Document:

Exhibit 10.1

                     AMERICAN HOME MORTGAGE INVESTMENT CORP.

                  9.75% CONVERTIBLE TRUST PREFERRED SECURITIES

                               PURCHASE AGREEMENT

        THIS PURCHASE AGREEMENT (this "Agreement") is made as of June 28, 2007,
by and among American Home Mortgage Investment Corp., a Maryland corporation
(the "Company"), AHM Capital Trust I, a Delaware statutory trust (the "Trust",
and together with the Company, the "Sellers"), the purchasers identified on
Schedule I hereto, as purchasers (collectively, the "Purchasers") and the
Company, as guarantor (in such capacity, the "Guarantor").

                                    RECITALS

        WHEREAS, the Company has authorized the issuance and sale by the Trust
of up to $125,000,000 aggregate principal amount of 9.75% Convertible Trust
Preferred Securities (the "Trust Preferred Securities"), and the Sellers
propose, subject to the terms and conditions stated herein, that the Trust issue
and sell on the Closing Date (as defined below) $125,000,000 in aggregate
principal amount of the Trust Preferred Securities to the Purchasers;

        WHEREAS, the Trust's obligations under the Trust Preferred Securities,
with respect to payment of distributions on the Trust Preferred Securities, if
and to the extent that the Trust has funds available to pay the distributions,
will be guaranteed by the Guarantor (the "Guarantee"), pursuant to a Guarantee
Agreement, dated June 28, 2007 (the "Guarantee Agreement") between the Guarantor
and Wilmington Trust Company, as trustee (the "Guarantee Trustee");

        WHEREAS, the offer and sale of the Trust Preferred Securities, the
Guarantee and the Underlying Securities (as defined below) will not be
registered under the Securities Act of 1933, as amended (together with the rules
and regulations promulgated thereunder, the "Securities Act"), in reliance on an
exemption therefrom;

        WHEREAS, the entire proceeds from the sale of the Trust Preferred
Securities will be combined with the entire proceeds from the sale by the Trust
to the Company of its common securities (the "Common Securities"), and will be
used by the Trust to purchase ($128,866,000) in principal amount of the junior
subordinated convertible debentures of the Company (the "Junior Subordinated
Debentures");

        WHEREAS, the Trust Preferred Securities and the Common Securities for
the Trust will be issued pursuant to the Amended and Restated Declaration of
Trust (the "Trust Agreement"), dated as of the Closing Date, among the Company,
as depositor, Wilmington Trust Company, as property trustee (in such capacity,
the "Property Trustee"), Wilmington Trust Company, as Delaware trustee (in such
capacity, the "Delaware Trustee"), the Administrative Trustees named therein (in
such capacities, the "Administrative Trustees") and the holders from time to
time of undivided beneficial interests in the assets of the Trust, and the Trust
Preferred Securities will be convertible into shares (the "Underlying
Securities") of common stock of the Company, par value $0.01 per share (the
"Common Stock"), on the terms, and subject to the conditions, set forth in the
Indenture;

<PAGE>

        WHEREAS, the Junior Subordinated Debentures will be issued pursuant to
an indenture (the "Indenture") to be dated as of the Closing Date between the
Company and Wilmington Trust Company, as Trustee (the "Indenture Trustee"); and

        WHEREAS, the Purchasers will be entitled to the benefits of a
Registration Rights Agreement substantially in the form attached as Exhibit A
hereto covering the Underlying Securities to be dated as of the Closing Date by
and among the Company, the Guarantor and the Purchasers (the "Registration
Rights Agreement" and, together with this Agreement, the Indenture, the
Guarantee, the Trust Agreement and the Securities, the "Transaction Documents").

        The Trust Preferred Securities, the Common Securities and the Junior
Subordinated Debentures are collectively referred to herein as the "Securities."
All other capitalized terms used but not defined in this Agreement shall have
the respective meanings ascribed thereto in the Indenture.

                                    AGREEMENT

        NOW, THEREFORE, in consideration of the foregoing premises, the mutual
promises and covenants set forth herein and certain other good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged, the
parties agree as follows:

        1. Agreement to Sell and Purchase.

               (a) Trust Preferred Securities. On the basis of the
        representations and warranties contained in this Agreement, and subject
        to the terms and conditions of this Agreement, the Sellers agree that
        the Trust shall issue and sell $125,000,000 aggregate principal amount
        of the Trust Preferred Securities to the Purchasers, and the Purchasers,
        upon the basis of the representations and warranties herein contained,
        but subject to the conditions hereinafter stated, severally agree to
        purchase from the Sellers the aggregate principal amount of Trust
        Preferred Securities set forth opposite their name on Schedule I hereto
        at a purchase price of 100% of the principal amount thereof (the
        "Purchase Price"). The Trust shall use the Purchase Price, together with
        the proceeds from the sale of the Common Securities to purchase the
        Junior Subordinated Debentures from the Company.

        2. Closing.

               (a) Trust Preferred Securities. Payment for the Trust Preferred
        Securities shall be made by the Purchasers to the Sellers by wire
        transfer in immediately available funds to an account specified in
        writing by the Sellers to the Purchasers in United States dollars in
        cash or other funds immediately available in New York City against
        delivery to the Purchasers of the Trust Preferred Securities purchased
        by such Purchaser at 10:00 a.m., New York City time, on June 28, 2007,
        or at such other time on the same or such other date as shall be
        mutually agreed upon by the Sellers and the Purchasers. The time and
        date of such payment and delivery are hereinafter referred to as the
        "Closing Date."

                                       2
<PAGE>

        3. Representations and Warranties. The Company and the Trust, jointly
and severally, represent and warrant to the Purchasers as of the date hereof and
as of the Closing Date the following:

               (a) Neither the Company nor the Trust, nor any of their
        "Affiliates" (as defined in Rule 501(b) of Regulation D ("Regulation D")
        under the Securities Act), nor any person acting on its or their behalf,
        has directly, or through any agent, sold, offered for sale, solicited
        offers to buy, or otherwise approached or negotiated with, any Person in
        respect of, any security (as defined in the Securities Act) that is or
        will be integrated with the sale of the Securities in a manner that
        would require (i) the registration under the Securities Act of the
        issuance of any of the Securities contemplated hereby or (ii) the
        approval of the stockholders of the Company in accordance with the rules
        and regulations of the New York Stock Exchange, Inc. (the "NYSE").

               (b) Neither the Company, nor the Trust, nor any of their
        Affiliates or any person acting on its or their behalf, has offered or
        sold any of the Securities by means of any general solicitation or
        general advertising within the meaning of Rule 502(c) under the
        Securities Act, including (i) any advertisement, article, notice or
        other communication published in any newspaper, magazine or similar
        medium or broadcast over television or radio, or (ii) any seminar or
        meeting whose attendees have been invited by any general solicitation or
        general advertising in the United States.

               (c) The Securities (i) are not and have not been listed on a
        national securities exchange registered under Section 6 of the
        Securities Exchange Act of 1934, as amended (the "Exchange Act"), or
        quoted on a U.S. automated inter-dealer quotation system and (ii) are
        not of an open-end investment company, unit investment trust or
        face-amount certificate company that are, or are required to be,
        registered under Section 8 of the Investment Company Act of 1940, as
        amended (the "Investment Company Act"), and the Securities otherwise
        satisfy the eligibility requirements of Rule 144A(d)(3) promulgated
        pursuant to the Securities Act ("Rule 144A(d)(3)").

               (d) Neither the Company nor the Trust, nor any of their
        Affiliates, is, and, immediately following consummation of the
        transactions contemplated hereby and the application of the net proceeds
        therefrom, will not be, an "investment company" or an entity
        "controlled" by an "investment company," as such terms are defined in
        the Investment Company Act.

               (e) Neither the Company nor the Trust has paid or agreed to pay
        to any person any compensation in connection with the transaction
        contemplated hereby, except for the structuring fee to be paid to
        Marathon Asset Management, LLC pursuant to a Fee Agreement dated June
        27, 2007 between the Company and Marathon Asset Management, LLC in
        connection with the purchase by certain investment funds managed by
        Marathon of Trust Preferred Securities.

               (f) The Trust has been duly formed and is validly existing in
        good standing as a statutory trust under the Delaware Statutory Trust
        Act, 12 Del. C. ss.ss. 3801, et seq. (the "Statutory Trust Act"), with
        all requisite power and authority to own property and to

                                       3
<PAGE>

        conduct the business it transacts and proposes to transact and to enter
        into and perform its obligations under the Transaction Documents to
        which it is a party. The Trust has conducted and will conduct no
        business other than the transactions contemplated by this Agreement. The
        Trust is duly qualified to transact business as a foreign entity and is
        in good standing in each jurisdiction in which such qualification is
        necessary, except where the failure to so qualify or be in good standing
        would not, individually or in the aggregate, have a material adverse
        effect or prospective material adverse effect on the condition
        (financial or otherwise), earnings, business, assets and liabilities of
        the Trust, whether or not occurring in the ordinary course of business.
        The Trust is not a party to or otherwise bound by any agreement other
        than the Transaction Documents and agreements and instruments incidental
        to the transactions contemplated by this Agreement. The Trust has no
        liabilities or obligations other than those arising out of the
        transactions contemplated by the Transaction Documents. The Company and
        the Trust intend to treat the Trust for federal income tax purposes as a
        grantor trust and not as an association or publicly traded partnership
        taxable as a corporation.

               (g) The Trust Agreement has been duly authorized by the Company
        and, on the Closing Date, will have been duly executed and delivered by
        the Company and the Administrative Trustees of the Trust, and, assuming
        due authorization, execution and delivery by the Property Trustee and
        the Delaware Trustee, will be a legal, valid and binding obligation of
        the Company and the Administrative Trustees, enforceable against them in
        accordance with its terms, subject to applicable bankruptcy, insolvency
        and similar laws affecting creditors' rights generally and to general
        principles of equity. Each of the Administrative Trustees of the Trust
        is an employee of the Company and has been duly authorized by the
        Company to execute and deliver the Trust Agreement and other documents
        and agreements related to the transactions contemplated hereby.

               (h) The Guarantee of the Guarantor and the Guarantee Agreement
        have been duly authorized by all necessary corporate action by the
        Company and, when duly executed and delivered in accordance with the
        terms of the Indenture, the Guarantee and the Guarantee Agreement will
        be the legally valid and binding obligations of the Company, enforceable
        against it in accordance with their terms, subject to applicable
        bankruptcy, insolvency, fraudulent conveyance or transfer,
        reorganization, moratorium and similar laws affecting creditors' rights
        and remedies generally, and to general principles of equity, including
        principles of materiality, commercial reasonableness, good faith and
        fair dealing (regardless of whether enforcement is sought in a
        proceeding at law or in equity).

               (i) Upon issuance and delivery of the Securities in accordance
        with this Agreement and the Transaction Documents, the Securities will
        be convertible at the option of the holder thereof into the Underlying
        Securities in accordance the terms of the Transaction Documents; the
        Underlying Securities issuable upon conversion of the Securities have
        been duly authorized and the initial number of shares into which the
        Securities are convertible have been reserved for issuance and, when
        issued upon conversion of the Securities in accordance with the terms of
        the Transaction Documents, will be validly issued, fully paid and non
        assessable, and the issuance of the Underlying Securities will not be
        subject to any preemptive or similar rights.

                                       4
<PAGE>

               (j) The Registration Rights Agreement has been duly authorized by
        the Company and the Guarantor and when executed and delivered by the
        Company and the Guarantor (assuming the due authorization, execution and
        delivery thereof by the Purchasers) shall constitute a legal, valid and
        binding agreement of the Company and the Guarantor, enforceable against
        each of them in accordance with its terms, subject to applicable
        bankruptcy, insolvency, fraudulent conveyance or transfer,
        reorganization, moratorium and similar laws affecting creditors' rights
        and remedies generally, and to general principles of equity, including
        principles of materiality, commercial reasonableness, good faith and
        fair dealing (regardless of whether enforcement is sought in a
        proceeding at law or in equity) and except that rights to
        indemnification and contribution thereunder may be limited by federal or
        state securities laws or public policy relating thereto.

               (k) The Indenture has been duly authorized by the Company and, on
        the Closing Date, will have been duly executed and delivered by the
        Company, and, assuming due authorization, execution and delivery by the
        Indenture Trustee, will be a legal, valid and binding obligation of the
        Company enforceable against it in accordance with its terms, subject to
        applicable bankruptcy, insolvency, fraudulent conveyance or transfer,
        reorganization, moratorium and similar laws affecting creditors' rights
        and remedies generally, and to general principles of equity, including
        principles of materiality, commercial reasonableness, good faith and
        fair dealing (regardless of whether enforcement is sought in a
        proceeding at law or in equity).

               (l) The Common Securities have been duly authorized for issuance
        by the Trust pursuant to the Trust Agreement and, when duly issued and
        executed in accordance with the Trust Agreement and delivered by the
        Trust to the Company against payment therefor in accordance with the
        Common Securities Subscription Agreement therefor, will be validly
        issued, fully paid and non-assessable undivided common beneficial
        ownership interests in the assets of the Trust; the issuance of the
        Common Securities is not subject to preemptive or other similar rights;
        and on the Closing Date, all of the issued and outstanding Common
        Securities of the Trust will be owned directly by the Company, free and
        clear of any security interest, mortgage, pledge, lien, encumbrance,
        claim, equitable right or encumbrance of any kind ("Lien").

               (m) The Trust Preferred Securities have been duly authorized for
        issuance by the Trust pursuant to the Trust Agreement and, when duly
        issued, executed and authenticated in accordance with the Trust
        Agreement and delivered by the Trust against payment therefor as
        provided herein, will be validly issued, fully paid and non-assessable
        undivided preferred beneficial ownership interests in the assets of the
        Trust; the issuance of the Trust Preferred Securities will not be
        subject to preemptive or other similar rights; and the Trust Preferred
        Securities will be in the form contemplated by, and entitled to the
        benefits of, the Trust Agreement.

               (n) The Junior Subordinated Debentures have been duly authorized
        by the Company and, on the Closing Date, will have been duly executed
        and delivered to the Indenture Trustee for authentication in accordance
        with the Indenture and, when authenticated in the manner provided for in
        the Indenture and delivered to the Trust

                                       5
<PAGE>

        against payment therefor in accordance with the Junior Subordinated
        Debenture Purchase Agreement, will constitute legal, valid and binding
        obligations of the Company entitled to the benefits of the Indenture,
        enforceable against the Company in accordance with their terms, subject
        to applicable bankruptcy, insolvency, fraudulent conveyance or transfer,
        reorganization, moratorium and similar laws affecting creditors' rights
        and remedies generally, and to general principles of equity, including
        principles of materiality, commercial reasonableness, good faith and
        fair dealing (regardless of whether enforcement is sought in a
        proceeding at law or in equity).

               (o) This Agreement has been duly authorized, executed and
        delivered by the Company and the Trust.

               (p) Neither the issue and sale of the Securities, nor the
        purchase of the Junior Subordinated Debentures by the Trust, nor the
        execution and delivery of and compliance with the Transaction Documents
        by the Company or the Trust, nor the consummation of the transactions
        contemplated herein or therein, (i) will conflict with, result in any
        breach of, or constitute default under (or constitute any event which
        with notice, lapse of time or both, would constitute a breach of, or
        default under) (A) any provision of the Trust Agreement or the articles
        of incorporation, charter or organizational documents, as applicable,
        and of the bylaws, and all amendments and supplements thereto
        (collectively, the "Charter Documents") of the Company or any subsidiary
        of the Company or (B) any federal, state, local or foreign law, rule or
        regulation or any decree, judgment or order of any federal, state, local
        or foreign governmental or regulatory commission, board, body,
        authority, arbitral panel or agency (collectively, the "Governmental
        Entities") applicable to the Trust or the Company or any of its
        subsidiaries or their respective properties or assets, (ii) will
        conflict with or constitute a violation or breach of, or a default or
        Repayment Event (as defined below) under, or result in the creation or
        imposition of any Lien upon any property or assets of the Trust, the
        Company or any of the Company's subsidiaries pursuant to, any contract,
        indenture, mortgage, loan agreement, note, lease or other agreement or
        instrument to which (A) the Trust, the Company or any of its
        subsidiaries is a party or by which it or any of them may be bound, or
        (B) to which any of the property or assets of any of them is subject, or
        any judgment, order or decree of any court, Governmental Entity or
        arbitrator, except, in the case of clauses (i)(B) and (ii) above, for
        such conflicts, breaches, violations, defaults, Repayment Events (as
        defined below) or Liens which (X) would not, individually or in the
        aggregate, adversely affect the consummation of the transactions
        contemplated by the Transaction Documents and (Y) would not,
        individually or in the aggregate, have a material adverse effect or
        prospective material adverse effect on the condition (financial or
        otherwise), earnings, business, management, financial position,
        stockholders' equity or results of operations of the Company and its
        subsidiaries taken as a whole, whether or not arising from transactions
        occurring in the ordinary course of business (a "Material Adverse
        Effect") or (iii) require an approval, authorization, consent or order
        of or filing with any Governmental Entity. As used herein, a "Repayment
        Event" means any event or condition which gives the holder of any note,
        debenture or other evidence of indebtedness (or any person acting on
        such holder's behalf) the right to require the repurchase, redemption or
        repayment of all or a portion of such indebtedness by the Trust or the
        Company or any of its subsidiaries prior to its scheduled maturity.

                                       6
<PAGE>

               (q) Each of the Company and its subsidiaries has been duly
        incorporated and is validly existing as a corporation or limited
        liability company in good standing under the laws of its respective
        jurisdiction of incorporation or organization, with full corporate power
        or limited liability company power and authority, as the case may be, to
        own its respective properties and conduct its respective business it
        transacts and proposes to transact.

               (r) The Company and each of its subsidiaries are duly qualified
        in or licensed by each jurisdiction in which they conduct their
        respective businesses, and the Company and each of its subsidiaries are
        duly qualified, and are in good standing, in each jurisdiction in which
        they own or lease real property or maintain an office and in which such
        qualification is necessary, except where the failure to be so qualified
        or licensed and in good standing, individually or in the aggregate would
        not have a Material Adverse Effect. No subsidiary is prohibited or
        restricted, directly or indirectly, from paying dividends to the
        Company, or from making any other distribution with respect to such
        subsidiary's capital stock or from repaying to the Company or any other
        subsidiary any amounts which may from time to time become due under any
        loans or advances to such subsidiary from the Company or such other
        subsidiary, or from transferring any such subsidiary's property or
        assets to the Company or to any other subsidiary and the Company does
        not own, directly or indirectly, any capital stock or other equity
        securities of any other corporation or any ownership interest in any
        partnership, joint venture or other association except as have been
        disclosed to the Purchasers.

