EXHIBIT 10.1

FIFTH AMENDMENT TO LOAN AGREEMENT AND

FORBEARANCE AGREEMENT

 

This FIFTH AMENDMENT TO LOAN AGREEMENT AND FORBEARANCE AGREEMENT this
"Agreement"), with an effective date as of November 22, 2019, is entered into on
December 2, 2019 by and among SCHOOL SPECIALTY, INC., a Delaware corporation
("Borrower"), each Guarantor (as defined in the Loan Agreement) party hereto,
the Lenders identified on the signature pages hereof and TCW ASSET MANAGEMENT
COMPANY LLC, as agent for the Lenders ("Agent").

R E C I T A L S:

WHEREAS, Borrower, the Guarantors from time to time party thereto, Agent, and
the Lenders from time to time party thereto are parties to that certain Loan
Agreement dated as of April 7, 2017 (as amended, restated, modified or
supplemented from time to time, the "Loan Agreement");

WHEREAS, as of the date hereof, multiple Events of Default under the Loan
Agreement and the other Loan Documents have occurred and are continuing;

WHEREAS, Obligors have requested that, subject to the terms and conditions of
this Agreement, Agent and Lenders agree to amend the Loan Agreement in certain
respects and forbear from exercising their rights as a result of such Events of
Default, which are continuing; and

WHEREAS, Agent and Lenders are willing to agree to amend the Loan Agreement in
certain respects and forbear from exercising certain of their rights and
remedies, solely for the period and on the terms and conditions specified
herein.

NOW, THEREFORE, in consideration of the foregoing, and the respective
agreements, warranties and covenants contained herein, the parties hereto agree
as follows:

Section 1.DEFINITIONS 

1.1.Interpretation.  All capitalized terms used herein (including the recitals
hereto) will have the respective meanings ascribed thereto in the Loan Agreement
(as amended hereby) unless otherwise defined herein.  The foregoing recitals,
together with all exhibits attached hereto, are incorporated by this reference
and made a part of this Agreement.  Unless otherwise provided herein, all
section and exhibit references herein are to the corresponding sections and
exhibits of this Agreement. 

1.2.Additional Definitions.  As used herein, the following terms will have the
respective meanings given to them below: 

(a)"Anticipated Defaults" means, collectively, the Events of Default identified
as Anticipated Defaults on Exhibit A hereto.   

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(b)"Existing Defaults" means, collectively, the Events of Default identified as
Existing Defaults on Exhibit A hereto.   

(c)"Forbearance Period" means the period commencing on the date hereof and
ending on the date which is the earliest of (i) the Outside Date; (ii) at the
election of Agent and upon written notice , the occurrence or existence of any
Event of Default, other than the Specified Defaults; (iii) the expiration or
termination of the "Forbearance Period" under and as defined in the Revolving
Loan Forbearance Agreement (defined below) or (iv) the occurrence of any
Termination Event.   

(d)"Specified Defaults" means, collectively, the Existing Defaults and the
Anticipated Defaults. 

(e)"Termination Event" means (i) the initiation of any action by Borrower, any
Guarantor, any Obligor or any Releasing Party (as defined herein) to invalidate
or limit the enforceability of any of the acknowledgments set forth in
Section 2, the release set forth in Section 7.6 or the covenant not to sue set
forth in Section 7.7 or (ii) the occurrence of an Event of Default under Section
11.1(j) of the Loan Agreement  

Section 2.ACKNOWLEDGMENTS 

2.1.Acknowledgment of Obligations.  Each Obligor hereby acknowledges, confirms
and agrees that, (i) as of the close of business on November 21, 2019, Borrower
was indebted to Lenders in respect of the Loans in an aggregate principal amount
of $107,357,483.32 (inclusive of all PIK Interest paid in kind and added to the
principal balance of the Term Loan prior to such date) and (ii) as of the close
of business on November 22, 2019, after giving effect to the payment in kind of
the Third Amendment Fee (as defined in the Fee Letter) and the Fifth Amendment
Restructuring Fee (as defined in the Fifth Amendment Fee Letter) on the date
hereof pursuant to the terms of this Agreement and the Fifth Amendment Fee
Letter, Borrower will be indebted to Lenders in respect of the Loans in an
aggregate principal amount of $110,826,436.70.  Each Obligor hereby
acknowledges, confirms and agrees that all such Loans, together with interest
accrued and accruing thereon, and all fees, costs, expenses, charges and other
Obligations now or hereafter payable by any Obligor to the Secured Parties, are
unconditionally owing by Obligors to the Secured Parties, without offset,
defense or counterclaim of any kind, nature or description whatsoever.  

2.2.Acknowledgment of Security Interests.  Each Obligor hereby acknowledges,
confirms and agrees that Agent has, and will continue to have, valid,
enforceable and perfected first-priority continuing liens upon and security
interests in the Collateral heretofore granted to Agent, for the benefit of the
Secured Parties, pursuant to the Loan Agreement and the Loan Documents or
otherwise granted to or held by Agent, for the benefit of Secured Parties,
subject only to the Intercreditor Agreement and Permitted Liens that are
expressly allowed to have priority over Agent's Liens. 

2.3.Binding Effect of Documents.  Each Obligor hereby acknowledges, confirms and
agrees that: (a) this Agreement constitutes a Loan Document, (b) each of the
Loan Agreement and the other Loan Documents to which it is a party has been duly
executed and delivered to Agent by such Obligor, and each is and will remain in
full force and effect as of the date hereof except as modified pursuant hereto,
(c) the agreements and obligations of such Obligor contained in such  

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documents and in this Agreement constitute the legal, valid and binding
Obligations of such Obligor, enforceable against it in accordance with their
respective terms, and such Obligor has no valid defense to the enforcement of
such Obligations, (d) Agent and Lenders are and will be entitled to the rights,
remedies and benefits provided for under the Loan Agreement and the other Loan
Documents and applicable law and (e) each Obligor shall comply with all
limitations, restrictions or prohibitions that would otherwise be effective or
applicable under the Loan Agreement or any of the other Loan Documents during
the continuance of any Event of Default, and except to the extent expressly
provided otherwise in this Agreement, any right or action of any Obligor set
forth in the Loan Agreement or the other Loan Documents that is conditioned on
the absence of any Event of Default may not be exercised or taken as a result of
the Existing Defaults.

2.4.Acknowledgment of Interest and Fees.  Each Obligor hereby acknowledges,
confirms and agrees that, (a) as a result of the existence of the Existing
Defaults, pursuant to Section 3.1.3 of the Loan Agreement, Required Lenders have
elected to implement the Default Rate with respect to the Loans and other
Obligations, (b) notwithstanding the Forbearance Period, from and after the date
hereof, the Loans and other Obligations shall bear interest at the Default Rate
(as defined in the Loan Agreement after giving effect to the amendments set
forth in Section 4 hereof), (c) as a result of the existence of the Existing
Defaults, pursuant to Section 3.1.3 of the Loan Agreement, Required Lenders have
elected that the LIBOR Rate Loans will be converted into Prime Rate Loans and
the LIBOR election will not be available to Borrower, (d) notwithstanding the
Forbearance Period, from and after the date hereof, (x) as the Interest Periods
for LIBOR Loans in effect as of the date hereof expire, such Loans will be
converted into Prime Rate Loans and (y) the LIBOR election will not be available
to Borrower, (e) the Third Amendment Fee (as defined in the Fee Letter) in the
amount of $2,218,998.38 was fully earned on the Third Amendment Effective Date
and notwithstanding anything to the contrary set forth in the Fee Letter or any
other Loan Document, is due and payable in kind on the date hereof, (f) such
Third Amendment Fee will be paid in kind and added to the outstanding principal
balance of the Term Loan on the date hereof and, from and after such payment in
kind, will be treated as the principal amount of the Term Loan for all purposes
of the Loan Agreement and the other Loan Documents and (g) all fees and other
consideration payable to Agent and Lenders under this Agreement, the Loan
Agreement, the Fee Letter, the Fifth Amendment Fee Letter and the other Loan
Documents are fair and reasonable under the circumstances and have been agreed
to by Borrower in exchange for reasonably equivalent value in the form of the
amendments and forbearance agreed to by Agent and Lenders pursuant to the terms
of this Agreement.    

Section 3.FORBEARANCE IN RESPECT OF SPECIFIED DEFAULTs 

3.1.Acknowledgment of Default.  Each Obligor hereby acknowledges and agrees that
the Existing Defaults have occurred and are continuing, each of which
constitutes an Event of Default and entitles Agent and Lenders to exercise their
rights and remedies under the Loan Agreement and the other Loan Documents,
applicable law or otherwise.  Each Obligor represents and warrants that as of
the date hereof, no Events of Default exist other than the Existing Defaults.
 Each Obligor hereby acknowledges and agrees that Agent and Lenders have the
exercisable right to declare the Obligations to be immediately due and payable
under the terms of the Loan Agreement and the other Loan Documents.  Each
Obligor hereby acknowledges and agrees that the Specified Defaults shall be
deemed to exist at all times during the period commencing on the date that such
Specified Default first occurred (or occurs) to the date on which such Specified
Default is expressly  

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waived in writing pursuant to the Loan Agreement; and a Specified Default shall
"continue" or be "continuing" until such Specified Default has been expressly
waived in writing by the requisite Lenders under and in accordance with the
terms of the Loan Agreement.

3.2.Forbearance. 

(a)In reliance upon the representations, warranties and covenants of Obligors
contained in this Agreement, and subject to the terms and conditions of this
Agreement and any documents or instruments executed in connection herewith,
Agent and Lenders agree to forbear during the Forbearance Period from exercising
their rights and remedies described in Section 11.2 of the Loan Agreement or
Section 13 of the Guaranty and Collateral Agreement in respect of the Specified
Defaults; provided, however, notwithstanding the foregoing, any limitations,
restrictions or prohibitions on the rights of Agent or Lenders set forth in any
other section of the Loan Agreement that are conditioned on the absence of an
Event of Default will continue to not be applicable to Agent and the Lenders as
a result of the Specified Defaults. 

(b)Upon the expiration or termination of the Forbearance Period, the agreement
of Agent and Lenders to forbear will automatically and without further action
terminate and be of no force and effect, it being expressly agreed that the
effect of such termination will be to permit Agent and Lenders to exercise
immediately all rights and remedies under the Loan Agreement and the other Loan
Documents and applicable law, including, but not limited to, accelerating all of
the Obligations under the Loan Agreement and the other Loan Documents, in all
events, without any further notice to any Obligor, passage of time or
forbearance of any kind. 

3.3.No Waivers; Reservation of Rights. 

(a)Agent and Lenders have not waived, are not by this Agreement waiving, and
have no intention of waiving, any Events of Default which may be continuing on
the date hereof or any Events of Default which may occur after the date hereof
(whether the same or similar to the Specified Defaults or otherwise), and Agent
and Lenders have not agreed to forbear with respect to any of their rights or
remedies concerning any Events of Default (other than, during the Forbearance
Period, the Specified Defaults to the extent expressly set forth herein)
occurring at any time. 

(b)Subject to Section 3.2 above (solely with respect to the Specified Defaults),
Agent and Lenders reserve the right, in their discretion, to exercise any or all
of their rights and remedies under the Loan Agreement and the other Loan
Documents as a result of any other Events of Default occurring at any time.
 Agent and Lenders have not waived any of such rights or remedies, and nothing
in this Agreement, and no delay on their part in exercising any such rights or
remedies, may or will be construed as a waiver of any such rights or remedies. 

3.4.Additional Events of Default.  The parties hereto acknowledge, confirm and
agree that any misrepresentation by any Obligor, or any failure of any Obligor
to comply with the covenants, conditions and agreements contained in this
Agreement, the Loan Agreement or any other Loan Document or in any other
agreement, document or instrument at any time executed or delivered by any
Obligor with, to or in favor of Agent or any Lenders will constitute an
immediate Event of Default under this Agreement, the Loan Agreement and the
other Loan Documents.  In the event that any Person, other than Agent or
Lenders, will at any time exercises for any reason (including,  

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without limitation, by reason of any Specified Default, any other present or
future Event of Default, or otherwise) any of its rights or remedies against any
Obligor or any obligor providing credit support for any Obligor's obligations to
such other Person, or against any Obligor's or such obligor's properties or
assets, such event will constitute an immediate Event of Default hereunder and
an Event of Default under the Loan Agreement and the other Loan Documents
(without any notice or grace or cure period).

Section 4.AMENDMENTS TO LOAN AGREEMENT 

In reliance upon the representations and warranties of Obligors set forth in
Section 5 below and subject to the conditions to effectiveness set forth in
Section 6 below, the Loan Agreement is hereby amended as follows:

4.1.The Loan Agreement is hereby amended to delete the stricken text (indicated
textually in the same manner as the following example: <stricken text>) and to
add the underlined text (indicated textually in the same manner as the following
example: underlined text) as reflected in the modifications identified in the
document attached hereto as Exhibit B. 

4.2.Exhibit C to the Loan Agreement is hereby amended and restated in its
entirety with Exhibit C attached hereto. 

4.3.The Exhibits to the Loan Agreement are hereby amended to insert Exhibit H,
Exhibit I and Exhibit J attached hereto as Exhibit D after Exhibit G to the Loan
Agreement.  

Section 5.REPRESENTATIONS AND WARRANTIES 

Each Obligor hereby represents, warrants and covenants as follows:

5.1.Representations in the Loan Agreement and the Other Loan Documents.  Each of
the representations and warranties made by or on behalf of each Obligor to Agent
or any Lender in the Loan Agreement or any of the other Loan Documents was true
and correct when made, and is, except for the Specified Defaults, true and
correct on and as of the date of this Agreement with the same full force and
effect as if each of such representations and warranties had been made by each
Obligor on the date hereof and in this Agreement.   

5.2.Binding Effect of Documents.  This Agreement has been duly authorized,
executed and delivered to Agent and Lenders by each Obligor, is enforceable in
accordance with its terms and is in full force and effect. 

5.3.No Conflict.  The execution, delivery and performance of this Agreement by
each Obligor will not violate any requirement of law or contractual obligation
of any Obligor and will not result in, or require, the creation or imposition of
any Lien on any of their respective properties or revenues. 

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Section 6.CONDITIONS TO EFFECTIVENESS OF CERTAIN PROVISIONS OF THIS AGREEMENT 

The effectiveness of the terms and provisions of this Agreement (other than the
terms and provisions of Sections 2 and 7, which will be effective immediately
upon the execution of this Agreement) is subject to the following conditions
precedent:

(a)Agent shall have received this Agreement, duly authorized, executed and
delivered by each Obligor and each Lender; 

(b)Agent shall have received a certificate in form and substance satisfactory to
Agent, dated as of the Fifth Amendment Effective Date and executed by a duly
authorized officer of Borrower, (i) attaching a true and correct copy of an
amendment to the Revolving Loan Agreement and forbearance agreement conforming
to this Agreement, in form and substance satisfactory to Agent (the "Revolving
Loan Forbearance Agreement") and (ii) certifying that such Revolving Loan
Forbearance Agreement is effective as of the Fifth Amendment Effective Date; 

(c)Agent shall have received a fully executed copy, in form and substance
satisfactory to Agent, of the Fifth Amendment Fee Letter; 

(d)Agent shall have received a fully executed copy, in form and substance
satisfactory to Agent, of that certain Consent and Amendment No. 2 to
Intercreditor Agreement by and between Agent and the Revolving Loan Agent;   

(e)Agent shall have received, in form and substance satisfactory to Agent,
copies of resolutions of the board of directors (or other equivalent governing
body or member) of Borrower and each Obligor authorizing the execution, delivery
and performance of this Agreement and the Fifth Amendment Fee Letter;  

(f)Agent shall have received a fully executed copy, in form and substance
satisfactory to Agent, of an amendment to the Guarantee and Collateral
Agreement;   

(g)Agent shall have received a fully executed copy, in form and substance
satisfactory to Agent, of a Copyright Security Agreement; 

(h)Agent shall have received an initial Budget for the upcoming thirteen week
period, in form and substance satisfactory to Agent;  

(i)Agent shall have received payment of all fees payable to Agent and Lenders
pursuant to the terms of this Agreement and the Fifth Amendment Fee Letter, and
all other fees, charges and disbursements of Agent and its counsel required to
be paid pursuant to the Loan Agreement in connection with the preparation,
execution and delivery of this Agreement and all other instruments or documents
provided for herein or delivered or to be delivered hereunder or in connection
herewith;  

(j)All proceedings taken in connection with the transactions contemplated by
this Agreement and all documents, instruments and other legal matters incident
thereto shall be satisfactory to Agent and its legal counsel; and 

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(k)Except the Existing Defaults, no Default or Event of Default shall have
occurred and be continuing.  

Section 7.MISCELLANEOUS 

7.1.Continuing Effect of Loan Agreement.  Except as modified pursuant hereto, no
other changes or modifications to the Loan Agreement or any other Loan Document
are intended or implied by this Agreement and in all other respects the Loan
Agreement and the other Loan Documents hereby are ratified and reaffirmed by all
parties hereto as of the date hereof.  To the extent of any conflict between the
terms of this Agreement, the Loan Agreement and the other Loan Documents, the
terms of this Agreement will govern and control.  The Loan Agreement and this
Agreement will be read and construed as one agreement. 

7.2.Costs and Expenses.  In addition to, and without in any way limiting, the
obligations of Borrower set forth in Section 3.11 of the Loan Agreement, each
Obligor absolutely and unconditionally agrees to pay to Agent, promptly (and in
any event within 2 Business Days) upon request by Agent at any time, whether or
not all or any of the transactions contemplated by this Agreement are
consummated:  all fees, costs and expenses incurred by Agent and any of its
directors, officers, employees or agents (including, without limitation, fees,
costs and expenses incurred of any counsel, advisor or consultant to Agent),
regardless of whether Agent or any such other Person is a prevailing party, in
connection with (a) the preparation, negotiation, execution, delivery or
enforcement of this Agreement, the Loan Agreement, the other Loan Documents and
any agreements, documents or instruments contemplated hereby and thereby, and
(b) any investigation, litigation or proceeding related to this Agreement, the
Loan Agreement or any other Loan Document or any act, omission, event or
circumstance in any matter related to any of the foregoing. 

7.3.Further Assurances.  At Borrower's expense, the parties hereto will execute
and deliver such additional documents and take such further action as may be
necessary or desirable to effectuate the provisions and purposes of this
Agreement. 

7.4.Successors and Assigns; No Third-Party Beneficiaries.  This Agreement will
be binding upon and inure to the benefit of each of the parties hereto and their
respective successors and assigns.  No Person other than the parties hereto and,
in the case of Sections 7.6 and 7.7 hereof, the Releasees, shall have any rights
hereunder or be entitled to rely on this Agreement and all third-party
beneficiary rights (other than the rights of the Releasees under Sections 7.6
and 7.7 hereof) are hereby expressly disclaimed. 

7.5.Survival of Representations, Warranties and Covenants.  All representations,
warranties, covenants and releases of each Obligor made in this Agreement or any
other document furnished in connection with this Agreement will survive the
execution and delivery of this Agreement and the Forbearance Period, and no
investigation by Agent or any Lender, or any closing, will affect the
representations and warranties or the right of Agent and Lenders to rely upon
them. 

7.6.Release. 

(a)In consideration of the agreements of Agent and Lenders contained herein and
for other good and valuable consideration, the receipt and sufficiency of which
are hereby acknowledged, Borrower and each Obligor, on behalf of itself and its
successors and assigns, and its  

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present and former members, managers, shareholders, affiliates, subsidiaries,
divisions, predecessors, directors, officers, attorneys, employees, agents,
legal representatives and other representatives (Borrower, each Obligor  and all
such other Persons being hereinafter referred to collectively as the "Releasing
Parties" and individually as a "Releasing Party"), hereby absolutely,
unconditionally and irrevocably releases, remises and forever discharges Agent,
each Lender, and each of their respective successors and assigns, and their
respective present and former shareholders, members, managers, affiliates,
subsidiaries, divisions, predecessors, directors, officers, attorneys,
employees, agents, legal representatives and other representatives (Agent,
Lenders and all such other Persons being hereinafter referred to collectively as
the "Releasees" and individually as a "Releasee"), of and from any and all
demands, actions, causes of action, suits, damages and any and all other claims,
counterclaims, defenses, rights of set-off, demands and liabilities whatsoever
(individually, a "Claim" and collectively, "Claims") of every kind and nature,
known or unknown, suspected or unsuspected, at law or in equity, which any
Releasing Party or any of its successors, assigns, or other legal
representatives may now or hereafter own, hold, have or claim to have against
the Releasees or any of them for, upon, or by reason of any circumstance,
action, cause or thing whatsoever which arises at any time on or prior to the
date of this Agreement, including, without limitation, for or on account of, or
in relation to, or in any way in connection with this Agreement, the Loan
Agreement,  any of the other Loan Documents or any of the transactions hereunder
or thereunder.  Releasing Parties hereby represent to the Releasees that they
have not assigned or transferred any interest in any Claims against any Releasee
prior to the date hereof.

(b)Borrower and each Obligor understands, acknowledges and agrees that the
release set forth above may be pleaded as a full and complete defense to any
Claim and may be used as a basis for an injunction against any action, suit or
other proceeding which may be instituted, prosecuted or attempted in breach of
the provisions of such release. 

(c)Borrower and each Obligor agrees that no fact, event, circumstance, evidence
or transaction which could now be asserted or which may hereafter be discovered
will affect in any manner the final, absolute and unconditional nature of the
release set forth above. 

7.7.Covenant Not to Sue.  Each Releasing Party hereby absolutely,
unconditionally and irrevocably covenants and agrees with and in favor of each
Releasee that it will not sue (at law, in equity, in any regulatory proceeding
or otherwise) any Releasee on the basis of any Claim released, remised and
discharged by any Releasing Party pursuant to Section 7.6 above.  If any
Releasing Party violates the foregoing covenant, each Borrower, for itself and
its successors and assigns, and its present and former members, managers,
shareholders, affiliates, subsidiaries, divisions, predecessors, directors,
officers, attorneys, employees, agents, legal representatives and other
representatives, agrees to pay, in addition to such other damages as any
Releasee may sustain as a result of such violation, all attorneys' fees and
costs incurred by any Releasee as a result of such violation. 

7.8.Severability.  Any provision of this Agreement held by a court of competent
jurisdiction to be invalid or unenforceable will not impair or invalidate the
remainder of this Agreement. 

7.9.Reviewed by Attorneys.  Each Obligor represents and warrants to Agent and
Lenders that it (a) understands fully the terms of this Agreement and the
consequences of the  

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execution and delivery of this Agreement, (b) has been afforded an opportunity
to discuss this Agreement with, and have this Agreement reviewed by, such
attorneys and other persons as such Obligor may wish, and (c) has entered into
this Agreement and executed and delivered all documents in connection herewith
of its own free will and accord and without threat, duress or other coercion of
any kind by any Person.  The parties hereto acknowledge and agree that neither
this Agreement nor the other documents executed pursuant hereto will be
construed more favorably in favor of one than the other based upon which party
drafted the same, it being acknowledged that all parties hereto contributed
substantially to the negotiation and preparation of this Agreement and the other
documents executed pursuant hereto or in connection herewith.

7.10.Disgorgement.  If Agent or any Lender is, for any reason, compelled by a
court or other tribunal of competent jurisdiction to surrender or disgorge any
payment, interest or other consideration described hereunder to any person
because the same is determined to be void or voidable as a preference,
fraudulent conveyance, impermissible set-off or for any other reason, such
indebtedness or part thereof intended to be satisfied by virtue of such payment,
interest or other consideration will be revived and continue as if such payment,
interest or other consideration had not been received by Agent or such Lender,
and Obligors will be liable to, and will indemnify, defend and hold Agent or
such Lender harmless for, the amount of such payment or interest surrendered or
disgorged.  The provisions of this Section will survive repayment of the
Obligations or any termination of the Loan Agreement or any other Loan
Document. 

7.11.Tolling of Statute of Limitations.  Each and every statute of limitations
or other applicable law, rule or regulation governing the time by which Agent
must commence legal proceedings or otherwise take any action against Borrower or
any Obligor with respect to any breach or default that exists on or prior to the
expiration or termination of the Forbearance Period and arises under or in
respect of the Loan Agreement or any other Loan Document shall be tolled during
the Forbearance Period.  Borrower and each Obligor agrees, to the fullest extent
permitted by law, not to include such period of time as a defense (whether
equitable or legal) to any legal proceeding or other action by Agent in the
exercise of its rights or remedies referred to in the immediately preceding
sentence. 

7.12.Relationship.  Each Obligor agrees that the relationship between Agent and
such Obligor and between each Lender and Obligor is that of creditor and debtor
and not that of partners or joint venturers.  This Agreement does not constitute
a partnership agreement, or any other association between Agent and any Obligor
or between any Lender and any Obligor.  Each Obligor acknowledges that Agent and
each Lender has acted at all times only as a creditor to such Obligor within the
normal and usual scope of the activities normally undertaken by a creditor and
in no event has Agent or any Lender attempted to exercise any control over such
Obligor or its business or affairs.  Each Obligor further acknowledges that
Agent and each Lender has not taken or failed to take any action under or in
connection with its respective rights under the Loan Agreement or any of the
other Loan Documents that in any way or to any extent has interfered with or
adversely affected such Obligor's ownership of Collateral. 

7.13.Governing Law: Consent to Jurisdiction and Venue. EXCEPT AS OTHERWISE
EXPRESSLY PROVIDED IN THE LOAN AGREEMENT AND ANY OF THE OTHER LOAN DOCUMENTS,
THIS AGREEMENT, THE LOAN AGREEMENT AND THE OTHER LOAN DOCUMENTS AND THE RIGHTS
AND OBLIGATIONS OF THE PARTIES HEREUNDER  

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AND THEREUNDER WILL BE GOVERNED BY, AND CONSTRUED AND ENFORCED IN ACCORDANCE
WITH, THE LAWS OF THE STATE OF NEW YORK, WITHOUT REGARD TO CONFLICTS OF LAWS
PRINCIPLES (OTHER THAN SECTIONS 5-1401 AND 5-1402 OF THE NEW YORK GENERAL
OBLIGATIONS LAW).  EACH OBLIGOR HEREBY CONSENTS AND AGREES THAT THE STATE OR
FEDERAL COURTS LOCATED IN THE STATE, COUNTY AND CITY OF NEW YORK WILL HAVE
EXCLUSIVE JURISDICTION TO HEAR AND DETERMINE ANY CLAIMS OR DISPUTES BETWEEN
OBLIGOR AND AGENT OR ANY LENDER PERTAINING TO THIS AGREEMENT OR THE LOAN
AGREEMENT OR THE OTHER LOAN DOCUMENTS OR TO ANY MATTER ARISING OUT OF OR RELATED
TO THIS AGREEMENT OR THE LOAN AGREEMENT OR ANY OF THE LOAN DOCUMENTS; AND
FURTHER PROVIDED, THAT NOTHING IN THIS AGREEMENT WILL BE DEEMED OR OPERATE TO
PRECLUDE AGENT FROM BRINGING SUIT OR TAKING OTHER LEGAL ACTION IN ANY OTHER
JURISDICTION TO COLLECT THE OBLIGATIONS, TO REALIZE ON THE COLLATERAL OR ANY
OTHER SECURITY FOR THE OBLIGATIONS, OR TO ENFORCE A JUDGMENT OR OTHER COURT
ORDER IN FAVOR OF AGENT.  EACH OBLIGOR EXPRESSLY SUBMITS AND CONSENTS IN ADVANCE
TO SUCH JURISDICTION IN ANY ACTION OR SUIT COMMENCED IN ANY SUCH COURT, AND EACH
OBLIGOR HEREBY WAIVES ANY OBJECTION WHICH IT MAY HAVE BASED UPON LACK OF
PERSONAL JURISDICTION, IMPROPER VENUE OR FORUM NON CONVENIENS AND HEREBY
CONSENTS TO THE GRANTING OF SUCH LEGAL OR EQUITABLE RELIEF AS IS DEEMED
APPROPRIATE BY SUCH COURT.  EACH OBLIGOR HEREBY WAIVES PERSONAL SERVICE OF ANY
AND ALL PROCESS ISSUED IN ANY SUCH ACTION OR SUIT AND AGREES THAT SERVICE OF
SUCH PROCESS MAY BE MADE IN THE MANNER PROVIDED FOR NOTICES IN SECTION 14.3.1 OF
THE LOAN AGREEMENT.

7.14.Waivers. 

(a)Mutual Waiver of Jury Trial.  THE PARTIES HERETO WAIVE ALL RIGHTS TO TRIAL BY
JURY IN ANY ACTION, SUIT, OR PROCEEDING BROUGHT TO RESOLVE ANY DISPUTE, WHETHER
ARISING IN CONTRACT, TORT, OR OTHERWISE BETWEEN AGENT OR ANY LENDER AND ANY
OBLIGOR ARISING OUT OF, CONNECTED WITH, RELATED OR INCIDENTAL TO THE
RELATIONSHIP ESTABLISHED BETWEEN THEM IN CONNECTION WITH THIS AGREEMENT OR THE
LOAN AGREEMENT OR THE OTHER LOAN DOCUMENTS OR THE TRANSACTIONS RELATED THERETO. 

(b)Waivers by Obligors.  Obligors hereby waive any rights any Obligor may have
upon payment in full of the Obligations to require Agent to terminate its
security interest in the Collateral, other collateral or in any other property
of any Obligor until termination of the Loan Agreement in accordance with its
terms and the execution by each Obligor of an agreement releasing and
indemnifying, in the same manner as described in Section 7.6 of this Agreement,
the Releasees from all claims arising on or before the date of such termination.
 Obligors each acknowledge that the foregoing waiver is a material inducement to
Agent in entering this Agreement and that Agent is relying upon the foregoing
waiver in its future dealings with Obligors. 

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7.15.Counterparts.  This Agreement may be executed and delivered via facsimile
or email (in .pdf format) transmission with the same force and effect as if an
original were executed and may be executed in any number of counterparts, but
all of such counterparts shall together constitute but one and the same
agreement. 

[signatures on following page]

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IN WITNESS WHEREOF, this Agreement is executed and delivered as of the day and
year first above written.

 

BORROWER:

SCHOOL SPECIALTY, INC.

By:  /s/ Kevin L. Baehler
Name:  Kevin L. Baehler
Title: Chief Financial Officer

 

GUARANTORS:

CLASSROOMDIRECT.COM, LLC, a Delaware limited liability company

By:  /s/ Kevin L. Baehler
Name:  Kevin L. Baehler
Title: Assistant Secretary

 

SPORTIME, LLC, a Delaware limited liability company

By:  /s/ Kevin L. Baehler
Name:  Kevin L. Baehler
Title: Assistant Secretary

 

DELTA EDUCATION, LLC, a Delaware limited liability company

By:  /s/ Kevin L. Baehler
Name:  Kevin L. Baehler
Title: Assistant Secretary

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Signature Page to Fifth Amendment to Loan Agreement and Forbearance Agreement

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PREMIER AGENDAS, LLC, a Delaware limited liability company

By:  /s/ Kevin L. Baehler
Name:  Kevin L. Baehler
Title: Assistant Secretary

 

CHILDCRAFT EDUCATION, LLC, a Delaware limited liability company

By:  /s/ Kevin L. Baehler
Name:  Kevin L. Baehler
Title: Assistant Secretary

 

BIRD-IN-HAND WOODWORKS, LLC, a Delaware limited liability company

By:  /s/ Kevin L. Baehler
Name:  Kevin L. Baehler
Title: Assistant Secretary

 

CALIFONE INTERNATIONAL, LLC, a Delaware limited liability company

By:  /s/ Kevin L. Baehler
Name:  Kevin L. Baehler
Title: Assistant Secretary

 

SSI GUARDIAN, LLC, a Delaware limited liability company

By:  /s/ Kevin L. Baehler
Name:  Kevin L. Baehler
Title: Assistant Secretary

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Signature Page to Fifth Amendment to Loan Agreement and Forbearance Agreement

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AGENT:

TCW ASSET MANAGEMENT COMPANY LLC,
as Agent

By: /s/ Suzanne Grosso
Name: Suzanne Grosso
Title: Managing Director

 

 

LENDERS:

TCW DIRECT LENDING LLC,
as a Lender
By TCW Asset Management Company LLC
Its Investment Advisor

By: /s/ Suzanne Grosso
Name: Suzanne Grosso
Title: Managing Director

 

TCW DIRECT LENDING STRATEGIC VENTURES LLC,
as a Lender

By: /s/ Suzanne Grosso
Name: Suzanne Grosso
Title: Managing Director

 

WEST VIRGINIA DIRECT LENDING LLC,
as a Lender
By: TCW Asset Management Company LLC,
its Investment Advisor

By: /s/ Suzanne Grosso
Name: Suzanne Grosso
Title: Managing Director

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TCW BRAZOS FUND LLC,
as a Lender
By: TCW Asset Management Company LLC,
its Investment Advisor

By: /s/ Suzanne Grosso
Name: Suzanne Grosso
Title: Managing Director

 

TCW SKYLINE LENDING, L.P.,
as a Lender
By: TCW Asset Management Company LLC,
its Investment Advisor

By: /s/ Suzanne Grosso
Name: Suzanne Grosso
Title: Managing Director

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Signature Page to Fifth Amendment to Loan Agreement and Forbearance Agreement

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CERBERUS AUS LEVERED HOLDINGS III LLC, as a Lender

By:  /s/ Daniel E. Wolf
Name:  Daniel E. Wolf
Title:  Vice President

 

CERBERUS AUS LEVERED II LP, as a Lender
By:  CAL I GP Holdings LLC
Its:   General Partner

By:   /s/ Daniel E. Wolf
Name:  Daniel E. Wolf
Title:  Senior Managing Director

 

CERBERUS ICQ OFFSHORE LEVERED LP, as a Lender
By:  Cerberus ICQ Offshore GP LLC
Its:   General Partner

By:   /s/ Daniel E. Wolf
Name:  Daniel E. Wolf
Title:  Senior Managing Director

 

CERBERUS LOAN FUNDING XXI, L.P., as a Lender
By:  Cerberus LFGP XXI, LLC
Its:   General Partner

By:   /s/ Daniel E. Wolf
Name:  Daniel E. Wolf
Title:  Senior Managing Director

 

CERBERUS LOAN FUNDING XXVI, L.P., as a Lender
By:  Cerberus LFGP XXVI, LLC
Its:   General Partner

By:   /s/ Daniel E. Wolf
Name:  Daniel E. Wolf
Title:  Senior Managing Director

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Signature Page to Fifth Amendment to Loan Agreement and Forbearance Agreement

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CERBERUS OFFSHORE LEVERED LOAN OPPORTUNITIES MASTER FUND III, L.P., as a Lender
By:  Cerberus Offshore Levered Opportunities III GP, LLC
Its:   General Partner

By:   /s/ Daniel E. Wolf
Name:  Daniel E. Wolf
Title:  Senior Managing Director

 

CERBERUS REDWOOD LEVERED A LLC, as a Lender

By:   /s/ Daniel E. Wolf
Name:  Daniel E. Wolf
Title:  Vice President

 

CERBERUS SWC LEVERED II LLC, as a Lender

By:   /s/ Daniel E. Wolf
Name:  Daniel E. Wolf
Title:  Vice President

 

CERBERUS SWC LEVERED LOAN OPPORTUNITIES MASTER FUND, L.P., as a Lender
By:  Cerberus SWC Levered Opportunities GP, LLC
Its:   General Partner

By:   /s/ Daniel E. Wolf
Name:  Daniel E. Wolf
Title:  Senior Managing Director

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EXHIBIT A
to
FIFTH AMENDMENT TO LOAN AGREEMENT AND
FORBEARANCE AGREEMENT

Existing Defaults

 

1.An Event of Default under Section 11.1(c) of the Loan Agreement as a result of
Obligors' failure to maintain a Net Senior Leverage Ratio not greater than the
ratio set forth in Section 10.3.2 of the Loan Agreement for the four (4)
consecutive Fiscal Quarter period ending September 28, 2019; and 

2.An Event of Default under Section 11.1(c) of the Loan Agreement as a result of
Obligors' failure to maintain EBITDA in an amount not less than the applicable
amount set forth in Section 10.3.3 of the Loan Agreement for the four (4)
consecutive Fiscal Quarter period ending September 28, 2019. 

 

Anticipated Defaults

 

1.An Event of Default under Section 11.1(c) of the Loan Agreement as a result of
Obligors' failure to maintain a Fixed Charge Coverage Ratio not less than the
ratio set forth in Section 10.3.1 of the Loan Agreement for the four (4)
consecutive Fiscal Quarter period ending December 28, 2019; and 

2.An Event of Default under Section 11.1(c) of the Loan Agreement as a result of
Obligors' failure to maintain a Net Senior Leverage Ratio not greater than the
ratio set forth in Section 10.3.2 of the Loan Agreement for the four (4)
consecutive Fiscal Quarter period ending December 28, 2019. 

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EXHIBIT B
to
FIFTH AMENDMENT TO LOAN AGREEMENT AND
FORBEARANCE AGREEMENT

Amendments to Loan Agreement

 

[See attached.]

 

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LOAN AGREEMENT

Dated as of April 7, 2017

 

 

 

 

SCHOOL SPECIALTY, INC.,

as Borrower,

CERTAIN OF ITS SUBSIDIARIES,

as Guarantors,

 

 

 

THE FINANCIAL INSTITUTIONS PARTY HERETO,

as Lenders

and

TCW ASSET MANAGEMENT COMPANY LLC,

as Agent

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TABLE OF CONTENTS

Page

SECTION 1.DEFINITIONS; RULES OF CONSTRUCTION1 

1.1Definitions1 

1.2Accounting Terms38 

1.3Uniform Commercial Code<38>39 

1.4Certain Matters of Construction<38>39 

1.5Divisions40 

SECTION 2.LOANS, PAYMENTS<39>40 

2.1Term Loan.<39>40 

2.2General Provisions Regarding Payment; Register.43 

2.3Mandatory Prepayments; Voluntary Commitment Reductions and
Prepayments.<43>44 

2.4Allocation of Payments After Event of Default<46>45 

2.5Use of Proceeds.46 

SECTION 3.INTEREST AND FEES.47 

3.1Interest.47 

3.2LIBOR Provisions.47 

3.3Non-Use Fee49 

3.4Fee Letter and Fifth Amendment Fee Letter49 

3.5Maximum Charges49 

3.6Increased Costs49 

3.7Basis for Determining Interest Rate Inadequate or Unfair50 

3.8Capital Adequacy.<51>52 

3.9Replacement of Lenders<52>53 

3.10Designation of a Different Lending Office<52>53 

3.11Reimbursement Obligations<52>54 

SECTION 4.  [INTENTIONALLY OMITTED].<53>54 

SECTION 5.  TAXES.<53>54 

5.1Payments Free of Taxes; Obligation to Withhold; Tax Payment.<53>54 

5.2Lender and Agent Tax Information.<55>56 

5.3Nature and Extent of Borrower's Liabilities.<57>58 

SECTION 6.  CONDITIONS PRECEDENT<58>59 

6.1Conditions Precedent to Initial Loans<58>59 

SECTION 7.  COLLATERAL<61>62 

7.1Cash Collateral<61>62 

7.2Real Estate Collateral<61>63 

7.3Other Collateral.<62>63 

7.4Limitations<62>63 

7.5Further Assurances<62>63 

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SECTION 8.COLLATERAL ADMINISTRATION<62>64 

8.1Borrowing Base Certificates<62>64 

8.2Administration of Accounts.<63>64 

8.3Administration of Inventory<64>65 

8.4Administration of Equipment.<64>65 

8.5Administration of Deposit Accounts and Securities Accounts<64>65 

8.6General Provisions.<65>66 

8.7Power of Attorney<66>67 

SECTION 9.REPRESENTATIONS AND WARRANTIES<66>68 

9.1General Representations and Warranties<66>68 

9.2Accuracy of Information, Etc<72>73 

SECTION 10.COVENANTS AND CONTINUING AGREEMENTS<72>73 

10.1Affirmative Covenants<72>73 

10.2Negative Covenants<77>84 

10.3Financial Covenants<.><84>91 

SECTION 11.EVENTS OF DEFAULT; REMEDIES ON DEFAULT<86>93 

11.1Events of Default<86>93 

11.2Remedies upon Default<87>95 

11.3License<88>95 

11.4Setoff<88>96 

11.5Remedies Cumulative; No Waiver.<89>96 

SECTION 12.AGENT<89>97 

12.1Appointment, Authority and Duties of Agent.<89>97 

12.2Agreements Regarding Collateral and Borrower Materials.<90>98 

12.3Reliance By Agent<91>99 

12.4Action Upon Default<91>99 

12.5Ratable Sharing<91>99 

12.6Indemnification<92>99 

12.7Limitation on Responsibilities of Agent<92>100 

12.8Successor Agent and Co-Agents.<92>100 

12.9Due Diligence and Non-Reliance<93>101 

12.10Remittance of Payments and Collections.<93>101 

12.11Individual Capacities<94>102 

12.12No Third Party Beneficiaries<94>102 

12.13Intercreditor <Agreement 94>and Subordination Agreements102 

SECTION 13.BENEFIT OF AGREEMENT; ASSIGNMENTS<95>102 

13.1Successors and Assigns<95>102 

13.2Participations.<95>103 

13.3Assignments.<96>103 

SECTION 14.MISCELLANEOUS<97>105 

14.1Consents, Amendments and Waivers.<97>105 

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14.2Indemnity<98>105 

14.3Notices and Communications.<98>106 

14.4Performance of Borrower's Obligations<99>107 

14.5Credit Inquiries<99>107 

14.6Severability<100>107 

14.7Cumulative Effect; Conflict of Terms<100>107 

14.8Counterparts; Execution<100>108 

14.9Entire Agreement<100>108 

14.10Relationship with Lenders<100>108 

14.11No Advisory or Fiduciary Responsibility<100>108 

14.12Confidentiality<101>109 

14.13GOVERNING LAW<101>109 

14.14Consent to Forum; Bail-In of EEA Financial Institutions.<101>109 

14.15Waivers by Borrower<102>110 

14.16Patriot Act Notice<103>110 

14.17NO ORAL AGREEMENT<103>111 

14.18Intercreditor Agreement Governs<103>111 

14.19Acknowledgment Regarding Any Supported QFCs111 

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LIST OF EXHIBITS AND SCHEDULES

Exhibit AAssignment and Acceptance 

Exhibit BAssignment Notice 

Exhibit CCompliance Certificate 

Exhibit DAffiliate Subordination Agreement 

Exhibit E-1Form of U.S. Tax Compliance Certificate 

Exhibit E-2Form of U.S. Tax Compliance Certificate 

Exhibit E-3Form of U.S. Tax Compliance Certificate 

Exhibit E-4Form of U.S. Tax Compliance Certificate 

Exhibit FForm of Notice of Borrowing 

Exhibit GForm of Payment Notification 

Exhibit HInitial Budget 

Exhibit IBudget and Variance Certificate 

Exhibit JCertain EBITDA Adjustments 

Schedule AFiscal Months 

Schedule 1.1(a)Commitments of Lenders 

<Schedule 1.1(b)Excluded Subsidiaries> 

<Schedule 1.1(c)Specified Asset Dispositions> 

Schedule 1.1(d)Subsidiary Guarantors 

Schedule 8.5Deposit Accounts and Securities Accounts 

Schedule 8.6.1Business Locations 

Schedule 9.1.4Names and Capital Structure 

Schedule 9.1.11Patents, Trademarks, Copyrights and Licenses 

Schedule 9.1.14Environmental Matters 

Schedule 9.1.15Restrictive Agreements 

Schedule 9.1.16Litigation 

Schedule 9.1.18Pension Plans 

Schedule 9.1.20Labor Contracts 

Schedule 10.2.1Existing Indebtedness 

Schedule 10.2.2Existing Liens 

Schedule 10.2.5Existing Investments 

Schedule 10.2.17Existing Affiliate Transactions 

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LOAN AGREEMENT

THIS LOAN AGREEMENT is dated as of April 7, 2017, among SCHOOL SPECIALTY, INC.,
a Delaware corporation ("Borrower"), certain Subsidiaries of Borrower party
hereto (collectively, "Guarantors" and each, a "Guarantor"), the financial
institutions party to this Agreement from time to time as lenders (collectively,
"Lenders"), and TCW ASSET MANAGEMENT COMPANY LLC, as agent for the Lenders
("Agent").

R E C I T A L S:

In addition to the Loans to be provided hereunder, on the Revolving Loan
Agreement Closing Date, Borrower and certain of its Subsidiaries entered into
the Revolving Loan Agreement, which is secured by a first priority security
interest in the ABL Priority Collateral and a second priority security interest
in the Term Priority Collateral.  The Obligations hereunder will be secured by a
first priority security interest in the Term Priority Collateral and a second
priority security interest in the ABL Priority Collateral.

Borrower has requested that Lenders provide a term loan credit facility to
Borrower to finance the mutual and collective business enterprise of Borrower
and Guarantors.  Lenders are willing to provide the credit facility on the terms
and conditions set forth in this Agreement.

NOW, THEREFORE, for valuable consideration hereby acknowledged, the parties
hereto agree as follows:

SECTION 1.  DEFINITIONS; RULES OF CONSTRUCTION 

1.1Definitions 

.  As used herein, the following terms have the meanings set forth below:

AAG:Andrews Advisory Group, LLC. 

ABL Priority Collateral:  any "ABL Priority Collateral" as defined in the
Intercreditor Agreement.

Acceptable Commitment Letter:  shall have the meaning set forth in Section
10.1.19(b).

Acceptable Draft Sale Documentation:  shall have the meaning set forth in
Section 10.1.19(b).

Acceptable IOI:  shall have the meaning set forth in Section 10.1.19(b).

Acceptable Term Sheet:  shall have the meaning set forth in Section 10.1.19(b).

Acceptable Transaction:  shall have the meaning set forth in Section 10.1.19(a).

Acquisition:  a transaction or series of transactions resulting in
(a) acquisition of a business, division, or substantially all assets of a
Person; (b) record or beneficial ownership of 50% or more of the Equity
Interests of a Person; or (c) merger, consolidation or combination of Borrower
or a Subsidiary with another Person.

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Affected Lender:  shall have the meaning set forth in Section 3.9 hereof.

Affiliate:  with respect to a specified Person, another Person that directly, or
indirectly through one or more intermediaries, Controls or is Controlled by or
is under common Control with the Person specified; provided that, for purposes
of Section 10.2.17 and Section 13.3.3, the term "Affiliate" shall also include
any Person that directly or indirectly owns 5% or more of any class of Equity
Interests of the Person specified or that is an officer or director of the
Person specified. "Control" means the possession, directly or indirectly, of the
power to direct or cause the direction of the management or policies of a
Person, whether through the ability to exercise voting power, by contract or
otherwise. "Controlling" and "Controlled" have correlative meanings.

Affiliate Subordination Agreement:  an Affiliate Subordination Agreement in the
form of Exhibit D pursuant to which intercompany obligations and advances owed
by any Obligor to any Subsidiary that is not an Obligor are subordinated to the
Obligations.

Agent:  as defined in the Preamble hereto.

Agent Consultant:  shall have the meaning set forth in Section 10.1.1(c) hereof.

Agent Indemnitees:  Agent and its officers, directors, employees, Affiliates,
agents and attorneys.

Agent Professionals:  attorneys, accountants, appraisers, auditors, business
valuation experts, environmental engineers or consultants, turnaround
consultants, and other professionals and experts retained by Agent.

Anti-Terrorism Law:  any law relating to terrorism or money laundering,
including the Patriot Act.

Applicable Law:  all laws, rules, regulations and governmental guidelines
applicable to the Person, conduct, transaction, agreement or matter in question,
including all applicable statutory law, common law and equitable principles, and
all provisions of constitutions, treaties, statutes, rules, regulations, orders
and decrees of Governmental Authorities.

<Applicable Margin:  the applicable rate per annum corresponding to the
applicable Net Senior Leverage Ratio, all as set forth in the following table:>

Net Senior Leverage Ratio

Prime Rate Loans

LIBOR Rate Loans

> 3.75x

7.00%

8.00%

> 3.50x, but < 3.75x

6.00%

7.00%

>3.00x, but < 3.50x

5.25%

6.25%

<3.00x

5.00%

6.00%

 

<The >Applicable Margin< shall be adjusted quarterly, to the extent applicable,
as of the first Business Day of the month following the date on which financial
statements are required to be delivered pursuant to Section 10.1.2 hereof
(including with respect to the last Fiscal Quarter of each Fiscal Year) after
the end of each related Fiscal Quarter based on the Net Senior Leverage

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Ratio as of the last day of such Fiscal Quarter>:  with respect to Prime Rate
Loans, 7.00% per annum and, with respect to LIBOR Rate Loans, 8.00% per annum.
 Notwithstanding the foregoing, <(a) >at all times after the Third Amendment
Effective Date, the Applicable Margin shall be increased by an amount equal to
the PIK Interest Rate, with 100% of such increase being paid in kind by adding
such interest to the outstanding principal amount of the Term Loan ("Non-Default
PIK Interest")<, (b) during the period commencing on the Third Amendment
Effective Date and ending on the first Business Day of the month following the
date on which financial statements for the Fiscal Quarter ending March 30, 2019
have been delivered in accordance with Section 10.1.2(b) hereof, the Applicable
Margin shall be (i)  >with respect to Prime Rate Loans, <the sum of (x) 7.00%
and (y) the PIK Interest Rate, and (ii) >respect to LIBOR Rate Loans, <the sum
of (x) 8.00% and (y) the PIK Interest Rate, (c) if Borrower fails to deliver the
financial statements required by Section 10.1.2 hereof, and the related
Compliance Certificate required by Section 10.1.2 hereof, by the respective date
required thereunder after the end of any related Fiscal Quarter, if requested in
writing by Agent or Required Lenders, (i) the Applicable Margin shall be the
rates corresponding to the Net Senior Leverage Ratio of > 3.75x in the foregoing
table and (ii) the PIK Interest Rate shall be the rates corresponding to the Net
Senior Leverage Ratio of > 5.00x in the table >set forth in the definition of
<PIK Interest Rate>, in each case<, until such financial statements and
Compliance Certificate are delivered (plus, if requested by Agent or Required
Lenders, the Default Rate), and (d) no reduction to the Applicable Margin or PIK
Interest Rate shall become effective at any time when an Event of Default has
occurred and is continuing; provided, that such a reduction shall occur on the
date all such Events of Default have been cured or waived in accordance with
Section 14.1 hereof.>.

