EXHIBIT 99.5
------------
The Class 2-A-2 Cap Contract
Exhibit 99.5
IXIS FINANCIAL PRODUCTS INC.
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Fax: (▇▇▇) ▇▇▇-▇▇▇▇ / Phone: (▇▇▇) ▇▇▇-▇▇▇▇ / 6194
DATE: February 28, 2006
TO: Cap Trust,
IndyMac INDX Mortgage Loan Trust ▇▇▇▇-▇▇▇
▇/▇ ▇▇▇▇▇▇▇▇ Bank National Trust Company
▇▇▇▇ ▇▇▇▇ ▇▇. ▇▇▇▇▇▇ ▇▇▇▇▇,
▇▇▇▇▇ ▇▇▇, ▇▇▇▇▇▇▇▇▇▇ ▇▇▇▇▇-▇▇▇▇,
Attention: Trust Administration; IN06A2
FAX: (▇▇▇) ▇▇▇-▇▇▇▇
("Party B")
FROM: IXIS Financial Products Inc.
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▇▇▇ ▇▇▇▇, ▇▇▇ ▇▇▇▇ ▇▇▇▇▇
Fax: (▇▇▇) ▇▇▇-▇▇▇▇ / Phone: (▇▇▇) ▇▇▇-▇▇▇▇ / 6194
("Party A")
RE: Interest Rate Cap Transaction
Dear Sir or Madam:
The purpose of this letter agreement (this "Confirmation") is to confirm
the terms and conditions of the Transaction entered into between us on the
Trade Date specified below (the "Transaction").
The definitions and provisions contained in the 2000 ISDA Definitions as
published by the International Swaps and Derivatives Association, Inc. are
incorporated into this Confirmation. In the event of any inconsistency between
those definitions and provisions and this Confirmation, this Confirmation will
govern.
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 February 28, 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 Cap Transaction to which this Confirmation relates is a Rate Cap
Transaction, the terms of which are as follow:
General Terms
-------------
Trade Date: February 23, 2006
Effective Date: February 25, 2006
Termination Date: May 25, 2014, subject to adjustment in accordance with the
Following Business Day Convention
Notional Amount: See Amortization Schedule, Schedule A
Floating Amounts:
-----------------
Floating Rate Payer: Party A
Floating Rate: The greater of (a) 0% and (b) the lesser of (1) 0.845% and (2)
USD-LIBOR-BBA with a Designated Maturity of one month minus the
Strike Rate (as set forth in Schedule A).
Floating Rate Payer Period The 25th day of each month of each year, commencing on March 25,
End Dates: 2006 to and including the Termination Date, subject to adjustment
in accordance with the Following Business Day Convention.
Floating Rate Payer Early Payment, one (1) Business Day preceding each Floating Rate
Payment Dates: Payer Period End Date.
Spread: None
Floating Rate Day Actual/360
Count Fraction:
Reset Dates: The first day of each Calculation Period.
Compounding: Inapplicable
Business Days: Any day other than (i) a Saturday or a Sunday, or (ii) a day on which
banking institutions in (1) the city in which the Corporate Trust
Office is located or (2) the States of New York or California are
closed.
2. Procedural Terms:
-----------------
Calculation Agent: Party A
Offices: The Office of Party A for this Cap Transaction is New York.
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Account Details:
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Payments to Party A: CITIBANK N.A.
ABA# ▇▇▇-▇▇▇-▇▇▇
Account No.: ▇▇▇▇▇▇▇▇
A/C IXISFP
Payments to Party B: Deutsche Bank Trust Company Americas
ABA# ▇▇▇▇▇▇▇▇▇
Account# ▇▇▇▇▇▇▇▇
Account Name: NYLTD Funds Control/Stars West
Ref: IndyMac INDX 2006-AR2 (Class 2-A2 Certificates)
Please confirm that the foregoing correctly sets forth the terms and
conditions of our agreement by executing this Confirmation and returning it to
us by facsimile to:
IXIS Financial Products Inc.
(▇▇▇) ▇▇▇-▇▇▇▇ (fax)
Attn: Swap Operations
IXIS Financial Products Inc.
