EFTA01704593.pdf

DUPLICATE COPY Pt cd Fry Amon! Minim Cln,t Da!e Page Sof 13 12111/06 Important Sign & Travel and/or Extended Payment Option Information Billing Inquiries Finance Charge: To calculate the Finance Charge, we multiply the Daily Periodic Rate, by the Customer Service Average Daily Balance for the tilling period. Then we multiply the product by the number of days 1-800-525-3355 in the billing period. To got the Average Daily Balance we take the beginning balance of the (24 hours, tell free) Extended Payment Option ("Account') each day, add any new Account Charges and accrued and unpaid Finance Charges and subtract any payments or credts. Then we add up the daily Address balances for the tilling period and divide by the number of days in the billing period. This gives us American Express the Average Daily Balance. This method of computation of the Average Daily Balance resets in Customer Service compound interest. If in arty 12 month period ending with the Closing Date of the current tilling P.O. Box 297807 period you were in detail on your Account or any other American Express Account, the APR Ft. Lauderdale, FL applicable to your entire Account balance will be as dsclosed to you in your Cardmember 33329-7807 Agreement and its supplement(s). Payments: Please see the payment information and instrudions on Page 2. Remember, your payment each month should be for at least the Minimum Amount Due or the Total Amount Due, whichever appears on the Card Account Statement. Either amount includes the Account Minimum Payment shown on the Account Statement and the balance due on your Card Account. If you want to pay more than the Minimum Payment ( up to the entire Account New Balance ) , make your payment for the larger amount and the excess will be applied to your Account. How to avoid Additional Finance Charges: To avoid additional Finance Charges the Account New Balance must be paid in full by the Closing Date of the next biting period. Arcelcan Express Centurion Bank will not impose Finance Charges for Account Charges made in any billing period for which payment in full has been received on or before the Closing Date of the next billing period. Creditor: The Extended Payment Option and/or Sign & Travel is issued by American Express Centurion Bank. EFTA01704593 DUPLICATE COPY Ps,6 of 13 illill ... EFTA01704594  membeNfilfifSfffriis° monthly Statement and Page 7 of 13 Program News American Express* Fcr questions about your Statement Period Tr MEMBERSHIP Membership Rewards account, November 1, 2006 • November 30, 2006 contact 1-800-AXP-EARN Account activity after this period does not appear on this statement 41i 11E (297-3276) wynstarnericanexixess.comftewards Available Points American Express 159,315 Membership Rewards P.O. Box 297813 Points are available when charges are pad in full and all your accounts are in Ft. Lauderdale, FL 33329-9785 good standing. Account Summary Opening points balance 157,903 New points earned +1,412 Points transferred or redeemed 0 Reinstated points and adjustments 0 New points balance =159,315 New Points Earned 11/01/06 • 11/30/06 Points Activity On Bonus Points Total Points Activity Eligible Charges Awarded Per Card 1,412 0 1,412 Totals 1,412 0 1,412 Membership Rewards points earned may be transferred or redeemed as long as all enrolled Card accounts are in good standing. Points transferred or redeemed cannot be reversed back into the program. Forfeited points can be reinstated for a fee by calling the number provided below. Eligible Card charges are outlined in the Membership Rewards program Terms and Conditions in your Membership Rewards Guide. If you have questions, please visit www.emericanexpress.com/rewards or call 1-800-AXP-EARN (297-3276). From overseas, call collect 305.816.2799. Stay at a Marriott Vacation Club Villa! Marriott Vacation Club Villas offer all of the comforts of home To preview this reward and to redeem points, visit in some of the world's most sought after vacation iitamottlibra: destinations. Spacious villas feature kitchens, living and www.membershlp rewards.com or call VACATION CLUB. .dining areas, master bedrooms with soaking tub, 1-800-AXP-EARN IN TE RNATIONAt washer/dryer and morel Choose from 2 destinations with (297-3276). For more information, visit these exclusive Membership Rewards packages. Choose www.vacationclub.com. from a 5 or 7-night package with accommodations in a one or two-bedroom villa in sunny Palm Beach, Aruba—or stay 3 (MR Message 1259) nights in a two-bedroom villa in beautiful Palm Desert, CA. Tents end ecodisby of the blombebbipAchast F. prcsvary aff1y. Fu mx0 ricrmalcbu yiek webtmeetterehpowat min Taxes ell:Mt% may ;Wy. Earn Double Points This Holiday Season at Select Merchants Earn double points for your holiday shopping at these Visit these online BONUS') online merchants: ToysRUs.com, IRobot.com, merchants 11/21/06- 12/31/06 to earn 2x points! 