EXHIBIT 10.1

 

US UNWIRED INC.

 

THIRD AMENDMENT TO CREDIT AGREEMENT

 

This THIRD AMENDMENT TO CREDIT AGREEMENT (this “Amendment”) is dated as of
October 30, 2003 and entered into by and among US UNWIRED INC., a Louisiana
corporation (“Borrower”), the financial institutions listed on the signature
pages hereof (“Lenders”), and COBANK, ACB, as Administrative Agent for Lenders
(“Administrative Agent”), for purposes of Sections 5, 6 and 7 hereof, the
Subsidiary Guarantors listed on the signature pages hereof (“Subsidiary
Guarantors”), and for purposes of Sections 5 and 7 hereof, LUCENT TECHNOLOGIES
INC., as Vendor Guarantor (“Vendor Guarantor”), and is made with reference to
that certain Amended and Restated Credit Agreement dated as of March 8, 2002 by
and among Borrower, the financial institutions listed on the signature pages
thereof, Administrative Agent, FIRST UNION SECURITIES, INC., as Syndication
Agent and Co-Arranger, THE BANK OF NEW YORK, as Documentation Agent, BNY CAPITAL
MARKETS, INC., as a Co-Arranger, and GENERAL ELECTRIC CAPITAL CORPORATION, as
Co-Documentation Agent, as amended by (i) that certain letter amendment (the
“First Amendment”) dated as of May 1, 2002 by and among Borrower, the financial
institutions listed on the signature pages thereof, Subsidiary Guarantors,
Vendor Guarantor, and Administrative Agent and (ii) that certain Second
Agreement Regarding Amendments to Loan Documents (the “Second Amendment”) dated
as of June 6, 2002 by and among Borrower, Subsidiary Guarantors, and
Administrative Agent (as so amended, the “Credit Agreement”). Capitalized terms
used herein without definition shall have the same meanings herein as set forth
in the Credit Agreement (as amended by this Amendment).

 

RECITALS

 

WHEREAS, on February 7, 2003 the Federal Deposit Insurance Corporation (the
“FDIC”) was appointed receiver for Southern Pacific Bank, of which Coast
Business Credit (one of the Lenders) is a division (“Coast”), and on July 17,
2003 Administrative Agent received notice from the FDIC that it had exercised
its statutory authority to repudiate and disaffirm Coast’s obligations under the
Credit Agreement;

 

WHEREAS, Borrower has informed Administrative Agent and Lenders that (i)
Borrower and/or certain of its Restricted Subsidiaries have entered into
agreements for the sale of the Unwired Telecom business and certain PCS Licenses
to Cingular Wireless LLC and the sale of certain Licenses to Cell South
Licenses, Inc., and (ii) Borrower and/or certain of its Restricted Subsidiaries
intend to sell certain tower assets (collectively, the “Transactions”);

 

WHEREAS, Borrower has requested that Administrative Agent and Lenders amend the
Credit Agreement to (i) reflect the repudiation and disaffirmation by Coast,
(ii) permit the Transactions, and (iii) make certain other amendments to the
Credit Agreement as more fully described herein; and

 

1

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WHEREAS, the undersigned Lenders have agreed to the foregoing request on the
terms and conditions set forth herein.

 

NOW, THEREFORE, in consideration of the premises and the agreements, provisions,
and covenants herein contained, the parties hereto agree as follows:

 

Section 1. AMENDMENTS TO THE CREDIT AGREEMENT

 

  1.1 Amendment to Subsection 1.1: Loans.

 

Subsection 1.1(D) of the Credit Agreement is hereby amended by inserting at the
end thereof the following:

 

“Anything contained in this Agreement to the contrary notwithstanding, neither
the Incremental Term Loan Facility nor the Incremental Term Loans shall be
available on and after the Third Amendment Effective Date.”

 

  1.2 Amendments to Subsection 1.2: Interest.

 

A. Subsection 1.2(A) of the Credit Agreement is hereby amended by deleting the
reference to “2.250%” contained therein and substituting “2.750%” therefor.

 

B. Subsection 1.2 of the Credit Agreement is hereby amended by deleting clause
(B) thereof in its entirety and substituting the following therefor:

 

“(B) Applicable Margins. Prior to the Third Amendment Effective Date, the
applicable Base Rate Margin and LIBOR Margin for Loans shall be as set forth in
this Agreement prior to giving effect to the Third Amendment. On the Third
Amendment Effective Date and continuing through the day immediately preceding
the first Adjustment Date occurring after the first consecutive four (4) fiscal
quarter period in which Borrower achieves positive Operating Cash Flow for such
period, the applicable Base Rate Margin and LIBOR Margin for Loans made under
the Term Loan A Facility and the Revolving Credit Facility shall be 2.750% and
4.000% per annum, respectively. Commencing on such Adjustment Date, the
applicable Base Rate Margin and LIBOR Margin for Loans made under the Term Loan
A Facility and the Revolving Credit Facility shall be for each Calculation
Period the applicable per annum percentage set forth in the pricing table below
opposite the Total Leverage Ratio of Borrower then in effect; provided, that
effective upon the occurrence of an Event of Default and until such Event of
Default is cured or waived the applicable Base Rate Margin and LIBOR Rate Margin
for Loans made under the Term Loan A Facility and the Revolving Credit Facility
shall be 2.750% and 4.000% per annum, respectively. The applicable Base Rate
Margin and LIBOR Margin for Loans made under the Term Loan B Facility at all
times shall be 3.50% and 4.50%, respectively.

 

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For purposes of this Subsection 1.2(B), Operating Cash Flow and Total Leverage
Ratio shall be calculated on a consolidated basis for Borrower and its
Restricted Subsidiaries, but excluding any Unrestricted Subsidiary.

 

PRICING TABLE FOR TERM LOAN A

 

AND REVOLVING LOANS

 

Total Leverage Ratio

--------------------------------------------------------------------------------

   Base Rate
Margin

--------------------------------------------------------------------------------

       LIBOR
Margin

--------------------------------------------------------------------------------

 

³ 10.00:1

   2.500 %      3.750 %

³8.00:1<10.00:1

   2.250 %      3.500 %

³ 6.00:1<8.00:1

   2.000 %      3.250 %

³ 4.00:1<6.00:1

   1.750 %      3.000 %

< 4.00:1

   1.500 %      2.750 %”

 

  1.3 Amendment to Subsection 1.4: Fees and Expenses.

 

Subsection 1.4(D) of the Credit Agreement is hereby amended by inserting the
following at the end thereof:

 

“Without limiting the foregoing, Borrower hereby acknowledges and agrees that
the reasonable fees and expenses of O’Melveny & Myers LLP and Deloitte & Touche
LLP (so long as they are retained by Administrative Agent) incurred in
connection with the Loan Documents will constitute fees and expenses covered
under this Subsection 1.4(D).”

 

  1.4 Amendment to Subsection 1.6: Repayments and Reduction of Loans and
Commitments and Related Mandatory Repayments.

 

Subsection 1.6(D) of the Credit Agreement is hereby amended by deleting the last
sentence therefrom in its entirety and substituting therefor the following:

 

“In addition to the foregoing, if at the close of any Business Day Borrower, on
a consolidated basis with its Restricted Subsidiaries, has in excess of (i) for
any such Business Day prior to March 31, 2005, $15,000,000.00 of cash or Cash
Equivalents, or (ii) for any such Business Day on or after March 31, 2005,
$10,000,000.00 of cash or Cash Equivalents, Borrower shall repay Revolving Loans
(to the extent outstanding) in a principal amount equal to such excess (without
permanently reducing the Revolving Loan Commitment); provided, however, that
Borrower may elect that any portion of such excess that would otherwise be
required to be applied to repay LIBOR Loans with

 

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Interest Periods expiring less than 30 days after the Business Day on which such
prepayment would otherwise be required (such LIBOR Loans being “Expiring LIBOR
Loans”) in accordance with this sentence be deposited (together with an amount
sufficient to pay interest accruing thereon to the projected date of repayment)
in a cash collateral account (which shall be established and maintained pursuant
to documentation in form and substance satisfactory to Administrative Agent in
its reasonable discretion) and applied thereafter to repay such Expiring LIBOR
Loans in accordance with this Subsection 1.6(D) at the earliest expiration of
the Interest Periods applicable thereto; provided further, however, that (x)
nothing in the preceding proviso shall diminish or otherwise affect the
obligation of Borrower to pay Breakage Fees, if any, with respect to LIBOR Loans
that are not Expiring LIBOR Loans and are repaid in accordance with this
Subsection 1.6(D), and (y) in no event shall any Expiring LIBOR Loans be deemed
repaid until such time as the principal amount thereof and interest thereon are
actually repaid from amounts in such cash collateral account or otherwise. Any
repayments pursuant to this Subsection 1.6(D) shall be applied (except as
expressly provided in the immediately preceding sentence) in accordance with
Subsection 1.8, and shall be accompanied by accrued interest on the amount
repaid and any amount required pursuant to Subsection 1.4(C).”

 

  1.5 Amendments to Subsection 1.7: Voluntary Prepayments and Other Mandatory
Repayments.

 

A. Subsection 1.7 of the Credit Agreement is hereby amended by deleting clause
(B) thereof in its entirety and substituting the following therefor:

 

“(B) Repayments from Excess Cash Flow; Repayment on Third Amendment Effective
Date. Within one hundred twenty (120) days after the end of each of its fiscal
years, commencing with the fiscal year ending December 31, 2002, Borrower shall
repay the Loans in an amount equal to fifty percent (50%) of the Excess Cash
Flow for such fiscal year. Notwithstanding anything to the contrary in the
preceding sentence, the amount of any prepayment from Excess Cash Flow required
pursuant to the preceding sentence (i) for the fiscal year ending December 31,
2003 shall be reduced (but not to less than zero) by the amount of the Term Loan
Repayment Credit and the 2003 Permitted Asset Disposition Credit (if any), and
(ii) for the fiscal year ending December 31, 2004 shall be reduced (but not to
less than zero) by the amount of the Term Loan Repayment Credit and the 2004
Permitted Asset Disposition Credit (if any), with such Term Loan Repayment
Credit, 2003 Permitted Asset Disposition Credit and 2004 Permitted Asset
Disposition Credit being determined in each case at the time such prepayment
from Excess Cash Flow is made or would be required but for such reduction, as
the case may be. For the purposes of this Subsection 1.7(B), Excess Cash Flow
shall be calculated on a consolidated basis for Borrower and its Restricted
Subsidiaries, but excluding Unrestricted Subsidiaries. Additionally, on the
Third Amendment Effective Date, Borrower shall prepay $10,000,000.00 in
principal amount of the Loans from cash on hand of Borrower (and not from the
proceeds of Revolving Loans). All repayments pursuant to this Subsection 1.7(B)
shall be applied in accordance with Subsection 1.8.”

