Document:

Exhibit 4.04

CUSIP NO. 52517P4Q1

ISIN NO. US52517P4Q13

	
  REGISTERED

  	
  PRINCIPAL AMOUNT: $179,000

  
	
  No. R-1

  	
   

  

 

LEHMAN BROTHERS HOLDINGS INC.

MEDIUM-TERM NOTE, SERIES I

RETURN-ENHANCED NOTES LINKED TO A BASKET OF
COMMODITIES
 DUE AUGUST 31, 2010

THIS
NOTE IS A GLOBAL SECURITY WITHIN THE MEANING OF THE INDENTURE HEREINAFTER
REFERRED TO AND IS REGISTERED IN THE NAME OF THE DEPOSITORY OR A NOMINEE OF THE
DEPOSITORY.  UNLESS THIS CERTIFICATE IS
PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY (55
WATER STREET, NEW YORK, NEW YORK) TO THE COMPANY (AS DEFINED BELOW) OR ITS
AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT AND ANY CERTIFICATE
ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR SUCH OTHER NAME AS REQUESTED
BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY AND ANY PAYMENT
IS MADE TO CEDE & CO., ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE
OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL SINCE THE REGISTERED OWNER HEREOF,
CEDE & CO., HAS AN INTEREST HEREIN.

UNLESS
AND UNTIL IT IS EXCHANGED IN WHOLE OR IN PART FOR NOTES IN CERTIFICATED FORM (A
“CERTIFICATED NOTE”), THIS GLOBAL SECURITY MAY NOT BE TRANSFERRED EXCEPT AS A
WHOLE BY THE DEPOSITORY TO A NOMINEE OF THE DEPOSITORY OR BY A NOMINEE OF THE
DEPOSITORY TO THE DEPOSITORY OR ANOTHER NOMINEE OF THE DEPOSITORY OR BY THE
DEPOSITORY OR ANY SUCH NOMINEE TO A SUCCESSOR DEPOSITORY OR A NOMINEE OF SUCH
SUCCESSOR DEPOSITORY.

LEHMAN BROTHERS HOLDINGS
INC., a corporation duly organized and existing under the laws of the State of
Delaware (herein called the “Company,” which term includes any successor
corporation under the Indenture referred to on the reverse hereof), for value
received, hereby promises to pay to CEDE & Co., or registered assigns, on
the Maturity Date, an amount
equal to the Redemption Amount at Maturity.

The
“Maturity Date” is August 31, 2010, or if such day is not a Business Day, on
the next following Business Day.

The “Valuation
Date” is August 24, 2010, or if such day is not a Valuation Business Day, the
immediately preceding Valuation Business Day; provided that if a Disruption
Event is in effect on the scheduled Valuation Date, the Valuation Date may be
postponed.

The “Redemption Amount at Maturity” for each $1,000 note
will be a single U.S. dollar payment on the Maturity Date equal to:

(A)      the sum of $1,000 plus the product of $1,000 times
the Basket Return times the Upside Participation Rate, if the Final Basket
Level is greater than the Initial Basket Level; or

(B)        $1,000, if the Final Basket Level is equal to or
less than the Initial Basket Level.

The “Component Commodities” and “Commodity Weightings” are
as follows:

	
  Component Commodities

  	
   

  	
  Component

  Weighting

  	
   

  
	
  Light sweet
  crude oil (“Crude Oil”)

  	
   

  	
  20.0

  	
  %

  
	
  No. 2 fuel
  heating oil (“Heating Oil”)

  	
   

  	
  10.0

  	
  %

  
	
  Copper – Grade A
  (“Copper”)

  	
   

  	
  10.0

  	
  %

  
	
  Primary Nickel
  (“Nickel”)

  	
   

  	
  10.0

  	
  %

  
	
  Special High
  Grade Zinc (“Zinc”)

  	
   

  	
  10.0

  	
  %

  
	
  Gold (“Gold”)

  	
   

  	
  10.0

  	
  %

  
	
  Platinum
  (“Platinum”)

  	
   

  	
  10.0

  	
  %

  
	
  No. 2 yellow
  corn (“Corn”)

  	
   

  	
  10.0

  	
  %

  
	
  No. 2 wheat (“Wheat”)

  	
   

  	
  10.0

  	
  %

  

 

The “Upside
Participation Rate” is 120%.

