Document:

VANGUARD HEALTH SYSTEMS, INC.

EXHIBIT 10.68

EMPLOYMENT AGREEMENT

            THIS  EMPLOYMENT AGREEMENT (this “Agreement”) dated as of July 1, 2009, is made by and between Vanguard Health Systems, Inc., a Delaware corporation (the “Company”),
and Bradley A. Perkins, MD (the “Executive”).

            WHEREAS, the Company desires to secure for itself or its subsidiary the services of the Executive as its Executive Vice President-Strategy and Innovation & Chief Transformation Officer from and
after the date hereof and the Executive desires to render such services, in each case pursuant to the terms and conditions hereof;

            WHEREAS; the Company’s Board of Directors (the “Board”; provided, that if a Compensation Committee of the Board of Directors shall have been duly appointed, the term
“Board” as used herein shall mean either of such Committee or the full Board of Directors) has approved and authorized the Company’s entry into this Agreement with the Executive;

            WHEREAS, the parties desire to enter into this Agreement setting forth the terms and conditions of the employment relationship of the Executive with the Company; and

            NOW, THEREFORE, in consideration of the promises and the mutual covenants herein contained, the Company and the Executive hereby agree as follows:

            1.         Employment. The Company or its subsidiary hereby employs the Executive, and the Executive hereby accepts employment with the Company or its
subsidiary, upon the terms and subject to the conditions set forth herein.

            2.         Term. This Agreement is for the five-year period (the “Term”) commencing on the date first written above (the “Effective
Date”) and terminating on the fifth anniversary of the Effective Date, or upon the Executive’s earlier death, disability or other termination of employment pursuant to Section 10; provided, however, that commencing on the fifth anniversary of the
Effective Date and on each anniversary thereafter the Term shall automatically be extended for one additional year unless, not later than 90 days prior to any such anniversary, either party hereto shall have notified the other party hereto that such extension shall
not take effect.

            3.         Position. During the Term, the Executive shall serve as Executive Vice President-Strategy and Innovation & Chief Transformation Officer
of the Company or in such other senior executive position in the Company as the Executive should approve.

            4.         Duties and Reporting Relationship. During the Term, the Executive shall, on a full time basis, use his skills and render services to the
best of his ability in supervising and conducting the operations of the Company.

            5.         Place of Performance. The Executive shall perform his duties and conduct his business at the principal executive offices of the Company,
except for required travel on the Company’s business.

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            6.         Salary and Annual Bonus.

                        (a)        Base Salary. The Executive’s base salary hereunder shall be
$675,000 per year, payable semi-monthly. Commencing on July 1, 2010, the Board shall review such base salary at least annually and make such adjustments from time to time as it may deem advisable, but the base salary shall not at any time be reduced from the base
salary in effect from time to time.

                        (b)        Annual Bonus. The Board (or if there is a compensation committee of the
Board, the compensation committee) shall provide the Executive with an annual bonus plan providing the Executive with an opportunity to earn annual bonus compensation and shall cause the Company to pay to him any earned annual bonus in addition to his base
salary.

            7.         Vacation, Holidays and Sick Leave. During the Term, the Executive shall be entitled to paid vacation, paid holidays and sick leave in
accordance with the Company’s standard policies for its senior executive officers.

            8.         Business Expenses. The Executive will be reimbursed for all ordinary and necessary business expenses incurred by him in connection with his
employment upon timely submission by the Executive of receipts and other documentation as required by the Internal Revenue Code and in conformance with the Company’s normal procedures.

            9.         Pension and Welfare Benefits. During the Term, the Executive shall be eligible to participate fully in all health benefits, insurance
programs, pension and retirement plans and other employee benefit and compensation arrangements available to senior officers of the Company generally.

            10.       Termination of Employment.

                        (a)        General. The Executive’s employment hereunder may be terminated
without any breach of this Agreement only under the following circumstances.

                        (b)        Death or Disability.

                                    (i)        
The Executive’s employment hereunder shall automatically terminate upon the death of the Executive.

                                    (ii)        If, as
a result of the Executive’s incapacity due to physical or mental illness, the Executive shall have been absent from his duties with the Company for any six (6) months (whether or not consecutive) during any twelve (12) month period, the Company may terminate
the Executive’s employment hereunder for any such incapacity (a “Disability”).

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                        (c)        Cause. The Company may terminate the Executive’s employment.
hereunder for Cause. For purposes of this Agreement, “Cause” shall mean (i) the willful failure or refusal by the Executive to perform his duties hereunder (other than any such failure resulting from the Executive’s incapacity due to physical or
mental illness), which has not ceased within ten (10) days after a written demand for substantial performance is delivered to the Executive by the Company, which demand identifies the manner in which the Company believes that the Executive has not performed such
duties, (ii) the willful engaging by the Executive in misconduct which is materially injurious to the Company, monetarily or otherwise (including, but not limited to, conduct described in Section 14) or (iii) the conviction of the Executive of, the entering of a plea
of nolo contendere by the Executive with respect to, a felony. Notwithstanding the foregoing, the Executive’s employment hereunder shall not be deemed to have been terminated for Cause unless and until there shall have been delivered to the Executive a
copy of a resolution duly adopted by the affirmative vote of not less than a majority of the entire membership of the Board at a meeting of the Board (after written notice to the Executive and a reasonable opportunity for the Executive, together with the
Executive’s counsel, to be heard before the Board), finding that in the good faith opinion of the Board the Executive should be terminated for cause.

                        (d)        Termination by the Executive. The Executive shall be entitled to
terminate his employment hereunder (A) for Good Reason or (B) for any other reason. To be a valid termination of employment by the Executive under this Agreement for Good Reason, the date of the actual termination of the Executive’s employment due to any of the
Good Reason acts or conditions set forth in Sections 10(d)(i) through 10(d)(vi) below must occur within a period of two years following the initial existence of such Good Reason act or condition which arose without the consent of the Executive. For purposes of this
Agreement, “Good Reason” shall mean, (i) without the Executive’s express written consent, any failure by the Company to comply with any material provision of this Agreement, which failure has not been cured within ten (10) days after notice of such
noncompliance has been given by the Executive to the Company or (ii) the occurrence (without the Executive’s express written consent), following a Change in Control during the term of this Agreement, of any one of the following acts by the Company, or failures
by the Company to act, unless, in the case of any act or failure to act described below, such act or failure to act is corrected prior to the Date of Termination specified in the Notice of Termination given in respect thereof:

                                    (i)         a
material diminution in the Executive’s base compensation, except for across-the-board salary reductions similarly affecting all senior executives of the Company and all senior executives of any Person (as defined in Section 10(h)(i) below) in control of the
Company provided in no event shall any such reduction reduce the Executive’s base salary below $675,000;

                                    (ii)        a
material diminution in the Executive’s authority, duties or responsibilities;

                                    (iii)       a material
diminution in the authority, duties or responsibilities of the supervisor to whom the Executive is required to report, including a requirement that the Executive’s supervisor report to a corporate officer or employee instead of reporting directly to the Board
of Directors of the Company;

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                                    (iv)       a material
diminution in the budget over which the Executive retains authority;

                                    (v)        a
material change in the geographic location at which the Executive must perform services under this Agreement, except for required travel on the Company’s business to an extent substantially consistent with his business travel obligations prior to
the Change in Control; or

                                    (vi)       any other
action or inaction that constitutes a material breach by the Company of the terms of this Agreement.

            The Executive's continued employment shall not constitute consent to, or a waiver of rights with respect to, any act or failure to act constituting Good Reason hereunder.

                        (e)        Voluntary Resignation. Should the Executive wish to resign from his
position with the Company or terminate his employment for other than Good Reason during the Term, the Executive shall give sixty (60) days written notice to the Company, setting forth the reasons and specifying the date as of which his resignation is to become
effective.

