Amended and Restated Credit Agreement



 EXHIBIT 10.39 
 AMENDED AND RESTATED CREDIT AGREEMENT 
 by and among 
 THE TRIZETTO GROUP, INC. 
 and

 EACH OF ITS SUBSIDIARIES THAT ARE SIGNATORIES HERETO 
 as Borrowers, 
 THE LENDERS THAT ARE SIGNATORIES HERETO 
 as the Lenders, 
 and

 WELLS FARGO FOOTHILL, INC. 
 as the Arranger and Administrative Agent 
 Dated as of January 10, 2007 







 TABLE OF CONTENTS 
  


							
	 	  	 	  	 	  	Page
	1.	  	DEFINITIONS AND CONSTRUCTION	  	1
		  	1.1	  	 Definitions
	  	1
		  	1.2	  	 Accounting Terms
	  	1
		  	1.3	  	 Code
	  	2
		  	1.4	  	 Construction
	  	2
		  	1.5	  	 Schedules and Exhibits
	  	2
			
	2.	  	LOAN AND TERMS OF PAYMENT	  	2
		  	2.1	  	 Revolver Advances
	  	2
		  	2.2	  	 Term Loan
	  	3
		  	2.3	  	 Borrowing Procedures and Settlements
	  	3
		  	2.4	  	 Payments
	  	8
		  	2.5	  	 Overadvances
	  	11
		  	2.6	  	 Interest Rates: Rates, Payments, and Calculations
	  	11
		  	2.7	  	 Cash Management
	  	12
		  	2.8	  	 Crediting Payments
	  	13
		  	2.9	  	 Designated Account
	  	13
		  	2.10	  	 Maintenance of Loan Account; Statements of Obligations
	  	14
		  	2.11	  	 Fees
	  	14
		  	2.12	  	 Letter of Credit
	  	14
		  	2.13	  	 LIBOR Option
	  	17
		  	2.14	  	 Capital Requirements
	  	19
		  	2.15	  	 Joint and Several Liability of Borrowers
	  	19
			
	3.	  	CONDITIONS; TERM OF AGREEMENT	  	21
		  	3.1	  	 Conditions Precedent to the Initial Extension of Credit
	  	21
		  	3.2	  	 Conditions Precedent to all Extensions of Credit
	  	21
		  	3.3	  	 Term
	  	21
		  	3.4	  	 Effect of Termination
	  	21
		  	3.5	  	 Early Termination by Borrowers
	  	22
			
	4.	  	REPRESENTATIONS AND WARRANTIES	  	22
		  	4.1	  	 No Encumbrances
	  	22
		  	4.2	  	 Intentionally Omitted
	  	22
		  	4.3	  	 Inventory
	  	22
		  	4.4	  	 Equipment
	  	23
		  	4.5	  	 Location of Inventory and Equipment
	  	23
		  	4.6	  	 Inventory Records
	  	23
		  	4.7	  	 State of Incorporation; Location of Chief Executive Office; Organizational Identification
Number;
 Commercial Tort Claims
	  	23
		  	4.8	  	 Due Organization and Qualification; Subsidiaries
	  	23
		  	4.9	  	 Due Authorization; No Conflict
	  	24
		  	4.10	  	 Litigation
	  	24
		  	4.11	  	 No Material Adverse Change
	  	24
		  	4.12	  	 Fraudulent Transfer
	  	25
		  	4.13	  	 Employee Benefits
	  	25
		  	4.14	  	 Environmental Condition
	  	25
		  	4.15	  	 Intellectual Property
	  	25
		  	4.16	  	 Leases
	  	25

  

 i 








 TABLE OF CONTENTS 
 (continued) 
  

							
	 	  	 	  	 	  	Page
		  	4.17	  	 Deposit Accounts and Securities Accounts
	  	25
		  	4.18	  	 Complete Disclosure
	  	25
		  	4.19	  	 Indebtedness
	  	26
		  	4.20	  	 Inactive Borrowers
	  	26
		  	4.21	  	 Material Contracts
	  	26
		  	4.22	  	 Merger Documents
	  	26
			
	5.	  	AFFIRMATIVE COVENANTS	  	26
		  	5.1	  	 Accounting System
	  	26
		  	5.2	  	 Collateral Reporting
	  	26
		  	5.3	  	 Financial Statements, Reports, Certificates
	  	26
		  	5.4	  	 Intentionally Omitted
	  	27
		  	5.5	  	 Inspection
	  	27
		  	5.6	  	 Maintenance of Properties
	  	27
		  	5.7	  	 Taxes
	  	27
		  	5.8	  	 Insurance
	  	27
		  	5.9	  	 Location of Inventory and Equipment
	  	28
		  	5.10	  	 Compliance with Laws
	  	28
		  	5.11	  	 Leases
	  	28
		  	5.12	  	 Existence
	  	28
		  	5.13	  	 Environmental
	  	28
		  	5.14	  	 Disclosure Updates
	  	29
		  	5.15	  	 Control Agreements
	  	29
		  	5.16	  	 Formation of Subsidiaries
	  	29
		  	5.17	  	 Intentionally Omitted
	  	29
		  	5.18	  	 Post-Closing Covenants
	  	29
		  	5.19	  	 Copyrights
	  	29
		  	5.20	  	 Assignability of Contracts
	  	29
		  	5.21	  	 Billing Procedures
	  	30
			
	6.	  	NEGATIVE COVENANTS	  	30
		  	6.1	  	 Indebtedness
	  	30
		  	6.2	  	 Liens
	  	31
		  	6.3	  	 Restrictions on Fundamental Changes
	  	31
		  	6.4	  	 Disposal of Assets
	  	31
		  	6.5	  	 Change Name
	  	31
		  	6.6	  	 Nature of Business
	  	31
		  	6.7	  	 Prepayments and Amendments
	  	31
		  	6.8	  	 Change of Control
	  	32
		  	6.9	  	 Consignments
	  	32
		  	6.10	  	 Distributions
	  	32
		  	6.11	  	 Accounting Methods
	  	32
		  	6.12	  	 Investments
	  	32
		  	6.13	  	 Transactions with Affiliates
	  	32
		  	6.14	  	 Use of Proceeds
	  	33
		  	6.15	  	 Inventory and Equipment with Bailees
	  	33
		  	6.16	  	 Financial Covenants
	  	33

  

 ii 








 TABLE OF CONTENTS 
 (continued) 
  

							
	 	  	 	  	Page
	7.	  	EVENTS OF DEFAULT	  	34
			
	8.	  	THE LENDER GROUP’S RIGHTS AND REMEDIES	  	36
		  	8.1	  	 Rights and Remedies
	  	36
		  	8.2	  	 Remedies Cumulative
	  	36
			
	9.	  	TAXES AND EXPENSES	  	36
			
	10.	  	WAIVERS; INDEMNIFICATION	  	37
		  	10.1	  	 Demand; Protest; etc
	  	37
		  	10.2	  	 The Lender Group’s Liability for Borrower Collateral
	  	37
		  	10.3	  	 Indemnification
	  	37
			
	11.	  	NOTICES	  	37
			
	12.	  	CHOICE OF LAW AND VENUE; JURY TRIAL WAIVER	  	38
			
	13.	  	ASSIGNMENTS AND PARTICIPATIONS; SUCCESSORS	  	41
		  	13.1	  	 Assignments and Participations
	  	41
		  	13.2	  	 Successors
	  	43
			
	14.	  	AMENDMENTS; WAIVERS	  	43
		  	14.1	  	 Amendments and Waivers
	  	43
		  	14.2	  	 Replacement of Holdout Lender
	  	44
		  	14.3	  	 No Waivers; Cumulative Remedies
	  	45
			
	15.	  	AGENT; THE LENDER GROUP	  	45
		  	15.1	  	 Appointment and Authorization of Agent
	  	45
		  	15.2	  	 Delegation of Duties
	  	46
		  	15.3	  	 Liability of Agent
	  	46
		  	15.4	  	 Reliance by Agent
	  	46
		  	15.5	  	 Notice of Default or Event of Default
	  	46
		  	15.6	  	 Credit Decision
	  	47
		  	15.7	  	 Costs and Expenses; Indemnification
	  	47
		  	15.8	  	 Agent in Individual Capacity
	  	48
		  	15.9	  	 Successor Agent
	  	48
		  	15.10	  	 Lender in Individual Capacity
	  	48
		  	15.11	  	 Withholding Taxes
	  	48
		  	15.12	  	 Collateral Matters
	  	50
		  	15.13	  	 Restrictions on Actions by Lenders; Sharing of Payments
	  	51
		  	15.14	  	 Agency for Perfection
	  	51
		  	15.15	  	 Payments by Agent to the Lenders
	  	51
		  	15.16	  	 Concerning the Collateral and Related Loan Documents
	  	51
		  	15.17	  	 Field Audits and Examination Reports; Confidentiality; Disclaimers by Lenders;
 Other Reports and Information
	  	52
		  	15.18	  	 Several Obligations; No Liability
	  	52
		  	15.19	  	 Bank Product Providers
	  	53
			
	16.	  	GENERAL PROVISIONS	  	53
		  	16.1	  	 Effectiveness
	  	53
		  	16.2	  	 Section Headings
	  	53

  

 iii 








 TABLE OF CONTENTS 
 (continued) 
  

							
	 	 	 	  	 	  	Page
		 	16.3	  	 Interpretation
	  	53
		 	16.4	  	 Severability of Provisions
	  	53
		 	16.5	  	 Counterparts; Electronic Execution
	  	53
		 	16.6	  	 Revival and Reinstatement of Obligations
	  	53
		 	16.7	  	 Confidentiality
	  	54
		 	16.8	  	 Lender Group Expenses
	  	54
		 	16.9	  	 USA PATRIOT Act
	  	54
		 	16.10	  	 Integration
	  	54
		 	16.11	  	 Parent as Agent for Borrowers
	  	54
		 	16.12	  	 Changes in Accounting Policies
	  	55
		 	16.13	  	 Amendment and Restatement of Original Loan Agreement
	  	55

  

 iv 








 TABLE OF CONTENTS 
 (continued) 
 EXHIBITS AND SCHEDULES 
  

			
	Exhibit A-1	  	Form of Assignment and Acceptance
	Exhibit C-1	  	Form of Compliance Certificate
	Exhibit L-1	  	Form of LIBOR Notice
		
	Schedule A-1	  	Agent’s Account
	Schedule C-1	  	Commitments
	Schedule D-1	  	Designated Account
	Schedule P-1	  	Permitted Liens
	Schedule 1.1	  	Definitions
	Schedule 2.7(a)	  	Cash Management Banks
	Schedule 3.1	  	Conditions Precedent
	Schedule 4.5	  	Locations of Inventory and Equipment
	Schedule 4.7(a)	  	States of Organization
	Schedule 4.7(b)	  	Chief Executive Offices
	Schedule 4.7(c)	  	Organizational Identification Numbers
	Schedule 4.7(d)	  	Commercial Tort Claims
	Schedule 4.8(b)	  	Capitalization of Borrowers
	Schedule 4.8(c)	  	Capitalization of Borrowers’ Subsidiaries
	Schedule 4.14	  	Environmental Matters
	Schedule 4.15	  	Intellectual Property
	Schedule 4.17	  	Deposit Accounts and Securities Accounts
	Schedule 4.19	  	Permitted Indebtedness
	Schedule 5.2	  	Collateral Reporting
	Schedule 5.3	  	Financial Statements, Reports, Certificates
	Schedule 5.18	  	Conditions Subsequent


 v 








 CREDIT AGREEMENT 
 THIS AMENDED AND RESTATED CREDIT AGREEMENT (this “Agreement”), is entered into as of January 10, 2007, by and among the lenders identified on the signature pages hereof (such lenders,
together with their respective successors and permitted assigns, are referred to hereinafter each individually as a “Lender” and collectively as the “Lenders”), and WELLS FARGO FOOTHILL, INC., a California
corporation, as the arranger and administrative agent for the Lenders (in such capacity, together with its successors and assigns in such capacity, “Agent”), and THE TRIZETTO GROUP, INC., a Delaware corporation
(“Parent”), and each of Parent’s Subsidiaries identified on the signature pages hereof (such Subsidiaries, together with Parent, are referred to hereinafter each individually as a “Borrower”, and individually
and collectively, jointly and severally, as the “Borrowers”). 
 W I T N E S S E T H 
 WHEREAS, Agent, the Lenders, Parent, and certain of the Borrowers are parties to that certain Credit Agreement, dated as of December 21, 2004
(as amended, supplemented, or otherwise modified from time to time prior to the date hereof, the “Original Credit Agreement”), pursuant to which Agent and certain of the Lenders provided to certain of the Borrowers a revolving loan
facility in an aggregate principal amount of $100,000,000; 
 WHEREAS, Parent has formed Quartz Acquisition Corp., a Delaware
corporation (“Acquico”), and Acquico, Parent, Michael Lee, in his capacity as representative, and Quality Care Solutions, Inc. a Nevada corporation (“QCSI”), have entered into that certain Agreement and Plan of
Merger, dated as of September 12, 2006 (the “Merger Agreement”), pursuant to which Acquico will merge with and into QCSI with QCSI as the surviving entity (the “QCSI Merger”); 
 WHEREAS, in order to (a) partially finance the QCSI Merger, (b) pay transactional fees, costs, and expenses incurred in connection with
this Agreement, the other Loan Documents, the Merger Documents, and the transactions contemplated hereby and thereby, and (c) finance ongoing working capital, capital expenditure, and general corporate needs of Borrowers, Borrowers have
requested that the Original Credit Agreement be amended in its entirety to, among other things (i) restate the existing revolving loan facility in an aggregate principal amount of up to $100,000,000 and (ii) provide Borrowers with a the
term loan facility in the principal amount of up to $150,000,000; and 
 WHEREAS, subject to the foregoing, Agent and the Lenders are
willing to so amend and restate the Original Credit Agreement in accordance with the terms and conditions hereof; it being understood that no repayment of the outstanding amounts payable under the Original Credit Agreement as of the Closing Date is
being effected hereby but merely an amendment and restatement in accordance with the terms hereof. 
 NOW, THEREFORE, in consideration
of the mutual covenants and agreements set forth herein, and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties hereto agree to amend and restate the Original Credit Agreement in its
entirety as follows: 
 1. DEFINITIONS AND CONSTRUCTION. 
 1.1 Definitions. Capitalized terms used in this Agreement shall have the meanings specified therefor on Schedule 1.1. 
 1.2 Accounting Terms. All accounting terms not specifically defined herein shall be construed in accordance with GAAP. When used herein, the term “financial statements” shall include the notes
and schedules thereto. Whenever the term “Borrowers” or the term “Parent” is used in respect of a financial covenant or a related definition, it shall be understood to mean Parent and its Subsidiaries on a consolidated basis
unless the context clearly requires otherwise. 
  

 1 








 1.3 Code. Any terms used in this Agreement that are defined in the Code shall be construed
and defined as set forth in the Code unless otherwise defined herein, provided, however, that to the extent that the Code is used to define any term herein and such term is defined differently in different Articles of the Code, the
definition of such term contained in Article 9 of the Code shall govern. 
 1.4 Construction. Unless the context of this
Agreement or any other Loan Document clearly requires otherwise, references to the plural include the singular, references to the singular include the plural, the terms “includes” and “including” are not limiting, and the term
“or” has, except where otherwise indicated, the inclusive meaning represented by the phrase “and/or.” The words “hereof,” “herein,” “hereby,” “hereunder,” and similar terms in this
Agreement or any other Loan Document refer to this Agreement or such other Loan Document, as the case may be, as a whole and not to any particular provision of this Agreement or such other Loan Document, as the case may be. Section, subsection,
clause, schedule, and exhibit references herein are to this Agreement unless otherwise specified. Any reference in this Agreement or in the other Loan Documents to any agreement, instrument, or document shall include all alterations, amendments,
changes, extensions, modifications, renewals, replacements, substitutions, joinders, and supplements, thereto and thereof, as applicable (subject to any restrictions on such alterations, amendments, changes, extensions, modifications, renewals,
replacements, substitutions, joinders, and supplements set forth herein). Any reference herein or in any other Loan Document to the satisfaction or repayment in full of the Obligations shall mean the repayment in full in cash (or cash
collateralization in accordance with the terms hereof) of all Obligations other than contingent indemnification Obligations and other than any Bank Product Obligations that, at such time, are allowed by the applicable Bank Product Provider to remain
outstanding and that are not required by the provisions of this Agreement to be repaid or cash collateralized. Any reference herein to any Person shall be construed to include such Person’s successors and assigns. Any requirement of a writing
contained herein or in the other Loan Documents shall be satisfied by the transmission of a Record. 
 1.5 Schedules and
Exhibits. All of the schedules and exhibits attached to this Agreement shall be deemed incorporated herein by reference. 
 2.
LOAN AND TERMS OF PAYMENT. 
 2.1 Revolver Advances. 
 (a) Subject to the terms and conditions of this Agreement, and during the term of this Agreement, each Lender with a Revolver Commitment agrees
(severally, not jointly or jointly and severally) to make advances (“Advances”) to Borrowers in an amount at any one time outstanding not to exceed such Lender’s Pro Rata Share of an amount equal to, as of any date of
determination, the difference of: (A) the lesser of: (i) the EBITDA Revolver Limiter or (ii) the Maximum Revolver Amount minus (B) the sum of: (1) Letter of Credit Usage at such time, (2) the Bank Product Reserve,
and (3) the aggregate amount of reserves, if any, established by Agent under Section 2.1(b). 
 (b) Anything to the
contrary in this Section 2.1 notwithstanding, Agent shall have the right to establish reserves in such amounts, and with respect to such matters, as Agent in its Permitted Discretion shall deem necessary or appropriate, against the
Maximum Revolver Amount, including reserves (i) with respect to (A) sums that Borrowers are required to pay by any Section of this Agreement or any other Loan Document (such as taxes, assessments, insurance premiums, or, in the case of
leased assets, rents or other amounts payable under such leases) and have failed to pay, and (B) amounts due and owing by Borrowers to any Person to the extent secured by a Lien on, or trust over, any of the Collateral (other than a Permitted
Lien), which Lien or trust, in the Permitted Discretion of Agent likely would have a priority superior to the Agent’s Liens (such as Liens or trusts in favor of landlords, warehousemen, carriers, mechanics, materialmen, laborers, 

  

 2 








 
or suppliers, or Liens or trusts for ad valorem, excise, sales, or other taxes where given priority under applicable law) in and to such item of the
Collateral, and (ii) after the occurrence and during the continuance of an Event of Default, with respect to such other matters as Agent in its Permitted Discretion shall deem necessary or appropriate. 
 (c) Amounts borrowed pursuant to this Section 2.1 may be repaid and, subject to the terms and conditions of this Agreement, reborrowed at
any time during the term of this Agreement. The outstanding principal amount of the Advances, together with interest accrued thereon, shall be due and payable on the Maturity Date or, if earlier, on the date on which they are declared due and
payable pursuant to the terms of this Agreement. 
 2.2 Term Loan. 
 (a) Subject to and upon the terms and conditions of this Agreement, each Lender with a Term Loan Commitment agrees (severally, not jointly or jointly and
severally) to make one or more term loans (collectively, all such term loans by all such Lenders, the “Term Loan”) to Borrowers in an aggregate principal amount equal to such Lender’s Pro Rata Share of the Term Loan Amount. The
Term Loan may be made pursuant to 2 or more draws by the Borrowers (each a “Term Loan Draw”). The first Term Loan Draw shall be funded on the Closing Date and shall be in a minimum amount of $75,000,000. Borrowers may request
additional Term Loan Draws at any time after the Closing Date through and including June 30, 2007. The aggregate outstanding amount of all Term Loan Draws shall not exceed the Term Loan Amount. The maximum amount of any Term Loan Draw may not
exceed, when funded, the Term Loan Availability on such date. Each Term Loan Draw shall be in a minimum amount of $10,000,000 and integral multiples of $500,000 in excess thereof, or the remaining unfunded amount of the Term Loan. 
 (b) Commencing on July 1, 2007 and continuing on the first day of each calendar quarter thereafter through the Maturity Date, Borrowers shall repay
the Term Loan in an amount equal to the quotient obtained by dividing (a) the outstanding principal balance of the Term Loan as of the end of business on June 30, 2007 by (b) 28. The outstanding unpaid principal balance and all
accrued and unpaid interest on the Term Loan shall be due and payable on the earliest of (i) the Maturity Date, (ii) the date of the acceleration of the Term Loan in accordance with the terms hereof, and (iii) the date of termination
of this Agreement pursuant to Section 8.1(c). All principal of, interest on, and other amounts payable in respect of the Term Loan shall constitute Obligations. 
 (c) Borrowers may make voluntary prepayments of principal with respect to the Term Loan from time to time so long as: (i) Administrative Borrower
provides Agent not less than 3 Business Days prior written notice of such prepayment, and (ii) the amount of any prepayment is in a minimum amount of $100,000 and integral multiples thereof, or the remaining principal balance of the Term Loan,
if less. Any such voluntary prepayments shall be applied to installments due thereunder in the inverse order of their maturity. Amounts repaid under the Term Loan may not be reborrowed. 
 2.3 Borrowing Procedures and Settlements. 
 (a) Procedure for Borrowing. Each Borrowing shall be made by an irrevocable written request by an Authorized Person delivered to Agent (the “Borrowing Notice”). With respect to
Borrowings constituting Advances, unless Swing Lender is not obligated to make a Swing Loan pursuant to Section 2.3(b), such Borrowing Notice must be received by Agent no later than 10:00 a.m. (California time) on the Business Day that
is the requested Funding Date; provided, however, that if Swing Lender is not obligated to make a Swing Loan as to a requested Borrowing constituting and Advance, such Borrowing Notice must be received by Agent no later than 10:00 a.m.
(California time) on the Business Day prior to the date that is the requested Funding Date. With respect to Borrowings constituting Term Loan Draws, the Borrowing Notice must be received by Agent no later than 10:00 a.m. (California time) on the


  

 3 








 
Business Day that is 10 days prior to the requested Funding Date. Every Borrowing Notice must specify: (i) the type of Borrowing (Advances or Term Loan
Draw), (ii) the amount of such Borrowing, and (iii) the requested Funding Date, which shall be a Business Day. At Agent’s election, solely with respect to Borrowings constituting Advances, in lieu of delivering the Borrowing Notice,
any Authorized Person may give Agent telephonic notice of such request by the required time. In such circumstances, Borrowers agree that any such telephonic notice will be confirmed with a Borrowing Notice within 24 hours of the giving of such
telephonic notice, but the failure to provide such Borrowing Notice as confirmation shall not affect the validity of the request. 
 (b)
Making of Swing Loans. In the case of a request for an Advance and so long as either (i) the aggregate amount of Swing Loans made since the last Settlement Date plus the amount of the requested Advance does not exceed $15,000,000, or
(ii) Swing Lender, in its sole discretion, shall agree to make a Swing Loan notwithstanding the foregoing limitation, Swing Lender, as a Lender, shall make an Advance in the amount of such requested Advance (any such Advance made solely by
Swing Lender as a Lender pursuant to this Section 2.3(b) being referred to as a “Swing Loan” and such Advances being referred to collectively as “Swing Loans”) available to Borrowers on the Funding Date
applicable thereto by transferring immediately available funds to Borrowers’ Designated Account. Each Swing Loan shall be deemed to be an Advance hereunder and shall be subject to all the terms and conditions applicable to other Advances,
except that all payments on any Swing Loan shall be payable to Swing Lender as a Lender solely for its own account. Subject to the provisions of Section 2.3(d)(ii), Swing Lender as a Lender shall not make and shall not be obligated to
make any Swing Loan if Swing Lender has actual knowledge that (i) one or more of the applicable conditions precedent set forth in Section 3 will not be satisfied on the requested Funding Date for the applicable Borrowing, or
(ii) the requested Borrowing would exceed the Availability on such Funding Date. Swing Lender as a Lender shall not otherwise be required to determine whether the applicable conditions precedent set forth in Section 3 have been
satisfied on the Funding Date applicable thereto prior to making any Swing Loan. The Swing Loans shall be secured by the Agent’s Liens, constitute Obligations hereunder, and bear interest at the rate applicable from time to time to Advances.

 (c) Making of Loans. 
 (i) In the event that Swing Lender is not obligated to make a Swing Loan, then promptly after receipt of a request for a Borrowing pursuant to Section 2.3(a), Agent shall notify the Lenders, not later than 1:00 p.m. (California
time) on the Business Day: (i) immediately preceding the Funding Date applicable thereto, with respect to Borrowings constituting Advances, and (ii) that is 10 days prior to the requested Funding Date, with respect to Borrowings
constituting Term Loan Draws. Such notice may be made by telecopy, telephone, or other similar form of transmission. Each Lender shall make the amount of such Lender’s Pro Rata Share of the requested Borrowing available to Agent in immediately
available funds, to Agent’s Account, not later than 10:00 a.m. (California time) on the Funding Date applicable thereto. After Agent’s receipt of the proceeds of such Advances, Agent shall make the proceeds thereof available to
Administrative Borrower on the applicable Funding Date by transferring immediately available funds equal to such proceeds received by Agent to Administrative Borrower’s Designated Account; provided, however, that, subject to the
provisions of Section 2.3(d)(ii), Agent shall not request any Lender to make, and no Lender shall have the obligation to make, any Advance or Term Loan Draw if Agent shall have actual knowledge that (1) one or more of the applicable
conditions precedent set forth in Section 3 will not be satisfied on the requested Funding Date for the applicable Borrowing unless such condition has been waived, or (2) the requested Borrowing would exceed the Availability or the
Term Loan Availability, as applicable, on such Funding Date. 
 (ii) Unless Agent receives notice from a Lender prior to 9:00 a.m.
(California time) on the date of a Borrowing, that such Lender will not make available as and when required hereunder to Agent for the account of Borrowers the amount of that Lender’s Pro Rata Share of the Borrowing, Agent may assume that each
Lender has made or will make such amount available to Agent in immediately 

  

 4 








 
available funds on the Funding Date and Agent may (but shall not be so required), in reliance upon such assumption, make available to Borrowers on such date
a corresponding amount. If and to the extent any Lender shall not have made its full amount available to Agent in immediately available funds and Agent in such circumstances has made available to Borrowers such amount, that Lender shall on the
Business Day following such Funding Date make such amount available to Agent, together with interest at the Defaulting Lender Rate for each day during such period. A notice submitted by Agent to any Lender with respect to amounts owing under this
subsection shall be conclusive, absent manifest error. If such amount is so made available, such payment to Agent shall constitute such Lender’s Advance or Term Loan Draw, as applicable, on the date of Borrowing for all purposes of this
Agreement. If such amount is not made available to Agent on the Business Day following the Funding Date, Agent will notify Administrative Borrower of such failure to fund and, upon demand by Agent, Borrowers shall pay such amount to Agent for
Agent’s account, together with interest thereon for each day elapsed since the date of such Borrowing, at a rate per annum equal to the interest rate applicable at the time to the Advances or Term Loan Draws, as applicable, composing such
Borrowing. The failure of any Lender to make any Advance or Term Loan Draw, as applicable, on any Funding Date shall not relieve any other Lender of any obligation hereunder to make an Advance or Term Loan Draw, as applicable, on such Funding Date,
but no Lender shall be responsible for the failure of any other Lender to make the Advance or Term Loan Draw, as applicable, to be made by such other Lender on any Funding Date. 
 (iii) Agent shall not be obligated to transfer to a Defaulting Lender any payments made by Borrowers to Agent for the Defaulting Lender’s benefit,
and, in the absence of such transfer to the Defaulting Lender, Agent shall transfer any such payments to each other non-Defaulting Lender member of the Lender Group ratably in accordance with their Commitments (but only to the extent that such
Defaulting Lender’s Advance or Term Loan Draw, as applicable, was funded by the other members of the Lender Group) or, if so directed by Administrative Borrower and if no Default or Event of Default had occurred and is continuing (and to the
extent such Defaulting Lender’s Advance or Term Loan Draw, as applicable, was not funded by the Lender Group), retain same to be re-advanced to Borrowers as if such Defaulting Lender had made to Borrowers Advances or Term Loan Draws, as
applicable. Subject to the foregoing, Agent may hold and, in its Permitted Discretion, re-lend to Borrowers for the account of such Defaulting Lender the amount of all such payments received and retained by Agent for the account of such Defaulting
Lender. Solely for the purposes of voting or consenting to matters with respect to the Loan Documents, such Defaulting Lender shall be deemed not to be a “Lender” and such Lender’s Commitment shall be deemed to be zero. This Section
shall remain effective with respect to such Lender until (x) the Obligations under this Agreement shall have been declared or shall have become immediately due and payable, (y) the non-Defaulting Lenders, Agent, and Administrative Borrower
shall have waived such Defaulting Lender’s default in writing, or (z) the Defaulting Lender makes its Pro Rata Share of the applicable Advance or Term Loan Draw, as applicable, and pays to Agent all amounts owing by Defaulting Lender in
respect thereof. The operation of this Section shall not be construed to increase or otherwise affect the Commitment of any Lender, to relieve or excuse the performance by such Defaulting Lender or any other Lender of its duties and obligations
hereunder, or to relieve or excuse the performance by Borrowers of their duties and obligations hereunder to Agent or to the Lenders other than such Defaulting Lender. Any such failure to fund by any Defaulting Lender shall constitute a material
breach by such Defaulting Lender of this Agreement and shall entitle Administrative Borrower at its option, upon written notice to Agent, to arrange for a substitute Lender to assume the Commitment of such Defaulting Lender, such substitute Lender
to be an Eligible Transferee. In connection with the arrangement of such a substitute Lender, the Defaulting Lender shall have no right to refuse to be replaced hereunder, and agrees to execute and deliver a completed form of Assignment and
Acceptance in favor of the substitute Lender (and agrees that it shall be deemed to have executed and delivered such document if it fails to do so) and shall cease to be party hereto, subject only to being repaid its share of the outstanding
Obligations (other than Bank Product Obligations) without any premium or penalty of any kind whatsoever; provided however, that any such assumption of the Commitment of such Defaulting Lender shall not be deemed to constitute a waiver of any of the
Lender Groups’ or Borrowers’ rights or remedies against any such Defaulting Lender arising out of or in relation to such failure to fund. 
  