 

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B. Subsection 1.7 of the Credit Agreement is hereby amended by deleting clause
(F) thereof in its entirety and substituting the following therefor:

 

“(F) Repayments from Asset Dispositions. Immediately upon receipt by Borrower or
any of its Restricted Subsidiaries of Net Proceeds other than insurance proceeds
from any Asset Disposition (other than a Permitted Asset Disposition), Borrower
shall repay the Loans in an amount equal to such Net Proceeds; provided,
however, that Borrower shall not be required to repay Loans from Asset
Dispositions to the extent such Asset Dispositions are permitted pursuant to
Subsection 3.8(i), (ii) or (iii), or from Asset Dispositions pursuant to
Subsection 3.8(v), the Net Proceeds of which are reinvested by the Borrower or
its Restricted Subsidiaries within three hundred sixty (360) days of receipt in
PCS Assets used and useful in the business of the Borrower or its Restricted
Subsidiaries. Immediately upon receipt by Borrower or any of its Restricted
Subsidiaries of Adjusted Net Proceeds from any Permitted Asset Disposition,
Borrower shall (i) to the extent the aggregate amount of all such Adjusted Net
Proceeds does not exceed $25,700,000, prepay the Loans in an amount equal to
70.0% of such Adjusted Net Proceeds, (ii) to the extent the aggregate amount of
all such Adjusted Net Proceeds exceeds $25,700,000, retain for general corporate
purposes not otherwise prohibited hereunder such excess, until such time as
retaining an additional $1.00 of such Adjusted Net Proceeds would result in the
total percentage of the aggregate Adjusted Net Proceeds from all Permitted Asset
Dispositions applied to prepay Loans pursuant to clause (i) of this sentence
being less than 60.0%, and (iii) thereafter, prepay the Loans in an amount equal
to 60.0% of all further Adjusted Net Proceeds from Permitted Asset Dispositions
with the portion thereof not applied to prepay Loans being retained for general
corporate purposes not otherwise prohibited hereunder. Notwithstanding anything
to the contrary in the preceding two sentences, the amount of any prepayment
from Net Proceeds or Adjusted Net Proceeds required pursuant to the preceding
two sentences shall be reduced (but not to less than zero) by the amount of the
Term Loan Repayment Credit in effect at the time such prepayment is made or
would be required but for such reduction, as the case may be. All such
repayments pursuant to this Subsection 1.7(F) shall be applied in accordance
with Subsection 1.8.”

 

  1.6 Amendment to Section 2: Affirmative Covenants.

 

Section 2 of the Credit Agreement is hereby amended by inserting at the end
thereof the following new Subsections 2.13 and 2.14:

 

“2.13 Additional Covenants Relating to Collateral. Within sixty (60) days
following the later of (A) the Third Amendment Effective Date and (B) the
delivery by Administrative Agent to Borrower of the Security Documents to be
executed and delivered by Borrower pursuant to this Subsection 2.13, Borrower
shall and shall cause each Subsidiary Guarantor to execute and deliver such
additional Security Documents as Administrative Agent may reasonably request,
including, without limitation, (i) account control agreements with respect to
all deposit, checking, savings, investment, or similar accounts of Borrower and
each Subsidiary Guarantor, including those accounts set forth on Schedule 1 to
the Third Amendment, (ii) leasehold mortgages, landlord access agreements, and
collateral assignment agreements with respect to those leasehold

 

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interests of Borrower and each Subsidiary Guarantor set forth on Schedule 2 to
the Third Amendment, (iii) stock/membership interest certificates, transfer
powers, and amended Pledge Agreement schedules with respect to those shares of
capital stock of or membership interests in the Subsidiary Guarantors set forth
on Schedule 3 to the Third Amendment, (iv) amendments to the Security Documents
(other than to the Mortgages) to change the governing law thereunder to New
York, and (v) such other instruments and documents as Administrative Agent may
reasonably request in order to perfect its Lien on all personal, mixed, and real
property of Borrower and each Subsidiary Guarantor (including commercial tort
claims against Sprint and/or its affiliates), each in form and substance
reasonably satisfactory to Administrative Agent; provided, however, that
Borrower shall not be deemed in breach of its obligations described in clause
(B) hereof so long as Borrower exercises commercially reasonable efforts to
comply with this covenant and the failure to comply results from a failure of
third parties to cooperate with Borrower’s efforts.

 

2.14 Management of IWO. On and after the Third Amendment Effective Date,
Borrower will use its commercially reasonable best efforts to enter into a
written agreement with IWO, including any of its subsidiaries, or any entities
created to manage IWO, providing for the management of IWO by Borrower on terms
and conditions and pursuant to documentation reasonably satisfactory to
Administrative Agent; provided that Borrower may manage IWO, whether or not such
written agreement is obtained, so long as the terms of such management
arrangement are substantially similar to the terms of the management arrangement
in effect on the Third Amendment Effective Date.”

 

  1.7 Amendment to Subsection 3.5: Restricted Junior Payments.

 

Section 3.5 of the Credit Agreement is hereby amended by inserting immediately
after the reference to “Notes” in clause (a) of the proviso contained therein
the following parenthetical phrase:

 

“(it being understood that Borrower may not advance any amounts to any Person in
respect of a payment on the Subordinated Notes prior to the date scheduled for
such payment)”

 

  1.8 Amendment to Subsection 3.8: Disposal of Assets or Subsidiary Stock.

 

Subsection 3.8 of the Credit Agreement is hereby amended by (i) deleting the
word “or” at the end of clause (iv) thereof, (ii) inserting immediately after
the first reference to “Asset Dispositions” in clause (v) thereof the
parenthetical phrase “(other than Permitted Asset Dispositions)”, and (iii)
inserting immediately prior to the “.” at the end thereof the following:

 

“; or (vi) Permitted Asset Dispositions, so long as (a) each such Permitted
Asset Disposition is consummated on substantially the terms disclosed prior to
October 17, 2003 to Administrative Agent for cash consideration in an amount not
less than the amount so disclosed and (b) the Adjusted Net Proceeds from each
such Permitted Asset Disposition are applied in accordance with Subsection
1.7(F).”

 

6

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  1.9 Amendment to Subsection 3.11: Conduct of Business.

 

Subsection 3.11 of the Credit Agreement is hereby amended by deleting the second
sentence thereof in its entirety and substituting the following therefor:

 

“Borrower will not engage in any business other than (i) the ownership of its
Subsidiaries and (ii) the provision of certain administrative services to its
Subsidiaries existing on or after the Third Amendment Effective Date, and shall
acquire no equipment or other assets not reasonably associated with such
ownership or provisions of such administrative services (it being understood and
agreed that Borrower may manage IWO, whether or not IWO remains a Subsidiary of
Borrower, so long as the terms of such management arrangement are substantially
similar to the terms of the management arrangement in effect on the Third
Amendment Effective Date).”

 

  1.10 Amendment to Section 3: Negative Covenants.

 

Section 3 of the Credit Agreement is hereby amended by inserting at the end
thereof the following new Subsection 3.17:

 

“3.17 Account Sweeps. Borrower will not and will not permit any of its
Restricted Subsidiaries directly or indirectly to maintain at any time after the
60th day following the Third Amendment Effective Date in any deposit, checking,
savings, investment, or similar account of such Person with respect to which
Sprint and/or any of its affiliates asserts a right to ‘sweep’ funds (whether or
not Sprint and/or such affiliate has such a right), a balance in excess of the
amount of obligations then due and payable to Sprint and/or its affiliate under
the applicable management agreement.”

 

  1.11 Amendments to Section 4: Financial Covenants and Reporting.

 

A. Section 4 of the Credit Agreement is hereby amended by deleting Subsections
4.1 through 4.11 in their entirety and substituting the following therefor:

 

“4.1 Minimum Last Four Quarters Operating Cash Flow. Borrower shall maintain
Operating Cash Flow for each of the four-fiscal quarter periods ending on the
dates set forth below of not less than the correlative amount set forth below:

 

Date

--------------------------------------------------------------------------------

   Operating Cash
Flow

--------------------------------------------------------------------------------

September 30, 2003

   $ 43,000,000.00

December 31, 2003

   $ 38,000,000.00

 

4.2 Minimum Monthly Revenues Per Subscriber for PCS Companies. Borrower shall
maintain monthly Revenues Per Subscriber for each fiscal quarter ending on a
date set forth below of not less than the correlative amount set forth below:

 

Date

--------------------------------------------------------------------------------

   Revenue
per
Subscriber

--------------------------------------------------------------------------------

September 30, 2003

   $ 46.50

December 31, 2003

   $ 46.10

 

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4.3 Maximum Year-to-Date Capital Expenditures for PCS Companies. Borrower shall
not permit capital expenditures incurred year-to-date, excluding any capital
expenses associated with Permitted Asset Dispositions permitted pursuant to

Subsection 3.8(vi), as of any date during the periods set forth below to exceed
the correlative amount set forth below; provided that the unused portion of such
capital expenditures allowance in any fiscal year may be carried forward to
subsequent fiscal years:

 

Date

--------------------------------------------------------------------------------

   Year to Date
Capital
Expenditures

--------------------------------------------------------------------------------

January 1, 2003 to December 31, 2003

   $ 43,000,000.00

January 1, 2004 to December 31, 2004

   $ 33,000,000.00

January 1, 2005 to December 31, 2005

   $ 26,000,000.00

 

4.4 Maximum Total Leverage Ratio. Borrower shall maintain a Total Leverage Ratio
as of any date occurring after the date which is the end of the fiscal quarter
most recently ended and set forth below, of not more than the correlative ratio
set forth below opposite such fiscal quarter end date:

 