5:41;:., L.. , 714R.711,1.1c SportsAuthority.com, WilsonsLeather.com, Zales.com, BaileyBanksandBiddle.com, UnensandThIngs.com, and (MR Message 4049) t BIWA 11.11'co' .` BathandBodyWorks.com now until December 31, 2008. To own bars boob, you mw be trials! in to lleTterslioResents wren elite wined web's* and you must chug') yar purcbto Y: ai e6;duk. OrICOICCi Ameba, E, rest Can. Bonen pars vull be cabled to your amounl 6-5 wee,: a,b: toohX9G appOX on your ttaternent Bann 10).: 2135, 3913, 1091,1423, 24Tb 1092, 0;42, 9958. Continued on reverse Offers are made only to Cardmembers who meet certain qualifying criteria. By responding you will be disclosing to the merchant that you meet these criteria. EFTA01704595  American Express* ICATE COPY Illit tertbat Earn Double Points When You Celebrate the Page 8 of 13 Holidays with Spa Finder Gift Cert ficates Give the gift of relaxation & pampering from Spa Finder this Cerebrate the holidays! holiday season, plus earn double Membership Rewards® Earn double points on Spa Finder products and Gift SPA INDE Uri MUM : G UM VAk L . points. Spa Finder Gift Certificates are redeemable at more than 3,000 day, destination, resort and medical spas worldwide. Visit www.spafinder.com or call Certificates redeemabe at more than 3,000 spas worldwide. Visit 1-888-ALL-SPAS (1-888-255-7727) and earn double www.spafinder.com or points today. call 1.888-ALL-SPAS (1-888-255-7727) today. Cikr yard nymph t201/C6. To ownbarbs panb, you mini be adored In lb* //mberdn, Rewards pogrom ea bewa il» mol ciede ptratddtse o red =wa rt-ries lo an skirt, tinstrad Arm:near:6En% ardS (MR Bonus ID 0250) onGraril. pods ergeen Wing staranori Bonus O: 0250. Earn Double Points This Holiday Season Every Time You Spend $150 or More at Loehmann's! Shop for everyone on your list at Loehmann's, and earn a gift Visit for you too--double points! Loehmann's is a place to find a www.loehmanns.com to find a Loehmann's store LOEHMANN'S variety of top designer names at bargain prices. Now you nearest you. can earn double Membership Rewards® points every time you spend $150 or more from November 28, 2006 - January (MR Bonus ID 4966) 1, 2007 at Loehmann's. Oene yard for Furchnon made 11/26126 1/007 m dodo cagy and net valid on pi cards or pekoe purchases. To bo obaitha to earn toms pans, youmud b• SUOMI nM Mentileatir Rewards Gammen 17,12T/4" tiggistrhanand youppIrrrtai.:illt ogtirt.dPrycartegr .Her dingo. *pow al your burg win crvireteeks subbed.Bat. 0:4065. Reward Yourself with the Harmon Kardon® Universal Activity Based Remote • 30,000 Points Simplify your home theater with this universal activity-based To redeem, Vsit remote. Features a Web-based setup where all your wsonv.membership electronic equipment is programmed into the remote by rewards.comfHarmon harman/kardon° KardonRomote or call filling out simple online forms. It also enables you to choose 1-800-AXP-EARN an activity icon from the color LCD screen! Redeem for this (2974276) by January 15, or other great home theater goods only from the American 2007. Express Membership Rewardse program. (Reward code:. (MR Message 4294) RY2766. Points: 30,000). Toms and coraters ddb Aramberth0 Anna FrafillmrffrY. Redeem Membership Rewards® Points for Pottery Barn At Pottery Barns, Membership Rewards enrollees can shop For a store near you or to for home furnishings of exceptional comfort, style and request a catalog, visit quality. Pottery Barn's designers draw inspiration from wvivi.pottelybam.com or MIER? BARN call 1-800.922.5507. around the world to create an exclusive collection of furniture. (MR Message 7502) Offers are made only to Cardmembers who meet certain qualifying criteria. By responding you will be disclosing to the merchant that you meet these criteria. EFTA01704596  DUPLICATE COPY Pt a A,CO111, Number Clxrc Dais Page 9 of 13 12/11/06 CustomExtras- The Purchase Protection Plan For more information, visit www.americanexpress. corn/platinum. The cat knocked over the brand new vase—good thing you bought it with your Card. The Purchase Protection Plan will repair, replace, or (CE 108298) reimburse the amount you charge to the Card for covered items, up to $10,000 per Occurrence, if they are accidentally damaged or stolen within 90 days from the date of purchase. Purchase Protection Plan is underwritten by AMEX Assurance Company, Administrative Office, Green Bay, WI. Coverage is determined by the terms, conditions, and exclusions of Policy AX0951 and is subject to change with notice. This document does not supplement or replace the Policy. Our