The “Basket
Return” is a quotient, the numerator of which is the difference of the Final
Basket Level minus the Initial Basket Level and the denominator of which is the
Initial Basket Level, expressed as a percentage rounded to three decimal
places.

The “Final
Basket Level” is the product of 100 times the sum of 1 plus the sum of the
Weighted Component Commodity Returns.

 2
 

The “Initial
Basket Level” is set to 100 on the Trade Date.

The “Trade
Date” is August 28, 2007.

The “Issue
Date” is August 31, 2007.

The “Weighted Component Commodity Returns” are, for each
Component Commodity, the product of the Component Weighting times a quotient,
the numerator of which is the difference of the Final Commodity Price minus the
Initial Commodity Price and the denominator of which is the Initial Commodity
Price for such Component Commodity.

The “Initial Commodity Prices” for each Component Commodity
are as follows:

	
  Component

  Commodity

  	
   

  	
  Initial Commodity

  Price

  	
   

  
	
  Crude Oil

  	
   

  	
  US$          71.73

  	
   

  
	
  Heating Oil

  	
   

  	
  US$        1.9963

  	
   

  
	
  Copper

  	
   

  	
  US$     7,360.50

  	
   

  
	
  Nickel

  	
   

  	
  US$   27,390.00

  	
   

  
	
  Zinc

  	
   

  	
  US$     3,106.00

  	
   

  
	
  Gold

  	
   

  	
  US$        666.00

  	
   

  
	
  Platinum

  	
   

  	
  US$     1,255.00

  	
   

  
	
  Corn

  	
   

  	
  US$        327.25

  	
   

  
	
  Wheat

  	
   

  	
  US$        720.50

  	
   

  

The “Final
Commodity Price” is, for each Component Commodity, the Commodity Price on the
Valuation Date.

The “Commodity
Price” for each Component Commodity is as follows:

	
  Component Commodity

  	
   

  	
  Commodity Price

  
	
  Crude Oil Heating Oil

  	
   

  	
  For each of Crude Oil and Heating Oil, the official
  settlement price of the first nearby month futures contract (or, in the case
  of the last trading day of the first nearby month contract, the second nearby
  month contract) for that Component Commodity, expressed (a) in the case of Crude
  Oil, as the U.S. dollar price per barrel, and (b) in

  

 

 3
 

 

	
  

  	
   

  	
  the case of Heating Oil, as the U.S. dollar price
  per gallon, in each case as made public by the Relevant Exchange for that
  Component Commodity (subject to the occurrence of a Disruption Event).

  
	
  Copper Nickel Zinc

  	
   

  	
  For each of Copper, Nickel and Zinc, the official
  settlement price of that Component Commodity for cash delivery, expressed as
  the U.S. dollar price per metric ton of the Component Commodity, as made
  public by the Relevant Exchange for that Component Commodity (subject to the
  occurrence of a Disruption Event).

  
	
  Gold

  	
   

  	
  For Gold, the official afternoon fixing price,
  stated in U.S. dollars per troy ounce, as calculated and quoted by the
  Relevant Exchange (subject to the occurrence of a Disruption Event).

  
	
  Platinum

  	
   

  	
  For Platinum, the official afternoon fixing price,
  stated in U.S. dollars per troy ounce, as calculated and quoted by the
  Relevant Exchange (subject to the occurrence of a Disruption Event).

  
	
  Corn Wheat

  	
   

  	
  For each of Corn and Wheat, the official settlement
  price of the relevant contract, determined to be the contract with the next
  succeeding business day immediately preceding the first delivery day of the
  delivery month, stated in U.S. dollars, per bushel, as made public by the
  Relevant Exchange for that Component Commodity (subject to the occurrence of
  a Disruption Event).

