GE DEALER FLOORPLAN MASTER NOTE TRUST ASSET BACKED NOTES TERMS AGREEMENT (SERIES 2006-3)

Exhibit 1.2

GE DEALER FLOORPLAN
MASTER NOTE TRUST ASSET BACKED NOTES

TERMS AGREEMENT
(SERIES 2006-3)

Dated:		August 1, 2006
To:		CDF Funding, Inc.
		General Electric Capital Corporation
Re:		Underwriting Agreement, dated August 1, 2006 among CDF Funding, Inc., General Electric Capital Corporation and the Representatives referred to therein

1. Offered Notes.

     The notes described below in this Section 1 are the “Offered Notes” for the purpose of this Terms Agreement and for purposes of the above-referenced Underwriting Agreement (the “Underwriting Agreement”). The Underwriting Agreement is incorporated herein and made a part hereof. The Offered Notes are the Series 2006-3 Notes that will be issued by GE Dealer Floorplan Master Note Trust.

		Principal						Final
Class		Amount				Interest Rate		Maturity Date
A		$	955,000,000			One month LIBOR		July 20, 2011
						plus 0.01% per year
B		$	35,000,000			One month LIBOR		July 20, 2011
						plus 0.17% per year
C		$	10,000,000			One month LIBOR		July 20, 2011
						plus 0.35% per year

2. Underwriters

     The Underwriters named below are the “Underwriters” for the purpose of this Terms Agreement and for the Underwriting Agreement.

Underwriter		Class Purchased		$ Purchased
Deutsche Bank Securities Inc.		A		$	334,000,000
		B		$	17,500,000
		C		$	5,000,000
X.X. Xxxxxx Securities Inc.		A		$	334,000,000
		B		$	17,500,000
		C		$	5,000,000
Banc of America Securities LLC		A		$	64,500,000
		B		$	0
		C		$	0
Greenwich Capital Markets, Inc.		A		$	64,500,000
		B		$	0
		C		$	0
Xxxxxxx Xxxxx & Co.		A		$	64,500,000
		B		$	0
		C		$	0
Xxxxxx Xxxxxxx & Co. Incorporated		A		$	64,500,000
		B		$	0
		C		$	0
Xxxxxxxx & Company, Inc.		A		$	14,500,000
		B		$	0
		C		$	0
The Xxxxxxxx Capital Group, L.P.		A		$	14,500,000
		B		$	0
		C		$	0

2

3. Underwriting Liability

Underwriting Liability		Class A				Class B				Class C
Deutsche Bank Securities Inc.		$	334,000,000			$	17,500,000			$	5,000,000
X.X. Xxxxxx Securities Inc.			334,000,000				17,500,000				5,000,000
Banc of America Securities LLC			64,500,000				0				0
Greenwich Capital Markets, Inc.			64,500,000				0				0
Xxxxxxx Xxxxx & Co.			64,500,000				0				0
Xxxxxx Xxxxxxx & Co. Incorporated			64,500,000				0				0
Xxxxxxxx & Company, Inc.			14,500,000				0				0
The Xxxxxxxx Capital Group, L.P.			14,500,000				0				0
Total Amount		$	955,000,000			$	35,000,000			$	10,000,000

4. Purchase Price, Discounts and Concessions

		Class A				Class B				Class C
Gross Purchase Price			100	%			100	%			100	%
Underwriting Discount			0.125	%			0.220	%			0.290	%
Net Purchase Price			99.875	%			99.780	%			99.710	%
Maximum Dealer Selling Concessions			0.0750	%			0.1320	%			0.1740	%
Maximum Dealer Reallowance Discounts			0.0375	%			0.0660	%			0.0870	%

5. Time of Sale

     2:19 p.m. (New York City time) on August 1, 2006 (the time the first Contract of Sale was entered into as designated by the Representatives).

3

The Underwriters agree, severally and not jointly, to purchase the Offered Notes subject to the terms and provisions of this Terms Agreement and the Underwriting Agreement.

		Deutsche Bank Securities Inc., as a Representative
		By:		/s/ Xxx X. Xxxxxxx
				Name: Xxx X. Xxxxxxx
				Title: Director
		By:		/s/ Xxxxxx Xxxxx
				Name: Xxxxxx Xxxxx
				Title: Vice President
		X.X. Xxxxxx Securities Inc., as a Representative
		By:		/s/ Xxxxxxx Xxxxxxx
				Name: Xxxxxxx Xxxxxxx
				Title: Vice President

For themselves and as representatives of the other several Underwriters named in this Terms Agreement.

S-1

Accepted and Agreed:

CDF Funding, Inc.
By:		/s/ Xxxxxxxx Xxxxx
		Name: Xxxxxxxx Xxxxx
		Title: Vice President
General Electric Capital Corporation
By:		/s/ Xxxxxxxx Xxxxx
		Name: Xxxxxxxx Xxxxx
		Title: Attorney-in-Fact

S-2