The Floating Rate and Inverse Floating Rate Classes will bear interest at per annum rates based
on one-month LIBOR (hereinafter referred to as "LIBOR") as follows:
Class
Interest Rate
Formula(1)
Initial
Interest
Rate(2)
Minimum
Rate
Maximum
Rate
Delay
(in days)
LIBOR
for Minimum
Interest Rate
KF
LIBOR + 1.35%
2.450000%
1.35%
7.50000%
19
0.00%
KS
11.38983% - (LIBOR × 1.525424)
9.711864
3.00
11.38983
19
5.50
KT
45.576923% - (LIBOR × 6.923077)
7.500000
3.00
7.50000
19
6.15
(1)LIBOR will be established on the basis of the BBA LIBOR method, as described under
"Description of the Securities – Interest Distributions – Floating Rate and Inverse Float-
ing Rate Classes" in this Supplement.
(2) The initial Interest Rate will be in effect during the first Accrual Period; the Interest Rate
will adjust monthly thereafter.
Allocation of Principal:
On each Distribution Date, the following distributions will be
made to the related Securities:
SECURITY GROUP 1
The Group 1 Principal Distribution Amount will be allocated in the following order of
priority:
1. Sequentially, to PA and PB, in that order, until reduced to their Aggregate Scheduled
Principal Balance for that Distribution Date
2. Sequentially, to GA, GB, GC, GD and GE, in that order, until retired
3. Sequentially, to PA and PB, in that order, without regard to their Aggregate Scheduled
Principal Balances, until retired
SECURITY GROUP 2
A percentage of the Group 2 Principal Distribution Amount will be applied to the Trustee
Fee, and the remainder of the Group 2 Principal Distribution Amount (the "Group 2 Adjusted
Principal Distribution Amount") will be allocated in the following order of priority:
1. Sequentially, to LA, LB, LC, LD, LE and LG, in that order, until reduced to their
Aggregate Scheduled Principal Balance for that Distribution Date
2. Sequentially, to KA and KB, in that order, until retired
3. Concurrently,
a. 9.0909090909% to KO
b. 90.9090909091% to KC, KF, KS and KT, pro rata, until retired
4. Concurrently, to KD, KE and KO, pro rata, based on their then outstanding principal
balances, until retired
5. Sequentially, to LA, LB, LC, LD, LE and LG, in that order, without regard to their
Aggregate Scheduled Principal Balances, until retired
B-6