               (s) Each of the Trust, the Company and each of the Company's
        subsidiaries has all necessary licenses, authorizations, consents and
        approvals and has made all necessary filings required under any federal,
        state or local law, regulation or rule, and has obtained all necessary
        authorizations, consents and approvals from other persons, required in
        order to conduct their respective businesses as now being conducted,
        except to the extent that any failure to have any such licenses,
        authorizations, consents and approvals, to make such filings or to
        obtain such authorizations, consents or approvals would not,
        individually or in the aggregate, have a Material Adverse Effect; the
        Company and its subsidiaries are in compliance with all applicable laws,
        rules, regulations, judgments, orders, decrees and consents, except
        where the failure to be in compliance would not, individually or in the
        aggregate, have a Material Adverse Effect; neither the Trust, the
        Company nor any of the Company's subsidiaries has received any notice
        regarding a possible violation, default or revocation of any such
        license, authorization, consent or approval or of any federal, state,
        local or foreign law, regulation or rule or any decree, order or
        judgment of any Governmental Entity applicable to the Company, the Trust
        or any of the Company's subsidiaries the effect of which, individually
        or in the aggregate, would reasonably be expected to result in a
        Material Adverse Effect.

               (t) All of the outstanding shares of capital stock of the Company
        and its subsidiaries have been duly authorized and validly issued and
        are fully paid and non-assessable and were not issued in violation of
        any preemptive right, resale right, right of first refusal or similar
        right; all of the issued and outstanding capital stock of the
        subsidiaries of the Company are directly or indirectly owned of record
        and beneficially by the Company, free and clear of any Lien, claim or
        equitable right.

                                       7
<PAGE>

               (u) Neither the Company nor any of its subsidiaries is in breach
        of or in default under (nor has any event occurred which with notice,
        lapse of time, or both would constitute a breach of, or default under)
        (i) its respective Charter Documents or (ii) in the performance or
        observance of any covenant contained in any license, indenture,
        mortgage, loan or credit agreement or other agreement or instrument to
        which the Company or any of its subsidiaries is a party or by any of
        them or their respective properties is bound, except for such breaches
        or defaults which, individually or in the aggregate, would not have a
        Material Adverse Effect.

               (v) There are no actions, suits, proceedings, inquiries or
        investigations pending or, to the knowledge of the Company or the Trust,
        threatened against the Trust or the Company or any of the Company's
        subsidiaries or any of their respective officers and directors or to
        which the properties or assets or rights of any such entity are subject,
        at law or in equity, before or by any Governmental Entity which could
        result in a judgment, decree, award or order having a Material Adverse
        Effect or preventing the consummation of the transactions contemplated
        by the Transaction Documents; and the aggregate of all pending legal or
        governmental proceedings to which the Trust or the Company or any of its
        subsidiaries is a party or of which any of their respective properties
        or assets is subject, including ordinary routine litigation incidental
        to the business, are not expected to result in a Material Adverse
        Effect.

               (w) Deloitte & Touche LLP, the accountants of the Company who
        certified the Audited Financial Statements (as defined below) are and
        were, during the periods covered by their reports independent public
        accountants of the Company and its subsidiaries within the meaning of
        the Securities Act, and the rules and regulations of the Securities and
        Exchange Commission (the "Commission") thereunder.

               (x) The audited consolidated financial statements (including the
        notes thereto) of the Covered Entities (as defined below) for the fiscal
        year ended December 31, 2006 (the "Audited Financial Statements") and
        the interim unaudited consolidated financial statements of the Company
        and its consolidated subsidiaries for the quarter ended March 31, 2007
        (the "Interim Financial Statements") provided to the Purchasers are the
        most recent available audited and unaudited consolidated financial
        statements of the Covered Entities, respectively, and fairly present in
        all material respects in accordance with United States generally
        accepted accounting principles ("GAAP"), the consolidated financial
        position of the entities to which such financial statements relate (the
        "Covered Entities") as of the dates indicated and the consolidated
        results of operations and changes in financial position and cash flows
        of the Covered Entitles for the periods specified, subject, in the case
        of Interim Financial Statements, to year-end adjustments (which are
        expected to consist solely of normal recurring adjustments). Such
        financial statements have been prepared in accordance with GAAP applied
        on a consistent basis during the periods involved and in accordance with
        Regulation S-X promulgated by the Commission; the financial statement
        schedules included in such Audited Financial Statements or Interim
        Financial Statements, as applicable, fairly present the information
        shown therein.

                                       8
<PAGE>

               (y) None of the Trust, the Company nor any of its subsidiaries
        has any material liability, whether known or unknown, whether asserted
        or unasserted, whether absolute or contingent, whether accrued or
        unaccrued, whether liquidated or unliquidated, and whether due or to
        become due, including any liability for taxes (and there is no past or
        present fact, situation, circumstance, condition or other basis for any
        present or future action, suit, proceeding, hearing, charge, complaint,
        claim or demand against the Company or its subsidiaries that could give
        rise to any such liability), except for (i) liabilities set forth in the
        Audited Financial Statements or the Interim Financial Statements (ii)
        normal fluctuations in the amount of the liabilities referred to in
        clause (i) above occurring in the ordinary course of business of the
        Trust, the Company and all of its subsidiaries since the date of the
        most recent balance sheet included in such Financial Statements and
        (iii) taxes not yet due and taxes being contested through appropriate
        proceedings for which reserves are maintained in accordance with GAAP.

               (z) Since the respective dates of the Audited Financial
        Statements and the Interim Financial Statements and except as disclosed
        in the Company's Annual Report on Form 10-K, Quarterly Reports on Form
        10-Q or Current Reports on Form 8-K, there has not been (A) any Material
        Adverse Effect, (B) any transactions entered into by the Company or any
        of its subsidiaries, other than those in the ordinary course of
        business, which are material with respect to the Company and its
        subsidiaries considered as one enterprise or (C) any dividend or
        distribution of any kind declared, paid or made by the Company on any
        class of its capital stock other than regular quarterly dividends on the
        Company's common and preferred stock.

               (aa) The documents of the Company filed with the Commission in
        accordance with the Exchange Act, from and including the commencement of
        the fiscal year covered by the Company's most recent Annual Report on
        Form 10-K, at the time they were or hereafter are filed by the Company
        with the Commission (collectively, the "Exchange Act Reports"), complied
        and will comply in all material respects with the requirements of the
        Exchange Act and the rules and regulations of the Commission thereunder
        (the "Exchange Act Regulations"), and, at the date of this Agreement and
        on the Closing Date, when taken together, do not and will not include an
        untrue statement of a material fact or omit to state a material fact
        required to be stated therein or necessary to make the statements
        therein, in the light of the circumstances under which they were made,
        not misleading; and other than such instruments, agreements, contracts
        and other documents as are filed as exhibits to the Company's Annual
        Report on Form 10-K, Quarterly Reports on Form 10-Q or Current Reports
        on Form 8-K, there are no instruments, agreements, contracts or
        documents of a character described in Item 601 of Regulation S-K
        promulgated by the Commission to which the Company or any of its
        subsidiaries is a party. The Company is in compliance in all material
        respects with all currently applicable requirements of the Exchange Act
        that were added by the Sarbanes-Oxley Act of 2002.

               (bb) No labor dispute with the employees of the Company or any of
        its subsidiaries exists or, to the knowledge of the executive officers
        of the Company, is imminent, except those which would not, individually
        or in the aggregate, have a Material Adverse Effect.

                                       9
<PAGE>

               (cc) No approval, authorization, consent or order of or filing
        with any Governmental Entity is required in connection with the
        execution, delivery and performance by the Trust or the Company of their
        respective obligations under the Transaction Documents, as applicable,
        or the consummation by the Trust and the Company of the transactions
        contemplated by the Transaction Documents, including the issuance and
        sale of the Securities, other than those that have been made or
        obtained.

               (dd) The Company has good and marketable title in fee simple to
        its real property at (i) 538 Broadhollow Road, Melville, New York 11747
        and (ii) 950 North Elmhurst Road, Mt. Prospect, Illinois 60056, free and
        clear of all Liens, except for such Liens or defects in title which
        would not, individually or in the aggregate, have a Material Adverse
        Effect; any real property and buildings held under lease by the Company
        or any subsidiary are held under valid, existing and enforceable leases,
        except for any exceptions which would not, individually or in the
        aggregate, have a Material Adverse Effect; and the Company or an
        affiliate of the Company has good and marketable title to all of its
        personal property, free and clear of all Liens, except for such Liens or
        defects in title which would not, individually or in the aggregate, have
        a Material Adverse Effect;

               (ee) The Company has met and meets requirements for qualification
        and taxation as a real estate investment trust (a "REIT") under the
        Internal Revenue Code of 1986, as amended (the "Code"), and the Company
        expects, so long as its Board of Directors deems it to be in the best
        interests of the Company, to continue to be organized and to operate in
        a manner so as to qualify as a REIT in the taxable year ending December
        31, 2007 and succeeding taxable years.

               (ff) Neither the Company nor any of its affiliates (i) is
        required to register as a "broker" or "dealer" in accordance with the
        provisions of the Exchange Act, or the rules and regulations thereunder,
        or (ii) directly, or indirectly through one or more intermediaries,
        controls or has any other association with (within the meaning of
        Article I of the Bylaws of the National Association of Securities
        Dealers, Inc. (the "NASD")) any member firm of the NASD;

               (gg) Each of the Company and its subsidiaries has filed on a
        timely basis all necessary Tax Returns (as defined below) required to be
        filed through the date hereof, and all such Tax Returns are true,
        correct and complete in all material respects. The Company and each of
        the its subsidiaries have timely and duly paid in full all material
        Taxes required to be paid by them (whether or not such amounts are shown
        as due on any Tax Return). There are no material federal, state, or
        other Tax audits or deficiency assessments proposed or pending with
        respect to the Company or any of the Significant Subsidiaries, and no
        such audits or assessments are threatened. As used herein, the terms
        "Tax" or "Taxes" mean (i) all federal, state, local, and foreign taxes,
        and other assessments of a similar nature (whether imposed directly or
        through withholding), including any interest, additions to tax, or
        penalties applicable thereto, imposed by any Governmental Entity, and
        (ii) all liabilities in respect of such amounts arising as a result of
        being a member of any affiliated, consolidated, combined, unitary or
        similar group, as a successor to another person or by contract. As used
        herein, the term "Tax Returns" means all federal, state, local, and
        foreign tax returns, declarations, statements, reports,

                                       10
<PAGE>

        schedules, forms, and information returns and any amendments thereto
        filed or required to be filed with any Governmental Entity.

               (hh) The books, records and accounts of the Company and its
        subsidiaries accurately and fairly reflect, in reasonable detail, the
        transactions in, and dispositions of, the assets of, and the results of
        operations of, the Company and its subsidiaries. (i) The Company and
        each of its subsidiaries maintains a system of internal accounting
        controls sufficient to provide reasonable assurances that (A)
        transactions are executed in accordance with management's general or
        specific authorizations, (B) transactions are recorded as necessary to
        permit preparation of financial statements in accordance with GAAP and
        to maintain asset accountability, (C) access to assets is permitted only
        in accordance with management's general or specific authorization and
        (D) the recorded accountability for assets is compared with the existing
        assets at reasonable intervals and appropriate action is taken with
        respect to any differences, and (ii) the Company maintains a system of
        "disclosure controls and procedures" (as such term is defined in Rule
        13a-15(e) under the Exchange Act).

               (ii) The Company and its subsidiaries are insured by insurers of
        recognized financial responsibility against such losses and risks and in
        such amounts in all material respects as are customary in the businesses
        in which they are engaged or propose to engage after giving effect to
        the transactions contemplated hereby including but not limited to, real
        or personal property owned or leased against theft, damage, destruction,
        act of vandalism and all other risks customarily insured against. All
        policies of insurance and fidelity or surety bonds insuring the Company
        or any of its subsidiaries or the Company's or its subsidiaries'
        respective businesses, assets, employees, officers and directors are in
        full force and effect. The Company and each of the subsidiaries are in
        compliance with the terms of such policies and instruments in all
        material respects. Neither the Company nor any of its subsidiaries has
        reason to believe that it will not be able to renew its existing
        insurance coverage as and when such coverage expires or to obtain
        similar coverage from similar insurers as may be necessary to continue
        its business at a cost that would not have a material adverse effect on
        the Company and its subsidiaries, taken as a whole. Within the past
        twelve months, neither the Company nor any subsidiary has been denied
        any insurance coverage which it has sought or for which it has applied.

               (jj) Neither the Company nor any of its subsidiaries nor, to the
        knowledge of the senior executive officer's of the Company, any officer
        or director purporting to act on behalf of the Company or any of its
        subsidiaries has at any time: (i) made any contributions to any
        candidate for political office, or failed to disclose fully any such
        contributions, in violation of law, (ii) made any payment to any state,
        federal or foreign governmental officer or official, or other person
        charged with similar public or quasi-public duties, other than payments
        required or allowed by applicable law, (iii) made any payment outside
        the ordinary course of business to any investment officer or loan broker
        or person charged with similar duties of any entity to which the Company
        or any of its subsidiaries sells or from which the Company or any of its
        subsidiaries buys loans or servicing arrangements for the purpose of
        influencing such agent, officer, broker or person to buy loans or
        servicing arrangements from or sell loans to the Company or any

                                       11
<PAGE>

        of its subsidiaries, (iv) engaged in any transactions, maintained any
        bank account or used any corporate funds except for transactions, bank
        accounts and funds which have been and are reflected in the normally
        maintained books and records of the Company and its subsidiaries or (v)
        made any other payment of funds of the Company or its subsidiaries or
        received or retained any funds in violation of any law, rule or
        regulation, which payment, receipt or retention of funds is of a
        character required to be disclosed to the Purchasers.

               (kk) The information provided by the Company and the Trust
        pursuant to this Agreement and the transactions contemplated hereby does
        not, as of the date hereof, and will not as of the Closing Date, contain
        any untrue statement of a material fact or omit to state any material
        fact necessary to make the statements therein, in the light of the
        circumstances under which they were made, not misleading.

               (ll) Subject to compliance by the Purchasers with the
        representations and warranties contained in Section 4 hereof and the
        Purchasers' compliance with the transfer procedures and restrictions set
        forth in the Transaction Documents, it is not necessary in connection
        with the offer, issuance, sale and delivery of the Trust Preferred
        Securities in the manner contemplated by this Agreement and the other
        Transaction Documents to register the offer or sale of any of the
        Securities, Guarantee or Underlying Securities under the Securities Act
        or to qualify the Indenture, the Trust Agreement or the Guarantee
        Agreement under the Trust Indenture Act of 1939, as amended (the "1939
        Act").

               (mm) Neither the Company, nor any of its subsidiaries nor any of
        their officers or directors or any of their affiliates has, since June
        1, 2007, taken, or will take, directly or indirectly, any action
        designed or intended to stabilize or manipulate the price of any
        security of the Company, or that caused or resulted in, or that might in
        the future reasonably be expected to cause or result in, stabilization
        or manipulation of the price of any security of the Company.

               (nn) The Common Stock is registered pursuant to Section 12(b) of
        the Exchange Act and is listed on the NYSE under the symbol "AHM", and
        the Company has not taken any action designed to or reasonably likely to
        result in the termination of the registration of the Common Stock under
        the Exchange Act or delisting of the Common Stock from the NYSE.

               (oo) The Trust Preferred Securities are eligible for resale
        pursuant to Rule 144A and will not be, on the Closing Date, of the same
        class as securities listed on a national securities exchange registered
        under Section 6 of the 1934 Act, or quoted in a U.S. automated
        interdealer quotation system.

               (pp) (i) The Company is in compliance with all presently
        applicable provisions of the Employee Retirement Income Security Act of
        1974, as amended, including the regulations and published
        interpretations thereunder ("ERISA"), except where the failure to be in
        such compliance would not, individually or in the aggregate, reasonably
        be expected to have a Material Adverse Effect; (ii) no "reportable
        event" (as defined in ERISA) has occurred with respect to any "pension
        plan" (as defined in ERISA) for which

                                       12
<PAGE>

        the Company is required to provide notice under Section 4043 of ERISA
        and would have any liability, except where such liability would not,
        individually or in the aggregate, reasonably be expected to have a
        Material Adverse Effect; (iii) except for matters that would not,
        individually or in the aggregate, reasonably be expected to have a
        Material Adverse Effect, (a) with respect to any "pension plan" (other
        than a "multiemployer plan" (as defined in ERISA)), the Company has not
        incurred and does not expect to incur liability under Title IV of ERISA
        with respect to termination of, or withdrawal from, such "pension plan,"
        or under Section 412 or 4971 of the Internal Revenue Code of 1986, as
        amended, including the regulations and published interpretations
        thereunder ("Code"), and (b) with respect to any "pension plan" that is
        a "multiemployer plan," the Company has not received notice that the
        Company has incurred liability under Title IV of ERISA with respect to
        termination of, or withdrawal from, such "pension plan," or under
        Section 412 or 4971 of the Code; (iv) except where the failure to be in
        such compliance would not, individually or in the aggregate, reasonably
        be expected to have a Material Adverse Effect, each "pension plan"
        (other than a "multiemployer plan") for which the Company and each of
        the Guarantors would have any liability that is intended to be qualified
        under Section 401(a) of the Code is so qualified in all material
        respects and nothing has occurred, whether by action or by failure to
        act, which would reasonably be expected cause the loss of such
        qualification; and (v) except where the failure to be in such compliance
        would not, individually or in the aggregate, reasonably be expected to
        have a Material Adverse Effect, no non-exempt "prohibited transaction"
        (as defined in Section 406 of ERISA or Section 4975 of the Code) or
        "accumulated funding deficiency" (as defined in Section 302 of ERISA)
        has occurred with respect to any "pension plan" (other than a
        "multiemployer plan") for which the Company and each of the Guarantors
        would have any liability.

               (qq) Other than the Registration Rights Agreement, the Company
        has not granted or agreed to grant to any Person any rights (including
        "piggy back" registration rights) to have any securities of the Company
        registered with the Commission or any other governmental authority that
        have not been satisfied.

