Exhibit 4.1
THE FIRST NATIONAL BANK OF ATLANTA
Transferor and Servicer
and
THE BANK OF NEW YORK (DELAWARE)
Trustee
on behalf of the Certificateholders
SERIES 1999-1 SUPPLEMENT
Dated as of March 24, 1999
to
POOLING AND SERVICING AGREEMENT
Dated as of October 26, 1995
WACHOVIA CREDIT CARD MASTER TRUST
Series 1999-1
TABLE OF CONTENTS
Page
SECTION 1. Designation . . . . . . . . . . . . . . . . . . . . . . . . . 1
SECTION 2. Definitions . . . . . . . . . . . . . . . . . . . . . . . . . 2
SECTION 3. Servicing Compensation and Assignment of Interchange . . . 21
SECTION 4. Reassignment and Transfer Terms . . . . . . . . . . . . . . 23
SECTION 5. Delivery and Payment for the Investor Certificates . . . . 24
SECTION 6. Depository; Form of Delivery of Investor Certificates . . . 24
SECTION 7. Article IV of Agreement . . . . . . . . . . . . . . . . . . 24
SECTION 4.4 Rights of Certificateholders . . . . . . . . . . . . 24
SECTION 4.5 Allocations . . . . . . . . . . . . . . . . . . . . . 25
SECTION 4.6 Determination of Monthly Interest . . . . . . . . . . 29
SECTION 4.7 Determination of Monthly Principal . . . . . . . . . 30
SECTION 4.8 Coverage of Required Amount . . . . . . . . . . . . . 31
SECTION 4.9 Monthly Payments . . . . . . . . . . . . . . . . . . 32
SECTION 4.10 Investor Charge-Offs . . . . . . . . . . . . . . . . 37
SECTION 4.11 Excess Spread; Shared Excess Finance
Charge Collections. . . . . . . . . . . . . . . . . 39
SECTION 4.12 Reallocated Principal Collections . . . . . . . . . 41
SECTION 4.13 Shared Principal Collections . . . . . . . . . . . . 42
SECTION 4.14 Shared Excess Finance Charge Collections . . . . . . 42
SECTION 4.15 Principal Funding Account . . . . . . . . . . . . . 43
SECTION 4.16 Reserve Account . . . . . . . . . . . . . . . . . . 44
SECTION 4.17 Determination of LIBOR . . . . . . . . . . . . . . . 46
SECTION 4.18 Transferor's or Servicer's Failure to Make a
Deposit or Payment . . . . . . . . . . . . . . . . 47
SECTION 8. Article V of the Agreement . . . . . . . . . . . . . . . . 47
SECTION 5.1 Distributions . . . . . . . . . . . . . . . . . . . . 47
SECTION 5.2 Monthly Series 1999-1 Certificateholders' Statement . 48
SECTION 9. Series 1999-1 Pay Out Events . . . . . . . . . . . . . . . 51
SECTION 10. Series 1999-1 Termination . . . . . . . . . . . . . . . . 53
SECTION 11. Transfers of Investor Certificates . . . . . . . . . . . . 53
SECTION 12. Counterparts . . . . . . . . . . . . . . . . . . . . . . . 54
SECTION 13. Governing Law . . . . . . . . . . . . . . . . . . . . . . 54
SECTION 14. No Petition . . . . . . . . . . . . . . . . . . . . . . . 54
SECTION 15. Tax Representation and Covenant . . . . . . . . . . . . . 54
SECTION 16. Rights Upon Insolvency Event. . . . . . . . . . . . . . . 55
EXHIBITS
EXHIBIT A-1 Form of Class A Certificate
EXHIBIT A-2 Form of Class B Certificate
EXHIBIT B Form of Monthly Payment Instructions and Notification to the
Trustee
EXHIBIT C Form of Monthly Series 1999-1 Certificateholders' Statement
SERIES 1999-1 SUPPLEMENT, dated as of March 24, 1999 (this
"Series Supplement"), between THE FIRST NATIONAL BANK OF ATLANTA, a
national banking association, as Transferor and Servicer, and THE BANK OF
NEW YORK (DELAWARE), as Trustee under the Pooling and Servicing Agreement,
dated as of October 26, 1995, between The First National Bank of Atlanta
and the Trustee (as amended, modified or supplemented from time to time,
the "Agreement").
Section 6.9 of the Agreement provides, among other things, that
the Transferor and the Trustee may at any time and from time to time enter
into a supplement to the Agreement for the purpose of authorizing the
delivery by the Trustee to the Transferor for the execution and redelivery
to the Trustee for authentication of one or more Series of Certificates.
Pursuant to this Series Supplement, the Transferor and the Trust
shall create a Series of Investor Certificates and shall specify the
Principal Terms thereof.
SECTION 1. Designation. (a) There is hereby created a Series of
Investor Certificates to be issued in two classes pursuant to the Agreement
and this Series Supplement and to be known together as the "Series 1999-1
Certificates." The two classes shall be designated the Class A Floating
Rate Asset Backed Certificates, Series 1999-1 (the "Class A Certificates")
and the Class B Floating Rate Asset Backed Certificates, Series 1999-1 (the
"Class B Certificates"). The Class A Certificates and the Class B
Certificates shall be substantially in the form of Exhibits A-1 and A-2
hereto, respectively. In addition, there is hereby created a third Class
of an uncertificated interest in the Trust which shall be deemed to be an
"Investor Certificate" for all purposes under the Agreement and this Series
Supplement, except as expressly provided herein, and which shall be known
as the Collateral Interest, Series 1999-1 (the "Collateral Interest").
(b) Series 1999-1 shall be included in Group One (as defined
below). Series 1999-1 shall not be subordinated to any other Series.
(c) The Collateral Interest Holder, as holder of an "Investor
Certificate" under the Agreement, shall be entitled to the benefits of the
Agreement and this Series Supplement upon payment by the Collateral
Interest Holder of amounts owing on the Closing Date pursuant to the Loan
Agreement. Notwithstanding the foregoing, except as expressly provided
herein, the provisions of Article VI and Article XII of the Agreement
relating to the registration, authentication, delivery, presentation,
cancellation and surrender of Registered Certificates and the Opinion of
Counsel described in Section 6.9(b)(d)(i) shall not be applicable to the
Collateral Interest.
SECTION 2. Definitions.
In the event that any term or provision contained herein shall
conflict with or be inconsistent with any provision contained in the
Agreement, the terms and provisions of this Series Supplement shall govern.
All Article, Section or subsection references herein shall mean Articles,
Sections or subsections of the Agreement, except as otherwise provided
herein. All capitalized terms not otherwise defined herein are defined in
the Agreement. Each capitalized term defined herein shall relate only to
the Investor Certificates and no other Series of Certificates issued by the
Trust.
"Accumulation Period Factor" shall mean, for each Monthly Period,
a fraction, the numerator of which is equal to the sum of the initial
investor interests (or other amounts specified in the applicable
Supplement) of all outstanding Series, and the denominator of which is
equal to the sum of (a) the Initial Investor Interest, (b) the initial
investor interests (or other amounts specified in the applicable
Supplement) of all outstanding Series (other than Series 1999-1) which are
not expected to be in their revolving periods, and (c) the initial investor
interests (or other amounts specified in the applicable Supplement) of all
other outstanding Series which are not allocating Shared Principal
Collections to other Series and are in their revolving periods.
"Accumulation Period Length" shall have the meaning assigned such
term in subsection 4.9(i).
"Accumulation Shortfall" shall initially mean zero and shall
thereafter mean, with respect to any Monthly Period during the Controlled
Accumulation Period, the excess, if any, of the Controlled Deposit Amount
for the previous Monthly Period over the amount deposited into the
Principal Funding Account pursuant to subsection 4.9(e)(i) with respect to
the Class A Certificates for the previous Monthly Period.
"Adjusted Investor Interest" shall mean, with respect to any date
of determination, an amount equal to the sum of (a) the Class A Adjusted
Investor Interest and (b) the Class B Investor Interest and (c) the
Collateral Interest.
"Aggregate Investor Default Amount" shall mean, with respect to
any Monthly Period, the sum of the Investor Default Amounts in respect of
such Monthly Period.
"Available Investor Principal Collections" shall mean with
respect to any Monthly Period, an amount equal to (a) the Investor
Principal Collections for such Monthly Period, minus (b) the amount of
Reallocated Collateral Principal Collections and Reallocated Class B
Principal Collections with respect to such Monthly Period which pursuant to
Section 4.12 are required to fund the Class A Required Amount and the Class
B Required Amount, plus (c) the amount of Shared Principal Collections that
are allocated to Series 1999-1 in accordance with subsection 4.13(b).
"Available Reserve Account Amount" shall mean, with respect to
any Transfer Date, the lesser of (a) the amount on deposit in the Reserve
Account on such date (after taking into account any interest and earnings
retained in the Reserve Account pursuant to subsection 4.16(b) on such
date, but before giving effect to any deposit made or to be made pursuant
to subsection 4.11(i) to the Reserve Account on such date) and (b) the
Required Reserve Account Amount.
"Base Rate" shall mean, with respect to any Monthly Period, the
annualized percentage equivalent of a fraction, the numerator of which is
equal to the sum of the Class A Monthly Interest, the Class B Monthly
Interest, the Collateral Monthly Interest, each for the related Interest
Period, and the Investor Servicing Fee with respect to such Monthly Period
and the denominator of which is the Investor Interest as of the close of
business on the last day of such Monthly Period.
"Class A Additional Interest" shall have the meaning specified in
Section 4.6(a).
"Class A Adjusted Investor Interest" shall mean, with respect to
any date of determination, an amount equal to the Class A Investor Interest
minus the Principal Funding Account Balance on such date of determination.
"Class A Available Funds" shall mean, with respect to any Monthly
Period, an amount equal to the sum of (a) the Class A Floating Allocation
of the Collections of Finance Charge Receivables (including net investment
earnings on funds on deposit in the Excess Funding Account) allocated to
the Investor Certificates and deposited in the Finance Charge Account for
such Monthly Period (or to be deposited in the Finance Charge Account on
the related Transfer Date with respect to the preceding Monthly Period
pursuant to the third paragraph of subsection 4.3(a) of the Agreement and
subsection 3(b) of this Series Supplement), excluding the portion of
Collections of Finance Charge Receivables attributable to Servicer
Interchange, (b) with respect to any Monthly Period during the Controlled
Accumulation Period prior to the payment in full of the Class A Investor
Interest, the Principal Funding Investment Proceeds arising pursuant to
subsection 4.15(b), if any, with respect to the related Transfer Date and
(c) amounts, if any, to be withdrawn from the Reserve Account which will be
deposited into the Finance Charge Account on the related Transfer Date
pursuant to subsections 4.16(b) and 4.16(d).
"Class A Certificate Rate" shall mean from the Closing Date
through April 14, 1999, and from April 15, 1999, through May 16, 1999 and
with respect to each Interest Period thereafter, a per annum rate equal to
0.15% per annum in excess of LIBOR, as determined on the related LIBOR
Determination Date.
"Class A Certificateholder" shall mean the Person in whose name a
Class A Certificate is registered in the Certificate Register.
"Class A Certificates" shall mean any of the certificates
executed by the Transferor and authenticated by or on behalf of the
Trustee, substantially in the form of Exhibit A-1 hereto.
"Class A Deficiency Amount" shall have the meaning specified in
subsection 4.6(a).
"Class A Fixed Allocation" shall mean, with respect to any
Monthly Period following the Revolving Period, the percentage equivalent
(which percentage shall never exceed 100%) of a fraction, the numerator of
which is the Class A Investor Interest as of the close of business on the
last day of the Revolving Period and the denominator of which is equal to
the Investor Interest as of the close of business on the last day of the
Revolving Period.
"Class A Floating Allocation" shall mean, with respect to any
Monthly Period, the percentage equivalent (which percentage shall never
exceed 100%) of a fraction, the numerator of which is the Class A Adjusted
Investor Interest as of the close of business on the last day of the
preceding Monthly Period and the denominator of which is equal to the
Adjusted Investor Interest as of the close of business on such day;
provided, however, that, with respect to the first Monthly Period, the
Class A Floating Allocation shall mean the percentage equivalent of a
fraction, the numerator of which is the Class A Initial Investor Interest
and the denominator of which is the Initial Investor Interest.
"Class A Initial Investor Interest" shall mean the aggregate
initial principal amount of the Class A Certificates, which is
$775,000,000.
"Class A Investor Allocation" shall mean, with respect to any
Monthly Period, (a) with respect to Default Amounts and Finance Charge
Receivables at any time and Principal Receivables during the Revolving
Period, the Class A Floating Allocation and (b) with respect to Principal
Receivables during the Controlled Accumulation Period or Rapid Amortization
Period, the Class A Fixed Allocation.
"Class A Investor Charge-Offs" shall have the meaning specified
in subsection 4.10(a).
"Class A Investor Default Amount" shall mean, with respect to
each Transfer Date, an amount equal to the product of (a) the Aggregate
Investor Default Amount for the related Monthly Period and (b) the Class A
Floating Allocation applicable for the related Monthly Period.
"Class A Investor Interest" shall mean, on any date of
determination, an amount equal to (a) the Class A Initial Investor
Interest, minus (b) the aggregate amount of principal payments made to
Class A Certificateholders prior to such date and minus (c) the excess, if
any, of the aggregate amount of Class A Investor Charge-Offs pursuant to
subsection 4.10(a) over Class A Investor Charge-Offs reimbursed pursuant to
subsection 4.11(b) prior to such date of determination; provided, however,
that the Class A Investor Interest may not be reduced below zero.
"Class A Monthly Interest" shall mean the monthly interest
distributable in respect of the Class A Certificates as calculated in
accordance with subsection 4.6(a).
"Class A Monthly Principal" shall mean the monthly principal
distributable in respect of the Class A Certificates as calculated in
accordance with subsection 4.7(a).
"Class A Required Amount" shall have the meaning specified in
subsection 4.8(a).
"Class A Scheduled Payment Date" shall mean the March 2004
Distribution Date.
"Class A Servicing Fee" shall have the meaning specified in
subsection 3(a) of this Series Supplement.
"Class B Additional Interest" shall have the meaning specified in
subsection 4.6(b).
"Class B Available Funds" shall mean, with respect to any Monthly
Period, an amount equal to the Class B Floating Allocation of the
Collections of Finance Charge Receivables (including net investment
earnings on funds on deposit in the Excess Funding Account) allocated to
the Investor Certificates and deposited in the Finance Charge Account for
such Monthly Period (or to be deposited in the Finance Charge Account on
the related Transfer Date with respect to the preceding Monthly Period
pursuant to the third paragraph of subsection 4.3(a) of the Agreement and
subsection 3(b) of this Series Supplement), excluding the portion of
Collections of Finance Charge Receivables attributable to Servicer
Interchange.
"Class B Certificate Rate" shall mean from the Closing Date
through April 14, 1999, and from April 15, 1999 through May 16, 1999 and
with respect to each Interest Period thereafter, a per annum rate equal to
0.40% per annum in excess of LIBOR, as determined on the related LIBOR
Determination Date.
"Class B Certificateholder" shall mean the Person in whose name a
Class B Certificate is registered in the Certificate Register.
"Class B Certificates" shall mean any of the certificates
executed by the Transferor and authenticated by or on behalf of the
Trustee, substantially in the form of Exhibit A-2 hereto.
"Class B Deficiency Amount" shall have the meaning specified in
subsection 4.6(b).
"Class B Fixed Allocation" shall mean, with respect to any
Monthly Period following the Revolving Period, the percentage equivalent
(which percentage shall never exceed 100%) of a fraction, the numerator of
which is the Class B Investor Interest as of the close of business on the
last day of the Revolving Period and the denominator of which is equal to
the Investor Interest as of the close of business on the last day of the
Revolving Period.
"Class B Floating Allocation" shall mean, with respect to any
Monthly Period, the percentage equivalent (which percentage shall never
exceed 100%) of a fraction, the numerator of which is the Class B Investor
Interest as of the close of business on the last day of the preceding
Monthly Period and the denominator of which is equal to the Adjusted
Investor Interest as of the close of business on such day; provided,
however, that, with respect to the first Monthly Period, the Class B
Floating Allocation shall mean the percentage equivalent of a fraction, the
numerator of which is the Class B Initial Investor Interest and the
denominator of which is the Initial Investor Interest.
"Class B Initial Investor Interest" shall mean the aggregate
initial principal amount of the Class B Certificates, which is $53,757,250.
"Class B Investor Allocation" shall mean, with respect to any
Monthly Period, (a) with respect to Default Amounts and Finance Charge
Receivables at any time or Principal Receivables during the Revolving
Period, the Class B Floating Allocation and (b) with respect to Principal
Receivables during the Controlled Accumulation Period or Rapid Amortization
Period, the Class B Fixed Allocation.
"Class B Investor Charge-Offs" shall have the meaning specified
in subsection 4.10(b).
"Class B Investor Default Amount" shall mean, with respect to
each Transfer Date, an amount equal to the product of (a) the Aggregate
Investor Default Amount for the related Monthly Period and (b) the Class B
Floating Allocation applicable for the related Monthly Period.
"Class B Investor Interest" shall mean, on any date of
determination, an amount equal to (a) the Class B Initial Investor
Interest, minus (b) the aggregate amount of principal payments made to
Class B Certificateholders prior to such date, minus (c) the aggregate
amount of Class B Investor Charge-Offs for all prior Transfer Dates
pursuant to subsection 4.10(b), minus (d) the amount of the Reallocated
Class B Principal Collections allocated pursuant to subsection 4.12(a) on
all prior Transfer Dates for which the Collateral Interest has not been
reduced, minus (e) an amount equal to the amount by which the Class B
Investor Interest has been reduced on all prior Transfer Dates pursuant to
subsection 4.10(a) and plus (f) the aggregate amount of Excess Spread
allocated and available on all prior Transfer Dates pursuant to subsection
4.11(d), for the purpose of reimbursing amounts deducted pursuant to the
foregoing clauses (c), (d) and (e); provided, however, that the Class B
Investor Interest may not be reduced below zero.
"Class B Monthly Interest" shall mean the monthly interest
distributable in respect of the Class B Certificates as calculated in
accordance with subsection 4.6(b).
"Class B Monthly Principal" shall mean the monthly principal
distributable in respect of the Class B Certificates as calculated in
accordance with subsection 4.7(b).
"Class B Required Amount" shall have the meaning specified in
subsection 4.8(b).
"Class B Scheduled Payment Date" shall mean the April 2004
Distribution Date.
"Class B Servicing Fee" shall have the meaning specified in
subsection 3(a) hereof.
"Closing Date" shall mean March 24, 1999.
"Code" shall mean the Internal Revenue Code of 1986, as amended.
"Collateral Allocation" shall mean, with respect to any Monthly
Period, (a) with respect to Default Amounts and Finance Charge Receivables
at any time or Principal Receivables during the Revolving Period, the
Collateral Floating Allocation and (b) with respect to Principal
Receivables during the Controlled Accumulation Period or Rapid Amortization
Period, the Collateral Fixed Allocation.
"Collateral Available Funds" shall mean, with respect to any
Monthly Period, an amount equal to the Collateral Floating Allocation of
the Collections of Finance Charge Receivables (including net investment
earnings or funds on deposit in the Excess Funding Account) allocated to
the Investor Certificates and deposited in the Finance Charge Account for
such Monthly Period (or to be deposited in the Finance Charge Account on
the related Transfer Date with respect to the preceding Monthly Period
pursuant to the third paragraph of subsection 4.3(a) of the Agreement and
subsection 3(b) of this Series Supplement), excluding the portion of
Collections of Finance Charge Receivables attributable to Servicer
Interchange.
"Collateral Charge-Offs" shall have the meaning specified in
subsection 4.10(c).
"Collateral Default Amount" shall mean, with respect to any
Transfer Date, an amount equal to the product of (a) the Aggregate Investor
Default Amount for the related Monthly Period and (b) the Collateral
Floating Allocation applicable for the related Monthly Period.
"Collateral Fixed Allocation" shall mean, with respect to any
Monthly Period following the Revolving Period, the percentage equivalent
(which percentage shall never exceed 100%) of a fraction, the numerator of
which is the Collateral Interest as of the close of business on the last
day of the Revolving Period and the denominator of which is equal to the
Investor Interest as of the close of business on the last day of the
Revolving Period.
"Collateral Floating Allocation" shall mean, with respect to any
Monthly Period, the percentage equivalent (which percentage shall never
exceed 100%) of a fraction, the numerator of which is the Collateral
Interest as of the close of business on the last day of the preceding
Monthly Period and the denominator of which is equal to the Adjusted
Investor Interest as of the close of business on such day; provided,
however, that, with respect to the first Monthly Period, the Collateral
Floating Allocation shall mean the percentage equivalent of a fraction, the
numerator of which is the Collateral Initial Interest and the denominator
of which is the Initial Investor Interest.
"Collateral Initial Interest" shall mean the aggregate initial
principal amount of the Collateral Interest, which is $67,196,550.
"Collateral Interest" shall mean, on any date of determination,
an amount equal to (a) the Collateral Initial Interest, minus (b) the
aggregate amount of principal payments made to the Collateral Interest
Holder prior to such date, minus (c) the aggregate amount of Collateral
Charge-Offs for all prior Transfer Dates pursuant to subsection 4.10(c),
minus (d) the amount of Reallocated Principal Collections allocated
pursuant to subsections 4.12(a) and (b) on all prior Transfer Dates, minus
(e) an amount equal to the amount by which the Collateral Interest has been
reduced on all prior Transfer Dates pursuant to subsections 4.10(a) and
(b), and plus (f) the aggregate amount of Excess Spread allocated and
available on all prior Transfer Dates pursuant to subsection 4.11(h), for
the purpose of reimbursing amounts deducted pursuant to the foregoing
clauses (c), (d) and (e); provided further, however, that the Collateral
Interest may not be reduced below zero.
"Collateral Interest Holder" shall mean the entity so designated
in the Loan Agreement.
"Collateral Interest Servicing Fee" shall have the meaning
specified in subsection 3(a) hereof.
"Collateral Monthly Interest" shall mean the monthly interest
distributable in respect of the Collateral Interest as calculated in
accordance with subsection 4.6(c).
"Collateral Monthly Principal" shall mean the monthly principal
distributable in respect of the Collateral Interest as calculated in
accordance with subsection 4.7 (c).
"Collateral Rate" shall mean, for any Interest Period, the rate
specified in the Loan Agreement.
