party prior to occurrence of loss or injury, insofar as, and to the extent that, such provisions may be effective without making it impossible to obtain insurance coverage from responsible companies qualified to do business in the state in which the Premises are located (even though extra premium may result therefrom).  In the event that extra premium is payable by either party as a result of this provision, the other party shall reimburse the party paying such premium the amount of such extra premium.  If at the request of one party, this non-subrogation provision is waived, then the obligation of reimbursement shall cease for such period of time as such waiver shall be effective, but nothing contained in this subsection shall derogate from or otherwise affect releases elsewhere herein contained of either party for claims.  Each party shall be entitled to have certificates of any policies containing such provisions.  Each party hereby waives all rights of recovery against the other for loss or injury against which the waiving party is protected by insurance containing said provisions, reserving, however, any rights with respect to any excess of loss or injury over the amount recovered by such insurance.  Tenant shall not acquire as insured under any insurance carried on the Premises by Landlord any right to participate in the adjustment of loss or to receive insurance proceeds and agrees upon request promptly to endorse and deliver to Landlord any checks or other instruments in payment of loss in which Tenant is named as payee.

 

 

	 	
4.2.5

	
Utilities.  A. Tenant shall reimburse Landlord through Operating Costs, pursuant to Section 4.2.3, for all charges, without Landlord mark-up, for gas and chilled water for normal office heating and cooling, and water for ordinary cleaning and lavatory use during the Term.

 

B.  Commencing on the Commencement Date, to the extent not specifically included in Operating Costs, Tenant shall pay to Landlord by means of a monthly escrow payments (as hereinafter set forth) all charges, without mark-up by Landlord, for (i) the cost of electricity for Tenant’s lights, outlets and VAV boxes in the office portion of the Premises, and for above-normal office usage (if any) of chilled water at the office portion of the Premises, and (ii) the cost of electricity, gas and water utilized in connection with Tenant’s laboratory space, including all utilities associated with Tenant’s laboratory HVAC.  Commencing on the Commencement Date and each month thereafter, Tenant shall pay to Landlord, as Additional Rent, charges for utilities (the “Utilities Charges”) estimated on account of Tenant’s consumption of electricity in the Premises for its lights, outlets, and VAV boxes, and where applicable, for chilled water consumption in excess of normal office use, and for electricity, gas and water to Tenant’s lab space.  Landlord shall reasonably estimate the amount of Utilities Charges payable by Tenant per month and shall notify Tenant prior to the Commencement Date of the initial estimate of Utilities Charges to be paid by Tenant.  Tenant shall pay the Utilities Charges on the first day of each calendar month included in the Term, in the same manner as Tenant pays Fixed Rent pursuant to Section 4.1 above.  On a monthly basis, or when billed by the utility, Landlord will reconcile the estimated Utilities Charges paid by Tenant with the actual amounts owing from Tenant based on the number of kilowatt hours of electricity used in the Premises for the preceding month as registered on the sub-meters for the Premises, and where applicable, based on the excess chilled water consumption as registered on the BTU meters for the areas of excess use.  If it is determined Tenant has been overcharged, then such overpayment will be credited against Tenant’s account for the following month.  If Tenant has underpaid, then Landlord will invoice Tenant for the amount owed and Tenant shall pay such amount within thirty (30) days after billing.  Landlord reserves the right to adjust the monthly Utilities Charges from time to time based on the most current data available for Tenant’s electrical  and chilled water consumption in the Premises, and Tenant shall thereafter pay the adjusted Utilities Charges to Landlord until further notice.  Tenant acknowledges that there may be third-party fees assessed to Landlord in connection with reading any utility meters and agrees that the actual amount of such fees may be included in the Utilities Charges.

 

  

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C.  Tenant shall pay all charges for telephone, cable and other utilities or services not supplied by Landlord, whether designated as a charge, tax, assessment, fee or otherwise, all such charges to be paid as the same from time to time become due.  Except as otherwise provided in Article 5, it is understood and agreed that Tenant shall make its own arrangements for the installation or provision of all such utilities and that Landlord shall be under no obligation to furnish any utilities to the Premises and shall not be liable for any interruption or failure in the supply of any such utilities to the Premises.

  

	
4.3  

	
Late Payment of Rent.  If any installment of rent is paid more than three (3) business days after the date the same was due, and if on a prior occasion in the twelve (12) month period prior to the date such installment was due an installment of rent was paid after the same was due, then Tenant shall pay Landlord a late payment fee equal to five (5%) percent of the overdue payment.

 

	
4.4  

	
Letter of Credit.  The performance of Tenant’s obligations under this Lease shall be secured by a letter of credit throughout the term hereof in accordance with and subject to the following terms and conditions:

 

	 	
4.4.1

	
Amount of Letter of Credit.   (A) Concurrently with Tenant’s execution and delivery of this Lease,  Tenant shall deliver to Landlord an irrevocable standby letter of credit (the “Original Letter of Credit”) which shall be (i) materially and substantially in the form of Exhibit H attached to this Lease (the “Form LC”), (ii) issued by a commercial bank reasonably satisfactory to Landlord upon which presentment may be made in Boston, Massachusetts, (iii) in the amount equal to the Letter of Credit Amount, and (iv) for a term of at least 1 year, subject to the provisions of Section 4.4.2 below.  The Original Letter of Credit, any Additional Letters(s) of Credit and Substitute Letter(s) of Credit are referred to herein as the “Letter of Credit.”

 

(B)  Tenant shall be entitled to reduce the Letter of Credit Amount by $100,000.00 at the beginning of the 5th Lease Year, and thereafter further reduced by $100,000.00 at the beginning of any subsequent Lease Year for which Tenant seeks a reduction, if each of the following conditions is satisfied at the time of any reduction hereunder:

 

	
  

	
(i)

	

Tenant is a publicly-traded company;

 

	
  

	
(ii)

	

Tenant has a net worth not less than Tenant’s net worth as of the Date of this Lease;

 

	
  

	
(iii)

	

Tenant has sufficient cash to cover two years of operations (based on an average of the preceding two operating years of Tenant);

 

	
  

	
(iv)

	
Tenant provides Landlord with a current audited financial statement evidencing satisfaction of clauses (ii) and (iii) above, provided however, or if Tenant is then a public company, Landlord will utilize such public financial information readily available to Landlord and

 

	
  

	
(v)

	
Tenant is not in monetary default under this Lease at the time of any reduction.

 

	 	
 

	
If each condition is satisfied, then the Letter of Credit Amount shall be reduced by $100,000.00 at the beginning of the applicable Lease Year in which Tenant seeks reduction, until the Letter of Credit Amount is reduced to $500,000.00, after which time there shall be no further reduction in the Letter of Credit Amount.  Tenant shall be responsible, at its sole expense, for taking all steps necessary to effect any reduction under this subparagraph (B).

 

	 	
4.4.2

	
Renewal of Letter of Credit.  Each Letter of Credit shall be automatically renewable in accordance with the second to last paragraph of the Form LC; provided however, that Tenant shall be required to deliver to Landlord a new letter of credit (a "Substitute Letter of Credit") satisfying the requirements for the Original Letter of Credit under Section 4.4.1 on or before the date 30 days prior to the expiration of the term of the Letter of Credit then in effect, if the issuer of such Letter of Credit gives notice of its election not to renew such Letter of Credit for any additional period pursuant thereto.  Should any Letter of Credit contain a final expiration date, in addition to a current expiration date, such final expiration date shall be no earlier than 45 days following the Expiration Date of this Lease.

 

  

14

  

 

	 	
4.4.3

	
Draws to Cure Defaults. If the Fixed Rent, Additional Rent or any other sum payable to Landlord hereunder shall be overdue and unpaid or should Landlord make payments on behalf of the Tenant, or Tenant shall fail to perform any of the terms of this Lease in all cases beyond the expiration of all applicable notice and cure periods, then Landlord shall have the right, at any time thereafter to draw down from the Letter of Credit the amount necessary to cure such default. In the event of any such draw by the Landlord, Tenant shall, within 30 days of written demand therefor, deliver to Landlord an additional Letter of Credit ("Additional Letter of Credit") satisfying the requirements for the Original Letter of Credit, except that the amount of such Additional Letter of Credit shall be the amount of such draw.

 

	 	
4.4.4

	
Draws to Pay Damages.In addition, if (i) this Lease shall have been terminated as a result of Tenant's default under this Lease beyond the expiration of the applicable cure period, and/or (ii) this Lease shall have been rejected in a bankruptcy or other creditor-debtor proceeding, then Landlord shall have the right at any time thereafter to draw down from the Letter of Credit an amount sufficient to pay any and all damages payable by Tenant on account of such termination or rejection, as the case may be, pursuant to Article 8 hereof. In the event of bankruptcy or other creditor-debtor proceeding against Tenant, all proceeds of the Letter of Credit shall be deemed to be applied first to the payment of rent and other charges due Landlord for all periods prior to the filing of such proceedings.

 

	 	
4.4.5

	
Issuing Bank.  In the event the issuer of any Letter of Credit becomes insolvent or is placed into receivership or conservatorship by the Federal Deposit Insurance Corporation, or any successor or similar entity, or if a trustee, receiver or liquidator is appointed for the issuer, then, effective as of the date of such occurrence, the Letter of Credit shall be deemed to not meet the requirements of this Section 4.4 and Tenant shall, within ten (10) business days of written notice from Landlord, deliver to Landlord a Substitute Letter of Credit which otherwise meets the requirements of this Section, or, alternatively, Tenant shall, within such five-day period deliver cash to Landlord in the Letter of Credit Amount, which Landlord shall hold as “Security Proceeds” which shall be governed by subject to the provisions of Section 4.4.6 below.

 

	 	
4.4.6

	
Draws for Failure to Deliver Substitute Letter of Credit.  If Tenant fails timely to deliver to Landlord a Substitute Letter of Credit, then Landlord shall have the right, at any time thereafter, without giving any notice to Tenant, to draw down the Letter of Credit and to hold the proceeds thereof  ("Security Proceeds") in a bank account in the name of Landlord, which may be withdrawn and applied by Landlord under the same circumstances and for the same purposes as if the Security Proceeds were a Letter of Credit. Upon any such application of Security Proceeds by Landlord, Tenant shall, within 30 days of written demand therefor, deliver to Landlord an Additional Letter of Credit in the amount of Security Proceeds so applied.

 

	 	
4.4.7

	
Transferability.  Landlord shall be entitled to transfer its beneficial interest under the Letter of Credit or any Security Proceeds in connection with (i) Landlord’s sale or transfer of the Building, or (ii) the addition, deletion or modification of any beneficiaries under the Letter of Credit, and the Letter of Credit shall specifically state on its face that it is transferable by Landlord, its successors and assigns.  Landlord shall pay all costs and fees charged to effect such transfer.

 

	 	
4.4.8

	
Return of Letter of Credit at End of Term.  Within 45 days after the expiration of  the term, to the extent Landlord has not previously drawn upon any Letter of Credit or Security Proceeds held by Landlord, Landlord shall return the same to Tenant provided that there is not at such time any continuing default of any of Tenant’s obligations under this Lease.

 

ARTICLE 5

Landlord’s Covenants

 

	
5.1  

	
Affirmative Covenants.  Landlord covenants with Tenant to provide the following services during the Term in scope and quality at least equivalent to that provided as of the Commencement Date:

 

	 	
5.1.1

	
Heat and Air-Conditioning.  To furnish to the Premises heat and air-conditioning (reserving the right, at any time, to change energy or heat sources) sufficient to maintain the Premises at comfortable temperatures (subject to all federal, state, and local regulations relating to the provision of heat), during the hours of 7:00 a.m. until 6:00 p.m. on Mondays through Fridays and 7:00 a.m. until 1:00 p.m. on Saturdays (“Normal Business Hours”), excluding all legal holidays on which the Building is normally closed.  All charges for gas, electricity, and chilled water furnished to the Premises for normal office heating and air-conditioning will be included in Operating Costs pursuant to Section 4.2.3 and paid for by Tenant pursuant to said Section 4.2.3.  Heat and air-conditioning will be available to Tenant after Normal Business Hours by prior request of Landlord’s managing agent at least 24 hours in advance.  If Tenant shall use chilled water after Normal Business Hours, or in excess of reasonable quantities for normal office use, and if such after-hours or excess use shall result in an additional cost to Landlord on account thereof, Tenant shall, upon demand, reimburse Landlord for the actual utility costs plus any additional costs as reasonably estimated by Landlord (such as wear and tear on the equipment).  The cost for heat and air-conditioning after Normal Business Hours is allocated per wing of the Building and not per floor, and is currently $80.00 per hour per wing.  Landlord reserves the right to install a separate sub-meter, at Tenant’s expense, to measure the flow of chilled water to the Premises, if deemed necessary by Landlord.

 

  

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5.1.2

	

Electricity.  To furnish to the Premises, separately sub-metered and paid for by Tenant directly to Landlord pursuant to Section 4.2.5 above, electricity for Tenant’s lights, outlets and VAV boxes, and for Tenant’s laboratory space.  The Premises currently provides eight (8) watts of electrical power per rentable square foot, for lights, outlets and VAV boxes, exclusive of electricity for office hvac.  If Tenant shall require electricity in excess of normal office use for Tenant’s Permitted Uses in the office portions of the Premises, then Landlord reserves the right to install a sub-meter, at Tenant’s expense, to measure Tenant’s excessive usage and will bill Tenant separately for its excessive usage.  In addition, if (i)  in Landlord’s reasonable judgment, Landlord’s facilities are inadequate for such excess requirements, or (ii) such excess use shall result in an additional burden on the Building utilities systems and additional cost to Landlord on account thereof, as the case may be, (a)  Tenant shall, upon demand, reimburse Landlord for such additional cost, as aforesaid, or (b)  Landlord, upon written request, and at the sole cost and expense of Tenant, will furnish and install such additional wire, conduits, feeders, switchboards and appurtenances as reasonably may be required to supply such additional requirements of Tenant (if electricity therefor is then available to Landlord), provided that the same shall be permitted by applicable laws and insurance regulations and shall not cause permanent damage or injury to the Building or cause or create a dangerous or hazardous condition or entail excessive or unreasonable alterations or repairs.

 

	
5.1.2.1  

	
Building Generator.  The Building is equipped with a 600 kw standby generator (the “Building Generator”).  As of the Date of this Lease, the Building Generator has available capacity for non-exclusive use by tenants of the Building.  Tenant shall be permitted to use up to 150 kw of the available capacity for Tenant’s “special needs” areas.   If Tenant requires additional generator capacity above what is stated in this Section 5.1.2.1, Tenant will be required to make its own arrangements to accommodate Tenant’s needs.  Tenant acknowledges and agrees that the life safety loads shall remain priority one in the Building Generator, and that Landlord makes no guarantee that emergency power will be available when needed.

 

	 	
5.1.3  

	

Laboratory Utilities.  Landlord shall furnish electricity, water, and gas for Tenant’s laboratory space in the Premises. All charges for electricity, gas and water for Tenant’s laboratory space (which includes all utilities for HVAC), shall be measured by separate submeters for each utility, and the cost of the same shall be paid to Landlord pursuant to Section 4.2.5 above.

 

	 	
5.1.4

	

Cleaning; Water.  To provide cleaning to the office portion of the Premises in accordance with cleaning and janitorial standards generally prevailing throughout the term hereof in comparable office buildings within the municipality in which the Building is located; and to furnish water to the Premises for ordinary cleaning, lavatory and toilet facilities (which shall be paid for by Tenant through Operating Costs).

  

	 	
5.1.5

	

Elevator; Fire Alarm.  To furnish passenger elevator service from the lobby to the Premises and a product lift from the loading dock to the Premises for Tenant’s dedicated use; and to maintain fire alarm systems within the Building.

 

	 	
5.1.6 

	

Repairs.  Except as otherwise expressly provided herein, to make such maintenance, repairs and replacements to the roof, exterior walls (excluding interior surfaces of exterior walls), floor slabs and other structural components of the Building, and to the common areas, facilities and plumbing, electrical, heating, ventilating and air-conditioning systems of the Building and Park, including the Campus Common Areas, as may be necessary to maintain and keep them in good repair and condition in the same first-class condition as they are currently in, and in compliance with applicable laws (exclusive of equipment installed by Tenant and except for those repairs required to be made by Tenant pursuant to Section 6.1.3 hereof and repairs or replacements occasioned by any act or negligence of Tenant, its servants, agents, customers, contractors, employees, invitees, or licensees).

 

	 	
5.1.7

	

Compliance with Laws.  Landlord shall comply with all applicable laws relating to the Building and the Campus Common Areas, provided that compliance with such applicable laws is not the responsibility of Tenant under this Lease or another tenant or occupant under its lease, and provided further that Landlord’s failure to comply therewith would prohibit Tenant from obtaining or maintaining a certificate of occupancy for the Premises, or would unreasonably and materially affect the safety of Tenant, its employees or visitors, or otherwise materially interfere with or materially affect Tenant’s Permitted Use of the Premises.  Notwithstanding the foregoing, Landlord shall not be obligated to comply with any law to the extent it has a good faith objection to such compliance and is pursuing the same with applicable authorities.

 

  

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5.2  

	
Interruption.Landlord shall be under no responsibility or liability for failure or interruption of any of the above-described services, repairs or replacements caused by Force Majeure, and in no event for any indirect or consequential damages to Tenant; and failure or omission on the part of the Landlord to furnish any of same for any of the reasons set forth in this paragraph shall not be construed as an eviction of Tenant, actual or constructive, nor entitle Tenant to an abatement of rent, nor render the Landlord liable in damages, nor release Tenant from prompt fulfillment of any of its covenants under this Lease.   Notwithstanding the foregoing, if (i) an interruption or curtailment, suspension or stoppage of an Essential Service (as said term is hereinafter defined) shall occur, except if any of the same is due to any act or neglect of Tenant or Tenant’s agents employees, contractors or invitees or any person claiming by, through or under Tenant (any such interruption of an Essential Service being hereinafter referred to as a “Service Interruption”), and (ii) such Service Interruption is due to the gross negligence or willful misconduct of Landlord or Landlord’s agents, servants, employees or contractors or is within Landlord’s reasonable control to remedy (as opposed to an event or circumstance that is due to a cause beyond Landlord’s reasonable control generally affecting other buildings in the vicinity of the Building, such as a neighborhood power outage), and (iii) such Service Interruption continues for more than five (5) consecutive days after Landlord shall have received notice thereof from Tenant, and (iv) as a result of such Service Interruption, Tenant is unable, and ceases, to conduct its business operations in all or a portion of the Premises, then the Fixed Rent and Additional Rent on account of Operating Costs and Taxes shall abate entirely or proportionately, as applicable, for each day during which such Service Interruption continues after such five (5) consecutive day period until such date that the Premises, or the affected portion thereof, shall be rendered tenantable (or such earlier date, if any, as Tenant shall reoccupy the Premises or the affected portion thereof for the conduct of its business).  The amount of the abated Rent shall be in the proportion that the rentable area of the portion of the Premises that Tenant is prevented from using, and does not use, bears to the total rentable area of the Premises.  For purposes hereof, the term “Essential Services” shall mean the following services in accordance with Landlord’s obligations under this Lease:  water and sewer service, HVAC, gas and electricity.

 

	
5.3  

	
Outside Services.  In the event Tenant wishes to provide outside services for the Premises over and above those services to be provided by Landlord as set forth herein, Tenant shall first obtain the prior written approval of Landlord for the installation and/or utilization of such services (“Outside services” shall include, but shall not be limited to, cleaning services, television, so-called “canned music” services, security services, catering services and the like.)  In the event Landlord approves the installation and/or utilization of such services, such installation and utilization shall be at Tenant’s sole cost, risk and expense.

 

	
5.4 

	
Access.  Subject to Landlord’s security requirements (if any), Tenant shall have access to the Premises, the Building and the parking area serving the Building 24 hours per day, 7 days per week.

 

  

	
5.5 

	
Building Amenities.  During the Term of this Lease, Landlord shall cause to be operated a full-service café with catering service for use by all tenants.  Landlord shall construct or provide, at its sole expense, and maintain throughout the Term an unstaffed fitness center in the Park for general availability to all tenants, with no user or membership fees charged to Tenant and its employees.  Landlord agrees to operate the same throughout the Term.  Regarding the conference center, Landlord shall assist Tenant in arranging for access to a shared conference facility, which is currently leased to Oracle.  Oracle has indicated to Landlord that it will work with other tenants of the Park to provide reasonable access to such conference facility, at Oracle’s discretion and for a nominal fee.

 

	
5.6  

	
Representations.  Landlord hereby represents and warrants to Tenant as of the Date of this Lease that to Landlord’s actual knowledge (a) the base building systems and all electrical, plumbing and mechanical systems serving the Premises will be in good working order and condition as of the Commencement Date and (b) Landlord has not received any written notice by a governmental authority that the Premises and the Building are in violation of any applicable law in effect, including the Americans with Disabilities Act, and as currently interpreted on the Date of this Lease.  Landlord represents to Tenant to Landlord’s actual knowledge that, except as may be disclosed in that certain Phase 1 Environmental Site Assessment Report prepared by Sleeman Hanley & DiNitto dated June 15, 2007 (the “Phase 1 Report”), there are no Hazardous Materials (defined in Article 10) in, on, about or under the Premises or the Park in violation of any laws.  Tenant hereby acknowledges receipt of the Phase 1 Report.

 

	
5.7

	
Indemnification.  Landlord shall save harmless, exonerate and indemnify Tenant, its employees and agents (such agents and employees being referred to collectively as the “Tenant Related Parties”) from and against any and all claims, liabilities or penalties asserted by or on behalf of any person, firm, corporation or public authority on account of injury, death, damage or loss to person or property occurring outside the Premises but within the Building or on the Campus Common Areas arising out of the gross negligence, fault or misconduct of Landlord or Landlord’s failure to perform and observe the obligations expressly assumed under the provisions of this Lease, except if the same was caused by the negligence, fault or misconduct of Tenant or the Tenant Related Parties.  In respect of all of the foregoing, Landlord shall indemnify Tenant and the Tenant Related Parties from and against all costs, expenses (including reasonable attorneys' fees), and liabilities incurred in or in connection with any such claim, action or proceeding brought thereon; and, in case of any action or proceeding brought against Tenant or the Tenant Related Parties by reason of any such claim, Landlord, upon notice from Tenant and at Landlord’s expense, shall resist or defend such action or proceeding and employ counsel therefor reasonably satisfactory to Tenant provided that Tenant shall be deemed to have approved counsel provided by Landlord’s liability insurer.

 

  

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ARTICLE 6

Tenant’s Additional Covenants

 

	
6.1  

	
Affirmative Covenants.  Tenant covenants at all times during the term and for such further time (prior or subsequent thereto) as Tenant occupies the Premises or any part thereof:

  

	 	
6.1.1

	

Perform Obligations.  To perform promptly all of the obligations of Tenant set forth in this Lease; and to pay when due the Fixed Rent and Additional Rent and all charges, rates and other sums which by the terms of this Lease are to be paid by Tenant.

 

	 	
6.1.2

	

Use.  To use the Premises only for the Permitted Uses, and in compliance with all laws, orders, ordinance, regulations, codes, permits and licenses now or hereafter applicable to the Premises.  Tenant shall apply for and obtain all licenses, permits and approvals from the Town of Burlington necessary for Tenant’s specific use of the Premises, at Tenant’s sole expense.  With respect to any licenses or permits for which Tenant may apply, pursuant to this subsection 6.1.2 or any other provision hereof, Tenant shall furnish Landlord copies of applications therefor on or before their submission to the governmental authority.  For any special permits or approvals required by the Town of Burlington for Tenant’s specific use of the Premises, Landlord agrees to assist Tenant in obtaining the same, at no cost to Landlord.

 

	
6.1.2.1  

	
Prohibited Occupants. Tenant acknowledges and agrees that the Premises, and any other premises in the Park subsequently leased to Tenant, may not be leased to, or physically used or occupied by any of the following entities (the “Prohibited Occupants”):

 

	
Cisco

	
Dell

	
Yahoo

	
EMC

	
Google

	  
	
Hewlett-Packard

	
IBM

	  
	
Microsoft

	
Network Appliance

	  
	
Red Hat

	
VMWare

	  

	 	
 

	

It is understood that Landlord has imposed the foregoing prohibition for the benefit of certain other tenants of the Property, and Tenant acknowledges that such tenants are third party beneficiaries of the foregoing restriction and use prohibition.  If Tenant allows of the Premises to be physically used or occupied by any of the Prohibited Occupants in violation of this provision, Landlord may take any and all action necessary to cause such use or occupancy to cease.

 

	 	
6.1.3

	Repair and Maintenance.  To maintain the Premises in neat order and condition and to perform all routine and ordinary repairs to the Premises and to any mechanical, plumbing, heating, electrical, ventilating and air-conditioning systems located within the Premises and installed by Tenant or for Tenant’s dedicated use such as are necessary to keep them in good working order, appearance and condition, as the case may require, reasonable use and wear thereof and damage by fire or by unavoidable casualty only excepted; to keep all glass in windows and doors of the Premises (except glass in the exterior walls of the Building) whole and in good condition with glass of the same quality as that injured or broken; and to make as and when needed as a result of misuse by, or neglect or improper conduct of Tenant or Tenant’s servants, employees, agents, invitees or licensees or otherwise, all repairs necessary, which repairs and replacements shall be in quality and class equal to the original work.  Landlord, upon default of Tenant beyond expiration of the applicable notice and cure periods hereunder and upon prior notice to Tenant (except in an emergency where no prior notice or the benefit of any cure period shall be afforded Tenant), may elect, at the expense of Tenant, to perform all such cleaning and maintenance and to make any such repairs or to repair any damage or injury to the Building or the Premises caused by moving property of Tenant in or out of the Building, or by installation or removal of furniture or other property, or by misuse by, or neglect, or improper conduct of, Tenant or Tenant’s servants, employees, agents, contractors, customers, patrons, invitees, or licensees.

  

	 	
6.1.4 

	

Compliance with Law.  To make all repairs, alterations, additions or replacements to the Premises required by any law or ordinance or any order or regulation of any public authority; to keep the Premises equipped with all safety appliances so required; and to comply with the orders and regulations of all governmental authorities with respect to zoning, building, fire, health and other codes, regulations, ordinances or laws applicable to the Premises, except that Tenant may defer compliance so long as the validity of any such law, ordinance, order or regulations shall be contested by Tenant in good faith and by appropriate legal proceedings, if Tenant first gives Landlord appropriate assurance or security against any loss, cost or expense on account thereof.

 

	 	
6.1.5

	

Indemnification.  To save harmless, exonerate and indemnify Landlord, its agents (including, without limitation, Landlord’s managing agent) and employees (such agents and employees being referred to collectively as the “Landlord Related Parties”) from and against any and all claims, liabilities or penalties asserted by or on behalf of any person, firm, corporation or public authority on account of injury, death, damage or loss to person or property in or upon the Premises and the Property arising out of the use or occupancy of the Premises by Tenant or by any person claiming by, through or under Tenant (including, without limitation, all patrons, employees and customers of Tenant), or arising out of any delivery to or service supplied to the Premises, or on account of or based upon anything whatsoever done on the Premises, except if the same was caused by the willful negligence, fault or misconduct of Landlord or the Landlord Related Parties.  In respect of all of the foregoing, Tenant shall indemnify Landlord and the Landlord Related Parties from and against all costs, expenses (including reasonable attorneys’ fees), and liabilities incurred in or in connection with any such claim, action or proceeding brought thereon; and, in case of any action or proceeding brought against Landlord or the Landlord Related Parties by reason of any such claim, Tenant, upon notice from Landlord and at Tenant’s expense, shall resist or defend such action or proceeding and employ counsel therefor reasonably satisfactory to Landlord; provided that Landlord shall be deemed to have approved counsel provided by Tenant’s liability insurer.  The preceding indemnification shall expressly survive the expiration or earlier termination of this Lease.

 

  

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6.1.6

	

Landlord’s Right to Enter.  Upon reasonable prior notice to Tenant (which may be by email), except in emergencies, to permit Landlord and its agents to enter into and examine the Premises at reasonable times and to show the Premises, and to make repairs to the Premises.  Tenant shall at all times have the right to accompany Landlord, its agents and contractors while on the Premises, except in emergencies.

 

	 	
6.1.7

	

Personal Property at Tenant’s Risk.  All of the furnishings, fixtures, equipment, effects and property of every kind, nature and description of Tenant and of all persons claiming by, through or under Tenant which, during the continuance of this Lease or any occupancy of the Premises by Tenant or anyone claiming under Tenant, may be on the Premises, shall be at the sole risk and hazard of Tenant and if the whole or any part thereof shall be destroyed or damaged by fire, water or otherwise, or by the leakage or bursting of water pipes, steam pipes, or other pipes, by theft or from any other cause, no part of said loss or damage is to be charged to or to be borne by Landlord, except that Landlord shall in no event be indemnified or held harmless or exonerated from any liability to Tenant or to any other person, for any injury, loss, damage or liability to the extent prohibited by law.

 

	 	
6.1.8

	Payment of Landlord’s Cost of Enforcement.  To pay on demand Landlord’s expenses, including reasonable attorneys’ fees, incurred in enforcing any obligation of Tenant under this Lease or in curing any default by Tenant under this Lease as provided in Section 8.4.

  

	 	
6.1.9

	

Yield Up.  At the expiration of the term or earlier termination of this Lease:  to surrender all keys to the Premises; to remove all of its trade fixtures and personal property in the Premises; to deliver to Landlord one (1) set of as-built plans showing the Premises at yield up if Tenant had made alterations or installations during the Term for which plans were required after the Tenant’s Work (if Tenant has made no alterations or installations after the Tenant’s Work, the as-built plans initially delivered pursuant to Section 3.3(B) shall suffice); to remove such installations made by it as Landlord may request (including computer and telecommunications wiring and cabling, it being understood that if Tenant leaves such wiring and cabling in a useable condition, Landlord, although having the right to request removal thereof, is less likely to so request) and all Tenant’s signs wherever located; to repair all damage caused by such removal and to yield up the Premises (including all installations and improvements made by Tenant except for trade fixtures and such of said installations or improvements as Landlord shall request Tenant to remove), broom-clean and in the same good order and repair in which Tenant is obliged to keep and maintain the Premises by the provisions of this Lease, reasonable wear and tear and damage caused by casualty and condemnation excepted.  Tenant, at the time of making any installation, alteration, or improvement may request in writing Landlord’s written permission to leave the same in the Premises at the expiration or earlier termination of this Lease.  Landlord shall, after receipt of Tenant’s request, notify Tenant in writing as to whether such installation may or may not remain in the Premises at the expiration or earlier termination of this Lease.  If Landlord so notifies Tenant that such installation, alteration, or improvement may remain in the Premises at the expiration or earlier termination of this Lease, Landlord shall thereafter not be permitted to request or require that the same be removed at the expiration or earlier termination of the Lease.  Any property not so removed shall be deemed abandoned and, if Landlord so elects, deemed to be Landlord’s property, and may be retained or removed and disposed of by Landlord in such manner as Landlord shall determine and Tenant shall pay Landlord the entire cost and expense incurred by it in effecting such removal and disposition and in making any incidental repairs and replacements to the Premises and for use and occupancy during the period after the expiration of the term and prior to its performance of its obligations under this subsection 6.1.9.  Tenant shall further indemnify Landlord against all loss, cost and damage resulting from Tenant’s failure and delay in surrendering the Premises as above provided; however, notwithstanding the foregoing, Tenant shall not be liable for any consequential damages if Tenant occupies the Premises for sixty (60) or fewer days beyond the expiration or earlier termination of this Lease and had notified Landlord in writing at least six (6) months prior to the Expiration Date that Tenant intended to hold over.  Except as specifically provided for in this Section 6.1.9, Tenant shall not be liable for any consequential damages for breach of any provision of this Lease. 