               (rr) American Home Bank, as of March 30, 2007 and after giving
        effect to the issuance of the Trust Preferred Securities, (A) was and
        will continue to be (i) "well capitalized" (as such term is defined for
        purposes of 12 C.F.R. 567.1 et seq.) with respect to its "Tier 1"
        capital and total capital requirements and (ii) "adequately capitalized"
        (as such term is defined for purposes of 12 C.F.R. 567.1 et seq.) with
        respect to its leverage ratio and (B) satisfied and will continue to
        satisfy all applicable rules and regulations of the Office of Thrift
        Supervision (the "OTS") and meet all applicable minimum capital
        requirements established by the OTS.

Each Purchaser acknowledges and agrees that the Company has not made and does
not make any representations or warranties with respect to the transactions
contemplated hereby other than those specifically set forth in this Section 3.

        4. Representations and Warranties of the Purchasers. The Purchasers
severally represent and warrant to, agree with, and with respect to (g) through
(k) covenant to, the Company and the Trust as follows:

                                       13
<PAGE>

               (a) Such Purchaser is aware that the Securities have not been and
        will not be registered under the Securities Act and may not be offered
        or sold within the United States or to "U.S. persons" (as defined in
        Regulation S under the Securities Act) except in accordance with Rule
        903 of Regulation S under the Securities Act or pursuant to an exemption
        from the registration requirements of the Securities Act.

               (b) Such Purchaser is an "accredited investor," as such term is
        defined in Rule 501(a) of Regulation D under the Securities Act.

               (c) Neither such Purchaser, nor any of such Purchaser's
        affiliates, nor any person acting on such Purchaser's or such
        Purchaser's Affiliate's behalf has engaged, or will engage, in any form
        of "general solicitation or general advertising" (within the meaning of
        Regulation D under the Securities Act) in connection with any offer or
        sale of the Trust Preferred Securities.

               (d) Such Purchaser understands and acknowledges that (i) no
        public market exists for any of the Securities and that it is unlikely
        that a public market will ever exist for the Securities, (ii) such
        Purchaser is purchasing the Securities for its own account, for
        investment and not with a view to, or for offer or sale in connection
        with, any distribution thereof in violation of the Securities Act or
        other applicable securities laws, subject to any requirement of law that
        the disposition of its property be at all times within its control and
        subject to its ability to resell such Securities pursuant to an
        effective registration statement under the Securities Act or pursuant to
        an exemption therefrom or in a transaction not subject thereto, and such
        Purchaser agrees to the legends and transfer restrictions applicable to
        the Securities contained in the Indenture, and (iii) such Purchaser has
        had the opportunity to ask questions of, and receive answers and request
        additional information from, the Company and is aware that it may be
        required to bear the economic risk of an investment in the Securities
        indefinitely.

               (e) Each Purchaser has all requisite (i) power and authority to
        execute, deliver and perform the Transaction Documents to which it is a
        party, to make the representations and warranties specified herein and
        therein and to consummate the transactions contemplated herein and (ii)
        right and power to purchase the Securities.

               (f) This Agreement has been duly authorized, executed and
        delivered by such Purchaser and no approval, authorization, consent or
        order or filing with any Governmental Agency having jurisdiction over
        such Purchaser, other than those that have been made or obtained, is
        required in connection with the performance by such Purchaser of its
        obligations under this Agreement or the consummation the transactions
        contemplated herein.

               (g) The Purchaser represents and warrants that it will provide a
        properly completed and executed IRS Form W-9, W-8BEN, W-8ECI, or W-8IMY
        or any successor thereto (with all appropriate attachments), that
        eliminates U.S. federal withholding tax and backup withholding tax on
        payments under the Trust Agreement prior to the first payment date on
        the Preferred Securities, promptly upon the request of

                                       14
<PAGE>

        the Property Trustee, and prior to any such form previously provided by
        it becoming obsolete or incorrect.

               (h) The Purchaser represents and warrants that it will, unless
        otherwise required by law, (i) treat the Trust as a grantor trust for
        U.S. federal income tax purposes, (ii) treat the Securities as undivided
        beneficial ownership interests in the Trust Property for U.S. federal
        income tax purposes, and (iii) treat the Notes as indebtedness of the
        Company for U.S. federal income tax purposes.

               (i) The Purchaser intends that the Trust is, and under current
        law will continue to be, classified for U.S. federal income tax purposes
        as a grantor trust and not as a business entity or as an association or
        publicly traded partnership taxable as a corporation and the Purchaser
        agrees not to take any action inconsistent with such intention, unless
        otherwise required by law.

               (j) If the Purchaser is not a United States Person for U.S.
        federal income tax purposes (a "U.S. Person"), then the Purchaser will
        irrevocably appoint a U.S. Person with discretionary powers to act as
        its agent with respect to consents and other votes under the Preferred
        Securities held by the Purchaser, at such time that any such consent or
        other vote arises under the Trust Agreement. Note: Purchasers that are
        not U.S. Persons are required to irrevocably appoint a U.S. Person with
        discretionary authority as their agent with respect to any matter that
        requires consent or a vote at such time that any such consent or other
        vote arises under the Trust Agreement. Any successor agent of a foreign
        purchaser must also be a U.S. Person.

               (k) None of the Purchasers is treated as a pension plan for U.S.
        federal income tax purposes.

               (l) The Purchasers acknowledge and agree that they are subject to
        the ownership limits as applicable to the common stock and the equity
        stock of the Company, generally, pursuant to the Charter of the Company
        and the Indenture, including any remedies available to the Company for
        any violation of such ownership limits.

               The Sellers acknowledge and agree that the Purchasers have not
        made, and do not make, any representations or warranties with respect to
        the transactions contemplated hereby other than those specifically set
        forth in this Section 4.

        5. Covenants and Agreements of the Company and the Trust. The Company
and the Trust jointly and severally covenant and agree with the Purchasers as
follows:

               (a) During the period from the date of this Agreement to the
        Closing Date, the Company and the Trust shall use their best efforts and
        take all action necessary or appropriate to cause their representations
        and warranties contained in Section 3 hereof to be true as of the
        Closing Date, after giving effect to the transactions contemplated by
        this Agreement, as if made on and as of the Closing Date.

               (b) Until the expiration of two years after the original issuance
        of the Trust Preferred Securities, the Company will not (directly or
        through a subsidiary), and will use its reasonable efforts to cause its
        "affiliates" (as such term is defined in Rule 144(a)(1) under the
        Securities Act) not to, purchase or agree to purchase or otherwise
        acquire any

                                       15
<PAGE>

        Trust Preferred Securities which are "restricted securities" (as such
        term is defined under Rule 144(a)(3) under the Securities Act), whether
        as beneficial owner or otherwise (except as agent on behalf of and for
        the account of customers in the ordinary course of business as a
        securities broker in unsolicited broker's transactions) unless,
        immediately upon any such purchase, the Company or any such affiliate
        shall submit such Trust Preferred Securities for cancellation.

               (c) Neither the Company nor the Trust will, nor will either of
        them permit any of its Affiliates to, nor will either of them permit any
        person acting on its or their behalf (other than the Purchasers) to,
        resell any Trust Preferred Securities that have been acquired by any of
        them.

               (d) Neither the Company nor the Trust will, nor will either of
        them permit any of their Affiliates or any person acting on their behalf
        to, directly or indirectly, make offers or sales of any security, or
        solicit offers to buy any security, under circumstances that would
        require the registration of any of the Securities under the Securities
        Act or require stockholder approval under the rules and regulations of
        the NYSE and the Company will take all action that is appropriate or
        necessary to assure that its offerings of other securities will not be
        integrated for purposes of the Securities Act or the rules and
        regulations of the NYSE with the issuance of Securities contemplated
        hereby.

               (e) Following the effectiveness of a registration statement
        relating to the Underlying Securities, the Company and the Trust will
        arrange to file a supplemental listing application and use its best
        efforts to have the Underlying Securities approved for listing by the
        NYSE in accordance with its rules and regulations.

               (f) The Company and the Trust will arrange for the qualification
        of the Trust Preferred Securities for sale under the laws of such
        jurisdictions as the Purchasers may designate and will maintain such
        qualifications in effect so long as required for the sale of the Trust
        Preferred Securities. The Company or the Trust, as the case may be, will
        promptly advise the Purchasers of the receipt by the Company or the
        Trust, as the case may be, of any notification with respect to the
        suspension of the qualification of the Trust Preferred Securities for
        sale in any jurisdiction or the initiation or threatening of any
        proceeding for such purpose.

               (g) Neither the Company nor the Trust will, nor will either of
        them permit any of its Affiliates or any person acting on their behalf
        to, engage in any form of "general solicitation or general advertising"
        (within the meaning of Regulation D) in connection with any offer or
        sale of the any of the Securities.

               (h) So long as any of the Securities are outstanding, (i) the
        Securities shall not be listed on a national securities exchange
        registered under Section 6 of the Exchange Act or quoted in a U.S.
        automated inter-dealer quotation system and (ii) neither the Company nor
        the Trust shall be an open-end investment company, unit investment trust
        or face-amount certificate company that is, or is required to be,
        registered under Section 8 of the Investment Company Act, and, the
        Securities shall otherwise satisfy the eligibility requirements of Rule
        144A(d)(3).

                                       16
<PAGE>

               (i) Whether or not the transactions contemplated in this
        Agreement are consummated or this Agreement is terminated, the Company
        and the Trust will pay or cause to be paid all fees, costs and expenses
        incident to the performance of its obligations hereunder, including
        without limiting the generality of the foregoing, all fees, costs and
        expenses (i) incident to the preparation, authorization, issuance, sale,
        execution, authentication and delivery of the Securities, including any
        expenses of the Trustee and any taxes payable in connection therewith,
        (ii) payable to rating agencies in connection with any rating of the
        Securities, (iii) incurred in connection with the qualification of the
        Securities for sale under state securities laws, (iv) in connection with
        the approval of the Underlying Securities for listing on the NYSE, (v)
        in connection with the admission for trading of the Securities in the
        Private Offerings, Resales and Trading through Automatic Linkages
        ("PORTAL") system of the National Association of Securities Dealers
        ("NASD"). In addition to the foregoing (and without duplication), the
        Company agrees to pay the Purchasers their actual out-of-pocket expenses
        incurred in connection with the negotiation, due diligence and
        documentation of the Transaction Documents and the transactions
        contemplated thereby, including the fees and expenses of counsel to the
        Purchasers, and of the counsel, the accountants and any other experts or
        advisors retained by the Company or the Trust. Except as expressly set
        forth in this Section 5(i) and in Sections 8, 11 and 13, the Company
        shall have no obligation to pay any costs and expenses of the Purchasers
        (except as set forth in the Registration Rights Agreement).

               (j) For so long as the Securities remain outstanding and are
        "restricted securities" within the meaning of Rule 144(a)(3) under the
        Securities Act, each of the Company and the Trust will make available to
        the Purchasers and any holder of Securities in connection with any sale
        thereof and any prospective purchaser of Securities and securities
        analysts, in each case upon request, the information specified in, and
        meeting the requirements of, Rule 144A(d)(4) under the Securities Act
        (or any successor thereto), unless the Company is then subject to and in
        compliance with Section 13 or 15(d) under the Exchange Act.

               (k) The Company will not take any action prohibited by Regulation
        M under the Exchange Act, in connection with the issuance of the
        Securities contemplated hereby.

               (l) The Company will use its best efforts to cause the Securities
        to be accepted for clearance and settlement through the facilities of
        The Depository Trust Company and eligible for trading on PORTAL.

               (m) The Company's Board of Directors will reserve and keep
        available, free of pre-emptive rights, not less than 10,500,000 shares
        of Common Stock for the purpose of enabling the Company to satisfy all
        obligations to issue the Underlying Securities upon conversion of the
        Trust Preferred Securities. The number of shares of Common Stock
        authorized and kept available by the Company's Board of Directors shall
        be adjusted in accordance with the conversion rate adjustments specified
        in the Indenture such that there will always be a sufficient number of
        shares of Common Stock for the purpose of enabling the Company to
        satisfy all obligations to issue the Underlying Securities upon
        conversion of the Trust Preferred Securities.

                                       17
<PAGE>

               (n) The Company will file a Current Report on Form 8-K, in the
        form required by the Exchange Act, relating to the transactions
        contemplated by the Transaction Documents which also discloses certain
        information about the quarterly period ending on June 30, 2007 to the
        Purchasers' reasonable satisfaction; except for certain information to
        be included in the Current Report on Form 8-K referred to in this
        sentence, the Company covenants and agrees that neither it nor any other
        person or entity acting on its behalf has provided or will provide the
        Purchasers or its agents or counsel with any information that the
        Company believes constitutes material non-public information, unless
        prior thereto the Purchasers shall have executed a written agreement
        regarding the confidentiality and use of such information. The Company
        understands and confirms that the Purchasers shall be relying on the
        foregoing representations in effecting transactions in securities of the
        Company.

               (o) Each of the Company and the Trust will, during any period in
        which it is not subject to and in compliance with Section 13 or 15(d) of
        the Exchange Act, or it is not exempt from such reporting requirements
        pursuant to and in compliance with Rule 12g3-2(b) under the Exchange
        Act, shall provide to each holder of the Securities and to each
        prospective purchaser (as designated by such holder) of the Securities,
        upon the request of such holder or prospective purchaser, any
        information required to be provided by Rule 144A(d)(4) under the
        Securities Act. If the Company and the Trust are required to register
        under the Exchange Act, such reports filed in compliance with Rule
        12g3-2(b) shall be sufficient information as required above. This
        covenant is intended to be for the benefit of the Purchasers, the
        holders of the Securities, and the prospective purchasers designated by
        the Purchasers and such holders, from time to time, of the Securities.

               (p) The Company will use its best efforts to meet the
        requirements to qualify as a REIT under Sections 856 through 860 of the
        Code, effective for the taxable year ending December 31, 2007 (and each
        fiscal quarter of such year) and succeeding taxable years, unless and
        until the Company's Board of Directors determines that it is not in the
        best interests of the Company's shareholders to so qualify.

               (q) Neither the Company nor the Trust will identify any of the
        Indemnified Parties (as defined below) in a press release or any other
        public statement without the consent of such Indemnified Party.

               (r) The Company agrees, (i) if the Company applies to have the
        Common Stock traded on any other national or regional securities
        exchange or, if the Common Stock is not listed on a national or regional
        securities exchange, on the National Association of Securities Dealers
        Automated Quotation System or, if the Common Stock is not quoted on the
        National Association of Securities Dealers Automated Quotation System,
        on the principal other market on which the Common Stock is then traded
        (a "Trading Market"), it will include in such application the Underlying
        Securities, and will take such other action as is necessary or desirable
        to cause the Underlying Securities to be listed on such other Trading
        Market as promptly as possible, and (ii) it will take all action
        reasonably necessary to continue the listing and trading of its Common
        Stock on a Trading Market and will comply in all material respects with
        the Company's reporting, filing and other obligations under the bylaws
        or rules of the Trading Market.

                                       18
<PAGE>

               (s) The Company agrees that it will comply with all the terms and
        conditions of the Registration Rights Agreement.

        6. Conditions to the Purchasers' Obligations. The obligation of each of
the Purchasers hereunder to purchase the Trust Preferred Securities on the
Closing Date is subject to the performance by the Company and the Trust of their
respective obligations hereunder and to the following additional conditions:

               (a) The representations and warranties of the Company and the
        Trust set forth in Section 3 above are true and correct in all material
        respects (except for those representations and warranties already
        qualified by materiality, which such representations and warranties
        shall be true and correct in all respects) on and as of the Closing Date
        as if made on and as of the Closing Date and the Company and the Trust
        shall have complied in all material respects with all agreements and
        satisfied all conditions on each of their respective part to be
        performed or satisfied at or prior to the Closing Date.

               (b) The Purchasers shall have received on and as of the Closing
        Date a certificate of the Company, signed by the Chief Executive
        Officer, President, or an Executive Vice President, and the Chief
        Financial Officer, Treasurer or Assistant Treasurer of the Company with
        specific knowledge about the Company's financial matters, satisfactory
        to the Purchasers, to the effect set forth in Section 6(a) and to the
        further effect that except as disclosed in the Exchange Act Documents
        filed as of the date hereof, there has not occurred any Material Adverse
        Effect since the date of the Interim Financial Statements.

               (c) The Trust shall have furnished to the Purchasers a
        certificate of the Trust, signed by an Administrative Trustee of the
        Trust, in each case dated the Closing Date, to the effect set forth in
        Section 6(a).

               (d) On the Closing Date, the Purchaser shall have received the
        favorable opinion, dated as of the Closing Date, of (i) Cadwalader
        Wickersham & Taft LLP, special counsel for the Company and the Trust,
        (ii) Ballard Spahr Andrews & Ingersoll, special Maryland counsel to the
        Company, and (iii) Alan B. Horn Esq., General Counsel of the Company, in
        form and substance satisfactory to the Purchaser and counsel for the
        Purchaser, to the extent set forth in Exhibit A hereto. In giving such
        opinion such counsel may rely, as to all matters governed by the laws of
        jurisdictions other than the federal law of the United States and the
        General Corporation Law of the State of Delaware, upon the opinions of
        counsel satisfactory to the Purchaser. Such counsel may also state that,
        insofar as such opinion involves factual matters, they have relied, to
        the extent they deem proper, upon certificates of the officers of the
        Company and certificates of public officials.

               (e) On the Closing Date, the Purchasers shall have received the
        favorable opinion, dated as of the Closing Date, of Cadwalader
        Wickersham & Taft LLP, special tax counsel for the Company and the
        Trust, in form and substance satisfactory to the Purchasers and counsel
        for the Purchasers, to the extent set forth in Exhibit B hereto.

                                       19
<PAGE>

               (f) On the Closing Date, the Purchasers shall have received the
        favorable opinion, dated as of the Closing Date, of Morris James LLP,
        special Delaware counsel for the Company and the Trust, in form and
        substance satisfactory to the Purchasers and counsel for the Purchasers,
        to the extent set forth in Exhibit C hereto.

               (g) On the Closing Date, the Purchasers shall have received the
        favorable opinion, dated as of the Closing Date, of Morris James LLP,
        counsel for the Property Trustee, the Guarantee and the Indenture
        Trustee, in form and substance satisfactory to the Purchasers and
        counsel for the Purchasers, to the extent set forth in Exhibit D hereto.

               (h) The Purchasers shall have received on or before the Closing
        Date a letter, signed by Michael Strauss in the form set forth in
        Exhibit E hereto.

