CONFIRMATION Date: March 27, 2008 To: PHH Corporation (Issuer) Facsimile: (856) 917-4278 Attention: Treasurer From: JPMorgan Chase Bank, National Association (JPMorgan) Facsimile: (212) 622-8534

EX-10.5 7 y52588k2exv10w5.htm EX-10.5: CONFIRMATION OF WARRANT EX-10.5
 

Exhibit 10.5
CONFIRMATION
     
Date:
  March 27, 2008
 
   
To:
  PHH Corporation (“Issuer”)
 
   
Facsimile:
  (856) 917-4278
 
   
Attention:
  Treasurer
 
   
From:
  JPMorgan Chase Bank, National Association (“JPMorgan”)
 
   
Facsimile:
  (212) 622-8534
Transaction Reference Number:
          The purpose of this communication (this “Confirmation”) is to set forth the terms and conditions of the above-referenced Transaction entered into on the Trade Date specified below between you and us. This Confirmation supplements, forms a part of, and is subject to the Master Terms and Conditions for Warrants Issued by PHH Corporation, between JPMorgan Chase Bank, National Association and PHH Corporation, dated as of March 27, 2008 (as amended from time to time, the “Master Confirmation”).
          1. The definitions and provisions contained in the Definitions (as such term is defined in the Master Confirmation) and in the Master Confirmation are incorporated into this Confirmation. In the event of any inconsistency between those definitions and provisions and this Confirmation, this Confirmation will govern.
          2. The particular Transaction to which this Confirmation relates shall have the following terms:
     
Trade Date:
  March 27, 2008
 
   
Effective Date:
  April 2, 2008
 
   
Strike Price:
  USD 27.20
 
   
Premium:
  USD 6,265,800
 
   
Premium Payment Date:
  The Effective Date.
 
   
Maximum Delivery Amount:
  3,246,000 Shares (as adjusted for stock splits, stock dividends, recapitalizations and similar events)
For each Component of the Transaction, the Number of Warrants and Expiration Date are as set forth below.

A-1


 

         
Component Number   Number of Warrants   Expiration Date
1.   26,829   July 16, 2012
2.   26,829   July 17, 2012
3.   26,829   July 18, 2012
4.   26,829   July 19, 2012
5.   26,829   July 20, 2012
6.   26,829   July 23, 2012
7.   26,829   July 24, 2012
8.   26,829   July 25, 2012
9.   26,829   July 26, 2012
10.   26,829   July 27, 2012
11.   26,829   July 30, 2012
12.   26,829   July 31, 2012
13.   26,829   August 1, 2012
14.   26,829   August 2, 2012
15.   26,829   August 3, 2012
16.   26,829   August 6, 2012
17.   26,829   August 7, 2012
18.   26,829   August 8, 2012
19.   26,829   August 9, 2012
20.   26,829   August 10, 2012
21.   26,829   August 13, 2012
22.   26,829   August 14, 2012
23.   26,829   August 15, 2012
24.   26,829   August 16, 2012
25.   26,829   August 17, 2012
26.   26,829   August 20, 2012
27.   26,829   August 21, 2012
28.   26,829   August 22, 2012
29.   26,829   August 23, 2012
30.   26,829   August 24, 2012
31.   26,829   August 27, 2012
32.   26,829   August 28, 2012
33.   26,829   August 29, 2012
34.   26,829   August 30, 2012
35.   26,829   August 31, 2012
36.   26,829   September 4, 2012
37.   26,829   September 5, 2012
38.   26,829   September 6, 2012
39.   26,829   September 7, 2012
40.   26,829   September 10, 2012
41.   26,829   September 11, 2012
42.   26,829   September 12, 2012
43.   26,829   September 13, 2012
44.   26,829   September 14, 2012
45.   26,829   September 17, 2012
46.   26,829   September 18, 2012
47.   26,829   September 19, 2012
48.   26,829   September 20, 2012
49.   26,829   September 21, 2012
50.   26,829   September 24, 2012