 5 








 (d) Protective Advances and Optional Overadvances. 
 (i) Agent hereby is authorized by Borrowers and the Lenders, from time to time in Agent’s sole discretion, (A) after the occurrence and during
the continuance of a Default or an Event of Default, or (B) at any time that any of the other applicable conditions precedent set forth in Section 3 are not satisfied, to make Advances to Borrowers on behalf of the Lenders that
Agent, in its Permitted Discretion deems necessary or desirable (1) to preserve or protect the Collateral, or any portion thereof, (2) to enhance the likelihood of repayment of the Obligations (other than the Bank Product Obligations), or
(3) to pay any other amount chargeable to Borrowers pursuant to the terms of this Agreement, including Lender Group Expenses and the costs, fees, and expenses described in Section 10 (any of the Advances described in this
Section 2.3(d)(i) shall be referred to as “Protective Advances”). Notwithstanding anything to the contrary contained in this Agreement, the aggregate amount of Protective Advances and Overadvances outstanding under this
Agreement shall not exceed, at any one time, $7,500,000. 
 (ii) Any contrary provision of this Agreement notwithstanding, subject to the
last sentence of clause (d)(i) above, the Lenders hereby authorize Agent or Swing Lender, as applicable, and either Agent or Swing Lender, as applicable, may, but is not obligated to, knowingly and intentionally, continue to make Advances (including
Swing Loans) to Borrowers notwithstanding that an Overadvance exists or thereby would be created, so long as after giving effect to such Advances, the outstanding Revolver Usage (except for and excluding amounts charged to the Loan Account for
interest, fees, or Lender Group Expenses) does not exceed the Maximum Revolver Amount. In the event Agent obtains actual knowledge that the Revolver Usage exceeds the amounts permitted by the immediately foregoing provisions, regardless of the
amount of, or reason for, such excess, Agent shall notify the Lenders as soon as practicable (and prior to making any (or any additional) intentional Overadvances (except for and excluding amounts charged to the Loan Account for interest, fees, or
Lender Group Expenses) unless Agent determines that prior notice would result in imminent harm to the Collateral or its value), and the Lenders with Revolver Commitments thereupon shall, together with Agent, jointly determine the terms of
arrangements that shall be implemented with Borrowers intended to reduce, within a reasonable time, the outstanding principal amount of the Advances to Borrowers to an amount permitted by the preceding paragraph. In such circumstances, if any Lender
with a Revolver Commitment disagrees over the proposed terms of reduction or repayment of any Overadvance, the terms of reduction or repayment thereof shall be implemented according to the determination of the Required Lenders. Each Lender with a
Revolver Commitment shall be obligated to settle with Agent as provided in Section 2.3(e) for the amount of such Lender’s Pro Rata Share of any unintentional Overadvances by Agent reported to such Lender, any intentional
Overadvances made as permitted under this Section 2.3(d)(ii), and any Overadvances resulting from the charging to the Loan Account of interest, fees, or Lender Group Expenses. 
 (iii) Each Protective Advance and each Overadvance shall be deemed to be an Advance hereunder, except that no Protective Advance or Overadvance shall be
eligible to be a LIBOR Rate Loan and all payments on the Protective Advances shall be payable to Agent solely for its own account. The Protective Advances and Overadvances shall be repayable on demand, secured by the Agent’s Liens, constitute
Obligations hereunder, and bear interest at the rate applicable from time to time to Advances. The provisions of this Section 2.3(d) are for the exclusive benefit of Agent, Swing Lender, and the Lenders and are not intended to benefit
any Borrower in any way. 
 (e) Settlement. It is agreed that each Lender’s funded portion of the Advances is intended by
the Lenders to equal, at all times, such Lender’s Pro Rata Share of the outstanding Advances. Such agreement notwithstanding, Agent, Swing Lender, and the other Lenders agree (which agreement shall not be for the benefit of any Borrower) that
in order to facilitate the administration of this Agreement and the other Loan Documents, settlement among the Lenders as to the Advances, the Swing Loans, and the Protective Advances shall take place on a periodic basis in accordance with the
following provisions: 
  

 6 








 (i) Agent shall request settlement (“Settlement”) with the Lenders on a weekly basis,
or on a more frequent basis if so determined by Agent, (1) on behalf of Swing Lender, with respect to each outstanding Swing Loan, (2) for itself, with respect to the outstanding Protective Advances, and (3) with respect to
Borrowers’ Collections received, as to each by notifying the Lenders by telecopy, telephone, or other similar form of transmission, of such requested Settlement, no later than 2:00 p.m. (California time) on the Business Day immediately prior to
the date of such requested Settlement (the date of such requested Settlement being the “Settlement Date”). Such notice of a Settlement Date shall include a summary statement of the amount of outstanding Advances, Swing Loans, and
Protective Advances for the period since the prior Settlement Date. Subject to the terms and conditions contained herein (including Section 2.3(b)(iii)): (y) if a Lender’s balance of the Advances (including Swing Loans and
Protective Advances) exceeds such Lender’s Pro Rata Share of the Advances (including Swing Loans and Protective Advances) as of a Settlement Date, then Agent shall, by no later than 12:00 p.m. (California time) on the Settlement Date, transfer
in immediately available funds to a Deposit Account of such Lender (as such Lender may designate), an amount such that each such Lender shall, upon receipt of such amount, have as of the Settlement Date, its Pro Rata Share of the Advances (including
Swing Loans and Protective Advances), and (z) if a Lender’s balance of the Advances (including Swing Loans and Protective Advances) is less than such Lender’s Pro Rata Share of the Advances (including Swing Loans and Protective
Advances) as of a Settlement Date, such Lender shall no later than 12:00 p.m. (California time) on the Settlement Date transfer in immediately available funds to the Agent’s Account, an amount such that each such Lender shall, upon transfer of
such amount, have as of the Settlement Date, its Pro Rata Share of the Advances (including Swing Loans and Protective Advances). Such amounts made available to Agent under clause (z) of the immediately preceding sentence shall be applied
against the amounts of the applicable Swing Loans or Protective Advances and, together with the portion of such Swing Loans or Protective Advances representing Swing Lender’s Pro Rata Share thereof, shall constitute Advances of such Lenders. If
any such amount is not made available to Agent by any Lender on the Settlement Date applicable thereto to the extent required by the terms hereof, Agent shall be entitled to recover for its account such amount on demand from such Lender together
with interest thereon at the Defaulting Lender Rate. 
 (ii) In determining whether a Lender’s balance of the Advances, Swing Loans,
and Protective Advances is less than, equal to, or greater than such Lender’s Pro Rata Share of the Advances, Swing Loans, and Protective Advances as of a Settlement Date, Agent shall, as part of the relevant Settlement, apply to such balance
the portion of payments actually received in good funds by Agent with respect to principal, interest, fees payable by Borrowers and allocable to the Lenders hereunder, and proceeds of Collateral. To the extent that a net amount is owed to any such
Lender after such application, such net amount shall be distributed by Agent to that Lender as part of such next Settlement. 
 (iii)
Between Settlement Dates, Agent, to the extent no Protective Advances or Swing Loans are outstanding, may pay over to Swing Lender any payments received by Agent, that in accordance with the terms of this Agreement would be applied to the reduction
of the Advances, for application to Swing Lender’s Pro Rata Share of the Advances. If, as of any Settlement Date, Collections of Borrowers received since the then immediately preceding Settlement Date have been applied to Swing Lender’s
Pro Rata Share of the Advances other than to Swing Loans, as provided for in the previous sentence, Swing Lender shall pay to Agent for the accounts of the Lenders, and Agent shall pay to the Lenders, to be applied to the outstanding Advances of
such Lenders, an amount such that each Lender shall, upon receipt of such amount, have, as of such Settlement Date, its Pro Rata Share of the Advances. During the period between Settlement Dates, Swing Lender with respect to Swing Loans, Agent with
respect to Protective Advances, and each Lender (subject to the effect of agreements between Agent and individual Lenders) with respect to the Advances other than Swing Loans and Protective Advances, shall be entitled to interest at the applicable
rate or rates payable under this Agreement on the daily amount of funds employed by Swing Lender, Agent, or the Lenders, as applicable. 
  

 7 








 (f) Notation. Agent shall record on its books the principal amount of the Advances owing
to each Lender, including the Swing Loans owing to Swing Lender, and Protective Advances owing to Agent, and the interests therein of each Lender, from time to time and such records shall, absent manifest error, conclusively be presumed to be
correct and accurate. 
 (g) Lenders’ Failure to Perform. All Advances (other than Swing Loans and Protective Advances)
shall be made by the Lenders contemporaneously and in accordance with their Pro Rata Shares. It is understood that (i) no Lender shall be responsible for any failure by any other Lender to perform its obligation to make any Advance (or other
extension of credit) hereunder, nor shall any Commitment of any Lender be increased or decreased as a result of any failure by any other Lender to perform its obligations hereunder, and (ii) no failure by any Lender to perform its obligations
hereunder shall excuse any other Lender from its obligations hereunder. 
 2.4 Payments. 
 (a) Payments by Borrowers. 
 (i) Except as otherwise expressly provided herein, all payments by Borrowers shall be made to Agent’s Account for the account of the Lender Group and shall be made in immediately available funds, no later than 11:00 a.m. (California
time) on the date specified herein. Any payment received by Agent later than 11:00 a.m. (California time), shall be deemed to have been received on the following Business Day and any applicable interest or fee shall continue to accrue until such
following Business Day. 
 (ii) Unless Agent receives notice from Administrative Borrower prior to the date on which any payment is due to
the Lenders that Borrowers will not make such payment in full as and when required, Agent may assume that Borrowers have made (or will make) such payment in full to Agent on such date in immediately available funds and Agent may (but shall not be so
required), in reliance upon such assumption, distribute to each Lender on such due date an amount equal to the amount then due such Lender. If and to the extent Borrowers do not make such payment in full to Agent on the date when due, each Lender
severally shall repay to Agent on demand such amount distributed to such Lender, together with interest thereon at the Defaulting Lender Rate for each day from the date such amount is distributed to such Lender until the date repaid. 
 (b) Apportionment and Application. 
 (i) So long as no Event of Default has occurred and is continuing and except as otherwise provided with respect to Defaulting Lenders, all principal and interest payments shall be apportioned ratably among the Lenders (according to the
unpaid principal balance of the Obligations to which such payments relate held by each Lender) and all payments of fees and expenses (other than fees or expenses that are for Agent’s separate account) shall be apportioned ratably among the
Lenders having a Pro Rata Share of the type of Commitment or Obligation to which a particular fee or expense relates. All payments to be made hereunder by Borrowers shall be remitted to Agent and all (subject to Section 2.4(b)(iv)) such
payments, and all proceeds of Collateral received by Agent, shall be applied, so long as no Event of Default has occurred and is continuing, to reduce the balance of the Advances outstanding and, thereafter, to Borrowers (to be wired to the
Designated Account) or such other Person entitled thereto under applicable law. 
  

 8 








 (ii) At any time that an Event of Default has occurred and is continuing and except as otherwise
provided with respect to Defaulting Lenders, all payments remitted to Agent and all proceeds of Collateral received by Agent shall be applied as follows: 
 (A) first, to pay any Lender Group Expenses (including cost or expense reimbursements) or indemnities then due to Agent under the Loan Documents, until paid in full, 
 (B) second, to pay any fees or premiums then due to Agent under the Loan Documents until paid in full, 
 (C) third, to pay interest due in respect of all Protective Advances until paid in full, 
 (D) fourth, to pay the principal of all Protective Advances until paid in full, 
 (E) fifth, ratably to pay any Lender Group Expenses (including cost or expense reimbursements) or indemnities then due to any of the Lenders
under the Loan Documents, until paid in full, 
 (F) sixth, ratably to pay any fees or premiums then due to any of the Lenders under
the Loan Documents until paid in full, 
 (G) seventh, ratably to pay interest due in respect of the Advances (other than Protective
Advances), the Swing Loans, and the Term Loan until paid in full, 
 (H) eighth, ratably (i) to pay the principal of all Swing
Loans until paid in full, (ii) to pay the outstanding principal balance of the Term Loan (in the inverse order of the maturity of the installments due thereunder) until the Term Loan is paid in full, (iii) to pay the principal of all
Advances until paid in full, (iv) to Agent, to be held by Agent, for the ratable benefit of Issuing Lender and those Lenders having a Revolver Commitment, as cash collateral in an amount up to 105% of the Letter of Credit Usage, and (v) to
Agent, to be held by Agent, for the benefit of the Bank Product Providers, as cash collateral in an amount up to the amount of the Bank Product Reserve established prior to the occurrence of, and not in contemplation of, the subject Event of
Default, 
 (I) ninth, to pay any other Obligations (including the provision of amounts to Agent, to be held by Agent, for the
benefit of the Bank Product Providers, as cash collateral in an amount up to the amount determined by Agent in its Permitted Discretion as the amount necessary to secure Borrowers’ and their Subsidiaries’ obligations in respect of Bank
Products), and 
 (J) tenth, to Borrowers (to be wired to the Designated Account) or such other Person entitled thereto under
applicable law. 
 (iii) Agent promptly shall distribute to each Lender, pursuant to the applicable wire instructions received from each
Lender in writing, such funds as it may be entitled to receive, subject to a Settlement delay as provided in Section 2.3(e). 
 (iv) In each instance, so long as no Event of Default has occurred and is continuing, Section 2.4(b)(i) shall not apply to any payment made by Borrowers to Agent and specified by Borrowers to be for the payment of specific
Obligations then due and payable (or prepayable) under any provision of this Agreement. 
  

 9 








 (v) For purposes of Section 2.4(b)(ii), “paid in full” means payment of all
amounts owing under the Loan Documents according to the terms thereof, including loan fees, service fees, professional fees, interest (and specifically including interest accrued after the commencement of any Insolvency Proceeding), default
interest, interest on interest, and expense reimbursements, whether or not any of the foregoing would be or is allowed or disallowed in whole or in part in any Insolvency Proceeding. 
 (vi) In the event of a direct conflict between the priority provisions of this Section 2.4 and any other provision contained in any other
Loan Document, it is the intention of the parties hereto that such provisions be read together and construed, to the fullest extent possible, to be in concert with each other. In the event of any actual, irreconcilable conflict that cannot be
resolved as aforesaid, the terms and provisions of this Section 2.4 shall control and govern. 
 (c) Mandatory
Prepayments. 
 (i) If, at any time (A) the sum of the outstanding principal balance of the Term Loan on such date plus the
Revolver Usage on such date exceeds (B) the product of (I) the Applicable EBITDA Multiplier times (II) TTM EBITDA calculated as of the most recent month for which financial statements have been delivered pursuant to Section 5.3
(such product being referred to as the “Loan Limit” and such excess being referred to as the “Limiter Excess”), then Borrowers shall, prepay the Obligations in accordance with Section 2.4(d) in an
aggregate amount equal to the Limiter Excess immediately after the earlier of: (i) obtaining knowledge that the Obligations have exceeded the Loan Limit or (ii) receiving notice from Agent that the Obligations have exceeded the Loan Limit.

 (ii) Immediately upon the receipt by Borrowers or any of their Subsidiaries of the proceeds of any voluntary or involuntary sale or
disposition by Borrowers or any of their Subsidiaries of property or assets (including casualty losses or condemnations but excluding: (y) sales or dispositions which qualify as Permitted Dispositions under clauses (a), (b), (c), (d), or
(f) of the definition of Permitted Dispositions and (z) proceeds from sale-leaseback transactions in an amount that does not exceed $3,000,000 in the aggregate in any one fiscal year of Parent), Borrowers shall prepay the outstanding
principal amount of the Obligations in accordance with Section 2.4(d) in an amount equal to 100% of the Net Cash Proceeds (including condemnation awards and payments in lieu thereof) received by such Person in connection with such sales
or dispositions; provided that so long as (A) no Default or Event of Default shall have occurred and is continuing, (B) Administrative Borrower shall have given Agent prior written notice of Borrowers’ intention to apply such monies
to the costs of replacement of the properties or assets that are the subject of such sale or disposition or the cost of purchase or construction of other assets useful in the business of Borrowers or their Subsidiaries, (C) the monies are held
in a cash collateral account in which Agent has a perfected first-priority security interest, (D) Borrowers or their Subsidiaries, as applicable, complete such replacement, purchase, or construction within 180 days after the initial receipt of
such monies, and (E) the aggregate amount of Net Cash Proceeds that are reinvested in any 12 consecutive month period does not exceed $1,000,000, Borrowers and their Subsidiaries shall have the option to apply such monies to the costs of
replacement of the property or assets that are the subject of such sale or disposition or the costs of purchase or construction of other assets useful in the business of Borrowers and their Subsidiaries unless and to the extent that such applicable
period shall have expired without such replacement, purchase or construction being made or completed, or an Event of Default shall have occurred, in which case, any amounts remaining in the cash collateral account shall be paid to Agent and applied
in accordance with Section 2.4(d). Nothing contained in this Section 2.4(c)(ii) shall permit Borrowers or any of their Subsidiaries to sell or otherwise dispose of any property or assets other than in accordance with
Section 6.4. 
 (iii) Immediately upon the receipt by Borrowers or any of their Subsidiaries of any Extraordinary Receipts
(other than indemnification payments received in connection with the Merger Agreement or any other merger or stock purchase agreement with respect to a Permitted Acquisition to the extent that such Extraordinary Receipts are paid to a Person that is
not an Affiliate of Parent 

  

 10 








 
or any of its Subsidiaries or received by Parent or such Subsidiary as reimbursement for any payment previously made by such Person), Borrowers shall prepay
the outstanding principal amount of the Obligations in accordance with Section 2.4(d) in an amount equal to 100% of such Extraordinary Receipts, net of any reasonable expenses incurred in collecting such Extraordinary Receipts.

 (iv) Immediately upon the issuance or incurrence by Borrowers or any of their Subsidiaries of any Indebtedness (other than Indebtedness
permitted under Section 6.1(a), (c), (d), (i), (k), or (l)), the issuance by Borrowers or any of their Subsidiaries of any shares of Borrowers’ Stock or their Subsidiaries’ Stock (other than:
(y) in the event that Borrowers or any of Subsidiary of a Borrower forms a Subsidiary in accordance with the terms hereof, the issuance by such Subsidiary of Stock to a Borrower or such Subsidiary, as applicable or (z) the issuance of
Parent’s Stock in the ordinary course of any Active Borrower’s business, consistent with such Active Borrower’s or Parent’s past practice, to such Active Borrower’s employees and service providers), Borrowers shall prepay
the outstanding principal amount of the Obligations in accordance with Section 2.4(d) in an amount equal to 100% of the Net Cash Proceeds received by such Person in connection with such issuance or incurrence. The provisions of this
Section 2.4(c)(iv) shall not be deemed to be implied consent to any such issuance or incurrence otherwise prohibited by the terms and conditions of this Agreement. 
 (d) Application of Payments. Each prepayment pursuant to Section 2.4(c) above shall (A) so long as no Event of Default
shall have occurred and be continuing, first, to the outstanding principal amount of the Term Loan until paid in full, second, to the outstanding principal amount of the Advances until paid in full, and (B) if an Event of Default shall have
occurred and be continuing, be applied in the manner set forth in Section 2.4(b)(ii). Each such prepayment of the Term Loan shall be applied against the remaining installments of principal of the Term Loan in the inverse order of
maturity. 
 2.5 Overadvances. If, at any time or for any reason, the amount of Obligations owed by Borrowers to the Lender
Group pursuant to Section 2.1 or Section 2.12 is greater than any of the limitations set forth in Section 2.1, or Section 2.12, as applicable (an “Overadvance”), Borrowers immediately
shall pay to Agent, in cash, the amount of such excess which amount shall be used by Agent to reduce the Obligations in accordance with the priorities set forth in Section 2.4(b), provided, however, that: (i) any
intentional Overadvance described in Section 2.3(d)(ii) shall be repaid in accordance with the terms agreed upon by the Lenders pursuant to the terms of that Section and (ii) the amount of Advances that exceed the EBITDA Revolver
Limiter shall be repaid in accordance with Section 2.4(d). In addition, Borrowers hereby promise to pay the Obligations (including principal, interest, fees, costs, and expenses) in Dollars in full as and when due and payable under the
terms of this Agreement and the other Loan Documents. 
 2.6 Interest Rates: Rates, Payments, and Calculations. 
 (a) Interest Rates. Except as provided in clause (c) below, all Obligations (except for Bank Product Obligations) whether or not
charged to the Loan Account pursuant to the terms hereof shall bear interest on the Daily Balance thereof as follows (i) if the relevant Obligation is a LIBOR Rate Loan, at a per annum rate equal to the LIBOR Rate plus the Applicable Margin for
LIBOR Rate Loans, and (ii) otherwise, at a per annum rate equal to the Base Rate plus the Applicable Margin for Base Rate Loans. 
 The
foregoing notwithstanding, at no time shall any portion of the Obligations (other than Bank Product Obligations) bear interest on the Daily Balance thereof at a per annum rate less than 5.00%. To the extent that interest accrued hereunder at the
rate set forth herein would be less than the foregoing minimum daily rate, the interest rate chargeable hereunder for such day automatically shall be deemed increased to the minimum rate. 
 (b) Letter of Credit Fee. Borrowers shall pay Agent (for the ratable benefit of the Lenders with a Revolver Commitment, subject to any
agreements between Agent and individual Lenders), 

  

 11 








 
a Letter of Credit fee (in addition to the charges, commissions, fees, and costs set forth in Section 2.12(e)) which shall accrue at a rate per
annum equal to the Applicable Margin with respect to LIBOR Rate Loans times the Daily Balance of the undrawn amount of all outstanding Letters of Credit. 
 (c) Default Rate. Upon the occurrence and during the continuation of an Event of Default (and at the election of Agent or the Required Lenders), all Obligations (except for Bank Product Obligations) that
have been charged to the Loan Account pursuant to the terms hereof shall bear interest on the Daily Balance thereof at a per annum rate equal to 4 percentage points above the per annum rate otherwise applicable hereunder, and 
 (d) Payment. Except as provided to the contrary in Section 2.11 or Section 2.13(a), interest, Letter of Credit
fees, and all other fees payable hereunder shall be due and payable, in arrears, on the first day of each month at any time that Obligations or Commitments are outstanding. Borrowers hereby authorize Agent, from time to time, without prior notice to
Borrowers, to charge all interest and fees (when due and payable), all Lender Group Expenses (as and when incurred), all charges, commissions, fees and costs provided for in Section 2.12(e) (as and when accrued or incurred), all fees and
costs provided for in Section 2.11 (as and when accrued or incurred), and all other payments as and when due and payable under any Loan Document (including the amounts due and payable with respect to the Term Loan and including any
amounts due and payable to the Bank Product Providers in respect of Bank Products up to the amount of the Bank Product Reserve) to Borrowers’ Loan Account, which amounts thereafter shall constitute Advances hereunder and shall accrue interest
at the rate then applicable to Advances that are Base Rate Loans. Any interest not paid when due shall be compounded by being charged to the Loan Account and shall thereafter constitute Advances hereunder and shall accrue interest at the rate then
applicable to Advances that are Base Rate Loans. 
 (e) Computation. All interest and fees chargeable under the Loan Documents
shall be computed on the basis of a 360 day year for the actual number of days elapsed. In the event the Base Rate is changed from time to time hereafter, the rates of interest hereunder based upon the Base Rate automatically and immediately shall
be increased or decreased by an amount equal to such change in the Base Rate. 
 (f) Intent to Limit Charges to Maximum Lawful
Rate. In no event shall the interest rate or rates payable under this Agreement, plus any other amounts paid in connection herewith, exceed the highest rate permissible under any law that a court of competent jurisdiction shall, in a final
determination, deem applicable. Borrowers and the Lender Group, in executing and delivering this Agreement, intend legally to agree upon the rate or rates of interest and manner of payment stated within it; provided, however, that,
anything contained herein to the contrary notwithstanding, if said rate or rates of interest or manner of payment exceeds the maximum allowable under applicable law, then, ipso facto, as of the date of this Agreement, Borrowers are and shall be
liable only for the payment of such maximum as allowed by law, and payment received from Borrowers in excess of such legal maximum, whenever received, shall be applied to reduce the principal balance of the Obligations to the extent of such excess.

 2.7 Cash Management. 
 (a) Borrowers shall (i) establish and maintain cash management services of a type and on terms satisfactory to Agent at one or more of the banks set forth on Schedule 2.7(a) (each a “Cash Management Bank”), and shall
request in writing and otherwise take such reasonable steps to ensure that all of the Borrowers’ Account Debtors forward payment of the amounts owed by them directly to such Cash Management Bank, and (ii) deposit or cause to be deposited
promptly, and in any event no later than the first Business Day after the date of receipt thereof, all of their Collections (including those sent directly by their Account Debtors to Borrowers) into a bank account in Agent’s name (a “Cash
Management Account”) at one of the Cash Management Banks. 
  

 12 








 (b) Each Cash Management Bank shall establish and maintain Cash Management Agreements with Agent and the
applicable Borrower, in form and substance acceptable to Agent and Administrative Borrower. Each such Cash Management Agreement shall provide, among other things, that (i) if Agent has given the Cash Management Bank a notice of exclusive
control (which shall not be given prior to the occurrence of an Event of Default), the Cash Management Bank will comply with any instructions originated by Agent directing the disposition of the funds in such Cash Management Account without further
consent by any Borrower, as applicable, (ii) the Cash Management Bank has no rights of setoff or recoupment or any other claim against the applicable Cash Management Account, other than for payment of its service fees and other charges directly
related to the administration of such Cash Management Account and for returned checks or other items of payment, and (iii) if Agent has a given the Cash Management Bank a notice of exclusive control (which shall not be given prior to the
occurrence of an Event of Default), it will forward by daily sweep all amounts in the applicable Cash Management Account to the Agent’s Account. 
 (c) So long as no Default or Event of Default has occurred and is continuing, Administrative Borrower may amend Schedule 2.7(a) to add or replace a Cash Management Bank or Cash Management Account; provided,
however, that (i) such prospective Cash Management Bank shall be reasonably satisfactory to Agent, and (ii) prior to the time of the opening of such Cash Management Account, the applicable Borrower and such prospective Cash Management Bank
shall have executed and delivered to Agent a Cash Management Agreement. The applicable Borrower shall close any of their Cash Management Accounts (and establish replacement cash management accounts in accordance with the foregoing sentence) promptly
and in any event within 30 days of notice from Agent that the creditworthiness of any Cash Management Bank is no longer acceptable in Agent’s reasonable judgment, or as promptly as practicable and in any event within 60 days of notice from
Agent that the operating performance, funds transfer, or availability procedures or performance of the Cash Management Bank with respect to Cash Management Accounts or Agent’s liability under any Cash Management Agreement with such Cash
Management Bank is no longer acceptable in Agent’s reasonable judgment. 
 (d) The Cash Management Accounts shall be cash collateral
accounts subject to Control Agreements. 
 2.8 Crediting Payments. The receipt of any payment item by Agent (whether from
transfers to Agent by the Cash Management Banks pursuant to the Cash Management Agreements or otherwise) shall not be considered a payment on account unless such payment item is a wire transfer of immediately available federal funds made to the
Agent’s Account or unless and until such payment item is honored when presented for payment. Should any payment item not be honored when presented for payment, then Borrowers shall be deemed not to have made such payment and interest shall be
calculated accordingly. Anything to the contrary contained herein notwithstanding, any payment item shall be deemed received by Agent only if it is received into the Agent’s Account on a Business Day on or before 11:00 a.m. (California time).
If any payment item is received into the Agent’s Account on a non-Business Day or after 11:00 a.m. (California time) on a Business Day, it shall be deemed to have been received by Agent as of the opening of business on the immediately following
Business Day. The parties acknowledge and agree that the economic benefit of the foregoing provisions of this Section 2.8 shall be for the exclusive benefit of Agent. 
 2.9 Designated Account. Agent is authorized to make the Advances and the Term Loan Draws under this Agreement based upon telephonic (but
solely with respect to Advances) or other instructions received from anyone purporting to be an Authorized Person or, without instructions, if pursuant to Section 2.6(d). Administrative Borrower agrees to establish and maintain the
Designated Account with the Designated Account Bank for the purpose of receiving the proceeds of the Advances requested by Borrowers and made by Agent or the Lenders hereunder. Unless otherwise agreed by Agent and Administrative Borrower, any
Advance, Protective Advance, or Swing Loan requested by Borrowers and made by Agent or the Lenders hereunder shall be made to the Designated Account. 
  

 13 








 2.10 Maintenance of Loan Account; Statements of Obligations. Agent shall maintain an
account on its books in the name of Borrowers (the “Loan Account”) on which Borrowers will be charged with the Term Loan Draws and all Advances (including Protective Advances and Swing Loans) made by Agent, Swing Lender, or the
Lenders to Borrowers or for Borrowers’ account, the Letters of Credit issued by Issuing Lender for Borrowers’ account, and with all other payment Obligations hereunder or under the other Loan Documents (except for Bank Product
Obligations), including, accrued interest, fees and expenses, and Lender Group Expenses. In accordance with Section 2.8, the Loan Account will be credited with all payments received by Agent from Borrowers or for Borrowers’ account,
including all amounts received in the Agent’s Account from any Cash Management Bank. Agent shall render statements regarding the Loan Account to Administrative Borrower, including principal, interest, fees, and including an itemization of all
charges and expenses constituting Lender Group Expenses owing, and such statements, absent manifest error, shall be conclusively presumed to be correct and accurate and constitute an account stated between Borrowers and the Lender Group unless,
within 30 days after receipt thereof by Administrative Borrower, Administrative Borrower shall deliver to Agent written objection thereto describing the error or errors contained in any such statements. 
 2.11 Fees. 
 (a) Unused
Revolver Commitment Fee. On the first day of each month prior to the Termination Date and on the Termination Date, an unused line fee in an amount equal to 0.30% per annum times the result of (i) the Maximum Revolver Amount,
less (ii) the average Daily Balance of Advances that were outstanding during the immediately preceding month, provided, however, that the unused line fee due on the Termination Date shall be calculated based on the average Daily
Balances during the period from and including the first day of the month in which the Termination Date occurs up to and including the Termination Date. 
 (b) Unused Term Loan Commitment Fee. On the first day of each month commencing on the first Business Day of the month following the Closing Date and continuing through July 1, 2007, an unused
term loan commitment fee in an amount equal to 0.30% per annum times the result of (i) the Term Loan Amount, less (ii) the outstanding balance of the Term Loan on such date. 
 (c) Fee Letter Fees. In addition to the fees set forth in (a) and (b) above, Borrowers shall pay to Agent, as and when due and
payable under the terms of the Fee Letter, the fees set forth in the Fee Letter. 
 2.12 Letter of Credit. 
 (a) Subject to the terms and conditions of this Agreement, the Issuing Lender agrees to issue letters of credit for the account of Borrowers
(each, an “L/C”) or to purchase participations or execute indemnities or reimbursement obligations (each such undertaking, an “L/C Undertaking”) with respect to letters of credit issued by an Underlying Issuer (as
of the Closing Date, the prospective Underlying Issuer is to be Wells Fargo) for the account of Borrowers. Each request for the issuance of a Letter of Credit or the amendment, renewal, or extension of any outstanding Letter of Credit, shall be made
in writing by an Authorized Person and delivered to the Issuing Lender and Agent via hand delivery, telefacsimile, or other electronic method of transmission reasonably in advance of the requested date of issuance, amendment, renewal, or extension.
Each such request shall be in form and substance satisfactory to the Issuing Lender in its Permitted Discretion and shall specify (i) the amount of such Letter of Credit, (ii) the date of issuance, amendment, renewal, or extension of such
Letter of Credit, (iii) the expiration date of such Letter of Credit, (iv) the name and address of the beneficiary thereof (or the beneficiary of the Underlying Letter of Credit, as applicable), and (v) such other information
(including, in the case of an amendment, renewal, or extension, identification of the outstanding Letter of Credit to be so amended, renewed, or extended) as shall be necessary to prepare, amend, renew, or extend such Letter of Credit. If requested
by the Issuing Lender, Borrowers also 

  

 14 








 
shall be an applicant under the application with respect to any Underlying Letter of Credit that is to be the subject of an L/C Undertaking. The Issuing
Lender shall have no obligation to issue a Letter of Credit if any of the following would result after giving effect to the issuance of such requested Letter of Credit: 
 (i) the Letter of Credit Usage would exceed the EBITDA Revolver Limiter less the outstanding amount of Advances, or 
 (ii) the Letter of Credit Usage would exceed $5,000,000, or 
 (iii) the Letter of Credit Usage would exceed
the Maximum Revolver Amount less the outstanding amount of Advances less the Bank Product Reserve, and less the aggregate amount of reserves, if any, established by Agent under Section 2.1(b). 
 Borrowers and the Lender Group acknowledge and agree that certain Underlying Letters of Credit may be issued to support letters of credit that already
are outstanding as of the Closing Date. Each Letter of Credit (and corresponding Underlying Letter of Credit) shall be in form and substance acceptable to the Issuing Lender (in the exercise of its Permitted Discretion), including the requirement
that the amounts payable thereunder must be payable in Dollars. If Issuing Lender is obligated to advance funds under a Letter of Credit, Borrowers immediately shall reimburse such L/C Disbursement to Issuing Lender by paying to Agent an amount
equal to such L/C Disbursement not later than 11:00 a.m., California time, on the date that such L/C Disbursement is made, if Administrative Borrower shall have received written or telephonic notice of such L/C Disbursement prior to 10:00 a.m.,
California time, on such date, or, if such notice has not been received by Administrative Borrower prior to such time on such date, then not later than 11:00 a.m., California time, on the Business Day that Administrative Borrower receives such
notice, if such notice is received prior to 10:00 a.m., California time, on the date of receipt, and, in the absence of such reimbursement, the L/C Disbursement immediately and automatically shall be deemed to be an Advance hereunder and, initially,
shall bear interest at the rate then applicable to Advances that are Base Rate Loans. To the extent an L/C Disbursement is deemed to be an Advance hereunder, Borrowers’ obligation to reimburse such L/C Disbursement shall be discharged and
replaced by the resulting Advance. Promptly following receipt by Agent of any payment from Borrowers pursuant to this paragraph, Agent shall distribute such payment to the Issuing Lender or, to the extent that Lenders have made payments pursuant to
Section 2.12(b) to reimburse the Issuing Lender, then to such Lenders and the Issuing Lender as their interests may appear. 
 (b) Promptly following receipt of a notice of L/C Disbursement pursuant to Section 2.12(a), each Lender with a Revolver Commitment agrees to fund its Pro Rata Share of any Advance deemed made pursuant to the foregoing subsection
on the same terms and conditions as if Borrowers had requested such Advance and Agent shall promptly pay to Issuing Lender the amounts so received by it from the Lenders. By the issuance of a Letter of Credit (or an amendment to a Letter of Credit
increasing the amount thereof) and without any further action on the part of the Issuing Lender or the Lenders with Revolver Commitments, the Issuing Lender shall be deemed to have granted to each Lender with a Revolver Commitment, and each Lender
with a Revolver Commitment shall be deemed to have purchased, a participation in each Letter of Credit, in an amount equal to its Pro Rata Share of the Risk Participation Liability of such Letter of Credit, and each such Lender agrees to pay to
Agent, for the account of the Issuing Lender, such Lender’s Pro Rata Share of any payments made by the Issuing Lender under such Letter of Credit. In consideration and in furtherance of the foregoing, each Lender with a Revolver Commitment
hereby absolutely and unconditionally agrees to pay to Agent, for the account of the Issuing Lender, such Lender’s Pro Rata Share of each L/C Disbursement made by the Issuing Lender and not reimbursed by Borrowers on the date due as provided in
Section 2.12(a), or of any reimbursement payment required to be refunded to Borrowers for any reason. Each Lender with a Revolver Commitment acknowledges and agrees that its obligation to deliver to Agent, for the account of the Issuing
Lender, an amount equal to its respective Pro Rata Share of each L/C Disbursement made by the Issuing Lender pursuant to this Section 2.12(b) shall be absolute and unconditional and such remittance shall be made notwithstanding the
occurrence or continuation of an 

  

