EX-99.7 10 v078488_ex99-7.htm


DATE:
May 31, 2007
   
TO:
Supplemental Interest Trust,
 
Structured Adjustable Rate Mortgage Loan Trust Mortgage Pass-Through Certificates, Series 2007-5
 
c/o U.S. Bank, National Association
 
One Federal Street, 3rd Floor
 
Boston, MA 02110
 
("Party B")
   
   
FROM:
HSBC BANK USA, NATIONAL ASSOCIATION
 
452 Fifth Avenue
 
New York, NY 10018
 
("Party A")
   
   
RE:
Interest Rate Swap 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 May 31, 2007, 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 Swap Transaction to which this Confirmation relates is a Rate Swap Transaction, the terms of which are as follow:
 
 
General Terms
  
     
 
Trade Date:
May 21, 2007
     
 
Effective Date:
June 25, 2007
 
 
 
     
 
Termination Date:
May 25, 2012, subject to adjustment in accordance with the Following Business Day Convention
     
 
Notional Amount:
See Amortization Schedule, Schedule A
     
 
Fixed Amounts:
  
     
 
Fixed Rate Payer:
Party B
     
 
Fixed Rate Payer  Period End Dates:
The 25th day of each month of each year, commencing on July 25, 2007 to and including the Termination Date, subject to adjustment in accordance with the Following Business Day Convention.
     
 
Fixed Rate Payer Payment Dates:
Early Payment, one (1) Business Day preceding each Fixed Rate Payer Period End Date.
     
 
Fixed Rate
See Amortization Schedule, Schedule A
     
 
Fixed Rate Day Count  Fraction:
Actual/360
     
 
Floating Amounts:
  
     
 
Floating Rate Payer:
Party A
     
 
Floating Rate Payer Period End Dates:
The 25th day of each month of each year, commencing on July 25, 2007 to and including the Termination Date, subject to adjustment in accordance with the Following Business Day Convention.
     
 
Floating Rate Payer Payment Dates:
Early Payment, one (1) Business Day preceding each Floating Rate Payer Period End Date.
 
Floating Rate Option:
USD-LIBOR-BBA
     
 
Designated Maturity:
One month
     
 
Spread:
None
     
 
Floating Rate Day Count Fraction:
Actual/360
     
 
Reset Dates:
The first day of each Calculation Period.
     
 
Compounding:
Inapplicable
 
2
 
 
 
     
 
Business Day:
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 of Party B is located or (2) the States of New York, Maryland, Minnesota, Colorado or Illinois are closed.
     
 
Floating Rate Payer Upfront Payment:
$360,000. Party A shall pay Lehman Brothers Holdings Inc. the Floating Rate Payer Upfront Payment on or prior to May 31, 2007, subject to adjustment in accordance with the Following Business Day Convention.
     
2.
Procedural Terms:
  
     
 
Calculation Agent:
Party A
     
 
Offices:
The Office of Party A for the Swap Transaction is New York
     
 
Account Details:
  
     
 
Payments to Party A:
HSBC Bank USA NA
ABA : 021-001-088
Swift: MRMDUS33
Account Number: 000049298
     
 
Payments to Party B:
U.S. Bank Corporate Trust Services
ABA# 091-000-022
DDA# 173-103-321-118
Ref: SARM 2007-5
Attn: J. Byrnes
     
 
Payments to Lehman Brothers Holdings Inc:
Citibank
ABA: 021000089
Acct: 4061-5501
Acct Name: Lehman Brothers Holdings Inc.
Ref: SARM 07-5
Attn: Mortgage Middle Office

 
 
3
 
 

Please confirm that the foregoing correctly sets forth the terms and conditions of our agreement by executing this Confirmation and returning to us by fax/telex to 212 525 5517 to the attention of Antonia Gambale:
 
Fax Number : 212 525 5517
Telephone Number : 212 525 3634


 
HSBC BANK USA, NATIONAL ASSOCIATION
 
By: ________________________________________      
Authorized Signatory
 

 
HSBC BANK USA, NATIONAL ASSOCIATION
 
By: ________________________________________      
Authorized Signatory
 

 
Accepted and confirmed as of the Trade Date written above:
 
SUPPLEMENTAL INTEREST TRUST,
Structured Adjustable Rate Mortgage Loan Trust Mortgage Pass-Through Certificates, Series 2007-5
By: U.S. Bank, National Association, not in its individual capacity, but solely as Securities Administrator