If the Tenant remains in the Premises beyond the expiration or earlier termination of this Lease, such holding over shall be without right and shall not be deemed to create any tenancy, but the Tenant shall be a tenant at sufferance only at a daily rate of rent equal to two (2) times the rent and other charges in effect under this Lease as of the day prior to the date of expiration of this Lease.

 

  

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6.1.10

	

Rules and Regulations.  To comply with the Rules and Regulations set forth in Exhibit E, and with all reasonable Rules and Regulations of general applicability to all tenants of the Building and the Park hereafter made by Landlord, and of which Tenant has been given notice, concerning, among other things, the use of the cafeteria and fitness center and conference center; Landlord shall not be liable to Tenant for the failure of other tenants to conform to such Rules and Regulations, of which Tenant has been given notice; Landlord shall not be liable to Tenant for the failure of other tenants to conform to such Rules and Regulations.  Landlord agrees to enforce the Rules and Regulations in a nondiscriminatory manner among all tenants of the Building and Park.

 

	 	
6.1.11

	

Estoppel Certificate.  Upon not less than ten (10) days’ prior written request by Landlord, to execute, acknowledge and deliver to Landlord a statement in writing, which may be in the form attached hereto as Exhibit F or in another form reasonably similar thereto, or such other form as Landlord may provide from time to time, certifying all or any of the following:  (i) that this Lease is unmodified and in full force and effect, (ii) whether the term has commenced and Fixed Rent and Additional Rent have become payable hereunder and, if so, the dates to which they have been paid, (iii) whether or not Landlord is in default in performance of any of the terms of this Lease, (iv) whether Tenant has accepted possession of the Premises, (v) whether Tenant has made any claim against Landlord under this Lease and, if so, the nature thereof and the dollar amount, if any, of such claim, (vi) whether there exist any offsets or defenses against enforcement of any of the terms of this Lease upon the part of Tenant to be performed, and (vii) such further information with respect to the Lease or the Premises as Landlord may reasonably request.  Any such statement delivered pursuant to this subsection 6.1.11 may be relied upon by any prospective purchaser or mortgagee of the Premises, or any prospective assignee of such mortgage.  Tenant shall also deliver to Landlord such financial information as may be reasonably required by Landlord to be provided to any mortgagee or prospective purchaser of the Premises.

 

	 	
6.1.12

	

Landlord’s Expenses Re Consents. To reimburse Landlord promptly on demand for all reasonable, out-of-pocket legal expenses incurred by Landlord in connection with all requests by Tenant for consent or approval hereunder, $1,500.00 for each routine transaction, and not to exceed amounts reasonable under the circumstances for more complex transactions involving greater involvement by counsel.

 

	
6.2

	
Negative Covenants.  Tenant covenants at all times during the term and such further time (prior or subsequent thereto) as Tenant occupies the Premises or any part thereof:

 

	 	6.2.1

 

	

Assignment and Subletting.  Not to assign, transfer, mortgage or pledge this Lease or to sublease (which term shall be deemed to include the granting of licenses and the like) all or any part of the Premises or suffer or permit this Lease or the leasehold estate hereby created or any other rights arising under this Lease to be assigned, transferred or encumbered, in whole or in part, whether voluntarily, involuntarily or by operation of law, or permit the occupancy of the Premises by anyone other than Tenant without the prior written consent of Landlord.  In the event Tenant desires to assign this Lease or sublet any portion or all of the Premises, Tenant shall notify Landlord in writing (“Tenant’s Transfer Notice”) of Tenant’s intent to so assign this Lease or sublet the Premises, the proposed effective date of such subletting or assignment and in connection with a sublease, and the square footage of the proposed sublet space, and shall request in such notification that Landlord consent thereto.  Landlord may terminate this Lease (i) in the case of a proposed assignment, or (ii) in the case of a proposed subletting of more than 50% of the Premises for a term of more than five (5) years or for the balance of the Term, by giving written notice of termination to Tenant, with such termination to be effective as of the effective date of such assignment or subletting.  If Landlord elects to exercise its termination right, it shall give written notice thereof to Tenant within ten (10) business days after the date of Tenant’s Transfer Notice and Landlord’s receipt of all information reasonably requested by Landlord to evaluate Tenant’s request.  If Landlord fails to respond by the expiration of such 10-day period, Tenant shall send Landlord a second notice captioned, “SECOND REQUEST FOR CONSENT,” and Landlord’s failure to respond within five (5) business days after receiving Tenant’s second request shall be deemed a waiver of Landlord’s recapture right.  If Landlord does not so terminate, or is deemed to have waived its right to terminate, Landlord’s consent shall not be unreasonably withheld, conditioned or delayed with respect to an assignment or to a subletting, provided that the following conditions are met:

 

	
  

	
(i)

	

the assignee or subtenant shall use the Premises only for the Permitted Uses;

 

	
  

	
(ii)

	

with respect to a subletting, that after such subletting the initial Tenant named herein occupies at least thirty (30%) percent of the Rentable Floor Area of the Premises;

 

	
  

	
(iii)

	

the amount of the aggregate rent to be paid by the proposed subtenant is not less than the then current sublease market rate for comparable first class sublease space in the Burlington area;

 

	
  

	
(iv)

	

the proposed assignee or subtenant is not then a tenant in the Building or the Park, or an entity with which Landlord is actively negotiating or with which Landlord has actively negotiated within the preceding four (4) months regarding the possibility of leasing space in the Building or the Park (as evidenced by a written proposal, for example); and

 

	
  

	
(v)

	

the proposed assignee or subtenant is not a Prohibited Occupant as defined under subsection 6.1.2.1.

 

  

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Tenant shall furnish Landlord with any information reasonably requested by Landlord to enable Landlord to determine whether the proposed assignment or subletting complies with the foregoing requirements, including without limitation, financial statements relating to the proposed assignee or subtenant.

 

Tenant shall, as Additional Rent, reimburse Landlord promptly for Landlord’s reasonable legal expenses incurred in connection with any request by Tenant for such consent.  If Landlord consents thereto, no such subletting or assignment shall in any way impair the continuing primary liability of Tenant hereunder, and no consent to any subletting or assignment in a particular instance shall be deemed to be a waiver of the obligation to obtain the Landlord’s written approval in the case of any other subletting or assignment.

 

If for any assignment or sublease consented to by Landlord hereunder Tenant receives rent or other consideration, either initially or over the term of the assignment or sublease, in excess of the rent called for hereunder, or in case of sublease of part, in excess of such rent fairly allocable to the part, after appropriate adjustments to assure that all other payments called for hereunder are appropriately taken into account and after first deducting Tenant’s reasonable expenses in connection with the assignment or sublease, including but not limited to marketing expenses, legal fees, brokerage costs, free rent periods, tenant improvements and demising costs to pay to Landlord as additional rent fifty (50%) percent of the excess of each such payment of rent or other consideration received by Tenant promptly after its receipt.

 

Any other provision of this Section 6.2.1 notwithstanding, Tenant shall have the right, without Landlord’s prior written consent and without any right of Landlord to terminate this Lease, to assign this Lease or sublease all or a portion of the Premises in connection with any of the following transactions with an entity (such entity, a “Permitted Transferee”):  (A) into or with which Tenant is merged or consolidated (even if the Lease is not actually assigned because the named Tenant is the surviving entity) or to which all or substantially all of Tenant’s assets or stock are transferred, provided that in any of such events (i) the resulting entity has a net worth computed in accordance with generally accepted accounting principles at least equal to the net worth of Tenant as of the Date of this Lease, (ii) proof reasonably satisfactory to Landlord of such net worth shall have been delivered to Landlord at least ten (10) days after the effective date of any such transaction, and (iii) the assignee agrees directly with Landlord, by written instrument in form reasonably satisfactory to Landlord and such assignee, to assume and perform all the obligations of Tenant under this Lease; and (B) which is either a parent of Tenant, controlled by Tenant or under common control with Tenant, provided the initial named Tenant remains primarily liable under this Lease.  “Control” for the purposes hereof shall mean ownership of 50% or more of all financial interest and 50% percent or more of the voting interest.

 

If at any time during the term of this Lease, there is a name change, reformation or reorganization of the Tenant entity, Tenant shall so notify Landlord and deliver evidence reasonably satisfactory to Landlord documenting such name change, reformation or reorganization.  If, at any time during the term of this Lease, there is a transfer of a controlling interest in the stock, membership or general partnership interests of Tenant, Tenant shall so notify Landlord and (whether or not Tenant so notifies Landlord) such transfer shall be deemed an assignment subject to the provisions of this Section 6.2.1.  The provisions of the immediately preceding sentence shall not apply so long as Tenant is a publicly traded company listed on a recognized securities exchange, nor shall such provisions apply to any privatization of Tenant, provided that the resulting entity has a net worth at least equal to the net worth of Tenant as of the Date of this Lease and proof reasonably satisfactory to Landlord has been delivered to Landlord no later than thirty (30) days after the effective date of such transaction effecting privatization.

 

	 	
6.2.2

	Nuisance.  Not to injure, deface or otherwise harm the Premises; nor commit any nuisance; nor permit in the Premises any vending machine (except such as is used for the sale of merchandise to employees of Tenant) or inflammable fluids or chemicals (except such as are customarily used in connection with the Permitted Use); nor permit any cooking to such extent as requires special exhaust venting; nor permit the emission of any objectionable noise or odor; nor make, allow or suffer any waste; nor make any use of the Premises which is improper, offensive or contrary to any law or ordinance or which will invalidate any of Landlord’s insurance; nor conduct any auction, fire, “going out of business” or bankruptcy sales.

   

	 	
6.2.3

	

Intentionally Omitted.

  

	 	6.2.4

 

	Floor Load; Heavy Equipment.  Not to place a load upon any floor of the Premises exceeding the floor load per square foot area which such floor was designed to carry and which is allowed by law.  Landlord reserves the right to prescribe the weight and position of all heavy business machines and equipment, including safes, which shall be placed so as to distribute the weight.  Business machines and mechanical equipment which cause vibration or noise shall be placed and maintained by Tenant at Tenant’s expense in settings sufficient to absorb and prevent vibration, noise and annoyance.  Tenant shall not move any safe, heavy machinery, heavy equipment, freight or fixtures into or out of the Premises except in such manner and at such time as Landlord shall in each instance authorize.

 

  

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	 	6.2.5	

Installation, Alterations or Additions.   Not to make any installations, alterations or additions in, to or on the Premises nor to permit the making of any holes in the walls, partitions, ceilings or floors nor the installation or modification of any locks or security devices without on each occasion obtaining the prior written consent of Landlord which shall not be unreasonably withheld, conditioned or delayed, and then only pursuant to plans and specifications approved by Landlord in advance in each instance.  Notwithstanding the foregoing, Tenant shall have the right, without Landlord’s prior consent, to make (i) cosmetic changes, such as paint and carpet, that are not visible from the Building Common Areas, and (ii) nonstructural alterations that do not involve the expenditure of more than $25,000.00 in the aggregate in any one instance during a 12-month period.  Tenant agrees to employ for any work one or more responsible contractors of whom Landlord has given prior approval, which approval shall not be unreasonably withheld, conditioned or delayed and whose labor will work without interference with other labor working on the Property, and to cause such contractors employed by Tenant to carry worker’s compensation insurance in accordance with statutory requirements and comprehensive public liability insurance covering such contractors on or about the Premises in amounts at least equal to the limits set forth in Section 1.1 and to submit certificates evidencing such coverage to Landlord prior to the commencement of such work.    Tenant shall pay promptly when due the entire cost of any work to the Premises undertaken by Tenant so that the Premises shall at all times be free of liens for labor and materials, and at Landlord’s request Tenant shall furnish to Landlord a bond or other security acceptable to Landlord assuring that any work commenced by Tenant will be completed in accordance with the plans and specifications theretofore approved by Landlord and assuring that the Premises will remain free of any mechanics’ lien or other encumbrance arising out of such work.  In any event, Tenant shall forthwith bond against or discharge any mechanics’ liens or other encumbrances that may arise out of such work.  Tenant shall procure all necessary licenses and permits at Tenant’s sole expense before undertaking such work.  All such work shall be done in a good and workmanlike manner employing materials of good quality and so as to conform with all applicable zoning, building, fire, health and other codes, regulations, ordinances and laws.  Tenant shall save Landlord harmless and indemnified from all injury, loss, claims or damage to any person or property occasioned by or growing out of such work.

 

Not to grant a security interest in, or to lease, any personal property or equipment being installed in the Premises, including, without limitation, demountable partitions (the “Collateral”)  without first obtaining an agreement for the benefit of Landlord in the form attached hereto as Exhibit G, from the secured party or lessor (“Secured Party”) that stipulates in the event either the Lease is terminated or Tenant defaults in its obligations to Secured Party, then (i) Secured Party will remove the Collateral within ten (10) business days after notice from Landlord of the expiration or earlier termination of this Lease, or within ten (10) business days after Secured Party notifies Landlord that Secured Party has the right to remove the Collateral on account of Tenant’s default in its obligations to Secured Party, (ii) Secured Party will restore the area affected by such removal, and (iii) that a failure to so remove the Collateral will subject such property to the provisions of subsection 6.1.9 of the Lease.

  

	 	6.2.6	
Abandonment.  Not to abandon the Premises during the term, it being understood and agreed that vacancy of the Premises shall not be construed as abandonment so long as all of Tenant’s other obligations under this Lease continue to be timely performed and reasonable measures are taken by Tenant to manage the vacant space.

 

	 	6.2.7	Signs.  Not without Landlord’s prior written approval to paint or place any signs or place any curtains, blinds, shades, awnings, aerials, or the like, visible from outside the Premises.  Notwithstanding the foregoing, Landlord, at its sole cost and expense, shall provide Tenant with building standard identification on the digital directory in the lobby of the Building and on the monument signs located outside the main entrance of the Building and on Network Drive.  In addition, Tenant shall have the non-exclusive right to install an identification sign on the exterior Building facade, the size and location of which must first be approved by Landlord and be in compliance with the Network Drive Sign Policy (the receipt of which Tenant hereby acknowledges).  All of Tenant’s signage is subject to and must comply with applicable building codes and zoning ordinances of the Town of Burlington.  Tenant shall be solely responsible for all costs of installing, maintaining and removing its exterior sign.

 

	 	6.2.8	Parking and Storage.  Not to permit any storage of materials outside of the Premises; nor to permit the use of the parking areas for either temporary or permanent storage of trucks; nor permit the use of the Premises for any use for which heavy trucking would be customary.

 

ARTICLE 7

Casualty or Taking

 

	
7.1  

	
Termination.  In the event that the Premises or the Building, or any material part thereof, shall be taken by any public authority or for any public use, or shall be destroyed or damaged by fire or casualty, or by the action of any public authority, then this Lease may be terminated at the election of Landlord.  Such election, which may be made notwithstanding the fact that Landlord’s entire interest may have been divested, shall be made by the giving of notice by Landlord to Tenant within sixty (60) days after the date of the taking or casualty.  In the event that the Premises are substantially destroyed or damaged by fire or casualty, or taken by the action of public authority such that restoration or reconstruction would be necessary, and, in the reasonable opinion of an independent architect or engineer selected by Landlord, cannot be repaired or restored within two hundred and forty (240) days from the date of the casualty or taking, then this Lease may be terminated at the election of Landlord or Tenant, which election shall be made by the giving of notice to the other party within thirty (30) days after the date the opinion of the architect or engineer is made available to the parties, which notice shall specify the effective date of termination, which shall not be less than thirty (30) nor more than sixty (60) days after the date of such parties’ termination notice.  Landlord shall endeavor to deliver the architect’s opinion to Tenant within forty-five (45) days following the casualty or taking.  In addition, with respect to a taking or casualty occurring during the last twenty-four (24) months of the Term which causes the Premises to be damaged to the extent that 35% or more of the Rentable Floor Area of the Premises is damaged or destroyed, then Tenant may elect to terminate this Lease, which election shall be made within twenty (20) days after the taking or casualty and effective as of the date that is forty-five (45) days after the date of Tenant’s written notice of its election.

 

  

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7.2  

	
Restoration.  If neither Landlord nor Tenant elects to so terminate, this Lease shall continue in force and a just proportion of the rent reserved, according to the nature and extent of the damages sustained by the Premises, shall be suspended or abated until the Premises, or what may remain thereof, shall be put by Landlord in proper condition for use, which Landlord covenants to do with reasonable diligence to the extent permitted by the net proceeds of insurance recovered or damages awarded for such taking, destruction or damage and subject to zoning and building laws or ordinances then in existence.  “Net proceeds of insurance recovered or damages awarded” refers to the gross amount of such insurance or damages actually received by Landlord and released to Landlord by Landlord’s lender, less the reasonable expenses of Landlord incurred in connection with the collection of the same, including without limitation, fees and expenses for legal and appraisal services.  Subject to the provisions of Section 11.5 (which shall operate to extend the time period set forth herein by no more than sixty (60) days), if Landlord shall not have restored the Premises, or in the case of a taking, what may remain thereof (excluding the initial tenant improvements and any other alterations or installations made by or on behalf of Tenant) within two hundred and forty (240) days from the date of casualty or taking, or within one hundred and twenty (120) days from any casualty or taking occurring during the last eighteen (18) months of the Term, Tenant shall have the right to terminate this Lease by giving notice of such termination to Landlord, effective at the expiration of thirty (30) days from the giving of such notice; provided however, that such termination will be rendered ineffective if, prior to the expiration of said 30-day period, Landlord shall have completed such restoration.  The foregoing termination right shall be Tenant’s sole remedy at law or in equity for Landlord’s failure to restore the Premises within the aforesaid time periods.

   

	
7.3

	
Award.  Irrespective of the form in which recovery may be had by law, all rights to damages or compensation shall belong to Landlord in all cases except for any awards for Tenant’s relocation costs and personal property, trade fixtures and equipment, which shall belong to Tenant.  Tenant hereby grants to Landlord all of Tenant’s rights to such damages and covenants to deliver such further assignments thereof as Landlord may from time to time request, other than for Tenant’s relocation award, as aforesaid.

 

ARTICLE 8

Defaults

 

	
8.1

	
Events of Default.(a)  If Tenant shall default in the performance of any of its obligations to pay the Fixed Rent, Additional Rent or any other sum due Landlord hereunder and if such default shall continue for ten (10) days after written notice from Landlord designating such default or if within thirty (30) days after written notice from Landlord to Tenant specifying any other default or defaults Tenant has not commenced diligently to correct the default or defaults so specified or has not thereafter diligently pursued such correction to completion, or (b)  if any assignment shall be made by Tenant in violation of the provisions of Section 6.2.1 of this Lease, or (c) if any assignment shall be made by Tenant or any guarantor of Tenant for the benefit of creditors, or (d)  if Tenant’s leasehold interest shall be taken on execution, or (e)  if a lien or other involuntary encumbrance is filed against Tenant’s leasehold interest or Tenant’s other property, including said leasehold interest, and is not discharged within ten (10) days thereafter, or (f)  if a petition is filed by Tenant or any guarantor of Tenant for liquidation, or for reorganization or an arrangement under any provision of any bankruptcy law or code as then in force and effect, or (g)  if an involuntary petition under any of the provisions of any bankruptcy law or code is filed against Tenant or any guarantor of Tenant and such involuntary petition is not dismissed within thirty (30) days thereafter, or (h) if Tenant shall fail to provide and maintain the insurance required by Section 4.2 hereof for more than five (5) business days after notice from Landlord, then, and in any of such cases, Landlord and the agents and servants of Landlord lawfully may, in addition to and not in derogation of any remedies for any preceding breach of covenant, immediately or at any time thereafter without demand or notice and with or without process of law (forcibly, if necessary) enter into and upon the Premises or any part thereof in the name of the whole or mail a notice of termination addressed to Tenant, and repossess the same as of Landlord’s former estate and expel Tenant and those claiming through or under Tenant and remove its and their effects (forcibly,  if necessary) without being deemed guilty of any manner of trespass and without prejudice to any remedies which might otherwise be used for arrears of rent or prior breach of covenants, and upon such entry or mailing as aforesaid this Lease shall terminate, Tenant hereby waiving all statutory rights to the Premises (including without limitation rights of redemption, if any, to the extent such rights may be lawfully waived) and Landlord, without notice to Tenant, may store Tenant’s effects, and those of any person claiming through or under Tenant, at the expense and risk of Tenant, and, if Landlord so elects, may sell such effects at public auction or private sale and apply the net proceeds to the payment of all sums due to Landlord from Tenant, if any, and pay over the balance, if any, to Tenant.

 

 

  

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8.2

	
Remedies.In the event that this Lease is terminated under any of the provisions contained in Section 8.1 or shall be otherwise terminated for breach of any obligation of Tenant, Tenant covenants to pay punctually to Landlord all the sums and to perform all the obligations which Tenant covenants in this Lease to pay and to perform in the same manner and to the same extent and at the same time as if this Lease had not been terminated.  In calculating the amounts to be paid by Tenant pursuant to the next preceding sentence Tenant shall be credited with any amount paid to Landlord as compensation as in this Section 8.2 provided and also with the net proceeds of any rent obtained by Landlord by reletting the Premises, after deducting all Landlord’s expense in connection with such reletting, including, without limitation, all repossession costs, brokerage commissions, fees for legal services and expenses of preparing the Premises for such reletting, it being agreed by Tenant that Landlord may (i)  relet the Premises or any part or parts thereof, for a term or terms which may at Landlord’s option be equal to or less than or exceed the period which would otherwise have constituted the balance of the term and may grant such concessions and free rent as Landlord in its sole judgment considers advisable or necessary to relet the same and (ii)  make such alterations, repairs and decorations in the Premises as Landlord in its sole judgment considers advisable or necessary to relet the same, and no action of Landlord in accordance with the foregoing or failure to relet or to collect rent under reletting shall operate or be construed to release or reduce Tenant’s liability as aforesaid.

 

In lieu of full recovery by Landlord of the sums payable under the foregoing provisions of this Section 8.2 (except for the amount of any rent of any kind accrued and unpaid at the time of termination) Landlord may by written notice to Tenant, elect to recover, and Tenant shall thereupon pay forthwith to Landlord, as compensation, the excess of the total rent reserved for the residue of the term over the rental value of the Premises for said residue of the term.  In calculating the rent reserved there shall be included, in addition to the Fixed Rent and Additional Rent, the unamortized amounts of the TI Allowance and any Supplemental Allowance from the date of  termination of this Lease through the remainder of the Original Term.

 

Nothing contained in this Lease shall, however, limit or prejudice the right of Landlord to prove for and obtain in proceedings for bankruptcy or insolvency by reason of the termination of this Lease, an amount equal to the maximum allowed by any statute or rule of law in effect at the time when, and governing the proceedings in which, the damages are to be proved, whether or not the amount be greater than, equal to, or less than the amount of the loss or damages referred to above.

 

	
8.3  

	
Remedies Cumulative.  Any and all rights and remedies which Landlord may have under this Lease, and at law and equity, shall be cumulative and shall not be deemed inconsistent with each other, and any two or more of all such rights and remedies may be exercised at the same time insofar as permitted by law.  Except as specifically provided for in Section 6.1.9 above, Tenant shall not be liable for any consequential or incidental damages for breach of any provision of this Lease.

 

	
8.4  

	
Landlord’s Right to Cure Defaults.  Landlord may, but shall not be obligated to, cure, at any time, without notice, any default by Tenant under this Lease; and whenever Landlord so elects, all costs and expenses incurred by Landlord, including reasonable attorneys’ fees, in curing a default shall be paid, as Additional Rent, by Tenant to Landlord on demand, together with lawful interest thereon from the date of payment by Landlord to the date of payment by Tenant.

 

	
8.5  

	
Effect of Waivers of Default. Any consent or permission by Landlord to any act or omission which otherwise would be a breach of any covenant or condition herein, shall not in any way be held or construed (unless expressly so declared) to operate so as to impair the continuing obligation of any covenant or condition herein, or otherwise, except as to the specific instance, operate to permit similar acts or omissions.

 

	
8.6  

	
No Waiver, etc. The failure of Landlord to seek redress for violation of, or to insist upon the strict performance of, any covenant or condition of this Lease shall not be deemed a waiver of such violation nor prevent a subsequent act, which would have originally constituted a violation, from having all the force and effect of an original violation.  The receipt by Landlord of rent with knowledge of the breach of any covenant of this Lease shall not be deemed to have been a waiver of such breach by Landlord.  No consent or waiver, express or implied, by Landlord to or of any breach of any agreement or duty shall be construed as a waiver or consent to or of any other breach of the same or any other agreement or duty.

 

	
8.7  

	
No Accord and Satisfaction.  No acceptance by Landlord of a lesser sum than the Fixed Rent, Additional Rent or any other charge then due shall be deemed to be other than on account of the earliest installment of such rent or charge due, nor shall any endorsement or statement on any check or any letter accompanying any check or payment as rent or other charge be deemed an accord and satisfaction, and Landlord may accept such check or payment without prejudice to Landlord’s right to recover the balance of such installment or pursue any other remedy in this Lease provided.

 

  ARTICLE 9

Rights of Mortgage Holders

 

	
9.1  

	
Rights of Mortgage Holders.  The word “mortgage” as used herein includes mortgages, deeds of trust or other similar instruments evidencing other voluntary liens or encumbrances, and modifications, consolidations, extensions, renewals, replacements and substitutes thereof.  The word “holder” shall mean a mortgagee, and any subsequent holder or holders of a mortgage.  Until the holder of a mortgage shall enter and take possession of the Property for the purpose of foreclosure, such holder shall have only such rights of Landlord as are necessary to preserve the integrity of this Lease as security.  Upon entry and taking possession of the Property for the purpose of foreclosure, such holder shall have all the rights of Landlord.  No such holder of a mortgage shall be liable either as mortgagee or as assignee, to perform, or be liable in damages for failure to perform, any of the obligations of Landlord unless and until such holder shall enter and take possession of the Property for the purpose of foreclosure.  Upon entry for the purpose of foreclosure, such holder shall be liable to perform all of the obligations of Landlord, subject to and with the benefit of the provisions of Section 11.4, provided that a discontinuance of any foreclosure proceeding shall be deemed a conveyance under said provisions to the owner of the equity of the Property.

 

  

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The covenants and agreements contained in this Lease with respect to the rights, powers and benefits of a holder of a mortgage (particularly, without limitation thereby, the covenants and agreements contained in this Section 9.1) constitute a continuing offer to any person, corporation or other entity, which by accepting a mortgage subject to this Lease, assumes the obligations herein set forth with respect to such holder; such holder is hereby constituted a party of this Lease as an obligee hereunder to the same extent as though its name were written hereon as such; and such holder shall be entitled to enforce such provisions in its own name.  Tenant agrees on request of Landlord to execute and deliver from time to time any agreement which may be necessary to implement the provisions of this Section 9.1.

 

	
9.2  

	
Lease Superior or Subordinate to Mortgages. It is agreed that the rights and interest of Tenant under this Lease shall be (i)  subject or subordinate to any present or future mortgage or mortgages and to any and all advances to be made thereunder, and to the interest of the holder thereof in the Premises or any property of which the Premises are a part if Landlord shall elect by notice to Tenant to subject or subordinate the rights and interest of Tenant under this Lease to such mortgage or (ii)  prior to any present or future mortgage or mortgages, if Landlord shall elect, by notice to Tenant, to give the rights and interest of Tenant under this Lease priority to such mortgage; in the event of either of such elections and upon notification by Landlord to that effect, the rights and interest of Tenant under this Lease should be deemed to be subordinate to, or have priority over, as the case may be, said mortgage or mortgages, irrespective of the time of execution or time of recording of any such mortgage or mortgages, provided that, in the case of subordination of this Lease to any future mortgages, subordination is expressly conditioned upon such holder’s agreement not to terminate, interfere with or disturb the rights, use, occupancy, options or possession of Tenant under this Lease so long as Tenant is not in default beyond all cure periods hereunder, nor to join Tenant as a party defendant in any action or proceeding for the sole purpose of terminating Tenant’s leasehold interest under this Lease, and to recognize and be bound by the terms of this Lease so long as Tenant agrees to attorn to such holder.  Landlord shall use diligent efforts to obtain from any such future holder of a mortgage an SNDA for Tenant’s benefit in a form containing the foregoing provisions.  Tenant agrees it will, upon not less than ten (10) days’ prior written request by Landlord, execute, acknowledge and deliver any and all instruments deemed by Landlord necessary or desirable to give effect to or notice of such subordination or priority.  Any Mortgage to which this Lease shall be subordinated may contain such terms, provisions and conditions as the holder deems usual or customary.  Landlord will use reasonable efforts to obtain a so-called subordination, non-disturbance and attornment agreement (“SNDA”) from Landlord’s existing lender, on such lender’s standard form.  In the event Tenant wishes to negotiate lender’s form of SNDA, it shall do so directly with the lender and shall be solely responsible for any fees imposed by such lender.

 

ARTICLE 10

Hazardous Materials

 

	
10.1  

	
No Releases of Hazardous Materials. Tenant covenants and agrees not to use, release, dispose, manufacture, store, or transport any Hazardous Materials (hereinafter defined) at, on, under or from the Premises and the Property except in compliance with any and all laws, regulations, ordinances or orders promulgated, and as may be amended, by any governmental authority having jurisdiction over Hazardous Materials or the Property (collectively, “Legal Requirements”), and except for those Hazardous Materials used in the ordinary course of Tenant’s business, but only in compliance with all applicable Legal Requirements and any reasonable requirements of Landlord (such as requirements for fencing or other locked enclosures).  Tenant shall comply with all governmental reporting requirements with respect to Hazardous Materials and all chemicals and flammable substances (in whatever form) used by Tenant in its business operations, and shall deliver to Landlord copies of all such reports.  In the event that a release or threat of release of Hazardous Materials occurs at, from or upon the Premises or Property during the Term, and such release was caused by Tenant or any Tenant Related Parties, Tenant shall at its expense perform all actions required under any and all applicable Legal Requirements to assess, contain, remove or respond to such release or threat of release; provided, however, that Tenant’s work or actions hereunder shall be subject to Landlord’s prior approval, which approval shall not be unreasonably withheld.  The term “Hazardous Materials” shall mean any and all materials defined or classified as “hazardous materials” “hazardous waste,” “hazardous substance,” “toxic substance,” “hazardous pollutant,” “toxic pollutant” or “oil” under 42 U.S.C. §9601 et. seq. (CERCLA), 42 U.S.C. §6901 et. seq. (RCRA), M.G.L. c. 21C or M.G.L. c. 21E and any regulations promulgated pursuant to those statutes, all as amended.