By: /s/ ▇▇▇▇▇▇▇ ▇. ▇▇▇▇▇▇
-----------------------------------
Authorized Signatory
By: /s/ ▇▇▇▇▇▇▇▇▇▇▇ ▇▇▇▇▇▇
-----------------------------------
Authorized Signatory
Accepted and confirmed as of the Trade Date written above:
Cap Trust,
IndyMac INDX Mortgage Loan Trust 2006-AR2
By: Deustche Bank National Trust Company, not in its individual capacity, but
solely as Cap Trustee
By: /s/ ▇▇▇▇▇▇▇▇ ▇▇▇▇▇▇▇▇▇▇▇
-----------------------------------
Name: ▇▇▇▇▇▇▇▇ ▇▇▇▇▇▇▇▇▇▇▇
Title: Associate
SCHEDULE A to the Confirmation dated as of February 28, 2006, Amortization
Schedule: Amortization Schedule,
----------------------------- ----------------------------------- ---------------------
Calculation Period in
respect of the Payment Date
scheduled to occur on*: Notional Amount (USD) Strike Rate (%)
----------------------------- ----------------------------------- ---------------------
3/25/2006 99,288,570.26 9.445
----------------------------- ----------------------------------- ---------------------
4/25/2006 96,768,943.50 9.445
----------------------------- ----------------------------------- ---------------------
5/25/2006 94,475,735.92 9.445
----------------------------- ----------------------------------- ---------------------
6/25/2006 92,306,329.99 9.445
----------------------------- ----------------------------------- ---------------------
7/25/2006 90,183,720.32 9.445
----------------------------- ----------------------------------- ---------------------
8/25/2006 88,106,880.63 9.445
----------------------------- ----------------------------------- ---------------------
9/25/2006 86,074,800.68 9.445
----------------------------- ----------------------------------- ---------------------
10/25/2006 84,086,401.77 9.445
----------------------------- ----------------------------------- ---------------------
11/25/2006 82,140,791.58 9.445
----------------------------- ----------------------------------- ---------------------
12/25/2006 80,236,578.63 9.445
----------------------------- ----------------------------------- ---------------------
1/25/2007 78,372,571.96 9.445
----------------------------- ----------------------------------- ---------------------
2/25/2007 76,546,306.45 9.445
----------------------------- ----------------------------------- ---------------------
3/25/2007 74,750,791.03 9.445
----------------------------- ----------------------------------- ---------------------
4/25/2007 72,986,409.48 9.445
----------------------------- ----------------------------------- ---------------------
5/25/2007 71,260,278.09 9.445
----------------------------- ----------------------------------- ---------------------
6/25/2007 69,571,620.15 9.445
----------------------------- ----------------------------------- ---------------------
7/25/2007 67,919,609.13 9.445
----------------------------- ----------------------------------- ---------------------
8/25/2007 66,303,436.96 9.445
----------------------------- ----------------------------------- ---------------------
9/25/2007 64,722,308.21 9.445
----------------------------- ----------------------------------- ---------------------
10/25/2007 63,175,371.87 9.445
----------------------------- ----------------------------------- ---------------------
11/25/2007 61,661,926.90 9.445
----------------------------- ----------------------------------- ---------------------
12/25/2007 60,180,869.43 9.445
----------------------------- ----------------------------------- ---------------------
1/25/2008 58,731,256.99 9.445
----------------------------- ----------------------------------- ---------------------
2/25/2008 57,311,119.48 9.445
----------------------------- ----------------------------------- ---------------------
3/25/2008 55,914,837.43 9.445
----------------------------- ----------------------------------- ---------------------
4/25/2008 54,542,737.05 9.445
----------------------------- ----------------------------------- ---------------------
5/25/2008 53,200,572.34 9.445
----------------------------- ----------------------------------- ---------------------
6/25/2008 51,887,733.26 9.445
----------------------------- ----------------------------------- ---------------------
7/25/2008 50,603,569.32 9.445
----------------------------- ----------------------------------- ---------------------
8/25/2008 49,347,444.62 9.445
----------------------------- ----------------------------------- ---------------------
9/25/2008 48,118,733.19 9.445
----------------------------- ----------------------------------- ---------------------
10/25/2008 46,916,763.95 9.445
----------------------------- ----------------------------------- ---------------------
11/25/2008 45,740,986.48 9.445
----------------------------- ----------------------------------- ---------------------
12/25/2008 44,590,525.32 9.445
----------------------------- ----------------------------------- ---------------------
1/25/2009 43,464,634.85 9.445
----------------------------- ----------------------------------- ---------------------
2/25/2009 42,361,380.71 9.445
----------------------------- ----------------------------------- ---------------------
3/25/2009 41,276,419.67 9.445
----------------------------- ----------------------------------- ---------------------
4/25/2009 40,206,421.20 9.445
----------------------------- ----------------------------------- ---------------------
5/25/2009 39,160,011.30 9.445
----------------------------- ----------------------------------- ---------------------
6/25/2009 38,135,357.67 9.445
----------------------------- ----------------------------------- ---------------------
7/25/2009 37,078,554.20 9.445
----------------------------- ----------------------------------- ---------------------
8/25/2009 36,002,769.93 9.445
----------------------------- ----------------------------------- ---------------------
9/25/2009 34,952,628.64 9.445
----------------------------- ----------------------------------- ---------------------
10/25/2009 34,104,449.75 9.445
----------------------------- ----------------------------------- ---------------------
11/25/2009 33,283,503.57 9.445
----------------------------- ----------------------------------- ---------------------
12/25/2009 32,482,026.70 9.445
----------------------------- ----------------------------------- ---------------------
1/25/2010 31,698,714.25 9.445
----------------------------- ----------------------------------- ---------------------