                        (f)         Notice of Termination. Any purported termination of the
Executive’s employment by the Company or by the Executive shall be communicated by written Notice of Termination to the other party hereto in accordance with Section 18. “Notice of Termination” shall mean a notice that shall indicate the specific
termination provision in this Agreement relied upon and shall set forth in reasonable detail the facts and circumstances claimed to provide a basis for termination of the Executive's employment under the provision so indicated. In respect of a Notice of Termination
sent by the Executive as a result of any of the Good Reason acts or conditions set forth in Sections 10(d)(i) through 10(d)(vi) above, it must be sent by the Executive to the Company within 90 days following the initial existence of such Good Reason act or condition
which arose without the consent of the Executive and if not sent within such 90 days, it shall not be a valid Notice of Termination.

                        (g)        Date of Termination. “Date of Termination” shall mean (i) if
the Executive's employment is terminated because of death, the date of the Executive's death, (ii) if the Executive's employment is terminated for Disability, the date Notice of Termination is given, or (iii) if the Executive's employment is terminated pursuant to
Subsection (c), (d) or (e) hereof or for any other reason (other than death or Disability), the date specified in the Notice of Termination (which, in the case of a termination for Good Reason shall not be less than thirty (30) nor more than sixty (60) days from the
date such Notice of Termination is given, and in the case of a termination for any other reason shall not be less than thirty (30) days (sixty (60) days in the case of a termination under Subsection (e) hereof) from the date such Notice of Termination is given);
provided, that in the case of a termination for Cause, nothing herein shall prevent the Company from immediately terminating the Executive’s employment, so long as the Company continues to meet all of its responsibilities hereunder with respect to payment of
salary, benefits and other obligations during the minimum notice period described in this

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Subsection (g) (and for purposes of measuring such obligations, the Date of Termination shall be deemed to be the end of such minimum notice period).

                        (h)        Change in Control. For purposes of this Agreement, a Change in Control
of the Company shall have occurred if

                                    (i)        
any “Person” (as defined in Section 3(a)(9) of the Securities Exchange Act of 1934 (the “Exchange Act”) as modified and used in Sections 13(d) and 14(d) of the Exchange Act (other than (1) the Company or any of its subsidiaries, (2) any
trustee or other fiduciary holding securities under an employee benefit plan of the Company or any of its subsidiaries, (3) an underwriter temporarily holding securities pursuant to an offering of such securities, (4) any entity owned, directly or indirectly, by the
stockholders of the Company in substantially the same proportions as their ownership of the Company’s common stock, (5) any Person that was a stockholder of the Company on September 23, 2004 and any affiliates of such Person, or (6) Blackstone (as defined in
the Company’s 2004 Stock Incentive Plan), or any of its affiliates), is or becomes the “beneficial owner” (as defined in Rule 13d-3 under the Exchange Act), directly or indirectly, of securities of the Company representing more than 50% of the
combined voting power of the Company’s then outstanding voting securities;

                                    (ii)        during
any period of not more than two consecutive years, not including any period prior to the date of this Agreement, individuals who at the beginning of such period constitute the Board, and any new director (other than a director designated by a person who has entered
into an agreement with the Company to effect a transaction described in clause (i), (iii), or (iv) of this Section 10(h)) whose election by the Board or nomination for election by the Company’s stockholders was approved by a vote of at least two-thirds (2/3) of
the directors then still in office who either were directors at the beginning of the period or whose election or nomination for election was previously so approved, cease for any reason to constitute at least a majority thereof;

                                    (iii)       the
stockholders of the Company approve a merger or consolidation of the Company with any other corporation, other than both (A) (1) a merger or consolidation which would result in the voting securities of the Company outstanding immediately prior thereto continuing,
directly or indirectly, to represent (either by remaining outstanding or by being converted into voting securities of the surviving or parent entity) 50% or more of the combined voting power of the voting securities of the Company or such surviving or parent entity
outstanding immediately after such merger or consolidation or (2) a merger or consolidation in which no person acquires 50% or more of the combined voting power of the Company’s then outstanding securities; and (B) immediately after the consummation of such
merger or consolidation described in clause (A) (1) or (A) (2) above (and for at least 180 days thereafter) neither the Company’s Chief Executive Officer nor its Chief

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Operating Officer change from the people occupying such positions immediately prior to such merger or consolidation except as a result of their death or Disability and neither of such officers shall have changed prior to such merger or consolidation at the
direction of a Person who has entered into an agreement with the Company the consummation of which will constitute a Change in Control of the Company; or

                                    (iv)       the
stockholders of the Company approve (A) a plan of complete liquidation of the Company or (B) an agreement for the sale or disposition by the Company of all or substantially all of the Company’s assets (or any transaction having a similar effect).

            For purposes of Section 10(h)(i), 10(h)(ii) and I0(h)(iv)(B) of this Agreement only, the “Company” shall mean any of Vanguard Health Systems, Inc., Vanguard Health Holding Company 1,
LLC, or Vanguard Health Holding Company II, LLC; provided that, any reorganization involving solely the “Company” and its subsidiaries shall not constitute a change in control under this Agreement.

                        (i)         Resignation as Member of Board. If the Executive's employment by
the Company is terminated for any reason, the Executive hereby agrees that he shall simultaneously submit his resignation as a member of the Board in writing on or before the Date of Termination if the Executive is a member of the Board at such time. If the Executive
fails to submit such required resignation in writing, the provisions of this Subsection 10(i) may be deemed by the Company to constitute the Executive's written resignation as a member of the Board effective as of the Date of Termination.

            11.       Compensation During Disability, Death or Upon Termination.

                        (a)        During any period that the Executive fails to perform his duties hereunder as a
result of incapacity due to physical or mental illness (“Disability Period”), the Executive shall continue to receive his full salary at the rate then in effect for such period until his employment is terminated pursuant to Section 10(b)(ii) hereof,
provided that payments so made to the Executive during the Disability Period shall be reduced by the sum of the amounts, if any, payable to the Executive with respect to such period under disability benefit plans of the Company or under the Social Security disability
insurance program, and which amounts were not previously applied to reduce any such payment.

                        (b)        If the Executive's employment is terminated by his death or Disability, the
Company shall pay (i) any amounts due to the Executive under Section 6 through the date of such termination and (ii) all such amounts that would have become due to the Executive under Section 6 had the Executive's employment hereunder continued until the last day of
the calendar year in which such termination of employment occurred, in each case in accordance with Section 13(b), if applicable.

                        (c)        If the Executive's employment shall be terminated by the Company for Cause or
by the Executive for other than Good Reason, the Company shall pay the Executive his

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full salary through the Date of Termination at the rate in effect at the time Notice of Termination is given, and the Company shall have no further obligations to the Executive under this Agreement.

                        (d)        If (A) following a Change in Control the Company shall terminate the
Executive's employment in breach of this Agreement, or (B) following a Change in Control the Executive shall terminate his employment for Good Reason, then

                                    (i)        
the Company shall pay the Executive (x) his full salary through the Date of Termination at the rate in effect at the time Notice of Termination is given, (y) a pro rata portion of his current year annual bonus pursuant to Section 6(b) and (z) all other unpaid
amounts, if any, to which the Executive is entitled as of the Date of Termination under any compensation plan or program of the Company, at the time such payments are due;

                                    (ii)        in
lieu of any further salary payments to the Executive for periods subsequent to the Date of Termination, the Company shall pay as liquidated damages to the Executive an aggregate amount equal to the product of (A) the sum of (1) the Executive's annual salary rate in
effect as of the Date of Termination and (2) the average of the annual bonuses actually paid to the Executive by the Company with respect to the two fiscal years which immediately precede the year of the Term in which the Date of Termination occurs; provided if there
was a bonus or bonuses paid to the Executive with respect only to one fiscal year which immediately precedes the year of the Term in which the Date of Termination occurs, then such single year's bonus or bonuses shall be utilized in the calculation pursuant to this
clause (2) and (B) the number three (3);

                                    (iii)       the Company
shall (x) continue coverage for the Executive under the Company’s life insurance, medical, health, disability and similar welfare benefit plans (or, if continued coverage is barred under such plans, the Company shall provide to the Executive substantially
similar benefits) for a period equal to the greater of (A) the remainder of the Term and (B) 18 months, and (y) provide the benefits which the Executive would have been entitled to receive pursuant to any supplemental retirement plan maintained by the Company had his
employment continued at the rate of compensation specified herein for a period equal to the greater of (A) the remainder of the Term and (B) 18 months. Benefits otherwise receivable by the Executive pursuant to clause (x) of this Subsection 11(d)(iii) shall be
reduced to the extent comparable benefits are actually received by the Executive from a subsequent employer during the period during which the Company is required to provide such benefits, and the Executive shall report any such benefits actually received by him to
the Company; and