"Controlled Accumulation Amount" shall mean (a) for any Transfer
Date with respect to the Controlled Accumulation Period prior to the
payment in full of the Class A Investor Interest, $64,583,333.33; provided,
however, that if the Accumulation Period Length is determined to be less
than 12 months pursuant to subsection 4.9(i), the Controlled Accumulation
Amount for each Transfer Date with respect to the Controlled Accumulation
Period prior to the payment in full of the Class A Investor Interest will
be equal to (i) the product of (x) the Class A Initial Investor Interest
and (y) the Accumulation Period Factor for such Monthly Period divided by
(ii) the Required Accumulation Factor Number, (b) for any Transfer Date
with respect to the Controlled Accumulation Period after payment in full of
the Class A Investor Interest but prior to the payment in full of the Class
B Investor Interest, an amount equal to the Class B Investor Interest as of
such Transfer Date and (c) for any Transfer Date with respect to the
Controlled Accumulation Period after payment in full of the Class B
Investor Interest, an amount equal to the Collateral Interest as of such
Transfer Date.
"Controlled Accumulation Period" shall mean, unless a Pay Out
Event shall have occurred prior thereto, the period commencing at the close
of business on February 28, 2003 or such later date as is determined in
accordance with subsection 4.9(i) and ending on the first to occur of (a)
the commencement of the Rapid Amortization Period and (b) the Series 1999-1
Termination Date.
"Controlled Deposit Amount" shall mean, with respect to any
Transfer Date, the sum of (a) the Controlled Accumulation Amount for such
Transfer Date and (b) any existing Accumulation Shortfall.
"Covered Amount" shall mean an amount, determined as of the
Transfer Date with respect to any Interest Period, equal to the product of
(a) (i) a fraction, the numerator of which is the actual number of days in
such Interest Period and the denominator of which is 360, times (ii) the
Class A Certificate Rate in effect with respect to such Interest Period and
(b) the Principal Funding Account Balance as of the Record Date preceding
such Transfer Date.
"Credit Enhancement" shall mean (a) with respect to the Class A
Certificates, the subordination of the Class B Certificates and the
Collateral Interest and (b) with respect to the Class B Certificates. the
subordination of the Collateral Interest.
"Credit Enhancement Provider" shall mean the Collateral Interest
Holder.
"Cumulative Finance Charge Shortfall" shall mean the sum of the
Finance Charge Shortfalls (as such term is defined in each of the related
Series Supplements) for each Series in Group One.
"Cumulative Series Principal Shortfall" shall mean the sum of the
Series Principal Shortfalls (as such term is defined in each of the related
Series Supplements) for each Series.
"Daily Principal Shortfall" shall mean, on any date of
determination, the excess of the Monthly Principal Payment for the Monthly
Period relating to such date over the month to date amount of Collections
processed in respect of Principal Receivables for such Monthly Period
allocable to investor certificates of all outstanding Series, not subject
to reallocation, which are on deposit or to be deposited in the Principal
Account on such date.
"Deficiency Amount" shall mean, at any time of determination, the
sum of the Class A Deficiency Amount and the Class B Deficiency Amount.
"Distribution Date" shall mean May 17, 1999 and the fifteenth day
of each calendar month thereafter, or if such fifteenth day is not a
Business Day, the next succeeding Business Day.
"Excess Principal Funding Investment Proceeds" shall mean, with
respect to each Transfer Date relating to the Controlled Accumulation
Period, the amount, if any, by which the Principal Funding Investment
Proceeds for such Transfer Date exceed the Covered Amount determined on
such Transfer Date.
"Excess Spread" shall mean, with respect to any Transfer Date,
the sum of the amounts with respect to such Transfer Date, if any,
specified pursuant to subsections 4.9(a)(iv), 4.9(b)(iii) and 4.9(c)(ii).
"Finance Charge Shortfall" shall mean, with respect to any
Transfer Date, the excess, if any, of the amount distributable pursuant to
subsections 4.11(a)-(j) over Excess Spread.
"Fixed Investor Percentage" shall mean, with respect to any
Monthly Period, the percentage equivalent of a fraction, the numerator of
which is the Investor Interest as of the close of business on the last day
of the Revolving Period and the denominator of which is the greater of (a)
the sum of (i) the aggregate amount of Principal Receivables in the Trust
determined as of the close of business on the last day of the prior Monthly
Period and (ii) the Excess Funding Amount as of the close of business on
such last day of the prior Monthly Period and (b) the sum of the numerators
used to calculate the Investor Percentages (as such term is defined in the
Agreement) for allocations with respect to Principal Receivables for all
outstanding Series on such date of determination; provided, however, that
with respect to any Monthly Period in which an Addition Date occurs or in
which a Removal Date occurs, the denominator determined pursuant to clause
(a)(i) hereof shall be (A) the aggregate amount of Principal Receivables in
the Trust as of the close of business on the last day of the prior Monthly
Period for the period from and including the first day of such Monthly
Period to but excluding the related Addition Date or Removal Date and (B)
the aggregate amount of Principal Receivables in the Trust as of the
beginning of the day on the related Addition Date or Removal Date after
adjusting for the aggregate amount of Principal Receivables added to or
removed from the Trust on the related Addition Date or Removal Date, for
the period from and including the related Addition Date or Removal Date to
and including the last day of such Monthly Period.
"Floating Investor Percentage" shall mean, with respect to any
Monthly Period, the percentage equivalent of a fraction, the numerator of
which is the Adjusted Investor Interest as of the close of business on the
last day of the prior Monthly Period (or with respect to the first Monthly
Period, the Initial Investor Interest) and the denominator of which is the
greater of (a) the sum of (i) the aggregate amount of Principal Receivables
as of the close of business on the last day of the prior Monthly Period (or
with respect to the first calendar month in the first Monthly Period, the
aggregate amount of Principal Receivables in the Trust as of the opening of
business on the Closing Date, and with respect to the second calendar month
in the first Monthly Period, the aggregate amount of Principal Receivables
as of the close of business on the last day of the first calendar month in
the first Monthly Period) and (ii) the Excess Funding Amount as of the
close of business on such last day of the prior Monthly Period and (b) the
sum of the numerators used to calculate the Investor Percentages (as such
term is defined in the Agreement) for allocations with respect to Finance
Charge Receivables, Default Amounts or Principal Receivables, as
applicable, for all outstanding Series on such date of determination;
provided, however, that with respect to any Monthly Period in which an
Addition Date occurs or in which a Removal Date occurs, the denominator
determined pursuant to clause (a)(i) hereof shall be (A) the aggregate
amount of Principal Receivables in the Trust as of the close of business on
the last day of the prior Monthly Period for the period from and including
the first day of such Monthly Period to but excluding the related Addition
Date or Removal Date and (B) the aggregate amount of Principal Receivables
in the Trust as of the beginning of the day on the related Addition Date or
Removal Date after adjusting for the aggregate amount of Principal
Receivables added to or removed from the Trust on the related Addition Date
or Removal Date, for the period from and including the related Addition
Date or Removal Date to and including the last day of such Monthly Period.
"Group One" shall mean Series 1999-1 and each other Series
specified in the related Supplement to be included in Group One.
"Initial Investor Interest" shall mean $895,953,800.
"Interest Period" shall mean, with respect to any Distribution
Date, the period from and including the previous Distribution Date through
the day preceding such Distribution Date, except that the initial Interest
Period shall be the period from and including the Closing Date through the
day preceding the initial Distribution Date.
"Investor Certificateholder" shall mean (a) with respect to the
Class A Certificates, the holder of record of a Class A Certificate, (b)
with respect to the Class B Certificates, the holder of record of a Class B
Certificate and (c) with respect to the Collateral Interest, the Collateral
Interest Holder.
"Investor Certificates" shall mean the Class A Certificates, the
Class B Certificates and the Collateral Interest.
"Investor Default Amount" shall mean, with respect to any
Receivable in a Defaulted Account, an amount equal to the product of (a)
the Default Amount and (b) the Floating Investor Percentage on the day such
Account became a Defaulted Account.
"Investor Interest" shall mean, on any date of determination, an
amount equal to the sum of (a) the Class A Investor Interest, (b) the Class
B Investor Interest and (c) the Collateral Interest, each as of such date.
"Investor Percentage" shall mean for any Monthly Period, (a) with
respect to Finance Charge Receivables and Default Amounts at any time and
Principal Receivables during the Revolving Period, the Floating Investor
Percentage and (b) with respect to Principal Receivables during the
Controlled Accumulation Period or the Rapid Amortization Period, the Fixed
Investor Percentage.
"Investor Principal Collections" shall mean, with respect to any
Monthly Period, the sum of (a) the aggregate amount deposited into the
Principal Account for such Monthly Period pursuant to subsections
4.5(a)(ii), (iii) and (iv), 4.5(b)(ii), (iii) and (iv) or 4.5(c)(ii), in
each case, as applicable to such Monthly Period and (b) the aggregate
amount to be treated as Investor Principal Collections pursuant to
subsections 4.9(a)(iii) and 4.11(a) (to the extent allocable to the Class A
Investor Default Amount), (b), (c) (to the extent allocable to the Class B
Investor Default Amount), (d), (g) and (h) for such Monthly Period (other
than such amount paid from Reallocated Principal Collections).
"Investor Servicing Fee shall have the meaning specified in
subsection 3(a) hereof.
"LIBOR" shall mean, for any Interest Period, the London interbank
offered rate for one-month United States dollar deposits determined by the
Trustee for each Interest Period in accordance with the provisions of
Section 4.17.
"LIBOR Determination Date" shall mean March 22, 1999 for the
period from the Closing Date through April 14, 1999, April 13, 1999 for the
period from April 15, 1999 through May 16, 1999, and the second London
Business Day prior to the commencement of the second and each subsequent
Interest Period.
"Loan Agreement" shall mean the agreement among the Transferor,
the Servicer, the Trustee, and the Collateral Interest Holder, dated as of
March 24, 1999, as amended or modified from time to time.
"London Business Day" shall mean any Business Day on which
dealings in deposits in United States dollars are transacted in the London
interbank market.
"Monthly Period" shall have the meaning specified in the
Agreement, except that the first Monthly Period with respect to the
Investor Certificates shall begin on and include the Closing Date and shall
end on and include April 30, 1999.
"Monthly Principal Payment" shall mean with respect to any
Monthly Period, for all Series (including Series 1999-1) which are in an
Amortization Period or Accumulation Period (as such terms are defined in
the related Supplements for all Series), the sum of (a) the Controlled
Distribution Amount for the related Transfer Date for any Series in its
Controlled Amortization Period (as such terms are defined in the related
Supplements for all Series), (b) the Controlled Deposit Amount for the
related Transfer Date for any Series in its Accumulation Period, other than
its Rapid Accumulation Period, if applicable (as such terms are defined in
the related Supplements for all Series), (c) the Investor Interest as of
the end of the prior Monthly Period taking into effect any payments to be
made on the following Distribution Date for any Series in its Principal
Amortization Period or Rapid Amortization Period (as such terms are defined
in the related Supplements for all Series), (d) the Adjusted Investor
Interest as of the end of the prior Monthly Period taking into effect any
payments or deposits to be made on the following Transfer Date and
Distribution Date for any Series in Group One in its Rapid Accumulation
Period (as such terms are defined in the related Supplements for all
Series), (e) the excess of the Collateral Interest as of the Transfer Date
occurring in such Monthly Period over the Required Collateral Interest for
the related Transfer Date, assuming no Accumulation Shortfall and (f) such
other amounts as may be specified in the related Supplements for all
Series.
"Net Servicing Fee Rate" shall mean (a) so long as the
Transferor, an Affiliate thereof, The Bank of New York (Delaware) or an
Affiliate thereof is the Servicer, 1% per annum and (b) if the Transferor,
an Affiliate thereof, The Bank of New York (Delaware) or an Affiliate
thereof is no longer the Servicer, 2% per annum.
"Pay Out Commencement Date" shall mean the date on which a Trust
Pay Out Event is deemed to occur pursuant to Section 9.1 or a Series 1999-1
Pay Out Event is deemed to occur pursuant to Section 9 hereof.
"Portfolio Adjusted Yield" shall mean, with respect to any
Transfer Date, the average of the percentages obtained for each of the
three preceding Monthly Periods by subtracting the Base Rate from the
Portfolio Yield for such Monthly Period.
"Portfolio Yield" shall mean, with respect to any Monthly Period,
the annualized percentage equivalent of a fraction, the numerator of which
is an amount equal to the sum of (a) the amount of Collections of Finance
Charge Receivables deposited into the Finance Charge Account (including
recoveries on charged-off Receivables and net investment earnings on funds
on deposit in the Excess Funding Account) and allocable to the Investor
Certificates for such Monthly Period, (b) the Principal Funding Investment
Proceeds deposited into the Finance Charge Account on the Transfer Date
related to such Monthly Period, and (c) the amount of the Reserve Draw
Amount (up to the Available Reserve Account Amount) plus any amounts of
interest and earnings described in subsection 4.16, each deposited into the
Finance Charge Account on the Transfer Date relating to such Monthly
Period, such sum to be calculated on a cash basis after subtracting the
Aggregate Investor Default Amount for such Monthly Period, and the
denominator of which is the Investor Interest as of the close of business
on the last day of such Monthly Period.
"Principal Funding Account" shall have the meaning set forth in
subsection 4.15(a).
"Principal Funding Account Balance" shall mean, with respect to
any date of determination, the principal amount, if any, on deposit in the
Principal Funding Account on such date of determination.
"Principal Funding Investment Proceeds" shall mean, with respect
to each Transfer Date, the investment earnings on funds in the Principal
Funding Account (net of investment expenses and losses) for the period from
and including the immediately preceding Transfer Date to but excluding such
Transfer Date.
"Principal Funding Investment Shortfall" shall mean, with respect
to each Transfer Date relating to the Controlled Accumulation Period, the
amount, if any, by which the Principal Funding Investment Proceeds for such
Transfer Date are less than the Covered Amount determined as of such
Transfer Date.
"QIB" shall mean a "qualified institutional buyer" within the
meaning of Rule 144A under the Securities Act.
"Rapid Amortization Period" shall mean the Amortization Period
commencing on the Pay Out Commencement Date and ending on the earlier to
occur of (a) the Series 1999-1 Termination Date and (b) the termination of
the Trust pursuant to Section 12.1.
"Rating Agency" shall mean Xxxxx'x, Standard & Poor's and Fitch.
"Rating Agency Condition" shall mean the notification in writing
by each Rating Agency that an action will not result in any Rating Agency
reducing or withdrawing its then existing rating of the investor
certificates of any outstanding Series or class of a Series with respect to
which it is a Rating Agency.
"Reallocated Class B Principal Collections" shall mean, with
respect to any Transfer Date, Collections of Principal Receivables applied
in accordance with subsection 4.12(a) in an amount not to exceed the
product of (a) the Class B Investor Allocation with respect to the Monthly
Period relating to such Transfer Date and (b) the Investor Percentage with
respect to the Monthly Period relating to such Transfer Date and (c) the
amount of Collections of Principal Receivables with respect to the Monthly
Period relating to such Transfer Date; provided however, that such amount
shall not exceed the Class B Investor Interest after giving effect to any
Class B Investor Charge-Offs for such Transfer Date.
"Reallocated Collateral Principal Collections" shall mean, with
respect to any Transfer Date, Collections of Principal Receivables applied
in accordance with subsections 4.12(a) and (b) in an amount not to exceed
the product of (a) the Collateral Allocation with respect to the Monthly
Period relating to such Transfer Date and (b) the Investor Percentage with
respect to the Monthly Period relating to such Transfer Date and (c) the
amount of Collections of Principal Receivables with respect to the Monthly
Period relating to such Transfer Date; provided however, that such amount
shall not exceed the Collateral Interest after giving effect to any
Collateral Charge-Offs for such Transfer Date.
"Reallocated Principal Collections" shall mean the sum of (a)
Reallocated Class B Principal Collections and (b) Reallocated Collateral
Principal Collections.
"Reference Banks" shall mean four major banks in the London
interbank market selected by the Servicer.
"Required Accumulation Factor Number" shall be equal to a
fraction, rounded upwards to the nearest whole number, the numerator of
which is one and the denominator of which is equal to the lowest monthly
principal payment rate on the Accounts, expressed as a decimal, for the 12
months preceding the date of such calculation.
"Required Collateral Interest" shall mean (a) on the Initial
Transfer Date, $67,196,550 and (b) on any Transfer Date thereafter, an
amount equal to 7.50% of the sum of (x) the Class A Adjusted Investor
Interest and the Class B Investor Interest on such Transfer Date, after
taking into account deposits into the Principal Funding Account on such
Transfer Date and payments to be made on the related Distribution Date and
(y) the Collateral Interest on the prior Transfer Date after any
adjustments made on such Transfer Date, but not less than $26,878,614;
provided, however, that (x) if either (i) there is a reduction in the
Collateral Interest pursuant to clause (c), (d) or (e) of the definition of
such term or (ii) a Pay Out Event with respect to the Investor Certificates
has occurred, the Required Collateral Interest for any Transfer Date shall
equal the Required Collateral Interest for the Transfer Date immediately
preceding such reduction or Pay Out Event, (y) in no event shall the
Required Collateral Interest exceed the sum of the outstanding principal
amounts of (i) the Class A Certificates and (ii) the Class B Certificates,
each as of the last day of the Monthly Period preceding such Transfer Date
after taking into account the payments to be made on the related
Distribution Date and (z) the Required Collateral Interest may be reduced
at the Transferor's option at any time to a lesser amount if the
Transferor, the Servicer, the Collateral Interest Holder and the Trustee
have been provided evidence that the Rating Agency Condition shall have
been satisfied.
"Required Reserve Account Amount" shall mean, with respect to any
Transfer Date on or after the Reserve Account Funding Date, an amount equal
to (a) 0.5% of the outstanding principal balance of the Class A
Certificates or (b) any other amount designated by the Transferor;
provided, however, that if such designation is of a lesser amount, the
Transferor shall (i) provide the Servicer, the Collateral Interest Holder
and the Trustee with evidence that the Rating Agency Condition shall have
been satisfied and (ii) deliver to the Trustee a certificate of an
authorized officer to the effect that, based on the facts known to such
officer at such time, in the reasonable belief of the Transferor, such
designation will not cause a Pay Out Event or an event that, after the
giving of notice or the lapse of time, would cause a Pay Out Event to occur
with respect to Series 1999-1.
"Reserve Account" shall have the meaning specified in subsection
4.16(a).
"Reserve Account Funding Date" shall mean the Transfer Date which
occurs not later than the earliest of (a) the Transfer Date with respect to
the Monthly Period which commences 3 months prior to the commencement of
the Controlled Accumulation Period; (b) the first Transfer Date for which
the Portfolio Adjusted Yield is less than 2%, but in such event the Reserve
Account Funding Date shall not be required to occur earlier than the
Transfer Date with respect to the Monthly Period which commences 12 months
prior to the commencement of the Controlled Accumulation Period; (c) the
first Transfer Date for which the Portfolio Adjusted Yield is less than 3%,
but in such event the Reserve Account Funding Date shall not be required to
occur earlier than the Transfer Date with respect to the Monthly Period
which commences 6 months prior to the commencement of the Controlled
Accumulation Period; and (d) the first Transfer Date for which the
Portfolio Adjusted Yield is less than 4%, but in such event the Reserve
Account Funding Date shall not be required to occur earlier than the
Transfer Date with respect to the Monthly Period which commences 4 months
prior to the commencement of the Controlled Accumulation Period.
"Reserve Account Surplus" shall mean, as of any Transfer Date
following the Reserve Account Funding Date, the amount, if any, by which
the amount on deposit in the Reserve Account exceeds the Required Reserve
Account Amount.
"Reserve Draw Amount" shall have the meaning specified in
subsection 4.16(c).
"Revolving Period" shall mean the period from and including the
Closing Date to, but not including, the earlier of (a) the day the
Controlled Accumulation Period commences and (b) the Pay Out Commencement
Date.
"Series 1999-1" shall mean the Series of the Wachovia Credit Card
Master Trust represented by the Investor Certificates.
"Series 1999-1 Certificateholders" shall mean the holder of
record of a Series 1999-1 Certificate.
"Series 1999-1 Certificates" shall mean the Class A Certificates
and the Class B Certificates.
"Series 1999-1 Pay Out Event" shall have the meaning specified in
Section 9 hereof.
"Series 1999-1 Termination Date" shall mean the earliest to occur
of (a) the Distribution Date on which the Investor Interest is paid in
full, (b) the August 2006 Distribution Date and (c) the Trust Termination
Date.
"Series Principal Shortfall" shall mean with respect to any
Transfer Date, the excess, if any, of (a) (i) with respect to any Transfer
Date relating to the Controlled Accumulation Period, the sum of (A) the
Controlled Deposit Amount for such Transfer Date, and (B) the excess, if
any, of the Collateral Interest for such Transfer Date over the Required
Collateral Interest for such Transfer Date and (ii) with respect to any
Transfer Date during the Rapid Amortization Period, the Adjusted Investor
Interest over (b) the Investor Principal Collections minus the Reallocated
Principal Collections for such Transfer Date.
"Series Servicing Fee Percentage" shall mean 2%.
"Servicer Interchange" shall mean, for any Monthly Period, the
portion of Collections of Finance Charge Receivables allocated to the
Investor Certificates and deposited in the Finance Charge Account with
respect to such Monthly Period that is attributable to Interchange;
provided, however, that Servicer Interchange for a Monthly Period shall not
exceed one-twelfth of the product of (i) the Adjusted Investor Interest as
of the last day of such Monthly Period and (ii) 1%.
"Shared Excess Finance Charge Collections" shall mean, with
respect to any Distribution Date, either (a) the amount described in
subsection 4.11(k) allocated to the Investor Certificates but available to
cover shortfalls in amounts payable from Collections of Finance Charge
Receivables allocated to other Series in Group One, if any, or (b) the
aggregate amount of Collections Finance Charge Receivables allocable to
other Series in Group One in excess of the amounts necessary to make
required payments with respect to such Series, if any, and available to
cover shortfalls with respect to the Investor Certificates in accordance
with subsection 4.14(b).
"Shared Principal Collections" shall mean, with respect to any
Distribution Date, either (a) the amount allocated to the Investor
Certificates which may be applied to the Series Principal Shortfall with
respect to other outstanding Series or (b) the sum of the Excess Funding
Amount, with respect to any Distribution Date, and amounts allocated to the
investor certificates of other Series which the applicable Supplements for
such Series specify are to be treated as "Shared Principal Collections" and
which may be applied to cover the Series Principal Shortfall with respect
to the Investor Certificates.
