Exhibit 99.4
EXECUTION COPY
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Date: September 29, 2006
To: Xxxxxx Xxxxxxx Mortgage Loan Trust 2006-13ARX From: Xxxxxx Xxxxxxx Capital Services Inc.
Attn: Xxxxx Fargo Bank, National Association Contact: Xxxxxx Xxxxx
0000 Xxx Xxxxxxxxx Xxxx
Xxxxxxxx, XX 00000
Attention: Client Manager, MSM 0000-00XXX
Fax: (000) 000-0000 Fax: (000) 000-0000
Tel: (000) 000-0000 Tel: (000) 000-0000
REFERENCE NUMBER: FRWR7
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The purpose of this letter agreement (this "Confirmation") is to confirm the
terms and conditions of the Swap Transaction entered into on the Trade Date
specified below (the "Transaction") between Xxxxxx Xxxxxxx Capital Services Inc.
("Party A") and Xxxxx Fargo Bank, National Association, solely in its capacity
as securities administrator (the "Securities Administrator") on behalf of the
Xxxxxx Xxxxxxx Mortgage Loan Trust 2006-13ARX ("Party B") pursuant to the
Pooling and Servicing Agreement (the "PSA"), dated as of September 1, 2006,
among Xxxxxx Xxxxxxx Capital I Inc. (the "Depositor"), the Securities
Administrator as master servicer and securities administrator and LaSalle Bank
National Association as trustee (the "Trustee").
The definitions and provisions contained in the 2000 ISDA Definitions (the
"Definitions"), as published by the International Swaps and Derivatives
Association, Inc., are incorporated into this Confirmation. In the event of any
inconsistency between the Definitions and this Confirmation, this Confirmation
will govern. Terms capitalized but not defined in this Confirmation (including
the Definitions) have the meanings attributed to them in the PSA.
This Confirmation constitutes a "Confirmation" as referred to in, and
supplements, forms part of and is subject to, the ISDA Master Agreement dated as
of September 29, 2006, as amended and supplemented from time to time (the
"Agreement"), between Party A and Party B. All provisions contained in the
Agreement govern this Confirmation except as expressly modified below.
1. The terms of the particular Transaction to which this Confirmation
relates are as follows:
Notional Amount:................................. With respect to any Calculation Period, the amount set
forth for such Calculation Period in Schedule I attached
hereto.
Trade Date:...................................... September 21, 2006
Effective Date:.................................. September 29, 2006
Termination Date:................................ September 25, 2011, subject to adjustment in accordance
with the Business Day Convention
Fixed Amounts:
Fixed Rate Payer:....................... Party B
Fixed Rate Payer Payment Dates:......... The 25th calendar day of each month during the Term of
this Transaction, commencing October 25, 2006 and ending
on the Termination Date, subject to adjustment in
accordance with the Business Day Convention
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Fixed Rate Payer Period End Dates:...... The 25th calendar day of each month during the Term of
this Transaction, commencing October 25, 2006 and ending
on September 25, 2011, subject to No Adjustment.
Fixed Rate:............................. 5.20%
Fixed Amount:........................... To be determined in accordance with the following
formula: 10 * Fixed Rate * Notional Amount * Fixed Rate
Day Count Fraction.
Fixed Rate Day Count Fraction:.......... 30/360
Floating Amounts:
Floating Rate Payer:.................... Party A
Floating Rate Payer Payment Dates:...... Early Payment shall be applicable. For each Calculation
Period, the Floating Rate Payer Payment Date shall be the
first Business Day prior to the related Floating Rate
Payer Period End Date.
Floating Rate Payer Period End Dates:... The 25th calendar day of each month during the Term of
this Transaction, commencing October 25, 2006 and ending
on the Termination Date, subject to adjustment in
accordance with the Business Day Convention.
Floating Rate Option:................... USD-LIBOR-BBA
Floating Amount:........................ To be determined in accordance with the following
formula: 10 * Floating Rate * Notional Amount *Floating
Rate Day Count Fraction.
Designated Maturity:.................... One month
Floating Rate Day Count Fraction:....... Actual/360
Reset Dates:............................ The first day of each Calculation Period.
Compounding:............................ Inapplicable
Business Days:.......................... New York
Business Day Convention:................ Following
Amendment to Section 2(c) of the Agreement: Notwithstanding anything to the contrary in Section 2(c)
of the Agreement, amounts that are payable with respect
to Calculation Periods which end in the same calendar
month (prior to any adjustment of period end dates) shall
be netted, as provided in Section 2(c) of the Agreement,
even if such amounts are not
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due on the same payment date. For avoidance of doubt any
payments pursuant to Section 6(e) of the Agreement shall
not be subject to netting.
2. Account Details and Settlement Information:
Payments to Party A:
Citibank, New York
ABA No.: 021 000 089
Account No.: 4072-4601
Account Name: Xxxxxx Xxxxxxx Capital Services Inc.
Payments to Party B:
Xxxxx Fargo Bank, National Association
ABA No. 000-000-000
Account Name: Corporate Trust Clearing
Account No. 0000000000 for further credit to 50949301,
MSM 2006-13ARX
Ref: MSM 2006-13ARX
3. Fiduciary Capacity. It is expressly understood and agreed by the parties
hereto that (i) this Confirmation is executed and delivered by Xxxxx
Fargo Bank, National Association, not in its individual capacity but
solely as Securities Administrator on behalf of the Trustee under the
PSA in the exercise of the powers and authority conferred to and vested
in it thereunder, (ii) each of the representations, undertakings and
agreements herein made on behalf of the trust created under the PSA is
made and intended not as personal representation, undertaking or
agreement of the Securities Administrator, but is made and intended for
the purpose of binding only such trust and (iii) under no circumstances
shall Xxxxx Fargo Bank, National Association in its individual capacity
be personally liable for the payment of any indebtedness or expenses or
be personally liable for the breach or failure of any obligation,
representation, warranty or covenant made or undertaken under this
Confirmation.
