Exhibit 10.1

EXECUTION VERSION

STERICYCLE, INC.

FIRST AMENDMENT

This FIRST AMENDMENT, dated as of March 23, 2018 (this “Amendment”), is entered
into by and among STERICYCLE, INC., a Delaware corporation (the “Company”), the
Subsidiaries of the Company signatory hereto (collectively, the “Subsidiary Loan
Parties”), the Lenders (as defined below) signatory hereto and BANK OF AMERICA,
N.A., as administrative agent (in such capacity, the “Administrative Agent”)
under that certain Credit Agreement, dated as of November 17, 2017 (as amended,
restated, supplemented or otherwise modified prior to the date hereof, the
“Credit Agreement”), among the Company, the financial institutions from time to
time party thereto as lenders (the “Lenders”) or as “L/C Issuers”, the
Subsidiaries of the Company party thereto as “Designated Borrowers”, and the
Administrative Agent. Capitalized terms used and not otherwise defined herein
shall have the meanings ascribed to them in the Credit Agreement.

W I T N E S S E T H

WHEREAS, the Company has requested that the Lenders and the Administrative Agent
amend the Credit Agreement as set forth herein; and

WHEREAS, the Administrative Agent and the Lenders have agreed, on the terms and
conditions set forth below, to so amend the Credit Agreement.

NOW, THEREFORE, in consideration of the mutual covenants and agreements herein
contained and other good and valuable consideration, the receipt and sufficiency
of which is hereby acknowledged, each of the parties hereto hereby agrees as
follows:

1. Amendments to Credit Agreement. Subject to the satisfaction of the conditions
precedent set forth in Section 2 hereof:

(a) The definition of “Applicable Rate” in Section 1.01 is amended to (i) delete
the first reference therein to “Pricing Level IV” and insert “Pricing Level V”
in lieu thereof and (ii) delete the pricing grid therein and insert the
following in lieu thereof:

 

              Revolving Credit Facility   Term Facility

Level

  

Consolidated Leverage Ratio

   Facility
Fee   Eurocurrency
Rate/Letter of
Credit Fee   Base Rate   Eurocurrency Rate   Base Rate

I

   Less than 1.75 to 1.00    0.100%   0.900%   0.000%   1.000%   0.000%

II

   Greater than or equal to 1.75 to 1.00 but less than 2.50 to 1.00    0.120%  
0.980%   0.000%   1.110%   0.110%

III

   Greater than or equal to 2.50 to 1.00 but less than 3.25 to 1.00    0.150%  
1.050%   0.050%   1.200%   0.200%

IV

   Greater than or equal to 3.25 to 1.00 but less than 4.00 to 1.00    0.200%  
1.175%   0.175%   1.375%   0.375%

V

   Greater than or equal to 4.00 to 1.00    0.250%   1.375%   0.375%   1.625%  
0.625%

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(b) The definition of “Consolidated EBITDA” in Section 1.01 is amended to add a
new clause (a)(xi) to such definition that reads as follows:

and (xi) solely for purposes of determining compliance with Section 7.11 for any
fiscal quarter ending during the period from March 31, 2018 through December 31,
2019 (and for no other purposes hereunder, including, without limitation, for
determination of the “Applicable Rate”), up to $200,000,000 in the aggregate in
any four-fiscal quarter period of cash charges associated with
(A) implementation of the Company’s Business Transformation and Operational
Optimization Expenses (each, as described in the Company’s Form 10-K for the
fiscal year ended December 31, 2017), (B) internal control remediation,
accounting pronouncements and related professional and consulting expenses,
(C) legal and settlement related expenses and (D) up to $25,000,000 of other
cash charges

(c) The existing Exhibit D is deleted and the Exhibit D attached hereto as Annex
A is inserted in lieu thereof.