                                    (iv)       the payments
provided for in this Section 11(d) (other than Section 11(d)(iii)) shall be made not later than the fifth day following the Date of Termination, provided, however, that if the amounts of such payments, and the limitation on such payments set forth in Section 15
hereof, cannot be finally

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determined on or before such day, the Company shall pay to the Executive on such day an estimate, as determined in good faith by the Company, of the minimum amount of such payments to which the Executive is clearly entitled and shall pay the remainder of such
payments (together with interest at the rate provided in section 1274(b)(2)(B) of the Code (as defined in Section 15)) as soon as the amount thereof can be determined but in no event later than the thirtieth (30th) day after the Date of Termination. In the event that
the amount of the estimated payments exceeds the amount determined by the Company within six (6) months after payment to have been due, such excess shall be paid by the Executive to the Company, no later than the thirtieth (30th) business day after demand by the
Company. At the time that payments are made under this Section 11(d), the Company shall provide the Executive with a written statement setting forth the manner in which such payments were calculated and the basis for such calculations including, without limitation,
any opinions or other advice the Company has received from outside counsel, auditors or consultants (and any such opinions or advice which are in writing shall be attached to the statement).

                        (e)        If (A) prior to any Change in Control the Company shall terminate the
Executive's employment in breach of this Agreement or (B) prior to any Change in Control the Executive shall terminate his employment for Good Reason, then

                                    (i) the Company shall pay the Executive (x) his full
salary through the Date of Termination at the rate in effect at the time Notice of Termination is given, (y) a pro rata portion of his current year annual bonus pursuant to Section 6(b) and (z) any all other unpaid amounts, if any, to which the Executive is entitled
as of the Date of Termination under any compensation plan or program of the Company, at the time such payments are due;

                                    (ii)        in
lieu of any further salary payments to the Executive for periods subsequent to the Date of Termination, the Company shall pay as liquidated damages to the Executive an aggregate amount equal to the product of (A) the sum of (1) the Executive's annual salary rate in
effect as of the Date of Termination and (2) the average of the annual bonuses actually paid to the Executive by the Company with respect to the two fiscal years which immediately precede the year of the Term in which the Date of Termination occurs; provided if there
was a bonus or bonuses paid to the Executive with respect only to one fiscal year which immediately precedes the year of the Term in which the Date of Termination occurs, then such single year's bonus or bonuses shall be utilized in the calculation pursuant to this
clause (2) and (B) the number two (2); such amount to be paid in substantially equal monthly installments during the period commencing with the month immediately following the month in which the Date of Termination occurs and ending with the month corresponding to
the end of the Term hereunder; and

                                    (iii)       the Company
shall, at its cost (provided that Executive shall continue to be responsible to pay the standard employee portion of such cost), (x)

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continue coverage for the Executive under the Company’s life insurance, medical, health, disability and similar welfare benefit plans (or, if continued coverage is barred under such plans, the Company shall provide to the Executive substantially similar
benefits) for a period equal to the greater of (A) the remainder of the Term and (B) 18 months, and (y) provide the benefits which the Executive would have been entitled to receive pursuant to any supplemental retirement plan maintained by the Company had his
employment continued at the rate of compensation specified herein for a period equal to the greater of (A) the remainder of the Term and (B) 18 months. Benefits otherwise receivable by the Executive pursuant to clause (x) of this Subsection 11(e)(iii) shall be
reduced to the extent comparable benefits are actually received by the Executive from a subsequent employer during the period during which the Company is required to provide such benefits, and the Executive shall report any such benefits actually received by him to
the Company.

                        (f)         The Executive shall not be required to mitigate the amount of any payment
provided for in this Section 11 by seeking other employment or otherwise, and, except as provided in Sections 11(d) and 11(e) hereof, the amount of any payment or benefit provided for in this Section 11 shall (i) not be reduced by any compensation earned by the
Executive as the result of employment by another employer or by retirement benefits and (ii) be the sole amount due to the Executive from the Company upon such termination of employment, the Executive hereby waiving any claim for other compensation or related damages
(whether consequential, punitive or other) as a result of such termination.

                        (g)        Notwithstanding anything to the contrary set forth in this Agreement, if the
Executive is a “specified employee” within the meaning of Section 409A of the Internal Revenue Code of 1986, as amended (the “Code”) and the final regulations and  any guidance promulgated thereunder (“Section 409A”)
at the time of the Executive’s termination, then for purposes solely of the amounts of liquidated damages payable to the Executive in installments pursuant to Section 11(e)(ii) above, only the portion of the Deferred Compensation Separation  Benefits (as
defined below) which do not exceed the Section 409A Limit (as defined below) may be made within the first six (6) months following the Executive’s termination of employment in accordance with the payment schedule applicable to each such payment or
benefit. The term “Deferred Compensation Separation Benefits” as used herein shall mean the liquidated damages payable to Executive pursuant to Section 11(e)(ii) above, together with any other post-termination payments or separation benefits which may be
considered deferred compensation under Section 409A. The term  “Section 409A Limit” as used herein shall mean the lesser of two (2) times: (i) Executive’s annualized compensation based upon the annual rate of pay paid to
Executive during the Company’s taxable year preceding the Company’s taxable year of Executive’s termination of employment as determined under Treasury Regulation 1.409A-1(b)(9)(iii)(A)(1) and any Internal Revenue Service guidance issued with
respect thereto; or (ii) the maximum amount that may be taken into account under a qualified plan pursuant to Section 401(a)(17) of the Code for the year in which the Executive’s employment is terminated. Any portion of the Deferred Compensation
Separation Benefits in excess of the Section 409A Limit shall accrue and, to the extent such portion of the Deferred Compensation Separation Benefits would otherwise have been payable within the first six

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(6) months following the Executive’s termination of employment pursuant to Section 11(e)(ii) above, will become payable to the Executive on the first payroll date that occurs on or after the date six (6) months and one (1) day following the date of
the Executive’s termination of employment. All subsequent Deferred Compensation Separation Benefits, if any, will be payable in accordance with the payment schedule applicable to each payment or benefit. The parties hereto agree that this Section 11(g) is
intended to comply with the requirements of Section 409A so that none of the liquidated damages payments and other separation compensation and benefits to be provided hereunder to Executive will be subject to the additional tax imposed upon Executive under
Section 409A, and any ambiguities herein will be interpreted to so comply. The Company and the Executive agree to work together in good faith to consider amendments to this Agreement and to take such reasonable actions which are necessary, appropriate or
desirable to avoid imposition of any additional tax or income recognition prior to actual payment to the Executive under Section 409A.

            12.       Representations.

                        (a)        The Company represents and warrants that this Agreement has been authorized by
all necessary corporate action of the Company and is a valid and binding agreement of the Company enforceable against it in accordance with its terms.

                        (b)        The Executive represents and warrants that he is not a party to any agreement
or instrument which would prevent him from entering into or performing his duties in any way under this Agreement.

            13.       Successors; Binding Agreement.

                        (a)        The Company will require any successor (whether direct or indirect, by
purchase, merger, consolidation or otherwise) to all or substantially all of the business and/or assets of the Company to expressly assume and agree to perform this Agreement in the same manner and to the same extent that the Company would be required to perform it
if no such succession had taken place.

                        (b)        This Agreement is a personal contract and the rights and interests of the
Executive hereunder may not be sold, transferred, assigned, pledged, encumbered, or hypothecated by him, except as otherwise expressly permitted by the provisions of this Agreement. This Agreement shall inure to the benefit of and be enforceable by the Executive and
his personal or legal representatives, executors, administrators, successors, heirs, distributees, devisees and legatees. If the Executive should die while any amount would still be payable to him hereunder had the Executive continued to live, all such amounts,
unless otherwise provided herein, shall be paid in accordance with the terms of this Agreement to his devisee, legatee or other designee or, if there is no such designee, to his estate.