Date

--------------------------------------------------------------------------------

   Ratio

--------------------------------------------------------------------------------

December 31, 2003

   11.68:1.0

March 31 2004

   12.93:1.0

June 30, 2004

   15.92:1.0

September 30, 2004

   13.97:1.0

December 31, 2004

   12.13:1.0

March 31, 2005

   11.00:1.0

June 30, 2005

   9.87:1.0

September 30, 2005

   8.74:1.0

December 31, 2005

   7.60:1.0

March 31, 2006

   7.13:1.0

June 30, 2006

   6.66:1.0

September 30, 2006

   6.19:1.0

December 31, 2006

   5.72:1.0

March 31, 2007 to December 31, 2007

   5.45:1.0

March 31, 2008 and thereafter

   5.25:1.0

 

8

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; provided, however, that on and after the Revised Financial Covenant Trigger
Date, the table above shall be deleted in its entirety and the following table
shall be substituted therefor:

 

Date

--------------------------------------------------------------------------------

   Ratio

--------------------------------------------------------------------------------

December 31, 2003

   11.60:1.0

March 31, 2004

   12.80:1.0

June 30, 2004

   16.45:1.0

September 30, 2004

   14.85:1.0

December 31, 2004

   13.10:1.0

March 31, 2005

   11.76:1.0

June 30, 2005

   10.43:1.0

September 30, 2005

   9.09:1.0

December 31, 2005

   7.75:1.0

March 31, 2006

   7.25:1.0

June 30, 2006

   6.75:1.0

September 30, 2006

   6.25:1.0

December 31, 2006

   5.75:1.0

March 31, 2007 to December 31, 2007

   5.50:1.0

March 31, 2008 and thereafter

   5.25:1.0

 

4.5 Maximum Senior Leverage Ratio. Borrower shall maintain a Senior Leverage
Ratio as of any date occurring after the date which is the end of the fiscal
quarter most recently ended and set forth below, of not more than the
correlative ratio set forth below opposite such fiscal quarter end date:

 

Date

--------------------------------------------------------------------------------

   Ratio

--------------------------------------------------------------------------------

December 31, 2003

   2.40:1.0

March 31, 2004

   2.72:1.0

June 30, 2004

   3.30:1.0

September 30, 2004

   2.73:1.0

December 31, 2004

   2.21:1.0

March 31, 2005

   2.04:1.0

June 30, 2005

   1.86:1.0

September 30, 2005

   1.69:1.0

December 31, 2005

   1.51:1.0

March 31, 2006

   1.38:1.0

June 30, 2006

   1.24:1.0

September 30, 2006

   1.10:1.0

December 31, 2006

   0.96:1.0

March 31, 2007 and thereafter

   0.96:1.0

 

9

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; provided, however, that on and after the Revised Financial Covenant Trigger
Date, the table above shall be deleted in its entirety and the following table
shall be substituted therefor:

 

Date

--------------------------------------------------------------------------------

   Ratio

--------------------------------------------------------------------------------

December 31, 2003

   2.25:1.0

March 31, 2004

   2.25:1.0

June 30, 2004

   2.70:1.0

September 30, 2004

   2.30:1.0

December 31, 2004

   1.95:1.0

March 31, 2005

   1.76:1.0

June 30, 2005

   1.58:1.0

September 30, 2005

   1.39:1.0

December 31, 2005

   1.20:1.0

March 31, 2006

   1.08:1.0

June 30, 2006

   0.95:1.0

September 30,2006

   0.83:1.0

December 31, 2006

   0.70:1.0

March 31, 2007 and thereafter

   0.70:1.0

 

4.6 Minimum Pro Forma Debt Service Coverage Ratio. Borrower shall maintain a Pro
Forma Debt Service Coverage Ratio determined as of the last day of any fiscal
quarter ending on a date set forth below, of not less than the correlative ratio
set forth below opposite such date:

 

Date

--------------------------------------------------------------------------------

   Ratio

--------------------------------------------------------------------------------

December 31, 2003

   1.34:1.0

March 31, 2004

   1.22:1.0

June 30, 2004

   0.53:1.0

September 30, 2004

   0.51:1.0

December 31, 2004

   0.45:1.0

March 31, 2005

   0.40:1.0

June 30, 2005

   0.50:1.0

September 30, 2005

   0.55:1.0

December 31, 2005

   0.65:1.0

March 31, 2006

   0.75:1.0

June 30, 2006

   0.85:1.0

September 30, 2006

   0.95:1.0

December 31, 2006

   1.05:1.0

March 31, 2007 and thereafter

   1.00:1.0

 

10

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; provided, however, that on and after the Revised Financial Covenant Trigger
Date, the table above shall be deleted in its entirety and the following table
shall be substituted therefor:

 

Date

--------------------------------------------------------------------------------

   Ratio

--------------------------------------------------------------------------------

December 31, 2003

   2.00:1.0

March 31, 2004

   1.87:1.0

June 30, 2004

   0.58:1.0

September 30, 2004

   0.65:1.0

December 31, 2004

   0.45:1.0

March 31, 2005

   0.45:1.0

June 30, 2005

   0.55:1.0

September 30, 2005

   0.65:1.0

December 31, 2005

   0.80:1.0

March 31, 2006

   0.87:1.0

June 30, 2006

   0.95:1.0

September 30, 2006

   1.02:1.0

December 31, 2006

   1.10:1.0

March 31, 2007 and thereafter

   1.00:1.0

 

4.7 Minimum Adjusted Quarterly Interest Coverage Ratio. Borrower shall maintain
an Adjusted Quarterly Interest Coverage Ratio determined as of the last day of
any fiscal quarter ending on a date set forth below, of not less than the
correlative ratio set forth below opposite such date:

 

Date

--------------------------------------------------------------------------------

   Ratio

--------------------------------------------------------------------------------

December 31, 2003

   5.55:1.0

March 31, 2004

   4.87:1.0

June 30, 2004

   3.71:1.0

September 30, 2004

   4.37:1.0

December 31, 2004

   5.07:1.0

March 31, 2005

   4.00:1.0

June 30, 2005

   1.45:1.0

September 30, 2005

   1.45:1.0

December 31, 2005

   1.08:1.0

March 31, 2006

   1.15:1.0

June 30, 2006

   1.23:1.0

September 30, 2006

   1.30:1.0

December 31, 2006

   1.38:1.0

March 31, 2007 and thereafter

   1.45:1.0

 

; provided, however, that on and after the Revised Financial Covenant Trigger
Date, the table above shall be deleted in its entirety and the following table
shall be substituted therefor:

 

Date

--------------------------------------------------------------------------------

   Ratio

--------------------------------------------------------------------------------

December 31, 2003

   5.50:1.0

March 31, 2004

   4.87:1.0

June 30, 2004

   3.71:1.0

September 30, 2004

   4.59:1.0

December 31, 2004

   5.70:1.0

March 31, 2005

   4.50:1.0

June 30, 2005

   1.50:1.0

September 30, 2005

   1.50:1.0

December 31, 2005

   1.00:1.0

March 31, 2006

   1.05:1.0

June 30, 2006

   1.15:1.0

September 30, 2006

   1.25:1.0

December 31, 2006

   1.35:1.0

March 31, 2007 and thereafter

   1.50:1.0

 

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4.8 Minimum Fixed Charge Coverage Ratio. Borrower shall maintain a Fixed Charge
Coverage Ratio for any four-fiscal quarter period ending on a date set forth
below, of not less than the correlative ratio set forth below opposite such
date:

 

Date

--------------------------------------------------------------------------------

   Ratio

--------------------------------------------------------------------------------

December 31, 2003

   0.79:1.0

March 31, 2004

   0.67:1.0

June 30, 2004

   0.49:1.0

September 30, 2004

   0.65:1.0

December 31, 2004

   0.70:1.0

March 31, 2005

   0.67:1.0

June 30, 2005

   0.65:1.0

September 30, 2005

   0.62:1.0

December 31, 2005

   0.60:1.0

March 31, 2006

   0.62:1.0

June 30, 2006

   0.65:1.0

September 30, 2006

   0.67:1.0

December 31, 2006

   0.70:1.0

March 31, 2007 to December 31, 2007

   0.90:1.0

March 31, 2008 and thereafter

   0.65:1.0

 

; provided, however, that on and after the Revised Financial Covenant Trigger
Date, the table above shall be deleted in its entirety and the following table
shall be substituted therefor:

 

Date

--------------------------------------------------------------------------------

   Ratio

--------------------------------------------------------------------------------

December 31, 2003

   0.75:1.0

March 31, 2004

   0.60:1.0

June 30, 2004

   0.45:1.0

September 30, 2004

   0.60:1.0

December 31, 2004

   0.77:1.0

March 31, 2005

   0.70:1.0

June 30, 2005

   0.67:1.0

September 30, 2005

   0.63:1.0

December 31, 2005

   0.62:1.0

March 31, 2006

   0.66:1.0

June 30, 2006

   0.72:1.0

September 30, 2006

   0.78:1.0

December 31, 2006

   0.85:1.0

March 31, 2007 to December 31, 2007

   1.00:1.0

March 31, 2008 and thereafter

   0.70:1.0

 

12

--------------------------------------------------------------------------------

4.9 Reserved.

 

4.10 Reserved.

 

4.11 Reserved.”

 

B. Section 4.12 of the Credit Agreement is hereby amended by inserting at the
end thereof the following new clauses (O), (P) and (Q).

 

“(O) Monthly Financials. As soon as available and in any event within thirty
(30) days after the end of each calendar month, Borrower will deliver to
Administrative Agent monthly financial statements, substantially in the form of
the financial statements provided pursuant to Subsection 4.12(A) (but without
footnotes thereto), for such calendar month (it being understood that such
monthly financial statements shall include information with respect to Disputed
Sprint Charges as of the end of such month in detail reasonably satisfactory to
Administrative Agent).

 

(P) Additional Reporting Requirements. From time to time and in any event within
two (2) Business Days after Administrative Agent’s request therefor, Borrower
shall deliver a statement of the cash balance of Borrower and its Restricted
Subsidiaries as of the date of such request.