               (i) Subsequent to the execution and delivery of this Agreement
        and prior to the Closing Date, there shall not have occurred any
        downgrading, nor shall any public notice have been given of (i) any
        intended downgrading or (ii) any review or possible change that does not
        indicate an improvement in the rating accorded any securities of or
        guaranteed by the Company by any "nationally recognized statistical
        rating organization," as such term is defined for purposes of Rule
        436(g)(2) under the Securities Act; for the avoidance of doubt, the
        foregoing provisions of this Section 6(i) shall not apply to any
        collateralized debt obligations or other securitization structures
        sponsored by the Company where the Company is not a guarantor of the
        obligations of such financing vehicles.

               (j) Subsequent to the execution and delivery of this Agreement
        and prior to the Closing Date, there shall have been no suspension or
        material limitation of trading in the Common Stock on the NYSE.

               (k) The Trust Preferred Securities shall have been approved for
        trading on PORTAL, subject only to notice of issuance at or prior to the
        time of purchase.

               (l) Each of the Company and the Trust shall have duly executed
        each of the other Transaction Documents.

               (m) The Purchasers shall have received on and as of the Closing
        Date a certificate of the Secretary of the Company in customary form;
        and all proceedings taken by the Company or the Trust in connection with
        the issuance and sale of the Trust Preferred Securities as herein
        contemplated shall be satisfactory in form and substance to the
        Purchasers.

               (n) The Company, the Trust and each "significant subsidiary" (as
        such term is defined in Rule 1-02(w) of Regulation S-X under the
        Securities Act) of the Company listed on Schedule II hereto (each such
        subsidiary a "Significant Subsidiary"), shall have delivered to the
        Purchasers one or more certificates evidencing the incorporation or
        formation and good standing of each of the Company, the Trust and each
        Significant Subsidiary in its respective state of incorporation or
        formation issued by the Secretary of State of such state of
        incorporation or formation as of a date within 10 days of the Closing
        Date.

                                       20
<PAGE>

               (o) The Company shall have obtained all governmental, regulatory
        or third party consents and approvals, if any, necessary to be obtained
        prior to the Closing Date for the sale of the Trust Preferred
        Securities.

               (p) The Company and the Trust shall have delivered to the
        Purchasers such other documents relating to the transactions
        contemplated by this Agreement as the Purchasers or their counsel may
        reasonably request.

        7. Conditions to the Company's and the Trust's Obligations. The
obligations of the Company and the Trust hereunder to issue and sell the Trust
Preferred Securities to each Purchaser on the Closing Date, are subject to the
performance by the Purchasers of all of their respective obligations hereunder,
the accuracy in all material respects of the representations and warranties of
the Purchasers contained herein on and as of the Closing Date, as if made on and
as of the Closing Date and the due execution by the Purchasers of all other
Transaction Documents to which the Purchasers are parties.

        8. Indemnity and Contribution. The Company and the Trust agree to
indemnify and hold harmless each Purchaser and its respective directors,
officers, partners, employees, members, representatives and agents and each
person, if any, who controls each Purchaser within the meaning of either Section
15 of the Securities Act or Section 20 of the Exchange Act, from and against any
and all losses, claims, damages and liabilities, including without limitation
the reasonable legal fees and other reasonable expenses incurred in connection
with any suit, action or proceeding or any claim, as incurred, arising from any
breach of any representation, warranty, covenant or agreement made by it in this
Agreement (collectively, "Liabilities").

        If any suit, action, proceeding (including any governmental or
regulatory investigation), claim or demand shall be brought or asserted against
any person in respect of which indemnity may be sought pursuant to the preceding
paragraph, such person (the "Indemnified Person") shall promptly notify the
person against whom such indemnity may be sought (the "Indemnifying Person") in
writing, and the Indemnifying Person, upon request of the Indemnified Person,
shall retain counsel reasonably satisfactory to the Indemnified Person to
represent the Indemnified Person and any others the Indemnifying Person may
designate in such proceeding and shall pay the fees and expenses of such counsel
related to such proceeding; provided, however, that failure to so notify the
Indemnifying Person shall not relieve such Indemnifying Person from any
liability hereunder except to the extent the Indemnifying Person is prejudiced
as a result thereof. In any such proceeding, any Indemnified Person shall have
the right to retain its own counsel, but the fees and expenses of such counsel
shall be at the expense of such Indemnified Person unless (i) the Indemnifying
Person and the Indemnified Person shall have mutually agreed to the contrary,
(ii) the Indemnifying Person has failed within a reasonable time to retain
counsel reasonably satisfactory to the Indemnified Person or (iii) the named
parties in any such proceeding (including any impleaded parties) include both
the Indemnifying Person and the Indemnified Person, the Indemnifying Person
proposes to have the same counsel represent it and the Indemnified Person, and
representation of both parties by the same counsel would be inappropriate due to
actual or potential differing interests between them. The Indemnifying Person
shall not, in connection with any proceeding or related proceeding in the same
jurisdiction, be liable for the fees and expenses of more than one separate firm
(in addition to any local counsel) separate from their own counsel for all
Indemnified Persons and that all

                                       21
<PAGE>

such fees and expenses actually incurred shall be promptly reimbursed upon
delivery to the Indemnifying Person of reasonable documentation therefor setting
forth such expenses in reasonable detail.

        The Indemnifying Person shall not be liable for any settlement of any
proceeding effected without its written consent, but if settled with such
consent or if there be a final judgment for the plaintiff, the Indemnifying
Person agrees to indemnify any Indemnified Person from and against any
Liabilities by reason of such settlement or judgment. Notwithstanding the
foregoing sentence, if at any time an Indemnified Party shall have requested the
Indemnifying Party to reimburse the Indemnified Party as contemplated by this
paragraph, the Indemnifying Party agrees that it shall be liable for any
settlement of any proceeding effected without its consent if (i) such settlement
is entered into more than 60 business days after receipt by the Indemnifying
Party of the aforesaid request, (ii) such Indemnifying Party shall not have
reimbursed the Indemnified Party in accordance with such request prior to the
date of such settlement and (iii) such Indemnified Party shall have given such
Indemnifying Party at least 30 days' prior notice of its intention to settle and
the material terms of such settlement. No Indemnifying Person shall, without the
prior written consent of the Indemnified Person, effect any settlement of any
pending or threatened proceeding in respect of which any Indemnified Person is a
party, unless such settlement includes an unconditional release of such
Indemnified Person from all liability on claims that are the subject matter of
such proceeding and no admission of fault on the part of the Indemnified Party.

        The remedies provided for in this Section 8 are not exclusive and shall
not limit any rights or remedies that may otherwise be available to any
Indemnified Person at law or in equity.

        In circumstances in which the indemnity agreement provided for in the
preceding paragraphs of this Section 8 is unavailable to, or insufficient to
hold harmless, an Indemnified Party in respect of any Liabilities, each
Indemnifying Party, in order to provide for just and equitable contribution,
shall contribute to the amount paid or payable by such Indemnified Party as a
result of such Liabilities, including legal or other expenses incurred, as
incurred, in such proportion as is appropriate to reflect (i) the relative
benefits received by the Indemnifying Party on the one hand and the Indemnified
Party on the other from the offering of the Securities or (ii) if the allocation
provided by the foregoing clause (i) is not permitted by applicable law, not
only such relative benefits but also the relative fault of the Indemnifying
Party on the one hand and the Indemnified Party on the other in connection with
the breach that resulted in such losses, claims, damages or liabilities (or
actions in respect thereof). The relative fault of the parties shall be
determined by reference to, among other things, any equitable considerations
appropriate in the circumstances. The Company and the Purchasers agree that it
would not be equitable if the amount of such contribution were determined by pro
rata or per capita allocation or by any other method of allocation that does not
take into account the equitable considerations referred to in the first sentence
of this paragraph. For purposes of this paragraph, each person, if any, who
controls any of the Purchasers within the meaning of Section 15 of the Act or
Section 20 of the Exchange Act shall have the same rights to contribution as
such Purchaser. No person guilty of fraudulent misrepresentation (within the
meaning of Section 11(f) of the Securities Act) shall be entitled to
contribution from any person who was not guilty of such fraudulent
misrepresentation.

                                       22
<PAGE>

        The indemnity agreements and contribution provisions contained in this
Section 8 and the representations and warranties of the Company, the Trust and
the Purchasers set forth in this Agreement shall remain operative and in full
force and effect regardless of (i) any termination of this Agreement, (ii) any
investigation made by or on behalf of any Purchaser or any person controlling
any Purchaser or by or on behalf of the Company, its officers or directors or
any other person controlling the Company and (iii) acceptance of and payment for
any of the Securities.

        9. Purchasers' Participation Right.

               (a) Right. In the event that, within two years from the date of
        this Agreement, the Company proposes to issue equity securities,
        equity-linked securities or other securities exercisable for or
        convertible into equity securities (other than Excluded Issuances set
        forth in Section 9(c) below), the Company shall offer each Purchaser the
        opportunity to purchase (which purchase right may be exercised by one or
        more Purchasers or any Affiliate of a Purchaser), on terms no less
        favorable than the most favorable terms provided to investors in such
        offering, up to an aggregate maximum for all Purchasers of 10% of the
        securities being offered by the Company ("Pro Rata Portion"); for the
        avoidance of doubt, any Purchaser or any Affiliate of a Purchaser
        participating in any such offering by the Company will not be entitled
        to receive any underwriting discount which any underwriter, initial
        purchaser or other distribution agent in connection with such offering
        is entitled to receive.

               (b) Procedure for Exercise.

               (i) The Company shall deliver to each Purchaser as soon as
        practicable, but in no event less than three (3) Business Days prior to
        the expected settlement date of any proposed or intended issuance or
        sale or exchange of securities, a written notice (the "Offer Notice") of
        any such proposed or intended issuance or sale or exchange (the "Offer")
        of the securities being offered (the "Offered Securities") pursuant to
        Section 9(a) above, which Offer Notice shall (x) identify and describe
        the Offered Securities, (y) describe the most favorable terms of such
        offering, and the number or amount of the Offered Securities to be
        issued, sold or exchanged, specify the expected settlement date and (z)
        offer to issue and sell to or exchange with such Purchasers a Pro Rata
        Portion of the Offered Securities allocated among such Purchasers based
        on such Purchaser's pro rata portion of the aggregate principal amount
        of Securities purchased hereunder (the "Basic Amount"), and with respect
        to each Purchaser that elects to purchase its Basic Amount, any
        additional portion of the Offered Securities attributable to the Basic
        Amounts of other Purchasers as such Purchaser shall indicate it will
        purchase or acquire should the other Purchasers subscribe for less than
        their Basic Amounts (the "Undersubscription Amount").

               (ii) To accept an Offer, in whole or in part, such Purchaser must
        deliver a written notice to the Company no later than three (3) Business
        Days prior to the expected settlement date specified in the Offer Notice
        (the "Offer Period"), setting forth the portion of such Purchaser's
        Basic Amount, if any, that such Purchaser elects to purchase and, if
        such Purchaser shall elect to purchase all of its Basic Amount, the

                                       23
<PAGE>

        Undersubscription Amount, if any, that such Purchaser elects to purchase
        (in either case, the "Notice of Acceptance"). If the Basic Amounts
        subscribed for by all Purchasers are less than the total of all of the
        Basic Amounts, then each Purchaser who has set forth an
        Undersubscription Amount in its Notice of Acceptance shall be entitled
        to purchase, in addition to the Basic Amounts subscribed for, the
        Undersubscription Amount it has subscribed for; provided, however, that
        if the Undersubscription Amounts subscribed for exceed the difference
        between the total of all the Basic Amounts and the Basic Amounts
        subscribed for (the "Available Undersubscription Amount"), each
        Purchaser who has subscribed for any Undersubscription Amount shall be
        entitled to purchase only such portion of the Available
        Undersubscription Amount as the Basic Amount of such Purchaser bears to
        the total Basic Amounts of all Purchasers that have subscribed for
        Undersubscription Amounts, subject to rounding by the Company to the
        nearest whole $1,000 to the extent its deems reasonably necessary.

               (iii) The Company shall have ten Business Days from the
        expiration of the Offer Period above to offer, issue, sell or exchange
        all or any part of such Offered Securities as to which a Notice of
        Acceptance has not been given by the Purchasers (the "Refused
        Securities"), only upon terms and conditions (including, without
        limitation, unit prices and interest rates) that are not more favorable
        to the acquiring person or persons or less favorable to the Company than
        those set forth in the Offer Notice.

               (iv) In the event the Company shall propose to sell less than all
        the Refused Securities (any such sale to be in the manner and on the
        terms specified in Section 9(b)(iii) above), then each Purchaser may, at
        its sole option and in its sole discretion, reduce the number or amount
        of the Offered Securities specified in its Notice of Acceptance to an
        amount that shall be not less than the number or amount of the Offered
        Securities that each Purchaser elected to purchase pursuant to Section
        9(b)(ii) above multiplied by a fraction, (i) the numerator of which
        shall be the number or amount of Offered Securities the Company actually
        proposes to issue, sell or exchange (including Offered Securities to be
        issued or sold to the Purchasers pursuant to Section 9(b)(iii) above
        prior to such reduction) and (ii) the denominator of which shall be the
        original amount of the Offered Securities. In the event that any
        Purchaser so elects to reduce the number or amount of Offered Securities
        specified in its Notice of Acceptance, the Company may not issue, sell
        or exchange more than the reduced number or amount of the Offered
        Securities unless and until such securities have again been offered to
        the Purchasers in accordance with Section 9(b)(i) above.

               (v) Upon the closing of the issuance, sale or exchange of all or
        less than all of the Refused Securities, the Purchasers shall acquire
        from the Company, and the Company shall issue to the Purchasers, the
        number or amount of Offered Securities specified in the Notices of
        Acceptance, as reduced pursuant to Section 9(b)(iii) above if the
        Purchasers have so elected, upon the terms and conditions specified in
        the Offer.

               (c) Excluded Issuances. The participation rights set forth in
        this Section 9 shall not apply to the following issuances (the "Excluded
        Issuances"): (i) the sale of the Securities under this Agreement or the
        issuance of the Underlying Securities, (ii) the grant by the Company of
        employee, director or consultant stock options, (iii) the grant or

                                       24
<PAGE>

        issuance by the Company of Common Stock options or warrants to as full
        or partial payment of a customary advisory fee payable to a nationally
        recognized bank or investment bank in connection with a strategic
        transaction or financing, (iv) the grant of warrants exercisable solely
        for cash at a premium to the then current market price of the Common
        Stock, which warrants are not a principal component of an asset based
        financing with a national recognized commercial banking institution
        making asset based loans in the ordinary course of its business, (v) the
        issuance by the Company of any shares of Common Stock upon the exercise
        of an option or warrant or the conversion of a security outstanding on
        the date hereof (provided that the terms of such options or warrants are
        not amended or modified in any manner after the date hereof) or an
        option or warrant issued or granted in compliance with this paragraph,
        (vi) the issuance by the Company of any shares of Common Stock pursuant
        to its dividend reinvestment plan, (vii) securities issued in connection
        with strategic acquisitions by the Company involving the exchange of the
        Company's stock for the stock of other entities, and (viii)
        over-allotment options exercised by any underwriter, initial purchaser
        or other distribution agent in connection with the issuance by the
        Company of any equity securities, equity-linked securities or other
        securities exercisable for or convertible into equity securities.

        10. [Reserved]

        11. Termination. The Purchasers may terminate this Agreement by notice
given to the Company and the Trust executed by the Purchasers purchasing more
than 50% of the aggregate principal amount of the Securities hereunder as set
forth in Schedule I hereto (except in the case of clauses (i) and (vii), which
termination right may be exercised by each Purchaser as to itself but not the
other Purchasers), if prior to the Closing Date (i) in the sole judgment of a
Purchaser a Material Adverse Effect shall have occurred between the date hereof
and the Closing Date, (ii) a downgrading shall have occurred in the rating
accorded to the Company's debt securities or preferred stock by any "nationally
recognized statistical rating organization," as that term is used by the
Commission in Rule 436(g)(2) under the Securities Act, or such organization
shall have publicly announced that it has under surveillance or review, with
possible negative implications, its rating of the Company's debt securities or
preferred stock, (iii) the Trust shall be unable to sell and deliver to the
Purchasers at least $125,000,000 stated liquidation value of Trust Preferred
Securities, (iv) trading in any securities of or guaranteed by the Company or
securities generally on the NYSE, American Stock Exchange or the NASDAQ Stock
Market shall have been suspended or materially limited, (v) a material
disruption in securities settlement, payment or clearance services in the United
States shall have occurred, (vi) a banking moratorium shall have been declared
either by federal or New York State authorities, (vii) there shall have been (A)
an outbreak or escalation of hostilities between the United States and any
foreign power, declaration by the United States of a national emergency or war
or other calamity or crisis, or (B) an outbreak or escalation of any other
insurrection or armed conflict involving the United States, or (C) any material
change in the financial markets of the United States which, in the case of (A),
(B) or (C) above and in the judgment of a Purchaser, makes it impracticable or
inadvisable to proceed with the transactions contemplated by this Agreement or
(viii) the failure of the Company to satisfy the conditions set forth in Section
6 of this Agreement.

        12. Effectiveness. This Agreement shall become effective upon the
execution and delivery hereof by the parties hereto.

                                       25
<PAGE>

        13. Reimbursement. If this Agreement shall be terminated by the
Purchasers because of any failure or refusal on the part of the Company to
comply with the terms or to fulfill any of the conditions of this Agreement, or
if for any reason the Company shall be unable to perform its obligations under
this Agreement or any condition of the Purchasers' obligations cannot be
fulfilled, the Company agrees to reimburse the Purchasers for all out of pocket
expenses (including the reasonable fees and expenses of its counsel) incurred by
the Purchasers in connection with this Agreement or the issuance of Securities
contemplated hereunder.

        14. Parties. This Agreement shall inure to the benefit of and be binding
upon the Trust, the Company, the Guarantor and the Purchasers, any controlling
persons referred to herein and their respective successors and, with respect to
the Purchasers, their Permitted Assigns. Nothing expressed or mentioned in this
Agreement is intended or shall be construed to give any other person, firm or
corporation any legal or equitable right, remedy or claim under or in respect of
this Agreement or any provision herein contained. No purchaser of Securities
from the Purchasers shall be deemed to be a successor by reason merely of such
purchase, and rights under this Agreement may be assigned by the Purchasers only
to Permitted Assigns. For purposes of this Section 14, "Permitted Assigns" shall
mean: (i) an "affiliate" (as defined in Rule 501(b) of Regulation D) of such
Purchaser to whom Securities are assigned and (ii) a pledgee (or a transferee of
such pledgee) that succeeds to the Securities in connection with a bona fide
margin account or other loan or financing arrangement secured by the Securities.