"Telerate Page 3750" shall mean the display page currently so
designated on the Dow Xxxxx Telerate Service (or such other page as may
replace that page on that service for the purpose of displaying comparable
rates or prices).
SECTION 3. Servicing Compensation and Assignment of Interchange.
(a) The share of the Servicing Fee allocable to Series 1999-1 with respect
to any Transfer Date (the "Investor Servicing Fee") shall be equal to one-
twelfth of the product of (i) the Series Servicing Fee Percentage and (ii)
the Adjusted Investor Interest as of the last day of the Monthly Period
preceding such Transfer Date; provided, however, that with respect to the
first Transfer Date, the Investor Servicing Fee shall be equal to
$1,841,682.82. On each Transfer Date for which the Transferor, an
Affiliate thereof, The Bank of New York (Delaware) or an Affiliate thereof
is the Servicer, a portion of Interchange with respect to the related
Monthly Period that is on deposit in the Finance Charge Account shall be
withdrawn from the Finance Charge Account and paid to the Servicer in
payment of a portion of the Investor Servicing Fee with respect to such
Monthly Period ("Servicer Interchange"). Should the Servicer Interchange
on deposit in the Finance Charge Account on any Transfer Date with respect
to the related Monthly Period be less than one-twelfth of 1% of the
Adjusted Investor Interest as of the last day of such Monthly Period, the
Investor Servicing Fee with respect to such Monthly Period will not be paid
to the extent of such insufficiency of Servicer Interchange on deposit in
the Finance Charge Account. The share of the Investor Servicing Fee
allocable to the Class A Investor Interest with respect to any Transfer
Date (the "Class A Servicing Fee") shall be equal to one-twelfth of the
product of (i) the Class A Floating Allocation, (ii) the Net Servicing Fee
Rate and (iii) the Adjusted Investor Interest as of the last day of the
Monthly Period preceding such Transfer Date; provided, however, that with
respect to the first Transfer Date, the Class A Servicing Fee shall be
equal to $796,527.78. The share of the Investor Servicing Fee allocable to
the Class B Investor Interest with respect to any Transfer Date (the "Class
B Servicing Fee") shall be equal to one-twelfth of the product of (i) the
Class B Floating Allocation, (ii) the Net Servicing Fee Rate and (iii) the
Adjusted Investor Interest as of the last day of the Monthly Period
preceding such Transfer Date; provided, however, that with respect to the
first Transfer Date, the Class B Servicing Fee shall be equal to
$55,250.51. The share of the Investor Servicing Fee allocable to the
Collateral Interest with respect to any Transfer Date (the "Collateral
Interest Servicing Fee") shall be equal to one-twelfth of the product of
(i) the Collateral Floating Allocation, (ii) the Net Servicing Fee Rate and
(iii) the Adjusted Investor Interest as of the last day of the Monthly
Period preceding such Transfer Date; provided, however, that with respect
to the first Transfer Date, the Collateral Interest Servicing Fee shall be
equal to $69,063.12. Except as specifically provided above, the Servicing
Fee shall be paid by the cash flows from the Trust allocated to the
Transferor or the certificateholders of other Series (as provided in the
related Supplements) and in no event shall the Trust, the Trustee or the
Investor Certificateholders be liable therefor. The Class A Servicing Fee
shall be payable to the Servicer solely to the extent amounts are available
for distribution in respect thereof pursuant to subsections 4.9(a)(ii) and
4.11(a). The Class B Servicing Fee shall be payable solely to the extent
amounts are available for distribution in respect thereof pursuant to
subsections 4.9(b)(ii) and 4.11(c). The Collateral Interest Servicing Fee
shall be payable solely to the extent amounts are available for
distribution in respect thereof pursuant to subsection 4.11(f) or, if
applicable, subsection 4.9(c)(i).
(b) On or before each Transfer Date, the Transferor shall notify
the Servicer of the amount of Interchange to be included as Collections of
Finance Charge Receivables and allocable to the Investor Certificateholders
with respect to the preceding Monthly Period as determined pursuant to this
subsection 3(b). Such amount of Interchange shall be equal to the product
of (i) the total amount of Interchange paid or payable to the Transferor
with respect to such Monthly Period, (ii) a fraction the numerator of which
is the aggregate amount of cardholder charges for goods and services in the
Accounts with respect to such Monthly Period and the denominator of which
is the aggregate amount of cardholder charges for goods and services in all
MasterCard and VISA consumer revolving credit card accounts owned by the
Transferor with respect to such Monthly Period and (iii) the Investor
Percentage with respect to Finance Charge Receivables with respect to such
Monthly Period. On each Transfer Date, the Transferor shall pay to the
Servicer, and the Servicer shall deposit into the Finance Charge Account,
in immediately available funds, the amount of Interchange to be so included
as Collections of Finance Charge Receivables allocable to the Investor
Certificates with respect to the preceding Monthly Period. The Transferor
hereby assigns, sets-over, conveys, pledges and grants a security interest
and lien to the Trustee for the benefit of the Investor Certificateholders
in Interchange and the proceeds of Interchange, as set forth in this
subsection 3(b). In connection with the foregoing grant of a security
interest, this Series Supplement shall constitute a security agreement
under applicable law. To the extent that a Supplement for a related
Series, other than Series 1999-1, assigns, sets-over, conveys, pledges or
grants a security interest in Interchange allocable to the Trust, all
investor certificates of any such Series (except as otherwise specified in
any such Supplement) and the Investor Certificates shall rank pari passu
and be equally and ratably entitled as provided herein to the benefits of
such Interchange without preference or priority on account of the actual
time or times of authentication and delivery, all in accordance with the
terms and provisions of this Series Supplement and other related
Supplements.
SECTION 4. Reassignment and Transfer Terms. The Investor
Certificates shall be subject to purchase by the Transferor at its option,
in accordance with the terms specified in subsection 12.2(a), on any
Distribution Date on or after the Distribution Date on which the Investor
Interest is reduced to an amount less than or equal to 5% of the Initial
Investor Interest. The deposit required in connection with any such
purchase shall include the amount, if any, on deposit in the Principal
Funding Account and will be equal to the sum of (a) the Investor Interest
and (b) accrued and unpaid interest on the Investor Certificates through
the day preceding the Distribution Date on which the repurchase occurs.
SECTION 5. Delivery and Payment for the Investor Certificates.
The Transferor shall execute and deliver the Series 1999-1 Certificates to
the Trustee for authentication in accordance with Section 6.1. The Trustee
shall deliver such Certificates when authenticated in accordance with
Section 6.2.
SECTION 6. Depository; Form of Delivery of Investor
Certificates.
(a) The Class A Certificates and the Class B Certificates shall
be delivered as Book-Entry Certificates as provided in Sections 6.1 and
6.10.
(b) The Depository for Series 1999-1 shall be The Depository
Trust Company, and the Class A Certificates and Class B Certificates shall
be initially registered in the name of Cede & Co., its nominee.
SECTION 7. Article IV of Agreement. Sections 4.1, 4.2 and 4.3
shall be read in their entirety as provided in the Agreement. Article IV
(except for Sections 4.1, 4.2 and 4.3 thereof) shall be read in its
entirety as follows and shall be applicable only to the Investor
Certificates:
ARTICLE IV
RIGHTS OF CERTIFICATEHOLDERS AND
ALLOCATION AND APPLICATION OF COLLECTIONS
SECTION 4.4 Rights of Certificateholders. The Investor
Certificates shall represent undivided interests in the Trust, consisting
of the right to receive, to the extent necessary to make the required
payments with respect to such Investor Certificates at the times and in the
amounts specified in this Agreement, (a) the Floating Investor Percentage
and Fixed Investor Percentage (as applicable from time to time) of
Collections received with respect to the Receivables and (b) funds on
deposit in the Collection Account, the Excess Funding Account, the Finance
Charge Account, the Principal Account, the Principal Funding Account, the
Reserve Account and the Distribution Account. The Collateral Interest
shall be subordinate to the Class A Certificates and the Class B
Certificates. The Class B Certificates shall be subordinate to the Class A
Certificates. The Transferor Certificate shall not represent any interest
in the Collection Account, the Excess Funding Account, the Finance Charge
Account, the Principal Account, the Principal Funding Account, the Reserve
Account or the Distribution Account, except as specifically provided in
this Article IV.
SECTION 4.5 Allocations.
(a) Allocations During the Revolving Period. During the
Revolving Period, the Servicer shall, prior to the close of business on the
day any Collections are deposited in the Collection Account, allocate to
the Investor Certificateholders or the Holder of the Transferor Certificate
and pay or deposit from the Collection Account the following amounts as set
forth below:
(i) Deposit into the Finance Charge Account an amount equal to
the product of (A) the Investor Percentage on the Date of Processing
of such Collections and (B) the aggregate amount of Collections
processed in respect of Finance Charge Receivables on such Date of
Processing to be applied in accordance with Section 4.9.
(ii) Deposit into the Principal Account an amount equal to the
product of (A) the Collateral Allocation on the Date of Processing of
such Collections, (B) the Investor Percentage on the Date of
Processing of such Collections and (C) the aggregate amount of
Collections processed in respect of Principal Receivables on such Date
of Processing to be applied first in accordance with Section 4.12 and
then in accordance with subsection 4.9(d).
(iii) Deposit into the Principal Account an amount equal to the
product of (A) the Class B Investor Allocation on the Date of
Processing of such Collections, (B) the Investor Percentage on the
Date of Processing of such Collections and (C) the aggregate amount of
Collections processed in respect of Principal Receivables on such Date
of Processing to be applied first in accordance with Section 4.12 and
then in accordance with subsection 4.9(d).
(iv) (A) Deposit into the Principal Account an amount equal to
the product of (1) the Class A Investor Allocation on the Date of
Processing of such Collections, (2) the Investor Percentage on the
Date of Processing of such Collections and (3) the aggregate amount of
Collections processed in respect of Principal Receivables on such Date
of Processing; provided, however, that the amount deposited into the
Principal Account pursuant to this subsection 4.5(a)(iv)(A) shall not
exceed the Daily Principal Shortfall, and (B) pay to the Holder of the
Transferor Certificate an amount equal to the excess, if any,
identified in the proviso to clause (A) above; provided, however, that
the amount to be paid to the Holder of the Transferor Certificate
pursuant to this subsection 4.5(a)(iv)(B) with respect to any Date of
Processing shall be paid to the Holder of the Transferor Certificate
only if the Transferor Amount on such Date of Processing is greater
than the Minimum Transferor Amount (after giving effect to the
inclusion in the Trust of all Receivables created on or prior to such
Date of Processing and the application of payments referred to in
subsection 4.3(b)) and otherwise shall be deposited into the Excess
Funding Account.
(b) Allocations During the Controlled Accumulation Period.
During the Controlled Accumulation Period, the Servicer shall, prior to the
close of business on the day any Collections are deposited in the
Collection Account, allocate to the Investor Certificateholders or the
Holder of the Transferor Certificate and pay or deposit from the Collection
Account the following amounts as set forth below:
(i) Deposit into the Finance Charge Account an amount equal to
the product of (A) the Investor Percentage on the Date of Processing
of such Collections and (B) the aggregate amount of Collections
processed in respect of Finance Charge Receivables on such Date of
Processing to be applied in accordance with Section 4.9.
(ii) Deposit into the Principal Account an amount equal to the
product of (A) the Collateral Allocation on the Date of Processing of
such Collections, (B) the Investor Percentage on the Date of
Processing of such Collections and (C) the aggregate amount of
Collections processed in respect of Principal Receivables on such Date
of Processing to be applied first in accordance with Section 4.12 and
then in accordance with subsection 4.9(e).
(iii) Deposit into the Principal Account an amount equal to the
product of (A) the Class B Investor Allocation on the Date of
Processing of such Collections, (B) the Investor Percentage on the
Date of Processing of such Collections and (C) the aggregate amount of
Collections processed in respect of Principal Receivables on such Date
of Processing to be applied first in accordance with Section 4.12 and
then in accordance with subsection 4.9(e).
(iv) (A) Deposit into the Principal Account an amount equal to
the product of (1) the Class A Investor Allocation on the Date of
Processing of such Collections, (2) the Investor Percentage on the
Date of Processing of such Collections and (3) the aggregate amount of
Collections processed in respect of Principal Receivables on such Date
of Processing; provided, however, that the amount deposited into the
Principal Account pursuant to this subsection 4.5(b)(iv)(A) shall not
exceed the Daily Principal Shortfall, and (B) pay to the Holder of the
Transferor Certificate an amount equal to the excess, if any,
identified in the proviso to clause (A) above; provided, however, that
the amount to be paid to the Holder of the Transferor Certificate
pursuant to this subsection 4.5(b)(iv)(B) with respect to any Date of
Processing shall be paid to the Holder of the Transferor Certificate
only if the Transferor Amount on such Date of Processing is greater
than the Minimum Transferor Amount (after giving effect to the
inclusion in the Trust of all Receivables created on or prior to such
Date of Processing and the application of payments referred to in
subsection 4.3(b)) and otherwise shall be deposited into the Excess
Funding Account.
(c) Allocations During the Rapid Amortization Period. During the
Rapid Amortization Period, the Servicer shall, prior to the close of
business on the day any Collections are deposited in the Collection
Account, allocate to the Investor Certificateholders and pay or deposit
from the Collection Account the following amounts as set forth below:
(i) Deposit into the Finance Charge Account an amount equal to
the product of (A) the Investor Percentage on the Date of Processing
of such Collections and (E) the aggregate amount of Collections
processed in respect of Finance Charge Receivables on such Date of
Processing to be applied in accordance with Section 4.9.
(ii) (A) Deposit into the Principal Account an amount equal to
the product of (1) the Investor Percentage on the Date of Processing
of such Collections and (2) the aggregate amount of Collections
processed in respect of Principal Receivables on such Date of
Processing; provided, however, that the amount deposited into the
Principal Account pursuant to this subsection 4.5(c)(ii)(A) shall not
exceed the sum of the Investor Interest as of the close of business on
the last day of the prior Monthly Period (after taking into account
any payments to be made on the Distribution Date relating to such
prior Monthly Period and deposits and any adjustments to be made to
the Investor Interest to be made on the Transfer Date relating to such
Monthly Period) and any Reallocated Principal Collections relating to
the Monthly Period in which such deposit is made and (B) pay to the
Holder of the Transferor Certificate an amount equal to the excess, if
any, identified in the proviso to clause (A) above; provided, however,
that the amount to be paid to the Holder of the Transferor Certificate
pursuant to this subsection 4.5(c)(ii)(B) with respect to any Date of
Processing shall be paid to the Holder of the Transferor Certificate
only if the Transferor Amount on such Date of Processing is greater
than the Minimum Transferor Amount (after giving effect to the
inclusion in the Trust of all Receivables created on or prior to such
Date of Processing and the application of payments referred to in
subsection 4.3(b)) and otherwise shall be deposited into the Excess
Funding Account.
(d) Limitation on Required Deposits. With respect to the
Investor Certificates, and notwithstanding anything in the Agreement or
this Series Supplement to the contrary, whether or not the Servicer is
required to make monthly or daily deposits from the Collection Account into
the Finance Charge Account or the Principal Account pursuant to subsections
4.5(a), 4.5(b) and 4.5(c), with respect to any Monthly Period (i) the
Servicer will only be required to deposit Collections from the Collection
Account into the Finance Charge Account or the Principal Account up to the
required amount to be deposited into any such deposit account or, without
duplication, distributed on or prior to the related Distribution Date to
the Investor Certificateholders and (ii) if at any time prior to such
Distribution Date the amount of Collections deposited in the Collection
Account exceeds the amount required to be deposited pursuant to clause (i)
above, the Servicer will be permitted to withdraw the excess from the
Collection Account. To the extent that, in accordance with this subsection
4.5(d), the Servicer has retained amounts which would otherwise be required
to be deposited in the Finance Charge Account or the Principal Account with
respect to any Monthly Period, the Servicer shall be required to deposit
such amounts in the Finance Charge Account or the Principal Account on the
related Transfer Date to the extent necessary to make required
distributions to the Investor Certificateholders on the related
Distribution Date, including any amounts which are required to be applied
as Reallocated Principal Collections.
For so long as the Servicer shall (i) satisfy the conditions
specified in the third paragraph of subsection 4.3(a) of the Agreement and
(ii) be making deposits to the Collection Account, the Principal Account
and Finance Charge Account on a monthly basis, all requirements herein to
deposit amounts on a daily basis shall be deemed to be satisfied to the
extent that the required monthly deposit is made and all references to
amounts on deposit in such accounts shall be deemed to include amounts
which would otherwise have been deposited therein on a daily basis.
SECTION 4.6 Determination of Monthly Interest.
(a) The amount of monthly interest distributable to the Class A
Certificates shall be an amount equal to the product of (i)(A) a fraction,
the numerator of which is the actual number of days in the related Interest
Period and the denominator of which is 360, times (B) the Class A
Certificate Rate in effect with respect to the related Interest Period, and
(ii) the outstanding principal balance of the Class A Certificates
determined as of the Record Date preceding the related Transfer Date (the
"Class A Monthly Interest"); provided, however, that in addition to Class A
Monthly Interest an amount equal to the amount of any unpaid Class A
Deficiency Amounts, as defined below, plus an amount equal to the product
of (A) (1) a fraction, the numerator of which is the actual number of days
in the related Interest Period and the denominator of which is 360, times
(2) the sum of the Class A Certificate Rate in effect with respect to the
related Interest Period, plus 2% per annum, and (B) any Class A Deficiency
Amount from the prior Transfer Date, as defined below (or the portion
thereof which has not theretofore been paid to Class A Certificateholders)
(the "Class A Additional Interest") shall also be distributable to the
Class A Certificates, and on such Transfer Date the Trustee shall deposit
such funds, to the extent available, into the Distribution Account. The
"Class A Deficiency Amount" for any Transfer Date shall be equal to the
excess, if any, of the aggregate amount accrued pursuant to this subsection
4.6(a) as of the prior Interest Period over the amount actually transferred
to the Distribution Account for payment of such amount.
(b) The amount of monthly interest distributable to the Class B
Certificates shall be an amount equal to the product of (i)(A) a fraction,
the numerator of which is the actual number of days in the related Interest
Period and the denominator of which is 360, times (B) the Class B
Certificate Rate in effect with respect to the related Interest Period, and
(ii) the outstanding principal balance of the Class B Certificates
determined as of the Record Date preceding the related Transfer Date (the
"Class B Monthly Interest"); provided, however, that in addition to the
Class B Monthly Interest an amount equal to the amount of any unpaid Class
B Deficiency Amounts, as defined below, plus an amount equal to the product
of (A) (1) a fraction, the numerator of which is the actual number of days
in the related Interest Period and the denominator of which is 360, times
(2) the sum of the Class B Certificate Rate in effect with respect to the
related Interest Period, plus 2% per annum, and (B) any Class B Deficiency
Amount from the prior Transfer Date, as defined below (or the portion
thereof which has not theretofore been paid to Class B Certificateholders)
(the "Class B Additional Interest") shall also be distributable to the
Class B Certificates, and on such Transfer Date the Trustee shall deposit
such funds, to the extent available, into the Distribution Account. The
"Class B Deficiency Amount" for any Transfer Date shall be equal to the
excess, if any, of the aggregate amount accrued pursuant to this subsection
4.6(b) as of the prior Interest Period over the amount actually transferred
to the Distribution Account for payment of such amount.
(c) The amount of monthly interest distributable to the
Collateral Interest, which shall be an amount equal to the product of
(i)(A) a fraction, the numerator of which is the actual number of days in
the related Interest Period and the denominator of which is 360, times (B)
the Collateral Rate in effect with respect to the related Interest Period,
and (ii) the Collateral Interest determined as of the Record Date preceding
such Transfer Date (the "Collateral Monthly Interest"); provided, however,
that for the purposes of determining Collateral Monthly Interest only, the
Collateral Rate shall not exceed a per annum rate of 1.10% in excess of
LIBOR as determined on the related LIBOR Determination Date.
SECTION 4.7 Determination of Monthly Principal.
(a) The amount of monthly principal distributable from the
Principal Account with respect to the Class A Certificates on each Transfer
Date ("Class A Monthly Principal"), beginning with the Transfer Date in the
month following the month in which the Controlled Accumulation Period or,
if earlier, the Rapid Amortization Period, begins, shall be equal to the
least of (i) the Available Investor Principal Collections on deposit in the
Principal Account with respect to such Transfer Date, (ii) for each
Transfer Date with respect to the Controlled Accumulation Period prior to
the Class A Scheduled Payment Date, the Controlled Deposit Amount for such
Transfer Date and (iii) the Class A Adjusted Investor Interest on such
Transfer Date prior to any deposit into the Principal Funding Account to be
made on such day.
(b) The amount of monthly principal distributable from the
Principal Account with respect to the Class B Certificates on each Transfer
Date (the "Class B Monthly Principal"), for the Controlled Accumulation
Period, beginning with the Transfer Date following the Monthly Period in
which the Class A Investor Interest has been paid in full, and during the
Rapid Amortization Period, beginning with the Transfer Date immediately
preceding the Distribution Date on which the Class A Investor Interest has
been paid in full, shall be an amount equal to the lesser of (i) the
Available Investor Principal Collections on deposit in the Principal
Account with respect to such Transfer Date (minus the portion of such
Available Investor Principal Collections applied to Class A Monthly
Principal on such Transfer Date) and (ii) the Class B Investor Interest
(after taking into account any adjustments to be made on such Transfer Date
pursuant to Sections 4.10 and 4.12) on such Transfer Date.
(c) The amount of monthly principal (the "Collateral Monthly
Principal") distributable from the Principal Account with respect to the
Collateral Interest on each Transfer Date shall be (A) during the Revolving
Period following any reduction of the Required Collateral Interest pursuant
to clause (z) of the proviso in the definition thereof, at the option of
the Transferor, an amount equal to the lesser of (1) the excess, if any, of
the Collateral Interest (after taking into account any adjustments to be
made on such Transfer Date pursuant to Sections 4.10 and 4.12) over the
Required Collateral Interest on such Transfer Date and (2) the Available
Investor Principal Collections on such Transfer Date or (B) during the
Controlled Accumulation Period or Rapid Amortization Period, an amount
equal to the lesser of (1) the excess, if any, of the sum of the Collateral
Interest (after taking into account any adjustments to be made on such
Transfer Date pursuant to Sections 4.10 and 4.12) over the Required
Collateral Interest on such Transfer Date, and (2) the excess, if any, of
(i) the Available Investor Principal Collections on such Transfer Date over
(ii) the sum of the Class A Monthly Principal and the Class B Monthly
Principal for such Transfer Date.