Holiday Gift To You - Get EVEN MORE Payment Flexibility To select charges to pay over time, go to As a Sign & Travel® or Extended Payment Option enrollee you know invw.americanexpress. you have the opportunity to pay over time for travel or larger com/selectandpay click purchases. But as you enjoy the festivities of the holiday season, the "Get Started" button, don't forget to take advantage of another opportunity--with Select & log on and choose the charges you want to take Pay Later you can choose just about any other purchases from this more time to pay. Or call statement to pay over time with no additional enrollment required. It Customer Service end only takes a moment and it's fee-free. press 0. (CE 108275) Not all Cardmembers are enable. Requests to pay over time are approved based on several factors including account history, current account status and credt record at time of request. Other restrictions may apply. Now Accepting American Express® Cards! If there are other places where you would like to The Vermont Country Store - Rediscover long-lost brands and see the Card accepted, hard-to-find products. Shop at www.vermontcountrystore.com, by please call the Customer catalogue 802-362-8470, or at our stores. Service number that is located at the top of your statement or the number The Russian Tea Room - The New York City landmark opens its that is on the back of your doors offering modem Continental cuisine and famous Russian Card. classics. For reservations, call 212-581-7100. (CE 108220) Acqua at Seaport - Come and visit us at the South Street Seaport and try one of our chefs exquisitely prepared dishes. 21 Peck Slip, New York City. 212-349-4433. Earn Double Points on Holiday Retail Purchases Enrollment is required at www.americanexpress. Enrollment required by 12/31/06. Qualifying charges Include all 4mm/holiday"! or by eligible retail, furniture, home goods, and warehouse club purchases calling 1-866 1453. posted between 11/01/06 and 12/31/06. To be eligible to earn double points for retail charges between 11/01/06 and 12/31/06, you must be (CE 108258) enrolled in the Membership Rewards® program at the time of purchase and you must charge your purchase on an eligible, enrolled American Express® Card. Charges must post to your account no later than December 31, 2006. This offer represents one additional bonus point when used in conjunction with other bonus points offers. Maximum amount of reward not to exceed 50,000 bonus points. Only solicited Cardmembers are eligible for this offer. Bonus ID: 6265. Savings at usaflorist.com (CE 108295) Order a perfect gift for any occasion and receive $10.00 off every order of $29.99 or more. Make the holidays, a birthday, anniversary or any special day memorable. It's easy with our same-day delivery service. usafforistger Order online at www.usaflorist.com/AMX or call 24 hours at 1-800-838-8853 and refer to code AMX to receive your savings. Valid only with the American Express. Card and minimum purchase of $29.99. Same-day delivery when ordered by Spin in recipients' time zone. Not valid in conjunction with any other offer. Offer expiration date is 9/20/2007. Offers are made only to Cardmembers who meet certain qualifying criteria. By responding you will be disclosing to the merchant that you meet these criteria. EFTA01704597  DUPLICATE COPY Pa • O:Ito' Page 10 of 13 Pay Your Quarterly Taxes with the Card - Earn Rewards www.americanexpress. com'taxes Earn rewards while paying your taxes. You can pay your Quarterly Estimated (1040ES) federal, state, and local property taxes as well as (CE 108288) Quarterly Employee Withholdings (Form 941) business taxes with the CAMMEMER American Express® Card. BENEMS For additional information, visit www.americanexpress.com/taxes. All federal, state, local end business tax payments made with the Card are subject to a convenience fee charged by either of the two RS-approved payment processors, official Payments Corp. and PAY1040.com. NI Card teams and conditions apply. Travel Medical Protection - Travel with Peace of Mind There are some things you cant pack in a Travel Medical Protection, offered exclusively to American Expresso suitcase, like adequate Cardmembers, provides insurance coverage for up to $100,000 for insurance. So, travel with eligible expenses related to evacuations and medical and dental peace of mind! To learn emergencies, while on a Covered Trip traveling anywhere in the more about the coverage or how You can enroll INSURA Net world, when more than 150 mile radius from Your Permanent yourself and your loved Residence for up to 45* days whether driving, on a cruise ship, flying ones, call 1.800.618.8302 on a Scheduled Airline or taking the Amtrak. and mention