 15 








 
Event of Default or Default or the failure to satisfy any condition set forth in Section 3. If any such Lender fails to make available to Agent
the amount of such Lender’s Pro Rata Share of each L/C Disbursement made by the Issuing Lender in respect of such Letter of Credit as provided in this Section, such Lender shall be deemed to be a Defaulting Lender and Agent (for the account of
the Issuing Lender) shall be entitled to recover such amount on demand from such Lender together with interest thereon at the Defaulting Lender Rate until paid in full. 
 (c) Each Borrower hereby agrees to indemnify, save, defend, and hold the Lender Group harmless from any loss, cost, expense, or liability, and reasonable attorneys fees incurred by the Lender Group arising out
of or in connection with any Letter of Credit; provided, however, that no Borrower shall be obligated hereunder to indemnify for any loss, cost, expense, or liability to the extent that it is caused by the gross negligence or willful misconduct of
the Issuing Lender or any other member of the Lender Group. Each Borrower agrees to be bound by the Underlying Issuer’s regulations and interpretations of any Underlying Letter of Credit or by Issuing Lender’s interpretations of any L/C
issued by Issuing Lender to or for such Borrower’s account, even though this interpretation may be different from such Borrower’s own, and each Borrower understands and agrees that the Lender Group shall not be liable for any error,
negligence, or mistake, whether of omission or commission, in following Borrowers’ instructions or those contained in the Letter of Credit or any modifications, amendments, or supplements thereto. Each Borrower understands that the L/C
Undertakings may require Issuing Lender to indemnify the Underlying Issuer for certain costs or liabilities arising out of claims by Borrowers against such Underlying Issuer. Each Borrower hereby agrees to indemnify, save, defend, and hold the
Lender Group harmless with respect to any loss, cost, expense (including reasonable attorneys fees), or liability incurred by the Lender Group under any L/C Undertaking as a result of the Lender Group’s indemnification of any Underlying Issuer;
provided, however, that no Borrower shall be obligated hereunder to indemnify for any loss, cost, expense, or liability to the extent that it is caused by the gross negligence or willful misconduct of the Issuing Lender or any other member of the
Lender Group. Each Borrower hereby acknowledges and agrees that neither the Lender Group nor the Issuing Lender shall be responsible for delays, errors, or omissions resulting from the malfunction of equipment in connection with any Letter of
Credit. 
 (d) Each Borrower hereby authorizes and directs any Underlying Issuer to deliver to the Issuing Lender all instruments,
documents, and other writings and property received by such Underlying Issuer pursuant to such Underlying Letter of Credit and to accept and rely upon the Issuing Lender’s instructions with respect to all matters arising in connection with such
Underlying Letter of Credit and the related application. 
 (e) Any and all issuance charges, commissions, fees, and costs incurred
by the Issuing Lender relating to Underlying Letters of Credit shall be Lender Group Expenses for purposes of this Agreement and immediately shall be reimbursable by Borrowers to Agent for the account of the Issuing Lender; it being acknowledged and
agreed by each Borrower that, as of the Closing Date, the issuance charge imposed by the prospective Underlying Issuer is .825% per annum times the undrawn amount of each Underlying Letter of Credit, that such issuance charge may be changed
from time to time, and that the Underlying Issuer also imposes a schedule of charges for amendments, extensions, drawings, and renewals. 
 (f) If by reason of (i) any change after the Closing Date in any applicable law, treaty, rule, or regulation or any change in the interpretation or application thereof by any Governmental Authority, or (ii) compliance by
the Underlying Issuer or the Lender Group with any direction, request, or requirement (irrespective of whether having the force of law) of any Governmental Authority or monetary authority including, Regulation D of the Federal Reserve Board as from
time to time in effect (and any successor thereto): 
 (i) any reserve, deposit, or similar requirement is or shall be imposed or modified
in respect of any Letter of Credit issued hereunder, or 

 16 








 (ii) there shall be imposed on the Underlying Issuer or the Lender Group any other condition regarding
any Underlying Letter of Credit or any Letter of Credit issued pursuant hereto; 
 and the result of the foregoing is to increase, directly or indirectly,
the cost to the Lender Group of issuing, making, guaranteeing, or maintaining any Letter of Credit or to reduce the amount receivable in respect thereof by the Lender Group, then, and in any such case, Agent may, at any time within a reasonable
period after the additional cost is incurred or the amount received is reduced, notify Administrative Borrower, and Borrowers shall pay on demand such amounts as Agent may specify to be necessary to compensate the Lender Group for such additional
cost or reduced receipt, together with interest on such amount from the date of such demand until payment in full thereof at the rate then applicable to Base Rate Loans hereunder. The determination by Agent of any amount due pursuant to this
Section, as set forth in a certificate setting forth the calculation thereof in reasonable detail, shall, in the absence of manifest or demonstrable error, be final and conclusive and binding on all of the parties hereto. 
 2.13 LIBOR Option. 
 (a)
Interest and Interest Payment Dates. In lieu of having interest charged at the rate based upon the Base Rate, Borrowers shall have the option (the “LIBOR Option”) to have interest on all or a portion of the Advances or
the Term Loan be charged (whether at the time when made (unless otherwise provided herein), upon conversion from a Base Rate Loan to a LIBOR Rate Loan, or upon continuation of a LIBOR Rate Loan as a LIBOR Rate Loan) at a rate of interest based upon
the LIBOR Rate. Interest on LIBOR Rate Loans shall be payable on the earliest of (i) the last day of the Interest Period applicable thereto, (ii) the date on which all or any portion of the Obligations are accelerated pursuant to the terms
hereof, or (iii) the date on which this Agreement is terminated pursuant to the terms hereof. On the last day of each applicable Interest Period, unless Administrative Borrower properly has exercised the LIBOR Option with respect thereto, the
interest rate applicable to such LIBOR Rate Loan automatically shall convert to the rate of interest then applicable to Base Rate Loans of the same type hereunder. At any time that an Event of Default has occurred and is continuing, Borrowers no
longer shall have the option to request that Advances or the Term Loan bear interest at a rate based upon the LIBOR Rate and Agent shall have the right to convert the interest rate on all outstanding LIBOR Rate Loans to the rate then applicable to
Base Rate Loans hereunder. 
 (b) LIBOR Election. 
 (i) Administrative Borrower may, at any time and from time to time, so long as no Event of Default has occurred and is continuing, elect to exercise the
LIBOR Option by notifying Agent prior to 11:00 a.m. (California time) at least 3 Business Days prior to the commencement of the proposed Interest Period (the “LIBOR Deadline”). Notice of Administrative Borrower’s election of
the LIBOR Option for a permitted portion of the Advances or the Term Loan and an Interest Period pursuant to this Section shall be made by delivery to Agent of a LIBOR Notice received by Agent before the LIBOR Deadline, or by telephonic notice
received by Agent before the LIBOR Deadline (to be confirmed by delivery to Agent of a LIBOR Notice received by Agent prior to 5:00 p.m. (California time) on the same day). Promptly upon its receipt of each such LIBOR Notice, Agent shall provide a
copy thereof to each of the affected Lenders. 
 (ii) Each LIBOR Notice shall be irrevocable and binding on Borrowers. In connection with
each LIBOR Rate Loan, each Borrower shall indemnify, defend, and hold Agent and the Lenders harmless against any loss, cost, or expense incurred by Agent or any Lender as a result of (A) the payment of any principal of any LIBOR Rate Loan other
than on the last day of an Interest Period applicable thereto (including as a result of an Event of Default), (B) the conversion of any LIBOR Rate Loan other than on the last day of the Interest Period applicable thereto, or (C) the
failure to borrow, convert, continue or 

  

 17 








 
prepay any LIBOR Rate Loan on the date specified in any LIBOR Notice delivered pursuant hereto (such losses, costs, or expenses, “Funding
Losses”). Funding Losses shall, with respect to Agent or any Lender, be deemed to equal the amount determined by Agent or such Lender to be the excess, if any, of (1) the amount of interest that would have accrued on the principal
amount of such LIBOR Rate Loan had such event not occurred, at the LIBOR Rate that would have been applicable thereto, for the period from the date of such event to the last day of the then current Interest Period therefor (or, in the case of a
failure to borrow, convert, or continue, for the period that would have been the Interest Period therefor), minus (2) the amount of interest that would accrue on such principal amount for such period at the interest rate which Agent or such
Lender would be offered were it to be offered, at the commencement of such period, Dollar deposits of a comparable amount and period in the London interbank market. A certificate of Agent or a Lender delivered to Administrative Borrower setting
forth any amount or amounts that Agent or such Lender is entitled to receive pursuant to this Section 2.13 shall be conclusive absent manifest error. 
 (iii) Borrowers shall have not more than 5 LIBOR Rate Loans in effect at any given time. Borrowers only may exercise the LIBOR Option for LIBOR Rate Loans of at least $5,000,000 and integral multiples of $1,000,000 in
excess thereof. 
 (c) Conversion. Borrowers may convert LIBOR Rate Loans to Base Rate Loans at any time; provided,
however, that in the event that LIBOR Rate Loans are converted or prepaid on any date that is not the last day of the Interest Period applicable thereto, including as a result of any automatic prepayment through the required application by
Agent of proceeds of Borrowers’ and their Subsidiaries’ Collections in accordance with Section 2.4(b) or for any other reason, including early termination of the term of this Agreement or acceleration of all or any portion of
the Obligations pursuant to the terms hereof, each Borrower shall indemnify, defend, and hold Agent and the Lenders and their Participants harmless against any and all Funding Losses in accordance with Section 2.13 (b)(ii). 

(d) Special Provisions Applicable to LIBOR Rate. 
 (i) The LIBOR Rate may be adjusted by Agent with respect to any Lender on a prospective basis to take into account any additional or increased costs to such Lender of maintaining or obtaining any eurodollar deposits
or increased costs, in each case, due to changes in applicable law occurring subsequent to the commencement of the then applicable Interest Period, including changes in tax laws (except changes of general applicability in corporate income tax laws)
and changes in the reserve requirements imposed by the Board of Governors of the Federal Reserve System (or any successor), excluding the Reserve Percentage, which additional or increased costs would increase the cost of funding or maintaining loans
bearing interest at the LIBOR Rate. In any such event, the affected Lender shall give Administrative Borrower and Agent notice of such a determination and adjustment and Agent promptly shall transmit the notice to each other Lender and, upon its
receipt of the notice from the affected Lender, Administrative Borrower may, by notice to such affected Lender (y) require such Lender to furnish to Administrative Borrower a statement setting forth the basis for adjusting such LIBOR Rate and
the method for determining the amount of such adjustment, or (z) repay the LIBOR Rate Loans with respect to which such adjustment is made (together with any amounts due under Section 2.13(b)(ii)). 
 (ii) In the event that any change in market conditions or any law, regulation, treaty, or directive, or any change therein or in the interpretation of
application thereof, shall at any time after the date hereof, in the reasonable opinion of any Lender, make it unlawful or impractical for such Lender to fund or maintain LIBOR Rate Loans or to continue such funding or maintaining, or to determine
or charge interest rates at the LIBOR Rate, such Lender shall give notice of such changed circumstances to Agent and Administrative Borrower and Agent promptly shall transmit the notice to each other Lender and (y) in the case of any LIBOR Rate
Loans of such Lender that are outstanding, the date specified in such Lender’s notice shall be deemed to be the last day of the Interest Period of such LIBOR Rate Loans, and interest upon the LIBOR Rate Loans of such Lender thereafter shall
accrue interest at the rate then applicable to Base Rate Loans, and (z) Borrowers shall not be entitled to elect the LIBOR Option until such Lender determines that it would no longer be unlawful or impractical to do so. 
  

 18 








 (e) No Requirement of Matched Funding. Anything to the contrary contained herein
notwithstanding, neither Agent, nor any Lender, nor any of their Participants, is required actually to acquire eurodollar deposits to fund or otherwise match fund any Obligation as to which interest accrues at the LIBOR Rate. The provisions of this
Section shall apply as if each Lender or its Participants had match funded any Obligation as to which interest is accruing at the LIBOR Rate by acquiring eurodollar deposits for each Interest Period in the amount of the LIBOR Rate Loans. 

2.14 Capital Requirements. If, after the date hereof, any Lender determines that (i) the adoption of or change in any law, rule,
regulation or guideline regarding capital requirements for banks or bank holding companies, or any change in the interpretation or application thereof by any Governmental Authority charged with the administration thereof, or (ii) compliance by
such Lender or its parent bank holding company with any guideline, request or directive of any such entity regarding capital adequacy (whether or not having the force of law), has the effect of reducing the return on such Lender’s or such
holding company’s capital as a consequence of such Lender’s Commitments hereunder to a level below that which such Lender or such holding company could have achieved but for such adoption, change, or compliance (taking into consideration
such Lender’s or such holding company’s then existing policies with respect to capital adequacy and assuming the full utilization of such entity’s capital) by any amount deemed by such Lender to be material, then such Lender may
notify Administrative Borrower and Agent thereof. Following receipt of such notice, Borrowers agree to pay such Lender on demand the amount of such reduction of return of capital as and when such reduction is determined, payable within 90 days after
presentation by such Lender of a statement in the amount and setting forth in reasonable detail such Lender’s calculation thereof and the assumptions upon which such calculation was based (which statement shall be deemed true and correct absent
manifest error). In determining such amount, such Lender may use any reasonable averaging and attribution methods. 
 2.15 Joint and
Several Liability of Borrowers. 
 (a) Each Borrower is accepting joint and several liability hereunder and under the other Loan
Documents in consideration of the financial accommodations to be provided by the Lender Group under this Agreement, for the mutual benefit, directly and indirectly, of each Borrower and in consideration of the undertakings of the other Borrowers to
accept joint and several liability for the Obligations. 
 (b) Each Borrower, jointly and severally, hereby irrevocably and unconditionally
accepts, not merely as a surety but also as a co-debtor, joint and several liability with the other Borrowers, with respect to the payment and performance of all of the Obligations (including, without limitation, any Obligations arising under this
Section 2.15), it being the intention of the parties hereto that all the Obligations shall be the joint and several obligations of each Borrower without preferences or distinction among them. 
 (c) If and to the extent that any Borrower shall fail to make any payment with respect to any of the Obligations as and when due or to perform any of
the Obligations in accordance with the terms thereof, then in each such event the other Borrowers will make such payment with respect to, or perform, such Obligation. 
 (d) The Obligations of each Borrower under the provisions of this Section 2.15 constitute the absolute and unconditional, full recourse Obligations of each Borrower enforceable against each Borrower to the
full extent of its properties and assets. 
  

 19 








 (e) Except as otherwise expressly provided in this Agreement, each Borrower hereby waives notice of
acceptance of its joint and several liability, notice of any Advances or Letters of Credit issued under or pursuant to this Agreement, notice of the occurrence of any Default, Event of Default, or of any demand for any payment under this Agreement,
notice of any action at any time taken or omitted by Agent or Lenders under or in respect of any of the Obligations, any requirement of diligence or to mitigate damages and, generally, to the extent permitted by applicable law, all demands, notices
and other formalities of every kind in connection with this Agreement (except as otherwise provided in this Agreement). Each Borrower hereby assents to, and waives notice of, any extension or postponement of the time for the payment of any of the
Obligations, the acceptance of any payment of any of the Obligations, the acceptance of any partial payment thereon, any waiver, consent or other action or acquiescence by Agent or Lenders at any time or times in respect of any default by any
Borrower in the performance or satisfaction of any term, covenant, condition or provision of this Agreement, any and all other indulgences whatsoever by Agent or Lenders in respect of any of the Obligations, and the taking, addition, substitution or
release, in whole or in part, at any time or times, of any security for any of the Obligations or the addition, substitution or release, in whole or in part, of any Borrower. Without limiting the generality of the foregoing, each Borrower assents to
any other action or delay in acting or failure to act on the part of any Agent or Lender with respect to the failure by any Borrower to comply with any of its respective Obligations, including, without limitation, any failure strictly or diligently
to assert any right or to pursue any remedy or to comply fully with applicable laws or regulations thereunder, which might, but for the provisions of this Section 2.15 afford grounds for terminating, discharging or relieving any
Borrower, in whole or in part, from any of its Obligations under this Section 2.15, it being the intention of each Borrower that, so long as any of the Obligations hereunder remain unsatisfied, the Obligations of each Borrower under this
Section 2.15 shall not be discharged except by performance and then only to the extent of such performance. The Obligations of each Borrower under this Section 2.15 shall not be diminished or rendered unenforceable by any
winding up, reorganization, arrangement, liquidation, reconstruction or similar proceeding with respect to any Borrower or any Agent or Lender. 
 (f) Each Borrower represents and warrants to Agent and Lenders that such Borrower is currently informed of the financial condition of Borrowers and of all other circumstances which a diligent inquiry would reveal and which bear upon the
risk of nonpayment of the Obligations. Each Borrower further represents and warrants to Agent and Lenders that such Borrower has read and understands the terms and conditions of the Loan Documents. Each Borrower hereby covenants that such Borrower
will continue to keep informed of Borrowers’ financial condition, the financial condition of other guarantors, if any, and of all other circumstances which bear upon the risk of nonpayment or nonperformance of the Obligations. 
 (g) The provisions of this Section 2.15 are made for the benefit of Agent, Lenders and their respective successors and assigns, and may be
enforced by it or them from time to time against any or all Borrowers as often as occasion therefor may arise and without requirement on the part of any such Agent, Lender, successor or assign first to marshal any of its or their claims or to
exercise any of its or their rights against any Borrower or to exhaust any remedies available to it or them against any Borrower or to resort to any other source or means of obtaining payment of any of the Obligations hereunder or to elect any other
remedy. The provisions of this Section 2.15 shall remain in effect until all of the Obligations shall have been paid in full or otherwise fully satisfied. If at any time, any payment, or any part thereof, made in respect of any of the
Obligations, is rescinded or must otherwise be restored or returned by any Agent or Lender upon the insolvency, bankruptcy or reorganization of any Borrower, or otherwise, the provisions of this Section 2.15 will forthwith be reinstated
in effect, as though such payment had not been made. 
 (h) Each Borrower hereby agrees that it will not enforce any of its rights of
contribution or subrogation against any other Borrower with respect to any liability incurred by it hereunder or under any of the other Loan Documents, any payments made by it to Agent or Lenders with respect to any of the Obligations or any
collateral security therefor until such time as all of the Obligations have been paid in full in cash. Any claim which any Borrower may have against any other Borrower with respect to any payments to any Agent or Lender hereunder or under any other
Loan Documents are hereby expressly made 

  

 20 








 
subordinate and junior in right of payment, without limitation as to any increases in the Obligations arising hereunder or thereunder, to the prior payment
in full in cash of the Obligations and, in the event of any insolvency, bankruptcy, receivership, liquidation, reorganization or other similar proceeding under the laws of any jurisdiction relating to any Borrower, its debts or its assets, whether
voluntary or involuntary, all such Obligations shall be paid in full in cash before any payment or distribution of any character, whether in cash, securities or other property, shall be made to any other Borrower therefor. 
 (i) Each Borrower hereby agrees that, after the occurrence and during the continuance of any Default or Event of Default, the payment of any amounts due
with respect to the indebtedness owing by any Borrower to any other Borrower is hereby subordinated to the prior payment in full in cash of the Obligations. Each Borrower hereby agrees that after the occurrence and during the continuance of any
Default or Event of Default, such Borrower will not demand, sue for or otherwise attempt to collect any indebtedness of any other Borrower owing to such Borrower until the Obligations shall have been paid in full in cash. If, notwithstanding the
foregoing sentence, such Borrower shall collect, enforce or receive any amounts in respect of such indebtedness, such amounts shall be collected, enforced and received by such Borrower as trustee for Agent, and such Borrower shall deliver any such
amounts to Agent for application to the Obligations in accordance with Section 2.4(b). 
 3. CONDITIONS; TERM OF AGREEMENT.

 3.1 Conditions Precedent to the Initial Extension of Credit. The obligation of each Lender to make its extension of
credit provided for hereunder on the Closing Date, is subject to the fulfillment, to the satisfaction of Agent and each Lender of each of the conditions precedent set forth on Schedule 3.1 (the making of such initial extension of credit by a
Lender being conclusively deemed to be its satisfaction or waiver of the conditions precedent). 
 3.2 Conditions Precedent to all
Extensions of Credit. The obligation of the Lender Group (or any member thereof) to make any Advances hereunder at any time (or to extend any portion of the Term Loan or any other credit hereunder) shall be subject to the following
conditions precedent: 
 (a) the representations and warranties contained in this Agreement or in the other Loan Documents shall be true and
correct in all material respects on and as of the date of such extension of credit, as though made on and as of such date (except to the extent that such representations and warranties relate solely to an earlier date); 
 (b) no Default or Event of Default shall have occurred and be continuing on the date of such extension of credit, nor shall either result from the
making thereof; 
 (c) no injunction, writ, restraining order, or other order of any nature restricting or prohibiting, directly or
indirectly, the extending of such credit shall have been issued and remain in force by any Governmental Authority against any Borrower, Agent, any Lender, or any of their Affiliates; and 
 (d) no Material Adverse Change shall have occurred. 
 3.3 Term. This Agreement shall continue in full force and effect for a term ending on January 5, 2011 (the “Maturity Date”). The foregoing notwithstanding, the Lender Group, upon
the election of the Required Lenders, shall have the right to terminate its obligations under this Agreement immediately and without notice upon the occurrence and during the continuation of an Event of Default. 
 3.4 Effect of Termination. On the date of termination of this Agreement, all Obligations (including contingent reimbursement obligations of
Borrowers with respect to outstanding Letters of Credit and including all Bank Product Obligations) immediately shall become due and payable without 

  

 21 








 
notice or demand (including (a) either (i) providing cash collateral to be held by Agent for the benefit of those Lenders with a Revolver
Commitment in an amount equal to 105% of the Letter of Credit Usage, or (ii) causing the original Letters of Credit to be returned to the Issuing Lender, and (b) providing cash collateral (in an amount determined by Agent as sufficient to
satisfy the reasonably estimated credit exposure) to be held by Agent for the benefit of the Bank Product Providers with respect to the Bank Product Obligations). No termination of this Agreement, however, shall relieve or discharge Borrowers of
their duties, Obligations, or covenants hereunder or under any other Loan Document and the Agent’s Liens in the Collateral shall remain in effect until all Obligations have been paid in full and the Lender Group’s obligations to provide
additional credit hereunder have been terminated. When this Agreement has been terminated and all of the Obligations have been paid in full and the Lender Group’s obligations to provide additional credit under the Loan Documents have been
terminated irrevocably, Agent will, at Borrowers’ sole expense, execute and deliver any termination statements, lien releases, mortgage releases, re-assignments of trademarks, discharges of security interests, and other similar discharge or
release documents (and, if applicable, in recordable form) as are reasonably necessary to release, as of record, the Agent’s Liens and all notices of security interests and liens previously filed by Agent with respect to the Obligations.

 3.5 Early Termination by Borrowers. Borrowers have the option, at any time upon 60 days prior written notice by
Administrative Borrower to Agent, to terminate this Agreement by paying to Agent, in cash, the Obligations (including (a) either (i) providing cash collateral to be held by Agent for the benefit of those lenders with a Revolver Commitment
in an amount equal to 105% of the Letter of Credit Usage, or (ii) causing the original Letter of Credit to be returned to the Issuing Lender, and (b) providing cash collateral (in an amount determined by Agent as sufficient to satisfy the
reasonably estimated credit exposure) to be held by Agent for the benefit of the Bank Product Providers with respect to the Bank Products Obligations), in full. If Administrative Borrower has sent a notice of termination pursuant to the provisions
of this Section, then the Commitments shall terminate and Borrowers shall be obligated to repay the Obligations (including (a) either (i) providing cash collateral to be held by Agent for the benefit of those Lenders with a Revolver
Commitment in an amount equal to 105% of the Letter of Credit Usage, or (ii) causing the original Letters of Credit to be returned to the Issuing Lender, and (b) providing cash collateral (in an amount determined by Agent as sufficient to
satisfy the reasonably estimated credit exposure) to be held by Agent for the benefit of the Bank Product Providers with respect to the Bank Products Obligations), in full on the date set forth as the date of termination of this Agreement in such
notice. 
 4. REPRESENTATIONS AND WARRANTIES. 
 In order to induce the Lender Group to enter into this Agreement, each Borrower makes the following representations and warranties to the Lender Group which shall be true, correct, and complete, in all material
respects, as of the date hereof, and shall be true, correct, and complete, in all material respects, as of the Closing Date, and at and as of the date of the making of each Advance (or other extension of credit) made thereafter, as though made on
and as of the date of such Advance (or other extension of credit) (except to the extent that such representations and warranties relate solely to an earlier date) and such representations and warranties shall survive the execution and delivery of
this Agreement: 
 4.1 No Encumbrances. Each Borrower has good and indefeasible title to, or a valid leasehold interest in,
their personal property assets and good and marketable title to, or a valid leasehold interest in, their Real Property, in each case, free and clear of Liens except for Permitted Liens. 
 4.2 Intentionally Omitted. 
 4.3 Inventory. Each item of Inventory is of good and merchantable quality, free from known defects. 
  

 22 








 4.4 Equipment. Each material item of Equipment of Borrowers is used or held for use in
their business and is in good working order, ordinary wear and tear and damage by casualty excepted. 
 4.5 Location of Inventory and
Equipment. Except as permitted by Section 5.9, The Inventory and Equipment (other than vehicles or Equipment out for repair) of Borrowers are not stored with a bailee, warehouseman, or similar party and are located only at, or
in-transit between, the locations identified on Schedule 4.5 (as such Schedule may be updated pursuant to Section 5.9). 
 4.6 Inventory Records. Each Active Borrower keeps correct and accurate records itemizing and describing the type, quality, and quantity of its Inventory and the book value thereof. 
 4.7 State of Incorporation; Location of Chief Executive Office; Organizational Identification Number; Commercial Tort Claims. 

(a) The jurisdiction of organization of each Borrower is set forth on Schedule 4.7(a). 
 (b) The chief executive office of each Borrower is located at the address indicated on Schedule 4.7(b) (as such Schedule may be updated pursuant to
Section 5.9). 
 (c) Each Borrower’s tax identification numbers and organizational identification number, if any, are
identified on Schedule 4.7(c). 
 (d) As of the Closing Date, Borrowers do not hold any commercial tort claims, except as set forth
on Schedule 4.7(d). 
 4.8 Due Organization and Qualification; Subsidiaries. 
 (a) Each Borrower is duly organized and existing and in good standing under the laws of the jurisdiction of its organization and qualified to do business
in any state where the failure to be so qualified reasonably could be expected to result in a Material Adverse Change. 
 (b) Set forth on
Schedule 4.8(b), is a complete and accurate description of the authorized capital Stock of each Borrower, by class, and, as of the Closing Date, a description of the number of shares of each such class that are issued and outstanding. Other
than as described on Schedule 4.8(b), there are no subscriptions, options, warrants, or calls relating to any shares of each Borrower’s capital Stock, including any right of conversion or exchange under any outstanding security or other
instrument. No Borrower is subject to any obligation (contingent or otherwise) to repurchase or otherwise acquire or retire any shares of its capital Stock or any security convertible into or exchangeable for any of its capital Stock. 
 (c) Set forth on Schedule 4.8(c), is a complete and accurate list of each Borrower’s direct and indirect Subsidiaries, showing: (i) the
jurisdiction of their organization, (ii) the number of shares of each class of common and preferred Stock authorized for each of such Subsidiaries, and (iii) the number and the percentage of the outstanding shares of each such class owned
directly or indirectly by the applicable Borrower. All of the outstanding capital Stock of each such Subsidiary has been validly issued and is fully paid and non-assessable. 
 (d) Except as set forth on Schedule 4.8, there are no subscriptions, options, warrants, or calls relating to any shares of any
Borrower’s Subsidiaries’ Capital Stock, including any right of conversion or exchange under any outstanding security or other instrument. No Borrower or any of its respective Subsidiaries is subject to any obligation (contingent or
otherwise) to repurchase or otherwise acquire or retire any shares of any Borrower’s Subsidiaries’ capital Stock or any security convertible into or exchangeable for any such capital Stock. 
  

 23 








 4.9 Due Authorization; No Conflict. 
 (a) As to each Borrower, the execution, delivery, and performance by such Borrower of this Agreement and the other Loan Documents to which it is a party
have been duly authorized by all necessary action on the part of such Borrower. 
 (b) As to each Borrower, the execution, delivery, and
performance by such Borrower of this Agreement and the other Loan Documents to which it is a party do not and will not (i) violate any provision of federal, state, or local law or regulation applicable to any Borrower, the Governing Documents
of any Borrower, or any order, judgment, or decree of any court or other Governmental Authority binding on any Borrower, (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 any Borrower, (iii) result in or require the creation or imposition of any Lien of any nature whatsoever upon any properties or assets of Borrower, other than Permitted Liens, or (iv) require any approval
of any Borrower’s interestholders or any approval or consent of any Person under any material contractual obligation of any Borrower, other than consents or approvals that have been obtained and that are still in force and effect. 

(c) Other than the filing of financing statements, the execution, delivery, and performance by each Borrower of this Agreement and the other Loan
Documents to which such Borrower is a party do not and will not require any registration with, consent, or approval of, or notice to, or other action with or by, any Governmental Authority, other than consents or approvals that have been obtained
and that are still in force and effect. 
 (d) As to each Borrower, this Agreement and the other Loan Documents to which such Borrower is a
party, and all other documents contemplated hereby and thereby, when executed and delivered by such Borrower will be the legally valid and binding obligations of such Borrower, enforceable against such Borrower in accordance with their respective
terms, except as enforcement may be limited by equitable principles or by bankruptcy, insolvency, reorganization, moratorium, or similar laws relating to or limiting creditors’ rights generally. 
 (e) The Agent’s Liens are validly created, perfected, and first priority Liens, subject only to Permitted Liens. 
 4.10 Litigation. Other than those matters disclosed in the Parent’s annual report on Form 10-K for the year ended December 31,
2005 and Parent’s quarterly or current reports thereafter filed with the Securities and Exchange Commission on or before the Closing Date, and other than matters arising after the Closing Date that reasonably could not be expected to result in
a Material Adverse Change, there are no actions, suits, or proceedings pending or, to the best knowledge of each Borrower, threatened against any Borrower. 
 4.11 No Material Adverse Change. All financial statements relating to Active Borrowers that have been delivered by Active Borrowers to the Lender Group have been prepared in accordance with GAAP (except,
in the case of unaudited financial statements, for the lack of footnotes and being subject to year-end audit adjustments) and present fairly in all material respects, Active Borrowers’ financial condition as of the date thereof and results of
operations for the period then ended. There has not been a Material Adverse Change with respect to Active Borrowers since the date of the latest financial statements submitted to Agent on or before the Closing Date. 
  

 24 








 4.12 Fraudulent Transfer. 
 (a) Each Active Borrower is Solvent. 
 (b)
No transfer of property is being made by any Borrower and no obligation is being incurred by any Borrower or in connection with the transactions contemplated by this Agreement or the other Loan Documents with the intent to hinder, delay, or defraud
either present or future creditors of Borrowers. 
 4.13 Employee Benefits. None of Borrowers or any of their ERISA Affiliates
maintains or contributes to any Benefit Plan. 
 4.14 Environmental Condition. Except as set forth on Schedule 4.14,
(a) to Borrowers’ knowledge, none of Borrowers’ properties or assets has ever been used by Borrowers, or, to the best of Borrowers’ knowledge, by previous owners or operators in the disposal of, or to produce, store, handle,
treat, release, or transport, any Hazardous Materials, where such use, production, storage, handling, treatment, release or transport was in violation, in any material respect, of any applicable Environmental Law, (b) to Borrowers’
knowledge, none of Borrowers’ properties or assets has ever been designated or identified in any manner pursuant to any environmental protection statute as a Hazardous Materials disposal site, (c) none of Borrowers have received notice
that a Lien arising under any Environmental Law has attached to any revenues or to any Real Property owned or operated by Borrowers, and (d) none of Borrowers have received a summons, citation, notice, or directive from the United States
Environmental Protection Agency or any other federal or state governmental agency concerning any action or omission by any Borrower resulting in the releasing or disposing of Hazardous Materials into the environment. 
 4.15 Intellectual Property. Except as otherwise disclosed pursuant to Section 4.10, each Borrower owns, or holds licenses in,
all trademarks, trade names, copyrights that constitute the Required Library, patents, patent rights, and licenses that are necessary to the conduct of its business as currently conducted, and attached hereto as Schedule 4.15 (as updated from
time to time) is a true, correct, and complete listing of all material patents, patent applications, trademarks, trademark applications, copyrights relating to the Required Library, and copyright registrations as to which such Borrower is the owner
or is an exclusive licensee. 
 4.16 Leases. Borrowers enjoy peaceful and undisturbed possession under all leases material to
their business and to which they are parties or under which they are operating and all of such material leases are valid and subsisting and no material default by Borrowers exists under any of them. 
 4.17 Deposit Accounts and Securities Accounts. Set forth on Schedule 4.17 is a listing of all of Borrowers’ Deposit Accounts
and Securities Accounts, including, with respect to each bank or securities intermediary (a) the name and address of such Person, and (b) the account numbers of the Deposit Accounts or Securities Accounts maintained with such Person.

 4.18 Complete Disclosure. All factual information (taken as a whole) furnished by or on behalf of Borrowers in writing to
Agent or any Lender (including all information contained in the Schedules hereto or in the other Loan Documents) for purposes of or in connection with this Agreement, the other Loan Documents, or any transaction contemplated herein or therein is,
and all other such factual information (taken as a whole) hereafter furnished by or on behalf of Borrowers in writing to Agent or any Lender will be, true and accurate in all material respects on the date as of which such information is dated or
certified and not incomplete by omitting to state any fact necessary to make such information (taken as a whole) not misleading in any material respect at such time in light of the circumstances under which such information was provided. On the
Closing Date, the Closing Date Projections represent, and as of the date on which any other Projections are delivered to Agent, such additional Projections represent Borrowers’ good faith estimate of their future performance for the periods
covered thereby. 
  

 25 








 4.19 Indebtedness. Set forth on Schedule 4.19 is a true and complete list of all
Indebtedness of each Borrower outstanding immediately prior to the Closing Date that is to remain outstanding after the Closing Date and such Schedule accurately reflects the aggregate principal amount of such Indebtedness and describes the
principal terms thereof. 
 4.20 Inactive Borrowers. Each of the Inactive Borrower is inactive and does not conduct any
business operations, except as may be related to the dissolution of such Inactive Borrower or the consolidation or merger of such Inactive Borrower with one or more Active Borrowers as permitted under the terms of this Agreement. 
 4.21 Material Contracts. Neither the consummation of the QCSI Merger, nor the consummation of the transactions contemplated under the
Merger Documents, nor the grant by the Borrowers of security interests in the Collateral as contemplated hereunder and under the other Loan Documents will 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 or material lease of any Borrower. 
 4.22 Merger Documents. Borrowers have
delivered to Agent true and correct copies of the Merger Agreement and the other material documents related to the QCSI Merger (including all schedules, exhibits, amendments, supplements, modifications and assignments) (collectively, together with
the Merger Agreement, the “Merger Documents”). The Merger Documents are in full force and effect as of the Closing Date and have not been terminated, rescinded, or withdrawn. No Borrower that is party thereto is in default in the
performance of, or compliance with, any provisions of the Merger Documents. The Merger Documents comply in all material respects with, and contemporaneously with the funding of the first Term Loan Draw on the Closing Date, the QCSI Merger will be
consummated in accordance with, all applicable laws. The transactions contemplated by the Merger Documents will be, contemporaneously with the funding of the first Term Loan Draw on the Closing Date, consummated in accordance with their respective
terms and nothing has come to Borrowers’ attention that would indicate that any of the representations and warranties contained in the Merger Documents are not true and correct. To the best knowledge of the Borrowers, none of the
representations or warranties of any other Person in any Merger Document contain any untrue statement of a material fact or omit any fact necessary to make such statements therein not misleading. 
 5. AFFIRMATIVE COVENANTS. 
 Each
Borrower covenants and agrees that, until termination of all of the Commitments and payment in full of the Obligations, Borrowers shall do all of the following: 
 5.1 Accounting System. Maintain a system of accounting that enables Borrowers to produce financial statements in accordance with GAAP and maintain records pertaining to the Collateral that contain
information as from time to time reasonably may be requested by Agent. Borrowers also shall keep a reporting system that shows all additions, sales, claims, returns, and allowances with respect to their sales. 
 5.2 Collateral Reporting. Provide Agent (and if so requested by Agent, with copies for each Lender) with each of the reports set forth on
Schedule 5.2 at the times specified therein. In addition, each Borrower agrees to cooperate fully with Agent to facilitate and implement a system of electronic collateral reporting in order to provide electronic reporting of each of the
items set forth above. 
 5.3 Financial Statements, Reports, Certificates. Deliver to Agent, with copies to each Lender, each
of the financial statements, reports, or other items set forth on Schedule 5.3 at the time specified herein. In addition, Parent agrees that no Subsidiary of Parent will have a fiscal year different from that of Parent. 
  