<If, as a result of any restatement of or other adjustment to the financial
statements of Borrower and its Subsidiaries or for any other reason, Agent
determines that (a) the Net Senior Leverage Ratio as calculated by Borrower as
of any applicable date was inaccurate and (b) a proper calculation of the Net
Senior Leverage Ratio would have resulted in different pricing for any period,
then (i) if the proper calculation of the Net Senior Leverage Ratio would have
resulted in higher pricing for such period, Borrower shall automatically and
retroactively be obligated to pay to Agent, for the benefit of the applicable
Lenders, promptly on demand by Agent, an amount equal to the excess of the
amount of interest that should have been paid for such period over the amount of
interest actually paid for such period; and (ii) if the proper calculation of
the Net Senior Leverage Ratio would have resulted in lower pricing for such
period, neither Agent nor any Lender shall have any obligation to repay any
interest or fees to Borrower; provided, that, if as a result of any restatement
or other event a proper calculation of the Net Senior Leverage Ratio would have
resulted in higher pricing for one or more periods and lower pricing for one or
more other periods (due to the shifting of income or expenses from one period to
another period or any similar reason), then (x) the amount payable by Borrower
pursuant to clause (i) above shall be based upon the excess, if any, of the
amount of interest that should have been paid for all applicable periods over
the amount of interest paid for all such periods and (y) the amount credited to
Borrower pursuant to clause (ii) above shall be based upon the excess, if any,
of the amount of interest paid by Borrower for all applicable periods over the
amount of interest that should have been paid for all such periods.>

Approved Fund:  any Person (other than a natural Person) engaged in making,
purchasing, holding or otherwise investing in commercial loans in its ordinary
course of activities.

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Asset Disposition:  a sale, lease, license, consignment, transfer or other
disposition of Property of an Obligor, including a disposition of Property in
connection with a sale-leaseback transaction or synthetic lease and any
disposition of property to a Delaware Divided LLC pursuant to a Delaware LLC
Division.

Assignment and Acceptance:  an assignment agreement between a Lender and
Eligible Assignee, in the form of Exhibit A or otherwise satisfactory to Agent.

Availability:  shall have the meaning provided for in the Revolving Loan
Agreement.

Bail-In Action:  the exercise of any Write-Down and Conversion Powers by the
applicable EEA Resolution Authority in respect of any liability of an EEA
Financial Institution.

Bail-In Legislation:  with respect to any EEA Member Country implementing
Article 55 of Directive 2014/59/EU of the European Parliament and of the Council
of the European Union, the implementing law for such EEA Member Country from
time to time which is described in the EU Bail-In Legislation Schedule.

Bank of America:  Bank of America, N.A., a national banking association.

Bankruptcy Code:  Title 11 of the United States Code entitled "Bankruptcy" as
now and hereafter in effect (or any similar or equivalent legislation as in
effect in any applicable jurisdiction), or any successor statutes.

Bankruptcy Court:  the United States Bankruptcy Court for the District of
Delaware.

Board of Governors:  the Board of Governors of the Federal Reserve System.

Borrowed Money:  with respect to any Obligor, without duplication, its
(a) Indebtedness that (i) arises from the lending of money by any Person to such
Obligor, (ii) is evidenced by notes, drafts, bonds, debentures, credit documents
or similar instruments, (iii) accrues interest or is a type upon which interest
charges are customarily paid (excluding trade payables owing in the Ordinary
Course of Business), or (iv) was issued or assumed as full or partial payment
for Property; (b) Capital Leases; (c) reimbursement obligations with respect to
letters of credit; and (d) guaranties of any Indebtedness of the foregoing types
owing by another Person.

Borrower:  as defined in the Preamble hereto.

Borrower Materials:  Compliance Certificates, the Budget, Budget and Variance
Certificates, Variance Reports and other information, reports, financial
statements and other materials delivered by Borrower hereunder, as well as other
Reports and information provided by Agent to Lenders.

Borrowing:  a group of Loans that are made or converted together on the same day
and have the same interest option and, if applicable, Interest Period.

Borrowing Base:  shall have the meaning provided for in the Revolving Loan
Agreement.

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Borrowing Base Certificate:  shall have the meaning provided for in the
Revolving Loan Agreement.

Budget: the initial budget (a copy of which is attached hereto as Exhibit H), in
form and substance satisfactory to Agent, prepared by the Obligors' management
and certified by the chief financial officer of Borrower, projecting the
operations of Obligors and their Subsidiaries for the following 13-week period,
including (i) the projected cash receipts for each week, (ii) the projected cash
disbursements for each week (including separate line items for payroll & 401(k),
rent, taxes, commissions, severance, inventory, freight and other
disbursements), (iii) the projected net cash flow for each week, (iv) the
projected bookings and billings for each week, (v) the projected professional
fees, expenses and retainers to be incurred each week (including details for
each professional and the type of work), (vi) the projected outstanding
Revolving Loans and Specified Availability for each week and (vii) such other
information as Agent may request from time to time (and which shall include a
break-down of such amounts (to the extent applicable) between cash and Cash
Equivalents located within the United States and cash and Cash Equivalents
located outside the United States), which shall be updated on a weekly basis
delivered on or prior to Wednesday of each week, for the upcoming 13-week period
commencing on Monday of such week by adding a new 13th week, delivered to Agent
in accordance with Section 10.1.2(l) of this Agreement, and upon acceptance in
writing by Agent in its sole discretion, the prior Budget, as modified by such
updated 13-week cash flow forecast, shall then constitute the Budget.
 Notwithstanding the foregoing, in addition to the requirements set forth in
this definition, the initial Budget shall include the following for the 3-week
period ended immediately prior to the Fifth Amendment Effective Date: (a) the
actual cash receipts for each week, (b) the actual cash disbursements for each
week, (c) the actual net cash flow for each week, (d) the actual bookings and
billings for each week, (e) the actual professional fees, expenses and retainers
to be incurred each week and (f) the actual Specified Availability for each
week.  

Budget and Variance Certificate: a certificate substantially in the form of
Exhibit I, delivered by the chief financial officer of Borrower.  

Business Day:  any day other than a Saturday, Sunday or other day on which
commercial banks are authorized to close under the laws of, or are in fact
closed in, Chicago, IL or New York, NY, and if such day relates to a LIBOR Rate
Loan, any such day on which dealings in Dollar deposits are conducted between
banks in the London interbank Eurodollar market.

Capital Expenditures:  for any period, (a) the additions to property, plant and
equipment, capitalized investment and development costs, and other capital
expenditures of Borrower and its consolidated Subsidiaries that are (or should
be) set forth in a consolidated statement of cash flows of Borrower for such
period prepared in accordance with GAAP and (b) Capital Lease Obligations
incurred by Borrower and its consolidated Subsidiaries during such period, but
excluding in each case any such expenditure made to restore, replace or rebuild
property to the condition of such property immediately prior to any damage,
loss, destruction or condemnation of such property to the extent such
expenditure is made with insurance proceeds, condemnation awards or damage
recovery proceeds relating to any such damage, loss, destruction or
condemnation.

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Capital Lease:  any lease of (or other arrangement conveying the right to use)
real or personal property, or a combination thereof, that is required to be
capitalized for financial reporting purposes in accordance with GAAP.

Capital Lease Obligation:  as to any Person shall mean the obligations of such
Person to pay rent or other amounts under any Capital Lease.

Cash Collateral:  cash, and any interest or other income earned thereon, that is
delivered to Agent to Cash Collateralize any Obligations.

Cash Collateral Account:  a demand deposit, money market or other account
established by Agent at such financial institution as Agent may select in its
discretion, which account shall be subject to a Lien in favor of Agent.

Cash Collateralize:  the delivery of cash to Agent, as security for the payment
of Obligations, in an amount equal to Agent's good faith estimate of the amount
due or to become due, including fees, expenses and indemnification hereunder.
"Cash Collateralization" has a correlative meaning.

Cash Dominion Trigger Period:  shall have the meaning provided for in the
Revolving Loan Agreement.

Cash Equivalents:  (a) marketable direct obligations issued by, or
unconditionally guaranteed by, the United States or issued by any agency thereof
and backed by the full faith and credit of the United States, in each case
maturing within one (1) year from the date of acquisition thereof,
(b) marketable direct obligations issued or fully guaranteed by any state of the
United States or any political subdivision of any such state or any public
instrumentality thereof maturing within one (1) year from the date of
acquisition thereof and, at the time of acquisition, having one of the two
highest ratings obtainable from either S&P or Moody's, (c) commercial paper
maturing no more than two hundred seventy (270) days from the date of creation
thereof and, at the time of acquisition, having a rating of at least A-1 from
S&P or at least P-1 from Moody's, (d) certificates of deposit, time deposits,
overnight bank deposits or bankers' acceptances maturing within one (1) year
from the date of acquisition thereof issued by any bank organized under the laws
of the United States or any state thereof or the District of Columbia or any
United States branch of a foreign bank having at the date of acquisition thereof
combined capital and surplus of not less than $500,000,000, (e) deposit accounts
maintained with (i) any bank that satisfies the criteria described in clause (d)
above, or (ii) any other bank organized under the laws of the United States or
any state thereof so long as the full amount maintained with any such other bank
is insured by the Federal Deposit Insurance Corporation, (f) repurchase
obligations of any commercial bank satisfying the requirements of clause (d) of
this definition or recognized securities dealer having combined capital and
surplus of not less than $500,000,000, having a term of not more than seven (7)
days, with respect to securities satisfying the criteria in clauses (a) or (d)
above, (g) debt securities with maturities of six (6) months or less from the
date of acquisition backed by standby letters of credit issued by any commercial
bank satisfying the criteria described in clause (d) above, and (h) Investments
in money market funds substantially all of whose assets are invested in the
types of assets described in clauses (a) through (g) above.

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CERCLA:  the Comprehensive Environmental Response Compensation and Liability Act
(42 U.S.C. § 9601 et seq.).

Change in Law:  the occurrence, after the date hereof, of (a) the adoption,
taking effect or phasing in of any law, rule, regulation or treaty; (b) any
change in any law, rule, regulation or treaty or in the administration,
interpretation or application thereof; or (c) the making, issuance or
application of any request, guideline, requirement or directive (whether or not
having the force of law) by any Governmental Authority; provided, however, that
"Change in Law" shall include, regardless of the date enacted, adopted or
issued, all requests, rules, guidelines, requirements or directives (i) under or
relating to the Dodd-Frank Wall Street Reform and Consumer Protection Act, or
(ii) promulgated pursuant to Basel III by the Bank for International
Settlements, the Basel Committee on Banking Supervision (or any similar
authority) or any other Governmental Authority.

Change of Control:  (a) Borrower ceases to own and control, beneficially and of
record, directly or indirectly, all Equity Interests in each Subsidiary
Guarantor (unless 100% of the Equity Interests of such Subsidiary Guarantor is
sold or otherwise disposed of in connection with an Asset Disposition otherwise
permitted hereunder); (b)  other than with respect to <any existing shareholder,
as of the Third Amendment Effective Date, or any Affiliate of such existing
shareholder, to the extent such ownership represents more than 50% directly a
result of the Junior>Mill Road Capital <Raise Satisfaction Event>II, L.P., any
"person" or "group" (within the meaning of Rule 13d-5 of the Exchange Act as in
effect on the date hereof) shall own, directly or indirectly, beneficially or of
record, shares representing more than <50>35% of the aggregate ordinary voting
power represented by the issued and outstanding capital stock of Borrower;
(c) <other than occurring as a direct result of the Junior Capital Raise
Satisfaction Event,> a majority of the members of the board of directors of
Borrower shall at any time not constitute Continuing Directors; or (d) any
change in control (or similar event, however denominated) with respect to
Borrower or any Subsidiary shall occur under and as defined in the Revolving
Loan Documents or in any indenture or agreement in respect of the <Specified
Unsecured>Extended Prepetition Debt.

Claims:  all claims, liabilities, obligations, losses, damages, penalties,
judgments, proceedings, interest, costs and expenses of any kind (including
remedial response costs, reasonable attorneys' fees and Extraordinary Expenses)
at any time (including after Full Payment of the Obligations or replacement of
Agent or any Lender) incurred by any Indemnitee or asserted against any
Indemnitee by any Obligor or other Person, in any way relating to (a) the
Proposal Letter, the Fee Letter, any Loans, Loan Documents, Borrower Materials,
or the use thereof or transactions relating thereto, (b) any action taken or
omitted in connection with any Loan Documents, (c) the existence or perfection
of any Liens, or realization upon any Collateral, (d) exercise of any rights or
remedies under any Loan Documents or Applicable Law, or (e) failure by any
Obligor to perform or observe any terms of any Loan Document, in each case
including all costs and expenses relating to any investigation, litigation,
arbitration or other proceeding (including an Insolvency Proceeding or appellate
proceedings), whether or not the applicable Indemnitee is a party thereto.

Closing Date:  as defined in Section 6.1.

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Closing Date Revolving Loan Agreement Amendment:  that certain Third Amendment
to Loan Agreement, dated as of the Closing Date, among Revolving Loan Agent, the
issuing bank, the Revolving Loan Lenders party thereto and the Obligors.

Code:  the Internal Revenue Code of 1986, as amended.

Collateral:  all Property described in any Security Documents as security or
collateral for any Obligations, and all other Property that now or hereafter, or
under the terms hereof, or under the Security Documents, secures (or is intended
to secure) any Obligations.

Commitment:  as to any Lender, such Lender's commitment to make the Term A Loan
or Delayed Draw Term Loans under this Agreement.  The initial amount of each
Lender's commitment to make the Term A Loan or Delayed Draw Term Loans, as
applicable, is set forth in the Schedule 1.1(a) hereto.

Compliance Certificate:  a certificate, substantially in the form of Exhibit C,
by which Borrower certifies compliance with Sections 10.2.3, 10.2.7 and 10.3.

Connection Income Taxes:  Other Connection Taxes that are imposed on or measured
by net income (however denominated), or are franchise or branch profits Taxes.

Consolidated Net Income:  with respect to Borrower and its Subsidiaries on a
consolidated basis for any period, net income for such period but excluding net
income (or loss) attributable to the equity method of accounting unless such net
income has been distributed in cash to Borrower or any Subsidiary.

Consolidated Total Assets:  as of any date of determination, the total assets in
each case reflected on the consolidated balance sheet of Borrower and its
Subsidiaries as at the end of the most recently ended Fiscal Quarter of Borrower
for which financial statements have been or are required to have been delivered
pursuant to Section 10.1.2, determined on a consolidated basis in accordance
with GAAP.

Contingent Obligation:  any obligation of a Person arising from a guaranty,
indemnity or other assurance of payment or performance of any Indebtedness,
lease, dividend or other obligation ("primary obligations") of another obligor
("primary obligor") in any manner, whether directly or indirectly, including any
obligation of such Person under any (a) guaranty, endorsement, co-making or sale
with recourse of an obligation of a primary obligor; (b) obligation to make
take-or-pay or similar payments regardless of nonperformance by any other party
to an agreement; and (c) arrangement (i) to purchase any primary obligation or
security therefor, (ii) to supply funds for the purchase or payment of any
primary obligation, (iii) to maintain or assure working capital, equity capital,
net worth or solvency of the primary obligor, (iv) to purchase Property or
services for the purpose of assuring the ability of the primary obligor to
perform a primary obligation, or (v) otherwise to assure or hold harmless the
holder of any primary obligation against loss in respect thereof.  The amount of
any Contingent Obligation shall be deemed to be the stated or determinable
amount of the primary obligation (or, if less, the maximum amount for which such
Person may be liable under the instrument evidencing the Contingent Obligation)
or, if not stated or determinable, the maximum reasonably anticipated liability
with respect thereto.

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Continuing Director: (a) any member of the board of directors of Borrower who
was a director (or comparable manager) of Borrower on the Closing Date, and (b)
any individual who becomes a member of the board of directors after the Closing
Date if such individual was approved, appointed or nominated for election to the
board of directors of Borrower by a majority of the Continuing Directors, but
excluding any such individual originally proposed for election in opposition to
the Continuing Directors in an actual or publically threatened election contest
relating to the election of the directors (or comparable managers) of Borrower
and whose assumption of office resulted from such contest or the settlement
thereof.

CWA:  the Clean Water Act (33 U.S.C. §§ 1251 et seq.).

Default:  an event or condition that, with the lapse of time or giving of
notice, would constitute an Event of Default.

Default PIK Interest:  shall have the meaning set forth in the definition of
Default Rate.

Default Rate:  for any Obligation (including, to the extent permitted by law,
interest not paid when due), 2.00% plus the interest rate otherwise applicable
thereto.  Notwithstanding the foregoing, at all times after the Fifth Amendment
Effective Date, the Default Rate shall be increased by an amount equal to 1.00%
per annum, with 100% of such increase being paid in kind by adding such interest
to the outstanding principal amount of the Term Loan ("Default PIK Interest").

Defaulting Lender:  any Lender that (a) has failed to comply with its funding
obligations hereunder, and such failure is not cured within two (2) Business
Days; (b) has notified Agent or Borrower that such Lender does not intend to
comply with its funding obligations hereunder or under any other credit
facility, or has made a public statement to that effect; (c) has failed, within
three (3) Business Days following request by Agent or Borrower, to confirm in a
manner satisfactory to Agent and Borrower that such Lender will comply with its
funding obligations hereunder; or (d) has, or has a direct or indirect parent
company that has, become the subject of an Insolvency Proceeding (including
reorganization, liquidation, or appointment of a receiver, custodian,
administrator or similar Person by the Federal Deposit Insurance Corporation or
any other regulatory authority) or Bail-In Action; provided, however, that a
Lender shall not be a Defaulting Lender solely by virtue of a Governmental
Authority's ownership of an equity interest in such Lender or parent company
unless the ownership provides immunity for such Lender from jurisdiction of
courts within the United States or from enforcement of judgments or writs of
attachment on its assets, or permits such Lender or Governmental Authority to
repudiate or otherwise to reject such Lender's agreements.

Delaware LLC: any limited liability company organized or formed under the laws
of the State of Delaware.

Delaware Divided LLC: any Delaware LLC which has been formed upon consummation
of a Delaware LLC Division.

Delaware LLC Division: the statutory division of any Delaware LLC into two or
more Delaware LLCs pursuant to Section 18-217 of the Delaware Limited Liability
Company Act.

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Deposit Account Control Agreement:  control agreement satisfactory to Agent
executed by an institution maintaining a Deposit Account for an Obligor, to
perfect Agent's Lien on such account.

Designated Jurisdiction:  any country or territory that is the subject of any
Sanction.

Delayed Draw Funding Conditions:  with respect to any Delayed Draw Term Loan,
the following:  (a) Borrower shall have given written notice to Agent of the
proposed funding of such Delayed Draw Term Loan not later than 11:00 a.m.
(Chicago time), at least ten (10) Business Days prior to the proposed Delayed
Draw Term Loan Draw Date (or by such later time as Agent may agree, in its sole
discretion), (b) immediately after giving effect to the funding of such Delayed
Draw Term Loan and any Distribution, <Permitted Acquisition>acquisition
permitted hereunder or payment with respect to Indebtedness made with the
proceeds thereof, Borrower shall be in compliance on a pro forma basis with the
financial covenants set forth in Section 10.3 hereof, recomputed for the most
recently ended month for which financial statements are required to be delivered
pursuant to Section 10.1.2 hereof, (c) immediately after giving effect to the
funding of such Delayed Draw Term Loan and any Distribution, <Permitted
>Acquisition permitted hereunder or payment with respect to Indebtedness made
with the proceeds thereof, the Net Senior Leverage Ratio, on a pro forma basis
for the twelve (12) consecutive Fiscal Months ending immediately prior to such
funding, recomputed for the most recently ended month for which financial
statements are required to be delivered pursuant to Section 10.1.2 hereof, shall
be less than or equal to 3.50 to 1.00 (or, at any time after receipt of the
financial statements delivered pursuant to clause (a) of Section 10.1.2 with
respect to the Fiscal Year ending December 30, 2017, solely to the extent that
EBITDA for the period of twelve (12) consecutive months most recently ended on
or prior to the date of such funding is at least $50,000,000, 3.75 to 1.00),
(d) Specified Availability on the date of the funding of such Delayed Draw Term
Loan, before and after giving pro forma effect to such funding and any
Distribution, <Permitted >Acquisition permitted hereunder or payment with
respect to Indebtedness made with the proceeds thereof, is greater than or equal
to $18,750,000; (e) the average daily amount of Specified Availability for the
60-day period immediately preceding the date of the funding of such Delayed Draw
Term Loan shall have been greater than or equal to $18,750,000, calculated on a
pro forma basis assuming such funding and any Distribution, <Permitted
>Acquisition hereunder or payment with respect to Indebtedness made with the
proceeds thereof occurred on the first day of such 60-day period,
(f) immediately before and after giving effect to the funding of such Delayed
Draw Term Loan, no Default or Event of Default shall have occurred and be
continuing, (g) the representations and warranties of each Obligor in the Loan
Documents shall be true and correct in all material respects (except to the
extent already qualified by materiality, in which case it will be true and
correct in all respects) on the date of, and upon giving effect to, such funding
(except for representations and warranties that expressly relate to an earlier
date), and (h) Borrower shall have delivered a certificate to Agent certifying
as to clauses (a) through (g) above and setting forth projections prepared in
good faith demonstrating that Specified Availability shall be greater than or
equal to $18,750,000 at all times for the greater of (i) the 90-day period
following the date of the funding of such Delayed Draw Term Loan and (ii) the
period following the date of the funding of such Delayed Draw Term Loan up to
and including August 31 of such year (or the following year if such funding
occurs after August 31 of such year).

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Delayed Draw Term Loan:  shall have the meaning set forth in Clause (b) of
Section 2.1.1 hereof.

Delayed Draw Term Loan Amount:  $30,000,000.

Delayed Draw Term Loan Commitment:  as to any Lender, such Lender's commitment
to make Delayed Draw Term Loans under this Agreement.  The initial amount of
each Lender's commitment to make Delayed Draw Term Loans is set forth in the
Schedule 1.1(a) hereto.

Delayed Draw Term Loan Commitment Percentage:  as to any Lender, the percentage
set forth opposite such Lender's name on Schedule 1.1(a) hereto under the column
"Delayed Draw Term Loan Commitment Percentage" (if such Lender's name is not so
set forth thereon, then such percentage for such Lender shall be deemed to be
zero) (or, in the case of any Lender that became party to this Agreement after
the Closing Date, the Delayed Draw Term Loan Commitment Percentage of such
Lender as set forth in the applicable Assignment and Acceptance).

Delayed Draw Term Loan Commitment Period:  the period commencing on the Closing
Date and ending on the Delayed Draw Term Loan Commitment Termination Date.

Delayed Draw Term Loan Commitment Termination Date:  November 7, 2018.

Delayed Draw Term Loan Draw Date:  shall have the meaning set forth in Clause
(b) of Section 2.1.1 hereof.

Disqualified Stock:  any Equity Interest that, by its terms (or by the terms of
any security into which it is convertible or for which it is exchangeable), or
upon the happening of any event, (a) matures (excluding any maturity as the
result of an optional redemption by the issuer thereof) or is mandatorily
redeemable, pursuant to a sinking fund obligation or otherwise, or is redeemable
at the option of the holder thereof, in whole or in part, or requires the
payment of any cash dividend or any other scheduled payment constituting a
return of capital, in each case at any time on or prior to the first anniversary
of the Maturity Date; or (b) is convertible into or exchangeable (unless at the
sole option of the issuer thereof) for (i) debt securities or (ii)  any Equity
Interest referred to in clause (a) above, in each case at any time prior to the
first anniversary of the Maturity Date.

Distribution:  (i) any dividend or other distribution (whether in cash,
securities or other property) with respect to any Equity Interests in Borrower
or any Subsidiary, (ii) any payment (whether in cash, securities or other
property), including any sinking fund or similar deposit, on account of the
repurchase, redemption, retirement, acquisition, cancellation or termination of
any Equity Interests in Borrower or any Subsidiary, or (iii) any other payment
(whether in cash, securities or other property) with respect to any Equity
Interests in Borrower or any Subsidiary, including but not limited to payments
made on account of any stock appreciation rights or restricted stock units with
respect to any such Equity Interests.

Dollars:  lawful money of the United States.

Domestic Subsidiary:  any Subsidiary organized under the laws of the United
States of America, any state thereof or the District of Columbia.

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Dominion Account:  an account of an Obligor at a bank reasonably acceptable to
Agent, which is subject at all times to a Deposit Account Control Agreement or a
Securities Account Control Agreement.

EBITDA:  with respect to Borrower and its Subsidiaries on a consolidated basis
for any period, the Consolidated Net Income of Borrower and its Subsidiaries for
such period, plus

(a)the sum of (in each case without duplication and to the extent the respective
amounts described in subclauses (i) through (viii) of this clause (a) reduced
such Consolidated Net Income (and were not excluded therefrom or added thereto)
for the respective period for which EBITDA is being determined): 

(i)provision for taxes based on income, profits or capital of Borrower and its
Subsidiaries for such period, including, without limitation, state, franchise
and similar taxes; 

(ii)interest expense (and to the extent not included in interest expense, (x)
all cash dividend payments (excluding items eliminated in consolidation) on any
series of preferred stock or disqualified stock and (y) costs of surety bonds in
connection with financing activities) of Borrower and its Subsidiaries for such
period; 

(iii)depreciation and amortization expenses of Borrower and its Subsidiaries for
such period including the amortization of intangible assets, deferred financing
fees and capitalized software expenditures and amortization of unrecognized
prior service costs; 

(iv)<(A) >non-recurring, unusual or extraordinary charges <for such period, (B)
business optimization>and expenses <and other restructuring charges or reserves
(which>, for the avoidance of doubt, <shall include the effect of inventory
optimization programs, facility closure, facility consolidations, duplicative
facility costs, retention, severance, systems establishment costs, contract
termination costs, future lease commitments and excess pension charges), and (C)
cash expenses relating to earn outs and similar obligations; provided that the
aggregate amount to be added back pursuant to this clause (iv) shall not exceed
(1) $6,000,000 for the 2019 Fiscal Year, (2) 12.5% of EBITDA for the 2020 Fiscal
Year and (3) 10% of EBITDA for any Fiscal Year thereafter;>to the extent, and
during the periods, set forth on Exhibit J;  

(v)any other non-cash charges; provided, that for purposes of this subclause (v)
of this clause (a), any non-cash charges or losses shall be treated as cash
charges or losses in any subsequent period during which cash disbursements
attributable thereto are made (but excluding, for the avoidance of doubt,
amortization of a prepaid cash item that was paid in a prior period); 

(vi)any expenses or charges (other than depreciation or amortization expense as
described in the preceding clause (iii)) related to any issuance of equity
interests, investment, acquisition, disposition, recapitalization, attempted
disposition, attempted recapitalization, proposed sale of the Borrower or any
Subsidiary or the incurrence, modification or repayment of indebtedness
permitted to be incurred under  

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this Agreement (including any refinancing thereof as long as each Refinancing
Condition is satisfied) (whether or not successful), in each case, solely to the
extent outside the ordinary course of business, including (x) such fees,
expenses or charges related to the Revolving Loan Facility, the Obligations and
the Specified Unsecured Prepetition Debt, and (y) any amendment or other
modification of the Obligations or other Indebtedness; and

(vii)non-cash expenses in connection with expensing stock options or other
equity compensation grants for such period; <and>minus 

(viii) <to the extent deducted from Consolidated Net Income for such period,
cash >fees, costs, expenses, <commissions and other cash charges paid on or
before April 7, 2017 in connection with >this Agreement and the other Loan
Documents<, the Revolving Loan Facility Amendment and the transactions
contemplated by the foregoing; provided that the aggregate amount to be added
back pursuant to this clause (viii) for all such periods shall not exceed
$4,000,000 (provided, that to the extent such charges associated with this
Agreement and the other Loan Documents or the Revolving Loan Facility are
capitalized and recognized over the life of the Loans and the Revolving Loans,
respectively, then such amount shall be reduced to the extent of such
capitalization); minus>

(b)the sum of (without duplication and to the extent the amounts described in
this clause (b) increased such Consolidated Net Income for the respective period
for which EBITDA is being determined) non-cash items increasing Consolidated Net
Income of Borrower and its Subsidiaries for such period (but excluding any such
items (A) in respect of which cash was received in a prior period or will be
received in a future period or (B) which represent the reversal of any accrual
of, or cash reserve for, anticipated cash charges that reduced EBITDA in any
prior period); minus 

(c)non-recurring, unusual or extraordinary gains increasing Consolidated Net
Income of Borrower and its subsidiaries for such period to the extent
non-recurring, unusual or extraordinary losses could be added back for such
period; and minus 

(d)any cash payments made in respect of non-cash charges added back in a prior
period<.>; 

provided, that, notwithstanding anything to the contrary contained herein, for
each of the calendar months set forth below, EBITDA shall be deemed to be the
amount set forth below opposite such month:

Calendar Month

EBITDA

November 2018

($4,367,149)

December 2018

($2,530,301)

January 2019

($4,720,076)

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February 2019

($6,289,818)

March 2019

($1,018,834)

April 2019

$418,939

May 2019

$4,085,705

June 2019

$7,793,016

July 2019

$13,961,603

August 2019

$16,107,843

September 2019

$7,027,633

October 2019

($185,340)

 

EEA Financial Institution: (a) any credit institution or investment firm
established in an EEA Member Country that is subject to the supervision of an
EEA Resolution Authority; (b) any entity established in an EEA Member Country
that is a parent of an institution described in clause (a) above; or (c) any
financial institution established in an EEA Member Country that is a subsidiary
of an institution described in the foregoing clauses and is subject to
consolidated supervision with its parent.

EEA Member Country:  any of the member states of the European Union, Iceland,
Liechtenstein and Norway.

EEA Resolution Authority:  any public administrative authority or any Person
entrusted with public administrative authority of an EEA Member Country
(including any delegee) having responsibility for the resolution of any EEA
Financial Institution.

Eligible Assignee:  a Person that is (a) a Lender, Affiliate of a Lender or
Approved Fund; and (b) <a financial institution that extends term loan credit
facilities of this type in its ordinary course of business and is approved by
Borrower (which approval shall not be unreasonably withheld or delayed, and
shall be deemed given if no objection is made >within five (5) Business Days
after <notice of the proposed assignment), and Agent; and (c) during an Event of
Default, >any Person acceptable to Agent in its discretion<; provided Borrower's
disapproval of an EEA Financial Institution as an Eligible Assignee will not be
deemed unreasonable if Borrower has provided reasonable evidence that it is
reasonably likely that such EEA Financial Institution may be subject to a
Bail-In Action during the term of this Agreement.>.

Enforcement Action:  any action to enforce any Obligations or Loan Documents or
to exercise any rights or remedies relating to any Collateral (whether by
judicial action, self-help, notification of Account Debtors, setoff or
recoupment, credit bid, action in an Obligor's Insolvency Proceeding or
otherwise).

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Environmental Laws:  Applicable Laws (including programs, permits and guidance
promulgated by regulators) relating to public health (other than occupational
safety and health regulated by OSHA) or the protection or pollution of the
environment, including CERCLA, RCRA and CWA.

Environmental Notice:  a notice (whether written or oral) from any Governmental
Authority or other Person of any possible noncompliance with, investigation of a
possible violation of, litigation relating to, or potential fine or liability
under any Environmental Law, or with respect to any Environmental Release,
environmental pollution or hazardous materials, including any complaint,
summons, citation, order, claim, demand or request for correction, remediation
or otherwise.

Environmental Release:  a release as defined in CERCLA or under any other
Environmental Law.

Equity Interest:  (a)(i) the interest of any shareholder in a corporation;
partner in a partnership (whether general, limited, limited liability or joint
venture); member in a limited liability company; or (ii) any other form of
equity security or ownership interest in any Person, (b) all of the warrants,
options or other rights for the purchase, acquisition or exchange from such
Person of any of the foregoing (including through convertible securities), and
(c) any stock appreciation rights and restricted stock units.

ERISA:  the Employee Retirement Income Security Act of 1974, as amended.

ERISA Affiliate:  any trade or business (whether or not incorporated) under
common control with an Obligor within the meaning of Section 414(b) or (c) of
the Code (and Sections 414(m) and (o) of the Code for purposes of provisions
relating to Section 412 of the Code).

ERISA Event:  (a) a Reportable Event with respect to a Pension Plan; (b) a
withdrawal by any Obligor or ERISA Affiliate from a Pension Plan subject to
Section 4063 of ERISA during a plan year in which it was a substantial employer
(as defined in Section 4001(a)(2) of ERISA) or a cessation of operations that is
treated as such a withdrawal under Section 4062(e) of ERISA; (c) a complete or
partial withdrawal by any Obligor or ERISA Affiliate from a Multiemployer Plan
or notification that a Multiemployer Plan is in reorganization; (d) the filing
of a notice of intent to terminate, the treatment of a Plan amendment as a
termination under Section 4041 or 4041A of ERISA, or the commencement of
proceedings by the PBGC to terminate a Pension Plan or Multiemployer Plan;
(e) the determination that any Pension Plan or Multiemployer Plan is considered
an at risk plan under Section 430(i) of the Code or Section 303 of ERISA or a
plan in critical or endangered status under Section 432(b) the Code or Section
305 of ERISA; (f) an event or condition which constitutes grounds under Section
4042 of ERISA for the termination of, or the appointment of a trustee to
administer, any Pension Plan or Multiemployer Plan; (g) the filing pursuant to
Section 412(c) of the Code or Section 302(c) of ERISA of application for a
waiver of the minimum funding standard with respect to any Pension Plan; or
(h) the imposition of any liability under Title IV of ERISA, other than for PBGC
premiums due but not delinquent under Section 4007 of ERISA, upon any Obligor or
ERISA Affiliate.

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EU Bail-In Legislation Schedule:  the EU Bail-In Legislation Schedule published
by the Loan Market Association, as in effect from time to time.

Event of Default:  as defined in Section 11.

Excess Cash Flow:  determined on a consolidated basis for Borrower and
Subsidiaries, EBITDA, minus (a) cash interest expense and cash taxes paid;
(b) Capital Expenditures (except those financed with Borrowed Money other than
Revolving Loans); and (c) scheduled principal payments made on Borrowed Money
<(excluding payments made with respect >to the Specified Unsecured Prepetition
Debt <made prior to the final maturity date thereof) >and Capital Leases.  

Excess Cash Flow Due Date:  shall have the meaning set forth in Section 2.3.4
hereof.

Exchange Act:  the Securities Exchange Act of 1934, as amended.

Excluded Subsidiary:  any (a) Immaterial Subsidiary<;> and (b) Foreign
Subsidiary<; (c) Subsidiary that is prohibited by Applicable Law or by any
contractual obligation (with respect to any such contractual obligations, only
to the extent existing on the Closing Date or the date the applicable Person
becomes a direct or indirect Subsidiary of Borrower) from guaranteeing the
Obligations or which would require governmental (including regulatory) consent,
approval, license or authorization to provide a guarantee (unless such consent,
approval, license or authorization has been received); (d) Subsidiary that is
not a Wholly-Owned Subsidiary; (e) any Subsidiary of a Foreign Subsidiary and
(f) Domestic Subsidiary that owns no material assets other than Equity Interests
in one or more Foreign Subsidiaries.  The Excluded Subsidiaries as of the
Closing Date are listed on Schedule 1.1(b).>.

Excluded Taxes:  (a) Taxes imposed on or measured by a Recipient's net income
(however denominated), franchise Taxes and branch profits Taxes, in each case,
(i) as a result of such Recipient being organized under the laws of, or having
its principal office or applicable Lending Office located in, the jurisdiction
imposing such Tax, or (ii) constituting Other Connection Taxes; (b) U.S. federal
withholding Taxes imposed on amounts payable to or for the account of a Lender
with respect to its interest in a Loan or Commitment pursuant to a law in effect
when the Lender acquires such interest (except pursuant to an assignment request
by Borrower under Section 3.9) or changes its Lending Office, unless the Taxes
were payable to its assignor immediately prior to such assignment or to the
Lender immediately prior to its change in Lending Office; (c) Taxes attributable
to a Recipient's failure to comply with Section 5.2; and (d) U.S. federal
withholding Taxes imposed pursuant to FATCA.

Existing Agent:  shall mean Credit Suisse AG and its permitted successors and
assigns or any other Person designated as term loan agent pursuant to the
Existing Credit Agreement.

Existing Credit Agreement:  the Credit Agreement, dated as of June 11, 2013, as
heretofore amended, modified and supplemented, by and among Borrower, Existing
Agent and Existing Lenders.

Existing Lenders:  the financial institutions which are parties to the Existing
Credit Agreement as lenders.

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Existing Loan Documents:  collectively, the Existing Credit Agreement and all of
the other agreements, documents and instruments executed and delivered in
connection therewith or related thereto.

Extended Prepetition Debt:  such portion of the Specified Unsecured Prepetition
Debt that, pursuant to an agreement, supplement, agreement or other modification
(in each case, in form and substance satisfactory to Agent), (i) does not have a
final maturity on or before December 11, 2020, (ii) does not provide for and is
not subject to scheduled amortization, redemption, sinking fund or similar
payment other than the payments permitted under Section 10.2.8(b), (iii) accrues
interest, payable solely in kind, at a rate per annum not to exceed a percentage
reasonably satisfactory to Agent and the Required Lenders, (iv) is unsecured
except to the extent permitted by Section 10.2.2(t) and (v) is evidenced by
documentation that is in form and substance satisfactory to Agent and the
Required Lenders (such documentation, the "Extended Prepetition Debt Letter
Agreements").  

Extended Prepetition Debt Letter Agreements"  as defined in the definition of
Extended Prepetition Debt.

Extraordinary Expenses:  all costs (including all internally allocated costs of
Agent in connection with field examinations and quality of earnings reports),
expenses or fees, in each case, that Agent may incur during a Default or Event
of Default, or during the pendency of an Insolvency Proceeding of an Obligor,
including those relating to (a) any audit, inspection, repossession, storage,
repair, appraisal, insurance, manufacture, preparation or advertising for sale,
sale, collection, or other preservation of or realization upon any Collateral;
(b) any action, arbitration or other proceeding (whether instituted by or
against Agent, any Lender, any Obligor, any representative of creditors of an
Obligor or any other Person) in any way relating to any Collateral (including
the validity, perfection, priority or avoidability of Agent's Liens with respect
to any Collateral), Loan Documents or Obligations, including any lender
liability or other Claims; (c) the exercise of any rights or remedies of Agent
in, or the monitoring of, any Insolvency Proceeding; (d) settlement or
satisfaction of taxes, charges or Liens with respect to any Collateral; (e) any
Enforcement Action; and (f) negotiation and documentation of any modification,
waiver, workout, restructuring or forbearance with respect to any Loan Documents
or Obligations.  Such costs, expenses and advances include transfer fees, Other
Taxes, storage fees, insurance costs, permit fees, utility reservation and
standby fees, expenses of one counsel for Agent (which counsel shall be
designated by Agent) and to the extent necessary, one special or local counsel
for Agent in each appropriate jurisdiction, appraisal fees, brokers' and
auctioneers' fees and commissions, accountants' fees, environmental study fees,
fees and expenses of Agent Consultant, wages and salaries paid to employees of
any Obligor or independent contractors in liquidating any Collateral, and travel
expenses.

Extraordinary Receipts:  shall mean the Net Proceeds received by any Obligor or
any of its Subsidiaries not in the Ordinary Course of Business (and not
consisting of proceeds from the sale of Inventory), including, without
limitation, (a) proceeds under any insurance policy on account of damage or
destruction of any assets or property of such Obligor or Subsidiary,
(b) condemnation awards (and payments in lieu thereof), (c) indemnity payments,
(d) foreign, United States, state or local tax refunds< in excess of $1,000,000
in any Fiscal Year>, (e) pension plan reversions and (f)

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judgments, proceeds of settlements or other consideration of any kind in
connection with any cause of action.

FASB ASC: the Accounting Standards Codification of the Financial Accounting
Standards Board.

FATCA:  Sections 1471 through 1474 of the Code (including any amended or
successor version if substantively comparable and not materially more onerous to
comply with), and any agreements entered into pursuant to Section 1471(b)(1) of
the Code.

Federal Funds Rate:  for any period, a fluctuating interest rate per annum equal
to, for each day during such period, the weighted average of the rates on
overnight Federal funds transactions with members of the Federal Reserve, as
published on the next succeeding Business Day by the Federal Reserve Bank of New
York, or, if such rate is not so published for any day which is a Business Day,
the average of the quotations for such day on such transactions received by
Agent from three major banks of recognized standing selected by it.

Fee Letter:  the fee letter agreement between Agent and Borrower dated as of the
Closing Date, as amended, restated or otherwise modified from time to time,
including as amended by the First Amendment to Fee Letter.

Fifth Amendment: that certain Fifth Amendment to Loan Agreement and Forbearance
Agreement, with an effective date as of the Fifth Amendment Effective Date,
among Borrower, the Guarantors party thereto, Agent and the Lenders party
thereto.

Fifth Amendment Closing Date: December 2, 2019.

Fifth Amendment Effective Date: November 22, 2019.

Fifth Amendment Fee Letter: the fee letter agreement between Agent, the Lenders
party thereto, Borrower and the other Obligors party thereto dated as of the
Fifth Amendment Closing Date, as amended, restated or otherwise modified from
time to time.

Fiscal Month: as defined in the attached Schedule A for the term of the
Agreement.

Fiscal Quarter:  each fiscal quarter of Borrower and its Subsidiaries for
accounting and tax purposes.

Fiscal Year:  the fiscal year of Borrower and Subsidiaries for accounting and
tax purposes, ending on the last Saturday of each December.

Fixed Charge Coverage Ratio:  the ratio, determined on a consolidated basis for
Borrower and its Subsidiaries for the most recent twelve (12) consecutive
calendar months, of (a) EBITDA minus Capital Expenditures (except those financed
with Borrowed Money other than Revolving Loans), to (b) Fixed Charges.

Fixed Charges:  the sum of (a) cash interest expense, plus (b) all principal
payments in respect of Borrowed Money (other than (i) mandatory prepayments of
the Loans (x) in connection

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with asset sales pursuant to Section 2.3.1 or (y) arising from Excess Cash Flow
pursuant to Section 2.3.4, (ii) unless accompanied with a permanent reduction of
the Revolving Loan Commitments, payments of the Revolving Loans, (iii) payments
in respect of the Specified Unsecured Prepetition Debt and Extended Prepetition
Debt, and (iv) voluntary principal payments in respect of the Loans and other
Borrowed Money (unless, in the case of revolving Indebtedness, accompanied by a
permanent reduction in commitments)), plus (c) the aggregate amount of net
Federal, state, local and foreign income taxes and franchise and similar taxes
paid in cash during such period, plus (d) cash Distributions (other than
Distributions financed directly with proceeds of Delayed Draw Term Loans) made,
plus (e) cash costs of surety bonds to the extent not deducted from Consolidated
Net Income; provided that, notwithstanding anything contained herein to the
contrary, solely for purposes of calculating Fixed Charges, cash interest
expense and principal payments in respect of Borrowed Money expensed or made, as
the case may be, on the last day of a calendar quarter shall be deemed to have
been made on the last day of the Fiscal Quarter ending on or around such
calendar quarter end.

FLSA:  the Fair Labor Standards Act of 1938.

Forbearance Period:  shall have the meaning set forth in the Fifth Amendment.

Foreign Lender:  any Lender that is not a U.S. Person.

Foreign Plan:  any employee benefit plan or arrangement (a) maintained or
contributed to by any Obligor or Subsidiary that is not subject to the laws of
the United States; or (b) mandated by a government other than the United States
for employees of any Obligor or Subsidiary.

Foreign Subsidiary:  (a) Select Agendas, Corp. and (b) Premier School Agendas,
Ltd, so long as each Subsidiary <that >is a "controlled foreign corporation"
under Section 957 of the Code.

Full Payment:  with respect to any Obligations, (a) the full and indefeasible
cash payment thereof, including any interest, fees and other charges accruing
during an Insolvency Proceeding or which would accrue but for the Insolvency
Proceeding (in each case, whether or not allowed in the proceeding); and (b) if
such Obligations are inchoate or contingent in nature, the Cash
Collateralization thereof (or delivery of a standby letter of credit acceptable
to Agent in its discretion, in the amount of required Cash Collateral).  No
Loans shall be deemed to have been paid in full unless all Commitments related
to such Loans have terminated.

GAAP:  generally accepted accounting principles in effect in the United States
from time to time.

Governmental Approvals:  all authorizations, consents, approvals, licenses and
exemptions of, registrations and filings with, and required reports to, all
Governmental Authorities.

Governmental Authority:  any federal, state, local, foreign or other agency,
authority, body, commission, court, instrumentality, political subdivision,
central bank, or other entity or officer exercising executive, legislative,
judicial, taxing, regulatory or administrative powers or functions for any
governmental, judicial, investigative, regulatory or self-regulatory authority
(including any supra-national bodies such as the European Union or European
Central Bank).

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Guarantee and Collateral Agreement:  the Guarantee and Collateral Agreement,
dated as of the Closing Date among Borrower, Agent and each Subsidiary
Guarantor, as the same may be amended, supplemented or otherwise modified from
time to time.

Guarantors:  Each Subsidiary Guarantor and each other Person that guarantees
payment or performance of Obligations.

Guaranty:  the guaranty set forth in the Guarantee and Collateral Agreement and
each other guaranty agreement executed by a Guarantor in favor of Agent.

Hedging Agreement:  any "swap agreement" as defined in Section 101(53B)(A) of
the Bankruptcy Code.

HL Engagement Letter:  that certain engagement letter dated as of August 15,
2019 between Houlihan Lokey Capital Inc. and Borrower, as in effect as of the
Fifth Amendment Effective Date.  

Immaterial Subsidiary:  <on any date, any >(a) Frey Scientific, LLC and (b) Sax
Arts & Crafts, LLC; so long as (i) each such Subsidiary of Borrower <that >has
had less than 2.5% of Consolidated Total Assets and less than 2.5% of annual
consolidated revenues of Borrower and its Subsidiaries as reflected on the most
recent financial statements delivered pursuant to Section 10.1.2 prior to such
date<; provided that> and (<a>ii) the aggregate assets and aggregate annual
consolidated revenues of all Immaterial Subsidiaries shall at no time exceed
5.0% of Consolidated Total Assets or 5.0% of annual consolidated revenues of
Borrower and its Subsidiaries, respectively<, and (b)>; provided Borrower will
designate in writing to Agent from time to time the Subsidiaries which will
cease to be treated as "Immaterial Subsidiaries" in order to comply with the
foregoing limitations.

Impacted Loans: as defined in Section 3.7.1.

Indebtedness:  as applied to any Person, without duplication, (a) all
obligations of such Person for borrowed money or with respect to deposits or
advances of any kind; (b) all obligations of such Person evidenced by bonds,
debentures, notes or similar instruments; (c) all obligations of such Person
upon which interest charges are customarily paid; (d) all obligations of such
Person under conditional sale or other title retention agreements relating to
property or assets purchased by such Person; (e) all obligations of such Person
issued or assumed as the deferred purchase price of property or services
(excluding trade accounts payable incurred in the Ordinary Course of Business);
(f) all Indebtedness of others secured by (or for which the holder of such
Indebtedness has an existing right, contingent or otherwise, to be secured by)
any Lien on Property owned or acquired by such Person, whether or not the
obligations secured thereby have been assumed; (g) all guarantees or Contingent
Obligations of or by such Person of Indebtedness of others; (h) all Capital
Lease Obligations of such Person; (i) net obligations of such Person under any
Hedging Agreements, valued at the Agreement Value thereof; (j) all obligations
of such Person to purchase, redeem, retire, defease or otherwise make any
payment in respect of any Disqualified Stock of such Person or any other Person
or any warrants, rights or options to acquire such Disqualified Stock, valued,
in the case of redeemable preferred interests, at the greater of its voluntary
or involuntary liquidation preference plus accrued and unpaid dividends; (k) all
obligations,

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contingent or otherwise, of such Person as an account party in respect of
letters of credit, bank guarantees or similar instruments; and (l) all
obligations, contingent or otherwise, of such Person in respect of bankers'
acceptances.  The Indebtedness of any Person shall include the Indebtedness of
any partnership in which such Person is a general partner, other than to the
extent that the instrument or agreement evidencing such Indebtedness expressly
limits the liability of such person in respect thereof.

Indemnified Taxes:  (a) Taxes, other than Excluded Taxes, imposed on or relating
to any payment of an Obligation; and (b) to the extent not otherwise described
in clause (a), Other Taxes.

Indemnitees:  Agent Indemnitees, Lender Indemnitees and TCW Indemnitees.

Insolvency Proceeding:  any case or proceeding commenced by or against a Person
under any state, federal or foreign law for, or any agreement of such Person to,
(a) the entry of an order for relief under the Bankruptcy Code, or any other
insolvency, debtor relief or debt adjustment law; (b) the appointment of a
receiver, trustee, liquidator, administrator, conservator or other custodian for
such Person or any part of its Property; or (c) an assignment or trust mortgage
for the benefit of creditors.

Intellectual Property:  all intellectual and similar Property of a Person,
including inventions, designs, patents, copyrights, trademarks, service marks,
trade names, trade secrets, confidential or proprietary information, customer
lists, know-how, software and databases; all embodiments or fixations thereof
and all related documentation, applications, registrations and franchises; all
licenses or other rights to use any of the foregoing; and all books and records
relating to the foregoing.

Intellectual Property Claim:  any claim or assertion (whether in writing, by
suit or otherwise) that Borrower's or a Subsidiary's ownership, use, marketing,
sale or distribution of any Inventory, Equipment, Intellectual Property or other
Property violates another Person's Intellectual Property.

Intellectual Property Notices:  each notice of grant of security interest in
trademarks, notice of grant of security interest in patents and notice of grant
of security interest in copyrights, substantially in the forms attached as
exhibits to the Guarantee and Collateral Agreement, required to be executed and
delivered by an Obligor under the terms of the Guarantee and Collateral
Agreement.

Intercreditor Agreement:  the Intercreditor Agreement of even date herewith,
among Obligors, the Revolving Loan Agent and Agent, as amended, supplemented or
otherwise modified from time to time in accordance with the terms thereof,
relating to the Revolving Loan Agreement and this Agreement, and any other
intercreditor agreement, on substantially the same terms and otherwise
reasonably satisfactory to Agent, entered into in connection with a refinancing
of the Revolving Loan Agreement and to the extent such refinancing is permitted
under this Agreement and the Intercreditor Agreement.