  

	
10.2  

	
Notices of Release of Hazardous Materials.  Tenant shall promptly notify Landlord in writing of all spills, releases or threat of release of Hazardous Materials caused by or involving Tenant or its business operations, and all notices, orders, fines or communications of any kind received by Tenant from any governmental authority or third party concerning the presence or suspected presence of Hazardous Materials on the Premises or the Property, the migration or suspected migration of Hazardous Materials from the Premises or the Property to other property, or the migration or suspected migration of Hazardous Materials from other property to the Premises or the Property.

 

  

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10.3  

	
Landlord’s Right to Inspect.   Subject to Section 6.1.6 hereof, Landlord, its officers, employees, contractors and agents shall have the right, but not the duty, to inspect areas of the Premises to determine whether Tenant is complying with CERCLA, RCRA, Chapter 21C, Chapter 21E, and other state and federal environmental laws, or regulations promulgated pursuant to any of the foregoing, as amended.  Landlord shall use reasonable efforts to minimize interference with Tenant’s business, but shall not be liable for any interference caused thereby, provided Landlord shall have used such reasonable efforts.

 

	
10.4  

	
Landlord’s Right to Audit.  Subject to Section 6.1.6 hereof, Tenant shall permit Landlord, its employees and its agents (including its environmental consultant), access to all areas of the Premises, from time to time during the term, for the purposes of conducting an environmental assessment or inspection  during regular business hours, or during other hours either by agreement of the parties or in the event of an environmental emergency.  In the event Landlord shall exercise its rights under this Section 10.4, Landlord shall use reasonable efforts to minimize interference with Tenant’s business, but shall not be liable for any interference caused thereby, provided Landlord shall have used such reasonable efforts.

  

	
10.5  

	
Tenant Audit. Landlord shall have the right, from time to time, during the Term of this Lease, and upon the expiration of the Term of this Lease, to require that Tenant hire, and in such event, Tenant shall at its own expense hire, an environmental consultant satisfactory to Landlord to undertake an environmental assessment, inspection and/or sampling at the Premises and/or Property to determine whether Hazardous Materials have been released during the term of the Lease.  Landlord’s  right under this Section 10.5 shall only be exercised if Landlord has reasonable cause to believe that a release or threat of release of Hazardous Materials has occurred.

  

	
10.6  

	
Remediation.  Should the assessment, inspection or sampling performed pursuant to Sections 10.4 or 10.5 above, or any other assessment, inspection or sampling, reveal that there has been a release or threat of release of Hazardous Materials by Tenant or its employees, agents or contractors, then Tenant shall, at its expense, undertake all remediation and/or response action required by any governmental authority, and Tenant shall promptly thereafter restore any areas damaged or affected by such remediation and/or response action.

 

	
10.7  

	
Tenant’s Reporting Requirements; Management and Safety Plan.  Upon the execution of this Lease, Tenant shall submit to Landlord a list that specifies the materials that Tenant will use or store on the Premises in the ordinary course of its business.  Tenant shall provide Landlord with an updated list every twelve (12) months, or sooner if and when Tenant is required to file reports to comply with Legal Requirements.  Within thirty (30) days after the Date of this Lease, Tenant shall prepare and deliver to Landlord and Landlord’s environmental consultant a so-called “Chemical Management and Facility Safety Plan.”  Tenant shall operate its business at the Premises in accordance with the procedures and practices set forth in said Plan, and shall promptly remedy from time to time any practices, procedures or conditions, at Tenant’s expense, that violate, or which in the reasonable judgment of Landlord or its consultant, would with the passage of time violate, the provisions of this Article 10.

 

	
10.8  

	
Indemnifications.  Tenant agrees to indemnify and save Landlord harmless from all claims, liability, loss or damage arising on account of the use, release, threat of release, holding, handling, transport, storage, or disposal of Hazardous Materials by Tenant, its employees, agents or contractors at, on, upon or from the Premises or Property from and after the Date of this Lease, including, without limitation, liability under any federal, state, or local laws, requirements and regulations, or damage to any of the systems of the Building or the Property. Landlord agrees to indemnify and save Tenant harmless from all claims, liability, loss or damage arising on account of the use, release, threat of release, holding, handling, transport, storage, or disposal of Hazardous Materials by Landlord, its employees, agents, contractors or previous tenants at, on, upon or from the Premises or Property prior to the Date of this Lease, including, without limitation, liability under any federal, state, or local laws, requirements and regulations, or damage to any of the systems of the Building or the Property provided, however, that with respect to claims against Tenant by employees or former employees of Tenant relating to any pre-existing Hazardous Materials, Landlord shall have no duty to defend Tenant, and Landlord’s obligation to indemnify Tenant in such cases shall apply only if such employee’s claim prevails, despite Tenant having used reasonable efforts to defend such claim, in a judicial proceeding in a court of competent jurisdiction through final judgment, with no further appeal.  Landlord shall not be responsible for any claims for consequential damages or lost profits of Tenant.   The provisions of this Section 10.8 shall survive the expiration or earlier termination of this Lease.

 

ARTICLE 11

Miscellaneous Provisions

 

	
11.1  

	
Notices from One Party to the Other.  All notices required or permitted hereunder shall be in writing and addressed, if to the Tenant, at the Original Notice Address of Tenant or such other address as Tenant shall have last designated by notice in writing to Landlord and, if to Landlord, at the Original Notice Address of Landlord or such other address as Landlord shall have last designated by notice in writing to Tenant.  Any notice shall be deemed duly given when mailed to such address postage prepaid, by certified mail, return receipt requested, or when delivered to such address by hand.

 

	
11.2  

	
Quiet Enjoyment.  Landlord agrees that upon Tenant’s paying the rent and performing and observing the agreements, conditions and other provisions on its part to be performed and observed, Tenant shall and may peaceably and quietly have, hold and enjoy the Premises during the term hereof without any manner of hindrance or molestation from Landlord or anyone claiming under Landlord, subject, however, to the terms of this Lease.

 

  

26

  

 

	
11.3  

	
Lease not to be Recorded.  Tenant agrees that it will not record this Lease.  Both parties shall, upon the request of either, execute and deliver a notice of this Lease in such form, if any, as may be permitted by applicable statute.  Tenant, concurrently with its execution of any notice of this Lease, shall execute, acknowledge and deliver a so-called “notice of termination of lease” to be held in escrow by Landlord’s attorney until the expiration or earlier termination of this Lease.

 

	
11.4  

	
Limitation of Landlord’s Liability.   The term “Landlord” as used in this Lease, so far as covenants or obligations to be performed by Landlord are concerned, shall be limited to mean and include only the owner or owners at the time in question of the Property, and in the event of any transfer or transfers of title to said property, the Landlord (and in case of any subsequent transfers or conveyances, the then grantor) shall be concurrently freed and relieved from and after the date of such transfer or conveyance, without any further instrument or agreement of all liability as respects the performance of any covenants or obligations on the part of the Landlord contained in this Lease thereafter to be performed, it being intended hereby that the covenants and obligations contained in this Lease on the part of Landlord, shall, subject as aforesaid, be binding on the Landlord, its successors and assigns, only during and in respect of their respective successive periods of ownership of said leasehold interest or fee, as the case may be.  Tenant, its successors and assigns, shall not assert nor seek to enforce any claim for breach of this Lease against any of Landlord’s assets other than Landlord’s interest in the Property and in the rents, issues and profits thereof, and Tenant agrees to look solely to such interest for the satisfaction of any liability or claim against Landlord under this Lease, it being specifically agreed that in no event whatsoever shall Landlord (which term shall include, without limitation, any general or limited partner, trustees, beneficiaries, officers, directors, or stockholders of Landlord) ever be personally liable for any such liability.

 

	
11.5  

	
Force Majeure. In any case where either party hereto is required to do any act, delays caused by or resulting from Acts of God, war, civil commotion, fire, flood or other casualty, labor difficulties, shortages of labor, materials or equipment, government regulations, unusually severe weather, or other causes beyond such party’s reasonable control (any of the foregoing causes being referred to herein as “Force Majeure”) shall not be counted in determining the time during which work shall be completed, whether such time be designated by a fixed date, a fixed time or a “reasonable time,” and such time shall be deemed to be extended by the period of such delay.

 

	
11.6  

	
Landlord’s Default.  Landlord shall not be deemed to be in default in the performance of any of its obligations hereunder unless it shall fail to perform such obligations and such failure shall continue for a period of thirty (30) days or such additional time as is reasonably required to correct any such default after written notice has been given by Tenant to Landlord (and to all mortgagees of which Tenant has notice) specifying the nature of Landlord’s alleged default.  Landlord shall not be liable in any event for incidental or consequential damages to Tenant by reason of Landlord’s default, whether or not notice is given.  Tenant shall have no right to terminate this Lease for any default by Landlord hereunder and no right, for any such default, to offset or counterclaim against any rent due hereunder.

  

	
11.7  

	
Brokerage.  Landlord and Tenant warrant and represent that they have dealt with no broker in connection with the consummation of this Lease, other than Jones Lang LaSalle, and in the event of any brokerage claims, other than by Jones Lang LaSalle, against either party predicated upon prior dealings with the other party, then the other party agrees to defend the same and indemnify and hold Landlord or Tenant, as applicable, harmless against any such claim.

 

	
11.8  

	
Applicable Law and Construction; Merger; Jury Trial.This Lease may be executed in counterpart copies each of which shall be deemed an original, and shall be governed by and construed in accordance with the laws of the Commonwealth of Massachusetts and, if any provisions of this Lease shall to any extent be invalid, the remainder of this Lease shall not be affected thereby.  This Lease and the Exhibits attached hereto and forming a part hereof constitute all the covenants, promises, agreements, and understandings between Landlord and Tenant concerning the Premises and the Building and there are no covenants, promises, agreements or understandings, either oral or written, between them other than as are set forth in this Lease.  Neither Landlord nor Landlord's agents shall be bound to any representations with respect to the Premises, the Building or the Property except as herein expressly set forth, and all representations, either oral or written, shall be deemed to be merged into this Lease. Tenant shall and does hereby waive trial by jury in any action, proceeding, or claim brought by or against Landlord regarding any matter arising out of or in any way connected with this Lease, the relationship of Landlord and Tenant or Tenant’s use or occupancy of the Premises.  The titles of the several Articles and Sections contained herein are for convenience only and shall not be considered in construing this Lease.  Unless repugnant to the context, the words “Landlord” and “Tenant” appearing in this Lease shall be construed to mean those named above and their respective heirs, executors, administrators, successors and assigns, and those claiming through or under them respectively.  If there be more than one tenant, the obligations imposed by this Lease upon Tenant shall be joint and several.

 

	
11.9  

	
Consents.With respect to any provision of this Lease which either provides or is held to provide that Landlord shall not unreasonably withhold or unreasonably delay any consent or approval, Tenant shall not be entitled to make any claim for, and Tenant hereby expressly waives, any claim for damages, it being understood and agreed that Tenant's sole remedy therefor shall be an action for specific performance.

 

  

27

  

 

	
11.10  

	
Authority.   In the event the Tenant is a corporation, partnership or limited liability company, Tenant hereby represents and warrants that: the Tenant is a duly constituted corporation, partnership or limited liability company, as the case may be, qualified to do business in the Commonwealth of Massachusetts; that the person executing this Lease is duly authorized to execute and deliver this Lease on behalf of said corporation(s), partnership(s) or limited liability company(ies); and that the by-laws of Tenant authorize Tenant to enter into this Lease.

 

	
11.11  

	
Disclosure.Notwithstanding anything to the contrary contained in this Lease, Landlord hereby acknowledges and agrees that Tenant may disclose this Lease and the terms of this Lease in accordance with the Security and Exchange Commission’s rules and regulations, including but not limited to, Tenant’s filing of its Form 10Q and Form 8K with the Security and Exchange Commission.

 

 

WITNESS the execution hereof under seal on the day and year first above written:

 

	  	
LANDLORD:

	  	  	  	  	  	  
	  	
NETVIEW 5 AND 6 LLC, a Delaware limited liability company

	  	  	  	  	  	  
	  	
By:

	
NetView Investments LLC,

a Delaware limited liability company,

its Manager

	  	  	  	  	  	  
	  	  	  	  	  	  
	  	  	
By:

	
NetView Holdings LLC,

a Massachusetts limited liability company,

 its Manager

	  	  	  	  	  	  
	 	 	 	 	 	 
	  	  	  	
By:

	
Nordblom Development Company, Inc., 

a Massachusetts corporation,

its Manager

	  	  	  	  	  	  
	  	  	  	  	  	  
	  	  	  	  	
By:    

	/s/ Ogden Hunnewell
	  	  	  	  	
Name: 

	Ogden Hunnewell
	  	  	  	  	
Title:   

	Exec. VP

 

 

	  	  	 
	  	
TENANT:

	 
	 	 	 
	  	
DYAX CORP

	 
	 	 	 
	 	 	 
	  	
  /s/ George Migausky

	 
	  	
By: George Migausky

	 
	  	
Its: Exec. Vice President & Chief Financial Officer

	 
	  	
Hereunto duly authorized

	 

 

28Exhibit 4.1
    

    

    

    

    
      

      CLI FUNDING V LLC
    

    
      Issuer
    

    

    

    
      and
    

    

    

    
      U.S. BANK NATIONAL ASSOCIATION
    

    
      Indenture Trustee
    

    
      ______________________________
    

    
      SERIES 2011-2 SUPPLEMENT
    

    
      Dated as of November 3, 2011
    

    

    

    
      to
    

    
      INDENTURE
    

    
      March 18, 2011
    

    
      ______________________________
    

    

    

    
      FIXED RATE ASSET BACKED NOTES, SERIES 2011-2

    

    

    

    

    

    

    
      
        

        

      

      
        

        

        
          

        

      

      
        

        

      

    

    

    

    
      TABLE OF CONTENTS
    

    

    

    	
          ARTICLE I Definitions; Calculation Guidelines
        	
          
            1
          

        
	
           
        	
          Section 101.
        	
          Definitions
        	
          1
        
	
          ARTICLE II Creation of the Series 2011-2 Notes
        	
          5
        
	

        	
          Section 201.
        	
          Designation
        	
          5
        
	

        	
          Section 202.
        	
          Authentication and Delivery
        	
          6
        
	

        	
          Section 203.
        	
          Interest Payments on the Series 2011-2 Notes
        	
          6
        
	

        	
          Section 204.
        	
          Principal Payments on the Series 2011-2 Notes
        	
          7
        
	

        	
          Section 205.
        	
          Prepayment of Principal on the Series 2011-2 Notes
        	
          8
        
	

        	
          Section 206.
        	
          Payments of Principal and Interest
        	
          9
        
	

        	
          Section 207.
        	
          Restrictions on Transfer
        	
          9
        
	
          ARTICLE III Series 2011-2 Series Account and Allocation and
          Application of Amounts Therein
        	
          14
        
	

        	
          Section 301.
        	
          Series 2011-2 Series Account
        	
          14
        
	

        	
          Section 302.
        	
          Distributions from Series 2011-2 Series Account
        	
          14
        
	
          ARTICLE IV Additional Covenants
        	
          16
        
	

        	
          Section 401.
        	
          Other Information
        	
          16
        
	

        	
          Section 402.
        	
          Use of Proceeds
        	
          16
        
	
          ARTICLE V Conditions to Issuance
        	
          17
        
	

        	
          Section 501.
        	
          Conditions to Issuance
        	
          17
        
	
          ARTICLE VI Representations and Warranties
        	
          17
        
	

        	
          Section 601.
        	
          Existence
        	
          17
        
	

        	
          Section 602.
        	
          Authorization
        	
          17
        
	

        	
          Section 603.
        	
          No Conflict; Legal Compliance
        	
          17
        
	

        	
          Section 604.
        	
          Validity and Binding Effect
        	
          18
        
	

        	
          Section 605.
        	
          Financial Statements
        	
          18
        
	

        	
          Section 606.
        	
          Place of Business
        	
          18
        
	

        	
          Section 607.
        	
          No Agreements or Contracts
        	
          18
        
	

        	
          Section 608.
        	
          Consents and Approvals
        	
          18
        
	

        	
          Section 609.
        	
          Margin Regulations
        	
          18
        
	

        	
          Section 610.
        	
          Taxes
        	
          18
        
	

        	
          Section 611.
        	
          Other Regulations
        	
          19
        
	

        	
          Section 612.
        	
          Solvency and Separateness
        	
          19
        
	

        	
          Section 613.
        	
          No Default
        	
          20
        
	

        	
          Section 614.
        	
          Litigation and Contingent Liabilities
        	
          20
        
	

        	
          Section 615.
        	
          Title; Liens
        	
          20
        
	

        	
          Section 616.
        	
          Subsidiaries
        	
          20
        
	

        	
          Section 617.
        	
          No Partnership
        	
          20
        
	

        	
          Section 618.
        	
          Pension and Welfare Plans
        	
          20
        
	

        	
          Section 619.
        	
          Ownership of the Issuer
        	
          20
        

    

    
      
        

        

      

      
        
          - i -
        

        
          

        

      

      
        

        

      

    

    

    

    	
           
        	
          Section 620.
        	
          Security Interest Representations
        	
          20
        
	

        	
          Section 621.
        	
          Survival of Representations and Warranties
        	
          22
        
	

        	
          Section 622.
        	
          ERISA Lien
        	
          22
        
	
          ARTICLE VII Miscellaneous Provisions
        	
          22
        
	

        	
          Section 701.
        	
          Ratification of Indenture
        	
          22
        
	

        	
          Section 702.
        	
          Counterparts
        	
          22
        
	

        	
          Section 703.
        	
          Governing Law
        	
          22
        
	

        	
          Section 704.
        	
          Notices to Rating Agency
        	
          23
        
	

        	
          Section 705.
        	
          Statutory References
        	
          23
        
	

        	
          Section 706.
        	
          Amendments and Modifications
        	
          23
        
	

        	
          Section 707.
        	
          Consent to Jurisdiction
        	
          23
        
	

        	
          Section 708.
        	
          Waiver of Jury Trial
        	
          24
        

    

    
      

      

      EXHIBITS
    

    

    

    	
          EXHIBIT A-1
        	
          Form of 144A Global Notes
        
	
          EXHIBIT A-2
        	
          Form of Regulation S Temporary Global Note
        
	
          EXHIBIT A-3
        	
          Form of Permanent Regulation S Global Note
        
	
          EXHIBIT A-4
        	
          Form of Note Issued to Institutional Accredited Investors
        
	
          EXHIBIT B
        	
          Form of Certificate to be Given by Noteholder
        
	
          EXHIBIT C
        	
          Form of Certificate to be Given by Euroclear or Clearstream
        
	
          EXHIBIT D
        	
          Form of Certificate to be Given by Transferee of Beneficial Interest
          In a Regulation S Temporary Global Note
        
	
          EXHIBIT E
        	
          Form of Transfer Certificate for Exchange or Transfer From 144A Book
          Entry Note to Regulation S Book Entry Note
        
	
          EXHIBIT F
        	
          Form of Transfer Certificate for Exchange or Transfer From
          Regulations S Book Entry Note to a 144A Book Entry Note
        
	
          EXHIBIT G
        	
          Form of Initial Purchaser Exchange Instructions
        
	
          EXHIBIT H
        	
          Form of Purchaser Letter
        

    

    
      SCHEDULES
    

    	
          SCHEDULE 1
        	
          Targeted Principal Balances
        

    

    
      
        

        

      

      
        
          - ii -
        

        
          

        

      

      
        

        

      

    

    

    

    

    

    
    	
          
            SERIES 2011-2 SUPPLEMENT, dated as November 3, 2011 (as amended,
            modified, and supplemented from time to time in accordance with
            the terms hereof, this “Supplement”), between CLI
            Funding V LLC, a limited liability company organized and existing
            under the laws of the State of Delaware (the “Issuer”),
            and U.S. Bank National Association, a national banking
            association, as Indenture Trustee (the “Indenture Trustee”).
          

        

    

    
      WHEREAS, pursuant to the Indenture, dated as of March 18, 2011 (as
      amended and supplemented from time to time in accordance with its terms,
      the “Indenture”), between the Issuer and the Indenture
      Trustee, the Issuer may from time to time direct the Indenture Trustee
      to authenticate one or more new Series of Notes. The Principal Terms of
      any new Series are to be set forth in a Supplement to the Indenture.
    

    
      WHEREAS, pursuant to Section 1006 of the Indenture, this Supplement is
      entered into by the Issuer and the Indenture Trustee to create a new
      Series of Notes (“Series 2011-2”) and to specify the
      Principal Terms thereof.
    

    
      NOW THEREFORE, in consideration of the premises and mutual covenants
      herein contained, the parties hereto agree as follows:
    

    
      ARTICLE I  

Definitions; Calculation
      Guidelines
    

    
      Section 101.  Definitions.  (a)  Whenever used in this
      Supplement, the following words and phrases shall have the following
      meanings, and the definitions of such terms are applicable to the
      singular as well as the plural forms of such terms and to the masculine
      as well as to the feminine and neuter genders of such terms.
    

    
      “144A Global Notes” means the 144A Global Notes
      substantially in the form of Exhibit A-1 hereto.
    

    
      “Accelerated Principal Payment Amount” means an amount
      equal to the excess of (i) total principal payments actually paid to the
      Series 2011-2 Noteholders during the Accelerated Measurement Period,
      over (ii) the sum of the Minimum Principal Payment Amount, Scheduled
      Principal Payment Amounts and voluntary Prepayments actually paid to the
      Series 2011-2 Noteholders during the Accelerated Measurement Period.
    

    
      “Accelerated Measurement Period” means the period
      commencing on the date on which an Early Amortization commences and
      ending on the date on which such Early Amortization Event is cured or
      waived in accordance with the terms of this Supplement and the Related
      Documents.
    

    
      “Aggregate Series 2011-2 Note Principal Balance”
      means, as of any date of determination, an amount equal to the sum of
      Unpaid Principal Balances of all Series 2011-2 Notes then Outstanding
      which, as of the Series 2011-2 Closing Date, shall be Two Hundred Fifty
      Million Dollars ($250,000,000).
    

    
      
        

        

      

      
        

        

        
          

        

      

      
        

        

      

    

    
      “Control Party” means, with respect to the Series
      2011-2 Notes, the holders of Series 2011-2 Notes that are more than 50%
      of the then Aggregate Series 2011-2 Note Principal Balance of all Series
      2011-2 Notes then Outstanding.
    

    
      “DB” means Deutsche Bank Securities Inc., a corporation
      organized under the laws of the State of Delaware and its successors and
      permitted assigns.
    

    
      “Default Interest” means, the incremental interest
      specified in Section 203(b) hereof over the amount of interest otherwise
      payable on such Payment Date pursuant to Section 203(a) hereof, payable
      by the Issuer resulting from (i) the failure of the Issuer to pay in
      full on any Payment Date any accrued and unpaid interest, fees, or
      indemnities on any Series 2011-2 Notes then Outstanding, (ii) the
      failure of the Issuer to pay in full on the Legal Final Maturity Date
      the then Unpaid Principal Balance of any Series 2011-2 Notes, or (iii)
      the failure of the Issuer to pay the Unpaid Principal Balance of any
      Series 2011-2 Notes upon the occurrence of an Event of Default and the
      acceleration of the Series 2011-2 Notes in accordance with the
      provisions of the Indenture.
    

    
      “Default Rate” means, for any date of determination,
      an interest rate per annum equal to the sum of (i) two percent (2%) per
      annum, plus (ii) the interest rate per annum payable on such Note prior
      to the event giving rise to such Default Interest.
    

    
      “DTC” shall have the meaning set forth in Section 207.
    

    
      “Initial Commitment” means Two Hundred Fifty Million
      Dollars ($250,000,000).
    

    
      “Initial Purchasers” means each of WFS and DB.  
    

    
      “Institutional Accredited Investors” shall have the
      meaning set forth in Section 207.
    

    
      “Legal Final Maturity Date” means, for the Series
      2011-2 Notes, the Payment Date occurring in October 2026.
    

    
      “Letter of Representations” means the Letter of
      Representations, dated as of November 3, 2011, between the Issuer and
      DTC.
    

    
      “Minimum Principal Payment Amount” means, for the
      Series 2011-2 Notes on each Payment Date, an amount equal to the excess,
      if any, of (x) the Unpaid Principal Balance of the Series 2011-2 Notes,
      over (y) the Minimum Targeted Principal Balance for the Series 2011-2
      Notes on such Payment Date.
    

    
      “Minimum Targeted Principal Balance” means, with respect to
      the Series 2011-2 Notes for each Payment Date, the amount set opposite
      such Payment Date on Schedule 1 hereto, as such schedule may be adjusted
      from time to time in accordance with the terms of the Supplement.
    

    
      
        

        

      

      
        
          - 2 -
        

        
          

        

      

      
        

        

      

    

    
      “Payment Date” means the eighteenth (18th)
      calendar day of each month or, if such day is not a Business Day, the
      next succeeding Business Day, commencing on November 18, 2011.
    

    
      “Permanent Regulation S Global Notes” means the
      Permanent Regulation S Global Notes substantially in the form of Exhibit
      A-3.
    

    
      “Qualified Institutional Buyers” shall have the
      meaning set forth in Section 207.
    

    
      “Rating Agency” means, for Series 2011-2, S&P.
    

    
      “Regulation S” shall have the meaning set forth in
      Section 207 hereof.
    

    
      “Regulation S Global Notes” Collectively, the
      Regulation S Temporary Global Notes and the Permanent Regulation S
      Global Notes.
    

    
      “Regulation S Temporary Global Notes” means the
      Regulation S Temporary Global Notes substantially in the form of Exhibit
      A-2.
    

    
      “Rule 144A” shall have the meaning set forth in
      Section 207 hereof.
    

    
      “S&P” means Standard & Poor’s Ratings Service, a
      Standard & Poor’s financial Services LLC business.
    

    
      “Scheduled Principal Payment Amount” means, for the
      Series 2011-2 Notes on each Payment Date, an amount equal to the excess,
      if any, of (x) the Unpaid Principal Balance of the Series 2011-2 Notes
      (calculated after giving effect to any payment of the Minimum Principal
      Payment Amounts for the Series 2011-2 Notes actually paid on such
      Payment Date), over (y) the Scheduled Targeted Principal Balance for the
      Series 2011-2 Notes on such Payment Date.  
    

    
      “Scheduled Targeted Principal Balance” means, with
      respect to the Series 2011-2 Notes for each Payment Date, the amount set
      forth opposite such Payment Date on Schedule 1 hereto, as such schedule
      may be adjusted from time to time in accordance with the terms of the
      Indenture.
    

    
      “Series 2011-2” means the Series of Notes the terms
      of which are specified in this Supplement.
    

    
      “Series 2011-2 Legal Final Maturity Date” means the Payment
      Date occurring in October 2026.
    

    
      “Series 2011-2 Note” means any one of the notes
      issued pursuant to the terms of Section 201(a) of this Supplement,
      substantially in the form of any of Exhibit A-1, A-2, A-3, or A-4 to
      this Supplement, and any and all replacements or substitutions of such
      note.
    

    
      “Series 2011-2 Note Interest Payment”  means, for
      each Payment Date, an amount equal to the product of (i) the Aggregate
      Series 2011-2 Note Principal Balance as of the first day of the related
      Interest Accrual Period, and (ii) an annual rate of interest equal to
      four and 94/100 of one percent (4.94%) per annum.
    

    
      
        

        

      

      
        
          - 3 -
        

        
          

        

      

      
        

        

      

    

    
      “Series 2011-2 Note Principal Balance” means, with
      respect to any Series 2011-2 Note as of any date of determination, an
      amount equal to the excess of (x) the Initial Commitment of such Series
      2011-2 Note as of the Closing Date, over (y) the cumulative amount of
      all Minimum Principal Payment Amounts, Scheduled Principal Payment
      Amounts and any other principal payments actually paid to the Series
      2011-2 Noteholders subsequent to the Closing Date.
    

    
      “Series 2011-2 Note Purchase Agreement” means the
      Series 2011-2 Note Purchase Agreement, dated as of November 3, 2011,
      among the Issuer, Carlisle and the Initial Purchasers.
    

    
      “Series 2011-2 Noteholder” means, at any time of
      determination for the Series 2011-2 Notes, any Person in whose name a
      Series 2011-2 Note is registered in the Note Register.
    

    
      “Series 2011-2 Series Account” means the account of
      that name established in accordance with Section 301 hereof.
    

    
      “Series 2011-2 Transaction Documents” shall mean,
      with respect to this Agreement, any and all of the Indenture, this
      Supplement, the Series 2011-2 Notes, the Management Agreement, the
      Contribution and Sale Agreement, the Series 2011-2 Note Purchase
      Agreement, the Director Services Agreement, the Intercreditor Agreement,
      the Manager Transition Agreement, any Interest Rate Hedge Agreements,
      together with any insurance policies related thereto, and any and all
      other agreements, documents, and instruments executed and delivered by
      or on behalf or in support of the Issuer with respect to the issuance
      and sale or administration of the Series 2011-2 Notes, as any of the
      foregoing may from time to time be amended, modified, supplemented, or
      renewed.
    

    
      “Transferor” shall have the meaning set forth in
      Section 207 hereof.
    

    
      “U.S. Person” shall have the meaning set forth in
      Section 207 hereof.
    

    
      “WFS” means Wells Fargo Securities, LLC, a limited
      liability company organized under the laws of the State of Delaware and
      its successors and permitted assigns.
    

    
      (b)       Capitalized terms used herein and not otherwise defined shall
      have the meaning set forth in the Indenture or, if not defined therein,
      as defined in the Series 2011-2 Note Purchase Agreement.
    

    
      
        

        

      

      
        
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      ARTICLE II

Creation of the Series 2011-2 Notes
    

    
      Section 201.  Designation
    

    
      (a)  There is hereby created a Series of Notes to be issued in one Class
      pursuant to the Indenture and this Supplement to be known as “CLI
      Funding V LLC Fixed Rate Asset Backed Notes, Series 2011-2”.  The Series
      2011-2 Notes will be issued in the initial principal balance of Two
      Hundred Fifty Million Dollars ($250,000,000).  The Series 2011-2 Notes
      shall be “Senior Notes” under the Indenture and will not have priority
      over any other Senior Series of Notes, except to the extent set forth in
      the Supplement for such other Senior Series of Notes, and will not be
      subordinate to any other Senior Series of Notes.  The issuance date of
      the Series 2011-2 Notes is November 3, 2011.
    

    
      (b)  The Payment Date with respect to the Series 2011-2 Notes shall be
      the eighteenth (18th) calendar day of each month, or, if such
      day is not a Business Day, the immediately following Business Day,
      commencing November 18, 2011 .
    

    
      (c)  Payments of principal on the Series 2011-2 Notes shall be payable
      from funds on deposit in the Series 2011-2 Series Account or otherwise
      at the times and in the amounts set forth in Article III of the
      Indenture and Article III of this Supplement.
    

    
      (d)  The Series 2011-2 Notes are designated as a “Senior Series” and a
      Series of “Term Notes”, as each such term is used in the Indenture.
    