        15. Notices. All notices and other communications hereunder shall be in
writing and shall be deemed to have been duly given if mailed by registered or
certified mail, postage prepaid, return receipt requested, or otherwise
delivered by hand or by messenger. Notices to the Purchasers shall be given to:

                      Marathon Asset Management, LLC
                      461 Fifth Avenue, 11th Floor
                      New York, NY 10017
                      Telephone: (212) 381-4461
                      Facsimile: (212) 381-0012
                      Attention: Andrew H. Rabinowitz, Esq., CPA

               With a copy to (solely for informational purposes):

                      Sidley Austin LLP
                      787 Seventh Avenue
                      New York, New York 10019
                      Telephone: (212) 839-5360
                      Facsimile: (212) 839-5599
                      Attention: Robert Mandell, Esq.

Notices to the Company or the Guarantor shall be given to the Company at:

                      American Home Mortgage Investment Corp.
                      538 Broadhollow Road
                      Melville, New York  11747
                      Telephone: (516) 620-1099

                                       26
<PAGE>

                      Facsimile: (516) 949-3929
                      Attn: Chief Executive Officer

               With a copy to (solely for informational purposes):

                      Cadwalader, Wickersham & Taft LLP
                      One World Financial Center
                      New York, New York  10281
                      Telephone: (212) 504-6057
                      Facsimile: (212) 504-6666
                      Attention: Louis J. Bevilacqua, Esq.

        16. No Advisory or Fiduciary Relationship. The Company acknowledges and
agrees that (a) the purchase and sale of the Securities pursuant to this
Agreement, is an arm's-length commercial transaction between the Company, on the
one hand, and the several Purchasers, on the other hand, (b) in connection with
the offering contemplated hereby and the process leading to such transaction
each Purchaser is and has been acting solely as a principal and is not the agent
or fiduciary of the Company, or its stockholders, creditors, employees or any
other party, (c) no Purchaser has assumed or will assume an advisory or
fiduciary responsibility in favor of the Company with respect to the offering
contemplated hereby or the process leading thereto (irrespective of whether such
Purchaser has advised or is currently advising the Company on other matters) and
no Purchaser has any obligation to the Company with respect to the offering
contemplated hereby except the obligations expressly set forth in this
Agreement, (d) the Purchasers and their respective affiliates may be engaged in
a broad range of transactions that involve interests that differ from those of
the Company, and (e) the Purchasers have not provided any legal, accounting,
regulatory or tax advice with respect to the offering contemplated hereby and
the Company has consulted its own legal, accounting, regulatory and tax advisors
to the extent it deemed appropriate.

        17. Governing Law. THIS AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN
ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK. To the fullest extent
permitted by applicable law, the Company and the Guarantors hereby irrevocably
submit to the non-exclusive jurisdiction of any New York State court or Federal
court sitting in the County of New York in respect of any suit, action or
proceeding arising out of or relating to the provisions of this Agreement and
irrevocably agree that all claims in respect of any such suit, action or
proceeding may be heard and determined in any such court. The parties hereto
hereby waive, to the fullest extent permitted by applicable law, any objection
that they may now or hereafter have to the laying of venue of any such suit,
action or proceeding brought in any such court, and any claim that any such
suit, action or proceeding brought in any such court has been brought in an
inconvenient forum. TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, EACH
PARTY HEREBY IRREVOCABLY WAIVES ANY RIGHT IT MAY HAVE, AND AGREES NOT TO
REQUEST, A JURY TRIAL FOR THE ADJUDICATION OF ANY DISPUTE HEREUNDER OR IN
CONNECTION WITH OR ARISING OUT OF THIS AGREEMENT OR ANY TRANSACTION CONTEMPLATED
HEREBY.

                                       27
<PAGE>

        18. Counterparts. This Agreement may be signed in counterparts, each of
which shall be an original and all of which together shall constitute one and
the same instrument.

        19. Severability. If any provision of this Agreement becomes or is
declared by a court of competent jurisdiction to be illegal, unenforceable, or
void, portions of such provision, or such provision in its entirety, to the
extent necessary, shall be severed from this Agreement and the balance of this
Agreement shall be enforceable in accordance with its terms.

        20. Titles and Subtitles. The titles and subtitles used in this
Agreement are used for convenience only and are not to be considered in
construing or interpreting this Agreement.

        21. Amendments and Waivers. This Agreement may not be modified, amended,
altered or supplemented, except upon the execution and delivery of a written
agreement by each of the parties hereto.

        22. Entire Agreement. This Agreement constitutes the full and entire
understanding and agreement among the parties with regard to the subjects
hereof. Neither this Agreement nor any term hereof may be amended, waived,
discharged or terminated other than by a written instrument signed by the party
against whom enforcement of any such amendment, waiver, discharge, or
termination is sought.

        23. Survival. The respective representations, warranties, covenants and
agreements of the Company and the Purchasers set forth in or made pursuant to
this Agreement will remain in full force and effect and will survive delivery of
and payment for the Securities sold hereunder and any termination of this
Agreement.

        24. Independence of Purchasers. The obligations of each Purchaser under
any Transaction Document are several and not joint with the obligations of any
other Purchaser, and no Purchaser shall be responsible in any way for the
performance of the obligations of any other Purchaser under any Transaction
Document. Nothing contained herein or in any other Transaction Document, and no
action taken by the Purchasers pursuant hereto or thereto, shall be deemed to
constitute the Purchasers as a partnership, an association, a joint venture or
any other kind of entity, or create a presumption that the Purchasers are in any
way acting in concert or as a group with respect to such obligations or the
transactions contemplated by the Transaction Documents. The Purchasers confirm
that they have or legal counsel has on their behalf independently participated
in the negotiation of the transaction contemplated hereby. Each Purchaser shall
be entitled to independently protect and enforce its rights, including, without
limitation, the rights arising out of this Agreement or out of any other
Transaction Documents, and it shall not be necessary for any Purchaser to be
joined as an additional party in any proceeding for such purpose.

                            (SIGNATURE PAGES FOLLOW)

                                       28
<PAGE>

        If the foregoing is in accordance with your understanding of our
agreement, please sign and return four counterparts hereof.

                            Very truly yours,

                            COMPANY:

                            AMERICAN HOME MORTGAGE INVESTMENT CORP.

                            By: /s/Alan B. Horn
                               -------------------------------------------------
                               Name: Alan B. Horn
                               Title: Executive Vice President, General Counsel
                                  & Secretary

                     [SIGNATURE PAGE TO PURCHASE AGREEMENT]

<PAGE>

        If the foregoing is in accordance with your understanding of our
agreement, please sign and return four counterparts hereof.

                            TRUST:

                            AHM CAPITAL TRUST I

                            By: /s/Alan B. Horn
                               -------------------------------------------------
                               Name: Alan B. Horn
                               Title: Administrative Trustee

                     [SIGNATURE PAGE TO PURCHASE AGREEMENT]

<PAGE>

        If the foregoing is in accordance with your understanding of our
agreement, please sign and return four counterparts hereof.

                            GUARANTOR:

                            AMERICAN HOME MORTGAGE INVESTMENT CORP.

                            By: /s/Alan B. Horn
                               -------------------------------------------------
                               Name: Alan B. Horn
                               Title: Executive Vice President, General Counsel
                                  & Secretary

                     [SIGNATURE PAGE TO PURCHASE AGREEMENT]

<PAGE>

        If the foregoing is in accordance with your understanding of our
agreement, please sign and return four counterparts hereof.

                            PURCHASER:

                            MARATHON SPECIAL OPPORTUNITY MASTER FUND LTD.
                            By: MARATHON ASSET MANAGEMENT, LLC

                            By: /s/ Louis Hanover
                               -------------------------------------------------
                               Name: Louis Hanover
                               Title: Authorized Signatory

                     [SIGNATURE PAGE TO PURCHASE AGREEMENT]

<PAGE>

        If the foregoing is in accordance with your understanding of our
agreement, please sign and return four counterparts hereof.

                            PURCHASER:

                            MARATHON GLOBAL CONVERTIBLE MASTER FUND LTD.
                            By: MARATHON ASSET MANAGEMENT, LLC

                            By: /s/ Louis Hanover
                               -------------------------------------------------
                               Name: Louis Hanover
                               Title: Authorized Signatory

                     [SIGNATURE PAGE TO PURCHASE AGREEMENT]

<PAGE>

                                   Schedule I

                             Schedule of Purchasers

                                                             Trust Preferred
Name and Address of Each Purchaser                              Securities
----------------------------------                           ---------------
Marathon Special Opportunity Master Fund, Ltd. ...........     $100,000,000
c/o Marathon Asset Management, LLC
461 Fifth Avenue, 11th Floor
New York, NY 10017
Attention: Andrew H. Rabinowitz, Esq., CPA

Marathon Global Convertible Master Fund, Ltd. ............      $25,000,000
c/o Marathon Asset Management, LLC
461 Fifth Avenue, 11th Floor
New York, NY 10017
Attention: Andrew H. Rabinowitz, Esq., CPA                   ---------------
TOTAL                                                          $125,000,000
                                                             ---------------
                                                             ===============
<PAGE>

                                   Schedule II

                     Significant Subsidiaries of the Company

American Home Mortgage Acceptance, Inc.
American Home Mortgage Corp.
American Home Mortgage Holdings, Inc.
Broadhollow Funding, LLC

                                    Ex. E-1Exhibit 10.2

                          REGISTRATION RIGHTS AGREEMENT

               THIS REGISTRATION RIGHTS AGREEMENT (this "Agreement") is made and
entered into as of June 28, 2007, by and among AMERICAN HOME MORTGAGE INVESTMENT
CORP., a Maryland corporation (the "Company"), AHM CAPITAL TRUST I, a statutory
trust organized under the laws of the State of Delaware (the "Trust" and
together with the Company, the "Issuers"), and the purchasers identified on
Schedule I hereto, as purchasers (each a purchaser and, collectively the
"Purchasers").

               This Agreement is made pursuant to the Purchase Agreement, dated
June 28, 2007 (the "Purchase Agreement"), among the Issuers and the Purchasers
with respect to the issue and sale by the Trust and the purchase by the
Purchasers of 125,000 9.75% Convertible Trust Preferred Securities (liquidation
amount $1,000 per security) representing undivided beneficial interests in the
assets of the Trust (the "Trust Preferred Securities"). The entire proceeds from
the sale of the Trust Preferred Securities will be combined with the entire
proceeds from the sale by the Trust to the Company of its common securities
(liquidation amount $1,000 per security) (the "Trust Common Securities") and
will be used by the Trust to purchase $128,866,000 aggregate principal amount of
the Company's 9.75% Junior Subordinated Convertible Debentures due June 30, 2037
(the "Junior Subordinated Debentures"). The Trust Preferred Securities are
guaranteed by the Company to the extent set forth in the Guarantee Agreement
between the Company and Wilmington Trust Company, as trustee thereunder, dated
the date hereof (the "Guarantee"), and are convertible into the common stock,
par value $0.01 per share (the "Common Stock"), of the Company. In order to
induce the Purchasers to enter into the Purchase Agreement, the Issuers have
agreed to provide the registration rights set forth in this Agreement. The
execution of this Agreement is a condition to the closing under the Purchase
Agreement.

               The Issuers agree with the Purchasers, (i) for the benefit of the
Purchasers and (ii) for the benefit of the beneficial owners (including the
Purchasers) from time to time of the Trust Preferred Securities and the Junior
Subordinated Debentures, and the beneficial owners from time to time of the
Underlying Securities (as defined herein) issued upon conversion of the Trust
Preferred Securities or the Junior Subordinated Debentures, if any, (each of the
foregoing a "Holder" and together the "Holders"), as follows:

        SECTION 1. Definitions. As used in this Agreement, the following terms
shall have the following meanings:

               "Affiliate:"  With respect to any specified person, an
"affiliate," as defined in Rule 144, of such person.

               "Business Day:" Each Monday, Tuesday, Wednesday, Thursday and
Friday that is not a day on which banking institutions in The City of New York
are authorized or required by law, regulation or executive order to remain
closed.

               "Common Stock:" The Common Stock, $0.01 par value, of the Company
and any other shares of common stock as may constitute "Common Stock" for
purposes of the Indenture, including the Underlying Securities.

<PAGE>

               "Company:"  See the first paragraph hereof.

               "Damages Accrual Period:"  See Section 2(e) hereof.

               "Damages Payment Date:"  Each January 1, April 1, July 1 and
October 1.

               "Declaration:" The Amended and Restated Declaration of Trust,
dated as of the date hereof, among the Company, as depositor, the trustees named
therein and the holders from time to time of undivided beneficial interests in
the assets of the Trust, pursuant to which the Trust Preferred Securities and
Trust Common Securities are being issued.

               "Deferral Notice:"  See Section 3(h) hereof.

               "Deferral Period:"  See Section 3(h) hereof.

               "Effectiveness Deadline Date:"  See Section 2(a) hereof.

               "Effectiveness Period:" The period beginning on the Issue Date
and ending on the earlier of (i) the sale pursuant to the Initial Shelf
Registration Statement of all Registrable Securities thereunder and (ii) five
years following the latest issuance of the Trust Preferred Securities or the
Junior Subordinated Debentures, provided, however, that such five year period
shall be reduced to two years if the Company receives written guidance from the
SEC or an opinion of counsel addressed to the Holders that the Registrable
Securities are eligible for sale pursuant to Rule 144(k).

               "Event:"  See Section 2(e) hereof.

               "Event Date:"  See Section 2(e) hereof.

               "Event Termination Date:"  See Section 2(e) hereof.

               "Exchange Act:" The Securities Exchange Act of 1934, as amended,
and the rules and regulations of the SEC promulgated thereunder.

               "Filing Deadline Date:"  See Section 2(a) hereof.

               "Guarantee:"  See the second paragraph hereof.

               "Holder:"  See the third paragraph hereof.

               "Indenture:" The Indenture, dated as of the date hereof, between
the Company and Wilmington Trust Company, as debenture trustee, pursuant to
which the Junior Subordinated Debentures are being issued.

               "Initial Shelf Registration Statement:"  See Section 2(a) hereof.

               "Issue Date:"  means June 28, 2007.

                                       2
<PAGE>

               "Issuer Free Writing Prospectus:"  See Section 2(d) hereof.

               "Junior Subordinated Debentures" or "Junior Subordinated
Debenture:" See the second paragraph hereof.

               "Liquidated Damages Amount:"  See Section 2(e) hereof.

               "Material Event:"  See Section 3(h) hereof.

               "Notice and Questionnaire:" A written notice delivered to the
Company containing substantially the information called for by the Selling
Securityholder Notice and Questionnaire attached as Annex A to this Agreement.

               "Notice Holder:" On any date, any Holder that has delivered a
Notice and Questionnaire to the Company on or prior to such date.

               "Prospectus:" The prospectus included in any Registration
Statement (including, without limitation, a prospectus that discloses
information previously omitted from a prospectus filed as part of an effective
registration statement in reliance upon Rule 415 promulgated under the
Securities Act), as amended or supplemented by any amendment or Prospectus
supplement, including post-effective amendments, and all materials incorporated
by reference in such Prospectus.

               "Purchase Agreement:"  See the second paragraph hereof.

               "Purchasers:"  See the first paragraph hereof.

               "Record Date:" With respect to any Damages Payment Date relating
to any Trust Preferred Security or Junior Subordinated Debenture as to which any
Liquidated Damages Amount has accrued, (i) the 15th day of the month immediately
preceding such Damages Payment Date if the Damages Accrual Period has not ended,
or (ii) the date of the end of the Damages Accrual Period.

               "Record Holder:" With respect to any Damages Payment Date
relating to any Trust Preferred Security or Junior Subordinated Debenture as to
which any Liquidated Damages Amount has accrued, the registered holder of such
Trust Preferred Security or Junior Subordinated Debenture, as applicable, on the
Record Date.

               "Registrable Securities:" The Common Stock into which the Junior
Subordinated Debentures or Trust Preferred Securities have been converted or
exchanged, and any security issued with respect thereto upon any stock dividend,
split, merger or similar event until, in the case of any such security, the
earliest of (i) its effective registration under the Securities Act and resale
in accordance with the Registration Statement covering it, (ii) its sale to the
public pursuant to Rule 144 or (iii) the expiration of the Effectiveness Period.

               "Registration Statement:" Any registration statement of the
Company that covers any of the Registrable Securities pursuant to the provisions
of this Agreement, including the Prospectus, amendments and supplements to such
registration statement, including post-effective

                                       3
<PAGE>

amendments, all exhibits, and all materials incorporated by reference in such
registration statement.

                "Rule 144:" Rule 144 under the Securities Act, as such rule may
be amended from time to time, or any similar rule or regulation hereafter
adopted by the SEC.

               "Rule 144A:" Rule 144A under the Securities Act, as such rule may
be amended from time to time, or any similar rule or regulation hereafter
adopted by the SEC.

               "SEC:"  The Securities and Exchange Commission.

               "Securities:"  Collectively means the Trust Preferred Securities,
the Junior Subordinated Debentures and the Underlying Securities.

               "Securities Act:"  The Securities Act of 1933, as amended, and
the rules and regulations promulgated by the SEC thereunder.

               "Shelf Registration Statement:"  See Section 2(a) hereof.

               "Subsequent Shelf Registration Statement:"  See Section 2(b)
hereof.

               "Trust Common Securities:"  See the second paragraph hereof.

               "Trust Preferred Securities" or " Trust Preferred Security:"
See the second paragraph hereof.

               "Trustee:"  Wilmington Trust Company (or any successor entity),
in its role as Debenture Trustee under the Indenture and in its role as Property
Trustee under the Declaration.

               "Underlying Securities:" The Common Stock into which the Trust
Preferred Securities and Junior Subordinated Debentures are convertible or
issued upon any such conversion.

        SECTION 2. Shelf Registration.