Interest Period:  as to any LIBOR Rate Loan, the period commencing on the date
such Loan is borrowed or continued as, or converted into, a LIBOR Rate Loan and
ending on the date one (1), two (2), three (3) or six (6) months thereafter, as
selected by Borrower pursuant to Section 3.2

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hereof; provided, that:  (a) if any Interest Period would otherwise end on a day
that is not a Business Day, such Interest Period shall be extended to the
following Business Day unless the result of such extension would be to carry
such Interest Period into another calendar month, in which event such Interest
Period shall end on the preceding Business Day; (b) with respect to an Interest
Period that begins on the last Business Day of a calendar month (or on a day for
which there is no numerically corresponding day in the calendar month at the end
of such Interest Period), the Interest Period shall end on the last Business Day
of the calendar month at the end of such Interest Period, as applicable, and
(c) Borrower shall not elect an Interest Period which will end after the
Maturity Date.

Inventory:  as defined in the UCC, including all goods intended for sale, lease,
display or demonstration; all work in process; and all raw materials, and other
materials and supplies of any kind that are or could be used in connection with
the manufacture, printing, packing, shipping, advertising, sale, lease or
furnishing of such goods, or otherwise used or consumed in Borrower's business
(but excluding Equipment).

Investment:  an Acquisition; an acquisition of record or beneficial ownership of
any Equity Interests of a Person; or a loan, advance or capital contribution to
or other investment in a Person.

Investment Banker:  shall have the meaning set forth in Section 10.1.17 hereof.

IP Assignment:  a collateral assignment or security agreement pursuant to which
an Obligor grants a Lien on its Intellectual Property to Agent, as security for
its Obligations.

IRS:  the United States Internal Revenue Service.

<Junior Capital Proceeds:Proceeds received by Borrower, in cash, from either (x)
the issuance by Borrower of Equity Interests (other than Disqualified Stock) or
(y) the incurrence of Subordinated Debt.> 

<Junior Capital Raise Satisfaction Event:Borrower has received, after the Third
Amendment Effective Date, an aggregate amount of at least $25,000,000 in Junior
Capital Proceeds, and at least $25,000,000 of which has either (x) been
immediately applied as a prepayment to the remaining installments of principal
of the Term Loan in the inverse order of maturity (for the avoidance of doubt,
any amount that is due and payable on the Maturity Date shall constitute an
installment), (y) been deposited into escrow with a third party escrow agent
subject to an escrow agreement >in form and substance reasonably satisfactory to
Agent <and/or been set aside in a separate and segregated Deposit Account that
is subject to a Deposit Account Control Agreement in favor of Agent and over
which Agent has, subject to the Intercreditor Agreement, exclusive control, in
either case, which proceeds shall only be released to repay the Specified
Unsecured Prepetition Debt on the final maturity date thereof, or (z) been
applied as a prepayment >of the Specified Unsecured Prepetition Debt <prior to
the final maturity date thereof so long as, and only to the extent that, both
immediately before and immediately after giving effect thereto the Payment
Conditions are satisfied.> 

Lender Indemnitees:  Lenders and their officers, directors, employees,
Affiliates, agents and attorneys.

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Lenders:  as defined in the preamble to this Agreement and any other Person who
hereafter becomes a "Lender" pursuant to an Assignment and Acceptance, including
any Lending Office of the foregoing.

Lending Office:  the office (including any domestic or foreign Affiliate or
branch) designated as such by the applicable Lender at the time it becomes party
to this Agreement or thereafter by written notice to Agent and Borrower.

LIBOR:  with respect to each day during each Interest Period pertaining to a
LIBOR Rate Loan, the greater of (a) 1.00% per annum and (b) the rate per annum
appearing on Bloomberg L.P.'s (the "Service") Page BBAM1/(Official BBA USD
Dollar Libor Fixings) (or on any successor or substitute page of such Service,
or any successor to or substitute for such Service) two (2) Business Days prior
to the beginning of such Interest Period, in an amount approximately equal to
the principal amount of the LIBOR Rate Loan to which such Interest Period is to
apply and for a period of time comparable to such Interest Period, which
determination shall be conclusive absent manifest error.  If such rate is not
available at such time for any reason, then "LIBOR" for such Interest Period
shall be the rate per annum determined by Agent to be the rate per annum equal
to the offered quotation rate to first class banks in the London interbank
market for deposits (for delivery on the first day of the relevant period) in
Dollars of amounts in same day funds comparable to the principal amount of the
applicable LIBOR Rate Loan of 3 major London banks for which LIBOR is then being
determined with maturities comparable to such Interest Period as of
approximately 11:00 a.m., London time, two (2) Business Days prior to the
commencement of such Interest Period, which determination shall be conclusive
absent manifest error.  Notwithstanding anything herein to the contrary, if
"LIBOR" shall be less than zero, such rate shall be deemed to be zero for
purposes of this Agreement.

LIBOR Rate:  for each Interest Period for each LIBOR Rate Loan, the rate per
annum determined by Agent (rounded upwards if necessary, to the next 1/100 of
1.00%) by dividing (a) LIBOR for such Interest Period by (b) 100% minus the
Reserve Percentage.  The LIBOR Rate shall be adjusted on and as of the effective
day of any change in the Reserve Percentage.

LIBOR Rate Loans:  the Loans which accrue interest by reference to the LIBOR
Rate, in accordance with the terms of this Agreement.

LIBOR Screen Rate: the LIBOR Rate quote on the applicable screen page the
Administrative Agent designates to determine the LIBOR Rate (or such other
commercially available source providing such quotations as may be designated by
the Administrative Agent from time to time).

LIBOR Successor Rate: as defined in Section 3.7.

LIBOR Successor Rate Conforming Changes: with respect to any proposed LIBOR
Successor Rate, any conforming changes to the definition of Prime Rate, Interest
Period, timing and frequency of determining rates and making payments of
interest and other technical, administrative or operational matters as may be
appropriate, in the discretion of the Agent, to reflect the adoption and
implementation of such LIBOR Successor Rate and to permit the administration
thereof by the Agent in a manner substantially consistent with market practice
(or,

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if the Agent determines that adoption of any portion of such market practice is
not administratively feasible or that no market practice for the administration
of such LIBOR Successor Rate exists, in such other manner of administration as
the Agent determines is reasonably necessary in connection with the
administration of this Agreement).

License:  any written license or written agreement under which an Obligor or any
of its Subsidiaries is granted the right or otherwise is authorized to use
Intellectual Property in connection with any manufacture, marketing,
distribution or disposition of Collateral, any use of Property or any other
conduct of its business, that requires a guaranteed minimum payment of Royalties
in excess of $500,000 per year.

Licensor:  any Person from whom an Obligor obtains the right to use any
Intellectual Property.

Lien:  a Person's interest in Property securing an obligation owed to, or a
claim by, such Person, including any lien, security interest, pledge,
hypothecation, assignment, trust, reservation, encroachment, easement,
right-of-way, covenant, condition, restriction, leases, or other title exception
or encumbrance.

Lien Waiver:  an agreement, in form and substance reasonably satisfactory to
Agent, by which (a) for any material Collateral located on leased premises, the
lessor waives or subordinates any Lien it may have on the Collateral, and agrees
to permit Agent to enter upon the premises and remove the Collateral or to use
the premises to store or dispose of the Collateral; (b) for any Collateral held
by a warehouseman, processor, shipper, customs broker or freight forwarder, such
Person waives or subordinates any Lien it may have on the Collateral, agrees to
hold any Documents in its possession relating to the Collateral as agent for
Agent, and agrees to deliver the Collateral to Agent upon request; (c) for any
Collateral held by a repairman, mechanic or bailee, such Person acknowledges
Agent's Lien, waives or subordinates any Lien it may have on the Collateral, and
agrees to deliver the Collateral to Agent upon request; and (d) for any
Collateral subject to a Licensor's Intellectual Property rights, the Licensor
grants to Agent the right, vis-à-vis such Licensor, to enforce Agent's Liens
with respect to the Collateral, including the right to dispose of it with the
benefit of the Intellectual Property, whether or not a default exists under any
applicable License.

Loan Documents:  this Agreement, the Security Documents, the Intercreditor
Agreement, each Compliance Certificate, the Fee Letter, the Fifth Amendment Fee
Letter, each Related Real Estate Document, Borrower Materials, any intercreditor
or subordination agreement with respect to the Extended Prepetition Debt, any
promissory notes issued pursuant to this Agreement and any other note, document,
instrument or agreement now or hereafter delivered by an obligor or other Person
to Agent or a Lender in connection with any transactions relating hereto.

Loan Year:  each 12 month period commencing on the Closing Date and on each
anniversary of the Closing Date.

Loans:  the Term Loan and any Protective Advances.

Margin Stock:  as defined in Regulation U of the Board of Governors.

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Material Adverse Effect:  the effect of any event or circumstance that, taken
alone or in conjunction with other events or circumstances, (a) has or could be
reasonably expected to have a material adverse effect on the business, assets,
liabilities, operations or financial condition of Borrower, individually or the
Obligors, taken as a whole, on the value of any material Collateral, on the
enforceability of any Loan Documents, or on the validity or priority of Agent's
Liens on any Collateral; (b) materially impairs the ability of an Obligor to
perform its obligations under the Loan Documents, including repayment of any
Obligations; or (c) otherwise materially impairs the ability of Agent or any
Lender to enforce or collect any Obligations or to realize upon any Collateral.

Material Contract:  (x) any agreement or arrangement to which Borrower or a
Subsidiary is party (other than the Loan Documents) (a) for which breach,
termination, nonperformance or failure to renew could reasonably be expected to
have a Material Adverse Effect; <or >(b) that relates to the Specified Unsecured
Prepetition Debt or Extended Prepetition Debt or (c) that relates to
Subordinated Debt, or to Indebtedness in an aggregate amount of $2,500,000 or
more<.> or (y)(i)  distribution, marketing, vendor or supply agreements to which
any Obligor is a party requiring the payment of more than $5,000,000 on an
annualized basis, (ii) customer agreements to which any Obligor is a party
requiring the payment of more than $5,000,000 on an annualized basis or (iii)
any other agreement, commitment or arrangement to which any Obligor is a party
requiring the payment of more than $5,000,000 on an annualized basis.

Maturity Date:  <April 7>November 12, <2022>2020.

Moody's:  Moody's Investors Service, Inc., and its successors.

Mortgage:  a mortgage or deed of trust in which an Obligor grants a Lien on its
Real Estate to Agent, as security for the repayment of the Obligations.

Multiemployer Plan:  any employee benefit plan of the type described in Section
4001(a)(3) of ERISA, to which any Obligor or ERISA Affiliate makes or is
obligated to make contributions, or during the preceding five (5) plan years,
has made or been obligated to make contributions.

Net Proceeds:

(a)with respect to any Asset Disposition by any Obligor or any of its
Subsidiaries of any assets, the amount of cash proceeds received (directly or
indirectly) from time to time (whether as initial consideration or through the
payment of deferred consideration) by or on behalf of such Obligor or Subsidiary
in connection therewith after deducting therefrom only (i) the amount of any
Indebtedness secured by any Permitted Lien on any asset (other than (A) the
Obligations and (B) Indebtedness assumed by the purchaser of such asset) which
is required to be, and is, repaid in connection with such Asset Disposition,
(ii) reasonable fees, commissions and expenses related thereto and required to
be paid by such Obligor or such Subsidiary in connection with such Asset
Disposition, (iii) taxes paid or payable to any taxing authorities by such
Obligor or such Subsidiary in connection with such Asset Disposition, in each
case to the extent, but only to the extent, that the amounts so deducted are, at
the time of receipt of such cash, actually paid or payable to a Person that is
not an Affiliate of any Obligor or any of its Subsidiaries, and are properly
attributable to such transaction; and (iv) all amounts that are set aside as a
reserve (A) for adjustments in  

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respect of the purchase price of such assets, (B) for any liabilities associated
with such sale or casualty, to the extent such reserve is required by GAAP, and
(C) for the payment of unassumed liabilities relating to the assets sold or
otherwise disposed of at the time of, or within thirty (30) days after, the date
of such Asset Disposition;

(b)with respect to the issuance or incurrence of any Indebtedness by any Obligor
or any of its Subsidiaries, or the issuance by any Obligor or any of its
Subsidiaries of any Equity Interests (other than proceeds received upon the
exercise of  awards of Equity Interests of the Borrower issued to directors or
employees of Borrower), the aggregate amount of cash received (directly or
indirectly) from time to time (whether as initial consideration or through the
payment or disposition of deferred consideration) by or on behalf of such
Obligor or such Subsidiary in connection with such issuance or incurrence, after
deducting therefrom only (i) reasonable fees, commissions and expenses related
thereto and required to be paid by such Obligor or such Subsidiary in connection
with such issuance or incurrence, (ii) taxes paid or payable to any taxing
authorities by such Obligor or such Subsidiary in connection with such issuance
or incurrence, in each case to the extent, but only to the extent, that the
amounts so deducted are, at the time of receipt of such cash, actually paid or
payable to a Person that is not an Affiliate of any Obligor or any of its
Subsidiaries, and are properly attributable to such transaction; and 

(c)with respect to any Extraordinary Receipts received by any Obligor or any of
its Subsidiaries, the amount of cash proceeds received (directly or indirectly)
from time to time (whether as initial consideration or through the payment of
deferred consideration) by or on behalf of such Obligor or Subsidiary in
connection therewith after deducting therefrom only (i) the amount of any
Indebtedness secured by any Permitted Lien on any asset (other than the
Obligations) and which is required to be, and is, repaid in connection with such
Extraordinary Receipt; (ii) reasonable fees, commissions and expenses related
thereto and required to be paid by such Obligor or such Subsidiary in connection
with such Extraordinary Receipt; and (iii) taxes paid or payable to any taxing
authorities by such Obligor or such Subsidiary in connection with such
Extraordinary Receipt, in each case to the extent, but only to the extent, that
the amounts so deducted are, at the time of receipt of such cash proceeds,
actually paid or payable to a Person that is not an Affiliate of any Obligor or
any of its Subsidiaries, and are properly attributable to such transaction. 

Net Senior Leverage Ratio:  on any date, the ratio of (a) Senior Debt on such
date minus Unrestricted Cash, to (b) EBITDA for the period of four consecutive
Fiscal Quarters most recently ended on or prior to such date.

Non-Default PIK Interest: shall have the meaning set forth in the definition of
"Applicable Margin".

Notice of Borrowing:  a written notification substantially in the form of
Exhibit F.

Obligations:  all (a) principal of and premium, if any, on the Loans,
(b) interest, expenses, fees, indemnification obligations, Extraordinary
Expenses and other amounts payable by Obligors under Loan Documents, including
interest that accrues following the commencement of an Insolvency Proceeding or
which would accrue but for the commencement of such Insolvency Proceeding
(whether or not allowed in such proceeding), and (c) other Indebtedness,
obligations

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and liabilities of any kind owing by Obligors pursuant to the Loan Documents,
including obligations under the Secured Guarantee (as defined in the Guarantee
and Collateral Agreement), whether now existing or hereafter arising, whether
evidenced by a note or other writing, whether allowed in any Insolvency
Proceeding, whether arising from an extension of credit, issuance of a letter of
credit, acceptance, loan, guaranty, indemnification or otherwise, and whether
direct or indirect, absolute or contingent, due or to become due, primary or
secondary, or joint or several.

Obligor:  Borrower, each Guarantor, or each other Person that is liable for
payment of any Obligations or that has granted a Lien in favor of Agent on its
assets to secure any Obligations.

OFAC:  Office of Foreign Assets Control of the U.S. Treasury Department.

Ordinary Course of Business:  the ordinary course of business of Borrower or
Subsidiary, undertaken in good faith and consistent with Applicable Law and past
practices.

Organic Documents:  with respect to any Person, its charter, certificate or
articles of incorporation, bylaws, articles of organization, limited liability
agreement, operating agreement, members agreement, shareholders agreement,
partnership agreement, certificate of partnership, certificate of formation,
voting trust agreement, or similar agreement or instrument governing the
formation or operation of such Person.

OSHA:  the Occupational Safety and Hazard Act of 1970.

Other Connection Taxes:  Taxes imposed on a Recipient due to a present or former
connection between it and the taxing jurisdiction (other than connections
arising from the Recipient having executed, delivered, become party to,
performed obligations or received payments under, received or perfected a Lien
or engaged in any other transaction pursuant to, enforced, or sold or assigned
an interest in, any Loan or Loan Document).

Other Taxes:  all present or future stamp, court, documentary, intangible,
recording, filing or similar Taxes that arise from any payment made under, from
the execution, delivery, performance, enforcement or registration of, from the
receipt or perfection of a Lien under, or otherwise with respect to, any Loan
Document, except Other Connection Taxes imposed with respect to an assignment
(other than an assignment made pursuant to Section 3.9).

Outside Date:  January 31, 2020; provided, that, solely to the extent that,
prior to January 31, 2020, a Specified Unsecured Prepetition Debt Satisfaction
Event has occurred, the Outside Date shall mean March 31, 2020.

Participant:  as defined in Section 13.2.

Patriot Act:  the Uniting and Strengthening America by Providing Appropriate
Tools Required to Intercept and Obstruct Terrorism Act of 2001, Pub. L. No.
107-56, 115 Stat. 272 (2001).

Payment Account:  the account specified on the signature pages hereof into which
all payments by or on behalf of Borrower to Agent under this Agreement and the
other Loan

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Documents shall be made, or such other account as Agent shall from time to time
specify by notice to Borrower.

Payment Conditions:  with respect to the applicable <specified activity on any
date of determination>initial partial payment of Extended Prepetition Debt, (a)
no Default or Event of Default exists (other than the Specified Defaults (as
defined in the Fifth Amendment)) or would result from the specified activity<;>,
(b) <Specified >at least one Business Day prior to the date of such payment,
Agent has received an Acceptable Term Sheet, (c) Availability on the date of
such <determination>payment, before and after giving pro forma effect to such
<specified activity>payment, is greater than or equal to $<18,750,000; (c) the
average daily amount of Specified Availability for the 60-day period immediately
preceding such specified activity shall have been greater than or equal to
$18,750,000, calculated on a pro forma basis assuming such specified activity
occurred on the first day of such 60-day period; (d) immediately after giving
effect to the specified activity, Borrower shall be in compliance on a pro forma
basis with the financial covenants set forth in Section 10.3 hereof, recomputed
for the most recently ended month for which financial statements are required to
be delivered pursuant to Section 10.1.2 hereof; (e) immediately after giving
effect to the specified activity, the Net Senior Leverage Ratio calculated on a
pro forma basis for the four (4) consecutive Fiscal Quarters ending immediately
prior to such specified activity, recomputed for the most recently ended month
for which financial statements are required to be delivered pursuant to Section
10.1.2 hereof, shall not exceed the lesser of (i) 3.50 to 1.00 (or, at any time
after receipt of the financial statements delivered pursuant to clause (a) of
Section 10.1.2 with respect to the Fiscal Year ending December 30, 2017>, solely
to the extent that <EBITDA for the period of twelve (12) consecutive months most
recently ended on or >prior to the date of such <funding is at least
$50,000,000, 3.75 to 1.00), and (ii) 0.25 less than the maximum Net Senior
Leverage Ratio permitted pursuant to Section 10.3.2 for such Fiscal Quarter; and
(f>15,000,000 and (d) Borrower shall have delivered a certificate to Agent
certifying as to clauses (a)< through (e) above and setting forth projections
prepared in good faith demonstrating that Specified Availability shall be
greater than or equal to $18,750,000 for the greater of (i) the 90-day period
following such specified activity and (ii) the period following such specified
activity up to and including August 31 of such year (or the following year if
such specified activity occurs after August 31 of such year).>, (b) and (c).

Payment Item:  each check, draft or other item of payment payable to Borrower,
including those constituting proceeds of any Collateral.

Payment Notification:  a written notification substantially in the form of
Exhibit G.

PBGC:  the Pension Benefit Guaranty Corporation.

Pension Plan:  any employee pension benefit plan (as defined in Section 3(2) of
ERISA), other than a Multiemployer Plan, that is subject to Title IV of ERISA
and is sponsored or maintained by any Obligor or ERISA Affiliate or to which
such Obligor or ERISA Affiliate contributes or has an obligation to contribute,
or in the case of a multiple employer or other plan described in Section 4064(a)
of ERISA, has made contributions at any time during the preceding five (5) plan
years.

Perfection Certificate:  as defined in the Guarantee and Collateral Agreement.

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<Permitted Acquisition:  any Acquisition as long as (a) no Default or Event of
Default exists or is caused thereby; (b) the Acquisition is consensual and such
Acquisition and all transactions related thereto shall be consummated in
accordance with Applicable Law; (c) the assets, business or Person being
acquired is useful or engaged in the same or a similar line of business as
Borrower and its Subsidiaries and is located or organized within the United
States; (d) the assets, business or Person being acquired has EBITDA for the 12
month period most recently ended of no less than negative $3,000,000; provided
that EBITDA for purposes of this clause (d) shall be calculated after giving pro
forma effect to such Acquisition (including pro forma adjustments arising out of
events which are directly attributable to such Acquisition, are factually
supportable, and are expected to have a continuing impact, in each case to be
mutually and reasonably agreed upon by Borrower and Agent); (e) no Indebtedness
or Liens are assumed or incurred, other than Permitted Indebtedness and
Permitted Liens; provided that no Liens shall be permitted on acquired Inventory
or Accounts at the time of such Acquisition; (f) the Payment Conditions are
satisfied; (g) if, as a result of such Acquisition, a new Subsidiary is formed
or acquired, Obligors shall comply with all applicable provisions of Section
10.1.14; (h) Obligors shall take such actions as may be required or reasonably
requested to ensure that Agent, for the ratable benefit of the Lenders, has a
perfected security interest, to the extent contemplated >in the Guarantee and
Collateral Agreement <and with the priority contemplated in the Intercreditor
Agreement, in any assets acquired in such Acquisition and required to become
Collateral pursuant to Section 10.1.14 or any other Loan Document; and (i)
Borrower uses commercially reasonable efforts to deliver to Agent, at least ten
(10) >Business Days <prior to the Acquisition (but in any event >shall deliver
to Agent <within five (5) >Business Days prior to <the Acquisition), copies of
all material agreements relating thereto and >a certificate, in form and
substance satisfactory to Agent, <stating that the Acquisition is a "Permitted
Acquisition" and demonstrating compliance with the foregoing requirements.>

Permitted Asset Disposition:  as long as no Default or Event of Default (other
than the Specified Defaults) exists and all Net Proceeds are remitted to Agent
to the extent required by Section 2.3 or the other provisions of the Loan
Documents and subject to the terms of the Intercreditor Agreement, an Asset
Disposition that is

(a)dispositions or abandonments of damaged, worn-out, obsolete, unmerchantable
or surplus Equipment, in each case in the Ordinary Course of Business; 

(b)dispositions of Inventory in the Ordinary Course of Business; 

(c)dispositions of Cash Equivalents in the Ordinary Course of Business; 

(d)dispositions between and among Borrower and its Subsidiaries; provided that
<if the transferor in such a transaction is an Obligor, then either (x) >the
transferee must be an Obligor<, (y) the aggregate amount of all dispositions
made pursuant to this clause (d)(y) shall not exceed $2,500,000 in the aggregate
during the term of this Agreement, or (z) the portion of any such Disposition
made for less than fair market value and any non-cash consideration received in
exchange for such Disposition shall in each case constitute an Investment in
such Subsidiary and must be otherwise permitted hereunder;>; 

(e)dispositions solely among Subsidiaries that are not Obligors; 

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(f)the sale of services, or the termination of any contracts, in each case in
the Ordinary Course of Business; 

(g)the granting of Liens permitted by Section 10.2.2; 

(h)the sale or discount, in each case without recourse, of accounts receivable
arising in the Ordinary Course of Business and not included in the most recently
delivered Borrowing Base Certificate delivered hereunder, but only in connection
with the compromise or collection thereof; 

(i)any involuntary loss, damage or destruction of property, or any involuntary
condemnation, seizure or taking, by exercise of the power of eminent domain or
otherwise, or confiscation or requisition or use of property; 

(j)the leasing or subleasing of assets of Borrower or its Subsidiaries in the
Ordinary Course of Business; 

(k)the sale or issuance of Equity Interests (other than Disqualified Stock) of
Borrower not resulting in a Change of Control, so long as (i) such disposition
is made at fair market value, (ii) in any such disposition, <at least 90>100% of
the purchase price is paid in cash and (iii) the Net Cash Proceeds thereto are
applied against the Loan in accordance with Section 2.3.3.  

(l)(i) the lapse of registered patents, trademarks, copyrights and other
Intellectual Property of Borrower and its Subsidiaries to the extent not
economically desirable in the conduct of their business or (ii) the abandonment
of patents, trademarks, copyrights, or other Intellectual Property in the
Ordinary Course of Business so long as (in each case under clauses (i) and
(ii)), (x) with respect to copyrights, such copyrights are not material revenue
generating copyrights, and (y) such lapse is not materially adverse to the
interests of the Secured Parties hereunder; 

(m)the making of Distributions that are expressly permitted to be made pursuant
to Section 10.2.4 of this Agreement; 

(n)dispositions constituting Investments to the extent permitted under Section
10.2.5; 

(o)dispositions constituting the licensing or cross-licensing, in any case, on a
non-exclusive basis, of Intellectual Property rights in the Ordinary Course of
Business; 

(p)[reserved]; 

(q)[reserved];   

<(p) sale leaseback transactions with respect to property having a fair market
value not to exceed $5,000,000 in the aggregate during the term of this
Agreement;>

(q) <a Specified Asset Disposition >so long as (i) <the Payment Conditions are
satisfied, (ii) the Net Senior Leverage Ratio calculated immediately after such
disposition is not

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greater than the Net Senior Leverage Ratio calculated immediately prior to such
disposition, and (iii) any proceeds of such disposition constituting Term
Priority Collateral are used to prepay the Loans;>

(r)as otherwise approved in writing by Agent and the Required Lenders; and 

(s)<Asset Dispositions in each Fiscal Year during the term of this Agreement in
an amount of up to $250,000, but not to exceed $750,000 in the aggregate during
the term of this Agreement>[reserved]; 

provided that in any Asset Disposition permitted under clauses (a) through (v)
(other than under clauses (d), (e), (i), (l), (m), (n)<,> and (o<) and (p>))
above, Borrower receives fair market value (as determined by Borrower in good
faith) and <at least 75>100% of the proceeds consist of cash or Cash
Equivalents.

Permitted Contingent Obligations:  Contingent Obligations (a) arising from
endorsements of Payment Items for collection or deposit in the Ordinary Course
of Business; (b) arising from Hedging Agreements permitted hereunder;
(c) existing on the Closing Date and set forth in Schedule 10.2.1, and any
extension or renewal thereof that does not increase the amount of such
Contingent Obligation when extended or renewed; (d) incurred in the Ordinary
Course of Business with respect to surety, appeal or performance bonds, or other
similar obligations; (e) arising from customary indemnification obligations in
favor of purchasers in connection with dispositions permitted hereunder;
(f) arising under the Loan Documents or the Revolving Loan Facility; or (g) in
an aggregate amount of $<2,500,000>1,000,000 or less at any time.

Permitted Indebtedness:  as defined in Section 10.2.1.

Permitted Initial Payment:  a payment in respect of Extended Prepetition Debt to
the extent permitted under Section 10.2.8(b)(x).

Permitted Lien:  as defined in Section 10.2.2.

Permitted Purchase Money Debt:  Purchase Money Debt of Borrower and its
Subsidiaries that is unsecured or secured only by a Purchase Money Lien, as long
as the aggregate amount together with all Capital Lease Obligations does not
exceed $<2,000,000>1,000,000 at any time and its incurrence does not violate
Section 10.2.3.

Permitted Surety Bonds:  unsecured guarantees and reimbursement obligations
incurred in the Ordinary Course of Business with respect to surety and appeal
bond, performance bonds, bid bonds, appeal bonds, completion guarantee and
similar obligations.

Person:  any individual, corporation, limited liability company, partnership,
joint venture, association, trust, unincorporated organization, Governmental
Authority or other entity.

PIK Interest: shall have the meaning set forth in the definition of <"Applicable
Margin">Non-Default PIK Interest and Default PIK Interest.

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<PIK Interest Rate:  the applicable rate per annum corresponding to the
applicable Net Senior Leverage Ratio, all as set forth in the following table:>

Net Senior Leverage Ratio

PIK Interest Rate

> 5.00x

2.00%

> 4.25x, but < 5.00x

1.00%

<4.25x

0.00%

 

<The >PIK Interest Rate< shall be adjusted quarterly, >to the extent
applicable<, as of the first Business Day of the month following the date on
which financial statements are required to be delivered pursuant to Section
10.1.2 hereof (including with respect to the last Fiscal Quarter of each Fiscal
Year) after the end of each related Fiscal Quarter based on the Net Senior
Leverage Ratio as of the last day of such Fiscal Quarter.  Notwithstanding the
foregoing, during the >period commencing on <the Third Amendment Effective Date
and ending on the first Business Day of the month following the date on which
financial statements for the Fiscal Quarter ending March 30, 2019 have been
delivered >in accordance with Section 10.1.2(<b) hereof, the PIK Interest Rate
shall be 1.00%.>:  2.00% per annum.

Plan:  any employee benefit plan (as defined in Section 3(3) of ERISA)
established by an Obligor or, with respect to any such plan that is subject to
Section 412 of the Code or Title IV of ERISA, an ERISA Affiliate.

Plan of Reorganization:  the Debtors' Second Amended Joint Plan of
Reorganization under Chapter 11 of the Bankruptcy Code, as filed with the
Bankruptcy Court on May 23, 2013.

Platform:  as defined in Section 14.3.3.

Prime Rate:  for any period, the greatest of (a) 3.00% per annum, (b) the
Federal Funds Rate plus 0.50% per annum, (c) the LIBOR Rate (which rate shall be
calculated based upon an Interest Period of one (1) month and shall be
determined on a daily basis) plus 1.00% per annum, and (d) the rate last quoted
by The Wall Street Journal as the "Prime Rate" in the United States or, if The
Wall Street Journal ceases to quote such rate, the highest per annum interest
rate published by the Federal Reserve Board in Federal Reserve Statistical
Release H.15 (519) (Selected Interest Rates) as the "bank prime loan" rate or,
if such rate is no longer quoted therein, any similar rate quoted therein (as
determined by Agent) or any similar release by the Federal Reserve Board (as
determined by Agent).  Each change in the Reference Rate shall be effective from
and including the date such change is publicly announced as being effective.

Prime Rate Loans:  shall mean the Loans which accrue interest by reference to
the Prime Rate, in accordance with the terms of this Agreement.

Properly Contested:  with respect to any obligation of an Obligor, (a) the
obligation is subject to a bona fide dispute regarding amount or such Obligor's
liability to pay; (b) the obligation is being properly contested in good faith
by appropriate proceedings promptly instituted and diligently pursued;
(c) appropriate reserves have been established in accordance with GAAP;
(d) non-payment during such contest could not have a Material Adverse Effect,
nor result in forfeiture or sale of any material assets of such Obligor; (e) no
Lien, other than any Permitted Lien,

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is imposed on assets of such Obligor, unless bonded and stayed to the reasonable
satisfaction of Agent in its discretion; and (f) if the obligation results from
entry of a judgment or other order, such judgment or order is stayed pending
appeal or other judicial review.

Property:  any interest in any kind of property or asset, whether real, personal
or mixed, or tangible or intangible.

Proposal Letter:  the proposal letter, dated as of March 3, 2017, between Agent
and Borrower.

Protective Advances:  shall have the meaning set forth in Clause (e) of Section
2.1.1 hereof.

Purchase Money Debt:  (a) Indebtedness (other than the Obligations) for payment
of any of the purchase price of the acquisition, construction or improvement of
any fixed or capital assets; (b) Indebtedness (other than the Obligations)
incurred within ninety (90) days before or after the acquisition or completion
of such construction or improvement of any fixed assets or capital assets, for
the purpose of financing any of the purchase price thereof; and (c) any
renewals, extensions or refinancings (but not increases) thereof.

Purchase Money Lien:  a Lien that secures Purchase Money Debt, encumbering only
the fixed assets acquired with such Indebtedness and constituting a Capital
Lease or a purchase money security interest under the UCC.

Qualified Investment Banker Engagement:  the engagement and retention by the
Obligors of an investment banker satisfactory to Agent, at Obligors' sole cost
and expense and on terms and conditions satisfactory to Agent, for purposes of
preparing, marketing, and consummating an Acceptable Transaction, the
consummation of each of which shall be subject to the terms and provisions of
this Agreement and the other Loan Documents. For the avoidance of doubt, the
engagement of Houlihan Lokey Capital, Inc. by the Obligors in accordance with
the terms of the HL Engagement Letter as in effect as of the Fifth Amendment
Effective Date constitutes a Qualified Investment Banker Engagement.

Quality of Earnings Report:  shall have the meaning set forth in Section 6.1(o)
hereof.

RCRA:  the Resource Conservation and Recovery Act (42 U.S.C. §§ 6991-6991i).

Real Estate:  all right, title and interest (whether as owner, lessor or lessee)
in any land and/or any buildings, structures, parking areas or other
improvements thereon together with any related real Property interests related
thereto.

Reasonable Credit Judgment:  Agent's commercially reasonable credit judgment
(from the perspective of a secured, term loan lender) exercised, in good faith.

Recipient:  Agent, any Lender or any other recipient of a payment to be made by
an Obligor under a Loan Document or on account of an Obligation.

Refinancing Conditions:  the following conditions for Refinancing Debt:  (a) it
is in an aggregate principal amount that, together with the undrawn commitments
therefor, does not exceed

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the sum of the principal amount of the Indebtedness and the undrawn commitments
therefor, in each case being extended, renewed or refinanced (solely for
purposes of this definition, "Refinanced Debt") plus accrued interest (including
any interest paid in kind), fees and premiums (if any) thereon and reasonable
fees and expenses associated with the refinancing; (b) the Refinanced Debt shall
be repaid, defeased or satisfied and discharged on a dollar-for-dollar basis (or
such lesser basis that results in repayment in full of such Refinanced Debt),
and all accrued interest, fees and premiums (if any) in connection therewith
shall be paid, substantially concurrently with such refinancing; (c) it has a
final maturity no sooner than, a weighted average life no less than, and an
interest rate no greater than, the Refinanced Debt; (d) if it is secured, the
terms and conditions relating to collateral for such Indebtedness, taken as a
whole, shall be no more favorable to the investors providing such Indebtedness
than the terms and conditions with respect to the collateral for the Refinanced
Debt (and the Liens on any collateral securing such Indebtedness shall have the
same (or lesser) priority as the Refinanced Debt relative to the Liens on the
Collateral securing the Obligations) and if such Refinancing Debt is secured by
the Collateral, it shall be subject to the Intercreditor Agreement; (e) it is
subordinated to the Obligations at least to the same extent as the Indebtedness
being extended, renewed or refinanced; (f) such Refinancing Debt shall be
otherwise on terms and conditions (other than interest, fees, premiums, funding
discounts, optional prepayment provisions, guarantees, collateral and
subordination) that are, taken as a whole, in the reasonable good faith
determination of Borrower, not materially less favorable to Borrower than those
applicable to the Refinanced Debt; (g) no additional Lien is granted to secure
it; (h) no additional Person is obligated on such Indebtedness; and (i) upon
giving effect to it, no Default or Event of Default exists.

Refinancing Debt:  Borrowed Money or any commitment to extend credit that is the
result of an extension, renewal or refinancing of Indebtedness permitted under
Section 10.2.1(b), or (d<) or (f>) or any commitment to extend credit in
connection with the foregoing; provided, however, that under no circumstances
shall Specified Unsecured Prepetition Debt (including Extended Prepetition Debt)
constitute Refinancing Debt.

Register:  shall have the meaning set forth in Section 2.2.2 hereof.

Related Real Estate Documents:  with respect to any Real Estate subject to a
Mortgage, the following, in form and substance satisfactory to Agent and
received by Agent for review at least fifteen (15) days prior to the effective
date of the Mortgage:  (a) a mortgagee title policy (or binder therefor)
covering Agent's interest under the Mortgage, by an insurer acceptable to Agent
which must be fully paid on such effective date and which will be in an amount
satisfactory to Agent; (b) a survey of the Real Estate, in form and substance
reasonably satisfactory to Agent, certified by a licensed surveyor acceptable to
Agent; (c) a life-of-loan flood hazard determination and, if the Real Estate is
located in a special flood hazard area, an acknowledged notice to Borrower and
flood insurance by an insurer acceptable to Agent; (d) if requested by Agent, an
appraisal complying with the requirements of the Financial Institutions Reform,
Recovery and Enforcement Act of 1989, by a third-party appraiser acceptable to
Agent, and in form and substance satisfactory to Required Lenders; (e) upon the
reasonable request of Agent, Phase I environmental assessments ("Phase Is"),
prepared by environmental engineers reasonably acceptable to Agent, (f) such
other reports, certificates, studies or data as Agent may reasonably require,
all in form and substance satisfactory to Required Lenders; and (g) such other
documents, instruments or agreements as Agent may reasonably require with
respect to any environmental risks regarding the Real Estate.

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Relevant Governmental Body: the Federal Reserve Board and/or the Federal Reserve
Bank of New York, or a committee officially endorsed or convened by the Federal
Reserve Board and/or the Federal Reserve Bank of New York for the purpose of
recommending a benchmark rate to replace the LIBOR Rate in loan agreements
similar to this Agreement.

Replacement Lender:  shall have the meaning set forth in Section 3.9 hereof.

Report:  as defined in Section 12.2.3.

Reportable Event:  any of the events set forth in Section 4043(c) of ERISA,
other than events for which the 30 day notice period has been waived.

Required Lenders:  Lenders holding at least 51% of the sum of the outstanding
principal balance of the Term Loan.

Reserve Percentage:  on any day, for any Lender, the maximum percentage
prescribed by the Board of Governors of the Federal Reserve System (or any
successor thereto) for determining the reserve requirements (including any
basic, supplemental, marginal, or emergency reserves) that are in effect on such
date with respect to eurocurrency funding (currently referred to as
"eurocurrency liabilities") of that Lender, but so long as such Lender is not
required or directed under applicable regulations to maintain such reserves, the
Reserve Percentage shall be zero.

Restricted Investment:  any Investment by Borrower or any Subsidiary, other than

(a)Investments existing on the Closing Date and set forth on Schedule 10.2.5; 

(b)Investments in Cash Equivalents made in the Ordinary Course of Business; 

(c)Investments in Borrower or any Subsidiary that is an Obligor, provided that
(i) any such Investments in the form of loans and advances made by an Obligor
shall be permitted so long as no Default or Event of Default exists or would
result therefrom and shall be evidenced by a promissory note pledged to Agent
(or its agent, designee or bailee) for the ratable benefit of the Lenders
pursuant to the Guarantee and Collateral Agreement<,> and (ii) any such
Investments in the form of Equity Interests held by an Obligor shall be pledged
pursuant to the Guarantee and Collateral Agreement (subject to any limitations
applicable to voting stock of a Foreign Subsidiary <referred to>set forth
therein)< and (iii) the aggregate amount of such Investments made from the
Closing Date by Obligors in Subsidiaries that are not Obligors shall not exceed
$2,500,000>; 

(d)Investments received in connection with the bankruptcy or reorganization of,
or settlement of delinquent accounts and disputes with, customers and suppliers,
in each case in the Ordinary Course of Business; 

(e)<loans made by Borrower and its Subsidiaries in the Ordinary Course of
Business in accordance with their usual practice to their respective employees
so long as the aggregate principal amount thereof at any time outstanding
(determined without regard to any write-down or write-offs of such loans and
advances) shall not exceed $1,000,000;>[reserved]; 

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(f)Hedging Agreements entered into by Borrower and its Subsidiaries that are
entered into in the Ordinary Course of Business and not for speculative
purposes; 

(g)to the extent constituting an Investment, Capital Expenditures not prohibited
hereunder; 

(h)<Investments consisting of the non-cash portion of the sales price received
for Permitted Asset Dispositions>[reserved]; 

(i)lease, utility and other deposits or advances in the Ordinary Course of
Business; 

(j)cash earnest money deposits made in connection with <Permitted Acquisitions
or other >acquisitions of assets permitted hereunder; 

(k)Investments in the Ordinary Course of Business consisting of endorsements for
collection or deposit; 

(l)Investments of any Person existing at the time such Person becomes a
Subsidiary, or consolidates, amalgamates or merges with Borrower or a Subsidiary
<(including in connection with a Permitted Acquisition) >(but excluding
Investments in Subsidiaries which must be otherwise permitted by this definition
of "Restricted Investments") so long as such Investments were not made in
contemplation of such Person becoming a Subsidiary or of such consolidation,
amalgamation or merger and such Person becoming a Subsidiary or such
consolidation, amalgamation or merger, applicable, is otherwise permitted under
this Agreement; 

(m)<Investments of Net Proceeds of a Permitted Asset Disposition in accordance
with the reinvestment rights set forth in Section 2.3.1>[reserved]; 

(n)Extensions of trade credit in the Ordinary Course of Business; 

(o)<Investments constituting Permitted Acquisitions; provided that the aggregate
consideration paid in Permitted Acquisitions to acquire a Person that will not
be an Obligor following the acquisition thereof, or to acquire property or
assets that will not be owned by an Obligor (each, a "Non-Obligor Permitted
Acquisition") shall not exceed, at the time of any such acquisition, together
with the aggregate consideration paid in all Non-Obligor Permitted Acquisitions
effected prior to such time, $1,000,000;>[reserved]; 

(p)to the extent constituting Investments, Permitted Contingent Obligations;
and 

<(q) other Investments not included in the preceding clauses; provided that (x)
the aggregate amount of such Investments together with the aggregate
consideration paid in all Non-Obligor Permitted Acquisitions effected prior to
such time, shall not exceed $5,000,000 and (y) Investments permitted pursuant to
this clause (q) shall not include Acquisitions and Permitted Acquisitions (other
than Non-Obligor Permitted Acquisitions) otherwise permitted hereunder, which
shall only be permitted in compliance with clause (o) above.>

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(q)[reserved]; 

provided, however, notwithstanding anything to the contrary in this definition,
(i) neither the Borrower nor any other Obligor may make any Investment in any
Subsidiary that is not an Obligor and (ii) neither the Borrower nor any other
Obligor may consummate any Acquisition.

Restrictive Agreement:  an agreement (other than a Loan Document) that
conditions or restricts the right of Borrower, any Subsidiary or any other
Obligor to incur or repay Borrowed Money, to grant Liens on any assets, to
declare or make Distributions, to modify, extend or renew any agreement
evidencing Borrowed Money, or to repay any intercompany Indebtedness.

Revolving Loan Agent: the "Agent" as defined in the Revolving Loan Agreement.

Revolving Loan Agreement:  that certain Loan Agreement dated as of the Revolving
Loan Agreement Closing Date by and among Revolving Loan Agent, the Revolving
Loan Lenders and the Obligors, as amended, restated or otherwise modified from
time to time to the extent not prohibited by the Intercreditor Agreement,
including without limitation, as amended by the Closing Date Revolving Loan
Agreement Amendment.

Revolving Loan Agreement Closing Date:  June 11, 2013.

Revolving Loan Commitments: "Commitments" as defined in the Revolving Loan
Agreement.

Revolving Loan Documents:  "ABL Documents" as defined in the Intercreditor
Agreement.

Revolving Loan Facility:  (i) the Revolving Loan Agreement and (ii) any
refinancing thereof as long as each Refinancing Condition is satisfied, in each
case to the extent permitted by this Agreement and the Intercreditor Agreement.

Revolving Loan Lenders:  the financial institutions from time to time party to
the Revolving Loan Agreement as lenders.

Revolving Loan Obligations:  "Obligations" (or any such similar term) (as
defined in the Revolving Loan Agreement).

Revolving Loans:  shall mean "Loans" as defined in the Revolving Loan Agreement.

Royalties:  all royalties, fees, expense reimbursement and other amounts payable
by an Obligor under a License.

S&P:  Standard & Poor's Financial Services LLC, a subsidiary of The McGraw-Hill
Companies, Inc. and any successor thereto.

Sanction:  any international economic sanction administered or enforced by the
United States Government (including OFAC), the United Nations Security Council,
the European Union, Her Majesty's Treasury or other relevant sanctions
authority.

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Scheduled Term Loan Installment Payments:  shall have the meaning set forth in
Section 2.1.2 hereof.

Second Amendment Effective Date:  September 29, 2018.

Secured Parties:  Agent and Lenders.

Securities Account Control Agreement:  the Securities Account control agreements
to be executed by the relevant Obligor and each institution maintaining a
Securities Account for Borrower or an Obligor, in favor of Agent, as security
for the Obligations, in the form required and to the extent required under
Section 8.5.

Security Documents:  the Guarantee and Collateral Agreement, each Security
Agreement Supplement (as defined in the Guarantee and Collateral Agreement),
Mortgages, IP Assignments, Deposit Account Control Agreements, Securities
Account Control Agreements and all other documents, instruments and agreements
now or hereafter securing (or given with the intent to secure) any Obligations.

Senior Debt:  as of any date of determination, Borrowed Money of Borrower and
its Subsidiaries as of such date, other than Subordinated Debt; provided that
for the avoidance of doubt, Senior Debt shall include (x) Indebtedness under the
Revolving Loan Facility and (y) any Indebtedness the final maturity date of
which is earlier than the Maturity Date other than Specified Unsecured
Prepetition Debt; provided, further that reimbursement obligations with respect
to Permitted Surety Bonds shall not constitute Senior Debt; provided further,
that for purposes of determining Senior Debt, as of any date of determination,
Indebtedness under the Revolving Loan Agreement shall be deemed to be the
average daily amount of such Indebtedness for the 365-day period immediately
preceding such date; provided further, that for purposes of determining Senior
Debt with respect to any testing period that includes the month that any portion
of the Specified Unsecured Prepetition Debt is paid, if such payment is financed
with proceeds of Revolving Loans, average indebtedness under the Revolving Loan
Agreement will be calculated after giving pro forma effect (as if such payment
(and the incurrence of Revolving Loans in connection therewith) was made of the
first day of such testing period) to the amount of such payment of the Specified
Unsecured Prepetition Debt (and the incurrence of Revolving Loans in connection
therewith).

Senior Officer:  the president, chief executive officer, chief accounting
officer, chief operating officer or chief financial officer of Borrower or, if
the context requires, an Obligor.

SOFR: with respect to any day means the secured overnight financing rate
published for such day by the Federal Reserve Bank of New York, as the
administrator of the benchmark (or a successor administrator) on the Federal
Reserve Bank of New York’s website (or any successor source) and, in each case,
that has been selected or recommended by the Relevant Governmental Body.

SOFR-Based Rate: SOFR or Term SOFR.

Solvent:  as to any Person, such Person (a) owns Property whose fair salable
value is greater than the amount required to pay all of its debts (including
contingent, subordinated, unmatured and unliquidated liabilities); (b) owns
Property whose present fair salable value (as defined below)

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is greater than the probable total liabilities (including contingent,
subordinated, unmatured and unliquidated liabilities) of such Person as they
become absolute and matured; (c) is able to pay all of its debts as they mature;
(d) has capital that is not unreasonably small for its business and is
sufficient to carry on its business and transactions and all business and
transactions in which it is about to engage; (e) is not "insolvent" within the
meaning of Section 101(32) of the Bankruptcy Code; and (f) has not incurred (by
way of assumption or otherwise) any obligations or liabilities (contingent or
otherwise) under any Loan Documents, or made any conveyance in connection
therewith, with actual intent to hinder, delay or defraud either present or
future creditors of such Person or any of its Affiliates.  "Fair salable value"
means the amount that could be obtained for assets within a reasonable time,
either through collection or through sale under ordinary selling conditions by a
capable and diligent seller to an interested buyer who is willing (but under no
compulsion) to purchase.

Specified Availability:  shall mean "Availability" (as defined in the Revolving
Loan Agreement as in effect on the Fifth Amendment Effective Date and as amended
or modified with the consent of Agent), calculated without giving effect to the
"Availability Block" (as defined in the Revolving Loan Agreement as in effect on
the Fifth Amendment Effective Date).

Specified <Asset Dispositions>Covenants:  the <Asset Dispositions>covenants set
forth <on Schedule 1.1(c)>in Section 10.1.19.

Specified <Availability>Transaction:  shall have the meaning <provided for in
the Revolving Loan Agreement>set forth in Section 10.1.19(a).

<Specified Default:  the failure of any Obligor to comply with the terms of
Section 8.2.5, 8.5 or 10.1.1, the failure of Borrower to deliver financial
statements when required pursuant to Section 10.1.2, or the occurrence of any
Default specified in Sections 11.1(a), 11.1(i) or 11.1(j).>

Specified Unsecured Prepetition Debt:  any payment or distribution in respect of
the Allowed General Unsecured Claims or Allowed Trade Unsecured Claims (as such
terms are defined in the Plan of Reorganization) that is made in accordance with
Sections IV.E, IV.F and V.I of the Plan of Reorganization in an aggregate amount
not to exceed the sum of (x) $24,500,000 and (y) the amount of accrued and
unpaid interest thereon.  

Specified Unsecured Prepetition Debt Satisfaction Event:  (a) Borrower has
obtained an amendment, supplement, agreement or other modification relating to
the Specified Unsecured Prepetition Debt, in form and substance satisfactory to
Agent and the Required Lenders, pursuant to which at least $23,000,000 of the
Specified Unsecured Prepetition Debt is converted to Extended Prepetition Debt,
(b) such Extended Prepetition Debt is secured (if at all) by a "silent third"
Lien on the Term Priority Collateral pursuant to documentation in form and
substance satisfactory to Agent following the Third Lien Effective Date and (c)
such Extended Prepetition Debt and Lien are subject to a subordination agreement
in form and substance satisfactory to Agent.

Subordinated Debt:  (a) Extended Prepetition Debt to the extent secured by a
Lien permitted under Section 10.2.2(t) and (b) any other Indebtedness incurred
by an Obligor that is expressly subordinate and junior in right of payment to
Full Payment of all Obligations, and is on

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terms (including maturity, interest, fees, repayment, covenants and
subordination) reasonably satisfactory to Agent.