RSVP code Travel Medical Protection is underwritten by AMEX Assurance Company, Administrative XAN. Office, De Pere, Wisconsin. Coverage is subject to the terms, conditions, and exclusions of (CE 108299) Master Policies: (varies per state) AX0950, AX0916, AX0124 or Policy Form Number TMP-IND and is subject to change with notice. in most states. Experience Luxury and Savings - Preferred Hotel Group Please visit us at vnyw.preferredhotel American Express@ Cardmembers are invited to enjoy unique group.comramex or your amenities and superb rates with savings between 20% and 50% at travel agent to book your participating Preferred Hotel Group properties. In addition, each Stay More package today! participating hotel will offer one of the following special welcome (CE 108301) (deif j :Tlett !! i amenities: Guaranteed room upgrade . Daily breakfast-.-Welcome taottle of wine or champagne . A unique hotel specific amenity, Offer valid through 12,31/07. All rates are per room, per night-and not combinable with any other promotions or programs, some restrictions such as minimum stays and bladtoadates apply. Rates may vary, are valid at participating hotels only, subject to availability and may change without notice. Welcome amenities vary and are subject to change without notice. Guarantee and payment must be made with your American Express Card. Void where prchibited. Sail into Adventure with Celebrity Cruises® and Mariner Club Call American Express Travel toll-free at With the American Express. Mariner Club, the ocean Is your playground. By t-877-AXP-4577 and booking a Celebrity Cruises Sailing with the American Express Mariner Club, you Mention Prom0 Code: can enjoy exclusive benefits such as competitive fares, a friendly and F1910001 to !earn about this and other exciting professional on-board host, an exclusive cocktail party, a complimentary Celebrity saltines. 174trNIRCLUB shoreside event, Cardmember-only benefits and more! (CE 108285) Explore the wonders of the British Isles. Depart on May 17 for a 9-day visit that Includes Holland, Scotland and Ireland. As part of the American Express Mariner Club enjoy a morning tour of Kirkwall, Orkney Islands, Scotland. If you would like to explore Norway, Sweden, Finland, Estonia, Denmark and Russia instead, choose the 14-day Scandinavia and Russia cruise departing June 16th. Discover the pleasure of sailing with Celebrity and the American Express Mariner Club. Mariner host, shoreside events and cocktail parties contingent on minimum number of passengers and are subject to change. Offers we capacity controlled & may be mothfied/withdrawn without prior notice. American Express Travel Related Services Company, Inc. acts solely as sales agent for travel suppliers and is not liable for the actions/inactions of such suppliers. CST# 1022318-10, TA-002 Registered Iowa Travel Agency NV if 2001-0126, Washington UBI# 600-469-694, M111192. 2006 American Express. Ship's Registry: The Bahamas Promo Code: F1910001 Offers are made only to Cardmembers who meet certain qualifying criteria. By responding you will be disclosing to the merchant that you meet these criteria. EFTA01704598  DUPLICATE COPY idFa N r Page 11 of 13 12111:06 Notice Of Changes To Your Cardmember Agreement In Connection With Change of Issuer This is a notice of changes to your American Express Card Account (your "Account') and to the Cardmember Agreement (the "Agreement") governing the Account. We recommend that you review this notice carefully, share it with any Additional Cardmembers on your Account, and keep it for future reference. This notice is given to you by American Express Travel Related Services Company, Inc. ("TRS") and American Express Centurion Bank ("AECB"). The changes are being made In connection with the assignment by TRS of your Account to AECB. This notice formally amends your Agreement as of the date it becomes effective. My contrary or conflicting language In the Agreement Is replaced fully and completely. All terms of the Agreement not changed by this notice remain in full force and effect. Your account number remains the same. After the assignment of your Account is completed, we will send you a new Agreement that incorporates the changes, so that you will have a restated agreement that includes at applicable terms. In general, the changes become effective on the 'Effective Date,' which will be the first day of the third billing period for your Account beginning after the Closing Date referenced above. This is the Effective Date even if you do not receive a billing statement for that biting period. However, if on the Effective Date there is an unresolved dispute on your Account, the changes will be delayed and become effective on the 'Secondary