  

 

 4
 

The “Relevant
Exchange” is, for each Component Commodity, the exchange set forth opposite
such Component Commodity below, or its successor, or if the exchange set forth
below is no longer the principal exchange or trading market for a Component
Commodity or options or futures contracts for such Component Commodity, such
other exchange or principal trading market for the relevant Component Commodity
as determined in good faith by the Calculation Agent which serves as the source
of prices for that Component Commodity, and any principal exchanges where
options or futures contracts on that Component Commodity are traded:

	
  Component

  Commodity

  	
   

  	
  Relevant Exchange

  
	
  Crude Oil

  	
   

  	
  The NYMEX Division, or its successor, of the New
  York Mercantile Exchange, Inc. (“NYMEX”)

  
	
  Heating Oil

  	
   

  	
  NYMEX

  
	
  Copper

  	
   

  	
  London Metal Exchange (“LME”)

  
	
  Nickel

  	
   

  	
  LME

  
	
  Zinc

  	
   

  	
  LME

  
	
  Gold

  	
   

  	
  London Bullion Market Association (the “LBMA”)

  
	
  Platinum

  	
   

  	
  London Platinum & Palladium Market (the “LPPM”)

  
	
  Corn

  	
   

  	
  The Chicago Mercantile Exchange (“CME”)

  
	
  Wheat

  	
   

  	
  CME

  

A “Valuation
Business Day” is a day, as determined in good faith by the Calculation Agent,
on which the Relevant Exchange for each Component Commodity is scheduled to be
(or, but for the occurrence of a Disruption Event, would have been) open for
trading during its regular trading session (notwithstanding the Relevant
Exchange or organized exchange or market, as applicable, closing prior to its
scheduled closing time).

If a
Disruption Event identified in clauses (A), (B) or (C) below relating to one or
more Component Commodities is in effect on the scheduled Valuation Date, the
Calculation Agent will calculate the Final Basket Level using:

 5
 

·                                          for each such Component
Commodity that did not suffer a Disruption Event on the scheduled Valuation
Date, the Final Commodity Price for that Component Commodity on the scheduled
Valuation Date, and

·                                          for each such Component Commodity
that did suffer a Disruption Event on the scheduled Valuation Date, the Final
Commodity Price on the immediately succeeding trading day for such Component
Commodity on which no Disruption Event occurs or is continuing with respect to
such Component Commodity;

provided however that if a
Disruption Event has occurred or is continuing with respect to a Component
Commodity on each of the three scheduled trading days following the scheduled
Valuation Date, then (a) that third scheduled trading day shall be deemed the
Valuation Date for the affected Component Commodity; and (b) the Calculation
Agent will determine the Final Commodity Price for the affected Component
Commodity on such day in its sole and absolute discretion taking into account
the latest available quotation for the Commodity Price for the affected
Component Commodity and any other information that in good faith it deems
relevant.

If a Disruption Event identified in clauses (D) or (E)
below relating to one or more Component Commodities (other than Gold or
Platinum) is in effect on the Valuation Date, the Calculation Agent will
determine the Final Commodity Price for the affected Component Commodity on the
scheduled Valuation Date in its sole and absolute discretion taking into
account the latest available quotation for the Commodity Price for the affected
Component Commodity and any other information that in good faith it deems
relevant.

A “Disruption Event” for a Component Commodity, any of the
following events with respect to that Component Commodity, in each case as
determined in good faith by the Calculation Agent constitutes:

(A)                              the suspension of or material limitation on trading
in the Component Commodity or futures contracts or options related to the
Component Commodity, on the Relevant Exchange for that Component Commodity;

(B)                               either (i) the failure of
trading to commence, or permanent discontinuance of trading, in the Component
Commodity, or futures contracts or options related to the Component Commodity,
on the Relevant Exchange for that Component Commodity, or (ii) the
disappearance of, or of trading in, the Component Commodity;

(C)                               the failure of the Relevant Exchange for the
Component Commodity to publish the official daily settlement price of the
Component Commodity for that day (or the information necessary for determining
the settlement price);

(D)                              solely with respect to Component Commodities other
than Gold or Platinum, the occurrence since the Trade Date of a material change
in the content, composition, or constitution of the Component Commodity; or

 6
 

(E)                                 solely with respect to
Component Commodities other than Gold or Platinum, the occurrence since the
Trade Date of a material change in the formula for or the method of calculating
the settlement price of the Component Commodity.