    
      (e)  The “Expected Final Maturity Date” for Series 2011-2, as such term
      is used in the Indenture, is the Payment Date occurring in November 2021.
    

    
      (f)  All of the Early Amortization Events set forth in Article XII of
      the Indenture are applicable to Series 2011-2.  
    

    
      (g)  The “Advance Rate” for Series 2011-2, as such term is used in the
      Indenture, is eighty-five percent (85%).  
    

    
      (h)  The “Related Documents” for Series 2011-2, as such term is used in
      the Indenture, shall be the Series 2011-2 Transaction Documents.  
    

    
      (i)  The “Rating Agency” for Series 2011-2, as such term is used in the
      Indenture, shall be S&P.
    

    
      (j)  The “Record Date” with respect to the initial Payment Date for
      Series 2011-2 shall be November 3, 2011; and the “Record Date” with
      respect to each subsequent Payment Date for Series 2011-2 shall be
      determined in accordance with the definition of “Record Date” as set
      forth in Section 101 of the Indenture.
    

    
      (k)  In accordance with Section 1006(b)(vii)(B) of the Indenture, the
      following conditions precedent shall constitute additional conditions
      precedent to the issuance of any additional Series under the Indenture
      on or following the date hereof: (A) such additional Series shall have a
      Legal Final Maturity Date (as defined in the Supplement for such
      additional Series) that is on or later than the Series 2011-2 Legal
      Final Maturity Date, (B) such additional Series shall have a Weighted
      Average Life that is not less than the remaining Weighted Average Life
      of the Series 2011-2 Notes as of the date of issuance of such additional
      Series and (C) unless such additional Series is a Subordinate Series,
      such additional Series shall have an Advance Rate that is equal to or
      less than the Advance Rate for the Series 2011-2 Notes.
    

    
      
        

        

      

      
        
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      (l)  In the event that any term or provision contained herein shall
      conflict with or be inconsistent with any term or provision contained in
      the Indenture, the terms and provisions of this Supplement shall govern.
    

    
      Section 202.  Authentication and Delivery.
    

    
      (a)  On the Closing Date, the Issuer shall sign, and shall direct the
      Indenture Trustee in writing pursuant to Section 201 of the Indenture to
      duly authenticate, and the Indenture Trustee, upon receiving such
      direction, shall (i) authenticate, subject to compliance with the
      conditions precedent set forth in Section 501 hereof, the Series 2011-2
      Notes in accordance with such written directions, and (ii) subject to
      compliance with the conditions precedent set forth in Section 501 hereof,
      deliver such Series 2011-2 Notes to the Initial Purchasers in accordance
      with such written directions.
    

    
      (b)  In accordance with Section 202 of the Indenture, the Series 2011-2
      Notes sold in reliance on Rule 144A shall be represented by one or more
      Rule 144A Global Notes.  Any Series 2011-2 Notes sold in reliance on
      Regulation S shall be represented by one or more Regulation S Global
      Notes.  Any Series 2011-2 Notes sold to Institutional Accredited
      Investors shall be represented by one or more Definitive Notes.
    

    
      (c)  The Series 2011-2 Notes shall be executed by manual or facsimile
      signature on behalf of the Issuer by any officer of the Issuer and shall
      be substantially in the forms of Exhibit A-1, A-2, A-3 and A-4 hereto,
      as applicable.
    

    
      (d)  The Series 2011-2 Notes shall be issued in minimum denominations of
      $100,000 and in integral multiples of $1,000 thereafter; provided that
      one Note may be issued in a non-standard denomination.
    

    
      Section 203.  Interest Payments on the Series 2011-2 Notes.
    

    
      (a)  Interest on Series 2011-2 Notes.  Interest on each
      Series 2011-2 Note shall (i) accrue during each Interest Accrual Period
      at a rate per annum equal to four and 94/100 of one percent
      (4.94%) per annum, (ii) be calculated on the basis of actual days
      elapsed during such Interest Accrual Period over a year consisting of
      360 days, (iii) be due and payable on each Payment Date, (iv) be
      calculated based on the Series 2011-2 Note Principal Balance of such
      Series 2011-2 Note, and (v) be payable from the Series 2011-2 Series
      Account in accordance with Section 302 hereto.  To the extent that the
      amount of interest which is due and payable on any Payment Date is not
      paid in full on such date, such shortfall, together with interest
      thereon at the Default Rate, shall be due and payable on the immediately
      succeeding Payment Date.
    

    
      
        

        

      

      
        
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      (b)  Default Interest on Overdue Amounts.  If the
      Issuer shall default in the payment of (i) the Series 2011-2 Note
      Principal Balance of any Series 2011-2 Notes on the Series 2011-2 Legal
      Final Maturity Date, or (ii) the Series 2011-2 Note Interest Payment on
      any Series 2011-2 Note on any Payment Date, or (iii) any other amount
      becoming due under this Supplement, the Issuer shall, from time to time,
      pay Default Interest on such unpaid amounts, to the extent permitted by
      Applicable Law, at a rate per annum equal to the Default Rate, for the
      period during which such principal, interest or other amount shall be
      unpaid from the due date of such payment to, but not including, the date
      of actual payment thereof (as well as before judgment).  Default
      Interest shall be payable at the times and subject to the priorities set
      forth in Section 302 of the Indenture and Section 302 of this Supplement.
    

    
      (c)  Maximum Interest Rate.  In no event shall the
      interest charged with respect to a Series 2011-2 Note exceed the maximum
      amount permitted by Applicable Law.  If at any time the interest rate
      charged with respect to the Series 2011-2 Notes exceeds the maximum rate
      permitted by Applicable Law, the rate of interest to accrue pursuant to
      this Supplement and such Series 2011-2 Note shall be limited to the
      maximum rate permitted by Applicable Law.  If the total amount of
      interest paid or accrued on the Series 2011-2 Note under the foregoing
      provisions is less than the total amount of interest that would have
      accrued if the interest rate had at all times been in effect, the Issuer
      agrees to pay to the Series 2011-2 Noteholders an amount equal to the
      difference between (a) the lesser of (i) the amount of interest that
      would have accrued if the maximum rate permitted by Applicable Law had
      at all times been in effect, or (ii) the amount of interest that would
      have accrued if the interest rate had at all times been in effect, and
      (b) the amount of interest accrued in accordance with the other
      provisions of this Supplement.
    

    
      Section 204.  Principal Payments on the Series 2011-2 Notes.  The
      principal balance of the Series 2011-2 Notes shall be payable on each
      Payment Date from amounts on deposit in the Series 2011-2 Series Account
      in an amount equal to (i) so long as no Early Amortization Event nor an
      Event of Default is continuing, the Minimum Principal Payment Amount,
      the Scheduled Principal Payment Amount, and the allocable portion of the
      Supplemental Principal Payment Amount (if any) for such Series 2011-2
      Note for such Payment Date to the extent that funds are available for
      such purpose in accordance with the provisions of Part I of paragraph
      (c) of Section 302 of the Indenture, (ii) if an Early Amortization
      Event, but not an Event of Default, has occurred and is continuing, the
      Minimum Principal Payment Amount, the Scheduled Principal Payment Amount
      and the Aggregate Series 2011-2 Note Principal Balance on such Payment
      Date (after giving effect to any payment of the Minimum Principal
      Payment Amount and the Scheduled Principal Amount for the Series 2011-2
      Notes then outstanding actually paid on such Payment Date) to the extent
      that funds are available for such purposes in accordance with the
      provisions of Part (II) of paragraph (c) of Section 302 of the Indenture
      or (iii) if an Event of Default has occurred and is then continuing, the
      Minimum Principal Payment Amount, the Scheduled Principal Payment Amount
      and the Aggregate Series 2011-2 Note Principal Balance (after giving
      effect to any payment of the Minimum Principal Payment Amount and the
      Scheduled Principal Amount for the Series 2011-2 Notes then outstanding
      actually paid on such Payment Date) to the extent that funds are
      available for such purposes in accordance with the provisions of Part
      (III) of paragraph (c) of Section 302 of the Indenture.  Payment of the
      Supplemental Principal Payment Amount on each Payment Date is
      subordinated to payment in full on such Payment Date of the Minimum
      Principal Payment Amount and the Scheduled Principal Payment Amount for
      the Series 2011-2 Notes and any other Notes then Outstanding.  The
      unpaid principal amount of each Series 2011-2 Note, together with all
      unpaid interest (including all Default Interest), indemnifications,
      fees, expenses, costs, and other amounts payable by the Issuer to the
      Series 2011-2 Noteholders, the Indenture Trustee and any Interest Rate
      Hedge Provider pursuant to the terms of the Indenture and this
      Supplement, shall be due and payable in full on the earlier to occur of
      (x) the date on which an Event of Default shall occur and the Series
      2011-2 Notes have been accelerated in accordance with the provisions of
      Section 802 of the Indenture and (y) the Series 2011-2 Legal Final
      Maturity Date
    

    
      
        

        

      

      
        
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      .
    

    
      Section 205.  Prepayment of Principal on the Series 2011-2
      Notes.
    

    
      (a)  The Issuer will not be permitted to make a voluntary Prepayment of
      all or a portion of, the principal balance of the Series 2011-2 Notes
      prior to the 24th Payment Date following the Series 2011-2 Closing
      Date.  On the 25th Payment Date following the Series 2011-2 Closing Date
      and on each Payment Date thereafter, the Issuer will have the option to
      prepay without penalty on any Payment Date all, or any portion of, the
      Principal Balance of the Series 2011-2 Notes in a minimum amount of
      $100,000, together with accrued interest thereon and any early
      termination fees owing pursuant to the terms of any Interest Rate Hedge
      Agreements.  The Issuer shall provide prior written notice of any
      Prepayment to the Indenture Trustee and the Series 2011-2
      Noteholders.  Nothing contained herein shall prohibit any allocation to
      the Series 2011-2 Noteholders of Supplemental Principal Payment Amounts
      in accordance with Section 702(a) of the Indenture on any Payment Date
      or the mandatory redemption of the Notes on the Final Funding Period
      Payment Date from amounts on deposit in the Pre-funding Account.  Any
      optional Prepayment of the Series 2011-2 Note Principal Balance shall
      also include any early termination fees owing pursuant to the terms of
      any Interest Rate Hedge Agreement and accrued interest to the date of
      Prepayment on the amount being prepaid.  The Issuer may not make such
      optional Prepayment from funds in the Trust Account, the Series 2011-2
      Series Account, the Restricted Cash Account, the Manager Collection
      Account, the Pre-Funding Account or the Manager Transition Account,
      except to the extent that funds in any such account would otherwise be
      payable to the Issuer in accordance with the terms of this
      Supplement.  In the event of any optional Prepayment of the Notes in
      accordance with this Section 205 or any other provision of the
      Indenture, the Issuer shall pay any termination, notional reduction,
      breakage or other fees or costs assessed by any Interest Rate Hedge
      Provider by reason thereof.  
    

    
      (b)  Any Prepayment of less than the Aggregate Series 2011-2 Note
      Principal Balance of the Series 2011-2 Notes made in accordance with the
      provisions of Section 205 hereof shall be applied to reduce, by a pro
      rated portion of the amount of such Prepayment, the Minimum Targeted
      Principal Balances and Scheduled Targeted Principal Balances in respect
      of each subsequent Payment Date.
    

    
      In addition, if an Early Amortization Event has occurred and been
      subsequently cured and/or waived, the Accelerated Principal Payment
      Amount shall be applied to reduce, by a pro rated portion of such
      Accelerated Principal Payment Amount, the Minimum Targeted Principal
      Balances and Scheduled Targeted Principal Balances in respect of each
      subsequent Payment Date.
    

    
      (c)  The Issuer shall provide at least three (3) Business Days’ prior
      written notice of any Prepayment to the Indenture Trustee and the
      Holders of the Series 2011-2 Notes.
    

    
      
        

        

      

      
        
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      Section 206.  Payments of Principal and Interest.  All
      payments of principal and interest on the Series 2011-2 Notes shall be
      paid to the Series 2011-2 Noteholders reflected in the Note Register as
      of the related Record Date by wire transfer of immediately available
      funds for receipt prior to 2:00 p.m. (New York City time) on the related
      Payment Date.  Any payments received by the Series 2011-2 Noteholders
      after 2:00 p.m. (New York City time) on any day shall be considered to
      have been received prior to 2:00 p.m. (New York City time) on the next
      succeeding Business Day.
    

    
      Section 207.  Restrictions on Transfer.
    

    
      (a)  On the Closing Date, the Issuer shall sell the Series 2011-2 Notes
      to the Initial Purchasers pursuant to the Series 2011-2 Note Purchase
      Agreement and deliver such Series 2011-2 Notes in accordance herewith
      and therewith.  Thereafter, no Series 2011-2 Note may be sold,
      transferred, or otherwise disposed of except in compliance with the
      provisions of the Indenture and except as follows:
    

    
      (A)  to Persons that the transferring Person reasonably believes are
      Qualified Institutional Buyers in reliance on the exemption from the
      registration requirements of the Securities Act provided by Rule 144A
      promulgated thereunder (“Rule 144A”);
    

    
      (B)  not to a U.S. Person in offshore transactions in reliance on
      Regulation S under the Securities Act (“Regulation S”);
      or
    

    
      (C)  to institutional “accredited investors” within the meaning of Rule
      501(a)(1), (2), (3) or (7) of Regulation D under the Securities Act (“Institutional
      Accredited Investors”) that take delivery of such Series
      2011-2 Note in an amount of at least $100,000 and that deliver an
      Purchaser Letter substantially in the form of Exhibit H to this
      Supplement to the Indenture Trustee.  
    

    
      The Indenture Trustee shall have no obligations or duties with respect
      to determining whether any transfers of the Series 2011-2 Notes are made
      in accordance with the Securities Act or any other law; provided
      that with respect to Definitive Notes, the Indenture Trustee shall
      enforce such transfer restrictions in accordance with the terms set
      forth in this Supplement.
    

    
      (b)  Each purchaser (other than the Initial Purchasers) of the Series
      2011-2 Notes (including any purchaser, other than the Initial
      Purchasers, of an interest in the Series 2011-2 Notes which are Global
      Notes) shall be deemed to have acknowledged and agreed as follows:
    

    
      (i)  It is (A) a qualified institutional buyer as defined in Rule 144A (“Qualified
      Institutional Buyer”) and is acquiring such Series 2011-2
      Notes for its own institutional account or for the account or accounts
      of a Qualified Institutional Buyer, (B) purchasing such Series 2011-2
      Notes in a transaction exempt from registration under the Securities Act
      and in compliance with the provisions of this Supplement and in
      compliance with the legend set forth in clause (iv) below, or (C)
      not a U.S. Person as defined in Regulation S (a “U.S. Person”) and is
      acquiring such Series 2011-2 Notes outside of the United States;
    

    
      
        

        

      

      
        
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      (ii)  It represents and warrants to the Initial Purchasers, the Issuer,
      the Indenture Trustee, and the Manager that (a) either (1) it is not,
      and is not acting on behalf of, a Plan or a governmental, church or
      non-U.S. plan which is subject to any federal, state, local, or non-U.S.
      law that is similar to the prohibited transaction provisions of Section
      406 of ERISA or Section 4975 of the Code, and no part of the assets to
      be used by it to purchase or hold the Notes or any interest therein
      constitutes the assets of any Plan or such a governmental, church, or
      non-U.S. plan; or (2) (A) the acquisition, holding, and disposition of
      the Note will not give rise to a nonexempt prohibited transaction under
      Section 406 of ERISA or Section 4975 of the Code (or, in the case of a
      governmental, church, or non-U.S. plan, a violation of any similar
      federal, state, local, or non-U.S. law) and (B) the Notes are rated
      investment grade or better and such Person believes that the Notes are
      properly treated as indebtedness without substantial equity features for
      purposes of Section 2510.3-101 of the regulations issued by the U.S.
      Department of Labor, and agrees to so treat the Notes; and (b) it will
      not sell or otherwise transfer the Notes or any interest therein
      otherwise than to a purchaser or transferee that represents and agrees
      with respect to its purchase, holding, and disposition of the Notes to
      the same effect as the purchaser's representation and agreement set
      forth in this clause (b)(ii) of Section 207;
    

    
      (iii)  It understands that the Series 2011-2 Notes are being transferred
      to it in a transaction not involving any public offering within the
      meaning of the Securities Act, and that, if in the future it decides to
      resell, pledge, or otherwise transfer any Series 2011-2 Notes, such
      Series 2011-2 Notes may be resold, pledged or transferred only in
      accordance with applicable state securities laws and (1) in a
      transaction meeting the requirements of Rule 144A, to a Person that the
      seller reasonably believes is a Qualified Institutional Buyer that
      purchases for its own account (or for the account or accounts of a
      Qualified Institutional Buyer) and to whom notice is given that the
      resale, pledge, or transfer is being made in reliance on Rule 144A, (2)
      to a Person that is an Institutional Accredited Investor, is taking
      delivery of such Series 2011-2 Notes in an amount of at least $100,000,
      and delivers a Purchaser Letter to the Indenture Trustee, or (3) in an
      offshore transaction in accordance with Rule 903 or 904 of Regulation S;
      and
    

    
      (iv) It understands that each Series 2011-2 Note shall bear a legend
      substantially to the following effect:

    

    
      [For Book-Entry Notes Only:  UNLESS THIS NOTE IS PRESENTED BY AN
      AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY, A NEW YORK
      CORPORATION (“DTC”), TO THE TRANSFEROR OF SUCH NOTE (THE “TRANSFEROR”)
      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 THE 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.
    

    
      
        

        

      

      
        
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      THIS NOTE HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933,
      AS AMENDED (THE “SECURITIES ACT”).  THE HOLDER HEREOF, BY PURCHASING
      THIS NOTE, AGREES THAT SUCH NOTE MAY BE RESOLD, PLEDGED, OR TRANSFERRED
      ONLY IN ACCORDANCE WITH ANY APPLICABLE STATE SECURITIES LAWS AND (1) IN
      A TRANSACTION MEETING THE REQUIREMENTS OF RULE 144A UNDER THE SECURITIES
      ACT (“RULE 144A”), TO A PERSON THAT THE SELLER REASONABLY BELIEVES IS A
      QUALIFIED INSTITUTIONAL BUYER THAT PURCHASES FOR ITS OWN ACCOUNT (OR FOR
      THE ACCOUNT OR ACCOUNTS OF A QUALIFIED INSTITUTIONAL BUYER) AND TO WHOM
      NOTICE IS GIVEN THAT THE RESALE, PLEDGE OR OTHER TRANSFER IS BEING MADE
      IN RELIANCE ON RULE 144A, OR (2) IN AN OFFSHORE TRANSACTION COMPLYING
      WITH RULE 903 OR RULE 904 OF REGULATION S UNDER THE SECURITIES ACT OR
      (3) TO A PERSON THAT IS AN INSTITUTIONAL “ACCREDITED INVESTOR,” WITHIN
      THE MEANING OF RULE 501(a)(1), (2), (3), OR (7) OF REGULATION D UNDER
      THE SECURITIES ACT, IS TAKING DELIVERY OF SUCH NOTE IN AN AMOUNT OF AT
      LEAST $100,000 AND DELIVERS A PURCHASER LETTER TO THE INDENTURE TRUSTEE
      IN THE FORM ATTACHED TO THE SUPPLEMENTS.

EACH
      PURCHASER OF A NOTE SHALL REPRESENT OR BE DEEMED TO REPRESENT AND
      WARRANT TO THE INITIAL PURCHASERS, THE ISSUER, THE INDENTURE TRUSTEE,
      AND THE MANAGER THAT (A) EITHER (1) IT IS NOT, AND IS NOT ACTING ON
      BEHALF OF, A PLAN OR A GOVERNMENTAL, CHURCH, OR NON-U.S. PLAN WHICH IS
      SUBJECT TO ANY FEDERAL, STATE, LOCAL, OR NON-U.S. LAW THAT IS SIMILAR TO
      THE PROHIBITED TRANSACTION PROVISIONS OF SECTION 406 OF ERISA OR SECTION
      4975 OF THE CODE, AND NO PART OF THE ASSETS TO BE USED BY IT TO PURCHASE
      OR HOLD THE NOTES OR ANY INTEREST THEREIN CONSTITUTES THE ASSETS OF ANY
      PLAN OR SUCH A GOVERNMENTAL, CHURCH, OR NON-U.S. PLAN; OR (2) (A) THE
      ACQUISITION, HOLDING, AND DISPOSITION OF THE NOTE WILL NOT GIVE RISE TO
      A NONEXEMPT PROHIBITED TRANSACTION UNDER SECTION 406 OF ERISA OR SECTION
      4975 OF THE CODE (OR, IN THE CASE OF A GOVERNMENTAL, CHURCH, OR NON-U.S.
      PLAN, A VIOLATION OF ANY SIMILAR FEDERAL, STATE, LOCAL, OR NON-U.S. LAW)
      AND (B) THE NOTES ARE RATED INVESTMENT GRADE OR BETTER AND SUCH PERSON
      BELIEVES THAT THE SERIES 2011-2 NOTES ARE PROPERLY TREATED AS
      INDEBTEDNESS WITHOUT SUBSTANTIAL EQUITY FEATURES FOR PURPOSES OF SECTION
      2510.3-101 OF THE REGULATIONS ISSUED BY THE U.S. DEPARTMENT OF LABOR,
      AND AGREES TO SO TREAT THE NOTES; AND (B) IT WILL NOT SELL OR OTHERWISE
      TRANSFER THE NOTES OR ANY INTEREST THEREIN OTHERWISE THAN TO A PURCHASER
      OR TRANSFEREE THAT REPRESENTS AND AGREES WITH RESPECT TO ITS PURCHASE,
      HOLDING, AND DISPOSITION OF THE NOTES TO THE SAME EFFECT AS THE
      PURCHASER'S REPRESENTATION AND AGREEMENT SET FORTH IN THIS SENTENCE.

    

    
      
        

        

      

      
        
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      THIS NOTE IS NOT GUARANTEED OR INSURED BY ANY GOVERNMENTAL AGENCY OR
      INSTRUMENTALITY.]
    

    
      (v)  It is not a Competitor.
    

    
      (vi)  Each investor described in Section 207(a)(B) understands that the
      Series 2011-2 Notes have not and will not be registered under the
      Securities Act, that any offers, sales, or deliveries of the Series
      2011-2 Notes purchased by it in the United States or to U.S. Persons
      prior to the date that is 40 days after the later of (i) the
      commencement of the distribution of the Series 2011-2 Notes and (ii) the
      Closing Date, may constitute a violation of United States law, and that
      distributions of principal and interest will be made in respect of such
      Series 2011-2 Notes only following the delivery by the holder of a
      certification of non-U.S. beneficial ownership or the exchange of
      beneficial interest in Regulation S Temporary Global Notes for
      beneficial interests in the related 144A Book-Entry Global Notes (which
      in each case will itself require a certification of non-U.S. beneficial
      ownership), at the times and in the manner set forth in this Supplement.
    

    
      (vii)  The Regulation S Temporary Global Notes representing the Series
      2011-2 Notes sold to each investor described in Section 207(a)(B) will
      bear a legend to the following effect, unless the Issuer determines
      otherwise consistent with Applicable Law:
    

    
      [FOR REGULATION S TEMPORARY GLOBAL NOTES ONLY:
    

    
      1.          EACH INVESTOR IN AN OFFSHORE TRANSACTION COMPLYING WITH
      RULE 903 OR RULE 904 OF REGULATION S UNDER THE SECURITIES ACT
      UNDERSTANDS THAT THE NOTES HAVE NOT BEEN AND WILL NOT BE REGISTERED
      UNDER THE SECURITIES ACT, THAT ANY OFFERS, SALES, OR DELIVERIES OF THE
      NOTES PURCHASED BY IT IN THE UNITED STATES OR TO U.S. PERSONS PRIOR TO
      THE DATE THAT IS 40 DAYS AFTER THE LATER OF (I) THE COMMENCEMENT OF THE
      DISTRIBUTION OF THE NOTES AND (II) THE CLOSING DATE, MAY CONSTITUTE A
      VIOLATION OF UNITED STATES LAW, AND THAT DISTRIBUTIONS OF PRINCIPAL AND
      INTEREST WILL BE MADE IN RESPECT OF SUCH NOTES ONLY FOLLOWING THE
      DELIVERY BY THE HOLDER OF A CERTIFICATION OF NON-U.S. BENEFICIAL
      OWNERSHIP OR THE EXCHANGE OF BENEFICIAL INTEREST IN REGULATION S
      TEMPORARY BOOK-ENTRY NOTES FOR BENEFICIAL INTERESTS IN THE RELATED RULE
      144A BOOK-ENTRY NOTES (WHICH IN EACH CASE WILL ITSELF REQUIRE A
      CERTIFICATION OF NON-U.S. BENEFICIAL OWNERSHIP), AT THE TIMES AND IN THE
      MANNER SET FORTH IN THE INDENTURE AND THE SUPPLEMENT.
    

    
      
        

        

      

      
        
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      2.          THE REGULATION S TEMPORARY BOOK-ENTRY NOTES REPRESENTING
      THE NOTES SOLD TO EACH INVESTOR IN AN OFFSHORE TRANSACTION COMPLYING
      WITH RULE 903 OR RULE 904 OF REGULATION S UNDER THE SECURITIES ACT WILL
      BEAR A LEGEND TO THE FOLLOWING EFFECT, UNLESS THE ISSUER DETERMINES
      OTHERWISE CONSISTENT WITH APPLICABLE LAW:
    

    
      THIS NOTE HAS NOT BEEN AND WILL NOT BE REGISTERED UNDER THE UNITED
      STATES SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”) AND,
      PRIOR TO THE DATE THAT IS 40 DAYS AFTER THE LATER OF (I) THE COMPLETION
      OF THE DISTRIBUTION OF THE NOTES AND (II) THE CLOSING DATE, MAY NOT BE
      OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED IN THE UNITED STATES OR
      TO A U.S. PERSON EXCEPT PURSUANT TO AN EXEMPTION FROM THE REGISTRATION
      REQUIREMENTS OF THE SECURITIES ACT AND IN ACCORDANCE WITH APPLICABLE
      PROCEDURES SPECIFIED IN THE INDENTURE.]
    

    
      (viii)  It is purchasing one or more Series 2011-2 Notes in an amount of
      at least $100,000 and it understands that such Series 2011-2 Notes may
      be resold, pledged, or otherwise transferred only in an amount of at
      least $100,000.  
    

    
      (ix)  The Indenture Trustee shall not permit the transfer of any Series
      2011-2 Notes unless such transfer complies with the terms of the
      foregoing legends and, in the case of a transfer to an Institutional
      Accredited Investor (other than a Qualified Institutional Buyer), the
      transferee delivers a completed Purchaser Letter to the Indenture
      Trustee.
    

    
      (c)  Forms substantially in the form of Exhibit(s) B through G, as
      appropriate, shall be completed in connection with any transfer of the
      Series 2011-2 Notes.
    

    
      Any notice to the Holders of Notes will be validly given (i) by either
      of (a) the information contained in such notice appearing on the
      relevant page of the Reuters Screen or such other medium for the
      electronic display of data as may be approved by the Issuer with notice
      to Holders of the Notes or (b) publication in the Financial Times and
      The Wall Street Journal (National Edition) or, if either
      newspaper will cease to be published or timely publication therein will
      not be practicable, in such English language newspaper or newspapers as
      the Issuer will approve having a general circulation in Europe and the
      United States and (ii) until such time as any Definitive Notes are
      issued in exchange for the Notes and, so long as such Notes are
      registered in the name of a nominee for DTC, Euroclear, and/or
      Clearstream, delivery of the relevant notice to DTC, Euroclear, and/or
      Clearstream for communication by them to the Holders of the Notes.
    

    
      
        

        

      

      
        
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      ARTICLE III

Series 2011-2 Series Account and
Allocation
      and Application of Amounts Therein
    

    
      Section 301.  Series 2011-2 Series Account.  The
      Indenture Trustee shall establish on or prior to the Closing Date and
      maintain, so long as any Series 2011-2 Note is Outstanding, an Eligible
      Account which shall be designated as the Series 2011-2 Series Account,
      which account shall be held in the name of the Indenture Trustee (in its
      capacity as Securities Intermediary of the Indenture Trustee) for the
      benefit of the Series 2011-2 Noteholders.  In furtherance of the Grant
      set forth in the Indenture, the Issuer hereby Grants to the Indenture
      Trustee for the benefit of the Series 2011-2 Noteholders, among other
      things, a Lien on the Series 2011-2 Series Account.  All deposits of
      funds by or for the benefit of the Series 2011-2 Noteholders from the
      Trust Account, shall be accumulated in, and withdrawn from, the Series
      2011-2 Series Account in accordance with the provisions of the Indenture
      and this Supplement.
    

    
      Section 302.  Distributions from Series 2011-2 Series
      Account.  On each Payment Date, the Indenture Trustee shall
      distribute funds then on deposit in the Series 2011-2 Series Account in
      accordance with the provisions of either subsection (I), (II) or (III)
      of this Section 302.
    

    
      (I)       If neither an Early Amortization Event nor an Event of Default
      shall have occurred and be continuing with respect to any Series of
      Notes:
    

    
      (1)  To each Holder of a Series 2011-2 Note on the immediately preceding
      Record Date, an amount equal to its pro rata portion of the Series
      2011-2 Note Interest Payment (exclusive of Default Interest) then due
      and payable for such Payment Date;
    

    
      (2)  To each Holder of a Series 2011-2 Note on the immediately preceding
      Record Date, an amount equal to its pro rata portion of the Minimum
      Principal Payment Amount then due and payable to the Holders of the
      Series 2011-2 Notes on such Payment Date;
    

    
      (3)  To each Holder of a Series 2011-2 Note on the immediately preceding
      Record Date, an amount equal to its pro rata portion of the Scheduled
      Principal Payment Amount then due and payable to the Holders of the
      Series 2011-2 Notes on such Payment Date;
    

    
      (4)  To each Holder of a Series 2011-2 Note on the immediately preceding
      Record Date, an amount equal to its pro rata portion of the Supplemental
      Principal Payment Amount then due and payable to the Holders of the
      Series 2011-2 Notes on such Payment Date, if any;
    

    
      
        

        

      

      
        
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      (5)  To each Holder of a Series 2011-2 Note on the immediately preceding
      Record Date, any indemnification, expenses, and any other amounts
      (including Default Interest) then due and owing, pro rata; and
    

    
      (6)  After application of the amounts required to be paid pursuant to
      Section 302 of the Indenture, to the Issuer, any remaining Available
      Distribution Amounts.
    