 

(Q) Consolidated and Consolidating Financial Statements. Any reference in this
Subsection 4.12 to ‘consolidated and consolidating’ (or words of like import)
financial statements or reports of Borrower and its Subsidiaries’ shall mean and
be a reference to (i) such consolidated financial statements or reports of
Borrower and its Restricted Subsidiaries, (ii) such consolidated financial
statements or reports of LA Unwired and its Restricted Subsidiaries, and (iii)
such financial statements or reports of Unwired Telecom, so long as Unwired
Telecom is a Subsidiary of Borrower, each as the case may be.”

 

  1.12 Amendment to Subsection 7.2: Conditions to All Loans.

 

Subsection 7.2 of the Credit Agreement is hereby amended by inserting at the end
thereof the following new clause (H):

 

“(H) After giving effect to any borrowing contemplated after the Third Amendment
Effective Date, (1) Borrower shall be in pro forma compliance with the financial
covenants contained in Section 4 for which information is available, (2) for any
borrowing of Revolving Loans prior to March 31, 2005, Borrower, on a
consolidated basis with its Restricted Subsidiaries, shall not have in excess of
$15,000,000.00 of cash and Cash Equivalents, and (3) for any borrowing of
Revolving Loans after March 31, 2005, Borrower, on a consolidated basis with its
Restricted Subsidiaries, (i) shall not have in excess of $10,000,000.00 of cash
and Cash Equivalents, (ii) if the Revised Financial Covenant Trigger Date has
not occurred, shall have, for the eight-fiscal quarter period ending on the most
recent date set forth in the table below for which financial statements are
available, Operating Cash Flow minus capital expenditures (other than

 

13

--------------------------------------------------------------------------------

capital expenditures incurred in connection with Permitted Asset Dispositions
permitted pursuant to Subsection 3.8(vi)) in excess of the amount set forth
opposite such date under the heading ‘Amount for Full Availability: Scenario 1’,
and (iii) if the Revised Financial Covenant Trigger Date has occurred, shall
have, for the eight-fiscal quarter period ending on the most recent date set
forth in the table below for which financial statements are available, Operating
Cash Flow minus capital expenditures (other than capital expenditures incurred
in connection with Permitted Asset Dispositions permitted pursuant to

Subsection 3.8(vi)) in excess of the amount set forth opposite such date under
the heading ‘Amount for Full Availability: Scenario 2’. Notwithstanding the
foregoing, the condition precedent set forth in clause (ii) above shall be
deemed satisfied for any Revolving Loan borrowing after March 31, 2005 so long
as (A) the Revised Financial Covenant Trigger Date shall not have occurred, (B)
Borrower, on a consolidated basis with its Restricted Subsidiaries, (x) shall
not have in excess of $10,000,000.00 of cash and Cash Equivalents, and (y) shall
have, for the eight-fiscal quarter period ending on the most recent date set
forth in the table below for which financial statements are available, Operating
Cash Flow minus capital expenditures (other than capital expenditures incurred
in connection with Permitted Asset Dispositions permitted pursuant to Subsection
3.8(vi)) in excess of the amount set forth opposite such date under the heading
‘Amount for Partial Availability’, (C) Borrower shall have consummated one or
more Permitted Asset Dispositions for Adjusted Net Proceeds of at least
$10,000,000.00, and (D) after giving effect to such borrowing, the Letter of
Credit Exposure of all Lenders plus the amount of Revolving Loans would not
exceed the lesser of $10,000,000.00 and the Revolving Loan Commitment:

 

Date

--------------------------------------------------------------------------------

   Amount for Full
Availability:
Scenario 1

--------------------------------------------------------------------------------

   Amount for Full
Availability:
Scenario 2

--------------------------------------------------------------------------------

   Amount for Partial
Availability

--------------------------------------------------------------------------------

December 31, 2004

   $ 22,100,000.00    $ 11,000,000.00    $ 15,800,000.00

March 31, 2005

   $ 32,200,000.00    $ 18,000,000.00    $ 23,900,000.00

June 30, 2005

   $ 32,800,000.00    $ 15,000,000.00    $ 22,600,000.00

September 30, 2005

   $ 52,000,000.00    $ 32,800,000.00    $ 41,000,000.00

December 31, 2005

   $ 73,500,000.00    $ 51,800,000.00    $ 61,000,000.00

March 31, 2006

   $ 94,000,000.00    $ 70,500,000.00    $ 79,800,000.00

June 30, 2006

   $ 110,200,000.00    $ 85,400,000.00    $ 94,800,000.00

September 30, 2006

   $ 121,100,000.00    $ 95,000,000.00    $ 104,800,000.00

December 31, 2006

   $ 136,800,000.00    $ 100,000,000.00    $ 119,200,000.00

March 31, 2007

   $ 147,400,000.00    $ 140,000,000.00    $ 128,900,000.00

June 30, 2007

   $ 158,000,000.00    $ 140,000,000.00    $ 138,600,000.00

 

14

--------------------------------------------------------------------------------

  1.13 Amendment to Section 9.9: Applicable Law.

 

Section 9 of the Credit Agreement is hereby amended by deleting Subsection 9.9
in its entirety and substituting the following therefor:

 

“9.9 Applicable Law. THIS AGREEMENT AND THE RIGHTS AND OBLIGATIONS OF THE
PARTIES HEREUNDER SHALL BE GOVERNED BY, AND SHALL BE CONSTRUED AND ENFORCED IN
ACCORDANCE WITH, THE INTERNAL LAWS OF THE STATE OF NEW YORK (INCLUDING WITHOUT
LIMITATION SECTION 5-1401 OF THE GENERAL OBLIGATIONS LAW OF THE STATE OF NEW
YORK), WITHOUT REGARD TO CONFLICTS OF LAWS PRINCIPLES.”

 

  1.14 Amendment to Section 9.14: Consent to Jurisdiction and Service of
Process.

 

Subsection 9.14 of the Credit Agreement is hereby amended by deleting the
reference to “FEDERAL COURT OR COLORADO STATE COURT IN THE STATE OF COLORADO”
contained therein and substituting “FEDERAL OR STATE COURT IN THE STATE, COUNTY
AND CITY OF NEW YORK OR IN THE STATE OF COLORADO” therefor.

 

  1.15 Amendments to Subsection 10.1: Certain Defined Terms.

 

A. Subsection 10.1 of the Credit Agreement is hereby amended by inserting in
proper alphabetical order the following definitions:

 

“‘2003 Permitted Asset Disposition Credit’ at any time in effect means the
amount of Adjusted Net Proceeds from Permitted Asset Dispositions that have been
received prior to such time by Borrower and actually applied prior to such time
to repay Loans in accordance with subsection 1.7(F) (so long as such Permitted
Asset Dispositions are consummated, and such Adjusted Net Proceeds are applied
in accordance with Subsection 1.7(F), on or before April 30, 2004).

 

‘2004 Permitted Asset Disposition Credit’ at any time in effect means the amount
of Adjusted Net Proceeds from Permitted Asset Dispositions that have been
received prior to such time by Borrower and actually applied prior to such time
to repay Loans in accordance with subsection 1.7(F) (so long as such Permitted
Asset Dispositions are consummated, and such Adjusted Net Proceeds are applied
in accordance with Subsection 1.7(F), on or before December 31, 2004), reduced
by the amount (if any) which the prepayment from Excess Cash Flow required for
the 2003 fiscal year has been reduced from the 2003 Permitted Asset Disposition
Credit pursuant to the second sentence of Subsection 1.7(B), with such reduction
occurring at the time of the relevant reduction to the otherwise required
prepayment described in such sentence.

 

15

--------------------------------------------------------------------------------

‘Adjusted Net Proceeds’ means gross cash receipts at any time received by
Borrower and its Subsidiaries from Permitted Asset Dispositions permitted
pursuant to Subsection 3.8(vi), net of all direct costs of sale; provided that
not more than $100,000 of taxes incurred in connection with such Permitted Asset
Dispositions, not more than $4,000,000 of capital expenses incurred in
connection with such Permitted Asset Dispositions, and not more than $500,000 of
commissions and legal fees and expenses incurred in connection with such
Permitted Asset Dispositions may be deducted from gross cash receipts to derive
Adjusted Net Proceeds; and provided further that all such direct costs of sale
are documented in form and detail reasonably satisfactory to Administrative
Agent.

 

‘Cash Interest Expense’ means, for any period, total interest expense, to the
extent paid or payable in cash during such period, of Borrower and its
Restricted Subsidiaries on a consolidated basis with respect to all outstanding
debt, including all commissions, discounts, fees, and other charges owed with
respect to letter of credit and similar obligations.

 

‘Cell South Sale’ means the sale of certain Licenses by LA Unwired pursuant to
that certain Agreement for Purchase and Sale of Licenses dated as of July 10,
2003 by and between LA Unwired and Cell South Licenses, Inc., together with the
other transactions contemplated thereby.

 

‘Cingular Sale’ means, collectively, (i) the sale of the Unwired Telecom
business by Unwired Telecom pursuant to that certain Agreement for Purchase and
Sale of Assets dated as of September 15, 2003 by and between Unwired Telecom and
Cingular Wireless LLC, (ii) the sale of certain PCS Licenses by LA Unwired
pursuant to that certain Agreement for Purchase and Sale of Licenses dated as of
September 15, 2003 by and between LA Unwired and Cingular Wireless LLC, together
with the other transactions contemplated thereby, and (iii) the disposition of
certain FCC Licenses by Unwired Telecom.

 

‘Coast’ means Coast Business Credit, a division of Southern Pacific Bank, for
which the Federal Deposit Insurance Corporation was appointed as receiver on
February 7, 2003.

 

‘Disputed Sprint Charges’ means at any time the balance of unpaid fees and
charges asserted by Sprint and/or its affiliates as being owed to it that are
being disputed by Borrower and/or any of its Restricted Subsidiaries.

 

‘FDIC’ means the Federal Deposit Insurance Corporation.

 

‘First Amendment’ means the letter amendment dated as of May 1, 2002 by and
among Borrower, the financial institutions listed on the signature pages
thereof, Subsidiary Guarantors, Vendor Guarantor, and Administrative Agent.

 

16

--------------------------------------------------------------------------------

‘Permitted Asset Dispositions’ means the Cingular Sale, the Cell South Sale and
the Tower Sale.