For the purpose of determining whether a Disruption Event
for a Component Commodity has occurred:

(1)                                  a limitation on the hours
in a trading day and/or number of days of trading will not constitute a
Disruption Event if it results from an announced change in the regular business
hours of the Relevant Exchange for the Component Commodity;

(2)                                  a suspension in trading in
a Component Commodity on the Relevant Exchange for that Component Commodity
(without taking into account any extended or after-hours trading session), by
reason of a price change reflecting the maximum permitted price change from the
previous trading day’s settlement price will constitute a Disruption Event; and

(3)                                 a suspension of or
material limitation on trading on a Relevant Exchange for a Component Commodity
will not include any time when the Relevant Exchange for that Component
Commodity is closed for trading under ordinary circumstances.

For purposes of calculating the Final Basket Level in the
event of a Disruption Event relating to one or more Component Commodities in
accordance with the above, “trading day” means a day, as determined in good
faith by the Calculation Agent, on which trading is generally conducted on the
Relevant Exchange applicable to the affected Component Commodity.

The “Calculation
Agent” means Lehman Brothers Commodity Services Inc, the determinations and
calculations of which will be binding absent manifest error.

Except as provided below,
any Redemption Amount at Maturity may, at the option of the Company, be made by
check mailed to the person entitled thereto at such person’s address as it
appears on the registry books of the Company.

Payment of any Redemption
Amount at Maturity will be made in immediately available funds in accordance
with the normal procedures of the Trustee (or any duly appointed Paying Agent).

The Company will pay any
administrative costs imposed by banks in making payments in immediately
available funds, but any tax, assessment or governmental charge imposed upon
payments hereunder, including, without limitation, any withholding tax, will be
borne by the Holder hereof.

References herein to “U.S. dollars” or “U.S.$” or “$”
or “USD” are to the coin or currency of the United States as at the time of
payment is legal tender for the payment of public and private debts.

 7
 

REFERENCE IS HEREBY MADE TO THE FURTHER PROVISIONS OF
THIS NOTE SET FORTH ON THE REVERSE HEREOF. 
SUCH FURTHER PROVISIONS SHALL FOR ALL PURPOSES HAVE THE SAME EFFECT AS
IF SET FORTH AT THIS PLACE.

This Note shall not be valid or become obligatory for
any purpose until the certificate of authentication hereon shall have been
signed by the Trustee under the Indenture.

 8
 

IN WITNESS WHEREOF, Lehman Brothers Holdings Inc. has
caused this instrument to be signed by its Chairman of the Board, its
President, its Vice Chairman, its Chief Financial Officer, one of its Vice
Presidents or its Treasurer, by manual or facsimile signature under its
corporate seal, attested by its Secretary or one of its Assistant Secretaries
by manual or facsimile signature.

	
  Dated: 
  August 31, 2007

  	
   

  
	
   

  	
   

  
	
  [SEAL]

  	
  LEHMAN BROTHERS HOLDINGS INC.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  	
  Andrew M.W. Yeung

  
	
   

  	
   

  	
  Title:

  	
  Vice President

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Attest:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  	
  Cindy Buckholz

  
	
   

  	
   

  	
  Title:

  	
  Assistant Secretary

  
					

 

TRUSTEE’S CERTIFICATE
OF AUTHENTICATION

This is one of the
Securities of the series designated herein referred to in the within-mentioned
Indenture.

	
  CITIBANK, N.A.

  	
   

  
	
   as Trustee

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  By:

  	
   

  	
   

  
	
   

  	
  Authorized Officer

  	
   

  

 

 9

[REVERSE
OF NOTE]

LEHMAN BROTHERS
HOLDINGS INC.