    
      (II)      If an Early Amortization Event shall have occurred and be
      continuing with respect to any Series but no Event of Default shall have
      occurred and be continuing with respect to any Series:
    

    
      (1)  To each Holder of a Series 2011-2 Note on the immediately preceding
      Record Date, an amount equal to its pro rata portion of the Series
      2011-2 Note Interest Payments (exclusive of Default Interest) then due
      and payable on such Payment Date;
    

    
      (2)  To each Holder of a Series 2011-2 Note on the immediately preceding
      Record Date, an amount equal to its pro rata portion of the Minimum
      Principal Payment Amount then due and payable to the Holders of the
      Series 2011-2 Notes on such Payment Date;
    

    
      (3)  To each Holder of a Series 2011-2 Note on the immediately preceding
      Record Date, an amount equal to its pro rata portion of the Scheduled
      Principal Payment Amount then due and payable to the Holders of the
      Series 2011-2 Notes on such Payment Date;
    

    
      (4)  To each Holder of a Series 2011-2 Note on the immediately preceding
      Record Date, an amount equal to the Aggregate Series 2011-2 Note
      Principal Balance, pro rata, based on the then Unpaid Principal Balance
      for Series 2011-2;
    

    
      (5)  To each Holder of a Series 2011-2 Note on the immediately preceding
      Record Date, any indemnification, expenses and any other amounts
      (exclusive of Default Interest) due and owing to each Holder of a Series
      2011-2 Note on the immediately preceding Record Date;
    

    
      (6)  To each Holder of a Series 2011-2 Note on the immediately preceding
      Record Date, an amount equal to the Default Interest then due and
      payable to the Holders of a Series 2011-2 Note, including accrued and
      unpaid Default Interest, pro rata; and
    

    
      (7)  After application of the amounts required to be paid pursuant to
      Section 302 of the Indenture, to the Issuer, any remaining Available
      Distribution Amounts.
    

    
      (III)     If an Event of Default shall have occurred and be continuing
      with respect to any Series:
    

    
      (1)  To each Holder of a Series 2011-2 Note on the immediately preceding
      Record Date, an amount equal to its pro rata portion of the Series
      2011-2 Note Interest Payments (exclusive of Default Interest) then due
      and payable on such Payment Date;
    

    
      (2)  To each Holder of a Series 2011-2 Note on the immediately preceding
      Record Date, an amount equal to the Minimum Principal Payment Amount
      then due and payable on such Payment Date, pro rata, based on the Unpaid
      Principal Balance at the time of such Event of Default;
    

    
      
        

        

      

      
        
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      (3)  To each Holder of a Series 2011-2 Note on the immediately preceding
      Record Date, an amount equal to the Scheduled Principal Payment Amount
      then due and payable on such Payment Date, pro rata, based on the Unpaid
      Principal Balance at the time of such Event of Default;
    

    
      (4)  To each Holder of a Series 2011-2 Note on the immediately preceding
      Record Date, an amount equal to the Aggregate Series 2011-2 Note
      Principal Balance, pro rata, based on the then Unpaid Principal Balance
      of Series 2011-2 at the time of such Event of Default;
    

    
      (5)  To each Holder of a Series 2011-2 Note on the immediately preceding
      Record Date, an amount equal to any other amounts (including Default
      Interest) then due and payable to the Holders of Series 2011-2 Note,
      including accrued and unpaid Default Interest, pro rata; and
    

    
      (6)  After application of the amounts required to be paid pursuant to
      Section 302 of the Indenture, to the Issuer, any remaining Available
      Distribution Amounts.
    

    
      Any amounts payable to a Noteholder shall be made by wire transfer of
      immediately available funds to the account that such Noteholder has
      designated to the Indenture Trustee in writing on or prior to the
      Business Day immediately preceding the Payment Date.
    

    
      ARTICLE IV
    

    
      Additional Covenants
    

    
      In addition to the covenants set forth in Article VI of the Indenture,
      the Issuer hereby makes the following additional covenants for the
      benefit of the Series 2011-2 Noteholders:
    

    
      Section 401.  Other Information.  For so long as any of
      the Series 2011-2 Notes are “restricted securities” within the meaning
      of Rule 144(a)(3) under the Securities Act and the Issuer is not subject
      to  Section 13 or 15(d) of the Exchange Act, the Issuer will, and shall
      cause the Manager to (i) provide or cause to be provided to any Series
      2011-2 Noteholder, or to any prospective purchaser thereof designated by
      such Series 2011-2 Noteholder, upon the request of such Noteholder or
      prospective Series 2011-2 Noteholder, the information required to be
      provided to such Holder or prospective purchaser by Rule 144A(d)(4)
      under the Securities Act; and (ii) update such information to prevent
      such information from becoming materially false and materially
      misleading in a manner adverse to any Series 2011-2 Noteholder.
    

    
      Section 402.  Use of Proceeds.  The proceeds from the
      issuance of the Series 2011-2 Notes shall be used as follows:  (i) to
      acquire additional Containers, Sold Assets, and other Collateral (ii) to
      reduce certain outstanding Indebtedness of the Issuer, (iii) to pay the
      costs of issuance of the Series 2011-2 Notes and (iv) for other general
      business purposes.
    

    
      
        

        

      

      
        
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      ARTICLE V  

Conditions to
      Issuance
    

    
      Section 501.  Conditions to Issuance.  The Indenture
      Trustee shall not authenticate the Series 2011-2 Notes unless (i) all
      conditions to the issuance and purchase of the Series 2011-2 Notes under
      the Series 2011-2 Note Purchase Agreement shall have been satisfied, and
      (ii) the Issuer shall have delivered a certificate to the Indenture
      Trustee to the effect that all conditions set forth in the Series 2011-2
      Note Purchase Agreement shall have been satisfied.
    

    
      ARTICLE VI  

Representations
      and Warranties
    

    
      To induce the Series 2011-2 Noteholders to purchase the Series 2011-2
      Notes hereunder, the Issuer hereby represents and warrants as of the
      Closing Date to the Indenture Trustee for the benefit of the Series
      2011-2 Noteholders that:
    

    
      Section 601.  Existence.  The Issuer is a limited
      liability company duly organized and validly existing under the laws of
      the State of Delaware.  The Issuer is in good standing and is duly
      qualified to do business in each jurisdiction where the failure to do so
      would have a material adverse effect upon the financial condition and
      business of the Issuer, including, without limitation, its ability to
      collect payments under the Leases.
    

    
      Section 602.  Authorization.  The Issuer has the power
      and is duly authorized to execute and deliver the Indenture, this
      Supplement, and the other Related Documents to which it is a party; the
      Issuer is and will continue to be duly authorized to borrow monies
      hereunder and under the Indenture; and the Issuer is and will continue
      to be authorized to perform its obligations under the Indenture, this
      Supplement, and the other Related Documents.  The execution, delivery,
      and performance by the Issuer of the Indenture, this Supplement, and the
      other Related Documents to which it is a party and the borrowings
      hereunder do not and will not require any consent or approval of any
      Governmental Authority, the Manager, or any other Person which has not
      already been obtained.
    

    
      Section 603.  No Conflict; Legal Compliance.  The
      execution, delivery, and performance of the Indenture, this Supplement,
      and each of the other Related Documents and the execution, delivery, and
      payment of the Series 2011-2 Notes will not: (a) contravene any
      provision of the Issuer’s constituent or organizational documents; (b)
      contravene, conflict with, or violate any Applicable Law or regulation,
      or any order, writ, judgment, injunction, decree, determination, or
      award of any Governmental Authority; or (c) violate or result in the
      breach of, or constitute a default under the Indenture, the other
      Related Documents, any other indenture or other loan or credit
      agreement, or other agreement or instrument to which the Issuer is a
      party or by which the Issuer, or its property and assets may be bound or
      affected.  The Issuer is not in violation or breach of or default under
      any law, rule, regulation, order, writ, judgment, injunction, decree,
      determination, or award or any contract, agreement, lease, license,
      indenture, or other instrument to which it is a party.
    

    
      
        

        

      

      
        
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      Section 604.  Validity and Binding Effect.  Each of
      this Supplement and each Series 2011-2 Transaction Document to which the
      Issuer is a party, when duly executed and delivered, will be the legal,
      valid and binding obligations of the Issuer, enforceable against the
      Issuer in accordance with its terms, except as enforceability may be
      limited by bankruptcy, insolvency, or other similar laws of general
      application affecting the enforcement of creditors’ rights or by general
      principles of equity limiting the availability of equitable remedies.
    

    
      Section 605.  Financial Statements. Since December 31,
      2010, there has been no Material Adverse Change in the financial
      condition of any of the Seller, the Manager, or the Issuer.
    

    
      Section 606.  Place of Business.  The Issuer’s only
      “place of business” (within the meaning of 9-307 of the UCC) is located
      at c/o Container Leasing International, LLC, One Maynard Drive, Park
      Ridge, New Jersey 07656.
    

    
      Section 607.  No Agreements or Contracts.  The Issuer
      is not now and has not been a party to any contract or agreement
      (whether written or oral) other than the Indenture and the Related
      Documents.
    

    
      Section 608.  Consents and Approvals.  No approval,
      authorization, or consent of any trustee or holder of any Indebtedness
      or obligation of the Issuer or of any other Person under any agreement,
      contract, lease, or license or similar document or instrument to which
      the Issuer is a party or by which the Issuer is bound, is required to be
      obtained by the Issuer in order to make or consummate the transactions
      contemplated under the Indenture and the Related Documents, except for
      those approvals, authorizations, and consents that have been obtained on
      or prior to the Closing Date.  All consents and approvals of, filings
      and registrations with, and other actions in respect of, all
      Governmental Authorities required to be obtained by the Issuer in order
      to make or consummate the transactions contemplated under the Indenture
      and the Related Documents have been, or prior to the time when required
      will have been, obtained, given, filed, or taken and are or will be in
      full force and effect.
    

    
      Section 609.  Margin Regulations.  The Issuer does not
      own any “margin security”, as that term is defined in Regulation U of
      the Federal Reserve Board, and the proceeds of the Series 2011-2 Notes
      issued under this Supplement will be used only for the purposes
      contemplated hereunder. None of such proceeds will be used, directly, or
      indirectly, for the purpose of purchasing or carrying any margin
      security, for the purpose of reducing or retiring any Indebtedness which
      was originally incurred to purchase or carry any margin security or for
      any other purpose which might cause any of the loans under this
      Supplement to be considered a “purpose credit” within the meaning of
      Regulations T, U, and X.  The Issuer will not take or permit any agent
      acting on its behalf to take any action which might cause this
      Supplement or any document or instrument delivered pursuant hereto to
      violate any regulation of the Federal Reserve Board.
    

    
      Section 610.  Taxes.  All federal, state, local, and
      foreign tax returns, reports, and statements required to be filed by the
      Issuer have been filed with the appropriate Governmental Authorities,
      and all taxes and other impositions shown thereon to be due and payable
      by the Issuer have been paid prior to the date on which any fine,
      penalty, interest, or late charge may be added thereto for nonpayment
      thereof, or any such fine, penalty, interest, late charge, or loss has
      been paid, or the Issuer is contesting its liability therefor in good
      faith and has fully reserved all such amounts according to GAAP in the
      financial statements provided pursuant to Section 626 of the
      Indenture.  The Issuer has paid when due and payable all material
      charges upon the books of the Issuer and no Governmental Authority has
      asserted any Lien against the Issuer with respect to unpaid taxes.
      Proper and accurate amounts have been withheld by the Issuer from its
      employees for all periods in full and complete compliance with the tax,
      social security, and unemployment withholding provisions of applicable
      federal, state, local, and foreign law and such withholdings have been
      timely paid to the respective Governmental Authorities.
    

    
      
        

        

      

      
        
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      Section 611.  Other Regulations.  The Issuer is not an
      “investment company,” or an “affiliated person” of, or a “promoter” or
      “principal underwriter” for, an “investment company,” as such terms are
      defined in the Investment Company Act of 1940, as amended. The issuance
      of the Series 2011-2 Notes hereunder and the application of the proceeds
      and repayment thereof by the Issuer and the performance of the
      transactions contemplated by the Indenture, this Supplement and the
      other Related Documents will not violate any provision of the Investment
      Company Act, or any rule, regulation, or order issued by the Securities
      and Exchange Commission thereunder.
    

    
      Section 612.  Solvency and Separateness.
    

    
      (i)  The capital of the Issuer is adequate for the business and
      undertakings of the Issuer.
    

    
      (ii)  Other than with respect to the transactions contemplated hereby
      and by the other Related Documents, the Issuer is not engaged in any
      business transactions with the Manager, except as permitted by the
      Management Agreement or with the Seller except as permitted under the
      Contribution and Sale Agreement.
    

    
      (iii)  At all times, at least two (2) members of the Board of Managers
      of the Issuer comply with the definition of Independent Person.
    

    
      (iv)  The Issuer’s funds and assets are not, and will not be, commingled
      with those of the Seller or the Manager, except as permitted by the
      Management Agreement and the Intercreditor Agreement.
    

    
      (v)  The limited liability company agreement of the Issuer requires it
      to maintain (A) correct and complete books and records of account, and
      (B) minutes of the meetings and other proceedings of its members.
    

    
      (vi)  The Issuer has not engaged in any business activities, except as
      permitted by the present and express terms of the Indenture and the
      Related Documents and Section 2.3 of its limited liability company
      agreement.
    

    
      (vii)  The Issuer is not insolvent under the Insolvency Law and will not
      be rendered insolvent by the transactions contemplated by the Related
      Documents and after giving effect to such transactions, the Issuer will
      not be left with an unreasonably small amount of capital with which to
      engage in its business nor will the Issuer have intended to incur, or
      believe that it has incurred, debts beyond its ability to pay such debts
      as they mature.  The Issuer does not contemplate the commencement of
      Insolvency Proceedings or the appointment of a receiver, liquidator,
      trustee, or similar official in respect of the Issuer or any of its
      assets.
    

    
      
        

        

      

      
        
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      (viii)  The Issuer is not liable for any unbonded or uninsured final
      non-appealable judgments or liabilities which in aggregate exceed
      $50,000.
    

    
      Section 613.  No Default.  No Event of Default or Early
      Amortization Event has occurred and is continuing.  No event or
      condition which with the giving of notice or passage of time (or both)
      could reasonably be expected to constitute an Event of Default or Early
      Amortization Event has occurred or is continuing.
    

    
      Section 614.  Litigation and Contingent Liabilities.  No
      claims, litigation, arbitration Proceedings, or governmental Proceedings
      by any Governmental Authority are pending or, to the Issuer’s knowledge,
      threatened against the Issuer the results of which might interfere with
      the consummation of any of the transactions contemplated by the
      Indenture, this Supplement or any document issued or delivered in
      connection herewith.
    

    
      Section 615.  Title; Liens.  On the Closing Date, the
      Issuer will have good, legal, and marketable title to each of its
      respective assets, and none of such assets is subject to any Lien,
      except for Permitted Encumbrances.
    

    
      Section 616.  Subsidiaries.  The Issuer has no
      Subsidiaries.
    

    
      Section 617.  No Partnership.  The Issuer is not a
      partner or joint venturer in any partnership or joint venture.
    

    
      Section 618.  Pension and Welfare Plans.  The Issuer
      does not maintain or contribute to, and has never maintained or
      contributed to, any Plan.  The Issuer does not have any obligation under
      any collective bargaining agreement.  As of the Closing Date, the Issuer
      is not an employee benefit plan within the meaning of ERISA or a “plan”
      within the meaning of section 4975 of the Code and assets of the Issuer
      do not constitute “plan assets” within the meaning of section 2510.3-101
      of the regulations of the United States Department of Labor.
    

    
      Section 619.  Ownership of the Issuer.  On the Closing
      Date, all the equity interests in the Issuer are owned by the Seller.
    

    
      Section 620.  Security Interest Representations.
    

    
      (a)  This Supplement and the Indenture create a valid and continuing
      security interest (as defined in the UCC) in the Collateral in favor of
      the Indenture Trustee, for the benefit of the Noteholders and each
      Interest Rate Hedge Provider, which security interest is prior to all
      other Liens (subject to Permitted Encumbrances), and is enforceable as
      such as against creditors of and purchasers from the Issuer.
    

    
      
        

        

      

      
        
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      (b)  The Containers constitute “goods” or “inventory” within the meaning
      of the applicable UCC.  The Leases constitute “tangible chattel paper”
      within the meaning of the UCC.  The Lease receivables constitute
      “accounts” or “proceeds” of the Leases within the meaning of the
      UCC.  The Trust Account, the Restricted Cash Account, the Pre-Funding
      Account, the Series 2011-2 Series Account and Manager Transition Account
      constitute “securities accounts” within the meaning of the UCC.  The
      Issuer’s contractual rights under any Interest Rate Hedge Agreements,
      the Contribution and Sale Agreement, and the Management Agreement
      constitute “general intangibles” within the meaning of the UCC.
    

    
      (c)  The Issuer owns and has good and marketable title to the
      Collateral, free and clear of any Lien (whether senior, junior, or pari
      passu), claim or encumbrance of any Person, except for Permitted
      Encumbrances.
    

    
       (d)  The Issuer has caused the filing of all appropriate financing
      statements or documents of similar import in the proper filing office in
      the appropriate jurisdictions under Applicable Law in order to perfect
      the security interest in the Collateral granted to the Indenture Trustee
      in this Supplement and the Indenture.  All financing statements filed
      against the Issuer in favor of the Indenture Trustee in connection
      herewith describing the Collateral contain a statement to the following
      effect: “A purchase of or security interest in any collateral described
      in this financing statement will violate the rights of the Indenture
      Trustee.”
    

    
      (e)  Other than the security interest granted to the Indenture Trustee
      pursuant to this Supplement and the Indenture, the Issuer has not
      pledged, assigned, sold, granted a security interest in, or otherwise
      conveyed any of the Collateral, except as permitted pursuant to the
      Indenture.  The Issuer has not authorized the filing of, and is not
      aware of, any financing statements against the Issuer that include a
      description of collateral covering the Collateral other than any
      financing statement or document of similar import (i) relating to the
      security interest granted to the Indenture Trustee in this Supplement or
      the Indenture or (ii) that has been terminated.  The Issuer has no
      actual knowledge of any judgment or tax lien filings against the Issuer.
    

    
      (f)  The Issuer has received a written acknowledgment from the Manager
      that the Manager is holding the Leases on behalf of, and for the benefit
      of, the Indenture Trustee. None of the Leases that constitute or
      evidence the Collateral have any marks or notations indicating that they
      have been pledged, assigned, or otherwise conveyed to any Person other
      than the Indenture Trustee.  The Seller has caused the filing of all
      appropriate financing statements or documents of similar import in the
      proper filing office in the appropriate jurisdictions under Applicable
      Law in order to perfect the security interest of the Issuer (and the
      Indenture Trustee as its assignee) in the Leases (to the extent that
      such Leases are related to the Containers) granted to the Issuer in the
      Contribution and Sale Agreement.
    

    
      (g)  The Issuer has received all necessary consents and approvals
      required by the terms of the Collateral to the pledge to the Indenture
      Trustee of its interest and rights in such Collateral hereunder or under
      the Indenture.
    

    
      (h)  The Issuer has taken all steps necessary to cause U.S. Bank
      National Association (in its capacity as securities intermediary) to
      identify in its records the Indenture Trustee as the Person having a
      Security Entitlement in each of the Trust Account, the Restricted Cash
      Account, the Pre-Funding Account, the Series 2011-2 Series Account, and
      the Manager Transition Account.
    

    
      
        

        

      

      
        
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      (i)  The Trust Account, the Restricted Cash Account, the Pre-Funding
      Account, Series 2011-2 Series Account and the Manager Transition Account
      are not in the name of any Person other than the Indenture Trustee.  The
      Issuer has not given its consent to U.S. Bank National Association (as
      the securities intermediary of the Trust Account, the Restricted Cash
      Account, the Pre-Funding Account, the Series 2011-2 Series Account, and
      the Manager Transition Account) to comply with entitlement orders of any
      Person other than the Indenture Trustee.  The Manager Collection Account
      is subject to a control agreement which has perfected the security
      interest of the Collateral Agent therein on Gross Revenues for the
      benefit of the Indenture Trustee as the named party thereunder.
    

    
      (j)  No creditor of the Issuer (other than the Manager in its capacity
      as Manager under the Management Agreement) has in its possession any
      goods that constitute or evidence the Collateral.
    

    
      The representations and warranties set forth in this Section 620 shall
      survive until this Supplement is terminated in accordance with its terms
      and the terms of the Indenture.  Any breaches of the representations and
      warranties set forth in this Section 620 may be waived by the Indenture
      Trustee, only with the prior written consent of the Control Party and
      with prior written notice to the Rating Agency.
    

    
      Section 621.  Survival of Representations and Warranties.  So
      long as any of the Series 2011-2 Notes shall be Outstanding and until
      payment and performance in full of the aggregate Outstanding
      Obligations, the representations and warranties contained herein shall
      have a continuing effect as having been true when made.
    

    
      Section 622.  ERISA Lien.  As of the Closing Date, the
      Issuer has not received notice that any Lien arising under ERISA has
      been filed against the assets of the Issuer.
    

    
      ARTICLE VII

Miscellaneous Provisions
    

    
      Section 701.  Ratification of Indenture.  As
      supplemented by this Supplement, the Indenture is in all respects
      ratified and confirmed and the Indenture as so supplemented by this
      Supplement shall be read, taken, and construed as one and the same
      instrument.
    

    
      Section 702.  Counterparts.  This Supplement may be
      executed in two or more counterparts, and by different parties on
      separate counterparts, each of which shall be an original, but all of
      which shall constitute one and the same instrument.  Delivery of an
      executed counterpart of this Supplement by facsimile or by electronic
      means shall be equally effective as of the delivery of an originally
      executed counterpart.
    

    
      Section 703.  Governing Law.  THIS SUPPLEMENT SHALL BE
      CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK,
      INCLUDING SECTIONS 5-1401 AND 5-1402 OF THE GENERAL OBLIGATIONS LAWS BUT
      OTHERWISE WITHOUT REFERENCE TO ITS CONFLICTS OF LAW PROVISIONS, AND THE
      OBLIGATIONS, RIGHTS AND REMEDIES OF THE PARTIES HEREUNDER SHALL BE
      DETERMINED IN ACCORDANCE WITH SUCH LAWS.
    

    
      
        

        

      

      
        
          - 22 -
        

        
          

        

      

      
        

        

      

    

    
      Section 704.  Notices to Rating Agency.  Whenever any
      notice or other communication is required to be given to the Rating
      Agency pursuant to the Indenture or this Supplement, such notice or
      communication shall be delivered Standard & Poor’s Ratings Services, 55
      Water Street, 41st Floor, New York, New York 10041,
      Attention:  Asset-Backed Surveillance Group - phone: (212/438-2435),
      fax: (212/438-2664).  Any rights to notices conveyed to the Rating
      Agency pursuant to the terms of this Supplement shall terminate
      immediately if the Rating Agency no longer has a rating outstanding with
      respect to the Series 2011-2 Notes.
    

    
      Section 705.  Statutory References.  References in this
      Supplement and any other Series 2011-2 Transaction Document to any
      section of the Uniform Commercial Code or the UCC shall mean, on or
      after the effective date of adoption of any revision to the Uniform
      Commercial Code or the UCC in the applicable jurisdiction, such revised
      or successor section thereto.
    

    
      Section 706.  Amendments and Modifications.  The terms
      of the Supplement may be waived, modified, or amended only in a written
      instrument signed by each of the Issuer, the Control Party, and the
      Indenture Trustee and, with respect to the matters set forth in (and
      subject to the terms of) Section 1002(a) of the Indenture, only with the
      prior written consent of the Requisite Global Majority or, with respect
      to the matters set forth in Section 1002(b) of the Indenture, the prior
      written consent of the Holders of all Series 2011-2 Notes then
      Outstanding affected thereby.
    

    
      Section 707.  Consent to Jurisdiction.  ANY LEGAL SUIT,
      ACTION, OR PROCEEDING AGAINST THE ISSUER ARISING OUT OF OR RELATING TO
      THIS SUPPLEMENT, OR ANY TRANSACTION CONTEMPLATED HEREBY, MAY BE
      INSTITUTED IN ANY FEDERAL OR STATE COURT IN THE COUNTY OF NEW YORK,
      STATE OF NEW YORK AND THE ISSUER HEREBY WAIVES ANY OBJECTION WHICH IT
      MAY NOW OR HEREAFTER HAVE TO THE LAYING OF VENUE OF ANY SUCH SUIT,
      ACTION, OR PROCEEDING, AND, SOLELY FOR THE PURPOSES OF ENFORCING THIS
      SUPPLEMENT, THE ISSUER HEREBY IRREVOCABLY SUBMITS TO THE JURISDICTION OF
      ANY SUCH COURT IN ANY SUCH SUIT, ACTION OR PROCEEDING.  THE ISSUER
      HEREBY IRREVOCABLY APPOINTS AND DESIGNATES CORPORATION SERVICE COMPANY,
      HAVING AN ADDRESS AT 1133 AVENUE OF THE AMERICAS, SUITE 3100, NEW YORK,
      NY 10036-6710, ITS TRUE AND LAWFUL ATTORNEY-IN-FACT AND DULY AUTHORIZED
      AGENT FOR THE LIMITED PURPOSE OF ACCEPTING SERVICING OF LEGAL PROCESS
      AND THE ISSUER AGREES THAT SERVICE OF PROCESS UPON SUCH PARTY SHALL
      CONSTITUTE PERSONAL SERVICE OF SUCH PROCESS ON SUCH PERSON.  THE ISSUER
      SHALL MAINTAIN THE DESIGNATION AND APPOINTMENT OF SUCH AUTHORIZED AGENT
      UNTIL ALL AMOUNTS PAYABLE UNDER THIS SUPPLEMENT SHALL HAVE BEEN PAID IN
      FULL.  IF SUCH AGENT SHALL CEASE TO SO ACT, THE ISSUER SHALL IMMEDIATELY
      DESIGNATE AND APPOINT ANOTHER SUCH AGENT SATISFACTORY TO THE INDENTURE
      TRUSTEE AND SHALL PROMPTLY DELIVER TO THE INDENTURE TRUSTEE EVIDENCE IN
      WRITING OF SUCH OTHER AGENT’S ACCEPTANCE OF SUCH APPOINTMENT.
    

    
      
        

        

      

      
        
          - 23 -
        

        
          

        

      

      
        

        

      

    

    
      Section 708.  Waiver of Jury Trial.  EACH OF THE
      PARTIES HERETO HEREBY IRREVOCABLY WAIVES, AS AGAINST THE OTHER PARTIES
      HERETO, ANY RIGHTS IT MAY HAVE TO A JURY TRIAL IN RESPECT OF ANY CIVIL
      ACTION OR PROCEEDING (WHETHER ARISING IN CONTRACT OR TORT OR OTHERWISE),
      INCLUDING ANY COUNTERCLAIM, ARISING UNDER OR RELATING TO THIS AGREEMENT
      OR ANY OTHER OPERATIVE DOCUMENT, INCLUDING IN RESPECT OF THE
      NEGOTIATION, ADMINISTRATION, OR ENFORCEMENT HEREOF OR THEREOF.
    

    
      [Signature pages follow]
    

    
      
        

        

      

      
        
          - 24 -
        

        
          

        

      

      
        

        

      

    

    

    

    
      IN WITNESS WHEREOF, the Issuer and the Indenture Trustee have caused
      this Supplement to be duly executed and delivered by their respective
      officers all as of the day and year first above written.
    

    	
           
        	
          CLI FUNDING V LLC
        
	

        	

        	
           
        
	

        	

        	
           
        
	

        	
          By:
        	
          /s/ David F. Doorley
        
	

        	

        	
          Name: David F. Doorley
        
	

        	

        	
          Title: Treasurer
        

    

    
      
        

        

      

      
        

        

        
          

        

      

      
        

        

      

    

    	
           
        	
          U.S. BANK NATIONAL ASSOCIATION, as Indenture Trustee
        
	

        	

        	
           
        
	

        	

        	
           
        
	

        	
          By:
        	
          /s/ Brian J. Hill
        
	

        	

        	
          Name: Brian J. Hill
        
	

        	

        	
          Title: Vice President
        

    

    
      
        

        

      

      
        

        

        
          

        

      

      
        

        

      

    

    
      EXHIBIT A-1
    

    
      FORM OF 144A GLOBAL NOTES
    

    
      UNLESS THIS SERIES 2011-2 NOTE IS PRESENTED BY AN AUTHORIZED
      REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION
      (“DTC”), TO THE TRANSFEROR OF SUCH NOTE (THE “TRANSFEROR”) OR ITS AGENT
      FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY SERIES 2011-2
      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 THE 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 SERIES 2011-2 NOTE HAS NOT BEEN REGISTERED UNDER THE SECURITIES
      ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”).  THE HOLDER HEREOF, BY
      PURCHASING THIS SERIES 2011-2 NOTE, AGREES THAT SUCH SERIES 2011-2 NOTE
      MAY BE RESOLD, PLEDGED OR TRANSFERRED ONLY IN ACCORDANCE WITH ANY
      APPLICABLE STATE SECURITIES LAWS AND (1) IN A TRANSACTION MEETING THE
      REQUIREMENTS OF RULE 144A UNDER THE SECURITIES ACT, TO A PERSON THAT THE
      SELLER REASONABLY BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER THAT
      PURCHASES FOR ITS OWN ACCOUNT (OR FOR THE ACCOUNT OR ACCOUNTS OF A
      QUALIFIED INSTITUTIONAL BUYER) AND TO WHOM NOTICE IS GIVEN THAT THE
      RESALE, PLEDGE OR OTHER TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A,
      OR (2) IN AN OFFSHORE TRANSACTION COMPLYING WITH RULE 903 OR RULE 904 OF
      REGULATION S UNDER THE SECURITIES ACT OR (3) TO A PERSON THAT IS AN
      INSTITUTIONAL “ACCREDITED INVESTOR,” WITHIN THE MEANING OF RULE
      501(a)(1), (2), (3) OR (7) OF REGULATION D UNDER THE SECURITIES ACT, IS
      TAKING DELIVERY OF SUCH SERIES 2011-2 NOTE IN AN AMOUNT OF AT LEAST
      $100,000 AND DELIVERS A PURCHASER LETTER TO THE INDENTURE TRUSTEE IN THE
      FORM ATTACHED TO THE SUPPLEMENTS.
    