SECTION 4.8 Coverage of Required Amount. (a) On or before each
Transfer Date, the Servicer shall determine the amount (the "Class A
Required Amount"), if any, by which the sum of (i) the Class A Monthly
Interest for such Transfer Date, plus (ii) the Class A Deficiency Amount,
if any, for such Transfer Date, plus (iii) the Class A Additional Interest,
if any, for such Transfer Date, plus (iv) the Class A Servicing Fee for the
prior Monthly Period plus (v) the Class A Servicing Fee, if any, due but
not paid on any prior Transfer Date, plus (vi) the Class A Investor Default
Amount, if any, for the prior Monthly Period, exceeds the Class A Available
Funds for the related Monthly Period.
(b) On or before each Transfer Date, the Servicer shall also
determine the amount (the "Class B Required Amount"), if any, equal to the
sum of (i) the amount, if any, by which the sum of (A) the Class B Monthly
Interest for such Transfer Date, plus (B) the Class B Deficiency Amount, if
any, for such Transfer Date plus (C) the Class B Additional Interest, if
any, for such Transfer Date, plus (D) the Class B Servicing Fee for the
prior Monthly Period plus (E) the Class B Servicing Fee, if any, due but
not paid on any prior Transfer Date, exceeds the Class B Available Funds
for the related Monthly Period plus (ii) the Class B Investor Default
Amount, if any, for the prior Monthly Period.
(c) In the event that the sum of the Class A Required Amount and
the Class B Required Amount for such Transfer Date is greater than zero,
the Servicer shall give written notice to the Trustee of such positive
Class A Required Amount or Class B Required Amount on or before such
Transfer Date. In the event that the Class A Required Amount for such
Transfer Date is greater than zero, all or a portion of the Excess Spread
and Shared Excess Finance Charge Collections allocable to Series 1999-1
with respect to such Transfer Date in an amount equal to the Class A
Required Amount, to the extent available, for such Transfer Date shall be
distributed from the Finance Charge Account on such Transfer Date pursuant
to subsection 4.11(a). In the event that the Class A Required Amount for
such Transfer Date exceeds the amount of Excess Spread and Shared Excess
Finance Charge Collections allocable to Series 1999-1 with respect to such
Transfer Date, the Collections of Principal Receivables allocable to the
Collateral Interest and the Collections of Principal Receivables allocable
to the Class B Certificates with respect to the prior Monthly Period shall
be applied as specified in Section 4.12. In the event that the Class B
Required Amount for such Transfer Date exceeds the amount of Excess Spread
and Shared Excess Finance Charge Collections allocable to Series 1999-1
with respect to such Transfer Date and not applied toward the Class A
Required Amount, the Collections of Principal Receivables allocable to the
Collateral Interest (after application to the Class A Required Amount)
shall be applied as specified in Section 4.12; provided, however, that the
sum of any payments pursuant to this paragraph shall not exceed the sum of
the Class A Required Amount and Class B Required Amount.
SECTION 4.9 Monthly Payments. On or before each Transfer Date,
the Servicer shall instruct the Trustee in writing (which writing shall be
substantially in the form of Exhibit B hereto) to withdraw and the Trustee,
acting in accordance with such instructions, shall withdraw on such
Transfer Date or the related Distribution Date, as applicable, to the
extent of available funds, the amounts required to be withdrawn from the
Finance Charge Account, the Principal Account, the Principal Funding
Account and the Distribution Account as follows:
(a) An amount equal to the Class A Available Funds deposited into
the Finance Charge Account for the related Monthly Period shall be
distributed on each Transfer Date in the following priority:
(i) an amount equal to Class A Monthly Interest for such
Transfer Date, plus the amount of any Class A Deficiency Amount for
such Transfer Date, plus the amount of any Class A Additional Interest
for such Transfer Date, shall be deposited by the Servicer or the
Trustee into the Distribution Account;
(ii) an amount equal to the Class A Servicing Fee for such
Transfer Date plus the amount of any Class A Servicing Fee due but not
paid to the Servicer on any prior Transfer Date shall be distributed
to the Servicer;
(iii) an amount equal to the Class A Investor Default Amount, if
any, for the preceding Monthly Period shall be treated as a portion of
Investor Principal Collections and deposited into the Principal
Account on such Transfer Date; and
(iv) the balance, if any, shall constitute Excess Spread and
shall be allocated and distributed as set forth in Section 4.11.
(b) An amount equal to the Class B Available Funds deposited into
the Finance Charge Account for the related Monthly Period shall be
distributed on each Transfer Date in the following priority:
(i) an amount equal to the Class B Monthly Interest for such
Transfer Date, plus the amount of any Class B Deficiency Amount for
such Transfer Date, plus the amount of any Class B Additional Interest
for such Transfer Date, shall be deposited by the Servicer or the
Trustee into the Distribution Account;
(ii) an amount equal to the Class B Servicing Fee for such
Transfer Date, plus the amount of any Class B Servicing Fee due but
not paid to the Servicer on any prior Transfer Date for such Transfer
Date shall be distributed to the Servicer; and
(iii) the balance, if any, shall constitute Excess Spread and
shall be allocated and distributed as set forth in Section 4.11.
(c) An amount equal to the Collateral Available Funds deposited
into the Finance Charge Account for the related Monthly Period shall be
distributed on each Transfer Date in the following priority:
(i) if the Transferor, an Affiliate thereof, The Bank of New
York (Delaware) or an Affiliate thereof is no longer the Servicer, an
amount equal to the Collateral Interest Servicing Fee for such
Transfer Date plus the amount of any Collateral Interest Servicing Fee
due but not paid to the Servicer on any prior Transfer Date shall be
distributed to the Servicer; and
(ii) the balance, if any, shall constitute Excess Spread and
shall be allocated and distributed as set forth in Section 4.11.
(d) During the Revolving Period, an amount equal to the Available
Investor Principal Collections deposited into the Principal Account for the
related Monthly Period shall be distributed on each Transfer Date in the
following priority:
(i) an amount equal to the Collateral Monthly Principal for such
Transfer Date shall be distributed to the Collateral Interest Holder
in accordance with the Loan Agreement;
(ii) an amount equal to the lesser of (A) the product of (1) a
fraction, the numerator of which is equal to the Available Investor
Principal Collections remaining after the application specified in
subsection 4.9(d)(i) above and the denominator of which is equal to
the sum of the Available Investor Principal Collections available for
sharing as specified in the related Supplement for each Series and (2)
the Cumulative Series Principal Shortfall and (B) Available Investor
Principal Collections shall remain in the Principal Account to be
treated as Shared Principal Collections and applied to other Series;
and
(iii) an amount equal to the excess, if any, of (A) the
Available Investor Principal Collections for such Transfer Date over
(B) the applications specified in subsections 4.9(d)(i) and (ii) above
shall be paid to the Holder of the Transferor Certificate; provided,
however, that the amount to be paid to the Holder of the Transferor
Certificate pursuant to this subsection 4.9(d)(iii) with respect to
such Transfer Date shall be paid to the Holder of the Transferor
Certificate only if the Transferor Amount on such Date of Processing
is greater than the Minimum Transferor Amount (after giving effect to
the inclusion in the Trust of all Receivables created on or prior to
such Transfer Date and the application of payments referred to in
subsection 4.3(b)) and otherwise shall be deposited into the Excess
Funding Account.
(e) During the Controlled Accumulation Period or the Rapid
Amortization Period, an amount equal to the Available Investor Principal
Collections deposited into the Principal Account for the related Monthly
Period shall be distributed on each Transfer Date in the following
priority:
(i) an amount equal to the Class A Monthly Principal for such
Transfer Date, shall be (A) during the Controlled Accumulation Period,
deposited into the Principal Funding Account, and (B) during the Rapid
Amortization Period, deposited into the Distribution Account;
(ii) after giving effect to the distribution referred to in
clause (i) above, an amount equal to the Class B Monthly Principal,
shall be deposited into the Distribution Account;
(iii) for each Transfer Date (other than the Transfer Date
immediately preceding the Series 1999-1 Termination Date, in which
case on the Series 1999-1 Termination Date) after giving effect to the
distribution referred to in clauses (i) and (ii) above, an amount
equal to Collateral Monthly Principal shall be distributed to the
Collateral Interest Holder in accordance with the Loan Agreement;
(iv) an amount equal to the lesser of (A) the product of (1) a
fraction, the numerator of which is equal to the Available Investor
Principal Collections remaining after the application specified in
subsections 4.9(e)(i), (ii) and (iii) above and the denominator of
which is equal to the sum of the Available Investor Principal
Collections available for sharing as specified in the related
Supplement for each Series and (2) the Cumulative Series Principal
Shortfall and (B) the Available Investor Principal Collections shall
remain in the Principal Account to be treated as Shared Principal
Collections and applied to other Series; and
(v) an amount equal to the excess, if any, of (A) the Available
Investor Principal Collections over (B) the applications specified in
subsections 4.9(e)(i) through (iv) above shall be paid to the Holder
of the Transferor Certificate; provided, however, that the amount to
be paid to the Holder of the Transferor Certificate pursuant to this
subsection 4.9(e)(v) with respect to such Transfer Date shall be paid
to the Holder of the Transferor Certificate only if the Transferor
Amount on such Date of Processing is greater than the Minimum
Transferor Amount (after giving effect to the inclusion in the Trust
of all Receivables created on or prior to such Transfer Date and the
application of payments referred to in subsection 4.3(b)) and
otherwise shall be deposited into the Excess Funding Account.
(f) on the earlier to occur of (i) the first Transfer Date with
respect to the Rapid Amortization Period and (ii) the Transfer Date
immediately preceding the Class A Scheduled Payment Date, the Trustee,
acting in accordance with instructions from the Servicer, shall withdraw
from the Principal Funding Account and deposit in the Distribution Account
the amount on deposit in the Principal Funding Account.
(g) On each Distribution Date, the Trustee shall pay in
accordance with subsection 5.1(a) to the Class A Certificateholders from
the Distribution Account, the amount deposited into the Distribution
Account pursuant to subsection 4.9(a)(i) on the preceding Transfer Date and
(b) to the Class B Certificateholders from the Distribution Account, the
amount deposited into the Distribution Account pursuant to subsection
4.9(b)(i) on the preceding Transfer Date.
(h) On the earlier to occur of (i) the first Distribution Date
with respect to the Rapid Amortization Period and (ii) the Class A
Scheduled Payment Date and on each Distribution Date thereafter, the
Trustee, acting in accordance with instructions from the Servicer, shall
pay in accordance with Section 5.1 from the Distribution Account the amount
so deposited into the Distribution Account pursuant to subsections 4.9(e)
and (f) on the related Transfer Date in the following priority:
(i) an amount equal to the lesser of such amount on deposit in
the Distribution Account and the Class A Investor Interest shall be
paid to the Class A Certificateholders; and
(ii) for each Distribution Date with respect to the Rapid
Amortization Period and on the Class B Scheduled Payment Date, after
giving effect to the distributions referred to in clause (i) above, an
amount equal to the lesser of such amount on deposit in the
Distribution Account and the Class B Investor Interest shall be paid
to the Class B Certificateholders.
(i) The Controlled Accumulation Period is scheduled to commence
at the close of business on February 28, 2003; provided, however, that, if
the Accumulation Period Length (determined as described below) is less than
12 months, the date on which the Controlled Accumulation Period actually
commences will be delayed to the first Business Day of the month that is a
number of whole months prior to the Class A Scheduled Payment Date at least
equal to the Accumulation Period Length and, as a result, the number of
Monthly Periods in the Controlled Accumulation Period will at least equal
the Accumulation Period Length. On the Determination Date immediately
preceding the February 2002 Distribution Date, and each Determination Date
thereafter until the Controlled Accumulation Period begins, the Servicer
will determine the "Accumulation Period Length" which will equal the number
of whole months such that the sum of the Accumulation Period Factors for
each month during such period will be equal to or greater than the Required
Accumulation Factor Number; provided, however, that the Accumulation Period
Length will not be determined to be less than one month.
SECTION 4.10 Investor Charge-Offs.
(a) On or before each Transfer Date, the Servicer shall calculate
the Class A Investor Default Amount. If on any Transfer Date, the Class A
Investor Default Amount for the prior Monthly Period exceeds the sum of the
amount allocated with respect thereto pursuant to subsection 4.9(a)(iii),
subsection 4.11(a) and Section 4.12 with respect to such Monthly Period,
the Collateral Interest (after giving effect to reductions for any
Collateral Charge-Offs and any Reallocated Principal Collections on such
Transfer Date) will be reduced by the amount of such excess, but not by
more than the lesser of the Class A Investor Default Amount and the
Collateral Interest (after giving effect to reductions for any Collateral
Charge-Offs and any Reallocated Principal Collections on such Transfer
Date) for such Transfer Date. In the event that such reduction would cause
the Collateral Interest to be a negative number, the Collateral Interest
will be reduced to zero, and the Class B Investor Interest (after giving
effect to reductions for any Class B Investor Charge-Offs and any
Reallocated Class B Principal Collections on such Transfer Date) will be
reduced by the amount by which the Collateral Interest would have been
reduced below zero. In the event that such reduction would cause the Class
B Investor Interest to be a negative number, the Class B Investor Interest
will be reduced to zero, and the Class A Investor Interest will be reduced
by the amount by which the Class B Investor Interest would have been
reduced below zero, but not by more than the Class A Investor Default
Amount for such Transfer Date (a "Class A Investor Charge-Off"). If the
Class A Investor Interest has been reduced by the amount of any Class A
Investor Charge-Offs, it will be reimbursed on any Transfer Date (but not
by an amount in excess of the aggregate Class A Investor Charge-Offs) by
the amount of Excess Spread and Shared Excess Finance Charge Collections
allocable to Series 1999-1 allocated and available for such purpose
pursuant to subsection 4.11(b).
(b) On or before each Transfer Date, the Servicer shall calculate
the Class B Investor Default Amount. If on any Transfer Date, the Class B
Investor Default Amount for the prior Monthly Period exceeds the amount of
Excess Spread and Shared Excess Finance Charge Collections allocable to
Series 1999-1 and the Reallocated Collateral Principal Collections which
are allocated and available to fund such amount pursuant to subsection
4.11(c) and Section 4.12, the Collateral Interest (after giving effect to
reductions for any Collateral Charge-Offs and any Reallocated Principal
Collections on such Transfer Date and any adjustments with respect thereto
as described in subsection 4.10(a) above) will be reduced by the amount of
such excess but not by more than the lesser of the Class B Investor Default
Amount and the Collateral Interest (after giving effect to reductions for
any Collateral Charge-Offs and any Reallocated Principal Collections on
such Transfer Date and any adjustments with respect thereto as described in
subsection 4.10(a) above) for such Transfer Date. In the event that such
reduction would cause the Collateral Interest to be a negative number, the
Collateral Interest shall be reduced to zero and the Class B Investor
Interest shall be reduced by the amount by which the Collateral Interest
would have been reduced below zero, but not by more than the Class B
Investor Default Amount for such Transfer Date (a "Class B Investor Charge-
Off"). The Class B Investor Interest will also be reduced by the amount of
Reallocated Class B Principal Collections in excess of the Collateral
Interest pursuant to Section 4.12 and the amount of any portion of the
Class B Investor Interest allocated to the Class A Certificates to avoid a
reduction in the Class A Investor Interest pursuant to subsection 4.10(a)
above. The Class B Investor Interest will thereafter be reimbursed (but
not to an amount in excess of the unpaid principal balance of the Class B
Certificates) on any Transfer Date by the amount of Excess Spread and
Shared Excess Finance Charge Collections allocable to Series 1999-1
allocated and available for that purpose as described under subsection
4.11(d).
(c) On or before each Transfer Date, the Servicer shall
calculate the Collateral Default Amount. If on any Transfer Date, the
Collateral Default Amount for the prior Monthly Period exceeds the amount
of Excess Spread and Shared Excess Finance Charge Collections allocable to
Series 1999-1 which are allocated and available to fund such amount
pursuant to subsection 4.11(g), the Collateral Interest will be reduced by
the amount of such excess but not by more than the lesser of the Collateral
Default Amount and the Collateral Interest for such Transfer Date (a
"Collateral Charge-Off"). The Collateral Interest will also be reduced by
the amount of Reallocated Principal Collections pursuant to Section 4.12
and the amount of any portion of the Collateral Interest allocated to the
Class A Certificates or the Class B Certificates to avoid a reduction in
the Class A Investor Interest, pursuant to subsection 4.10(a), or the Class
B Investor Interest, pursuant to subsection 4.10(b), respectively. The
Collateral Interest will thereafter be reimbursed on any Transfer Date by
the amount of the Excess Spread and Shared Excess Finance Charge
Collections allocable to Series 1999-1 allocated and available for that
purpose as described under subsection 4.11(h).
SECTION 4.11 Excess Spread; Shared Excess Finance Charge
Collections. On or before each Transfer Date, the Servicer shall instruct
the Trustee in writing (which writing shall be substantially in the form of
Exhibit B hereto) to apply, Excess Spread with respect to the related
Monthly Period, and to the extent of the Finance Charge Shortfall, any
Shared Excess Finance Charge Collections with respect to other Series in
Group One allocable to Series 1999-1, to make the following distributions
on each Transfer Date in the following priority:
(a) an amount equal to the Class A Required Amount, if any, with
respect to such Transfer Date shall be used to fund the Class A Required
Amount and be applied in accordance with, and in the priority set forth in,
subsection 4.9(a);
(b) an amount equal to the aggregate amount of Class A Investor
Charge-Offs which have not been previously reimbursed shall be treated as a
portion of Investor Principal Collections and deposited into the Principal
Account on such Transfer Date;
(c) an amount equal to the Class B Required Amount, if any, with
respect to such Transfer Date shall be used to fund the Class B Required
Amount and be applied first in accordance with, and in the priority set
forth in, subsection 4.9(b) and then any remaining amount available to pay
the Class B Investor Default Amount shall be treated as a portion of
Investor Principal Collections and deposited into the Principal Account on
such Transfer Date;
(d) an amount equal to the aggregate amount by which the Class B
Investor Interest has been reduced below the initial Class B Investor
Interest for reasons other than the payment of principal to the Class B
Certificateholders (but not in excess of the aggregate amount of such
reductions which have not been previously reimbursed) shall be treated as a
portion of Investor Principal Collections and deposited into the Principal
Account on such Transfer Date;
(e) an amount equal to the Collateral Monthly Interest plus the
amount of any past due Collateral Monthly Interest for such Transfer Date
shall be paid to the Collateral Interest Holder in accordance with the Loan
Agreement;
(f) if the Transferor, an Affiliate thereof, The Bank of New York
(Delaware) or an Affiliate thereof is the Servicer, an amount equal to the
aggregate amount of accrued but unpaid Collateral Interest Servicing Fees
shall be paid to the Servicer;
(g) an amount equal to the Collateral Default Amount, if any, for
the prior Monthly Period shall be treated as a portion of Investor
Principal Collections and deposited into the Principal Account on such
Transfer Date;
(h) an amount equal to the aggregate amount by which the
Collateral Interest has been reduced for reasons other than the payment of
principal to the Collateral Interest Holder (but not in excess of the
aggregate amount of such reductions which have not been previously
reimbursed) shall be treated as a portion of Investor Principal Collections
and deposited into the Principal Account on such Transfer Date;
(i) on each Transfer Date from and after the Reserve Account
Funding Date, but prior to the date on which the Reserve Account terminates
as described in Section 4.16(f), an amount up to the excess, if any, of the
Required Reserve Account Amount over the Available Reserve Account Amount
shall be deposited into the Reserve Account;
(j) the aggregate of any other amounts then due to the Collateral
Interest Holder pursuant to the Loan Agreement shall be paid to the
Collateral Interest Holder for application in accordance with the Loan
Agreement; and
(k) the balance, if any, after giving effect to the payments made
pursuant to subparagraphs (a) through (j) above shall first be treated as
"Shared Excess Finance Charge Collections" with respect to other Series in
Group One and then the balance, if any, remaining after such sharing shall
be paid to the holder of the Transferor Certificate.
SECTION 4.12 Reallocated Principal Collections. On or before
each Transfer Date, the Servicer shall instruct the Trustee in writing
(which writing shall be substantially in the form of Exhibit B hereto) to
withdraw from the Principal Account and apply Reallocated Principal
Collections (applying all Reallocated Collateral Principal Collections in
accordance with subsections 4.12(a) and (b) prior to applying any
Reallocated Class B Principal Collections in accordance with subsection
4.12(a) for any amounts still owing after the application of Reallocated
Collateral Principal Collections) with respect to such Transfer Date, to
make the following distributions on each Transfer Date in the following
priority:
(a) an amount equal to the excess, if any, of (i) the Class A
Required Amount, if any, with respect to such Transfer Date over (ii) the
amount of Excess Spread with respect to the related Monthly Period and the
amount of Shared Excess Finance Charge Collections, shall be applied in
accordance with, and in the priority set forth in, subsection 4.9(a); and
(b) an amount equal to the excess, if any, of (i) the Class B
Required Amount, if any, with respect to such Transfer Date over (ii) the
amount of Excess Spread and the amount of Shared Excess Finance Charge
Collections allocated and available to the Class B Certificates pursuant to
subsection 4.11(c) on such Transfer Date shall be applied first in
accordance with and in the priority set forth in, subsection 4.9(b) and
then pursuant to subsection 4.11(c).
(c) On each Transfer Date, the Collateral Interest shall be
reduced by the amount of Reallocated Collateral Principal Collections and
by the amount of Reallocated Class B Principal Collections for such
Transfer Date. In the event that such reduction would cause the Collateral
Interest (after giving effect to any Collateral Charge-Offs for such
Transfer Date) to be a negative number, the Collateral Interest (after
giving effect to any Collateral Charge-Offs for such Transfer Date) shall
be reduced to zero and the Class B Investor Interest shall be reduced by
the amount by which the Collateral Interest would have been reduced below
zero. In the event that the reallocation of Reallocated Principal
Collections would cause the Class B Investor Interest (after giving effect
to any Class B Investor Charge-Offs for such Transfer Date) to be a
negative number on any Transfer Date, Reallocated Principal Collections
shall be reallocated on such Transfer Date in an aggregate amount not to
exceed the amount which would cause the Class B Investor Interest (after
giving effect to any Class B Investor Charge-Offs for such Transfer Date)
to be reduced to zero.
SECTION 4.13 Shared Principal Collections.
(a) The portion of Shared Principal Collections on deposit in the
Principal Account equal to the amount of Shared Principal Collections
allocable to Series 1999-1 on any Transfer Date shall be applied as an
Available Investor Principal Collection pursuant to Section 4.9 and
pursuant to such Section 4.9 shall be deposited in the Distribution Account
or distributed in accordance with the Loan Agreement.