Effective Date.' The Secondary Effective Date Is the first day of the first billing period for your Account after the Effective Date in which there is no unresolved dispute. If for any reason the changes will not be Implemented for your Account on the Effective Date or the Secondary Effective Date, we will give you further notice. Change of Issuer The issuer of your Account, TRS, will assign your Account and the Agreement to AECB on the Effective Date. Accordingly, reference to 'American Express Travel Related Services Company, Inc." in the Welcome to American Express Cardmembership section and immectately below the Applicable Law section of your Agreement is changing to "American Express Centurion Bark" Governing Law In connection with the change of issuer described Immediately above, the state law governing the Agreement and your Account will change from the law of New York to the law of Utah. Accordingly, references to 'New York" in the Applicable Law section of your Agreement are changing to 'Utah.' Late Fees The fees we may assess for late payment wil increase and will no longer vary for Accounts with biting addresses in certain states except as noted. Accordingly, we are replacing the entire Late Fees section of your Agreement with the following: 'Late Fees If payment of any portion of the Amount Due on a billing statement is not credited to your Account by the Closing Date of the second of the next two consecutive billing periods, we may assess a fee In that same billing period of the greater of $35 or 2.99% of the total Amount Due that was not credited to your Account by that Closing Date (Iowa $15). If payment of the total Amount Due is not credited to your Account by successive Closing Dates, we may assess a fee equal to the greater of $35 or 2.99% of the total Amount Due that remains not credited by each successive Closing Date (Iowa $15): Other Fees Numbered paragraph 2, Copies of Statements, is being deleted from the Other Fees section of your Agreement, and numbered paragraph 3 of that section is being renumbered to be paragraph 2. Flexible Payment Features Since your Acccunt will be issued by AECB, we are making certain changes to your Agreement with respect to the Sign & Travel and/or Extended Payment Option account. These changes reflect that the Sign & Travel and/or Extended Payment Option, when activated. are now features of your Account and we no longer a separate account. Accordingly, references throughout the Agreement to 'Card Account- are changing to 'Account.' We are adding a now section entitled Flexible Payment Features to the Agreement, reading in its entirety as follows: 'Flexible Payment Features We may advise you that we have added one or more special plans to your Account that permit you to extend payment on various Charges designated by us. In this Agreement, each of these special plans is called a 'Feature." These Features include, but are not limited to, Sign & Travel°, Extended Payment Option and certain promotional offers we may make. The Sign & Travel Feature permits you, if eligible, to extend payment for airline tickets, cruise ship tickets, prepaid tour packages, certain Charges made outside of the U.S. and any other Charges designated by us. To elect to use this Feature, if you are eligible, you must either advise the travel agent. airline, or other travel Industry merchant that you wish to do so when giving your Account number for payment at the time of purchase, or fol/mv other procedures prescribed by us. The Extended Payment Option permits you, if eligible, to extend payment for all eligble Charges by advising us one time that you wish to do so. If this Feature Is added to your Account, all of your eligible Charges will be billed under the Extended Payment Option Feature of your Account. Eligible Charges means those individual Charges that are at or above the dollar amount disclosed to you when you enroll in this Feature, or any other amount designated by us. The following are examples of Charges that are not eligible Charges: Express Cash, American Express'Travelers Cheques, American ExpresseGift Cheques, Privileged Assets,° insurance, real estate and other transactions determined by us. We may change our designation of what Charges are eligible for the Sign & Travel Account and/or the Extended Payment Option at any time. Any Charges that are not eligible for extended payment, or any otherwise eligible Charges for which you have elected not to extend payment, will be due in full upon your receipt of the billing statement. Additionally, any Charges incurred by a Cardmember who is not eligible to use one of the Features will also be due in full upon your receipt of the biting statement. X0286 BP/CO/XPT2/0806 EFTA01704599  