 26 








 5.4 Intentionally Omitted. 
 5.5 Inspection. Permit Agent, each Lender, and each of their duly authorized representatives or agents to visit any of its properties and
inspect any of its assets or books and records, to examine and make copies of its books and records, and to discuss its affairs, finances, and accounts with, and to be advised as to the same by, its officers and employees at such reasonable times
and intervals as Agent or any such Lender may designate and, so long as no Default or Event of Default exists, with reasonable prior notice to Administrative Borrower. 
 5.6 Maintenance of Properties. Maintain and preserve all of their properties which are necessary or useful in the proper conduct to their business in good working order and condition, ordinary wear,
tear, and casualty excepted (and except where the failure to do so could not be expected to result in a Material Adverse Change), and comply at all times with the provisions of all material leases to which it is a party as lessee, so as to prevent
any loss or forfeiture thereof or thereunder. 
 5.7 Taxes. Cause all assessments and taxes, whether real, personal, or
otherwise, due or payable by, or imposed, levied, or assessed against Borrowers, or any of their respective assets to be paid in full, before delinquency or before the expiration of any extension period, except to the extent that the validity of
such assessment or tax shall be the subject of a Permitted Protest. Borrowers will make timely payment or deposit of all tax payments and withholding taxes required of them by applicable laws, including those laws concerning F.I.C.A., F.U.T.A.,
state disability, and local, state, and federal income taxes, and will, upon request, furnish Agent with proof satisfactory to Agent indicating that the applicable Borrower has made such payments or deposits. 
 5.8 Insurance. 
 (a) At
Borrowers’ expense, maintain insurance respecting their assets wherever located, covering loss or damage by fire, theft, explosion, and all other hazards and risks as ordinarily are insured against by other Persons engaged in the same or
similar businesses, other than earthquake insurance. Borrowers also shall maintain business interruption, public liability, and product liability insurance, as well as insurance against larceny, embezzlement, and criminal misappropriation. All such
policies of insurance shall be in such amounts and with such insurance companies as are reasonably satisfactory to Agent. Borrowers shall deliver copies of all such policies to Agent with an endorsement naming Agent as the sole loss payee (under a
satisfactory lender’s loss payable endorsement) or additional insured, as appropriate. Each policy of insurance or endorsement shall contain a clause requiring the insurer to give not less than 30 days prior written notice to Agent in the event
of cancellation of the policy for any reason whatsoever. 
 (b) Administrative Borrower shall give Agent prompt notice of any loss exceeding
$50,000 covered by such insurance. So long as no Event of Default has occurred and is continuing, Borrowers shall have the exclusive right to settle any losses payable under any such insurance policies which are less than $200,000. Following the
occurrence and during the continuation of an Event of Default, or in the case of any losses payable under such insurance exceeding $200,000, Agent shall have the exclusive right to settle any losses payable under any such insurance policies, without
any liability to Borrowers whatsoever in respect of such settlements. Any monies received as payment for any loss under any insurance policy mentioned above (other than liability insurance policies) or as payment of any award or compensation for
condemnation or taking by eminent domain, shall be paid over to Agent to be applied at the option of the Required Lenders either to the prepayment of the Obligations or to be disbursed to Administrative Borrower under staged payment terms reasonably
satisfactory to the Required Lenders for application to the cost of repairs, replacements, or restorations; provided, however, that, with respect to any such monies in an aggregate 

  

 27 








 
amount during any 12 consecutive month period not in excess of $200,000, so long as (A) no Default or Event of Default shall have occurred and is
continuing, (B) Borrowers’ Excess Availability is greater than $5,000,000, (C) Administrative Borrower shall have given Lender prior written notice of the Borrowers intention to apply such monies to the costs of repairs, replacement,
or restoration of the property which is the subject of the loss, destruction, or taking by condemnation, (D) the monies are held in a cash collateral account in which Lender has a perfected first-priority security interest, and
(E) Borrowers complete such repairs, replacements, or restoration within 180 days after the initial receipt of such monies, Borrowers shall have the option to apply such monies to the costs of repairs, replacement, or restoration of the
property which is the subject of the loss, destruction, or taking by condemnation unless and to the extent that such applicable period shall have expired without such repairs, replacements, or restoration being made, in which case, any amounts
remaining in the cash collateral account shall be paid to Lender and applied as set forth above. 
 5.9 Location of Inventory and
Equipment. Keep Borrowers’ Inventory and Equipment (other than vehicles and Equipment out for repair) only at the locations identified on Schedule 4.5 and their chief executive offices only at the locations identified on
Schedule 4.7(b); provided, however, that Administrative Borrower may amend Schedule 4.5 or Schedule 4.7 so long as such amendment occurs by written notice to Agent not less than 30 days prior to the date on which
such Inventory or Equipment is moved to such new location or such chief executive office is relocated, so long as such new location is within the continental United States, and so long as, at the time of such written notification, the applicable
Borrower provides Agent a Collateral Access Agreement with respect thereto; provided, further, that Borrowers may maintain, at any time, Inventory and Equipment with an aggregate market value not to exceed $150,000 in locations other
than those identified in Schedule 4.5 so long as such locations are within the United States. 
 5.10 Compliance with
Laws. Comply with the requirements of all applicable laws, rules, regulations, and orders of any Governmental Authority, other than laws, rules, regulations, and orders the non-compliance with which, individually or in the aggregate, could
not reasonably be expected to result in a Material Adverse Change. 
 5.11 Leases. Pay when due all rents and other amounts
payable under any material leases to which any Borrower is a party or by which any Borrower’s properties and assets are bound, unless such payments are the subject of a Permitted Protest. 
 5.12 Existence. At all times preserve and keep in full force and effect each Borrower’s valid existence and good standing and any
rights and franchises material to their businesses, unless such Borrower has merged into an Active Borrower pursuant to a Permitted Merger. 
 5.13 Environmental. 
 (a) Keep any property owned by any Borrower free of any Environmental Liens or post bonds or
other financial assurances sufficient to satisfy the obligations or liability evidenced by such Environmental Liens, (b) use all commercially reasonably efforts to keep any property leased by any Borrower free of any Environmental Liens or post
bonds or other financial assurances sufficient to satisfy the obligations or liability evidenced by such Environmental Liens, (c) comply, in all material respects, with Environmental Laws and provide to Agent documentation of such compliance
which Agent reasonably requests, (d) promptly notify Agent of any release of a Hazardous Material in any reportable quantity, in violation of applicable Environmental Law, from or onto property owned or operated by any Borrower and take any
Remedial Actions required to abate said release or otherwise to come into compliance with applicable Environmental Law, and (d) promptly, but in any event within 5 days of its receipt thereof, provide Agent with written notice of any of the
following: (i) notice that an Environmental Lien has been filed against any of the real or personal property of any Borrower, (ii) commencement of any Environmental Action or notice that an Environmental Action will be filed against any
Borrower, and (iii) notice of a violation, citation, or other administrative order which reasonably could be expected to result in a Material Adverse Change. 
  

 28 








 5.14 Disclosure Updates. Promptly and in no event later than 5 Business Days after
obtaining knowledge thereof, notify Agent if any written information, exhibit, or report furnished to the Lender Group contained, at the time it was furnished, any untrue statement of a material fact or omitted to state any material fact necessary
to make the statements contained therein not misleading in light of the circumstances in which made. The foregoing to the contrary notwithstanding, any notification pursuant to the foregoing provision will not cure or remedy the effect of the prior
untrue statement of a material fact or omission of any material fact nor shall any such notification have the affect of amending or modifying this Agreement or any of the Schedules hereto. 
 5.15 Control Agreements. Take all reasonable steps in order for Agent to obtain control in accordance with Sections 8-106, 9-104, 9-105,
9-106, and 9-107 of the Code with respect to (subject to the proviso contained in Section 6.12) all of its Securities Accounts, Deposit Accounts, electronic chattel paper, investment property, and letter of credit rights. 
 5.16 Formation of Subsidiaries. At the time that any Borrower forms any direct or indirect Subsidiary or acquires any direct or indirect
Subsidiary after the Closing Date, such Borrower shall (a) cause such new Subsidiary to provide to Agent a joinder to this Agreement and the Security Agreement, together with such other security documents (including Mortgages with respect to
any Real Property of such new Subsidiary), as well as appropriate financing statements (and with respect to all property subject to a Mortgage, fixture filings), all in form and substance satisfactory to Agent (including being sufficient to grant
Agent a first priority Lien (subject to Permitted Liens) in and to the assets of such newly formed or acquired Subsidiary), (b) provide to Agent a pledge agreement and appropriate certificates and powers or financing statements, hypothecating
all of the direct or beneficial ownership interest in such new Subsidiary, in form and substance satisfactory to Agent, and (c) provide to Agent all other documentation, including one or more opinions of counsel satisfactory to Agent, which in
its opinion is appropriate with respect to the execution and delivery of the applicable documentation referred to above (including policies of title insurance or other documentation with respect to all property subject to a Mortgage). Any document,
agreement, or instrument executed or issued pursuant to this Section 5.16 shall be a Loan Document. Notwithstanding the foregoing: (i) EBITDA of any entity that becomes a Borrower pursuant to this Section 5.16 shall not
be included in the calculation of TTM EBITDA for purposes of Section 2.4(c)(i) until the Required Lenders have approved such inclusion in their Permitted Discretion and (ii) the formation or acquisition of foreign subsidiaries shall
not be permitted if joining any such foreign subsidiary as a Borrower results in: (1) any Lender being required to qualify to do business, register with any foreign governmental authority or otherwise seek permission or approval from any
foreign governmental authority; (2) the violation of any foreign law or regulation by any Lender; or (3) any increased costs to such Lender and such costs are not Lender Group Expenses. 
 5.17 Intentionally Omitted. 
 5.18 Post-Closing Covenants. The obligation of the Lender Group (or any member thereof) to make any Advances hereunder at any time after the periods set forth in Schedule 5.18 (or to extend any other credit hereunder)
shall be subject to the fulfillment, to the satisfaction of Agent and each Lender (or waiver thereby) in their Permitted Discretion, of each of the post-closing covenants set forth on Schedule 5.18 within the prescribed time periods set forth
on such Schedule. The failure by Borrowers to satisfy the post-closing covenants set forth on Schedule 5.18 within the prescribed time periods shall constitute an Event of Default. 
 5.19 Copyrights. Maintain, at all times, the Required Library in accordance with the Security Agreement. 
 5.20 Assignability of Contracts. Use commercially reasonable efforts to exclude from all service contracts and all material intellectual
property licenses entered into after the Closing Date, and from all other agreements or documents entered into after the Closing Date, any language that would prevent a Borrower from granting a Lien in such agreements or documents to Agent.

  

 29 








 5.21 Billing Procedures. Cause billing and collections with regards to service contracts
and all material intellectual property licenses to be substantially on the same basis and in accordance with the usual and customary practices of the Active Borrowers as they exist on the Closing Date. 
 6. NEGATIVE COVENANTS. 
 Each Borrower
covenants and agrees that, until termination of all of the Commitments and payment in full of the Obligations, Borrowers will not do any of the following: 
 6.1 Indebtedness. Create, incur, assume, suffer to exist, guarantee, or otherwise become or remain, directly or indirectly, liable with respect to any Indebtedness, except: 
 (a) Indebtedness evidenced by this Agreement and the other Loan Documents, together with Indebtedness owed to Underlying Issuers with respect to
Underlying Letters of Credit, 
 (b) Indebtedness set forth on Schedule 4.19, 
 (c) Permitted Purchase Money Indebtedness, 
 (d) Permitted Capitalized Lease Obligations, 
 (e) refinancings, renewals, or extensions of Indebtedness permitted under clauses
(b), (c), (d) and (h) of this Section 6.1 (and continuance or renewal of any Permitted Liens associated therewith) so long as: (i) the terms and conditions of such refinancings, renewals, or extensions do not, in
Agent’s reasonable judgment, materially impair the prospects of repayment of the Obligations by Borrowers or materially impair Borrowers’ creditworthiness, (ii) such refinancings, renewals, or extensions do not result in an increase
in the principal amount of, or interest rate with respect to, the Indebtedness so refinanced, renewed, or extended or add one or more Borrowers as liable with respect thereto if such additional Borrowers were not liable with respect to the original
Indebtedness, (iii) such refinancings, renewals, or extensions do not result in a shortening of the average weighted maturity of the Indebtedness so refinanced, renewed, or extended, nor are they on terms or conditions, that, taken as a whole,
are materially more burdensome or restrictive to the applicable Borrower, (iv) if the Indebtedness that is refinanced, renewed, or extended was subordinated in right of payment to the Obligations, then the terms and conditions of the
refinancing, renewal, or extension Indebtedness must include subordination terms and conditions that are at least as favorable to the Lender Group as those that were applicable to the refinanced, renewed, or extended Indebtedness, and (v) the
Indebtedness that is refinanced, renewed, or extended is not recourse to any Person that is liable on account of the Obligations other than those Persons which were obligated with respect to the Indebtedness that was refinanced, renewed, or
extended, 
 (f) endorsement of instruments or other payment items for deposit, 
 (g) Indebtedness composing Permitted Investments 
 (h) Indebtedness in connection with the issuance by Parent of unsecured convertible notes (the “Convertible Notes”) more specifically described in the Prospectus attached hereto as Exhibit D and made a part
hereof by this reference. 
 (i) Indebtedness under junior subordinated obligations issued by an Active Borrower; but only so long as:
(i) a Default or an Event of Default does not exist either before or immediately 

  

 30 








 
after incurring such obligations, (ii) no more than $5,000,000 of such Indebtedness may exist at any one time, and (iii) the terms of such
obligations provide that: (w) the obligations of the applicable Active Borrower under such obligations are junior and subordinate to the obligations of such Active Borrower to the Lender Group pursuant to subordination terms acceptable to Agent
in its Permitted Discretion, (x) there shall be no required payment of principal prior to maturity, (y) there may be cash payments of interest only if no Default or Event of Default has occurred and is continuing, and (z) the maturity
date shall be no earlier than the date that is 90 days after the Maturity Date; 
 (j) Intentionally Omitted; 
 (k) Indebtedness incurred in connection with the financing of insurance premiums on customary terms and in the ordinary course of business; and

 (l) to the extent not included in (a) through (l) above, Indebtedness incurred in the ordinary course of business and not
exceeding $250,000 in the aggregate outstanding at any one time. 
 6.2 Liens. Create, incur, assume, or suffer to exist,
directly or indirectly, any Lien on or with respect to any of its assets, of any kind, whether now owned or hereafter acquired, or any income or profits therefrom, except for Permitted Liens (including Liens that are replacements of Permitted Liens
to the extent that the original Indebtedness is refinanced, renewed, or extended under Section 6.1(d) and so long as the replacement Liens only encumber those assets that secured the refinanced, renewed, or extended Indebtedness).

 6.3 Restrictions on Fundamental Changes. 
 (a) Other than the QCSI Merger and Permitted Mergers, enter into any merger, consolidation, reorganization, or recapitalization, or reclassify its Stock, 
 (b) Liquidate, wind up, or dissolve itself (or suffer any liquidation or dissolution), 
 (c) Except with respect to transactions contemplated in connection with the QCSI Merger and a Permitted Merger, convey, sell, lease, license, assign,
transfer, or otherwise dispose of, in one transaction or a series of transactions, all or any substantial part of its assets, or 
 (d)
Except in connection with a Permitted Merger, suspend or go out of a substantial portion of its or their business. 
 6.4 Disposal of
Assets. Other than Permitted Dispositions, convey, sell, lease, license, assign, transfer, or otherwise dispose of any of the assets of any Borrower. 
 6.5 Change Name. Change any Borrower’s name, organizational identification number, state of organization, or organizational identity; provided, however, that a Borrower may change its
name upon at least 30 days prior written notice by Administrative Borrower to Agent of such change and so long as, at the time of such written notification, such Borrower provides any financing statements necessary to perfect and continue perfected
the Agent’s Liens. 
 6.6 Nature of Business. Make any change in the principal nature of their business. 
  

 31 








 6.7 Prepayments and Amendments. Except in connection with a refinancing permitted by
Section 6.1(e), 
 (a) optionally prepay, redeem, defease, purchase, or otherwise acquire (other than by operation of law as the
result of a Permitted Merger or the QCSI Merger) any Indebtedness of any Borrower, other than prepayments, redemptions, or other acquisitions with respect to: (i) the Obligations in accordance with this Agreement, (ii) Indebtedness in the
ordinary course of Borrowers’ business but only so long as: (y) no Default or Event of Default exists before and immediately after giving effect to such prepayment and (z) such prepayments do not exceed $200,000 in the aggregate for
all Borrowers in any one fiscal year of Parent, and (iii) Indebtedness under the Convertible Notes so long as: (1) no Default or Event of Default exists before and immediately after giving effect to such prepayment and (2) such
prepayments are permitted by the terms of the Convertible Notes and the indenture under which the Convertible Notes are issued (the “Indenture”), 
 (b) make any payment on account of Indebtedness that has been contractually subordinated in right of payment if such payment is not permitted at such time under the subordination terms and conditions, or 

(c) directly or indirectly, amend, modify, alter, increase, or change any of the terms or conditions of any agreement, instrument, document,
indenture, or other writing evidencing or concerning Indebtedness permitted under Sections 6.1(b), (c), (g), (h), (i), (j), (k), and (l), if such amendment, modification, alteration, increase
or change would cause such Indebtedness to not be permitted under such Sections. 
 6.8 Change of Control. Cause, permit, or
suffer, directly or indirectly, any Change of Control. 
 6.9 Consignments. Consign any of their Inventory or sell any of their
Inventory on bill and hold, sale or return, sale on approval, or other conditional terms of sale. 
 6.10 Distributions. Make
any distribution or declare or pay any dividends (in cash or other property, other than common Stock) on, or purchase, acquire, redeem, or retire any of any Borrower’s Stock, of any class, whether now or hereafter outstanding; except that:
(i) a Borrower may make distributions or declare and pay dividends to another Borrower, (ii) Parent may conduct the Share Repurchases. 
 6.11 Accounting Methods. Modify or change their fiscal year or their method of accounting (other than as may be required to conform to GAAP) or enter into, modify, or terminate any agreement currently existing, or at any time
hereafter entered into with any third party accounting firm or service bureau for the preparation or storage of Borrowers’ accounting records without said accounting firm or service bureau agreeing to provide Agent information regarding
Borrowers’ financial condition. 
 6.12 Investments. Except for the QCSI Merger and Permitted Investments, directly or
indirectly, make or acquire any Investment, or incur any liabilities (including contingent obligations) for or in connection with any Investment; provided, however, that Administrative Borrower shall not have Permitted Investments
(other than in the Cash Management Accounts) in Deposit Accounts or Securities Accounts in an aggregate amount in excess of $50,000 at any one time unless Administrative Borrower, as applicable, and the applicable securities intermediary or bank
have entered into Control Agreements governing such Permitted Investments in order to perfect (and further establish) the Agent’s Liens in such Permitted Investments. Subject to the foregoing proviso, Borrowers shall not establish or maintain
any Deposit Account or Securities Account unless Agent shall have received a Control Agreement in respect of such Deposit Account or Securities Account. 
  

 32 








 6.13 Transactions with Affiliates. Directly or indirectly enter into or permit to exist any
transaction with any Affiliate of any Borrower except for (I) transactions that (a) are in the ordinary course of Borrowers’ business, (b) are upon fair and reasonable terms, (c) if they involve one or more payments or the
transfer of assets by any Borrower in excess of $100,000, are fully disclosed to Agent, and (d) are no less favorable to Borrowers than would be obtained in an arm’s length transaction with a non-Affiliate and (II) except for Share
Repurchases. Notwithstanding the foregoing, an Active Borrower may not make payments, sell or make any other transfers of assets to an Inactive Borrower. 
 6.14 Use of Proceeds. 
 (a) Use the proceeds of the Advances for any purpose other than
(i) on the Closing Date, to pay transactional fees, costs, and expenses incurred in connection with this Agreement, the other Loan Documents, and the transactions contemplated hereby and thereby, (ii) to pay the consideration, and
transactional fees, costs and expenses incurred in connection with the QCSI Merger, and (iii) thereafter, consistent with the terms and conditions hereof, for its lawful and permitted purposes. 
 (b) With respect to Active Borrowers, transfer, directly or indirectly any proceeds of the Advances to any Inactive Borrower. 
 (c) With respect to Inactive Borrowers, request or receive, directly or indirectly any proceeds of the Advances from the Lenders of an Active Borrower,
or otherwise. 
 6.15 Inventory and Equipment with Bailees. Store the Inventory or Equipment of Borrowers at any time now or
hereafter with a bailee, warehouseman, or similar party. 
 6.16 Financial Covenants. 
 (a) Fail to maintain or achieve: 
 (i)
Minimum TTM EBITDA. TTM EBITDA, measured on the last day of each fiscal quarter, of at least the required amount set forth in the following table for the applicable measurement date set forth opposite thereto: 
  

			
	 Applicable Amount
	  	 Measurement Date

	 $42,500,000
	  	June 30, 2006
	 $47,500,000
	  	September 30, 2006
	 $57,200,000
	  	December 31, 2006
	 $57,200,000
	  	March 31, 2007
	 $57,200,000
	  	June 30, 2007
	 $57,200,000
	  	September 30, 2007
	 $70,100,000
	  	December 31, 2007
	 $70,100,000
	  	March 31, 2008
	 $70,100,000
	  	June 30, 2008
	 $70,100,000
	  	September 30, 2008
	 $83,000,000
	  	 December 31, 2008 and the last day of
 each calendar quarter thereafter


 (ii) Minimum Liquidity. Maintain at all times Liquidity of no less than $15,000,000.

  

 33 








 (iii) Minimum TTM Recurring Revenues. TTM Recurring Revenues, measured on the last day of each
fiscal quarter, of at least the required amount set forth in the following table for the applicable measurement date set forth opposite thereto: 
  

			
	 Applicable Amount
	  	 Measurement Date

	 $137,000,000
	  	June 30, 2006
	 $152,000,000
	  	September 30, 2006
	 $162,000,000
	  	December 31, 2006
	 $169,000,000
	  	March 31, 2007
	 $177,000,000
	  	June 30, 2007
	 $183,000,000
	  	September 30, 2007
	 $186,000,000
	  	December 31, 2007

 (b) Make: 
 (i) Capital Expenditures. Capital Expenditures in any fiscal year in excess of the amount set forth in the following table for the applicable period: 
  

					
	 Fiscal Year 2006
	  	 Fiscal Year 2007
	  	 Fiscal Year 2008

	 $28,000,000
	  	$35,000,000	  	$38,000,000

 The covenants contained in Sections 6.16(a)(iii) and (b) shall be established
by Agent for each fiscal quarter ending after December 31, 2007 (or each fiscal year after fiscal year 2008 with respect to Section 6.16 (b)) based upon Borrowers’ Projections for the applicable fiscal year, which projections
must be delivered to Agent in accordance with Schedule 5.3. The Projections must credibly reflect expected performance by Borrowers in each period of each such fiscal year that is equal to or better than the actual performance for the same
periods in the fiscal year ending 2007, as reflected in the financial statements delivered to Agent for such fiscal year, and all such projections shall otherwise be satisfactory to Agent in its reasonable credit judgment. Agent shall set the future
periods’ financial covenants based on 85% (120% with respect to Section 6.16 (b)) of the applicable statistics and ratios as provided for in the Projections approved by Agent. 
 7. EVENTS OF DEFAULT. 
 Any one or
more of the following events shall constitute an event of default (each, an “Event of Default”) under this Agreement: 
 7.1 If Borrowers fail to pay when due and payable, or when declared due and payable, (a) all or any portion of the Obligations consisting of interest, fees, or charges due the Lender Group, reimbursement of Lender Group
Expenses, or other amounts (other than any portion thereof constituting principal) constituting Obligations (including any portion thereof that accrues after the commencement of an Insolvency Proceeding, regardless of whether allowed or allowable in
whole or in part as a claim in any such Insolvency Proceeding), and such failure continues for a period of 3 Business Days, or (b) all or any portion of the principal of the Obligations); 
 7.2 If Borrowers: 
 (a) fail to
perform or observe any covenant or other agreement contained in any of Sections 2.7, 5.2, 5.3, 5.5, 5.8, 5.12, 5.14, 5.16, 5.18, and 6.1 through 6.16 of this Agreement;

 (b) fail to perform or observe any covenant or other agreement contained in any of Sections 5.6, 5.7, 5.9,
5.10, 5.11, and 5.15 of this Agreement and such failure continues for a period of 10 days after the earlier of (i) the date on which such failure shall first become known to any officer of any Borrower or (ii) written notice
thereof is given to Administrative Borrower by Lender; or 
  

 34 








 (c) fail to perform or observe any covenant or other agreement contained in this Agreement, or in any of
the other Loan Documents; in each case, other than any such covenant or agreement that is the subject of another provision of this Section 7 (in which event such other provision of this Section 7 shall govern), and such
failure continues for a period of 20 days after the earlier of (i) the date on which such failure shall first become known to any officer of any Borrower or (ii) written notice thereof is given to Administrative Borrower by Lender;

 7.3 If any material portion of any Borrower’s assets is attached, seized, subjected to a writ or distress warrant, or is
levied upon, or comes into the possession of any third Person and the same is not discharged before the earlier of 30 days after the date it first arises or 5 days prior to the date on which such property or asset is subject to forfeiture by such
Borrower; 
 7.4 If an Insolvency Proceeding is commenced by any Borrower; 
 7.5 If an Insolvency Proceeding is commenced against any Borrower, and any of the following events occur: (a) the applicable Borrower
consents to the institution of such Insolvency Proceeding against it, (b) the petition commencing the Insolvency Proceeding is not timely controverted, (c) the petition commencing the Insolvency Proceeding is not dismissed within 60
calendar days of the date of the filing thereof; (d) an interim trustee is appointed to take possession of all or any substantial portion of the properties or assets of, or to operate all or any substantial portion of the business of, any
Borrower, or (e) an order for relief shall have been issued or entered therein; 
 7.6 If any Borrower is enjoined, restrained,
or in any way prevented by court order from continuing to conduct all or any material part of its business affairs; 
 7.7 If one or
more judgments or other claims involving an aggregate amount of $200,000, or more (except to the extent fully covered by insurance pursuant to which the insurer has accepted liability therefor in writing) shall be entered or filed against any
Borrower or with respect to any of their respective assets, and the same is not released, discharged, bonded against, or stayed pending appeal before the earlier of 30 days after the date it first arises or 5 days prior to the date on which such
asset is subject to being forfeited by the applicable Borrower; 
 7.8 If there is a default in one or more agreements to which any
Borrower is a party with one or more third Persons relative to Indebtedness of any Borrower involving an aggregate amount of $100,000 or more, and such default (i) occurs at the final maturity of the obligations thereunder, or (ii) results
in a right by such third Person(s), irrespective of whether exercised, to accelerate the maturity of the applicable Borrower’s obligations thereunder; 
 7.9 If any material misstatement or misrepresentation in any warranty, representation, statement, or Record made to the Lender Group by any Borrower, or any officer, employee, agent, or director of any Borrower
exists when made or furnished or deemed made to the Lender Group and such material misstatement or misrepresentation has an adverse impact on the Collateral or the interests of the Lender Group; 
 7.10 Intentionally Omitted. 
 7.11
If the Security Agreement or any other Loan Document that purports to create a Lien, shall, for any reason, fail or cease to create a valid and perfected and, except to the extent permitted by the terms hereof or thereof, first priority Lien on
or security interest in the Collateral covered hereby or thereby, except as a result of a disposition of the applicable Collateral in a transaction permitted under this Agreement; or 
  

 35 








 7.12 Any provision of any Loan Document shall at any time for any reason be declared to be null
and void, or the validity or enforceability thereof shall be contested by any Borrower or a proceeding shall be commenced by any Borrower, or by any Governmental Authority having jurisdiction over any Borrower, seeking to establish the invalidity or
unenforceability thereof, or any Borrower shall deny that it has any liability or obligation purported to be created under any Loan Document. 
 8. THE LENDER GROUP’S RIGHTS AND REMEDIES. 
 8.1 Rights and Remedies. Upon the occurrence, and during the
continuation, of an Event of Default, the Required Lenders (at their election but without notice of their election and without demand) may authorize and instruct Agent to do any one or more of the following on behalf of the Lender Group (and Agent,
acting upon the instructions of the Required Lenders, shall do the same on behalf of the Lender Group), all of which are authorized by Borrowers: 
 (a) Declare all or any portion of the Obligations, whether evidenced by this Agreement, by any of the other Loan Documents, or otherwise, immediately due and payable; 
 (b) Cease advancing money or extending credit to or for the benefit of Borrowers under this Agreement, under any of the Loan Documents, or under any
other agreement between Borrowers and the Lender Group; 
 (c) Terminate this Agreement and any of the other Loan Documents as to any future
liability or obligation of the Lender Group, but without affecting any of the Agent’s Liens in the Collateral and without affecting the Obligations; and 
 (d) The Lender Group shall have all other rights and remedies available at law or in equity or pursuant to any other Loan Document. 
 The foregoing to the contrary notwithstanding, upon the occurrence of any Event of Default described in Section 7.4 or Section 7.5, in addition to the remedies set forth above, without any notice to Borrowers or any
other Person or any act by the Lender Group, the Commitments shall automatically terminate and the Obligations then outstanding, together with all accrued and unpaid interest thereon and all fees and all other amounts due under this Agreement and
the other Loan Documents, shall automatically and immediately become due and payable, without presentment, demand, protest, or notice of any kind, all of which are expressly waived by Borrowers. 
 8.2 Remedies Cumulative. The rights and remedies of the Lender Group under this Agreement, the other Loan Documents, and all other
agreements shall be cumulative. The Lender Group shall have all other rights and remedies not inconsistent herewith as provided under the Code, by law, or in equity. No exercise by the Lender Group of one right or remedy shall be deemed an election,
and no waiver by the Lender Group of any Event of Default shall be deemed a continuing waiver. No delay by the Lender Group shall constitute a waiver, election, or acquiescence by it. 
 9. TAXES AND EXPENSES. 
 If any
Borrower fails to pay any monies (whether taxes, assessments, insurance premiums, or, in the case of leased properties or assets, rents or other amounts payable under such leases) due to third Persons, or fails to make any deposits or furnish any
required proof of payment or deposit, all as required under the terms of this Agreement, then, Agent, in its sole discretion and without prior notice to any Borrower, 

  

 36 








 
may do any or all of the following: (a) make payment of the same or any part thereof (except to the extent that the validity of such assessment or tax
is subject to a Permitted Protest), (b) set up such reserves against the Maximum Revolver Amount as Agent deems necessary to protect the Lender Group from the exposure created by such failure, or (c) in the case of the failure to comply
with Section 5.8 hereof, obtain and maintain insurance policies of the type described in Section 5.8 and take any action with respect to such policies as Agent deems prudent in its Permitted Discretion. Any such amounts paid
by Agent shall constitute Lender Group Expenses and any such payments shall not constitute an agreement by the Lender Group to make similar payments in the future or a waiver by the Lender Group of any Event of Default under this Agreement. Agent
need not inquire as to, or contest the validity of, any such expense, tax, or Lien and the receipt of the usual official notice for the payment thereof shall be conclusive evidence that the same was validly due and owing. 
 10. WAIVERS; INDEMNIFICATION. 
 10.1 Demand; Protest; etc. Each Borrower waives demand, protest, notice of protest, notice of default or dishonor, notice of payment and nonpayment, nonpayment at maturity, release, compromise, settlement, extension, or
renewal of documents, instruments, chattel paper, and guarantees at any time held by the Lender Group on which any such Borrower may in any way be liable. 
 10.2 The Lender Group’s Liability for Borrower Collateral. Each Borrower hereby agrees that: (a) so long as Agent complies with its obligations, if any, under the Code, the Lender Group shall
not in any way or manner be liable or responsible for: (i) the safekeeping of the Borrower Collateral, (ii) any loss or damage thereto occurring or arising in any manner or fashion from any cause, (iii) any diminution in the value
thereof, or (iv) any act or default of any carrier, warehouseman, bailee, forwarding agency, or other Person, and (b) all risk of loss, damage, or destruction of the Borrower Collateral shall be borne by Borrowers. 
 10.3 Indemnification. Each Borrower shall pay, indemnify, defend, and hold the Agent-Related Persons, the Lender-Related Persons, and each
Participant (each, an “Indemnified Person”) harmless (to the fullest extent permitted by law) from and against any and all claims, demands, suits, actions, investigations, proceedings, and damages, and all reasonable attorneys fees
and disbursements and other costs and expenses actually incurred in connection therewith or in connection with the enforcement of this indemnification (as and when they are incurred and irrespective of whether suit is brought), at any time asserted
against, imposed upon, or incurred by any of them (a) in connection with or as a result of or related to the execution, delivery, enforcement, performance, or administration (including any restructuring or workout with respect hereto) of this
Agreement, any of the other Loan Documents, or the transactions contemplated hereby or thereby or the monitoring of Borrowers’ compliance with the terms of the Loan Documents, and (b) with respect to any investigation, litigation, or
proceeding related to this Agreement, any other Loan Document, or the use of the proceeds of the credit provided hereunder (irrespective of whether any Indemnified Person is a party thereto), or any act, omission, event, or circumstance in any
manner related thereto (all the foregoing, collectively, the “Indemnified Liabilities”). The foregoing to the contrary notwithstanding, Borrowers shall have no obligation to any Indemnified Person under this Section 10.3
with respect to any Indemnified Liability that a court of competent jurisdiction finally determines to have resulted from the gross negligence or willful misconduct of such Indemnified Person. This provision shall survive the termination of this
Agreement and the repayment of the Obligations. If any Indemnified Person makes any payment to any other Indemnified Person with respect to an Indemnified Liability as to which Borrowers were required to indemnify the Indemnified Person receiving
such payment, the Indemnified Person making such payment is entitled to be indemnified and reimbursed by Borrowers with respect thereto. WITHOUT LIMITATION, THE FOREGOING INDEMNITY SHALL APPLY TO EACH INDEMNIFIED PERSON WITH RESPECT TO
INDEMNIFIED LIABILITIES WHICH IN WHOLE OR IN PART ARE CAUSED BY OR ARISE OUT OF ANY NEGLIGENT ACT OR OMISSION OF SUCH INDEMNIFIED PERSON OR OF ANY OTHER PERSON. 
  