(b) Shared Principal Collections allocable to Series 1999-1 with
respect to any Transfer Date shall mean an amount equal to the Series
Principal Shortfall, if any, with respect to Series 1999-1 for such
Transfer Date; provided, however, that if the aggregate amount of Shared
Principal Collections for all Series for such Transfer Date (including the
Excess Funding Amount) is less than the Cumulative Series Principal
Shortfall for such Transfer Date, then Shared Principal Collections
allocable to Series 1999-1 on such Transfer Date shall equal the product of
(i) Shared Principal Collections for all Series for such Transfer Date
(including the Excess Funding Amount) and (ii) a fraction, the numerator of
which is the Series Principal Shortfall with respect to Series 1999-1 for
such Transfer Date and the denominator of which is the aggregate amount of
Cumulative Series Principal Shortfall for all Series for such Transfer
Date.
SECTION 4.14 Shared Excess Finance Charge Collections.
(a) The portion of Shared Excess Finance Charge Collections on
deposit in the Finance Charge Account equal to the amount of Shared Excess
Finance Charge Collections allocable to Series 1999-1 on any Transfer Date
shall be applied pursuant to Section 4.11.
(b) Shared Excess Finance Charge Collections allocable to Series
1999-1 with respect to any Transfer Date shall mean an amount equal to the
Finance Charge Shortfall, if any, with respect to Series 1999-1 for such
Transfer Date; provided, however, that if the aggregate amount of Shared
Excess Finance Charge Collections for all Series in Group One for such
Transfer Date is less than the Cumulative Finance Charge Shortfall for such
Transfer Date, the Shared Excess Finance Charge Collections allocable to
Series 1999-1 on such Transfer Date shall equal the product of (i) Shared
Excess Finance Charge Collections for all Series in Group One for such
Transfer Date and (ii) a fraction, the numerator of which is the Finance
Charge Shortfall with respect to Series 1999-1 for such Transfer Date and
the denominator of which is the aggregate amount of the Cumulative Finance
Charge Shortfall for all Series on such Transfer Date.
SECTION 4.15 Principal Funding Account.
(a) The Trustee shall establish and maintain with a Qualified
Institution, which may be the Trustee, in the name of the Trust, on behalf
of the Trust, for the benefit of the Investor Certificateholders, a
segregated trust account (the "Principal Funding Account"), bearing a
designation clearly indicating that the funds deposited therein are held
for the benefit of the Investor Certificateholders. The Trustee shall
possess all right, title and interest in all funds on deposit from time to
time in the Principal Funding Account and in all proceeds thereof. The
Principal Funding Account shall be under the sole dominion and control of
the Trustee for the benefit of the Investor Certificateholders. If at any
time the institution holding the Principal Funding Account ceases to be a
Qualified Institution, the Transferor shall notify the Trustee, and the
Trustee upon being notified (or the Servicer on its behalf) shall, within
10 Business Days, establish a new Principal Funding Account meeting the
conditions specified above with a Qualified Institution, and shall transfer
any cash or any investments to such new Principal Funding Account. The
Trustee, at the direction of the Servicer, shall (i) make withdrawals from
the Principal Funding Account from time to time, in the amounts and for the
purposes set forth in this Series Supplement, and (ii) on each Transfer
Date (from and after the commencement of the Controlled Accumulation
Period) prior to termination of the Principal Funding Account make a
deposit into the Principal Funding Account in the amount specified in, and
otherwise in accordance with, subsection 4.9(e).
(b) Funds on deposit in the Principal Funding Account shall be
invested at the direction of the Servicer by the Trustee in Permitted
Investments. Funds on deposit in the Principal Funding Account on any
Transfer Date, after giving effect to any withdrawals from the Principal
Funding Account on such Transfer Date, shall be invested in such
investments that will mature so that such funds will be available for
withdrawal on or prior to the following Transfer Date. The Trustee shall
maintain for the benefit of the Investor Certificateholders possession of
the negotiable instruments or securities, if any, evidencing such Permitted
Investments. No Permitted Investment shall be disposed of prior to its
maturity.
On the Transfer Date occurring in the month following the
commencement of the Controlled Accumulation Period and on each Transfer
Date thereafter with respect to the Controlled Accumulation Period, the
Trustee, acting at the Servicer's direction given on or before such
Transfer Date, shall transfer from the Principal Funding Account to the
Finance Charge Account the Principal Funding Investment Proceeds on deposit
in the Principal Funding Account, but not in excess of the Covered Amount,
for application as Class A Available Funds applied pursuant to subsection
4.9(a)(i).
Any Excess Principal Funding Investment Proceeds shall be paid to
the Transferor on each Transfer Date. An amount equal to any Principal
Funding Investment Shortfall shall be deposited in the Finance Charge
Account on each Transfer Date from the Reserve Account to the extent funds
are available pursuant to subsection 4.16(d). Principal Funding Investment
Proceeds (including reinvested interest) shall not be considered part of
the amounts on deposit in the Principal Funding Account for purposes of
this Series Supplement.
SECTION 4.16 Reserve Account.
(a) The Trustee shall establish and maintain with a Qualified
Institution, which may be the Trustee, in the name of the Trust, on behalf
of the Trust, for the benefit of the Investor Certificateholders, a
segregated trust account (the "Reserve Account"), bearing a designation
clearly indicating that the funds deposited therein are held for the
benefit of the Investor Certificateholders. The Trustee shall possess all
right, title and interest in all funds on deposit from time to time in the
Reserve Account and in all proceeds thereof. The Reserve Account shall be
under the sole dominion and control of the Trustee for the benefit of the
Investor Certificateholders. If at any time the institution holding the
Reserve Account ceases to be a Qualified Institution, the Transferor shall
notify the Trustee, and the Trustee upon being notified (or the Servicer on
its behalf) shall, within 10 Business Days, establish a new Reserve Account
meeting the conditions specified above with a Qualified Institution, and
shall transfer any cash or any investments to such new Reserve Account.
The Trustee, at the direction of the Servicer, shall (i) make withdrawals
from the Reserve Account from time to time in an amount up to the Available
Reserve Account Amount at such time, for the purposes set forth in this
Series Supplement, and (ii) on each Transfer Date (from and after the
Reserve Account Funding Date) prior to termination of the Reserve Account
make a deposit into the Reserve Account in the amount specified in, and
otherwise in accordance with, subsection 4.11(i).
(b) Funds on deposit in the Reserve Account shall be invested at
the direction of the Servicer by the Trustee in Permitted Investments.
Funds on deposit in the Reserve Account on any Transfer Date, after giving
effect to any withdrawals from the Reserve Account on such Transfer Date,
shall be invested in such investments that will mature so that such funds
will be available for withdrawal on or prior to the following Transfer
Date. The Trustee shall maintain for the benefit of the Investor
Certificateholders possession of the negotiable instruments or securities,
if any, evidencing such Permitted Investments. No Permitted Investment
shall be disposed of prior to its maturity. On each Transfer Date, all
interest and earnings (net of losses and investment expenses) accrued since
the preceding Transfer Date on funds on deposit in the Reserve Account
shall be retained in the Reserve Account (to the extent that the Available
Reserve Account Amount is less than the Required Reserve Account Amount)
and the balance, if any, shall be deposited into the Finance Charge Account
and included in Class A Available Funds for such Transfer Date. For
purposes of determining the availability of funds or the balance in the
Reserve Account for any reason under this Series Supplement, except as
otherwise provided in the preceding sentence, investment earnings on such
funds shall be deemed not to be available or on deposit.
(c) On or before each Transfer Date with respect to the
Controlled Accumulation Period prior to the payment in full of the Class A
Investor Interest and on or before the first Transfer Date with respect to
the Rapid Amortization Period, the Servicer shall calculate the "Reserve
Draw Amount" which shall be equal to the Principal Funding Investment
Shortfall with respect to each Transfer Date with respect to the Controlled
Accumulation Period or the first Transfer Date with respect to the Rapid
Amortization Period; provided, however, that such amount will be reduced to
the extent that funds otherwise would be available for deposit in the
Reserve Account under Section 4.11(i) with respect to such Transfer Date.
(d) In the event that for any Transfer Date the Reserve Draw
Amount is greater than zero, the Reserve Draw Amount, up to the Available
Reserve Account Amount, shall be withdrawn from the Reserve Account on such
Transfer Date by the Trustee (acting in accordance with the instructions of
the Servicer), deposited into the Finance Charge Account and included in
Class A Available Funds for such Transfer Date.
(e) In the event that the Reserve Account Surplus on any Transfer
Date, after giving effect to all deposits to and withdrawals from the
Reserve Account with respect to such Transfer Date, is greater than zero,
the Trustee, acting in accordance with the instructions of the Servicer,
shall withdraw from the Reserve Account, and pay in accordance with the
Loan Agreement, an amount equal to such Reserve Account Surplus.
(f) Upon the earliest to occur of (i) the termination of the
Trust pursuant to Article XII of the Agreement, (ii) if the Controlled
Accumulation Period has not commenced, the first Transfer Date relating to
the Rapid Amortization Period and (iii) if the Controlled Accumulation
Period has commenced, the earlier of the first Transfer Date with respect
to the Rapid Amortization Period and the Transfer Date immediately
preceding the Class A Scheduled Payment Date, the Trustee, acting in
accordance with the instructions of the Servicer, after the prior payment
of all amounts owing to the Series 1999-1 Certificateholders that are
payable from the Reserve Account as provided herein, shall withdraw from
the Reserve Account and pay in accordance with the Loan Agreement, all
amounts, if any, on deposit in the Reserve Account and the Reserve Account
shall be deemed to have terminated for purposes of this Series Supplement.
SECTION 4.17 Determination of LIBOR.
(a) On each LIBOR Determination Date, the Trustee shall determine
LIBOR on the basis of the rate for deposits in United States dollars for a
period equal to the relevant Interest Period which appears on Telerate Page
3750 as of 11:00 a.m., London time, on such date. If such rate does not
appear on Telerate Page 3750, the rate for that LIBOR Determination Date
shall be determined on the basis of the rates at which deposits in United
States dollars are offered by the Reference Banks at approximately 11:00
a.m., London time, on that day to prime banks in the London interbank
market for a period equal to the relevant Interest Period. The Trustee
shall request the principal London office of each of the Reference Banks to
provide a quotation of its rate. If at least two such quotations are
provided, the rate for that LIBOR Determination Date shall be the
arithmetic mean of the quotations. If fewer than two quotations are
provided as requested, the rate for that LIBOR Determination Date shall be
the arithmetic mean of the rates quoted by major banks in New York City,
selected by the Servicer, at approximately 11:00 a.m., New York City time,
on that day for loans in United States dollars to leading European banks
for a period equal to the relevant Interest Period.
(b) The Class A Certificate Rate and Class B Certificate Rate
applicable to the then current and the immediately preceding Interest
Periods may be obtained by any Investor Certificateholder by telephoning
the Trustee at (000) 000-0000.
(c) On each LIBOR Determination Date prior to 12:00 noon New York
City time, the Trustee shall send to the Servicer by facsimile notification
of LIBOR for the following Interest Period.
SECTION 4.18 Transferor's or Servicer's Failure to Make a
Deposit or Payment.
If the Servicer or the Transferor fails to make, or give
instructions to make, any payment or deposit (other than as required by
subsections 2.4(d) and (e) and 12.2(a) or Sections 10.2 and 12.1) required
to be made or given by the Servicer or Transferor, respectively, at the
time specified in the Agreement (including applicable grace periods), the
Trustee shall make such payment or deposit from the applicable Investor
Account without instruction from the Servicer or Transferor. The Trustee
shall be required to make any such payment, deposit or withdrawal hereunder
only to the extent that the Trustee has sufficient information to allow it
to determine the amount thereof; provided, however, that the Trustee shall
in all cases be deemed to have sufficient information to determine the
amount of interest payable to the Series 1999-1 Certificateholders on each
Distribution Date. The Servicer shall, upon request of the Trustee,
promptly provide the Trustee with all information necessary to allow the
Trustee to make such payment, deposit or withdrawal. Such funds or the
proceeds of such withdrawal shall be applied by the Trustee in the manner
in which such payment or deposit should have been made by the Transferor or
the Servicer, as the case may be.
SECTION 8. Article V of the Agreement. Article V of the
Agreement shall read in its entirety as follows and shall be applicable
only to the Investor Certificateholders:
ARTICLE V
DISTRIBUTIONS AND REPORTS TO INVESTOR
CERTIFICATEHOLDERS
SECTION 5.1 Distributions. (a) On each Distribution Date, the
Trustee shall distribute (in accordance with the certificate delivered on
or before the related Transfer Date by the Servicer to the Trustee pursuant
to subsection 3.4(b)) to each Class A Certificateholder of record on the
immediately preceding Record Date (other than as provided in subsection
2.4(e) or Section 12.3 respecting a final distribution) such
Certificateholder's pro rata share (based on the aggregate Undivided
Interests represented by Class A Certificates held by such
Certificateholder) of amounts on deposit in the Distribution Account as are
payable to the Class A Certificateholders pursuant to Section 4.9 by check
mailed to each Class A Certificateholder (at such Certificateholder's
address as it appears in the Certificate Register), except that with
respect to Class A Certificates registered in the name of the nominee of a
Clearing Agency, such distribution shall be made in immediately available
funds.
(b) On each Distribution Date, the Trustee shall distribute (in
accordance with the certificate delivered on or before the related Transfer
Date by the Servicer to the Trustee pursuant to subsection 3.4(b)) to each
Class B Certificateholder of record on the immediately preceding Record
Date (other than as provided in subsection 2.4(e) or Section 12.3
respecting a final distribution) such Certificateholder's pro rata share
(based on the aggregate Undivided Interests represented by Class B
Certificates held by such Certificateholder) of amounts on deposit in the
Distribution Account as are payable to the Class B Certificateholders
pursuant to Section 4.9 by check mailed to each Class B Certificateholder
(at such Certificateholder's address as it appears in the Certificate
Register), except that with respect to Class B Certificates registered in
the name of the nominee of a Clearing Agency, such distribution shall be
made in immediately available funds.
SECTION 5.2 Monthly Series 1999-1 Certificateholders' Statement.
(a) On or before each Distribution Date, the Trustee shall
forward to each Series 1999-1 Certificateholder, each Rating Agency and the
Collateral Interest Holder a statement substantially in the form of Exhibit
C to this Series Supplement prepared by the Servicer, delivered to the
Trustee and setting forth, among other things, the following information
(which, in the case of subclauses (i) and (ii) below, shall be stated on
the basis of an original principal amount of $1,000 per Certificate and, in
the case of subclauses (viii) and (ix) shall be stated on an aggregate
basis and on the basis of an original principal amount of $1,000 per
Certificate, as applicable):
(i) the amount of the current distribution allocable to Class A
Monthly Principal, Class B Monthly Principal and Collateral Monthly
Principal, respectively;
(ii) the amount of the current distribution allocable to Class A
Monthly Interest, Class A Deficiency Amounts, Class A Additional
Interest, Class B Monthly Interest, Class B Deficiency Amounts, Class
B Additional Interest and Collateral Monthly Interest, and any accrued
and unpaid Collateral Monthly Interest, respectively;
(iii) the amount of Collections of Principal Receivables
processed during the related Monthly Period and allocated in respect
of the Class A Certificates, the Class B Certificates and the
Collateral Interest, respectively;
(iv) the amount of Collections of Finance Charge Receivables
processed during the related Monthly Period and allocated in respect
of the Class A Certificates, the Class B Certificates and the
Collateral Interest, respectively;
(v) the aggregate amount of Principal Receivables, the Investor
Interest, the Adjusted Investor Interest, the Class A Investor
Interest, the Class A Adjusted Investor Interest, the Class B Investor
Interest, the Collateral Interest, the Floating Investor Percentage,
the Class A Floating Allocation, the Class B Floating Allocation, the
Collateral Floating Allocation and the Fixed Investor Percentage,
Class A Fixed Allocation, the Class B Fixed Allocation and the
Collateral Fixed Allocation with respect to the Principal Receivables
in the Trust as of the end of the day on the Record Date;
(vi) the aggregate outstanding balance of Accounts which were 30
to 59, 60 to 89 and 90 or more days delinquent as of the end of the
day on the Record Date;
(vii) the Aggregate Investor Default Amount, the Class A
Investor Default Amount, the Class B Investor Default Amount and the
Collateral Default Amount for the related Monthly Period;
(viii) the aggregate amount of Class A Investor Charge-Offs,
Class B Investor Charge-Offs and Collateral Charge-Offs for the
related Monthly Period;
(ix) the aggregate amount of Class A Investor Charge-Offs, Class
B Investor Charge-Offs and Collateral Charge-Offs reimbursed on the
Transfer Date immediately preceding such Distribution Date;
(x) the amount of the Class A Servicing Fee, the Class B
Servicing Fee and the Collateral Servicing Fee for the related Monthly
Period;
(xi) the Portfolio Yield for the preceding Monthly Period;
(xii) the amount of Reallocated Collateral Principal Collections
and Reallocated Class B Principal Collections with respect to such
Distribution Date;
(xiii) the Class B Investor Interest and the Collateral Interest
as of the close of business on such Distribution Date;
(xiv) LIBOR for the Interest Period ending on such Distribution
Date;
(xv) the Principal Funding Account Balance on the Transfer Date;
(xvi) the Accumulation Shortfall;
(xvii) the Principal Funding Investment Proceeds transferred to
the Finance Charge Account on the related Transfer Date;
(xviii) the Principal Funding Investment Shortfall on the
related Transfer Date;
(xix) the amount of Class A Available Funds and Class B
Available Funds on deposit in the Finance Charge Account on the
related Transfer Date;
(xx) the amount of the Reserve Draw Amount on the related
Transfer Date; and
(xxi) such other items as are set forth in Exhibit C to this
Series Supplement.
(b) Annual Certificateholders' Tax Statement. On or before
January 31 of each calendar year, beginning with calendar year 2000, the
Trustee shall distribute to each Person who at any time during the
preceding calendar year was a Series 1999-1 Certificateholder, a statement
prepared by the Servicer containing the information required to be
contained in the regular monthly report to Series 1999-1
Certificateholders, as set forth in subclauses (i) and (ii) above,
aggregated for such calendar year or the applicable portion thereof during
which such Person was a Series 1999-1 Certificateholder, together with such
other customary information (consistent with the treatment of the
Certificates as debt) as the Servicer deems necessary or desirable to
enable the Series 1999-1 Certificateholders to prepare their tax returns.
Such obligations of the Trustee shall be deemed to have been satisfied to
the extent that substantially comparable information shall be provided by
the Trustee pursuant to any requirements of the Internal Revenue Code as
from time to time in effect.
SECTION 5.03 Rule 144A Information. So long as any of the Class
B Certificates are "restricted securities" within the meaning of Rule
144(a)(3) under the Securities Act and during any period in which the Trust
is not subject to Section 13 or 15(d) of the Exchange Act, the Transferor
agrees to make available to any QIB or beneficial owner of the Class B
Certificates in connection with any sale thereof and any prospective
purchaser of such Class B Certificates from such QIB or beneficial owner,
the information required by Rule 144A(d)(4) under the Securities Act.
SECTION 9. Series 1999-1 Pay Out Events. If any one of the
following events shall occur with respect to the Investor Certificates:
(a) failure on the part of the Transferor (i) to make any payment
or deposit required by the terms of (A) the Agreement or (B) this Series
Supplement, on or before the date occurring five days after the date such
payment or deposit is required to be made herein or (ii) duly to observe or
perform in any material respect any covenants or agreements of the
Transferor set forth in the Agreement or this Series Supplement, which
failure has a material adverse effect on the Series 1999-1
Certificateholders (which determination shall be made without reference to
the amount of the Collateral Interest) and which continues unremedied for a
period of 60 days after the date on which written notice of such failure,
requiring the same to be remedied, shall have been given to the Transferor
by the Trustee, or to the Transferor and the Trustee by the Holders of
Investor Certificates evidencing Undivided Interests aggregating not less
than 50% of the Investor Interest of this Series 1999-1, and continues to
affect materially and adversely the interests of the Series 1999-1
Certificateholders (which determination shall be made without reference to
the amount of the Collateral Interest) for such period;
(b) any representation or warranty made by the Transferor in the
Agreement or this Series Supplement, or any information contained in a
computer file or microfiche list required to be delivered by the Transferor
pursuant to Section 2.1 or 2.6, (i) shall prove to have been incorrect in
any material respect when made or when delivered, which continues to be
incorrect in any material respect for a period of 60 days after the date on
which written notice of such failure, requiring the same to be remedied,
shall have been given to the Transferor by the Trustee, or to the
Transferor and the Trustee by the Holders of Investor Certificates
evidencing Undivided Interests aggregating not less than 50% of the
Investor Interest of this Series 1999-1, and (ii) as a result of which the
interests of the Series 1999-1 Certificateholders are materially and
adversely affected (which determination shall be made without reference to
the amount of the Collateral Interest) and continue to be materially and
adversely affected for such period; provided, however, that a Series 1999-1
Pay Out Event pursuant to this subsection 9(b) shall not be deemed to have
occurred hereunder if the Transferor has accepted reassignment of the
related Receivable, or all of such Receivables, if applicable, during such
period in accordance with the provisions of the Agreement;
(c) the average Portfolio Yield for any three consecutive Monthly
Periods is reduced to a rate which is less than the average Base Rate for
such period;
(d) the Transferor shall fail to convey Receivables arising under
Additional Accounts, or Participations, to the Trust, as required by
subsection 2.6(a);
(e) any Servicer Default shall occur which would have a material
adverse effect on the Series 1999-1 Certificateholders; or
(f) the Class A Investor Interest shall not be paid in full on
the Class A Scheduled Payment Date or the Class B Investor Interest shall
not be paid in full on the Class B Scheduled Payment Date;
then, in the case of any event described in subsection 9(a), (b) or (e)
hereof, after the applicable grace period set forth in such subparagraphs,
either the Trustee or Holders of Investor Certificates evidencing Undivided
Interests aggregating not less than 50% of the Investor Interest of this
Series 1999-1 by notice then given in writing to the Transferor and the
Servicer (and to the Trustee if given by the Certificateholders) may
declare that a pay out event (a "Series 1999-1 Pay Out Event") has occurred
as of the date of such notice, and in the case of any event described in
subsection 9(c), (d) or (f) hereof, a Series 1999-1 Pay Out Event shall
occur without any notice or other action on the part of the Trustee or the
Investor Certificateholders immediately upon the occurrence of such event.