MEDIUM-TERM NOTES, SERIES I
 RETURN-ENHANCED NOTES LINKED TO A
BASKET OF COMMODITIES  
 DUE AUGUST 31, 2010

Section 1.  General.  This Note is one of a duly authorized series
of Notes of the Company designated as the Medium-Term Notes, Series I, Return-Enhanced Notes Linked to a Basket of
Commodities (herein called the “Notes”).  The Notes are one of an indefinite
number of series of debt securities of the Company (collectively, the “Securities”)
issued or issuable under and pursuant to an indenture dated as of September 1,
1987, as amended and supplemented (the “Indenture”), duly executed and
delivered by the Company and Citibank, N.A., as Trustee (herein called the “Trustee”),
to which Indenture and all indentures supplemental thereto reference is hereby
made for a description of the rights, limitations of rights, obligations,
duties and immunities thereunder of the Trustee, the Company and the holders of
the Securities.  The separate series of
Securities may be issued in various aggregate principal amounts, may mature at
different times, may bear interest (if any) at different rates, may be subject
to different redemption provisions or repurchase rights (if any), may be
subject to different sinking, purchase or analogous funds (if any), may be
subject to different covenants and Events of Default and may otherwise vary as
in the Indenture provided.

Section 2.  Principal
Amount for Indenture Purposes.  For
the purpose of determining whether Holders of the requisite amount of Notes of
this series outstanding under the Indenture have made a demand, given a notice
or waiver or taken any other action, the principal amount of this Note will be
deemed to be the principal amount of this Note then outstanding.

Section 3.  Modification
and Waivers.  The Indenture contains
provisions permitting the Company and the Trustee, with the consent of the
Holders of not less than 66-2/3% in aggregate principal amount of each series
of the Securities at the time Outstanding to be affected, evidenced as in the
Indenture provided, to execute supplemental indentures adding any provisions to
or changing in any manner or eliminating any of the provisions of the Indenture
or of any supplemental indenture or modifying in any manner the rights of the
holders of the Securities of all such series; provided, however, that no such
supplemental indenture shall, among other things, (i) change the fixed maturity
of any Security, or reduce the Redemption Amount at Maturity or the principal
amount thereof, or reduce the rate or extend the time of payment of interest
thereon or reduce any premium or other amount payable on redemption, or make
the Redemption Amount at Maturity or the principal amount thereof, premium or
other amount payable, if any, or interest thereon payable in any coin or
currency other than that herein above provided, without the consent of the
Holder of each Security so affected, or (ii) change the place of payment on any
Security, or impair the right to institute suit for payment on any Security, or
reduce the aforesaid percentage of Securities, the holders of which are
required to consent to any such supplemental indenture, without the consent of
the holders of each Security so affected. 
It is also provided in the Indenture that, prior to any declaration
accelerating the maturity of any series of Securities, the holders of a
majority in aggregate principal amount of

the
Securities of such series Outstanding may on behalf of the holders of all the
Securities of such series waive any past default or Event of Default under the
Indenture with respect to such series and its consequences, except a default in
the payment of interest, if any, on the Redemption Amount at Maturity or the
principal amount, or premium, if any, on any of the Securities of such series,
or in the payment of any sinking fund installment or analogous obligation with
respect to Securities of such series. 
Any such consent or waiver by the Holder of this Note shall be
conclusive and binding upon such Holder and upon all future holders and owners
of this Note and any Notes of this series which may be issued in exchange or
substitution herefor, irrespective of whether or not any notation thereof is
made upon this Note or such other Notes of this series.

Section 4.  Obligations
Unconditional.  No reference herein
to the Indenture and no provisions of this Note or of the Indenture shall alter
or impair the obligation of the Company, which is absolute and unconditional,
to pay any Redemption Amount at Maturity on this Note at the place, at the
respective times, at the rate, and in the coin or currency herein prescribed.

Section 5.  Defeasance.  The Indenture contains provisions for the
discharge of the Indenture and defeasance at any time of the indebtedness on
this Note upon compliance by the Company with certain conditions set forth
therein, which provisions apply to this Note.