 37 








 11. NOTICES. 
 Unless otherwise provided in this Agreement, all notices or demands by Borrowers or Agent to the other relating to this Agreement or any other Loan Document shall be in writing and (except for financial statements and
other informational documents which may be sent by first-class mail, postage prepaid) shall be personally delivered or sent by registered or certified mail (postage prepaid, return receipt requested), overnight courier, electronic mail (at such
email addresses as Administrative Borrower or Agent, as applicable, may designate to each other in accordance herewith), or telefacsimile to Borrowers in care of Administrative Borrower or to Agent, as the case may be, at its address set forth
below: 
  

			
	If to Administrative Borrower:	  	THE TRIZETTO GROUP, INC.
		  	567 San Nicolas Drive
		  	Suite 360
		  	Newport Beach, California 92660
		  	Attn: James C. Malone
		  	Fax No.: 949.219.2198
		
	with copies to:	  	STRADLING YOCCA CARLSON & RAUTH
		  	660 Newport Center Drive
		  	Suite 1600
		  	Newport Beach, California 92660
		  	Attn: K.C. Schaaf, Esq.
		  	Fax No.: 949.725.4100
		
	If to Agent:	  	WELLS FARGO FOOTHILL, INC.
		  	2450 Colorado Avenue
		  	Suite 300 West
		  	Santa Monica, California 90404
		  	Attn: Business Finance Division Manager
		  	Fax No.: 310.453.7413
		
	with copies to:	  	BUCHALTER NEMER
		  	1000 Wilshire Boulevard
		  	Suite 1500
		  	Los Angeles, California 90017.
		  	Attention: Robert J. Davidson, Esq.
		  	Fax: 213-896-0400

 Agent and Borrowers may change the address at which they are to receive notices hereunder, by
notice in writing in the foregoing manner given to the other party. All notices or demands sent in accordance with this Section 11, other than notices by Agent in connection with enforcement rights against the Borrower Collateral under
the provisions of the Code, shall be deemed received on the earlier of the date of actual receipt or 3 Business Days after the deposit thereof in the mail. Each Borrower acknowledges and agrees that notices sent by the Lender Group in connection
with the exercise of enforcement rights against Borrower Collateral under the provisions of the Code shall be deemed sent when deposited in the mail or personally delivered, or, where permitted by law, transmitted by telefacsimile or any other
method set forth above. 
  

 38 








 12. CHOICE OF LAW AND VENUE; JURY TRIAL WAIVER. 
 (a) THE VALIDITY OF THIS AGREEMENT AND THE OTHER LOAN DOCUMENTS (UNLESS EXPRESSLY PROVIDED TO THE CONTRARY IN ANOTHER LOAN DOCUMENT IN RESPECT OF SUCH
OTHER LOAN DOCUMENT), THE CONSTRUCTION, INTERPRETATION, AND ENFORCEMENT HEREOF AND THEREOF, AND THE RIGHTS OF THE PARTIES HERETO AND THERETO WITH RESPECT TO ALL MATTERS ARISING HEREUNDER OR THEREUNDER OR RELATED HERETO OR THERETO SHALL BE DETERMINED
UNDER, GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF CALIFORNIA. 
 (b) THE PARTIES AGREE THAT ALL ACTIONS OR
PROCEEDINGS ARISING IN CONNECTION WITH THIS AGREEMENT AND THE OTHER LOAN DOCUMENTS SHALL BE TRIED AND LITIGATED ONLY IN THE STATE AND TO THE EXTENT PERMITTED BY APPLICABLE LAW, FEDERAL COURTS LOCATED IN THE COUNTY OF LOS ANGELES, STATE OF
CALIFORNIA, PROVIDED, HOWEVER, THAT ANY SUIT SEEKING ENFORCEMENT AGAINST ANY COLLATERAL OR OTHER PROPERTY MAY BE BROUGHT, AT AGENT’S OPTION, IN THE COURTS OF ANY JURISDICTION WHERE AGENT ELECTS TO BRING SUCH ACTION OR WHERE SUCH COLLATERAL OR
OTHER PROPERTY MAY BE FOUND. BORROWERS AND EACH MEMBER OF THE LENDER GROUP WAIVE, TO THE EXTENT PERMITTED UNDER APPLICABLE LAW, ANY RIGHT EACH MAY HAVE TO ASSERT THE DOCTRINE OF FORUM NON CONVENIENS OR TO OBJECT TO VENUE TO THE EXTENT ANY
PROCEEDING IS BROUGHT IN ACCORDANCE WITH THIS SECTION 12(b). 
 (c) BORROWERS AND EACH MEMBER OF THE LENDER GROUP HEREBY WAIVE
THEIR RESPECTIVE RIGHTS TO A JURY TRIAL OF ANY CLAIM OR CAUSE OF ACTION BASED UPON OR ARISING OUT OF ANY OF THE LOAN DOCUMENTS OR ANY OF THE TRANSACTIONS CONTEMPLATED THEREIN, INCLUDING CONTRACT CLAIMS, TORT CLAIMS, BREACH OF DUTY CLAIMS, AND ALL
OTHER COMMON LAW OR STATUTORY CLAIMS. BORROWERS AND EACH MEMBER OF THE LENDER GROUP REPRESENT THAT EACH HAS REVIEWED THIS WAIVER AND EACH KNOWINGLY AND VOLUNTARILY WAIVES ITS JURY TRIAL RIGHTS FOLLOWING CONSULTATION WITH LEGAL COUNSEL. IN THE EVENT
OF LITIGATION, A COPY OF THIS AGREEMENT MAY BE FILED AS A WRITTEN CONSENT TO A TRIAL BY THE COURT. 
 (b) REFERENCE PROVISION.

 (i) EACH OF BORROWERS, AGENT AND EACH MEMBER OF THE LENDER GROUP PREFER THAT ANY DISPUTE BETWEEN THEM BE RESOLVED IN LITIGATION
SUBJECT TO A JURY TRIAL WAIVER AS SET FORTH IN THE LOAN DOCUMENTS, BUT THE CALIFORNIA SUPREME COURT HAS HELD THAT PRE-DISPUTE JURY TRIAL WAIVERS ARE UNENFORCEABLE. THIS REFERENCE PROVISION WILL BE APPLICABLE UNTIL: (I) THE CALIFORNIA SUPREME
COURT HOLDS THAT A PRE-DISPUTE JURY TRIAL WAIVER PROVISION SIMILAR TO THAT CONTAINED IN THIS AGREEMENT AND THE OTHER LOAN DOCUMENTS IS VALID OR ENFORCEABLE; OR (II) THE CALIFORNIA LEGISLATURE PASSES LEGISLATION AND THE GOVERNOR OF THE STATE OF
CALIFORNIA SIGNS INTO LAW A STATUTE AUTHORIZING PRE-DISPUTE JURY TRIAL WAIVERS AND AS A RESULT SUCH WAIVERS BECOME ENFORCEABLE. IN ADDITION, THIS REFERENCE PROVISION, IF NOT ALREADY APPLICABLE AS OTHERWISE PROVIDED HEREIN, WILL BECOME APPLICABLE, IF
A COURT, CONTRARY TO A CHOICE OF LAW PROVISION CONTAINED IN THE LOAN DOCUMENTS, HOLDS THAT THE LAWS OF THE STATE OF CALIFORNIA APPLY TO THIS AGREEMENT AND THE OTHER LOAN DOCUMENTS. 
  

 39 








 (ii) OTHER THAN (I) NONJUDICIAL FORECLOSURE OF SECURITY INTERESTS IN REAL OR PERSONAL PROPERTY,
(II) THE APPOINTMENT OF A RECEIVER OR (III) THE EXERCISE OF OTHER PROVISIONAL REMEDIES (ANY OF WHICH MAY BE INITIATED PURSUANT TO APPLICABLE LAW), ANY CONTROVERSY, DISPUTE OR CLAIM (EACH, A “CLAIM”) BETWEEN THE PARTIES HERETO ARISING OUT
OF OR RELATING TO THIS AGREEMENT OR ANY OTHER LOAN DOCUMENT, WILL BE RESOLVED BY A REFERENCE PROCEEDING IN CALIFORNIA IN ACCORDANCE WITH THE PROVISIONS OF SECTION 638 ET SEQ. OF THE CALIFORNIA CODE OF CIVIL PROCEDURE (“CCP”), OR THEIR
SUCCESSOR SECTIONS, WHICH SHALL CONSTITUTE THE EXCLUSIVE REMEDY FOR THE RESOLUTION OF ANY CLAIM, INCLUDING WHETHER THE CLAIM IS SUBJECT TO THE REFERENCE PROCEEDING. EXCEPT AS OTHERWISE PROVIDED IN THIS AGREEMENT OR THE OTHER LOAN DOCUMENTS, VENUE
FOR THE REFERENCE PROCEEDING WILL BE IN THE SUPERIOR COURT OR FEDERAL DISTRICT COURT LOCATED IN THE COUNTY OF LOS ANGELES, STATE OF CALIFORNIA (THE “COURT”). 
 (iii) THE REFEREE SHALL BE A RETIRED JUDGE OR JUSTICE SELECTED BY MUTUAL WRITTEN AGREEMENT OF THE PARTIES. IF THE PARTIES DO NOT AGREE, THE REFEREE
SHALL BE SELECTED BY THE PRESIDING JUDGE OF THE COURT (OR HIS OR HER REPRESENTATIVE). A REQUEST FOR APPOINTMENT OF A REFEREE MAY BE HEARD ON AN EX PARTE OR EXPEDITED BASIS, AND EACH OF PARENT, BORROWERS, AGENT AND EACH MEMBER OF THE LENDER GROUP
AGREE THAT IRREPARABLE HARM WOULD RESULT IF EX PARTE RELIEF IS NOT GRANTED. THE REFEREE SHALL BE APPOINTED TO SIT WITH ALL THE POWERS PROVIDED BY LAW. PENDING APPOINTMENT OF THE REFEREE, THE COURT HAS POWER TO ISSUE TEMPORARY OR PROVISIONAL
REMEDIES. 
 (iv) EACH OF BORROWERS, AGENT AND EACH MEMBER OF THE LENDER GROUP AGREE THAT TIME IS OF THE ESSENCE IN CONDUCTING THE
REFERENCE PROCEEDINGS. ACCORDINGLY, THE REFEREE SHALL BE REQUESTED, SUBJECT TO CHANGE IN THE TIME PERIODS SPECIFIED HEREIN FOR GOOD CAUSE SHOWN, TO (A) SET THE MATTER FOR A STATUS AND TRIAL-SETTING CONFERENCE WITHIN FIFTEEN (15) DAYS AFTER
THE DATE OF SELECTION OF THE REFEREE, (B) IF PRACTICABLE, TRY ALL ISSUES OF LAW OR FACT WITHIN NINETY (90) DAYS AFTER THE DATE OF THE CONFERENCE AND (C) REPORT A STATEMENT OF DECISION WITHIN TWENTY (20) DAYS AFTER THE MATTER HAS
BEEN SUBMITTED FOR DECISION. 
 (v) THE REFEREE WILL HAVE POWER TO EXPAND OR LIMIT THE AMOUNT AND DURATION OF DISCOVERY. THE REFEREE
MAY SET OR EXTEND DISCOVERY DEADLINES OR CUTOFFS FOR GOOD CAUSE, INCLUDING A PARTY’S FAILURE TO PROVIDE REQUESTED DISCOVERY FOR ANY REASON WHATSOEVER. UNLESS OTHERWISE ORDERED BASED UPON GOOD CAUSE SHOWN, NO PARTY TO SUCH ACTION, PROCEEDING,
COUNTERCLAIM OR OTHER LITIGATION, SHALL BE ENTITLED TO “PRIORITY” IN CONDUCTING DISCOVERY, DEPOSITIONS MAY BE TAKEN BY ANY PARTY TO SUCH ACTION, PROCEEDING, COUNTERCLAIM OR OTHER LITIGATION UPON SEVEN (7) DAYS WRITTEN NOTICE, AND ALL
OTHER DISCOVERY SHALL BE RESPONDED TO WITHIN FIFTEEN (15) DAYS AFTER SERVICE. ALL DISPUTES RELATING TO DISCOVERY WHICH CANNOT BE RESOLVED BY THE PARTIES SHALL BE SUBMITTED TO THE REFEREE WHOSE DECISION SHALL BE FINAL AND BINDING.

  

 40 








 (vi) EXCEPT AS EXPRESSLY SET FORTH IN THIS AGREEMENT, THE REFEREE SHALL DETERMINE THE MANNER IN WHICH
THE REFERENCE PROCEEDING IS CONDUCTED INCLUDING THE TIME AND PLACE OF HEARINGS, THE ORDER OF PRESENTATION OF EVIDENCE, AND ALL OTHER QUESTIONS THAT ARISE WITH RESPECT TO THE COURSE OF THE REFERENCE PROCEEDING. ALL PROCEEDINGS AND HEARINGS CONDUCTED
BEFORE THE REFEREE, EXCEPT FOR TRIAL, SHALL BE CONDUCTED WITHOUT A COURT REPORTER, EXCEPT THAT WHEN A PARTY TO SUCH ACTION, PROCEEDING, COUNTERCLAIM OR OTHER LITIGATION SO REQUESTS, A COURT REPORTER WILL BE USED AT ANY HEARING CONDUCTED BEFORE THE
REFEREE, AND THE REFEREE WILL BE PROVIDED A COURTESY COPY OF THE TRANSCRIPT. THE PARTY MAKING SUCH A REQUEST SHALL HAVE THE OBLIGATION TO ARRANGE FOR AND PAY THE COURT REPORTER. SUBJECT TO THE REFEREE’S POWER TO AWARD COSTS TO THE PREVAILING
PARTY, THE PARTIES TO ANY SUCH ACTION, PROCEEDING, COUNTERCLAIM OR OTHER LITIGATION WILL EQUALLY SHARE THE COST OF THE REFEREE AND THE COURT REPORTER AT TRIAL. 
 (vii) THE REFEREE SHALL BE REQUIRED TO DETERMINE ALL ISSUES IN ACCORDANCE WITH EXISTING CASE LAW AND THE STATUTORY LAWS OF THE STATE OF CALIFORNIA. THE RULES OF EVIDENCE APPLICABLE TO PROCEEDINGS AT LAW IN THE
STATE OF CALIFORNIA WILL BE APPLICABLE TO THE REFERENCE PROCEEDING. THE REFEREE SHALL BE EMPOWERED TO ENTER EQUITABLE AS WELL AS LEGAL RELIEF, PROVIDE ALL TEMPORARY OR PROVISIONAL REMEDIES, ENTER EQUITABLE ORDERS THAT WILL BE BINDING ON THE PARTIES
TO SUCH ACTION, PROCEEDING, COUNTERCLAIM OR OTHER LITIGATION AND RULE ON ANY MOTION WHICH WOULD BE AUTHORIZED IN A TRIAL, INCLUDING WITHOUT LIMITATION MOTIONS FOR SUMMARY JUDGMENT OR SUMMARY ADJUDICATION. THE REFEREE SHALL ISSUE A DECISION AND
PURSUANT TO CCP §644 THE REFEREE’S DECISION SHALL BE ENTERED BY THE COURT AS A JUDGMENT OR AN ORDER IN THE SAME MANNER AS IF THE ACTION HAD BEEN TRIED BY THE COURT. THE FINAL JUDGMENT OR ORDER OR FROM ANY APPEALABLE DECISION OR ORDER
ENTERED BY THE REFEREE SHALL BE FULLY APPEALABLE AS PROVIDED BY LAW. THE PARTIES TO SUCH ACTION, PROCEEDING, COUNTERCLAIM OR OTHER LITIGATION RESERVE THE RIGHT TO FINDINGS OF FACT, CONCLUSIONS OF LAWS, A WRITTEN STATEMENT OF DECISION, AND THE RIGHT
TO MOVE FOR A NEW TRIAL OR A DIFFERENT JUDGMENT, WHICH NEW TRIAL, IF GRANTED, IS ALSO TO BE A REFERENCE PROCEEDING UNDER THIS PROVISION. 
 (viii) IF THE ENABLING LEGISLATION WHICH PROVIDES FOR APPOINTMENT OF A REFEREE IS REPEALED (AND NO SUCCESSOR STATUTE IS ENACTED), ANY DISPUTE BETWEEN THE PARTIES THAT WOULD OTHERWISE BE DETERMINED BY REFERENCE PROCEDURE WILL BE RESOLVED
AND DETERMINED BY ARBITRATION. THE ARBITRATION WILL BE CONDUCTED BY A RETIRED JUDGE OR JUSTICE, IN ACCORDANCE WITH THE CALIFORNIA ARBITRATION ACT §1280 THROUGH §1294.2 OF THE CCP AS AMENDED FROM TIME TO TIME. THE LIMITATIONS WITH RESPECT
TO DISCOVERY SET FORTH ABOVE SHALL APPLY TO ANY SUCH ARBITRATION PROCEEDING. 
 (ix) EACH OF BORROWERS, AGENT AND EACH MEMBER OF THE
LENDER GROUP RECOGNIZE AND AGREE THAT ALL DISPUTES RESOLVED UNDER THIS REFERENCE PROVISION WILL BE DECIDED BY A REFEREE AND NOT BY A JURY. AFTER CONSULTING WITH COUNSEL OF THEIR OWN CHOICE, EACH OF PARENT, BORROWERS, AGENT AND EACH MEMBER OF THE
LENDER GROUP KNOWINGLY AND 

  

 41 








 
VOLUNTARILY AND FOR THEIR MUTUAL BENEFIT AGREES THAT THIS REFERENCE PROVISION WILL APPLY TO ANY DISPUTE BETWEEN THEM WHICH ARISES OUT OF OR IS RELATED TO
THIS AGREEMENT OR THE LOAN DOCUMENTS. 
 13. ASSIGNMENTS AND PARTICIPATIONS; SUCCESSORS. 
 13.1 Assignments and Participations. 
 (a) Any Lender may assign and delegate to one or more assignees (each an “Assignee”) that are Eligible Transferees all, or any ratable part of all, of the Obligations, the Commitments and the other rights and obligations of such
Lender hereunder and under the other Loan Documents, in a minimum amount of $5,000,000; provided, however, that Borrowers and Agent may continue to deal solely and directly with such Lender in connection with the interest so assigned to an Assignee
until (i) written notice of such assignment, together with payment instructions, addresses, and related information with respect to the Assignee, have been given to Administrative Borrower and Agent by such Lender and the Assignee,
(ii) such Lender and its Assignee have delivered to Administrative Borrower and Agent an Assignment and Acceptance, and (iii) the assigning Lender or Assignee has paid to Agent for Agent’s separate account a processing fee in the
amount of $3,500, provided, however that the payment of such processing fee shall not be required with respect to any Assignment where the Assignee is an Affiliate of the assigning Lender. Anything contained herein to the contrary notwithstanding,
the payment of any fees shall not be required and the Assignee need not be an Eligible Transferee if such assignment is in connection with any merger, consolidation, sale, transfer, or other disposition of all or any substantial portion of the
business or loan portfolio of the assigning Lender. 
 (b) From and after the date that Agent notifies the assigning Lender (with a copy to
Administrative Borrower) that it has received an executed Assignment and Acceptance and payment of the above-referenced processing fee, (i) the Assignee thereunder shall be a party hereto and, to the extent that rights and obligations hereunder
have been assigned to it pursuant to such Assignment and Acceptance, shall have the rights and obligations of a Lender under the Loan Documents, and (ii) the assigning Lender shall, to the extent that rights and obligations hereunder and under
the other Loan Documents have been assigned by it pursuant to such Assignment and Acceptance, relinquish its rights (except with respect to Section 10.3 hereof) and be released from any future obligations under this Agreement (and in the case
of an Assignment and Acceptance covering all or the remaining portion of an assigning Lender’s rights and obligations under this Agreement and the other Loan Documents, such Lender shall cease to be a party hereto and thereto), and such
assignment shall effect a novation between Borrowers and the Assignee; provided, however, that nothing contained herein shall release any assigning Lender from obligations that survive the termination of this Agreement, including such assigning
Lender’s obligations under Article 15 and Section 16.7 of this Agreement. 
 (c) By executing and delivering an
Assignment and Acceptance, the assigning Lender thereunder and the Assignee thereunder confirm to and agree with each other and the other parties hereto as follows: (1) other than as provided in such Assignment and Acceptance, such assigning
Lender makes no representation or warranty and assumes no responsibility with respect to any statements, warranties or representations made in or in connection with this Agreement or the execution, legality, validity, enforceability, genuineness,
sufficiency or value of this Agreement or any other Loan Document furnished pursuant hereto, (2) such assigning Lender makes no representation or warranty and assumes no responsibility with respect to the financial condition of Borrowers or the
performance or observance by Borrowers of any of their obligations under this Agreement or any other Loan Document furnished pursuant hereto, (3) such Assignee confirms that it has received a copy of this Agreement, together with such other
documents and information as it has deemed appropriate to make its own credit analysis and decision to enter into such Assignment and Acceptance, (4) such Assignee will, independently and without reliance upon Agent, such assigning Lender or
any other Lender, and based on such documents and information as it shall deem appropriate at the time, continue to make its own credit decisions in taking or not taking action under this 

  

 42 








 
Agreement, (5) such Assignee appoints and authorizes Agent to take such actions and to exercise such powers under this Agreement as are delegated to
Agent, by the terms hereof, together with such powers as are reasonably incidental thereto, and (6) such Assignee agrees that it will perform all of the obligations which by the terms of this Agreement are required to be performed by it as a
Lender. 
 (d) Immediately upon Agent’s receipt of the required processing fee payment and the fully executed Assignment and
Acceptance, this Agreement shall be deemed to be amended to the extent, but only to the extent, necessary to reflect the addition of the Assignee and the resulting adjustment of the Commitments arising therefrom. The Commitment allocated to each
Assignee shall reduce such Commitments of the assigning Lender pro tanto. 
 (e) Any Lender may at any time sell to one or more commercial
banks, financial institutions, or other Persons (a “Participant”) participating interests in its Obligations, the Commitment, and the other rights and interests of that Lender (the “Originating Lender”) hereunder and under the
other Loan Documents; provided, however, that (i) the Originating Lender shall remain a “Lender” for all purposes of this Agreement and the other Loan Documents and the Participant receiving the participating interest in the
Obligations, the Commitments, and the other rights and interests of the Originating Lender hereunder shall not constitute a “Lender” hereunder or under the other Loan Documents and the Originating Lender’s obligations under this
Agreement shall remain unchanged, (ii) the Originating Lender shall remain solely responsible for the performance of such obligations, (iii) Borrowers, Agent, and the Lenders shall continue to deal solely and directly with the Originating
Lender in connection with the Originating Lender’s rights and obligations under this Agreement and the other Loan Documents, (iv) no Lender shall transfer or grant any participating interest under which the Participant has the right to
approve any amendment to, or any consent or waiver with respect to, this Agreement or any other Loan Document, except to the extent such amendment to, or consent or waiver with respect to this Agreement or of any other Loan Document would
(A) extend the final maturity date of the Obligations hereunder in which such Participant is participating, (B) reduce the interest rate applicable to the Obligations hereunder in which such Participant is participating, (C) release
all or substantially all of the Collateral or guaranties (except to the extent expressly provided herein or in any of the Loan Documents) supporting the Obligations hereunder in which such Participant is participating, (D) postpone the payment
of, or reduce the amount of, the interest or fees payable to such Participant through such Lender, or (E) change the amount or due dates of scheduled principal repayments or prepayments or premiums, and (v) all amounts payable by Borrowers
hereunder shall be determined as if such Lender had not sold such participation, except that, if amounts outstanding under this Agreement are due and unpaid, or shall have been declared or shall have become due and payable upon the occurrence of an
Event of Default, each Participant shall be deemed to have the right of set off in respect of its participating interest in amounts owing under this Agreement to the same extent as if the amount of its participating interest were owing directly to
it as a Lender under this Agreement. The rights of any Participant only shall be derivative through the Originating Lender with whom such Participant participates and no Participant shall have any rights under this Agreement or the other Loan
Documents or any direct rights as to the other Lenders, Agent, Borrowers, the Collections of Borrowers, the Collateral, or otherwise in respect of the Obligations. No Participant shall have the right to participate directly in the making of
decisions by the Lenders among themselves. 
 (f) In connection with any such assignment or participation or proposed assignment or
participation, a Lender may, subject to the provisions of Section 16.7, disclose all documents and information which it now or hereafter may have relating to Borrowers and their respective businesses. 
 (g) Any other provision in this Agreement notwithstanding, any Lender may at any time create a security interest in, or pledge, all or any portion of
its rights under and interest in this Agreement in favor of any Federal Reserve Bank in accordance with Regulation A of the Federal Reserve Bank or U.S. Treasury Regulation 31 CFR § 203.24, and such Federal Reserve Bank may enforce such pledge
or security interest in any manner permitted under applicable law. 
  

 43 








 13.2 Successors. This Agreement shall bind and inure to the benefit of the respective
successors and assigns of each of the parties; provided, however, that Borrowers may not assign this Agreement or any rights or duties hereunder without the Lenders’ prior written consent and any prohibited assignment shall be
absolutely void ab initio. No consent to assignment by the Lenders shall release any Borrower from its Obligations. A Lender may assign this Agreement and the other Loan Documents and its rights and duties hereunder and thereunder pursuant to
Section 13.1 and, except as expressly required pursuant to Section 13.1 hereof, no consent or approval by any Borrower is required in connection with any such assignment. 
 14. AMENDMENTS; WAIVERS. 
 14.1
Amendments and Waivers. No amendment or waiver of any provision of this Agreement or any other Loan Document (other than Bank Product Agreements), and no consent with respect to any departure by Borrowers therefrom, shall be effective
unless the same shall be in writing and signed by the Required Lenders (or by Agent at the written request of the Required Lenders) and Administrative Borrower (on behalf of all Borrowers) and then any such waiver or consent shall be effective, but
only in the specific instance and for the specific purpose for which given; provided, however, that no such waiver, amendment, or consent shall, unless in writing and signed by all of the Lenders affected thereby and Administrative
Borrower (on behalf of all Borrowers), do any of the following: 
 (a) increase or extend any Commitment of any Lender, 
 (b) postpone or delay any date fixed by this Agreement or any other Loan Document for any payment of principal, interest, fees, or other amounts due
hereunder or under any other Loan Document, 
 (c) reduce the principal of, or the rate of interest on, any loan or other extension of
credit hereunder, or reduce any fees or other amounts payable hereunder or under any other Loan Document, 
 (d) change the Pro Rata Share
that is required to take any action hereunder, 
 (e) amend or modify this Section or any provision of this Agreement providing for consent
or other action by all Lenders, 
 (f) other than as permitted by Section 15.12, release Agent’s Lien in and to any of the
Collateral, 
 (g) change any of the following definitions: (i) Required Lenders, (ii) Pro Rata Share, (iii) EBITDA Revolver
Limiter, EBITDA Term Loan Limiter, and (iv) Applicable EBITDA Multiplier. 
 (h) contractually subordinate any of the Agent’s
Liens, 
 (i) release any Borrower from any obligation for the payment of money, 
 (j) change the definition of Maximum Credit Amount, or Maximum Revolver Amount, Term Loan Amount, or change Sections 2.1 (a), (b),
(c), 2.4(b), or 2.3(d) or 
 (k) amend any of the provisions of Section 15. 
 and, provided further, however, that no amendment, waiver or consent shall, unless in writing and signed by Agent, Issuing Lender, or Swing Lender, as
applicable, affect the rights or duties of Agent, Issuing Lender, or 

  

 44 








 
Swing Lender, as applicable, under this Agreement or any other Loan Document. The foregoing notwithstanding, any amendment, modification, waiver, consent,
termination, or release of, or with respect to, any provision of this Agreement or any other Loan Document that relates only to the relationship of the Lender Group among themselves, and that does not affect the rights or obligations of Borrowers,
shall not require consent by or the agreement of Borrowers. 
 14.2 Replacement of Holdout Lender. 
 (a) If any action to be taken by the Lender Group or Agent hereunder requires the unanimous consent, authorization, or agreement of all Lenders, and a
Lender (“Holdout Lender”) fails to give its consent, authorization, or agreement, then Agent, upon at least 5 Business Days prior irrevocable notice to the Holdout Lender, may permanently replace the Holdout Lender with one or more
substitute Lenders (each, a “Replacement Lender”), and the Holdout Lender shall have no right to refuse to be replaced hereunder. Such notice to replace the Holdout Lender shall specify an effective date for such replacement, which date
shall not be later than 15 Business Days after the date such notice is given. 
 (b) Prior to the effective date of such replacement, the
Holdout Lender and each Replacement Lender shall execute and deliver an Assignment and Acceptance, subject only to the Holdout Lender being repaid its share of the outstanding Obligations (including an assumption of its Pro Rata Share of the Risk
Participation Liability) without any premium or penalty of any kind whatsoever. If the Holdout Lender shall refuse or fail to execute and deliver any such Assignment and Acceptance prior to the effective date of such replacement, the Holdout Lender
shall be deemed to have executed and delivered such Assignment and Acceptance. The replacement of any Holdout Lender shall be made in accordance with the terms of Section 13.1. Until such time as the Replacement Lenders shall have
acquired all of the Obligations, the Commitments, and the other rights and obligations of the Holdout Lender hereunder and under the other Loan Documents, the Holdout Lender shall remain obligated to make the Holdout Lender’s Pro Rata Share of
Advances and to purchase a participation in each Letter of Credit, in an amount equal to its Pro Rata Share of the Risk Participation Liability of such Letter of Credit. 
 14.3 No Waivers; Cumulative Remedies. No failure by Agent or any Lender to exercise any right, remedy, or option under this Agreement or any other Loan Document, or delay by Agent or any Lender in
exercising the same, will operate as a waiver thereof. No waiver by Agent or any Lender will be effective unless it is in writing, and then only to the extent specifically stated. No waiver by Agent or any Lender on any occasion shall affect or
diminish Agent’s and each Lender’s rights thereafter to require strict performance by Borrowers of any provision of this Agreement. Agent’s and each Lender’s rights under this Agreement and the other Loan Documents will be
cumulative and not exclusive of any other right or remedy that Agent or any Lender may have. 
 15. AGENT; THE LENDER GROUP.

