On April 25, 2012, Tree.com, Inc., through its subsidiary Home Loan Center, Inc. entered into an amendment to its existing warehouse line of credit with JPMorgan Chase Bank, N.A. The amendment extends the termination date for the facility to the earlier of October 25, 2012 and the first business day that is 45 days after the closing of the sale of substantially all the assets of the company in accordance with the Asset Purchase Agreement dated May 12, 2011, as amended, subject to certain provisions for earlier termination.

On February 17, 2012, Home Loan Center, Inc. amended and restated its existing $100.0 million warehouse line of credit with Citibank. The Citibank facility will continue to be used to fund consumer residential loans that are held for sale and will be secured by such loans. The term of the facility is through the earlier of (a) August 20, 2012 and (b) the first business day that is 45 days after the closing of the sale of substantially all the assets of HLC to Discover Bank (the Discover Transaction). Under the terms of this facility, HLC is required to maintain various financial and other covenants. These financial covenants include maintaining (i) a maximum ratio of total liabilities to tangible net worth, (ii) certain minimum liquidity levels, (iii) certain tangible net worth levels, (iv) a prescribed ratio of book value assigned to HLC servicing portfolio to HLC's tangible net worth, and (v) certain consolidated net income levels for HLC. The terms of the facility also include customary events of default (subject to applicable grace and notice periods), including among others, defaults based on (i) the nonpayment of principal, interest or fees, (ii) the failure of representations and warranties to be correct in any material respect, (iii) failure to observe certain other covenants, (iv) certain bankruptcy and insolvency events, (v) a change of control of HLC (other than the Discover Transaction) without consent, (vi) aggregate amount of all repurchase and indemnity obligations of HLC to its third party investors exceeds 50% of its liquidity, (vii) status as an FHA Approved Mortgagee is suspended or revoked, and (viii) a material adverse effect on HLC's business, property or financial condition.

On January 9, 2012, Home Loan Center, Inc. entered into a new $100.0 million warehouse line of credit with CSFB. The new CSFB facility will be used to fund consumer residential loans that are held for sale and will be secured by such loans. The term of the new facility is through the earlier of January 4, 2013 and the first business day that is forty-five days after the closing of the sale of substantially all the assets of HLC to Discover Bank. Under the terms of this new facility, HLC is required to maintain various customary financial and other covenants. These financial covenants include, among others, maintaining minimum adjusted net worth levels; a prescribed indebtedness to adjusted net worth ratio, minimum liquidity levels, and minimum consolidated net income levels. The terms of the new facility also include customary events of default including among others, defaults based on the nonpayment of principal, interest or fees, the failure of representations and warranties to be correct in any material respect, failure to observe certain other covenants, certain bankruptcy and insolvency events, a change of control of HLC or a guarantor without consent, and a material adverse change in HLC’s business, property or financial condition. Additionally, HLC is required to maintain warehouse facilities from buyers and lenders other than CSFB in an aggregate amount of at least $100.0 million. HLC’s borrowings under the facility will be guaranteed by the Company, LendingTree Holdings Corp. and LendingTree, LLC.