2. Conditions to Effectiveness. The provisions of Section 1 of this Amendment
shall be deemed to have become effective as of the date of this Amendment, but
such effectiveness shall be expressly conditioned upon the following:

(a) the Administrative Agent’s receipt of counterparts of this Amendment, duly
executed and delivered on behalf of each of the Company, each Subsidiary Loan
Party and the Required Lenders;

(b) the Company having paid the fees in the amounts and at the times specified
in the letter agreement, dated as of March 1, 2018, between the Company and
Merrill Lynch, Pierce, Fenner & Smith Incorporated (the “Amendment Fee Letter”),
which fees shall be deemed fully earned and due on the effective date and shall
be non-refundable;

(c) satisfactory evidence of substantially contemporaneous amendments in form
and substance satisfactory to the Administrative Agent, including amendments in
substance parallel to those in Section 1 of this Amendment, with respect to
(x) the 2010 Note Purchase Agreement, (y) the 2012 Note Purchase Agreement, and
(z) the 2015 Note Purchase Agreement; and

(d) unless waived by the Administrative Agent, the Company having paid all fees,
charges and disbursements of counsel to the Administrative Agent to the extent
invoiced prior to the date hereof.

3. Representations and Warranties. Each Loan Party hereby represents and
warrants that:

(a) This Amendment has been duly executed and delivered by each Loan Party that
is party hereto. This Amendment constitutes a legal, valid and binding
obligation of such Loan Party, enforceable against such Loan Party in accordance
with its terms (except, in any case, as such enforceability may be limited by
applicable bankruptcy, insolvency, reorganization, examinership or similar laws
affecting creditors’ rights generally and by principles of equity);

(b) Each Loan Party (i) is duly organized or formed, validly existing and in
good standing (if applicable in such Loan Party’s jurisdiction of incorporation
or organization) under the Laws of the jurisdiction of its incorporation or
organization and (ii) has all requisite power and authority and all requisite
governmental licenses, authorizations, consents and approvals to execute,
deliver and perform its obligations under this Amendment;

 

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(c) The execution, delivery and performance by each Loan Party of this Amendment
have been duly authorized by all necessary corporate or other organizational
action, and do not and will not (i) contravene the terms of any of such Person’s
Organization Documents; (ii) conflict with or result in any breach or
contravention of, or the creation of any Lien under, or require any payment to
be made under (A) any Contractual Obligation to which such Person is a party or
affecting such Person or the properties of such Person or any of its
Subsidiaries or (B) any order, injunction, writ or decree of any Governmental
Authority or any arbitral award to which such Person or its property is subject;
or (iii) violate any Law;

(d) No approval, consent, exemption, authorization, or other action by, or
notice to, or filing with, any Governmental Authority or any other Person is
necessary or required in connection with the execution, delivery or performance
by, or enforcement against, any Loan Party of this Amendment;

(e) No Default has occurred and is continuing or would result from the
consummation of the transactions contemplated by this Amendment; and

(f) The representations and warranties contained in Article V of the Credit
Agreement and the other Loan Documents are true and correct in all material
respects (except to the extent any such representation and warranty is qualified
by materiality or reference to Material Adverse Effect, in which case, such
representation and warranty shall be true and correct in all respects) on and as
of the date hereof, except to the extent that such representations and
warranties specifically refer to an earlier date, in which case they are true
and correct in all material respects (except to the extent any such
representation and warranty is qualified by materiality or reference to Material
Adverse Effect, in which case, such representation and warranty shall be true
and correct in all respects) as of such earlier date and except that the
representations and warranties contained in subsections (a) and (b) of
Section 5.05 thereof shall be deemed to refer to the most recent statements
furnished pursuant to clauses (a) and (b), respectively, of Section 6.01
thereof.

4. Governing Law; Jurisdiction; Waiver of Jury Trial; Etc. THIS AMENDMENT SHALL
BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE INTERNAL LAWS AND
DECISIONS (AS OPPOSED TO CONFLICTS OF LAW PROVISIONS) OF THE STATE OF NEW YORK.
This Amendment shall be further subject to the provisions of Sections 10.14 and
10.15 of the Credit Agreement.

5. Counterparts; Integration; Effectiveness. This Amendment may be executed in
counterparts (and by different parties hereto in different counterparts), each
of which shall constitute an original, but all of which when taken together
shall constitute a single contract. This Amendment, together with the Amendment
Fee Letter and the other Loan Documents, constitutes the entire contract among
the parties relating to the subject matter hereof and supersede any and all
previous agreements and understandings, oral or written, relating to the subject
matter hereof. Delivery of an executed counterpart of a signature page of this
Amendment by telecopy or other electronic imaging means shall be effective as
delivery of a manually executed counterpart of this Amendment.

