exhibit 10. 6 the following are excerpts of the relevant servicing provisions of : mortgage loan purchase and servicing agreement this mortgage loan purchase and servicing agreement is made and entered into as of april 1, 1998 ( the “ agreement ” ), between countrywide home loans, inc., a new york corporation, having an address at 4500 park granada, calabasas, california 91302 ( “ countrywide ” ), and rwt holdings, inc., having an address at 591 redwood highway, suite 3140, mill valley, california 94941 ( “ purchaser ” ). article i definitions unless the context requires otherwise, all capitalized terms used herein shall have the meanings assigned to such terms in this article i unless defined elsewhere herein. any capitalized term used or defined in a purchase confirmation that conflicts with the corresponding definition set forth herein shall supersede such term. adjustable rate mortgage loan : any mortgage loan in which the related mortgage note contains a provision whereby the mortgage interest rate is adjusted from time to time in accordance with the terms of such mortgage note. agency : either fnma or fhlmc. agreement : this mortgage loan purchase and servicing agreement including all amendments hereof and supplements hereto. assignment of mortgage : an assignment of the mortgage, notice of transfer or equivalent instrument in recordable form, sufficient under the laws of the jurisdiction wherein the related mortgaged property is located to reflect the sale of the mortgage to purchaser. balloon mortgage loan : any mortgage loan wherein the mortgage note matures prior to full amortization and requires a final and accelerated payment of principal. business day : any day other than ( i ) a saturday or sunday, or ( ii ) a day on which banking and savings and loan institutions in the state of california are authorized or obligated by law or executive order to be closed. cash liquidation : recovery of all cash proceeds by countrywide with respect to the termination of any defaulted mortgage loan other than a mortgage loan which became an reo property, including all pmi proceeds, other insurance proceeds, liquidation proceeds, condemnation proceeds and other payments or recoveries whether made at one time or over a period of time which countrywide deems to be finally recoverable, in connection with the sale or assignment of such mortgage loan, trustee ’ s sale, foreclosure sale or otherwise. closing : the consummation of the sale and purchase of each mortgage loan package. closing date : the date on