Section 6.  Authorized
Form and Denominations.  The Notes of
this series are issuable in registered form, without coupons.  Each Note will be issued initially as either
a Global Security or a Certificated Note, at the option of the Company, in
denominations of $1,000 or whole multiples of $1,000, either at the office or
agency to be designated and maintained by the Company for such purpose in the
Borough of Manhattan, New York City, pursuant to the provisions of the
Indenture or at any of such other offices or agencies as may be designated and
maintained by the Company for such purpose pursuant to the provisions of the
Indenture, and in the manner and subject to the limitations provided in the
Indenture, but without the payment of any service charge, except for any tax or
other governmental charges imposed in connection therewith.  Notes of this series are exchangeable for a
like aggregate principal amount of Notes of this series of a different
authorized denomination, except that Global Securities will not be exchangeable
for Certificated Notes of this series.

Section 7.  Registration
of Transfer.  As provided in the
Indenture and subject to certain limitations as therein set forth, the transfer
of this Note is registrable in the Security Register, upon surrender of this
Note for registration of transfer, at the Corporate Trust Office or agency in a
Place of Payment for this Note, duly endorsed by, or accompanied by a written
instrument of transfer in form satisfactory to the Company and the Security
Registrar requiring such written instrument of transfer duly executed by, the
Holder hereof or his attorney duly authorized in writing, and thereupon one or
more new Notes of this series, of authorized denominations and for the same
aggregate principal amount, will be issued to the designated transferee or
transferees.

If at any time the Depository notifies the Company
that it is unwilling or unable to continue as Depository or if at any time the
Depository shall no longer be eligible under the Indenture, the Company shall
appoint a successor Depository.  If a
successor Depository for the Notes of this series is not appointed by the
Company within 90 days after the Company receives such notice or becomes aware
of such ineligibility, the Company will issue, and the Trustee will 

authenticate
and deliver, Notes of this series in definitive form in an aggregate principal
amount equal to the principal amount of this Note.

No service charge shall be made for any such
registration of transfer or exchange, but the Company may require payment of a
sum sufficient to cover any tax or other governmental charge that may be
imposed in connection therewith.

Prior
to due presentment of this Note for registration of transfer, the Company, the
Trustee and any agent of the Company or the Trustee may treat the person in
whose name this Note is registered as the owner hereof for all purposes, and
neither the Company nor the Trustee nor any agent of the Company or of the
Trustee shall be affected by any notice to the contrary.

Section
8.  Events of Default.  If an Event of Default with respect to Notes
of this series shall occur and be continuing, the amount that may be declared
due and payable upon any acceleration of the notes will be determined by the
Calculation Agent for the period from and including the Issue Date to but
excluding the date of early repayment and will equal, for each note, the
Redemption Amount at Maturity, calculated as the date of early repayment were
the Maturity Date. If a bankruptcy proceeding is commenced in respect of Lehman
Brothers Holdings, the claim of the beneficial owner of a note for the period
from and including the Issue Date to but excluding the date of early repayment
will be capped at the Redemption Amount at Maturity, calculated as though the
date of the commencement of the proceeding were the Maturity Date.

Section
9.  No Recourse Against Certain
Persons.  No recourse for the payment
of the Redemption Amount at Maturity or for any claim based hereon or otherwise
in respect hereof, and no recourse under or upon any obligation, covenant or
agreement of the Company in the Indenture or any Indenture supplemental thereto
or in any Note, or because of the creation of any indebtedness represented
thereby, shall be had against any incorporator, stockholder, officer or
director, as such, past, present or future, of the Company or of any successor
corporation, either directly or through the Company or any successor
corporation, whether by virtue of any constitution, statute or rule of law or
by the enforcement of any assessment or penalty or otherwise, all such
liability being, by the acceptance hereof and as part of the consideration for
the issue hereof, expressly waived and released.

Section 10.  Defined
Terms.  All terms used but not
defined in this Note are used herein as defined in the Indenture.