 15.1 Appointment and Authorization of Agent. Each Lender hereby designates and appoints WFF as its representative under
this Agreement and the other Loan Documents and each Lender hereby irrevocably authorizes Agent to execute and deliver each of the other Loan Documents on its behalf and to take such other action on its behalf under the provisions of this Agreement
and each other Loan Document and to exercise such powers and perform such duties as are expressly delegated to Agent by the terms of this Agreement or any other Loan Document, together with such powers as are reasonably incidental thereto. Agent
agrees to act as such on the express conditions contained in this Section 15. The provisions of this Section 15 (other than the proviso to Section 15.11(a) and Sections 15.11(b), (c), and (d))
are solely for the benefit of Agent, and the Lenders, and Borrowers shall have no rights as a third party beneficiary of any of the provisions contained herein. Any provision to the contrary contained elsewhere in this Agreement or in any other Loan
Document notwithstanding, Agent shall not have any duties or responsibilities, except those expressly set forth herein, nor shall Agent have or be deemed to have any fiduciary relationship with any 

  

 45 








 
Lender, and no implied covenants, functions, responsibilities, duties, obligations or liabilities shall be read into this Agreement or any other Loan
Document or otherwise exist against Agent; it being expressly understood and agreed that the use of the word “Agent” is for convenience only, that WFF is merely the representative of the Lenders, and only has the contractual duties set
forth herein. Except as expressly otherwise provided in this Agreement, Agent shall have and may use its sole discretion with respect to exercising or refraining from exercising any discretionary rights or taking or refraining from taking any
actions that Agent expressly is entitled to take or assert under or pursuant to this Agreement and the other Loan Documents. Without limiting the generality of the foregoing, or of any other provision of the Loan Documents that provides rights or
powers to Agent, Lenders agree that Agent shall have the right to exercise the following powers as long as this Agreement remains in effect: (a) maintain, in accordance with its customary business practices, ledgers and records reflecting the
status of the Obligations, the Collateral, the Collections of Borrowers, and related matters, (b) execute or file any and all financing or similar statements or notices, amendments, renewals, supplements, documents, instruments, proofs of
claim, notices and other written agreements with respect to the Loan Documents, (c) make Advances, for itself or on behalf of Lenders as provided in the Loan Documents, (d) exclusively receive, apply, and distribute the Collections of
Borrowers as provided in the Loan Documents, (e) open and maintain such bank accounts and cash management arrangements as Agent deems necessary and appropriate in accordance with the Loan Documents for the foregoing purposes with respect to the
Collateral and the Collections of Borrowers, (f) perform, exercise, and enforce any and all other rights and remedies of the Lender Group with respect to Borrowers, the Obligations, the Collateral, the Collections of Borrowers, or otherwise
related to any of same as provided in the Loan Documents, and (g) incur and pay such Lender Group Expenses as Agent may deem necessary or appropriate for the performance and fulfillment of its functions and powers pursuant to the Loan
Documents. 
 15.2 Delegation of Duties. Agent may execute any of its duties under this Agreement or any other Loan Document by
or through agents, employees or attorneys in fact and shall be entitled to advice of counsel concerning all matters pertaining to such duties. Agent shall not be responsible for the negligence or misconduct of any agent or attorney in fact that it
selects as long as such selection was made without gross negligence or willful misconduct. 
 15.3 Liability of Agent. None of
the Agent Related Persons shall (a) be liable for any action taken or omitted to be taken by any of them under or in connection with this Agreement or any other Loan Document or the transactions contemplated hereby (except for its own gross
negligence or willful misconduct), or (b) be responsible in any manner to any of the Lenders for any recital, statement, representation or warranty made by any Borrower or Affiliate of any Borrower, or any officer or director thereof, contained
in this Agreement or in any other Loan Document, or in any certificate, report, statement or other document referred to or provided for in, or received by Agent under or in connection with, this Agreement or any other Loan Document, or the validity,
effectiveness, genuineness, enforceability or sufficiency of this Agreement or any other Loan Document, or for any failure of any Borrower or any other party to any Loan Document to perform its obligations hereunder or thereunder. No Agent Related
Person shall be under any obligation to any Lender to ascertain or to inquire as to the observance or performance of any of the agreements contained in, or conditions of, this Agreement or any other Loan Document, or to inspect the books and records
or properties of Borrowers or the books or records or properties of any of Borrowers’ Affiliates. 
 15.4 Reliance by
Agent. Agent shall be entitled to rely, and shall be fully protected in relying, upon any writing, resolution, notice, consent, certificate, affidavit, letter, telegram, telefacsimile or other electronic method of transmission, telex or
telephone message, statement or other document or conversation believed by it to be genuine and correct and to have been signed, sent, or made by the proper Person or Persons, and upon advice and statements of legal counsel (including counsel to
Borrowers or counsel to any Lender), independent accountants and other experts selected by Agent. Agent shall be fully justified in failing or refusing to take any action under this Agreement or any other Loan Document unless Agent shall first
receive such advice or concurrence of the Lenders as it deems appropriate and until such instructions are 

  

 46 








 
received, Agent shall act, or refrain from acting, as it deems advisable. If Agent so requests, it shall first be indemnified to its reasonable satisfaction
by the Lenders against any and all liability and expense that may be incurred by it by reason of taking or continuing to take any such action. Agent shall in all cases be fully protected in acting, or in refraining from acting, under this Agreement
or any other Loan Document in accordance with a request or consent of the requisite Lenders and such request and any action taken or failure to act pursuant thereto shall be binding upon all of the Lenders. 
 15.5 Notice of Default or Event of Default. Agent shall not be deemed to have knowledge or notice of the occurrence of any Default or Event
of Default, except with respect to defaults in the payment of principal, interest, fees, and expenses required to be paid to Agent for the account of the Lenders and, except with respect to Events of Default of which Agent has actual knowledge,
unless Agent shall have received written notice from a Lender or Administrative Borrower referring to this Agreement, describing such Default or Event of Default, and stating that such notice is a “notice of default.” Agent promptly will
notify the Lenders of its receipt of any such notice or of any Event of Default of which Agent has actual knowledge. If any Lender obtains actual knowledge of any Event of Default, such Lender promptly shall notify the other Lenders and Agent of
such Event of Default. Each Lender shall be solely responsible for giving any notices to its Participants, if any. Subject to Section 15.4, Agent shall take such action with respect to such Default or Event of Default as may be requested
by the Required Lenders in accordance with Section 8; provided, however, that unless and until Agent has received any such request, Agent may (but shall not be obligated to) take such action, or refrain from taking such
action, with respect to such Default or Event of Default as it shall deem advisable. 
 15.6 Credit Decision. Each Lender
acknowledges that none of the Agent Related Persons has made any representation or warranty to it, and that no act by Agent hereinafter taken, including any review of the affairs of Borrowers and their Affiliates, shall be deemed to constitute any
representation or warranty by any Agent-Related Person to any Lender. Each Lender represents to Agent that it has, independently and without reliance upon any Agent-Related Person and based on such documents and information as it has deemed
appropriate, made its own appraisal of and investigation into the business, prospects, operations, property, financial and other condition and creditworthiness of Borrowers and any other Person party to a Loan Document, and all applicable bank
regulatory laws relating to the transactions contemplated hereby, and made its own decision to enter into this Agreement and to extend credit to Borrowers. Each Lender also represents that it will, independently and without reliance upon any
Agent-Related Person and based on such documents and information as it shall deem appropriate at the time, continue to make its own credit analysis, appraisals and decisions in taking or not taking action under this Agreement and the other Loan
Documents, and to make such investigations as it deems necessary to inform itself as to the business, prospects, operations, property, financial and other condition and creditworthiness of Borrowers and any other Person party to a Loan Document.
Except for notices, reports, and other documents expressly herein required to be furnished to the Lenders by Agent, Agent shall not have any duty or responsibility to provide any Lender with any credit or other information concerning the business,
prospects, operations, property, financial and other condition or creditworthiness of Borrowers and any other Person party to a Loan Document that may come into the possession of any of the Agent Related Persons. 
 15.7 Costs and Expenses; Indemnification. Agent may incur and pay Lender Group Expenses to the extent Agent reasonably deems necessary or
appropriate for the performance and fulfillment of its functions, powers, and obligations pursuant to the Loan Documents, including court costs, attorneys fees and expenses, fees and expenses of financial accountants, advisors, consultants, and
appraisers, costs of collection by outside collection agencies, auctioneer fees and expenses, and costs of security guards or insurance premiums paid to maintain the Collateral, whether or not Borrowers are obligated to reimburse Agent or Lenders
for such expenses pursuant to this Agreement or otherwise. Agent is authorized and directed to deduct and retain sufficient amounts from the Collections of Borrowers received by Agent to reimburse Agent for such out-of-pocket costs and expenses
prior to the distribution of any amounts to Lenders. In the event Agent is not reimbursed for such costs and expenses from the Collections of Borrowers received by 

  

 47 








 
Agent, each Lender hereby agrees that it is and shall be obligated to pay to or reimburse Agent for the amount of such Lender’s Pro Rata Share thereof.
Whether or not the transactions contemplated hereby are consummated, the Lenders shall indemnify upon demand the Agent Related Persons (to the extent not reimbursed by or on behalf of Borrowers and without limiting the obligation of Borrowers to do
so), according to their Pro Rata Shares, from and against any and all Indemnified Liabilities; provided, however, that no Lender shall be liable for the payment to any Agent Related Person of any portion of such Indemnified Liabilities
resulting solely from such Person’s gross negligence or willful misconduct nor shall any Lender be liable for the obligations of any Defaulting Lender in failing to make an Advance or other extension of credit hereunder. Without limitation of
the foregoing, each Lender shall reimburse Agent upon demand for such Lender’s Pro Rata Share of any costs or out of pocket expenses (including attorneys, accountants, advisors, and consultants fees and expenses) incurred by Agent in connection
with the preparation, execution, delivery, administration, modification, amendment, or enforcement (whether through negotiations, legal proceedings or otherwise) of, or legal advice in respect of rights or responsibilities under, this Agreement, any
other Loan Document, or any document contemplated by or referred to herein, to the extent that Agent is not reimbursed for such expenses by or on behalf of Borrowers. The undertaking in this Section shall survive the payment of all Obligations
hereunder and the resignation or replacement of Agent. 
 15.8 Agent in Individual Capacity. WFF and its Affiliates may make
loans to, issue letters of credit for the account of, accept deposits from, acquire equity interests in, and generally engage in any kind of banking, trust, financial advisory, underwriting, or other business with Borrowers and Affiliates and any
other Person party to any Loan Documents as though WFF were not Agent hereunder, and, in each case, without notice to or consent of the other members of the Lender Group. The other members of the Lender Group acknowledge that, pursuant to such
activities, WFF or its Affiliates may receive information regarding Borrowers or their Affiliates and any other Person party to any Loan Documents that is subject to confidentiality obligations in favor of Borrowers or such other Person and that
prohibit the disclosure of such information to the Lenders, and the Lenders acknowledge that, in such circumstances (and in the absence of a waiver of such confidentiality obligations, which waiver Agent will use its reasonable best efforts to
obtain), Agent shall not be under any obligation to provide such information to them. The terms “Lender” and “Lenders” include WFF in its individual capacity. 
 15.9 Successor Agent. Agent may resign as Agent upon 45 days notice to the Lenders. If Agent resigns under this Agreement, the Required
Lenders shall appoint a successor Agent for the Lenders. If no successor Agent is appointed prior to the effective date of the resignation of Agent, Agent may appoint, after consulting with the Lenders, a successor Agent. If Agent has materially
breached or failed to perform any material provision of this Agreement or of applicable law, the Required Lenders may agree in writing to remove and replace Agent with a successor Agent from among the Lenders. In any such event, upon the acceptance
of its appointment as successor Agent hereunder, such successor Agent shall succeed to all the rights, powers, and duties of the retiring Agent and the term “Agent” shall mean such successor Agent and the retiring Agent’s appointment,
powers, and duties as Agent shall be terminated. After any retiring Agent’s resignation hereunder as Agent, the provisions of this Section 16 shall inure to its benefit as to any actions taken or omitted to be taken by it while it
was Agent under this Agreement. If no successor Agent has accepted appointment as Agent by the date which is 45 days following a retiring Agent’s notice of resignation, the retiring Agent’s resignation shall nevertheless thereupon become
effective and the Lenders shall perform all of the duties of Agent hereunder until such time, if any, as the Lenders appoint a successor Agent as provided for above. 
 15.10 Lender in Individual Capacity. Any Lender and its respective Affiliates may make loans to, issue letters of credit for the account of, accept deposits from, acquire equity interests in and
generally engage in any kind of banking, trust, financial advisory, underwriting or other business with Borrowers and Affiliates and any other Person party to any Loan Documents as though such Lender were not a Lender hereunder without notice to or
consent of the other members of the Lender Group. The other members of the Lender Group acknowledge that, pursuant to such activities, such Lender and its respective Affiliates may 

  

 48 








 
receive information regarding Borrowers or their Affiliates and any other Person party to any Loan Documents that is subject to confidentiality obligations
in favor of Borrowers or such other Person and that prohibit the disclosure of such information to the Lenders, and the Lenders acknowledge that, in such circumstances (and in the absence of a waiver of such confidentiality obligations, which waiver
such Lender will use its reasonable best efforts to obtain), such Lender shall not be under any obligation to provide such information to them. With respect to the Swing Loans and Protective Advances, Swing Lender shall have the same rights and
powers under this Agreement as any other Lender and may exercise the same as though it were not the sub-agent of Agent. 
 15.11
Withholding Taxes. 
 (a) All payments made by any Borrower hereunder or under any note or other Loan Document will be made
without setoff, counterclaim, or other defense. In addition, all such payments will be made free and clear of, and without deduction or withholding for, any present or future Taxes, and in the event any deduction or withholding of Taxes is required,
each Borrower shall comply with the penultimate sentence of this Section 15.11(a). “Taxes” shall mean, any taxes, levies, imposts, duties, fees, assessments or other charges of whatever nature now or hereafter imposed by any
jurisdiction or by any political subdivision or taxing authority thereof or therein with respect to such payments (but excluding any tax imposed by any jurisdiction or by any political subdivision or taxing authority thereof or therein measured by
or based on the net income or net profits of Lender) and all interest, penalties or similar liabilities with respect thereto. If any Taxes are so levied or imposed, each Borrower agrees to pay the full amount of such Taxes and such additional
amounts as may be necessary so that every payment of all amounts due under this Agreement, any note, or Loan Document, including any amount paid pursuant to this Section 15.11(a) after withholding or deduction for or on account of any
Taxes, will not be less than the amount provided for herein; provided, however, that Borrowers shall not be required to increase any such amounts if, and shall be reimbursed for any such amounts previously paid to the extent that, the increase in
such amount payable results from Agent’s or such Lender’s own willful misconduct or gross negligence (as finally determined by a court of competent jurisdiction). Each Borrower will furnish to Lender as promptly as possible after the date
the payment of any Tax is due pursuant to applicable law certified copies of tax receipts evidencing such payment by any Borrower. 
 (b) If
a Lender claims an exemption from United States withholding tax, Lender agrees with and in favor of Agent and any Borrower, to deliver to Agent: 
 (i) if such Lender claims an exemption from United States withholding tax pursuant to its portfolio interest exception, (A) a statement of the Lender, signed under penalty of perjury, that it is not a (I) a “bank” as
described in Section 881(c)(3)(A) of the IRC, (II) a 10% shareholder of any Borrower (within the meaning of Section 871(h)(3)(B) of the IRC), or (III) a controlled foreign corporation related to any Borrower within the meaning of
Section 864(d)(4) of the IRC, and (B) a properly completed and executed IRS Form W-8BEN, before receiving its first payment under this Agreement and at any other time reasonably requested by Agent or any Borrower; 
 (ii) if such Lender claims an exemption from, or a reduction of, withholding tax under a United States tax treaty, properly completed and executed IRS
Form W-8BEN before receiving its first payment under this Agreement and at any other time reasonably requested by Agent or any Borrower; 
 (iii) if such Lender claims that interest paid under this Agreement is exempt from United States withholding tax because it is effectively connected with a United States trade or business of such Lender, two properly completed and executed
copies of IRS Form W-8ECI before receiving its first payment under this Agreement and at any other time reasonably requested by Agent or any Borrower; or 
  

 49 








 (iv) such other form or forms, including IRS Form W-9, as may be required under the IRC or other laws of
the United States as a condition to exemption from, or reduction of, United States withholding or backup withholding tax before receiving its first payment under this Agreement and at any other time reasonably requested by Agent or any Borrower.

 Lender agrees promptly to notify Agent and Administrative Borrower of any change in circumstances which would modify or render invalid any claimed
exemption or reduction. 
 (c) If a Lender claims an exemption from withholding tax in a jurisdiction other than the United States, Lender
agrees with and in favor of Agent and Borrowers, to deliver to Agent any such form or forms, as may be required under the laws of such jurisdiction as a condition to exemption from, or reduction of, foreign withholding or backup withholding tax
before receiving its first payment under this Agreement and at any other time reasonably requested by Agent or Administrative Borrower. 
 Lender agrees promptly to notify Agent and Administrative Borrower of any change in circumstances which would modify or render invalid any claimed exemption or reduction. 
 (d) If any Lender claims exemption from, or reduction of, withholding tax and such Lender sells, assigns, grants a participation in, or otherwise
transfers all or part of the Obligations of Borrowers to such Lender, such Lender agrees to notify Agent and Administrative Borrower of the percentage amount in which it is no longer the beneficial owner of Obligations of Borrowers to such Lender.
To the extent of such percentage amount, Agent and Borrowers will treat such Lender’s documentation provided pursuant to Sections 15.11(b) or 15.11(c) as no longer valid. With respect to such percentage amount, Lender may provide
new documentation, pursuant to Sections 15.11(b) or 15.11(c), if applicable. 
 (e) If any Lender is entitled to a reduction
in the applicable withholding tax, Agent may withhold from any interest payment to such Lender an amount equivalent to the applicable withholding tax after taking into account such reduction. If the forms or other documentation required by
subsection (b) or (c) of this Section 15.11 are not delivered to Agent, then Agent may withhold from any interest payment to such Lender not providing such forms or other documentation an amount equivalent to the applicable
withholding tax. 
 (f) If the IRS or any other Governmental Authority of the United States or other jurisdiction asserts a claim that Agent
did not properly withhold tax from amounts paid to or for the account of any Lender due to a failure on the part of the Lender (because the appropriate form was not delivered, was not properly executed, or because such Lender failed to notify Agent
of a change in circumstances which rendered the exemption from, or reduction of, withholding tax ineffective, or for any other reason) such Lender shall indemnify and hold Agent harmless for all amounts paid, directly or indirectly, by Agent, as tax
or otherwise, including penalties and interest, and including any taxes imposed by any jurisdiction on the amounts payable to Agent under this Section 15.11, together with all costs and expenses (including attorneys fees and expenses).
The obligation of the Lenders under this subsection shall survive the payment of all Obligations and the resignation or replacement of Agent. 
 15.12 Collateral Matters. 
 (a) The Lenders hereby irrevocably authorize Agent, at its option and in its sole
discretion, to release any Lien on any Collateral (i) upon the termination of the Commitments and payment and satisfaction in full by Borrowers of all Obligations, (ii) constituting property being sold or disposed of if a release is
required or desirable in connection therewith and if Administrative Borrower certifies to Agent that the sale or disposition is permitted under Section 6.4 of this Agreement or the other Loan Documents (and Agent may rely conclusively on
any such certificate, without further inquiry), (iii) constituting property in which no Borrower owned any interest at the time the Agent’s Lien was granted nor at any time thereafter, or 

  

 50 








 
(iv) constituting property leased to a Borrower under a lease that has expired or is terminated in a transaction permitted under this Agreement. Except as
provided above, Agent will not execute and deliver a release of any Lien on any Collateral without the prior written authorization of (y) if the release is of all or substantially all of the Collateral, all of the Lenders, or
(z) otherwise, the Required Lenders. Upon request by Agent or Administrative Borrower at any time, the Lenders will confirm in writing Agent’s authority to release any such Liens on particular types or items of Collateral pursuant to this
Section 15.12; provided, however, that (1) Agent shall not be required to execute any document necessary to evidence such release on terms that, in Agent’s opinion, would expose Agent to liability or create any
obligation or entail any consequence other than the release of such Lien without recourse, representation, or warranty, and (2) such release shall not in any manner discharge, affect, or impair the Obligations or any Liens (other than those
expressly being released) upon (or obligations of Borrowers in respect of) all interests retained by Borrowers, including, the proceeds of any sale, all of which shall continue to constitute part of the Collateral. 
 (b) Agent shall have no obligation whatsoever to any of the Lenders to assure that the Collateral exists or is owned by Borrowers or is cared for,
protected, or insured or has been encumbered, or that the Agent’s Liens have been properly or sufficiently or lawfully created, perfected, protected, or enforced or are entitled to any particular priority, or to exercise at all or in any
particular manner or under any duty of care, disclosure or fidelity, or to continue exercising, any of the rights, authorities and powers granted or available to Agent pursuant to any of the Loan Documents, it being understood and agreed that in
respect of the Collateral, or any act, omission, or event related thereto, subject to the terms and conditions contained herein, Agent may act in any manner it may deem appropriate, in its sole discretion given Agent’s own interest in the
Collateral in its capacity as one of the Lenders and that Agent shall have no other duty or liability whatsoever to any Lender as to any of the foregoing, except as otherwise provided herein. 
 15.13 Restrictions on Actions by Lenders; Sharing of Payments. 
 (a) Each of the Lenders agrees that it shall not, without the express written consent of Agent, and that it shall, to the extent it is lawfully entitled
to do so, upon the written request of Agent, set off against the Obligations, any amounts owing by such Lender to Borrowers or any deposit accounts of Borrowers now or hereafter maintained with such Lender. Each of the Lenders further agrees that it
shall not, unless specifically requested to do so in writing by Agent, take or cause to be taken any action, including, the commencement of any legal or equitable proceedings, to foreclose any Lien on, or otherwise enforce any security interest in,
any of the Collateral. 
 (b) If, at any time or times any Lender shall receive (i) by payment, foreclosure, setoff, or otherwise, any
proceeds of Collateral or any payments with respect to the Obligations, except for any such proceeds or payments received by such Lender from Agent pursuant to the terms of this Agreement, or (ii) payments from Agent in excess of such
Lender’s Pro Rata of all such distributions by Agent, such Lender promptly shall (1) turn the same over to Agent, in kind, and with such endorsements as may be required to negotiate the same to Agent, or in immediately available
funds, as applicable, for the account of all of the Lenders and for application to the Obligations in accordance with the applicable provisions of this Agreement, or (2) purchase, without recourse or warranty, an undivided interest and
participation in the Obligations owed to the other Lenders so that such excess payment received shall be applied ratably as among the Lenders in accordance with their Pro Rata Shares; provided, however, that to the extent that such
excess payment received by the purchasing party is thereafter recovered from it, those purchases of participations shall be rescinded in whole or in part, as applicable, and the applicable portion of the purchase price paid therefor shall be
returned to such purchasing party, but without interest except to the extent that such purchasing party is required to pay interest in connection with the recovery of the excess payment. 
 15.14 Agency for Perfection. Agent hereby appoints each other Lender as its agent (and each Lender hereby accepts such appointment) for the
purpose of perfecting the Agent’s Liens in assets which, in accordance with Article 8 or Article 9, as applicable, of the Code can be perfected only by possession or 

  

 51 








 
control. Should any Lender obtain possession or control of any such Collateral, such Lender shall notify Agent thereof, and, promptly upon Agent’s
request therefor shall deliver possession or control of such Collateral to Agent or in accordance with Agent’s instructions. 
 15.15
Payments by Agent to the Lenders. All payments to be made by Agent to the Lenders shall be made by bank wire transfer of immediately available funds pursuant to such wire transfer instructions as each party may designate for itself by
written notice to Agent. Concurrently with each such payment, Agent shall identify whether such payment (or any portion thereof) represents principal, premium, fees, or interest of the Obligations. 
 15.16 Concerning the Collateral and Related Loan Documents. Each member of the Lender Group authorizes and directs Agent to enter into this
Agreement and the other Loan Documents. Each member of the Lender Group agrees that any action taken by Agent in accordance with the terms of this Agreement or the other Loan Documents relating to the Collateral and the exercise by Agent of its
powers set forth therein or herein, together with such other powers that are reasonably incidental thereto, shall be binding upon all of the Lenders. 
 15.17 Field Audits and Examination Reports; Confidentiality; Disclaimers by Lenders; Other Reports and Information. By becoming a party to this Agreement, each Lender: 
 (a) is deemed to have requested that Agent furnish such Lender, promptly after it becomes available, a copy of each field audit or examination report
(each a “Report” and collectively, “Reports”) prepared by or at the request of Agent, and Agent shall so furnish each Lender with such Reports, 
 (b) expressly agrees and acknowledges that Agent does not (i) make any representation or warranty as to the accuracy of any Report, and (ii) shall not be liable for any information contained in any Report,

 (c) expressly agrees and acknowledges that the Reports are not comprehensive audits or examinations, that Agent or other party performing
any audit or examination will inspect only specific information regarding Borrowers and will rely significantly upon the books and records of Borrowers, as well as on representations of Borrowers’ personnel, 
 (d) agrees to keep all Reports and other material, non-public information regarding Borrowers and their operations, assets, and existing and
contemplated business plans in a confidential manner in accordance with Section 16.7, and 
 (e) without limiting the generality
of any other indemnification provision contained in this Agreement, agrees: (i) to hold Agent and any such other Lender preparing a Report harmless from any action the indemnifying Lender may take or fail to take or any conclusion the
indemnifying Lender may reach or draw from any Report in connection with any loans or other credit accommodations that the indemnifying Lender has made or may make to Borrowers, or the indemnifying Lender’s participation in, or the indemnifying
Lender’s purchase of, a loan or loans of Borrowers; and (ii) to pay and protect, and indemnify, defend and hold Agent, and any such other Lender preparing a Report harmless from and against, the claims, actions, proceedings, damages,
costs, expenses, and other amounts (including, attorneys fees and costs) incurred by Agent and any such other Lender preparing a Report as the direct or indirect result of any third parties who might obtain all or part of any Report through the
indemnifying Lender. 
 In addition to the foregoing: (x) any Lender may from time to time request of Agent in writing that Agent provide to such Lender
a copy of any report or document provided by Borrowers to Agent that has not been contemporaneously provided by Borrowers to such Lender, and, upon receipt of such request, Agent promptly shall provide a copy of same to such Lender, (y) to the
extent that Agent is entitled, under any provision of the 

  

 52 








 
Loan Documents, to request additional reports or information from Borrowers, any Lender may, from time to time, reasonably request Agent to exercise such
right as specified in such Lender’s notice to Agent, whereupon Agent promptly shall request of Administrative Borrower the additional reports or information reasonably specified by such Lender, and, upon receipt thereof from Administrative
Borrower, Agent promptly shall provide a copy of same to such Lender, and (z) any time that Agent renders to Administrative Borrower a statement regarding the Loan Account, Agent shall send a copy of such statement to each Lender. 

15.18 Several Obligations; No Liability. Notwithstanding that certain of the Loan Documents now or hereafter may have been or will be
executed only by or in favor of Agent in its capacity as such, and not by or in favor of the Lenders, any and all obligations on the part of Agent (if any) to make any credit available hereunder shall constitute the several (and not joint)
obligations of the respective Lenders on a ratable basis, according to their respective Commitments, to make an amount of such credit not to exceed, in principal amount, at any one time outstanding, the amount of their respective Commitments.
Nothing contained herein shall confer upon any Lender any interest in, or subject any Lender to any liability for, or in respect of, the business, assets, profits, losses, or liabilities of any other Lender. Each Lender shall be solely responsible
for notifying its Participants of any matters relating to the Loan Documents to the extent any such notice may be required, and no Lender shall have any obligation, duty, or liability to any Participant of any other Lender. Except as provided in
Section 16.7, no member of the Lender Group shall have any liability for the acts of any other member of the Lender Group. No Lender shall be responsible to any Borrower or any other Person for any failure by any other Lender to fulfill
its obligations to make credit available hereunder, nor to advance for it or on its behalf in connection with its Commitment, nor to take any other action on its behalf hereunder or in connection with the financing contemplated herein. 

15.19 Bank Product Providers. Each Bank Product Provider shall be deemed a party hereto for purposes of any reference in a Loan Document
to the parties for whom Agent is acting; it being understood and agreed that the rights and benefits of such Bank Product Provider under the Loan Documents consist exclusively of such Bank Product Provider’s right to share in payments and
collections out of the Collateral as more fully set forth herein. In connection with any such distribution of payments and collections, Agent shall be entitled to assume no amounts are due to any Bank Product Provider unless such Bank Product
Provider has notified Agent in writing of the amount of any such liability owed to it prior to such distribution. 
 16. GENERAL
PROVISIONS. 
 16.1 Effectiveness. This Agreement shall be binding and deemed effective when executed by Borrowers, Agent,
and each Lender whose signature is provided for on the signature pages hereof. 
 16.2 Section Headings. Headings and numbers
have been set forth herein for convenience only. Unless the contrary is compelled by the context, everything contained in each Section applies equally to this entire Agreement. 
 16.3 Interpretation. Neither this Agreement nor any uncertainty or ambiguity herein shall be construed against the Lender Group or
Borrowers, whether under any rule of construction or otherwise. On the contrary, this Agreement has been reviewed by all parties and shall be construed and interpreted according to the ordinary meaning of the words used so as to accomplish fairly
the purposes and intentions of all parties hereto. 
 16.4 Severability of Provisions. Each provision of this Agreement shall
be severable from every other provision of this Agreement for the purpose of determining the legal enforceability of any specific provision. 
 16.5 Counterparts; Electronic Execution. This Agreement may be executed in any number of counterparts and by different parties on separate counterparts, each of which, when executed and 

  

 53 








 
delivered, shall be deemed to be an original, and all of which, when taken together, shall constitute but one and the same Agreement. Delivery of an executed
counterpart of this Agreement by telefacsimile or other electronic method of transmission shall be equally as effective as delivery of an original executed counterpart of this Agreement. Any party delivering an executed counterpart of this Agreement
by telefacsimile or other electronic method of transmission also shall deliver an original executed counterpart of this Agreement but the failure to deliver an original executed counterpart shall not affect the validity, enforceability, and binding
effect of this Agreement. The foregoing shall apply to each other Loan Document mutatis mutandis. 
 16.6 Revival and Reinstatement of
Obligations. If the incurrence or payment of the Obligations by any Borrower or the transfer to the Lender Group of any property should for any reason subsequently be declared to be void or voidable under any state or federal law relating to
creditors’ rights, including provisions of the Bankruptcy Code relating to fraudulent conveyances, preferences, or other voidable or recoverable payments of money or transfers of property (collectively, a “Voidable Transfer”),
and if the Lender Group is required to repay or restore, in whole or in part, any such Voidable Transfer, or elects to do so upon the reasonable advice of its counsel, then, as to any such Voidable Transfer, or the amount thereof that the Lender
Group is required or elects to repay or restore, and as to all reasonable costs, expenses, and attorneys fees of the Lender Group related thereto, the liability of Borrowers automatically shall be revived, reinstated, and restored and shall exist as
though such Voidable Transfer had never been made. 
 16.7 Confidentiality. 
 (a) Agent and Lenders each individually (and not jointly or jointly and severally) agree that material, non-public information regarding Borrowers,
their operations, assets, and existing and contemplated business plans shall be treated by Agent and the Lenders in a confidential manner, and shall not be disclosed by Agent and the Lenders to Persons who are not parties to this Agreement, except:
(a) to attorneys for and other advisors, accountants, auditors, and consultants to any member of the Lender Group, (b) to Subsidiaries and Affiliates of any member of the Lender Group (including the Bank Product Providers), provided that
any such Subsidiary or Affiliate shall have agreed to receive such information hereunder subject to the terms of this Section 16.7, (c) as may be required by statute, decision, or judicial or administrative order, rule, or
regulation, (d) as may be agreed to in advance by Administrative Borrower or its Subsidiaries or as requested or required by any Governmental Authority pursuant to any subpoena or other legal process, (e) as to any such information that is
or becomes generally available to the public (other than as a result of prohibited disclosure by Agent or the Lenders), (f) in connection with any assignment, prospective assignment, sale, prospective sale, participation or prospective
participations, or pledge or prospective pledge of any Lender’s interest under this Agreement, provided that any such assignee, prospective assignee, purchaser, prospective purchaser, participant, prospective participant, pledgee, or
prospective pledgee shall have agreed in writing to receive such information hereunder subject to the terms of this Section, and (g) in connection with any litigation or other adversary proceeding involving parties hereto which such litigation
or adversary proceeding involves claims related to the rights or duties of such parties under this Agreement or the other Loan Documents. The provisions of this Section 16.7 shall survive for 2 years after the payment in full of the
Obligations. 
 (b) Anything in this Agreement to the contrary notwithstanding, Agent may provide information concerning the terms and
conditions of this Agreement and the other Loan Documents to loan syndication and pricing reporting services. 
 16.8 Lender Group
Expenses. Borrowers agree to pay any and all Lender Group Expenses promptly after demand therefor by Agent and agrees that their obligations contained in this Section 16.8 shall survive payment or satisfaction in full of all other
Obligations. 
 16.9 USA PATRIOT Act. Each Lender that is subject to the requirements of the USA Patriot Act (Title 111 of Pub.
L. 107-56 (signed into law October 26, 2001)) (the “Act”) hereby notifies 

  

 54 








 
Borrowers that pursuant to the requirements of the Act, it is required to obtain, verify and record information that identifies Borrowers, which information
includes the name and address of Borrowers and other information that will allow such Lender to identify Parent and Borrowers in accordance with the Act. 
 16.10 Integration. This Agreement, together with the other Loan Documents, reflects the entire understanding of the parties with respect to the transactions contemplated hereby and shall not be
contradicted or qualified by any other agreement, oral or written, before the date hereof. 
 16.11 Parent as Agent for
Borrowers. Each Borrower hereby irrevocably appoints Parent as the borrowing agent and attorney-in-fact for all Borrowers (the “Administrative Borrower”) which appointment shall remain in full force and effect unless and
until Agent shall have received prior written notice signed by each Borrower that such appointment has been revoked and that another Borrower has been appointed Administrative Borrower. Each Borrower hereby irrevocably appoints and authorizes the
Administrative Borrower (i) to provide Agent with all notices with respect to Advances and Letters of Credit obtained for the benefit of any Borrower and all other notices and instructions under this Agreement and (ii) to take such action
as the Administrative Borrower deems appropriate on its behalf to obtain Advances and Letters of Credit and to exercise such other powers as are reasonably incidental thereto to carry out the purposes of this Agreement. It is understood that the
handling of the Loan Account and Collateral of Borrowers in a combined fashion, as more fully set forth herein, is done solely as an accommodation to Borrowers in order to utilize the collective borrowing powers of Borrowers in the most efficient
and economical manner and at their request, and that Lender Group shall not incur liability to any Borrower as a result hereof. Each Borrower expects to derive benefit, directly or indirectly, from the handling of the Loan Account and the Collateral
in a combined fashion since the successful operation of each Borrower is dependent on the continued successful performance of the integrated group. To induce the Lender Group to do so, and in consideration thereof, each Borrower hereby jointly and
severally agrees to indemnify each member of the Lender Group and hold each member of the Lender Group harmless against any and all liability, expense, loss or claim of damage or injury, made against the Lender Group by any Borrower or by any third
party whosoever, arising from or incurred by reason of (a) the handling of the Loan Account and Collateral of Borrowers as herein provided, (b) the Lender Group’s relying on any instructions of the Administrative Borrower, or
(c) any other action taken by the Lender Group hereunder or under the other Loan Documents, except that Borrowers will have no liability to the relevant Agent-Related Person or Lender-Related Person under this Section 16.9 with
respect to any liability that has been finally determined by a court of competent jurisdiction to have resulted solely from the gross negligence or willful misconduct of such Agent-Related Person or Lender-Related Person, as the case may be.