By:________________________________
Name:
Title:
 
 
4
 
 

SCHEDULE A to the Confirmation dated as of May 31, 2007,
Re: Reference Number 479387HN
Amortization Schedule, subject to adjustment in accordance with the Following Business Day Convention
From and Including
To but Excluding
Notional Amount (USD)
Fixed Rate (%)
6/25/2007
7/25/2007
275,845,314.90
5.42794
7/25/2007
8/25/2007
266,082,493.30
5.44956
8/25/2007
9/25/2007
256,588,171.35
5.40469
9/25/2007
10/25/2007
247,506,514.18
5.38228
10/25/2007
11/25/2007
238,746,106.65
5.35463
11/25/2007
12/25/2007
230,295,590.54
5.32466
12/25/2007
1/25/2008
222,144,009.09
5.28897
1/25/2008
2/25/2008
214,280,792.78
5.25052
2/25/2008
3/25/2008
206,695,745.63
5.21226
3/25/2008
4/25/2008
199,379,032.02
5.16285
4/25/2008
5/25/2008
192,321,163.96
5.12575
5/25/2008
6/25/2008
185,512,988.80
5.08980
6/25/2008
7/25/2008
177,756,041.33
5.05710
7/25/2008
8/25/2008
170,323,299.32
5.03393
8/25/2008
9/25/2008
163,201,217.53
5.01106
9/25/2008
10/25/2008
156,376,816.39
4.99744
10/25/2008
11/25/2008
149,837,658.50
4.98678
11/25/2008
12/25/2008
143,571,825.91
4.97575
12/25/2008
1/25/2009
137,117,590.18
4.96939
1/25/2009
2/25/2009
131,105,022.77
4.96471
2/25/2009
3/25/2009
125,622,578.68
4.95984
3/25/2009
4/25/2009
119,846,635.04
4.95267
4/25/2009
5/25/2009
114,284,844.40
4.95638
5/25/2009
6/25/2009
109,223,498.49
4.96032
6/25/2009
7/25/2009
103,448,926.64
4.95857
7/25/2009
8/25/2009
98,406,696.77
4.96691
8/25/2009
9/25/2009
93,583,367.90
4.97656
9/25/2009
10/25/2009
88,952,708.77
4.98570
10/25/2009
11/25/2009
84,563,444.96
4.99506
11/25/2009
12/25/2009
80,333,722.59
5.00453
12/25/2009
1/25/2010
76,062,089.35
5.01380
1/25/2010
2/25/2010
72,261,105.75
5.02316
2/25/2010
3/25/2010
67,540,243.16
5.03241
3/25/2010
4/25/2010
62,851,096.18
5.04181
4/25/2010
5/25/2010
56,314,307.68
5.05113
5/25/2010
6/25/2010
53,531,378.95
5.06036
6/25/2010
7/25/2010
50,921,752.95
5.06905
7/25/2010
8/25/2010
48,439,301.36
5.07798
8/25/2010
9/25/2010
46,077,828.52
5.08730
9/25/2010
10/25/2010
43,831,440.48
5.09643
10/25/2010
11/25/2010
41,694,530.37
5.10591
11/25/2010
12/25/2010
39,661,764.43
5.11558
12/25/2010
1/25/2011
37,728,068.68
5.12531
1/25/2011
2/25/2011
35,888,616.26
5.13528
2/25/2011
3/25/2011
34,138,815.44
5.14537
3/25/2011
4/25/2011
32,474,298.14
5.15562
4/25/2011
5/25/2011
30,721,955.57
5.16603
5/25/2011
6/25/2011
29,223,952.76
5.17759
 
5
 
 
 
From and Including
To but Excluding
Notional Amount (USD)
Fixed Rate (%)
6/25/2011
7/25/2011
27,798,965.82
5.19045
7/25/2011
8/25/2011
26,443,436.97
5.20263
8/25/2011
9/25/2011
22,583,847.43
5.21373
9/25/2011
10/25/2011
21,439,545.84
5.22385
10/25/2011
11/25/2011
18,825,582.84
5.23311
11/25/2011
12/25/2011
17,705,490.07
5.24133
12/25/2011
1/25/2012
15,555,283.67
5.24865
1/25/2012
2/25/2012
12,273,027.72
5.25498
2/25/2012
3/25/2012
11,095,706.04
5.26036
3/25/2012
4/25/2012
10,123,538.38
5.26478
4/25/2012
5/25/2012
630,288.99
5.26826

 

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