6. Severability. If any provision of this Amendment is held to be illegal,
invalid or unenforceable, (a) the legality, validity and enforceability of the
remaining provisions of this Amendment shall not be affected or impaired thereby
and (b) the parties shall endeavor in good faith negotiations to replace the
illegal, invalid or unenforceable provisions with valid provisions the economic
effect of which comes as close as possible to that of the illegal, invalid or
unenforceable provisions. The invalidity of a provision in a particular
jurisdiction shall not invalidate or render unenforceable such provision in any
other jurisdiction.

 

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7. Effect. Upon the effectiveness of this Amendment, each reference in the
Credit Agreement to “this Agreement,” “hereunder,” “hereof” or words of like
import shall mean and be a reference to the Credit Agreement as modified hereby
and each reference in the other Loan Documents to the Credit Agreement,
“thereunder,” “thereof,” or words of like import shall mean and be a reference
to the Credit Agreement as modified hereby. This Amendment shall constitute a
Loan Document for purposes of the Credit Agreement.

8. Reaffirmation. Except as specifically modified by this Amendment, the Credit
Agreement shall remain in full force and effect and is hereby ratified and
confirmed.

9. Guarantors. Each Guarantor hereby consents to this Amendment and reaffirms
the terms and conditions of each Guaranty and each other Loan Document executed
by it and acknowledges and agrees that each and every such Guaranty and other
Loan Document executed by such Guarantor in connection with the Credit Agreement
remains in full force and effect and is hereby reaffirmed, ratified and
confirmed.

[Remainder of this page intentionally left blank; signature pages follow]

 

4

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IN WITNESS WHEREOF, each of the undersigned has caused this Amendment to be
executed and delivered by a duly authorized officer on the date first above
written.

 

BANK OF AMERICA, N.A.,

as Administrative Agent

By:  

/s/ Ronaldo Naval

Name:   Ronaldo Naval Title:   Vice President BANK OF AMERICA, N.A., as a
Lender, an L/C Issuer and Swing Line Lender

By:  

/s/ Matthew N. Walt

Name:   Matthew N. Walt Title:   Director

 

Stericycle, Inc.

First Amendment to Credit Agreement

Signature Page

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STERICYCLE, INC., as the Company By:  

/s/ Daniel Ginnetti

Name:   Daniel Ginnetti Title:   Executive Vice President and Chief Financial
Officer STERICYCLE INTERNATIONAL, LTD., as a Designated Borrower and a Guarantor
By:  

/s/ Daniel Ginnetti

Name:   Daniel Ginnetti Title:   Director SRCL LIMITED, as a Designated Borrower
and a Guarantor

 

By:  

/s/ Daniel Ginnetti

Name:   Daniel Ginnetti Title:   Director

 

STERICYCLE EUROPE S.à.r.l., as a Designated Borrower and a Guarantor By:  

/s/ Daniel Ginnetti

Name:   Daniel Ginnetti Title:   A manager STERICYCLE, ULC, as a Designated
Borrower and a Guarantor By:  

/s/ Daniel Ginnetti

Name:   Daniel Ginnetti Title:   Executed Vice President and Chief Financial
Officer STERICYCLE INTERNATIONAL HOLDINGS LIMITED, as a Designated Borrower and
a Guarantor By:  

/s/ Daniel Ginnetti

Name:   Daniel Ginnetti Title:   Director

 

Stericycle, Inc.

First Amendment to Credit Agreement

Signature Page

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STERICYCLE ENVIRONMENTAL SOLUTIONS, INC., as a Guarantor By:  

/s/ Daniel Ginnetti

Name:   Daniel Ginnetti Title:   Vice President, Secretary and Treasurer
SHRED-IT USA LLC, as a Guarantor By:  

/s/ Daniel Ginnetti

Name:   Daniel Ginnetti Title:   Vice President, Secretary and Treasurer
STERICYCLE COMMUNICATION SOLUTIONS, INC., as a Guarantor By:  

/s/ Daniel Ginnetti

Name:   Daniel Ginnetti Title:   Vice President, Secretary and Treasurer

 

Stericycle, Inc.

First Amendment to Credit Agreement

Signature Page

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STERICYCLE ESPAÑA, S.L. (Sociedad Unipersonal),

as a Guarantor

 

By:  

/s/ Franciscus J.M. Ten Brink

Name:   Franciscus J.M. Ten Brink Title:   Administrador Único

 

Stericycle, Inc.