 

‘Revised Financial Covenant Trigger Date’ means the first date on which all of
the following shall have occurred: (i) Borrower shall have consummated the
Cingular Sale on substantially the terms disclosed to Administrative Agent prior
to October 17, 2003 for cash consideration in an amount not less than the amount
so disclosed and (ii) the Adjusted Net Proceeds from the Cingular Sale shall
have been applied in accordance with Subsection 1.7(F).

 

‘Second Amendment’ means the Second Agreement Regarding Amendments to Loan
Documents dated as of June 6, 2002 by and among Borrower, Subsidiary Guarantors
and Administrative Agent.

 

‘Term Loan Repayment Credit’ at any time in effect means initially $10,000,000,
reduced from time to time by the amounts described in the following clause (i),
which shall apply to Subsection 1.7(B) only, and the following clause (ii),
which shall apply to Subsection 1.7(F) only, with each such reduction occurring
at the time of the relevant reduction to an otherwise required prepayment
described in such clause: (i) the amount by which any prepayment from Excess
Cash Flow is reduced from the Term Loan Repayment Credit pursuant to the second
sentence of Subsection 1.7(B), and (ii) the amount by which any prepayment from
Net Proceeds or Adjusted Net Proceeds of an Asset Disposition or Permitted Asset
Disposition is reduced from the Term Loan Repayment Credit pursuant to the third
sentence of Subsection 1.7(F).

 

‘Third Amendment’ means the Third Amendment to the Credit Agreement dated as of
October 30, 2003 by and among Borrower, Subsidiary Guarantors, Vendor Guarantor,
the Lenders party thereto and Administrative Agent.

 

‘Third Amendment Effective Date’ shall have the meaning assigned to such term in
the Third Amendment.

 

‘Tower Sale’ means the sale of certain tower assets by Borrower and its
Restricted Subsidiaries to any Person pursuant to definitive documentation on
substantially the terms set forth in the letter of intent dated September 5,
2003, together with the other transactions contemplated thereby.”

 

17

--------------------------------------------------------------------------------

B. Subsection 10.1 of the Credit Agreement is hereby further amended by (i)
deleting the definition of “Annualized Operating Cash Flow” and (ii) deleting
the definitions of “Adjusted Quarterly Interest Coverage Ratio”, “Excess Cash
Flow”, “Fixed Charges”, “Obligations”, “Operating Cash Flow”, “Pro Forma Debt
Service Coverage Ratio”, “Pro Forma Interest Expense”, “Revenues Per
Subscriber”, “Senior Indebtedness”, “Senior Leverage Ratio”, and “Total Leverage
Ratio” contained therein in their entirety and substituting the following
therefor:

 

“‘Adjusted Quarterly Interest Coverage Ratio’ means, as of the last day of any
fiscal quarter, the ratio derived by dividing Operating Cash Flow for the most
recently completed four (4) fiscal quarters, by Cash Interest Expense for the
most recently completed four (4) fiscal quarters.

 

‘Excess Cash Flow’ means, for any fiscal year, (i) Operating Cash Flow for such
year minus (ii) the sum of (a) Fixed Charges, (b) net changes in working capital
for such year, plus (c) any restructuring expenses and litigation costs
associated with lawsuits against Sprint and/or any of its affiliates to the
extent such costs and expenses are added back to pre-tax income for such period
in calculating Operating Cash Flow. For purposes hereof, “net changes in working
capital for such year” shall mean the amount (which may be a negative number) by
which (1) current assets less current liabilities, in each case determined at
the end of such year, exceeds (2) current assets less current liabilities, in
each case determined at the beginning of such year, with ‘current assets’
meaning at any date the total assets of Borrower and its Restricted Subsidiaries
that are properly classified as current assets on such date in conformity with
GAAP, excluding cash and Cash Equivalents, and ‘current liabilities’ meaning at
any date the total liabilities of Borrower and its Restricted Subsidiaries that
are properly classified as current liabilities on such date in conformity with
GAAP, excluding the current portion of long term debt and Disputed Sprint
Charges.

 

‘Fixed Charges’ means for any period the sum of (i) scheduled principal payments
(including any principal paid pursuant to scheduled reductions in commitments to
lend) during such period, (ii) Cash Interest Expense for such period, (iii) cash
taxes for such period, and (iv) capital expenditures for such period, excluding
any such capital expenses required in connection with Permitted Asset
Dispositions permitted pursuant to Subsection 3.8(vi).

 

‘Obligations’ means (i) all obligations, liabilities and indebtedness of every
nature of Borrower from time to time owed to Administrative Agent or any Lender
under the Loan Documents including the principal amount of all debts, claims and
indebtedness, accrued and unpaid interest and all fees, costs and expenses,
whether primary, secondary, direct, contingent, fixed or otherwise, heretofore,
now and/or from time to time hereafter owing, due or payable whether before or
after the filing of a proceeding under the Bankruptcy Code by or against
Borrower, any of its Restricted Subsidiaries or Vendor Guarantor whether or not
a claim is allowed against such Person for such amounts in the related
bankruptcy proceeding and (ii) all net liabilities and obligations, wherever
arising, owing from Borrower to any Lender or any Affiliate of any Lender,
arising under any Hedging

 

18

--------------------------------------------------------------------------------

Agreement entered into by Borrower with a Lender or an Affiliate of a Lender and
relating to fixing or limiting interest rate obligations of Borrower under this
Credit Agreement.

 

‘Operating Cash Flow’ means for any period the sum of (i) pre-tax income or
deficit, as the case may be, of Borrower and its Restricted Subsidiaries on a
consolidated basis determined in accordance with GAAP for such period, excluding
non-cash compensation, extraordinary gains and losses (including gains and
losses on asset sales permitted hereunder), not more than $2,000,000.00 of
litigation costs in the aggregate associated with lawsuits against Sprint and/or
any of its affiliates, not more than $6,000,000.00 of restructuring expenses in
the aggregate (such restructuring expenses to include all expenses associated
with the Third Amendment and any proposed restructuring of the Subordinated
Notes), and one-time expenses associated with Permitted Asset Dispositions
permitted pursuant to Subsection 3.8(vi), including any legal expenses and
investment banking fees, (ii) total interest expense (including non-cash
interest) of Borrower and its Restricted Subsidiaries for such period, and (iii)
depreciation and amortization expense of Borrower and its Restricted
Subsidiaries for such period. For any period of calculation, Operating Cash Flow
shall be adjusted to give effect to any acquisition, sale, or other disposition
of any operation or business (or any portion thereof) during the period of
calculation as if such acquisition, sale, or other disposition occurred on the
first day of such period of calculation; provided with respect to the Cingular
Sale only, (A) no such adjustment shall be made and (B) no retroactive
adjustment shall be made as a result of any change in accounting treatment for
earnings related to assets that are sold in connection therewith.

 

‘Pro Forma Debt Service Coverage Ratio’ means, as of the last day of any fiscal
quarter, the ratio derived by dividing (i) Operating Cash Flow for the four (4)
fiscal quarter period ending on such date, by (ii) the sum of (a) all principal
payments scheduled to be made on Indebtedness (or scheduled reductions in
commitments on lines of credit to the extent such reductions would require the
repayment of principal amounts then outstanding under such lines) during the
next twelve (12) months, plus (b) all interest expense accruing on all
Indebtedness during the next twelve (12) months and payable in cash, calculated
at the actual rate of accrual (or, if such rate is not a fixed rate, then at the
rate derived in accordance with the definition of Pro Forma Interest Expense).

 

‘Revenues Per Subscriber’ means, on any date of determination, total revenue
(excluding total equipment revenue and roaming revenue) of the PCS Companies
calculated for the then most recently completed six (6) months, divided by the
average number of PCS Subscribers at each month-end during the most recently
completed six (6) months.

 

‘Senior Indebtedness’ means all Indebtedness of Borrower, including, without
limitation, the Obligations, but excluding the Subordinated Notes and any
refinancing debt issued therefor and any debt issued in exchange therefor, so
long as such refinancing debt or exchange debt is permitted under this
Agreement.

 

19

--------------------------------------------------------------------------------

‘Senior Leverage Ratio’ means, on any date of determination, the ratio derived
by dividing the outstanding amount of all Senior Indebtedness on such
measurement date by Operating Cash Flow for the most recently completed four (4)
fiscal quarter period.

 

‘Total Leverage Ratio’ means, on any date of determination, the ratio derived by
dividing the outstanding amount of all Indebtedness on such measurement date by
Operating Cash Flow for the most recently completed four (4) fiscal quarter
period.”

 

  1.16 Amendments to Schedules.

 

A. Schedule 5.10 (Litigation, Etc.) to the Credit Agreement is hereby amended
and restated to read in its entirety as set forth on Schedule 4 hereto.

 

B. Schedule 5.17 (Certain Agreements and Material Contracts) to the Credit
Agreement is hereby amended and restated to read in its entirety as set forth on
Schedule 5 hereto.

 

  1.17 Alternative Amendments in the Event Section 2 of this Amendment Does not
Become Effective.

 

A. Subject to Section 3 of this Amendment, Subsection 1.3 of the Credit
Agreement is hereby amended by inserting the following at the end thereof:

 

“Anything contained in this Agreement to the contrary notwithstanding, (1) each
request for a borrowing of Revolving Loans on or after the Third Amendment
Effective Date shall be deemed to be a request for a borrowing of Revolving
Loans in an amount equal to the amount so requested multiplied by 1.08333325
(with each Lender’s Pro Rata Share thereof calculated on such basis) and (x)
each such Revolving Loan shall be deemed borrowed in an amount equal to such
amount deemed requested, (y) Coast shall have no obligation to fund its Pro Rata
Share thereof, and (z) any such Revolving Loan shall be funded by Lenders in an
actual amount equal to the amount so requested, not the amount so deemed
requested; and (2) any repayment of amounts owed with respect to any such
Revolving Loan shall be applied to such Revolving Loan as if the Pro Rata Share
of Coast were zero.”