               (a) The Company shall prepare or cause to be prepared and shall
use its best efforts to file or cause to be filed with the SEC no later than a
date which is ninety (90) days after the Issue Date (the "Filing Deadline Date")
a Registration Statement for an offering to be made on a delayed or continuous
basis pursuant to Rule 415 of the Securities Act (a "Shelf Registration
Statement") registering the resale from time to time by Holders thereof of all
of the Registrable Securities (the "Initial Shelf Registration Statement"). The
Initial Shelf Registration Statement shall be on Form S-3 or another appropriate
form permitting registration of such Registrable Securities for resale by such
Holders in accordance with the methods of distribution elected by the Holders
and set forth in the Initial Shelf Registration Statement; provided, that in no
event will such method(s) of distribution take the form of an underwritten
offering of the Registrable Securities without the prior agreement of the
Company. The Company shall use its best efforts to cause the Initial Shelf
Registration Statement to be declared effective under the Securities Act by the
date (the "Effectiveness Deadline Date") that is one hundred and eighty

                                       4
<PAGE>

(180) days after the Issue Date, and to keep the Initial Shelf Registration
Statement (or any Subsequent Shelf Registration Statement) continuously
effective under the Securities Act until the expiration of the Effectiveness
Period, subject to the rights of the Company under Section 3(h) to create a
Deferral Period. At the time the Initial Shelf Registration Statement is
declared effective, each Holder that became a Notice Holder on or prior to the
date ten (10) Business Days prior to such time of effectiveness shall be named
as a selling securityholder in the Initial Shelf Registration Statement and the
related Prospectus in such a manner as to permit such Holder to deliver such
Prospectus to purchasers of Registrable Securities in accordance with applicable
law.

               (b) If the Initial Shelf Registration Statement or any Subsequent
Shelf Registration Statement ceases to be effective for any reason at any time
during the Effectiveness Period, the Company shall use its best efforts to
obtain the prompt withdrawal of any order suspending the effectiveness thereof,
and in any event shall within thirty (30) days of such cessation of
effectiveness amend the Shelf Registration Statement in a manner reasonably
expected by the Company to obtain the withdrawal of the order suspending the
effectiveness thereof, or file an additional Shelf Registration Statement
covering all of the Registrable Securities (a "Subsequent Shelf Registration
Statement"). If a Subsequent Shelf Registration Statement is filed, the Company
shall use its best efforts to cause the Subsequent Shelf Registration Statement
to become effective as promptly as is practicable after such filing and to keep
such Registration Statement (or subsequent Shelf Registration Statement)
continuously effective until the end of the Effectiveness Period.

               (c) The Company shall supplement and amend the Shelf Registration
Statement if required by the rules, regulations or instructions applicable to
the registration form used by the Company for such Shelf Registration Statement
if required by the Securities Act or, to the extent to which the Company does
not reasonably object, as reasonably requested by the Purchasers or by the
Trustee on behalf of the registered Holders.

               (d) Each Holder of Registrable Securities agrees that if such
Holder wishes to sell Registrable Securities pursuant to a Shelf Registration
Statement and related Prospectus, it will do so only in accordance with this
Section 2(d) and Section 3(h). Each Holder of Registrable Securities wishing to
sell Registrable Securities pursuant to a Shelf Registration Statement and
related Prospectus agrees to deliver a Notice and Questionnaire to the Company
at least eight (8) but not more than twenty (20) Business Days prior to any
intended distribution of Registrable Securities under the Shelf Registration
Statement. From and after the date the Initial Shelf Registration Statement is
declared effective, the Company shall, as promptly as reasonably practicable
after the date a Notice and Questionnaire is delivered, and in any event within
five (5) Business Days after such date, (i) if required by applicable law, file
with the SEC a post-effective amendment to the Shelf Registration Statement or
prepare and, if required by applicable law, file a supplement to the related
Prospectus or a supplement or amendment to any document incorporated therein by
reference or file any other document required by the SEC so that the Holder
delivering such Notice and Questionnaire is named as a selling securityholder in
the Shelf Registration Statement and the related Prospectus in such a manner as
to permit such Holder to deliver such Prospectus to purchasers of the
Registrable Securities in accordance with applicable law and, if the Company
shall file a post-effective amendment to the Shelf Registration Statement, use
its best efforts to cause such post-effective amendment to be declared effective

                                       5
<PAGE>

under the Securities Act as promptly as is practicable; (ii) provide such Holder
copies of any documents filed pursuant to Section 2(d)(i); and (iii) notify such
Holder as promptly as practicable after the effectiveness under the Securities
Act of any post-effective amendment filed pursuant to Section 2(d)(i); provided,
that if such Notice and Questionnaire is delivered during a Deferral Period, the
Company shall so inform the Holder delivering such Notice and Questionnaire and
shall take the actions set forth in clauses (i), (ii) and (iii) above upon
expiration of the Deferral Period in accordance with Section 3(h).
Notwithstanding anything contained herein to the contrary, the Company shall be
under no obligation to name any Holder that is not a Notice Holder as a selling
securityholder in any Registration Statement or related Prospectus; provided,
however, that any Holder that becomes a Notice Holder pursuant to the provisions
of Section 2(d) of this Agreement (whether or not such Holder was a Notice
Holder at the time the Registration Statement was initially declared effective)
shall be named as a selling securityholder in the Registration Statement or
related Prospectus subject to and in accordance with the requirements of this
Section 2(d).

               The Issuers represent and agree that, unless they obtain the
prior consent of a majority of the Registrable Securities that are registered
under the Shelf Registration Statement at such time or the approval of the
counsel for the holders of Registrable Securities or the consent of the
Purchasers in connection with any underwritten offering of Registrable
Securities, and each Holder represents and agrees that, unless it obtains the
prior consent of the Issuers and the Purchasers, it will not make any offer
relating to the Securities that would constitute an "issuer free writing
prospectus," as defined in Rule 433 (an "Issuer Free Writing Prospectus"), or
that would otherwise constitute a "free writing prospectus," as defined in Rule
405, required to be filed with the SEC. The Issuers represent that any Issuer
Free Writing Prospectus, when taken together with the information in the Shelf
Registration Statement and the Prospectus, will not include any untrue statement
of a material fact or omit to state any material fact necessary in order to make
the statements therein, in light of the circumstances under which they were
made, not misleading.

               (e) The parties hereto agree that the Holders of Registrable
Securities will suffer damages, and that it would not be feasible to ascertain
the extent of such damages with precision, if (i) the Initial Shelf Registration
Statement has not been filed on or prior to the Filing Deadline Date, (ii) the
Initial Shelf Registration Statement has not been declared effective under the
Securities Act on or prior to the Effectiveness Deadline Date, or (iii) the
aggregate duration of Deferral Periods in any period exceeds the number of days
permitted in respect of such period pursuant to Section 3(h) hereof (each of the
events of a type described in any of the foregoing clauses (i) through (iii) are
individually referred to herein as an "Event," and the Filing Deadline Date in
the case of clause (i), the Effectiveness Deadline Date in the case of clause
(ii), and the date on which the aggregate duration of Deferral Periods in any
period exceeds the number of days permitted by Section 3(h) hereof in the case
of clause (iii), being referred to herein as an "Event Date"). Events shall be
deemed to continue until the "Event Termination Date," which shall be the
following dates with respect to the respective types of Events: the date the
Initial Shelf Registration Statement is filed in the case of an Event of the
type described in clause (i), the date the Initial Shelf Registration Statement
is declared effective under the Securities Act in the case of an Event of the
type described in clause (ii) and termination of the Deferral Period that caused
the limit on the aggregate duration of Deferral Periods in a period set forth in
Section

                                       6
<PAGE>

3(h) to be exceeded in the case of the commencement of an Event of the type
described in clause (iii).

               Accordingly, commencing on (and including) any Event Date and
ending on (but excluding) the next date on which there are no Events that have
occurred and are continuing (a "Damages Accrual Period"), the Company agrees to
pay, as liquidated damages and not as a penalty, an amount (the "Liquidated
Damages Amount"), payable on the Damages Payment Dates to Record Holders of then
outstanding Junior Subordinated Debentures that are Registrable Securities (and
the Trust agrees to pay such amounts to the holders of the Trust Preferred
Securities) accruing, for each portion of such Damages Accrual Period beginning
on and including a Damages Payment Date (or, in respect of the first time that
the Liquidation Damages Amount is to be paid to Record Holders on a Damages
Payment Date as a result of the occurrence of any particular Event, beginning on
and including the Event Date) and ending on but excluding the first to occur of
(A) the date of the end of the Damages Accrual Period or (B) the next Damages
Payment Date, at a rate per annum equal to 2.00% of the aggregate principal
amount of such Junior Subordinated Debentures, determined as of the Record Date.

               Notwithstanding the foregoing, no Liquidated Damages Amounts
shall accrue as to any Underlying Securities at any time nor as to any Junior
Subordinated Debenture (and the corresponding Trust Preferred Security) from and
after the earlier of (x) the date such Underlying Security is no longer a
Registrable Security and (y) expiration of the Effectiveness Period. The rate of
accrual of the Liquidated Damages Amount shall not exceed the rate provided for
in this Section 2(e) notwithstanding the occurrence of multiple concurrent
Events. Following the cure of all Events requiring the payment by the Company of
Liquidated Damages Amounts to the Holders of Registrable Securities pursuant to
this Section, the accrual of Liquidated Damages Amounts will cease (without in
any way limiting the effect of any subsequent Event requiring the payment of
Liquidated Damages Amount by the Company).

               The Trustee shall be entitled, on behalf of Holders of the Trust
Preferred Securities, the Junior Subordinated Debentures or the Underlying
Securities, to seek any available remedy for the enforcement of this Agreement,
including, with respect to Trust Preferred Securities and Junior Subordinated
Debentures, for the payment of any Liquidated Damages Amount. Notwithstanding
the foregoing, the parties agree that the sole remedy for a violation of the
terms of this Agreement shall be such liquidated damages.

               All of the Issuers' obligations set forth in this Section 2(e)
that are outstanding with respect to any Security shall survive until such time
as all such obligations with respect to such Security have been satisfied in
full (notwithstanding termination of this Agreement pursuant to Section 8(j)).

               The parties hereto agree that the liquidated damages provided for
in this Section 2(e) constitute a reasonable estimate of the damages that may be
incurred by Record Holders of then outstanding Trust Preferred Securities and
Junior Subordinated Debentures whose Underlying Securities are Registrable
Securities by reason of the failure of the Shelf Registration Statement to be
filed or declared effective or available for effecting resales of Registrable
Securities in accordance with the provisions hereof.

                                       7
<PAGE>

        SECTION 3. Registration Procedures. In connection with the registration
obligations of the Issuers under Section 2 hereof, the Issuers shall:

               (a) Before filing any Registration Statement or Prospectus or any
amendments or supplements thereto with the SEC, furnish to the Purchasers copies
of all such documents proposed to be filed and give reasonable consideration to
such comments as the Purchasers reasonably shall propose within three (3)
Business Days of the delivery of such copies to the Purchasers.

               (b) Subject to Section 3(h), prepare and file with the SEC such
amendments and post-effective amendments to each Registration Statement as may
be necessary to keep such Registration Statement continuously effective for the
applicable period specified in Section 2(a); cause the related Prospectus to be
supplemented by any required Prospectus supplement, and as so supplemented to be
filed pursuant to Rule 424 (or any similar provisions then in force) under the
Securities Act; and use their best efforts to comply with the provisions of the
Securities Act applicable to it with respect to the disposition of all
securities covered by such Registration Statement during the Effectiveness
Period in accordance with the intended methods of disposition by the sellers
thereof set forth in such Registration Statement as so amended or such
Prospectus as so supplemented.

               (c) As promptly as practicable give notice to the Notice Holders
and the Purchasers (i) when any Prospectus, Prospectus supplement, Registration
Statement or post-effective amendment to a Registration Statement (other than
any such Prospectus supplement, Registration Statement or post-effective
amendment to a Registration Statement which is filed solely to name additional
selling security holders or to reflect any other matters that are not of a
material nature) has been filed with the SEC and, with respect to a Registration
Statement or any post-effective amendment, when the same has been declared
effective, (ii) of any request, following the effectiveness of the Initial Shelf
Registration Statement under the Securities Act, by the SEC or any other federal
or state governmental authority for amendments or supplements to any
Registration Statement or related Prospectus or for additional information,
(iii) of the issuance by the SEC or any other federal or state governmental
authority of any stop order suspending the effectiveness of any Registration
Statement or the initiation or threatening of any proceedings for that purpose,
and (iv) of the receipt by the Company or the Trust of any notification with
respect to the suspension of the qualification or exemption from qualification
of any of the Registrable Securities for sale in any jurisdiction or the
initiation or threatening of any proceeding for such purpose, which notice may,
at the discretion of the Company (or as required pursuant to Section 3(h)),
state that it constitutes a Deferral Notice, in which event the provisions of
Section 3(h) shall apply.

               (d) Use their reasonable best efforts to obtain the withdrawal of
any order suspending the effectiveness of a Registration Statement or the
lifting of any suspension of the qualification (or exemption from qualification)
of any of the Registrable Securities for sale in any jurisdiction in which they
have been qualified for sale, in either case at the earliest possible moment.

               (e) As promptly as reasonably practicable furnish to each Notice
Holder and the Purchasers, upon their request and without charge, at least one
(1) conformed copy of the

                                       8
<PAGE>

Registration Statement and any amendment thereto, including financial
statements, if any, but excluding schedules, all documents incorporated or
deemed to be incorporated therein by reference and all exhibits (unless
requested in writing to the Company or the Trust by such Notice Holder or the
Purchasers, as the case may be).

               (f) During the Effectiveness Period, deliver to each Notice
Holder in connection with any sale of Registrable Securities pursuant to a
Registration Statement, without charge, as many copies of the Prospectus or
Prospectuses relating to such Registrable Securities (including each preliminary
Prospectus) and any amendment or supplement thereto as such Notice Holder may
reasonably request; and the Company hereby consents (except during such periods
that a Deferral Notice is outstanding and has not been revoked) to the use of
such Prospectus or each amendment or supplement thereto by each Notice Holder in
connection with any offering and sale of the Registrable Securities covered by
such Prospectus or any amendment or supplement thereto in the manner set forth
therein.

               (g) Subject to Section 3(h), prior to any public offering of the
Registrable Securities pursuant to the Shelf Registration Statement, use their
reasonable best efforts to register or qualify or cooperate with the Notice
Holders in connection with the registration or qualification (or exemption from
such registration or qualification) of such Registrable Securities for offer and
sale under the securities or Blue Sky laws of such jurisdictions within the
United States as any Notice Holder reasonably requests in writing (which request
may be included in the Notice and Questionnaire); prior to any public offering
of the Registrable Securities pursuant to the Shelf Registration Statement, use
their best efforts to keep each such registration or qualification (or exemption
therefrom) effective during the Effectiveness Period in connection with such
Notice Holder's offer and sale of Registrable Securities pursuant to such
registration or qualification (or exemption therefrom) and do any and all other
acts or things necessary to enable the disposition in such jurisdictions of such
Registrable Securities in the manner set forth in the relevant Registration
Statement and the related Prospectus; provided, that neither the Company nor the
Trust will be required to (i) qualify as a foreign corporation or as a dealer in
securities in any jurisdiction where they are not otherwise qualified but for
this Agreement or (ii) take any action that would subject them to general
service of process in suits or to taxation in any such jurisdiction where they
are not then so subject.

               (h) Upon (A) the issuance by the SEC of a stop order suspending
the effectiveness of the Shelf Registration Statement or the initiation of
proceedings with respect to the Shelf Registration Statement under Section 8(d)
or 8(e) of the Securities Act, (B) the occurrence of any event or the existence
of any fact (a "Material Event") as a result of which (i) any Registration
Statement shall contain any untrue statement of a material fact or omit to state
any material fact required to be stated therein or necessary to make the
statements therein not misleading, or (ii) any Prospectus shall contain any
untrue statement of a material fact or omit to state any material fact required
to be stated therein or necessary to make the statements therein, in the light
of the circumstances under which they were made, not misleading, or (C) the
occurrence or existence of any pending corporate development that, in the
Company's discretion, makes it appropriate to suspend the availability of the
Shelf Registration Statement and the related Prospectus, (i) in the case of
clause (B) above, subject to the next sentence, as promptly as practicable
prepare and file a post-effective amendment to such Registration Statement or a
supplement to the related Prospectus or any document incorporated therein by
reference or file

                                       9
<PAGE>

any other required document that would be incorporated by reference into such
Registration Statement and Prospectus so that such Registration Statement does
not contain any untrue statement of a material fact or omit to state any
material fact required to be stated therein or necessary to make the statements
therein not misleading, and such Prospectus does not contain any untrue
statement of a material fact or omit to state any material fact required to be
stated therein or necessary to make the statements therein, in the light of the
circumstances under which they were made, not misleading, as thereafter
delivered to the purchasers of the Registrable Securities being sold thereunder,
and, in the case of a post-effective amendment to a Registration Statement,
subject to the next sentence, use their best efforts to cause it to be declared
effective as promptly as is reasonably practicable, and (ii) give notice to the
Notice Holders that the availability of the Shelf Registration Statement is
suspended (a "Deferral Notice") and, upon receipt of any Deferral Notice, each
Notice Holder agrees not to sell any Registrable Securities pursuant to the
Registration Statement until such Notice Holder's receipt of copies of the
supplemented or amended Prospectus provided for in clause (i) above, or until it
is advised in writing by the Company or the Trust that the Prospectus may be
used, and has received copies of any additional or supplemental filings that are
incorporated or deemed incorporated by reference in such Prospectus. The Issuers
will use their reasonable best efforts to ensure that the use of the Prospectus
may be resumed (x) in the case of clause (A) above, as promptly as practicable,
(y) in the case of clause (B) above, as soon as, in the sole judgment of the
Company, public disclosure of such Material Event would not be prejudicial to or
contrary to the interests of the Company or the Trust, if necessary to avoid
unreasonable burden or expense, as soon as reasonably practicable thereafter and
(z) in the case of clause (C) above, as soon as, in the sole judgment of the
Company, such suspension is no longer appropriate. The period during which the
availability of the Registration Statement and any Prospectus is suspended (the
"Deferral Period") shall, without the Company or the Trust incurring any
obligation to pay liquidated damages pursuant to Section 2(e), not exceed thirty
(30) days in any three (3) month period or ninety (90) days in any twelve (12)
month period.

               (i) Comply with all applicable rules and regulations of the SEC
and make generally available to the Company's securityholders earning statements
(which need not be audited) satisfying the provisions of Section 11(a) of the
Securities Act and Rule 158 thereunder (or any similar rule promulgated under
the Securities Act) no later than forty-five (45) days after the end of any
12-month period (or ninety (90) days after the end of any 12-month period if
such period is a fiscal year) commencing on the first day of the first fiscal
quarter of the Company commencing after the effective date of a Registration
Statement, which statements shall cover said 12-month periods.