First Amendment to Credit Agreement

Signature Page

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HSBC BANK USA, NATIONAL ASSOCIATION, as a Lender By:  

/s/ Matthew Brannon

Name:   Matthew Brannon Title:   Vice President

 

Stericycle, Inc.

First Amendment to Credit Agreement

Signature Page

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HSBC BANK PLC, as a Lender By:  

/s/ Giovanna Padua

Name:   Giovanna Padua Title:   Relationship Banker

 

Stericycle, Inc.

First Amendment to Credit Agreement

Signature Page

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JPMORGAN CHASE BANK, N.A., as a Lender By:  

/s/ Krys Szrenski

Name:   Krys Szrenski Title:   Executive Director

 

Stericycle, Inc.

First Amendment to Credit Agreement

Signature Page

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THE BANK OF TOKYO-MITSUBISHI UFJ, LTD., as a Lender By:  

/s/ Maria F. Maia

Name:   Maria Maia Title:   Director

 

Stericycle, Inc.

First Amendment to Credit Agreement

Signature Page

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SUMITOMO MITSUI BANKING CORPORATION, as a Lender By:  

/s/ James D. Weinstein

Name:   James D. Weinstein Title:   Managing Director

 

Stericycle, Inc.

First Amendment to Credit Agreement

Signature Page

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WELLS FARGO BANK, NATIONAL ASSOCIATION, as a Lender By:  

/s/ Sara Barton

Name:   Sara Barton Title:   Vice President

 

Stericycle, Inc.

First Amendment to Credit Agreement

Signature Page

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U.S. BANK NATIONAL ASSOCIATION, as a Lender By:  

/s/ James DeVries

Name:   James DeVries Title:   Senior Vice President

 

Stericycle, Inc.

First Amendment to Credit Agreement

Signature Page

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BMO HARRIS FINANCING INC., as a Lender By:  

/s/ Isabella Battista

Name:   Isabella Battista Title:   Director

 

Stericycle, Inc.

First Amendment to Credit Agreement

Signature Page

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BMO HARRIS BANK N.A., as a Lender By:  

/s/ Isabella Battista

Name:   Isabella Battista Title:   Director

 

Stericycle, Inc.

First Amendment to Credit Agreement

Signature Page

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COMPASS BANK, as a Lender By:  

/s/ April Chan

Name:   Title:  

 

Stericycle, Inc.

First Amendment to Credit Agreement

Signature Page

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UNICREDIT BANK AG, NEW YORK BRANCH, as a Lender By:  

/s/ Ken Hamilton

Name:   Ken Hamilton Title:   Managing Director By:  

/s/ Mathias Eichwald

Name:   Mathias Eichwald Title:  

 

Stericycle, Inc.

First Amendment to Credit Agreement

Signature Page

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GOLDMAN SACHS BANK USA, as a Lender By:  

/s/ Chris Lam

Name:   Chris Lam Title:  

 

Stericycle, Inc.

First Amendment to Credit Agreement

Signature Page

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CITIBANK, N.A., as a Lender By:  

/s/ Michael Schadt

Name:   Michael Schadt Title:   Authorized Signatory

 

Stericycle, Inc.

First Amendment to Credit Agreement

Signature Page

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CITIZENS BANK, N.A., as a Lender By:  

/s/ Caroline Conole

Name:   Caroline Conole Title:   Assistant Vice President

 

Stericycle, Inc.

First Amendment to Credit Agreement

Signature Page

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PNC BANK, NATIONAL ASSOCIATION, as a Lender

By:  

/s/ Bridget Anderson

Name:   Bridget Anderson Title:   Assistant Vice President

 

Stericycle, Inc.

First Amendment to Credit Agreement

Signature Page

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SANTANDER BANK, N.A., as a Lender By:  

/s/ Andres Barbosa

Name:   Andres Barbosa Title:   Executive Director By:  

/s/ Daniel Kostman

Name:   Daniel Kostman Title:   Executive Director

 

Stericycle, Inc.

First Amendment to Credit Agreement

Signature Page

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THE NORTHERN TRUST COMPANY, as a Lender

By:  

/s/ Brittany Mondanc

Name:   Brittany Mondanc Title:   Vice President

 

Stericycle, Inc.