Subsidiary:  with respect to any Person (herein referred to as the "parent"),
any corporation, partnership, limited liability company, association or other
business entity (a) of which securities or other ownership interests
representing more than 50% of the equity or more than 50% of the ordinary voting
power or more than 50% of the general partnership interests are, at the time any
determination is being made, owned, controlled or held; or (b) that is, at the
time any determination is made, otherwise controlled, by the parent or one or
more subsidiaries of the parent or by the parent and one or more subsidiaries of
the parent.  Unless otherwise qualified, all references to a "Subsidiary" or to
"Subsidiaries" in this Agreement shall refer to a Subsidiary or Subsidiaries of
Borrower or of an Obligor, as the context may require.

Subsidiary Guarantors:  each Subsidiary of Borrower listed on Schedule 1.1(d)
and each other Subsidiary of Borrower that shall be required to execute and
deliver or become party to a Guaranty pursuant to Section 10.1.14.

Taxes:  all present or future taxes, levies, imposts, duties, deductions,
withholdings (including backup withholding), assessments, fees or other charges
imposed by any Governmental Authority, including any interest, additions to tax
or penalties applicable thereto.

TCW Indemnitees:  TCW and its officers, directors, employees, Affiliates, agents
and attorneys.

TCW:  TCW Asset Management Company LLC and its officers, directors, employees,
Affiliates, agents and attorneys.

Term A Loan:  shall have the meaning set forth in Clause (a) of Section 2.1.1
hereof.

Term A Loan Commitment Percentage:  as to any Lender, (i) on the Closing Date,
the percentage set forth opposite such Lender's name on Schedule 1.1(a) hereto
under the column "Term A Loan Commitment Percentage" (if such Lender's name is
not so set forth thereon, then, on the Closing Date, such percentage for such
Lender shall be deemed to be zero) and (ii) on any date following the Closing
Date, the percentage equal to the principal amount of the Term A Loan held by
such Lender on such date divided by the aggregate principal amount of Term A
Loan on such date.

Term Loan:  shall have the meaning set forth in Clause (b) of Section 2.1.1
hereof.

Term Loan Commitment Percentage:  as to any Lender, the percentage equal to the
principal amount of the Term Loan held by such Lender on such date divided by
the aggregate principal amount of Term Loan on such date.

Term Priority Collateral:  shall have the meaning given to such term in the
Intercreditor Agreement.

Term Priority Collateral Account:  the "Term Priority Collateral Account" as
defined in the Intercreditor Agreement.

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Term SOFR: the forward-looking term rate for any period that is approximately
(as determined by the Agent) as long as any of the Interest Period options set
forth in the definition of "Interest Period" and that is based on SOFR and that
has been selected or recommended by the Relevant Governmental Body, in each case
as published on an  information service as selected by the Agent from time to
time in its reasonable discretion.

Third Amendment:  that certain Third Amendment to Loan Agreement, with an
effective date as of the Third Amendment Effective Date, among Borrower, the
Guarantors party thereto, Agent and the Lenders party thereto.

Third Amendment Effective Date:  December 29, 2018.

Third Lien Agent: the Person designated as agent or administrative agent and
collateral agent pursuant to the Third Lien Intercreditor Agreement and the
Third Lien Documents and its permitted successors and assigns, or any other
Person designated as agent or administrative agent and collateral agent pursuant
to the Third Lien Intercreditor Agreement and the Third Lien Documents.

Third Lien Documents: the Third Lien Security Agreement, the Third Lien
Intercreditor Agreement and the Extended Prepetition Debt Letter Agreements and
any subordination agreements executed in connection therewith with the consent
of the Agent.

Third Lien Effective Date: the date on which each of the following conditions
has been satisfied or waived by the Agent and Required Lenders: (w) Agent has
received an Acceptable Term Sheet, (x) at least $17,600,000 of the Specified
Unsecured Prepetition Debt has been converted to Extended Prepetition Debt
before the Outside Date, (y) such Liens are evidenced by documentation in form
and substance satisfactory to Agent and (z) as such Extended Prepetition Debt
and Liens are subject to a subordination agreement in form and substance
satisfactory to Agent.

Third Lien Intercreditor Agreement: the Third Lien Intercreditor Agreement,
dated as of the Third Lien Effective Date, among Obligors, Revolving Loan Agent,
Agent and Third Lien Agent.

Third Lien Security Agreement: the "Security Agreement", dated as of the Third
Lien Effective Date, by and among Third Lien Agent, and the Obligors party
thereto.

Transactions:  collectively, (a) the execution, delivery and performance by
Obligors of this Agreement and the other Loan Documents to which they are a
party, the borrowing of Loans and the use of the proceeds thereof and (b) the
consummation of the Revolving Loan Facility Amendment, in each case on or before
the Closing Date.

Transferee:  any actual or potential Eligible Assignee, Participant or other
Person acquiring an interest in any Obligations.

Transferring Subsidiary:  as defined in Section 10.2.9.

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UCC:  the Uniform Commercial Code as in effect in the State of New York or, when
the laws of any other jurisdiction govern the perfection or enforcement of any
Lien, the Uniform Commercial Code of such jurisdiction.

Unadjusted EBITDA:  with respect to Borrower and its Subsidiaries on a
consolidated basis for any period, the Consolidated Net Income of Borrower and
its Subsidiaries for such period, plus the sum of (in each case without
duplication and to the extent the respective amounts described in subclauses (a)
through (e) of this definition reduced such Consolidated Net Income (and were
not excluded therefrom or added thereto) for the respective period for which
Unadjusted EBITDA is being determined):

(e)provision for taxes based on income, profits or capital of Borrower and its
Subsidiaries for such period, including, without limitation, state, franchise
and similar taxes; 

(f)interest expense (and to the extent not included in interest expense, (i) all
cash dividend payments (excluding items eliminated in consolidation) on any
series of preferred stock or disqualified stock and (ii) costs of surety bonds
in connection with financing activities) of Borrower and its Subsidiaries for
such period;  

(g)depreciation and amortization expenses of Borrower and its Subsidiaries for
such period including the amortization of intangible assets, deferred financing
fees and capitalized software expenditures and amortization of unrecognized
prior service costs; 

(h)any non-cash impairment charges arising from the wind down of the Agendas
business; and  

(i)the amount of actual professional fees, expenses and retainers of the Lenders
of the type set forth in the line item of the Budget titled
"Restructuring-related professional fees" for such period; 

provided, that, notwithstanding anything to the contrary contained herein, for
each of the calendar months set forth below, Unadjusted EBITDA shall be deemed
to be the amount set forth below opposite such month:

Calendar Month

Unadjusted EBITDA

November 2018

($4,689,400.48)

December 2018

($16,884,528.52)

January 2019

($4,969,092.72)

February 2019

($5,361,086.42)

March 2019

($3,010,561.79)

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April 2019

$209,373.32

May 2019

$3,530,548.33

June 2019

$5,979,042.09

July 2019

$14,166,053.21

August 2019

$15,154,923.94

September 2019

($193,217.08)

October 2019

($972,567.00)

 

Unfunded Pension Liability:  the excess of a Pension Plan's benefit liabilities
under Section 4001(a)(16) of ERISA, over the current value of that Pension
Plan's assets, determined in accordance with the assumptions used for funding
the Pension Plan pursuant to the Code, ERISA or the Pension Protection Act of
2006 for the applicable plan year.

Unrestricted Cash:  cash or Cash Equivalents of Borrower or any Subsidiaries
that would not appear as "restricted" on a consolidated balance sheet of
Borrower or any Subsidiaries and are not subject to Liens other than Liens
arising by operation of law and Liens securing the Obligations and the Revolving
Loan Obligations, not to exceed $5,000,000; provided that Unrestricted Cash
shall be deemed to be $0 unless, for the thirty (30) days preceding and the
thirty (30) days following any date of determination, there have not been, and
there will not be, any borrowings of Revolving Loans and Borrower has had such
cash or Cash Equivalents for the preceding 30-day period.

Upstream Payment:

(a)any Subsidiary of Borrower may declare and pay dividends or make other
distributions to Borrower or any other Obligor< and any Subsidiary of Borrower
that is not an Obligor may declare and pay dividends or make other distributions
to any other Subsidiary of Borrower that is not an Obligor>; 

(b)[reserved]; 

(c)[reserved]; and  

(d)[reserved]. 

<(b) so long as no Default or Event of Default shall have occurred and be
continuing or would result therefrom, Borrower may repurchase its Equity
Interests owned by directors or employees of Borrower or any Subsidiary or make
payments to directors or employees of Borrower or any Subsidiary upon
termination of employment or position as a director in connection with the
exercise of stock options, stock appreciation rights or similar equity
incentives

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or equity based incentives pursuant to management incentive plans or in
connection with the death or disability of such directors or employees in an
aggregate amount not to exceed $2,000,000 in any Fiscal Year;>

<(c) so long as both immediately before and immediately after giving effect
thereto the Payment Conditions are satisfied, any other Distribution to the
extent financed with proceeds from Delayed Draw Term Loans; and >

(d) <commencing with the Fiscal Year ending December 29, 2018, on any date
following the date on which Agent has received a prepayment pursuant to Section
2.3.4 hereof arising from Excess Cash Flow for the immediately preceding Fiscal
Year, any other Distribution >so long as <both immediately before and
immediately after giving effect thereto (i) >the Payment Conditions are
satisfied and (<ii) the amount of all such Distributions in any Fiscal Year does
not exceed 50% of Excess Cash Flow for the immediately preceding Fiscal Year.>

U.S. Person:  any Person (a) (i) that is not disregarded as separate from its
owner for U.S. federal income tax purposes and (ii) that is a "United States
Person" as defined in Section 7701(a)(30) of the Code; or (b) (i) that is
disregarded as separate from its owner for U.S. federal income tax purposes and
(ii) whose regarded owner for U.S. federal income tax purposes is a "United
States Person" as defined in Section 7701(a)(30) of the Code.

U.S. Tax Compliance Certificate:  as defined in Section 5.2.2(b)(iii).

Variance Report:  a detailed weekly variance report, in form and substance
satisfactory to Agent, prepared by the Obligors' management and certified by the
chief financial officer of Borrower, provided to Agent in accordance with
Section 10.1.2(l), that includes, among other things: (a) with respect to
Obligors and their Subsidiaries for the four-week period ended on the
immediately preceding Friday: (i) the actual cash receipts, (ii) the actual cash
disbursements, (iii) the actual net cash flow, (iv) the actual bookings and
billings, (v) the actual professional fees, expenses and retainers incurred and
(vi) the actual outstanding Revolving Loans and the actual Specified
Availability and (b) a reconciliation of Obligors' and their Subsidiaries'
actual performance for the two week period ending on the immediately preceding
Friday (or the four-week period ending on the immediately preceding Friday with
respect to the disbursements and professional fees, expenses and retainers
described in Sections 10.3.5(d) and (e) and bookings and billings) with the
Obligors' and their Subsidiaries' projected performance pursuant to the
thirteen-week forecast under the previous week's Budget, including a detailed
calculation of the percentage variances (on a line item by line item basis)
between Obligors' and their Subsidiaries' actual and projected cash receipts,
cash disbursements, net cash flow, bookings and billings and professional fees,
expenses and retainers incurred.

Wholly-Owned Subsidiary:  as to any Person, any other Person all of the Equity
Interest of which (other than directors' qualifying shares required by law) is
owned by such Person directly and/or through other Wholly-Owned Subsidiaries.

Write-Down and Conversion Powers: the write-down and conversion powers of the
applicable EEA Resolution Authority from time to time under the Bail-In
Legislation for the

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applicable EEA Member Country, which powers are described in the EU Bail-In
Legislation Schedule.

1.2Accounting Terms 

.  Under the Loan Documents (except as otherwise specified therein), all
accounting terms shall be interpreted, all accounting determinations shall be
made, and all financial statements shall be prepared, in accordance with GAAP
applied on a basis consistent with the most recent audited financial statements
of Borrower delivered to Agent before the Closing Date and using the same
inventory valuation method as used in such financial statements, except for any
change required or permitted by GAAP if Borrower's certified public accountants
concur in such change, the change is disclosed to Agent, and all relevant
provisions of the Loan Documents are amended in a manner satisfactory to
Required Lenders to take into account the effects of the change; provided that,
notwithstanding the foregoing, GAAP shall include the application of FASB ASC
606 with retroactive effect as of December 31, 2017 for purposes of the
computation of any financial covenant contained herein and for all other
purposes of the Loan Documents, with effect on the Second Amendment Effective
Date.

1.3Uniform Commercial Code 

.  As used herein, the following terms are defined in accordance with the UCC in
effect in the State of New York from time to time:  "Account," "Account Debtor,"
"Chattel Paper," "Commercial Tort Claim," "Deposit Account," "Document,"
"Equipment," "General Intangibles," "Goods," "Instrument," "Inventory,"
"Investment Property," "Letter-of-Credit Right," "Securities Account" and
"Supporting Obligation."

1.4Certain Matters of Construction 

.  The terms "herein," "hereof," "hereunder" and other words of similar import
refer to this Agreement as a whole and not to any particular section, paragraph
or subdivision.  Any pronoun used shall be deemed to cover all genders.  In the
computation of periods of time from a specified date to a later specified date,
"from" means "from and including," and "to" and "until" each mean "to but
excluding." The terms "including" and "include" shall mean "including, without
limitation" and, for purposes of each Loan Document, the parties agree that the
rule of ejusdem generis shall not be applicable to limit any provision.  Section
titles appear as a matter of convenience only and shall not affect the
interpretation of any Loan Document.  All references to (a) laws include all
related regulations, interpretations, supplements, amendments and successor
provisions; (b) unless otherwise specified herein as referring to a document,
instrument or agreement as in effect on the Closing Date, any document,
instrument or agreement includes any amendments, waivers and other
modifications, extensions or renewals (to the extent permitted by the Loan
Documents); (c) any section mean, unless the context otherwise requires, a
section of this Agreement; (d) any exhibits or schedules mean, unless the
context otherwise requires, exhibits and schedules attached hereto, which are
hereby incorporated by reference; (e) any Person include successors and assigns;
(f) unless otherwise indicated, time of day mean time of day at Agent's notice
address under Section 14.3.1; or (g) discretion of Agent or any Lender shall
mean the sole and absolute discretion of such Person.  All references to Loans,
Obligations and other amounts herein shall be denominated in Dollars, unless
expressly provided otherwise, and all determinations (including calculations of
financial covenants) made from time to time under the Loan Documents shall be
made in light of the circumstances existing at such time.  All terms of an
accounting or financial nature used herein shall be construed, and all
computations of amounts and ratios referred to herein shall be made (i) without
giving effect to any election under Accounting Standards Codification 825-10-25
(or any other Accounting Standards Codification or Financial Accounting Standard
having a similar result

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or effect) to value any Indebtedness or other liabilities of Borrower or any
Subsidiary at "fair value", as defined therein, (ii) without giving effect to
any treatment of Indebtedness in respect of convertible debt instruments under
Accounting Standards Codification 470-20 (or any other Accounting Standards
Codification or Financial Accounting Standard having a similar result or effect)
to value any such Indebtedness in a reduced or bifurcated manner as described
therein, and such Indebtedness shall at all times be valued at the full stated
principal amount thereof, and (iii) without giving effect to Accounting
Standards Update No. 2016-02 issued by the Financial Accounting Standards Board.
 Borrower shall have the burden of establishing any alleged negligence,
misconduct or lack of good faith by Agent or any Lender under any Loan
Documents.  No provision of any Loan Documents shall be construed against any
party by reason of such party having, or being deemed to have, drafted the
provision.  Reference to Borrower's "knowledge" or similar concept means actual
knowledge of a Senior Officer, or knowledge that a Senior Officer would have
obtained if he or she had engaged in good faith and diligent performance of his
or her duties, including reasonably specific inquiries of employees or agents
and a good faith attempt to ascertain the matter.

1.5Divisions 

.  For all purposes under the Loan Documents, in connection with any division or
plan of division under Delaware law (or any comparable event under a different
jurisdiction's laws): (a) if any asset, right, obligation or liability of any
Person becomes the asset, right, obligation or liability of a different Person,
then it shall be deemed to have been transferred from the original Person to the
subsequent Person,  (b) if any new Person comes into existence, such new Person
shall be deemed to have been organized on the first date of its existence by the
holders of its equity interests at such time and (c) in the event that an
Obligor or any Subsidiary of an Obligor or any Subsidiary thereof that is a
limited liability company divides itself into two or more limited liability
companies, any limited liability companies formed as a result of such division
shall be required to comply with the obligations set forth in Section 10.1.14
and the other applicable further assurances obligations set forth in the Loan
Documents (in each case as if such resulting limited liability company were an
Obligor or a Subsidiary of an Obligor or a Subsidiary thereof, as applicable),
and to become Borrower or Guarantor, if required by the terms of this Agreement

SECTION 2.  LOANS, PAYMENTS 

2.1Term Loan. 

2.1.1Term Loan Amounts. 

(a)On the terms and subject to the conditions set forth herein, the Lenders
hereby agree to make to Borrower on the Closing Date a term loan in an original
principal amount equal to $110,000,000 (the "Term A Loan").  Each Lender's
obligation to fund the Term A Loan shall be limited to such Lender's Term Loan
Commitment Percentage of the Term A Loan, and no Lender shall have any
obligation to fund any portion of the Term A Loan required to be funded by any
other Lender, but not so funded, and no Lender shall be relieved of its
obligation to fund the Term A Loan because another Lender has failed to fund.
 Borrower shall not have any right to reborrow any portion of the Term A Loan
which is repaid or prepaid from time to time.  The Commitments of the Lenders to
make the Term A Loan shall expire concurrently with the making of the Term A
Loan on the Closing Date. 

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(b)On the terms and subject to the conditions set forth herein, at the election
of, and on Business Days during the Delayed Draw Term Loan Commitment Period
identified by, Borrower (such date, a "Delayed Draw Term Loan Draw Date"), so
long as, in each case, each of the Delayed Draw Funding Conditions shall have
been satisfied, the Lenders hereby agree to make to Borrower on each Delayed
Draw Term Loan Draw Date a delayed draw term loan up to an aggregate original
principal amount for all Delayed Draw Term Loans equal to the Delayed Draw Term
Loan Amount at such time (a "Delayed Draw Term Loan"; and, when funded, together
with the Term A Loan, the "Term Loan").  Each Lender's obligation to fund a
Delayed Draw Term Loan shall be limited to such Lender's Delayed Draw Term Loan
Commitment Percentage of such Delayed Draw Term Loan, and no Lender shall have
any obligation to fund any portion of any Delayed Draw Term Loan required to be
funded by any other Lender, but not so funded, and no Lender shall be relieved
of its obligation to fund any Delayed Draw Term Loan because another Lender has
failed to fund.  When funded, each Delayed Draw Term Loan shall become part of,
and have all of the terms and conditions applicable to (including without
limitation in respect of pricing, repayments and maturity), the Term Loan for
all purposes hereunder and under the other Loan Documents and shall be secured
by the Collateral in all respects.  Each Delayed Draw Term Loan shall be in a
minimum principal amount of $5,000,000 (unless otherwise agreed by Agent in its
discretion) and in integral multiples of $1,000,000 in excess of that amount.
 Borrower shall not have any right to reborrow any portion of the Delayed Draw
Term Loan which is repaid or prepaid from time to time.  On each Delayed Draw
Term Loan Draw Date, the Commitments of the Lenders to make Delayed Draw Term
Loans shall be permanently reduced on a dollar-for-dollar basis in an amount
equal to the Delayed Draw Term Loan made on such Delayed Draw Term Loan Draw
Date, and the Delayed Draw Term Loan Commitments of all Lenders shall expire on
the Delayed Draw Term Loan Commitment Termination Date. 

(c)Borrower shall deliver to Agent a Notice of Borrowing, not later than 10:00
a.m. (Chicago time) at least one Business Day prior to the Closing Date or a
Delayed Draw Term Loan Draw Date, as applicable.  Such Notice of Borrowing shall
be irrevocable and shall specify (x) the principal amount of the proposed Loan,
(y) whether the proposed Loan is requested to be a Prime Rate Loan or a LIBOR
Rate Loan and, in the case of a LIBOR Rate Loan, the initial Interest Period
with respect thereto, and (z) wire instructions for the account to which funds
to Borrower should be deposited.  Agent and the Lenders may act without
liability upon the basis of written notice believed by Agent in good faith to be
from Borrower.  Borrower hereby waives the right to dispute Agent's record of
the terms of any such Notice of Borrowing absent manifest error.  Agent and each
Lender shall be entitled to rely conclusively on Borrower's authority to request
a Loan until Agent receives written notice to the contrary.  Agent and the
Lenders shall have no duty to verify the authenticity of the signature appearing
on any written Notice of Borrowing. 

(d)The Loans under this Agreement shall be made by the Lenders, to the account
specified by Agent, no later than 3:00 p.m. (Chicago time) on the borrowing date
of the proposed Loan, simultaneously and proportionately to their Commitment, it
being understood that no Lender shall be responsible for any default by any
other Lender in that other Lender's obligations to make a Loan requested
hereunder, nor shall the Commitment of any Lender be increased or decreased as a
result of the default by any other Lender in that other Lender's obligation to
make a Loan requested hereunder, and each Lender shall be obligated to make the
Loans required to be made by it by the terms of this Agreement regardless of the
failure by any other Lender.  Promptly upon receipt of all funds requested in
the Notice of Borrowing, Agent will  

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make the proceeds of such Loans available to Borrower by causing an amount, in
immediately available funds, equal to the proceeds of the Loans received by
Agent to the account provided by the Borrowing Agent in the Notice of Borrowing
for such purpose.

(e)Agent is hereby authorized by the Obligors and Lenders, at any time in
Agent's sole discretion, regardless of (i) the existence of a Default or an
Event of Default, (ii) whether any of the other applicable conditions precedent
have not been satisfied or the Commitments have been terminated for any reason,
or (iii) any other contrary provision of this Agreement, to make the Loans to
Borrower on behalf of Lenders which Agent, in its reasonable business judgment,
deems necessary or desirable (a) to preserve or protect the Collateral, or any
portion thereof, (b) to enhance the likelihood of, or maximize the amount of,
repayment of the Loans and other Obligations, or (c) to pay any other amount
chargeable to the Obligors pursuant to the terms of this Agreement (the
"Protective Advances").  Lenders holding the Loans shall be obligated to fund
such Protective Advances and effect a settlement with Agent therefor upon demand
of Agent in accordance with their respective pro rata share of the outstanding
Loans.  To the extent any Protective Advances are not actually funded by the
other Lenders as provided for in this clause (e) of Section 2.1.1, any such
Protective Advances funded by Agent shall be deemed to be the Loans made by and
owing to Agent, and Agent shall be entitled to all rights (including accrual of
interest) and remedies of a Lender holding the Loans. 

2.1.2Scheduled Term Loan Payments.  The principal amount of the Term Loan shall
be paid in installments (all such installment payments, collectively, the
"Scheduled Term Loan Installment Payments") on the dates shown below in an
amount equal to the product of (i) the percentage set forth in Column B below
shown opposite each date as set forth in Column A below times (ii) the sum of
(x) the original principal amount of the Term A Loan plus (y) commencing the
last Business Day of the first full calendar quarter after the first Delayed
Draw Term Loan Draw Date, the original principal amount of the Delayed Draw Term
Loans as of such date, as adjusted in accordance with Section 2.3.5 hereof: 

Column A

Column B

Date of Payment

Percentage of Original Principal Amount of Term Loan to be Paid

June 30, 2017

0.625%

September 30, 2017

0.625%

December 31, 2017

0.625%

March 31, 2018

0.625%

June 30, 2018

0.625%

September 30, 2018

0.625%

December 31, 2018

0.625%

March 31, 2019

0.625%

June 30, 2019

1.250%

September 30, 2019

1.250%

December 31, 2019

1.250%

March 31, 2020

1.250%

June 30, 2020

1.250%

September 30, 2020

1.250%

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December 31, 2020

1.250%

March 31, 2021

1.250%

June 30, 2021

1.250%

September 30, 2021

1.250%

December 31, 2021

1.250%

March 31, 2022

1.250%

Maturity Date

The remaining principal balance
of the Term Loan

 

Notwithstanding the foregoing, the outstanding principal amount of the Term
Loan, together with all accrued and unpaid interest thereon and all other
Obligations accrued and unpaid, shall be due and payable on the Maturity Date.
 Notwithstanding the foregoing, the Loans shall be subject to earlier repayment
upon (x) acceleration upon the occurrence of an Event of Default under this
Agreement or (y) termination of this Agreement.

2.1.3Optional Prepayments.  Borrower may from time to time, subject to the Fee
Letter, by 11:00 a.m. (Chicago time) with at least one (1) Business Day's
written notice to Agent specifying the date and amount of such prepayment,
prepay the Term Loan in whole or in part; provided, that any such partial
prepayment shall be in an amount equal to $500,000 or a higher integral multiple
of $100,000; provided, further that any notice of optional prepayment pursuant
to this clause (c) that is based on the consummation of a Change of Control or a
payment in full of the Obligations in connection with another transaction may be
conditioned on the closing of such other transaction.  All such prepayments
shall be applied in accordance with Section 2.3.5 hereof. 

2.1.4Optional Delayed Draw Term Loan Commitment Reductions.  Borrower may from
time to time by 11:00 a.m. (Chicago time) with at least one (1) Business Day's
written notice to Agent specifying the date and amount of such reduction, reduce
the Delayed Draw Term Loan Amount in whole or in part upon ten (10) days prior
written notice to the Agent; provided, that any such partial reduction shall be
in an amount equal to $5,000,000 or a higher integral multiple of $1,000,000.
 Upon each reduction of the Delayed Draw Term Loan Amount in accordance with
this Section 2.1.4, the Delayed Draw Term Loan Commitment for each Lender shall
automatically and concurrently be reduced by the same amount of such Delayed
Draw Term Loan Amount reduction on a pro rata basis in accordance with each such
Lender's Delayed Draw Term Loan Commitment Percentage. 

2.2General Provisions Regarding Payment; Register. 

2.2.1All payments to be made by Borrower under any Loan Document, including
payments of principal and interest and all fees, expenses, indemnities and
reimbursements, shall be made without set off or counterclaim, in lawful money
of the United States of America and in immediately available funds.  If any
payment hereunder becomes due and payable on a day other than a Business Day,
such payment shall be extended to the next  

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succeeding Business Day and, with respect to payments of principal, interest
thereon shall be payable at the then applicable rate during such extension.
 Borrower shall make all payments in immediately available funds to the Payment
Account before 1:00 p.m. (Chicago time) on the date when due; provided that all
payments received by Agent after 1:00 p.m. (Chicago time) on any Business Day
may (in Agent's discretion) be credited as if received on the next succeeding
Business Day.  Any optional or mandatory prepayment of the Term Loan shall be
accompanied by timely delivery to Agent of an appropriately completed Payment
Notification, as provided in Section 2.3.5 hereof.  In the absence of receipt by
Agent of an appropriately completed Payment Notification on or prior to such
prepayment, Borrower and each Lender hereby fully authorizes and directs Agent,
notwithstanding any contrary application provisions contained herein, to apply
payments and/or prepayments received from Borrower against the outstanding Term
Loan in accordance with the provisions of Section 2.3.5 hereof; provided, that
if Agent at any time determines that payments received by Agent were in respect
of a mandatory prepayment event, Agent shall apply such payments in accordance
with the provisions of Section 2.3.5 hereof, and shall be fully authorized by
Borrower and each Lender to make any corresponding Register reversals in respect
thereof.  Notwithstanding anything to the contrary contained herein, any Payment
Notification may state that such Payment Notification is conditioned upon the
effectiveness of a payment in full of the Obligations or the consummation of a
Change in Control in connection with another transaction and may be conditioned
on the closing of such other transaction.

2.2.2Agent, acting as a non-fiduciary agent of the Obligors, shall maintain at
its address a copy of each Assignment and Acceptance delivered to it and a
register (the "Register") for the recordation of the names and addresses of each
Lender and the outstanding principal, accrued and unpaid interest and other fees
due hereunder.  The entries in the Register shall be conclusive, in the absence
of manifest error, and each Obligor, Agent and Lenders may treat each Person
whose name is recorded in the Register as the owner of the Loans recorded
therein for the purposes of this Agreement.  The Register shall be available for
inspection by Borrower or any Lender at any reasonable time and from time to
time upon reasonable prior notice. 

2.3Mandatory Prepayments; Voluntary Commitment Reductions and Prepayments. 

2.3.1Subject to Sections 10.2.6 and 10.2.9 hereof, the provisions of the
Intercreditor Agreement, the Fee Letter and the Fifth Amendment Fee Letter, upon
the receipt by any Obligor of Net Proceeds of any Asset Disposition consisting
of Term Priority Collateral (excluding Net Proceeds from Asset Dispositions
which qualify as Permitted Asset Dispositions under clauses (a), (b), (c), (d),
(e), (f), (g), (j), (k), (l), (m), (n), (o) or (s) of the definition of
Permitted Asset Dispositions), Borrower shall prepay the Loans in an amount
equal to the Net Proceeds of such Asset Disposition promptly, but in no event
more than three (3) Business Days following the receipt thereof, and until the
date of payment, such proceeds shall be held in trust for Agent.
 <Notwithstanding the foregoing, (A) so long as no Default or Event of Default
has occurred and is continuing, on the date any Obligor or any of its
Subsidiaries receives Net Proceeds of any such Asset Disposition, such Net
Proceeds may, at the option of Borrower, be applied to invest in property or
assets used or useful in the business of any Obligor, provided that (x) Agent
has a Lien on such property or assets, (y) Borrower delivers to Agent within ten
(10) days after the date of receipt of such Net Proceeds a certificate stating
that such Net Proceeds shall be used to  

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acquire property or assets used or useful in the business of any Obligor within
one hundred eighty (180) days after the date of receipt of such Net Proceeds
(which certificate shall set forth an estimate of the Net Proceeds to be so
expended), and (B) pending any such reinvestment or payment of expenses
described in clause (A) above, such Net Proceeds shall be deposited in an
account pledged solely to Agent.  >Such prepayments shall be applied to the
Loans in accordance with Section 2.3.5 hereof.  The foregoing shall not be
deemed to be implied consent to any Asset Disposition otherwise prohibited by
the terms and conditions hereof.

2.3.2Subject to the provisions of the Intercreditor Agreement, the Fee Letter
and the Fifth Amendment Fee Letter, upon the receipt by any Obligor of any
Extraordinary Receipts< which constitute >Term Priority Collateral <in an
aggregate amount equal to or in excess of $500,000 in any Fiscal Year>, Borrower
shall prepay the Loans in an amount equal to the amount of such Extraordinary
Receipts promptly, but in no event more than one (1) Business Day following the
receipt thereof, and until the date of payment, such proceeds shall be held in
trust for Agent.  Such prepayments shall be applied to the Loans in the manner
described in Section 2.3.5 hereof.  <Notwithstanding the foregoing, (A) so long
as no Default or Event of Default has occurred and is continuing, on the date
any Obligor or any of its Subsidiaries receives Extraordinary Receipts which
constitute Term Priority Collateral consisting of insurance proceeds from one or
more policies covering, or proceeds from any judgment, settlement, condemnation
or other cause of action in respect of, the loss, damage, taking or theft of any
property or assets, such Extraordinary Receipts may, at the option of Borrower,
be applied to repair, refurbish or replace such property or assets or acquire
replacement property or assets for the property or assets so lost, damaged or
stolen or other property or assets used or useful in the business of any Obligor
for the property or assets so disposed, provided that (x) Agent has a Lien on
such replacement (or repaired or restored) property or assets, (y) Borrower
delivers to Agent within ten (10) days after the date of receipt of such
Extraordinary Receipts a certificate stating that such Extraordinary Receipts
shall be used to repair or refurbish such property or assets or to acquire such
replacement property or assets for the property or assets so lost, damaged or
stolen or such other property or assets used or useful in the business of any
Obligor within one hundred eighty (180) days after the date of receipt of such
Extraordinary Receipts (which certificate shall set forth an estimate of the
Extraordinary Receipts to be so expended), and (B) pending any such reinvestment
or payment of expenses described in clause (A) above, such Extraordinary
Receipts shall be deposited in an account pledged solely to Agent.> 

2.3.3Subject to Section 10.2.1 hereof, the provisions of the Intercreditor
Agreement, the Fee Letter and the Fifth Amendment Fee Letter, upon the receipt
by any Obligor of the Net Proceeds from the issuance or sale of any Indebtedness
or any Equity Interests (other than (i) Permitted Indebtedness, (ii) Net
Proceeds from the issuance of Equity Interests (other than Disqualified Stock)
to directors or employees of any Obligor, (iii) Net Proceeds of the issuance of
Equity Interests to any Obligor<,> and (iv) Net Proceeds from the issuance of
Equity Interests in order to finance Capital Expenditures< and Permitted
Acquisitions which are actually consummated within 180 days of the receipt of
such Net Proceeds, and (v) Junior Capital Proceeds received after the Third
Amendment Effective Date that has either (x) been deposited into escrow with a
third party escrow agent subject to an escrow agreement in form and substance
reasonably satisfactory to Agent and/or been set aside in a separate and
segregated Deposit Account that is subject to a Deposit Account Control
Agreement in favor of Agent and over which Agent has, subject to the
Intercreditor Agreement, exclusive control, in either case, which proceeds shall
only  

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be released to repay the Specified Unsecured Prepetition Debt on the final
maturity date thereof, or (y) been applied as a prepayment of the Specified
Unsecured Prepetition Debt prior to the final maturity date thereof so long as,
and only to the extent that, both immediately before and immediately after
giving effect thereto the Payment Conditions are satisfied>), Borrower shall
prepay the Loans in an amount equal to 100% of such Net Proceeds promptly, but
in no event more than one (1) Business Day following the receipt thereof, and
until the date of payment, such proceeds shall be held in trust for Agent.  Such
prepayments shall be applied to the Loans in accordance with Section 2.3.5
hereof.  The foregoing shall not be deemed to be implied consent to any issuance
or sale of any Indebtedness or any Equity Interests otherwise prohibited by the
terms and conditions hereof.

2.3.4Subject to the provisions of the Intercreditor Agreement, the Fee Letter
and the Fifth Amendment Fee Letter, on or before the fifth (5th) Business Day
following the date on which audited financial statements are required to be
delivered pursuant to clause (a) of Section 10.1.2 hereof (the "Excess Cash Flow
Due Date"), beginning with respect to the Fiscal Year ending December 30, 2017
and for each Fiscal year thereafter, Borrower shall prepay the Loans in an
amount equal to an amount equal to 50% of Excess Cash Flow for such Fiscal Year
minus voluntary prepayments of the Term Loans to the extent made during the
applicable Fiscal Year of measurement (such amount not to be less than zero);
provided, that in the case of the Fiscal Year ended December 30, 2017, Borrower
shall only be obligated to prepay the Loans in an amount equal to 50% of the
Excess Cash Flow as calculated for the full 2017 Fiscal Year and prorated for
the period commencing with the Closing Date and ending on December 30, 2017;
provided further that, in the event Borrower is unable to make any mandatory
prepayment described in this Section 2.3.4 on any Excess Cash Flow Due Date due
the failure to satisfy the conditions in Section 10.2.8(b) of the Revolving Loan
Agreement (as in effect on the date hereof) on such date, then Borrower shall
not be obligated to make such prepayment until, and shall make such prepayment
on, the first date thereafter on which, before and after giving pro forma effect
to such prepayment, Specified Availability (as defined in the Revolving Loan
Agreement on the date hereof) is greater than or equal to 15% of the Revolving
Loan Commitments at such time.  Such prepayments shall be applied to the Loans
in accordance with Section 2.3.5 hereof. 

2.3.5Any prepayment of a LIBOR Rate Loan on a day other than the last day of an
Interest Period therefor shall include interest on the principal amount being
repaid and shall be subject to Section 3.2.4 hereof.  All prepayments of the
Loans shall be applied first to that portion of the Loans comprised of Prime
Rate Loans and then to that portion of the Loans comprised of LIBOR Rate Loans,
in direct order of Interest Period maturities.  Subject to the provisions of the
Intercreditor Agreement, the Fee Letter and the Fifth Amendment Fee Letter, all
prepayments under Section 2.1.3 hereof and this Section 2.3 shall be applied to
the remaining installments of principal of the Term Loan  in the inverse order
of maturity (for the avoidance of doubt, any amount that is due and payable on
the Maturity Date shall constitute an installment). 

2.3.6Borrowing Agent shall deliver to Agent an appropriately completed Payment
Notification by 10:00 a.m. (Chicago time) at least one Business Day prior to the
date of payment of each mandatory prepayment pursuant to this Section 2.3 and
each optional prepayment pursuant to Section 2.1(c) and Agent shall promptly
notify each Lender of such notice. 

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2.4Allocation of Payments After Event of Default 

.  Notwithstanding any other provisions of this Agreement to the contrary, after
the occurrence and during the continuance of an Event of Default, all amounts
collected or received by Agent on account of the Obligations, or in respect of
the Collateral may, at Agent's discretion, and shall, at the direction of the
Required Lenders, be paid over or delivered as follows:

FIRST, to the payment of all reasonable and documented out-of-pocket costs and
expenses (including reasonable attorneys' fees) of Agent in connection with
enforcing its rights and the rights of Lenders under this Agreement and the Loan
Documents, and any Protective Advances funded by Agent with respect to the
Collateral under or pursuant to the terms of this Agreement;

SECOND, to payment of any fees owed to Agent;

THIRD, to the payment of all reasonable and documented out-of-pocket costs and
expenses (including reasonable attorneys' fees) of each of the Lenders to the
extent owing to such Lender pursuant to the terms of this Agreement;

FOURTH, to the payment of all Obligations arising under this Agreement and the
Loan Documents consisting of accrued fees and interest;

FIFTH, to the payment of the outstanding principal amount of the Obligations;

SIXTH, to all other Obligations arising under this Agreement, under the Loan
Documents or otherwise which shall have become due and payable and not repaid
pursuant to clauses "FIRST" through "FIFTH" above; and

SEVENTH, to the payment of the surplus, if any, to whoever may be lawfully
entitled to receive such surplus.

In carrying out the foregoing, (i) amounts received shall be applied in the
numerical order provided until exhausted prior to application to the next
succeeding category; and (ii) each of the Lenders shall receive an amount equal
to its pro rata share (based on the proportion that then outstanding Loans held
by such Lender bears to the aggregate then outstanding Loans) of amounts
available to be applied pursuant to clauses "FOURTH", "FIFTH", "SIXTH" and
"SEVENTH" above.

2.5Use of Proceeds. 

2.5.1Borrower shall apply the proceeds of (i) the Term A Loan to (x) repay in
full the Indebtedness owing to Existing Agent and Existing Lenders under the
Existing Loan Documents, (y) pay fees and expenses relating to the Transactions,
and (z) provide for its working capital needs and other general corporate
purposes, and (ii) the Delayed Draw Term Loans to finance (x) <Permitted
>Acquisitions permitted hereunder, (y) Upstream Payments, and (z) prepayments of
Indebtedness, in each case, solely to the extent permitted pursuant to the terms
and conditions hereof. 

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2.5.2Without limiting the generality of Section 2.4.1 above, neither the
Obligors nor any other Person which may in the future become party to this
Agreement or the Loan Documents as an Obligor, intends to use nor shall they use
any portion of the proceeds of the Term Loan, directly or indirectly, for any
purpose in violation in any material respect of Applicable Law. 

SECTION 3.  INTEREST AND FEES. 

3.1Interest. 

3.1.1From and following the Closing Date, depending upon Borrower's election
from time to time, subject to the terms hereof, to have portions of the Loans
accrue interest determined by reference to the Prime Rate or the LIBOR Rate, the
Loans and the other Obligations shall bear interest at the applicable rates set
forth below: 

(a)If a Prime Rate Loan, or any other Obligation other than a LIBOR Rate Loan,
then at the sum of the Prime Rate plus the Applicable Margin for Prime Rate
Loans. 

(b)If a LIBOR Rate Loan, then at the sum of the LIBOR Rate plus the Applicable
Margin for LIBOR Rate Loans. 

3.1.2All interest and fees under this Agreement and each Loan Document shall be
calculated on the basis of a 360-day year for the actual number of days elapsed.
 The date of funding of a Prime Rate Loan and the first day of an Interest
Period with respect to a LIBOR Rate Loan shall be included in the calculation of
interest.  The date of payment of a Prime Rate Loan and the last day of an
Interest Period with respect to a LIBOR Rate Loan shall be excluded from the
calculation of interest.  If a Loan is repaid on the same day that it is made,
one (1) days' interest shall be charged.  Interest on all Prime Rate Loans is
payable <(>in cash <or PIK Interest, as applicable) >in arrears on the last
Business Day of each calendar quarter and on the maturity of such Loans, whether
by acceleration or otherwise; provided, however, such portion of interest on
Prime Rate Loans constituting PIK Interest shall be payable in kind in arrears
on the last Business Day of each calendar month and on the maturity of such
Loans.  Interest on LIBOR Rate Loans shall be payable <(>in cash <or PIK
Interest, as applicable) >on the last day of the applicable Interest Period<,>
(unless the Interest Period is greater than three (3) months, in which case
interest will be payable on the last day of each three (3) month interval<.  In
addition, >interest on LIBOR Rate Loans <is due>) and on the maturity of such
Loans, whether by acceleration or otherwise; provided, however, such portion of
interest on LIBOR Rate Loans constituting PIK Interest shall be payable in kind
in arrears on the last Business Day of each calendar month and on the maturity
of such Loans.  For the avoidance of doubt, any PIK Interest shall be compounded
on each interest payment date and added to the outstanding principal amount of
the Term Loan and, once paid, shall be treated as principal amount of the Term
Loan for all purposes of this Agreement. Following any such increase in the
principal amount of the Term Loan, interest will accrue on such increased
amount.   

3.1.3At the election of Agent or Required Lenders, after the occurrence of an
Event of Default and for so long as it continues, the Loans and other
Obligations shall bear interest at the Default Rate.  Furthermore, at the
election of Agent or Required Lenders during any period in which any Event of
Default is continuing (x) as the Interest Periods for LIBOR Rate Loans then  

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in effect expire, such Loans shall be converted into Prime Rate Loans and
(y) the LIBOR election will not be available to Borrower

3.2LIBOR Provisions. 

3.2.1Subject to the provisions of Section 3.1.3 hereof, Borrower may request
that the Term Loan be made as LIBOR Rate Loans, that outstanding portions of the
Term Loan be converted to LIBOR Rate Loans and that all or any portion of a
LIBOR Rate Loan be continued as a LIBOR Rate Loan upon expiration of the
applicable Interest Period.  Any such request will be made by submitting a
Notice of Borrowing to Agent.  Upon the expiration of an Interest Period, in the
absence of a new Notice of Borrowing submitted to Agent not less than by 11:00
a.m. (Chicago time) three (3) Business Days prior to the end of such Interest
Period, the LIBOR Rate Loan then maturing shall be automatically converted to a
LIBOR Rate Loan with a one month Interest Period.  There may be no more than six
(6) LIBOR Rate Loans outstanding at any one time.  The Loans which are not
requested as LIBOR Rate Loans in accordance with this Section 3.2.1 shall be
Prime Rate Loans.  Agent will promptly notify Lenders, by written notice, of
each Notice of Borrowing received by Agent prior to the first day of the
Interest Period of the LIBOR Rate Loan requested thereby. 

3.2.2In the event, prior to commencement of any Interest Period relating to a
LIBOR Rate Loan, Agent shall determine in good faith or be notified in good
faith and in writing by Required Lenders that adequate and reasonable methods do
not exist for ascertaining LIBOR, Agent shall promptly provide notice of such
determination to Borrower and Lenders (which shall be conclusive and binding on
Borrower and Lenders).  In such event (a) any request for a LIBOR Rate Loan or
for a conversion to or continuation of a LIBOR Rate Loan shall be automatically
withdrawn and shall be deemed a request for a Prime Rate Loan, (b) each LIBOR
Rate Loan will automatically, on the last day of the then current Interest
Period relating thereto, become a Prime Rate Loan, and (c) the obligations of
Lenders to make LIBOR Rate Loans shall be suspended until Agent or Required
Lenders determine that the circumstances giving rise to such suspension no
longer exist, in which event Agent shall so notify Borrower and Lenders. 

3.2.3Notwithstanding any other provisions hereof, if any law, rule, regulation,
treaty or directive or interpretation or application thereof shall make it
unlawful for any Lender to make, fund or maintain LIBOR Rate Loans, such Lender
shall promptly give notice of such circumstances to Agent, Borrower and the
other Lenders.  In such an event, (a) the commitment of such Lender to make
LIBOR Rate Loans or convert Prime Rate Loans to LIBOR Rate Loans shall be
immediately suspended and (b) such Lender's outstanding LIBOR Rate Loans shall
be converted automatically to Prime Rate Loans on the last day of the Interest
Period thereof or at such earlier time as may be required by law. 

3.2.4Upon (i) any failure of Borrower in making any borrowing of, conversion
into or continuation of any LIBOR Rate Loan following Borrower's delivery to
Agent of any applicable Notice of Borrowing (in each case other than any such
failure that arises as a result of a Lender failing to fund such LIBOR Rate Loan
or as a result of a notice delivered pursuant to Section 3.7 hereof) or (ii) any
payment of a LIBOR Rate Loan on any day that is not the last day of the Interest
Period applicable thereto (regardless of the source of such prepayment and
whether voluntary, by acceleration or otherwise), Borrower shall pay Agent, for
the benefit of  

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all Lenders that funded or were prepared and required to fund any such LIBOR
Rate Loan, an amount equal to the amount of any losses, expenses and liabilities
(including, without limitation, any loss (including interest paid) in connection
with the re-employment of such funds but excluding any loss of interest rate
margin that would have been earned on the repaid amounts) that any Lender may
sustain as a result of such default or such payment.  For purposes of
calculating amounts payable to a Lender under this paragraph, each Lender shall
be deemed to have actually funded its relevant LIBOR Rate Loan through the
purchase of a deposit bearing interest at LIBOR in an amount equal to the amount
of that LIBOR Rate Loan and having a maturity and repricing characteristics
comparable to the relevant Interest Period; provided, however, that each Lender
may fund each of its LIBOR Rate Loans in any manner it sees fit, and the
foregoing assumption shall be utilized only for the calculation of amounts
payable under this subsection.

3.3Non-Use Fee 

.  Borrower shall pay to Agent, for the account of each Lender (other than a
Defaulting Lender) with a Delayed Draw Term Loan Commitment, a non-use fee, for
the period from the Closing Date to the Delayed Draw Term Loan Commitment
Termination Date, in an amount equal to a rate per annum of 1.00% of such
Lender's Delayed Draw Term Loan Commitment Percentage of the remaining Delayed
Draw Term Loan Commitment of all Lenders as of such date.  Such non-use fee
shall be payable in arrears on the last Business Day of each calendar quarter
and on the Maturity Date for any period then ending for which such non-use fee
shall not have previously been paid.  The non-use fee shall be computed for the
actual number of days elapsed on the basis of a year of three hundred sixty
(360) days.

3.4Fee Letter and Fifth Amendment Fee Letter 

.  Borrower shall pay the amounts required to be paid in the Fee Letter and
Fifth Amendment Fee Letter in the manner and at the times required by the Fee
Letter and Fifth Amendment Fee Letter.

3.5Maximum Charges 

.  In no event whatsoever shall interest and other charges charged hereunder
exceed the highest rate permissible under Applicable Law.  In the event interest
and other charges as computed hereunder would otherwise exceed the highest rate
permitted under Applicable Law:  (i) the interest rates hereunder will be
reduced to the maximum rate permitted under Applicable Law; (ii) such excess
amount shall be first applied to any unpaid principal balance owed by Borrower;
and (iii) if then remaining excess amount is greater than the previously unpaid
principal balance, Lenders shall promptly refund such excess amount to Borrower
and the provisions hereof shall be deemed amended to provide for such
permissible rate.

3.6Increased Costs 

.  In the event that any Change in Law or compliance by any Lender (for purposes
of this Section 3.6, the term "Lender" shall include Agent, any Lender and any
corporation or bank controlling Agent or any Lender and the office or branch
where Agent or any Lender makes or maintains any LIBOR Rate Loans) with any
request or directive (whether or not having the force of law) from any central
bank or other financial, monetary or other authority, shall:

(a)Subject Agent or any Lender to any tax of any kind whatsoever with respect to
this Agreement or any LIBOR Rate Loan, or change the basis of taxation of
payments to Agent or such Lender in respect thereof (except for Indemnified
Taxes or Other Taxes and the imposition of, or any change in the rate of, any
Excluded Taxes payable by Agent or such Lender); 

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(b)Impose, modify or deem applicable any reserve, special deposit, assessment,
compulsory loan, insurance charge or similar requirement against assets held by,
or deposits in or for the account of, advances or loans by, or other credit
extended by, any office of Agent or any Lender, including pursuant to Regulation
D of the Board of Governors of the Federal Reserve System; or 

(c)Impose on Agent or any Lender or the London interbank LIBOR market any other
condition, loss or expense (other than Taxes) affecting this Agreement or any
Loan Document or any Loans made by any Lender; 

and the result of any of the foregoing is to increase the cost to Agent or any
Lender of making, converting to, continuing, renewing or maintaining its Loans
hereunder by an amount that Agent or such Lender deems to be material or to
reduce the amount of any payment (whether of principal, interest or otherwise)
in respect of any of the Loans by an amount that Agent or such Lender deems to
be material, then, in any case Borrower shall promptly pay Agent or such Lender,
upon its demand, such additional amount as will compensate Agent or such Lender
for such additional cost or such reduction, as the case may be, provided that
the foregoing shall not apply to increased costs which are reflected in the
LIBOR Rate, as the case may be.  Agent or such Lender shall certify the amount
of such additional cost or reduced amount to Borrower, and such certification
shall be conclusive absent manifest error.  Failure or delay on the part of
Agent or any Lender to demand compensation pursuant to this Section shall not
constitute a waiver of the right of Agent or any Lender to demand such
compensation; provided that Borrower shall not be required to compensate Agent
or any Lender pursuant to this Section for any reductions in return incurred
more than one hundred twenty (120) days prior to the date that Agent or such
Lender notifies Borrower of such law, rule, regulation or guideline giving rise
to such reductions and of the intention of Agent or such Lender to claim
compensation therefor; provided further that if such claim arises by reason of
the adoption of or change in any law, rule, regulation or guideline that is
retroactive, then the one hundred twenty (120)-day period referred to above
shall be extended to include the period of retroactive effect thereof.