 

B. Subject to Section 3 of this Amendment, Subsection 1.4 of the Credit
Agreement is hereby amended by inserting at the end thereof the following new
clause (F):

 

“(F) Coast. Anything contained in this Agreement to the contrary
notwithstanding, on and after the Third Amendment Effective Date, Coast’s
Revolving Loan Commitment shall be excluded for purposes of calculating the
commitment fee under Subsection 1.4(A)(2), Coast’s Revolving Loan Commitment and
Coast’s Letter of Credit Exposure shall be included for purposes of calculating
the letter of credit fees under Subsection 1.4(E) with respect to Letters of
Credit issued prior to the Third Amendment Effective Date but excluded with
respect to Letters of Credit issued after the Third Amendment Effective Date,
and Coast shall not be entitled to receive any such

 

20

--------------------------------------------------------------------------------

commitment fee or letter of credit fee with respect to its Revolving Loan
Commitment and Letter of Credit Exposure.”

 

C. Subject to Section 3 of this Amendment, Subsection 1.6(A)(2) of the Credit
Agreement is hereby amended by inserting the following at the end thereof:

 

“In addition to the foregoing reductions, on the Third Amendment Effective Date
the Revolving Loan Commitment shall be permanently reduced to $43,333,330.00,
which reduction shall be applied in forward order to the scheduled reductions
provided for in this Subsection 1.6(A)(2).”

 

D. Subject to Section 3 of this Amendment, Subsection 1.16 of the Credit
Agreement is hereby amended by inserting at the end thereof the following new
clause (I):

 

“(I) Coast. Anything contained in this Agreement to the contrary
notwithstanding, on and after the Third Amendment Effective Date, (1) each
Letter of Credit Notice requesting the issuance of a Letter of Credit pursuant
to Subsection 1.16 shall be deemed to be a request for the issuance of a Letter
of Credit in the amount so requested (i.e., the Stated Amount) multiplied by
1.08333325 (with each Lender’s participation therein calculated on such basis),
and (x) for purposes of Subsections 1.16(C) and 1.16A(i), any such Letter of
Credit issued shall be deemed issued in an amount equal to such amount deemed
requested, (y) Coast shall have no obligation to purchase or fund any
participation therein, and (z) any such Letter of Credit issued by such Issuing
Lender shall be in an amount equal to the Stated Amount; (2) any payment or
reimbursement of amounts with respect to a drawing under a Letter of Credit
issued and outstanding on the Third Amendment Effective Date shall be applied
first, to amounts owed with respect to Coast’s participations therein that are
funded by Administrative Agent or Issuing Lender (together with unpaid interest
accrued thereon) and second, to the Letter of Credit participations of Lenders
other than Coast; (3) any payment or reimbursement of amounts with respect to a
drawing under any other Letter of Credit shall be applied to the Letter of
Credit participations of Lenders other than Coast as if the Letter of Credit
Exposure of Coast were zero; and (4) the $2,000,000.00 sublimit under Subsection
1.16(A)(1) with respect to issuances of Letters of Credit shall not be reduced
notwithstanding the repudiation and disaffirmation of Coast’s obligations under
this Agreement.”

 

E. Subject to Section 3 of this Amendment, Section 1 of the Credit Agreement is
hereby amended by inserting at the end thereof the following new Subsection
1.17:

 

“1.17 Coast. It is understood and agreed by Borrower, Administrative Agent and
Lenders that the amendments to this Agreement made pursuant to the Third
Amendment shall be construed to, and that the purpose of such amendments is to
amend this Agreement on and after the Third Amendment Effective Date to the
fullest extent possible to, (1) treat Coast as if its share of Revolving Loan
Commitments had terminated and the other Lenders’ Pro Rata Shares had been
correspondingly increased but without any increase in any Lender’s Revolving
Loan Commitment, and as if the

 

21

--------------------------------------------------------------------------------

entire Revolving Loan Commitment of all Lenders consisted on and after the Third
Amendment Effective Date solely of the Revolving Loan Commitments of all Lenders
other than Coast, for purposes of (x) all issuances of Letters of Credit and
fundings of drawings or participations thereon and all borrowings and fundings
of Revolving Loans and (y) for purposes of all payments thereon and repayments
and reimbursements thereof, and (2) terminate any right of Coast to approve or
disapprove any amendment, waiver, or consent hereunder.”

 

Section 2. OTHER AMENDMENTS TO THE CREDIT AGREEMENT

 

  2.1 Amendments to Subsection 1.6: Repayments and Reduction of Loans and
Commitments and Related Mandatory Repayments.

 

A. Subject to Section 3 of this Amendment, Subsection 1.6(A)(2) of the Credit
Agreement is hereby amended by inserting the following at the end thereof:

 

“In addition to the foregoing reductions, on the Third Amendment Effective Date
the Revolving Loan Commitment shall be permanently reduced to $40,000,000.00
(after giving effect to Subsection 9.19(B)), which reduction shall be applied in
forward order to the scheduled reductions provided for in this Subsection
1.6(A)(2).”

 

  2.2 Amendments to Section 9: Miscellaneous.

 

Section 9 of the Credit Agreement is hereby amended by inserting at the end
thereof the following new Subsection 9.19:

 

“9.19 Coast. On February 7, 2003 the FDIC was appointed receiver for Southern
Pacific Bank, of which Coast (one of the Lenders) is a division, and on July 17,
2003 Administrative Agent received notice from the FDIC that it had exercised
its statutory authority to repudiate and disaffirm Coast’s obligations under
this Agreement. Anything contained in this Agreement to the contrary
notwithstanding, on and after the Third Amendment Effective Date:

 

(A) Coast shall cease to be a Lender under this Agreement and shall cease to
have any right to approve or disapprove any amendment, waiver, or consent
hereunder;

 

(B) the portion of the Revolving Loan Commitment repudiated by Coast shall be
deemed cancelled and the aggregate Revolving Loan Commitment of all Lenders
shall be reduced by the portion of the Revolving Loan Commitment of Coast
(before giving effect to this clause (B));

 

(C) the $2,000,000.00 sublimit under Subsection 1.16(A)(1) with respect to
issuances of Letters of Credit shall not be reduced notwithstanding the
repudiation and disaffirmation of Coast’s obligations under this Agreement;

 

22

--------------------------------------------------------------------------------

(D) with respect to (i) Revolving Loans to be made, (ii) Letters of Credit
issued or to be issued, (iii) all payments to Lenders with respect thereto, and
(iv) approvals or disapprovals of amendments, waivers, or consents hereunder, on
and after the Third Amendment Effective Date all computations of each Lender’s
Pro Rata Share thereof shall be made without regard to the Revolving Loan
Commitment, Total Lender Loan Commitment, Letter of Credit Exposure and Loans of
Coast, and the portion of the aggregate Revolving Loan Commitments, Total Lender
Loan Commitments, Letter of Credit Exposure and Loans of all Lenders held or
deemed to be held by Coast, as if each of such amounts were zero; and

 

(E) with respect to Letters of Credit issued and outstanding immediately prior
to the Third Amendment Effective Date, all Lenders with Revolving Loan
Commitments on the Third Amendment Effective Date shall be deemed to purchase
participations therein (in the manner set forth in Subsection 1.16(C)) according
to their respective Pro Rata Shares of the remaining Revolving Loan Commitment
after giving effect to clauses (B) and (D) above.”

 

  2.3 Effect on Other Provisions of this Amendment.

 

Notwithstanding anything in this Amendment to the contrary, the amendments set
forth in Section 1.17 of this Amendment shall be of no force or effect if this
Section 2 has become effective pursuant to Section 3 hereof.

 

Section 3. CONDITIONS TO EFFECTIVENESS OF SECTION 2

 

Section 2 of this Amendment shall become effective only upon the satisfaction of
all of the following conditions precedent:

 

A. The Third Amendment Effective Date shall have occurred;

 

B. Each Lender listed on the signature pages hereof shall have executed a
counterpart hereof; and

 

C. Borrower and Administrative Agent shall have received such counterparts.

 

Section 4. COMPANY’S REPRESENTATIONS AND WARRANTIES

 

In order to induce Lenders to enter into this Amendment and to amend the Credit
Agreement in the manner provided herein, Borrower represents and warrants to
each Lender that the following statements are true, correct, and complete:

 

A. Corporate Power and Authority. Borrower and each Subsidiary Guarantor has all
requisite corporate, limited liability company or partnership power and
authority to enter into this Amendment and to carry out the transactions
contemplated by, and perform its obligations under, the Credit Agreement as
amended by this Amendment (the “Amended Agreement”).

 

23

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B. Authorization of Agreements. The execution and delivery of this Amendment and
the performance of the Amended Agreement have been duly authorized by all
necessary corporate, limited liability company or partnership action on the part
of Borrower and each Subsidiary Guarantor, as the case may be.

 

C. No Conflict. The execution and delivery by Borrower and Subsidiary Guarantors
of this Amendment and the performance by Borrower and Subsidiary Guarantors of
the Amended Agreement and the consummation of the transactions contemplated
thereby do not and will not (i) violate any provision of any law or any
governmental rule or regulation applicable to Borrower or any of its
Subsidiaries, the Certificate or Articles of Incorporation or Formation or
Bylaws or Operating Agreement or other organizational documents of Borrower or
any of its Subsidiaries or any order, judgment or decree of any court or other
agency of government binding on Borrower or any of its Subsidiaries, (ii)
conflict with, result in a breach of or constitute (with due notice or lapse of
time or both) a default under any material contractual obligation of Borrower or
any of its Subsidiaries (other than under the Vendor Guaranty, for which consent
of the Vendor Guarantor has already been obtained), (iii) result in or require
the creation or imposition of any Lien upon any of the properties or assets of
Borrower or any of its Subsidiaries (other than Liens created under any of the
Loan Documents in favor of Administrative Agent on behalf of Lenders), or (iv)
require any approval of stockholders or any approval or consent of any Person
under any material contractual obligation of Borrower or any of its Subsidiaries
(other than under the Vendor Guaranty, for which consent of the Vendor Guarantor
has already been obtained).

 

D. Governmental Consents. The execution and delivery by Borrower and Subsidiary
Guarantors of this Amendment and the performance by Borrower and Subsidiary
Guarantors of the Amended Agreement do not and will not require any registration
with, consent or approval of, or notice to, or other action to, with or by, any
federal, state or other governmental authority or regulatory body.

 

E. Binding Obligation. This Amendment has been duly executed and delivered by
Borrower and each Subsidiary Guarantor and, assuming the due execution and
delivery hereof by the other parties hereto, this Amendment and the Amended
Agreement are the legally valid and binding obligations of Borrower and each
Subsidiary Guarantor, enforceable against Borrower and each Subsidiary Guarantor
in accordance with their terms, except as may be limited by bankruptcy,
insolvency, reorganization, moratorium or similar laws relating to or limiting
creditors’ rights generally or by equitable principles relating to
enforceability.