First Amendment to Credit Agreement

Signature Page

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ANNEX A

EXHIBIT D

FORM OF COMPLIANCE CERTIFICATE

Financial Statement Date:                     ,         

To: Bank of America, N.A., as Administrative Agent

Ladies and Gentlemen:

Reference is made to that certain Credit Agreement, dated as of November 17,
2017 (as amended, restated, extended, supplemented or otherwise modified in
writing from time to time, the “Agreement;” the terms defined therein being used
herein as therein defined), among Stericycle, Inc., a Delaware corporation (the
“Company”), the Designated Borrowers from time to time party thereto, the
Lenders from time to time party thereto, and Bank of America, N.A., as
Administrative Agent, Swing Line Lender and an L/C Issuer.

The undersigned Responsible Officer hereby certifies as of the date hereof that
he/she is the                                 of the Company, and that, as such,
he/she is authorized to execute and deliver this Certificate to the
Administrative Agent on the behalf of the Company, and that:

[Use following paragraph 1 for fiscal year-end financial statements]

1. Attached hereto as Schedule 1 are the year-end audited financial statements
required by Section 6.01(a) of the Agreement for the fiscal year of the Company
ended as of the above date, together with the report and opinion of an
independent certified public accountant required by such section.

[Use following paragraph 1 for fiscal quarter-end financial statements]

1. Attached hereto as Schedule 1 are the unaudited financial statements required
by Section 6.01(b) of the Agreement for the fiscal quarter of the Company ended
as of the above date. Such financial statements fairly present the financial
condition, results of operations and cash flows of the Company and its
Consolidated Subsidiaries in accordance with GAAP as at such date and for such
period, subject only to normal year-end audit adjustments and the absence of
footnotes.

2. The undersigned has reviewed and is familiar with the terms of the Agreement
and has made, or has caused to be made under his/her supervision, a detailed
review of the transactions and condition (financial or otherwise) of the Company
during the accounting period covered by the attached financial statements.

3. A review of the activities of the Company during such fiscal period has been
made under the supervision of the undersigned with a view to determining whether
during such fiscal period the Company performed and observed all its Obligations
under the Loan Documents, and

[select one:]

[to the best knowledge of the undersigned during such fiscal period, the Company
performed and observed each covenant and condition of the Loan Documents
applicable to it, and no Default has occurred and is continuing.]

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–or–

[the following covenants or conditions have not been performed or observed and
the following is a list of each such Default and its nature and status:]

4. The representations and warranties of (i) the Borrowers contained in Article
V of the Agreement and (ii) each Loan Party contained in each other Loan
Document or in any document furnished at any time under or in connection with
the Loan Documents, are true and correct in all material respects (except to the
extent any such representation and warranty is qualified by materiality or
reference to Material Adverse Effect, in which case, such representation and
warranty shall be true and correct in all respects) on and as of the date
hereof, except to the extent that such representations and warranties
specifically refer to an earlier date, in which case they are true and correct
in all material respects (except to the extent any such representation and
warranty is qualified by materiality or reference to Material Adverse Effect, in
which case, such representation and warranty shall be true and correct in all
respects) as of such earlier date, and except that for purposes of this
Compliance Certificate, the representations and warranties contained in
subsections (a) and (b) of Section 5.05 of the Agreement shall be deemed to
refer to the most recent statements furnished pursuant to clauses (a) and (b),
respectively, of Section 6.01 of the Agreement, including the statements in
connection with which this Compliance Certificate is delivered.

5. The financial covenant analyses and information set forth on Schedule 2
attached hereto are true and accurate on and as of the date of this Certificate.

6. Since the date of delivery of the most recent Compliance Certificate, no
Persons have become Material Subsidiaries [other than                    ].

[signature page follows]

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IN WITNESS WHEREOF, the undersigned has executed this Certificate as of
                    ,         .

