Terms Agreement for Capital One Auto Finance Trust 2007-A Asset Backed Notes between Capital One Auto Receivables, LLC, Capital One Auto Finance, Inc., and Underwriters
This agreement outlines the terms for the sale and underwriting of asset-backed notes issued by Capital One Auto Finance Trust 2007-A. The parties include Capital One Auto Receivables, LLC (the seller), Capital One Auto Finance, Inc., and a group of underwriters led by J.P. Morgan Securities Inc. and Barclays Capital Inc. The agreement specifies the classes, amounts, interest rates, ratings, purchase prices, and underwriting discounts for the notes. The closing date is set for February 15, 2007. The underwriters agree to purchase the notes under the terms detailed in this agreement and the incorporated underwriting agreement.
EXHIBIT 1.2
CAPITAL ONE AUTO FINANCE TRUST 2007-A
ASSET BACKED NOTES
TERMS AGREEMENT
Dated: February 6, 2007
| To: | CAPITAL ONE AUTO FINANCE, INC. |
| CAPITAL ONE AUTO RECEIVABLES, LLC |
| Re: | Underwriting Agreement, dated February 2, 2007 |
1. Terms of the Notes
| Class | Initial Note Balance | Interest Rate | Final Scheduled Payment Date | |||||
| A-1 | $ | 289,000,000 | 5.32120 | % | February 2008 | |||
| A-2 | $ | 430,000,000 | 5.33 | % | May 2010 | |||
| A-3-A | $ | 167,000,000 | 5.25 | % | August 2011 | |||
| A-3-B | $ | 167,000,000 | LIBOR | August 2011 | ||||
| A-4 | $ | 447,000,000 | LIBOR + 0.02 | % | November 2013 | |||
2. Underwriters
The Underwriters named below are the “Underwriters” for the purpose of this Agreement and for the purposes of the above-referenced Underwriting Agreement as such Underwriting Agreement is incorporated herein and made a part hereof.
| Barclays Capital Inc. |
| J.P. Morgan Securities Inc. |
| ABN AMRO Incorporated |
| Credit Suisse Securities (USA) LLC |
| Deutsche Bank Securities Inc. |
| Morgan Stanley & Co. Incorporated |
| RBC Capital Markets Corporation |
3. Ratings
| Class | Standard & Poor’s | Moody’s | Fitch | |||
| A-1 | A-1+ | Prime - 1 | F1+ | |||
| A-2 | AAA | Aaa | AAA | |||
| A-3-A | AAA | Aaa | AAA | |||
| A-3-B | AAA | Aaa | AAA | |||
| A-4 | AAA | Aaa | AAA |
4. Underwriting Liability
| Underwriting Liability | Class A-1 | Class A-2 | Class A-3-A | Class A-3-B | Class A-4 | ||||||||||
| Barclays Capital Inc. | $ | 42,000,000 | $ | 62,500,000 | $ | 24,750,000 | $ | 24,750,000 | $ | 64,750,000 | |||||
| J.P. Morgan Securities Inc. | $ | 42,000,000 | $ | 62,500,000 | $ | 24,750,000 | $ | 24,750,000 | $ | 64,750,000 | |||||
| ABN AMRO Incorporated | $ | 41,000,000 | $ | 61,000,000 | $ | 23,500,000 | $ | 23,500,000 | $ | 63,500,000 | |||||
| Credit Suisse Securities (USA) LLC | $ | 41,000,000 | $ | 61,000,000 | $ | 23,500,000 | $ | 23,500,000 | $ | 63,500,000 | |||||
| Deutsche Bank Securities Inc. | $ | 41,000,000 | $ | 61,000,000 | $ | 23,500,000 | $ | 23,500,000 | $ | 63,500,000 | |||||
| Morgan Stanley & Co. Incorporated | $ | 41,000,000 | $ | 61,000,000 | $ | 23,500,000 | $ | 23,500,000 | $ | 63,500,000 | |||||
| RBC Capital Markets Corporation | $ | 41,000,000 | $ | 61,000,000 | $ | 23,500,000 | $ | 23,500,000 | $ | 63,500,000 | |||||
| Total Amount | $ | 289,000,000 | $ | 430,000,000 | $ | 167,000,000 | $ | 167,000,000 | $ | 447,000,000 | |||||
5. Purchase Price, Discounts and Concessions
| Class A-1 | Class A-2 | Class A-3-A | Class A-3-B | Class A-4 | |||||||||||
| Gross Purchase Price | 100.000000 | % | 99.996876 | % | 99.995845 | % | 100.000000 | % | 100.000000 | % | |||||
| Underwriting Discount | 0.090 | % | 0.130 | % | 0.165 | % | 0.150 | % | 0.200 | % | |||||
| Net Purchase Price | 99.910000 | % | 99.866876 | % | 99.830845 | % | 99.850000 | % | 99.800000 | % | |||||
| Maximum Dealer Selling Concessions | 0.0540 | % | 0.0780 | % | 0.0990 | % | 0.0900 | % | 0.1200 | % | |||||
| Maximum Dealer Reallowance Discounts | 0.0270 | % | 0.0390 | % | 0.0495 | % | 0.0450 | % | 0.0600 | % |
6. Time of Sale
1:15 p.m. (Eastern Time) (U.S.) on February 6, 2007 (the time the first Contract of Sale was entered into as designated by the Representatives.)
7. Closing Date
Pursuant to Rule 15c6-1(d) under the Securities Exchange Act of 1934, as amended, the Underwriters, the Seller and COAF hereby agree that the Closing Date shall be February 15, 2007, 10:00 a.m., New York City time.
The Underwriters agree, severally and not jointly, to purchase the Notes subject to the terms and provisions of this Terms Agreement and the above-referenced Underwriting Agreement which is incorporated herein in its entirety and made a part hereof.
| J.P. MORGAN SECURITIES INC. | ||
| By: | /s/ John Cho | |
| Name: | John Cho | |
| Title: | Managing Director | |
| BARCLAYS CAPITAL INC. | ||
| By: | /s/ Giuseppe Pagano | |
| Name: | Giuseppe Pagano | |
| Title: | Managing Director | |
For themselves and as representatives of the other several Underwriters named in this Terms Agreement.
Accepted and Agreed:
| CAPITAL ONE AUTO RECEIVABLES, LLC, as Seller | ||
| By: | /s/ Richard Johns | |
| Name: | Richard Johns | |
| Title: | Assistant Vice President | |
| CAPITAL ONE AUTO FINANCE, INC. | ||
| By: | /s/ Thomas A. Feil | |
| Name: | Thomas A. Feil | |
| Title: | Assistant Vice President | |