DUPLICATE COPY Pr od Fa' Page 12 of 13 Even If your Account is not enroled in a Feature, you may request to transfer the payarnfull balance, or a portion thereof, to a Feature, and extend payment of those amounts over time. We may approve or decline your transfer request in whole or in part at our sole discretion. Any portion of the parinfull balance not authorized by us for transfer to a Feature must be paid in full upon your receipt of your biting statement.' We are replacing the entire Billing Statements section of the Agreement with the following new section entitled Billing Statements/Amount Duo: *Billing Statements/Amount Due You must notify us immediately of any change in the mailing or email address to which we send biting statements or notices that a biting statement has been posted Milling Address'). If you wish a Billing Address charge to apply to more than one account you maintain with us, you must tell us. You agree that we may also update your Billing Address if we receive information that your Billing Address has changed or is incorrect. We apply those terms of this Agreement that vary by state according to your Billing Address. When we receive information that you have changed your Billing Address, those terms of this Agreement that vary depending on the state of your Billing Address will apply to the entire balance of your Account, including existing balances. Each billing statement will reflect a New Balance and, if your balance includes Charges incurred on any Feature, a Minimum Amount Due. The "Amount Due' is the total of (i) all Charges on your Account other than those associated with Features, plus (ii) the Minimum Amount Due (described below) for any Charges associated with Features, plus (iii) any portion of any previously baled Amount Due that remains unpaid. The Amount Duo is duo and payable once you receive the billing statement. You may pay more than the Amount Due, up to the total balance on your Account, at any time. The Amount Due for any Charges associated with Features will be the greatest of: • 1/50th of the New Balance of all Features on the Closing Date of the billing statement (the calor/Laden of which is rounded to the nearest whole dollar), • the current billed Finance Charges, or • $20 (or the total outstandng balance of all Features if it is less than $20). If the greatest of the three calculations Immediately above Is the current billed Finance Charges, then we will add 815 to the calculation of the Minimum Amount Due for Charges associated with the Features' We are replacing the last paragraph of the Payments section of your Agreement with the following: 'Sub/eel to applicable law, we will apply and allocate payments and credits among Features and Charges on your Account in any order and manner determined by us in our sole discretion. In most cases, we will apply and allocate payments to the Minimum Amount Due on Feature balances first, then to amounts due in full. The remainder of your payment will be applied to any outstanding Feature balances. Amounts applied to Feature balances veil be applied first to Feature balances at lower Annual Percentage Rates ("APRs") and then to higher APR Feature balances. In most cases, we will apply purchase credits first to the balance from which the corresponding debit originated. However, for servicing, administrative, systemsor other business reasons, we may apply and allocate payments and credits among Features and to Charges on your Account in some other order or manner that we may determine in our sole discretion. You agree that we have.the unconditional right to exercise this discretion in away that is most favorable or convenient to us." We are adding a new section entitled Finance Charges on Features to the Agreement, reading In its entirety as follows: 'Finance Charges on Features A. Finance Charges begin to accrue foe each Charge as of the date it is added to the daily balance for a Feature, as described below. However, for Charges (other than Finance Charges) that are added to a balance automatically, no Finance Charges will accrue in any billing period in which the total Account balance on the Closing Date for the previous billing period is zero or a credit balance. In addition, Finance Charges will not accrue during a biding period on any Feature balance if, by the Closing Date of that billing period, payment In full of the New Balance shown on the statement for the previous billing period is credited to your Account; provided, however, that Finance Charges will accrue on transactions added at your request to a Feature balance during the billing period. B. Each Feature is subject to the same Daily Periodic Rate ("DPR"), unless we notify you otherwise. Except as