SECTION 10. Series 1999-1 Termination. The right of the
Investor Certificateholders to receive payments from the Trust will
terminate on the first Business Day following the Series 1999-1 Termination
Date.
SECTION 11. Transfers of Investor Certificates.
(a) Each Class B Certificate will bear a legend
substantially in the following form:
EACH PURCHASER REPRESENTS AND WARRANTS FOR THE BENEFIT
OF THE FIRST NATIONAL BANK OF ATLANTA AND THE TRUSTEE THAT SUCH PURCHASER
IS NOT (I) AN EMPLOYEE BENEFIT PLAN (AS DEFINED IN SECTION 3(3) OF THE
EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974, AS AMENDED ("ERISA")) THAT
IS SUBJECT TO THE PROVISIONS OF TITLE I OF ERISA, (II) A PLAN DESCRIBED IN
SECTION 4975(e)(1) OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED (THE
"CODE"), (III) A GOVERNMENTAL PLAN, AS DEFINED IN SECTION 3(32) OF ERISA,
SUBJECT TO ANY FEDERAL, STATE OR LOCAL LAW WHICH IS, TO A MATERIAL EXTENT,
SIMILAR TO THE PROVISIONS OF SECTION 406 OF ERISA OR SECTION 4975 OF THE
CODE, (IV) AN ENTITY WHOSE UNDERLYING ASSETS INCLUDE PLAN ASSETS (AS
DEFINED IN 29 C.F.R. SECTION 2410.3-101 OR OTHERWISE UNDER ERISA) BY REASON
OF A PLAN'S INVESTMENT IN THE ENTITY OR (V) A PERSON INVESTING PLAN ASSETS
OF ANY SUCH PLAN (INCLUDING WITHOUT LIMITATION, FOR PURPOSES OF CLAUSE (IV)
AND THIS CLAUSE (V), ANY INSURANCE COMPANY GENERAL ACCOUNT, BUT EXCLUDING
ANY ENTITY REGISTERED UNDER THE INVESTMENT COMPANY ACT OF 1940, AS AMENDED.
THIS CLASS B CERTIFICATE HAS NOT BEEN AND WILL NOT BE
REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "SECURITIES
ACT"), OR ANY STATE SECURITIES LAW. THE HOLDER HEREOF, BY PURCHASING THIS
CLASS B CERTIFICATE, AGREES THAT THIS CLASS B CERTIFICATE MAY BE REOFFERED,
RESOLD, PLEDGED OR OTHERWISE TRANSFERRED ONLY IN COMPLIANCE WITH THE
SECURITIES ACT AND OTHER APPLICABLE LAWS AND ONLY (1) TO THE TRANSFEROR OR
(2) PURSUANT TO RULE 144A UNDER THE SECURITIES ACT TO A PERSON THAT THE
HOLDER REASONABLY BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER WITHIN THE
MEANING OF RULE 144A ("QIB") PURCHASING FOR ITS OWN ACCOUNT OR A QIB
PURCHASING FOR THE ACCOUNT OF ANOTHER QIB, WHOM THE HOLDER HAS INFORMED, IN
EACH CASE, THAT THE REOFFER, RESALE, PLEDGE OR OTHER TRANSFER IS BEING MADE
IN RELIANCE ON RULE 144A. EACH CERTIFICATE OWNER BY ACCEPTING A BENEFICIAL
INTEREST IN THIS CERTIFICATE IS DEEMED TO REPRESENT THAT IT IS EITHER A QIB
PURCHASING FOR ITS OWN ACCOUNT OR A QIB PURCHASING FOR THE ACCOUNT OF
ANOTHER QIB.
(b) The Collateral Interest shall be subject to the
restrictions on transfer set forth in the Loan Agreement, including Section
7.08 thereof.
SECTION 12. Counterparts. This Series Supplement may be
executed in any number of counterparts, each of which so executed shall be
deemed to be an original, but all of such counterparts shall together
constitute but one and the same instrument.
SECTION 13. Governing Law. THIS SERIES SUPPLEMENT SHALL BE
CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF DELAWARE, WITHOUT
REFERENCE TO ITS CONFLICT OF LAW PROVISIONS, AND THE OBLIGATIONS, RIGHTS
AND REMEDIES OF THE PARTIES HEREUNDER SHALL BE DETERMINED IN ACCORDANCE
WITH SUCH LAWS.
SECTION 14. No Petition. The Transferor, the Servicer and the
Trustee, by entering into this Series Supplement and each Investor
Certificateholder, by accepting a Series 1999-1 Certificate hereby covenant
and agree that they will not at any time institute against the Trust, or
join in any institution against the Trust of, any bankruptcy proceedings
under any United States Federal or state bankruptcy or similar law in
connection with any obligations relating to the Investor
Certificateholders, the Agreement or this Series Supplement.
SECTION 15. Tax Representation and Covenant.
(a) It is the intention of the parties hereto that the Collateral
Interest be treated under applicable tax law as indebtedness. In the event
that the Collateral Interest is not so treated, it is the intention of the
parties that the Collateral Interest be treated under applicable tax law as
an interest in a partnership that owns the Receivables. In the event that
the Collateral Interest is treated under applicable tax law as an interest
in a partnership, it is the intention of the parties that the Collateral
Interest be treated as guaranteed payments and, if for any reason it is not
so treated, that the holder of the Collateral Interest be specially
allocated gross interest income equal to the interest accrued during each
Interest Period on the Collateral Interest.
(b) Any Collateral Interest Holder shall be required to represent
and covenant in connection with its acquisition of an interest in the Trust
(x) it has neither acquired, nor will it sell, trade or transfer any
interest in the Trust or cause any interest in the Trust to be marketed on
or through an "established securities market" within the meaning of Code
section 7704(b)(1), including without limitation an interdealer quotation
system that regularly disseminates firm buy or sell quotations by
identified brokers or dealers by electronic means or otherwise, (y) unless
the Transferor consents otherwise, such holder (i) is properly classified
as, and will remain classified as, a "corporation" as described in Code
section 7701(a)(3) and (ii) is not, and will not become, an S corporation
as described in Code section 1361, and (z) it will (i) cause any
participant with respect to such interest otherwise permitted hereunder to
make similar representations and covenants for the benefit of the
Transferor and the Trust and (ii) forward a copy of such representations
and covenants to the Trustee. Each such holder shall further agree in
connection with its acquisition of such interest that, in the event of any
breach of its (or its participant's) representation and covenant that it
(or its participant) is and shall remain classified as a corporation other
than an S corporation, the Transferor shall have the right to procure a
replacement investor to replace such holder (or its participant), and
further that such holder shall take all actions necessary to permit such
replacement investor to succeed to its rights and obligations as a holder
(or to the rights of its participant).
SECTION 16. Rights Upon Insolvency Event. If an Insolvency Event
occurs relating to the Transferor or any holder of an interest in the
Transferor Certificate (including any Transferor Participation) while any
of the Series 1995-1 Certificates remain outstanding, in accordance with
Section 9.2 of the Agreement, within fifteen (15) days of the Appointment
Day, the Trustee will publish a notice of the occurrence of such event
stating that the Trustee intends to sell, dispose of or otherwise liquidate
the Receivables in a commercially reasonable manner. Notwithstanding the
foregoing and anything to the contrary set forth in this Supplement, the
Series Supplement for any other Series or the Agreement, no such sale,
disposal or liquidation of Receivables shall occur in connection with an
Insolvency Event after the Series 1995-1 Certificates have been paid in
full.
IN WITNESS WHEREOF, the Transferor, the Servicer and the Trustee
have caused this Series 1999-1 Supplement to be duly executed by their
respective officers as of the day and year first above written.
THE FIRST NATIONAL BANK
OF ATLANTA
Transferor and Servicer
By: /s/ Xxxxxxx Xxxxxxx
-------------------------
Name: Xxxxxxx Xxxxxxx
Title: Vice President
THE BANK OF NEW YORK
(DELAWARE)
Trustee
By: /s/ Xxxxxx Laser
-------------------------
Name: Xxxxxx Laser
Title: Assistant Vice President
EXHIBIT A-1
FORM OF CERTIFICATE
CLASS A
UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED
REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY, A NEW YORK
CORPORATION ("DTC"), TO THE FIRST NATIONAL BANK OF ATLANTA
OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR
PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE
NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS REQUESTED BY AN
AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO
CEDE & CO. OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN
AUTHORIZED REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR
OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON
IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE &
CO., HAS AN INTEREST HEREIN.
No.__ $_______
CUSIP NO. 929772 AC 5
WACHOVIA CREDIT CARD MASTER TRUST
CLASS A FLOATING RATE
ASSET BACKED CERTIFICATE, SERIES 1999-1
Evidencing an Undivided Interest in a trust, the corpus of which consists
of a portfolio of MasterCard(R)and VISA(R)* credit card receivables
generated or acquired by The First National Bank of Atlanta and other
assets and interests constituting the Trust under the Pooling and
Servicing Agreement described below.
(Not an interest in or obligation of
The First National Bank of Atlanta
or any Affiliate thereof.)
This certifies that CEDE & CO. (the "Class A Certificateholder")
is the registered owner of an Undivided Interest in a trust (the "Trust"),
the corpus of which consists of a portfolio of receivables (the
"Receivables") now existing or hereafter created and arising in connection
with selected MasterCard and VISA credit card accounts (the "Accounts") of
The First National Bank of Atlanta, a national banking association, all
monies due or to become due in payment of the Receivables (including all
Finance Charge Receivables and recoveries on any charged-off Receivables),
the right to certain amounts received as Intercharge and the Collateral
Interest, all proceeds of the foregoing and the other assets and interests
constituting the Trust pursuant to a Pooling and Servicing Agreement dated
as of October 26, 1995 as supplemented by the Series 1999-1 Supplement
dated as of March 24, 1999 (collectively, as amended from time to time, the
"Pooling and Servicing Agreement"), by and between The First National Bank
of Atlanta, as Transferor (the "Transferor") and as Servicer (the
"Servicer"), and The Bank of New York (Delaware), as Trustee (the
"Trustee"), a summary of certain of the pertinent provisions of which is
set forth herein. To the extent not defined herein, capitalized terms used
herein have the respective meanings assigned to them in the Pooling and
Servicing Agreement.
-----------------
* MasterCard(R) VISA(R) are federally registered service marks of
MasterCard International Inc. and of Visa U.S.A., Inc., respectively.
The Series 1999-1 Certificates are issued in two classes, the
Class A Certificates (of which this certificate is one) and the Class B
Certificates, which are subordinated to the Class A Certificates in certain
rights of payment as described herein and in the Pooling and Servicing
Agreement.
The Transferor has structured the Pooling and Servicing Agreement
and the Series 1999-1 Certificates with the intention that the Series 1999-
1 Certificates will qualify under applicable tax law as indebtedness, and
each of the Transferor, the Holder of the Transferor Certificate, the
Servicer and each Series 1999-1 Certificateholder (or Series 1999-1
Certificate Owner) by acceptance of its Series 1999-1 Certificate (or in
the case of a Series 1999-1 Certificate Owner, by virtue of such Series
1999-1 Certificate Owner's acquisition of a beneficial interest therein),
agrees to treat and to take no action inconsistent with the treatment of
the Series 1999-1 Certificates (or any beneficial interest therein) as
indebtedness for purposes of federal, state, local and foreign income or
franchise taxes and any other tax imposed on or measured by income. Each
Series 1999-1 Certificateholder agrees that it will cause any Series 1999-1
Certificate Owner acquiring an interest in a Series 1999-1 Certificate
through it to comply with the Pooling and Servicing Agreement as to
treatment of the Series 1999-1 Certificates as indebtedness for certain tax
purposes.
This Class A Certificate is issued under and is subject to the
terms, provisions and conditions of the Pooling and Servicing Agreement, to
which Pooling and Servicing Agreement, as amended from time to time, the
Class A Certificateholder by virtue of the acceptance hereof assents and by
which the Class A Certificateholder is bound. This Class A Certificates is
one of a duly authorized Series of Investor Certificates entitled "Wachovia
Credit Card Master Trust Class A Floating Rate Asset Backed Certificates,
Series 1999-1" (the "Class A Certificates"), each of which represents an
Undivided Interest in the Trust, including the right to receive the
Collections and other amounts allocated to the Class A Certificates at the
times and in the amounts specified in the Pooling and Servicing Agreement
and to be deposited in the Investor Accounts, the Principal Funding Account
and the Reserve Account or paid to the Class A Certificateholders.
Also issued under the Pooling and Servicing Agreement are the
"Wachovia Credit Card Master Trust Class B Floating Rate Asset Backed
Certificates, Series 1999-1" (the "Class B Certificates"), which represent
an Undivided Interest in the Trust subordinate to the Class A Certificates,
and the "Wachovia Credit Card Master Trust Collateral Interest, Series
1999-1" (the "Collateral Interest" and, collectively with the Class A
Certificates and the Class B Certificates, the "Investor Certificates"),
which is an undivided interest in the Trust subordinated to the Class A
Certificates and Class B Certificates. The subordination of the Class B
Certificates and the subordination of the Collateral Interest to the Class
A Certificates shall constitute the Credit Enhancement for the Class A
Certificates.
The aggregate interest represented by the Class A Certificates
and the Class B Certificates at any time in the Principal Receivables in
the Trust shall not exceed an amount equal to the Class A Investor Interest
and the Class B Investor Interest, respectively, at such time. As of the
Closing Date, the Class A Initial Investor Interest is $775,000,000, the
Class B Initial Investor Interest is $53,757,250 and the Collateral Initial
Interest is $67,196,550. The Class A Investor Interest on any date of
determination will be an amount equal to (a) the Class A Initial Investor
Interest minus (b) the aggregate amount of payments of principal made to
the Class A Certificateholders prior to such date of determination, and
minus (c) the excess, if any, of the aggregate amount of Class A Investor
Charge-Offs pursuant to subsection 4.10(a) of the Pooling and Servicing
Agreement over Class A Investor Charge-Offs reimbursed prior to such date
of determination pursuant to subsection 4.11(b) of the Pooling and
Servicing Agreement; provided, however, that the Class A Investor Interest
may not be reduced below zero.
For the purpose of allocating Collections of Finance Charge
Receivables and Receivables in Defaulted Accounts for each Monthly Period
during the Controlled Accumulation Period, the Class A Investor Interest
will be reduced (such reduced amount, the "Class A Adjusted Investor
Interest") by the aggregate principal amount of funds on deposit in the
Principal Funding Account. The Class A Investor Interest together with the
aggregate interest represented by the Class B Certificates in the Principal
Receivables in the Trust (the "Class B Investor Interest") and the
aggregate interest represented by the Collateral Interest in the Principal
Receivables in the Trust are sometimes collectively referred to herein as
the "Investor Interest."
In addition to the Class A Certificates, the Class B Certificates
and the Collateral Interest, a Transferor Certificate representing an
undivided interest in the Trust will be issued to the Transferor pursuant
to the Pooling and Servicing Agreement. The Transferor Certificate will
represent the interest in the Principal Receivables not represented by all
of the Series of Investor Certificates issued by the Trust. The Transferor
Certificate may be exchanged by the Transferor pursuant to the Pooling and
Servicing Agreement for a newly issued Series of Investor Certificates and
a reissued Transferor Certificate upon the conditions set forth in the
Pooling and Servicing Agreement.
Interest will accrue on the Class A Certificates from the Closing
Date through April 14, 1999, from April 15, 1999 through May 16, 1999 and
with respect to each Interest Period thereafter, at the rate of LIBOR plus
0.15% per annum, as more specifically set forth in the Pooling and
Servicing Agreement (the "Class A Certificate Rate"), and will be
distributed on May 17, 1999 and on the 15th day of each calendar month
thereafter, or if such day is not a Business Day, on the next succeeding
Business Day (a "Distribution Date"), to the Class A Certificateholders of
record as of the last Business Day of the calendar month preceding such
Distribution Date (the "Record Date"). During the Rapid Amortization
Period, in addition to Class A Monthly Interest, Class A Monthly Principal
will be distributed to the Class A Certificateholder on each Distribution
Date until the Class A Investor Interest has been paid in full. With
respect to the Controlled Accumulated Period, in addition to monthly
payments of Class A Monthly Interest, the amount on deposit in the
Principal Funding Account will be distributed as principal to the Class A
Certificateholders on the March 2004 Distribution Date (the "Class A
Scheduled Payment Date"), unless distributed earlier as a result of the
occurrence of a Pay Out Event in accordance with the Pooling and Servicing
Agreement.
On or before each Transfer Date, the Servicer shall instruct the
Trustee in writing to withdraw and the Trustee, acting in accordance with
such instructions, shall withdraw on such Transfer Date, from the Finance
Charge Account to the extent of funds on deposit therein (i) Collections of
Finance Charge Receivables processed as of the end of the preceding Monthly
Period which have been allocated to the Series 1999-1 Certificates, (ii)
with respect to the Class A Certificates, from other amounts constituting
Class A Available Funds, and (iii) with respect to the Class B
Certificates, from other amounts constituting Class B Available Funds, the
following amounts: (x) an amount equal to the product of (i) (A) a
fraction, the numerator of which is the actual number of days in the
related Interest Period and the denominator of which is 360, times (B) the
Class A Certificate Rate for such Interest Period and (ii) the Class A
Investor Interest as of the close of business on the last day of the
preceding Monthly Period ("Class A Monthly Interest"); provided, however,
that with respect to the first Distribution Date, Class A Monthly Interest
shall be equal to the interest accrued on the Class A Initial Investor
Interest at the applicable Class A Certificate Rate for the period from the
Closing Date through April 14, 1999 and the period from April 15, 1999
through May 16, 1999; and (y) amounts up to the Class B Monthly Interest
followed by the Collateral Monthly Interest, in the actual amounts and
manner described in the Pooling and Servicing Agreement.
On each Transfer Date, the Trustee shall apply the Class A
Available Funds withdrawn from the Finance Charge Account, as required by
the Pooling and Servicing Agreement, in the following order of priority:
(i) an amount equal to the Class A Monthly Interest for such Transfer Date,
plus the amount of any Class A Deficiency Amount for such Transfer Date,
plus the amount of any Class A Additional Interest for such Transfer Date,
(ii) an amount equal to the Class A Servicing Fee for such Transfer Date
plus the amount of any Class A Servicing Fee due but not paid on any prior
Transfer Date and (iii) an amount equal to the Class A Investor Default
Amount, if any, for the preceding Monthly Period. The Trustee on each
Transfer Date shall apply the Class B Available Funds withdrawn from the
Finance Charge Account, as required by the Pooling and Servicing Agreement,
in the following order of priority: (i) the Class B Monthly Interest for
such Transfer Date, plus the amount of any Class B Deficiency Amount for
such Transfer Date, plus the amount of any Class B Additional Interest for
such Transfer Date, and (ii) the Class B Servicing Fee for such Transfer
Date plus the amount of any Class B Servicing Fee due but not paid on any
prior Transfer Date. The balance of the amount withdrawn from the Finance
Charge Account allocable to the Series 1999-1 Certificates, if any, after
giving effect to the applications above (and, in certain circumstances,
payments in respect of the Collateral Interest Servicing Fee) shall
constitute "Excess Spread."
On or before the Transfer Date immediately succeeding the Monthly
Period in which the Controlled Accumulated Period or the Rapid Amortization
Period commences and on or before each Transfer Date thereafter, the
Servicer shall instruct the Trustee in writing to withdraw, and the
Trustee, acting in accordance with such instructions, shall withdraw on
such Transfer Date from the Principal Account an amount equal to the
Available Investor Principal Collections on deposit in the Principal
Account and from such amounts, (A) deposit an amount equal to Class A
Monthly Principal (i) during the Controlled Accumulation Period, into the
Principal Funding Account, and (ii) during the Rapid Amortization Period,
into the Distribution Account, (B) after the Class A Investor Interest has
been paid in full, deposit an amount equal to Class B Monthly Principal
into the Distribution Account, and (C) any remaining amounts in the
Principal Account shall be used for payment of Collateral Monthly
Principal.
On the earlier to occur of the first Transfer Date with respect
to the Rapid Amortization Period or the Transfer Date immediately preceding
the Class A Scheduled Payment Date, the Servicer shall instruct the Trustee
to withdraw, and the Trustee shall withdraw from the Principal Funding
Account and deposit in the Distribution Account the amount on deposit in
the Principal Funding Account.
On the Class A Scheduled Payment Date or on each Distribution
Date with respect to a Rapid Amortization Period, the Trustee shall pay
from amounts on deposit in the Distribution Account an amount equal to the
lesser of the Class A Investor Interest and the amount of Available
Investor Principal Collections on deposit in the distribution Account with
respect to the related Monthly Period, and after the Class A Investor
Interest has been paid in full (after taking into account distributions to
be made on the related Distribution Date), Available Investor Principal
Collections shall be applied to the Class B Certificates and Collateral
Interest as specified in the Pooling and Servicing Agreement.
On each Distribution Date, the Trustee shall pay to the Class A
Certificateholders and the Class B Certificateholders the amount deposited
on the related Transfer Date into the Distribution Account in respect of
Class A Monthly Interest and Class B Monthly Interest, respectively. On
each Transfer Date, the Trustee shall pay to the Collateral Interest Holder
the Collateral Monthly Interest, to the extent funds are available.
Distributions with respect to this Series 1999-1 Certificate will be made
by the Trustee by, except as otherwise provided in the Pooling and
Servicing Agreement, check mailed to the address of each Series 1999-1
Certificateholder of record appearing in the Certificate Register and
except for the final distribution in respect of this Series 1999-1
Certificate, without the presentation or surrender of this Series 1999-1
Certificate or the making of any notation thereon; provided, however, that
with respect to Series 1999-1 Certificates registered in the name of the
nominee of a Clearing Agency, distributions will be made in the form of
immediately available funds.
This Class A Certificate represents an interest in only the
Wachovia Credit Card Master Trust. This Class A Certificate does not
represent an obligation of, or an interest in, the Transferor or the
Servicer, and neither the Series 1999-1 Certificates nor the Accounts or
Receivables are insured or guaranteed by the Federal Deposit Insurance
Corporation or any other governmental agency. This Series 1999-1
Certificate is limited in right of payment to certain collections
respecting the Receivables, all as more specifically set forth hereinabove
and in the Pooling and Servicing Agreement.