    
      EACH PURCHASER OF A SERIES 2011-2 NOTE SHALL REPRESENT OR BE DEEMED
      TO REPRESENT AND WARRANT TO THE INITIAL PURCHASERS, THE ISSUER, THE
      INDENTURE TRUSTEE AND THE MANAGER THAT (A) EITHER (1) IT IS NOT, AND IS
      NOT ACTING ON BEHALF OF, A PLAN OR A GOVERNMENTAL, CHURCH OR NON-U.S.
      PLAN WHICH IS SUBJECT TO ANY FEDERAL, STATE, LOCAL OR NON-U.S. LAW THAT
      IS SIMILAR TO THE PROHIBITED TRANSACTION PROVISIONS OF SECTION 406 OF
      ERISA OR SECTION 4975 OF THE CODE, AND NO PART OF THE ASSETS TO BE USED
      BY IT TO PURCHASE OR HOLD THE SERIES 2011-2 NOTES OR ANY INTEREST
      THEREIN CONSTITUTES THE ASSETS OF ANY PLAN OR SUCH A GOVERNMENTAL,
      CHURCH OR NON-U.S. PLAN; OR (2) (A) THE ACQUISITION, HOLDING AND
      DISPOSITION OF THE SERIES 2011-2 NOTE WILL NOT GIVE RISE TO A NONEXEMPT
      PROHIBITED TRANSACTION UNDER SECTION 406 OF ERISA OR SECTION 4975 OF THE
      CODE (OR, IN THE CASE OF A GOVERNMENTAL, CHURCH OR NON-U.S. PLAN, A
      VIOLATION OF ANY SIMILAR FEDERAL, STATE, LOCAL OR NON-U.S. LAW) AND (B)
      THE SERIES 2011-2 NOTES ARE RATED INVESTMENT GRADE OR BETTER AND SUCH
      PERSON BELIEVES THAT THE SERIES 2011-2 NOTES ARE PROPERLY TREATED AS
      INDEBTEDNESS WITHOUT SUBSTANTIAL EQUITY FEATURES FOR PURPOSES OF SECTION
      2510.3-101 OF THE REGULATIONS ISSUED BY THE U.S. DEPARTMENT OF LABOR,
      AND AGREES TO SO TREAT THE SERIES 2011-2 NOTES; AND (b) IT WILL NOT SELL
      OR OTHERWISE TRANSFER THE SERIES 2011-2 NOTES OR ANY INTEREST THEREIN
      OTHERWISE THAN TO A PURCHASER OR TRANSFEREE THAT REPRESENTS AND AGREES
      WITH RESPECT TO ITS PURCHASE, HOLDING AND DISPOSITION OF THE SERIES
      2011-2 NOTES TO THE SAME EFFECT AS THE PURCHASER’S REPRESENTATION AND
      AGREEMENT SET FORTH IN THIS SENTENCE.
    

    
      
        

        

      

      
        
          A-1-1
        

        
          

        

      

      
        

        

      

    

    
      THIS SERIES 2011-2 NOTE IS NOT GUARANTEED OR INSURED BY ANY
      GOVERNMENTAL AGENCY OR INSTRUMENTALITY.
    

    	
          CLI FUNDING V LLC FIXED RATE ASSET BACKED NOTE, SERIES 2011-2
        
	
           
        
	
          $[XX]
        	
          CUSIP No.: 125634AC9
        
	

        	
          No. 1
        
	

        	
          ___________ __, 20__
        

    

    
      KNOW ALL PERSONS BY THESE PRESENTS that CLI FUNDING V LLC, a limited
      liability company organized and existing under the laws of the State of
      Delaware (the “Issuer”), for value received, hereby promises to pay to
      Cede & Co., or registered assigns, at the principal corporate trust
      office of the Indenture Trustee named below, (i) the principal sum of up
      to XX Dollars ($xx.00), which sum shall be payable on the dates and in
      the amounts set forth in the Indenture, dated as of March 18, 2011 (as
      amended, restated, or otherwise modified from time to time, the
      “Indenture”) and the Series 2011-2 Supplement, dated as of November 3,
      2011 (as amended, restated, or otherwise modified from time to time, the
      “Series 2011-2 Supplement”), each between the Issuer and U.S. Bank
      National Association as indenture trustee (the “Indenture Trustee”), and
      (ii) interest on the outstanding principal amount of this Note on the
      dates and in the amounts set forth in the Indenture and the Series
      2011-2 Supplement.  Capitalized terms not otherwise defined herein will
      have the meaning set forth in the Indenture and the Series 2011-2
      Supplement.
    

    
      Payment of the principal of and interest on this Note shall be made in
      lawful money of the United States of America which at the time of
      payment is legal tender for payment of public and private debts. The
      principal balance of, and interest on this Note is payable at the times
      and in the amounts set forth in the Indenture and the Series 2011-2
      Supplement by wire transfer of immediately available funds to the
      account designated by the Holder of record on the immediately preceding
      Record Date.
    

    
      
        

        

      

      
        
          A-1-2
        

        
          

        

      

      
        

        

      

    

    
      This Note is one of the authorized notes identified in the title hereto
      and issued in the aggregate principal amount of up to [XX] Dollars ($XX)
      pursuant to the Indenture and the Series 2011-2 Supplement.
    

    
      The Notes shall be an obligation of the Issuer and shall be secured by
      the Collateral, all as defined in, and subject to limitations set forth
      in, the Indenture and the Series 2011-2 Supplement.
    

    
      This Note is transferable as provided in the Indenture and the Series
      2011-2 Supplement, subject to certain limitations therein contained,
      only upon the books for registration and transfer kept by the Indenture
      Trustee, and only upon surrender of this Note for transfer to the
      Indenture Trustee duly endorsed by, or accompanied by a written
      instrument of transfer in form reasonably satisfactory to the Indenture
      Trustee duly executed by, the registered Holder hereof or his attorney
      duly authorized in writing. The Indenture Trustee or the Issuer may
      require payment by the Holder of a sum sufficient to cover any tax
      expense or other governmental charge payable in connection with any
      transfer or exchange of the Notes.
    

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

    
      The Notes are subject to Prepayment, at the times and subject to the
      conditions set forth in the Indenture and the Series 2011-2 Supplement.
    

    
      If an Event of Default shall occur and be continuing, the principal of
      and accrued interest on this Note may be declared to be due and payable
      in the manner and with the effect provided in the Indenture and the
      Series 2011-2 Supplement.
    

    
      The Indenture permits, with certain exceptions as therein provided, the
      issuance of supplemental indentures with the consent of the Requisite
      Global Majority, in certain specifically described instances. Any
      consent given by the Requisite Global Majority shall be conclusive and
      binding upon the Holder of this Note and on all future holders of this
      Note and of any Note issued in lieu hereof whether or not notation of
      such consent is made upon this Note. Supplements and amendments to the
      Indenture and the Series 2011-2 Supplement may be made only to the
      extent and in circumstances permitted by the Indenture and the Series
      2011-2 Supplement.
    

    
      The Holder of this Note shall have no right to enforce the provisions of
      the Indenture and the Series 2011-2 Supplement or to institute action to
      enforce the covenants, or to take any action with respect to a default
      under the Indenture and the Series 2011-2 Supplement, or to institute,
      appear in, or defend any suit or other proceedings with respect thereto,
      except as provided under certain circumstances described in the
      Indenture and the Series 2011-2 Supplement; provided, however, that
      nothing contained in the Indenture and the Series 2011-2 Supplement
      shall affect or impair any right of enforcement conferred on the Holder
      hereof to enforce any payment of the principal of and interest on this
      Note on or after the due date thereof; provided further, however, that
      by acceptance hereof the Holder is deemed to have covenanted and agreed
      that it will not institute against the Issuer any bankruptcy,
      reorganization, arrangement, insolvency, or liquidation proceedings, or
      other proceedings under any applicable bankruptcy or similar law, at any
      time other than at such time as permitted by Section 1311 of the
      Indenture and the Series 2011-2 Supplement.
    

    
      
        

        

      

      
        
          A-1-3
        

        
          

        

      

      
        

        

      

    

    
      Each purchaser of a Note shall be deemed to represent and warrant to the
      Initial Purchasers, the Issuer, the Indenture Trustee, and the Manager
      that (a) either (1) it is not, and is not acting on behalf of, a Plan or
      a governmental, church, or non-U.S. plan which is subject to any
      federal, state, local, or non-U.S. law that is similar to the prohibited
      transaction provisions of Section 406 of ERISA or Section 4975 of the
      Code, and no part of the assets to be used by it to purchase or hold the
      Series 2011-2 Notes or any interest therein constitutes the assets of
      any Plan or such a governmental, church, or non-U.S. plan; or (2) (A)
      the acquisition, holding, and disposition of the Series 2011-2 Note will
      not give rise to a nonexempt prohibited transaction under Section 406 of
      ERISA or Section 4975 of the Code (or, in the case of a governmental,
      church, or non-U.S. plan, a violation of any similar federal, state,
      local, or non-U.S. law) and (B) the Notes are rated investment grade or
      better and such person believes that the Series 2011-2 Notes are
      properly treated as indebtedness without substantial equity features for
      purposes of Section 2510.3-101 of the regulations issued by the U.S.
      Department of Labor, and agrees to so treat the Series 2011-2 Notes; and
      (b) it will not sell or otherwise transfer the Series 2011-2 Notes or
      any interest therein otherwise than to a purchaser or transferee that
      represents and agrees with respect to its purchase, holding, and
      disposition of the Series 2011-2 Notes to the same effect as the
      purchaser's representation and agreement set forth in this sentence.
    

    
      This Note, and the rights and obligations of the parties hereunder,
      shall be governed by, and construed and interpreted in accordance with,
      the laws of the State of New York without giving effect to principles of
      conflict of laws.
    

    
      All terms and provisions of the Indenture and the Series 2011-2
      Supplement are herein incorporated by reference as if set forth herein
      in their entirety.
    

    
      IT IS HEREBY CERTIFIED, RECITED, AND DECLARED, that all acts,
      conditions, and things required to exist, happen, and be performed
      precedent to the execution and delivery of the Indenture and the Series
      2011-2 Supplement and the issuance of this Note and the issue of which
      it is a part, do exist, have happened and have been timely performed in
      regular form and manner as required by law.
    

    
      Unless the certificate of authentication hereon has been executed by the
      Indenture Trustee by manual signature of one of its authorized officers,
      this Note shall not be entitled to any benefit under the Indenture and
      the Series 2011-2 Supplement, or be valid or obligatory for any purpose.
    

    
      
        

        

      

      
        
          A-1-4
        

        
          

        

      

      
        

        

      

    

    

    

    
      IN WITNESS WHEREOF, CLI Funding V LLC has caused this Note to be duly
      executed by its duly authorized representative, on this __day of
      __________, 20__.
    

    	
           
        	
          CLI FUNDING V LLC
        
	

        	

        	
           
        
	

        	

        	
           
        
	

        	
          By:
        	
           
        
	

        	

        	
          Name:
        
	

        	

        	
          Title:
        

    

    
      This Note is one of the Notes described in the within-mentioned
      Indenture and the Series 2011-2 Supplement.
    

    	
           
        	
          U.S. Bank National Association, as Indenture Trustee
        
	

        	

        	
           
        
	

        	

        	
           
        
	

        	
          By:
        	
           
        
	

        	

        	
          Name:
        
	

        	

        	
          Title:
        

    

    
      
        

        

      

      
        
          A-1-5
        

        
          

        

      

      
        

        

      

    

    

    

    
      EXHIBIT A-2
    

    
      FORM OF REGULATION S TEMPORARY GLOBAL NOTE
    

    
      UNLESS THIS SERIES 2011-2 NOTE IS PRESENTED BY AN AUTHORIZED
      REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION
      (“DTC”), TO THE TRANSFEROR OF SUCH NOTE (THE “TRANSFEROR”) OR ITS AGENT
      FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY SERIES 2011-2
      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 THE 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 SERIES 2011-2 NOTE HAS NOT BEEN REGISTERED UNDER THE SECURITIES
      ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”).  THE HOLDER HEREOF, BY
      PURCHASING THIS SERIES 2011-2 NOTE, AGREES THAT SUCH SERIES 2011-2 NOTE
      MAY BE RESOLD, PLEDGED OR TRANSFERRED ONLY IN ACCORDANCE WITH ANY
      APPLICABLE STATE SECURITIES LAWS AND (1) IN A TRANSACTION MEETING THE
      REQUIREMENTS OF RULE 144A UNDER THE SECURITIES ACT, TO A PERSON THAT THE
      SELLER REASONABLY BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER THAT
      PURCHASES FOR ITS OWN ACCOUNT (OR FOR THE ACCOUNT OR ACCOUNTS OF A
      QUALIFIED INSTITUTIONAL BUYER) AND TO WHOM NOTICE IS GIVEN THAT THE
      RESALE, PLEDGE OR OTHER TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A,
      OR (2) IN AN OFFSHORE TRANSACTION COMPLYING WITH RULE 903 OR RULE 904 OF
      REGULATION S UNDER THE SECURITIES ACT OR (3) TO A PERSON THAT IS AN
      INSTITUTIONAL “ACCREDITED INVESTOR,” WITHIN THE MEANING OF RULE
      501(a)(1), (2), (3) OR (7) OF REGULATION D UNDER THE SECURITIES ACT, IS
      TAKING DELIVERY OF SUCH SERIES 2011-2 NOTE IN AN AMOUNT OF AT LEAST
      $100,000 AND DELIVERS A PURCHASER LETTER TO THE INDENTURE TRUSTEE IN THE
      FORM ATTACHED TO THE SUPPLEMENTS.
    

    
      EACH PURCHASER OF A SERIES 2011-2 NOTE SHALL REPRESENT OR BE DEEMED
      TO REPRESENT AND WARRANT TO THE INITIAL PURCHASERS, THE ISSUER, THE
      INDENTURE TRUSTEE AND THE MANAGER THAT (A) EITHER (1) IT IS NOT, AND IS
      NOT ACTING ON BEHALF OF, A PLAN OR A GOVERNMENTAL, CHURCH OR NON-U.S.
      PLAN WHICH IS SUBJECT TO ANY FEDERAL, STATE, LOCAL OR NON-U.S. LAW THAT
      IS SIMILAR TO THE PROHIBITED TRANSACTION PROVISIONS OF SECTION 406 OF
      ERISA OR SECTION 4975 OF THE CODE, AND NO PART OF THE ASSETS TO BE USED
      BY IT TO PURCHASE OR HOLD THE SERIES 2011-2 NOTES OR ANY INTEREST
      THEREIN CONSTITUTES THE ASSETS OF ANY PLAN OR SUCH A GOVERNMENTAL,
      CHURCH OR NON-U.S. PLAN; OR (2) (A) THE ACQUISITION, HOLDING AND
      DISPOSITION OF THE SERIES 2011-2 NOTE WILL NOT GIVE RISE TO A NONEXEMPT
      PROHIBITED TRANSACTION UNDER SECTION 406 OF ERISA OR SECTION 4975 OF THE
      CODE (OR, IN THE CASE OF A GOVERNMENTAL, CHURCH OR NON-U.S. PLAN, A
      VIOLATION OF ANY SIMILAR FEDERAL, STATE, LOCAL OR NON-U.S. LAW) AND (B)
      THE SERIES 2011-2 NOTES ARE RATED INVESTMENT GRADE OR BETTER AND SUCH
      PERSON BELIEVES THAT THE SERIES 2011-2 NOTES ARE PROPERLY TREATED AS
      INDEBTEDNESS WITHOUT SUBSTANTIAL EQUITY FEATURES FOR PURPOSES OF SECTION
      2510.3-101 OF THE REGULATIONS ISSUED BY THE U.S. DEPARTMENT OF LABOR,
      AND AGREES TO SO TREAT THE SERIES 2011-2 NOTES; AND (b) IT WILL NOT SELL
      OR OTHERWISE TRANSFER THE SERIES 2011-2 NOTES OR ANY INTEREST THEREIN
      OTHERWISE THAN TO A PURCHASER OR TRANSFEREE THAT REPRESENTS AND AGREES
      WITH RESPECT TO ITS PURCHASE, HOLDING AND DISPOSITION OF THE SERIES
      2011-2 NOTES TO THE SAME EFFECT AS THE PURCHASER’S REPRESENTATION AND
      AGREEMENT SET FORTH IN THIS SENTENCE.
    

    
      
        

        

      

      
        
          A-2-1
        

        
          

        

      

      
        

        

      

    

    
      THIS NOTE IS NOT GUARANTEED OR INSURED BY ANY GOVERNMENTAL AGENCY OR
      INSTRUMENTALITY.
    

    
      THIS SERIES 2011-2 NOTE HAS NOT BEEN AND WILL NOT BE REGISTERED UNDER
      THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES
      ACT”) AND, PRIOR TO THE DATE THAT IS 40 DAYS AFTER THE LATER OF (I) THE
      COMPLETION OF THE DISTRIBUTION OF THE SERIES 2011-2 NOTES AND (II) THE
      SERIES 2011-2 CLOSING DATE, MAY NOT BE OFFERED, SOLD, PLEDGED OR
      OTHERWISE TRANSFERRED IN THE UNITED STATES OR TO A U.S. PERSON EXCEPT
      PURSUANT TO AN EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE
      SECURITIES ACT AND IN ACCORDANCE WITH APPLICABLE PROCEDURES SPECIFIED IN
      THE INDENTURE.
    

    	
          CLI FUNDING V LLC FIXED RATE ASSET BACKED NOTE, SERIES 2011-2
        
	
           
        
	
          $[XX]
        	
          CUSIP No.: U18659AB5
        
	

        	
          No. 1
        
	

        	
          ___________ __, 20__
        

    

    
      KNOW ALL PERSONS BY THESE PRESENTS that CLI FUNDING V LLC, a limited
      liability company organized and existing under the laws of the State of
      Delaware (the “Issuer”), for value received, hereby promises to pay to
      Cede & Co., or registered assigns, at the principal corporate trust
      office of the Indenture Trustee named below, (i) the principal sum of up
      to XX Dollars ($xx.00), which sum shall be payable on the dates and in
      the amounts set forth in the Indenture, dated as of March 18, 2011 (as
      amended, restated, or otherwise modified from time to time, the
      “Indenture”) and the Series 2011-2 Supplement, dated as of November 3,
      2011 (as amended, restated, or otherwise modified from time to time, the
      “Series 2011-2 Supplement”), each between the Issuer and U.S. Bank
      National Association as indenture trustee (the “Indenture Trustee”), and
      (ii) interest on the outstanding principal amount of this Note on the
      dates and in the amounts set forth in the Indenture and the Series
      2011-2 Supplement.  Capitalized terms not otherwise defined herein will
      have the meaning set forth in the Indenture and the Series 2011-2
      Supplement.
    

    
      
        

        

      

      
        
          A-2-2
        

        
          

        

      

      
        

        

      

    

    
      Payment of the principal of and interest on this Note shall be made in
      lawful money of the United States of America which at the time of
      payment is legal tender for payment of public and private debts. The
      principal balance of, and interest on this Note is payable at the times
      and in the amounts set forth in the Indenture and the Series 2011-2
      Supplement by wire transfer of immediately available funds to the
      account designated by the Holder of record on the immediately preceding
      Record Date.
    

    
      This Note is one of the authorized notes identified in the title hereto
      and issued in the aggregate principal amount of up to [XX] Dollars ($XX)
      pursuant to the Indenture and the Series 2011-2 Supplement.
    

    
      The Notes shall be an obligation of the Issuer and shall be secured by
      the Collateral, all as defined in, and subject to limitations set forth
      in, the Indenture and the Series 2011-2 Supplement.
    

    
      This Note is transferable as provided in the Indenture and the Series
      2011-2 Supplement, subject to certain limitations therein contained,
      only upon the books for registration and transfer kept by the Indenture
      Trustee, and only upon surrender of this Note for transfer to the
      Indenture Trustee duly endorsed by, or accompanied by a written
      instrument of transfer in form reasonably satisfactory to the Indenture
      Trustee duly executed by, the registered Holder hereof or his attorney
      duly authorized in writing. The Indenture Trustee or the Issuer may
      require payment by the Holder of a sum sufficient to cover any tax
      expense or other governmental charge payable in connection with any
      transfer or exchange of the Notes.
    

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

    
      The Notes are subject to Prepayment, at the times and subject to the
      conditions set forth in the Indenture and the Series 2011-2 Supplement.
    

    
      If an Event of Default shall occur and be continuing, the principal of
      and accrued interest on this Note may be declared to be due and payable
      in the manner and with the effect provided in the Indenture and the
      Series 2011-2 Supplement.
    

    
      The Indenture permits, with certain exceptions as therein provided, the
      issuance of supplemental indentures with the consent of the Requisite
      Global Majority, in certain specifically described instances. Any
      consent given by the Requisite Global Majority shall be conclusive and
      binding upon the Holder of this Note and on all future holders of this
      Note and of any Note issued in lieu hereof whether or not notation of
      such consent is made upon this Note. Supplements and amendments to the
      Indenture and the Series 2011-2 Supplement may be made only to the
      extent and in circumstances permitted by the Indenture and the Series
      2011-2 Supplement.
    

    
      
        

        

      

      
        
          A-2-3
        

        
          

        

      

      
        

        

      

    

    
      The Holder of this Note shall have no right to enforce the provisions of
      the Indenture and the Series 2011-2 Supplement or to institute action to
      enforce the covenants, or to take any action with respect to a default
      under the Indenture and the Series 2011-2 Supplement, or to institute,
      appear in, or defend any suit or other proceedings with respect thereto,
      except as provided under certain circumstances described in the
      Indenture and the Series 2011-2 Supplement; provided, however, that
      nothing contained in the Indenture and the Series 2011-2 Supplement
      shall affect or impair any right of enforcement conferred on the Holder
      hereof to enforce any payment of the principal of and interest on this
      Note on or after the due date thereof; provided further, however, that
      by acceptance hereof the Holder is deemed to have covenanted and agreed
      that it will not institute against the Issuer any bankruptcy,
      reorganization, arrangement, insolvency, or liquidation proceedings, or
      other proceedings under any applicable bankruptcy or similar law, at any
      time other than at such time as permitted by Section 1311 of the
      Indenture and the Series 2011-2 Supplement.
    

    
      Each purchaser of a Note shall be deemed to represent and warrant to the
      Initial Purchasers, the Issuer, the Indenture Trustee, and the Manager
      that (a) either (1) it is not, and is not acting on behalf of, a Plan or
      a governmental, church, or non-U.S. plan which is subject to any
      federal, state, local, or non-U.S. law that is similar to the prohibited
      transaction provisions of Section 406 of ERISA or Section 4975 of the
      Code, and no part of the assets to be used by it to purchase or hold the
      Series 2011-2 Notes or any interest therein constitutes the assets of
      any Plan or such a governmental, church, or non-U.S. plan; or (2) (A)
      the acquisition, holding, and disposition of the Series 2011-2 Note will
      not give rise to a nonexempt prohibited transaction under Section 406 of
      ERISA or Section 4975 of the Code (or, in the case of a governmental,
      church, or non-U.S. plan, a violation of any similar federal, state,
      local, or non-U.S. law) and (B) the Notes are rated investment grade or
      better and such person believes that the Series 2011-2 Notes are
      properly treated as indebtedness without substantial equity features for
      purposes of Section 2510.3-101 of the regulations issued by the U.S.
      Department of Labor, and agrees to so treat the Series 2011-2 Notes; and
      (b) it will not sell or otherwise transfer the Series 2011-2 Notes or
      any interest therein otherwise than to a purchaser or transferee that
      represents and agrees with respect to its purchase, holding, and
      disposition of the Series 2011-2 Notes to the same effect as the
      purchaser's representation and agreement set forth in this sentence.
    

    
      This Note, and the rights and obligations of the parties hereunder,
      shall be governed by, and construed and interpreted in accordance with,
      the laws of the State of New York without giving effect to principles of
      conflict of laws.
    

    
      All terms and provisions of the Indenture and the Series 2011-2
      Supplement are herein incorporated by reference as if set forth herein
      in their entirety.
    

    
      IT IS HEREBY CERTIFIED, RECITED, AND DECLARED, that all acts,
      conditions, and things required to exist, happen, and be performed
      precedent to the execution and delivery of the Indenture and the Series
      2011-2 Supplement and the issuance of this Note and the issue of which
      it is a part, do exist, have happened and have been timely performed in
      regular form and manner as required by law.
    

    
      
        

        

      

      
        
          A-2-4
        

        
          

        

      

      
        

        

      

    

    
      Unless the certificate of authentication hereon has been executed by the
      Indenture Trustee by manual signature of one of its authorized officers,
      this Note shall not be entitled to any benefit under the Indenture and
      the Series 2011-2 Supplement, or be valid or obligatory for any purpose.
    

    
      
        

        

      

      
        
          A-2-5
        

        
          

        

      

      
        

        

      

    

    
      IN WITNESS WHEREOF, CLI Funding V LLC has caused this Note to be duly
      executed by its duly authorized representative, on this __day of
      _________, 20__.
    

    	
           
        	
          CLI FUNDING V LLC
        
	

        	

        	
           
        
	

        	

        	
           
        
	

        	
          By:
        	
           
        
	

        	

        	
          Name:
        
	

        	

        	
          Title:
        

    

    
      This Note is one of the Notes described in the within-mentioned
      Indenture and the Series 2011-2 Supplement.
    

    	
           
        	
          U.S. BANK NATIONAL ASSOCIATION, as Indenture Trustee
        
	

        	

        	
           
        
	

        	

        	
           
        
	

        	
          By:
        	
           
        
	

        	

        	
          Name:
        
	

        	

        	
          Title:
        

    

    
      
        

        

      

      
        
          A-2-6
        

        
          

        

      

      
        

        

      

    

    
      EXHIBIT A-3
    

    
      FORM OF PERMANENT REGULATION S GLOBAL NOTE
    

    
      UNLESS THIS SERIES 2011-2 NOTE IS PRESENTED BY AN AUTHORIZED
      REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION
      (“DTC”), TO THE TRANSFEROR OF SUCH NOTE (THE “TRANSFEROR”) OR ITS AGENT
      FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY SERIES 2011-2
      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 THE 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 SERIES 2011-2 NOTE HAS NOT BEEN REGISTERED UNDER THE SECURITIES
      ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”).  THE HOLDER HEREOF, BY
      PURCHASING THIS SERIES 2011-2 NOTE, AGREES THAT SUCH SERIES 2011-2 NOTE
      MAY BE RESOLD, PLEDGED OR TRANSFERRED ONLY IN ACCORDANCE WITH ANY
      APPLICABLE STATE SECURITIES LAWS AND (1) IN A TRANSACTION MEETING THE
      REQUIREMENTS OF RULE 144A UNDER THE SECURITIES ACT, TO A PERSON THAT THE
      SELLER REASONABLY BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER THAT
      PURCHASES FOR ITS OWN ACCOUNT (OR FOR THE ACCOUNT OR ACCOUNTS OF A
      QUALIFIED INSTITUTIONAL BUYER) AND TO WHOM NOTICE IS GIVEN THAT THE
      RESALE, PLEDGE OR OTHER TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A,
      OR (2) IN AN OFFSHORE TRANSACTION COMPLYING WITH RULE 903 OR RULE 904 OF
      REGULATION S UNDER THE SECURITIES ACT OR (3) TO A PERSON THAT IS AN
      INSTITUTIONAL “ACCREDITED INVESTOR,” WITHIN THE MEANING OF RULE
      501(a)(1), (2), (3) OR (7) OF REGULATION D UNDER THE SECURITIES ACT, IS
      TAKING DELIVERY OF SUCH SERIES 2011-2 NOTE IN AN AMOUNT OF AT LEAST
      $100,000 AND DELIVERS A PURCHASER LETTER TO THE INDENTURE TRUSTEE IN THE
      FORM ATTACHED TO THE SUPPLEMENTS.
    

    
      EACH PURCHASER OF A SERIES 2011-2 NOTE SHALL REPRESENT OR BE DEEMED
      TO REPRESENT AND WARRANT TO THE INITIAL PURCHASERS, THE ISSUER, THE
      INDENTURE TRUSTEE AND THE MANAGER THAT (A) EITHER (1) IT IS NOT, AND IS
      NOT ACTING ON BEHALF OF, A PLAN OR A GOVERNMENTAL, CHURCH OR NON-U.S.
      PLAN WHICH IS SUBJECT TO ANY FEDERAL, STATE, LOCAL OR NON-U.S. LAW THAT
      IS SIMILAR TO THE PROHIBITED TRANSACTION PROVISIONS OF SECTION 406 OF
      ERISA OR SECTION 4975 OF THE CODE, AND NO PART OF THE ASSETS TO BE USED
      BY IT TO PURCHASE OR HOLD THE SERIES 2011-2 NOTES OR ANY INTEREST
      THEREIN CONSTITUTES THE ASSETS OF ANY PLAN OR SUCH A GOVERNMENTAL,
      CHURCH OR NON-U.S. PLAN; OR (2) (A) THE ACQUISITION, HOLDING AND
      DISPOSITION OF THE SERIES 2011-2 NOTE WILL NOT GIVE RISE TO A NONEXEMPT
      PROHIBITED TRANSACTION UNDER SECTION 406 OF ERISA OR SECTION 4975 OF THE
      CODE (OR, IN THE CASE OF A GOVERNMENTAL, CHURCH OR NON-U.S. PLAN, A
      VIOLATION OF ANY SIMILAR FEDERAL, STATE, LOCAL OR NON-U.S. LAW) AND (B)
      THE SERIES 2011-2 NOTES ARE RATED INVESTMENT GRADE OR BETTER AND SUCH
      PERSON BELIEVES THAT THE SERIES 2011-2 NOTES ARE PROPERLY TREATED AS
      INDEBTEDNESS WITHOUT SUBSTANTIAL EQUITY FEATURES FOR PURPOSES OF SECTION
      2510.3-101 OF THE REGULATIONS ISSUED BY THE U.S. DEPARTMENT OF LABOR,
      AND AGREES TO SO TREAT THE SERIES 2011-2 NOTES; AND (b) IT WILL NOT SELL
      OR OTHERWISE TRANSFER THE SERIES 2011-2 NOTES OR ANY INTEREST THEREIN
      OTHERWISE THAN TO A PURCHASER OR TRANSFEREE THAT REPRESENTS AND AGREES
      WITH RESPECT TO ITS PURCHASE, HOLDING AND DISPOSITION OF THE SERIES
      2011-2 NOTES TO THE SAME EFFECT AS THE PURCHASER’S REPRESENTATION AND
      AGREEMENT SET FORTH IN THIS SENTENCE.
    

    
      
        

        

      

      
        
          A-3-1
        

        
          

        

      

      
        

        

      

    

    
      THIS SERIES 2011-2 NOTE IS NOT GUARANTEED OR INSURED BY ANY
      GOVERNMENTAL AGENCY OR INSTRUMENTALITY.
    

    	
          CLI FUNDING V LLC FIXED RATE ASSET BACKED NOTE, SERIES 2011-2
        
	
          
             
          

        
	
          $[XX]
        	
          CUSIP No.: U18659AB5
        
	

        	
          No. 1
        
	

        	
          ___________ __, 20__
        

    

    
      KNOW ALL PERSONS BY THESE PRESENTS that CLI FUNDING V LLC, a limited
      liability company organized and existing under the laws of the State of
      Delaware (the “Issuer”), for value received, hereby promises to pay to
      Cede & Co., or registered assigns, at the principal corporate trust
      office of the Indenture Trustee named below, (i) the principal sum of up
      to XX Dollars ($xx.00), which sum shall be payable on the dates and in
      the amounts set forth in the Indenture, dated as of March 18, 2011 (as
      amended, restated, or otherwise modified from time to time, the
      “Indenture”) and the Series 2011-2 Supplement, dated as of November 3,
      2011 (as amended, restated, or otherwise modified from time to time, the
      “Series 2011-2 Supplement”), each between the Issuer and U.S. Bank
      National Association as indenture trustee (the “Indenture Trustee”), and
      (ii) interest on the outstanding principal amount of this Note on the
      dates and in the amounts set forth in the Indenture and the Series
      2011-2 Supplement.  Capitalized terms not otherwise defined herein will
      have the meaning set forth in the Indenture and the Series 2011-2
      Supplement.
    