3.7Basis for Determining Interest Rate Inadequate or Unfair 

.  <In the event that:>

(a) <Agent shall have determined that >reasonable means do not exist for
<ascertaining >the LIBOR Rate <applicable pursuant to Section 3.2 hereof for any
>Interest Period<; or>

3.7.1If in connection with any request for a LIBOR Rate Loan or a conversion to
or continuation thereof, (i) Agent determines that (A) Dollar deposits are not
being offered to banks in the London interbank market for the applicable amount
and Interest Period of such LIBOR Rate Loan, or (B) (x) adequate and reasonable
means do not exist for determining the LIBOR Rate for any requested Interest
Period with respect to a proposed LIBOR Rate Loan or in connection with an
existing or proposed Prime Rate Loan and (y) the circumstances described in
Section 3.7.1 do not apply (in each case with respect to this clause (i),
"Impacted Loans"), or (ii) Agent or the Required Lenders determine that for any
reason the LIBOR Rate for any requested Interest Period with respect to a
proposed LIBOR Rate Loan does not adequately and fairly reflect the cost to such
Lenders of funding such LIBOR Rate Loan, Agent will promptly so notify Borrower
and each Lender.  Thereafter, (x) the obligation of the Lenders to make or
maintain  

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LIBOR Rate Loans shall be suspended, (to the extent of the affected LIBOR Rate
Loans or Interest Periods), and (y) in the event of a determination described in
the preceding sentence with respect to the LIBOR Rate component of the Prime
Rate, the utilization of the LIBOR Rate component in determining the Prime Rate
shall be suspended, in each case until Agent (or, in the case of a determination
by the Required Lenders described in clause (ii) of this Section 3.7.1, until
Agent upon instruction of the Required Lenders) revokes such notice.  Upon
receipt of such notice, Borrower may revoke any pending request for a Borrowing
of, conversion to or continuation of LIBOR Rate Loans (to the extent of the
affected LIBOR Rate Loans or Interest Periods) or, failing that, will be deemed
to have converted such request into a request for a Borrowing of Prime Rate
Loans in the amount specified therein.

3.7.2Notwithstanding the foregoing, if Agent has made the determination
described in clause (i) of Section 3.7.1, Agent, in consultation with the
Borrower, may establish an alternative interest rate for the Impacted Loans, in
which case, such alternative rate of interest shall apply with respect to the
Impacted Loans until (i) Agent revokes the notice delivered with respect to the
Impacted Loans under clause (i) of the first sentence of Section 3.7.1, (ii)
Agent or the Required Lenders notify Agent and the Borrower that such
alternative interest rate does not adequately and fairly reflect the cost to
such Lenders of funding the Impacted Loans, or (iii) any Lender determines that
any Law has made it unlawful, or that any Governmental Authority has asserted
that it is unlawful, for such Lender or its applicable Lending Office to make,
maintain or fund Loans whose interest is determined by reference to such
alternative rate of interest or to determine or charge interest rates based upon
such rate or any Governmental Authority has imposed material restrictions on the
authority of such Lender to do any of the foregoing and provides Agent and the
Borrower written notice thereof.  

3.7.3Notwithstanding anything to the contrary in this Agreement or any other
Loan Documents, if Agent determines (which determination shall be conclusive
absent manifest error), or Borrower or Required Lenders notify Agent (with, in
the case of the Required Lenders, a copy to Borrower) that Borrower or Required
Lenders (as applicable) have determined, that:  

(a)adequate and reasonable means do not exist for ascertaining the LIBOR Rate
for any requested Interest Period, including, without limitation, because the
LIBOR Screen Rate is not available or published on a current basis and such
circumstances are unlikely to be temporary; or 

(b)<Agent shall have determined that >Dollar deposits <in the relevant amount
and for the relevant maturity are not available >in the London interbank <LIBOR
market, with respect to an outstanding >LIBOR Rate Loan, a proposed LIBOR Rate
Loan<, or a proposed conversion of a >Prime Rate Loan <into a >LIBOR Rate Loan<;
or>the administrator of the LIBOR Screen Rate or a Governmental Authority having
jurisdiction over Agent has made a public statement identifying a specific date
after which the LIBOR Rate or the LIBOR Screen Rate shall no longer be made
available, or used for determining the interest rate of loans, provided that, at
the time of such statement, there is no successor administrator that is
satisfactory to Agent, that will continue to provide the LIBOR Rate after such
specific date (such specific date, the "Scheduled Unavailability Date"); or 

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<(c) Agent shall have determined that (or any Lender shall have notified Agent
that) the making, maintenance or funding of any LIBOR Rate Loan has been made
impracticable or unlawful by compliance by Agent or such Lender in good faith
with any Applicable Law or any interpretation or application thereof by any
Governmental Authority or with any request or directive of any such Governmental
Authority (whether or not having the force of law); or>

(d) <The >Required Lenders <shall have notified Agent that the LIBOR Rate will
>not adequately and fairly reflect the cost to <the Lenders of the establishment
or maintenance of any LIBOR Rate Loan,>

<then Agent shall give Borrower prompt written notice of such notice or
determination.  If such notice is given, (i) any such requested LIBOR Rate Loan
shall be made as a Prime Rate Loan, unless Borrower shall notify Agent in
writing (including by electronic transmission) no later than 10:00 a.m. (Chicago
time) >two (2) Business Days <prior to the date of such proposed borrowing, that
its request for such borrowing shall be cancelled or made as an unaffected type
of LIBOR Rate Loan, (ii) any Prime Rate Loan or LIBOR Rate Loan which was to
have been converted to an affected type of LIBOR Rate Loan shall be continued as
or converted into a Prime Rate Loan, or, if Borrower shall notify Agent, no
later than 10:00 a.m. (Chicago time) two (2) Business Days prior to the proposed
conversion, shall be maintained as an unaffected type of LIBOR Rate Loan, and
(iii) any outstanding affected LIBOR Rate Loans shall be converted into a Prime
Rate Loan, or, if Borrower shall notify Agent, no later than 10:00 a.m. (Chicago
time)  two (2) Business Days prior to the last Business Day of then current
Interest Period applicable to such affected LIBOR Rate Loan, shall be converted
into an unaffected type of LIBOR Rate Loan, on the last Business Day of then
current Interest Period for such affected LIBOR Rate Loans (or sooner, if any
Lender cannot continue to lawfully maintain such affected LIBOR Rate Loan).
 Until such notice has been withdrawn, Lenders shall have no obligation to make
an affected type of LIBOR Rate Loan or maintain outstanding affected LIBOR Rate
Loans and Borrower shall not have the right to convert a Prime Rate Loan or an
unaffected type of LIBOR Rate Loan into an affected type of LIBOR Rate Loan.>

(c)syndicated loans currently being executed, or that include language similar
to that contained in this Section 3.7, are being executed or amended (as
applicable) to incorporate or adopt a new benchmark interest rate to replace the
LIBOR Rate, 

then, reasonably promptly after such determination by Agent or receipt by Agent
of such notice, as applicable, Agent and Borrower may amend this Agreement to
replace the LIBOR Rate with (x) one or more SOFR-Based Rates or (y) another
alternate benchmark rate giving due consideration to any evolving or then
existing convention for similar U.S. dollar denominated syndicated credit
facilities for such alternative benchmarks and, in each case, including any
mathematical or other adjustments to such benchmark giving due consideration to
any evolving or then existing convention for similar U.S. dollar denominated
syndicated credit facilities for such benchmarks, which adjustment or method for
calculating such adjustment shall be published on an information service as
selected by Agent from time to time in its reasonable discretion and may be
periodically updated (the "Adjustment;" and any such proposed rate, a "LIBOR
Successor Rate"), and any such amendment shall become effective at 5:00 p.m. on
the fifth Business Day after Agent shall have posted such proposed amendment to
all Lenders and Borrower unless, prior to such time, Lenders comprising the
Required Lenders have delivered to Agent written notice that

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such Required Lenders (A) in the case of an amendment to replace the LIBOR Rate
with a rate described in clause (x), object to the Adjustment; or (B) in the
case of an amendment to replace the LIBOR Rate with a rate described in clause
(y), object to such amendment; provided that for the avoidance of doubt, in the
case of clause (A), the Required Lenders shall not be entitled to object to any
SOFR-Based Rate contained in any such amendment. Such LIBOR Successor Rate shall
be applied in a manner consistent with market practice; provided that to the
extent such market practice is not administratively feasible for Agent, such
LIBOR Successor Rate shall be applied in a manner as otherwise reasonably
determined by Agent.

If no LIBOR Successor Rate has been determined and the circumstances under
clause (a) above exist or the Scheduled Unavailability Date has occurred (as
applicable), Agent will promptly so notify Borrower and each Lender.
 Thereafter, (x) the obligation of the Lenders to make or maintain LIBOR Rate
Loans shall be suspended, (to the extent of the affected LIBOR Rate Loans or
Interest Periods), and (y) the LIBOR Rate component shall no longer be utilized
in determining the Prime Rate.  Upon receipt of such notice, Borrower may revoke
any pending request for a Borrowing of, conversion to or continuation of LIBOR
Rate Loans (to the extent of the affected LIBOR Rate Loans or Interest Periods)
or, failing that, will be deemed to have converted such request into a request
for a Borrowing of Prime Rate Loans (subject to the foregoing clause (y)) in the
amount specified therein.

Notwithstanding anything else herein, any definition of LIBOR Successor Rate
shall provide that in no event shall such LIBOR Successor Rate be less than zero
for purposes of this Agreement.

In connection with the implementation of a LIBOR Successor Rate, Agent will have
the right to make LIBOR Successor Rate Conforming Changes from time to time and,
notwithstanding anything to the contrary herein or in any other Loan Document,
any amendments implementing such LIBOR Successor Rate Conforming Changes will
become effective without any further action or consent of any other party to
this Agreement.

3.8Capital Adequacy. 

3.8.1In the event that Agent or any Lender shall have determined that any Change
in Law, any change in any guideline regarding capital adequacy or any change in
the interpretation or administration thereof by any Governmental Authority,
central bank or comparable agency charged with the interpretation or
administration thereof, or compliance by Agent or any Lender (for purposes of
this Section 3.8, the term "Lender" shall include Agent or any Lender and any
corporation or bank controlling Agent or any Lender and the office or branch
where Agent or any Lender (as so defined) makes or maintains any LIBOR Rate
Loans) with any request or directive regarding capital adequacy (whether or not
having the force of law) of any such authority, central bank or comparable
agency, has or would have the effect of reducing the rate of return on Agent's
or any Lender's capital as a consequence of its obligations hereunder to a level
below that which Agent or such Lender could have achieved but for such adoption,
change or compliance (taking into consideration Agent's and such Lender's
policies with respect to capital adequacy) by an amount deemed by Agent or any
Lender to be material, then, from time to time, Borrower shall pay upon demand
to Agent or such Lender such additional amount or amounts as will compensate
Agent or such Lender for such reduction.  In determining such amount or amounts,
Agent or such Lender may use any reasonable averaging or attribution methods.
 The  

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protection of this Section 3.8 shall be available to Agent and each Lender
regardless of any possible contention of invalidity or inapplicability with
respect to the Applicable Law, rule, regulation, guideline or condition.

3.8.2A certificate of Agent or such Lender setting forth such amount or amounts
as shall be necessary to compensate Agent or such Lender with respect to Section
3.8.1 hereof when delivered to Borrower shall be conclusive absent manifest
error.  Failure or delay on the part of Agent or any Lender to demand
compensation pursuant to this Section shall not constitute a waiver of the right
of Agent or any Lender to demand such compensation; provided that Borrower shall
not be required to compensate Agent or any Lender pursuant to this Section for
any reductions in return incurred more than three hundred sixty (360) days prior
to the date that Agent or such Lender notifies Borrower of such law, rule,
regulation or guideline giving rise to such reductions and of the intention of
Agent or such Lender to claim compensation therefor; provided further that if
such claim arises by reason of the adoption of or change in any law, rule,
regulation or guideline that is retroactive, then the 360-day period referred to
above shall be extended to include the period of retroactive effect thereof. 

3.9Replacement of Lenders 

.  If any Lender (an "Affected Lender") (a) makes demand upon Borrower for (or
if Borrower is otherwise required to pay) amounts pursuant to Section 3.6,
Section 3.8 or Section 5 hereof, (b) is unable to make or maintain LIBOR Rate
Loans as a result of a condition described in Section 3.2.2 hereof, (c) is a
Defaulting Lender, (d) denies any consent requested by Agent pursuant to Section
14.1 hereof, or (e) gives a notice described in Section 3.7(c) hereof, Borrower
may, by notice in writing to Agent and such Affected Lender (i) request the
Affected Lender to cooperate with Borrower in obtaining a replacement Lender
satisfactory to Agent and Borrower (the "Replacement Lender"); (ii) request the
non-Affected Lenders to acquire and assume all of the Affected Lender's Loans
and its Delayed Draw Term Loan Commitment as provided herein, but none of such
Lenders shall be under any obligation to do so; or (iii) propose a Replacement
Lender subject to approval by Agent in its good faith business judgment.  If any
satisfactory Replacement Lender shall be obtained, and/or if any one or more of
the non-Affected Lenders shall agree to acquire and assume all of the Affected
Lender's Loans and its Delayed Draw Term Loan Commitment, then such Affected
Lender shall assign, in accordance with Section 13.3 hereof, all of its Loans
and its Delayed Draw Term Loan Commitment and other rights and obligations under
this Agreement and the Loan Documents to such Replacement Lender or non-Affected
Lenders, as the case may be, in exchange for payment of the principal amount so
assigned and all interest and fees accrued on the amount so assigned, plus all
other Obligations then due and payable to the Affected Lender.

3.10Designation of a Different Lending Office 

.  If any Lender requests compensation under Sections 3.6 or 3.8 hereof, or
requires Borrower to pay any Indemnified Taxes, Other Taxes or additional
amounts to any Lender or any Governmental Authority for the account of any
Lender pursuant to Section 5 hereof, then such Lender shall (at the request of
Borrower) use reasonable efforts to designate a different lending office for
funding or booking its Loans hereunder or to assign its rights and obligations
hereunder to another of its offices, branches or affiliates, if, in the judgment
of such Lender, such designation or assignment (a) would eliminate or reduce
amounts payable pursuant to Sections 3.6, Section 3.8, or Section 5 hereof, as
the case may be, in the future, and (b) would not subject such Lender to any
unreimbursed cost or expense and would not otherwise be disadvantageous to such
Lender.  Borrower hereby agrees to pay all reasonable and

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documented costs and expenses incurred by any Lender in connection with any such
designation or assignment.

3.11Reimbursement Obligations 

.  Borrower shall pay all Extraordinary Expenses promptly upon request.
 Borrower shall also reimburse Agent for all costs of field exams and quality of
earnings reports that Agent is entitled to conduct or perform pursuant to
Section 10.1.1 (including internally allocated costs thereof), shall reimburse
Agent for all expenses in connection with an observer under Section 10.1.16 and
shall reimburse Agent for all reasonable and documented, out-of-pocket costs and
expenses (including all legal, accounting, third party service provider,
consulting and other fees and expenses) incurred by it in connection with
(a) negotiation and preparation of the Proposal Letter and any Loan Documents,
including any amendment or other modification thereof; (b) administration of and
actions relating to any Collateral, Loan Documents and transactions contemplated
thereby, including any actions taken to perfect or maintain priority of Agent's
Liens on any Collateral, to maintain any insurance required hereunder or to
verify Collateral; (c) the <engagement of the >services <of an independent
financial advisor in accordance with clause (c) of Section 10.1.1>provided by
Agent Consultant; and (d) <subject to the limits of Section 10.1.1,> any
examination, quality of earnings report, each inspection, audit or appraisal
with respect to any Obligor or Collateral, whether prepared by Agent's personnel
or a third party; provided that Borrower's obligation to reimburse legal fees
pursuant to this sentence shall be limited to fees, charges and disbursements of
one counsel for Agent and Lenders (which shall be selected by Agent) and to the
extent necessary, one special or local counsel in each appropriate jurisdiction
(absent a conflict of interest, in which case the Lenders may engage and be
reimbursed for additional counsel).  All legal, accounting and consulting fees
shall be charged to Borrower by Agent's professionals at their full hourly
rates, regardless of any alternative fee arrangements that Agent, any Lender or
any of their Affiliates may have with such professionals that otherwise might
apply to this or any other transaction.  Borrower acknowledges that counsel may
provide Agent with a benefit (such as a discount, credit or accommodation for
other matters) based on counsel's overall relationship with Agent, including
fees paid hereunder.  All amounts payable by Borrower under this Section 3.11
shall be due on demand.

SECTION 4.  [INTENTIONALLY OMITTED]. 

SECTION 5.  TAXES. 

5.1Payments Free of Taxes; Obligation to Withhold; Tax Payment. 

(a)All payments of Obligations by Obligors shall be made without deduction or
withholding for any Taxes, except as required by Applicable Law.  If Applicable
Law (as determined by Agent in its discretion) requires the deduction or
withholding of any Tax from any such payment by Agent or an Obligor, then Agent
or such Obligor shall be entitled to make such deduction or withholding based on
information and documentation provided pursuant to Section 5.2. 

(b)If Agent or any Obligor is required by the Code to withhold or deduct Taxes,
including backup withholding and withholding taxes, from any payment, then (i)
Agent shall pay the full amount that it determines is to be withheld or deducted
to the relevant Governmental Authority pursuant to the Code, and (ii) to the
extent the withholding or deduction is made on  

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account of Indemnified Taxes, the sum payable by the applicable Obligor shall be
increased as necessary so that the Recipient receives an amount equal to the sum
it would have received had no such withholding or deduction been made.

(c)If Agent or any Obligor is required by any Applicable Law other than the Code
to withhold or deduct Taxes from any payment, then (i) Agent or such Obligor, to
the extent required by Applicable Law, shall timely pay the full amount to be
withheld or deducted to the relevant Governmental Authority, and (ii) to the
extent the withholding or deduction is made on account of Indemnified Taxes, the
sum payable by the applicable Obligor shall be increased as necessary so that
the Recipient receives an amount equal to the sum it would have received had no
such withholding or deduction been made. 

5.1.2Payment of Other Taxes.  Without limiting the foregoing, Borrower shall
timely pay to the relevant Governmental Authority in accordance with Applicable
Law, or at Agent's option, timely reimburse Agent for payment of, any Other
Taxes. 

5.1.3Tax Indemnification. 

(a)Borrower shall indemnify and hold harmless, on a joint and several basis,
each Recipient against any Indemnified Taxes (including those imposed or
asserted on or attributable to amounts payable under this Section 5.1.3) payable
or paid by such Recipient or required to be withheld or deducted from a payment
to such Recipient, and any penalties, interest and reasonable out-of-pocket
expenses arising therefrom or with respect thereto, whether or not such
Indemnified Taxes were correctly or legally imposed or asserted by the relevant
Governmental Authority.  Borrower shall indemnify and hold harmless Agent
against any amount that a Lender fails for any reason to pay indefeasibly to
Agent as required pursuant to this Section 5.1.3.  Borrower shall make payment
within ten (10) days after demand for any amount or liability payable under this
Section 5.1.3.  A certificate as to the amount of such payment or liability
delivered to Borrower by a Lender (with a copy to Agent), or by Agent on its own
behalf or on behalf of any Recipient, shall be conclusive absent manifest
error. 

(b)Each Lender Bank shall indemnify and hold harmless, on a several basis,
(i) Agent against any Indemnified Taxes attributable to such Lender (but only to
the extent Borrower has not already paid or reimbursed Agent therefor and
without limiting Borrower's obligation to do so), (ii) Agent and Obligors, as
applicable, against any Taxes attributable to such Lender's failure to maintain
a Participant register as required hereunder, and (iii) Agent and Obligors, as
applicable, against any Excluded Taxes attributable to such Lender that are
payable or paid by Agent or an Obligor in connection with any Obligations, and
any reasonable expenses arising therefrom or with respect thereto, whether or
not such Indemnified Taxes were correctly or legally imposed or asserted by the
relevant Governmental Authority.  Each Lender shall make payment within ten (10)
days after demand for any amount or liability payable under this Section 5.1.3.
 A certificate as to the amount of such payment or liability delivered to any
Lender by Agent shall be conclusive absent manifest error. 

5.1.4Evidence of Payments.  If Agent or an Obligor pays any Taxes pursuant to
this Section 5.1.4, then upon request, Agent shall deliver to Borrower or
Borrower shall deliver to Agent, respectively, a copy of a receipt issued by the
appropriate Governmental Authority  

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evidencing the payment, a copy of any return required by Applicable Law to
report the payment, or other evidence of payment reasonably satisfactory to
Agent or Borrower, as applicable.

5.1.5Treatment of Certain Refunds.  Unless required by Applicable Law, at no
time shall Agent have any obligation to file for or otherwise pursue on behalf
of a Lender, nor have any obligation to pay to any Lender, any refund of Taxes
withheld or deducted from funds paid for the account of a Lender.  If a
Recipient determines in its discretion that it has received a refund of any
Taxes as to which it has been indemnified by Borrower or with respect to which
Borrower has paid additional amounts pursuant to this Section 5.1.5, it shall
pay Borrower an amount equal to such refund (but only to the extent of indemnity
payments made, or additional amounts paid, by Borrower with respect to the Taxes
giving rise to such refund), net of all reasonable out-of-pocket expenses
(including Taxes imposed in connection with such refund) incurred by such
Recipient, and without interest (other than any interest paid by the relevant
Governmental Authority with respect to such refund), provided that Borrower
agrees, upon request by the Recipient, to repay the amount paid over to Borrower
(plus any penalties, interest or other charges imposed by the relevant
Governmental Authority) to the Recipient if the Recipient is required to repay
such refund to the Governmental Authority.  Notwithstanding anything herein to
the contrary, no Recipient shall be required to pay any amount to Borrower to
the extent such payment would place the Recipient in a less favorable net
after-Tax position than it would have been in if the Tax subject to
indemnification and giving rise to such refund had not been deducted, withheld
or otherwise imposed and the indemnification payments or additional amounts with
respect to such Tax had never been paid.  In no event shall Agent or any
Recipient be required to make its tax returns (or any other information relating
to its taxes that it deems confidential) available to any Obligor or other
Person. 

5.1.6Survival.  Each party's obligations under Sections 5.1 and 5.2 shall
survive the resignation or replacement of Agent or any assignment of rights by
or replacement of a Lender, the termination of the Commitments, and the
repayment, satisfaction, discharge or Full Payment of any Obligations. 

5.2Lender and Agent Tax Information. 

5.2.1Status of Lenders.  Any Lender that is entitled to an exemption from or
reduction of withholding Tax with respect to payments of Obligations shall
deliver to Borrower and Agent properly completed and executed documentation
reasonably requested by Borrower or Agent as will permit such payments to be
made without or at a reduced rate of withholding.  In addition, any Lender, if
reasonably requested by Borrower or Agent, shall deliver such other
documentation prescribed by Applicable Law or reasonably requested by Borrower
or Agent to enable them to determine whether such Lender is subject to backup
withholding or information reporting requirements and to satisfy any such
information reporting requirements.  Notwithstanding the foregoing, such
documentation (other than documentation described in Sections 5.2.2(a), (b) and
(d)) shall not be required if a Lender reasonably believes delivery of the
documentation would subject it to any material unreimbursed cost or expense or
would materially prejudice its legal or commercial position. 

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5.2.2Lender Documentation.  Without limiting the foregoing, if Borrower is a
U.S. Person, 

(a)Any Lender that is a U.S. Person shall deliver to Borrower and Agent on or
prior to the date on which such Lender becomes a Lender hereunder, from time to
time thereafter upon reasonable request of Borrower or Agent and pursuant to
Section 5.2.4, executed originals of IRS Form W-9, certifying that such Lender
is exempt from U.S. federal backup withholding Tax; 

(b)Any Foreign Lender shall, to the extent it is legally entitled to do so,
deliver to Borrower and Agent (in such number of copies as shall be requested by
the recipient) on or prior to the date on which such Foreign Lender becomes a
Lender hereunder, from time to time thereafter upon reasonable request of
Borrower or Agent and pursuant to Section 5.2.4, whichever of the following is
applicable: 

(i)in the case of a Foreign Lender claiming the benefits of an income tax treaty
to which the United States is a party, (x) with respect to payments of interest
under any Loan Document, executed originals of IRS Form W-8BENE establishing an
exemption from or reduction of U.S. federal withholding Tax pursuant to the
"interest" article of such tax treaty, and (y) with respect to other payments
under the Loan Documents, IRS Form W-8BENE establishing an exemption from or
reduction of U.S. federal withholding Tax pursuant to the "business profits" or
"other income" article of such tax treaty; 

(ii)executed originals of IRS Form W-8ECI; 

(iii)in the case of a Foreign Lender claiming the benefits of the exemption for
portfolio interest under Sections 871(h) or 881(c) of the Code, (x) a
certificate substantially in the form of Exhibit E-1 to the effect that such
Foreign Lender is not a "bank" within the meaning of Section 881(c)(3)(A) of the
Code, a "10 percent shareholder" of Borrower within the meaning of Section
881(c)(3)(B) of the Code, or a "controlled foreign corporation" described in
Section 881(c)(3)(C) of the Code ("U.S. Tax Compliance Certificate"), and (y)
executed originals of IRS Form W-8BENE; or 

(iv)to the extent a Foreign Lender is not the beneficial owner, executed
originals of IRS Form W-8IMY, accompanied by IRS Form W-8ECI, IRS Form W-8BENE,
a U.S. Tax Compliance Certificate substantially in the form of Exhibit E-2 or
Exhibit E-3, IRS Form W-9, and/or other certification documents from each
beneficial owner, as applicable; provided that if the Foreign Lender is a
partnership and one or more direct or indirect partners of such Foreign Lender
are claiming the portfolio interest exemption, such Foreign Lender may provide a
U.S. Tax Compliance Certificate substantially in the form of Exhibit E-4 on
behalf of each such direct and indirect partner; 

(c)any Foreign Lender shall, to the extent it is legally entitled to do so,
deliver to Borrower and Agent (in such number of copies as shall be requested by
the recipient) on or prior to the date on which such Foreign Lender becomes a
Lender hereunder, from time to time thereafter upon the reasonable request of
Borrower or Agent and pursuant to Section 5.2.4,  

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executed originals of any other form prescribed by Applicable Law as a basis for
claiming exemption from or a reduction in U.S. federal withholding Tax, duly
completed, together with such supplementary documentation as may be prescribed
by Applicable Law to permit Borrower or Agent to determine the withholding or
deduction required to be made; and

(d)if payment of an Obligation to a Recipient would be subject to U.S. federal
withholding Tax imposed by FATCA if such Recipient were to fail to comply with
the applicable reporting requirements of FATCA (including those contained in
Section 1471(b) or 1472(b) of the Code), such Recipient shall deliver to
Borrower and Agent at the time(s) prescribed by Applicable Law and otherwise as
reasonably requested by Borrower or Agent or pursuant to Section 5.2.4, such
documentation prescribed by Applicable Law (including Section 1471(b)(3)(C)(i)
of the Code) and such additional documentation reasonably requested by Borrower
or Agent as may be necessary for them to comply with their obligations under
FATCA and to determine that such Recipient has complied with its obligations
under FATCA or to determine the amount to deduct and withhold from such payment.
 Solely for purposes of this clause (d), "FATCA" shall include any amendments
made to FATCA after the date hereof. 

5.2.3Agent Documentation.  Agent that is entitled to an exemption from or
reduction of withholding Tax with respect to payments of Obligations shall
deliver to Borrower properly completed and executed documentation reasonably
requested by Borrower as will permit such payments to be made without or at a
reduced rate of withholding.  In addition, Agent, if reasonably requested by
Borrower, shall deliver such other documentation prescribed by Applicable Law or
reasonably requested by Borrower as will enable Borrower to determine whether or
not Agent is subject to backup withholding or information reporting requirements
and to satisfy any such information reporting requirements.  Without limiting
the foregoing, if Borrower is a U.S. Person, Agent that is a U.S. Person shall
deliver to Borrower on or prior to the date on which Agent becomes Agent
hereunder, from time to time thereafter upon reasonable request of Borrower and
pursuant to Section 5.2.4, executed originals of IRS Form W-9, certifying that
Agent is exempt from U.S. federal backup withholding Tax. 

5.2.4Redelivery of Documentation.  If any form or certification previously
delivered by a Recipient pursuant to this Section 5.2 expires or becomes
obsolete or inaccurate in any respect, such Recipient shall promptly update the
form or certification or notify Borrower and Agent in writing of its inability
to do so. 

5.3Nature and Extent of Borrower's Liabilities. 

5.3.1Waivers. 

(a)Borrower expressly waives all rights that it may have now or in the future
under any statute, at common law, in equity or otherwise, to compel Agent or
Lenders to marshal assets or to proceed against any Obligor, other Person or
security for the payment or performance of any Obligations before, or as a
condition to, proceeding against Borrower.  Borrower waives all defenses
available to a surety, guarantor or accommodation co-obligor other than Full
Payment of Obligations and waives, to the maximum extent permitted by law, any
right to revoke any guaranty of Obligations as long as it is Borrower.  It is
agreed among Borrower, Agent and Lenders that the provisions of this Section 5.3
are of the essence of the transaction contemplated by the Loan  

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Documents and that, but for such provisions, Agent and Lenders would decline to
make Loans.  Borrower acknowledges that its guaranty pursuant to this Section
5.3 is necessary to the conduct and promotion of its business, and can be
expected to benefit such business.

(b)Agent and Lenders may, in their discretion, pursue such rights and remedies
as they deem appropriate, including realization upon Collateral or any Real
Estate by judicial foreclosure or nonjudicial sale or enforcement, without
affecting any rights and remedies under this Section 5.3.  If, in taking any
action in connection with the exercise of any rights or remedies, Agent or any
Lender shall forfeit any other rights or remedies, including the right to enter
a deficiency judgment against Borrower or other Person, whether because of any
Applicable Laws pertaining to "election of remedies" or otherwise, Borrower
consents to such action and waives any claim based upon it, even if the action
may result in loss of any rights of subrogation that Borrower might otherwise
have had.  Any election of remedies that results in denial or impairment of the
right of Agent or any Lender to seek a deficiency judgment against Borrower
shall not impair its obligation to pay the full amount of the Obligations.
 Borrower waives all rights and defenses arising out of an election of remedies,
such as nonjudicial foreclosure with respect to any security for Obligations,
even though that election of remedies destroys Borrower's rights of subrogation
against any other Person.  Agent may bid Obligations, in whole or part, at any
foreclosure, trustee or other sale, including any private sale, and the amount
of such bid need not be paid by Agent but shall be credited against the
Obligations.  The amount of the successful bid at any such sale, whether Agent
or any other Person is the successful bidder, shall be conclusively deemed to be
the fair market value of the Collateral, and the difference between such bid
amount and the remaining balance of the Obligations shall be conclusively deemed
to be the amount of the Obligations guaranteed under this Section 5.3,
notwithstanding that any present or future law or court decision may have the
effect of reducing the amount of any deficiency claim to which Agent or any
Lender might otherwise be entitled but for such bidding at any such sale. 

5.3.2Subordination.  Borrower hereby subordinates any claims, including any
rights at law or in equity to payment, subrogation, reimbursement, exoneration,
contribution, indemnification or set off, that it may have at any time against
any other Obligor, howsoever arising, to the Full Payment of its Obligations. 

SECTION 6.  CONDITIONS PRECEDENT 

6.1Conditions Precedent to Initial Loans 

.  In addition to the conditions set forth in Section 7.2, Lenders shall not be
required to fund any Loan, until the date ("Closing Date") that each of the
following conditions has been satisfied:

(a)This Agreement, the Guarantee and Collateral Agreement, the Perfection
Certificate, the Intercreditor Agreement and each other Loan Document required
by the terms hereof to be delivered on the Closing Date shall have been duly
executed and copies of executed counterparts of each such Loan Document shall
have been delivered to Agent by each of the signatories thereto. 

(b)Agent shall have received acknowledgments of all filings or recordations
necessary to perfect its Liens in the Collateral, as well as UCC and Lien
searches and other  

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evidence reasonably satisfactory to Agent that such Liens are the only Liens
upon the Collateral, except Permitted Liens.

(c)Agent shall have received a life-of-loan flood hazard determination for all
Real Estate owned by an Obligor and, if such Real Estate is located in a special
flood hazard area, an acknowledged notice to the applicable Borrower and flood
insurance by an insurer acceptable to Agent. 

(d)Agent shall have received (i) originals of stock/unit certificates
representing 100% (or 65%, as applicable) of the certificated Equity Interests
of each Subsidiary that is directly owned by an Obligor, together with stock
powers executed in blank and (ii) Issuer Control Agreements for the Equity
Interests of each Subsidiary with uncertificated Equity Interests that is
directly owned by an Obligor. 

(e)Agent shall have received duly executed agreements establishing each Dominion
Account and related lockbox, set forth on Schedule 8.5, in form and substance,
and with financial institutions, satisfactory to Agent and duly executed Deposit
Account Control Agreements, in form and substance, reasonably satisfactory to
Agent. 

(f)Agent shall have received certificates, in form and substance satisfactory to
it, from a knowledgeable Senior Officer of Borrower certifying that, after
giving effect to the initial Loans and transactions hereunder, (i) Borrower,
individually, is, and Borrower and each of its Subsidiaries on a consolidated
basis are, Solvent; (ii) no Default or Event of Default exists; and (iii) the
representations and warranties set forth in Section 9 are true and correct. 

(g)Agent shall have received a certificate of a duly authorized officer of each
Obligor, certifying (i) that attached copies of such Obligor's Organic Documents
are true and complete, and in full force and effect, without amendment except as
shown; (ii) that an attached copy of resolutions authorizing execution and
delivery of the Loan Documents is true and complete, and that such resolutions
are in full force and effect, were duly adopted, have not been amended, modified
or revoked, and constitute all resolutions adopted with respect to this credit
facility; and (iii) to the title, name and signature of each Person authorized
to sign the Loan Documents.  Agent may conclusively rely on this certificate
until it is otherwise notified by the applicable Obligor in writing. 

(h)Agent shall have received a written opinion of Godfrey & Kahn, S.C., as well
as any local counsel to Borrower for each jurisdiction in which an Obligor is
organized, in each case, in form and substance reasonably satisfactory to
Agent. 

(i)Agent shall have received copies of the charter documents of each Obligor,
certified by the Secretary of State or other appropriate official of such
Obligor's jurisdiction of organization.  Agent shall have received good standing
certificates for each Obligor, issued by the Secretary of State or other
appropriate official of such Obligor's jurisdiction of organization. 

(j)Agent shall have received copies of policies or certificates of insurance for
the insurance policies carried by Borrower, all in compliance with the Loan
Documents. 

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(k)Since December 31, 2016, there has been no circumstance, event or condition
that has or could reasonably be expected to have a Material Adverse Effect. 

(l)No action, suit, investigation, litigation or proceeding pending or
threatened in any court or before any arbitrator or governmental instrumentality
that (i) could reasonably be expected to have a Material Adverse Effect; or (ii)
could reasonably be expected to materially and adversely affect the
Transactions. 

(m)Agent shall have received, in form and substance satisfactory to Agent, (i) a
pro forma balance sheet of Borrower and its Subsidiaries dated as of the Closing
Date, (ii) financial projections of Borrower and its Subsidiaries, evidencing
Borrower's ability to comply with the financial covenant set forth in the Loan
Documents, and (iii) interim financial statements for Borrower and its
Subsidiaries as of a date not more than forty-five (45) days prior to the
Closing Date. 

(n)Agent shall have received reasonably satisfactory evidence that Borrower has
received all governmental and third party consents and approvals as may be
appropriate in connection with the Transactions. 

(o)Agent shall have completed its customary business, financial, legal, tax,
environmental and collateral due diligence, with results reasonably satisfactory
to Agent and its counsel.  Such due diligence shall include, without limitation,
the following:  (i) face to face meetings with management, (ii) review of the
Obligors' books, systems and records, (iii) an updated quality of earnings
review of the Obligors' financials by a third party firm reasonably acceptable
to Agent with results reasonably satisfactory to Agent (the "Quality of Earnings
Report"), (iv) Borrower's detailed five year business plan with the first two
(2) years prepared on a quarterly basis, (v) background checks on key
management, and (vi) review of ERISA, regulatory, environmental, intellectual
property, litigation, accounting, tax, licensing, certification and permit
matters and labor matters, in each case, with results reasonably satisfactory to
Agent in its reasonable discretion. 

(p)Borrower shall have paid all fees and expenses to be paid to Agent and
Lenders on the Closing Date. 

(q)After giving effect on a pro forma basis to the funding of the Term A Loan
and any funding of loans and issuance of letters of credit under the Revolving
Loan Agreement on the Closing Date, the consummation of the Transactions and the
payment by Borrower of all fees and expenses incurred in connection with the
Transactions, as well as any payables stretched beyond their customary payment
practices, (i) Availability shall be at least $20,000,000 and (ii) the average
daily amount of Revolving Loans for the 365-day period immediately preceding
such date shall be not greater than $35,000,000. 

(r)Agent shall have received evidence, in form and substance reasonably
satisfactory to Agent, that EBITDA of Borrower and its Subsidiaries (using
methodology substantially consistent with the determination of EBITDA in the
Quality of Earnings Report, but excluding from the determination of EBITDA the
add-back for public company costs and expenses  

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in an amount equal to $1,698,000), for the twelve (12) Fiscal Month period
ending on or about February 25, 2017 was equal to or greater than $49,500,000.

(s)After giving pro forma effect to the Loans made hereunder on the Closing Date
and the Revolving Loans made by Revolving Loan Lenders on the Closing Date, the
Net Senior Leverage Ratio for Borrower and its Subsidiaries, on a consolidated
basis, for the four (4) consecutive Fiscal Quarters ending on or about December
31, 2016 shall be less than or equal to 3.35 to 1.00. 

(t)Agent shall have received true, correct and complete copies of the Closing
Date Revolving Loan Agreement Amendment and the other Revolving Loan Documents,
all of which shall be in form and substance reasonably satisfactory to Agent,
duly authorized, executed and delivered by the parties thereto and in effect on
the Closing Date, and the transactions contemplated by the Revolving Loan
Documents shall be consummated simultaneously with the making of the initial
Loans hereunder. 

(u)Agent shall have received a payoff letter from Existing Agent, in form and
substance reasonably satisfactory to Agent, providing that, among other things,
all of the Indebtedness of the Obligors under the Existing Loan Documents will
be paid and satisfied in full upon Existing Agent's receipt of the amount set
forth therein. 

(v)Agent shall have received written instructions from Borrower directing the
application of proceeds of the Term A Loan made pursuant to this Agreement. 

(w)Agent shall have received an executed Notice of Borrowing. 

(x)No Default or Event of Default shall exist at the time of, or result from,
such funding, issuance or grant. 

(y)The representations and warranties of each Obligor in the Loan Documents
shall be true and correct on the date of, and upon giving effect to, the funding
of Term A Loan (except for representations and warranties that expressly relate
to an earlier date). 

(z)A duly executed W-9 (or such other applicable IRS tax form) of the Borrower. 

SECTION 7.  COLLATERAL 

7.1Cash Collateral 

.  Cash Collateral may be invested, at Agent's discretion< (and with the consent
of Borrower, as long as no Event of Default exists)>, but Agent shall have no
duty to do so, regardless of any agreement or course of dealing with Borrower,
and shall have no responsibility for any investment or loss.  As security for
its Obligations, Borrower hereby grants to Agent a security interest in and Lien
upon all Cash Collateral held from time to time and all proceeds thereof,
whether held in a Cash Collateral Account or otherwise.  Agent may apply Cash
Collateral to the payment of such Obligations as they become due, in such order
as Agent may elect.  The Cash Collateral Account and all Cash Collateral shall
be under the sole dominion and control of Agent, and neither Borrower nor any
other Person (subject to the terms of the

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Intercreditor Agreement) shall have any right to any Cash Collateral, until Full
Payment of the Obligations.

7.2Real Estate Collateral 

.  The Obligations shall also be secured by Mortgages upon all Real Estate owned
by Obligors set forth on Schedule 8.6.1, which such Mortgages shall be
delivered, along with the Related Real Estate Documents, within thirty (30) days
of the <Closing>Fifth Amendment Effective Date (which period may be extended
with the reasonable consent of Agent).  The Mortgages shall be duly recorded, at
Borrower's expense, in each office where such recording is required to
constitute a fully perfected Lien on the Real Estate covered thereby.  If
Borrower acquires Real Estate< hereafter having a fair market value in excess of
$2,000,000>, Borrower shall, within thirty (30) days (or such longer period as
Agent may reasonably consent) of such acquisition, execute, deliver and record a
Mortgage sufficient to create a first-priority fully perfected Lien in favor of
Agent on such Real Estate and shall deliver all Related Real Estate Documents.

7.3Other Collateral. 

7.3.1Commercial Tort Claims.  Borrower shall promptly notify Agent in writing if
Borrower has a Commercial Tort Claim< (other than, as long as no Event of
Default exists, a Commercial Tort Claim for less than $500,000)>, shall promptly
amend Schedule 9.1.16 to include such claim, and shall take such actions as
Agent deems appropriate to subject such claim to a duly perfected, first
priority Lien in favor of Agent. 

7.3.2Certain After-Acquired Collateral.  Borrower shall promptly notify Agent in
writing if, after the Closing Date, Borrower obtains any interest in any
Collateral consisting of Deposit Accounts, Chattel Paper, Documents,
Instruments, Intellectual Property, Investment Property or Letter-of-Credit
Rights <with a value in excess of $500,000 for any such item of Collateral >and,
upon Agent's reasonable request, shall promptly take such actions as Agent deems
appropriate to effect Agent's duly perfected, first priority Lien upon such
Collateral, including obtaining any appropriate possession or control agreement
or Lien Waiver.  Notwithstanding anything herein to the contrary, Borrower shall
not take any action to perfect or record any security interest in any part of
the Collateral under the laws of any jurisdiction outside of the United States
of America.  If any Collateral is in the possession of a third party, at Agent's
request, Borrower shall use commercially reasonable efforts to obtain an
acknowledgment that such third party holds the Collateral for the benefit of
Agent.  

7.4Limitations 

.  The Lien on Collateral granted under any Loan Document is given as security
only and shall not subject Agent or any Lender to, or in any way modify, any
obligation or liability of Obligors relating to any Collateral.

7.5Further Assurances 

.  All Liens granted to Agent under the Loan Documents are for the benefit of
Secured Parties.  Promptly upon Agent's reasonable request, Obligors shall
deliver such instruments and agreements, and shall take such actions, as Agent
reasonably deems appropriate under Applicable Law to evidence or perfect its
Lien on any Collateral, or otherwise to give effect to the intent of this
Agreement.  Each Obligor authorizes Agent to file any financing statement that
describes the Collateral as "all assets" or "all personal property" of such
Obligor, or

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words to similar effect, and ratifies any action taken by Agent before the
Closing Date to effect or perfect its Lien on any Collateral.

SECTION 8.  COLLATERAL ADMINISTRATION 

8.1Borrowing Base Certificates 

.  Concurrent with its delivery to the Revolving Loan Agent, Borrower shall
deliver to Agent (and Agent shall promptly deliver same to Lenders) a Borrowing
Base Certificate prepared as of the close of business of the previous
<month>week.

8.2Administration of Accounts. 

8.2.1Records and Schedules of Accounts.  Borrower shall keep accurate and
complete records of its Accounts, including all payments and collections
thereon, and shall submit to Agent sales, collection, reconciliation and other
reports in form reasonably satisfactory to Agent, on such periodic basis as
Agent may request.  Borrower shall also promptly provide to Agent, upon Agent's
request, a detailed aged trial balance of all Accounts as of the end of the
preceding month, specifying each Account's Account Debtor name and address,
amount, invoice date and due date, showing any discount, allowance, credit,
authorized return or dispute, and including such proof of delivery, copies of
invoices and invoice registers, copies of related documents, repayment
histories, status reports and other information as Agent may reasonably
request. 

8.2.2Taxes.  If an Account of Borrower includes a charge for any Taxes, Agent is
authorized, in its discretion, to pay the amount thereof to the proper taxing
authority for the account of Borrower, and all documented charges, expenses and
fees Agent may incur in doing the foregoing shall be at the sole expense of
Borrower and payable by Borrower to Agent not later than ten (10) Business Days
after written demand; provided, however, that neither Agent nor Lenders shall be
liable for any Taxes that may be due from Borrower or with respect to any
Collateral. 

8.2.3[Intentionally Omitted]. 

8.2.4Maintenance of Dominion Account.  Obligors shall maintain Dominion Accounts
pursuant to lockbox or other arrangements reasonably acceptable to Agent.
 Obligors shall obtain a Deposit Account Control Agreement or a Securities
Account Control Agreement, in each case in form and substance reasonably
satisfactory to Agent, from each lockbox servicer and Dominion Account bank,
establishing Agent's control over and fully perfected Lien in the lockbox or
Dominion Account, subject only to certain Permitted Liens, including for the
avoidance of doubt, the Lien in favor of the Revolving Loan Agent with the
priority provided for in the Intercreditor Agreement, requiring the immediate
deposit of all remittances received in any lockbox to a Dominion Account, and
waiving offset rights of such servicer or bank, except for customary
administrative charges.  Prior to a Cash Dominion Trigger Period, Agent shall
not deliver a notice of Exclusive Control with respect to any Dominion Account.
 During a Cash Dominion Trigger Period, each Obligor hereby irrevocably waives
the right to direct the application of funds in a Dominion Account and agrees
that, subject to the Intercreditor Agreement, Agent may and, upon the written
direction of the Required Lenders given at any time during such Cash Dominion
Trigger Period, shall deliver a notice of exclusive control (as described in
each Deposit Account Control Agreement) to each <Dominion>applicable bank for
each  

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Dominion Account, and thereafter require immediate transfer of all funds in such
account to a Dominion Account maintained with Bank of America or another bank
satisfactory to Agent.  Agent and Lenders assume no responsibility to Borrower
for any lockbox arrangement or Dominion Account, including any claim of accord
and satisfaction or release with respect to any Payment Items accepted by any
bank.

8.2.5Proceeds of Collateral.  Borrower shall request in writing and otherwise
take all necessary steps to ensure that all payments on Accounts or otherwise
relating to Collateral are made directly to a Dominion Account (or a lockbox
relating to a Dominion Account).  If Borrower or any Subsidiary receives cash or
Payment Items with respect to any Collateral, it shall hold same in trust for
Agent and promptly (not later than the next Business Day) deposit same into a
Dominion Account. 

8.3Administration of Inventory 

.  Borrower shall keep accurate and complete records of its Inventory, including
costs and daily withdrawals and additions, and shall submit to Agent inventory
and reconciliation reports in form reasonably satisfactory to Agent, on such
periodic basis as Agent may request.  Borrower shall conduct periodic cycle
counts consistent with historical practices, and shall, upon Agent's request,
provide to Agent a report based on each such inventory and count promptly upon
completion thereof, together with such supporting information as Agent may
request.  Agent may participate in and observe each physical count.

8.4Administration of Equipment. 

8.4.1Records and Schedules of Equipment.  Borrower shall keep accurate and
complete records of its Equipment, including kind, quality, quantity, cost,
acquisitions and dispositions thereof, and shall submit to Agent, on such
periodic basis as Agent may request, a current schedule thereof, in form
satisfactory to Agent.  Promptly upon request, Borrower shall deliver to Agent
evidence of their ownership or interests in any Equipment. 

8.4.2Dispositions of Equipment.  Borrower shall not sell, lease or otherwise
dispose of any Equipment, without the prior written consent of Agent, other than
a Permitted Asset Disposition. 

8.5Administration of Deposit Accounts and Securities Accounts 

.  Schedule 8.5 sets forth all Deposit Accounts and Securities Accounts
maintained by Obligors, including all Dominion Accounts of Obligors.  Each
Obligor shall obtain a Deposit Account Control Agreement or a Securities Account
Control Agreement, in each case in form and substance satisfactory to Agent,
from each lockbox servicer and each institution maintaining a Deposit Account or
Securities Account, as applicable, establishing Agent's control over each such
Deposit Account and each such Securities Account (other than (x) an account
exclusively used for payroll, payroll taxes or employee benefits, (y) a zero
balance disbursement account, or (z) an account containing not more than
$150,000 at any time, provided, however that amounts on deposit in all such
accounts under this clause (z) do not exceed $1,000,000 at any time).  Each
Obligor shall be the sole account holder of each Deposit Account and each
Securities Account and shall not allow any other Person (other than Agent, and,
solely to the extent provided for in the Intercreditor Agreement and each
Deposit Account Control Agreement or Securities Account Control Agreement,
Revolving Loan Agent) to have control over a Deposit Account, Securities Account

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or any Property deposited therein.  During a Cash Dominion Trigger Period, each
Obligor hereby agrees that, subject to the Intercreditor Agreement, Agent may
and, upon the written direction of the Required Lenders given at any time during
such Cash Dominion Trigger Period, shall deliver a notice of exclusive control
(as described in each Deposit Account Control Agreement) to each institution
maintaining a Deposit Account covered by a Deposit Account Control Agreement,
and thereafter require immediate transfer of all funds in such account to a
Dominion Account maintained with Bank of America or another bank satisfactory to
Agent.  Each Obligor shall promptly notify Agent of any opening or closing of a
Deposit Account or Securities Account and, with the consent of Agent, will amend
Schedule 8.5 to reflect same, which amendment shall be effective notwithstanding
any other requirements set forth herein relating to the approval of amendments.

8.6General Provisions. 

8.6.1Location of Collateral.  All tangible items of Collateral, other than
Inventory in transit, shall at all times be kept by Obligors at the business
locations set forth in Schedule 8.6.1, except that Obligors may (a) make sales
or other dispositions of Collateral in accordance with Section 10.2.6; and
(b) move Collateral to another location in the United States, upon twenty (20)
Business Days prior written notice to Agent. 

8.6.2Insurance of Collateral; Condemnation Proceeds. 

(a)Each Obligor shall maintain insurance with respect to the Collateral,
covering casualty, hazard, theft, malicious mischief, flood and other risks, in
amounts, with endorsements and with insurers (with a Best's Financial Strength
Rating of at least A+, unless otherwise approved by Agent in its discretion)
reasonably satisfactory to Agent.  Subject to the terms of the Intercreditor
Agreement, all proceeds under each policy shall be payable to Agent.  From time
to time upon request, Obligors shall deliver to Agent the originals or certified
copies of its insurance policies and updated flood plain searches.  Unless Agent
shall agree otherwise and except as provided in the Intercreditor Agreement,
each policy shall include satisfactory endorsements (i) showing Agent as loss
payee (as its interests may appear in accordance with the Intercreditor
Agreement); (ii) requiring thirty (30) days prior written notice to Agent in the
event of cancellation of the policy for any reason whatsoever; and (iii)
specifying that the interest of Agent shall not be impaired or invalidated by
any act or neglect of any Obligor or the owner of the Property, nor by the
occupation of the premises for purposes more hazardous than are permitted by the
policy.  If any Obligor fails to provide and pay for any insurance, Agent may,
at its option, but shall not be required to, procure the insurance and charge
Obligors therefor.  Each Obligor agrees to deliver to Agent, promptly as
rendered, copies of all reports made to insurance companies.  While no Event of
Default exists, Obligors may settle, adjust or compromise any insurance claim,
as long as the proceeds are delivered to Agent.  If an Event of Default exists,
only Agent shall be authorized to settle, adjust and compromise such claims.  