2/25/2010 30,932,648.59 9.445
----------------------------- ----------------------------------- ---------------------
3/25/2010 30,180,126.67 9.445
----------------------------- ----------------------------------- ---------------------
4/25/2010 29,441,836.77 9.445
----------------------------- ----------------------------------- ---------------------
5/25/2010 28,716,077.92 9.445
----------------------------- ----------------------------------- ---------------------
6/25/2010 28,007,934.19 9.445
----------------------------- ----------------------------------- ---------------------
7/25/2010 27,317,059.43 9.445
----------------------------- ----------------------------------- ---------------------
8/25/2010 26,643,035.72 9.445
----------------------------- ----------------------------------- ---------------------
----------------------------- ----------------------------------- ---------------------
Calculation Period in
respect of the Payment Date
scheduled to occur on*: Notional Amount (USD) Strike Rate (%)
----------------------------- ----------------------------------- ---------------------
9/25/2010 25,985,430.96 9.445
----------------------------- ----------------------------------- ---------------------
10/25/2010 25,343,806.29 9.445
----------------------------- ----------------------------------- ---------------------
11/25/2010 24,717,725.02 9.445
----------------------------- ----------------------------------- ---------------------
12/25/2010 24,105,299.88 9.445
----------------------------- ----------------------------------- ---------------------
1/25/2011 23,506,960.39 9.445
----------------------------- ----------------------------------- ---------------------
2/25/2011 22,922,334.89 9.445
----------------------------- ----------------------------------- ---------------------
3/25/2011 22,352,050.11 9.445
----------------------------- ----------------------------------- ---------------------
4/25/2011 21,795,656.96 9.445
----------------------------- ----------------------------------- ---------------------
5/25/2011 21,252,920.16 9.445
----------------------------- ----------------------------------- ---------------------
6/25/2011 20,723,507.69 9.445
----------------------------- ----------------------------------- ---------------------
7/25/2011 20,207,095.52 9.445
----------------------------- ----------------------------------- ---------------------
8/25/2011 19,703,367.48 9.445
----------------------------- ----------------------------------- ---------------------
9/25/2011 19,212,015.01 9.445
----------------------------- ----------------------------------- ---------------------
10/25/2011 18,732,737.02 9.445
----------------------------- ----------------------------------- ---------------------
11/25/2011 18,265,239.69 9.445
----------------------------- ----------------------------------- ---------------------
12/25/2011 17,809,236.30 9.445
----------------------------- ----------------------------------- ---------------------
1/25/2012 17,364,447.06 9.445
----------------------------- ----------------------------------- ---------------------
2/25/2012 16,930,598.94 9.445
----------------------------- ----------------------------------- ---------------------
3/25/2012 16,507,425.51 9.445
----------------------------- ----------------------------------- ---------------------
4/25/2012 16,507,425.51 9.445
----------------------------- ----------------------------------- ---------------------
5/25/2012 16,405,560.14 9.445
----------------------------- ----------------------------------- ---------------------
6/25/2012 15,995,048.47 9.445
----------------------------- ----------------------------------- ---------------------
7/25/2012 15,594,647.74 9.445
----------------------------- ----------------------------------- ---------------------
8/25/2012 15,204,111.52 9.445
----------------------------- ----------------------------------- ---------------------
9/25/2012 14,823,199.34 9.445
----------------------------- ----------------------------------- ---------------------
10/25/2012 14,451,676.53 9.445
----------------------------- ----------------------------------- ---------------------
11/25/2012 14,089,314.12 9.445
----------------------------- ----------------------------------- ---------------------
12/25/2012 13,735,888.67 9.445
----------------------------- ----------------------------------- ---------------------
1/25/2013 13,391,182.14 9.445
----------------------------- ----------------------------------- ---------------------
2/25/2013 13,054,981.80 9.445
----------------------------- ----------------------------------- ---------------------
3/25/2013 12,727,080.04 9.445
----------------------------- ----------------------------------- ---------------------
4/25/2013 12,407,274.29 9.445
----------------------------- ----------------------------------- ---------------------
5/25/2013 12,095,366.87 9.445
----------------------------- ----------------------------------- ---------------------
6/25/2013 11,791,164.92 9.445
----------------------------- ----------------------------------- ---------------------
7/25/2013 11,494,480.22 9.445
----------------------------- ----------------------------------- ---------------------
8/25/2013 11,205,129.13 9.445
----------------------------- ----------------------------------- ---------------------
9/25/2013 10,922,932.45 9.445
----------------------------- ----------------------------------- ---------------------
10/25/2013 10,647,715.32 9.445
----------------------------- ----------------------------------- ---------------------
11/25/2013 10,379,307.15 9.445
----------------------------- ----------------------------------- ---------------------
12/25/2013 10,117,541.43 9.445
----------------------------- ----------------------------------- ---------------------
1/25/2014 9,862,255.74 9.445
----------------------------- ----------------------------------- ---------------------
2/25/2014 9,613,291.56 9.445
----------------------------- ----------------------------------- ---------------------
3/25/2014 9,370,494.25 9.445
----------------------------- ----------------------------------- ---------------------
4/25/2014 9,133,712.89 9.445
----------------------------- ----------------------------------- ---------------------
5/25/2014 8,902,800.23 9.445
----------------------------- ----------------------------------- ---------------------