Exhibit 1.2
DISCOVER CARD EXECUTION NOTE TRUST
DISCOVERSERIES
Class C(2007-1)
ASSET BACKED NOTES
TERMS AGREEMENT
Dated:
July 20, 2007
| To: |
|
DISCOVER CARD EXECUTION NOTE TRUST
DISCOVER BANK |
| |
| Re: |
|
Underwriting Agreement dated July 20, 2007 (the “
Agreement ”) |
Series Designation :
DiscoverSeries.
Registration Statement :
Nos.
333-141703, 333-141703-01 and 333-141703-02.
Title of Securities :
Discover Card
Execution Note Trust, DiscoverSeries Class C(2007-1)
Notes (the “Notes”).
Initial Principal Amount of Notes :
$200,000,000.
Required Note Rating :
Baa2 by
Moody’s Investor Service, Inc.
BBB by
Standard & Poor’s Rating Services
BBB by Fitch,
Inc.
Aggregate outstanding balance of Receivables in the Discover
Card Master Trust I as of June 30, 2007 :
$36,944,343,647.52.
Expected Date of Terms Document : July 26, 2007.
Interest Rate or Formula : One-month LIBOR plus 0.32% per
year.
Time
of Sale :
3:25p.m. New
York City time on July 20, 2007.
Time
of Sale Information :
(1) The
Preliminary Prospectus dated July 18, 2007 for the
DiscoverSeries Class C(2007-1) Notes (the “
Preliminary Prospectus ”), attached as Annex 1
hereto, filed pursuant to Rule 424(b) of the
Securities Act
of 1933, which incorporated by reference (a) the static pool
information regarding the historical performance of the Receivables
for the accounts contained on the internet website
http://www.discoverfinancial.com/absdata and (b) the other
reports and documents incorporated by reference to the Preliminary
Prospectus and (2) the Pricing Term Sheet.
If, subsequent
to the Time of Sale, it is determined that such information
included an untrue statement of material fact or omitted to state a
material fact necessary in order to make the statements therein, in
the light of the circumstances under which they were made, not
misleading and the Underwriters have terminated their old purchase
contracts and entered into new purchase contracts with purchasers
of the Notes, then “Time of Sale Information” will also
include any information that