            14.       Confidentiality and Non‐Competition Covenants.

                        (a)        The Executive covenants and agrees that he will not at any time during and
after the end of the Term, directly or indirectly, use for his own account, or disclose to any

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person, firm or corporation, other than authorized officers, directors and employees of the Company or its subsidiaries, Confidential Information (as hereinafter defined) of the Company. As used herein, “Confidential Information” of the Company means
information of any kind, nature or description which is disclosed to or otherwise known to the Executive as a direct or indirect consequence of his association with the Company, which information is not generally known to the public or in the businesses in which the
Company is engaged or which information relates to specific investment opportunities within the scope of the Company’s business which were considered by the Executive or the Company during the term of this Agreement. During the Term and for a period of two
years following the termination of the Executive's employment, the Executive shall not induce any employee of the Company or its subsidiaries to terminate his or her employment by the Company or its subsidiaries in order to obtain employment by any person, firm or
corporation affiliated with the Executive.

                        (b)        The Executive covenants and agrees that while the Executive remains employed by
the Company or its subsidiary and for a period of two (2) years following the termination of the Executive's employment, the Executive shall not, directly or indirectly, own any interest in, operate, join, control, or participate as a partner, director, principal,
officer, or agent of, enter into the employment of, act as a consultant to, or perform any services for any entity which is a hospital system or is in the hospital or hospital management business. Notwithstanding anything herein to the contrary, (1) the foregoing
provisions of this Section 14(b) shall not prevent the Executive from (x) acquiring securities representing not more than 5% of the outstanding voting securities of any publicly held corporation or (y) working as an accountant or an attorney for a law or accounting
firm and (2) the foregoing provisions of this Section 14(b) shall not be applicable to a termination of the Executive's employment (i) by the Company or (ii) by the Executive for Good Reason.

            15.       Prohibition on Parachute Payments.

                        (a)        Notwithstanding any other provisions of this Agreement, in the event that any
payment or benefit received or to be received by the Executive in connection with a Change in Control of the Company or the termination of the Executive's employment (whether pursuant to the terms of this Agreement or any other plan, arrangement or agreement with the
Company, any Person whose actions result in a Change in Control or any Person affiliated with the Company or such Person) (all such payments and benefits, including, without limitation, base salary and bonus payments, being hereinafter called “Total
Payments”) would not be deductible (in whole or in part), by the Company, an affiliate or any Person making such payment or providing such benefit as a result of section 280G of the Code, then, to the extent necessary to make such portion of the Total Payments
deductible (and after taking into account any reduction in the Total Payments provided by reason of section 280G of the Code in such other plan, arrangement or agreement), (A) the cash portion of the Total Payments shall first be reduced (if necessary, to zero), and
(B) all other non‐ cash payments by the Company to the Executive shall next be reduced (if necessary, to zero). For purposes of this limitation (i) no portion of the Total Payments the receipt or enjoyment of which the Executive shall have effectively waived in
writing prior to the Date of Termination shall be taken into account, (ii) no portion of the Total Payments shall be taken into account which in the opinion of tax counsel selected by the Company’s independent auditors and reasonably acceptable to the Executive
does not constitute

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a “parachute payment” within the meaning of section 280G(b)(2) of the Code, including by reason of section 280G(b)(4)(A) of the Code, (iii) such payments shall be reduced only to the extent necessary so that the Total Payments (other than those
referred to in clauses (i) or (ii)) in their entirety constitute reasonable compensation for services actually rendered within the meaning of section 280G(b)(4)(B) of the Code or are otherwise not subject to disallowance as deductions, in the opinion of the tax
counsel referred to in clause (ii); and (iv) the value of any non‐cash benefit or any deferred payment or benefit included in the Total Payments shall be determined by the Company’s independent auditors in accordance with the principles of sections
280G(d)(3) and (4) of the Code.

                        (b)        If it is established pursuant to a final determination of a court or an
Internal Revenue Service proceeding that, notwithstanding the good faith of the Executive and the Company in applying the terms of this Section 15, the aggregate “parachute payments” paid to or for the Executive's benefit are in an amount that would
result in any portion of such “parachute payments” not being deductible by reason of section 280G of the Code, then the Executive shall have an obligation to pay the Company upon demand an amount equal to the excess of the aggregate “parachute
payments” paid to or for the Executive's benefit over the aggregate “parachute payments” that could have been paid to or for the Executive's benefit without any portion of such “parachute payments” not being deductible by reason of
section 280G of the Code.

            16.       Entire Agreement. This Agreement contains all the understandings between the parties hereto pertaining to the matters referred to herein, and on the
Effective Date shall supersede all undertakings and agreements, whether oral or in writing, previously entered into by them with respect thereto, except for the provisions of the employment offer letter dated April 20, 2009, sent to the Executive by the
Company’s Senior Vice-President-Human Resources (the “Offer Letter”); provided, notwithstanding the foregoing, this Agreement shall constitute and replace in full the provisions of the Offer Letter found in the section of the Offer Letter
entitled “Employment Agreement with Severance Protection Provisions.”  The Executive represents that, in executing this Agreement, he does not rely and has not relied upon any representation or statement not set forth herein made by the Company with
regard to the subject matter, bases or effect of this Agreement or otherwise, except for the provisions of the Offer Letter.

            17.       Amendment or Modification, Waiver. No provision of this Agreement may be amended or waived unless such amendment or waiver is agreed to in writing,
signed by the Executive and by a duly authorized officer of the Company. No waiver by any party hereto of any breach by another party hereto of any condition or provision of this Agreement to be performed by such other party shall be deemed a waiver of a similar or
dissimilar condition or provision at the same time, any prior time or any subsequent time.

            18.       Notices. Any notice to be given hereunder shall be in writing and shall be deemed given when delivered personally, sent by courier or telecopy or
registered or certified mail, postage prepaid, return receipt requested, addressed to the party concerned at the address indicated below or to such other address as such party may subsequently give notice of hereunder in writing:

12

                        To Executive at:            Bradley A. Perkins, MD

                                                           
c/o Vanguard Health Systems, Inc.

                                                           
20 Burton Hills Blvd.

                                                           
Suite 100

                                                           
Nashville, TN 37215

                        To the Company at:      Vanguard Health Systems, Inc.

                                                           
20 Burton Hills Blvd.

                                                           
Suite 100

                                                           
Nashville, TN 37215

                                                           
Attention: General Counsel

                                                           
Telecopy: (615) 665-6197

                                                           
with a copy to:

                                                           
VHS Holdings LLC

                                                           
c/o Blackstone Management Associates IV LLC

                                                           
345 Park Avenue

                                                           
New York, NY 10154

                                                           
Attention: Neil Simpkins

                                                           
and a copy to:

                                                           
Simpson Thacher & Bartlett LLP

                                                           
425 Lexington Avenue

                                                           
New York, NY 10017-3954

                                                           
Attention: Brian Robbins

            Any notice delivered personally or by courier under this Section 18 shall be deemed given on the date delivered and any notice sent by telecopy or registered or certified mail, postage prepaid,
return receipt requested, shall be deemed given on the date telecopied or mailed.

            19.       Severability. If any provision of this Agreement or the application of any such provision to any party or circumstances shall be determined by any
court of competent jurisdiction to be invalid and unenforceable to any extent, the remainder of this Agreement or the application of such provision to such person or circumstances other than those to which it is so determined to be invalid and unenforceable, shall
not be affected thereby, and each provision hereof shall be validated and shall be enforced to the fullest extent permitted by law.

            20.       Survivorship. The respective rights and obligations of the parties hereunder shall survive any termination of this Agreement to the extent necessary to the
intended preservation of such rights and obligations.

13

            21.       Governing Law; Attorney's Fees.

                        (a)        This Agreement shall be governed by and construed in accordance with the laws
of the State of Tennessee, without regard to its conflicts of laws principles.

                        (b)        The prevailing party in any dispute arising out of this Agreement shall be
entitled to be paid its reasonable attorney's fees incurred in connection with such dispute from the other party to such dispute.

            22.       Headings. All descriptive headings of sections and paragraphs in this Agreement are intended solely for convenience, and no provision of this
Agreement is to be construed by reference to the heading of any section or paragraph.

            23.       Withholdings. All payments to the Executive under this Agreement shall be reduced by all applicable withholding required by federal, state or local
tax laws.