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We are very pleased to have entered into this Transaction with you and we look
forward to completing other transactions with you in the near future.
Very truly yours,
XXXXXX XXXXXXX CAPITAL SERVICES INC.
By:/s/ Xxxxxxxxx Xxxxxx
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Name: Xxxxxxxxx Xxxxxx
Title: Authorized Signatory
Party B, acting through its duly authorized signatory, hereby agrees to, accepts
and confirms the terms of the foregoing as of the Trade Date.
XXXXX FARGO BANK, NATIONAL ASSOCIATION,
acting not in its individual capacity
but solely as Securities Administrator
on behalf of XXXXXX XXXXXXX MORTGAGE
LOAN TRUST 2006-13ARX
By:/s/ Xxxxxxxx Xxxxx
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Name: Xxxxxxxx Xxxxx
Title: Vice President
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SCHEDULE I
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Line Calculation Period NotionalAmount ($) Multiplier
---- ------------------------------- ------------------ ----------
1 10/25/2006 11/25/2006 59,946,856.60 10
2 11/25/2006 12/25/2006 56,999,406.63 10
3 12/25/2006 1/25/2007 54,195,419.78 10
4 1/25/2007 2/25/2007 51,527,922.26 10
5 2/25/2007 3/25/2007 48,990,298.81 10
6 3/25/2007 4/25/2007 46,576,227.61 10
7 4/25/2007 5/25/2007 44,279,694.49 10
8 5/25/2007 6/25/2007 42,094,977.96 10
9 6/25/2007 7/25/2007 40,016,635.01 10
10 7/25/2007 8/25/2007 38,039,487.53 10
11 8/25/2007 9/25/2007 36,158,609.40 10
12 9/25/2007 10/25/2007 34,369,314.26 10
13 10/25/2007 11/25/2007 32,667,143.85 10
14 11/25/2007 12/25/2007 31,047,856.88 10
15 12/25/2007 1/25/2008 29,507,418.47 10
16 1/25/2008 2/25/2008 28,041,990.16 10
17 2/25/2008 3/25/2008 26,622,367.99 10
18 3/25/2008 4/25/2008 25,297,441.91 10
19 4/25/2008 5/25/2008 24,037,033.57 10
20 5/25/2008 6/25/2008 22,827,046.68 10
21 6/25/2008 7/25/2008 21,301,404.98 10
22 7/25/2008 8/25/2008 19,946,861.25 10
23 8/25/2008 9/25/2008 18,813,319.49 10
24 9/25/2008 10/25/2008 17,789,843.14 10
25 10/25/2008 11/25/2008 16,855,521.95 10
26 11/25/2008 12/25/2008 16,006,283.50 10
27 12/25/2008 1/25/2009 15,198,400.95 10
28 1/25/2009 2/25/2009 14,429,860.87 10
29 2/25/2009 3/25/2009 13,698,747.83 10
30 3/25/2009 4/25/2009 13,003,239.65 10
31 4/25/2009 5/25/2009 12,341,602.82 10
32 5/25/2009 6/25/2009 11,712,188.24 10
33 6/25/2009 7/25/2009 11,014,082.99 10
34 7/25/2009 8/25/2009 9,905,172.32 10
35 8/25/2009 9/25/2009 8,404,030.83 10
36 9/25/2009 10/25/2009 7,902,089.65 10
37 10/25/2009 11/25/2009 7,485,866.36 10
38 11/25/2009 12/25/2009 7,458,403.81 10
39 12/25/2009 1/25/2010 7,084,718.77 10
40 1/25/2010 2/25/2010 6,729,230.92 10
41 2/25/2010 3/25/2010 6,391,054.33 10
42 3/25/2010 4/25/2010 6,069,346.22 10
43 4/25/2010 5/25/2010 5,763,304.81 10
44 5/25/2010 6/25/2010 5,472,167.34 10
45 6/25/2010 7/25/2010 5,195,208.20 10
46 7/25/2010 8/25/2010 4,929,381.34 10
47 8/25/2010 9/25/2010 4,678,859.41 10
48 9/25/2010 10/25/2010 4,440,538.19 10
49 10/25/2010 11/25/2010 4,213,823.65 10
50 11/25/2010 12/25/2010 3,998,150.68 10
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Line Calculation Period NotionalAmount ($) Multiplier
---- ------------------------------- ------------------ ----------
51 12/25/2010 1/25/2011 3,792,981.67 10
52 1/25/2011 2/25/2011 3,597,805.18 10
53 2/25/2011 3/25/2011 3,412,134.67 10
54 4/25/2011 5/25/2011 3,235,507.27 10
55 5/25/2011 6/25/2011 3,067,482.68 10
56 6/25/2011 7/25/2011 2,900,825.56 10
57 7/25/2011 8/25/2011 2,743,793.12 10
58 8/25/2011 9/25/2011 2,132,059.03 10
59 9/25/2011 10/25/2011 251,141.04 10
60 10/25/2011 11/25/2011 97,585.44 10
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