 

F. Incorporation of Representations and Warranties from Credit Agreement. The
representations and warranties contained in Section 5 of the Credit Agreement,
after giving effect to the amendments to Schedules 5.10 and 5.17 pursuant to
this Amendment, are and will be true, correct and complete in all material
respects on and as of the Third Amendment Effective Date to the same extent as
though made on and as of that date, except to the extent such representations
and warranties specifically relate to an earlier date, in which case they were
true, correct and complete in all material respects on and as of such earlier
date.

 

24

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G. Absence of Default. No event has occurred and is continuing or will result
from the consummation of the transactions contemplated by this Amendment that
would constitute an Event of Default or a Default.

 

Section 5. ACKNOWLEDGEMENTS AND CONSENT

 

A. The continuing guaranties and Security Documents to which Borrower,
Subsidiary Guarantors and Vendor Guarantor (each a “Credit Support Party”, and
collectively, “Credit Support Parties”) are party are herein referred to
collectively as the “Credit Support Documents”. Each Credit Support Party hereby
acknowledges that it has reviewed the terms and provisions of the Credit
Agreement and this Amendment. Each Credit Support Party hereby confirms that
each Credit Support Document to which it is a party or otherwise bound and all
Collateral encumbered thereby will continue to guaranty or secure, as the case
may be, to the fullest extent possible (subject, in the case of the Vendor
Guaranty only, to the aggregate limitation on the amount thereof set forth in
the first paragraph of the Vendor Guaranty) the payment and performance of all
“Secured Obligations” and “Obligations”, as the case may be (in each case as
such terms are defined in the applicable Credit Support Document), and any other
obligations purported to be guarantied or secured under the Credit Support
Documents, including, without limitation, the payment and performance of all
such “Secured Obligations” or “Obligations”, as the case may be, in respect of
the Obligations of Borrower now or hereafter existing under or in respect of the
Amended Agreement and the Loan Documents (including, without limitation, the
obligations of Borrower with respect to the Loans). Vendor Guarantor represents
and warrants that all representations and warranties contained in the Credit
Support Documents to which it is a party or otherwise bound that relate to it,
and each other Credit Support Party represents and warrants that all
representations and warranties contained in the Amended Agreement and the Credit
Support Documents to which it is a party or otherwise bound that relate to it,
are true, correct and complete in all material respects on and as of the Third
Amendment Effective Date to the same extent as though made on and as of that
date, except to the extent such representations and warranties specifically
relate to an earlier date, in which case they were true, correct and complete in
all material respects on and as of such earlier date. Each Subsidiary Guarantor
and, in the case of clause (i) only, Borrower hereby acknowledges and agrees
that (i) any of the Credit Support Documents to which it is a party or otherwise
bound shall continue in full force and effect and that all of its obligations
thereunder shall be valid and enforceable and shall not be impaired or limited
by the execution or effectiveness of this Amendment, (ii) notwithstanding the
conditions to effectiveness set forth in this Amendment, such Credit Support
Party is not required by the terms of the Credit Agreement or any other Loan
Document to consent to the amendments to the Credit Agreement effected pursuant
to this Amendment, and (iii) nothing in this Amendment, the Amended Agreement or
any other Loan Document shall be deemed to require the consent of such Credit
Support Party to any future amendments, consents or waivers to the Amended
Agreement. Vendor Guarantor hereby acknowledges and agrees that (i) any of the
Credit Support Documents to which it is a party or otherwise bound shall
continue in full force and effect and that all of its obligations thereunder
shall not be impaired or limited by the execution or effectiveness of this
Amendment and (ii) except as expressly provided in the Vendor Guaranty, nothing
in this Amendment, the Amended Agreement or any other Loan Document shall be
deemed to require the consent of Vendor Guarantor to any future amendments,
consents or waivers to the Amended Agreement.

 

25

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B. Borrower hereby acknowledges that as of October 30, 2003, prior to giving
effect to the terms of this Amendment, Borrower is liable to Administrative
Agent and the Lenders for (1) $47,333,333.34 in principal amount of Term Loan A,
(2) $40,000,000.00 in principal amount of Term Loan B, (3) $1,737,215.00 in
Stated Amount of Letters of Credit, (4) accrued and unpaid interest on the
Loans, and (5) accrued and unpaid fees and expenses. Borrower and each
Subsidiary Guarantor hereby acknowledge that all obligations described in this
Section 5(B) are absolute and unconditional and are the legal, valid and binding
obligations of Borrower and Subsidiary Guarantors without offset, defense or
counterclaim, and interest, costs and expenses continue to accrue with respect
thereto.

 

C. Neither Administrative Agent nor any Lender has or shall have, by reason of
this Amendment, the Amended Agreement or the other Loan Documents, a fiduciary
relationship in respect of Borrower or any Subsidiary Guarantor.

 

D. Borrower and each Subsidiary Guarantor hereby confirm, reaffirm and
acknowledge (i) that Administrative Agent (for the benefit of Lenders) has an
enforceable, valid and perfected first priority Lien on and security interest in
the Collateral and (ii) the continuing validity and effectiveness of
Administrative Agent’s and Lenders’ rights under the Loan Documents and
applicable law, including, without limitation, the right of Administrative Agent
to recover any and all amounts owed to Lenders, free of set-off or counterclaim,
by foreclosure on or redemption or other disposition of the Collateral.

 

E. Borrower, each Subsidiary Guarantor and each Lender hereby confirms that the
provisions of the First Amendment, the Agreement Regarding Amendments to Loan
Documents dated as of March 8, 2002 by and among Borrower, Subsidiary Guarantors
and Administrative Agent and the Second Amendment are in each case binding on
it.

 

Section 6. RELEASE

 

Borrower and each Subsidiary Guarantor (collectively, the “Releasors”) hereby
release, remise, acquit and forever discharge Administrative Agent, each Lender
and each of their respective employees, agents, representatives, consultants,
attorneys, fiduciaries, servants, officers, directors, partners, predecessors,
successors and assigns, subsidiary corporations, parent corporations, related
corporate divisions, participants and assigns (all of the foregoing hereinafter
called the “Released Parties”) from any and all actions and causes of action,
judgments, executions, suits, debts, claims, demands, liabilities, obligations,
setoffs, recoupments, counterclaims, defenses, damages and expenses of any and
every character, known or unknown, suspected or unsuspected, direct and/or
indirect, at law or in equity, of whatsoever kind or nature, whether heretofore
or hereafter arising, for or because of any matter or things done, omitted or
suffered to be done by any of the Released Parties prior to and including the
date hereof and in any way directly or indirectly arising out of or in any way
connected to this Amendment, the Amended Agreement or any of the other Loan
Documents (all of the foregoing hereinafter called the “Released Matters”). Each
Releasor acknowledges that the agreements in this Section 6 are intended to be
in full satisfaction of all or any alleged injuries or damages arising in
connection with the Released Matters and constitute a complete waiver of any
right of setoff or recoupment, counterclaim or defense of any nature whatsoever
which arose prior to the date hereof to payment or performance of the
Obligations. Each Releasor represents and

 

26

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warrants that it has no knowledge of any claim by it against the Released
Parties or of any facts or acts or omissions of the Released Parties which on
the date hereof would be the basis of a claim by the Releasors against the
Released Parties which is not released hereby. Each Releasor represents and
warrants that it has not purported to transfer, assign, pledge or otherwise
convey any of its right, title or interest in any Released Matter to any other
person or entity and that the foregoing constitutes a full and complete release
of all Released Matters. Releasors have granted this release freely and
voluntarily and without duress.

 

Section 7. MISCELLANEOUS

 

A. Reference to and Effect on the Credit Agreement and the Other Loan Documents.

 

(i) On and after the Third Amendment Effective Date, each reference in the
Credit Agreement to “this Agreement”, “hereunder”, “hereof”, “herein” or words
of like import referring to the Credit Agreement, and each reference in the
other Loan Documents to the “Credit Agreement”, “thereunder”, “thereof” or words
of like import referring to the Credit Agreement shall mean and be a reference
to the Amended Agreement.

 

(ii) Except as specifically amended by this Amendment, the Credit Agreement and
the other Loan Documents shall remain in full force and effect and are hereby
ratified and confirmed.

 

(iii) The execution, delivery and performance of this Amendment shall not,
except as expressly provided herein, constitute an amendment or waiver of any
provision of, or operate as an amendment or waiver of any right, power or remedy
of Administrative Agent or any Lender under, the Credit Agreement or any of the
other Loan Documents.

 

B. Fees and Expenses. Subject to Section 7(F) hereof, Borrower acknowledges that
all costs, fees and expenses incurred by Administrative Agent and its counsel
(including without limitation the fees and expenses of O’Melveny & Myers LLP and
Deloitte & Touche LLP) prior to the Third Amendment Effective Date are costs,
fees and expenses incurred under, and in connection with the matters set forth
in, Subsection 1.4(D) of the Credit Agreement and are for the account of
Borrower.

 

C. Severability. In case any provision in or obligation under this Amendment
shall be invalid, illegal or unenforceable in any jurisdiction, the validity,
legality and enforceability of the remaining provisions or obligations, or of
such provision or obligation in any other jurisdiction, shall not in any way be
affected or impaired thereby.

 

D. Headings. Section and subsection headings in this Amendment are included
herein for convenience of reference only and shall not constitute a part of this
Amendment for any other purpose or be given any substantive effect.

 

E. Applicable Law. THIS AMENDMENT AND THE RIGHTS AND OBLIGATIONS OF THE PARTIES
HEREUNDER SHALL BE GOVERNED BY, AND SHALL BE CONSTRUED AND ENFORCED IN
ACCORDANCE WITH, THE INTERNAL LAWS OF THE STATE OF NEW YORK (INCLUDING WITHOUT

 

27

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LIMITATION SECTION 5-1401 OF THE GENERAL OBLIGATIONS LAW OF THE STATE OF NEW
YORK), WITHOUT REGARD TO CONFLICTS OF LAWS PRINCIPLES.