               (j) If reasonably requested in writing by a Holder or Holders of
Registrable Securities and solely at the Company's discretion, the Company will
consider an underwritten offering of Registrable Securities held by such Holder
or Holders upon terms and conditions to be agreed upon at the time of such
underwritten offering.

               (k) Cooperate with each Notice Holder to facilitate the timely
preparation and delivery of certificates representing Registrable Securities
sold pursuant to a Registration Statement and registered in such names as such
Notice Holder may request in writing at least two Business Days prior to any
sale of such Registrable Securities.

                                       10
<PAGE>

               (l) Make reasonable effort to provide such information as is
required for any filings required to be made with the National Association of
Securities Dealers, Inc.

               (m) Upon (i) the filing of the Initial Shelf Registration
Statement and (ii) the effectiveness of the Initial Shelf Registration
Statement, announce the same, in each case by release to Reuters Economic
Services and Bloomberg Business News.

        SECTION 4. Holder's Obligations. Each Holder agrees, by acquisition of
the Registrable Securities, that no Holder of Registrable Securities shall be
entitled to sell any of such Registrable Securities pursuant to a Registration
Statement or to receive a Prospectus relating thereto, unless such Holder has
furnished the Company with a Notice and Questionnaire as required pursuant to
Section 2(d) hereof (including the information required to be included in such
Notice and Questionnaire) and the information set forth in the next sentence.
Each Notice Holder agrees promptly to furnish to the Company all information
required to be disclosed in order to make the information previously furnished
to the Company by such Notice Holder not misleading and any other information
regarding such Notice Holder and the distribution of such Registrable Securities
as may be required to be disclosed in the Registration Statement under
applicable law or pursuant to SEC comments. Each Holder further agrees,
following termination of the Effective Period, to notify the Company within ten
(10) Business Days of request, of the amount of Registrable Securities sold
pursuant to the Registration Statement and, in the absence of a response, the
Company may assume that all of the Holder's Registrable Securities were so sold.

        SECTION 5. Registration Expenses. The Company shall bear all fees and
expenses incurred in connection with the performance by the Issuers of their
obligations under Sections 2 and 3 of this Agreement whether or not any of the
Registration Statements are declared effective. Such fees and expenses shall
include, without limitation, (i) all registration and filing fees (including,
without limitation, reasonable fees and disbursements of the counsel specified
in the next sentence in connection with Blue Sky qualifications of the
Registrable Securities under the laws of such jurisdictions as the Notice
Holders of a majority of the Registrable Securities being sold pursuant to a
Registration Statement may designate), (ii) printing expenses (including,
without limitation, expenses of printing certificates for Registrable Securities
in a form eligible for deposit with The Depository Trust Company), (iii)
duplication expenses relating to copies of any Registration Statement or
Prospectus delivered to any Holders hereunder, (iv) fees and disbursements of
counsel for the Issuers in connection with the Shelf Registration Statement, and
(v) reasonable fees and disbursements of the Trustee and its counsel and of the
registrar and transfer agent for the Common Stock. In addition, the Company
shall bear or reimburse the Notice Holders for the reasonable fees and
disbursements of one firm of legal counsel for the Holders incurred in reviewing
and commenting upon the Shelf Registration Statement prior to its effectiveness,
which shall, upon the written consent of the Purchasers (which shall not be
unreasonably withheld), be a nationally recognized law firm experienced in
securities law matters designated by the Company. In addition, the Company shall
pay the internal expenses of the Issuers (including, without limitation, all
salaries and expenses of officers and employees performing legal or accounting
duties), the expense of any annual audit, the fees and expenses incurred in
connection with the listing of the Registrable Securities on any securities
exchange on which the same securities of the Company are then listed and the
fees and expenses of any person, including special experts, retained by the
Company or the Trust.

                                       11
<PAGE>

        SECTION 6. Indemnification; Contribution.

               (a) The Issuers agree, jointly and severally, to indemnify and
hold harmless each of the Purchasers and each Holder of Registrable Securities
and each person, if any, who controls any Purchaser or any Holder of Registrable
Securities within the meaning of either Section 15 of the Securities Act or
Section 20 of the Exchange Act, as follows:

                      (i) against any and all loss, liability, claim, damage and
               expense whatsoever, as incurred, resulting from any untrue
               statement or alleged untrue statement of a material fact
               contained in the Registration Statement (or any amendment
               thereto), or the omission or alleged omission therefrom of a
               material fact necessary in order to make the statements therein,
               in light of the circumstances under which they were made, not
               misleading or resulting from any untrue statement or alleged
               untrue statement of a material fact included in any preliminary
               Prospectus or the Prospectus (or any amendment or supplement
               thereto) or any Issuer Free Writing Prospectus (or any amendment
               or supplement thereto) or the omission or alleged omission
               therefrom of a material fact necessary in order to make the
               statements therein, in the light of the circumstances under which
               they were made, not misleading;

                      (ii) against any and all loss, liability, claim, damage
               and expense whatsoever, as incurred, to the extent of the
               aggregate amount paid in settlement of any litigation, or any
               investigation or proceeding by any governmental agency or body,
               commenced or threatened, or of any claim whatsoever based upon
               any such untrue statement or omission, or any such alleged untrue
               statement or omission, provided that (subject to Section 6(c)
               below) any such settlement is effected with the prior written
               consent of the Company; and

                      (iii) subject to Section 6(c) below, against any and all
               expense whatsoever, as incurred (including the fees and
               disbursements of counsel), reasonably incurred in investigating,
               preparing or defending against any litigation, or any
               investigation or proceeding by any governmental agency or body,
               commenced or threatened, or any claim whatsoever based upon any
               such untrue statement or omission, or any such alleged untrue
               statement or omission, to the extent that any such expense is not
               paid under (i) or (ii) above;

provided, however, that this indemnity agreement shall not apply to any loss,
liability, claim, damage or expense to the extent arising out of any untrue
statement or omission or alleged untrue statement or omission made in reliance
upon and in conformity with written information furnished to the Company or the
Trust by any Purchaser on their own behalf or any Holder of Registrable
Securities and each person, if any, who controls any Purchaser or any such
Holder of Registrable Securities expressly for use in the Registration Statement
(or any amendment thereto), or any preliminary Prospectus or the Prospectus (or
any amendment or supplement thereto) or any Issuer Free Writing Prospectus (or
any amendment or supplement thereto); provided, further, that this indemnity
agreement shall not apply to any loss, liability, claim, damage or expense
arising from an offer or sale of Registrable Securities occurring during a
Deferral Period, if a Notice Holder was given a Deferral Notice.

                                       12
<PAGE>

               (b) In connection with any Shelf Registration in which a Holder,
including, without limitation, any Purchaser, of Registrable Securities is
participating, in furnishing information relating to such Holder of Registrable
Securities to the Company or the Trust in writing expressly for use in such
Registration Statement, any preliminary Prospectus, the Prospectus or any Issuer
Free Writing Prospectus or any amendments or supplements thereto, the Holders of
such Registrable Securities agree, severally and not jointly, to indemnify and
hold harmless the Purchasers and each person, if any, who controls any Purchaser
within the meaning of either Section 15 of the Securities Act or Section 20 of
the Exchange Act and the Company and the Trust, and each person, if any, who
controls either the Company or the Trust within the meaning of either such
Section, against any and all loss, liability, claim, damage and expense
described in the indemnity contained in subsection (a) of this Section, as
incurred, but only with respect to untrue statements or omissions, or alleged
untrue statements or omissions, made in the Registration Statement (or any
amendment thereto), or any preliminary Prospectus or the Prospectus (or any
amendment or supplement thereto) or any Issuer Free Writing Prospectus (or any
amendment or supplement thereto) in reliance upon and in conformity with written
information furnished to the Company or the Trust by or on behalf of such Holder
of Registrable Securities (which also acknowledges the indemnity provisions
herein) or any person, if any, who controls any such Holder of Registrable
Securities expressly for use in the Registration Statement (or any amendment
thereto) or such preliminary Prospectus or the Prospectus (or any amendment or
supplement thereto) or any Issuer Free Writing Prospectus (or any amendment or
supplement thereto).

               Each Purchaser severally agrees to indemnify and hold harmless
the Issuers, the Holders of Registrable Securities, and each person, if any, who
controls the Company or the Trust or any Holder of Registrable Securities within
the meaning of either Section 15 of the Securities Act or Section 20 of the
Exchange Act against any and all loss, liability, claim, damage and expense
described in the indemnity contained in subsection (a) of this Section, as
incurred, but only with respect to untrue statements or omissions, or alleged
untrue statements or omissions, made in the Registration Statement (or any
amendment thereto), or any preliminary Prospectus or the Prospectus (or any
amendment or supplement thereto) or any Issuer Free Writing Prospectus (or any
amendment or supplement thereto) in reliance upon and in conformity with written
information furnished to the Issuers by such Purchaser expressly for use in the
Registration Statement (or any amendment thereto) or such preliminary Prospectus
or the Prospectus (or any amendment or supplement thereto) or any Issuer Free
Writing Prospectus (or any amendment or supplement thereto).

               (c) Each indemnified party shall give notice as promptly as
reasonably practicable to each indemnifying party of any action commenced
against it in respect of which indemnity may be sought hereunder, but failure to
so notify an indemnifying party shall not relieve such indemnifying party from
any liability hereunder to the extent it is not materially prejudiced as a
result thereof and in any event shall not relieve it from any liability which it
may have otherwise than on account of this indemnity agreement. The indemnifying
party, upon request of the indemnified party, shall retain counsel reasonably
satisfactory to the indemnified party to represent the indemnified party and any
others the indemnifying party may designate in such proceeding and shall pay the
fees and disbursements of such counsel related to such proceeding. In any such
proceeding, any indemnified party shall have the right to retain its own
counsel, but the fees and expenses of such counsel shall be at the expense of
such indemnified

                                       13
<PAGE>

party unless (i) the indemnifying party and the indemnified party shall have
mutually agreed to the retention of such counsel or (ii) the named parties to
any such proceeding (including any impleaded parties) include both the
indemnifying party and the indemnified party and representation of both parties
by the same counsel would be inappropriate due to actual or potential differing
interests between them. It is understood that the indemnifying party shall not,
in respect of the legal expenses of any indemnified party in connection with any
proceeding or related proceedings in the same jurisdiction, be liable for (a)
the fees and expenses of more than one separate firm (in addition to any local
counsel) for the Purchasers, Holders of Registrable Securities, and all persons,
if any, who control any Purchaser or Holders of Registrable Securities within
the meaning of either Section 15 of the Securities Act or Section 20 of the
Exchange Act, collectively (b) the fees and expenses of more than one separate
firm (in addition to any local counsel) for the Issuers, their directors, and
each person, if any, who controls the Company or the Trust within the meaning of
either such Section, and that all such fees and expenses shall be reimbursed
upon delivery to the Indemnifying Person of reasonable documentation therefore
setting forth such expenses in reasonable detail. In the case of any such
separate firm for the Purchasers, Holders of Registrable Securities, and control
persons of any Purchaser and Holders of Registrable Securities, such firm shall
be designated in writing by the Purchasers. In the case of any such separate
firm for the Issuers, and such directors, officers and control persons of the
Company or the Trust, such firm shall be designated in writing by the Issuers.
The indemnifying party shall not be liable for any settlement of any proceeding
effected without its written consent, but if settled with such consent or if
there be a final judgment for the plaintiff, the indemnifying party agrees to
indemnify the indemnified party from and against any loss or liability by reason
of such settlement or judgment. Notwithstanding the foregoing sentence, if at
any time an indemnified party shall have requested an indemnifying party to
reimburse the indemnified party for fees and expenses of counsel as contemplated
by the second and third sentences of this Section 6(c), the indemnifying party
agrees that it shall be liable for any settlement of any proceeding effected
without its written consent if (i) such settlement is entered into more than
forty-five (45) days after receipt by such indemnifying party of the aforesaid
request, (ii) such indemnifying party shall have received notice of the terms of
such settlement at least thirty (30) days prior to such settlement being entered
into and (iii) such indemnifying party shall not have reimbursed the indemnified
party in accordance with such request prior to the date of such settlement.
Notwithstanding the immediately preceding sentence, if at any time an
indemnified party shall have requested an indemnifying party to reimburse the
indemnified party for fees and expenses of counsel, an indemnifying party shall
not be liable for any settlement effected without its consent if such
indemnifying party (i) reimburses such indemnified party in accordance with such
request to the extent it considers such request to be reasonable and (ii)
provides written notice to the indemnified party substantiating the unpaid
balance as unreasonable, in each case prior to the date of such settlement. No
indemnifying party shall, without the prior written consent of the indemnified
parties, settle or compromise or consent to the entry of any judgment with
respect to any litigation, or any investigation or proceeding by any
governmental agency or body, commenced or threatened, or any claim whatsoever in
respect of which indemnification or contribution could be sought under this
Section 6 (whether or not the indemnified parties are actual or potential
parties thereto), unless such settlement, compromise or consent (i) includes an
unconditional release of each indemnified party from all liability arising out
of such litigation, investigation, proceeding or

                                       14
<PAGE>

claim and (ii) does not include a statement as to or an admission of fault,
culpability or a failure to act by or on behalf of any indemnified party.

               (d) If the indemnification provided for in this Section 6 is for
any reason unavailable to or insufficient to hold harmless an indemnified party
in respect of any losses, liabilities, claims, damages or expenses referred to
therein, then each indemnifying party shall contribute to the aggregate amount
of such losses, liabilities, claims, damages and expenses incurred by such
indemnified party, as incurred, in such proportion as is appropriate to reflect
the relative fault of the indemnifying party or parties on the one hand and of
the indemnified party on the other hand in connection with the statements or
omissions which resulted in such losses, liabilities, claims, damages or
expenses, as well as any other relevant equitable considerations.

               The relative fault of the Issuers on the one hand and the Holders
of the Registrable Securities or the Purchasers on the other hand shall be
determined by reference to, among other things, whether any such untrue or
alleged untrue statement of a material fact or omission or alleged omission to
state a material fact relates to information supplied by the Issuers or by the
Holders of the Registrable Securities or the Purchasers and the parties'
relative intent, knowledge, access to information and opportunity to correct or
prevent such statement or omission.

               The parties hereto agree that it would not be just and equitable
if contribution pursuant to this Section 6(e) were determined by pro rata
allocation (even if the Purchasers were treated as one entity for such purpose)
or by any other method of allocation which does not take account of the
equitable considerations referred to above in this Section 6(e). The aggregate
amount of losses, liabilities, claims, damages, and expenses incurred by an
indemnified party and referred to above in this Section 6(e) shall be deemed to
include any legal or other expenses reasonably incurred by such indemnified
party in investigating, preparing or defending against any litigation, or any
investigation or proceeding by any governmental agency or body, commenced or
threatened, or any claim whatsoever based upon any such untrue or alleged untrue
statement or omission or alleged omission.

               No person guilty of fraudulent misrepresentation (within the
meaning of Section 11(f) of the Securities Act) shall be entitled to
contribution from any person who was not guilty of such fraudulent
misrepresentation.

               For purposes of this Section 6(e), each person, if any, who
controls an Purchaser or any Holder of Registrable Securities within the meaning
of Section 15 of the Securities Act or Section 20 of the Exchange Act shall have
the same rights to contribution as such Purchaser or such Holder, and each
person, if any, who controls the Company or the Trust within the meaning of
Section 15 of the Securities Act or Section 20 of the Exchange Act shall have
the same rights to contribution as the Company and the Trust.

        SECTION 7. Information Requirements. The Company covenants that, if at
any time before the end of the Effectiveness Period the Company is not subject
to the reporting requirements of the Exchange Act, the Company will cooperate
with any Holder of Registrable Securities and take such further reasonable
action as any Holder of Registrable Securities may reasonably request in writing
(including, without limitation, making such reasonable

                                       15
<PAGE>

representations as any such Holder may reasonably request), all to the extent
required from time to time to enable such Holder to sell Registrable Securities
without registration under the Securities Act within the limitation of the
exemption provided by Rule 144A under the Securities Act and customarily taken
in connection with sales pursuant to such exemption; provided, however, that any
legal opinion required by any trustee or transfer agent shall be the
responsibility of such Holder. Upon the written request of any Holder of
Registrable Securities, the Company shall deliver to such Holder a written
statement as to whether it has complied with such filing requirements, unless
such a statement has been included in the Company's most recent report required
to be filed and filed pursuant to Section 13 or Section 15(d) of Exchange Act.
Notwithstanding the foregoing, nothing in this Section 7 shall be deemed to
require the Company to register any of its securities under any section of the
Exchange Act.

        SECTION 8. Miscellaneous; No Conflicting Agreements. Neither the Company
nor the Trust is, as of the date hereof, a party to, nor shall the Company or
the Trust, on or after the date of this Agreement, enter into any agreement with
respect to their securities that conflicts with the rights granted to the
Holders of Registrable Securities in this Agreement. The Issuers represent and
warrant that the rights granted to the Holders of Registrable Securities
hereunder do not conflict in any material respect with the rights granted to the
holders of the securities of the Company or the Trust under any other
agreements.

               (a) Amendments and Waivers. The provisions of this Agreement,
including the provisions of this sentence, may not be amended, modified or
supplemented, and waivers or consents to departures from the provisions hereof
may not be given, unless the Issuers have obtained the written consent of
Holders of a majority of the then outstanding Underlying Securities constituting
Registrable Securities (with Holders of Trust Preferred Securities and Junior
Subordinated Debentures deemed to be the Holders, for purposes of this Section,
of the number of outstanding shares of Underlying Securities into which such
Trust Preferred Securities and Junior Subordinated Debentures are or would be
convertible or exchangeable as of the date on which such consent is requested).
Notwithstanding the foregoing, a waiver or consent to depart from the provisions
hereof with respect to a matter that relates exclusively to the rights of
Holders of Registrable Securities whose securities are being sold pursuant to a
Registration Statement and that does not directly or indirectly affect the
rights of other Holders of Registrable Securities may be given by Holders of at
least a majority of the Registrable Securities being sold by such Holders
pursuant to such Registration Statement; provided, that the provisions of this
sentence may not be amended, modified, or supplemented except in accordance with
the provisions of the immediately preceding sentence. Each Holder of Registrable
Securities outstanding at the time of any such amendment, modification,
supplement, waiver or consent or thereafter shall be bound by any such
amendment, modification, supplement, waiver or consent effected pursuant to this
Section 8(a), whether or not any notice, writing or marking indicating such
amendment, modification, supplement, waiver or consent appears on the
Registrable Securities or is delivered to such Holder.