Section 11.  GOVERNING
LAW.  THIS NOTE SHALL BE GOVERNED BY
AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK.Exhibit 10.1

 

ASSIGNMENT AND ACCEPTANCE

This
Assignment and Acceptance (this “Assignment and Acceptance”), dated as
of August 31, 2007, is made by and between Winmark Corporation (the “Assignor”)
and Allied Capital Corporation (the “Assignee”).  Reference is made to that certain Investment
Agreement, dated as of February 15, 2006 (as amended, restated, modified or
supplemented from time to time, the “Investment Agreement”), among
Commercial Credit Group Inc. (the “Company”), Assignor and Assignee,
pursuant to which the Company issued its 14.75% promissory notes due 2011 in
the aggregate principal amount of up to $12,000,000 (the “Notes”).  Unless otherwise defined herein, capitalized
terms used herein without definition shall have the meanings given to them in
the Investment Agreement.

The
Assignor and the Assignee hereby agree as follows:

1.     Assignment
and Assumption.  Subject to the terms
and conditions hereof, the Assignor hereby sells and assigns to the Assignee,
and the Assignee hereby purchases and assumes from the Assignor, without
recourse to the Assignor and, except as expressly provided herein, without
representation or warranty by the Assignor, as of the Effective Date (as
hereinafter defined), Assignor’s rights and obligations under the Investment Agreement
and the other Investment Documents (in its capacity as an Investor thereunder)
with respect to the Notes specified under the heading “Assigned Interest” in Item 4
of Annex I (the “Assigned Interest”).

2.     Representations.  The Assignor (i) represents and warrants
that it is the legal and beneficial owner of the Assigned Interest and that the
Assigned Interest is free and clear of any adverse claim, (ii) except as
set forth in clause (i) above, makes no representation or warranty and assumes
no responsibility with respect to any statements, warranties or representations
made in or in connection with the Investment Agreement, any other Investment
Document or any other instrument or document furnished pursuant thereto or the
execution, legality, validity, enforceability, genuineness, sufficiency or
value of the Investment Agreement, any other Investment Document or any other
instrument or document furnished pursuant thereto, and (iii) makes no
representation or warranty and assumes no responsibility with respect to the
financial condition of the Company or any of its Subsidiaries or the
performance or observance by the Company or any of its Subsidiaries of any of
their respective obligations under the Investment Agreement, any other
Investment Document or any other instrument or document furnished pursuant
thereto.

3.     Effective
Date.  Following the execution of
this Assignment and Acceptance by the Assignor and the Assignee, an executed
original hereof, together with all attachments hereto, shall be delivered to
the Company.  The effective date of this
Assignment and Acceptance (the “Effective Date”) shall be the date
designated as the Effective Date in Item 5 of Annex I.  As of the Effective Date, (y) the
Assignee shall be a party to the Investment Agreement and, to the extent
provided in this Assignment and Acceptance, shall have the rights and
obligations of a Investor thereunder and under the other Investment Documents,
and (z) the Assignor shall, to the extent provided in this Assignment and
Acceptance, relinquish its rights (other than rights under the provisions of
the Investment Agreement and the other Investment Documents relating to
indemnification or payment of fees, costs and expenses, to the extent such
rights relate to the 

time
prior to the Effective Date) and be released from its obligations under the
Investment Agreement and the other Investment Documents.

4.     Payments;
Settlement.  On or prior to the
Effective Date, in consideration of the sale and assignment provided for herein
and as a condition to the effectiveness of this Assignment and Acceptance, the
Assignee will pay to the Assignor the amount set forth in the offer letter,
dated August 28, 2007 (the “Offer Letter”), between Assignor and
Assignee, in immediately available funds in accordance such Offer Letter.

5.     Governing
Law.  This Assignment and Acceptance
shall be governed by, and construed in accordance with, the internal laws of
the State of New York (without regard to the conflicts of laws principles
thereof).

6.     Entire
Agreement.  This Assignment and
Acceptance, together with the Investment Agreement, the other Investment
Documents and the Offer Letter, embody the entire agreement and understanding
between the parties hereto and supersede all prior agreements and
understandings of the parties, verbal or written, relating to the subject
matter hereof.