 

F. Counterparts; Effectiveness. This Amendment may be executed in any number of
counterparts and by different parties hereto in separate counterparts, each of
which when so executed and delivered shall be deemed an original, but all such
counterparts together shall constitute but one and the same instrument;
signature pages may be detached from multiple separate counterparts and attached
to a single counterpart so that all signature pages are physically attached to
the same document. This Amendment (other than the provisions of Section 2, the
effectiveness of which is governed by Section 3 hereof) shall become effective
only upon the satisfaction of all of the following conditions precedent (the
date of satisfaction of such conditions being referred to herein as the “Third
Amendment Effective Date”) on or before October 30, 2003:

 

(i) Borrower, Requisite Lenders and each Credit Support Party listed on the
signature pages hereof shall have each executed a counterpart hereof;

 

(ii) Borrower and Administrative Agent shall have received such counterparts;

 

(iii) Borrower shall have prepaid $10,000,000 in principal amount of the Loans
from cash on hand of Borrower (and not from the proceeds of Revolving Loans),
which prepayment shall be applied ratably in inverse order of maturity to the
Term Loan A and the Term Loan B;

 

(iv) Borrower shall have paid to Administrative Agent, for distribution to each
Lender (ratably according to its credit exposure) that has executed and
delivered a counterpart to this Amendment prior to 5:00 p.m. (New York City
time) on October 30, 2003, an amendment fee equal to 0.5% of the sum of (A) the
aggregate amount of the outstanding Term Loan A and Term Loan B (after giving
effect to the $10,000,000.00 prepayment thereof contemplated in Section 1.5(A)
of this Amendment), and (B) the aggregate amount of the Revolving Loan
Commitment (after giving effect to the reduction thereof contemplated in Section
1.17(C) of this Amendment, but without regard to the Revolving Loan Commitment
of Coast or Section 2.1(A) of this Amendment, as the case may be);

 

(v) Borrower shall have paid in full (A) all outstanding statements for fees and
expenses of O’Melveny & Myers LLP, counsel to Administrative Agent, and Deloitte
& Touche LLP, financial advisor to counsel to Administrative Agent, to the
extent submitted to Borrower prior to 12:00 Noon (New York City time) on October
27, 2003, and (B) all outstanding statements for reasonable fees and expenses of
such firms incurred in connection with the Credit Agreement and the proposed
restructuring for the period from the end of the time period covered by the
statements submitted pursuant to clause (A) to October 30, 2003, to the extent
submitted to Borrower prior to 5:00 p.m. (New York City time) on October 29,
2003, subject, with respect to the statements submitted pursuant to clause (B)
only, to the receipt of invoices setting forth hours worked, hourly rates and
itemized out-of-pocket expenses;

 

28

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(vi) Lenders shall have received copies of favorable written opinions of Weil,
Gotshal & Manges LLP, Correro, Fishman, Haygood, Phelps, Walmsley & Casteix,
LLP, and Rogers & Hardin LLP, counsel for Borrower and Subsidiary Guarantors, in
form and substance reasonably satisfactory to Administrative Agent and its
counsel, dated the Third Amendment Effective Date, with respect to the
enforceability of the Amended Agreement and as to such other matters as
Administrative Agent acting on behalf of Lenders and Borrower may mutually agree
upon.

 

(vii) Borrower and each Subsidiary Guarantor shall have delivered to Lenders (or
to Administrative Agent for Lenders with sufficient originally executed copies,
where appropriate, for each Lender and its counsel) the following, each, unless
otherwise noted, dated the Third Amendment Effective Date:

 

(A) Certified copies of the Certificate or Articles of Incorporation or
Formation for Borrower and each Subsidiary Guarantor, together with a good
standing certificate from the Secretary of State of the state of such Person’s
incorporation or formation, each dated a recent date prior to the Third
Amendment Effective Date;

 

(B) Copies of the Bylaws or Operating Agreement of Borrower and each Subsidiary
Guarantor, certified as of the Third Amendment Effective Date by such Person’s
corporate secretary or an assistant secretary;

 

(C) Resolutions of Borrower’s and each Subsidiary Guarantor’s Board of Directors
or other governing body approving and authorizing the execution, delivery and
performance of this Amendment, certified as of the Third Amendment Effective
Date by such Person’s corporate secretary or an assistant secretary as being in
full force and effect without modification or amendment; and

 

(D) Signature and incumbency certificates of the officers of Borrower and each
Subsidiary Guarantor executing this Amendment;

 

(viii) Administrative Agent shall have received a certificate of the chief
financial officer of Borrower setting forth the amount of Total Vendor Purchases
as of the Third Amendment Effective Date.

 

G. Lenders hereby ratify and approve any and all actions taken or omitted to be
taken by Administrative Agent and/or Issuing Lender prior to the Third Amendment
Effective Date in connection with the issuance, renewal or extension of Letters
of Credit as described in memoranda to the Lenders dated September 22, 2003 and
October 16, 2003. This Section 7(F) shall inure to the benefit of Administrative
Agent and Issuing Lender only and no other Person shall be a third party
beneficiary of this Section 7(F).

 

[Remainder of page intentionally left blank]

 

29

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IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be duly
executed and delivered by their respective officers thereunto duly authorized as
of the date first written above.

 

COMPANY:

 

US UNWIRED INC.

By:   /s/    Robert W. Piper  

--------------------------------------------------------------------------------

   

Name: Robert W. Piper

Title: President/CEO

 

LENDERS:

 

COBANK, ACB, individually and as Administrative Agent

By:   /s/    Brett Ginther  

--------------------------------------------------------------------------------

   

Name: Brett Ginther

Title: Vice President

 

S-1

--------------------------------------------------------------------------------

THE BANK OF NEW YORK, as a Lender By:   /s/    Robert W. Pierson  

--------------------------------------------------------------------------------

   

Name: Robert W. Pierson

Title: Vice President

 

S-2

--------------------------------------------------------------------------------

CREDIT SUISSE FIRST BOSTON INTERNATIONAL, as a Lender By:   /s/    Ethan Garber
 

--------------------------------------------------------------------------------

   

Name: Ethan Garber

Title: Vice President

 

S-3

--------------------------------------------------------------------------------

CREDIT SUISSE FIRST BOSTON, as a Lender By:   /s/    Ian Landaw  

--------------------------------------------------------------------------------

   

Name: Ian Landaw

Title: Assistant Vice President

 

By:   /s/    Joseph Brosnan  

--------------------------------------------------------------------------------

   

Name: Joseph Brosnan

Title: Vice President

 

S-4

--------------------------------------------------------------------------------

QDRF MASTER LTD., as a Lender By:   /s/    Michael A. Weinstock  

--------------------------------------------------------------------------------

   

Name: Michael A. Weinstock

Title: Managing Principal

 

S-5

--------------------------------------------------------------------------------

GENERAL ELECTRIC CAPITAL CORPORATION, as a Lender By:   /s/    Anne Kennelly
Kratky  

--------------------------------------------------------------------------------

   

Name: Anne Kennelly Kratky

Title: Manager—Operations

 

S-6

--------------------------------------------------------------------------------

THE CIT GROUP/EQUIPMENT

FINANCING, INC., as a Lender

By:   /s/    Joseph Junda  

--------------------------------------------------------------------------------

   

Name: Joseph Junda

Title: Vice President

 

S-7

--------------------------------------------------------------------------------

CITY NATIONAL BANK (LSA), as a Lender By:   /s/    Aaron Cohen  

--------------------------------------------------------------------------------

   

Name: Aaron Cohen

Title: Vice President

 

S-8

--------------------------------------------------------------------------------

MANUFACTURERS AND TRADERS TRUST COMPANY, successor-in-interest to Allfirst Bank
By:   /s/    Sharon K. Flagler  

--------------------------------------------------------------------------------

   

Name: Sharon K. Flagler

Title: Vice President

 

S-9

--------------------------------------------------------------------------------

WHITNEY NATIONAL BANK, as a Lender By:   /s/    Stephen C. Lacy  

--------------------------------------------------------------------------------

   

Name: Stephen C. Lacy

Title: Vice President

 

S-10

--------------------------------------------------------------------------------

LEHMAN COMMERCIAL PAPER INC., as a Lender By:  

/s/    G. Robert Berzins

 

--------------------------------------------------------------------------------

   

Name: G. Robert Berzins

Title: Vice President

 

S-11

--------------------------------------------------------------------------------

ORIX FINANCE CORP. I, as a Lender By:  

/s/    Christopher L. Smith

 

--------------------------------------------------------------------------------

   

Name: Christopher L. Smith

Title: Authorized Representative

 

S-12

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SUBSIDIARY GUARANTORS, (for purposes of Sections 5, 6 and 7 only) as a Credit
Support Party:

 

LOUISIANA UNWIRED, LLC

By:  

/s/    Thomas G. Henning

 

--------------------------------------------------------------------------------

   

Name: Thomas G. Henning

Title: Assistant Manager

GEORGIA PCS MANAGEMENT, L.L.C.

 

By: Louisiana Unwired, LLC, its sole member

By:  

/s/    Thomas G. Henning

 

--------------------------------------------------------------------------------

   

Name: Thomas G. Henning

Title: Assistant Manager

GEORGIA PCS LEASING, L.L.C.

 

By: Georgia PCS Management, L.L.C., its sole member

By: Louisiana Unwired, LLC, its sole member

By:  

/s/    Thomas G. Henning

 

--------------------------------------------------------------------------------

   

Name: Thomas G. Henning

Title: Assistant Manager

UNWIRED TELECOM CORP. By:  

/s/    Thomas G. Henning

 

--------------------------------------------------------------------------------

   

Name: Thomas G. Henning

Title: Secretary

TEXAS UNWIRED

 

By: Louisiana Unwired, LLC, its managing partner

By:  

/s/    Thomas G. Henning

 

--------------------------------------------------------------------------------

   

Name: Thomas G. Henning

Title: Assistant Manager

 

 

S-13

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VENDOR GUARANTOR, (for purposes of Sections 5 and 7 only) as a Credit Support
Party:

 

LUCENT TECHNOLOGIES, INC.

By:  

/s/    John P. O’Gorman

 

--------------------------------------------------------------------------------

   

Name: John P. O’Gorman

Title: Director

 

S-14

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[SCHEDULES OMITTED]