 

STERICYCLE, INC. By:                                          
                            Name:                                          
                       Title:                                          
                        

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For the Quarter/Year ended                      (“Statement Date”)

SCHEDULE 2

to the Compliance Certificate

($ in 000’s)

 

I. Section 7.11 (a) – Consolidated Interest Coverage Ratio.

 

  A. Consolidated EBITDA for four consecutive fiscal quarters ending on above
date (“Subject Period”):

 

1.    Consolidated Net Income for Subject Period:    $                      2.
   Consolidated Interest Charges for Subject Period:    $                     
3.    Provision for income taxes for Subject Period:    $                     
4.    Depreciation expenses for Subject Period:    $                      5.   
Amortization expenses for Subject Period:    $                      6.   
Non-recurring non-cash reductions of Consolidated Net Income for Subject Period:
   $                      7.    Non-cash stock compensation expenses incurred in
the Subject Period:    $                      8.    Cash charges associated with
the settlement of the TCPA Action (subject to a $45,000,000 aggregate cap)
incurred in the Subject Period:    $                      9.    Cash charges
associated with the settlement of the MDL Contract Action (subject to a
$295,000,000 aggregate cap) incurred in the Subject Period:    $
                     10.    Cash charges related to legal fees and expenses
associated with the MDL Contract Action and related amendments to the Existing
Credit Agreements and Senior Notes (subject to a $5,000,000 aggregate cap)
incurred in the Subject Period:    $                      12    Transaction
Costs for Subject Period:    $                      13.    Extraordinary and
non-recurring cash expenses or charges (subject to a $10,000,000 aggregate cap)
for Subject Period:    $                     

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14.    Up to $200,000,000 in the aggregate in any four-fiscal quarter period of
cash charges associated with (A) implementation of the Company’s Business
Transformation and Operational Optimization Expenses (each, as described in the
Company’s Form 10-K for the fiscal year ended December 31, 2017), (B) internal
control remediation, accounting pronouncements and related professional and
consulting expenses, (C) legal and settlement related expenses and (D) up to
$25,000,000 of other cash charges:1    $                      15.    Income tax
credits for Subject Period:    $                      16.    Non-cash additions
to Consolidated Net Income for Subject Period:    $                      17.   
Consolidated EBITDA (Lines I.A.1 + 2 + 3 + 4 + 5 + 6 +7 + 8 + 9 + 10 + 11 + 12 +
13 + 14 – 15 - 16):    $                     

 

B.    Consolidated Interest Charges for Subject Period:    $
                     C.    Consolidated Interest Coverage Ratio (Line I.A.17
÷Line I.B):                 to 1.00 D.    Minimum Permitted:    3.00 to 1.00

 

II. Section 7.11 (b) – Consolidated Leverage Ratio.2

 

A.    Consolidated Funded Indebtedness at Statement Date    $
                     B.    Unrestricted Cash at Statement Date    $
                     C.    Consolidated EBITDA for Subject Period (Line I.A.17
above):    $                      D.    Consolidated Leverage Ratio ((Line II.A
– Line II.B) ÷ Line II.C):                 to 1.00 E.    Maximum Permitted:   
3.75 to 1.00 F.    Consolidated Leverage Ratio for Subject Period for Pricing
Grid Purposes ((Line II.A – Line II.B) ÷ (Line II.C – Line I.A.14)):   
             to 1.00

 

1  Solely for purposes of determining compliance with Section 7.11 of the Credit
Agreement for any fiscal quarter ending during the period from March 31, 2018
through December 31, 2019 (and for no other purposes under the Credit Agreement,
including, without limitation, for determination of the “Applicable Rate”).

2  If the Consolidated Leverage Ratio, on a pro forma basis as of any such date
and immediately after giving effect to the settlement payment of the MDL
Contract Action is greater than 3.50 to 1.00, the Company may, in its sole
discretion, elect to increase the maximum Consolidated Leverage Ratio permitted
by Section 7.11(b) of the Credit Agreement to 4.00 to 1.00 as of the end of the
fiscal quarter in which the settlement of the MDL Contract Action occurred and
in any subsequent fiscal quarter ending on or prior to September 30, 2018;
provided, further, in no event shall the elevated ratio permitted by the
immediately preceding proviso extend after September 30, 2018. Such election
shall be made by the delivery of a written notice by the Company to the
Administrative Agent making reference to Section 7.11(b) of the Credit Agreement
and notifying the Administrative Agent of the Company’s election to increase the
maximum Consolidated Leverage Ratio as provided above on or prior to the date of
the actual or required delivery of a Compliance Certificate for the fiscal
quarter in which the settlement of the MDL Contract Action occurred.