(b)Subject to the terms of the Intercreditor Agreement so long as the Revolving
Loan Facility is in effect, any proceeds of insurance (other than proceeds from
workers' compensation or D&O insurance) and any awards arising from condemnation
of any Collateral (other than ABL Priority Collateral) shall be paid to Agent.
 Subject to the Intercreditor Agreement  

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so long as the Revolving Loan Facility is in effect, any proceeds or awards that
relate to Collateral (other than ABL Priority Collateral) shall be applied to
the Loans and then to other Obligations.

8.6.3Protection of Collateral.  All expenses of protecting, storing,
warehousing, insuring, handling, maintaining and shipping any Collateral, all
Taxes payable with respect to any Collateral (including any sale thereof), and
all other payments required to be made by Agent to any Person to realize upon
any Collateral, shall be borne and paid by Borrower.  Agent shall not be liable
or responsible in any way for the safekeeping of any Collateral, for any loss or
damage thereto (except for reasonable care in its custody while Collateral is in
Agent's actual possession), for any diminution in the value thereof, or for any
act or default of any warehouseman, carrier, forwarding agency or other Person
whatsoever, but the same shall be at Borrower's sole risk. 

8.6.4Defense of Title.  Borrower shall defend its title to Collateral and
Agent's Liens therein against all Persons, claims and demands, except Permitted
Liens. 

8.7Power of Attorney 

.  Borrower hereby irrevocably constitutes and appoints Agent (and all Persons
designated by Agent) as Borrower's true and lawful attorney (and agent-in-fact)
for the purposes provided in this Section.  Agent, or Agent's designee, may,
without notice and in either its or Borrower's name, but at the cost and expense
of Borrower:

(a)Endorse Borrower's name on any Payment Item or other proceeds of Collateral
(including proceeds of insurance) that come into Agent's possession or control;
and 

(b)During an Event of Default, (i) notify any Account Debtors of the assignment
of their Accounts, demand and enforce payment of Accounts by legal proceedings
or otherwise, and generally exercise any rights and remedies with respect to
Accounts; (ii) settle, adjust, modify, compromise, discharge or release any
Accounts or other Collateral, or any legal proceedings brought to collect
Accounts or Collateral; (iii) sell or assign any Accounts and other Collateral
upon such terms, for such amounts and at such times as Agent deems advisable;
(iv) collect, liquidate and receive balances in Deposit Accounts or investment
accounts, and take control, in any manner, of proceeds of Collateral;
(v) prepare, file and sign Borrower's name to a proof of claim or other document
in a bankruptcy of an Account Debtor, or to any notice, assignment or
satisfaction of Lien or similar document; (vi) receive, open and dispose of mail
addressed to Borrower, and notify postal authorities to deliver any such mail to
an address designated by Agent; (vii) endorse any Chattel Paper, Document,
Instrument, bill of lading, or other document or agreement relating to any
Accounts, Inventory or other Collateral; (viii) use Borrower's stationery and
sign its name to verifications of Accounts and notices to Account Debtors;
(ix) use information contained in any data processing, electronic or information
systems relating to Collateral; (x) make and adjust claims under insurance
policies; (xi) take any action as may be necessary or appropriate to obtain
payment under any letter of credit, banker's acceptance or other instrument for
which Borrower is a beneficiary; and (xii) take all other actions as Agent deems
appropriate to fulfill Borrower's obligations under the Loan Documents. 

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SECTION 9.  REPRESENTATIONS AND WARRANTIES 

9.1General Representations and Warranties 

.  To induce Agent and Lenders to enter into this Agreement and to make
available the Commitments and Loans, each Obligor represents and warrants that:

9.1.1Organization and Qualification.  Each Obligor and its Subsidiaries is duly
organized, validly existing and in good standing under the laws of the
jurisdiction of its organization.  Each Obligor and its Subsidiaries is duly
qualified, authorized to do business and in good standing as a foreign
corporation in each jurisdiction where failure to be so qualified could
reasonably be expected to have a Material Adverse Effect.  No Obligor is an EEA
Financial Institution. 

9.1.2Power and Authority.  Each Obligor is duly authorized to execute, deliver
and perform its obligations under the Loan Documents to which it is a party.
 The execution, delivery and performance of the Loan Documents to which such
Obligor is a party have been duly authorized by all necessary action, and do not
(a) require any consent or approval of any holders of Equity Interests of any
Obligor, except those already obtained; (b) contravene the Organic Documents of
any Obligor; (c) violate or cause a default under any Applicable Law or Material
Contract; or (d) result in or require imposition of a Lien (other than Permitted
Liens) on any Obligor's Property. 

9.1.3Enforceability.  Each Loan Document is a legal, valid and binding
obligation of each Obligor party thereto, enforceable in accordance with its
terms, except as enforceability may be limited by bankruptcy, insolvency,
fraudulent conveyance, fraudulent transfer, reorganization, moratorium or
similar laws affecting the enforcement of creditors' rights generally and by
general equitable principles (whether enforcement is sought by proceedings in
equity or at law). 

9.1.4Capital Structure.  Schedule 9.1.4 shows Borrower's legal name and
jurisdiction of organization.  Schedule 9.1.4 shows, for each Subsidiary of
Borrower, its name, jurisdiction of organization, authorized and issued Equity
Interests, holders of its Equity Interests, and agreements binding on such
holders with respect to such Equity Interests.  Except as disclosed on Schedule
9.1.4, in the five (5) years preceding the <Closing>Fifth Amendment Effective
Date, no Obligor nor any of its Subsidiaries has acquired any substantial assets
from any other Person nor been the surviving entity in a merger or combination.
 Each Obligor has good title to its Equity Interests in its Subsidiaries,
subject only to Agent's Lien and the Lien in favor of Revolving Loan Agent under
the Revolving Loan Documents, and all such Equity Interests are duly issued,
fully paid and non-assessable.  There are no outstanding purchase options,
warrants, subscription rights, agreements to issue or sell, convertible
interests, phantom rights or powers of attorney relating to Equity Interests of
any Subsidiaries of Borrower. 

9.1.5Title to Properties; Priority of Liens.  Each Obligor and its Subsidiaries
has, in all material respects, good and marketable title to (or valid leasehold
interests in) all of its material Real Estate, and good title to all of its
material personal Property, including all Property reflected in any financial
statements delivered to Agent or Lenders, in each case free of Liens except
Permitted Liens.  Each Obligor and its Subsidiaries has paid and discharged or
is being  

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Properly Contested all lawful claims that, if unpaid, could become a Lien on its
Properties, other than Permitted Liens.  All Liens of Agent in the Collateral
are duly perfected, first priority Liens, subject only to the Intercreditor
Agreement and Permitted Liens that are expressly allowed to have priority over
Agent's Liens.

9.1.6[Intentionally Omitted]. 

9.1.7Financial Statements.  The consolidated and consolidating balance sheets,
and related statements of income, cash flow and shareholders' equity, of
Borrower and its Subsidiaries that have been and are hereafter delivered to
Agent and Lenders, are prepared in accordance with GAAP, and fairly present the
financial positions and results of operations of Borrower and its Subsidiaries
at the dates and for the periods indicated.  All projections delivered from time
to time to Agent and Lenders have been prepared in good faith, based on
reasonable assumptions in light of the circumstances at such time.  Since
December 31, 2016, there has been no change in the condition, financial or
otherwise, of Borrower or Subsidiary that could reasonably be expected to have a
Material Adverse Effect.  No financial statement delivered to Agent or Lenders
at any time contains any untrue statement of a material fact, nor fails to
disclose any material fact necessary to make such statement not materially
misleading.  Borrower individually is, and Borrower and each of its Subsidiaries
on a consolidated basis, are Solvent. 

9.1.8Surety Obligations.  No Obligor nor any of its Subsidiaries is obligated as
surety or indemnitor under any bond or other contract that assures payment or
performance of any obligation of any Person, except as permitted hereunder. 

9.1.9Taxes.  Each Obligor and its Subsidiaries has filed all material federal,
state and local tax returns and other reports that it is required by law to
file, and has paid, or made provision for the payment of, all material Taxes
upon it, its income and its Properties that are due and payable, except to the
extent being Properly Contested.  The provision for Taxes on the books of each
Obligor and its Subsidiaries is adequate for all years not closed by applicable
statutes, and for its current Fiscal Year. 

9.1.10Brokers.  There are no brokerage commissions, finder's fees or investment
banking fees payable in connection with any transactions contemplated by the
Loan Documents other than an engagement letter entered into by and between the
Borrower and Bank of America, N.A. 

9.1.11Intellectual Property.  Each Obligor and its Subsidiaries owns or is
licensed to use all Intellectual Property material to its respective business,
and neither the use thereof nor the conduct of their respective businesses
infringes, misappropriates or otherwise violates the Intellectual Property
rights of any other Person, except for any such infringements, misappropriations
and other violations that could not reasonably be expected, individually or in
the aggregate, to result in a Material Adverse Effect.  Except as disclosed on
Schedule 9.1.11, no Borrower or Subsidiary pays or owes in excess of $250,000 in
any Fiscal Year any royalty or other compensation to any Person with respect to
any Intellectual Property.  All Intellectual Property registered or pending
registration with the United States Copyright Office or the United States Patent
and Trademark Office owned by any Obligor or Subsidiary is shown on Schedule
9.1.11. 

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9.1.12Governmental Approvals.  Each Obligor and its Subsidiaries has, is in
compliance with, and is in good standing with respect to, all Governmental
Approvals necessary to conduct its business and to own, lease and operate its
Properties.  All necessary import, export or other licenses, permits or
certificates for the import or handling of any goods or other Collateral have
been procured and are in effect, and Obligors and their Subsidiaries have
complied with all foreign and domestic laws with respect to the shipment and
importation of any goods or Collateral, except where noncompliance could not
reasonably be expected to have a Material Adverse Effect. 

9.1.13Compliance with Laws.  Each Obligor and its Subsidiaries has duly
complied, and its Properties and business operations are in compliance, in all
material respects with all Applicable Law, except where noncompliance could not
reasonably be expected to have a Material Adverse Effect.  There have been no
citations, notices or orders of noncompliance issued to any Obligor or any of
its Subsidiaries under any Applicable Law that could reasonably be expected to
have a Material Adverse Effect.  No Inventory has been produced in violation of
the FLSA. 

9.1.14Compliance with Environmental Laws.  Except as disclosed on Schedule
9.1.14 or as could not reasonably be expected, individually or in the aggregate,
to have a Material Adverse Effect, (i) no Obligor's nor any of its Subsidiaries'
past or present operations, Real Estate or other Properties are subject to any
federal, state or local investigation to determine whether any remedial action
is needed to address any environmental pollution, hazardous material or
environmental clean-up; (ii) no Obligor nor any of its Subsidiaries has received
any Environmental Notice; and (iii) no Obligor nor any of its Subsidiaries has
any contingent liability with respect to any Environmental Release,
environmental pollution or hazardous material on any Real Estate now or
previously owned, leased or operated by it. 

9.1.15Burdensome Contracts.  No Obligor nor any of its Subsidiaries is party or
subject to any Restrictive Agreement, except as shown on Schedule 9.1.15.  No
such Restrictive Agreement prohibits the execution, delivery or performance of
any Loan Document by an Obligor. 

9.1.16Litigation.  Except as shown on Schedule 9.1.16, there are no proceedings
or investigations pending or, to any Obligor's knowledge, threatened against any
Obligor or any of its Subsidiaries, or any of their businesses, operations,
Properties, prospects or conditions, that (a) relate to any Loan Documents or
transactions contemplated thereby; or (b) could reasonably be expected to have a
Material Adverse Effect if determined adversely to any Obligor or any of its
Subsidiaries.  Except as shown on such Schedule, no Obligor has a Commercial
Tort Claim< (other than, as long as no Default or Event of Default exists, a
Commercial Tort Claim for less than $500,000)>.  No Obligor nor any of its
Subsidiaries is in default with respect to any order, injunction or judgment of
any Governmental Authority, except where such violation or default could not
reasonably be expected to result in a Material Adverse Effect. 

9.1.17No Defaults.  No event or circumstance has occurred or exists that
constitutes a Default or Event of Default.  No Obligor nor any of its
Subsidiaries is in default, and no event or circumstance has occurred or exists
that with the passage of time or giving of notice would constitute a default,
under any Material Contract.  

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9.1.18ERISA.  Except as disclosed on Schedule 9.1.18: 

(a)Except as could not reasonably be expected to result in a Material Adverse
Effect, (i) each Plan is in compliance in all material respects with the
applicable provisions of ERISA, the Code, and other federal and state laws and
(ii) each Plan that is intended to qualify under Section 401(a) of the Code has
received a favorable determination letter from the IRS or an application for
such a letter is currently being processed by the IRS with respect thereto and,
to the knowledge of Borrower, nothing has occurred which would prevent, or cause
the loss of, such qualification.  Each Obligor and ERISA Affiliate has met in
all material respects all applicable requirements under the Code, ERISA and the
Pension Protection Act of 2006 with respect to each Plan, and no application for
a waiver of the minimum funding standards or an extension of any amortization
period has been made with respect to any Plan. 

(b)There are no pending or, to the knowledge of Borrower, threatened claims,
actions or lawsuits, or action by any Governmental Authority, with respect to
any Plan that could reasonably be expected to have a Material Adverse Effect.
 There has been no prohibited transaction or violation of the fiduciary
responsibility rules with respect to any Plan that has resulted in or could
reasonably be expected to have a Material Adverse Effect. 

(c)Except as could not reasonably be expected to result in a Material Adverse
Effect, (i) no ERISA Event has occurred or is reasonably expected to occur; (ii)
no Pension Plan has any Unfunded Pension Liability; (iii) no Obligor or ERISA
Affiliate has incurred, or reasonably expects to incur, any liability (and no
event has occurred which, with the giving of notice under Section 4219 of ERISA,
would result in such liability) under Section 4201 or 4243 of ERISA with respect
to a Multiemployer Plan; and (iv) no Obligor or ERISA Affiliate has engaged in a
transaction that could reasonably be expected to be subject to Section 4069 or
4212(c) of ERISA. 

(d)Except as would not reasonably be expected to have a Material Adverse Effect,
with respect to any Foreign Plan, (i) all employer and employee contributions
required by law or by the terms of the Foreign Plan have been made, or, if
applicable, accrued, in accordance with normal accounting practices; (ii) the
fair market value of the assets of each funded Foreign Plan, the liability of
each insurer for any Foreign Plan funded through insurance, or the book reserve
established for any Foreign Plan, together with any accrued contributions, is
sufficient to procure or provide for the accrued benefit obligations with
respect to all current and former participants in such Foreign Plan according to
the actuarial assumptions and valuations most recently used to account for such
obligations in accordance with applicable generally accepted accounting
principles; and (iii) it has been registered as required and has been maintained
in good standing with applicable regulatory authorities. 

9.1.19Trade Relations.  There exists no actual or threatened termination,
limitation or modification of any business relationship between any Obligor or
its Subsidiaries and any customer or supplier, or any group of customers or
suppliers, which would have a Material Adverse Effect.  There exists no
condition or circumstance that could reasonably be expected to impair the
ability of Borrower or any Subsidiary to conduct its business at any time
hereafter in substantially the same manner as conducted on the Closing Date. 

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9.1.20Labor Relations.  Except as described on Schedule 9.1.20, no Obligor nor
any of its Subsidiaries is party to or bound by any collective bargaining
agreement, any management agreement or any material consulting agreement.
 Except as could not reasonably be expected to result in a Material Adverse
Effect, there are no material grievances, disputes or controversies with any
union or other organization of Borrower's or any Subsidiary's employees, or, to
Borrower's knowledge, any asserted or threatened strikes, work stoppages or
demands for collective bargaining. 

9.1.21Payable Practices.  No Obligor nor any of its Subsidiaries has made any
material change in its historical accounts payable practices from those in
effect on the Closing Date. 

9.1.22Not a Regulated Entity.  No Obligor is (a) an "investment company" or a
"person directly or indirectly controlled by or acting on behalf of an
investment company" within the meaning of the Investment Company Act of 1940; or
(b) subject to regulation under the Federal Power Act, the Interstate Commerce
Act, any public utilities code or any other Applicable Law regarding its
authority to incur Indebtedness. 

9.1.23Margin Stock.  Neither Borrower nor any Subsidiary is engaged, principally
or as one of its important activities, in the business of extending credit for
the purpose of purchasing or carrying any Margin Stock.  No proceeds of Loans
will be used by Borrower to purchase or carry, or to reduce or refinance any
Indebtedness incurred to purchase or carry, any Margin Stock or for any related
purpose governed by Regulations T, U or X of the Board of Governors. 

9.1.24OFAC; Anti-Corruption Laws. No Obligor nor any of its Subsidiaries, nor to
the knowledge of any Obligor or Subsidiary, any director, officer, employee,
agent, affiliate or representative thereof, is or is owned or controlled by any
individual or entity that is currently the subject or target of any Sanction or
is located, organized or resident in a Designated Jurisdiction. Each Obligor and
its Subsidiaries is in compliance with the Patriot Act. Borrower and each
Subsidiary has conducted its business in accordance with applicable
anti-corruption laws and has instituted and maintained policies and procedures
designed to promote and achieve compliance with such laws. 

9.1.25Revolving Loan Documents.  Agent has received true, correct and complete
copies of the Closing Date Revolving Loan Agreement Amendment and the other
Revolving Loan Documents.  None of the Revolving Loan Documents has been amended
or supplemented, nor have any of the provisions thereof been waived, except
pursuant to a written agreement or instrument which has heretofore been
delivered to Agent. 

9.1.26Designation as Senior Debt.  All Obligations are designated as "Designated
Senior Indebtedness" or "Senior Debt" (or any other defined term having a
similar purpose) under, and as defined in, any indenture or other agreement
related to Subordinated Debt. 

9.1.27Security Documents.  The Guarantee and Collateral Agreement is effective
to create in favor of Agent, for the benefit of the Secured Parties, a valid and
enforceable security interest in the Collateral described therein and proceeds
thereof, to the extent  

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contemplated by the Guarantee and Collateral Agreement.  Subject to Section
10.1.15, all actions have been taken <or will be taken promptly following the
Closing Date >which are necessary to cause the Guarantee and Collateral
Agreement to constitute, to the extent contemplated by the Guarantee and
Collateral Agreement and this Agreement, a fully perfected Lien on, and security
interest in, all right, title and interest of Obligors in the Collateral and the
proceeds thereof, as security for the Obligations, in each case prior and
superior in right to any other Person, except in the case of (a) Permitted
Liens, to the extent any such Permitted Liens would have priority over the Liens
in favor of Agent pursuant to any applicable law, or as otherwise permitted by
this Agreement and (b) Liens perfected only by possession or control (including
possession of any certificate of title) to the extent Agent has not obtained or
does not maintain possession or control of such Collateral.

9.2Accuracy of Information, Etc 

.  None of the information, report, financial statement, exhibit or schedule
(excluding the projections, forecasts or other forward-looking information and
financial information referred to below) furnished by or on behalf of Borrower
to Agent or any Lender in connection with the negotiation of any Loan Document
or included therein or delivered pursuant thereto contained, contains or will
contain as of the date the same was or is furnished any material misstatement of
fact or omitted, omits or will omit to state any material fact necessary to make
the statements therein, in the light of the circumstances under which they were,
are or will be made, not materially misleading; provided that, to the extent any
such information, report, financial statement, exhibit or schedule was based
upon or constitutes a forecast or projection (including the Budget), Borrower
represents and warrants only that such materials are based upon good faith
estimates and assumptions believed by management to be reasonable at the time
made, in light of the circumstances under which they were made and at the time
furnished (and based upon accounting principles consistent with the historical
audited financial statements of Borrower), and due care in the preparation of
such information, report, financial statement, exhibit or schedule (it being
understood that forecasts and projections are subject to uncertainties and that
there can be no assurance such results will be achieved).

SECTION 10.  COVENANTS AND CONTINUING AGREEMENTS 

10.1Affirmative Covenants 

.  As long as any Commitments or Obligations are outstanding, each Obligor
shall, and shall cause each Subsidiary to:

10.1.1Inspections; Appraisals; Maintenance of Books and Records. 

(a)Permit Agent <from time to>at any time, <subject (except when a Default or
Event of Default exists) to reasonable prior notice and during normal business
hours>with or without notice, to visit and inspect the Properties of any Obligor
or Subsidiary, inspect, audit and make extracts from any Obligor's or
Subsidiary's books and records, and discuss with its officers, employees,
agents, advisors and independent accountants such Obligor's or Subsidiary's
business, financial condition, assets, prospects and results of operations.
 Lenders may participate in any such visit or inspection, at their own expense.
 Neither Agent nor any Lender shall have any duty to any Obligor to make any
inspection, nor to share any results of any inspection, appraisal or report with
any Obligor.  Obligors acknowledge that all inspections, appraisals and reports
are prepared by Agent and Lenders for their purposes, and Obligors shall not be
entitled to rely upon  

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them.  <Notwithstanding the foregoing, all examinations, appraisals and reports
shall be subject to the limitations set forth in clause (b) below.>

(b)Agent shall be permitted to conduct, and shall be reimbursed by Borrower for
all reasonable and documented charges, costs and expenses  in connection with
(i) <up to one time per Loan Year, >business evaluations or other examinations,
including examinations of any Obligor's books and records or any other financial
matters as Agent deems appropriate; and (ii) <upon the occurrence and during the
continuation of a Default or Event of Default, up to one time per Loan Year,
>engaging the services of a third party firm acceptable to Agent for the purpose
of performing a quality of earnings report; provided, however, that <if an
evaluation or examination is initiated during a Default or Event of Default, all
reasonable and documented charges, costs and expenses therefor shall be
reimbursed by Borrower without regard to such limits>.  Borrower agrees to pay
Agent's then standard charges for examination activities, including the standard
charges of Agent's internal examination and appraisal groups, as well as the
charges of any third party used for such purposes. 

<(c) Agent may, at any time after March 31, 2019, engage the services of AAG,
and AAG shall at all times thereafter be granted by Borrower and its
Subsidiaries with full access to, and shall at all times thereafter have the
right to audit, check and inspect, in each case, subject to reasonable prior
notice and during normal business hours, the books, records, audits,
correspondence and all other papers relating to the operation of the business of
Borrower and its Subsidiaries.  All of the fees and out-of-pocket costs and
expenses of any engagement made, pursuant to this clause (c) shall be paid for
when due, in full and without deduction, off-set or counterclaim by Borrower.>

(c)(i) All times fully cooperate with AAG and any other consultant or financial
advisor engaged by Agent or Agent's counsel (an "Agent Consultant") and provide
Agent Consultant complete access at all times to all documentation, books and
records, places of business and premises, officers, directors, consultants,
employees, advisors and other agents of Obligors and their Subsidiaries and (ii)
promptly provide to Agent Consultant all budgets, records, projections,
financial information, reports and other information or documentation relating
to the Collateral, the financial condition, operations and prospects of Obligors
and their Subsidiaries, as requested by Agent, Agent's counsel or Agent
Consultant from time to time. Notwithstanding any terms of this Agreement or of
any other Loan Document to the contrary, Borrower will reimburse Agent in cash,
upon demand, for any and all fees, costs, expenses, and other charges incurred
by Agent relating to the engagement of and services provided by any Agent
Consultant from time to time. 

(d)Maintain proper books of record and account, in which full, true and correct
entries in conformity with GAAP consistently applied shall be made of all
financial transactions and matters involving the assets and business of Obligors
and Subsidiaries. 

10.1.2Financial and Other Information.  Keep adequate records and books of
account with respect to its business activities, in which proper entries are
made in accordance with GAAP reflecting all financial transactions; and furnish
to Agent and Lenders: 

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(a)as soon as available, and in any event within ninety (90) days after the
close of each Fiscal Year, balance sheets as of the end of such Fiscal Year and
the related statements of income, cash flow and shareholders' equity for such
Fiscal Year, on consolidated and consolidating bases for Borrower and its
Subsidiaries, which consolidated statements shall be audited and certified
(without any "going concern" or like qualification or exception or any
qualification or exception as to scope of audit) by a firm of independent
certified public accountants of recognized standing selected by Borrower and
acceptable to Agent, and shall set forth in comparative form corresponding
figures for the preceding Fiscal Year and other information acceptable to
Agent; 

(b)as soon as available, and in any event within forty-five (45) days after the
end of each of the first three Fiscal Quarters of each Fiscal Year (or, solely,
with respect to the Fiscal Quarter ending September 28, 2019, within thirty (30)
days after the end of such Fiscal Quarter), unaudited balance sheets as of the
end of such month and the related statements of income and cash flow for such
Fiscal Quarter and for the portion of the Fiscal Year then elapsed, on
consolidated and consolidating bases for Borrower and its Subsidiaries, setting
forth in comparative form corresponding figures for the preceding Fiscal Year
and certified by the chief financial officer of Borrower as prepared in
accordance with GAAP and fairly presenting the financial position and results of
operations for such month and period, subject to normal year-end adjustments and
the absence of footnotes; 

(c)as soon as available, and in any event within thirty (30) days after the end
of each month (but within sixty (60) days after the last month in a Fiscal
Year), unaudited balance sheets as of the end of such month and the related
statements of income and cash flow for such month and for the portion of the
Fiscal Year then elapsed, on consolidated and consolidating bases for Borrower
and its Subsidiaries, setting forth in comparative form corresponding figures
for the preceding Fiscal Year and certified by the chief financial officer of
Borrower as prepared in accordance with GAAP and fairly presenting the financial
position and results of operations for such month and period, subject to normal
year-end adjustments and the absence of footnotes; 

(d)concurrently with delivery of financial statements under clauses (a), (b) and
(c) above or the Budgets or Variance Reports under clause (l) below, or more
frequently if requested by Agent while a Default or Event of Default exists, a
Compliance Certificate executed by a Senior Officer of Borrower; 

(e)concurrently with delivery of financial statements under clause (a) above,
copies of all management letters and other material reports submitted to
Borrower by its accountants in connection with such financial statements; 

(f)not later than thirty (30) days after the end of each Fiscal Year,
projections of Borrower's consolidated balance sheets, results of operations,
cash flow and Availability for the next Fiscal Year, month by month and for the
next three (3) Fiscal Years, year by year; 

(g)at Agent's request, a listing of Borrower's trade payables, specifying the
trade creditor and balance due, and a detailed trade payable aging, all in form
reasonably satisfactory to Agent; 

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(h)promptly after the sending or filing thereof, copies of any proxy statements,
financial statements or reports that Borrower has made generally available to
its shareholders; copies of any regular, periodic and special reports or
registration statements or prospectuses that Borrower files with the Securities
and Exchange Commission or any other Governmental Authority, or any securities
exchange; and copies of any press releases or other statements made available by
Borrower to the public concerning material changes to or developments in the
business of Borrower; 

(i)promptly after the sending or filing thereof, copies of any annual report to
be filed in connection with each Plan or Foreign Plan; 

(j)promptly, and in any event within <five>two (<5>2) Business Days after the
execution thereof, copies of any notices (including notices of default),
amendments, waivers, consents, and forbearances delivered to, or received from,
(x) the Revolving Loan Agent under the Revolving Loan Facility<;> and (y) any
holders of the Specified Unsecured Prepetition Debt or Extended Prepetition
Debt;  

(k)such other reports and information (financial or otherwise) as Agent may
reasonably request from time to time in connection with any Collateral or
Borrower's, or any Subsidiary's or other Obligor's financial condition or
business<.>; and  

(l)as soon as available, and in any event on or before Wednesday of each week,
(x) an updated proposed Budget for the immediately succeeding thirteen-week
period, (y) a Variance Report and (z) a Budget and Variance Certificate, in each
case (i) prepared and reviewed by Obligors' management and certified by the
Borrower's chief financial officer, (ii) calculated as of the last Business Day
immediately preceding week, and (iii) in form and substance satisfactory to
Agent. 

10.1.3Notices.  Notify Agent and Lenders in writing, promptly after any Senior
Officer of Borrower obtains knowledge thereof, of any of the following that
affects an Obligor:  (a) the threat or commencement of any proceeding or
investigation, whether or not covered by insurance, if an adverse determination
could reasonably be expected to have a Material Adverse Effect; (b) any pending
or threatened labor dispute, strike or walkout, or the expiration of any
material labor contract; (c) any default under or termination of a Material
Contract; (d) the existence of any Default or Event of Default; (e) any judgment
in an amount exceeding $<1,000,000>250,000; (f) the assertion of any
Intellectual Property Claim, if its resolution would reasonably be expected to
have a Material Adverse Effect, (g) any violation or asserted violation of any
Applicable Law (including ERISA, OSHA, FLSA, or any Environmental Laws), for
which an adverse resolution could reasonably be expected to have a Material
Adverse Effect; (h) any Environmental Release by an Obligor or on any Property
owned, leased or occupied by an Obligor; or receipt of any Environmental Notice;
(i) the occurrence of any ERISA Event; (j) the discharge of or any withdrawal or
resignation by Borrower's independent accountants; (k) any opening of a new
office or place of business, at least thirty (30) days prior to such opening; or
(l) any other matter that could reasonably be expected to have a Material
Adverse Effect.  Each notice pursuant to this Section 10.1.3 shall be
accompanied by a statement of a Senior Officer setting forth details of the
occurrence referred to therein and stating what action Borrower or the relevant
Subsidiary proposes to take with respect thereto. 

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10.1.4Landlord and Storage Agreements.  Upon request, provide Agent with copies
of all existing agreements, and promptly after execution thereof provide Agent
with copies of all future agreements, between an Obligor and any landlord,
warehouseman, processor, shipper, bailee or other Person that owns any premises
at which any Collateral may be kept or that otherwise may possess or handle any
Collateral. 

10.1.5Compliance with Laws.  Comply with all Applicable Laws, including ERISA,
Environmental Laws, FLSA, OSHA, Anti-Terrorism Laws, and laws regarding
collection and payment of Taxes, and maintain all Governmental Approvals
necessary to the ownership of its Properties or conduct of its business, unless
failure to comply (other than failure to comply with Anti-Terrorism Laws) or
maintain could not reasonably be expected to have a Material Adverse Effect.
 Without limiting the generality of the foregoing, if any Environmental Release
occurs at or on any Properties of any Obligor or Subsidiary, it shall act
promptly and diligently to investigate and report to Agent and all appropriate
Governmental Authorities the extent of, and to make appropriate remedial action
to eliminate, such Environmental Release, all to the extent required by
Environmental Laws, whether or not directed to do so by any Governmental
Authority. 

10.1.6Taxes and Payment of Obligations.  Pay and discharge (a) all Taxes prior
to the date on which they become delinquent or penalties attach, unless such
Taxes are being Properly Contested; (b) all lawful claims which, if unpaid,
would by law become a Lien upon its Property; and (c) all Indebtedness, as and
when due and payable, but subject to any subordination provisions contained in
any instrument or agreement evidencing such Indebtedness. 

10.1.7Insurance.  In addition to the insurance required hereunder with respect
to Collateral, maintain insurance with insurers (with a Best Rating of at least
A7, unless otherwise approved by Agent) satisfactory to Agent, (a) with respect
to the Properties and business of Obligors and Subsidiaries of such type
(including product liability, workers' compensation, larceny, embezzlement, or
other criminal misappropriation insurance), in such amounts, and with such
coverages and deductibles as are customary for companies similarly situated; and
(b) business interruption insurance in an amount not less than $25,000,000, with
deductibles and subject to an Insurance Assignment satisfactory to Agent. 

10.1.8Licenses.  Keep each License <(other than as determined in its reasonable
business judgment);>and, at the end of each Fiscal Quarter, notify Agent of any
material proposed modification) to, or termination (other than expiration by its
terms) of, any such License, or entry into any new License. 

10.1.9Maintenance of Existence.  (a) Preserve, renew and maintain in full force
and effect its legal existence and good standing under the Applicable Laws of
the jurisdiction of its organization except in a transaction permitted by
Section 10.2.6 or 10.2.9; (b) take all reasonable action to maintain all rights,
privileges, permits, licenses and franchises necessary or desirable in the
normal conduct of its business, except to the extent that failure to do so could
not reasonably be expected to have a Material Adverse Effect; and (c) preserve
or renew all of its registered patents, trademarks, trade names and service
marks, the non-preservation of which could reasonably be expected to have a
Material Adverse Effect. 

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10.1.10Maintenance of Properties.  (a) Maintain, preserve and protect all of its
material properties and equipment necessary in the operation of its business in
good working order and condition, ordinary wear and tear and abandonment
excepted; and (b) make all necessary repairs thereto and renewals and
replacements thereof, in each case, except where the failure to do so could not
reasonably be expected to have a Material Adverse Effect. 

10.1.11Material Contracts.  Perform and observe all the terms and provisions of
each Material Contract to be performed or observed by it, maintain each such
Material Contract in full force and effect, enforce each such Material Contract
in accordance with its terms, take all such action to such end as may be from
time to time requested by Agent and, upon request of Agent, make to each other
party to each such Material Contract such demands and requests for information
and reports or for action as any Obligor or Subsidiary is entitled to make under
such Material Contract, and cause each of its Subsidiaries to do so<, except, in
any case, where the failure to do so, either individually or in the aggregate,
could not reasonably be expected to have a Material Adverse Effect>. 

10.1.12Designation as Senior Debt.  Designate all Obligations as "Designated
Senior Indebtedness" or "Senior Debt" (or any other defined term having a
similar purpose) under, and as defined in, any indenture or other agreement
related to Subordinated Debt. 

10.1.13Compliance with Terms of Leaseholds.  Make all payments and otherwise
perform all obligations in respect of all leases of real property to which any
Obligor or Subsidiary is a party, keep such leases in full force and effect and
not allow such leases to lapse or be terminated or any rights to renew such
leases to be forfeited or cancelled, notify Agent of any default by any party
with respect to such leases and cooperate with Agent in all respects to cure any
such default, and cause each of its Subsidiaries to do so, except, in any case,
where the failure to do so, either individually or in the aggregate, could not
be reasonably likely to have a Material Adverse Effect. 

10.1.14Future Subsidiaries.  (a) Promptly notify Agent upon any Person becoming
a Subsidiary (including, without limitation, upon the formation of any
Subsidiary that is a Delaware Divided LLC) and, if such Person is not an
Excluded Subsidiary, cause it to guaranty the Obligations in a manner
satisfactory to Agent<,> (<i>x) upon any Person becoming a Subsidiary (other
than an Excluded Subsidiary) or (<ii>y) if any Subsidiary that was an Excluded
Subsidiary but, as of the end of the most recently ended <Fiscal Quarter>month,
has ceased to be an Excluded Subsidiary; and (b) cause (i) the Equity Interests
of any such Subsidiary <that is not a Foreign Subsidiary and is not described in
clauses (e) or (f) of the definition of Excluded Subsidiary >to be pledged to
Agent <and 65% of the voting Equity Interests and 100% of the non-voting Equity
Interests of any such Subsidiary that is>(subject to any limitations applicable
to the pledge of voting stock of a Foreign Subsidiary <or any Subsidiary
described in clause (f) of the definition of Excluded Subsidiary that, in each
case, is not directly or indirectly owned by a Foreign Subsidiary to be pledged
to Agent>set forth in the Guarantee and Collateral Agreement); and (ii) such
Person to execute a Guarantee and Collateral Agreement Supplement in accordance
with the Guarantee and Collateral Agreement, and to execute and deliver such
documents, instruments and agreements and to take such other actions as Agent
shall require to evidence and perfect a Lien in favor of Agent (for the benefit
of Secured Parties) on all assets of such Person, including delivery of such
legal opinions, in form and substance satisfactory to Agent, as it shall deem
appropriate.   

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10.1.15Anti-Corruption Laws. Conduct its business in compliance with applicable
anti-corruption laws and maintain policies and procedures designed to promote
and achieve compliance with such laws. 

10.1.16Board Observation Rights. <Agent shall have the right to either >(a)
<appoint>Permit a single observer <to the >governing body of Borrower (the
"<Board of Directors") who shall be entitled>appointed by Agent to attend (or at
the option of such observer, monitor by telephone) all meetings of the governing
body of Borrower (the "Board of Directors") (other than any portions of any
meetings of the Board of Directors that constitute executive sessions or relate
to this Agreement or which involve the exchange of privileged attorney-client
information or work product), but shall not be entitled to vote, <or >(b)
<receive>provide such observer at least 1 Business Day's prior written notice of
each regular meeting of the Board of Directors, (c) provide such prior written
notice as is reasonably necessary under the circumstances to enable such
observer to attend each special or emergency meeting of the Board of Directors,
(d) provide such observer at least 1 Business Day's prior written notice of all
proposed actions by the Board of Directors (or committee thereof) and (e)
provide such observer all Board of Directors meeting materials, Board of
Directors notices and other materials (in each case other than any portions of
such reports or materials that contain confidential information (including with
respect to executive sessions) that relate to this Agreement or that contain
attorney-client privileged information or work product) as and when provided to
the members of the Board of Directors .  To the extent Agent elects to appoint
an observer in accordance with this Section 10.1.16, Borrower shall reimburse
Agent for a reasonable and documented out-of-pocket travel expenses incurred by
any such observer in connection with attendance at or participation in meetings<
to the extent consistent with Borrower's policies of reimbursing directors
generally for such expenses>. 

10.1.17Investment Banker. 

(a)(i) Continue to engage at all times an investment banker  pursuant to a
Qualified Investment Banker Engagement (the "Investment Banker"), provided,
however, in the event that Investment Banker resigns, is suspended, or has its
services modified, or is terminated at any time prior to the consummation of an
Acceptable Transaction, Obligors shall consummate a new Qualified Investment
Banker Engagement within five (5) Business Days after the date on which such
Investment Banker resigns, is suspended, or has its services modified, or is
terminated, (ii) cause the Investment Banker to promptly provide Agent, Lenders
and their respective agents, attorneys, advisors, and consultants (including,
without limitation, Agent Consultant), with such information, drafts, and
reports (including, without limitation, relating to the Specified Transaction,
the Specified Covenants, the Specified Prepetition Debt Satisfaction Event and
any other potential strategic alternatives or transactions), (iii) cause the
Investment Banker to be available for meetings or discussions (whether in person
or telephonically) with Agent, Lenders and their respective agents, attorneys,
advisors, and consultants (including, without limitation, Agent Consultant),
regarding the Specified Transaction, the Specified Covenants, the Specified
Prepetition Debt Satisfaction Event, and such other process for which the
Investment Banker was engaged, all as Agent and Lenders may request from time to
time (it being understood and agreed that Obligors may participate in such
meetings or discussions, provided that any Obligor's failure to elect to do so
will not prevent Agent or any Lender (or their respective agents, attorneys,
advisors, or consultants (including, without limitation, Agent Consultant)) from
proceeding with such meetings or discussions), (iv) cause the Investment Banker
to diligently pursue, and take all  

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commercially reasonable steps in connection with, the consummation of an
Acceptable Transaction and the Specified Prepetition Debt Satisfaction Event and
the satisfaction of the Specified Covenants, (v) not interfere with, hinder or
delay the performance of Investment Banker's responsibilities and obligations
under the Qualified Investment Banker Engagement and this Agreement and (vi) not
amend or otherwise modify in any manner the terms of the Investment Banker's
engagement with the Obligors in each case without the prior written consent of
the Agent.

(b)Except as otherwise agreed to in writing by Agent, all fees, costs and
expenses of the Investment Banker shall be solely the responsibility of
Obligors, and in no event will Agent or any Lender have any liability or
responsibility of any kind with respect to the Investment Banker (including,
without limitation, as to the payment of any of the Investment Banker's fees,
costs or expenses), and Agent and Lenders will not have any obligation or
liability of any kind or nature to Obligors, the Investment Banker or any other
Person by reason of any acts or omissions of the Investment Banker. 

10.1.18Use of Receipts and Revolving Loans. Solely (x) apply any receipts and
proceeds of Revolving Loans to pay such disbursements to the extent set forth in
the Budget, in such amounts as specified in the Budget (subject to variances
permitted under Section 10.3.5), as and when such amounts are due and payable
and (y) submit Borrowing Requests (as defined in the Revolving Loan Agreement)
in the amounts necessary to pay such disbursements to the extent set forth in
the Budget, in such amounts as specified in the Budget for the two week period
following the proposed funding date set forth in the applicable Borrowing
Request (subject to variances permitted under Section 10.3.5); provided,
however, any amounts described in Section 3.11 shall be due and payable in
accordance with Section 3.11 whether or not such amounts are set forth in the
Budget. 

10.1.19Specified Covenants.  

(a)From and after the Fifth Amendment Effective Date, diligently pursue a merger
or sale of all or substantially all of the assets of Obligors and their
Subsidiaries or the equity interests in Borrower (such merger or sale, the
"Specified Transaction"), which Specified Transaction (x) must be consummated on
or before the Outside Date, (y) must cause the Full Payment of all of the
Obligations upon the initial closing of Specified Transaction and (z) must
otherwise be on terms and conditions satisfactory to Agent (such Specified
Transaction that satisfies the conditions set forth in subclauses (x), (y) and
(z), an "Acceptable Transaction"). 

(b)Satisfy each of following covenants on or before the applicable dates
specified below, each of which may be extended by Agent in writing in its sole
direction unless otherwise expressly set forth below:   

(i)On or before the date that is 14 days following the Fifth Amendment Effective
Date, Obligors shall deliver to Agent a restructuring support agreement in
support of an Insolvency Proceeding with respect to each of the Obligors under
chapter 11 of the Bankruptcy Code, in form and substance satisfactory to Agent
and the Required Lenders, executed by Obligors, Mill Road Capital II, L.P.,
Zazove Associates, LLC and, if agreed to by Agent, the Revolving Loan Agent,
which restructuring support agreement provides for, among other things (x)
covenants and milestones in connection  

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with the pursuit of the sale of all or substantially all of the assets of
Obligors pursuant to section 363 or 1129 of the Bankruptcy Code that would
enable the Full Payment of all of the Obligations upon the initial closing of
such sale or effective date of the plan of reorganization, as applicable and (y)
to the extent a qualified bid for such sale has not been submitted that would
enable the Full Payment of all of the Obligations upon the initial closing of
such sale or effective date of such plan, at the election of Agent and Required
Lenders, covenants and milestones in connection with a plan of reorganization
that contemplates the exchange of all or a portion of the Obligations for
substantially all of the equity of the reorganized debtors on the effective date
of such plan;

(ii)On or before November 15, 2019, the Obligors shall deliver to Agent evidence
that a customary dataroom has been established with respect to the Specified
Transaction, to which Agent shall be granted irrevocable access and which will
include all relevant documents and information within Obligors' possession or
control; 

(iii)On or before November 25, 2019, the Obligors shall deliver to Agent at
least one indication of interest that provides for an Acceptable Transaction and
which indication of interest shall otherwise be in form and substance
satisfactory to Agent (including, without limitation, with respect to the
identity of the prospective purchaser, purchase price, adjustments, holdbacks,
escrows, closing conditions and the closing date) (each such indication of
interest, an "Acceptable IOI"); 

(iv)On or before December 15, 2019 (or, solely to the extent that prior to
December 15, 2019, a Specified Unsecured Prepetition Debt Satisfaction Event has
occurred, on or before February 15, 2020), the Obligors shall deliver to Agent
at least one non-binding term sheet that provides for an Acceptable Transaction
and which term sheet shall otherwise be in form and substance satisfactory to
Agent (including, without limitation, with respect to the identity of the
prospective purchaser, purchase price, adjustments, holdbacks, escrows, closing
conditions and the closing date) (each such term sheet, an "Acceptable Term
Sheet");  

(v)On or before January 10, 2020 (or, solely to the extent that prior to January
10, 2020, a Specified Unsecured Prepetition Debt Satisfaction Event has
occurred, on or before March 1, 2020), the Obligors shall deliver to Agent
either (x) at least one binding commitment letter, based on an Acceptable Term
Sheet timely delivered under subclause (iv) above and signed by the prospective
purchaser that provided such Acceptable Term Sheet, which commitment letter
provides for an Acceptable Transaction and is otherwise in form and substance
satisfactory to Agent (including, without limitation, with respect to the
identity of the prospective purchaser, purchase price, adjustments, holdbacks,
escrows, closing conditions and the closing date) (each such commitment letter,
an "Acceptable Commitment Letter") or (y) copies of drafts of documents, based
on an Acceptable Term Sheet timely delivered under subclause (iv) above, which
draft documents provide for an Acceptable Transaction and each of which shall be
in form and substance satisfactory to Agent (including, without limitation, with
respect to the identity of the prospective purchaser, purchase price,
adjustments, holdbacks, escrows, closing conditions and the closing date) (such
documents, the "Acceptable Draft Sale Documentation"); and 

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(vi)On or before the Outside Date, Obligors shall have (x) consummated an
Acceptable Transaction pursuant to an Acceptable Commitment Letter or Acceptable
Draft Sale Documentation timely delivered under subclause (v) above and (y)
caused the Full Payment of all of the Obligations. 

(c)On Tuesday of each week (or such other day acceptable to Agent), participate
in meetings or conference calls with Agent and its attorneys, representatives,
consultants (including Agent Consultant), agents or advisors, and will cause
senior members of management, the Investment Banker and other advisors and
consultants of Obligors, as applicable or as requested by Agent to participate
in such calls for the purpose of discussing the status of the financial,
collateral, and operational condition, businesses, liabilities, assets, and
prospects of the Obligors, any potential Specified Transaction and any potential
Specified Unsecured Prepetition Debt Satisfaction Event and provide to Agent, at
least one Business Days prior to any such meeting or conference call, copies of
any written materials prepared by any Obligor (or any of their attorneys,
representatives, consultants, agents, and advisors, including Investment Banker)
expected to be presented or discussed at such meeting or on such conference
call. 

(d)Cause any form of non-disclosure agreement or other confidentiality agreement
to be used by Investment Banker, Obligors or any of their attorneys, advisors,
consultants, directors, officers, executives or agents and any deviations from
such form requested by any prospective purchaser, lender or investor to be
substantially in the form of non-disclosure agreement previously provided to
Agent's counsel on October 16, 2019.  To the extent that any non-disclosure
agreement or other confidentiality agreement entered into by any Obligor (x)
restricts third parties from contacting or communicating with Agent or Lenders
without the approval of such Obligor (or the board of directors or similar
governing body of such Obligor) or (y) restricts or prohibits the acquisition of
(or any proposal to acquire) any interest, directly or indirectly, in the
Obligations or the Collateral, by assignment or otherwise, without the approval
of such Obligor (or the board of directors or similar governing body of such
Obligor), then, in each case of the foregoing subclauses (x) and (y), effective
upon the expiration or earlier termination of the Forbearance Period, each
Obligor (on behalf of itself and its board of directors or similar governing
body) hereby irrevocably consents (and each Obligor and its board of directors
or similar governing body shall be deemed to have given any required consent) to
permit such third parties to contact and communicate with Agent or the Lenders
and to permit the acquisition of (or proposal to acquire) any interests in the
Obligations or Collateral.  

(e)Comply with each of the following (and authorize and cause all of their
respective attorneys, advisors, consultants, directors, officers, executives or
agents, including the Investment Banker, to):  

(i)communicate directly with and make itself available to Agent and its
attorneys, representatives, consultants (including Agent Consultant), agents or
advisors, at such times as may be requested by Agent or its attorneys,
representatives, consultants (including Agent Consultant), agents or advisors;  

(ii)promptly (and in any event within two (2) Business Days) provide Agent and
its attorneys, representatives, consultants (including Agent Consultant), agents
and advisors with notice of (A) any written amendment, supplement, or other  

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modification of any kind to any confidentiality agreement, any indication of
interest, Acceptable Term Sheet, Acceptable Commitment Letter, Draft Sale
Documentation or any other documentation provided to Agent in connection with a
Specified Transaction or a Specified Unsecured Prepetition Debt Satisfaction
Event, (B) any notice of any kind, whether oral or written, from any potential
purchaser that such purchaser does not intend to proceed with the Specified
Transaction or any or all of the transactions set forth in any indication of
interest, Acceptable Term Sheet, Acceptable Commitment Letter, Draft Sale
Documentation or any other documentation provided to Agent in connection with a
Specified Transaction or a Specified Unsecured Prepetition Debt Satisfaction
Event, or to further negotiate the same and (C) any knowledge of (x) any
material change or development relating to the Specified Covenants or a
Specified Unsecured Prepetition Debt Satisfaction Event, or (y) any material
changes in the financial, collateral or operational condition, businesses,
assets, liabilities or prospects of any Obligors or any of its Subsidiaries;

(iii)promptly (and in any event within two (2) Business Days) provide Agent with
unredacted copies of all written materials provided to or produced by the
Obligors (or their attorneys, advisors, consultants, directors, officers,
executives or agents, including the Investment Banker) in connection with any
potential Specified Transaction or Specified Unsecured Prepetition Debt
Satisfaction Event, including, without limitation, unredacted copies of any and
all confidentiality agreements, term sheets, indications of interest, proposal
letters, letters of intent, definitive offers, commitment letters and any other
written materials indicating a potential Specified Transaction or Specified
Unsecured Prepetition Debt Satisfaction Event received by any of the Obligors or
any of their attorneys, advisors, consultants, directors, officers, executives
or agents, including the Investment Banker , and all such information and
reports as Agent may reasonably request from time to time relating to the status
and progress of the consummation of a Specified Transaction or Specified
Unsecured Prepetition Debt Satisfaction Event;  

(iv)continue to actively negotiate in good faith with all viable and active
potential purchasers, lenders or investors, as applicable that have provided any
indication of interest, Acceptable Term Sheet, Acceptable Commitment Letter,
Draft Sale Documentation or any other documentation provided to Agent in
connection with a Specified Transaction or a Specified Unsecured Prepetition
Debt Satisfaction Event to Obligors or any of their attorneys, advisors,
consultants, directors, officers, executives or agents (including Investment,
and will promptly notify Agent if any such negotiations cease or are suspended
by Obligors or any such prospective purchaser, lender or investor;  

(v)make Obligors, Investment Banker and Obligors' management and executives
available for presentations to, and interviews, meetings or calls with, each
prospective purchaser, lender or investor in connection a Specified Transaction
or a Specified Unsecured Prepetition Debt Satisfaction Event; and  

(vi)provide Agent and any of its attorneys, representatives, consultants
(including Agent Consultant), agents and advisors with unlimited access rights  

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and review rights at all times to any data room and any other information made
available to prospective purchasers, lenders or investors.