               (b) Notices. All notices and other communications provided for or
permitted hereunder shall be made in writing by hand delivery, by telecopier, by
courier guaranteeing overnight delivery or by first-class mail, return receipt
requested, and shall be deemed given (i) when made, if made by hand delivery,
(ii) upon confirmation, if made by telecopier, (iii) one (1)

                                       16
<PAGE>

Business Day after being deposited with such courier, if made by overnight
courier or (iv) on the date indicated on the notice of receipt, if made by
first-class mail, to the parties as follows:

               (w) if to a Holder of Registrable Securities that is not a Notice
Holder, at the address for such Holder then appearing in the Security Register
(as defined in the Indenture);

               (x) if to a Notice Holder, at the most current address given by
such Holder to the Company or the Trust in a Notice and Questionnaire or any
amendment thereto;

               (y) if to the Company, to:

                      American Home Mortgage Investment Corp.
                      538 Broadhollow Road
                      Melville, New York  11747
                      Attention: Chief Executive Officer
                      Telecopy No.: (516) 949-3929

                      with a copy to:

                      Cadwalader, Wickersham & Taft LLP
                      One World Financial Center, New York, New York 10281
                      Attention: Louis J. Bevilacqua, Esq.
                      Telecopy No.: (212) 504-6666

                      and

               (z) if to the Purchasers, to:

                      Marathon Asset Management, LLC
                      461 Fifth Avenue, 11th Floor
                      New York, New York 10017
                      Attention: Andrew H. Rabinowitz, Esq., CPA
                      Telecopy No.: (212) 381-0012

or to such other address as such person may have furnished to the other persons
identified in this Section 8(c) in writing in accordance herewith.

               (c) Approval of Holders. Whenever the consent or approval of
Holders of a specified percentage of Registrable Securities is required
hereunder, Registrable Securities held by the Company or its affiliates (as such
term is defined in Rule 405 under the Securities Act) (other than the Purchasers
or subsequent Holders of Registrable Securities if such subsequent Holders are
deemed to be such affiliates solely by reason of their holdings of such
Registrable Securities) shall not be counted in determining whether such consent
or approval was given by the Holders of such required percentage.

               (d) Successors and Assigns. Any person who purchases any
Registrable Securities from any Purchaser shall be deemed, for purposes of this
Agreement, to be an assignee of such Purchaser. This Agreement shall inure to
the benefit of and be binding upon the

                                       17
<PAGE>

successors and assigns of each of the parties and shall inure to the benefit of
and be binding upon each Holder of any Registrable Securities.

               (e) Counterparts. This Agreement may be executed in any number of
counterparts and by the parties hereto in separate counterparts, each of which
when so executed shall be deemed to be original and all of which taken together
shall constitute one and the same agreement.

               (f) Headings. The headings in this Agreement are for convenience
of reference only and shall not limit or otherwise affect the meaning hereof.

               (g) Governing Law. THIS AGREEMENT SHALL BE GOVERNED BY AND
CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK.

               (h) Severability. If any provision of this Agreement becomes or
is declared by a court of competent jurisdiction to be illegal, unenforceable,
or void, portions of such provision, or such provision in its entirety, to the
extent necessary, shall be severed from this Agreement and the balance of this
Agreement shall be enforceable in accordance with its terms.

               (i) Entire Agreement. This Agreement is intended by the parties
as a final expression of their agreement and is intended to be a complete and
exclusive statement of the agreement and understanding of the parties hereto in
respect of the subject matter contained herein and the registration rights
granted by the Issuers with respect to the Registrable Securities. Except as
provided in the Purchase Agreement, there are no restrictions, promises,
warranties or undertakings, other than those set forth or referred to herein,
with respect to the registration rights granted by the Issuers with respect to
the Registrable Securities. This Agreement supersedes all prior agreements and
undertakings among the parties solely with respect to such registration rights.

               (j) Termination. This Agreement and the obligations of the
parties hereunder shall terminate upon the end of the Effectiveness Period,
except for any liabilities or obligations under Sections 4, 5 or 6 hereof and
the obligations to make payments of and provide for Liquidated Damages under
Section 2(e) hereof to the extent such damages accrue prior to the end of the
Effectiveness Period, each of which shall remain in effect in accordance with
its terms.

                            [SIGNATURE PAGE FOLLOWS]

<PAGE>

               IN WITNESS WHEREOF, the parties have executed this Registration
Rights Agreement as of the date first written above.

                                  AMERICAN HOME MORTGAGE
                                     INVESTMENT CORP.

                                  By: /s/ Alan B. Horn
                                     -------------------------------------------
                                     Name: Alan B. Horn
                                     Title: Executive Vice President, General
                                     Counsel & Secretary

                                  AHM Capital Trust I

                                  By: Michael Strauss,
                                      not in his individual capacity but solely
                                      as Administrative Trustee

                                  By: /s/ Michael Strauss
                                     -------------------------------------------
                                     Name: Michael Strauss
                                     Title: Chief Executive Officer & President

<PAGE>

Accepted as of the date
first above written:

MARATHON SPECIAL OPPORTUNITY MASTER FUND LTD.

By: MARATHON ASSET MANAGEMENT, LLC

By: /s/ Louis Hanover
   ------------------------------------------
   Name: Louis Hanover
   Title: Authorized Signatory

<PAGE>

Accepted as of the date
first above written:

MARATHON GLOBAL CONVERTIBLE MASTER FUND LTD.

By: MARATHON ASSET MANAGEMENT, LLC

By: /s/Louis Hanover
   ------------------------------------------
   Name: Louis Hanover
   Title: Authorized Signatory

<PAGE>

                                                                      Schedule I

                             Schedule of Purchasers

Marathon Special Opportunity Master Fund, Ltd.
Marathon Global Convertible Master Fund, Ltd.

<PAGE>

                                                                         ANNEX A

             FORM OF SELLING SECURITYHOLDER NOTICE AND QUESTIONNAIRE

        The undersigned beneficial owner of 9.75% Convertible Trust Preferred
Securities (including the guarantee) (the "Trust Preferred Securities") of AHM
Capital Trust I (the "Trust") and/or junior subordinated convertible debentures
(the "Debentures") of American Home Mortgage Investment Corp. (the "Company")
and/or common stock, $0.01 par value per share (the "Common Stock" or
"Registrable Securities") of the Company issued upon the conversion of Trust
Preferred Securities or Debentures, understands that the Company and the Trust
have filed or intend to file with the Securities and Exchange Commission a
registration statement on Form S-3 (the "Registration Statement") for the
registration and resale under Rule 415 of the Securities Act of 1933, as amended
(the "Securities Act"), of the Registrable Securities, in accordance with the
terms of the Registration Rights Agreement, dated as of June 28, 2007 (the
"Registration Rights Agreement"), among the Company, the Trust and the
Purchasers named therein. A copy of the Registration Rights Agreement is
available from the Company upon request at the address set forth below. All
capitalized terms not otherwise defined herein shall have the meaning ascribed
thereto in the Registration Rights Agreement.

        Each beneficial owner of Registrable Securities and each beneficial
owner of Trust Preferred Securities and Debentures that are convertible into
Registrable Securities is entitled to the benefits of the Registration Rights
Agreement. In order to sell or otherwise dispose of any Registrable Securities
pursuant to the Registration Statement, a beneficial owner of Registrable
Securities generally will be required to be named as a selling securityholder in
the related prospectus, deliver a prospectus to purchasers of Registrable
Securities and be bound by those provisions of the Registration Rights Agreement
applicable to such beneficial owner (including certain indemnification
provisions, as described below). Beneficial owners that do not complete this
Notice and Questionnaire and deliver it to the Company and the Trust as provided
below will not be named as selling securityholders in the prospectus and
therefore will not be permitted to sell any Registrable Securities pursuant to
the Registration Statement. Each beneficial owner is responsible for its own
compliance with any applicable state securities laws or foreign securities laws
related to its offer or sale of Registrable Securities. Beneficial owners are
encouraged to complete and deliver this Notice and Questionnaire prior to the
effectiveness of the Registration Statement so that such beneficial owners may
be named as selling securityholders in the related prospectus at the time of
effectiveness. Upon receipt of a completed Notice and Questionnaire from a
beneficial owner following the effectiveness of the Registration Statement, the
Company and the Trust will, as promptly as practicable, file such amendments to
the Registration Statement or supplements to the related prospectus as are
necessary to permit such holder to deliver such prospectus to purchasers of
Registrable Securities. The Company has agreed to pay liquidated damages
pursuant to the Registration Rights Agreement under certain circumstances as set
forth therein.

        Certain legal consequences arise from being named as a selling
securityholder in the Registration Statement and the related prospectus.
Accordingly, holders and beneficial owners of Registrable Securities are advised
to consult their own securities law counsel regarding the consequences of being
named or not being named as a selling securityholder in the Registration
Statement and the related prospectus.

                                       23
<PAGE>

                                     NOTICE

        The undersigned beneficial owner (the "Selling Securityholder") of
Registrable Securities hereby gives notice to the Company of its intention to
sell or otherwise dispose of Registrable Securities beneficially owned by it and
listed below in Item 3 (unless otherwise specified under Item 3) pursuant to the
Registration Statement. The undersigned, by signing and returning this Notice
and Questionnaire, understands and agrees that it will be bound by the terms and
conditions of this Notice and Questionnaire and the Registration Rights
Agreement. The undersigned acknowledges that if it is a broker-dealer or an
affiliate of a broker-dealer that it will be identified in the Registration
Statement as an underwriter of the Registrable Securities.

        Upon any sale of Registrable Securities pursuant to the Registration
Statement, the undersigned will be required to deliver to the Company and the
administrative trustees a Notice of Transfer (completed and signed) in the form
provided by the administrative trustees and hereby undertakes to do so.

        The undersigned hereby provides the following information to the Company
and the Trust and represents and warrants that such information is accurate and
complete:

                                       24
<PAGE>

                                  QUESTIONNAIRE

1.       (a) Full legal name of Selling Securityholder:

         -----------------------------------------------------------------------

         (b)  Full legal name of registered holder (if not the same as (a)
              above) through which Registrable Securities listed in (3) below
              are held:

         -----------------------------------------------------------------------

         (c)  Full legal name of DTC participant (if applicable and if not the
              same as (b) above) through which Registrable Securities listed in
              (3) below are held:

         -----------------------------------------------------------------------

(2)      Address for notices to Selling Securityholder:

         Telephone (including area _____________________________________________
         code):

         Fax (including area code): ____________________________________________

         Contact Person:     ___________________________________________________

(3)      Beneficial ownership of Registrable Securities:

         (a)  Type and Principal Amount or Number of Shares of Registrable
              Securities beneficially owned:

         _______________________________________________________________________

         _______________________________________________________________________

         (b)  CUSIP No(s). of such Registrable Securities beneficially owned:

         _______________________________________________________________________

         _______________________________________________________________________

(4)      Beneficial ownership of the Company securities owned by Selling
         Securityholder:

         Except as set forth below in this Item (4), the undersigned is not the
         beneficial or registered owner of any securities of the Company other
         than the Registrable Securities listed above in Item (3).

         (a)  Type and Amount of other Company securities beneficially owned by
              Selling

                                       25
<PAGE>

              Securityholder:

         _______________________________________________________________________

         _______________________________________________________________________

         (b)  CUSIP No(s). of such other Company securities beneficially owned:

         _______________________________________________________________________

         _______________________________________________________________________

(5)      Relationships with the Company and/or the Trust:

         Except as set forth below; neither the undersigned nor any of its
         affiliates, officers, directors or principal equity holders (5% or
         more) has held any position or office or has had any other material
         relationship with the Company and/or the Trust (or their respective
         predecessors or affiliates) during the past three years.

         State any exceptions __________________________________________________
         here:

(6)      Plan of Distribution:

         Except as set forth below, the undersigned (including its donees or
         pledgees) intends to distribute the Registrable Securities listed above
         in Item (3) pursuant to the Registration Statement only as follows (if
         at all): Such Registrable Securities may be sold from time to time
         directly by the undersigned or, alternatively, through underwriters, in
         accordance with the Registration Rights Agreement. If the Registrable
         Securities are sold through underwriters or broker-dealers, the Selling
         Securityholder will be responsible for underwriting discounts or
         commissions or agent's commissions. Such Registrable Securities may be
         sold in one or more transactions at fixed prices, at prevailing market
         prices at the time of sale, at varying prices determined at the time of
         sale, or at negotiated prices. Such sales may be effected in
         transactions (which may involve block transactions): (i) on any
         national securities exchange or quotation service on which the
         Registrable Securities may be listed or quoted at the time of sale,
         (ii) in the over-the-counter market, (iii) in transactions otherwise
         than on such exchanges or services or in the over-the-counter market,
         or (iv) through the writing of options. In connection with sales of the
         Registrable Securities or otherwise, the undersigned may enter into
         hedging transactions with broker-dealers, which may in turn engage in
         short sales of the Registrable Securities in the course of hedging
         positions they assume. The undersigned Selling Securityholder may also
         sell Registrable Securities short and deliver Registrable Securities to
         close out such short positions, or loan or pledge Registrable
         Securities to broker-dealers that in turn may sell such securities.

         State any exceptions __________________________________________________
         here:

                                       26
<PAGE>

         Note: In no event will such method(s) of distribution take the form of
         an underwritten offering of the Registrable Securities without the
         prior agreement of the Company and the Trust.

(7)      Broker-dealers and their affiliates:

         If the Selling Securityholder is a broker-dealer or an affiliate of a
         broker-dealer and did not purchase its Registrable Securities in the
         ordinary course of business or, at the time of the purchase, had any
         agreements or understandings, directly or indirectly, to distribute the
         Registrable Securities, we may have to identify the Selling
         Securityholder as an underwriter in the Registration Statement or
         related prospectus. Persons identified as underwriters in the
         Registration Statement or related prospectus may be subject to
         additional potential liabilities under the Securities Act.

         (a)  Are you a broker-dealer registered pursuant to Section 1.5 of the
              Exchange Act?

              Yes __________
              No  __________

         (b)  If your response to (a) above is "No," are you an "affiliate" of a
              broker-dealer that is registered pursuant to Section 15 of the
              Exchange Act?

              Yes __________
              No  __________

         For the purposes of this Item 7(b), an "affiliate" of a registered
         broker-dealer includes any company that directly, or indirectly through
         one or more intermediaries, controls, or is controlled by, or is under
         common control with, such broker-dealer.

         (c)  Did you acquire the securities listed in Item 3 above in the
              ordinary course of business?

              Yes __________
              No  __________

         (d)  At the time of your purchase of the securities listed in Item 3
              above, did you have any agreements or understandings, directly or
              indirectly, with any person to distribute the securities?

              Yes __________
              No  __________

         (e)  If your response to (d) above is yes, please describe such
              agreements or understandings:

         -----------------------------------------------------------------------

                                       27
<PAGE>

         -----------------------------------------------------------------------

         (f)  Did you receive the securities listed in Item 3 above as
              compensation for investment banking services or as investment
              shares?

              Yes __________
              No  __________

         (g)  If your response to (f) above is yes, please describe the
              circumstances:

         _______________________________________________________________________

         _______________________________________________________________________

        The undersigned acknowledges that it understands its obligation to
comply with the provisions of the Securities Exchange Act of 1934, as amended,
and the rules thereunder relating to stock manipulation, particularly Regulation
M thereunder (or any successor rules or regulations), in connection with any
offering of Registrable Securities pursuant to the Registration Statement. The
undersigned agrees that neither it nor any person acting on its behalf will
engage in any transaction in violation of such provisions.

        The Selling Securityholder hereby acknowledges its obligations under the
Registration Rights Agreement to indemnify and hold harmless certain persons as
set forth therein.

        Pursuant to the Registration Rights Agreement, the Company has agreed
under certain circumstances to indemnify the Selling Securityholder against
certain liabilities.

        In the event that the undersigned transfers all or any portion of the
Registrable Securities listed in Item (3) above after the date on which such
information is provided to the Company and the Trust, the undersigned agrees to
notify the transferee(s) at the time of the transfer of its rights and
obligations under this Notice and Questionnaire and the Registration Rights
Agreement.

        In accordance with the undersigned's obligations under the Registration
Rights Agreement to provide such information as may be required by law for
inclusion in the Registration Statement, the undersigned agrees to promptly
notify the Company and the Trust of any inaccuracies or changes in the
information provided herein that may occur subsequent to the date hereof at any
time while the Registration Statement remains effective. All notices hereunder
and pursuant to the Registration Rights Agreement shall be made in writing, by
hand-delivery, first-class mail, or air courier guaranteeing overnight delivery
to the address set forth below.

        By signing below, the undersigned consents to the disclosure of the
information contained herein in its answers to Items (1) through (6) above and
the inclusion of such information in the Registration Statement and the related
prospectus. The undersigned understands that such information will be relied
upon by the Company and the Trust in connection with the preparation or
amendment of the Registration Statement and the related prospectus.

        Once this Notice and Questionnaire is executed by the undersigned and
received by the Company and the Trust, the terms of this Notice and
Questionnaire, and the representations and warranties contained herein, shall be
binding on, shall inure to the benefit of and shall be enforceable by the
respective successors, heirs, personal representatives, and assigns of the
Company, the Trust and the undersigned with respect to the Registrable
Securities beneficially owned by the undersigned and listed in Item (3) above.
This Notice and Questionnaire shall be governed in all respects by the laws of
the State of New York.

                                       28
<PAGE>

        IN WITNESS WHEREOF, the undersigned, by authority duly given, has caused
this Notice and Questionnaire to be executed and delivered either in person or
by its duly authorized agent.

Dated:  ______________________________  ________________________________________
                                                   Beneficial Owner

                                    By: ________________________________________

                                  Name: ________________________________________

                                 Title: ________________________________________

                 PLEASE RETURN THE COMPLETED AND EXECUTED NOTICE
               AND QUESTIONNAIRE TO THE COMPANY AND THE TRUST AT:

                     American Home Mortgage Investment Corp.
                              538 Broadhollow Road
                            Melville, New York 11747
                          Attn: Chief Financial Officer

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00125-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00125-of-00352.parquet"}]]