provided below, the DPR for each Feature is based on an APR, which may vary. The APR is the Prime Rate (described below) plus 9.99%. A DPR is 1/365th of the APR. Your DPRs and APRs appear on the accompanying supplement(s). When an APR changes, we apply it to any existing balance subject to that rate. C. The "Prime Rate' is determined once with respect to each billing period. The Prime Rate for each billing period is the Prime Rate published in the Money Rates section (or successor section) of The Wall Street Journal on (a) the first day of that billing period or (b) the day that is two days prior to the Closing Date of that billing period, whichever is higher. In each case, if such day is not a customary publication day for The Wall Street Journal, we wiil substitute the closest preceding day that is a customary publication day. If The Wall Street Journal ceases or suspends publication, we may refer to the Prime Rale published in any other newspaper of general circulation in New York, New York, or we may substitute a similar reference rate at our sole discretion. Any increase or decrease to an APR resulting from a change in the Prime Rate takes effect as of the first day of the billing period. An increase in the Prime Rate means that the variable APRs (and corresponding DPRs) applicable to your Account will increase and you may Incur higher Finance Charges and may have a higher Minimum Amount Duo. D. The DPR (and corresponding APR) on all Features may increase to the Default Rate If during the Review Period (i) your Account is delinquent on the Closing Date of any two consecutive bitting periods; or (i) on two or more occasions a payment submitted on your Account is not honored on first presentment. Your Account will be considered delinquent if payment of the Amount Due from a billing period is not credited to your Account by the Closing Date of the next billing period. The "Review Period" is the period, constituting approximately one year, of twelve consecutive billing periods ending with the Closing Date of the current billing period, whether or not you received a statement for each such billing period. If the Default Rate is applied, It will apply to your Account for twelve consecutive biting periods, beginning with the current billing period. The Default Rate will not apply to any balance for Features unless it is higher than the rate that would otherwise apply to that balance. The Default Rate is a DPR which corresponds to an APR equal to the Prime Rate plus 21.99%." We are adding a new section entitled Average Daily Balance Method for Calculation of Finance Charges to the Agreement. reading in its entirety as follows: "Average Daily Balance Method for Calculation of Finance Charges X0286 BP/CO/XPT2/0806 EFTA01704600  DUPLICATE COPY Pr td <comet tltrnber Cleekg DM. Page 13 of 13 12/11/06 We use the Average Daily Balance method to calculate Finance Charges on your Account. Under this method, we calculate the Finance Charges an your Account by applying the DPR to the Average Daily Balance (as described below) separately for each Feature subject to a different DPR (Including current transactions). Different DPRs may be applied to separate Feature balances. To get the Average Daily Balance for each Feature, we (1) take the beginning balance for each day (including unpaid Finance Charges from previous billing periods), (2) add any new transactions, debits, or fees, (3) subtract any payments or credits credited as of that day, and (4) make any appropriate adjustments. For each day after the first day of she billing period, we also add an amount of interest equal to the previous day's daily balance multiplied by the DPR for the Feature. Tlis gives us the daily balance for the Feature for that day and the beginning balance for that Feature for the next day. If this balance is negative, it is considered to be zero. Then, we add up all the daily balances for the Feature fee the billing period and divide the total by the number of days in the billing period. This gives us the Average Daily Balance for that Feature. If you multiply the Average Daily Balance for each ceature by the number of days in the billing period and the DPR for that Feature, the result will be the Finance Charge assessed on that Feature, except for variations caused by rounding. The total Finance Charge for the billing period is calculated by adding the Finance Charges assessed on all Features of the Account This method of calculating the Average Daily Balance andFinance Charge results in daily compounding ofFinance Charges. We may use mathematcal formulas which produce equivalent results to calculate the Average Daily Balance, Finance Charge, and related amounts. For example, we may utilize com