10.1.20Fifth Amendment Post-Closing Matters.  Satisfy each of following
covenants on or before the applicable dates specified below, each of which may
be extended by Agent in writing in its sole direction unless otherwise expressly
set forth below:   

(a)On or before the date that is 3 days from the Fifth Amendment Closing Date,
Obligors shall deliver to Agent a written opinion of counsel for the Obligors,
as well as any local counsel to Obligors for each jurisdiction in which an
Obligor is organized, in each case, in form and substance reasonably
satisfactory to Agent;  

(b)On or before the date that is 5 Business Days from the Fifth Amendment
Closing Date, Obligors shall deliver to Agent (x) a certificate, in form and
substance satisfactory to Agent, whereby each Obligor certifies that the
representations and warranties of each Obligor Sections 4(c), 4(d), 6(d), 7(d),
7(e), 7(f) and 9(a) in the Guarantee and Collateral Agreement are be true and
correct on the date of the delivery of such certificate and (y) to the extent
necessary in connection with the making of such representations and warranties,
amended and restated versions of Schedules 2 and 3 to the Guarantee and
Collateral Agreement; 

(c)On or before the date that is 7 Business Days from the Fifth Amendment
Closing Date, Obligors shall deliver to Agent certificates of insurance for the
insurance policies carried by Obligors, each in compliance with the Loan
Documents and otherwise in form and substance satisfactory to Agent;  

(d)Unless Agent (in consultation with Borrower) determines that pledging 100% of
the equity interests of each Foreign Subsidiary would result in a material
adverse tax consequences to Obligors in relation to the benefits to Agent and
the Lenders of the security afforded thereby, on or before the date that is 10
Business Days from the Fifth Amendment Closing Date, Obligors shall deliver to
Agent original stock certificates and accompanying stock powers with respect to
100% of the equity interests of each Foreign Subsidiary; and  

(e)On or before the date that is 30 days from the Fifth Amendment Effective
Date, Obligors shall deliver to Agent evidence, in form and substance
satisfactory to Agent, that each Immaterial Subsidiary has (i) been dissolved or
merged with and into an Obligor (with such Obligor as the surviving entity of
such merger) or (ii) executed a Guarantee and Collateral Agreement Supplement in
accordance with the Guarantee and Collateral Agreement and such other documents,
instruments and agreements and taken such other actions as Agent may require to
evidence and perfect a Lien in favor of Agent on all assets of such Immaterial
Subsidiary.  

10.2Negative Covenants 

.  As long as any Commitments or Obligations are outstanding (other than
unasserted contingent obligations not yet due and payable), Borrower shall not,
and shall cause each Subsidiary not to:

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10.2.1Permitted Indebtedness.  Create, incur, guarantee or suffer to exist any
Indebtedness, except the following (collectively, "Permitted Indebtedness"): 

(a)the Obligations (including Indebtedness in respect of the Delayed Draw Term
Loans); 

<(b) (i) Subordinated Debt incurred by Borrower after the Third Amendment
Effective Date that has either (x) been immediately applied as a prepayment to
the remaining installments of principal of the Term Loan in the inverse order of
maturity (for the avoidance of doubt, any amount that is due and payable on the
Maturity Date shall constitute an installment), (y) been deposited into escrow
with a third party escrow agent subject to an escrow agreement in form and
substance reasonably satisfactory to Agent and/or been set aside in a separate
and segregated Deposit Account that is subject to a Deposit Account Control
Agreement in favor of Agent and over which Agent has, subject to the
Intercreditor Agreement, exclusive control, in either case, which proceeds shall
only be released to repay the Specified Unsecured Prepetition Debt on the final
maturity date thereof, or (z) been applied as a prepayment of the Specified
Unsecured Prepetition Debt prior to the final maturity date thereof so long as,
and only to the extent that, both immediately before and immediately after
giving effect thereto the Payment Conditions are satisfied, and (ii) any
additional Subordinated Debt in an aggregate principal amount not to exceed
$5,000,000 at any time;>

(b)[reserved]; 

(c)Permitted Purchase Money Debt and Capital Lease Obligations; provided that
the aggregate amount of all Indebtedness incurred under this clause (c) does not
exceed $<2,000,000>1,000,000 at any time; 

(d)(i) Indebtedness outstanding on the Closing Date, listed on Schedule 10.2.1
and (ii) Indebtedness under the Revolving Loan Facility (including any
incremental facility thereunder), in an aggregate principal amount not to exceed
the Maximum ABL Principal Obligations (as defined in the Intercreditor
Agreement); 

(e)Indebtedness with respect to Bank Products (as defined in the Revolving Loan
Facility) (or any such similar term) incurred in the Ordinary Course of Business
and not for speculative purposes; 

(f) <(i) unsecured Indebtedness of an Obligor or Subsidiary that is incurred on
the date of the consummation of a Permitted Acquisition or other acquisition of
assets permitted hereunder solely for the purpose of consummating such Permitted
Acquisition or such other acquisition so long as (A) no Event of Default has
occurred and is continuing or would result therefrom, (B) such unsecured
Indebtedness is not incurred for working capital purposes, (C) such unsecured
Indebtedness does not mature prior to the date that is six (6) months after the
Maturity Date, (D) such unsecured Indebtedness does not amortize until six (6)
months after the Maturity Date, (E) such unsecured Indebtedness does not provide
for the payment of interest thereon in cash or Cash Equivalents prior to the
date that is six (6) months after the Maturity Date, and (F) such Indebtedness
is subordinated in right of payment to the Obligations on terms and conditions
reasonably satisfactory to Agent, (ii) Indebtedness that is in existence prior
to the date when a

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Person becomes a Subsidiary or that is secured by Equipment when acquired by
Borrower or a Subsidiary, in each case, as part of a Permitted Acquisition, as
long as such Indebtedness was not incurred in contemplation of >such Person
becoming a Subsidiary or such <Permitted Acquisition; provided that for both
clauses (i) and (ii), after giving effect to such Permitted Acquisition on a pro
forma basis, the Net Senior Leverage Ratio is no greater than the Net Senior
Leverage Ratio in effect immediately prior to such Permitted Acquisition;>

(f)[reserved]; 

(g)Permitted Contingent Obligations (excluding Permitted Surety Bonds); 

(h)Indebtedness under Permitted Surety Bonds that does not exceed the lesser of
(i) $20,000,000 in the aggregate at any time and (ii) the amount equal to the
sum of (1) the amount of Indebtedness under Permitted Surety Bonds outstanding
as of the Fifth Amendment Effective Date and (2) $4,000,000; 

(i)[Intentionally omitted]; 

(j)Specified Unsecured Prepetition Debt and Extended Prepetition Debt, in an
aggregate original principal amount (excluding accrued and unpaid interest
thereon) not to exceed $24,500,000; 

(k)Refinancing Debt as long as each Refinancing Condition is satisfied; 

(l)Intercompany Indebtedness of Borrower and its Subsidiaries to the extent
permitted by Section 10.2.5; provided that any such Indebtedness that is owed by
an Obligor to a Subsidiary that is not an Obligor is subordinated to the
Obligations pursuant to an Affiliate Subordination Agreement; 

(m)financing of insurance premiums in the Ordinary Course of Business; 

(n)Indebtedness incurred in respect of credit cards, credit card processing
services, debit cards, stored value cards, purchase cards (including so-called
"procurement cards" or "P-cards"), or cash management services, netting
services, overdraft protection, and other like services, in each case incurred
in the Ordinary Course of Business; 

(o) <unsecured Indebtedness owing to former employees, officers or directors (or
any spouses, ex-spouses, or estates of any of the foregoing) incurred in
connection with the repurchase by Borrower of the Equity Interests of Borrower
that have been issued to such Persons, >so long as (i) <no Default or Event of
Default has occurred and is continuing or would result from the incurrence of
such Indebtedness and (ii) the aggregate amount of all such Indebtedness
outstanding at any one time does not exceed $500,000; provided that any such
Indebtedness shall be treated as a Distribution and only be permitted to the
extent permitted pursuant to Section 10.2.4;>

(o)[reserved]; 

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(p)accrual of interest, accretion or amortization of original issue discount, or
the payment of interest in kind, in each case on Indebtedness that otherwise
constitutes Indebtedness permitted under this Section 10.2.1; 

(q)<Indebtedness incurred by Subsidiaries that are not Obligors in an aggregate
principal amount not to exceed $2,500,000>[reserved]; 

(r)to the extent constituting Indebtedness, customary purchase price
adjustments, earn outs, indemnification obligations, unsecured guarantees
thereof and similar items of Borrower or any of its Subsidiaries in connection
with <Permitted >Acquisitions permitted hereunder, other acquisitions of assets
permitted hereunder or Permitted Asset Dispositions; 

(s)<Borrower and its Subsidiaries may enter into>Indebtedness under Hedging
Agreements that are entered into in the Ordinary Course of Business and not for
speculative purposes; and 

(t)<Indebtedness that is not included in any of the preceding clauses of this
Section 10.2.1, is not secured by a Lien and does not exceed $5,000,000 in the
aggregate at any time>[reserved]. 

10.2.2Permitted Liens.  Create or suffer to exist any Lien upon any of its
Property, except the following (collectively, "Permitted Liens"): 

(a)Liens in favor of Agent for the benefit of the Secured Parties; 

(b)Purchase Money Liens securing Permitted Purchase Money Debt; 

(c)Liens for Taxes not yet due or being Properly Contested; 

(d)statutory Liens (other than Liens for Taxes or imposed under ERISA) arising
in the Ordinary Course of Business, but only if (i) payment of the obligations
secured thereby is not yet due or is being Properly Contested, and (ii) such
Liens do not materially impair the value or use of the Property or materially
impair operation of the business of Borrower or Subsidiary; 

(e)Liens incurred or deposits made in the Ordinary Course of Business to secure
the performance of government tenders, bids, contracts (other than
Indebtedness), leases (other than Capital Leases), statutory obligations, surety
and appeal bonds, performance bonds and other similar obligations, as long as
such Liens are at all times junior to Agent's Liens; 

(f)Liens arising in the Ordinary Course of Business that are subject to Lien
Waivers; 

(g)judgment Liens securing judgments not constituting an Event of Default; 

(h)zoning restrictions, easements, rights-of-way, restrictions on use of real
property, minor defects or irregularities of title and other similar
encumbrances that do not secure  

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any monetary obligation incurred in the Ordinary Course of Business which do not
interfere with the Ordinary Course of Business;

(i)any interest or title or right of a lessor or sub-lessor under any lease or
sub-lease entered into in the Ordinary Course of Business and covering only the
assets so leased; 

(j)normal and customary rights of setoff upon deposits in favor of depository
institutions, and Liens of a collecting bank on Payment Items in the course of
collection; 

(k)<Liens on assets of an Excluded Subsidiary that secures Permitted Debt of
such Excluded Subsidiary>[reserved]; 

(l)Liens securing Revolving Loan Obligations and Refinancing Debt in respect
thereof, so long as the holders of such Revolving Loan Obligations or
Indebtedness remain subject to the Intercreditor Agreement; 

(m)Liens existing as of the Closing Date and shown on Schedule 10.2.2 and any
extensions or renewals thereof in connection with any Refinancing Debt with
respect to such Indebtedness secured by such Liens; 

(n)pledges and deposits made in the Ordinary Course of Business in compliance
with workmen's compensation, unemployment insurance and other social security
laws and regulations; 

(o)any license or sub-license entered into in the Ordinary Course of Business
and not interfering with such Obligor's or its Subsidiaries' conduct of its
respective business, and the interest of any non-exclusive licensors under
license agreements (including, for the avoidance of doubt, relating to
Intellectual Property); 

(p)Liens arising from precautionary UCC financing statements filed in connection
with operating leases; 

(q)Liens on cash earnest money deposits made in connection with <Permitted
Acquisitions or other >acquisitions of assets permitted hereunder; 

(r)Liens granted in the Ordinary Course of Business on the unearned portion of
insurance premiums securing the financing of insurance premiums to the extent
the financing is permitted under Section 10.2.1(o) hereof; 

(s)Liens in favor of customs and revenue authorities arising as a matter of law
to secure payment of customs duties not yet delinquent in connection with the
importation of goods in the Ordinary Course of Business; <and> 

(t)Liens on the Term Priority Collateral securing Extended Prepetition Debt
granted pursuant to the Third Lien Security Agreement, but only after the Third
Lien Effective Date; and 

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(u)(t) other Liens securing liabilities (other than Borrowed Money) in an
aggregate amount not to exceed the lesser of (i) $5,000,000 at any time
outstanding and (ii) the amount outstanding as of the Fifth Amendment Effective
Date. 

Notwithstanding the foregoing, no Obligor shall incur any Liens on any Term
Priority Collateral except (i) Permitted Liens described under subclause (b)
above, (ii) Permitted Liens that arise by operation of law and are junior to
Agent’s Lien on Term Priority Collateral securing the Obligations and (iii)
other Permitted Liens that are junior to Agent’s Lien on any Term Priority
Collateral securing the Obligations pursuant to the Intercreditor Agreement or
another intercreditor agreement satisfactory to Agent containing terms no less
favorable to Lenders in all material respects, taken as a whole, as the terms in
the Intercreditor Agreement.

10.2.3Revolver Usage.  Permit the aggregate amount of outstanding Revolving
Loans (other than "Protective Advances" (as defined in the Revolving Loan
Agreement)) to exceed <$0 on >(x) <the last Saturday of December of each Fiscal
Year and (y)>$15,000,000 on each day during <a sixty (60) consecutive day>the
period that <includes the last Saturday of>begins on December <of such Fiscal
Year; provided, however, that clauses >(x) and (y) <shall not apply with respect
to the Fiscal Years ending December 29, 2018 and>22, 2019 through and including
December 28, 2019<; provided further that> and (<1>y) <the aggregate amount of
outstanding Revolving Loans shall not exceed $0>$10,000,000 on each day during
<a fourteen (14) consecutive day>the period that begins on <or after >December
<15, 2018 and ends on or before January 31, 2019, and (2) with respect to the
Fiscal Year Ending December 28, 2019, (A) if the Junior Capital Raise
Satisfaction Event has not occurred on or prior December 28, 2019, the aggregate
amount of outstanding Revolving Loans shall not exceed $10,000,000 on (i) the
last Saturday of December of such Fiscal Year and (ii) each day during a twenty
(20) consecutive day period that includes the last Saturday of December of such
Fiscal Year, and (B) if the Junior Capital Raise Satisfaction Event has occurred
on or prior December 28, 2019, the aggregate amount of outstanding Revolving
Loans shall not exceed $0 on (i) the last Saturday of December of such Fiscal
Year and (ii) each day during a thirty-five (35) consecutive day period that
includes the last Saturday of December of such Fiscal Year.>29, 2019 through and
including January 1, 2020. 

10.2.4Distributions; Upstream Payments.  Declare or make any Distributions,
except Upstream Payments; or create or suffer to exist any encumbrance or
restriction on the ability of a Subsidiary to make any Upstream Payment, except
for restrictions under the Loan Documents, under the Revolving Loan Documents,
under Applicable Law or in effect on the Closing Date as shown on Schedule
9.1.15. 

10.2.5Restricted Investments.  Make any Restricted Investment. 

10.2.6Disposition of Assets.  Make any Asset Disposition, except a Permitted
Asset Disposition, a disposition of Equipment under Section 8.4.2, or a transfer
of Property by a Subsidiary or Obligor to Borrower. 

10.2.7Capital Expenditures.  Make Capital Expenditures (a) in excess of
$12,500,000 in the aggregate during the four (4) consecutive Fiscal Quarter
period ending on March 30, 2019; (b) in excess of $12,500,000 in the aggregate
during the four (4) consecutive Fiscal Quarter period ending on June 29, 2019;
(c) in excess of $12,500,000 in the aggregate during  

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the four (4) consecutive Fiscal Quarter period ending on September 28, 2019; and
(d) in excess of $10,000,000 in the aggregate during the four (4) consecutive
Fiscal Quarter period ending on December 28, 2019.

10.2.8Restrictions on Payment of Certain Debt.  Make any payments (whether
voluntary or mandatory, or a prepayment, redemption, retirement, defeasance or
acquisition) with respect to any Indebtedness, except: 

(a)other than with respect to any Specified Unsecured Prepetition Debt and
Extended Prepetition Debt, regularly scheduled payments of principal, interest
and fees, but if such Indebtedness is Subordinated Debt, only to the extent
permitted under any subordination agreement relating to such Indebtedness (and a
Senior Officer of Borrower shall certify to Agent, not less than five (5)
Business Days prior to the date of payment, that all conditions under such
agreement have been satisfied);  

<(b) any prepayment in respect of such Indebtedness so long as the Payment
Conditions are satisfied;>

(b)(x) upon conversion of any Specified Unsecured Prepetition Debt to Extended
Prepetition Debt, an initial payment to the holders of such Extended Prepetition
Debt for application to the principal amount of such Extended Prepetition Debt,
in an amount not to exceed 10% of the principal amount of such Extended
Prepetition Debt outstanding immediately prior to such conversion so long as (i)
such payment is made no earlier than December 15, 2019 and (ii) so long the
Payment Conditions are satisfied and (y) a progress payment to the holders of
Extended Prepetition Debt, for application to the principal amount of such
Extended Prepetition Debt, in an amount not to exceed 15% of the principal
amount of such Extended Prepetition Debt outstanding immediately prior to such
payment (after giving effect to the payment made pursuant to subclause (x)) so
long as (i) such payment is made after May 31, 2020 and (ii) the Full Payment of
the Obligations shall have occurred prior to the making of such payment; 

(c)any prepayments in connection with any refinancing of Indebtedness otherwise
permitted hereunder so long as the Refinancing Conditions are satisfied with
respect to such Refinancing Debt;  

(d)any payments upon conversion of any such Indebtedness into common stock of
Borrower made solely in common stock of Borrower, in each case in connection
with such conversion; and 

(e)payments in respect of the Revolving Loan Obligations.  

10.2.9Fundamental Changes. 

(a)Merge, combine or consolidate with any Person, or liquidate or wind up or
dissolve itself (or suffer any liquidation or dissolution), or sell, lease,
assign, transfer or otherwise dispose of, all or substantially all of its
Property, business or assets, whether in a single transaction or in a series of
related transactions, except for (i) mergers or consolidations of a wholly-owned
Subsidiary with another wholly-owned Subsidiary; provided that if any party to
any such transaction is Borrower, the surviving entity of such transaction shall
be Borrower; and if any party  

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to any such transaction is an Obligor that is not Borrower, the surviving entity
of such transaction shall be an Obligor; (ii) mergers or consolidations of a
wholly-owned Subsidiary into Borrower; and (iii) sales, leases, transfers or
other dispositions by a Subsidiary (the "Transferring Subsidiary") of any or all
of its assets (upon voluntary liquidation, winding up or dissolution (which
shall be permitted so long as such Subsidiary's assets are disposed of in
accordance with this clause (iii)) or otherwise) to any other Subsidiary that is
an Obligor; provided that <if such Transferring Subsidiary is a Subsidiary
Guarantor, such sale, lease, transfer or disposition shall be to an Obligor and
>if such Transferring Subsidiary is a Subsidiary of Borrower, such sale, lease,
transfer or disposition shall be to Borrower<; and (iv) Permitted Acquisitions>.

(b)<Solely in the case of an Obligor, change>Change its name or conduct business
under any fictitious name; change its tax, charter or other organizational
identification number; change its form or state of organization, except in each
case under this clause (b) if (I) such Obligor shall have given Agent ten (10)
Business Days prior written notice thereof and (II) Agent shall have taken all
steps reasonably deemed necessary by Agent to maintain the validity,
enforceability, perfection and priority of Agent's security interest in the
Collateral of <such>the applicable Obligor, and Obligor shall have executed and
delivered such documents, instruments and agreements requested by Agent in
connection therewith. 

10.2.10Subsidiaries.  Form or acquire any Subsidiary after the Closing Date,
except in accordance with Sections 10.1.14, 10.2.5 and 10.2.9; or permit any
existing Subsidiary to issue any additional Equity Interests except directors'
qualifying shares. 

10.2.11Organic Documents.  Amend, modify or otherwise change any of its Organic
Documents, except in connection with a transaction permitted under Section
10.2.9 or the deletion of Section 7 of the Amended and Restated Certificate of
Incorporation of the Borrower.  

10.2.12Tax Consolidation.  File or consent to the filing of any consolidated
income tax return with any Person other than Borrower and Subsidiaries. 

10.2.13Accounting Changes.  Make any material change in accounting treatment or
reporting practices, except as required by GAAP and in accordance with Section
1.2; or change its Fiscal Year. 

10.2.14Restrictive Agreements.  Become a party to any Restrictive Agreement,
except a Restrictive Agreement (a) in effect on the Closing Date; (b) relating
to secured Indebtedness permitted hereunder, as long as the restrictions apply
only to collateral for such Indebtedness; (c) constituting customary
restrictions on assignment in leases and other contracts; <or >(d) the Revolving
Loan Documents (together with any refinancings, renewals, replacements or
extensions thereof and (e) the Third Lien Documents; provided that the
Refinancing Conditions are satisfied and the restrictions contained in the
Refinancing Debt are no more restrictive than those contained in the agreements
governing the Indebtedness being refinanced). 

10.2.15Hedging Agreements.  Enter into any Hedging Agreement, except to hedge
risks arising in the Ordinary Course of Business and not for speculative
purposes. 

10.2.16Conduct of Business.  Engage in any business, other than its business as
conducted on the Closing Date and any activities incidental thereto. 

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10.2.17Affiliate Transactions.  Enter into or be party to any transaction with
an Affiliate, except (a) transactions expressly permitted by the Loan Documents;
(b) payment of reasonable compensation to officers and employees for services
actually rendered and to the extent included in the Budget, and payment of
customary directors' fees and indemnities to the extent included in the Budget;
(c) transactions solely among Obligors; (d) transactions with Affiliates
consummated prior to the Closing Date, as shown on Schedule 10.2.17; or (e)
transactions with Affiliates in the Ordinary Course of Business, upon fair and
reasonable terms fully disclosed to Agent and no less favorable than would be
obtained in a comparable arm's-length transaction with a non-Affiliate.   

10.2.18Plans.  Become party to any Multiemployer Plan or Foreign Plan, other
than any in existence on the Closing Date or establish any defined benefit
plan. 

10.2.19Amendments to Debt. 

(a)Amend, supplement or otherwise modify any document, instrument or agreement
relating to (x) any Extended Prepetition Debt or (y) any other Subordinated
Debt, if, in the case of this subclause (y), such modification (i) increases the
principal balance of such Indebtedness, or increases any required payment of
principal or interest; (ii) accelerates the date on which any installment of
principal or any interest is due, or adds any additional redemption, put or
prepayment provisions; (iii) shortens the final maturity date or otherwise
accelerates amortization; (iv) increases the interest rate; (v) increases or
adds any fees or charges; (vi) modifies any covenant in a manner or adds any
representation, covenant or default that is more onerous or restrictive in any
material respect for Borrower or any Subsidiary, or that is otherwise materially
adverse to Borrower, any Subsidiary or Lenders; or (vii) results in the
Obligations not constituting "Designated Senior Indebtedness" or "Senior Debt"
(or any other defined term having a similar purpose) under, and as defined in,
any indenture or other agreement related to such Subordinated Debt, or otherwise
not being fully benefited by the subordination provisions thereof. 

(b)Amend, supplement or otherwise modify any of the Revolving Loan Documents or
<Term>Revolving Loan Facility<,> (i) if such modification would contravene the
provisions of the Intercreditor Agreement<.> or (ii) if such modification would
increase (or would have the effective of increasing) the "Availability Block"
(as defined in the Revolving Loan Agreement (as in effect on the Fifth Amendment
Effective Date) or increase or add (or would have the effective of increasing or
adding) any similar block on availability under the Revolving Loan Facility. 

(c)Amend, supplement or otherwise modify any document, instrument or agreement
relating to the Specified Unsecured Prepetition Debt<, if such modification
shortens the final maturity or decreases the weighted average life thereof.>
other than in connection with (i) the conversion of Specified Unsecured
Prepetition Debt to Extended Prepetition Debt, (ii) the granting of Liens to the
extent permitted under Section 10.2.2(t) and (iii) a Specified Unsecured
Prepetition Debt Satisfaction Event.  

10.2.20Term Priority Collateral Account.  Deposit any proceeds of Term Priority
Collateral in any Deposit Account other than the Term Priority Collateral
Account. 

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<10.3 Financial Covenants.>

10.2.21Material Contracts.  Without the prior written consent of Agent, (a)
terminate or fail to renew any Material Contract, (b) amend, supplement or
otherwise modify any Material Contract if such amendment, supplement or
modification would be adverse to the interest of Agent, Lenders, or the
applicable Obligor, (c) materially amend the terms of any Material Contract
without the written consent of Agent or (d) assign or transfer any Material
Contract to any Person that is not an Obligor.  

10.3Financial Covenants 

.  As long as any Commitments or Obligations are outstanding, each Obligor
shall, and shall cause each Subsidiary to:

10.3.1Fixed Charge Coverage Ratio.  Commencing with the Fiscal Quarter ending
December 28, 2019, maintain as of the end of each Fiscal Quarter, a Fixed Charge
Coverage Ratio of not less than 1.25:1.0 for each four (4) consecutive Fiscal
Quarter period then ended. 

10.3.2Net Senior Leverage Ratio.  Commencing with the Fiscal Quarter ending
March 30, 2019, maintain as of the end of each Fiscal Quarter, a Net Senior
Leverage Ratio of not greater than the applicable ratio set forth below for each
four (4) consecutive Fiscal Quarter period then ended set forth below: 

 

For the Four (4) Consecutive Fiscal Quarter Periods Ending

<If the Junior Capital Raise Satisfaction Event has not occurred on or prior to
the end of the applicable Fiscal Quarter:>

Applicable Ratio

If the Junior Capital Raise Satisfaction Event has occurred on or prior to the
end of the applicable Fiscal Quarter:

Ratio

March 30, 2019

5.70:1.0

5.70:1.0

June 29, 2019

5.50:1.0

5.50:1.0

September 28, 2019

4.20:1.0

4.00:1.0

December 28, 2019

4.40:1.0

4.00:1.0

March 28, 2020

4.15:1.0

3.75:1.0

June 27, 2020

4.00:1.0

3.75:1.0

September 26, 2020

3.75:1.0

3.50:1.0

December 26, 2020

3.75:1.0

3.50:1.0

March 27, 2021

3.50:1.0

3.25:1.0

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June 26, 2021

3.50:1.0

3.25:1.0

September 25, 2021

3.25:1.0

3.00:1.0

<December 25, 2021>March 28, 2020 and the last day of each Fiscal Quarter
thereafter

<3.00>4.15:1.0

2.75:1.0

 

10.3.3Minimum Unadjusted EBITDA.  Commencing with the <Fiscal Quarter>month
ending <March 31>November 30, 2019, maintain as of the end of each <Fiscal
Quarter,>month, Unadjusted EBITDA of not less than the applicable amount set
forth below for each <four>twelve (<4>12) consecutive <Fiscal Quarter>month
period then ended set forth below: 

 

<Fiscal Quarter>Month Ending

If the Junior Capital Raise Satisfaction Event has not occurred on or prior to
the end of the applicable Fiscal Quarter:

Minimum EBITDA

<If the Junior Capital Raise Satisfaction Event has occurred on or prior to the
end of the applicable Fiscal Quarter:>

Minimum Unadjusted EBITDA

<March>November 30, 2019

$28,000,000

$<28,000,000>1,650,000

<June 29>December 31, 2019

$28,900,000

$<28,900,000>9,990,000

September 28, 2019

$39,000,000

$35,000,000

December 28, 2019

$42,000,000

$39,100,000

<March 28>January 31, 2020

$43,000,000

$<40,000,000>7,820,000

<June 27>February 29, 2020

$43,000,000

$<40,000,000>4,550,000

<September 26>March 31, 2020

$43,000,000

$<40,000,000>5,710,000

December 26, 2020

$43,000,000

$40,000,000

March 27, 2021

$43,000,000

$40,000,000

June 26, 2021

$43,000,000

$40,000,000

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September 25, 2021

$43,000,000

$40,000,000

December 25, 2021 and the last day of each Fiscal Quarter thereafter

$43,000,000

$40,000,000

 

10.3.4Minimum Availability.  Maintain at all times, on and after the
<Third>Fifth Amendment Effective Date, Specified Availability (as defined in the
Revolving Loan Agreement <on the Third >Amendment Effective Date) in an amount
of not less than <the greater of (x) >$12,500,000< and (y) 10% of the
Commitments >(as defined in the Revolving Loan Agreement <on the Third Amendment
Effective Date)>.  

10.3.5Variance. 

(a)Measured as of the last Business Day of each week, not permit the aggregate
amount of the actual disbursements of the type set forth in the line items in
the Budget titled "Payroll & 401(k)" to exceed one hundred ten percent (110%) of
the budgeted amount set forth in such line item in the Budget, for the
immediately preceding two week period ending on such date.  

(b)Measured as of the last Business Day of each week, not permit the aggregate
amount of the actual disbursements of the type set forth in the line items in
the Budget titled "Rent" to exceed one hundred ten percent (110%) of the
budgeted amount set forth in such line item in the Budget, for the immediately
preceding two week period ending on such date.  

(c)Measured as of the last Business Day of each week, not permit the aggregate
amount of the actual disbursements of the type set forth in the line items in
the Budget titled "Taxes" to exceed one hundred ten percent (110%) of the
budgeted amount set forth in such line item in the Budget, for the immediately
preceding two week period ending on such date.  

(d)Measured as of the last Business Day of each week, not permit the aggregate
amount of the actual disbursements of the type set forth in the line items in
the Budget titled "Commissions", "Severance", "Inventory", "Freight" and "Other
Disbursements" to exceed one hundred ten percent (110%) of the budgeted amount
set forth in such line items in the Budget, for the immediately preceding four
week period ending on such date.  

(e)Measured as of the last Business Day of each week, not permit the aggregate
amount of the actual professional fees, expenses and retainers of the type set
forth in the line item in the Budget titled "Restructuring-related professional
fees" incurred to exceed one hundred ten percent (110%) of the budgeted amount
set forth in such line item in the Budget, for the immediately preceding four
week period ending on such date.  

SECTION 11.  EVENTS OF DEFAULT; REMEDIES ON DEFAULT 

11.1Events of Default 

.  Each of the following shall be an "Event of Default" if it occurs for any
reason whatsoever, whether voluntary or involuntary, by operation of law or
otherwise:

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(a)Borrower fails to pay its Obligations when due (whether at stated maturity,
on demand, upon acceleration or otherwise); 

(b)(i) Any representation, warranty or other written statement of an Obligor
made in a Budget and Variance Certificate is incorrect or misleading when given
or (ii) any other representation, warranty or other written statement of an
Obligor made in connection with any Loan Documents or transactions contemplated
thereby is incorrect or misleading in any material respect when given; 

(c)An Obligor breaches or fail to perform any of the Specified Covenants or any
covenant contained in Section 2.5, 8.1, 8.2.4, 8.2.5, 8.5, 8.6.2, 10.1.1,
10.1.2, 10.1.8, 10.1.11, 10.1.16, 10.1.17, 10.1.18, 10.1.19, 10.1.20, 10.2 or
10.3; 

(d)An Obligor breaches or fails to perform any other covenant contained in any
Loan Documents, and such breach or failure is not cured within thirty (30) days
after a Senior Officer of such Obligor has knowledge thereof or receives written
notice thereof from Agent, whichever is sooner; provided, however, that such
notice and opportunity to cure shall not apply if the breach or failure to
perform is not capable of being cured within such period or is a willful breach
by an Obligor;  

(e)A Guarantor repudiates, revokes or attempts to revoke its Guaranty; an
Obligor or third party denies or contests the validity or enforceability of any
Loan Documents or Obligations, or the perfection or priority of any Lien granted
to Agent; or any Loan Document ceases to be in full force or effect for any
reason (other than a waiver or release by Agent and Lenders); 

(f)Any breach or default of an Obligor occurs under (i) any Hedging Agreement
with a net amount payable in excess of $<2,500,000>500,000; (ii) (x) any
instrument or agreement relating to any Extended Prepetition Debt, or (y) any
instrument or agreement to which it is a party or by which it or any of its
Properties is bound, relating to any Indebtedness (other than the Obligations)
in excess of $<2,500,000>500,000, if the maturity of or any payment with respect
to such Indebtedness may be accelerated or demanded due to such breach, in the
case of clause (i) and (ii) after giving effect to any applicable grace periods;
<or >(iii) any "Event of Default" under and as defined in the Revolving Loan
Facility or any refinancing thereof or (iv) any default under the Third Lien
Documents; 

(g)Any judgment or order for the payment of money is entered against an Obligor
in an amount that exceeds, individually or cumulatively with all unsatisfied
judgments or orders against all Obligors, $<5,000,000>1,000,000 (net of
insurance coverage therefor that has not been denied by the insurer), unless a
stay of enforcement of such judgment or order is in effect, by reason of a
pending appeal or otherwise; 

(h)A loss, theft, damage or destruction occurs with respect to any Collateral if
the amount not covered by insurance exceeds $<2,500,000>500,000; 

(i)An Obligor is enjoined, restrained or in any way prevented by any
Governmental Authority from conducting any material part of its business; an
Obligor suffers the loss, revocation or termination of any material license,
permit, lease or agreement necessary to its  

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business; there is a cessation of any material part of an Obligor's business for
a material period of time; any material Collateral or Property of an Obligor is
taken or impaired through condemnation; an Obligor agrees to or commences any
liquidation, dissolution or winding up of its affairs except as expressly
permitted by Section 10.2.9;

(j)An Insolvency Proceeding is commenced by an Obligor; an Obligor makes an
offer of settlement, extension or composition to its unsecured creditors
generally (other than, for the avoidance of doubt, in connection with a
Specified Unsecured Prepetition Debt Satisfaction Event); a trustee is appointed
to take possession of any substantial Property of or to operate any of the
business of an Obligor; or an Insolvency Proceeding is commenced against an
Obligor and:  such Obligor consents to institution of the proceeding, the
petition commencing the proceeding is not timely contested by such Obligor, the
petition is not dismissed within thirty (30) days after filing, or an order for
relief is entered in the proceeding; 

(k)(A) An ERISA Event occurs with respect to a Pension Plan or Multiemployer
Plan; (B) an Obligor or ERISA Affiliate fails to pay when due any installment
payment with respect to its withdrawal liability under Section 4201 of ERISA
under a Multiemployer Plan; or (C) any event similar to the foregoing occurs or
exists with respect to a Foreign Plan, that in each of clauses (A) through (C),
has resulted or would reasonably be expected to result in a Material Adverse
Effect; or 

(l)A Change of Control occurs. 

11.2Remedies upon Default 

.  If an Event of Default described in Section 11.1(j) occurs with respect to
Borrower, then to the extent permitted by Applicable Law, all Obligations shall
become automatically due and payable and all Commitments shall terminate,
without any action by Agent or notice of any kind.  In addition, or if any other
Event of Default exists, Agent may in its discretion (and shall upon written
direction of Required Lenders) do any one or more of the following from time to
time:

(a)declare any Obligations immediately due and payable, whereupon they shall be
due and payable without diligence, presentment, demand, protest or notice of any
kind, all of which are hereby waived by Borrower to the fullest extent permitted
by law; 

(b)terminate, reduce or condition any Commitment; 

(c)require Obligors to Cash Collateralize their Obligations that are contingent
or not yet due and payable; and 

(d)exercise any other rights or remedies afforded under any agreement, by law,
at equity or otherwise, including the rights and remedies of a secured party
under the UCC.  Such rights and remedies include the rights to (i) take
possession of any Collateral; (ii) require Borrower to assemble Collateral, at
Borrower's expense, and make it available to Agent at a place designated by
Agent; (iii) enter any premises where Collateral is located and store Collateral
on such premises until sold (and if the premises are owned or leased by
Borrower, Borrower agrees not to charge for such storage); and (iv) sell or
otherwise dispose of any Collateral in its then condition, or after any further
manufacturing or processing thereof, at public or private sale, with such notice
as may be required by Applicable Law, in lots or in bulk, at such locations, all
as Agent, in its discretion,  

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deems advisable.  Borrower agrees that ten (10) days' notice of any proposed
sale or other disposition of Collateral by Agent shall be reasonable and that
any sale conducted on the internet or to a licensor of Intellectual Property
shall be commercially reasonable.  Agent may conduct sales on any Obligor's
premises, without charge, and any sale may be adjourned from time to time in
accordance with Applicable Law.  Agent shall have the right to sell, lease or
otherwise dispose of any Collateral for cash, credit or any combination thereof,
and Agent may purchase any Collateral at public or, if permitted by law, private
sale and, in lieu of actual payment of the purchase price, may credit bid and
set off the amount of such price against the Obligations.

11.3License 

.  For purpose of enabling Agent to exercise rights and remedies under this
Agreement and the other Loan Documents at such time as Agent shall lawfully be
entitled to exercise such rights and remedies, each Obligor hereby grants to
Agent an irrevocable, non-exclusive license, sub-license or other right to use,
license or sub-license and otherwise exploit (without payment of royalty or
other compensation to any Person) any or all Intellectual Property owned by
Obligors; provided, however, that such license (i) shall be subject to those
exclusive licenses granted by Obligors in effect on the date hereof and those
granted by any Obligor hereafter, to the extent conflicting, (ii) may be
exercised, at the option of Agent, only upon the occurrence and during the
continuation of an Event of Default, provided, further, that any license,
sublicense or other transaction entered into by Agent in accordance herewith
shall be binding upon Obligor notwithstanding any subsequent cure of an Event of
Default and (iii) shall apply to the use of the trademarks or service marks in
connection with goods and services of similar type and quality to those
theretofore sold by such Obligor under such trademark or service mark.  The
foregoing license or sublicense shall include access to all media in which any
of the licensed or sublicensed items may be recorded or stored and to all
computer programs used for the compilation or printout thereof, subject to and
solely to the extent permitted by any existing licenses or agreements relating
thereto.

11.4Setoff 

.  At any time during an Event of Default, Agent, Lenders, and any of their
Affiliates are authorized, to the fullest extent permitted by Applicable Law, to
set off and apply any and all deposits (general or special, time or demand,
provisional or final, in whatever currency) at any time held and other
obligations (in whatever currency) at any time owing by Agent, such Lender or
such Affiliate to or for the credit or the account of an Obligor against its
Obligations, whether or not Agent, such Lender or such Affiliate shall have made
any demand under this Agreement or any other Loan Document and although such
Obligations may be contingent or unmatured or are owed to a branch or office of
Agent, such Lender or such Affiliate different from the branch or office holding
such deposit or obligated on such indebtedness.  The rights of Agent, each
Lender and each such Affiliate under this Section 11.4 are in addition to other
rights and remedies (including other rights of setoff) that such Person may
have.

11.5Remedies Cumulative; No Waiver. 

11.5.1Cumulative Rights.  All agreements, warranties, guaranties, indemnities
and other undertakings of Obligors under the Loan Documents are cumulative and
not in derogation of each other.  The rights and remedies of Agent and Lenders
under the Loan Documents are cumulative, may be exercised at any time and from
time to time, concurrently or in any order, and are not exclusive of any other
rights or remedies available by agreement, by law,  

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at equity or otherwise.  All such rights and remedies shall continue in full
force and effect until Full Payment of all Obligations.

11.5.2Waivers.  No waiver or course of dealing shall be established by (a) the
failure or delay of Agent or any Lender to require strict performance by any
Obligor under any Loan Document, or to exercise any rights or remedies with
respect to Collateral or otherwise; (b) the making of any Loan during a Default,
Event of Default or other failure to satisfy any conditions precedent; or (c)
acceptance by Agent or any Lender of any payment or performance by an Obligor
under any Loan Documents in a manner other than that specified therein.  Any
failure to satisfy a financial covenant on a measurement date shall not be cured
or remedied by satisfaction of such covenant on a subsequent date. 

SECTION 12.  AGENT 

12.1Appointment, Authority and Duties of Agent. 

12.1.1Appointment and Authority.  Each Secured Party appoints and designates TCW
as Agent under all Loan Documents.  Agent may, and each Secured Party authorizes
Agent to, enter into all Loan Documents to which Agent is intended to be a party
and accept all Security Documents.  Any action taken by Agent in accordance with
the provisions of the Loan Documents, and the exercise by Agent of any rights or
remedies set forth therein, together with all other powers reasonably incidental
thereto, shall be authorized by and binding upon all Secured Parties.  Without
limiting the generality of the foregoing, Agent shall have the sole and
exclusive authority to (a) act as the disbursing and collecting agent for
Lenders with respect to all payments and collections arising in connection with
the Loan Documents; (b) execute and deliver as Agent each Loan Document,
including the Intercreditor Agreement and any other intercreditor or
subordination agreement, and accept delivery of each Loan Document; (c) act as
collateral agent for Secured Parties for purposes of perfecting and
administering Liens under the Loan Documents, and for all other purposes stated
therein; (d) manage, supervise or otherwise deal with Collateral; and (e) take
any Enforcement Action or otherwise exercise any rights or remedies with respect
to any Collateral or under any Loan Documents, Applicable Law or otherwise.
 Agent alone shall be authorized to determine eligibility and applicable advance
rates under the Borrowing Base, whether to impose or release any reserve, or
whether any conditions to funding have been satisfied, which determinations and
judgments, if exercised in good faith, shall exonerate Agent from liability to
any Secured Party or other Person for any error in judgment. 

12.1.2Duties.  The title of "Agent" is used solely as a matter of market custom
and the duties of Agent are administrative in nature only.  Agent has no duties
except those expressly set forth in the Loan Documents, and in no event does
Agent have any agency, fiduciary or implied duty to or relationship with any
Secured Party or other Person by reason of any Loan Document or related
transaction.  The conferral upon Agent of any right shall not imply a duty to
exercise such right, unless instructed to do so by Lenders in accordance with
this Agreement. 

12.1.3Agent Professionals.  Agent may perform its duties through agents and
employees.  Agent may consult with and employ Agent Professionals, and shall be
entitled to act upon, and shall be fully protected in any action taken in good
faith reliance upon, any advice given  

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by an Agent Professional.  Agent shall not be responsible for the negligence or
misconduct of any agents, employees or Agent Professionals selected by it with
reasonable care.

12.1.4Instructions of Required Lenders.  The rights and remedies conferred upon
Agent under the Loan Documents may be exercised without the necessity of joining
any other party, unless required by Applicable Law.  In determining compliance
with a condition for any action hereunder, including satisfaction of any
condition in Section 6, Agent may presume that the condition is satisfactory to
a Secured Party unless Agent has received notice to the contrary from such
Secured Party before Agent takes the action.  Agent may request instructions
from Required Lenders or other Secured Parties with respect to any act
(including the failure to act) in connection with any Loan Documents or
Collateral, and may seek assurances to its satisfaction from Secured Parties of
their indemnification obligations against Claims that could be incurred by
Agent.  Agent may refrain from any act until it has received such instructions
or assurances, and shall not incur liability to any Person by reason of so
refraining.  Instructions of Required Lenders shall be binding upon all Secured
Parties, and no Secured Party shall have any right of action whatsoever against
Agent as a result of Agent acting or refraining from acting pursuant to
instructions of Required Lenders.  Notwithstanding the foregoing, instructions
by and consent of specific parties shall be required to the extent provided in
Section 14.1.1.  In no event shall Agent be required to take any action that it
determines in its discretion is contrary to Applicable Law or any Loan Documents
or could subject any Agent Indemnitee to liability. 

12.2Agreements Regarding Collateral and Borrower Materials. 

12.2.1Lien Releases; Care of Collateral.  Secured Parties authorize Agent to
release any Lien with respect to any Collateral (a) upon Full Payment of the
Obligations; (b) that is the subject of a disposition or Lien that Borrower
certifies in writing is a Permitted Asset Disposition or Permitted Lien entitled
to priority over Agent's Liens (and Agent may rely conclusively on any such
certificate without further inquiry); (c) that does not constitute a material
part of the Collateral; or (d) subject to Section 14.1, with the consent of
Required Lenders.  Secured Parties authorize Agent to subordinate its Liens to
any Purchase Money Lien or other Lien entitled to priority hereunder.  Agent has
no obligation to assure that any Collateral exists or is owned by an Obligor, or
is cared for, protected or insured, nor to assure that Agent's Liens have been
properly created, perfected or enforced, or are entitled to any particular
priority, nor to exercise any duty of care with respect to any Collateral. 

12.2.2Possession of Collateral.  Agent and Secured Parties appoint each Lender
as agent (for the benefit of Secured Parties) for the purpose of perfecting
Liens in any Collateral held or controlled by such Lender, to the extent such
Liens are perfected by possession or control.  If any Lender obtains possession
or control of any Collateral, it shall notify Agent thereof and, promptly upon
Agent's request, deliver such Collateral to Agent or otherwise deal with it in
accordance with Agent's instructions. 

12.2.3Reports.  Agent shall promptly provide to Lenders, when complete, any
examination or report prepared for Agent with respect to any Obligor ("Report").
 Reports and other Borrower Materials may be made available to Lenders by
providing access to them on the Platform, but Agent shall not be responsible for
system failures or access issues that may occur from time to time.  Each Lender
agrees (a) that Reports are not intended to be comprehensive  

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examinations or reports, and that Agent or any other Person performing an
examination or report will inspect only limited information and will rely
significantly upon Borrower's books, records and representations; (b) that Agent
makes no representation or warranty as to the accuracy or completeness of any
Borrower Materials and shall not be liable for any information contained in or
omitted from any Borrower Materials, including any Report; and (c) to keep all
Borrower Materials confidential and strictly for such Lender's internal use, not
to distribute any Report or other Borrower Materials (or the contents thereof)
to any Person (except to such Lender's Participants, attorneys and accountants),
and to use all Borrower Materials solely for administration of the Obligations.
 Each Lender shall indemnify and hold harmless Agent and any other Person
preparing a Report from any action such Lender may take as a result of or any
conclusion it may draw from any Borrower Materials, as well as from any Claims
arising as a direct or indirect result of Agent furnishing same to such Lender,
via the Platform or otherwise.

12.3Reliance By Agent 

.  Agent shall be entitled to rely, and shall be fully protected in relying,
upon any certification, notice or other communication (including those by
telephone, telex, telegram, telecopy or e-mail) believed by it to be genuine and
correct and to have been signed, sent or made by the proper Person.  Agent shall
have a reasonable and practicable amount of time to act upon any instruction,
notice or other communication under any Loan Document, and shall not be liable
for any delay in acting.

12.4Action Upon Default 

.  Agent shall not be deemed to have knowledge of any Default or Event of
Default, or of any failure to satisfy any conditions in Section 6, unless it has
received written notice from Borrower or Required Lenders specifying the
occurrence and nature thereof.  If any Lender acquires knowledge of a Default,
Event of Default or failure of such conditions, it shall promptly notify Agent
and the other Lenders thereof in writing.  Each Secured Party agrees that,
except as otherwise provided in any Loan Documents or with the written consent
of Agent and Required Lenders, it will not take any Enforcement Action,
accelerate Obligations or assert any rights relating to any Collateral.

12.5Ratable Sharing 

.  If any Lender obtains any payment or reduction of any Obligation, whether
through set-off or otherwise, in excess of its ratable share of such Obligation,
such Lender shall forthwith purchase from Secured Parties participations in the
affected Obligation as are necessary to share the excess payment or reduction on
a pro rata basis or in accordance with Section 5.5.2, as applicable.  If any of
such payment or reduction is thereafter recovered from the purchasing Lender,
the purchase shall be rescinded and the purchase price restored to the extent of
such recovery, but without interest.  Notwithstanding the foregoing, if a
Defaulting Lender obtains a payment or reduction of any Obligation, it shall
immediately turn over the full amount thereof to Agent for application under
Section 4.2.2 and it shall provide a written statement to Agent describing the
Obligation affected by such payment or reduction.  No Lender shall set off
against a Dominion Account without Agent's prior consent.

12.6Indemnification 

.  EACH SECURED PARTY SHALL INDEMNIFY AND HOLD HARMLESS AGENT INDEMNITEES, TO
THE EXTENT NOT REIMBURSED BY OBLIGORS, ON A PRO RATA BASIS, AGAINST ALL CLAIMS
THAT MAY BE INCURRED BY OR ASSERTED AGAINST ANY SUCH INDEMNITEE; PROVIDED THAT
ANY CLAIM AGAINST AN AGENT INDEMNITEE RELATES TO OR ARISES FROM ITS ACTING AS OR
FOR AGENT (IN THE CAPACITY OF AGENT); PROVIDED FURTHER THAT NO

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SECURED PARTY SHALL HAVE ANY OBLIGATION TO INDEMNIFY ANY AGENT INDEMNITEE
HEREUNDER TO THE EXTENT THAT SUCH CLAIM IS DETERMINED IN A FINAL, NON-APPEALABLE
JUDGMENT BY A COURT OF COMPETENT JURISDICTION TO RESULT FROM THE GROSS
NEGLIGENCE OR WILLFUL MISCONDUCT OF SUCH AGENT INDEMNITEE.  In Agent's
discretion, it may reserve for any Claims made against an Agent Indemnitee, and
may satisfy any judgment, order or settlement relating thereto, from proceeds of
Collateral prior to making any distribution of Collateral proceeds to Secured
Parties.  If Agent is sued by any receiver, trustee or other Person for any
alleged preference or fraudulent transfer, then any monies paid by Agent in
settlement or satisfaction of such proceeding, together with all interest, costs
and expenses (including attorneys' fees) incurred in the defense of same, shall
be promptly reimbursed to Agent by each Secured Party to the extent of its pro
rata share.