A-2


 

         
Component Number   Number of Warrants   Expiration Date
51.   26,829   September 25, 2012
52.   26,829   September 26, 2012
53.   26,829   September 27, 2012
54.   26,829   September 28, 2012
55.   26,829   October 1, 2012
56.   26,829   October 2, 2012
57.   26,829   October 3, 2012
58.   26,829   October 4, 2012
59.   26,829   October 5, 2012
60.   26,829   October 8, 2012
61.   26,829   October 9, 2012
62.   26,829   October 10, 2012
63.   26,829   October 11, 2012
64.   26,829   October 12, 2012
65.   26,829   October 15, 2012
66.   26,829   October 16, 2012
67.   26,829   October 17, 2012
68.   26,829   October 18, 2012
69.   26,829   October 19, 2012
70.   26,829   October 22, 2012
71.   26,829   October 23, 2012
72.   26,829   October 24, 2012
73.   26,829   October 25, 2012
74.   26,829   October 26, 2012
75.   26,829   October 29, 2012
76.   26,829   October 30, 2012
77.   26,829   October 31, 2012
78.   26,829   November 1, 2012
79.   26,829   November 2, 2012
80.   26,829   November 5, 2012
81.   26,829   November 6, 2012
82.   26,829   November 7, 2012
83.   26,829   November 8, 2012
84.   26,829   November 9, 2012
85.   26,829   November 12, 2012
86.   26,829   November 13, 2012
87.   26,829   November 14, 2012
88.   26,829   November 15, 2012
89.   26,829   November 16, 2012
90.   26,829   November 19, 2012
91.   26,829   November 20, 2012
92.   26,829   November 21, 2012
93.   26,829   November 23, 2012
94.   26,829   November 26, 2012
95.   26,829   November 27, 2012
96.   26,829   November 28, 2012
97.   26,829   November 29, 2012
98.   26,829   November 30, 2012
99.   26,829   December 3, 2012
100.   26,829   December 4, 2012
101.   26,829   December 5, 2012
102.   26,829   December 6, 2012
103.   26,829   December 7, 2012

A-3


 

         
Component Number   Number of Warrants   Expiration Date
104.   26,829   December 10, 2012
105.   26,829   December 11, 2012
106.   26,829   December 12, 2012
107.   26,829   December 13, 2012
108.   26,829   December 14, 2012
109.   26,829   December 17, 2012
110.   26,829   December 18, 2012
111.   26,829   December 19, 2012
112.   26,829   December 20, 2012
113.   26,829   December 21, 2012
114.   26,829   December 24, 2012
115.   26,829   December 26, 2012
116.   26,829   December 27, 2012
117.   26,829   December 28, 2012
118.   26,829   December 31, 2012
119.   26,829   January 2, 2013
120.   26,862   January 3, 2013

A-4


 

          3. Issuer hereby agrees (a) to check this Confirmation promptly upon receipt so that errors or discrepancies can be promptly identified and rectified and (b) to confirm that the foregoing correctly sets forth the terms of the agreement between us with respect to the particular Transaction to which this Confirmation relates, by manually signing this Confirmation and providing any other information requested herein or in the Master Confirmation and immediately returning an executed copy to EDG Confirmation Group, J.P. Morgan Securities Inc., 277 Park Avenue, 11th Floor, New York, NY 10172-3401, or by fax to (212)  ###-###-####.
         
  Yours sincerely,

J.P. MORGAN SECURITIES INC.,
AS AGENT FOR JPMORGAN CHASE BANK, NATIONAL ASSOCIATION
 
 
  By:   /s/ Santosh Sreenivasan    
    Name:   Santosh Sreenivasan   
    Title:   Executive Director   
         
Confirmed as of the
date first above written:

PHH CORPORATION
 
   
By:   /s/ Mark E. Johnson      
  Name:   Mark E. Johnson     
  Title:   Vice President & Treasurer