 16.12 Changes in Accounting Policies. In the event the Financial Accounting Standards Board (or any successor organization)
adopts changes to GAAP after the Closing Date and as a result solely of such changes there is an adverse effect on Borrowers’ ability to comply with the financial covenants hereunder or there occurs a reduction of Maximum Revolver Amount, Agent
and Lenders agree to review the effect of such changes and to make such adjustments as Agent and Lenders deem necessary in their Permitted Discretion. 
 16.13 Amendment and Restatement of Original Loan Agreement. This Agreement constitutes an amendment and restatement of the Original Credit Agreement effective from and after the Closing Date. The
execution and delivery of this Agreement and the consummation of the transactions contemplated hereby are not intended by the parties to be, and shall not constitute, a novation or an accord and satisfaction of the Obligations or any other
obligations owing to Agent or the Lenders under the Original Credit Agreement or any other existing Original Loan Document. On the Closing Date, the credit facilities and the terms and conditions thereof described in the Original Credit Agreement
shall be amended and replaced in their entirety by the credit facilities and the terms and conditions described herein, and all Advances and other Obligations of Borrowers outstanding as of such date under the Original Credit Agreement shall be
deemed to be Advances and Obligations outstanding under the corresponding facilities described herein (such that all 

  

 55 








 
Obligations which are outstanding on the Closing Date under the Original Credit Agreement shall become Obligations under this Agreement), without further
action by any Person. Each of the parties hereto hereby acknowledges and agrees that the grant of the security interests in the Collateral pursuant to the Security Agreement and in any other Loan Document (unless explicitly agreed to by Agent in
writing) is not intended to, nor shall it be construed, as constituting a release of any prior security interests granted by any Borrower in favor of Agent for the benefit of itself, the Lenders, and the Bank Product Providers in or to any
Collateral or any other Property of such Borrower, but is intended to constitute a restatement and reconfirmation of the prior security interests granted by the Borrowers in favor of Agent for the benefit of itself, the Lenders, and the Bank Product
Providers in and to the Collateral and a grant of a new security interest in any Collateral that is not included in the prior security grants by the Borrowers and in favor of Agent for the benefit of itself, the Lenders, and the Bank Product
Providers to the extent such grant was not included in the prior security grants. 
 [Signature page(s) to follow] 
  

 56 








 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed and delivered as
of the date first above written. 
  

			
	THE TRIZETTO GROUP, INC.,
	a Delaware corporation
		
	By:	 	 /s/ James C. Malone

	Name:	 	 James C. Malone

	Title:	 	 Executive Vice President, Chief Financial Officer

	
	DIOGENES, INC.,
	 a Delaware corporation

		
	By:	 	 /s/ James C. Malone

	Name:	 	 James C. Malone

	Title:	 	 Executive Vice President, Chief Financial Officer

	
	INFOTRUST COMPANY,
	 an Illinois corporation

		
	By:	 	 /s/ James C. Malone

	Name:	 	 James C. Malone

	Title:	 	 Executive Vice President, Chief Financial Officer

	
	NOVALIS CORPORATION,
	 a Delaware corporation

		
	By:	 	 /s/ James C. Malone

	Name:	 	 James C. Malone

	Title:	 	 Executive Vice President, Chief Financial Officer

	
	NOVALIS DEVELOPMENT & LICENSING CORPORATION,
	 an Indiana corporation

		
	By:	 	 /s/ James C. Malone

	Name:	 	 James C. Malone

	Title:	 	 Executive Vice President, Chief Financial Officer



  

 S-1 
 Amended and Restated Credit Agreement 









			
	 NOVALIS DEVELOPMENT CORPORATION,
 a
Delaware corporation

		
	By:	 	 /s/ James C. Malone

	Name:	 	 James C. Malone

	Title:	 	 Executive Vice President, Chief Financial Officer

	
	 NOVALIS SERVICES CORPORATION,
 a
Delaware corporation

		
	By:	 	 /s/ James C. Malone

	Name:	 	 James C. Malone

	Title:	 	 Executive Vice President, Chief Financial Officer

	
	 OPTION SERVICES GROUP, INC.,
 an
Illinois corporation

		
	By:	 	 /s/ James C. Malone

	Name:	 	 James C. Malone

	Title:	 	 Executive Vice President, Chief Financial Officer

	
	 DIGITAL INSURANCE SYSTEMS CORPORATION,
 an Ohio corporation

		
	By:	 	 /s/ James C. Malone

	Name:	 	 James C. Malone

	Title:	 	 Executive Vice President, Chief Financial Officer

	
	 FINSERV HEALTH CARE SYSTEMS, INC.,
 a
New York corporation

		
	By:	 	 /s/ James C. Malone

	Name:	 	 James C. Malone

	Title:	 	 Executive Vice President, Chief Financial Officer

	
	 CREATIVE BUSINESS SOLUTIONS, INC.,
 a
Texas corporation

		
	By:	 	 /s/ James C. Malone

	Name:	 	 James C. Malone

	Title:	 	 Executive Vice President, Chief Financial Officer



  

 S-2 
 Amended and Restated Credit Agreement 









			
	 HEALTHCARE MEDIA ENTERPRISES, INC.,
 a Delaware corporation

		
	By:	 	 /s/ James C. Malone

	Name:	 	 James C. Malone

	Title:	 	 Executive Vice President, Chief Financial Officer

	
	 HEALTH NETWORKS OF AMERICA, INC.,
 a
Maryland corporation

		
	By:	 	 /s/ James C. Malone

	Name:	 	 James C. Malone

	Title:	 	 Executive Vice President, Chief Financial Officer

	
	 HEALTHWEB, INC.,
 a Delaware
corporation

		
	By:	 	 /s/ James C. Malone

	Name:	 	 James C. Malone

	Title:	 	 Executive Vice President, Chief Financial Officer

	
	 MARGOLIS HEALTH ENTERPRISES, INC.,
 a
California corporation

		
	By:	 	 /s/ James C. Malone

	Name:	 	 James C. Malone

	Title:	 	 Executive Vice President, Chief Financial Officer

	
	 TRIZETTO APPLICATION SERVICES, INC.,
 a Colorado corporation

		
	By:	 	 /s/ James C. Malone

	Name:	 	 James C. Malone

	Title:	 	 Executive Vice President, Chief Financial Officer

	
	 WINTHROP FINANCIAL GROUP, INC.,
 an
Illinois corporation.

		
	By:	 	 /s/ James C. Malone

	Name:	 	 James C. Malone

	Title:	 	 Executive Vice President, Chief Financial Officer



  

 S-3 
 Amended and Restated Credit Agreement 









			
	 CAREKEY, INC.,
 a Delaware
corporation.

		
	By:	 	 /s/ James C. Malone

	Name:	 	 James C. Malone

	Title:	 	 Executive Vice President, Chief Financial Officer

	
	 PLAN DATA MANAGEMENT, INC.,
 a
Delaware corporation.

		
	By:	 	 /s/ James C. Malone

	Name:	 	 James C. Malone

	Title:	 	 Executive Vice President, Chief Financial Officer

	
	 QUARTZ ACQUISITION CORP.,
 a Delaware
corporation.

		
	By:	 	 /s/ James C. Malone

	Name:	 	 James C. Malone

	Title:	 	 Executive Vice President, Chief Financial Officer

	
	 QUALITY CARE SOLUTIONS, INC.,
 a
Nevada corporation (the successor by merger to Quartz Acquisition Corp.)

		
	By:	 	 /s/ James C. Malone

	Name:	 	 James C. Malone

	Title:	 	 Executive Vice President, Chief Financial Officer

	
	 QCSI PUERTO RICO, INC.,
 a Delaware
corporation

		
	By:	 	 /s/ James C. Malone

	Name:	 	 James C. Malone

	Title:	 	 Executive Vice President, Chief Financial Officer



  

 S-4 
 Amended and Restated Credit Agreement 









			
	 WELLS FARGO FOOTHILL, INC.,
 a
California corporation, as Agent and as a Lender

		
	 By:
	 	 /s/ Terri Le

	 Name:
	 	 Terri Le

	 Title:
	 	 Vice President



  

 S-5 
 Amended and Restated Credit Agreement 








 Schedule 1.1 
 As used in the Agreement, the following terms shall have the following definitions: 
 “Account” means an account (as that term is defined in the Code). 
 “Account Debtor” means any
Person who is obligated on an Account, chattel paper, or a general intangible. 
 “ACH Transactions” means any cash
management or related services (including the Automated Clearing House processing of electronic fund transfers through the direct Federal Reserve Fedline system) provided by a Bank Product Provider for the account of Administrative Borrower or its
Subsidiaries. 
 “Acquisition” means any Asset Acquisition or any Stock Acquisition. 
 “Active Borrower” means each Borrower that is not an Inactive Borrower. 
 “Administrative Borrower” has the meaning specified therefor in Section 16.11. 
 “Advances” has the meaning specified therefor in Section 2.1(a). 
 “Affiliate” means, as applied to any Person, any other Person who controls, is controlled by, or is under common control with, such
Person. For purposes of this definition, “control” means the possession, directly or indirectly through one or more intermediaries, of the power to direct the management and policies of a Person, whether through the ownership of Stock, by
contract, or otherwise; provided, however, that, for purposes of Section 6.13: (a) any Person which owns directly or indirectly 10% or more of the Stock having ordinary voting power for the election of directors or other
members of the governing body of a Person or 10% or more of the partnership or other ownership interests of a Person (other than as a limited partner of such Person) shall be deemed an Affiliate of such Person, (b) each director (or comparable
manager) of a Person shall be deemed to be an Affiliate of such Person, and (c) each partnership (formed under the laws of any jurisdiction) or joint venture in which a Person is a partner or joint venturer shall be deemed an Affiliate of such
Person. 
 “Agent” has the meaning specified therefor in the preamble to the Agreement. 
 “Agent-Related Persons” means Agent, together with its Affiliates, officers, directors, employees, attorneys, and agents. 
 “Agent’s Account” means the Deposit Account of Agent identified on Schedule A-1. 
 “Agent’s Liens” means the Liens granted by Borrowers or their Subsidiaries to Agent under the Loan Documents. 
 “Agreement” means the Credit Agreement to which this Schedule 1.1 is attached. 
 “Applicable Margin” means, with respect to Base Rate Loans and LIBOR Rate Loans, as the case may be, as of any date of determination,
the following margins based upon the most recent Senior Leverage Ratio calculation; provided, however, that at any time that an Event of Default exists hereunder, the applicable Base Rate Margin shall be at Level VI: 
  

							
	 Level
	  	 Senior Leverage Ratio
	  	 Margin above
 Base Rate
	  	 Margin above
 LIBOR Rate

	I	  	Less than 1.75:1.00	  	.0%	  	1.75%
	II	  	At least 1.75:1.00 but less than 2.25:1.00	  	.0%	  	2.0%
	III	  	At least 2.25:1.00 but less than 2.50:1.00	  	.5%	  	2.25%
	IV	  	At least 2.50:1.00 but less than 3.00:1.00	  	1.00%	  	2.50%
	V	  	At least 3.00:1.00 but less than 3.50:1.00	  	1.50%	  	3.00%
	VI	  	At least 3.50:1.00	  	2.00%	  	3.50%

  

 1 








 The Applicable Margins shall be based upon the most recent Senior Leverage Ratio calculation and shall be redetermined
each fiscal quarter of Borrowers as of the first day of the month following the date Agent receives the certified calculation of the Senior Leverage Ratio in a Compliance Certificate; provided, however, that if Borrowers fail to
provide the Compliance Certificate when due, the Applicable Margin shall be the margin in the row styled “Level VI” as of the first day of the month following the date on which the Compliance Certificate was required to be delivered
until the first day of the month following the date on which it is delivered (but not retroactively), without constituting a waiver of any Default or Event of Default caused by the failure to timely deliver the Compliance Certificate, at which time
the Applicable Margin shall be set at a margin based upon the Senior Leverage Ratio calculation set forth therein. In the event that the information contained in any Compliance Certificate delivered pursuant to Schedule 5.3 is shown to be
inaccurate, and such inaccuracy, if corrected, would have led to a different determination of the Applicable Margin at the time such Compliance Certificate was delivered, the Borrowers shall immediately (i) re-deliver a correct Compliance
Certificate for the applicable period to the Agent and the Applicable Margin shall be redetermined in accordance with the definition thereof and (ii) deliver to the Agent full payment in respect of the accrued additional interest on the
Obligations from the date of delivery of the inaccurate Compliance Certificate, which payment shall be promptly applied by the Agent in accordance with Section 2.4 (it being understood that nothing in this definition shall limit the
rights of the Lenders under Section 7). For purposes of this definition, “Senior Leverage Ratio” means the ratio of (a) the Senior Debt as of such date, to (b) TTM EBITDA as of such date. 
 “Applicable EBITDA Multiplier” means, as of any date of determination, the multiplier set forth in the following table that corresponds
to such date: 
  

			
	 Applicable
 EBITDA
 Multiplier
	  	 Date of Determination

	3.50	  	June 30, 2006 through and including December 31, 2006
	3.25	  	January 1, 2007 through and including June 30, 2007
	2.75	  	July 1, 2007 through and including December 31, 2007
	2.50	  	January 1, 2008 and thereafter

  

 2 








 “Asset Acquisition” means the purchase or other acquisition by any Active Borrower of
all or substantially all of the assets of any other Person. 
 “Assignee” has the meaning specified therefor in
Section 13.1(a). 
 “Assignment and Acceptance” means an Assignment and Acceptance Agreement substantially in
the form of Exhibit A-1. 
 “Authorized Person” means any officer or employee of Administrative Borrower. 

“Availability” means, as of any date of determination, the amount that Borrowers are entitled to borrow as Advances hereunder (after
giving effect to all then outstanding Obligations (other than Bank Product Obligations) and all sublimits and reserves then applicable hereunder). 
 “Bank Product” means any financial accommodation extended to Administrative Borrower or its Subsidiaries by a Bank Product Provider (other than pursuant to the Agreement) including: (a) credit cards, (b) credit
card processing services, (c) debit cards, (d) purchase cards, (e) ACH Transactions, (f) cash management, including controlled disbursement, accounts or services, or (g) transactions under Hedge Agreements. 
 “Bank Product Agreements” means those agreements entered into from time to time by Administrative Borrower or its Subsidiaries with a
Bank Product Provider in connection with the obtaining of any of the Bank Products. 
 “Bank Product Obligations” means all
obligations, liabilities, contingent reimbursement obligations, fees, and expenses owing by Administrative Borrower or its Subsidiaries to any Bank Product Provider pursuant to or evidenced by the Bank Product Agreements and irrespective of whether
for the payment of money, whether direct or indirect, absolute or contingent, due or to become due, now existing or hereafter arising, and including all such amounts that Administrative Borrower or its Subsidiaries are obligated to reimburse to
Agent or any member of the Lender Group as a result of Agent or such member of the Lender Group purchasing participations from, or executing indemnities or reimbursement obligations to, a Bank Product Provider with respect to the Bank Products
provided by such Bank Product Provider to Administrative Borrower or its Subsidiaries. 
 “Bank Product Provider” means
Wells Fargo or any of its Affiliates. 
 “Bank Product Reserve” means, as of any date of determination, the lesser of:
(i) $3,000,000 and (ii) the amount of reserves that Agent has established (based upon the Bank Product Providers’ reasonable determination of the credit exposure of Administrative Borrower and its Subsidiaries in respect of Bank
Products) in respect of Bank Products then provided or outstanding. 
  

 3 








 “Bankruptcy Code” means title 11 of the United States Code, as in effect from time to
time. 
 “Base LIBOR Rate” means the rate per annum, determined by Agent in accordance with its customary procedures, and
utilizing such electronic or other quotation sources as it considers appropriate (rounded upwards, if necessary, to the next 1/100%), to be the rate at which Dollar deposits (for delivery on the first day of the requested Interest Period) are
offered to major banks in the London interbank market 2 Business Days prior to the commencement of the requested Interest Period, for a term and in an amount comparable to the Interest Period and the amount of the LIBOR Rate Loan requested (whether
as an initial LIBOR Rate Loan or as a continuation of a LIBOR Rate Loan or as a conversion of a Base Rate Loan to a LIBOR Rate Loan) by Administrative Borrower in accordance with the Agreement, which determination shall be conclusive in the absence
of manifest error. 
 “Base Rate” means, the rate of interest announced, from time to time, within Wells Fargo at its
principal office in San Francisco as its “prime rate”, with the understanding that the “prime rate” is one of Wells Fargo’s base rates (not necessarily the lowest of such rates) and serves as the basis upon which effective
rates of interest are calculated for those loans making reference thereto and is evidenced by the recording thereof after its announcement in such internal publications as Wells Fargo may designate. 
 “Base Rate Loan” means the portion of the Advances or the Term Loan that bears interest at a rate determined by reference to the Base
Rate. 
 “Bear Stearns Collateral Account” means that certain brokerage account #049-41366 maintained by Parent at Bear
Stearns & Co. 
 “Benefit Plan” means a “defined benefit plan” (as defined in Section 3(35) of
ERISA) for which any Borrower or any Subsidiary or ERISA Affiliate of any Borrower has been an “employer” (as defined in Section 3(5) of ERISA) within the past six years, but excluding a plan which is unfunded and is maintained by an
employer primarily for the purpose of providing deferred compensation for a select group of management or highly compensated employees as set forth in ERISA Section 303(a)(3). 
 “Board of Directors” means the board of directors (or comparable managers) of Parent or any committee thereof duly authorized to act on
behalf of the board of directors (or comparable managers). 
 “Borrower” and “Borrowers” have the
respective meanings specified therefor in the preamble to the Agreement. 
 “Borrowing” means a borrowing hereunder
consisting, as the context requires, of: (i) Advances made on the same day by the Lenders (or Agent on behalf thereof), (ii) Advances made by Swing Lender in the case of a Swing Loan, (iv) Advances made by Agent in the case of a
Protective Advance, or (iv) Term Loan Draws funded by the Lenders, in each case, to Administrative Borrower. 
 “Business
Day” means any day that is not a Saturday, Sunday, or other day on which banks are authorized or required to close in the State of California, except that, if a determination of a Business Day shall relate to a LIBOR Rate Loan, the term
“Business Day” also shall exclude any day on which banks are closed for dealings in Dollar deposits in the London interbank market. 
 “Capital Expenditures” means, with respect to any Person for any period, the aggregate of all expenditures by such Person and its Subsidiaries during such period that are capital expenditures as determined in accordance
with GAAP, whether such expenditures are paid in cash or financed and including capitalized software expenditures. 
  

 4 








 “Capitalized Lease Obligation” means that portion of the obligations under a Capital
Lease that is required to be capitalized in accordance with GAAP. 
 “Capital Lease” means a lease that is required to be
capitalized for financial reporting purposes in accordance with GAAP. 
 “Cash Equivalents” means (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 1 year from the date of acquisition thereof,
(b) marketable direct obligations issued by any state of the United States or any political subdivision of any such state or any public instrumentality thereof maturing within 1 year from the date of acquisition thereof and, at the time of
acquisition, having one of the two highest ratings obtainable from either Standard & Poor’s Rating Group (“S&P”) or Moody’s Investors Service, Inc. (“Moody’s”), (c) commercial paper maturing no
more than 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 or bankers’ acceptances maturing within 1
year from the date of acquisition thereof issued by any bank organized under the laws of the United States or any state thereof having at the date of acquisition thereof combined capital and surplus of not less than $250,000,000, (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 amount maintained with any such
other bank is less than or equal to $100,000 and is insured by the Federal Deposit Insurance Corporation, and (f) Investments in money market funds substantially all of whose assets are invested in the types of assets described in clauses
(a) through (e) above. 
 “Cash Management Account” has the meaning specified therefor in
Section 2.7(a). 
 “Cash Management Agreements” means those certain cash management agreements, in form and
substance satisfactory to Agent, each of which is among Administrative Borrower or one of its Subsidiaries, Agent, and one of the Cash Management Banks. 
 “Cash Management Bank” has the meaning specified therefor in Section 2.7(a). 
 “Change of Control” means that (a) any “person” or “group” (within the meaning of Sections 13(d) and 14(d) of the Exchange Act) becomes the beneficial owner (as defined in Rule 13d-3 under the
Exchange Act), directly or indirectly, of 30%, or more, of the Stock of Parent having the right to vote for the election of members of the Board of Directors, or (b) a majority of the members of the Board of Directors do not constitute
Continuing Directors. 
 “Closing Date” means the date of the initial Term Loan Draw hereunder. 
 “Closing Date Projections” means the Projections delivered to Agent on or about the Closing Date. 
 “Code” means the California Uniform Commercial Code, as in effect from time to time. 
 “Collateral” means all assets and interests in assets and proceeds thereof now owned or hereafter acquired by Administrative Borrower or
its Subsidiaries in or upon which a Lien is granted under any of the Loan Documents. 
 “Collateral Access Agreement” means
a landlord waiver, bailee letter, or acknowledgement agreement of any lessor, warehouseman, processor, consignee, or other Person in possession of, having a Lien upon, or having rights or interests in Administrative Borrower’s or its
Subsidiaries’ books and records, Equipment or Inventory, in each case, in form and substance satisfactory to Agent. 
  

 5 








 “Collections” means all cash, checks, notes, instruments, and other items of
payment (including insurance proceeds, proceeds of cash sales, rental proceeds, and tax refunds). 
 “Commitment” means,
with respect to each Lender, its Revolver Commitment, its Term Loan Commitment, or its Total Commitment, as the context requires, and, with respect to all Lenders, their Revolver Commitments, their Term Loan Commitments, or their Total Commitments,
as the context requires, in each case as such Dollar amounts are set forth beside such Lender’s name under the applicable heading on Schedule C-1 or in the Assignment and Acceptance pursuant to which such Lender became a Lender
hereunder, as such amounts may be reduced or increased from time to time pursuant to assignments made in accordance with the provisions of Section 13.1. 
 “Compliance Certificate” means a certificate substantially in the form of Exhibit C-1 delivered by the chief financial officer of Parent to Agent. 
 “Continuing Director” means (a) any member of the Board of Directors who was a director (or comparable manager) of Parent on the
Closing Date, except for David Thomas and (b) any individual who becomes a member of the Board of Directors after the Closing Date if such individual was appointed or nominated for election to the Board of Directors by a majority of the
Continuing Directors, but excluding any such individual originally proposed for election in opposition to the Board of Directors in office at the Closing Date in an actual or threatened election contest relating to the election of the directors (or
comparable managers) of Parent and whose initial assumption of office resulted from such contest or the settlement thereof. 
 “Control Agreement” means a control agreement, in form and substance satisfactory to Agent, executed and delivered by Borrowers, Agent, and the applicable securities intermediary (with respect to a Securities Account) or
bank (with respect to a Deposit Account). 
 “Copyright Security Agreement” has the meaning specified therefor in the
Security Agreement. 
 “Daily Balance” means, as of any date of determination and with respect to any Obligation, the amount
of such Obligation owed at the end of such day. 
 “Default” means an event, condition, or default that, with the giving of
notice, the passage of time, or both, would be an Event of Default. 
 “Defaulting Lender” means any Lender that fails to
make any Advance, fund any Term Loan Draw, or make any other extension of credit that it is required to make hereunder on the date that it is required to do so hereunder. 
 “Defaulting Lender Rate” means (a) for the first 3 days from and after the date the relevant payment is due, the Base Rate, and (b) thereafter, the interest rate then applicable to Advances
(inclusive of the Base Rate Margin applicable thereto). 
 “Deposit Account” means any deposit account (as that term is
defined in the Code). 
 “Designated Account” means the Deposit Account of Administrative Borrower identified on Schedule
D-1. 
 “Designated Account Bank” has the meaning specified therefor in Schedule D-1. 
 “Dollars” or “$” means United States dollars. 
  

 6 








 “EBITDA” means, with respect to any fiscal period, Parent’s and its
Subsidiaries’ consolidated net earnings (or loss), minus extraordinary gains and interest income, plus (i) interest expense, plus (ii) income taxes, plus (iii) non-cash employee compensation consisting of Stock of any Borrower
(to the extent any Borrower is required to recognize such Stock based compensation as an expense), plus (iv) depreciation and amortization for such period, plus (v) extraordinary non-cash losses in an amount not to exceed $2,000,000 in any
one fiscal year, plus (vi) the amount actually paid by Borrowers in the 2006 calendar year with respect to the settlement of the McKesson Lawsuit in the total aggregate amount not to exceed $15,000,000, in each case, as determined in accordance
with GAAP. Notwithstanding the foregoing, the EBITDA calculation shall not include any pre-QCSI Merger contributions to EBITDA from QCSI. 
 “EBITDA Revolver Limiter” means, as of any date of determination, the difference of: (A) product of: (i) the Applicable EBITDA Multiplier multiplied by (ii) TTM EBITDA calculated as of the most recent month
for which financial statements have been delivered pursuant to Section 5.3, minus (B) the outstanding balance of the Term Loan. 
 “EBITDA Term Loan Limiter” means, as of any date of determination, the difference of: (A) product of: (i) the Applicable EBITDA Multiplier multiplied by (ii) TTM EBITDA calculated as of the most recent month
for which financial statements have been delivered pursuant to Section 5.3, minus (B) the Revolver Usage. 
 “Eligible Transferee” means (a) a commercial bank organized under the laws of the United States, or any state thereof, and having total assets in excess of $250,000,000, (b) a commercial bank organized under the
laws of any other country which is a member of the Organization for Economic Cooperation and Development or a political subdivision of any such country and which has total assets in excess of $250,000,000, provided that such bank is acting through a
branch or agency located in the United States, (c) a finance company, insurance company, or other financial institution or fund that is engaged in making, purchasing, or otherwise investing in commercial loans in the ordinary course of its
business and having (together with its Affiliates) total assets in excess of $250,000,000, (d) any Affiliate (other than individuals) of a Lender, (e) so long as no Event of Default has occurred and is continuing, any other Person approved
by Agent and Administrative Borrower (which approval of Administrative Borrower shall not be unreasonably withheld, delayed, or conditioned), and (f) during the continuation of an Event of Default, any other Person approved by Agent.
Notwithstanding the foregoing, so long as no Default or Event of Default exists as of any date of determination, “Eligible Transferee” shall not include any Person Agent knows is an operating company and a direct competitor of Borrowers,
taken as a whole. 
 “Environmental Actions” means any complaint, summons, citation, notice, directive, order, claim,
litigation, investigation, judicial or administrative proceeding, judgment, letter, or other communication from any Governmental Authority, or any third party involving violations of Environmental Laws or releases of Hazardous Materials from
(a) any assets, properties, or businesses of any Borrower, any Subsidiary of a Borrower, or any of their predecessors in interest, (b) from adjoining properties or businesses, or (c) from or onto any facilities which received
Hazardous Materials generated by any Borrower, any Subsidiary of a Borrower, or any of their predecessors in interest. 
 “Environmental Law” means any applicable federal, state, provincial, foreign or local statute, law, rule, regulation, ordinance, code, binding and enforceable guideline, binding and enforceable written policy or rule of
common law now or hereafter in effect and in each case as amended, or any judicial or administrative interpretation thereof, including any judicial or administrative order, consent decree or judgment, in each case, to the extent binding on any
Borrower, relating to the environment, the effect of the environment on employee health, or Hazardous Materials, in each case as amended from time to time. 
 “Environmental Liabilities” means all liabilities, monetary obligations, losses, damages, punitive damages, consequential damages, treble damages, costs and expenses (including all reasonable fees,


  

 7 








 
disbursements and expenses of counsel, experts, or consultants, and costs of investigation and feasibility studies), fines, penalties, sanctions, and
interest incurred as a result of any claim or demand, or Remedial Action required, by any Governmental Authority or any third party, and which relate to any Environmental Action. 
 “Environmental Lien” means any Lien in favor of any Governmental Authority for Environmental Liabilities. 
 “Equipment” means equipment (as that term is defined in the Code. 
 “ERISA” means the Employee Retirement Income Security Act of 1974, as amended, and any successor statute thereto. 
 “ERISA Affiliate” means (a) any Person subject to ERISA whose employees are treated as employed by the same employer as the
employees of a Borrower under IRC Section 414(b), (b) any trade or business subject to ERISA whose employees are treated as employed by the same employer as the employees of a Borrower under IRC Section 414(c), (c) solely for
purposes of Section 302 of ERISA and Section 412 of the IRC, any organization subject to ERISA that is a member of an affiliated service group of which a Borrower is a member under IRC Section 414(m), or (d) solely for purposes
of Section 302 of ERISA and Section 412 of the IRC, any Person subject to ERISA that is a party to an arrangement with a Borrower and whose employees are aggregated with the employees of a Borrower under IRC Section 414(o).

 “Event of Default” has the meaning specified therefor in Section 7. 
 “Excess Availability” means, as of any date of determination, the amount equal to Availability minus the aggregate amount, if
any, of all trade payables of Borrowers and their Subsidiaries more than 60 days past due date and all book overdrafts of Borrowers and their Subsidiaries in excess of their historical practices with respect thereto, in each case as determined by
Agent in its Permitted Discretion. 
 “Exchange Act” means the Securities Exchange Act of 1934, as in effect from time to
time. 
 “Extraordinary Receipts” means any cash received by Parent or any of its Subsidiaries not in the ordinary course of
business, including (a) foreign, United States, state or local tax refunds, (b) pension plan reversions, (c) proceeds of insurance (including key man life insurance and business interruption insurance, but excluding any casualty
insurance) except to the extent actually used by such Person in accordance with Section 5.8(b), (d) judgments, proceeds of settlements or other consideration of any kind in connection with any cause of action, (e) indemnity
payments, and (f) any purchase price adjustment received in connection with any purchase agreement, but only to the extent that the amount of all such receipts in (a) through (f) either (1) exceed $1,000,000 in the aggregate in
any fiscal year of Parent or (2) is received while an Event of Default has occurred and its continuing. 
 “Fee Letter”
means that certain amended and restated fee letter between Borrowers and Agent, in form and substance satisfactory to Agent. 
 “Funding Date” means the date on which a Borrowing occurs. 
 “GAAP” means generally accepted
accounting principles as in effect from time to time in the United States, consistently applied. 
 “Governing Documents”
means, with respect to any Person, the certificate or articles of incorporation, by-laws, or other organizational documents of such Person. 
  

 8 








 “Governmental Authority” means any federal, state, local, or other governmental or
administrative body, instrumentality, board, department, or agency or any court, tribunal, administrative hearing body, arbitration panel, commission, or other similar dispute-resolving panel or body. 
 “Hazardous Materials” means (a) substances that are defined or listed in, or otherwise classified pursuant to, any applicable laws
or regulations as “hazardous substances,” “hazardous materials,” “hazardous wastes,” “toxic substances,” or any other formulation intended to define, list, or classify substances by reason of deleterious
properties such as ignitability, corrosivity, reactivity, carcinogenicity, reproductive toxicity, or “EP toxicity”, (b) oil, petroleum, or petroleum derived substances, natural gas, natural gas liquids, synthetic gas, drilling fluids,
produced waters, and other wastes associated with the exploration, development, or production of crude oil, natural gas, or geothermal resources, (c) any flammable substances or explosives or any radioactive materials, and (d) asbestos in
any form or electrical equipment that contains any oil or dielectric fluid containing levels of polychlorinated biphenyls in excess of 50 parts per million. 
 “Hedge Agreement” means any and all agreements, or documents now existing or hereafter entered into by Administrative Borrower or any of its Subsidiaries that provide for an interest rate, credit,
commodity or equity swap, cap, floor, collar, forward foreign exchange transaction, currency swap, cross currency rate swap, currency option, or any combination of, or option with respect to, these or similar transactions, for the purpose of hedging
Administrative Borrower’s or any of its Subsidiaries’ exposure to fluctuations in interest or exchange rates, loan, credit exchange, security or currency valuations or commodity prices. 
 “Holdout Lender” has the meaning specified therefor in Section 14.2(a). 
 “Inactive Borrowers” means Digital Insurance Systems Corporation, an Ohio corporation, Finserv Health Care Systems, Inc., a New York
corporation, Creative Business Solutions, Inc., a Texas corporation, Healthcare Media Enterprises, Inc., a Delaware corporation, Health Networks of America, Inc., a Maryland corporation, HealthWeb, Inc., a Delaware corporation, Margolis Health
Enterprises, Inc., a California corporation, TriZetto Application Services, Inc., a Colorado corporation, QCSI Puerto Rico, and Winthrop Financial Group, Inc., an Illinois corporation. 
 “Indebtedness” means (a) all obligations for borrowed money, (b) all obligations evidenced by bonds, debentures, notes, or
other similar instruments and all reimbursement or other obligations in respect of letters of credit, bankers acceptances, interest rate swaps, or other financial products, (c) Capitalized Lease Obligations, (d) all obligations or
liabilities of others secured by a Lien on any asset of a Person or its Subsidiaries, irrespective of whether such obligation or liability is assumed, (e) all obligations to pay the deferred purchase price of assets (other than trade payables
incurred in the ordinary course of business and repayable in accordance with customary trade practices), (f) all obligations owing under Hedge Agreements, and (g) any obligation guaranteeing or intended to guarantee (whether directly or
indirectly guaranteed, endorsed, co-made, discounted, or sold with recourse) any obligation of any other Person that constitutes Indebtedness under any of clauses (a) through (f) above. 
 “Indemnified Liabilities” has the meaning specified therefor in Section 10.3. 
 “Indemnified Person” has the meaning specified therefor in Section 10.3. 
 “Insolvency Proceeding” means any proceeding commenced by or against any Person under any provision of the Bankruptcy Code or under any
other state or federal bankruptcy or insolvency law, assignments for the benefit of creditors, formal or informal moratoria, compositions, extensions generally with creditors, or proceedings seeking reorganization, arrangement, or other similar
relief. 
 “Intercompany Subordination Agreement” means a subordination agreement executed and delivered by Borrowers and
Agent, the form and substance of which is satisfactory to Agent. 
  