The Transfer of this Class A Certificate shall be registered in
the Certificate Register upon surrender of this agency maintained by the
Transfer Agent and Registrar accompanied by a written instrument of
transfer in a form satisfactory to the Trustee and the Transfer Agent and
Registrar duly executed by the Class A Certificateholder or such Class A
Certificateholder's attorney-in-fact duly authorized in writing, and
thereupon one or more new Class A Certificates of authorized denominations
and for the same aggregate Undivided Interests will be issued to the
designated transferee or transferees.
The Servicer, the Trustee and the Transfer Agent and Registrar,
and any agent of any of them, may treat the Person in whose name this Class
A Certificate is registered as the owner hereof for all purposes, and
neither the Servicer, the Trustee, the Paying Agent, the Transfer Agent and
Registrar, nor any agent of any of them or of any such agent shall be
affected by notice to the contrary except in certain circumstances
described in the Pooling and Servicing Agreement.
The Pooling and Servicing Agreement provides that the right of
the Series 1999-1 Certificateholders to receive payment from the Trust will
terminate on the first Business Day following the Series 1999-1 Termination
Date. Upon the termination of the Trust pursuant to Section 12.1 of the
Pooling and Servicing Agreement, the Trustee shall assign and convey to the
Holder of the Transferor Certificate (without recourse, representation or
warranty) all right, title and interest of the Trust in the Receivables,
whether then existing or thereafter created, and all proceeds of such
Receivables and Insurance Proceeds relating to such Receivables. The
Trustee shall execute and deliver such instruments of transfer and
assignment, in each case without recourse, as shall be prepared by the
Servicer reasonably requested by the Holder of the Transferor Certificate
to vest in such Holder all right, title and interest which the Trustee had
in the Receivables.
Unless the certificate of authentication hereon has been executed
by or on behalf of the Trustee, by manual signature, this Class A
Certificate shall not be entitled to any benefit under the Pooling and
Servicing Agreement, or be valid for any purpose.
IN WITNESS WHEREOF, The First National Bank of Atlanta has caused
this Class A Certificate to be duly executed by a duly authorized officer.
By:___________________________
Authorized Officer
Date:___________________
Form of Trustee's Certificate of Authentication
CERTIFICATE OF AUTHENTICATION
This is one of the Class A Certificates referred to in the
within-mentioned Pooling and Servicing Agreement.
THE BANK OF NEW YORK (DELAWARE),
Trustee
By:______________________________
Authorized Signatory
EXHIBIT A-2
FORM OF CERTIFICATE
CLASS B
EACH PURCHASER REPRESENTS AND WARRANTS FOR THE BENEFIT
OF THE FIRST NATIONAL BANK OF ATLANTA AND THE TRUSTEE THAT
SUCH PURCHASER IS NOT (I) AN EMPLOYEE BENEFIT PLAN (AS
DEFINED IN SECTION 3(3) OF THE EMPLOYEE RETIREMENT INCOME
SECURITY ACT OF 1974, AS AMENDED ("ERISA")) THAT IS SUBJECT
TO THE PROVISIONS OF TITLE I OF ERISA, (II) A PLAN DESCRIBED
IN SECTION 4975(E)(1) OF THE INTERNAL REVENUE CODE OF 1986,
AS AMENDED (THE "CODE"), (III) A GOVERNMENTAL PLAN, AS
DEFINED IN SECTION 3(32) OF ERISA, SUBJECT TO ANY FEDERAL,
STATE OR LOCAL LAW WHICH IS, TO A MATERIAL EXTENT, SIMILAR
TO THE PROVISIONS OF SECTION 406 OF ERISA OR SECTION 4975 OF
THE CODE, (IV) AN ENTITY WHOSE UNDERLYING ASSETS INCLUDE
PLAN ASSETS (AS DEFINED IN 29 C.F.R. SECTION 2510.3-101 OR
OTHERWISE UNDER ERISA) BY REASON OF A PLAN'S INVESTMENT IN
THE ENTITY OR (V) A PERSON INVESTING PLAN ASSETS OF ANY SUCH
PLAN (INCLUDING WITHOUT LIMITATION, FOR PURPOSES OF CLAUSE
(IV) AND THIS CLAUSE (V), ANY INSURANCE COMPANY GENERAL
ACCOUNT, BUT EXCLUDING ANY ENTITY REGISTERED UNDER THE
INVESTMENT COMPANY ACT OF 1940, AS AMENDED).
THIS CLASS B CERTIFICATE HAS NOT BEEN AND WILL NOT BE
REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE
"SECURITIES ACT"), OR ANY STATE SECURITIES LAW. THE HOLDER
HEREOF, BY PURCHASING THIS CLASS B CERTIFICATE, AGREES THAT
THIS CLASS B CERTIFICATE MAY BE REOFFERED, RESOLD, PLEDGED
OR OTHERWISE TRANSFERRED ONLY IN COMPLIANCE WITH THE
SECURITIES ACT AND OTHER APPLICABLE LAWS AND ONLY (1) TO THE
TRANSFEROR OR (2) PURSUANT TO RULE 144A UNDER THE
SECURITIES ACT TO A PERSON THAT THE HOLDER REASONABLY
BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER WITHIN THE
MEANING OF RULE 144A ("QIB") PURCHASING FOR ITS OWN ACCOUNT
OR A QIB PURCHASING FOR THE ACCOUNT OF ANOTHER QIB, WHOM THE
HOLDER HAS INFORMED, IN EACH CASE, THAT THE REOFFER, RESALE,
PLEDGE OR OTHER TRANSFER IS BEING MADE IN RELIANCE ON RULE
144A. EACH CERTIFICATE OWNER BY ACCEPTING A BENEFICIAL
INTEREST IN THIS CERTIFICATE IS DEEMED TO REPRESENT THAT IT
IS EITHER A QIB PURCHASING FOR ITS OWN ACCOUNT OR A QIB
PURCHASING FOR THE ACCOUNT OF ANOTHER QIB.
No.__ $_______
CUSIP NO. 929772 AD 3
WACHOVIA CREDIT CARD MASTER TRUST
CLASS B FLOATING RATE
ASSET BACKED CERTIFICATE, SERIES 1999-1
Evidencing an Undivided Interest in a trust, the corpus of which consists
of a portfolio of MasterCard(R) and VISA(R)* credit card receivables
generated or acquired by The First National Bank of Atlanta and other
assets and interests constituting the Trust under the Pooling and
Servicing Agreement described below.
(Not an interest in or obligation of
The First National Bank of Atlanta
or any Affiliate thereof.)
----------------
* MasterCard(R) and VISA(R) are federally registered service marks of
MasterCard International Inc. and of Visa U.S.A., Inc., respectively.
This certifies that CEDE & CO. (the "Class B
Certificateholder") is the registered owner of an Undivided Interest in a
trust (the "Trust"), the corpus of which consists of a portfolio of
receivables (the "Receivables") now existing or hereafter created and
arising in connection with selected MasterCard and VISA credit card
accounts (the "Accounts") of The First National Bank of Atlanta, a national
banking association, all monies due or to become due in payment of the
Receivables (including all Finance Charge Receivables and recoveries on any
charged-off Receivables), the right to certain amounts received as
Intercharge and the Collateral Interest, all proceeds of the foregoing and
the other assets and interests constituting the Trust pursuant to a Pooling
and Servicing Agreement dated as of October 26, 1995 as supplemented by
the Series 1999-1 Supplement dated as of March 24, 1999 (collectively, as
amended from time to time, the "Pooling and Servicing Agreement"), by and
between The First National Bank of Atlanta, as Transferor (the
"Transferor") and as Servicer (the "Servicer"), and The Bank of New York
(Delaware), as Trustee (the "Trustee"), a summary of certain of the
pertinent provisions of which is set forth herein. To the extent not
defined herein, capitalized terms used herein have the respective meanings
assigned to them in the Pooling and Servicing Agreement.
The Series 1999-1 Certificates are issued in two classes, the
Class A Certificates and the Class B Certificates (of which this
certificate is one), which are subordinated to the Class A Certificates in
certain rights of payment as described herein and in the Pooling and
Servicing Agreement.
The Transferor has structured the Pooling and Servicing Agreement
and the Series 1999-1 Certificates with the intention that the Series 1999-
1 Certificates will qualify under applicable tax law as indebtedness, and
each of the Transferor, the Holder of the Transferor Certificate, the
Servicer and each Series 1999-1 Certificateholder (or Series 1999-1
Certificate Owner) by acceptance of its Series 1999-1 Certificate (or in
the case of a Series 1999-1 Certificate Owner, by virtue of such Series
1999-1 Certificate Owner's acquisition of a beneficial interest therein),
agrees to treat and to take no action inconsistent with the treatment of
the Series 1999-1 Certificates (or any beneficial interest therein) as
indebtedness for purposes of federal, state, local and foreign income or
franchise taxes and any other tax imposed on or measured by income. Each
Series 1999-1 Certificateholder agrees that it will cause any Series 1999-1
Certificate Owner acquiring an interest in a Series 1999-1 Certificate
through it to comply with the Pooling and Servicing Agreement as to
treatment of the Series 1999-1 Certificates as indebtedness for certain tax
purposes.
This Class B Certificate is issued under and is subject to the
terms, provisions and conditions of the Pooling and Servicing Agreement, to
which Pooling and Servicing Agreement, as amended from time to time, the
Class B Certificateholder by virtue of the acceptance hereof assents and by
which the Class B Certificateholder is bound. This Class B Certificate is
one of a duly authorized Series of Investor Certificates entitled "Wachovia
Credit Card Master Trust Class B Floating Rate Asset Backed Certificates,
Series 1999-1" (the "Class B Certificates"), each of which represents an
Undivided Interest in the Trust, including the right to receive the
Collections and other amounts allocated to the Class B Certificates at the
times and in the amounts specified in the Pooling and Servicing Agreement
and to be deposited in the Investor Accounts, the Principal Funding Account
and the Reserve Account or paid to the Class B Certificateholders.
Also issued under the Pooling and Servicing Agreement are the
"Wachovia Credit Card Master Trust Class A Floating Rate Asset Backed
Certificates, Series 1999-1" (the "Class A Certificates"), which represent
an Undivided Interest in the Trust, and the "Wachovia Credit Card Master
Trust Collateral Interest, Series 1999-1" (the "Collateral Interest" and,
collectively with the Class A Certificates and the Class B Certificates,
the "Investor Certificates"), which is an undivided interest in the Trust
subordinated to the Class A Certificates and Class B Certificates. The
subordination of the Collateral Interest to the Class B Certificates shall
constitute the Credit Enhancement for the Class B Certificates. The Class
B Certificates are subordinated to the Class A Certificates.
The aggregate interest represented by the Class A Certificates
and the Class B Certificates at any time in the Principal Receivables in
the Trust shall not exceed an amount equal to the Class A Investor Interest
and the Class B Investor Interest, respectively, at such time. As of the
Closing Date, the Class A Initial Investor Interest is $775,000,000, the
Class B Initial Investor Interest is $53,757,250 and the Collateral Initial
Interest is $67,196,550. The Class B Investor Interest on any date of
determination will be an amount equal to (a) the Class B Initial Investor
Interest minus (b) the aggregate amount of payments of principal made to
the Class B Certificateholders prior to such date of determination, minus
(c) the aggregate amount of Class B Investor Charge-Offs pursuant to
subsection 4.10(b) of the Pooling and Servicing Agreement, minus (d) the
amount of Reallocated Class B Principal Collections allocated pursuant to
subsection 4.12(a) for which the Collateral Interest has not been reduced,
minus (e) an amount equal to the amount by which the Class B Investor
Interest has been reduced pursuant to subsection 4.10(a) and plus (f) the
aggregate amount of Excess Spread allocated and available pursuant to
subsection 4.11(d) for the purpose of reimbursing amounts deducted pursuant
to the foregoing clauses (c), (d) and (e); provided, however, that the
Class B Investor Interest may not be reduced below zero.
The Class B Investor Interest together with the Class A Investor
Interest and the aggregate interest represented by the Collateral Interest
in the Principal Receivables in the Trust are sometimes collectively
referred to herein as the "Investor Interest."
In addition to the Class A Certificates, the Class B Certificates
and the Collateral Interest, a Transferor Certificate representing an
undivided interest in the Trust will be issued to the Transferor pursuant
to the Pooling and Servicing Agreement. The Transferor Certificate will
represent the interest in the Principal Receivables not represented by all
of the Series of Investor Certificates issued by the Trust. The Transferor
Certificate may be exchanged by the Transferor pursuant to the Pooling and
Servicing Agreement for a newly issued Series of Investor Certificates and
a reissued Transferor Certificate upon the conditions set forth in the
Pooling and Servicing Agreement.
Interest will accrue on the Class B Certificates from the Closing
Date through April 14, 1999, from April 15, 1999, through May 16, 1999 and
with respect to each Interest Period thereafter, at the rate of LIBOR plus
0.40% per annum, as more specifically set forth in the Pooling and
Servicing Agreement (the "Class B Certificate Rate"), and will be
distributed on May 17, 1999 and on the 15th day of each calendar month
thereafter, or if such day is not a Business Day, on the next succeeding
Business Day (a "Distribution Date"), to the Class B Certificateholders of
record as of the last Business Day of the calendar month preceding such
Distribution Date (the "Record Date"). During the Rapid Amortization
Period, in addition to Class B Monthly Interest, following payment in full
of the Class A Investor Interest, Class B Monthly Principal will be
distributed to the Class B Certificateholder on each Distribution Date
until the Class B Investor Interest has been paid in full. With respect to
the Controlled Accumulated Period following payment in full of the Class A
Investor Interest, Class B Monthly Principal will be distributed to the
Class B Certificateholders on the April 2004 Distribution Date (the "Class
B Scheduled Payment Date"), unless distributed earlier as a result of the
occurrence of a Pay Out Event in accordance with the Pooling and Servicing
Agreement.
On or before each Transfer Date, the Servicer shall instruct the
Trustee in writing to withdraw and the Trustee, acting in accordance with
such instructions, shall withdraw on such Transfer Date, from the Finance
Charge Account to the extent of funds on deposit therein (i) Collections of
Finance Charge Receivables processed as of the end of the preceding Monthly
Period which have been allocated to the Series 1999-1 Certificates, (ii)
with respect to the Class A Certificates, from other amounts constituting
Class A Available Funds, and (iii) with respect to the Class B
Certificates, from other amounts constituting Class B Available Funds, the
following amounts: (x) amounts up to the Class A Monthly Interest; (y) an
amount equal to the product of (i) (A) a fraction, the numerator of which
is the actual number of days in the related Interest Period and the
denominator of which is 360, times (B) the Class B Certificate Rate for
such Interest Period and (ii) the Class B Investor Interest as of the close
of business on the last day of the preceding Monthly Period ("Class B
Monthly Interest"), provided, however, that with respect to the first
Distribution Date, Class B Monthly Interest shall be equal to the interest
accrued on the Class B Initial Investor Interest at the applicable Class A
Certificate Rate for the period from the Closing Date through April 14,
1999 and the period from April 15, 1999 through May 16, 1999; and (z)
amounts up to the Collateral Monthly Interest, in the actual amounts and
manner described in the Pooling and Servicing Agreement.
On each Transfer Date, the Trustee shall apply the Class A
Available Funds withdrawn from the Finance Charge Account, as required by
the Pooling and Servicing Agreement, in the following order of priority:
(i) an amount equal to the Class A Monthly Interest for such Transfer Date,
plus the amount of any Class A Deficiency Amount for such Transfer Date,
plus the amount of any Class A Additional Interest for such Transfer Date,
(ii) an amount equal to the Class A Servicing Fee for such Transfer Date
plus the amount of any Class A Servicing Fee due but not paid on any prior
Transfer Date and (iii) an amount equal to the Class A Investor Default
Amount, if any, for the preceding Monthly Period. The Trustee on each
Transfer Date shall apply the Class B Available Funds withdrawn from the
Finance Charge Account, as required by the Pooling and Servicing Agreement,
in the following order of priority: (i) the Class B Monthly Interest for
such Transfer Date, plus the amount of any Class B Deficiency Amount for
such Transfer Date, plus the amount of any Class B Additional Interest for
such Transfer Date, and (ii) the Class B Servicing Fee for such Transfer
Date plus the amount of any Class B Servicing Fee due but not paid on any
prior Transfer Date. The balance of the amount withdrawn from the Finance
Charge Account allocable to the Series 1999-1 Certificates, if any, after
giving effect to the applications above (and, in certain circumstances,
payments in respect of the Collateral Interest Servicing Fee) shall
constitute "Excess Spread."
On or before the Transfer Date immediately succeeding the Monthly
Period in which the Controlled Accumulated Period or the Rapid Amortization
Period commences and on or before each Transfer Date thereafter, the
Servicer shall instruct the Trustee in writing to withdraw, and the
Trustee, acting in accordance with such instructions, shall withdraw on
such Transfer Date from the Principal Account an amount equal to the
Available Investor Principal Collections on deposit in the Principal
Account and from such amounts, (A) deposit an amount equal to Class A
Monthly Principal (i) during the Controlled Accumulation Period, into the
Principal Funding Account, and (ii) during the Rapid Amortization Period,
into the Distribution Account, (B) after the Class A Investor Interest has
been paid in full, deposit an amount equal to Class B Monthly Principal
into the Distribution Account, and (C) any remaining amounts in the
Principal Account shall be used for payment of Collateral Monthly
Principal.
On the Class B Scheduled Payment Date or on each Distribution
Date with respect to a Rapid Amortization Period, the Trustee shall pay
from amounts on deposit in the Distribution Account an amount equal to the
lesser of the Class B Investor Interest and the amount of Available
Investor Principal Collections on deposit in the Distribution Account with
respect to the related Monthly Period after payment of any Class A Monthly
Principal, and after the Class B Investor Interest has been paid in full
(after taking into account distributions to be made on the related
Distribution Date), Available Investor Principal Collections shall be
applied to the Collateral Interest as specified in the Pooling and
Servicing Agreement.
On each Distribution Date, the Trustee shall pay to the Class A
Certificateholders and the Class B Certificateholders the amount deposited
on the related Transfer Date into the Distribution Account in respect of
Class A Monthly Interest and Class B Monthly Interest, respectively. On
each Transfer Date, the Trustee shall pay to the Collateral Interest Holder
the Collateral Monthly Interest, to the extent funds are available.
Distributions with respect to this Series 1999-1 Certificate will be made
by the Trustee by, except as otherwise provided in the Pooling and
Servicing Agreement, check mailed to the address of each Series 1999-1
Certificateholder of record appearing in the Certificate Register and
except for the final distribution in respect of this Series 1999-1
Certificate, without the presentation or surrender of this Series 1999-1
Certificate or the making of any notation thereon; provided, however, that
with respect to Series 1999-1 Certificates registered in the name of the
nominee of a Clearing Agency, distributions will be made in the form of
immediately available funds.
This Class B Certificate represents an interest in only the
Wachovia Credit Card Master Trust. This Class B Certificate does not
represent an obligation of, or an interest in, the Transferor or the
Servicer, and neither the Series 1999-1 Certificates nor the Accounts or
Receivables are insured or guaranteed by the Federal Deposit Insurance
Corporation or any other governmental agency. This Series 1999-1
Certificate is limited in right of payment to certain collections
respecting the Receivables, all as more specifically set forth hereinabove
and in the Pooling and Servicing Agreement.
The Transfer of this Class B Certificate shall be registered in
the Certificate Register upon surrender of this agency maintained by the
Transfer Agent and Registrar accompanied by a written instrument of
transfer in a form satisfactory to the Trustee and the Transfer Agent and
Registrar duly executed by the Class B Certificateholder or such Class B
Certificateholder's attorney-in-fact duly authorized in writing, and
thereupon one or more new Class B Certificates of authorized denominations
and for the same aggregate Undivided Interests will be issued to the
designated transferee or transferees.
The Servicer, the Trustee and the Transfer Agent and Registrar,
and any agent of any of them, may treat the Person in whose name this Class
B Certificate is registered as the owner hereof for all purposes, and
neither the Servicer, the Trustee, the Paying Agent, the Transfer Agent and
Registrar, nor any agent of any of them or of any such agent shall be
affected by notice to the contrary except in certain circumstances
described in the Pooling and Servicing Agreement.
The Pooling and Servicing Agreement provides that the right of
the Series 1999-1 Certificateholders to receive payment from the Trust will
terminate on the first Business Day following the Series 1999-1 Termination
Date. Upon the termination of the Trust pursuant to Section 12.1 of the
Pooling and Servicing Agreement, the Trustee shall assign and convey to the
Holder of the Transferor Certificate (without recourse, representation or
warranty) all right, title and interest of the Trust in the Receivables,
whether then existing or thereafter created, and all proceeds of such
Receivables and Insurance Proceeds relating to such Receivables. The
Trustee shall execute and deliver such instruments of transfer and
assignment, in each case without recourse, as shall be prepared by the
Servicer reasonably requested by the Holder of the Transferor Certificate
to vest in such Holder all right, title and interest which the Trustee had
in the Receivables.
Unless the certificate of authentication hereon has been executed
by or on behalf of the Trustee, by manual signature, this Class B
Certificate shall not be entitled to any benefit under the Pooling and
Servicing Agreement, or be valid for any purpose.
IN WITNESS WHEREOF, The First National Bank of Atlanta has caused
this Class B Certificate to be duly executed by a duly authorized officer.
By:___________________________
Authorized Officer
Date:__________________
Form of Trustee's Certificate of Authentication
CERTIFICATE OF AUTHENTICATION
This is one of the Class B Certificates referred to in the
within-mentioned Pooling and Servicing Agreement.
THE BANK OF NEW YORK (Delaware),
Trustee
By: ___________________________
Authorized Signatory
EXHIBIT B
FORM OF MONTHLY PAYMENT INSTRUCTIONS AND NOTIFICATION
TO THE TRUSTEE
THE BANK OF NEW YORK (DELAWARE)
WACHOVIA CREDIT CARD MASTER TRUST SERIES 1999-1
MONTHLY PERIOD ENDING __________ __, ____
Capitalized terms used in this notice have their respective meanings set
forth in the Pooling and Servicing Agreement. References herein to certain
sections and subsections are references to the respective sections and
subsections of the Pooling and Servicing Agreement as supplemented by the
Series 1999-1 Supplement. This notice is delivered pursuant to Section
4.9.
A) The First National Bank of Atlanta is the Servicer under the
Pooling and Servicing Agreement.
B) The undersigned is a Servicing Officer.
C) The date of this notice is on or before the related Transfer Date
under the Pooling and Servicing Agreement.
