Terms Agreement for Capital One Auto Finance Trust 2006-C 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 2006-C. The parties include Capital One Auto Receivables, LLC (the seller), Capital One Auto Finance, Inc., and several underwriters such as Wachovia, Banc of America, and Merrill Lynch. It specifies the classes of notes, interest rates, payment schedules, purchase prices, underwriting discounts, and the obligations of each underwriter. The closing date is set for November 22, 2006, and the agreement incorporates the terms of a prior Underwriting Agreement.
Exhibit 1.2
CAPITAL ONE AUTO FINANCE TRUST 2006-C
ASSET BACKED NOTES
TERMS AGREEMENT
Dated: November 14, 2006
| To: | CAPITAL ONE AUTO FINANCE, INC. |
CAPITAL ONE AUTO RECEIVABLES, LLC
| Re: | Underwriting Agreement, dated November 9, 2006 |
1. Terms of the Notes
| Class | Initial Note Balance | Interest Rate | Final Scheduled Payment Date | |||||
| A-1 | $ | 349,000,000 | 5.34 | % | December 14, 2007 | |||
| A-2 | $ | 334,000,000 | 5.31 | % | July 15, 2009 | |||
| A-3-A | $ | 294,500,000 | 5.07 | % | July 15, 2011 | |||
| A-3-B | $ | 294,500,000 | LIBOR + 0.01 | % | July 15, 2011 | |||
| A-4 | $ | 478,000,000 | LIBOR + 0.03 | % | May 15, 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.
Banc of America Securities LLC
Merrill Lynch, Pierce, Fenner & Smith Incorporated
Wachovia Capital Markets, LLC
ABN AMRO Incorporated
Credit Suisse Securities (USA) LLC
Deutsche Bank Securities Inc.
Morgan Stanley & Co. Incorporated
RBC Capital Markets Corporation
3. Ratings
| Class | Rating Agency | |||||
| 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 | ||||||||||
| Wachovia Capital Markets, LLC | $ | 44,000,000 | $ | 42,000,000 | $ | 37,000,000 | $ | 37,000,000 | $ | 60,000,000 | |||||
| Banc of America Securities LLC | $ | 44,000,000 | $ | 42,000,000 | $ | 37,000,000 | $ | 37,000,000 | $ | 60,000,000 | |||||
| Merrill Lynch, Pierce, Fenner & Smith Incorporated | $ | 44,000,000 | $ | 42,000,000 | $ | 37,000,000 | $ | 37,000,000 | $ | 60,000,000 | |||||
| ABN AMRO Incorporated | $ | 43,400,000 | $ | 41,600,000 | $ | 36,700,000 | $ | 36,700,000 | $ | 59,600,000 | |||||
| Credit Suisse Securities (USA) LLC | $ | 43,400,000 | $ | 41,600,000 | $ | 36,700,000 | $ | 36,700,000 | $ | 59,600,000 | |||||
| Deutsche Bank Securities Inc. | $ | 43,400,000 | $ | 41,600,000 | $ | 36,700,000 | $ | 36,700,000 | $ | 59,600,000 | |||||
| Morgan Stanley & Co. Incorporated | $ | 43,400,000 | $ | 41,600,000 | $ | 36,700,000 | $ | 36,700,000 | $ | 59,600,000 | |||||
| RBC Capital Markets Corporation | $ | 43,400,000 | $ | 41,600,000 | $ | 36,700,000 | $ | 36,700,000 | $ | 59,600,000 | |||||
| Total Amount | $ | 349,000,000 | $ | 334,000,000 | $ | 294,500,000 | $ | 294,500,000 | $ | 478,000,000 | |||||
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 | % | 99.997943 | % | 99.995097 | % | 100.000000 | % | 100.000000 | % | |||||
| Underwriting Discount | 0.090000 | % | 0.130000 | % | 0.165000 | % | 0.165000 | % | 0.210000 | % | |||||
| Net Purchase Price | 99.910000 | % | 99.867943 | % | 99.830097 | % | 99.835000 | % | 99.790000 | % | |||||
| Maximum Dealer Selling Concessions | 0.054000 | % | 0.078000 | % | 0.099000 | % | 0.099000 | % | 0.126000 | % | |||||
| Maximum Dealer Reallowance Discounts | 0.027000 | % | 0.039000 | % | 0.049500 | % | 0.049500 | % | 0.063000 | % |
6. Time of Sale
11:30 a.m. (Eastern Time) (U.S.) on November 14, 2006 (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 November 22, 2006, 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.
| WACHOVIA CAPITAL MARKETS, LLC | ||
| By | /s/ Steven J. Ellis | |
| Name: | Steven J. Ellis | |
| Title: | Director | |
| BANC OF AMERICA SECURITIES LLC | ||
| By | /s/ James G. Mackey | |
| Name: | James G. Mackey | |
| Title: | Principal | |
| MERRILL LYNCH, PIERCE, FENNER & SMITH IN CORPORATED | ||
| By | /s/ Gregory Petrie | |
| Name: | Gregory Petrie | |
| Title: | 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/ Albert Ciafre | |
| Name: | Albert Ciafre | |
| Title: | Assistant Vice President | |
| CAPITAL ONE AUTO FINANCE, INC. | ||
| By | /s/ Jerry Hamstead | |
| Name: | Jerry Hamstead | |
| Title: | Assistant Vice President | |