    
      Payment of the principal of and interest on this Note shall be made in
      lawful money of the United States of America which at the time of
      payment is legal tender for payment of public and private debts. The
      principal balance of, and interest on this Note is payable at the times
      and in the amounts set forth in the Indenture and the Series 2011-2
      Supplement by wire transfer of immediately available funds to the
      account designated by the Holder of record on the immediately preceding
      Record Date.
    

    
      
        

        

      

      
        
          A-3-2
        

        
          

        

      

      
        

        

      

    

    
      This Note is one of the authorized notes identified in the title hereto
      and issued in the aggregate principal amount of up to [XX] Dollars ($XX)
      pursuant to the Indenture and the Series 2011-2 Supplement.
    

    
      The Notes shall be an obligation of the Issuer and shall be secured by
      the Collateral, all as defined in, and subject to limitations set forth
      in, the Indenture and the Series 2011-2 Supplement.
    

    
      This Note is transferable as provided in the Indenture and the Series
      2011-2 Supplement, subject to certain limitations therein contained,
      only upon the books for registration and transfer kept by the Indenture
      Trustee, and only upon surrender of this Note for transfer to the
      Indenture Trustee duly endorsed by, or accompanied by a written
      instrument of transfer in form reasonably satisfactory to the Indenture
      Trustee duly executed by, the registered Holder hereof or his attorney
      duly authorized in writing. The Indenture Trustee or the Issuer may
      require payment by the Holder of a sum sufficient to cover any tax
      expense or other governmental charge payable in connection with any
      transfer or exchange of the Notes.
    

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

    
      The Notes are subject to Prepayment, at the times and subject to the
      conditions set forth in the Indenture and the Series 2011-2 Supplement.
    

    
      If an Event of Default shall occur and be continuing, the principal of
      and accrued interest on this Note may be declared to be due and payable
      in the manner and with the effect provided in the Indenture and the
      Series 2011-2 Supplement.
    

    
      The Indenture permits, with certain exceptions as therein provided, the
      issuance of supplemental indentures with the consent of the Requisite
      Global Majority, in certain specifically described instances. Any
      consent given by the Requisite Global Majority shall be conclusive and
      binding upon the Holder of this Note and on all future holders of this
      Note and of any Note issued in lieu hereof whether or not notation of
      such consent is made upon this Note. Supplements and amendments to the
      Indenture and the Series 2011-2 Supplement may be made only to the
      extent and in circumstances permitted by the Indenture and the Series
      2011-2 Supplement.
    

    
      The Holder of this Note shall have no right to enforce the provisions of
      the Indenture and the Series 2011-2 Supplement or to institute action to
      enforce the covenants, or to take any action with respect to a default
      under the Indenture and the Series 2011-2 Supplement, or to institute,
      appear in, or defend any suit or other proceedings with respect thereto,
      except as provided under certain circumstances described in the
      Indenture and the Series 2011-2 Supplement; provided, however, that
      nothing contained in the Indenture and the Series 2011-2 Supplement
      shall affect or impair any right of enforcement conferred on the Holder
      hereof to enforce any payment of the principal of and interest on this
      Note on or after the due date thereof; provided further, however, that
      by acceptance hereof the Holder is deemed to have covenanted and agreed
      that it will not institute against the Issuer any bankruptcy,
      reorganization, arrangement, insolvency, or liquidation proceedings, or
      other proceedings under any applicable bankruptcy or similar law, at any
      time other than at such time as permitted by Section 1311 of the
      Indenture and the Series 2011-2 Supplement.
    

    
      
        

        

      

      
        
          A-3-3
        

        
          

        

      

      
        

        

      

    

    
      Each purchaser of a Note shall be deemed to represent and warrant to the
      Initial Purchasers, the Issuer, the Indenture Trustee, and the Manager
      that (a) either (1) it is not, and is not acting on behalf of, a Plan or
      a governmental, church, or non-U.S. plan which is subject to any
      federal, state, local, or non-U.S. law that is similar to the prohibited
      transaction provisions of Section 406 of ERISA or Section 4975 of the
      Code, and no part of the assets to be used by it to purchase or hold the
      Series 2011-2 Notes or any interest therein constitutes the assets of
      any Plan or such a governmental, church, or non-U.S. plan; or (2) (A)
      the acquisition, holding, and disposition of the Series 2011-2 Note will
      not give rise to a nonexempt prohibited transaction under Section 406 of
      ERISA or Section 4975 of the Code (or, in the case of a governmental,
      church or non-U.S. plan, a violation of any similar federal, state,
      local, or non-U.S. law) and (B) the Notes are rated investment grade or
      better and such person believes that the Series 2011-2 Notes are
      properly treated as indebtedness without substantial equity features for
      purposes of Section 2510.3-101 of the regulations issued by the U.S.
      Department of Labor, and agrees to so treat the Series 2011-2 Notes; and
      (b) it will not sell or otherwise transfer the Series 2011-2 Notes or
      any interest therein otherwise than to a purchaser or transferee that
      represents and agrees with respect to its purchase, holding, and
      disposition of the Series 2011-2 Notes to the same effect as the
      purchaser's representation and agreement set forth in this sentence.
    

    
      This Note, and the rights and obligations of the parties hereunder,
      shall be governed by, and construed and interpreted in accordance with,
      the laws of the State of New York without giving effect to principles of
      conflict of laws.
    

    
      All terms and provisions of the Indenture and the Series 2011-2
      Supplement are herein incorporated by reference as if set forth herein
      in their entirety.
    

    
      IT IS HEREBY CERTIFIED, RECITED, AND DECLARED, that all acts,
      conditions, and things required to exist, happen, and be performed
      precedent to the execution and delivery of the Indenture and the Series
      2011-2 Supplement and the issuance of this Note and the issue of which
      it is a part, do exist, have happened and have been timely performed in
      regular form and manner as required by law.
    

    
      Unless the certificate of authentication hereon has been executed by the
      Indenture Trustee by manual signature of one of its authorized officers,
      this Note shall not be entitled to any benefit under the Indenture and
      the Series 2011-2 Supplement, or be valid or obligatory for any purpose.
    

    
      
        

        

      

      
        
          A-3-4
        

        
          

        

      

      
        

        

      

    

    
      IN WITNESS WHEREOF, CLI Funding V LLC has caused this Note to be duly
      executed by its duly authorized representative, on this __day of
      __________, 20__.
    

    	
           
        	
          CLI FUNDING V LLC
        
	

        	

        	
           
        
	

        	

        	
           
        
	

        	
          By:
        	
           
        
	

        	

        	
          Name:
        
	

        	

        	
          Title:
        

    

    
      This Note is one of the Notes described in the within-mentioned
      Indenture and the Series 2011-2 Supplement.
    

    	
           
        	
          U.S. BANK NATIONAL ASSOCIATION, as Indenture Trustee
        
	

        	

        	
           
        
	

        	

        	
           
        
	

        	
          By:
        	
           
        
	

        	

        	
          Name:
        
	

        	

        	
          Title:
        

    

    
      
        

        

      

      
        
          A-3-5
        

        
          

        

      

      
        

        

      

    

    
      EXHIBIT A-4
    

    
      FORM OF NOTE ISSUED TO INSTITUTIONAL ACCREDITED INVESTORS
    

    
      THIS NOTE HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933,
      AS AMENDED (THE “SECURITIES ACT”).  THE HOLDER HEREOF, BY PURCHASING
      THIS NOTE, AGREES THAT SUCH NOTE MAY BE RESOLD, PLEDGED, OR TRANSFERRED
      ONLY IN ACCORDANCE WITH ANY APPLICABLE STATE SECURITIES LAWS AND (1) IN
      A TRANSACTION MEETING THE REQUIREMENTS OF RULE 144A UNDER THE SECURITIES
      ACT (“RULE 144A”), TO A PERSON THAT THE SELLER REASONABLY BELIEVES IS A
      QUALIFIED INSTITUTIONAL BUYER THAT PURCHASES FOR ITS OWN ACCOUNT (OR FOR
      THE ACCOUNT OR ACCOUNTS OF A QUALIFIED INSTITUTIONAL BUYER) AND TO WHOM
      NOTICE IS GIVEN THAT THE RESALE, PLEDGE, OR OTHER TRANSFER IS BEING MADE
      IN RELIANCE ON RULE 144A, (2) IN AN OFFSHORE TRANSACTION COMPLYING WITH
      RULE 903 OR RULE 904 OF REGULATION S UNDER THE SECURITIES ACT, OR (3) TO
      A PERSON THAT IS AN INSTITUTIONAL “ACCREDITED INVESTOR,” WITHIN THE
      MEANING OF RULE 501(a)(1), (2), (3), OR (7) OF REGULATION D UNDER THE
      SECURITIES ACT, IS TAKING DELIVERY OF SUCH NOTE IN AN AMOUNT OF AT LEAST
      $100,000 AND DELIVERS A PURCHASER LETTER TO THE INDENTURE TRUSTEE IN THE
      FORM ATTACHED TO THE SUPPLEMENTS.
    

    
      EACH PURCHASER OF A NOTE SHALL REPRESENT OR BE DEEMED TO REPRESENT
      AND WARRANT TO THE INITIAL PURCHASERS, THE ISSUER, THE INDENTURE
      TRUSTEE, AND THE MANAGER THAT (A) EITHER (1) IT IS NOT, AND IS NOT
      ACTING ON BEHALF OF, A PLAN OR A GOVERNMENTAL, CHURCH, OR NON-U.S. PLAN
      WHICH IS SUBJECT TO ANY FEDERAL, STATE, LOCAL, OR NON-U.S. LAW THAT IS
      SIMILAR TO THE PROHIBITED TRANSACTION PROVISIONS OF SECTION 406 OF ERISA
      OR SECTION 4975 OF THE CODE, AND NO PART OF THE ASSETS TO BE USED BY IT
      TO PURCHASE OR HOLD THE NOTES OR ANY INTEREST THEREIN CONSTITUTES THE
      ASSETS OF ANY PLAN OR SUCH A GOVERNMENTAL, CHURCH, OR NON-U.S. PLAN; OR
      (2) (A) THE ACQUISITION, HOLDING, AND DISPOSITION OF THE NOTE WILL NOT
      GIVE RISE TO A NONEXEMPT PROHIBITED TRANSACTION UNDER SECTION 406 OF
      ERISA OR SECTION 4975 OF THE CODE (OR, IN THE CASE OF A GOVERNMENTAL,
      CHURCH, OR NON-U.S. PLAN, A VIOLATION OF ANY SIMILAR FEDERAL, STATE,
      LOCAL, OR NON-U.S. LAW) AND (B) THE NOTES ARE RATED INVESTMENT GRADE OR
      BETTER AND SUCH PERSON BELIEVES THAT THE NOTES ARE PROPERLY TREATED AS
      INDEBTEDNESS WITHOUT SUBSTANTIAL EQUITY FEATURES FOR PURPOSES OF SECTION
      2510.3-101 OF THE REGULATIONS ISSUED BY THE U.S. DEPARTMENT OF LABOR,
      AND AGREES TO SO TREAT THE NOTES; AND (B) IT WILL NOT SELL OR OTHERWISE
      TRANSFER THE NOTES OR ANY INTEREST THEREIN OTHERWISE THAN TO A PURCHASER
      OR TRANSFEREE THAT REPRESENTS AND AGREES WITH RESPECT TO ITS PURCHASE,
      HOLDING, AND DISPOSITION OF THE NOTES TO THE SAME EFFECT AS THE
      PURCHASER'S REPRESENTATION AND AGREEMENT SET FORTH IN THIS SENTENCE.
    

    
      
        

        

      

      
        
          A-4-1
        

        
          

        

      

      
        

        

      

    

    
      THIS NOTE IS NOT GUARANTEED OR INSURED BY ANY GOVERNMENTAL AGENCY OR
      INSTRUMENTALITY.
    

    	
          CLI FUNDING V LLC FIXED RATE ASSET BACKED NOTE, SERIES 2011-2
        
	
           
        
	
          $[XX]
        	
          CUSIP No.: 125634AD7
        
	

        	
          No. 1
        
	

        	
          ___________ __, 20__
        

    

    
      KNOW ALL PERSONS BY THESE PRESENTS that CLI FUNDING V LLC, a limited
      liability company organized and existing under the laws of the State of
      Delaware (the “Issuer”), for value received, hereby promises to pay to
      _______, or registered assigns, at the principal corporate trust office
      of the Indenture Trustee named below, (i) the principal sum of up to XX
      Dollars ($XX), which sum shall be payable on the dates and in the
      amounts set forth in the Indenture, dated as of March 18, 2011 (as
      amended, restated, or otherwise modified from time to time, the
      “Indenture”) and the Series 2011-2 Supplement, dated as of November 3,
      2011 (as amended, restated, or otherwise modified from time to time, the
      “Series 2011-2 Supplement”), each between the Issuer and U.S. Bank
      National Association as indenture trustee (the “Indenture Trustee”), and
      (ii) interest on the outstanding principal amount of this Note on the
      dates and in the amounts set forth in the Indenture and the Series
      2011-2 Supplement.  Capitalized terms not otherwise defined herein will
      have the meaning set forth in the Indenture and the Series 2011-2
      Supplement.
    

    
      Payment of the principal of and interest on this Note shall be made in
      lawful money of the United States of America which at the time of
      payment is legal tender for payment of public and private debts. The
      principal balance of, and interest on this Note is payable at the times
      and in the amounts set forth in the Indenture and the Series 2011-2
      Supplement by wire transfer of immediately available funds to the
      account designated by the Holder of record on the immediately preceding
      Record Date.
    

    
      This Note is one of the authorized notes identified in the title hereto
      and issued in the aggregate principal amount of up to [XX] Dollars ($XX)
      pursuant to the Indenture and the Series 2011-2 Supplement.
    

    
      The Notes shall be an obligation of the Issuer and shall be secured by
      the Collateral, all as defined in, and subject to limitations set forth
      in, the Indenture and the Series 2011-2 Supplement.
    

    
      This Note is transferable as provided in the Indenture and the Series
      2011-2 Supplement, subject to certain limitations therein contained,
      only upon the books for registration and transfer kept by the Indenture
      Trustee, and only upon surrender of this Note for transfer to the
      Indenture Trustee duly endorsed by, or accompanied by a written
      instrument of transfer in form reasonably satisfactory to the Indenture
      Trustee duly executed by, the registered Holder hereof or his attorney
      duly authorized in writing. The Indenture Trustee or the Issuer may
      require payment by the Holder of a sum sufficient to cover any tax
      expense or other governmental charge payable in connection with any
      transfer or exchange of the Notes.
    

    
      
        

        

      

      
        
          A-4-2
        

        
          

        

      

      
        

        

      

    

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

    
      The Notes are subject to Prepayment, at the times and subject to the
      conditions set forth in the Indenture and the Series 2011-2 Supplement.
    

    
      If an Event of Default shall occur and be continuing, the principal of
      and accrued interest on this Note may be declared to be due and payable
      in the manner and with the effect provided in the Indenture and the
      Series 2011-2 Supplement.
    

    
      The Indenture permits, with certain exceptions as therein provided, the
      issuance of supplemental indentures with the consent of the Requisite
      Global Majority, in certain specifically described instances. Any
      consent given by the Requisite Global Majority shall be conclusive and
      binding upon the Holder of this Note and on all future holders of this
      Note and of any Note issued in lieu hereof whether or not notation of
      such consent is made upon this Note. Supplements and amendments to the
      Indenture and the Series 2011-2 Supplement may be made only to the
      extent and in circumstances permitted by the Indenture and the Series
      2011-2 Supplement.
    

    
      The Holder of this Note shall have no right to enforce the provisions of
      the Indenture and the Series 2011-2 Supplement or to institute action to
      enforce the covenants, or to take any action with respect to a default
      under the Indenture and the Series 2011-2 Supplement, or to institute,
      appear in, or defend any suit or other proceedings with respect thereto,
      except as provided under certain circumstances described in the
      Indenture and the Series 2011-2 Supplement; provided, however, that
      nothing contained in the Indenture and the Series 2011-2 Supplement
      shall affect or impair any right of enforcement conferred on the Holder
      hereof to enforce any payment of the principal of and interest on this
      Note on or after the due date thereof; provided further, however, that
      by acceptance hereof the Holder is deemed to have covenanted and agreed
      that it will not institute against the Issuer any bankruptcy,
      reorganization, arrangement, insolvency, or liquidation proceedings, or
      other proceedings under any applicable bankruptcy or similar law, at any
      time other than at such time as permitted by Section 1311 of the
      Indenture and the Series 2011-2 Supplement.
    

    
      Each purchaser of a Note shall be deemed to represent and warrant to the
      Initial Purchasers, the Issuer, the Indenture Trustee, and the Manager
      that (a) either (1) it is not, and is not acting on behalf of, a Plan or
      a governmental, church, or non-U.S. plan which is subject to any
      federal, state, local, or non-U.S. law that is similar to the prohibited
      transaction provisions of Section 406 of ERISA or Section 4975 of the
      Code, and no part of the assets to be used by it to purchase or hold the
      Series 2011-2 Notes or any interest therein constitutes the assets of
      any Plan or such a governmental, church, or non-U.S. plan; or (2) (A)
      the acquisition, holding, and disposition of the Series 2011-2 Note will
      not give rise to a nonexempt prohibited transaction under Section 406 of
      ERISA or Section 4975 of the Code (or, in the case of a governmental,
      church, or non-U.S. plan, a violation of any similar federal, state,
      local, or non-U.S. law) and (B) the Notes are rated investment grade or
      better and such person believes that the Series 2011-2 Notes are
      properly treated as indebtedness without substantial equity features for
      purposes of Section 2510.3-101 of the regulations issued by the U.S.
      Department of Labor, and agrees to so treat the Series 2011-2 Notes; and
      (b) it will not sell or otherwise transfer the Series 2011-2 Notes or
      any interest therein otherwise than to a purchaser or transferee that
      represents and agrees with respect to its purchase, holding, and
      disposition of the Series 2011-2 Notes to the same effect as the
      purchaser's representation and agreement set forth in this sentence.
    

    
      
        

        

      

      
        
          A-4-3
        

        
          

        

      

      
        

        

      

    

    
      This Note, and the rights and obligations of the parties hereunder,
      shall be governed by, and construed and interpreted in accordance with,
      the laws of the State of New York without giving effect to principles of
      conflict of laws.
    

    
      All terms and provisions of the Indenture and the Series 2011-2
      Supplement are herein incorporated by reference as if set forth herein
      in their entirety.
    

    
      IT IS HEREBY CERTIFIED, RECITED, AND DECLARED, that all acts,
      conditions, and things required to exist, happen, and be performed
      precedent to the execution and delivery of the Indenture and the Series
      2011-2 Supplement and the issuance of this Note and the issue of which
      it is a part, do exist, have happened and have been timely performed in
      regular form and manner as required by law.
    

    
      Unless the certificate of authentication hereon has been executed by the
      Indenture Trustee by manual signature of one of its authorized officers,
      this Note shall not be entitled to any benefit under the Indenture and
      the Series 2011-2 Supplement, or be valid or obligatory for any purpose.
    

    
      
        

        

      

      
        
          A-4-4
        

        
          

        

      

      
        

        

      

    

    
      IN WITNESS WHEREOF, CLI Funding V LLC has caused this Note to be duly
      executed by its duly authorized representative, on this __day of
      __________ __, 20__.
    

    	
           
        	
          CLI FUNDING V LLC
        
	

        	

        	
           
        
	

        	

        	
           
        
	

        	
          By:
        	
           
        
	

        	

        	
          Name:
        
	

        	

        	
          Title:
        

    

    
      This Note is one of the Notes described in the within-mentioned
      Indenture and the Series 2011-2 Supplement.
    

    	
           
        	
          U.S. BANK NATIONAL ASSOCIATION, as Indenture Trustee
        
	

        	

        	
           
        
	

        	

        	
           
        
	

        	
          By:
        	
           
        
	

        	

        	
          Name:
        
	

        	

        	
          Title:
        

    

    
      
        

        

      

      
        
          A-4-5
        

        
          

        

      

      
        

        

      

    

    

    

    
      EXHIBIT B
    

    
      FORM OF
CERTIFICATE TO BE GIVEN BY NOTEHOLDER
    

    
      [Euroclear Bank S.A./N.V., as operator
of the Euroclear Clearance
      System
1 Boulevard du Roi Albert II
B-1210 Brussels, Belgium]
    

    
      [Clearstream, Luxembourg Banking, société anonyme
f/k/a
      CedelBank, société anonyme
67 Boulevard Grand Duchesse
      Charlotte
L-1331 Luxembourg]
    

    	
           
        	
          Re:
        	
          
            $______ of the Fixed Rate Asset Backed Notes, Series 2011-2 (the “Notes”)
            issued pursuant to the Series 2011-2 Supplement, dated as of
            November 3, 2011, between CLI Funding V LLC (the “Issuer”)
            and U.S. Bank National Association (the “Indenture Trustee”)
            to the Indenture, dated as of March 18, 2011, between the Issuer
            and the Indenture Trustee.
          

        

    

    
      This is to certify that as of the date hereof, and except as set forth
      below, the beneficial interest in the Notes held by you for our account
      is owned by persons that are not U.S. persons (as defined in Rule 902
      under the Securities Act of 1933, as amended).
    

    
      The undersigned undertakes to advise you promptly in writing on
      or prior to the date on which you intend to submit your certification
      relating to the Notes held by you in which the undersigned has acquired,
      or intends to acquire, a beneficial interest in accordance with your
      operating procedures if any applicable statement herein is not correct
      on such date. In the absence of any such notification, it may be assumed
      that this certification applies as of such date.
    

    
      [This certification excepts beneficial interests in and does not relate
      to U.S. $_________ principal amount of the Notes appearing in your books
      as being held for our account but that we have sold or as to which we
      are not yet able to certify.]
    

    
      
        

        

      

      
        
          B-1
        

        
          

        

      

      
        

        

      

    

    
      We understand that this certification is required in connection with
      certain securities laws in the United States of America. If
      administrative or legal proceedings are commenced or threatened in
      connection with which this certification is or would be relevant, we
      irrevocably authorize you to produce this certification or a copy
      thereof to any interested party in such proceedings.
    

    	
          
            Dated:*
          

        	
           
        	
           
        	
          
            By:
          

        	
          
             
          

        	

        
	

        	
           
        	

        	

        	
          Account Holder
        	

        

    

    

    

    
      _________________________________
    

    
      

      *Certification must be dated on or after the 15th day before the
      date of the Euroclear or Clearstream certificate to which this
      certification relates.
    

    
      
        

        

      

      
        
          B-2
        

        
          

        

      

      
        

        

      

    

    

    

    
      EXHIBIT C
    

    
      FORM OF
CERTIFICATE TO BE GIVEN BY EUROCLEAR OR CLEARSTREAM
    

    
      U.S. Bank National Association,
as Indenture Trustee and Note
      Registrar
Corporate Trust Services
EP-MN-WS3D
60 Livingston
      Avenue
St. Paul, MN 55107-2292
Attn: Structured Finance/CLI
      Funding V LLC 2011-2
    

    	
           
        	
          Re:
        	
          
            $______ of the Fixed Rate Asset Backed Notes, Series 2011-2 (the “Notes”)
            issued pursuant to the Series 2011-2 Supplement, dated as of
            November 3, 2011, between CLI Funding V LLC (the “Issuer”)
            and U.S. Bank National Association (the “Indenture Trustee”)
            to the Indenture, dated as of March 18, 2011, between the Issuer
            and the Indenture Trustee.
          

        

    

    
      Re:       
    

    
      This is to certify that, based solely on certifications we have received
      in writing, by tested telex or by electronic transmission from member
      organizations appearing in our records as persons being entitled to a
      portion of the principal amount set forth below (our “Member
      Organizations”) as of the date hereof, $__________ principal amount
      of the Notes is owned by persons (a) that are not U.S. persons (as
      defined in Rule 902 under the Securities Act of 1933, as amended (the “Securities
      Act”)) or (b) who purchased their Notes (or interests therein) in a
      transaction or transactions that did not require registration under the
      Securities Act.
    

    
      We further certify (a) that we are not making available herewith for
      exchange any portion of the related Regulation S Temporary Book-Entry
      Note excepted in such certifications and (b) that as of the date hereof
      we have not received any notification from any of our Member
      Organizations to the effect that the statements made by them with
      respect to any portion of the part submitted herewith for exchange are
      no longer true and cannot be relied upon as of the date hereof.
    

    
      We understand that this certification is required in connection with
      certain securities laws of the United States of America. If
      administrative or legal proceedings are commenced or threatened in
      connection with which this certification is or would be relevant, we
      irrevocably authorize you to produce this certification or a copy hereof
      to any interested party in such proceedings.
    

    	
          Dated: ___________________
        	
           
        	
          Yours faithfully,
        
	

        	

        	
          By:
        
	

        	

        	
          
            [Euroclear Bank S.A./N.V., as operator of the Euroclear Clearance
            System] [Clearstream, société anonyme]
          

        

    

    
      
        

        

      

      
        
          C-1
        

        
          

        

      

      
        

        

      

    

    

    

    
      EXHIBIT D
    

    
      FORM OF
CERTIFICATE TO BE GIVEN BY TRANSFEREE OF BENEFICIAL INTEREST
      IN A
REGULATION S TEMPORARY GLOBAL NOTE
    

    
      [Euroclear Bank S.A./N.V., as operator
of the Euroclear Clearance
      System
1 Boulevard du Roi Albert II
B-1210 Brussels, Belgium]

[Clearstream,
      Luxembourg Banking, société anonyme
f/k/a CedelBank,
      société anonyme
67 Boulevard Grand Duchesse Charlotte
L-1331
      Luxembourg]
    

    	
           
        	
          Re:
        	
          
            $_______ of the Fixed Rate Asset Backed Notes, Series 2011-2 (the “Notes”)
            issued pursuant to the Series 2011-2 Supplement, dated as of
            November 3, 2011, between CLI Funding V LLC (the “Issuer”)
            and U.S. Bank National Association (the “Indenture Trustee”)
            to the Indenture, dated as of March 18, 2011, between the Issuer
            and the Indenture Trustee.
          

        

    

    
      This is to certify that as of the date hereof, and except as set forth
      below, for purposes of acquiring a beneficial interest in the Notes, the
      undersigned certifies that it is not a U.S. person (as defined in Rule
      902 under the Securities Act of 1933, as amended).
    

    
      The undersigned undertakes to advise you promptly by tested telex on or
      prior to the date on which you intend to submit your certification
      relating to the Notes held by you in which the undersigned intends to
      acquire a beneficial interest in accordance with your operating
      procedures if any applicable statement herein is not correct on such
      date. In the absence of any such notification, it may be assumed that
      this certification applies as of such date.
    

    
      We understand that this certification is required in connection with
      certain securities laws in the United States of America. If
      administrative or legal proceedings are commenced or threatened in
      connection with which this certification is or would be relevant, we
      irrevocably authorize you to produce this certification or a copy
      thereof to any interested party in such proceedings.
    

    	
          Dated: ___________________
        	
           
        	
          By:
        

    

    
      
        

        

      

      
        
          D-1
        

        
          

        

      

      
        

        

      

    

    

    

    
      EXHIBIT E
    

    
      FORM OF
TRANSFER CERTIFICATE FOR EXCHANGE OR
TRANSFER FROM 144A
      BOOK-ENTRY NOTE
TO REGULATION S BOOK-ENTRY NOTE
    

    
      U.S. Bank National Association,
as Indenture Trustee and Note
      Registrar
EP-MN-WS3D
60 Livingston Avenue
St. Paul, MN
      55107-2292
Attn: Structured Finance/CLI Funding V LLC 2011-2
    

    	
           
        	
          Re:
        	
          
            $______ of the Fixed Rate Asset Backed Notes, Series 2011-2 (the “Notes”)
            issued pursuant to the Series 2011-2 Supplement, dated as of
            November 3, 2011, between CLI Funding V LLC (the “Issuer”)
            and U.S. Bank National Association (the “Indenture Trustee”)
            to the Indenture, dated as of March 18, 2011, between the Issuer
            and the Indenture Trustee.
          

        

    

    
      Capitalized terms used but not defined herein shall have the meanings
      given to them in the Indenture.
    

    
      This letter relates to U.S. $___________ principal amount of Notes that
      are held as a beneficial interest in the 144A Book-Entry Note (CUSIP No.
      [________]) with DTC in the name of [insert name of transferor] (the
      “Transferor”). The Transferor has requested an exchange or transfer of
      the beneficial interest for an interest in the Regulation S Book-Entry
      Note (CUSIP No. [________]) to be held with [Euroclear] [Clearstream]
      through DTC.
    

    
      In connection with the request and in receipt of the Notes, the
      Transferor does hereby certify that the exchange or transfer has been
      effected in accordance with the transfer restrictions set forth in the
      Notes and the Indenture and:
    

    
      (a)  pursuant to and in accordance with Regulation S under the
      Securities Act of 1933, as amended (the “Securities Act”),
      and accordingly the Transferor does hereby certify that:
    

    
      (i)  the offer of the Notes was not made to a Person in the United
      States of America,
    

    
      (ii)  either (A) at the time the buy order was originated, the
      transferee was outside the United States of America, or the Transferor
      and any person acting on its behalf reasonably believed that the
      transferee was outside the United States of America or (B) the
      transaction was executed in, on, or through the facilities of a
      designated offshore securities market and neither the Transferor nor any
      person acting on its behalf knows that the transaction was pre-arranged
      with a buyer in the United States of America,
    

    
      
        

        

      

      
        
          E-1
        

        
          

        

      

      
        

        

      

    

    
      (iii)  no directed selling efforts have been made in contravention of
      the requirements of Rule 903 or 904 of Regulation S, as applicable, and
      the other conditions of Rule 903 or Rule 904 of Regulation S, as
      applicable, have been satisfied;
    

    
      (iv)  the transaction is not part of a plan or scheme to evade the
      registration requirements of the Securities Act, and
    

    
             (b)  with respect to transfers made in reliance on Rule 144A
      under the Securities Act, the Transferor does hereby certify that the
      Notes are being transferred in a transaction permitted by Rule 144A
      under the Securities Act.
    

    
      This certification and the statements contained herein are made for your
      benefit and the benefit of the Issuer and Wells Fargo Securities, LLC
      and Deutsche Bank Securities Inc., the Initial Purchasers.
    

    
      [Insert name of Transferor]
    

    	
          Dated: ___________________
        	
          By:
        
	

        	
          Title:
        

    

    
      
        

        

      

      
        
          E-2
        

        
          

        

      

      
        

        

      

    

    

    

    
      EXHIBIT F
    

    
      FORM OF TRANSFER CERTIFICATE FOR
EXCHANGE OR TRANSFER FROM
REGULATION
      S BOOK-ENTRY NOTE TO 144A BOOK-ENTRY NOTE

    

    
      U.S. Bank National Association,
as Indenture Trustee and Note
      Registrar
EP-MN-WS3D
60 Livingston Avenue
St. Paul, MN
      55107-2292
Attention: Structured Finance/CLI Funding V LLC 2011-2
    

    	
           
        	
          Re:
        	
          $__________ of the Fixed Rate Asset Backed Notes, Series 2011-2 (the
          “Notes”) issued pursuant to the Series 2011-2 Supplement, dated as
          of November 3, 2011, between CLI Funding V LLC (the “Issuer”) and
          U.S. Bank National Association (the “Indenture Trustee”) to the
          Indenture, dated as of March 18, 2011, between the Issuer and the
          Indenture Trustee.
        