            24.       Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an original, but all of which together shall constitute
one and the same instrument.

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

                                                                       
VANGUARD HEALTH SYSTEMS, INC.

                                                                       
BY:/s/ Ronald P. Soltman                               

                                                                                   
Ronald P. Soltman

                                                                                   
Executive Vice President

                                                                       
THE EXECUTIVE

                                                                       
/s/ Bradley A. Perkins                                      

                                                                       
Bradley A. Perkins, MD

14Exhibit
10.1.2

 

Execution version

 

Confidential
treatment omitted and filed separately with the Securities and Exchange

Commission. 
Asterisks denote omissions.

 

FIRST AMENDMENT TO THE

 

AMENDED AND RESTATED

 

PRIVATE STUDENT LOAN SERVICING AGREEMENT

 

BETWEEN

 

PENNSYLVANIA HIGHER EDUCATION ASSISTANCE  AGENCY

 

AND

 

THE FIRST
MARBLEHEAD CORPORATION

 

THIS
FIRST AMENDMENT is made as of this 4th day of March,
2008, by and between Pennsylvania Higher Education Assistance Agency, a public
corporation and governmental instrumentality organized under the laws of the
Commonwealth of Pennsylvania, having an address at 1200 North Seventh Street,
Harrisburg, Pennsylvania, 17102 (“Servicer”), and The First Marblehead
Corporation, having an address at 800 Boylston Street, 34th Floor, Boston,
Massachusetts 02199 (“FMC”). Capitalized terms used herein without definition
have the meanings assigned to them in the Servicing Agreement (as defined
below).

 

RECITALS

 

WHEREAS,
the parties previously entered into an Amended and Restated Private Student
Loan Servicing Agreement dated as of September 28, 2006 (the “Servicing
Agreement”), which sets forth the terms for the servicing of student loans
owned by SPEs and serviced by the Servicer; and

 

WHEREAS,
in order to facilitate its funding of student loans, Union Federal Savings
Bank, a federal savings bank organized under the laws of United States of
America and having a place of business at 1565 Mineral Springs Avenue, North
Providence, Rhode Island 02904 (“UFSB”) and certain other Program Lenders
(collectively, the “Originating Lenders”) may arrange to sell pools of
Committed Student Loans from time to time to SPV (as defined herein).

 

WHEREAS,
pursuant to the Loan Agreement (as defined herein), the SPV will grant to the
Collateral Agent (as defined herein), for the benefit of the Administrative
Agent (as defined herein) as agent for the Lender (as defined herein), a
security interest in, among other things, the Pledged Student Loans (as defined
herein) and the related Student Loan files for the purpose of securing the due
and punctual payment of all amounts due from the SPV to the Lender and the
Administrative Agent under the terms of the Loan Agreement.

 

WHEREAS,
the Collateral Agent desires that the Servicer hold such Student Loan files and
any other documents related thereto as the custodian for, and bailee of, the
Collateral Agent, for the benefit of the Administrative Agent, as agent for the
Lender;

 

WHEREAS,
Servicer and FMC now wish to amend certain provisions contained in the Agreement;
and

 

WHEREAS, Servicer and FMC otherwise wish to retain all terms and
provisions in the

 

 

Agreement
and to continue to exercise their rights and fulfill their duties thereunder.

 

NOW THEREFORE, in consideration of the mutual covenants contained herein
and other valuable consideration, and intending to be legally bound, the
parties agree as follows:

 

1.                                       Definitions.  The following new definitions are hereby
added to the Servicing Agreement to read as follows:

 

“1.52       “Administrative
Agent” means Goldman Sachs Mortgage Company in its capacity as administrative
agent under the Loan Agreement.

 

1.53         “Administrator”
means First Marblehead Data Services, Inc. in its capacity as
administrator of the SPV pursuant to that certain administration agreement
dated as of March 4, 2008 by and among the SPV, the Collateral Agent and
the Administrator.

 

1.54         “Collateral
Agent” means  U.S. Bank National
Association in its capacity as collateral agent under the Loan Agreement.

 

1.55         “Interim
Sale” means a transaction in which the Originating Lenders will indirectly sell
Pledged Student Loans the SPV periodically, but not more than eight times per
calendar month.

 

1.56         “Lender”
means Goldman Sachs Mortgage Company in its capacity as lender under the Loan
Agreement.

 

1.57         “Loan
Agreement” means that certain master loan agreement, dated as of March 4,
2008, among the SPV, as borrower, Goldman Sachs Mortgage Company, as
Administrative Agent and Lender, and U.S. Bank National Association, as
Collateral Agent.

 

1.58         “Pledged
Student Loan” means a student loan originated by an Originating Lender which
has been indirectly sold to the SPV and which is pledged to the Collateral
Agent under a security agreement among the SPV, the Collateral Agent and the
Administrative Agent; provided, however,
that any student loans released pursuant to the Loan Agreement from the lien
created pursuant to such security agreement shall not be deemed to be a Pledged
Student Loan.

 

1.59         “SPV”
means FMC Private Loan SPV Trust, a Delaware trust having an address at 800
Boylston Street, Boston, MA 02199, c/o First 
Marblehead Data Services, Inc.”

 

2.                                       Appointment of
the Custodian.  The
following is added as a second paragraph of Section 4.04 of the Servicing
Agreement:

 

“Subject to the terms and conditions hereof and of the Loan Agreement,
the Servicer is hereby appointed, and the Servicer hereby accepts such
appointment and agrees to act as custodian, bailee and collateral agent on
behalf of the SPV and the Collateral Agent for the benefit of the Administrative
Agent, as agent for the Lender, to maintain exclusive custody of the Original
Credit Agreements pertaining to the Pledged Student Loans from time to time
pledged under the Loan Agreement in order to perfect the ownership interest of
the Borrower (as defined in the Loan Agreement) and the security interest of
the Collateral Agent for the benefit of the Administrative Agent, as agent for
the Lender, in the Pledged Student Loans and other items in the Student Loan
files evidencing the Pledged Student Loans and any and all proceeds of the

 

2

 

foregoing.  In performing its duties hereunder, the
Servicer agrees to act with reasonable skill and attention, using that standard
of skill and attention that the Servicer would exercise with respect to the
files relating to all comparable loans or other receivables that it services or
holds for itself or others under applicable industry custom.”

 

3.                                       Interim Sales
To SPV.  A new Section 4.03(e) is
hereby added to the Servicing Agreement as follows:

 

“Pursuant
to the terms of this Agreement, as amended, one or more Originating Lenders may
periodically make Interim Sales to SPV. 
No examination of any loan documents by Servicer shall be required in
connection with an Interim Sale.  Any
Pledged Student Loan sold to SPV shall continue to be Serviced pursuant to the
terms of this Agreement.”

 

4.                                       Collections. Section 4.13
of the Servicing Agreement is hereby amended by adding the following as the
last sentence thereof:

 

“Notwithstanding the foregoing, for purposes of this Section 4.13,
SPV shall be regarded as the Owner of a Pledged Student Loan following an
Interim Sale of such Pledged Student Loan, until the Pledged Student Loan is
sold in a Securitization Transaction. 
FMC and/or Administrator may elect to have amounts on deposit
transferred into any account established for FMC or SPV by Servicer, subject to
the operational capabilities of Servicer.”

 

5.                                       Reporting. Section 4.16
is hereby amended by adding the following as the last sentence thereof:

 

“For purposes of this section, with respect to each Pledged Student
Loan involved in an Interim Sale, the term ‘Owner’ means the SPV following an
Interim Sale of a Pledged Student Loan, until the Pledged Student Loan is sold
in a Securitization Transaction. In addition, Servicer shall provide
Administrator with additional reporting as reasonably requested from time to
time.  FMC and Administrator agree that
Servicer may invoice such additional reporting as Ad Hoc Projects/Reporting charges
pursuant to Section VI(4.) of the Fee Schedule.”

 

6.                                       Redesignation. Sections
13.02 and 13.03 of the Servicing Agreement are hereby redesignated as Sections
13.03 and 13.04 thereof respectively, but shall otherwise remain in full force
and effect without amendment.