 9 








 “Interest Expense” means, for any period, the aggregate of the interest expense of
Parent and its Subsidiaries for such period, determined on a consolidated basis in accordance with GAAP. 
 “Interest
Period” means, with respect to each LIBOR Rate Loan, a period commencing on the date of the making of such LIBOR Rate Loan (or the continuation of a LIBOR Rate Loan or the conversion of a Base Rate Loan to a LIBOR Rate Loan) and ending 1
month, 2 months, or 3 months thereafter; provided, however, that (a) if any Interest Period would end on a day that is not a Business Day, such Interest Period shall be extended (subject to clauses (c)-(e) below) to the next
succeeding Business Day, (b) interest shall accrue at the applicable rate based upon the LIBOR Rate from and including the first day of each Interest Period to, but excluding, the day on which any Interest Period expires, (c) any Interest
Period that would end on a day that is not a Business Day shall be extended to the next succeeding Business Day unless such Business Day falls in another calendar month, in which case such Interest Period shall end on the next preceding Business
Day, (d) 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 applicable calendar month that is 1 month, 2 months, or 3 months after the date on which the Interest Period began, as applicable, and (e) Borrowers (or Administrative Borrower on behalf thereof) may
not elect an Interest Period which will end after the Maturity Date. 
 “Inventory” means inventory (as that term is defined
in the Code). 
 “Investment” means, with respect to any Person, any investment by such Person in any other Person
(including Affiliates) in the form of loans, guarantees, advances, or capital contributions (excluding (a) commission, travel, and similar advances to officers and employees of such Person made in the ordinary course of business, and
(b) bona fide Accounts arising in the ordinary course of business consistent with past practice), purchases or other acquisitions of Indebtedness, Stock, or all or substantially all of the assets of such other Person (or of any division or
business line of such other Person), and any other items that are or would be classified as investments on a balance sheet prepared in accordance with GAAP. 
 “IRC” means the Internal Revenue Code of 1986, as in effect from time to time. 
 “Issuing Lender” means WFF. 
 “L/C” has the meaning specified therefor in
Section 2.12(a). 
 “L/C Disbursement” means a payment made by the Issuing Lender pursuant to a Letter of
Credit. 
 “L/C Undertaking” has the meaning specified therefor in Section 2.12(a). 
 “Lender” and “Lenders” have the respective meanings set forth in the preamble to the Agreement, and shall include any
other Person made a party to the Agreement in accordance with the provisions of Section 13.1. 
 “Lender Group”
means, individually and collectively, each of the Lenders (including the Issuing Lender) and Agent. 
 “Lender Group
Expenses” means all (a) costs or expenses (including taxes, and insurance premiums) required to be paid by a Borrower under any of the Loan Documents that are paid, advanced, or incurred by the Lender Group, (b) fees or charges
paid or incurred by Agent in connection with the Lender Group’s transactions with Borrowers, including, fees or charges for photocopying, notarization, couriers and messengers, telecommunication, public record searches (including tax lien,
litigation, and UCC searches and including searches with the patent and trademark office, the copyright office, or the department of motor 

  

 10 








 
vehicles), filing, recording, publication, appraisal (including periodic collateral appraisals or business valuations to the extent of the fees and charges
(and up to the amount of any limitation) contained in the Agreement, real estate surveys, real estate title policies and endorsements, and environmental audits, (c) costs and expenses incurred by Agent in the disbursement of funds to Borrowers
or other members of the Lender Group (by wire transfer or otherwise), (d) charges paid or incurred by Agent resulting from the dishonor of checks, (e) reasonable costs and expenses paid or incurred by the Lender Group to correct any
default or enforce any provision of the Loan Documents, or in gaining possession of, maintaining, handling, preserving, storing, shipping, selling, preparing for sale, or advertising to sell the Collateral, or any portion thereof, irrespective of
whether a sale is consummated, (f) audit fees and expenses of Agent related to any inspections or audits to the extent of the fees and charges (and up to the amount of any limitation) contained in the Agreement, (g) reasonable costs and
expenses of third party claims or any other suit paid or incurred by the Lender Group in enforcing or defending the Loan Documents or in connection with the transactions contemplated by the Loan Documents or the Lender Group’s relationship with
any Borrower, (h) Agent’s and each Lender’s reasonable costs and expenses (including attorneys fees) incurred in advising, structuring, drafting, reviewing, administering, syndicating (including rating the Term Loan), or amending the
Loan Documents, and (i) Agent’s and each Lender’s reasonable costs and expenses (including attorneys, accountants, consultants, and other advisors fees and expenses) incurred in terminating, enforcing (including attorneys,
accountants, consultants, and other advisors fees and expenses incurred in connection with a “workout,” a “restructuring,” or an Insolvency Proceeding concerning any Borrower in exercising rights or remedies under the Loan
Documents), or defending the Loan Documents, irrespective of whether suit is brought, or in taking any Remedial Action concerning the Collateral. 
 “Lender-Related Person” means, with respect to any Lender, such Lender, together with such Lender’s Affiliates, officers, directors, employees, attorneys, and agents. 
 “Letter of Credit” means an L/C or an L/C Undertaking, as the context requires. 
 “Letter of Credit Usage” means, as of any date of determination, the aggregate undrawn amount of all outstanding Letters of Credit.

 “LIBOR Deadline” has the meaning specified therefor in Section 2.13(b)(i). 
 “LIBOR Notice” means a written notice in the form of Exhibit L-1. 
 “LIBOR Option” has the meaning specified therefor in Section 2.13(a). 
 “LIBOR Rate” means, 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%) by dividing (a) the Base LIBOR Rate 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 Loan” means each portion of an Advance or the Term Loan that bears interest at a rate determined by reference
to the LIBOR Rate. 
 “Lien” means any interest in an asset securing an obligation owed to, or a claim by, any Person other
than the owner of the asset, irrespective of whether (a) such interest is based on the common law, statute, or contract, (b) such interest is recorded or perfected, and (c) such interest is contingent upon the occurrence of some
future event or events or the existence of some future circumstance or circumstances. Without limiting the generality of the foregoing, the term “Lien” includes the lien or security interest arising from a mortgage, deed of trust,
encumbrance, notice of Lien, levy or assessment, pledge, hypothecation, assignment, deposit arrangement, security agreement, conditional sale or trust receipt, or from a lease, consignment, or bailment for security purposes and also includes
reservations, exceptions, encroachments, easements, rights-of-way, covenants, conditions, restrictions, leases, and other title exceptions and encumbrances affecting Real Property. 
  

 11 








 “Liquidity” means, as of any date of determination, the sum of: (i) Qualified Cash
plus (ii) Excess Availability. 
 “Loan Account” has any meaning specified therefor in Section 2.10.

 “Loan Documents” means the Agreement, the Bank Product Agreements, the Cash Management Agreements, the Control
Agreements, the Fee Letter, the Intercompany Subordination Agreement, the Security Agreement, the Patent Security Agreement, Trademark Security Agreement, Copyright Security Agreement, any note or notes executed by a Borrower in connection with the
Agreement and payable to a member of the Lender Group, and any other agreement entered into, now or in the future, by any Borrower and the Lender Group in connection with the Agreement. 
 “Loan Limit” has the meaning specified therefor in Section 2.4(c)(i) 
 “Limiter Excess” has the meaning specified therefor in Section 2.4(c)(i). 
 “Material Adverse Change” means (a) a material adverse change in the business, prospects, operations, results of operations,
assets, liabilities or condition (financial or otherwise) of Borrowers and their Subsidiaries, taken as a whole, (b) a material impairment of a Borrower’s or any of its Subsidiaries’ ability to perform its obligations under the Loan
Documents to which it is a party or of the Lender Group’s ability to enforce the Obligations or realize upon the Collateral, or (c) a material impairment of the enforceability or priority of the Agent’s Liens with respect to the
Collateral as a result of an action or failure to act on the part of Borrower. 
 “Maturity Date” has the meaning specified
therefor in Section 3.3. 
 “Maximum Credit Amount” means $250,000,000. 
 “Maximum Revolver Amount” means $100,000,000. 
 “McKesson Lawsuit” means, that certain Civil Action No. 04-1258-SLR, relating to the complaint filed against Parent, on September 13, 2004, in the District Court for the District of
Delaware, captioned McKesson Information Solutions LLC v. The TriZetto Group, Inc, wherein McKesson alleged that certain of Parent’s products infringed on one of McKesson’s patents. 
 “Merger Agreement” has the meaning specified therefor in the recitals to the Agreement. 
 “Merger Documents” has the meaning specified therefor in Section 4.22. 
 “Mortgages” means, individually and collectively, one or more mortgages, deeds of trust, or deeds to secure debt, executed and delivered
by a Borrower in favor of Agent, in form and substance satisfactory to Agent, that encumber the Real Property Collateral. 
 “Net
Cash Proceeds” means: 
 (a) with respect to any sale or disposition by a Borrower of property or 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 a Borrower, in connection therewith after deducting therefrom only (i) the amount of any
indebtedness secured by any Permitted Lien on any asset (other 

  

 12 








 
than (A) Indebtedness owing to Agent or any Lender under the Agreement or the other Loan Documents and (B) Indebtedness assumed by the purchaser or
such asset) which is required to be, and is, repaid in connection with such sale or disposition, (ii) reasonable fees, commissions, and expenses related thereto and required to be paid by a Borrower in connection with such sale or disposition
and (iii) taxes paid or payable to any taxing authorities by a Borrower in connection with such sale or 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 a Borrower, and area properly attributable to such transaction; and 
 (b)
with respect to the issuance or incurrence of any Indebtedness by a Borrower, or the issuance by a Borrower of any shares of its Stock, 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 a Borrower 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 a Borrower in connection with such issuance or incurrence, (ii) taxes paid or payable to any taxing authorities by a Borrower 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 a Borrower, and are properly attributable to such transaction. 
 “Obligations” means (a) all loans (including the Term Loan), Advances, debts, principal, interest (including any interest that
accrues after the commencement of an Insolvency Proceeding regardless of whether allowed or allowable in whole or in part as a claim in any such Insolvency Proceeding), contingent reimbursement obligations with respect to outstanding Letters of
Credit, premiums, liabilities (including all amounts charged to Borrowers’ Loan Account pursuant hereto), obligations (including indemnification obligations), fees (including the fees provided for in the Fee Letter), charges, costs, Lender
Group Expenses (including any fees or expenses that accrue after the commencement of an Insolvency Proceeding, regardless of whether allowed or allowable in whole or in part as a claim in any such Insolvency Proceeding), lease payments, guaranties,
covenants, and duties of any kind and description owing by Borrowers to the Lender Group pursuant to or evidenced by the Loan Documents and irrespective of whether for the payment of money, whether direct or indirect, absolute or contingent, due or
to become due, now existing or hereafter arising, and including all interest not paid when due and all Lender Group Expenses that Borrowers are required to pay or reimburse by the Loan Documents, by law, or otherwise, and (b) all Bank Product
Obligations. Any reference in the Agreement or in the Loan Documents to the Obligations shall include all or any portion thereof and any extensions, modifications, renewals, or alterations thereof, both prior and subsequent to any Insolvency
Proceeding. 
 “Original Credit Agreement” has the meaning specified therefor in the recitals to the Agreement. 

“Original Loan Documents” means the Loan Documents as that term was defined in the Original Credit Agreement. 
 “Originating Lender” has the meaning specified therefor in Section 13.1(e). 
 “Overadvance” has the meaning specified therefor in Section 2.5. 
 “Parent” has the meaning specified therefor in the preamble to the Agreement. 
 “Participant” has the meaning specified therefor in Section 13.1(e). 
 “Patent Security Agreement” has the meaning specified therefor in the Security Agreement. 
 “PDM” means Plan Data Management, Inc., a Delaware corporation. 
  

 13 








 “Permitted Acquisition” means a Permitted Cash Acquisition or a Permitted Non-Cash
Acquisition, as the context requires. 
 “Permitted Capitalized Lease Obligations” means, as of any date of determination,
Capitalized Lease Obligations incurred after the Closing Date not to exceed $7,250,000 in the aggregate incurred in any one fiscal year. 
 “Permitted Cash Acquisition” means any Acquisition made by an Active Borrower as to which each of the following is applicable (a) such Acquisition does not qualify as a Permitted Non-Cash Acquisition solely because the
consideration payable in respect of the proposed Acquisition includes some form of consideration other than solely the common Stock of Parent; (b) no Indebtedness that is not permitted under Section 6.1 will be incurred as a result
of such Acquisition; (c) both before and after giving effect to payment of any consideration (other than Stock of Parent) paid in connection with such Acquisition, Borrowers would have Liquidity in excess of $20,000,000; and (d) the total
consideration (other than Stock of Parent) paid, or obligations assumed, in connection with all Permitted Cash Acquisitions consummated since the Closing Date does not exceed $20,000,000 in the aggregate. 
 “Permitted Discretion” means a determination made in the exercise of reasonable (from the perspective of a secured asset-based lender)
business judgment. 
 “Permitted Dispositions” means (a) sales and other dispositions of Equipment that is
substantially worn, damaged, or obsolete in the ordinary course of business, (b) sales of Inventory to buyers in the ordinary course of business, (c) the use or transfer of money or Cash Equivalents in a manner that is not prohibited by
the terms of this Agreement or the other Loan Documents, (d) the licensing, on a non-exclusive basis, of Intellectual Property rights in the ordinary course of business, (e) the transfer of assets by a Borrower to an Active Borrower,
(f) so long as no Default or Event of Default has occurred and is continuing or would result therefrom, dispositions of assets (other than Accounts, Intellectual Property, Inventory, or contracts for maintenance services that are revenue
generating) not otherwise permitted in clauses (a) through (e) so long as made at fair market value and the aggregate amount of all such dispositions during any fiscal year would not exceed $2,000,000. 
 “Permitted Investments” means (a) Investments in cash and Cash Equivalents (other than those maintained in the Bear Stearns
Collateral Account), (b) Investments in negotiable instruments for collection, (c) advances made in connection with purchases of goods or services in the ordinary course of business, (d) Investments received in settlement of amounts
due to a Borrower effected in the ordinary course of business or owing to a Borrower as a result of Insolvency Proceedings involving an Account Debtor or upon the foreclosure or enforcement of any Lien in favor of a Borrower, (e) Permitted
Acquisitions, (f) Investments relating to payments made to customers of a Borrower in connection with a bona fide customer agreement (the “Customer Rebates”) and provided: (x) no Default or Event of Default has occurred and is
continuing or would result from the Customer Rebates; (y) both before and after giving effect to any Customer Rebate, Borrowers would have Liquidity in excess of $30,000,000, and (z) Customer Rebates do not exceed $10,000,000 in the
aggregate; and (g) Investments in the Bear Stearns Collateral Account, but only so long as the aggregate value of the Investments in the Bear Stearns Collateral Account does not at any time exceed $1,000,000 and such account is closed on or
before February 12, 2007 (after such date the Investments in the Bear Stearns Collateral Account shall cease to be a Permitted Investment). 
 “Permitted Liens” means (a) Liens held by Agent to secure the Obligations, (b) Liens for unpaid taxes, assessments, or other governmental charges or levies that either (i) are not yet delinquent, or
(ii) do not have priority over the Agent’s Liens and the underlying taxes, assessments, or charges or levies are the subject of Permitted Protests, (c) judgment Liens that do not constitute an Event of Default under Section 7.7
of the Agreement, (d) Liens set forth on Schedule P-1, (e) the interests of lessors under operating leases, (f) purchase money Liens or the interests of lessors under Capital Leases to the extent that such Liens or interests
secure 

  

 14 








 
Permitted Purchase Money Indebtedness or Permitted Capitalized Lease Obligations, as applicable, and so long as such Lien attaches only to the asset
purchased or acquired and the proceeds thereof, (g) Liens arising by operation of law in favor of warehousemen, landlords, carriers, mechanics, materialmen, laborers, or suppliers, incurred in the ordinary course of Borrowers’ business and
not in connection with the borrowing of money, and which Liens either (i) are for sums not yet delinquent, or (ii) are the subject of Permitted Protests, (h) Liens on amounts deposited in connection with obtaining worker’s
compensation or other unemployment insurance, (i) Liens on amounts deposited in connection with the making or entering into of bids, tenders, statutory obligations, government contracts, or leases in the ordinary course of business and not in
connection with the borrowing of money, (j) Liens on amounts deposited as security for surety or appeal bonds in connection with obtaining such bonds in the ordinary course of business, (k) with respect to any Real Property, easements,
rights of way, and zoning restrictions that do not materially interfere with or impair the use or operation thereof and (l) the Lien held by JPMorgan Chase Bank, N.A. on assets deposited in the Bear Stearns collateral account brokerage account
#049-41366 maintained at Bear Stearns & Co., but only so long as the aggregate value of the Investments in the Bear Stearns Collateral Account does not at any time exceed $1,000,000 and such account is closed on or before February 12,
2007 (after such date the Lien referenced in this clause (l) shall cease to be a Permitted Lien). 
 “Permitted Merger”
means the merger of (i) an Active Borrower into an Active Borrower (ii) an Inactive Borrower into an Active Borrower, so long as (A) no other provision of this Agreement would be violated thereby, (B) Administrative Borrower
gives the Agent at least 15 days’ prior written notice of such merger, (C) no Default or Event of Default shall have occurred and be continuing either before or after giving effect to such merger, (D) the Agent’s rights in any
Collateral, including, without limitation, the existence, perfection and priority of any Lien thereon, are not adversely affected by such merger, and (E) the surviving entity of any such merger shall be an Active Borrower. 
 “Permitted Non-Cash Acquisition” means any Acquisition made by an Active Borrower so long as: 
 (a) no Default or Event of Default shall have occurred and be continuing or would result from the consummation of the proposed Acquisition, 
 (b) the assets being acquired, or the Person whose Stock is being acquired, are useful in or engaged in, as applicable, the business of the Active
Borrowers or a business reasonably related thereto, 
 (c) the consideration payable in respect of the proposed Acquisition shall be
comprised solely of common Stock of Parent, 
 (d) Borrowers have provided Agent with written confirmation, supported by reasonably detailed
calculations, that on a pro forma basis, created by adding the historical combined financial statements of Parent (including the combined financial statements of any other Person or assets that were the subject of a prior Permitted
Acquisition during the relevant period) and the Projections delivered to Agent pursuant to Schedule 5.3 to the historical consolidated financial statements of the Person to be acquired (or the historical financial statements related to
the assets to be acquired) and the financial projections of the Person being acquired pursuant to the proposed Acquisition (adjusted to eliminate expense items that would not have been or would not be incurred and to include income items that would
have been or would be recognized, Borrowers would have been and will continue to be in compliance with the financial covenants in Section 6.16 for the 12 months ending as of the first fiscal quarter ended immediately prior to the
proposed date of consummation of such proposed Acquisition and for the period ending on the first fiscal quarter that is at least 12 months after the proposed date of consummation of such proposed Acquisition, together with copies of all such
historical financial statements and financial projections of the Person or assets being acquired and a compliance certificate executed by Parent reflecting the relevant calculations, 
  

 15 








 (e) Borrowers have provided Agent with written notice of the proposed Acquisition not less than 10
Business Days prior to the anticipated closing date of the subject Acquisition together with such documentation that Agent may require demonstrating that after giving effect to the subject Acquisition, Parent and its Subsidiaries (taken as a whole)
could not reasonably be expected to suffer a Material Adverse Change as a result of such proposed Acquisition, 
 (f) in the case of an Asset
Acquisition, the subject assets are being acquired directly by an Active Borrower, 
 (g) in the case of a Stock Acquisition, the subject
Stock is being acquired directly by an Active Borrower, 
 (h) in the case of an Asset Acquisition, the relevant Active Borrower shall have
executed and delivered or authorized, as applicable, any and all security agreements, financing statements, fixture filings, and other documentation reasonably requested by Agent in order to include the newly acquired assets within the collateral
hypothecated under the Loan Documents, 
 (i) in the case of a Stock Acquisition, the relevant Active Borrower shall have complied with each
of the provisions of Section 5.16 with respect to the Subsidiary being acquired 
 (j) the total consideration (to be paid solely
in Stock of Parent) paid, or obligations assumed, in connection with all Permitted Non-Cash Acquisitions consummated since the Closing Date shall not exceed $50,000,000 in the aggregate. 
 “Permitted Protest” means the right of Administrative Borrower or any Active Borrower to protest any Lien (other than any Lien that
secures the Obligations), taxes (other than payroll taxes or taxes that are the subject of a United States federal tax lien), or rental payment, provided that (a) a reserve with respect to such obligation is established on a Borrower’s or
any of its Subsidiaries’ books and records in such amount as is required under GAAP, (b) any such protest is instituted promptly and prosecuted diligently by Administrative Borrower or any of its Subsidiaries, as applicable, in good faith,
and (c) Agent is satisfied that, while any such protest is pending, there will be no impairment of the enforceability, validity, or priority of any of the Agent’s Liens. 
 “Permitted Purchase Money Indebtedness” means, as of any date of determination, Purchase Money Indebtedness incurred after the Closing
Date in an aggregate principal amount outstanding at any one time not in excess of $5,000,000. 
 “Person” means natural
persons, corporations, limited liability companies, limited partnerships, general partnerships, limited liability partnerships, joint ventures, trusts, land trusts, business trusts, or other organizations, irrespective of whether they are legal
entities, and governments and agencies and political subdivisions thereof. 
 “Projections” means Parent’s forecasted
(a) balance sheets, (b) profit and loss statements, and (c) cash flow statements, all prepared on a basis consistent with Parent’s historical financial statements, together with appropriate supporting details and a statement of
underlying assumptions. 
 “Pro Rata Share” means, as of any date of determination: 
 (a) with respect to a Lender’s obligation to make Advances and right to receive payments of principal, interest, fees, costs, and expenses with
respect thereto, (i) prior to the Revolver Commitments being terminated or reduced to zero, the percentage obtained by dividing (y) such Lender’s Revolver Commitment, by (z) the aggregate Revolver Commitments of all Lenders, and
(ii) from and after the 

  

 16 








 
time that the Revolver Commitments have been terminated or reduced to zero, the percentage obtained by dividing (y) the aggregate outstanding principal
amount of such Lender’s Advances by (z) the aggregate outstanding principal amount of all Advances, 
 (b) with respect to a
Lender’s obligation to participate in Letters of Credit, to reimburse the Issuing Lender, and right to receive payments of fees with respect thereto, (i) prior to the Revolver Commitments being terminated or reduced to zero, the percentage
obtained by dividing (y) such Lender’s Revolver Commitment, by (z) the aggregate Revolver Commitments of all Lenders, and (ii) from and after the time that the Revolver Commitments have been terminated or reduced to zero, the
percentage obtained by dividing (y) the aggregate outstanding principal amount of such Lender’s Advances by (z) the aggregate outstanding principal amount of all Advances, 
 (c) with respect to a Lender’s obligation to make the Term Loan and right to receive payments of interest, fees, and principal with respect thereto,
(i) prior to the making of first Term Loan Draw, the percentage obtained by dividing (y) such Lender’s Term Loan Commitment, by (z) the aggregate amount of all Lenders’ Term Loan Commitments, and (ii) from and after the
making of the first Term Loan Draw, the percentage obtained by dividing (y) the principal amount of such Lender’s portion of the Term Loan by (z) the outstanding principal amount of the Term Loan, and 
 (d) with respect to all other matters as to a particular Lender (including the indemnification obligations arising under Section 15.7), the
percentage obtained by dividing (i) such Lender’s Revolver Commitment plus the outstanding principal amount of such Lender’s portion of the Term Loan, by (ii) the aggregate amount of Revolver Commitments of all Lenders plus the
outstanding principal amount of the Term Loan; provided, however, that in the event the Revolver Commitments have been terminated or reduced to zero, Pro Rata Share under this clause shall be the percentage obtained by dividing
(A) the outstanding principal amount of such Lender’s Advances plus such Lender’s ratable portion of the Risk Participation Liability with respect to outstanding Letters of Credit plus the outstanding principal amount of such
Lender’s portion of the Term Loan, by (B) the outstanding principal amount of all Advances plus the aggregate amount of the Risk Participation Liability with respect to outstanding Letters of Credit plus the outstanding principal amount of
the Term Loan. 
 “Protective Advances” has the meaning specified therefor in Section 2.3(d)(i). 
 “Purchase Money Indebtedness” means Indebtedness (other than the Obligations, but excluding Capitalized Lease Obligations), incurred at
the time of, or within 20 days after, the acquisition of any fixed assets for the purpose of financing all or any part of the acquisition cost thereof. 
 “QCSI” means Quality Care Solutions, Inc., a Nevada corporation. 
 “QCSI Puerto
Rico” means, QCSI Puerto Rico, Inc., a Delaware corporation. 
 “Qualified Cash” means, as of any date of
determination, the amount of unrestricted cash and Cash Equivalents of the Active Borrowers that is in Deposit Accounts or in Securities Accounts, or any combination thereof, and which such Deposit Account or Securities Account is maintained by a
branch office of the bank or securities intermediary located within the United States and is the subject of a Control Agreement. 
 “Real Property” means any estates or interests in real property now owned or hereafter acquired by any Borrower and the improvements thereto. 
 “Real Property Collateral” means the Real Property identified on Schedule R-1 and any Real Property hereafter acquired by a Borrower. 
  

 17 








 “Record” means information that is inscribed on a tangible medium or which is stored in
an electronic or other medium and is retrievable in perceivable form. 
 “Recurring Maintenance Revenues” means, with
respect to any period, the revenue of Active Borrowers for such period that is derived from providing software maintenance services to their customers pursuant to written software maintenance contracts (acceptable to Agent), all as reflected on a
report prepared in accordance with Active Borrowers’ historic practices and which report is to be otherwise satisfactory to Agent. 
 “Recurring Revenues” means, with respect to any period, the revenue of Active Borrowers for such period that is derived from providing software hosting, business process outsourcing, IT outsourcing, and software maintenance
services to their customers pursuant to written contracts (acceptable to Agent), all as reflected on a report prepared in accordance with Active Borrowers’ historic practices and which report is to be otherwise satisfactory to Agent.

 “Recurring Revenues Certificate” means, the recurring revenues certificate delivered to Agent pursuant to the terms of
Schedule 5.2. 
 “Remedial Action” means all actions taken to (a) clean up, remove, remediate, contain, treat,
monitor, assess, evaluate, or in any way address Hazardous Materials in the indoor or outdoor environment, (b) prevent or minimize a release or threatened release of Hazardous Materials so they do not migrate or endanger or threaten to endanger
public health or welfare or the indoor or outdoor environment, (c) restore or reclaim natural resources or the environment, (d) perform any pre-remedial studies, investigations, or post-remedial operation and maintenance activities, or
(e) conduct any other actions with respect to Hazardous Materials authorized by Environmental Laws. 
 “Replacement
Lender” has the meaning specified therefor in Section 14.2(a). 
 “Report” has the meaning specified
therefor in Section 15.17. 
 “Required Availability” means that the sum of (a) Excess Availability, plus
(b) Qualified Cash exceeds $30,000,000. 
 “Required Lenders” means, at any time, Lenders whose aggregate Pro Rata
Shares (calculated under clause (b) of the definition of Pro Rata Shares) equal or exceed 50.1% 
 “Reserve Percentage”
means, on any day, for any Lender, the maximum percentage prescribed by the Board of Governors of the Federal Reserve System (or any successor Governmental Authority) 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. 
 “Revolver Commitment” means, with
respect to each Lender, its Revolver Commitment, and, with respect to all Lenders, their Revolver Commitments, in each case as such Dollar amounts are set forth beside such Lender’s name under the applicable heading on Schedule C-1 or in
the Assignment and Acceptance pursuant to which such Lender became a Lender hereunder, as such amounts may be reduced or increased from time to time pursuant to assignments made in accordance with the provisions of Section 13.1.

 “Revolver Usage” means, as of any date of determination, the sum of (a) the amount of outstanding Advances, plus
(b) the amount of the Letter of Credit Usage. 
  

 18 








 “Risk Participation Liability” means, as to each Letter of Credit, all reimbursement
obligations of Borrowers to the Issuing Lender with respect to an L/C Undertaking, consisting of (a) the amount available to be drawn or which may become available to be drawn, (b) all amounts that have been paid by the Issuing Lender to
the Underlying Issuer to the extent not reimbursed by Borrowers, whether by the making of an Advance or otherwise, and (c) all accrued and unpaid interest, fees, and expenses payable with respect thereto. 
 “SEC” means the United States Securities and Exchange Commission and any successor thereto. 
 “Securities Account” means a “securities account” (as that term is defined in the Code). 
 “Security Agreement” means the amended and restated security agreement, in form and substance satisfactory to Agent, executed and
delivered by Borrower to Agent. 
 “Senior Debt” means the total amount of Obligations outstanding as of the date of
measurement. 
 “Settlement” has the meaning specified therefor in Section 2.3(e)(i). 
 “Settlement Date” has the meaning specified therefor in Section 2.3(e)(i). 
 “Share Repurchases” means a transaction or series of transactions whereby Parent repurchases Stock of Parent, (i) pursuant to
Parent’s Stock repurchase plan approved by the Board of Directors (the “Plan Share Repurchases”), as long as: (x) no Default or Event of Default shall have occurred and be continuing either before or immediately after giving
effect to a Plan Share Repurchase, (y) both before and immediately after giving effect to any Plan Share Repurchase, Borrowers would have Liquidity in excess of $30,000,000 and (z) the aggregate amount of consideration paid for such Plan
Share Repurchases shall not exceed $5,000,000; (ii) pursuant to repurchase rights exercisable in connection with the termination of service of any service provider to any Borrower (the “Other Share Repurchases”), provided: (y) no
Default or Event of Default shall have occurred and be continuing or would result from any Other Share Repurchase and (z) the aggregate amount of consideration paid for such Other Share Repurchase shall not exceed $500,000 in any one fiscal
year; and (iii) pursuant to Plan Share Repurchases (in addition to those permitted under clause (i) above and referred to herein as the “Additional Plan Share Repurchases”) as long as: (w) no Default or Event of Default
shall have occurred and be continuing either before or immediately after giving effect to an Additional Plan Share Repurchase, (x) both before and immediately after giving effect to any Additional Plan Share Repurchase, Borrowers would have
Liquidity in excess of $40,000,000, (y) the aggregate amount of consideration paid for such Additional Plan Share Repurchases shall not exceed $50,000,000, and (z) all such Additional Plan Share Repurchases described in this clause
(iii) shall be consummated on or before June 30, 2007. 
 “Solvent” means, with respect to any Person on a
particular date, that, at fair valuations, the sum of such Person’s assets is greater than all of such Person’s debts. 
 “Stock” means all shares, options, warrants, interests, participations, or other equivalents (regardless of how designated) of or in a Person, whether voting or nonvoting, including common stock, preferred stock, or any
other “equity security” (as such term is defined in Rule 3a11-1 of the General Rules and Regulations promulgated by the SEC under the Exchange Act). 
 “Stock Acquisition” means the purchase or other acquisition by Parent of all of the Stock of any other Person. 
 “Subsidiary” of a Person means a corporation, partnership, limited liability company, or other entity in which that Person directly or indirectly owns or controls the shares of Stock having ordinary
voting power to elect a majority of the board of directors (or appoint other comparable managers) of such corporation, partnership, limited liability company, or other entity. 
  

 19 








 “Swing Lender” means WFF or any other Lender that, at the request of Administrative
Borrower and with the consent of Agent agrees, in such Lender’s sole discretion, to become the Swing Lender under Section 2.3(d). 
 “Swing Loan” has the meaning specified therefor in Section 2.3(d)(i). 
 “Taxes” has
the meaning specified therefor in Section 15.11. 
 “Term Loan” has the meaning specified therefor in
Section 2.2. 
 “Term Loan Amount” means $150,000,000. 
 “Term Loan Availability” means, as of any date of determination, the difference of (A) the lesser of: (i) the EBITDA Term Loan
Limit or the (ii) Term Loan Amount, minus (B) the outstanding amount of the Term Loan. 
 “Term Loan Commitment”
means, with respect to each Lender, its Term Loan Commitment, and, with respect to all Lenders, their Term Loan Commitments, in each case as such Dollar amounts are set forth beside such Lender’s name under the applicable heading on Schedule
C-1 or in the Assignment and Acceptance pursuant to which such Lender became a Lender hereunder, as such amounts may be reduced or increased from time to time pursuant to assignments made in accordance with the provisions of
Section 13.1. 
 “Term Loan Draw” has the meaning specified therefor in Section 2.2. 
 “Termination Date” means, the date on which all of the Obligations are paid in full in accordance with the terms of the Agreement and
the Commitments of the Lenders are terminated. 
 “Total Commitment” means, with respect to each Lender, its Total
Commitment, and, with respect to all Lenders, their Total Commitments, in each case as such Dollar amounts are set forth beside such Lender’s name under the applicable heading on Schedule C-1 attached hereto or on the signature page of
the Assignment and Acceptance pursuant to which such Lender became a Lender hereunder, as such amounts may be reduced or increased from time to time pursuant to assignments made in accordance with the provisions of Section 13.1.

 “Trademark Security Agreement” has the meaning specified therefor in the Security Agreement. 
 “TTM EBITDA” means, as of any date of determination, EBITDA for the most recently completed 12 month period (which period may include
the date of measurement). 
 “TTM Recurring Revenues” means, as of any date of determination, the actual Recurring Revenues
for the most recently completed 12 month period (which period may include the date of measurement), as set forth in the relevant Recurring Revenues Certificates for such period. 
 “Underlying Issuer” means a third Person which is the beneficiary of an L/C Undertaking and which has issued a letter of credit at the
request of the Issuing Lender for the benefit of Borrowers. 
 “Underlying Letter of Credit” means a letter of credit that
has been issued by an Underlying Issuer. 
 “United States” means the United States of America. 
 “Voidable Transfer” has the meaning specified therefor in Section 16.6. 
  

 20 








 “Wells Fargo” means Wells Fargo Bank, National Association, a national banking
association. 
 “WFF” means Wells Fargo Foothill, Inc., a California corporation. 
  

 21