12.7Limitation on Responsibilities of Agent 

.  Agent shall not be liable to any Secured Party for any action taken or
omitted to be taken under the Loan Documents, except for losses directly and
solely caused by Agent's gross negligence or willful misconduct.  Agent does not
assume any responsibility for any failure or delay in performance or any breach
by any Obligor, Lender or other Secured Party of any obligations under the Loan
Documents.  Agent does not make any express or implied representation, warranty
or guarantee to Secured Parties with respect to any Obligations, Collateral,
Liens, Loan Documents or Obligor.  No Agent Indemnitee shall be responsible to
Secured Parties for any recitals, statements, information, representations or
warranties contained in any Loan Documents or Borrower Materials; the execution,
validity, genuineness, effectiveness or enforceability of any Loan Documents;
the genuineness, enforceability, collectability, value, sufficiency, location or
existence of any Collateral, or the validity, extent, perfection or priority of
any Lien therein; the validity, enforceability or collectability of any
Obligations; or the assets, liabilities, financial condition, results of
operations, business, creditworthiness or legal status of any Obligor or Account
Debtor.  No Agent Indemnitee shall have any obligation to any Secured Party to
ascertain or inquire into the existence of any Default or Event of Default, the
observance by any Obligor of any terms of the Loan Documents, or the
satisfaction of any conditions precedent contained in any Loan Documents.

12.8Successor Agent and Co-Agents. 

12.8.1Resignation; Successor Agent.  Agent may resign at any time by giving at
least <thirty (30)>3 days' written notice thereof to Lenders and Borrower.
 Required Lenders may appoint a successor to replace the resigning Agent, which
successor shall be (a) a Lender or an Affiliate of a Lender; or (b) a financial
institution reasonably acceptable to Required Lenders< and (provided no Default
or Event of Default exists) Borrower>.  If no successor agent is appointed prior
to the effective date of Agent's resignation, then Agent may appoint a successor
agent that is a financial institution acceptable to it (which shall be a Lender
unless no Lender accepts the role) or in the absence of such appointment,
Required Lenders shall on such date assume all rights and duties of Agent
hereunder.  Upon acceptance by any successor Agent of its appointment hereunder,
such successor Agent shall thereupon succeed to and become vested with all the
powers and duties of the retiring Agent without further act.  On the effective
date of its resignation, the retiring Agent shall be discharged from its duties
and obligations hereunder but shall continue to have all rights and protections
under the Loan Documents with respect to actions taken or omitted to be taken by
it while Agent, including the indemnification set forth in Sections 12.6 and
14.2, and all rights and  

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protections under this Section 12.  Any successor to TCW by merger or
acquisition of stock or this loan shall continue to be Agent hereunder without
further act on the part of any Secured Party or Obligor.

12.8.2Co-Collateral Agent.  If appropriate under Applicable Law, Agent may
appoint a Person to serve as a co-collateral agent or separate collateral agent
under any Loan Document.  Each right, remedy and protection intended to be
available to Agent under the Loan Documents shall also be vested in such agent.
 Secured Parties shall execute and deliver any instrument or agreement that
Agent may request to effect such appointment.  If any such agent shall die,
dissolve, become incapable of acting, resign or be removed, then all the rights
and remedies of the agent, to the extent permitted by Applicable Law, shall vest
in and be exercised by Agent until appointment of a new agent. 

12.9Due Diligence and Non-Reliance 

.  Each Lender acknowledges and agrees that it has, independently and without
reliance upon Agent or any other Lenders, and based upon such documents,
information and analyses as it has deemed appropriate, made its own credit
analysis of each Obligor and its own decision to enter into this Agreement and
to fund the Loans hereunder.  Each Secured Party has made such inquiries as it
feels necessary concerning the Loan Documents, Collateral and Obligors.  Each
Secured Party acknowledges and agrees that the other Secured Parties have made
no representations or warranties concerning any Obligor, any Collateral or the
legality, validity, sufficiency or enforceability of any Loan Documents or
Obligations.  Each Secured Party will, independently and without reliance upon
any other Secured Party, and based upon such financial statements, documents and
information as it deems appropriate at the time, continue to make and rely upon
its own credit decisions in making the Loans, and in taking or refraining from
any action under any Loan Documents.  Except for notices, reports and other
information expressly requested by a Lender, Agent shall have no duty or
responsibility to provide any Secured Party with any notices, reports or
certificates furnished to Agent by any Obligor or any credit or other
information concerning the affairs, financial condition, business or Properties
of any Obligor (or any of its Affiliates) which may come into possession of
Agent or its Affiliates.

12.10Remittance of Payments and Collections. 

12.10.1Remittances Generally.  All payments by any Lender to Agent shall be made
by the time and on the day set forth in this Agreement, in immediately available
funds.  If no time for payment is specified or if payment is due on demand by
Agent and request for payment is made by Agent by 1:00 p.m. on a Business Day,
payment shall be made by Lender not later than 3:00 p.m. on such day, and if
request is made after 1:00 p.m., then payment shall be made by 11:00 a.m. on the
next Business Day.  Payment by Agent to any Secured Party shall be made by wire
transfer, in the type of funds received by Agent.  Any such payment shall be
subject to Agent's right of offset for any amounts due from such payee under the
Loan Documents. 

12.10.2Failure to Pay.  If any Secured Party fails to pay any amount when due by
it to Agent pursuant to the terms hereof, such amount shall bear interest, from
the due date until paid in full, at the rate determined by Agent as customary
for interbank compensation for two (2) Business Days and thereafter at the
Default Rate for Prime Rate Loans.  In no event shall Borrower be entitled to
receive credit for any interest paid by a Secured Party to Agent. 

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12.10.3Recovery of Payments.  If Agent pays an amount to a Secured Party in the
expectation that a related payment will be received by Agent from an Obligor and
such related payment is not received, then Agent may recover such amount from
the Secured Party.  If Agent determines that an amount received by it must be
returned or paid to an Obligor or other Person pursuant to Applicable Law or
otherwise, then Agent shall not be required to distribute such amount to any
Secured Party.  If any amounts received and applied by Agent to Obligations held
by a Secured Party are later required to be returned by Agent pursuant to
Applicable Law, such Secured Party shall pay to Agent, on demand, its share of
the amounts required to be returned. 

12.11Individual Capacities 

.  As a Lender, TCW shall have the same rights and remedies under the Loan
Documents as any other Lender, and the terms "Lenders," "Required Lenders" or
any similar term shall include TCW in its capacity as a Lender.  Agent, Lenders
and their Affiliates may accept deposits from, lend money to, act as financial
or other advisor to, and generally engage in any kind of business with, Obligors
and their Affiliates, as if they were not Agent or Lenders hereunder, without
any duty to account therefor to any Secured Party.  In their individual
capacities, Agent, Lenders and their Affiliates may receive information
regarding Obligors, their Affiliates and their Account Debtors (including
information subject to confidentiality obligations), and shall have no
obligation to provide such information to any Secured Party.

12.12No Third Party Beneficiaries 

.  This Section 12 is an agreement solely among Secured Parties and Agent, and
shall survive Full Payment of the Obligations.  This Section 12 does not confer
any rights or benefits upon Borrower or any other Person.  As between Borrower
and Agent, any action that Agent may take under any Loan Documents or with
respect to any Obligations shall be conclusively presumed to have been
authorized and directed by Secured Parties.

12.13Intercreditor <Agreement>and Subordination Agreements 

.  Each Lender hereunder (a) consents to the subordination of Liens provided for
in the Intercreditor Agreement; (b) agrees that it will be bound by, and will
take no actions contrary to, the provisions of the Intercreditor Agreement or
any other subordination or intercreditor agreement pertaining to any
Subordinated Debt; (c) authorizes and instructs Agent to enter into the
Intercreditor Agreement as Term Loan Agent on behalf of such holder of "Term
Loan Obligations" (as defined therein); <and >(d) authorizes and instructs Agent
to enter into any other subordination or intercreditor agreement pertaining to
any Subordinated Debt on behalf of itself and the Lenders, (e) acknowledges (or
is deemed to acknowledge) that a copy of the Intercreditor Agreement was
delivered, or made available, to such Lender.  Each Lender hereby acknowledges
that it has received and reviewed the Intercreditor Agreement.

SECTION 13.  BENEFIT OF AGREEMENT; ASSIGNMENTS 

13.1Successors and Assigns 

.  This Agreement shall be binding upon and inure to the benefit of Borrower,
Agent, Lenders, Secured Parties, and their respective successors and assigns,
except that (a) Borrower shall have no right to assign its rights or delegate
its obligations under any Loan Documents; and (b) any assignment by a Lender
must be made in compliance with Section 13.3.  Agent may treat the Person which
made any Loan as the owner thereof for all purposes until such Person makes an
assignment in accordance with Section 13.3.  Any

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authorization or consent of a Lender shall be conclusive and binding on any
subsequent transferee or assignee of such Lender.

13.2Participations. 

13.2.1Permitted Participants; Effect.  Subject to Section 13.3.3, any Lender
may, sell to a financial institution ("Participant") a participating interest in
the rights and obligations of such Lender under any Loan Documents.  Despite any
sale by a Lender of participating interests to a Participant, such Lender's
obligations under the Loan Documents shall remain unchanged, it shall remain
solely responsible to the other parties hereto for performance of such
obligations, it shall remain the holder of its Loans and Commitments for all
purposes, all amounts payable by Borrower shall be determined as if it had not
sold such participating interests, and Borrower and Agent shall continue to deal
solely and directly with such Lender in connection with the Loan Documents.
 Each Lender shall be solely responsible for notifying its Participants of any
matters under the Loan Documents, and Agent and the other Lenders shall not have
any obligation or liability to any such Participant.  A Participant that would
be a Foreign Lender if it were a Lender shall not be entitled to the benefits of
Section 5.8 unless Borrower agrees otherwise in writing. 

13.2.2Voting Rights.  Each Lender shall retain the sole right to approve,
without the consent of any Participant, any amendment, waiver or other
modification of a Loan Document other than that which forgives principal,
interest or fees, reduces the stated interest rate or fees payable with respect
to any Loan or Commitment in which such Participant has an interest, postpones
the Maturity Date or any date fixed for any regularly scheduled payment of
principal, interest or fees on such Loan or Commitment, or releases Borrower,
any Guarantor or substantially all Collateral. 

13.2.3Participant Register.  Each Lender that sells a participation shall,
acting solely for this purpose as an agent of Borrower, maintain a register in
which it enters the Participant's name, address and interest in Commitments and
Loans (and stated interest).  Entries in the register shall be conclusive,
absent manifest error, and such Lender shall treat each Person recorded in the
register as the owner of the participation for all purposes, notwithstanding any
notice to the contrary.  No Lender shall have an obligation to disclose any
information in such register except to the extent necessary to establish that a
Participant's interest is in registered form under the Code. 

13.2.4Benefit of Setoff.  Borrower agrees that each Participant shall have a
right of set-off in respect of its participating interest to the same extent as
if such interest were owing directly to a Lender, and each Lender shall also
retain the right of set-off with respect to any participating interests sold by
it.  By exercising any right of set-off, a Participant agrees to share with
Lenders all amounts received through its set-off, in accordance with Section
12.5 as if such Participant were a Lender. 

13.3Assignments. 

13.3.1Permitted Assignments.  A Lender may assign to an Eligible Assignee any of
its rights and obligations under the Loan Documents, as long as (a) each
assignment is of a  

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constant, and not a varying, percentage of the transferor Lender's rights and
obligations under the Loan Documents and, in the case of a partial assignment,
is in a minimum principal amount of $5,000,000 (unless otherwise agreed by Agent
in its discretion) and integral multiples of $1,000,000 in excess of that
amount; (b) except in the case of an assignment in whole of a Lender's rights
and obligations, the aggregate amount of the Commitments retained by the
transferor Lender is at least $5,000,000 (unless otherwise agreed by Agent in
its discretion); and (c) the parties to each such assignment shall execute and
deliver to Agent, for its acceptance and recording, an Assignment and
Acceptance.  Nothing herein shall limit the right of a Lender to pledge or
assign any rights under the Loan Documents to secure obligations of such Lender,
including a pledge or assignment to a Federal Reserve Bank; provided, however,
that no such pledge or assignment shall release the Lender from its obligations
hereunder nor substitute the pledge or assignee for such Lender as a party
hereto.

13.3.2Effect; Effective Date.  Upon delivery to Agent of an executed Assignment
Agreement, assignment notice in the form of Exhibit B and a processing fee of
$3,500 (unless otherwise agreed by Agent in its discretion), and to the extent
that the Eligible Assignee is not an existing Lender, an administrative
questionnaire satisfactory to Agent and all such documentation and other
information with respect to the assignee that is required by regulatory
authorities under applicable "know your customer" and anti-money laundering
rules and regulations, including the Patriot Act, the Agent shall record the
assignment in the Register in accordance with this Section 13.3.4, and as long
as the assignment is also in compliance with this Section 13.3.  The assignment
shall become effective upon said recordation in the Register.  From such
effective date, the Eligible Assignee shall for all purposes be a Lender under
the Loan Documents, and shall have all rights and obligations of a Lender
thereunder; provided, that such Eligible Assignee (for the avoidance of doubt,
including any Eligible Assignee that is already a Lender hereunder at the time
of assignment) shall not be entitled to receive any greater payment under
Section 5.8 than that which its assignor would have been entitled to receive had
no such assignment occurred, except to the extent such entitlement to receive a
greater payment results from a Change in Law that occurs after such assignment.
 Upon consummation of an assignment, the transferor Lender, Agent and Borrower
shall make appropriate arrangements for issuance of replacement and/or new
notes, if applicable. 

13.3.3Certain Assignees.  No assignment or participation may be made to
Borrower, an Affiliate of Borrower, Defaulting Lender or a natural person.  Any
assignment by a Defaulting Lender shall be effective only upon payment by the
Eligible Assignee or Defaulting Lender to Agent of an aggregate amount
sufficient, upon distribution (through direct payment, purchases of
participations or other compensating actions as Agent deems appropriate), to
satisfy all funding and payment liabilities then owing by the Defaulting Lender
hereunder.  If an assignment by a Defaulting Lender shall become effective under
Applicable Law for any reason without compliance with the foregoing sentence,
then the assignee shall be deemed a Defaulting Lender for all purposes until
such compliance occurs. 

13.3.4Register.  Agent, acting solely for this purpose as an agent of Borrower,
shall maintain (a) a copy (or electronic equivalent) of each Assignment and
Acceptance delivered to it, and (b) a register for recordation of the names,
addresses and Commitments of, and the Loans and interest owing to, each Lender.
 Entries in the register shall be conclusive, absent manifest error, and
Borrower, Agent and Lenders shall treat each Person recorded in such register as
a  

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Lender for all purposes under the Loan Documents, notwithstanding any notice to
the contrary.  The register shall be available for inspection by Borrower or any
Lender (with respect to any such Lender's Loans), from time to time upon
reasonable notice.

SECTION 14.  MISCELLANEOUS 

14.1Consents, Amendments and Waivers. 

14.1.1Amendment.  No modification of any Loan Document, including any extension
or amendment of a Loan Document or any waiver of a Default or Event of Default,
shall be effective without the prior written agreement of Agent (with the
consent of Required Lenders) and each Obligor party to such Loan Document;
provided, however, that  

(a)without the prior written consent of Agent, no modification shall alter any
provision in a Loan Document that relates to any rights, duties or discretion of
Agent; 

(b)without the prior written consent of each affected Lender, including a
Defaulting Lender, no modification shall (i) increase the Commitment of such
Lender; (ii) reduce the amount of, or waive or delay payment of, any principal,
interest or fees payable to such Lender; (iii) extend the Maturity Date; or (iv)
amend this clause (c); 

(c)without the prior written consent of all Lenders (except any Defaulting
Lender), no modification shall (i) alter Section 2.4 or 14.1.1; (ii) amend the
definition of Required Lenders; (iii) release all or substantially all
Collateral; (iv) except in connection with a merger, disposition or similar
transaction expressly permitted hereby, release any Obligor from liability for
any Obligations; 

(d)Agent and Borrower may amend any Loan Document (i) to correct administrative
errors or omissions, or to effect administrative changes that are not adverse to
any Lender, (ii) to correct, amend, cure any ambiguity, inconsistency, defect or
correct any typographical error or other manifest error in this Agreement or any
other Loan Document, (iii) to comply with local law or advice of local counsel
in respect of a Security Document or (iv) to cause a Security Document to be
consistent with this Agreement and other Loan Documents.  Notwithstanding
anything to the contrary contained herein, such amendment shall become effective
without any further consent of any other party to such Loan Document if the same
is not objected to in writing by the Required Lenders within five (5) Business
Days following receipt of notice thereof. 

14.1.2Limitations.  The agreement of Borrower shall not be required for any
modification of a Loan Document that deals solely with the rights and duties of
Lenders and/or Agent as among themselves.  Only the consent of the parties to
any agreement relating to fees shall be required for modification of such
agreement.  Any waiver or consent granted by Agent or Lenders hereunder shall be
effective only if in writing and only for the matter specified. 

14.1.3Payment for Consents.  Borrower will not, directly or indirectly, pay any
remuneration or other thing of value, whether by way of additional interest, fee
or otherwise, to any Lender (in its capacity as a Lender hereunder) as
consideration for agreement by such Lender  

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with any modification of any Loan Documents, unless such remuneration or value
is concurrently paid, on the same terms, on a Pro Rata basis to all Lenders
providing their consent.

14.2Indemnity 

.  BORROWER SHALL INDEMNIFY AND HOLD HARMLESS THE INDEMNITEES AGAINST ANY CLAIMS
THAT MAY BE INCURRED BY OR ASSERTED AGAINST ANY INDEMNITEE, INCLUDING CLAIMS
ASSERTED BY ANY OBLIGOR OR OTHER PERSON OR ARISING FROM THE NEGLIGENCE OF AN
INDEMNITEE.  In no event shall any party to a Loan Document have any obligation
thereunder to indemnify or hold harmless an Indemnitee with respect to a Claim
that is determined in a final, non-appealable judgment by a court of competent
jurisdiction to result from the gross negligence or willful misconduct of such
Indemnitee.

14.3Notices and Communications. 

14.3.1Notice Address.  Subject to Section 5.1.4, all notices and other
communications by or to a party hereto shall be in writing and shall be given,
if to Borrower, to it at School Specialty, Inc., W6316 Design Drive; Greenville,
WI  54942; Attn:  Chief Financial Officer; Telecopy (920) 882-5863, and, if to
any other Person,  at its address shown on the signature pages hereof (or, in
the case of a Person who becomes a Lender after the Closing Date, at the address
shown on its Assignment and Acceptance), or at such other address as a party may
hereafter specify by notice in accordance with this Section 14.3.  Each
communication shall be effective only (a) if given by facsimile transmission,
when transmitted to the applicable facsimile number, if confirmation of receipt
is received; (b) if given by mail, three (3) Business Days after deposit in the
U.S. mail, with first-class postage pre-paid, addressed to the applicable
address; or (c) if given by personal delivery, when duly delivered to the notice
address with receipt acknowledged.  Notwithstanding the foregoing, no notice to
Agent pursuant to Section 2.1, 2.2, 2.3 or 3.1 shall be effective until actually
received by the individual to whose attention at Agent such notice is required
to be sent.  Any written communication that is not sent in conformity with the
foregoing provisions shall nevertheless be effective on the date actually
received by the noticed party.  Any notice received by Borrower shall be deemed
received by Borrower. 

14.3.2Electronic Communications; Voice Mail.  Electronic mail and internet
websites may be used only for routine communications, such as delivery of
Borrower Materials, administrative matters, distribution of Loan Documents, and
matters permitted under Section 2.1, 2.2, 2.3 or 3.1.  Agent and Lenders make no
assurances as to the privacy and security of electronic communications.
 Electronic and voice mail may not be used as effective notice under the Loan
Documents. 

14.3.3Platform.  Borrower Materials shall be delivered pursuant to procedures
approved by Agent, including electronic delivery (if possible) upon request by
Agent to an electronic system maintained by Agent ("Platform").  Borrower shall
notify Agent of each posting of Borrower Materials on the Platform and the
materials shall be deemed received by Agent only upon its receipt of such
notice.  Borrower Materials and other information relating to this credit
facility may be made available to Secured Parties on the Platform, and Obligors
and Secured Parties acknowledge that "public" information is not segregated from
material non-public information on the Platform.  The Platform is provided "as
is" and "as available." Agent does not warrant the accuracy or completeness of
any information on the Platform nor the adequacy or  

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functioning of the Platform, and expressly disclaims liability for any errors or
omissions in the Borrower Materials or any issues involving the Platform.  NO
WARRANTY OF ANY KIND, EXPRESS, IMPLIED OR STATUTORY, INCLUDING ANY WARRANTY OF
MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, NON-INFRINGEMENT OF THIRD
PARTY RIGHTS, OR FREEDOM FROM VIRUSES OR OTHER CODE DEFECTS, IS MADE BY AGENT
WITH RESPECT TO BORROWER MATERIALS OR THE PLATFORM.  Secured Parties acknowledge
that Borrower Materials may include material non-public information of Obligors
and should not be made available to any personnel who do not wish to receive
such information or who may be engaged in investment or other market-related
activities with respect to any Obligor's securities.  No Agent Indemnitee shall
have any liability to Borrower, Secured Parties or any other Person for losses,
claims, damages, liabilities or expenses of any kind (whether in tort, contract
or otherwise) relating to use by any Person of the Platform or delivery of
Borrower Materials and other information through the Platform or over the
internet.

14.3.4Non-Conforming Communications.  Agent and Lenders may rely upon any
communications purportedly given by or on behalf of Borrower even if they were
not made in a manner specified herein, were incomplete or were not confirmed, or
if the terms thereof, as understood by the recipient, varied from a later
confirmation.  Borrower shall indemnify and hold harmless each Indemnitee from
any liabilities, losses, costs and expenses arising from any electronic or
telephonic communication purportedly given by or on behalf of Borrower. 

14.4Performance of Borrower's Obligations 

.  Agent may, in its discretion at any time and from time to time, at Borrower's
expense, pay any amount or do any act required of Borrower under any Loan
Documents or otherwise lawfully requested by Agent to (a) enforce any Loan
Documents or collect any Obligations; (b) protect, insure, maintain or realize
upon any Collateral; or (c) defend or maintain the validity or priority of
Agent's Liens in any Collateral, including any payment of a judgment, insurance
premium, warehouse charge, finishing or processing charge, or landlord claim, or
any discharge of a Lien.  All payments, costs and expenses (including
Extraordinary Expenses) of Agent under this Section 14.4 shall be reimbursed to
Agent by Borrower, on demand, with interest from the date incurred until paid in
full at the Default Rate applicable to Prime Rate Loans.  Any payment made or
action taken by Agent under this Section 14.4 shall be without prejudice to any
right to assert an Event of Default or to exercise any other rights or remedies
under the Loan Documents.

14.5Credit Inquiries 

.  Agent and Lenders may (but shall have no obligation) to respond to usual and
customary credit inquiries from third parties concerning any Obligor or
Subsidiary.

14.6Severability 

.  Wherever possible, each provision of the Loan Documents shall be interpreted
in such manner as to be valid under Applicable Law.  If any provision is found
to be invalid under Applicable Law, it shall be ineffective only to the extent
of such invalidity and the remaining provisions of the Loan Documents shall
remain in full force and effect.

14.7Cumulative Effect; Conflict of Terms 

.  The provisions of the Loan Documents are cumulative.  The parties acknowledge
that the Loan Documents may use several limitations or measurements to regulate
similar matters, and they agree that these are cumulative and that each must be
performed as provided.  Except as otherwise provided in another Loan Document
(by specific reference to the applicable provision of this Agreement), if any
provision contained herein

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is in direct conflict with any provision in another Loan Document, the provision
herein shall govern and control.

14.8Counterparts; Execution 

.  Any Loan Document may be executed in counterparts, each of which shall
constitute an original, but all of which when taken together shall constitute a
single contract.  This Agreement shall become effective when Agent has received
counterparts bearing the signatures of all parties hereto.  Delivery of a
signature page of any Loan Document by telecopy or other electronic means shall
be effective as delivery of a manually executed counterpart of such agreement.
 Any electronic signature, contract formation on an electronic platform and
electronic record-keeping shall have the same legal validity and enforceability
as a manually executed signature or use of a paper-based recordkeeping system to
the fullest extent permitted by Applicable Law, including the Federal Electronic
Signatures in Global and National Commerce Act, the New York State Electronic
Signatures and Records Act, or any similar state law based on the Uniform
Electronic Transactions Act.  Upon request by Agent, any electronic signature or
delivery shall be promptly followed by a manually executed or paper document.

14.9Entire Agreement 

.  Time is of the essence with respect to all Loan Documents and Obligations.
 The Loan Documents constitute the entire agreement, and supersede all prior
understandings and agreements, among the parties relating to the subject matter
thereof.

14.10Relationship with Lenders 

.  The obligations of each Lender hereunder are several, and no Lender shall be
responsible for the obligations or Commitments of any other Lender.  Amounts
payable hereunder to each Lender shall be a separate and independent debt.  It
shall not be necessary for Agent or any other Lender to be joined as an
additional party in any proceeding for such purposes.  Nothing in this Agreement
and no action of Agent, Lenders or any other Secured Party pursuant to the Loan
Documents or otherwise shall be deemed to constitute Agent and any Secured Party
to be a partnership, joint venture or similar arrangement, nor to constitute
control of any Obligor.

14.11No Advisory or Fiduciary Responsibility 

.  In connection with all aspects of each transaction contemplated by any Loan
Document, Borrower acknowledges and agrees that (a)(i) this credit facility and
any arranging or other services by Agent, any Lender, any of their Affiliates or
any arranger are arm's-length commercial transactions between Borrower and its
Affiliates, on one hand, and Agent, any Lender, any of their Affiliates or any
arranger, on the other hand; (ii) Borrower has consulted their own legal,
accounting, regulatory and tax advisors to the extent they have deemed
appropriate; and (iii) Borrower is capable of evaluating, and understand and
accept, the terms, risks and conditions of the transactions contemplated by the
Loan Documents; (b) each of Agent, Lenders, their Affiliates and any arranger is
and has been acting solely as a principal and, except as expressly agreed in
writing by the relevant parties, has not been, is not, and will not be acting as
an advisor, agent or fiduciary for Borrower, its Affiliates or any other Person,
and has no obligation with respect to the transactions contemplated by the Loan
Documents except as expressly set forth therein; and (c) Agent, Lenders, their
Affiliates and any arranger may be engaged in a broad range of transactions that
involve interests that differ from those of Borrower and its Affiliates, and
have no obligation to disclose any of such interests to Borrower or its
Affiliates.  To the fullest extent permitted by Applicable Law, Borrower hereby
waives and releases any claims that it may have against Agent, Lenders, their
Affiliates and any arranger with

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respect to any breach of agency or fiduciary duty in connection with any
transaction contemplated by a Loan Document.

14.12Confidentiality 

.  Each of Agent and Lenders shall maintain the confidentiality of all
Information (as defined below), except that Information may be disclosed (a) to
its Affiliates, and to its and their partners, directors, officers, employees,
agents, advisors and representatives (provided they are informed of the
confidential nature of the Information and instructed to keep it confidential);
(b) to the extent requested by any governmental, regulatory or self-regulatory
authority purporting to have jurisdiction over it or its Affiliates; (c) to the
extent required by Applicable Law or by any subpoena or other legal process; (d)
to any other party hereto; (e) in connection with any action or proceeding
relating to any Loan Documents or Obligations; (f) subject to an agreement
containing provisions substantially the same as this Section 14.12, to any
Transferee; (g) with the consent of Borrower; or (h) to the extent such
Information (i) becomes publicly available other than as a result of a breach of
this Section 14.12 or (ii) is available to Agent, any Lender or any of their
Affiliates on a non-confidential basis from a source other than Borrower.
 Notwithstanding the foregoing, Agent and Lenders may publish or disseminate
general information concerning this credit facility for league table, tombstone
and advertising purposes, and may use Borrower's logos, trademarks or product
photographs in advertising materials.  As used herein, "Information" means
information received from an Obligor or Subsidiary relating to it or its
business that is identified as confidential when delivered.  A Person required
to maintain the confidentiality of Information pursuant to this Section 14.12
shall be deemed to have complied if it exercises a degree of care similar to
that accorded its own confidential information.  Each of Agent and Lenders
acknowledges that (i) Information may include material non-public information;
(ii) it has developed compliance procedures regarding the use of such
information; and (iii) it will handle the material non-public information in
accordance with Applicable Law.

14.13GOVERNING LAW 

.  UNLESS EXPRESSLY PROVIDED IN ANY LOAN DOCUMENT, THIS AGREEMENT, THE OTHER
LOAN DOCUMENTS AND ALL CLAIMS SHALL BE GOVERNED BY THE LAWS OF THE STATE OF NEW
YORK, WITHOUT GIVING EFFECT TO ANY CONFLICT OF LAW PRINCIPLES EXCEPT FEDERAL
LAWS RELATING TO NATIONAL BANKS.

14.14Consent to Forum; Bail-In of EEA Financial Institutions. 

14.14.1Forum.  BORROWER HEREBY CONSENTS TO THE EXCLUSIVE JURISDICTION OF ANY
FEDERAL OR STATE COURT SITTING IN OR WITH JURISDICTION OVER NEW YORK, IN ANY
DISPUTE, ACTION, LITIGATION OR OTHER PROCEEDING RELATING IN ANY WAY TO ANY LOAN
DOCUMENTS, AND AGREES THAT ANY DISPUTE, ACTION, LITIGATION OR OTHER PROCEEDING
SHALL BE BROUGHT BY IT SOLELY IN ANY SUCH COURT.  BORROWER IRREVOCABLY AND
UNCONDITIONALLY WAIVES ALL CLAIMS, OBJECTIONS AND DEFENSES THAT IT MAY HAVE
REGARDING ANY SUCH COURT'S PERSONAL OR SUBJECT MATTER JURISDICTION, VENUE OR
INCONVENIENT FORUM.  EACH PARTY HERETO IRREVOCABLY AND UNCONDITIONALLY SUBMITS
TO THE JURISDICTION OF SUCH COURTS AND CONSENTS TO SERVICE OF PROCESS IN THE
MANNER PROVIDED FOR NOTICES IN SECTION 14.3.1.  A final judgment in any
proceeding of any such court shall be  

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conclusive and may be enforced in other jurisdictions by suit on the judgment or
any other manner provided by Applicable Law.

14.14.2Other Jurisdictions.  Nothing herein shall limit the right of Agent or
any Lender to bring proceedings against any Obligor in any other court, nor
limit the right of any party to serve process in any other manner permitted by
Applicable Law.  Nothing in this Agreement shall be deemed to preclude
enforcement by Agent of any judgment or order obtained in any forum or
jurisdiction. 

14.14.3Acknowledgement and Consent to Bail-In of EEA Financial Institutions.
 Notwithstanding anything to the contrary in any Loan Document or in any other
agreement, arrangement or understanding among the parties, each party hereto
(including each Secured Party) acknowledges that any liability arising under a
Loan Document of any Secured Party that is an EEA Financial Institution, to the
extent such liability is unsecured, may be subject to the write-down and
conversion powers of an EEA Resolution Authority, and agrees and consents to,
and acknowledges and agrees to be bound by, (a) the application of any
Write-Down and Conversion Powers by an EEA Resolution Authority to any such
liabilities arising under any Loan Documents which may be payable to it by any
Secured Party that is an EEA Financial Institution; and (b) the effects of any
Bail-in Action on any such liability, including (i) a reduction in full or in
part or cancellation of any such liability; (ii) a conversion of all, or a
portion of, such liability into shares or other instruments of ownership in such
EEA Financial Institution, its parent undertaking, or a bridge institution that
may be issued to it or otherwise conferred on it, and that such shares or other
instruments of ownership will be accepted by it in lieu of any rights with
respect to any such liability under any Loan Document; or (iii) the variation of
the terms of such liability in connection with the exercise of the write-down
and conversion powers of any EEA Resolution Authority. 

14.15Waivers by Borrower 

.  To the fullest extent permitted by Applicable Law, Borrower waives (a) the
right to trial by jury (which Agent and each Lender hereby also waives) in any
proceeding or dispute of any kind relating in any way to any Loan Documents,
Obligations or Collateral; (b) presentment, demand, protest, notice of
presentment, default, non-payment, maturity, release, compromise, settlement,
extension or renewal of any commercial paper, accounts, documents, instruments,
chattel paper and guaranties at any time held by Agent on which Borrower may in
any way be liable, and hereby ratifies anything Agent may do in this regard; (c)
notice prior to taking possession or control of any Collateral; (d) any bond or
security that might be required by a court prior to allowing Agent to exercise
any rights or remedies; (e) the benefit of all valuation, appraisement and
exemption laws; (f) any claim against Agent or any Lender, on any theory of
liability, for special, indirect, consequential, exemplary or punitive damages
(as opposed to direct or actual damages) in any way relating to any Enforcement
Action, Obligations, Loan Documents or transactions relating thereto; and (g)
notice of acceptance hereof.  Borrower acknowledges that the foregoing waivers
are a material inducement to Agent and Lenders entering into this Agreement and
that they are relying upon the foregoing in their dealings with Borrower.
 Borrower has reviewed the foregoing waivers with its legal counsel and has
knowingly and voluntarily waived its jury trial and other rights following
consultation with legal counsel.  In the event of litigation, this Agreement may
be filed as a written consent to a trial by the court.

14.16Patriot Act Notice 

.  Agent and Lenders hereby notify Borrower that pursuant to the Patriot Act,
Agent and Lenders are required to obtain, verify and record information that

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identifies Borrower, including its legal name, address, tax ID number and other
information that will allow Agent and Lenders to identify it in accordance with
the Patriot Act.  Agent and Lenders will also require information regarding each
personal guarantor, if any, and may require information regarding Borrower's
management and owners, such as legal name, address, social security number and
date of birth.  Borrower shall, promptly upon request, provide all documentation
and other information as Agent or any Lender may request from time to time in
order to comply with any obligations under any "know your customer," anti-money
laundering or other requirements of Applicable Law.

14.17NO ORAL AGREEMENT 

.  THIS AGREEMENT AND THE OTHER LOAN DOCUMENTS REPRESENT THE FINAL AGREEMENT
BETWEEN THE PARTIES AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR,
CONTEMPORANEOUS OR SUBSEQUENT ORAL AGREEMENTS BETWEEN THE PARTIES.  THERE ARE NO
UNWRITTEN AGREEMENTS BETWEEN THE PARTIES.

14.18Intercreditor Agreement Governs 

.  As between Agent and the Secured Parties on the one hand and the agent and
lenders under the Revolving Loan Facility on the other hand, in the event of any
conflict between the terms of the Intercreditor Agreement and the terms of this
Agreement with respect to the Collateral, the provisions of the Intercreditor
Agreement shall govern.

14.19Acknowledgment Regarding Any Supported QFCs 

.  To the extent that the Loan Documents provide support, through a guarantee or
otherwise, for any Hedging Agreement or any other agreement or instrument that
is a QFC (such support, "QFC Credit Support", and each such QFC, a "Supported
QFC"), the parties acknowledge and agree as follows with respect to the
resolution power of the Federal Deposit Insurance Corporation under the Federal
Deposit Insurance Act and Title II of the Dodd-Frank Wall Street Reform and
Consumer Protection Act (together with the regulations promulgated thereunder,
the "U.S. Special Resolution Regimes") in respect of such Supported QFC and QFC
Credit Support (with the provisions below applicable notwithstanding that the
Loan Documents and any Supported QFC may in fact be stated to be governed by the
laws of the State of New York and/or of the United States or any other state of
the United States):

14.19.1In the event a Covered Entity that is party to a Supported QFC (each, a
"Covered Party") becomes subject to a proceeding under a U.S. Special Resolution
Regime, the transfer of such Supported QFC and the benefit of such QFC Credit
Support (and any interest and obligation in or under such Supported QFC and such
QFC Credit Support, and any rights in property securing such Supported QFC or
such QFC Credit Support) from such Covered Party will be effective to the same
extent as the transfer would be effective under the U.S. Special Resolution
Regime if the Supported QFC and such QFC Credit Support (and any such interest,
obligation and rights in property) were governed by the laws of the United
States or a state of the United States. In the event a Covered Party or a BHC
Act Affiliate of a Covered Party becomes subject to a proceeding under a U.S.
Special Resolution Regime, Default Rights under the Loan Documents that might
otherwise apply to such Supported QFC or any QFC Credit Support that may be
exercised against such Covered Party are permitted to be exercised to no greater
extent than such Default Rights could be exercised under the U.S. Special
Resolution Regime if the Supported QFC and the Loan Documents were governed by
the laws of the United States or a state of the United  

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States. Without limitation of the foregoing, it is understood and agreed that
rights and remedies of the parties with respect to a Defaulting Lender shall in
no event affect the rights of any Covered Party with respect to a Supported QFC
or any QFC Credit Support.

14.19.2As used in this Section 14.19, the following terms have the following
meanings: 

"BHC Act Affiliate" of a party means an "affiliate" (as such term is defined
under, and interpreted in accordance with, 12 U.S.C. 1841(k)) of such party.

"Covered Entity" means any of the following:  (i) a "covered entity" as that
term is defined in, and interpreted in accordance with, 12 C.F.R. § 252.82(b);
(ii) a "covered bank" as that term is defined in, and interpreted in accordance
with, 12 C.F.R. § 47.3(b); or (iii) a "covered FSI" as that term is defined in,
and interpreted in accordance with, 12 C.F.R. § 382.2(b).

"Default Right" has the meaning assigned to that term in, and shall be
interpreted in accordance with, 12 C.F.R. §§ 252.81, 47.2 or 382.1, as
applicable.

"QFC" has the meaning assigned to the term "qualified financial contract" in,
and shall be interpreted in accordance with, 12 U.S.C. 5390(c)(8)(D).

[Remainder of page intentionally left blank; signatures begin on following page]

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IN WITNESS WHEREOF, this Agreement has been executed and delivered as of the
date set forth above.

BORROWER:

SCHOOL SPECIALTY, INC.

 

By:               

Name:                

Title:                

Address               

Attn:                

Telecopy:                

 

SUBSIDIARY GUARANTORS:

By:               

Name:                

Title:                

Address               

Attn:                

Telecopy:                

 

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AGENT:

TCW ASSET MANAGEMENT COMPANY LLC,

as Agent

 

By:               

Name:                

Title:                

 

Payment Account Designation:

Bank Name:  

ABA:  

Account Number:  

Account Name:  

                            

Ref: School Specialty, Inc.

 

With a copy of any notice hereunder to:

Cortland Capital Market Services LLC

225 W. Washington, 21st Floor

Chicago, Illinois 60606

Attn: Valerie Opperman and Legal Department

Email: tcw@cortlandglobal.com; legal@cortlandglobal.com

Fax: (312) 376-0751

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LENDERS:

 

TCW DIRECT LENDING LLC,

as a Lender

By TCW Asset Management Company LLC

Its Investment Advisor

 

 

By:                      

Name:                      

Title:                      

Payment Account Designation:

ABA

Beneficiary Acct #:

Beneficiary Name:

Ref: School Specialty, Inc.

 

TCW DIRECT LENDING STRATEGIC VENTURES LLC,

as a Lender

 

 

By:                      

Name:                      

Title:                      

Payment Account Designation:

ABA #:

Beneficiary Acct #:

Beneficiary Name:

Ref: School Specialty, Inc.

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WEST VIRGINIA DIRECT LENDING LLC,

as a Lender

By: TCW Asset Management Company LLC,

its Investment Advisor

 

 

By:                      

Name:                      

Title:                      

 

ABA #:

Beneficiary Acct #:

Beneficiary Name:

Ref: School Specialty, Inc.

 

TCW BRAZOS FUND LLC,

as a Lender

By: TCW Asset Management Company LLC,

its Investment Advisor

 

 

By:                      

Name:                      

Title:                      

Payment Account Designation:

ABA #:

Beneficiary Acct #:

Beneficiary Name:

Ref: School Specialty, Inc.

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TCW SKYLINE LENDING, L.P.,

as a Lender

By: TCW Asset Management Company LLC,

its Investment Advisor

 

 

By:                      

Name:                      

Title:                      

Payment Account Designation:

ABA #

Beneficiary Acct #:

Beneficiary Name:

Ref: School Specialty, Inc.

 

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127

 

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Schedule 1.1(a)
Commitments

 

Lender

Term A Loan
Commitment

Term A Loan Commitment Percentage

Delayed Draw Term Loan Commitment

Delayed Draw Term Loan Commitment Percentage

TCW Direct Lending LLC

$53,984,615.39

49.08%

$14,723,076.93

49.08%

TCW Direct Lending Strategic Ventures LLC

$34,184,615.38

31.08%

$9,323,076.92

31.08%

West Virginia Direct Lending LLC

$5,161,538.46

4.69%

$1,407,692.31

4.69%

TCW Brazos Fund LLC

$11,592,307.69

10.54%

$3,161,538.46

10.54%

TCW Skyline Lending, L.P.

$5,076,923.08

4.62%

$1,384,615.38

4.62%

TOTAL

$110,000,000.00

100.00%

$30,000,000.00

100.00%

 

 

 

 

11106419 v9 12/2/2019 1:46 PM_7129.023

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Signature Page to Loan Agreement (Term Loan)

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EXHIBIT C
to
FIFTH AMENDMENT TO LOAN AGREEMENT AND
FORBEARANCE AGREEMENT

Exhibit C

 

[See attached.]

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EXHIBIT C

To

Loan Agreement

COMPLIANCE CERTIFICATE

Date _________, 20__

TCW Asset Management Company, LLC, as Agent
200 Clarendon Street, 51st Floor
Boston, Massachusetts 02116

The undersigned, the chief financial officer of SCHOOL SPECIALTY, INC., a
Delaware corporation ("Borrower"), gives this certificate (this "Certificate")
to TCW ASSET MANAGEMENT COMPANY, LLC, as agent for the Lenders (in such
capacity, "Agent"), in accordance with the requirements of Section 10.1.2(d) of
that certain Loan Agreement dated as of April 7, 2017 (as amended, restated,
supplemented, or otherwise modified from time to time, the "Loan Agreement"),
among Borrower, the other borrowers party thereto, the other guarantors party
thereto (the "Guarantors"), the financial institutions party to the Loan
Agreement from time to time as lenders (collectively, "Lenders") and TCW ASSET
MANAGEMENT COMPANY, LLC, as agent for the Lenders ("Agent").  Unless otherwise
defined herein, capitalized terms used herein shall have the meanings
attributable thereto in the Loan Agreement.  I have reviewed and am familiar
with the contents of this Certificate.

 

1.[Based upon my review of the [audited][unaudited] balance sheets of Borrower
and its Subsidiaries, together with related statements of income, cash flow and
[shareholders' equity],1 for the [Fiscal Quarter][Fiscal Year][month] ending
________________, 20 __, copies of which are attached hereto, collectively, as
Annex A, I hereby certify that:]2 

[(a)The Borrower is in compliance with Sections 10.2.7 and 10.3 of the Loan
Agreement;] 

[(b)The Capital Expenditures during the four (4) consecutive Fiscal Quarter
period ending on _______ equaled $_______.] 

[(c)The Fixed Charge Coverage Ratio of the Borrower at the end of four (4)
consecutive Fiscal Quarter period ending ____ equaled ___ to 1.0.] 

[(d)The Net Senior Leverage Ratio of the Borrower at the end of four (4)
consecutive Fiscal Quarter period ending ____ equaled ___ to 1.0.] 

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1 Shareholders' equity is only required to be delivered with the Fiscal Year
financial deliveries required under Section 10.1.2 of the Loan Agreement. 

2 To be included if accompanying annual, quarterly or monthly financial
statements only. 

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C-1

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[(e)Unadjusted EBITDA of the Borrower at the end of twelve (12) consecutive
month period ending ____ equaled $_______.]] 

2.At all times during the [Fiscal Quarter][Fiscal Year][month][week] ending
________________, 20 __, Specified Availability [was][was not] greater than or
equal to $12,500,000 

3.[The aggregate amount of outstanding Revolving Loans (other than "Protective
Advances" (as defined in the Revolving Loan Agreement)) [was][was not] greater
than $15,000,000 on each day during the period that begins on December 22, 2019
through and including December 28, 2019 [and $10,000,000 on each day during the
period that begins on December 29, 2019 through and including January 1,
2020].]3 

4.No Event of Default exists on the date hereof, other than _______ [if none, so
state]. 

5.[Attached hereto as Annex A, for Borrower and its Subsidiaries for the Fiscal
Year ended [_____], are balance sheets as of the end of such Fiscal Year and the
related statements of income, cash flow and shareholders' equity for such Fiscal
Year, on consolidated and consolidating bases for Borrower and its Subsidiaries,
which consolidated statements are audited and certified (without any "going
concern" or like qualification or exception or any qualification or exception as
to scope of audit) by [●]4, setting forth in comparative form corresponding
figures for the preceding Fiscal Year.  Also attached hereto as Annex A are
copies of all management letters and other material reports submitted to
Borrower by its accountants in connection with such financial statements.]5 

6.[Attached hereto as Annex A, for Borrower and its Subsidiaries, for the Fiscal
Quarter ended [_____], are unaudited balance sheets as of the end of such month
and the related statements of income and cash flow for such Fiscal Quarter and
for the portion of the Fiscal Year then elapsed, on consolidated and
consolidating bases for Borrower and its Subsidiaries, setting forth in
comparative form corresponding figures for the preceding Fiscal Year and
certified by the chief financial officer of Borrower as prepared in accordance
with GAAP and fairly presenting the financial position and results of operations
for such month and period, subject to normal year-end adjustments and the
absence of footnotes.]6 

7.[Attached hereto as Annex A, for Borrower and its Subsidiaries, for the month
ended [_____], are unaudited balance sheets as of the end of such month and the
related statements of income and cash flow for such month and for the portion of
the Fiscal Year then elapsed, on  

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3 To be included in the Compliance Certificate delivered for each of the months
ended December 31, 2019 and January 31, 2020.

4 A firm of independent certified public accountants of recognized standing
selected by Company and acceptable to Agent. 

5 To be included if accompanying annual financial statements only, beginning
with the fiscal year ended December 30, 2017.

6 To be included if accompanying quarterly financial statements only.

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C-2

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consolidated and consolidating bases for Borrower and its Subsidiaries, setting
forth in comparative form corresponding figures for the preceding Fiscal Year
and certified by the chief financial officer of Borrower as prepared in
accordance with GAAP and fairly presenting the financial position and results of
operations for such month and period, subject to normal year-end adjustments and
the absence of footnotes.]7

8.[Attached hereto as Annex B, and pursuant to Section 10.1.2(f) of the Loan
Agreement are projections of Borrower's consolidated balance sheets, results of
operations, cash flow and Availability for the next Fiscal Year, month by month
and for the next three Fiscal Years, year by year.] 

9.Attached hereto as Annex C is a schedule showing reasonably detailed
calculations of the Fixed Charge Coverage Ratio. 

10.Attached hereto as Annex D is a schedule showing reasonably detailed
calculations of the Net Senior Leverage Ratio. 

11.Attached hereto as Annex E is a schedule showing reasonably detailed
calculations of Unadjusted EBITDA. 

12.[Attached hereto as Annex F is a schedule showing reasonably detailed
calculations of EBITDA.]8 

[REMAINDER OF PAGE INTENTIONALLY LEFT BLANK]

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7 To be included if accompanying monthly financial statements only.

8 To be included in the Compliance Certificate delivered for the month ended
December 31, 2019.

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C-3

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Borrower has caused this Compliance Certificate to be executed and delivered by
its chief financial officer, this ____ day of ________, 20 __.

 

SCHOOL SPECIALTY, INC., as Borrower

 

 

By:                           

       Name:

       Title:  Chief Financial Officer

 

 

 

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C-4

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EXHIBIT D
to
FIFTH AMENDMENT TO LOAN AGREEMENT AND
FORBEARANCE AGREEMENT

Exhibit H, Exhibit I and Exhibit J

 

[See attached.]

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EXHIBIT I

 

FORM OF

BUDGET AND VARIANCE CERTIFICATE

 

______________, 20__

This Budget and Variance Certificate is being delivered in connection with the
Loan Agreement (as amended, restated or otherwise modified from time to time,
including as amended by that certain Fifth Amendment to Loan Agreement and
Forbearance Agreement, the "Loan Agreement") dated as of April 7, 2017 by and
among SCHOOL SPECIALTY, INC., a Delaware corporation ("Borrower"), each Person
party thereto as a guarantor from time to time (collectively, the "Guarantors",
and each a "Guarantor"), the financial institutions from time to time party
thereto (each a "Lender" and, collectively, the "Lenders") and TCW ASSET
MANAGEMENT COMPANY LLC (in its individual capacity, "TCW"), as Agent for the
Lenders (in such capacity, together with its successors and assigns in such
capacity, the "Agent").  Capitalized terms used herein without definition have
the meanings provided in the Loan Agreement.   

The undersigned hereby certifies, on behalf of Borrower, in his capacity as the
Chief Financial Officer of Borrower and not in his individual capacity, that:

1. Attached hereto as Exhibit A is an updated proposed Budget for the
immediately succeeding thirteen-week period, calculated as of the last Business
Day of the immediately preceding week (the "Attached Budget"); 

2. Attached hereto as Exhibit B is a Variance Report, calculated as of the last
Business Day of the immediately preceding week (the "Attached Variance
Report"); 

3. Attached hereto as Exhibit C is a report setting forth detailed explanations
for variances in actual results, as set forth in the Attached Variance Report,
as compared to the forecasted performance for such period as set forth in the
previous week's Budget (the "Variance Explanation"); 

4. Each of the Attached Budget, the Attached Variance Report and the Variance
Explanation has been prepared and reviewed by Obligors' management; 

5. The Attached Budget is based upon good faith estimates and assumptions
believed by management to be reasonable at the time made, in light of the
circumstances under which they were made and at the time furnished (and based
upon accounting principles consistent with the historical audited financial
statements of Borrower), and due care in the preparation of the Attached Budget
(it being understood that forecasts and projections are subject to uncertainties
and that there can be no assurance such results will be achieved). 

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6. Other than Permitted Initial Payments, no payments during the immediately
preceding week were made outside of the ordinary course of business (including
without limitation payments identified as, or on account of, Specified Unsecured
Prepetition Debt or Extended Prepetition Debt); and 

7. Specified Availability was not less than $12,500,000 at any time during the
immediately preceding week. 

 

[signature page follows]

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IN WITNESS WHEREOF, the undersigned has executed this Budget and Variance
Certificate as of the date first above written.

 

 

SCHOOL SPECIALTY, INC.

 

 

By:                                 

Name:  Ryan M. Bohr

Title:  Chief Financial Officer

 

 

 

 

11154372v3 11/21/2019 9:02 AM7129.023 

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Signature Page to Budget and Variance Certificate