7.     Successors
and Assigns.  This Assignment and
Acceptance shall be binding upon, inure to the benefit of and be enforceable by
the parties hereto and their respective successors and assigns.

8.     Counterparts.  This Assignment and Acceptance may be
executed in any number of counterparts and by different parties hereto on
separate counterparts, each of which, when so executed and delivered shall be
an original, but all of which shall together constitute one and the same
instrument.

[remainder of page intentionally left blank]

 2
 

IN
WITNESS WHEREOF, the parties have caused this Assignment and
Acceptance to be executed by their duly authorized officers as of the date
first above written.

	
  

  	
  WINMARK CORPORATION

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Brett D. Heffes

  
	
   

  	
   

  	
  Brett D. Heffes

  
	
   

  	
   

  	
  Chief Financial Officer

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  ALLIED
  CAPITAL CORPORATION

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ John Fruehwirth

  
	
   

  	
   

  	
  John Fruehwirth

  
	
   

  	
   

  	
  Managing Director

  

 

 3

ANNEX I

1.                                       Company:      Commercial
Credit Group Inc.

2.                                       Name
and Date of Investment Agreement:

Investment Agreement, dated as of February 15, 2006,
among Commercial Credit Group Inc., Allied Capital Corporation and Winmark
Corporation.

3.                                       Date
of Assignment and Acceptance:  August 31,
2007.

4.                                       Assigned
Interest:

	
   

  	
   

  	
  Aggregate

  for Assignor

  	
   

  	
  Amount of

  Assigned

  Interest

  	
   

  	
  Aggregate

  for Assignor

  (after 

  assignment)

  	
   

  	
  Aggregate

  for Assignee

  (after

   assignment)

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Notes

  	
   

  	
  $

  	
  2,000,000

  	
   

  	
  $

  	
  2,000,000

  	
   

  	
  $

  	
  0.00

  	
   

  	
  $

  	
  12,000,000

  	
   

  
														

 

5.                                       Effective
Date:  August 31, 2007.

August 28, 2007

Winmark Corporation

4200 Dahlberg Drive, Suite 100

Minneapolis, MN 55422-4837

Attention: John L. Morgan

RE:    Commercial
Credit Group, Inc.

Gentlemen:

Allied Capital
Corporation (“Allied Capital”) is pleased to submit its offer to purchase
all of the 14.75% senior subordinated notes, due 2011 (the “Notes”),
issued by Commercial Credit Group, Inc. that are currently held by Winmark Corporation
(“Winmark”), on the terms and conditions set forth herein. Allied
Capital understands that Winmark holds Notes in aggregate principal amount
equal to $2,000,000 (the “Winmark Notes”), and this offer is conditioned
on such fact being true. This offer letter replaces the offer letter, dated
August 20, 2007, between Allied Capital and Winmark.

The purchase will
occur on August 31, 2007. The purchase price for the Winmark Notes will be $2,060,000,
plus accrued and unpaid interest on the Winmark Notes of $49,166.67, for a
total purchase price of $2,109,166.67 and shall be paid by wire transfer of
immediately available funds in accordance with the wiring instruction set forth
below.

By executing
below, Winmark accepts the foregoing offer.

	
  

  	
  Sincerely,

  
	
   

  	
   

  
	
   

  	
  ALLIED CAPITAL CORPORATION

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  /s/ John Fruehwirth

  	
   

  
	
   

  	
  John Fruehwirth

  
	
   

  	
  Managing Director

  

 

	
  Accepted as of August 29, 2007:

  	
  Wiring Instructions:

  
	
   

  	
   

  
	
  WINMARK CORPORATION

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  By:

  	
  /s/ Brett D. Heffes

  	
   

  	
   

  
	
   

  	
  Name:

  	
  Brett D. Heffes

  	
   

  	
   

  
	
   

  	
  Title:

  	
  Chief Financial Officer

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  cc: 

  	
  Dan McDonough

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