    

    
      Capitalized terms used but not defined herein shall have the meanings
      given to them in the Indenture.
    

    
      This letter relates to U.S. $_________________ aggregate principal
      amount of Notes which are held in the form of a Regulation S Global Note
      with the Depository (CUSIP (ISIN) No. [________] ([________])) in the
      name of [name of transferor] (the “Transferor”) to effect the transfer
      of the Notes in exchange for an equivalent beneficial interest in a Rule
      144A Global Note.
    

    
      In connection with such request, and in respect of such Notes, the
      Transferor does hereby certify that such Notes are being transferred in
      accordance with (i) the transfer restrictions set forth in the
      Indenture, the Notes and the final offering memorandum dated October
      [27], 2011 relating to the Notes and (ii) Rule 144A under the Securities
      Act, to a transferee that the Transferor reasonably believes is
      purchasing the Notes for its own account or an account with respect to
      which the transferee exercises sole investment discretion, the
      transferee and any such account is a “qualified institutional buyer”
      within the meaning of Rule 144A and a “qualified purchaser,” within the
      meaning of Section 3(c)(2) under the United States of America Investment
      Company Act of 1940, as amended (the “Investment Company Act”) and such
      transferee is aware that the sale to it is being made in reliance upon
      Rule 144A, in a transaction meeting the requirements of Rule 144A and
      (iii) in accordance with any applicable securities laws of any state of
      the United States or any other jurisdiction.
    

    
      
        

        

      

      
        
          F-1
        

        
          

        

      

      
        

        

      

    

    
      Each transferee of a Note is deemed to represent at the time of transfer
      that the transferee is a Qualified Institutional Buyer and (i) that it
      is a Qualified Purchaser or a Knowledgeable Employee (as defined in the
      Investment Company Act), (ii) that it is not formed for the purpose of
      investing in the Notes, unless all of its beneficial owners is a
      Qualified Purchaser or Knowledgeable Employee, (iii) that it is not a
      dealer described in paragraph (a)(1)(ii) of Rule 144A unless such
      transferee owns and invests on a discretionary basis at least U.S. $10
      million in securities of issuers that are not affiliated persons of such
      dealer, (iv) that it is not a plan referred to in paragraph (a)(1)(i)(D)
      or (E) or Rule 144A or a trust fund referred to in paragraph
      (a)(1)(i)(F) of Rule 144A that holds the assets of such plan, unless
      investment decisions are made solely by the fiduciary, trustee, or
      sponsor of such plan, (v) that it and each account for which it is
      purchasing is purchasing Notes in at least the minimum denomination, and
      (vi) that it will provide written notice of the foregoing any other
      applicable transfer restrictions to any transferee.
    

    
      
        

        

      

      
        
          F-2
        

        
          

        

      

      
        

        

      

    

    
      This certification and the statements contained herein are made for your
      benefit and the benefit of the Issuer and Wells Fargo Securities, LLC
      and Deutsche Bank Securities Inc., the Initial Purchasers.
    

    	
           
        	
          [Name of Transferor]
        
	

        	
           
        
	

        	
           
        
	
          By:
        	
           
        
	

        	
          Name:
        
	

        	
          Title:
        

    

    
      

      

      

    

    	
          Dated: _____________, ______
        

    

    
      
        

        

      

      
        
          F-3
        

        
          

        

      

      
        

        

      

    

    

    

    
      EXHIBIT G
    

    
      FORM OF
INITIAL PURCHASER EXCHANGE INSTRUCTIONS
    

    
      Depository Trust Company
55 Water Street
50th Floor
New York,
      New York 10041
    

    	
           
        	
          Re:
        	
          
            $_______ of the Fixed Rate Asset Backed Notes, Series 2011-2 (the “Notes”)
            issued pursuant to the Series 2011-2 Supplement, dated as of
            November 3, 2011, between CLI Funding V LLC (the “Issuer”)
            and U.S. Bank National Association (the “Indenture Trustee”)
            to the Indenture, dated as of March 18, 2011, between the Issuer
            and the Indenture Trustee.
          

        

    

    
      Pursuant to Section 2.07(c) of the Series 2011-2 Supplement, [Wells
      Fargo Securities, LLC][Deutsche Bank Securities Inc.] (the “Initial
      Purchaser”) hereby request that $____________ aggregate principal
      amount of the Notes held by you for our account and represented by the
      Regulation S Temporary Book-Entry Note (CUSIP No. [__________]) (as
      defined in the Series 2011-2 Supplement) be exchanged for an equal
      principal amount represented by the 144A Book-Entry Note (CUSIP No.
      [__________]) to be held by you for our account.
    

    	
          
            Dated: ___________________
          

        	
          
             
          

        
	

        	
          
            [Wells Fargo Securities, LLC][Deutsche Bank Securities Inc.], as
            Initial Purchaser
          

        
	

        	
           
        
	

        	
          By:
        
	

        	
          Title:
        

    

    
      
        

        

      

      
        
          G-1
        

        
          

        

      

      
        

        

      

    

    
      EXHIBIT H
    

    
      FORM OF PURCHASER LETTER
    

    
      U.S. Bank National Association,
as Indenture Trustee
EP-MN-WS3D
60
      Livingston Avenue
St. Paul, MN 55107-2292
Attention: Structured
      Finance/CLI Funding V LLC 2011-2
    

    
      

      

      Ladies and Gentlemen:
    

    
      We are delivering this letter in connection with the transfer of
      $__________ of the Fixed Rate Asset Backed Notes, Series 2011-2 (the
      “Notes”) issued pursuant to the Series 2011-2 Supplement, dated as of
      November 3, 2011, between CLI Funding V LLC (the “Issuer”) and U.S. Bank
      National Association (the “Indenture Trustee”) to the Indenture, dated
      as of March 18, 2011, between the Issuer and the Indenture
      Trustee.  Capitalized terms used herein without definition shall have
      the meanings assigned thereto in the Series 2011-2 Supplement.
    

    
      We hereby confirm that:
    

    
      (i)  we are authorized to consummate the purchase of the Notes;
    

    
      (ii)  we are an institutional accredited investor (an “Institutional
      Accredited Investor”), within the meaning of Rule 501(a)(1), (2), (3) or
      (7) of Regulation D under the Securities Act of 1933, as amended (the
      “Securities Act”);
    

    
      (iii)  we are purchasing the Notes for our own account or for the
      account of one or more other Institutional Accredited Investors;
    

    
      (iv)  we are taking delivery of the Notes in an amount of at least
      $100,000 for our own account or for each separate account for which we
      are acting;
    

    
      (v)  we have such knowledge and experience in financial and business
      matters, we are capable of evaluating the merits and risks of purchasing
      Notes and we, or the account for which we are purchasing Notes, can bear
      the economic risks of investing in the Notes for an indefinite period of
      time;
    

    
      (vi)  we have had access to such information concerning the Issuer we
      have considered necessary in connection with an investment decision to
      acquire the Notes;
    

    
      (vii)  we are acquiring Notes for investment and not with a view to any
      distribution thereof in a transaction that would violate the Securities
      Act or the securities laws of any state of the United States or any
      other applicable jurisdiction; provided that the disposition of our
      property and the property of any accounts for which we are acting as
      fiduciary shall remain at all times within our control;
    

    
      
        

        

      

      
        
          H-1
        

        
          

        

      

      
        

        

      

    

    
      (viii)  we represent to the Initial Purchasers, the Manager, the Issuer,
      and the Indenture Trustee that (a) either (1) we are not, and we are not
      acting on behalf of, an employee benefit plan within the meaning of
      section 3(3) of the Employee Retirement Income Security Act of 1974, as
      amended (“ERISA”) or a plan within the meaning of section 4975 of the
      Internal Revenue Code of 1986 (“Code”) (each, a “Plan”) or a
      governmental, church, or non-U.S. plan which is subject to any federal,
      state, local, or non-U.S. law that is similar to the prohibited
      transaction provisions of Section 406 of ERISA or Section 4975 of the
      Code, and no part of the assets to be used by us to purchase or hold the
      Notes or any interest therein constitutes the assets of any Plan or such
      a governmental, church, or non-U.S. plan or (2) (A) the acquisition,
      holding, and disposition of the Notes will not give rise to a nonexempt
      prohibited transaction under Section 406 of ERISA or Section 4975 of the
      Code (or, in the case of a governmental, church, or non-U.S. Plan, a
      violation of any similar federal, state, local, or non-U.S. law) and (B)
      we believe that the Notes are properly treated as indebtedness without
      substantial equity features for purposes of Section 2510.3-101 of the
      regulations issued by the U.S. Department of Labor, and we agree to so
      treat the Note and (b) we will not sell or otherwise transfer the Series
      2011-2 Notes or any interest therein otherwise than to a purchaser or
      transferee that represents and agrees with respect to its purchase,
      holding, and disposition of the Notes to the same effect as the
      representation and agreement set forth in this sentence; and
    

    
      (ix)  we are not a Competitor.
    

    
      We understand that the Notes are being offered in a transaction not
      involving any public offering within the meaning of the Securities Act
      and that the Notes have not been registered under the Securities Act,
      and we agree, on our own behalf and on behalf of each account for which
      we acquire any Notes, that such Notes may be resold, pledged, or
      transferred only (i) in a transaction meeting the requirements of Rule
      144A (“Rule 144A”) under the Securities Act, to a person that we
      reasonably believe is a “qualified institutional buyer” (as
      defined in Rule 144A), that purchases for its own account (or for the
      account or accounts of a qualified institutional buyer) and to whom
      notice is given that the resale, pledge, or other transfer is being made
      in reliance on Rule 144A, or (ii) to a person that is an Institutional
      Accredited Investor, is taking delivery of such Notes in an amount of at
      least $100,000 and delivers a letter to you, in substantially the form
      of this letter, or (iii) in an offshore transaction in accordance with
      Rule 903 or Rule 904 of Regulation S under the Securities Act.
    

    
      We understand that the Indenture Trustee and Note Registrar will not be
      required to accept for registration of transfer any Notes, except upon
      presentation of evidence satisfactory to the Transferor that the
      foregoing restrictions on transfer have been complied with.  We further
      understand that the Notes will bear a legend substantially to the
      following effect:
    

    
      
        

        

      

      
        
          H-2
        

        
          

        

      

      
        

        

      

    

    
      [For Book-Entry Notes Only:  UNLESS THIS NOTE IS PRESENTED BY AN
      AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY, A NEW YORK
      CORPORATION (“DTC”), TO THE TRANSFEROR OF SUCH NOTE (THE “TRANSFEROR”)
      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 THE USE
      HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH
      AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.
    

    
      THIS NOTE HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933,
      AS AMENDED (THE “SECURITIES ACT”).  THE HOLDER HEREOF, BY PURCHASING
      THIS NOTE, AGREES THAT SUCH NOTE MAY BE RESOLD, PLEDGED, OR TRANSFERRED
      ONLY IN ACCORDANCE WITH ANY APPLICABLE STATE SECURITIES LAWS AND (1) IN
      A TRANSACTION MEETING THE REQUIREMENTS OF RULE 144A UNDER THE SECURITIES
      ACT (“RULE 144A”), TO A PERSON THAT THE SELLER REASONABLY BELIEVES IS A
      QUALIFIED INSTITUTIONAL BUYER THAT PURCHASES FOR ITS OWN ACCOUNT (OR FOR
      THE ACCOUNT OR ACCOUNTS OF A QUALIFIED INSTITUTIONAL BUYER) AND TO WHOM
      NOTICE IS GIVEN THAT THE RESALE, PLEDGE, OR OTHER TRANSFER IS BEING MADE
      IN RELIANCE ON RULE 144A OR (2) IN AN OFFSHORE TRANSACTION COMPLYING
      WITH RULE 903 OR RULE 904 OF REGULATION S UNDER THE SECURITIES ACT OR
      (3) TO A PERSON THAT IS AN INSTITUTIONAL “ACCREDITED INVESTOR,” WITHIN
      THE MEANING OF RULE 501(a)(1), (2), (3), OR (7) OF REGULATION D UNDER
      THE SECURITIES ACT, IS TAKING DELIVERY OF SUCH NOTE IN AN AMOUNT OF AT
      LEAST $100,000 AND DELIVERS A PURCHASER LETTER TO THE INDENTURE TRUSTEE
      IN THE FORM ATTACHED TO THE SUPPLEMENTS.
    

    
      EACH PURCHASER OF A NOTE SHALL REPRESENT OR BE DEEMED TO REPRESENT
      AND WARRANT TO THE INITIAL PURCHASERS, THE ISSUER, THE INDENTURE
      TRUSTEE, AND THE MANAGER THAT (A) EITHER (1) IT IS NOT, AND IS NOT
      ACTING ON BEHALF OF, A PLAN OR A GOVERNMENTAL, CHURCH, OR NON-U.S. PLAN
      WHICH IS SUBJECT TO ANY FEDERAL, STATE, LOCAL, OR NON-U.S. LAW THAT IS
      SIMILAR TO THE PROHIBITED TRANSACTION PROVISIONS OF SECTION 406 OF ERISA
      OR SECTION 4975 OF THE CODE, AND NO PART OF THE ASSETS TO BE USED BY IT
      TO PURCHASE OR HOLD THE NOTES OR ANY INTEREST THEREIN CONSTITUTES THE
      ASSETS OF ANY PLAN OR SUCH A GOVERNMENTAL, CHURCH, OR NON-U.S. PLAN OR
      (2) (A) THE ACQUISITION, HOLDING, AND DISPOSITION OF THE NOTE WILL NOT
      GIVE RISE TO A NONEXEMPT PROHIBITED TRANSACTION UNDER SECTION 406 OF
      ERISA OR SECTION 4975 OF THE CODE (OR, IN THE CASE OF A GOVERNMENTAL,
      CHURCH, OR NON-U.S. PLAN, A VIOLATION OF ANY SIMILAR FEDERAL, STATE,
      LOCAL, OR NON-U.S. LAW) AND (B) THE NOTES ARE RATED INVESTMENT GRADE OR
      BETTER AND SUCH PERSON BELIEVES THAT THE NOTES ARE PROPERLY TREATED AS
      INDEBTEDNESS WITHOUT SUBSTANTIAL EQUITY FEATURES FOR PURPOSES OF SECTION
      2510.3-101 OF THE REGULATIONS ISSUED BY THE U.S. DEPARTMENT OF LABOR,
      AND AGREES TO SO TREAT THE NOTES; AND (b) IT WILL NOT SELL OR OTHERWISE
      TRANSFER THE NOTES OR ANY INTEREST THEREIN OTHERWISE THAN TO A PURCHASER
      OR TRANSFEREE THAT REPRESENTS AND AGREES WITH RESPECT TO ITS PURCHASE,
      HOLDING, AND DISPOSITION OF THE NOTES TO THE SAME EFFECT AS THE
      PURCHASER'S REPRESENTATION AND AGREEMENT SET FORTH IN THIS SENTENCE.
    

    
      
        

        

      

      
        
          H-3
        

        
          

        

      

      
        

        

      

    

    
      THIS NOTE IS NOT GUARANTEED OR INSURED BY ANY GOVERNMENTAL AGENCY OR
      INSTRUMENTALITY.]
    

    
      [FOR REGULATION S BOOK-ENTRY NOTES:
    

    
      1.        EACH INVESTOR PURCHASING THE NOTES IN AN OFFSHORE
      TRANSACTION COMPLYING WITH RULE 903 OR RULE 904 OF REGULATION S UNDER
      THE SECURITIES ACT UNDERSTANDS THAT THE NOTES HAVE NOT AND WILL NOT BE
      REGISTERED UNDER THE SECURITIES ACT, THAT ANY OFFERS, SALES, OR
      DELIVERIES OF THE NOTES PURCHASED BY IT IN THE UNITED STATES OR TO U.S.
      PERSONS PRIOR TO THE DATE THAT IS 40 DAYS AFTER THE LATER OF (I) THE
      COMMENCEMENT OF THE DISTRIBUTION OF THE NOTES AND (II) THE CLOSING DATE,
      MAY CONSTITUTE A VIOLATION OF UNITED STATES LAW, AND THAT DISTRIBUTIONS
      OF PRINCIPAL AND INTEREST WILL BE MADE IN RESPECT OF SUCH NOTES ONLY
      FOLLOWING THE DELIVERY BY THE HOLDER OF A CERTIFICATION OF  NON-U.S.
      BENEFICIAL OWNERSHIP OR THE EXCHANGE OF BENEFICIAL INTEREST IN
      REGULATION S TEMPORARY BOOK-ENTRY NOTES FOR BENEFICIAL INTERESTS IN THE
      RELATED RULE 144A BOOK-ENTRY NOTES (WHICH IN EACH CASE WILL ITSELF
      REQUIRE A CERTIFICATION OF NON-U.S. BENEFICIAL OWNERSHIP), AT THE TIMES
      AND IN THE MANNER SET FORTH IN THE INDENTURE.
    

    
      2.        THE REGULATION S TEMPORARY BOOK-ENTRY NOTES REPRESENTING
      THE NOTES SOLD TO EACH INVESTOR PURCHASING THE NOTES IN AN OFFSHORE
      TRANSACTION COMPLYING WITH RULE 903 OR RULE 904 OF REGULATION S UNDER
      THE SECURITIES ACT WILL BEAR A LEGEND TO THE FOLLOWING EFFECT, UNLESS
      THE ISSUER DETERMINES OTHERWISE CONSISTENT WITH APPLICABLE LAW:
    

    
      
        

        

      

      
        
          H-4
        

        
          

        

      

      
        

        

      

    

    
      THIS NOTE HAS NOT BEEN AND WILL NOT BE REGISTERED UNDER THE UNITED
      STATES SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”) AND,
      PRIOR TO THE DATE THAT IS 40 DAYS AFTER THE LATER OF (I) THE COMPLETION
      OF THE DISTRIBUTION OF THE NOTES AND (II) THE CLOSING DATE, MAY NOT BE
      OFFERED, SOLD, PLEDGED, OR OTHERWISE TRANSFERRED IN THE UNITED STATES OR
      TO A U.S. PERSON EXCEPT PURSUANT TO AN EXEMPTION FROM THE REGISTRATION
      REQUIREMENTS OF THE SECURITIES ACT AND IN ACCORDANCE WITH APPLICABLE
      PROCEDURES SPECIFIED IN THE INDENTURE.]
    

    
      We understand that this letter is required in connection with certain
      securities laws. If administrative or other proceedings are commenced in
      connection with which this letter is or would be relevant, we
      irrevocably authorize you to produce this letter or a copy of this
      letter to any interested party in such proceedings.
    

    
      THIS LETTER SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE
      LAWS OF THE STATE OF NEW YORK.
    

    	
           
        	
          (Name of Purchaser)
        
	
           
        
	
          By:
        	
           
        
	

        	
          Name:
        
	

        	
          Title:
        
	

        	
          Address:
        

    

    
      
        

        

      

      
        
          H-5
        

        
          

        

      

      
        

        

      

    

    

    

    
      SCHEDULE 1
    

    
      

      Minimum Targeted Principal Balance by Period
    

    

    

    
      CLIF-V 2011-2
Annex H
Minimum Targeted Principal
      Balance by Period
    

    
      

    

    
      Period Date Minimum
      Targeted Principal Balance Period Date Minimum Targeted Principal
      Balance Period Date Minimum Targeted Principal Balance 0 Oct-2011
      $250,000,000 61 Nov-2016 $165,277,778 121 Nov-2021 $81,944,444 1
      Nov-2011 248,611,111 62 Dec-2016 163,888,889 122 Dec-2021 80,555,556 2
      Dec-2011 247,222,222 63 Jan-2017 162,500,000 123 Jan-2022 79,166,667 3
      Jan-2012 245,833,333 64 Feb-2017 161,111,111 124 Feb-2022 77,777,778 4
      Feb-2012 244,444,444 65 Mar-2017 159,722,222 125 Mar-2022 76,388,889 5
      Mar-2012 243,055,556 66 Apr-2017 158,333,333 126 Apr-2022 75,000,000 6
      Apr-2012 241,666,667 67 May-2017 156,944,444 127 May-2022 73,611,111 7
      May-2012 240,277,778 68 Jun-2017 155,555,556 128 Jun-2022 72,222,222 8
      Jun-2012 238,888,889 69 Jul-2017 154,166,667 129 Jul-2022 70,833,333 9
      Jul-2012 237,500,000 70 Aug-2017 152,777,778 130 Aug-2022 69,444,444 10
      Aug-2012 236,111,111 71 Sep-2017 151,388,889 131 Sep-2022 68,055,556 11
      Sep-2012 234,722,222 72 Oct-2017 150,000,000 132 Oct-2022 66,666,667 12
      Oct-2012 233,333,333 73 Nov-2017 148,611,111 133 Nov-2022 65,277,778 13
      Nov-2012 231,944,444 74 Dec-2017 147,222,222 134 Dec-2022 63,888,889 14
      Dec-2012 230,555,556 75 Jan-2018 145,833,333 135 Jan-2023 62,500,000 15
      Jan-2013 229,166,667 76 Feb-2018 144,444,444 136 Feb-2023 61,111,111 16
      Feb-2013 227,777,778 77 Mar-2018 143,055,556 137 Mar-2023 59,722,222 17
      Mar-2013 226,388,889 78 Apr-2018 141,666,667 138 Apr-2023 58,333,333 18
      Apr-2013 225,000,000 79 May-2018 140,277,778 139 May-2023 56,944,444 19
      May-2013 223,611,111 80 Jun-2018 138,888,889 140 Jun-2023 55,555,556 20
      Jun-2013 222,222,222 81 Jul-2018 137,500,000 141 Jul-2023 54,166,667 21
      Jul-2013 220,833,333 82 Aug-2018 136,111,111 142 Aug-2023 52,777,778 22
      Aug-2013 219,444,444 83 Sep-2018 134,722,222 143 Sep-2023 51,388,889 23
      Sep-2013 218,055,556 84 Oct-2018 133,333,333 144 Oct-2023 50,000,000 24
      Oct-2013 216,666,667 85 Nov-2018 131,944,444 145 Nov-2023 48,611,111 25
      Nov-2013 215,277,778 86 Dec-2018 130,555,556 146 Dec-2023 47,222,222 26
      Dec-2013 213,888,889 87 Jan-2019 129,166,667 147 Jan-2024 45,833,333 27
      Jan-2014 212,500,000 88 Feb-2019 127,777,778 148 Feb-2024 44,444,444 28
      Feb-2014 211,111,111 89 Mar-2019 126,388,889 149 Mar-2024 43,055,556 29
      Mar-2014 209,722,222 90 Apr-2019 125,000,000 150 Apr-2024 41,666,667 30
      Apr-2014 208,333,333 91 May-2019 123,611,111 151 May-2024 40,277,778 31
      May-2014 206,944,444 92 Jun-2019 122,222,222 152 Jun-2024 38,888,889 32
      Jun-2014 205,555,556 93 Jul-2019 120,833,333 153 Jul-2024 37,500,000 33
      Jul-2014 204,166,667 94 Aug-2019 119,444,444 154 Aug-2024 36,111,111 34
      Aug-2014 202,777,778 95 Sep-2019 118,055,556 155 Sep-2024 34,722,222 35
      Sep-2014 201,388,889 96 Oct-2019 116,666,667 156 Oct-2024 33,333,333 36
      Oct-2014 200,000,000 97 Nov-2019 115,277,778 157 Nov-2024 31,944,444 37
      Nov-2014 198,611,111 98 Dec-2019 113,888,889 158 Dec-2024 30,555,556 38
      Dec-2014 197,222,222 99 Jan-2020 112,500,000 159 Jan-2025 29,166,667 39
      Jan-2015 195,833,333 100 Feb-2020 111,111,111 160 Feb-2025 27,777,778 40
      Feb-2015 194,444,444 101 Mar-2020 109,722,222 161 Mar-2025 26,388,889 41
      Mar-2015 193,055,556 102 Apr-2020 108,333,333 162 Apr-2025 25,000,000 42
      Apr-2015 191,666,667 103 May-2020 106,944,444 163 May-2025 23,611,111 43
      May-2015 190,277,778 104 Jun-2020 105,555,556 164 Jun-2025 22,222,222 44
      Jun-2015 188,888,889 105 Jul-2020 104,166,667 165 Jul-2025 20,833,333 45
      Jul-2015 187,500,000 106 Aug-2020 102,777,778 166 Aug-2025 19,444,444 46
      Aug-2015 186,111,111 107 Sep-2020 101,388,889 167 Sep-2025 18,055,556 47
      Sep-2015 184,722,222 108 Oct-2020 100,000,000 168 Oct-2025 16,666,667 48
      Oct-2015 183,333,333 109 Nov-2020 98,611,111 169 Nov-2025 15,277,778 49
      Nov-2015 181,944,444 110 Dec-2020 97,222,222 170 Dec-2025 13,888,889 50
      Dec-2015 180,555,556 111 Jan-2021 95,833,333 171 Jan-2026 12,500,000 51
      Jan-2016 179,166,667 112 Feb-2021 94,444,444 172 Feb-2026 11,111,111 52
      Feb-2016 177,777,778 113 Mar-2021 93,055,556 173 Mar-2026 9,722,222 53
      Mar-2016 176,388,889 114 Apr-2021 91,666,667 174 Apr-2026 8,333,333 54
      Apr-2016 175,000,000 115 May-2021 90,277,778 175 May-2026 6,944,444 55
      May-2016 173,611,111 116 Jun-2021 88,888,889 176 Jun-2026 5,555,556 56
      Jun-2016 172,222,222 117 Jul-2021 87,500,000 177 Jul-2026 4,166,667 57
      Jul-2016 170,833,333 118 Aug-2021 86,111,111 178 Aug-2026 2,777,778 58
      Aug-2016 169,444,444 119 Sep-2021 84,722,222 179 Sep-2026 1,388,889 59
      Sep-2016 168,055,556 120 Oct-2021 83,333,333 180 Oct-2026 0 60 Oct-2016
      $166,666,667
    

    
      
        

        

      

      
        

        

        
          

        

      

      
        

        

      

    

    

    

    
      Scheduled Targeted Principal Balance by Period
    

    
      CLIF-V 2011-2
Annex I
Scheduled Targeted
      Principal Balance by Period
    

    
      

    

    
      Period Date Scheduled
      Targeted Principal Balance Period Date Scheduled Targeted Principal
      Balance Period Date Scheduled Targeted Principal Balance 0 Oct-2011
      $250,000,000 41 Mar-2015 $164,368,061 82 Aug-2018 $75,531,284 1 Nov-2011
      247,600,214 42 Apr-2015 162,178,416 83 Sep-2018 73,471,594 2 Dec-2011
      245,601,224 43 May-2015 160,045,921 84 Oct-2018 71,641,395 3 Jan-2012
      243,535,250 44 Jun-2015 157,765,112 85 Nov-2018 69,939,227 4 Feb-2012
      241,489,771 45 Jul-2015 155,543,692 86 Dec-2018 68,052,439 5 Mar-2012
      239,567,206 46 Aug-2015 153,245,464 87 Jan-2019 65,597,563 6 Apr-2012
      237,515,234 47 Sep-2015 150,939,389 88 Feb-2019 63,147,911 7 May-2012
      235,518,050 48 Oct-2015 148,597,281 89 Mar-2019 61,372,747 8 Jun-2012
      233,451,119 49 Nov-2015 146,327,481 90 Apr-2019 58,034,629 9 Jul-2012
      231,441,428 50 Dec-2015 144,161,935 91 May-2019 56,424,896 10 Aug-2012
      229,374,104 51 Jan-2016 141,931,226 92 Jun-2019 53,710,624 11 Sep-2012
      227,301,674 52 Feb-2016 139,696,080 93 Jul-2019 52,072,655 12 Oct-2012
      225,287,688 53 Mar-2016 137,583,499 94 Aug-2019 49,197,321 13 Nov-2012
      223,203,508 54 Apr-2016 135,333,378 95 Sep-2019 47,383,240 14 Dec-2012
      221,176,261 55 May-2016 133,184,765 96 Oct-2019 45,561,863 15 Jan-2013
      219,078,263 56 Jun-2016 130,873,215 97 Nov-2019 43,926,935 16 Feb-2013
      216,971,428 57 Jul-2016 128,637,871 98 Dec-2019 42,247,269 17 Mar-2013
      215,056,677 58 Aug-2016 126,394,179 99 Jan-2020 40,551,612 18 Apr-2013
      212,942,158 59 Sep-2016 124,177,434 100 Feb-2020 39,174,152 19 May-2013
      210,881,778 60 Oct-2016 122,051,722 101 Mar-2020 37,564,611 20 Jun-2013
      208,749,388 61 Nov-2016 119,856,825 102 Apr-2020 35,936,258 21 Jul-2013
      206,684,111 62 Dec-2016 117,722,884 103 May-2020 34,674,489 22 Aug-2013
      204,547,179 63 Jan-2017 115,512,612 104 Jun-2020 33,517,661 23 Sep-2013
      202,401,259 64 Feb-2017 113,290,598 105 Jul-2020 32,259,651 24 Oct-2013
      200,315,456 65 Mar-2017 111,296,938 106 Aug-2020 30,959,516 25 Nov-2013
      198,156,988 66 Apr-2017 109,110,020 107 Sep-2020 29,706,673 26 Dec-2013
      196,057,779 67 May-2017 106,979,548 108 Oct-2020 28,343,266 27 Jan-2014
      193,885,423 68 Jun-2017 104,775,780 109 Nov-2020 26,993,203 28 Feb-2014
      191,706,094 69 Jul-2017 102,645,332 110 Dec-2020 25,634,018 29 Mar-2014
      189,717,743 70 Aug-2017 100,445,893 111 Jan-2021 24,314,170 30 Apr-2014
      187,600,860 71 Sep-2017 98,237,282 112 Feb-2021 23,007,250 31 May-2014
      185,543,486 72 Oct-2017 96,091,298 113 Mar-2021 22,299,286 32 Jun-2014
      183,415,726 73 Nov-2017 93,870,744 114 Apr-2021 19,534,956 33 Jul-2014
      181,346,565 74 Dec-2017 91,710,725 115 May-2021 16,813,159 34 Aug-2014
      179,205,942 75 Jan-2018 89,840,249 116 Jun-2021 13,978,255 35 Sep-2014
      177,056,651 76 Feb-2018 87,236,592 117 Jul-2021 11,229,775 36 Oct-2014
      174,968,197 77 Mar-2018 85,362,565 118 Aug-2021 8,405,167 37 Nov-2014
      172,807,053 78 Apr-2018 83,068,371 119 Sep-2021 5,523,728 38 Dec-2014
      170,705,380 79 May-2018 81,197,843 120 Oct-2021 2,779,356 39 Jan-2015
      168,532,295 80 Jun-2018 79,277,544 121 Nov-2021 0 40 Feb-2015
      $166,350,453 81 Jul-2018 77,409,830

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