 

7.                                       SPV Provisions. A new Section 13.02
is hereby added to the Servicing Agreement to read as follows:

 

“13.02. Assignment to SPV. The parties contemplate
that, prior to a sale of Pledged Student Loans in a Securitization Transaction
pursuant to this Agreement, one or more Originating Lenders and SPV may
periodically engage in an  Interim Sale.
After each Interim Sale and except as otherwise set forth in this
Agreement,  SPV shall be considered the
Owner for purposes of this Agreement with respect to each Pledged Student Loan
sold in each Interim Sale until a Securitization Transaction including such
loans is completed.  The Originating
Lenders involved will assign any claims they have under this Agreement with
respect to prior Servicing of said Pledged Student Loans to SPV in connection
with an Interim Sale, and Servicer agrees to any such assignment of rights
under this Agreement.  SPV shall also
assume all the rights and responsibilities of FMC with respect to the loans
purchased by SPV.  In addition, with
respect to each Interim Sale:

 

(a)           The date for such Interim Sale shall
be established by mutual agreement of the

 

3

 

parties
(with Administrator acting on behalf of the SPV);

 

(b)           Pledged Student
Loans to be sold in each Interim Sale shall be identified using a process and
parameters established jointly by the parties (with Administrator acting on
behalf of the SPV); and

 

(c)           Servicer shall
reflect in its servicing system that the Pledged Student Loans sold in the
Interim Sale are owned by SPV. Servicer may, at its discretion, reflect such
ownership of SPV through inclusion of a suffix or modified lender code in
Servicer’s system.”

 

8.                                       Fees.  The following is hereby added to the end of Section 8.01
of the Agreement:

 

“All
fees owed under this Agreement by SPV shall be paid by FMC or the Administrator
on behalf of the SPV. Notwithstanding the foregoing, Servicer shall provide a
separate line item in invoices for fees attributable to SPV. It is also
understood that, for purposes of Conversion Fees, Section III of the Fee
Schedule, an Interim Sale shall be considered an “Interim Account—On System;
Waived Exam,” for which no conversion fee is owed.”

 

9.                                       Notices.  Section 15.01 of the Agreement is hereby
amended to replace the term “If to FMC:” with the term “If to FMC or SPV:”

 

10.                                 Owner Pays All
Fees.  A new sentence is added to the
end of the first paragraph of the Fee Schedule as follows:

 

“All fees to be paid pursuant to this
Agreement by SPV shall be paid by FMC or the Administrator on behalf of the
SPV. Notwithstanding the foregoing, Servicer shall provide a separate line item
in invoices for fees attributable to 
SPV.”

 

11.                                 Interim Account
— On System.  Section III(2) of
the Fee Schedule is deleted in its entirety and replaced as follows:

 

“2.  Interim Account — On System

 

All
Interim Sales to SPV shall be included in this category.

 

	
  a.

  	
  Full
  Note Exam:

  	
  $[**]
  per loan

  
	
  b.

  	
  Waived
  Exam:

  	
  [**]”

  

 

12.           SPV Fee.  New items 11, 12, 13, 14, 15 and 16 are hereby
added to Miscellaneous Fees, Section VI of the Fee Schedule, as follows:

 

	
  “11.
  Interim Sale:

  	
  $[**]
  per Lender Code, per Interim Sale (Includes one Loan Sale Report)

  
	
    12.
  Reversal of Interim Sale:

  	
  $[**]
  per Interim Sale Reversal

  
	
    13.
  Preliminary Loan Sale Reports:

  	
  $[**]
  per Preliminary Loan Sale Report after delivery of the first Loan Sale Report

  
	
    14.
  Computer Programmer

  	
  $[**]
  per hour (when FMC provides the trigger file)

  
	
    15. Financing
  Legal Services

  	
  $[**] per hour

  
	
    16. Borrower
  Sale Notification

  	
  $[**] per letter, unless
  FMC directs Servicer not to send letter”

  

 

4

 

13.                                 Full Force and Effect. As amended herein, the Servicing
Agreement remains in full force and effect.

 

14.                                 Counterparts. This First Amendment may be executed in
multiple counterparts, each of which shall be deemed an original, but all of
which together shall constitute one and the same document.

 

[Remainder of page intentionally blank]

 

5

 

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

 

 

	
  PENNSYLVANIA HIGHER EDUCATION ASSISTANCE AGENCY

  	
   

  	
  THE FIRST MARBLEHEAD CORPORATION

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  /s/
  James L. Preston

  	
   

  	
  /s/ Anne P. Bowen

  
	
  James
  L. Preston

  	
   

  	
  Anne
  P. Bowen

  
	
  Interim
  President and CEO

  	
   

  	
  Executive
  Vice President

  
	
  March 4, 2008

  	
   

  	
  March 4, 2008

  

 

 

Approved
as to form and legality:

 

 

	
  /s/
  Jason L. Swartley

  	
   

  	
   

  
	
  PHEAA
  Legal Counsel

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  /s/
  Robert A. Mulle

  	
   

  	
   

  
	
  Deputy
  Attorney General

  	
   

  	
   

  

 

 

	
  ACKNOWLEDGED
  AND AGREED:

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  FMC
  PRIVATE LOAN SPV TRUST

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  By:

  	
  Wilmington
  Trust Company, not in its individual capacity but solely as Owner Trustee

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  By:

  	
   

  	
   

  	
   

  
	
   

  	
  Name:

  	
   

  	
   

  
	
   

  	
  Title:

  	
   

  	
   

  

 

 

March 4, 2008

 

 

SECOND AMENDMENT TO THE

 

AMENDED AND RESTATED

 

PRIVATE STUDENT LOAN SERVICING AGREEMENT

 

BETWEEN

 

PENNSYLVANIA HIGHER EDUCATION
ASSISTANCE  AGENCY

 

AND

 

THE FIRST MARBLEHEAD CORPORATION

 

THIS
SECOND AMENDMENT is made as of this 12th day of February, 2009, by and between
Pennsylvania Higher Education Assistance Agency, a public corporation and
governmental instrumentality organized under the laws of the Commonwealth of
Pennsylvania, having an address at 1200 North Seventh Street, Harrisburg,
Pennsylvania, 17102 (“Servicer”), and The First Marblehead Corporation, having
an address at 800 Boylston Street, 34th Floor, Boston, Massachusetts 02199
(“FMC”). Capitalized terms used herein without definition have the meanings
assigned to them in the Servicing Agreement (as defined below).

 

RECITALS

 

WHEREAS,
the parties previously entered into an Amended and Restated Private Student
Loan Servicing Agreement dated as of September 28, 2006, as amended by the
First Amendment dated March 4, 2008 (collectively, the “Servicing
Agreement”), which sets forth the terms for the servicing of student loans
owned by SPEs and serviced by the Servicer; and

 

WHEREAS,
FMC has requested Serviver to increase correspondence with co-borrowers on a
portfolio of loans which are guaranteed by The Education Resources Institute
(“TERI”), and are either owned by an SPE or SPV, or owned by a lender who has
an agreement to sell said Student Loans to an SPE or SPV (the “TERI
Portfolio”).

 

WHEREAS,
FMC and Servicer executed a Statement of Work on March 20, 2008, to create
the functionality necessary for the segmentation of the TERI Portfolio.

 

WHEREAS,
FMC has agreed to pay for the additional correspondence to be made pursuant to
the guidelines established by FMC, whereby co-borrowers on loans held in the
TERI Portfolio would now receive up to three additional pieces of
correspondence;

 

WHEREAS,
Servicer and FMC now wish to amend certain provisions contained in the
Agreement; and

 

WHEREAS, Servicer and FMC otherwise wish to retain all terms and
provisions in the Agreement and to continue to exercise their rights and
fulfill their duties thereunder.

 

NOW THEREFORE, in consideration of the mutual covenants contained
herein and other valuable consideration, and intending to be legally bound, the
parties agree as follows:

 

1.                                       Borrower Correspondence.  The
following is added as a second paragraph of Section 4.12 of the Servicing
Agreement:

 

 

“FMC and Servicer have instituted the functionality to identify
specific TERI-guaranteed loans with criteria established by FMC, which will
increase correspondence to the co-borrowers for these loans.  This functionality was created pursuant to a
Statement of Work, dated March 20, 2008, which is attached as Exhibit D
to this Agreement, and is incorporated herein.”

 

2.                                       Segmentation Correspondence Fee.  New
item 17 is hereby added to Miscellaneous Fees, Section VI of the Fee
Schedule, as follows:

 

	
  “17.
  Segmentation Correspondence Fee:

  	
  $[**]
  per correspondence, for all lenders”

  

 

3.                                       Rescission of the First Amendment. The First Amendment executed by FMC and
Servicer on March 4, 2008, is hereby rescinded ab initio.

 

4.                                       Full Force and Effect. As amended herein, the Servicing Agreement
remains in full force and effect.

 

5.                                       Counterparts. This Second Amendment may be executed in
multiple counterparts, each of which shall be deemed an original, but all of
which together shall constitute one and the same document.

 

[Remainder of page intentionally blank]

 

2

 

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

 

 

	
  PENNSYLVANIA HIGHER EDUCATION ASSISTANCE AGENCY

  	
   

  	
  THE FIRST MARBLEHEAD CORPORATION

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  /s/ James L. Preston

  	
   

  	
  /s/ David Lubets

  
	
  James
  L. Preston

  	
   

  	
  David
  Lubets

  
	
  President
  and CEO

  	
   

  	
  Managing
  Director

  
	
  Date:

  	
  2/10/09

  	
   

  	
  Date:

  	
  1/28/09

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Approved
  as to form and legality:

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  /s/
  Jason L. Swartley

  	
   

  	
   

  
	
  PHEAA
  Legal Counsel

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  /s/ Robert A. Mulle

  	
   

  	
   

  
	
  Deputy
  Attorney General

  	
   

  	
   

  
					

 

 

Execution Version

 

THIRD AMENDMENT TO THE

 

AMENDED AND RESTATED

 

 PRIVATE
STUDENT LOAN SERVICING AGREEMENT

 

BETWEEN

 

PENNSYLVANIA HIGHER EDUCATION ASSISTANCE  AGENCY

 

AND

 

THE FIRST
MARBLEHEAD CORPORATION

 

THIS
THIRD AMENDMENT is made as of this 30th day of April,
2008, by and between Pennsylvania Higher Education Assistance Agency, a public
corporation and governmental instrumentality organized under the laws of the
Commonwealth of Pennsylvania, having an address at 1200 North Seventh Street,
Harrisburg, Pennsylvania, 17102 (“Servicer”), and The First Marblehead
Corporation, having an address at 800 Boylston Street, 34th Floor, Boston,
Massachusetts 02199 (“FMC”). Capitalized terms used herein without definition
have the meanings assigned to them in the Servicing Agreement (as defined
below).

 

RECITALS

 

WHEREAS,
the Servicing Agreement adopts Servicing Guidelines for loans owned by FMC or
any Permitted Assignee (including any Special Purpose Entity) that purchases
such Student Loans or any interest therein from a Program Lender or from
another Permitted Assignee in a Securitization Transaction; and

 

WHEREAS,  FMC, First Marblehead Data Services, Inc.
(“FMDS”), as administrator for the Permitted Assignees, SPV, and Special
Purpose Entities holding Student Loans, and Servicer desire to clarify the
servicing requirements for loans that have been outsourced to NCO Financial
System, Inc. (“NCO”) for collections activities; and

 

WHEREAS,
the intent of this Amendment is to assure Servicer will not be held responsible
for any violation of the Servicing Guidelines that may occur while the Student
Loan was outsourced to NCO.

 

NOW
THEREFORE, in consideration of the mutual covenants contained herein and other
valuable consideration, and intending to be legally bound, the parties agree as
follows:

 

1.                                       Definitions.  The following new definitions are hereby
added to the Servicing Agreement to read as follows:

 

“NCO” means NCO Financial System, Inc.

 

2.                                       Due Diligence
Activities. The following Section 4.21 is hereby added to
the Servicing Agreement as follows:

 

“4.21                     The parties acknowledge and
agree that due diligence and skip tracing activities contemplated by the
Delinquency and Default and Skip Tracing sections of the Servicing Guidelines,
as amended (the “Delinquency Guidelines”) during the 31st through 60th day of
delinquency (the “Subject Delinquency Period”) for Student Loans owned by a
Special Purpose Entity or SPV shall be performed by NCO and 

 

 

not
by Servicer (each such loan, for that 30-day time period, and for the purpose
of due diligence activities only, an “NCO Outsourced Loan”). More specifically:

 

a.               For any NCO
Outsourced Loan, Servicer shall not be responsible for performing the
Delinquency Guidelines for the Subject Delinquency Period.

 

b.              For any Student
Loan not outsourced to NCO, Servicer will be responsible for delinquency
servicing and skip tracing requirement for loans 31-60 days delinquent.

 

c.               Servicer shall
maintain responsibility for filing for pre-claims assistance in accordance with
the Servicing Guidelines, with the information that exists on the Servicer’s
system as of day 60.

 

d.              For any NCO
Outsourced Loan, Servicer will not be responsible for initiating skip-tracing
activities during the Subject Delinquency Period.  Servicer shall update contact information
within its system, if in the normal course of business Servicer or NCO obtains
or receives new contact information.

 

e.               For any NCO
Outsourced Loan, Servicer will remain responsible for all loan servicing
activities other than the Delinquency Guidelines, including but not limited to,
the processing of deferments, forbearance, and MGRS forms, general
correspondence, and borrower payments.

 

f.                 For rolling
delinquent accounts, i.e., NCO Outsourced Loans which have Borrower payments
applied that result in the account falling into the prior delinquency bucket or
being brought current, Servicer will follow the Servicing Guidelines, which
state that in the event of a rolling account, the servicer will resume
scheduled delinquency servicing activities at the point in which the
delinquency rolls into the previous delinquency bucket.  Servicer will not be required to make up
missed due diligence activities in the bucket the delinquency rolls into if the
day delinquent in which the servicing resumes is after the first scheduled
activity.

 

g.              Servicer shall
remain responsible for the reporting of loan information to the credit bureaus
for all Student Loans in compliance with the Servicing Guidelines, with the
information that exists on the Servicer’s system as of the day of reporting.

 

h.              For any NCO
Outsourced Loan for which the Guarantor assesses a servicing penalty at time of
claim payment, Servicer shall not be held responsible for any portion of the
penalty that relates to the performance or non-performance by NCO of the
Delinquency Guidelines during the Subject Delinquency Period.  FMC will be responsible for payment to Loan
Owner for any servicing penalty assessed by the Guarantor due to NCO’s
servicing.

 

i.                  For any NCO
Outsourced Loan for which the Guarantor rejects the claim due to three or more
servicing violations, Servicer shall not be held responsible for any portion of
the penalties that relate to the performance or non-performance by NCO of the
Delinquency Guidelines during the Subject Delinquency Period.  Servicer will provide cure servicing to any
loans for which the claim was rejected where at least one of the servicing
violations was due to the performance or non-performance of Servicer.  Servicer may provide cure servicing to any
loans for which the claim was rejected where at least none of the servicing
violations was due to the performance or non-performance of Servicer.

 

3.                                       Full Force and Effect. As amended herein and as previously
amended, the Servicing Agreement remains in full force and effect.

 

4.                                       Counterparts. This First Amendment may be executed in
multiple counterparts, each of which shall be deemed an original, but all of
which together shall constitute one and the same document.

 

2

 

[Remainder of page intentionally blank]

 

3

 

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

 

 

	
  PENNSYLVANIA HIGHER EDUCATION ASSISTANCE AGENCY

  	
   

  	
  THE FIRST MARBLEHEAD CORPORATION

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  /s/
  James L. Preston

  	
   

  	
  /s/
  Anne P. Bowen

  
	
  James
  L. Preston

  	
   

  	
  Anne
  P. Bowen

  
	
  President
  and CEO

  	
   

  	
  Executive
  Vice President

  
	
  April 30,
  2008

  	
   

  	
  April 30,
  2008

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Approved
  as to form and legality:

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  /s/
  Jason L. Swartley

  	
   

  	
   

  
	
  PHEAA
  Legal Counsel

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  /s/
  Robert a. Mulle 10/10/08

  	
   

  	
   

  
	
  Deputy
  Attorney General

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  ACKNOWLEDGED AND AGREED:

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  FIRST MARBLEHEAD DATA SERVICES, As Administrator
  for the Owner

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  By:

  	
  Rosalyn
  Bonaventure

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  By:

  	
  /s/
  Rosalyn Bonaventure

  	
   

  	
   

  
	
   

  	
  Name:

  	
  Rosalyn
  Bonaventure

  	
   

  	
   

  
	
   

  	
  Title:

  	
  President

  	
   

  	
   

  

 

4

 

Execution Copy

 

FOURTH AMENDMENT TO THE

 

AMENDED AND RESTATED

 

PRIVATE STUDENT LOAN SERVICING AGREEMENT

 

BETWEEN

 

PENNSYLVANIA HIGHER EDUCATION ASSISTANCE  AGENCY

 

AND

 

THE FIRST
MARBLEHEAD CORPORATION

 

THIS
FOURTH AMENDMENT is made as of this 21 day of January, 2009 (the “Fourth
Amendment”), by and between Pennsylvania Higher Education Assistance Agency, a
public corporation and governmental instrumentality organized under the laws of
the Commonwealth of Pennsylvania, having an address at 1200 North Seventh
Street, Harrisburg, Pennsylvania, 17102 (“Servicer”), and The First Marblehead
Corporation, having an address at 800 Boylston Street, 34th Floor, Boston,
Massachusetts 02199 (“FMC”). Capitalized terms used herein without definition
have the meanings assigned to them in the Servicing Agreement (as defined
below), as amended.

 

RECITALS

 

WHEREAS,
the parties entered into that certain Amended and Restated Private Student Loan
Servicing Agreement dated September 28, 2006 (the “Servicing Agreement”);

 

WHEREAS,
 the parties entered into that certain
Third Amendment to Servicing Agreement dated April 30, 2008 to outsource
certain due diligence services from Servicer to NCO Financial System, Inc.
(“NCO”), as set forth therein; and

 

WHEREAS,
the parties desire to expand the services provided by NCO as set forth herein.

 

NOW
THEREFORE, in consideration of the mutual covenants contained herein and other
valuable consideration, and intending to be legally bound, the parties agree as
follows:

 

1.                                       Due Diligence
Activities. The parties hereby amend and restate Section 4.21
of the Agreement by deleting it in its entirety and inserting the following in
place thereof and in substitution therefor:

 

“4.21                     The parties acknowledge and
agree that the activities contemplated by the Delinquency and Default and Skip
Tracing sections of the Servicing Guidelines, as amended (the “Delinquency
Guidelines”) during the 31st through 120th day of delinquency (the “Subject Delinquency
Period”) for Student Loans owned by a Special Purpose Entity (“SPE”) or SPV
shall be performed by NCO and not by Servicer (each such loan, for that 90-day
time period, and for the purpose of due diligence activities only, an “NCO
Outsourced Loan”), unless otherwise agreed by the parties. More specifically:

 

a.               For any NCO
Outsourced Loan, Servicer shall not be responsible for performing the
Delinquency Guidelines for the Subject Delinquency Period.

 

b.              For any Student
Loan not outsourced to NCO, Servicer will be responsible for delinquency
servicing and skip tracing requirement for loans 31-60 days delinquent.

 

c.               Servicer shall
maintain responsibility for filing for pre-claims assistance in accordance with
the Servicing Guidelines (except as modified by written instruction from FMC
and the SPEs), with the information that exists on the Servicer’s system as of
day 60.

 

 

d.              For any NCO
Outsourced Loan, Servicer will not be responsible for initiating skip-tracing
activities during the Subject Delinquency Period.  Servicer shall update contact information
within its system, if in the normal course of business Servicer or NCO obtains
or receives new contact information.

 

e.               For any NCO
Outsourced Loan, Servicer will remain responsible for all loan servicing
activities other than the Delinquency Guidelines, including but not limited to,
the processing of deferments, forbearance, and MGRS forms, general
correspondence, and borrower payments.

 

f.                 For rolling
delinquent accounts, i.e., NCO Outsourced Loans which have Borrower payments
applied that result in the account falling into the prior delinquency bucket or
being brought current, Servicer will follow the Servicing Guidelines, which
state that in the event of a rolling account, the servicer will resume
scheduled delinquency servicing activities at the point in which the delinquency
rolls into the next delinquency bucket. 
Servicer will not be required to make up missed due diligence activities
in the bucket the delinquency rolls into if the day delinquent on which the
servicing resumes is after the first scheduled activity.

 

g.              Servicer shall
remain responsible for the reporting of loan information to the credit bureaus
for all Student Loans in compliance with the Servicing Guidelines, with the
information that exists on the Servicer’s system as of the day of reporting.

 

h.              For any NCO
Outsourced Loan for which the Guarantor assesses a servicing penalty at time of
claim payment, Servicer shall not be held responsible for any portion of the
penalty that relates to the performance or non-performance by NCO of the
Delinquency Guidelines during the Subject Delinquency Period.  FMC will be responsible for payment to Loan
Owner for any servicing penalty assessed by the Guarantor due to NCO’s
servicing.

 

i.                  For any NCO
Outsourced Loan for which the Guarantor rejects the claim due to three or more
servicing violations, Servicer shall not be held responsible for any portion of
the penalties that relate to the performance or non-performance by NCO of the
Delinquency Guidelines during the Subject Delinquency Period.  Servicer will provide cure servicing to any
loans for which the claim was rejected where at least one of the servicing
violations was due to the performance or non-performance of Servicer.  Servicer may provide cure servicing to any
loans for which the claim was rejected where at least none of the servicing
violations was due to the performance or non-performance of Servicer.

 

j.                  For all Student
Loans, Servicer shall remain responsible for sending Final Demand letters at
the 120th day of delinquency to both the Borrower and Cosigner,
if any.”

 

k.               In all
situations where NCO performed or performs activities which include procedures
not in compliance with the Remote Access, Confidentiality and Indemnification
Agreement, and such activities have an impact on Servicer’s due diligence
obligations or cause incorrect information to exist on Servicer’s system, FMC,
the SPEs and/or SPVs waive any and all servicing violations that may result.

 

3.                                       Section IV of Exhibit C “Service
Level Agreements” is hereby amended by deleting the first two bullets
referencing “Collection Contacts” and “Promise to Pay”, thereby leaving only
the “Skip-Trace” bullet in that Section.

 

4.                                       Full Force and Effect. As amended herein and as previously
amended, the Servicing Agreement remains in full force and effect.

 

5.                                       Counterparts. This Fourth Amendment may be executed
in multiple counterparts, each of which shall be deemed an original, but all of
which together shall constitute one and the same document.

 

2

 

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

 

 

	
  PENNSYLVANIA HIGHER EDUCATION ASSISTANCE AGENCY

  	
   

   

  	
  THE FIRST MARBLEHEAD CORPORATION

  
	
   

  	
   

  	
   

  
	
  /s/
  James L. Preston

  	
   

  	
  /s/
  Michael Plunkett

  
	
  Name:

  	
  James
  L. Preston

  	
   

  	
  Name:

  	
  Michael
  Plunkett

  
	
  Title:

  	
  President
  and CEO

  	
   

  	
  Title:

  	
  Managing
  Director

  
	
  Date:

  	
  12/10/08

  	
   

  	
  Date:

  	
  8
  Dec 08

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Approved
  as to form and legality:

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  /s/
  Jason L. Swartley

  	
   

  	
   

  
	
  PHEAA
  General Counsel

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  /s/
  Robert A. Mulle

  	
   

  	
   

  
	
  Deputy
  Attorney General

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  ACKNOWLEDGED AND AGREED:

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  FIRST MARBLEHEAD DATA SERVICES, As Administrator
  for the Owner

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  By:

  	
  Rosalyn
  Bonaventure

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  By:

  	
  /s/
  Rosalyn Bonaventure

  	
   

  	
   

  
	
   

  	
  Name:  Rosalyn Bonaventure

  	
   

  	
   

  
	
   

  	
  Title:
     President

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
						

 

3

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