I. INSTRUCTION TO MAKE A WITHDRAWAL
Pursuant to Section 4.9, the Servicer does hereby instruct the Trustee (i)
to make withdrawals from the Finance Charge Account, the Principal Account,
the Principal Funding Account and the Distribution Account on ___________
__, ____, which date is a Transfer Date under the Pooling and Servicing
Agreement, in aggregate amounts set forth below in respect of the following
amounts and (ii) to apply the proceeds of such withdrawals in accordance
with accordance with subsection 3(a) of the Series 1999-1 Supplement and
Section 4.9 of the Pooling and Servicing Agreement:
A. Pursuant to subsection 3(a) of the Series 1999-1 Supplement:
1. Servicer Interchange $_____________
B. Pursuant to subsection 4.9(a)(i):
1. Class A Monthly Interest at the Class A
Certificate Rate on the Class A Investor
Interest $_____________
2. Class A Deficiency Amount $_____________
3. Class A Additional Interest $_____________
C. Pursuant to subsection 4.9(a)(ii):
1. Class A Servicing Fee $_____________
2. Accrued and unpaid Class A Servicing Fee $_____________
D. Pursuant to subsection 4.9(a)(iii):
1. Class A Investor Default Amount $_____________
E. Pursuant to subsection 4.9(a)(iv):
1. Portion of Excess Spread from Class A
Available Funds to be allocated and
distributed as provided in Section 4.11 $_____________
F. Pursuant to subsection 4.9(b)(i):
1. Class B Monthly Interest at the Class B
Certificate Rate on the Class B Investor
Interest $_____________
2. Class B Deficiency Amount $_____________
3. Class B Additional Interest $_____________
G. Pursuant to subsection 4.9(b)(ii):
1. Class B Servicing Fee $_____________
2. Accrued and unpaid Class B Servicing Fee $_____________
H. Pursuant to subsection 4.9(b)(iii):
1. Portion of Excess Spread from Class B
Available Funds to be allocated and
distributed as provided in Section 4.11 $_____________
I. Pursuant to subsection 4.9(c)(i):
1. Collateral Interest Servicing Fee,
if applicable $_____________
2. Accrued and unpaid Collateral Interest
Servicing Fee, if applicable $_____________
J. Pursuant to subsection 4.9(c)(ii):
1. Portion of Excess Spread from Collateral
Available Funds to be allocated and
distributed as provided in Section 4.11 $_____________
Total $
=============
K. Pursuant to subsection 4.9(d)(i):
1. Collateral Monthly Principal, if any,
applied in accordance with the Loan Agreement $_____________
L. Pursuant to subsection 4.9(d)(ii):
1. Amount to be treated as Shared Principal
Collections $_____________
M. Pursuant to subsection 4.9(d)(iii):
1. Amount to be paid to the Holder of the
Transferor Certificate $_____________
2. Amount to be deposited in the Excess
Funding Account $_____________
N. Pursuant to subsection 4.9(e)(i):
1. Class A Monthly Principal $_____________
O. Pursuant to subsection 4.9(e)(ii):
1. Class B Monthly Principal $_____________
P. Pursuant to subsection 4.9(e)(iii):
1. Collateral Monthly Principal to be
applied in accordance with the
Loan Agreement $_____________
Q. Pursuant to subsection 4.9(e)(iv):
1. Amount to be treated as Shared Principal
Collections $_____________
R. Pursuant to subsection 4.9(e)(v):
1. Amount to be paid to the Holder of the
Transferor Certificate $_____________
2. Amount to be deposited in the Excess
Funding Account $_____________
Total $
=============
S. Pursuant to subsection 4.9(f):
1. Amount to be withdrawn from the Principal
Funding Account and deposited into the
Distribution Account $_____________
II. INSTRUCTION TO MAKE CERTAIN PAYMENTS
Pursuant to Section 4.9, the Servicer does hereby instruct the Trustee to
pay in accordance with Section 5.1 from the Distribution Account on
__________ __, ____, which date is a Distribution Date under the Pooling
and Servicing Agreement, amounts so deposited in the Distribution Account
pursuant to Section 4.9 as set forth below:
A. Pursuant to subsection 4.9(g):
1. Amount to be distributed to Class A
Certificateholders $_____________
2. Amount to be distributed to Class B
Certificateholders $_____________
B. Pursuant to subsection 4.9(h)(i):
1. Amount to be distributed to the Class A
Certificateholders $_____________
C. Pursuant to subsection 4.9(h)(ii):
1. Amount to be distributed to the Class B
Certificateholders $_____________
III. APPLICATION OF EXCESS SPREAD
Pursuant to Section 4.11, the Servicer does hereby instruct the Trustee to
apply the Excess Spread with respect to the related Monthly Period and to
make the following distributions in the following priority:
A. The amount equal to the Class A Required
Amount, if any, which will be used to fund
the Class A Required Amount and be applied
in accordance with, and in the priority set
forth in, subsection 4.9(a) $_____________
B. The amount equal to the aggregate amount of
Class A Investor Charge- Offs which have not
been previously reimbursed which will be
treated as a portion of Investor Principal
Collections and deposited into the Principal
Account on such Transfer Date $_____________
C. The amount equal to the Class B Required
Amount, if any, which will be used to fund
the Class B Required Amount and be applied
first in accordance with, and in the
priority set forth in, subsection 4.9(b) and
then any amount available to pay the Class B
Investor Default Amount shall be treated as
a portion of Investor Principal Collections
and deposited into the Principal Account $_____________
D. The amount equal to the aggregate amount by
which the Class B Investor Interest has been
reduced below the initial Class B Investor
Interest for reasons other than the payment
of principal to the Class B
Certificateholders (but not in excess of the
aggregate amount of such reductions which
have not been previously reimbursed) which
will be treated as a portion of Investor
Principal Collections and deposited into the
Principal Account $_____________
E. The amount equal to the Collateral Monthly
Interest plus the amount of any past due
Collateral Monthly Interest which will be
paid to the Collateral Interest Holder for
application in accordance with the Loan
Agreement $_____________
F. The amount equal to the aggregate amount of
accrued but unpaid Collateral Interest
Servicing Fees which will be paid to the
Servicer if the Transferor an Affiliate
thereof, The Bank of New York (Delaware) or
an Affiliate thereof is the Servicer $_____________
G. The amount equal to the Collateral Default
Amount, if any, for the prior Monthly Period
which will be treated as a portion of
Investor Principal Collections and deposited
into the Principal Account $_____________
H. The amount equal to the aggregate amount by
which the Collateral Interest has been
reduced below the Required Collateral
Interest for reasons other than the payment
of principal to the Collateral Interest
Holder (but not in excess of the aggregate
amount of such reductions have not been
previously reimbursed) will be treated as a
portion of Investor Principal Collections
and deposited into the Principal Account $_____________
I. On each Transfer Date from and after the
Reserve Account Funding Date, but prior to
the date on which the Reserve Account
terminates as described in subsection
4.16(f), the amount up to the excess, if
any, of the Required Reserve Account Amount
over the Available Reserve Account Amount
which shall be deposited into the Reserve
Account $_____________
J. The amount equal to the amounts determined
to be payable to the Collateral Interest
Holder for application pursuant to the Loan
Agreement $_____________
K. The balance, if any, after giving effect to
the payments made pursuant to subparagraphs
(a) through (j) above which shall constitute
"Shared Excess Finance Charge Collections"
with respect to other Series in Group One. $_____________
IV. REALLOCATED PRINCIPAL COLLECTIONS
Pursuant to Section 4.12, the Servicer does hereby instruct the Trustee to
withdraw from the Principal Account and apply Reallocated Principal
Collections pursuant to Section 4.12 with respect to the related Monthly
Period in the following amounts:
A. Reallocated Collateral Principal Collections $_____________
B. Reallocated Class B Principal Collections $_____________
V. ACCRUED AND UNPAID AMOUNTS
After giving effect to the withdrawals and transfers to be made in
accordance with this notice, the following amounts will be accrued and
unpaid with respect to all Monthly Periods preceding the current calendar
month
A. Subsection 4.9(a)(i) and (b)(i):
1. The aggregate amount of the Class A
Deficiency Amount $_____________
2. The aggregate amount of Class B Deficiency
Amount $_____________
B. Subsections 4.9(a)(ii) and (b)(ii):
The aggregate amount of all accrued and
unpaid Investor Monthly Servicing Fees $_____________
C. Section 4.10:
The aggregate amount of all unreimbursed
Investor Charge Offs $_____________
IN WITNESS WHEREOF, the undersigned has duly executed this
certificate this ____ day of __________, ____.
THE FIRST NATIONAL BANK
OF ATLANTA,
Servicer
By:_________________________
Name:
Title:
EXHIBIT C
FORM OF MONTHLY SERIES 1999-1 CERTIFICATEHOLDERS' STATEMENT
THE FIRST NATIONAL BANK OF ATLANTA
________________________________________________
WACHOVIA CREDIT CARD MASTER TRUST
________________________________________________
The information which is required to be prepared with respect to
the distribution date of ___________ __, ____ and with respect to the
performance of the Trust during the related Monthly period.
Capitalized terms used in this Statement have their respective
meanings set forth in the Pooling and Servicing Agreement.
D. Information Regarding the Current Monthly Distribution (Stated on the
Basis of $1,000 Original Certificate Principal Amount)
1. The amount of the current monthly
distribution in respect of Class A
Monthly Principal . . . . . . . . . . . . . . . . . . $_________
2. The amount of the currently monthly
distribution in respect of Class B
Monthly Principal . . . . . . . . . . . . . . . . . . $_________
3. The amount of the currently monthly
distribution in respect of Collateral
Monthly Principal . . . . . . . . . . . . . . . . . . $_________
4. The amount of the currently monthly
distribution in respect of Class A
Monthly Interest . . . . . . . . . . . . . . . . . . $_________
5. The amount of the currently monthly
distribution in respect of Class A
Deficiency Amounts . . . . . . . . . . . . . . . . . $_________
6. The amount of the currently monthly
distribution in respect of Class A
Additional Interest . . . . . . . . . . . . . . . . . $_________
7. The amount of the currently monthly
distribution in respect of Class B
Monthly Interest . . . . . . . . . . . . . . . . . . $_________
8. The amount of the currently monthly
distribution in respect of Class B
Deficiency Amounts . . . . . . . . . . . . . . . . . $_________
9. The amount of the currently monthly
distribution in respect of Class B
Additional Interest . . . . . . . . . . . . . . . . . $_________
10. The amount of the currently monthly
distribution in respect of Collateral
Monthly Interest . . . . . . . . . . . . . . . . . . $_________
11. The amount of the currently monthly
distribution in respect of any
accrued and unpaid Collateral
Monthly Interest . . . . . . . . . . . . . . . . . . $_________
E. Information Regarding the Performance of the Trust
1. Collection of Principal Receivables
(a) The aggregate amount of
Collections of Principal
Receivables processed during
the related Monthly Period
which were allocated in respect
of the Class A Certificates . . . . . . . . . . $_________
(b) The aggregate amount of
Collections of Principal
Receivables processed during
the related Monthly Period
which were allocated in respect
of the Class B Certificates . . . . . . . . . . $_________
(c) The aggregate amount of
Collections of Principal
Receivables processed during
the related Monthly Period
which were allocated in respect
of the Collateral Interest . . . . . . . . . . . $_________
2. Principal Receivables in the Trust
(a) The aggregate amount of
Principal Receivables in the
Trust as of the end of the
day on the last day of the
related Monthly Period . . . . . . . . . . . . . $_________
(b) The amount of Principal
Receivables in the Trust
represented by the Investor
Interest of Series 1999-1
as of the end of the day on
the last day of the related
Monthly Period . . . . . . . . . . . . . . . . . $_________
(c) The amount of Principal
Receivables in the Trust
represented by the Series
1999-1 Adjusted Investor
Interest as of the end of
the day on the last day of
the related Monthly Period . . . . . . . . . . . $_________
(d) The amount of Principal
Receivables in the Trust
represented by the Class A
Investor Interest as of the
end of the day on the last
day of the related Monthly
Period . . . . . . . . . . . . . . . . . . . . . $_________
(e) The amount of Principal
Receivables in the Trust
represented by the Class A
Adjusted Investor Interest
as of the end of day on the
last day of the related Monthly
Period . . . . . . . . . . . . . . . . . . . . . $_________
(f) The amount of Principal
Receivables in the Trust
represented by the Class B
Investor Interest as of the
end of the day on the last
day of the related Monthly
Period . . . . . . . . . . . . . . . . . . . . . $_________
(g) The amount of Principal
Receivables in the Trust
represented by the Collateral
Interest as of the end of
the date on the last day of
the related Monthly Period . . . . . . . . . . . $_________
(h) The Floating Investor Percentage
with respect to the related
Monthly Period . . . . . . . . . . . . . . . . . $_________
(i) The Class A Floating Allocation
with respect to the related
Monthly Period . . . . . . . . . . . . . . . . . _____%
(j) The Class B Floating Allocation
with respect to the related
Monthly Period . . . . . . . . . . . . . . . . . _____%
(k) The Collateral Floating Allocation
with respect to the related
Monthly Period . . . . . . . . . . . . . . . . . _____%
(l) The Fixed Investor Percentage
with respect to the related
Monthly Period . . . . . . . . . . . . . . . . . _____%
(m) The Class A Fixed Allocation
with respect to the related
Monthly Period . . . . . . . . . . . . . . . . . _____%
(n) The Class B Fixed Allocation
with respect to the related
Monthly Period . . . . . . . . . . . . . . . . . _____%
(o) The Collateral Fixed Allocation
with respect to the related
Monthly Period . . . . . . . . . . . . . . . . . _____%
3. Delinquent Balances
The aggregate amount of outstanding balances in the Accounts
which were delinquent as of the end of the day on the last day of
the related Monthly Period:
Aggregate Percentage
Account of Total
Balance Receivables
(a) 30 - 59 days: $___________ ____%
(b) 60 - 89 days: $___________ ____%
(c) 90 - or more days: $___________ ____%
Total: $___________ ____%
4. Investor Default Amount
(a) The Aggregate Investor Default
Amount for the related Monthly
Period . . . . . . . . . . . . . . . . . . . . . $_________
(b) The Class A Investor Default
Amount for the related Monthly
Period . . . . . . . . . . . . . . . . . . . . . $_________
(c) The Class B Investor Default
Amount for the related Monthly
Period . . . . . . . . . . . . . . . . . . . . . $_________
(d) The Collateral Default Amount
for the related Monthly Period . . . . . . . . . $_________
5. Investor Charge Offs
(a) The aggregate amount of
Class A Investor Charge-Offs
for the related Monthly Period . . . . . . . . . $_________
(b) The aggregate amount of
Class A Investor Charge-Offs
set forth in 5(a) above per
$1,000 of original Certificate
principal amount . . . . . . . . . . . . . . . . $_________
(c) The aggregate amount of Class B
Investor Charge-Offs for the re-
lated Monthly Period . . . . . . . . . . . . . . $_________
(d) The aggregate amount of Class B
Investor Charge-Offs set forth
in 5(c) above per $1,000 of
original certificate principal
amount . . . . . . . . . . . . . . . . . . . . . $_________
(e) The aggregate amount of
Collateral Charge-Offs for the
related Monthly Period . . . . . . . . . . . . . $_________
(f) The aggregate amount of
Collateral Charge-Offs set
forth in 5(e) above per $1,000
of original certificate principal
amount . . . . . . . . . . . . . . . . . . . . . $_________
(g) The aggregate amount of Class A
Investor Charge-Offs reimbursed
on the Transfer Date immediately
preceding this Distribution Date . . . . . . . . $_________
(h) The aggregate amount of Class A
Investor Charge-Offs set forth
in 5(g) above per $1,000 original
certificate principal amount re-
imbursed on the Transfer Date
immediately preceding this
Distribution Date . . . . . . . . . . . . . . . $_________
(i) The aggregate amount of Class B
Investor Charge-Offs reimbursed
on the Transfer Date immediately
preceding this Distribution Date . . . . . . . . $_________
(j) The aggregate amount of Class B
Investor Charge-Offs set forth
in 5(i) above per $1,000 original
certificate principal amount re-
imbursed on the Transfer Date
immediately preceding this
Distribution Date . . . . . . . . . . . . . . . $_________
(k) The aggregate amount of
Collateral Charge-Offs reimbursed
on the Transfer Date immediately
preceding this Distribution Date . . . . . . . . $_________
(l) The aggregate amount of
Collateral Charge-Offs set
forth in 5(k) above per $1,000
original certificate principal
amount reimbursed on the Transfer
Date immediately preceding
Distribution Date . . . . . . . . . . . . . . . $_________
6. Investor Servicing Fee
(a) The amount of the Class A
Servicing Fee payable by the
Trust to the Servicer for
the related Monthly Period . . . . . . . . . . . $_________
(b) The amount of the Class B
Servicing Fee payable by the
Trust to the Servicer for
the related Monthly Period . . . . . . . . . . . $_________
(c) The amount of the Collateral
Interest Servicing Fee payable
by the Trust to the Servicer for
the related Monthly Period . . . . . . . . . . . $_________
7. Reallocations
(a) The amount of Reallocated
Collateral Principal
Collections with respect to
this Distribution Date . . . . . . . . . . . . . $_________
(b) The amount of Reallocated
Class B Principal Collections
with respect to this Distri-
bution Date . . . . . . . . . . . . . . . . . . $_________
(c) The Collateral Interest as
of the close of business on
this Distribution Date . . . . . . . . . . . . . $_________
(d) The Class B Investor Interest
as of the close of business
on this Distribution Date . . . . . . . . . . . $_________
8. Collection of Finance Charge Receivables
(a) The aggregate amount of
Collections of Finance Charge
Receivables processed during the
related Monthly Period which
were allocated in respect of the
Class A Certificate . . . . . . . . . . . . . . $_________
(b) The aggregate amount of
Collections of Finance Charge
Receivables processed during the
related Monthly Period which
were allocated in respect of
the Class B Certificates . . . . . . . . . . . . $_________
(c) The aggregate amount of
Collections of Finance Charge
Receivables processed during the
related Monthly Period which
were allocated in respect of
the Collateral Interest . . . . . . . . . . . . $_________
9. Principal Funding Amount
(a) The principal amount on
deposit in the Principal
Funding Accounted on the
related Transfer Date . . . . . . . . . . . . . $_________
(b) The Accumulation Shortfall
with respect to the related
Monthly Period . . . . . . . . . . . . . . . . . $_________
(c) The Principal Funding In-
vestment Proceeds deposited
in the Finance Charge Account
on the related Transfer Date . . . . . . . . . . $_________
(d) The amount of all or the
portion of the Reserve Draw
Amount deposited in the
Finance Charge Account on the
related Transfer Date from
the Reserve Account . . . . . . . . . . . . . . $_________
10. Reserve Draw Amount . . . . . . . . . . . . . . . . . $_________
11. Available Funds
(a) The amount of Class A
Available Funds on deposit
in the Finance Charge Account
on the related Transfer Date . . . . . . . . . . $_________
(b) The amount of Class B
Available Funds on deposit
in the Finance Charge Account
on the related Transfer Date . . . . . . . . . . $_________
(c) The amount of Collateral
Available Funds on deposit in
the Finance Charge Account on
the related Transfer Date . . . . . . . . . . . $_________
12. Portfolio Yield
(a) The Portfolio Yield for the
related Monthly Period . . . . . . . . . . . . . ____%
(b) The Portfolio Adjusted Yield
for the related Monthly Period . . . . . . . . . ____%
F. Floating Rate Determinations
1. LIBOR for the Interest Period
ending on this Distribution Date . . . . . . . . . . ____%
THE FIRST NATIONAL BANK
OF ATLANTA
Servicer
By: __________________________
Name:
Title:
SCHEDULE TO EXHIBIT C
SCHEDULE TO MONTHLY SERVICER'S CERTIFICATE
MONTHLY PERIOD ENDING _________ __, ____
THE FIRST NATIONAL BANK OF ATLANTA
WACHOVIA CREDIT CARD MASTER TRUST SERIES 1999-1
1. The aggregate amount of the Investor
Percentage of Collections of Principal
Receivables . . . . . . . . . . . . . . . . . . . . . . . $_________
2. The aggregate amount of the Investor
Percentage of Collections of Finance
Charge Receivables (excluding Interchange) . . . . . . . . $_________
3. The aggregate amount of the Investor
Percentage of Interchange . . . . . . . . . . . . . . . . $_________
4. The aggregate amount of Servicer
Interchange . . . . . . . . . . . . . . . . . . . . . . . $_________
5. The aggregate amount of funds on de-
posit in Finance Charge Account
allocable to the Series 1999-1
Certificates . . . . . . . . . . . . . . . . . . . . . . . $_________
6. The aggregate amount of funds on
deposit in the Principal Account
allocable to the Series 1999-1
Certificates . . . . . . . . . . . . . . . . . . . . . . . $_________
7. The aggregate amount of fund on
deposit in the Principal Funding
Account allocable to the Series 1999-1
Certificates . . . . . . . . . . . . . . . . . . . . . . . $_________
8. The aggregate amount to be withdrawn
from the Finance Charge Account and
paid in accordance with the Loan
Agreement pursuant to Section 4.11 . . . . . . . . . . . . $_________
9. The excess, if any, of the Required
Collateral Interest over the sum of the
Collateral Interest . . . . . . . . . . . . . . . . . . . $_________
10. The Collateral Interest on the Transfer
Date of the current calendar month,
after giving effect to the deposits and
withdrawals on such Transfer Date is
equal to . . . . . . . . . . . . . . . . . . . . . . . . . $_________
11. The amount of Monthly Interest,
Deficiency Amounts and Additional
Interest payable to the
(i) Class A Certificateholders . . . . . . . . . . . . . . $_________
(ii) Class B Certificateholders . . . . . . . . . . . . . $_________
(iii) Collateral Interest Holder . . . . . . . . . . . . . $_________
12. The amount of principal payable to the
(i) Class A Certificateholders . . . . . . . . . . . . . . $_________
(ii) Class B Certificateholders . . . . . . . . . . . . . $_________
(iii) Collateral Interest Holder . . . . . . . . . . . . . $_________
13. The sum of all amounts payable to the
(i) Class A Certificateholders . . . . . . . . . . . . . . $_________
(ii) Class B Certificateholders . . . . . . . . . . . . . $_________
(iii) Collateral Interest Holder . . . . . . . . . . . . . $_________
14. To the knowledge of the undersigned, no
Series 1999-1 Pay Out Event or Trust
Pay Out Event has occurred except as
described below:
None
IN WITNESS WHEREOF, the undersigned has duly executed and
delivered this Certificate this ___th day of ______________, ____.
THE FIRST NATIONAL BANK
OF ATLANTA
Servicer
By: __________________________
Name:
Title:
