**
**Exhibit 10.2**

**EXECUTION COPY**

AMENDMENT NO. 6 

TO 

FIFTH AMENDED AND RESTATED CREDIT AGREEMENT 

THIS AMENDMENT NO. 6 TO FIFTH AMENDED AND RESTATED CREDIT AGREEMENT (this “Amendment”) dated as of April 29, 2020, isentered into among GLADSTONE BUSINESS LOAN, LLC, as Borrower (the “Borrower”), GLADSTONE MANAGEMENT CORPORATION, as Servicer (the “Servicer”), KEYBANK NATIONAL ASSOCIATION (“KeyBank”), ING CAPITALLLC, FIRST NATIONAL BANK OF PENNSYLVANIA (as successor in interest to Newbridge Bank), CHEMICAL BANK (as successor in interest to Talmer Bank and Trust) and STERLING BANK, as Lenders (collectively, the “Lenders”) and as ManagingAgents (in such capacity, collectively the “Managing Agents”) and KeyBank, as Administrative Agent (in such capacity, the “Administrative Agent”). Capitalized terms used but not otherwise defined herein shall havethe meanings ascribed thereto in the “Credit Agreement” referred to below. 

PRELIMINARY STATEMENTS 

A. Reference is made to that certain Fifth Amended and Restated Credit Agreement dated as of May 1, 2015 by and among the Borrower, theServicer, the Lenders, the Managing Agents and the Administrative Agent (as amended, modified, supplemented or otherwise modified prior to the date hereof, the “Credit Agreement”). 

B. The parties hereto have agreed to amend certain provisions of the Credit Agreement upon the terms and conditions set forth herein. 

NOW, THEREFORE, in consideration of the premises set forth above, and other good and valuable consideration the receipt and sufficiency ofwhich is hereby acknowledged, the parties hereto agree as follows: 

SECTION 1. Amendments to the Credit Agreement. Upon satisfactionof the conditions precedent set forth in Section 3 hereof, the Credit Agreement is hereby amended, as shown in the conformed copy thereof attached hereto as Exhibit A. 

SECTION 2. Representations and Warranties. The Borrower and the Servicer each hereby represents and warrants to each of the otherparties hereto, that: 

(a) this Amendment constitutes its legal, valid and binding obligation, enforceable against it inaccordance with its terms; and 

(b) on the date hereof, before and after giving effect to this Amendment, other than asamended or waived pursuant to this Amendment, no Early Termination Event or Unmatured Termination Event has occurred and is continuing. 
**

SECTION 3. Conditions Precedent. This Amendment shall become effective on the firstBusiness Day (the “Effective Date”) on which: 

(a) the Administrative Agent or its counsel has receivedthe following: 

(i) counterpart signature pages of this Amendment, executed by each of the Borrower, the Servicer, eachLender and Managing Agent, and the Administrative Agent; and 

(ii) counterpart signature pages of the Extension Fee Letterrelating to this Amendment, executed by the Borrower, the Servicer and the Administrative Agent (the “Fee Letter”); and 

(b) the Administrative Agent has confirmed receipt of the fees described as payable on the date hereof to the Agent for thebenefit of each Lender in the fee letter agreement between the Borrower and the Agent. 

SECTION 4. Reference to and Effect on theTransaction Documents. 

(a) Upon the effectiveness of this Amendment, (i) each reference in the Credit Agreementto “this Credit Agreement”, “this Agreement”, “hereunder”, “hereof”, “herein” or words of like import shall mean and be a reference to the Credit Agreement as amended or otherwise modified hereby,and (ii) each reference to the Credit Agreement in any other Transaction Document or any other document, instrument or agreement executed and/or delivered in connection therewith, shall mean and be a reference to the Credit Agreement as amendedor otherwise modified hereby. 

(b) Except as specifically amended, terminated or otherwise modified above, the terms andconditions of the Credit Agreement, of all other Transaction Documents and any other documents, instruments and agreements executed and/or delivered in connection therewith, shall remain in full force and effect and are hereby ratified andconfirmed. 

(c) The execution, delivery and effectiveness of this Amendment shall not operate as a waiver of any right,power or remedy of the Administrative Agent, any Managing Agent or any Lender under the Credit Agreement or any other Transaction Document or any other document, instrument or agreement executed in connection therewith, nor constitute a waiver ofany provision contained therein, in each case except as specifically set forth herein. 

SECTION 5. Execution in Counterparts. ThisAmendment may be executed in any number of counterparts and by different parties hereto in separate counterparts, each of which when so executed and delivered shall be deemed to be an original and all of which taken together shall constitute but oneand the same instrument. Delivery of an executed counterpart of a signature page to this Amendment by facsimile or by other electronic transmission shall be effective as delivery of a manually executed counterpart of this Amendment. 

SECTION 6. Governing Law. This Amendment shall be governed by and construed in accordance with the laws of the State of New York. 

SECTION 7. Headings. Section headings in this Amendment are included herein for convenience of reference only and shall not constitutea part of this Amendment for any other purpose. 

 
2 

SECTION 8. Fees and Expenses. The Borrower hereby confirms its agreement to pay ondemand all reasonable costs and expenses of the Administrative Agent, Managing Agents or Lenders in connection with the preparation, execution and delivery of this Amendment and any of the other instruments, documents and agreements to be executedand/or delivered in connection herewith, including, without limitation, the reasonable fees and out-of-pocket expenses of counsel to the Administrative Agent, ManagingAgents or Lenders with respect thereto. 

[Signature Pages Follow] 

 
3 

IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be duly executed bytheir respective officers as of the date first above written. 

 
GLADSTONE BUSINESS LOAN, LLCBy: */s/ Robert L. Marcotte* Name:  Robert L. Marcotte Title:    President
 
GLADSTONE MANAGEMENT CORPORATIONBy: */s/ David Gladstone* Name:  David Gladstone Title:    Chairman and CEO
Signature Page to Amendment No. 6 

KEYBANK NATIONAL ASSOCIATION, as Administrative AgentBy: */s/ Richard Andersen* Name:  Richard Andersen Title:    Senior Vice President
 
KEYBANK NATIONAL ASSOCIATION, as a Lender and a Managing AgentBy: 
*/s/ Richard Andersen*
 Name:  Richard Andersen Title:    Senior Vice President
Signature Page to Amendment No. 6 

ING CAPITAL LLC, as a Lender and a Managing AgentBy: */s/ Patrick Frisch* Name:  Patrick Frisch Title:    Managing DirectorBy: 
*/s/ Grace Fu*
 Name:  Grace Fu Title:    Director
Signature Page to Amendment No. 6 

FIRST NATIONAL BANK OF PENNSYLVANIA, as a Lender and a Managing AgentBy: */s/ Charles W. Jones* Name:  Charles W. Jones Title:    Senior Vice President
Signature Page to Amendment No. 6 

CHEMICAL BANK, a division of TCF National Bank - as a Lender and a Managing AgentBy: */s/ Robert Rosati* Name:  Robert Rosati Title:    Senior Vice President
Signature Page to Amendment No. 6 

STERLING BANK, as a Lender and a Managing AgentBy: */s/ Yan Cheng* Name:  Yan Cheng Title:    Senior Vice President
Signature Page to Amendment No. 6 

EXHIBIT A 

**Execution Version**

**Conformed Copy incorporating (i) Amendment No. 1 dated October 9, 2015,**

**(ii) Amendment No. 2 dated August 18, 2016, (iii) Amendment No. 3 dated August 24, 2017,**

**(iv) Amendment No. 4 dated March 9, 2018, (v) Amendment No. 5 dated July 10, 2019 and**

**(vi) Amendment No. 6 dated April 29, 2020**

 

 

 

FIFTH AMENDED AND RESTATED 

CREDITAGREEMENT 

Dated as of May 1, 2015 

Among 

GLADSTONE BUSINESS LOAN, LLC

as the Borrower 

GLADSTONE MANAGEMENT CORPORATION 

as the Servicer 

THEFINANCIAL INSTITUTIONS FROM TIME TO TIME PARTY HERETO 

as Lenders 

THE FINANCIAL INSTITUTIONS FROM TIME TO TIME PARTY HERETO 

as Managing Agents 

and 

KEYBANK NATIONAL ASSOCIATION 

asthe Administrative Agent 

 

 

 

**TABLE OF CONTENTS**

 
   Page ARTICLE I DEFINITIONS   1 
Section 1.1
  Certain Defined Terms   1 
Section 1.2
  Other Terms   44 
Section 1.3
  Computation of Time Periods   44 
Section 1.4
  Interpretation   45 
Section 1.5
  LIBOR Notification   45 ARTICLE II ADVANCES   46 
Section 2.1
  Advances   46 
Section 2.2
  Procedures for Advances   47 
Section 2.3
  Optional Changes in Facility Amount; Prepayments   49 
Section 2.4
  Principal Repayments; Extension of Term   51 
Section 2.5
  The Notes   52 
Section 2.6
  Interest Payments   52 
Section 2.7
  Fees   53 
Section 2.8
  Settlement Procedures   53 
Section 2.9
  Collections and Allocations   57 
Section 2.10
  Payments, Computations, Etc.   57 
Section 2.11
  Breakage Costs   58 
Section 2.12
  Increased Costs; Capital Adequacy; Illegality   58 
Section 2.13
  Taxes   59 
Section 2.14
  Revolver Loan Funding   61 
Section 2.15
  Replacement of Lenders   62 
Section 2.16
  Discretionary Sales of Loans   63 
Section 2.17
  Acknowledgement and Consent to Bail-In of EEA Financial Institutions   65 
Section 2.18
  Effect of Benchmark Transition Event   65 ARTICLE III CONDITIONS OF EFFECTIVENESS AND ADVANCES   66 
Section 3.1
  Conditions to Effectiveness and Advances   66 
Section 3.2
  Additional Conditions Precedent to All Advances   67 ARTICLE IV REPRESENTATIONS AND WARRANTIES   68 
Section 4.1
  Representations and Warranties of the Borrower   68 ARTICLE V GENERAL COVENANTS OF THE BORROWER   72 
Section 5.1
  Covenants of the Borrower   72 
Section 5.2
  Hedging Agreement   77 ARTICLE VI SECURITY INTEREST   77 
Section 6.1
  Security Interest   77 
Section 6.2
  Remedies   78 
Section 6.3
  Release of Liens   78 
Section 6.4
  Assignment of the Purchase Agreement   80 
 
i 

ARTICLE VII ADMINISTRATION AND SERVICING OF LOANS   80 
Section 7.1
  Appointment of the Servicer   80 
Section 7.2
  Duties and Responsibilities of the Servicer   80 
Section 7.3
  Authorization of the Servicer   82 
Section 7.4
  Collection of Payments   83 
Section 7.5
  Servicer Advances   84 
Section 7.6
  Realization Upon Defaulted Loans or Charged-Off Loans   84 
Section 7.7
  Optional Repurchase of Transferred Loans   84 
Section 7.8
  Representations and Warranties of the Servicer   85 
Section 7.9
  Covenants of the Servicer   86 
Section 7.10
  Payment of Certain Expenses by Servicer   88 
Section 7.11
  Reports   88 
Section 7.12
  Annual Statement as to Compliance   89 
Section 7.13
  Limitation on Liability of the Servicer and Others   90 
Section 7.14
  The Servicer Not to Resign   90 
Section 7.15
  Access to Certain Documentation and Information Regarding the Loans   90 
Section 7.16
  Merger or Consolidation of the Servicer   91 
Section 7.17
  Identification of Records   91 
Section 7.18
  Servicer Termination Events   92 
Section 7.19
  Appointment of Successor Servicer   94 
Section 7.20
  Market Servicing Fee   95 ARTICLE VIII EARLY TERMINATION EVENTS   95 
Section 8.1
  Early Termination Events   95 
Section 8.2
  Remedies   97 ARTICLE IX INDEMNIFICATION   98 
Section 9.1
  Indemnities by the Borrower   98 
Section 9.2
  Indemnities by the Servicer   100 ARTICLE X THE ADMINISTRATIVE AGENT AND THE MANAGING AGENTS   101 
Section 10.1
  Authorization and Action   101 
Section 10.2
  Delegation of Duties   102 
Section 10.3
  Exculpatory Provisions   102 
Section 10.4
  Reliance   103 
Section 10.5
  Non-Reliance on Administrative Agent, Managing Agents and Other Lenders   104 
Section 10.6
  Reimbursement and Indemnification   104 
Section 10.7
  Administrative Agent and Managing Agents in their Individual Capacities   105 
Section 10.8
  Successor Administrative Agent or Managing Agent   105 ARTICLE XI ASSIGNMENTS; PARTICIPATIONS   106 
Section 11.1
  Assignments and Participations   106 
 
ii 

ARTICLE XII MISCELLANEOUS   108 
Section 12.1
  Amendments and Waivers   108 
Section 12.2
  Notices, Etc.   109 
Section 12.3
  No Waiver, Rights and Remedies   109 
Section 12.4
  Binding Effect   109 
Section 12.5
  Term of this Agreement   110 
Section 12.6
  GOVERNING LAW; CONSENT TO JURISDICTION; WAIVER OF OBJECTION TO VENUE   110 
Section 12.7
  WAIVER OF JURY TRIAL   110 
Section 12.8
  Costs, Expenses and Taxes   110 
Section 12.9
  No Proceedings   111 
Section 12.10
  Recourse Against Certain Parties   111 
Section 12.11
  Protection of Security Interest; Appointment of Administrative Agent as Attorney-in-Fact   112 
Section 12.12
  Confidentiality   113 
Section 12.13
  Execution in Counterparts; Severability; Integration   114 
Section 12.14
  Amendment and Restatement   114 
Section 12.15
  Future Amendment Contemplated   114 
Section 12.16
  Patriot Act   114 
Section 12.17
  Defaulting Lenders   115 
EXHIBITS 

 

EXHIBIT A
  
Form of Borrower Notice
EXHIBIT B  Form of NoteEXHIBIT C  Form of Assignment and AcceptanceEXHIBIT D  Form of Joinder AgreementEXHIBIT E  Form of Monthly ReportEXHIBIT F  Form of Servicer’s CertificateEXHIBIT G  Form of Dividend Declaration CertificateEXHIBIT H  Form of Primary Document Trust ReceiptEXHIBIT I  [Reserved]EXHIBIT J  [Reserved]EXHIBIT K  [Reserved]EXHIBIT L  Form of Deposit Account Control AgreementEXHIBIT M  Credit Report and Transaction SummaryEXHIBIT N  Moody’s Industry Classifications
SCHEDULES 

 

SCHEDULE I
  
Schedule of Documents

SCHEDULE II
  
Loan List

SCHEDULE III
  
Approved Pricing Service

SCHEDULE IV
  
Diversity Score Table

 
iii 

**THIS FIFTH AMENDED AND RESTATED CREDIT AGREEMENT**is made as of May 1, 2015,among: 

(1) GLADSTONE BUSINESS LOAN, LLC, a Delaware limited liability company, as borrower (the “Borrower”); 

(2) GLADSTONE MANAGEMENT CORPORATION, a Delaware corporation, as servicer (the “Servicer”); 

(3) Each financial institution from time to time party hereto as a “Lender” (whether on the signature pages hereto or in a JoinderAgreement), and as Swingline Lender and their respective successors and assigns (collectively, the “Lenders”); 

(4) Eachfinancial institution from time to time party hereto as a “Managing Agent” (whether on the signature pages hereto or in a Joinder Agreement) and their respective successors and assigns (collectively, the “ManagingAgents”); and 

(5) KEYBANK NATIONAL ASSOCIATION, as “Administrative Agent” and its respective successors and assigns(the “Administrative Agent”). 

IT IS AGREED as follows: 

**ARTICLE I**

**DEFINITIONS**

**Section 1.1 Certain Defined Terms.**

(a) Certain capitalized terms used throughout this Agreement are defined above or in this Section 1.1. 

(b) As used in this Agreement and its exhibits, the following terms shall have the following meanings (such meanings to be equally applicableto both the singular and plural forms of the terms defined). 

“Additional Amount” is defined inSection 2.13. 

“Adjusted Eurodollar Rate” means, for any Settlement Period, an interest rate per annum equalto the quotient, expressed as a percentage and rounded upwards (if necessary), to the nearest 1/100 of 1%, (i) the numerator of which is equal to the LIBO Rate for such Settlement Period and (ii) the denominator of which is equal to 100%minus the Eurodollar Reserve Percentage for such Settlement Period; provided, however, that in no event shall such interest rate be less than zero. 

“Adjusted Purchased Loan Balance” means as of any date of determination and for any Transferred Loan, the Purchased LoanBalance of such Loan as of such date minus the Excess Concentration Amount allocated to such Loan. 

“AdministrativeAgent” is defined in the preamble hereto. 

 
1 

“Advances” means collectively the Revolver Advances and the Swing Advances.

“Advances Outstanding” means, on any day, the aggregate principal amount of Advances outstanding on such day, aftergiving effect to all repayments of Advances and makings of new Advances on such day. 

“Adverse Claim” means, a lien,security interest, pledge, charge, encumbrance or other right or claim of any Person. 

“Affected Party” is defined inSection 2.12(a).

“Affiliate” with respect to a Person, means any other Person controlling,controlled by or under common control with such Person, including without limitation, when “Affiliate” is used by or with regard to Borrower or Originator, any entities under the control or management of Gladstone Management Corporation,or any successor entity; provided, however, that when used with respect to any Person which is an Obligor in respect of a Loan, “Affiliate” shall not mean any of the Borrower, the Servicer or the Originator if the Servicer,the Borrower or the Originator acquires voting securities of such Obligor in the ordinary course of its business (for avoidance of doubt, such Obligor may be a “Control Affiliate” pursuant to the definition thereof). For purposes of thisdefinition, “control” when used with respect to any specified Person means the power to direct the management and policies of such Person, directly or indirectly, whether through the ownership of voting securities, by contract orotherwise; and the terms “controlling” or “controlled” have meanings correlative to the foregoing. 

“Agent’s Account” means account number 325760051913 at KeyBank N.A., ABA number 021300077, account name KeyBank NationalAssociation 

“Aggregate Adjusted Purchased Loan Balance” means on any day, the sum of the Adjusted Purchased LoanBalances of all Eligible Loans included as part of the Collateral on such date. 

“Aggregate Outstanding Loan Balance”means on any day, the sum of the Outstanding Loan Balances of all Eligible Loans included as part of the Collateral on such date. 

“Aggregate Purchased Loan Balance” means on any day, the sum of the Purchased Loan Balances of all Eligible Loans included aspart of the Collateral on such date. 

“Agreement” or “Credit Agreement” means this Fifth Amended andRestated Credit Agreement, dated as of May 1, 2015, as hereafter amended, modified, supplemented or restated from time to time. 

“Amendment No. 6 Effective Date” means the “Effective Date” under, and as defined in, thatcertain Amendment No. 6 to Fifth Amended and Restated Credit Agreement, dated as of April 29, 2020, among the Borrower, the Servicer, the Administrative Agent, each Managing Agent named therein and each Lender named therein. 

“Amortization Period” means the period beginning on the Termination Date and ending on the Maturity Date. 

 
2 

“Anti-Corruption Laws” means all laws, rules, and regulations of anyjurisdiction applicable to the Borrower or the Servicer from time to time concerning or relating to bribery or corruption. 

“Applicable Law” means, for any Person, all existing and future applicable laws, rules, regulations (including proposed,temporary and final income tax regulations), statutes, treaties, codes, ordinances, permits, certificates, orders and licenses of and interpretations by any Governmental Authority (including, without limitation, usury laws, the Federal Truth inLending Act, Regulation Z, Regulation W, Regulation U and Regulation B of the Federal Reserve Board, the Foreign Corrupt Practices Act and the USA PATRIOT Act), and applicable judgments, decrees, injunctions, writs, orders, or line action of anycourt, arbitrator or other administrative, judicial, or quasi-judicial tribunal or agency of competent jurisdiction. 

“ApplicableMargin” means (i) 2.85% per annum during the Revolving Period, and (ii) 3.25% thereafter. 

“Approved Dealer”means a broker-dealer registered under the Securities Exchange Act of 1934 of nationally recognized standing or an Affiliate thereof. 

“Approved Officer” means David Gladstone, Terry Brubaker, Robert Marcotte, Nicole Schaltenbrand and any other individualsatisfactory to the Administrative Agent and the Required Lenders, as determined in their reasonable discretion. 

“ApprovedPricing Service” means a pricing or quotation service as set forth in Schedule III or any other pricing or quotation service approved by the Board of Directors of the Originator and designated in writing to the Administrative Agent.

“Approved Valuation Service” means, any of (i) Standard & Poor’s Securities Evaluations, Inc., (ii)Murray, Devine and Company, (iii) Houlihan Lokey, (iv) Duff & Phelps LLC, (v) Lincoln Advisors, (vi) Stout Risius Ross, (vii) Alvarez & Marsal, (viii) Valuation Research Corporation and (ix) eachother valuation service provider approved by the Administrative Agent from time to time in its reasonable discretion. 

“Assignmentand Acceptance” is defined in Section 11.1(b). 

“Availability” means, on any day, anamount equal to the lesser of: 

(a) the amount by which the Borrowing Base exceeds the sum of (i) Advances Outstanding and(ii) an amount equal to 50% of the aggregate unfunded commitments under the Revolver Loans on such day, and 

(b) the amount by whichthe Facility Amount exceeds the sum of (i) Advances Outstanding and (ii) the aggregate unfunded commitments under the Revolver Loans on such day; provided, however, that following the Termination Date, the Availability shallbe zero. 

“Available Collections” is defined in Section 2.8(a). 

 
3 

“Backup Servicer” means The Bank of New York Mellon, in its capacity asBackup Servicer under the Backup Servicing Agreement, together with its successors and assigns. 

“Backup ServicerExpenses” means the out-of-pocket expenses to be paid to the Backup Servicer under the Backup Servicing Agreement. 

“Backup Servicer Fee” means the fee to be paid to the Backup Servicer as set forth in the Backup Servicing Agreement. 

“Backup Servicing Agreement” means the Amended and Restated Backup Servicing Agreement, dated as of May 15, 2009 amongthe Borrower, the Servicer, the Administrative Agent and the Backup Servicer, as the same may from time to time be further amended, restated, supplemented, waived or modified. 

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

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

“Bankruptcy Code” means the United States Bankruptcy Reform Act of 1978 (11 U.S.C. §§101, etseq.), as amended from time to time. 

“Base Rate” means, on any date, a fluctuating rate ofinterest per annum equal to the highest of (a) the Prime Rate, (b) the Federal Funds Rate plus 1.0% or (c) the LIBO Rate; provided, however, that in no event shall such interest rate be less than zero. 

“Benchmark Replacement” means the sum of: (a) the alternate benchmark rate (which may include Term SOFR) that has beenselected by the Administrative Agent and the Borrower giving due consideration to (i) any selection or recommendation of a replacement rate or the mechanism for determining such a rate by the Relevant Governmental Body or (ii) any evolvingor then-prevailing market convention for determining a rate of interest as a replacement to LIBOR for U.S. dollar-denominated syndicated credit facilities at such time and (b) the Benchmark Replacement Adjustment; provided,however, that in no event shall the Benchmark Replacement be less than zero. 

“Benchmark Replacement Adjustment”means, with respect to any replacement of LIBOR with an Unadjusted Benchmark Replacement for each applicable Settlement Period, the spread adjustment, or method for calculating or determining such spread adjustment (which may be a positive ornegative value or zero) that has been selected by the Administrative Agent and the Borrower giving due consideration to (i) any selection or recommendation of a spread adjustment, or method for calculating or determining such spread adjustment,for the replacement of LIBOR with the applicable Unadjusted Benchmark Replacement by the Relevant Governmental Body or (ii) any evolving or then-prevailing market convention for determining a spread adjustment, or method for calculating ordetermining such spread adjustment, for the replacement of LIBOR with the applicable Unadjusted Benchmark Replacement for U.S. dollar-denominated syndicated credit facilities at such time. 

 
4 

“Benchmark Replacement Conforming Changes” means, with respect to anyBenchmark Replacement, any technical, administrative or operational changes (including changes to the definition of “Base Rate,” the definition of “Settlement Period,” the definition of “Interest Reset Date,” timing andfrequency of determining rates and making payments of interest and other administrative matters) that the Administrative Agent decides may be appropriate to reflect the adoption and implementation of such Benchmark Replacement and to permit theadministration thereof by the Administrative Agent in a manner substantially consistent with market practice (or, if the Administrative Agent decides that adoption of any portion of such market practice is not administratively feasible or if theAdministrative Agent determines that no market practice for the administration of the Benchmark Replacement exists, in such other manner of administration as the Administrative Agent decides is reasonably necessary in connection with theadministration of this Agreement). 

“Benchmark Replacement Date” means the earlier to occur of the following events withrespect to LIBOR: 

(i) in the case of clause (i) or (ii) of the definition of “Benchmark Transition Event,”the later of (a) the date of the public statement or publication of information referenced therein and (b) the date on which the administrator of LIBOR permanently or indefinitely ceases to provide LIBOR; or 

(ii) in the case of clause (iii) of the definition of “Benchmark Transition Event,” the date of the publicstatement or publication of information referenced therein. 

“Benchmark Transition Event” means the occurrence of one ormore of the following events with respect to LIBOR: 

(i) a public statement or publication of information by or on behalfof the administrator of LIBOR announcing that such administrator has ceased or will cease to provide LIBOR, permanently or indefinitely, provided that, at the time of such statement or publication, there is no successor administrator that willcontinue to provide LIBOR; 

(ii) a public statement or publication of information by the regulatory supervisor for theadministrator of LIBOR, the U.S. Federal Reserve System, an insolvency official with jurisdiction over the administrator for LIBOR, a resolution authority with jurisdiction over the administrator for LIBOR or a court or an entity with similarinsolvency or resolution authority over the administrator for LIBOR, which states that the administrator of LIBOR has ceased or will cease to provide LIBOR permanently or indefinitely, provided that, at the time of such statement or publication,there is no successor administrator that will continue to provide LIBOR; or 

(iii) a public statement or publication ofinformation by the regulatory supervisor for the administrator of LIBOR or a Relevant Governmental Body announcing that LIBOR is no longer representative. 

 
5 

“Benchmark Transition Start Date” means (a) in the case of a BenchmarkTransition Event, the earlier of (i) the applicable Benchmark Replacement Date and (ii) if such Benchmark Transition Event is a public statement or publication of information of a prospective event, the 90th day prior to the expected dateof such event as of such public statement or publication of information (or if the expected date of such prospective event is fewer than 90 days after such statement or publication, the date of such statement or publication) and (b) in the caseof an Early Opt-in Election, the date specified by the Administrative Agent or the Required Lenders, as applicable, by notice to the Borrower, the Administrative Agent (in the case of such notice by theRequired Lenders) and the Lenders. 

“Benchmark Unavailability Period” means, if a Benchmark Transition Event and itsrelated Benchmark Replacement Date have occurred with respect to LIBOR and solely to the extent that LIBOR has not been replaced with a Benchmark Replacement, the period (x) beginning at the time that such Benchmark Replacement Date hasoccurred if, at such time, no Benchmark Replacement has replaced LIBOR for all purposes hereunder in accordance with Section 2.18 and (y) ending at the time that a Benchmark Replacement has replaced LIBOR for allpurposes hereunder pursuant to Section 2.18. 

“Bass Berry Opinion” means the “non-consolidation” opinion letter of Bass Berry Sims PLC delivered on May 1, 2015, as such opinion letter may be modified, supplemented, replaced or confirmed in any subsequent opinion lettercovering such subject matter delivered to the Administrative Agent. 

“Benefit Plan” means any employee benefit plan asdefined in Section 3(3) of ERISA in respect of which the Borrower or any ERISA Affiliate of the Borrower is, or at any time during the immediately preceding six years was, an “employer” as defined in Section 3(5) of ERISA. 

“Borrower” means Gladstone Business Loan, LLC, a Delaware limited liability company, or any permitted successor thereto. 

“Borrowing Base” means on any date of determination, an amount equal to the sum of (A) the lesser of: 

(a) the Aggregate Purchased Loan Balance *minus* the Required Equity Investment as of such date; and 

(b) the sum, for each Eligible Loan as of such date, of the products of (i) its Adjusted Tier 1 Purchased Loan Balance andits Tier 1 Advance Rate, (ii) its Adjusted Tier 2 Purchased Loan Balance and its Tier 2 Advance Rate, and (iii) its Adjusted Tier 3 Purchased Loan Balance Loan and its Tier 3 Advance Rate; 

*plus*, (B) any amounts of cash and cash equivalents held in the Collection Account less the sum of the aggregate accrued but unpaid Servicing Fee,Revolver Loan Funding Fee, Interest and Commitment Fee. 

 
6 

The capitalized terms used in this definition of “Borrowing Base” shall have the followingmeanings: 

 
**Tier 1 Definitions: (Tier 1 only includes First Lien Loans, First Lien Qualifying Covenant-Lite Loan and First Out Loans)**“Adjusted Tier 1 Purchased Loan Balance”  For any Eligible Loan, its Tier 1 Purchased Loan Balance *minus* the applicable Allocated Excess Concentration Loan Amount.“Tier 1 Advance Rate”  For (i) First Lien Qualifying Covenant-Lite Loans, 58%, otherwise (ii) 62%.“Tier 1 Leverage Ratio”  For each Eligible Loan, shall mean the lower of the Leverage Ratio and 4.25.“Tier 1 Percentage”  For (i) First Lien Qualifying Covenant-Lite Loans, 100%, and (ii) First Lien Loans and First Out Loans, the percentage obtained by dividing (x) the Tier 1 Leverage Ratio by (y) the Leverage Ratio.“Tier 1 Purchased Loan Balance”  For each Eligible Loan, the product of the Purchased Loan Balance and the Tier 1 Percentage; provided, however, that, for any Eligible Loan which does not have positive TTM EBITDA, the “Tier 1 Purchased Loan Balance” shallbe zero.**Tier 2 Definitions: (Tier 2 only includes First Lien Loans, First Out Loans, Second Lien Loans, Second Lien Qualifying Covenant-Lite Loans and Last Out Loans)**“Adjusted Tier 2 Purchased Loan Balance”  For any Eligible Loan, its Tier 2 Purchased Loan Balance *minus* the applicable Allocated Excess Concentration Loan Amount.“Tier 2 Advance Rate”  For (i) Second Lien Qualifying Covenant-Lite Loans, 48%, otherwise (ii) 52%.“Tier 2 Leverage Ratio”  
For each Eligible Loan, shall be determined as follows:

 

(a) For First Lien Loans and First Out Loans, the Tier 2 Leverage Ratio shall mean the lower of (i) the higher of (A) theLeverage Ratio *minus* 4.25 and (B) zero, and (ii) 5.50 *minus* 4.25.

 

(b) For Second Lien Loans and Last Out Loans, the Tier 2 Leverage Ratio shall mean 5.50 *minus* the Senior LeverageRatio.

 
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“Tier 2 Percentage”  
Means:

 

(a) for Second Lien Qualifying Covenant-Lite Loans, 100%;

 

(b) for First Lien Loans and First Out Loans, the percentage obtained by dividing (x) the applicable Tier 2 Leverage Ratio by(y) the Leverage Ratio;

 

(c) for Second Lien Loans and LastOut Loans, (i) if the Senior Leverage Ratio is greater than or equal to 5.50, then a value of 0, (ii) if the Leverage Ratio is less than or equal to 5.50, then a value of 100%, and (iii) otherwise, the percentage obtained by dividing(A) the applicable Tier 2 Leverage Ratio by (B) the Leverage Ratio *minus* the Senior Leverage Ratio.
“Tier 2 Purchased Loan Balance”  For each Eligible Loan, the product of the Purchased Loan Balance and the Tier 2 Percentage; provided, however, that, for any Eligible Loan which does not have positive TTM EBITDA, the “Tier 2 Purchased Loan Balance” shallbe zero.**Tier 3 Definitions: (Tier 3 includes First Lien Loans, First Out Loans, Second Lien Loans, Last Out Loans and Mezzanine Loans)**“Adjusted Tier 3 Purchased Loan Balance”  For any Eligible Loan, its Tier 3 Purchased Loan Balance *minus* the applicable Allocated Excess Concentration Loan Amount.“Tier 3 Advance Rate”  35%.“Tier 3 Leverage Ratio”  
For each Eligible Loan, shall be determined as follows:

 

(a) For First Lien Loans and First Out Loans, the Tier 3 Leverage Ratio shall mean the higher of (A) the Leverage Ratio *minus*5.50, and (B) zero.

 

(b) For Second Lien and Last Out Loans,the Tier 3 Leverage Ratio shall mean (x) the Leverage Ratio *minus* (y) the higher of the applicable Senior Leverage Ratio and 5.50.
“Tier 3 Percentage”  
Means:

 

(a) for First Lien Loans and First Out Loans, the percentage obtained by dividing (x) the applicable Tier 3 Leverage Ratio by(y) the Leverage Ratio;

 

(b) for Second Lien and Last OutLoans, (i) if the Senior Leverage Ratio is greater than or equal to 5.50, then a value of 100%, (ii) if the Leverage Ratio is less than or equal to 5.50 then a value of zero, and (iii) otherwise, the percentage obtained by dividing(A) the applicable Tier 3 Leverage Ratio by (B) the Leverage Ratio minus the Senior Leverage Ratio; and

 

(c) for Mezzanine Loans, 100%.

 
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“Tier 3 Purchased Loan Balance”  For each Eligible Loan, the product of the Purchased Loan Balance and the Tier 3 Percentage; provided, however, that, for any Eligible Loan which does not have positive TTM EBITDA, the “Tier 3 Purchased Loan Balance” shallbe zero.
“Allocated Excess Concentration Loan Amount” means, as to any Eligible Loan, the Excess Concentration LoanAmount of such Eligible Loan allocated to the Tier 1 through Tier 3 Purchased Loan Balances of such Eligible Loan in the following order of priority until such Excess Concentration Loan Amount has been fully allocated: 

(i) first, to its Tier 3 Purchased Loan Balance until such Tier 3 Purchased Loan Balance is zero; then 

(ii) to its Tier 2 Purchased Loan Balance until such Tier 2 Purchased Loan Balance is zero; and then 

(iii) to its Tier 1 Purchased Loan Balance until such Tier 1 Purchased Loan Balance is zero. 

“Senior Funded Debt” means, with respect to any Eligible Loan, the portion of the Total Funded Debt of the Obligor of such loan that issenior in priority and right of repayment of such Eligible Loan. 

“Senior Leverage Ratio” means, for any Eligible Loan, the ratio of theSenior Funded Debt to TTM EBITDA of the Obligor of such Eligible Loan. 

“Borrowing Base Test” means as of any date, adetermination that (a) the lesser of (i) the Borrowing Base and (ii) the Facility Amount shall be equal to or greater than (b) the Advances Outstanding. 

“Borrower Notice” means a written notice, in the form of Exhibit A, to be used for each borrowing, repayment of eachAdvance or termination or reduction of the Facility Amount or Prepayments of Advances. 

“Breakage Costs” is defined inSection 2.11. 

“Business Day” means any day of the year other than a Saturday or a Sunday onwhich (a) (i) banks are not required or authorized to be closed in New York, New York, and Virginia or (ii) which is not a day on which the Bond Market Association recommends a closed day for the U.S. Bond Market, and (b) if the term“Business Day” is used in connection with the Adjusted Eurodollar Rate or the Interest Reset Date, means the foregoing only if such day is also a day of year on which dealings in United States dollar deposits are carried on in the Londoninterbank market. 

 
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“Change-in-Control” means, with respect to anyentity, the date on which (i) any Person or “group” acquires any “beneficial ownership” (as such terms are defined under Rule 13d-3 of, and Regulation 13D under, the SecuritiesExchange Act of 1934, as amended), either directly or indirectly, of membership interests or other equity interests or any interest convertible into any such interest in such entity having more than fifty percent (50%) of the voting power for theelection of managers of such entity, if any, under ordinary circumstances, or (ii) (with regard to the Borrower, except in connection with any Discretionary Sale) an entity sells, transfers, conveys, assigns or otherwise disposes of all orsubstantially all of the assets of such entity. 

“Charged-Off Loan” means anyLoan (i) that is 120 days past due with respect to any interest or principal payment, (ii) for which an Insolvency Event has occurred with respect to the related Obligor or (iii) that is or should be written off as uncollectible bythe Servicer in accordance with the Credit and Collection Policy. 

“Charged-OffRatio” means, with respect to any Settlement Period, the percentage equivalent of a fraction, calculated as of the Determination Date for such Settlement Period, (i) the numerator of which is equal to the aggregate Outstanding LoanBalance of all Loans that became Charged-Off Loans during such Settlement Period and (ii) the denominator of which is equal to the sum of (A) the Aggregate Outstanding Loan Balance as of the firstday of such Settlement Period and (B) the Aggregate Outstanding Loan Balance as of the last day of such Settlement Period divided by 2. 

“Chemical Bank” means Chemical Bank, in its capacity either as a Lender or in its individual capacity, as applicable, and itssuccessors or assigns. 

“Closing Date” means May 19, 2003. 

“Code” means The Internal Revenue Code of 1986, as amended. 

“Collateral” means all right, title and interest, whether now owned or hereafter acquired or arising, and wherever located,of the Borrower in, to and under any and all of the following: 

(i) the Transferred Loans, and all monies due or to becomedue in payment of such Loans on and after the related Purchase Date; 

(ii) any Related Property securing the TransferredLoans, including all proceeds from any sale or other disposition of such Related Property; 

(iii) the Loan Documentsrelating to the Transferred Loans; 

(iv) all Supplemental Interests related to any Transferred Loans; 

(v) the Collection Account, all funds held in such account, and all certificates and instruments, if any, from time to timerepresenting or evidencing the Collection Account or such funds; 

 
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(vi) all Collections and all other payments made or to be made in the futurewith respect to the Transferred Loans, including such payments under any guarantee or similar credit enhancement with respect to such Loans; 

(vii) all Hedge Collateral; 

(viii) the Operating Account and all deposit or banking accounts of the Borrower with the Administrative Agent, and all fundsheld in such accounts, and all certificates and instruments, if any, from time to time representing or evidencing such accounts or such funds; and 

(ix) all income and Proceeds of the foregoing. 

For the avoidance of doubt, the Collateral, in the case of “Related Property” pursuant to clause (ii) above, may be and mean a Lien held byBorrower against such property, rather than an ownership interest in such property. 

“Collateral Custodian” means TheBank of New York Mellon Trust Company, N.A., formerly known as BNY Midwest Trust Company, in its capacity as Collateral Custodian under the Custody Agreement, together with its successors and assigns. 

“Collateral Custodian Expenses” means theout-of-pocket expenses to be paid to the Collateral Custodian under the Custody Agreement. 

“Collateral Custodian Fee” means the fee to be paid to the Collateral Custodian as set forth in the Custody Agreement. 

“Collateral Quality Test” means as of any date, a set of tests that are satisfied so long as each of the following aresatisfied: (i) the Weighted Average Spread on the Transferred Loans is equal to or greater than 5.0% as of such date, (ii) the Weighted Average Life of the Transferred Loans is equal to or less than 57 months as of such date,(iii) the weighted average Risk Rating of the portfolio of Transferred Loans shall not be less than B-/ B3/4 by S&P, Moody’s or the Servicer’s risk rating model, respectively, (iv) theDiversity Score for the Transferred Loans is greater than or equal to 10 as of such date and (v) the Required Minimum Obligors Test is being satisfied. 

“Collection Account” is defined in Section 7.4(e). 

“Collection Date” means the date following the Termination Date on which all Advances Outstanding have been reduced to zero,the Lenders have received all accrued Interest, fees, and all other amounts owing to them under this Agreement and the Hedging Agreement, the Hedge Counterparties have received all amounts due and owing hereunder and under the Hedge Transactions,and each of the Backup Servicer, the Collateral Custodian, the Administrative Agent and the Managing Agents have each received all amounts due to them in connection with the Transaction Documents. 

 
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“Collections” means (a) all cash collections or other cash proceeds ofa Transferred Loan received by or on behalf of the Borrower by the Servicer or Originator from or on behalf of any Obligor in payment of any amounts owed in respect of such Transferred Loan, including, without limitation, Interest Collections,Principal Collections, Deemed Collections, Insurance Proceeds, and all Recoveries, (b) all amounts received by the Buyer (as defined in the Purchase and Sale Agreement) in connection with the repurchase of an Ineligible Loan pursuant toSection 6.1 of the Purchase Agreement, (c) all amounts received by the Administrative Agent in connection with the purchase of a Transferred Loan pursuant to Section 7.7, (d) all payments received pursuant to anyHedging Agreement or Hedge Transaction, and (e) interest earnings in the Collection Account. 

“Commitment” means(a) for KeyBank, the commitment of such Lender to fund Advances to the Borrower in an amount not to exceed $65,000,000, (b) for ING, the commitment of such Lender to fund Advances to the Borrower in an amount not to exceed $45,000,000, (c) forChemical Bank, the commitment of such Lender to fund Advances to the Borrower in an amount not to exceed $25,000,000, in each case as such amount may be modified in accordance with the terms hereof; (d) for FNBP, the commitment of such Lenderto fund Advances to the Borrower in an amount not to exceed $10,000,000, in each case as such amount may be modified in accordance with the terms hereof, (e) for Sterling, the commitment of such Lender to fund Advances to the Borrower in anamount not to exceed $35,000,000, in each case as such amount may be modified in accordance with the terms hereof and (f) with respect to any Person who becomes a Lender pursuant to an Assignment and Acceptance or a Joinder Agreement, thecommitment of such Person to fund Advances to the Borrower in an amount not to exceed the amount set forth in such Assignment and Acceptance or Joinder Agreement, as such amount may be modified in accordance with the terms hereof. 

“Commitment Make-Whole Fee” is defined in that certain Fee Letter, dated as of the Effective Date, between the Borrower andthe Administrative Agent. 

“Commitment Termination Date” means July 15, 2021, or such later date to which theCommitment Termination Date may be extended (if extended) in the sole discretion of the Lenders in accordance with the terms of Section 2.4(b). 

“Contractual Obligation” means, with respect to any Person, means any provision of any securities issued by such Person orany indenture, mortgage, deed of trust, contract, undertaking, agreement, instrument or other document to which such Person is a party or by which it or any of its property is bound or is subject. 

“Control Affiliate” means any Obligor in which the Originator, the Borrower or any Affiliate of the Borrower holds oracquires voting securities of such Obligor, in an amount such that the Originator, the Borrower or any Affiliate of the Borrower, or any or all of them jointly, would then have “control” of such Obligor, as defined in Section 2(a)(9)of the 1940 Act. 

“Controlled Transaction” means a Loan, the Obligor of which is a Control Affiliate. 

“Covenant-Lite Loan” means a Loan lacking traditional financial covenants requiring minimum interest or other debt servicecoverage or specifying maximum levels of leverage or other similar “maintenance” tests. 

 
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“Credit and Collection Policy” means those credit, collection, customerrelation and service policies (i) determined by the Borrower, the Originator and the initial Servicer as of the date hereof relating to the Transferred Loans and related Loan Documents, as on file with the Administrative Agent and as the samemay be amended or modified from time to time in accordance with Sections 5.1(r) and 7.9(g); and (ii) with respect to any Successor Servicer, the collection procedures and policies of such person (as approved by the AdministrativeAgent) at the time such Person becomes Successor Servicer. 

“Current Pay Loan” means any Transferred Loan (a) inrespect of which the Servicer or Originator shall have taken any of the following actions: charging a default rate of interest, restricting Obligor’s right to make subordinated payments (other than payments in respect of owner’s debts andseller financings in the original loan agreement), acceleration of the Transferred Loan, foreclosure on collateral for the Loan, increasing its representation on the Obligor’s Board of Directors or similar governing body, or increasing thefrequency of its inspection rights to permit inspection on demand, (b) that is not more than thirty (30) days past due with respect to any interest or principal payments and (c) in respect of which the Servicer shall have certified(which certification may be in the form of an e-mail or other written electronic communication) to the Administrative Agent that the Servicer does not believe, in its reasonable judgment, that a failure to payinterest or ultimate principal will occur. For avoidance of doubt, a Current Pay Loan shall be an Eligible Loan and included in the Borrowing Base but shall be subject to restriction as provided in the definitions of Excess Concentration Loan Amountand Outstanding Loan Balance. A Transferred Loan shall cease to be a Current Pay Loan if it (i) becomes a Defaulted Loan through failure to satisfy the requirements set forth in clauses (b) and (c) of the first sentence in this definitionor (ii) becomes an Eligible Loan which is no longer a Current Pay Loan (such that it is no longer subject to restriction for purposes of Excess Concentration Amount and Outstanding Loan Balance calculations), which shall occur upon receipt of acertification from the Servicer (which certification may be in the form of an e-mail or other written electronic communication) to the Administrative Agent that, as of the date of the certification(x) the applicable circumstances enumerated in clause (a) above which caused the Loan to be a Current Pay Loan shall no longer exist and (y) such Loan otherwise meets the definition of an Eligible Loan. 

“Custody Agreement” means the Custodial Agreement, dated as of the Closing Date among the Borrower, the Servicer, theOriginator, the Administrative Agent and the Collateral Custodian, as amended by that certain Amendment No. 1 to Custodial Agreement dated as of September 28, 2004, that certain Amendment No. 2 to Custodial Agreement dated as ofMay 15, 2009 and as the same may from time to time be further amended, restated, supplemented, waived or modified. 

“DeemedCollections” means, on any day, the aggregate of all amounts Borrower shall have been deemed to have received as a Collection of a Transferred Loan. Borrower shall be deemed to have received a Collection in an amount equal to the unpaidbalance (including any accrued interest thereon) of a Transferred Loan if at any time the Outstanding Loan Balance of any such Loan is either (i) reduced as a result of any discount or any adjustment or otherwise by Borrower (other than receiptof cash Collections) or (ii) reduced or canceled as a result of a setoff in respect of any claim by any Person (whether such claim arises out of the same or a related transaction or an unrelated transaction). 

“Default Excess” means, with respect to any Defaulting Lender, the excess, if any, of such Defaulting Lender’s ratableportion of the aggregate Credit Exposure of all Lenders (calculated as if all Defaulting Lenders had funded all of their respective Advances) over the aggregate outstanding principal amount of all Advances of such Defaulting Lender. 

 
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“Default Rate” means a rate equal to the sum of (i) the Base Rate plus(ii) 2.0% plus (iii) the Applicable Margin. 

“Default Ratio” means, with respect to any Settlement Period, thepercentage equivalent of a fraction, calculated as of the Determination Date for such Settlement Period, (a) the numerator of which is equal to the aggregate Outstanding Loan Balance of all Transferred Loans (excluding Charged-Off Loans) included as part of the Collateral that became Defaulted Loans during such Settlement Period and (b) the denominator of which is equal to (i) the sum of (x) the AggregateOutstanding Loan Balance as of the first day of such Settlement Period and (y) the Aggregate Outstanding Loan Balance as of the last day of such Settlement Period divided by (ii) two. 

“Defaulted Loan” means any Transferred Loan (a) as to which, (x) a default as to the payment of principal and/orinterest has occurred and is continuing for a period of thirty-two (32) consecutive days with respect to such Loan (without regard to any grace period applicable thereto, or waiver thereof) or (y) adefault not set forth in clause (x) has occurred and the holders of such Loan have accelerated all or a portion of the principal amount thereof as a result of such default, (b) as to which a default as to the payment of principal and/orinterest has occurred and is continuing on another debt obligation of the same Obligor which is senior or pari passu in right of payment to such Loan, (c) as to which the Obligor or others have instituted proceedings to have the Obligoradjudicated bankrupt or insolvent or placed into receivership and such proceedings have not been stayed or dismissed or such issuer has filed for protection under Chapter 11 of the United States Bankruptcy Code (unless in the case of clauses(b) and (c), the Loan is a Current Pay Loan or a DIP Loan, in which case such Loan shall not be deemed a Defaulted Loan), (d) that the Servicer has in its reasonable commercial judgment otherwise declared to be a Defaulted Loan or (e) thathas a Risk Rating of “Ca,” “CC” or “1” or below by Moody’s, S&P or the Servicer, respectively. 

“Defaulting Lender” means, subject to Section 12.17, any Lender that (a) has failed to(i) fund all or any portion of its Advances within two Business Days of the date such Advances were required to be funded hereunder unless such Lender notifies the Administrative Agent and the Borrower in writing that such failure is the resultof such Lender’s determination that one or more conditions precedent to funding (each of which conditions precedent, together with any applicable default, shall be specifically identified in such writing) has not been satisfied, or(ii) pay to the Administrative Agent, the Swingline Lender or any other Lender any other amount required to be paid by it hereunder (including in respect of its participation in Swing Advances) within two Business Days of the date when due,(b) has notified the Borrower, the Administrative Agent or Swingline Lender in writing that it does not intend to comply with its funding obligations hereunder, or has made a public statement to that effect (unless such writing or publicstatement relates to such Lenders’ obligation to fund an Advance hereunder and states that such position is based on such Lender’s determination that a condition precedent to funding (which condition precedent, together with any applicabledefault, shall be specifically identified in such writing or public statement) cannot be satisfied), (c) has failed, within three Business Days after written request by the Administrative Agent or the Borrower, to confirm in writing to theAdministrative Agent and the Borrower that it will comply with its prospective funding obligations hereunder 

 
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(provided that such Lender shall cease to be a Defaulting Lender pursuant to this clause (c) upon receipt of such written confirmation by the Administrative Agent and the Borrower), or(d) has, or has a direct or indirect parent company that has, other than via an Undisclosed Administration, (i) become the subject of a proceeding under any Insolvency Law, (ii) had appointed for it a receiver, custodian, conservator,trustee, administrator, assignee for the benefit of creditors or similar Person charged with reorganization or liquidation of its business or assets, including the Federal Deposit Insurance Corporation or any other state or federal regulatoryauthority acting in such a capacity, or (iii) become the subject of a Bail-in Action; provided that a Lender shall not be a Defaulting Lender solely by virtue of the ownership or acquisition of any equityinterest in that Lender or any direct or indirect parent company thereof by a Governmental Authority so long as such ownership interest does not result in or provide such Lender with immunity from the jurisdiction of courts within the United Statesor from the enforcement of judgments or writs of attachment on its assets or permit such Lender (or such Governmental Authority) to reject, repudiate, disavow or disaffirm any contracts or agreements made with such Lender. Any determination by theAdministrative Agent that a Lender is a Defaulting Lender under clauses (a) through (d) above shall be conclusive and binding absent manifest error, and such Lender shall be deemed to be a Defaulting Lender (subject toSection 12.17) upon delivery of written notice of such determination to the Borrower, the Swingline Lender and each Lender. 

“Deposit Account Control Agreement” means each of (i) a letter agreement, substantially in the form ofExhibit L, among the Borrower, the Administrative Agent and the bank maintaining the Collection Account with respect to control of the Collection Account, as amended by Amendment No. 1 to Deposit Account ControlAgreement dated as of May 15, 2009, and as the same may be further amended, modified, supplemented, restated or replaced by a successor agreement in form and substance reasonably acceptable to the Administrative Agent from time to time,(ii) the Deposit Account Control Agreement dated as of May 15, 2009 with respect to the Operating Account among the Borrower, the bank maintaining the Operating Account and the Administrative Agent, as the same may be amended, modified,supplemented, restated or replaced by a successor agreement in form and substance reasonably acceptable to the Administrative Agent from time to time and (iii) any letter agreement, substantially in the form ofExhibit L or otherwise in form and substance reasonably acceptable to the Administrative Agent, among the Borrower, the Administrative Agent and the bank maintaining any Lock-BoxAccount. 

“Derivatives” means any exchange-traded orover-the-counter (i) forward, future, option, swap, cap, collar, floor, foreign exchange contract, any combination thereof, whether for physical delivery or cashsettlement, relating to any interest rate, interest rate index, currency, currency exchange rate, currency exchange rate index, debt instrument, debt price, debt index, depository instrument, depository price, depository index, equity instrument,equity price, equity index, commodity, commodity price or commodity index, (ii) any similar transaction, contract, instrument, undertaking or security, or (iii) any transaction, contract, instrument, undertaking or security containing anyof the foregoing. 

“Determination Date” means the last day of each Settlement Period. 

 
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“DIP Loan” means a Transferred Loan, the Obligor of which is a debtor-in-possession as described in Section 1107 of the Bankruptcy Code or a debtor as defined in Section 101(13) of the Bankruptcy Code (a “Debtor”)organized under the laws of the United States or any state therein, the terms of which have been approved by an order of a court of competent jurisdiction, which order provides that (i) such DIP Loan is secured by liens on otherwiseunencumbered property of the Debtor’s bankruptcy estate pursuant to 364(c)(2) of the Bankruptcy Code, (ii) such DIP Loan is secured by liens of equal or senior priority on property of the Debtor’s estate that is otherwise subject to alien pursuant to Section 364(d) of the Bankruptcy Code, (iii) such DIP Loan is secured by junior liens on property of the Debtor’s bankruptcy estate already subject to a lien encumbered assets (so long as such DIP Loan is a fullysecured claim within the meaning of Section 506 of the Bankruptcy Code), or (iv) if the DIP Loan or any portion thereof is unsecured, the repayment of such DIP Loan retains priority over all other administrative expenses pursuant toSection 364(c)(1) of the Bankruptcy Code; provided that, in the case of the origination or acquisition of any DIP Loan, none of the Borrower or the Servicer have actual knowledge that the order set forth above is subject to any pendingcontested matter or proceeding (as such terms are defined in the Federal Rules of Bankruptcy Procedure) or the subject of an appeal or stay pending appeal. 

“Discretionary Sale” is defined in Section 2.16. 

“Discretionary Sale Notice” is defined in Section 2.16. 

“Discretionary Sale Settlement Date” means the Business Day specified by the Borrower to the Administrative Agent in aDiscretionary Sale Notice as the proposed settlement date of a Discretionary Sale. 

“Discretionary Sale Trade Date” meansthe Business Day specified by the Borrower to the Administrative Agent in a Discretionary Sale Notice as the proposed trade date of a Discretionary Sale. 

“Diversity Score” means the single number that indicates collateral concentration for Loans in terms of both Obligor andindustry concentration, which is calculated as described in Schedule IV attached hereto. 

“Drawn Amount” means, atany time, the sum of (i) Advances Outstanding and (ii) the Revolver Loan Unfunded Commitment Amount at such time. 

“Early Opt-in Election” means the occurrence of: 

(i) (a) a determination by the Administrative Agent or (b) a notification by the Required Lenders to the AdministrativeAgent (with a copy to the Borrower) that the Required Lenders have determined, that U.S. dollar-denominated syndicated credit facilities being executed at such time, or that include language similar to that contained inSection 2.18 are being executed or amended, as applicable, to incorporate or adopt a new benchmark interest rate to replace LIBOR, and 

(ii) (a) the election by the Administrative Agent or (b) the election by the Required Lenders to declare that an Early Opt-in Election has occurred and the provision, as applicable, by the Administrative Agent of written notice of such election to the Borrower and the Lenders or by the Required Lenders of written notice of suchelection to the Administrative Agent. 

 
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“Early Termination Event” is defined inSection 8.1. 

“EBITDA” means, with respect to any Obligor of a Loan, the consolidated netincome of the applicable Person (excluding extraordinary gains and extraordinary losses (to the extent excluded in the definition of “EBITDA” in the relevant Loan Documents relating to the applicable Loan)) for the relevant period plus thefollowing to the extent deducted in calculating such consolidated net income: (i) consolidated interest charges for such period; (ii) the provision for Federal, state, local and foreign income taxes payable for such period;(iii) depreciation and amortization expense for such period; and (iv) such other adjustments included in the definition of “EBITDA” (or similar defined term used for the purposes contemplated herein) in the relevant LoanDocuments relating to the applicable Loan, provided, that such adjustments are usual and customary and substantially comparable to market terms for substantially similar debt of other similarly situated borrowers at the time suchrelevant agreements are entered into as reasonably determined in good faith by the Servicer or the Borrower. 

“EEA FinancialInstitution” means (a) any credit institution or investment firm established in any EEA Member Country which is subject to the supervision of an EEA Resolution Authority, (b) any entity established in an EEA Member Country whichis a parent of an institution described in clause (a) of this definition, or (c) any financial institution established in an EEA Member Country which is a subsidiary of an institution described in clauses (a) or (b) of this definitionand is subject to consolidated supervision with its parent; 

“EEA Member Country” means any of the member states of theEuropean Union, Iceland, Liechtenstein, and Norway. 

“EEA Resolution Authority” means any public administrative authorityor any person entrusted with public administrative authority of any EEA Member Country (including any delegee) having responsibility for the resolution of any EEA Financial Institution. 

“Effective Date” means May 1, 2015. 

“Eligible Assignee” means a Person (a) that is a Lender or an Affiliate of a Lender or (b) who is approved by(i) the Administrative Agent (such approval not to be unreasonably withheld or delayed) and (ii) unless an Unmatured Termination Event or Early Termination Event shall have occurred and be continuing, the Borrower (such approval not to beunreasonably withheld or delayed); providedthat, notwithstanding any of the foregoing, “Eligible Assignee” shall not include the Borrower or any of the Borrower’s Affiliates or subsidiaries. 

“Eligible Loan” means, on any date of determination, each Loan which satisfies each of the following requirements: 

(i) the Loan is evidenced by a promissory note that has been duly authorized and that, together with the related LoanDocuments, is in full force and effect and constitutes the legal, valid and binding obligation of the Obligor of such Loan to pay the stated amount of the Loan and interest thereon, and the related Loan Documents are enforceable against such Obligorin accordance with their respective terms; 

 
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(ii) the Loan (a) was originated in accordance with the terms of theCredit and Collection Policy, (b) arose in the ordinary course of the Originator’s business from the lending of money to the Obligor thereof and (c) the origination of such Loan by the Originator, and the sale and transfer of anyinterests in such Loan to the Borrower or any Affiliate of the Borrower, and the ongoing maintenance of such interests, shall not cause the Originator to violate the RIC/BDC Requirements in any material respect (taking into account any exemptiverelief available to the Originator); 

(iii) the Loan is not a Defaulted Loan; 

(iv) the Obligor of such Loan has executed all appropriate documentation required by the Originator; 

(v) the Loan, together with the Loan Documents related thereto, is a “general intangible”, an “instrument”,an “account”, or “chattel paper” within the meaning of the UCC of all jurisdictions that govern the perfection of the security interest granted therein; 

(vi) all material consents, licenses, approvals or authorizations of, or registrations or declarations with, any GovernmentalAuthority required to be obtained, effected or given in connection with the making of such Loan have been duly obtained, effected or given and are in full force and effect; 

(vii) the Loan is denominated and payable only in United States dollars in the United States, and is not convertible by theObligor into debt denominated in any other currency; 

(viii) the Loan bears interest, which is due and payable no lessfrequently than semi-annually, except for PIK Loans; 

(ix) the Loan, together with the Loan Documents related thereto, doesnot contravene in any material respect any Applicable Laws (including, without limitation, laws, rules and regulations relating to usury, truth in lending, fair credit billing, fair credit reporting, equal credit opportunity, fair debt collectionpractices and privacy) and with respect to which no party to the Loan Documents related thereto is in material violation of any such Applicable Laws; 

(x) the Loan, together with the related Loan Documents, is fully assignable; 

(xi) the Loan was documented and closed in accordance with the Credit and Collection Policy, including the relevant opinionsand assignments, and there is only one current original promissory note; 

(xii) the Loan and all Related Property withrespect to such Loan are free of any Liens except for Permitted Liens; 

(xiii) the Loan has an original term to maturity ofno more than 120 months; 

 
18 

(xiv) no right of rescission, set off, counterclaim, defense or othermaterial dispute has been asserted with respect to such Loan; 

(xv) any Related Property with respect to such Loan isinsured in accordance with the Credit and Collection Policy; 

(xvi) the Obligor with respect to such Loan is an EligibleObligor; 

(xvii) if such Loan is a PIK Loan, such Loan shall pay a minimum of eight percent (8.0%) per annum currentinterest in cash, on at least a quarterly basis; 

(xviii) the Loan is not a loan or extension of credit made by theOriginator or one of its subsidiaries to an Obligor for the purpose of making any principal, interest or other payment on such Loan necessary in order to keep such Loan from becoming delinquent; 

(xix) the Loan has not been amended or subject to a deferral or waiver the effect of which is to (A) reduce the amount(other than by reason of the repayment thereof) or extend the time for payment of principal or (B) reduce the rate or extend the time of payment of interest (or any component thereof), in each case without the consent of the Required Lenders;provided, however, that such consent shall not be required for an amendment, deferral or waiver that is a Permitted Loan Amendment, so long as the Loan to be so amended, deferred or waived (1) is not a Defaulted Loan and(2) has not incurred and is not anticipated to incur a breach of a material financial covenant; 

(xx) if such Loan isa Revolver Loan, it shall be secured by a first priority, perfected security interest on certain assets of the Obligor which shall include, without limitation, accounts receivable and inventory; 

(xxi) if such Loan is a Revolver Loan, the revolving credit commitment of the Borrower to the applicable Obligor thereundershall have a term to maturity of three years or less; 

(xxii) if such Loan is a Fixed Rate Loan which is not subject to aHedging Transaction, the interest rate charged on such Loan shall be equal to or greater than 9.0%; 

(xxiii) such Loan isnot a Structured Finance Obligation; 

(xxiv) such Loan is not an equity security, and does not by its terms permit thepayment obligation of the Obligor thereunder to be converted into or exchanged for equity capital of such Obligor; 

(xxv)such Loan is not an obligation whose repayment is subject to or derived from (a) the value of other loans, securities and/or financial instruments or (b) the value of bonds insuring against loss arising from natural catastrophes; 

(xxvi) such Loan will not be accompanied by additional consideration which would cause the Borrower to be deemed to own 5.0% ormore of the voting securities of any publicly registered issuer or any securities that are immediately convertible into or immediately exercisable or exchangeable for 5.0% or more of the voting securities of any publicly registered issuer, asdetermined by the Servicer; 

 
19 

(xxvii) the financing of such Loan by the Lenders does not contraveneRegulation U of the Federal Reserve Board, nor require the Lenders to undertake reporting thereunder which it would not otherwise have cause to make; 

(xxviii) if such security or loan is a Real Estate Loan, there is full recourse to the Obligor for principal and interestpayments; 

(xxix) such Loan does not contain a confidentiality provision that restricts the ability of the AdministrativeAgent, on behalf of the Secured Parties, to exercise its rights under the Transaction Documents, including, without limitation, its rights to review the Loan, the related Loan File or the Originator’s credit approval file in respect of suchLoan; provided, however, that a provision which requires the Administrative Agent or other prospective recipient of confidential information to maintain the confidentiality of such information shall not be deemed to restrict theexercise of such rights; 

(xxx) the Obligor of which is not the Servicer, an Affiliate of the Borrower, the Originator orthe Servicer or any other person whose investments are primarily managed by the Servicer or any Affiliate of the Servicer, unless such Loan is approved by the Required Lenders (for avoidance of doubt, the term “Affiliate” as used in thisclause (xxx) does not include an entity which is a “Control Affiliate”); 

(xxxi) the Servicer shall have inrespect of such Loan calculated, (i) on or prior to the date on which such Loan became a Transferred Loan, and (ii) at least once per calendar quarter, within thirty Business Days after the date the Servicer provides the quarterlyvaluations for its serviced portfolio, each of the following, in each case in accordance with the applicable Loan Documents for such Loan: EBITDA, Total Funded Debt, TTM EBITDA and each of the ratios required to be computed hereunder utilizing thosethree terms in the classification of such Loan hereunder; 

(xxxii) such Loan is not a Covenant-Lite Loan, unless such Loanis a Qualifying Covenant-Lite Loan, in which case it shall not be ineligible pursuant solely to the operation of this clause (xxxii); 

(xxxiii) the proceeds of such Loan are not used to finance construction projects or activities in the form of a traditionalconstruction loan where the only collateral for the loan is the project under construction and draws are made on the loan specifically to fund construction in progress; and 

(xxxiv) such Loan shall be a (A) First Lien Loan, (B) First Out Loan, (C) First Lien Qualifying Covenant-LiteLoan, (D), Second Lien Loan, (E) Last Out Loan, (F) Second Lien Qualifying Covenant-Lite Loan or (G) Mezzanine Loan. 

 
20 

“Eligible Obligor” means, on any day, any Obligor that satisfies each ofthe following requirements: 

(i) such Obligor’s principal office and any Related Property are located in Canada or theUnited States or any territory of the United States; 

(ii) no other Loan of such Obligor is a Defaulted Loan; 

(iii) such Obligor is not the subject of any Insolvency Event, with the exception of an Obligor with regard to a DIP Loan; 

(iv) such Obligor is not a Governmental Authority; 

(v) such Obligor is in material compliance with all material terms and conditions of its Loan Documents; and 

(vi) such Obligor is not an Affiliate of the Borrower, the Servicer or the Originator (for avoidance of doubt, the term“Affiliate” as used in this clause (vi) does not include an entity which is a “Control Affiliate”). 

“ERISA” means the U.S. Employee Retirement Income Security Act of 1974, as amended from time to time, and the regulationspromulgated and rulings issued thereunder. 

“ERISA Affiliate” means (a) any corporation that is a member of the samecontrolled group of corporations (within the meaning of Section 414(b) of the Code) as the Borrower; (b) a trade or business (whether or not incorporated) under common control (within the meaning of Section 414(c) of the Code) withthe Borrower or (c) a member of the same affiliated service group (within the meaning of Section 414(m) of the Code) as the Borrower, any corporation described in clause (a) above or any trade or business described in clause(b) above. 

“EU Bail-In Legislation Schedule” means the EU Bail-In Legislation Schedule published by the Loan Market Association (or any successor person), as in effect from time to time. 

“Eurodollar Disruption Event” means, with respect to any Advance as to which Interest accrues or is to accrue at a rate basedupon the Adjusted Eurodollar Rate, any of the following: (a) a determination by a Lender that it would be contrary to law or to the directive of any central bank or other governmental authority (whether or not having the force of law) to obtainUnited States dollars in the London interbank market to make, fund or maintain any Advance; (b) the inability of any Lender to obtain timely information for purposes of determining the Adjusted Eurodollar Rate; (c) a determination by aLender that the rate at which deposits of United States dollars are being offered to such Lender in the London interbank market does not accurately reflect the cost to such Lender of making, funding or maintaining any Advance; or (d) theinability of a Lender to obtain United States dollars in the London interbank market to make, fund or maintain any Advance. 

“Eurodollar Reserve Percentage” means, on any day, the then applicable percentage (expressed as a decimal) prescribed by theFederal Reserve Board (or any successor) for determining maximum reserve requirements applicable to “Eurocurrency Liabilities” pursuant to Regulation D or any other then applicable regulation of the Federal Reserve Board (or any successor)that prescribes reserve requirements applicable to “Eurocurrency Liabilities” as presently defined in Regulation D. The Adjusted Eurodollar Rate shall be adjusted automatically on and as of the effective date of any change in theEurodollar Reserve Percentage. 

 
21 

“Excess Concentration Limits” means, as of any date ofdetermination, the following limits on the amount of Purchased Loan Balance of all Eligible Loans which may be included in the Borrowing Base, as contemplated by the definition of Excess Concentration Loan Amount: 

(a) the Aggregate Adjusted Purchased Loan Balance of Fixed Rate Loans which are not subject to a Hedge Transaction shall not exceed 20% of theAggregate Purchased Loan Balance; 

(b) the Aggregate Adjusted Purchased Loan Balance of Fixed Rate Loans (whether subject to a HedgeTransaction or not) shall not exceed 40% of the Aggregate Purchased Loan Balance; 

(c) the Aggregate Adjusted Purchased Loan Balance ofEligible Loans that have remaining terms to maturity greater than 84 months (measured as of the most recent Reporting Date) shall not exceed 15% of the Aggregate Purchased Loan Balance; 

(d) the Aggregate Adjusted Purchased Loan Balance of Eligible Loans which are not (i) First Lien Loans, (ii) First Lien QualifyingCovenant-Lite Loans or (iii) First Out Loans shall not exceed 60% of the Aggregate Purchased Loan Balance; provided that, in the event “asset coverage” (as defined in and determined pursuant to Section 18 of the 1940 Act,as modified by Section 61 of the 1940 Act) of the Performance Guarantor is less than 175%, this limit shall not exceed 50% following a 90-day grace period; 

(e) the Aggregate Adjusted Purchased Loan Balance of Eligible Loans which are participation interests shall not exceed 10% of the AggregatePurchased Loan Balance; 

(f) the Aggregate Adjusted Purchased Loan Balance of Eligible Loans which are DIP Loans shall not exceed 10% ofthe Aggregate Purchased Loan Balance; 

(g) the Aggregate Adjusted Purchased Loan Balance of Eligible Loans which have an Risk Rating ofCCC+/Caa1/3 (S&P/Moody’s/Servicer) or below shall not exceed 15% of the Aggregate Purchased Loan Balance; 

(h) the AggregateAdjusted Purchased Loan Balance of Eligible Loans included as part of the Collateral which are Revolver Loans shall not exceed 15% of the Aggregate Purchased Loan Balance; 

(i) the Aggregate Adjusted Purchased Loan Balance of Eligible Loans which are PIK Loans shall not exceed 25% of the Aggregate Purchased LoanBalance; 

(j) the Aggregate Adjusted Purchased Loan Balance of Eligible Loans that are Current Pay Loans shall not exceed 10% of theAggregate Purchased Loan Balance; 

(k) the Aggregate Adjusted Purchased Loan Balance of Eligible Loans that are Real Estate Loans shallnot exceed 5% of the Aggregate Purchased Loan Balance; 

 
22 

(l) the Aggregate Adjusted Purchased Loan Balance of Eligible Loans for which the applicableEligible Obligors are domiciled in any single State shall not exceed 40% of the Aggregate Purchased Loan Balance; 

(m) the AggregateAdjusted Purchased Loan Balance of Eligible Loans to a single Obligor shall not exceed an amount equal to the greater of (a) $20,000,000 and (b) the product of (A) 10% and (B) the Aggregate Purchased Loan Balance; provided, that, forpurposes of calculating this clause (m), all Loans included in the Collateral or to become part of the Collateral the Obligor of which is an Affiliate of another Obligor shall be aggregated with all Loans of such other Obligor; 

(n) the Aggregate Adjusted Purchased Loan Balance of Eligible Loans to the ten (10) Obligors having the largest Purchased Loan Balances,in the aggregate, shall not exceed an amount equal to 75% of the Aggregate Purchased Loan Balance; provided, that, for purposes of calculating this clause (n), all Loans included in the Collateral or to become part of the Collateral the Obligor ofwhich is an Affiliate of another Obligor shall be aggregated with all Loans of such other Obligor; 

(o) the Aggregate Adjusted PurchasedLoan Balance of Eligible Loans included as part of the Collateral for which no Trust Receipt (as defined in the Custody Agreement) has been received shall not exceed 10% of the Aggregate Purchased Loan Balance; 

(p) the Aggregate Adjusted Purchased Loan Balance of Loans which are not priced by an Approved Valuation Service on a quarterly basis and havenot been so priced by Approved Valuation Service for a period in excess of 135 days from the last day of the fiscal quarter during which such Loans became Transferred Loans (other than those Loans which have a long term credit rating from S&P orMoody’s and have a quoted price by a financial institution rated at least A-1/P-1 that makes a market in such Loan, which shall be expressly excluded from thissubsection (p)) shall not exceed 0% of the Aggregate Purchased Loan Balance; 

(q) the Aggregate Adjusted Purchased Loan Balance ofEligible Loans that are Mezzanine Loans shall not exceed 5% of the Aggregate Purchased Loan Balance; 

(r) the Aggregate Adjusted PurchasedLoan Balance of Eligible Loans which are any of (i) PIK Loans, (ii) DIP Loans, (iii) Mezzanine Loans or (iv) Current Pay Loans shall not, in the aggregate, exceed 25% of the Aggregate Purchased Loan Balance; 

(s) the Aggregate Adjusted Purchased Loan Balance of Eligible Loans that are Qualifying Covenant-Lite Loans shall not exceed 10% of theAggregate Purchased Loan Balance; 

(t) the Aggregate Adjusted Purchased Loan Balance of Eligible Loans that arise in connection with aControlled Transaction shall not exceed 15% of the Aggregate Purchased Loan Balance; 

(u) the Aggregate Adjusted Purchased Loan Balance ofEligible Loans for which the Servicer has not calculated, at least once per calendar quarter within five Business Days after the date the Servicer provides the quarterly valuations for its serviced portfolio, each of the following, in each case inaccordance with the applicable Loan Documents for such corresponding Eligible Loan: EBITDA, Total Funded Debt, TTM EBITDA and each of the ratios required to be computed hereunder utilizing those three terms in the classification of such Loanhereunder, shall not exceed 10% of the Aggregate Purchased Loan Balance; 

 
23 

(v) the Aggregate Adjusted Purchased Loan Balance of Eligible Loans as to which theObligor’s principal office and any Related Property are located in Canada shall not exceed 5% of the Aggregate Purchased Loan Balance; 

(w) the Aggregate Adjusted Purchased Loan Balance of the Non-Qualified Loans shall not exceed 15% ofthe Aggregate Purchased Loan Balance; 

(x) the Aggregate Adjusted Purchased Loan Balance of Excess Leverage Loans (whether Non-Qualified Loans or not) shall not exceed 25% of the Aggregate Purchased Loan Balance; 

(y) for allExcess Leverage Loans (whether Non-Qualified Loans or not) for which the ratio, expressed as a percentage of the Fair Market Value of such Loan to the Outstanding Loan Balance of such Loan shall be less than80%, an amount equal to the amount of the Aggregate Adjusted Purchased Loan Balance of such Excess Leverage Loans causing such Loans to have a Total Funded Debt to TTM EBITDA ratio of greater than 6.0x; and 

(z) the Aggregate Adjusted Purchased Loan Balance of Loans which bear interest which is due and payable less frequently than quarterly (exceptfor PIK Loans) shall not exceed 10% of the Aggregate Purchased Loan Balance. 

For purposes of calculating the Excess Concentration Amount, all Loansincluded in the Collateral or to become part of the Collateral the Obligor of which is an Affiliate of another Obligor shall be aggregated with all Loans of such other Obligor. 

“Excess Concentration Loan Amount” means, with respect to each Eligible Loan included as part of the Collateral, as of anydate of determination, the amount to be subtracted from the Purchased Loan Balance of such Eligible Loan resulting in an Adjusted Purchased Loan Balance satisfying all Excess Concentration Limits for all Adjusted Purchased Loan Balances of allEligible Loans, as allocated in the reasonable business judgment of the Borrower, or the Servicer on its behalf. For purposes of clarity, the Excess Concentration Loan Amounts shall be calculated without duplication under the limits set forth abovein paragraphs (a)-(z) in the definition of “Excess Concentration Limits.” In determining the effect of any single Loan on the Excess Concentration Loan Amount, the Servicer may determine, in its discretion, which of such applicableparagraphs (a)-(z) to utilize. 

“Excess Leverage Loan” shall mean any Eligible Loan having a Total Funded Debt to TTMEBITDA ratio of greater than 6.0x. 

“Facility Amount” means, at any time and as reduced or increased from time to time,pursuant to the terms of this Agreement the aggregate dollar amount of Commitments of all the Lenders, as of the date of determination; provided, however, that on or after the Termination Date, the Facility Amount shall be equal to theamount of Advances outstanding. As of the Amendment No. 6 Effective Date, the Facility Amount is $180,000,000. The Facility Amount may be increased up to a total of $265,000,000 in accordance with the provisions ofSection 2.3(c). 

 
24 

“Fair Market Value” means, with respect to each Eligible Loan, the least of(a) to the extent priced by an Approved Valuation Service, the product of (x) the remaining principal amount of the Eligible Loan and (y) the pricing as determined by an Approved Valuation Service in its most recent quarterly pricing,(b) the remaining principal amount of such Eligible Loan, (c) if such Eligible Loan has been reduced in value below the remaining principal amount thereof (other than as a result of the allocation of a portion of the remaining principalamount to warrants), the value of such Eligible Loan as required by, and in accordance with, the 1940 Act, as amended, and any orders of the SEC issued to the Originator, to be determined by the Board of Directors of the Originator and reviewed byits auditors and (d) (A) the remaining principal amount of such Eligible Loan times (B) the price quoted to the Borrower on such Eligible Loan from a financial institution rated at least A-1/P-1 that makes a market in such Eligible Loan. 

“Federal Funds Rate” means,for any period, a fluctuating interest rate per annum for each day during such period equal to (a) the weighted average of the rates on overnight federal funds transactions with members of the Federal Reserve System, as published for such day(or, if such day is not a Business Day, for the preceding Business Day) by the Federal Reserve Bank of New York; or (b) if such rate is not so published for any day which is a Business Day, the average of the quotations at approximately 10:30a.m. (New York City time) for such day on such transactions received by the Administrative Agent from three federal funds brokers of recognized standing selected by it. 

“Federal Reserve Bank of New York’s Website” means the website of the Federal Reserve Bank of New York athttp://www.newyorkfed.org, or any successor source. 

“Federal Reserve Board” means the Board of Governors of the FederalReserve System. 

“Fee Letter” means any letter agreement in respect of fees among the Borrower, the Originator and theAdministrative Agent or any Managing Agent, as any such letter may be amended or modified and in effect from time to time. 

“FirstLien Loan” means a Loan that is entitled to the benefit of a first lien and first priority perfected security interest on all or substantially all of the assets (net of any real estate) of the respective Obligors obligated in respectthereof, and which has the most senior pre-petition priority in any bankruptcy, reorganization, arrangement, insolvency, or liquidation proceedings, provided, however, that, in the case of accounts receivableand inventory (and the proceeds thereof), such lien and security interest may be second in priority to a Permitted Working Capital Lien; and further provided, that, as of any date of determination, the ratio of the principal amount of the Loansecured by such Permitted Working Capital Lien to TTM EBITDA of the Obligor is less than or equal to 1.0x, otherwise, such Loan will be deemed to be a Second Lien Loan. For the avoidance of doubt, in no event shall a First Lien Loan include a LastOut Loan, unless 100% of the interests in both the First Out Loan and the Last Out Loan are held by the Borrower or the Borrower and its Affiliates, in accordance with that certain exemptive order granted by the SEC to the Originator in July 2012 tothe extent that such order remains applicable to Originator and its Affiliates. 

“First Lien Qualifying Covenant-LiteLoan” means a First Lien Loan which is a Qualifying Covenant-Lite Loan. 

 
25 

“First Out Loan” means a Loan that (a) constitutes an Eligible Loanwhich is a First Lien Loan, (b) is secured on a pari passu basis with a Last Out Loan by a perfected, first priority security interest in all or substantially all of the assets of the related Obligor, and (c) following the occurrence of aspecified event or trigger under the applicable Loan Documents, will be paid in full prior to the payment of any portion of the related Last Out Loan issued by the same Obligor, in accordance with a specified priority of payment; provided,however, that if (i) the Borrower holds 100% of the interests in both the First Out Loan and related Last Out Loan of an Obligor, or (ii) 100% of the interests in both the First Out Loan and the related Last Out Loan of an Obligor areheld by the Borrower and its Affiliates, in accordance with that certain exemptive order granted by the SEC to the Originator in July 2012 to the extent that such order remains applicable to Originator and its Affiliates, then in either case, bothLoans will be considered to be First Lien Loans provided all other requirements of this definition are satisfied. 

“Fixed RateLoan” means a Transferred Loan that bears interest at a fixed rate. 

“Floating Rate Loan” means a TransferredLoan that bears interest at a floating rate. 

“FNBP” means First National Bank of Pennsylvania, in its capacity either asa Lender or in its individual capacity, as applicable, and its successors or assigns. 

“Fronting Exposure” means, at anytime there is a Defaulting Lender, with respect to the Swingline Lender, such Defaulting Lender’s Applicable Percentage of outstanding Swing Advances made by the Swingline Lender other than Swing Advances as to which such DefaultingLender’s participation obligation has been reallocated to other Lenders. 

“Funding Date” means any day on which anAdvance is made in accordance with and subject to the terms and conditions of this Agreement. 

“Funding Request” means aBorrower Notice requesting an Advance and including the items required by Section 2.2. 

“GAAP”means generally accepted accounting principles as in effect from time to time in the United States. 

“GovernmentalAuthority” means, with respect to any Person, any nation or government, any state or other political subdivision thereof, any central bank (or similar monetary or regulatory authority) thereof, any entity exercising executive, legislative,judicial, regulatory or administrative functions of or pertaining to government and any court or arbitrator having jurisdiction over such Person (including any supra-national body exercising such powers or functions, such as the European Union orthe European Central Bank). 

“Group Advance Limit” means, for each Lender Group, the sum of the Commitments of theLenders in such Lender Group. 

“Guarantor Event of Default” means the occurrence of any “Event of Default”under and as defined in the Performance Guaranty. 

 
26 

“Hedge Breakage Costs” means, for any Hedge Transaction, any amount payableby the Borrower for the early termination of that Hedge Transaction or any portion thereof. 

“Hedge Collateral” isdefined in Section 5.2(b). 

“Hedge Counterparty” means (i) KeyBank, (ii) ING or(iii) any other Lender that has been approved in writing by the Administrative Agent (which approval shall not be unreasonably withheld). 

“Hedge Transaction” means each interest rate cap transaction between the Borrower and a Hedge Counterparty that is enteredinto pursuant to Section 5.2 and is governed by a Hedging Agreement. 

“Hedging Agreement” meanseach agreement between the Borrower and a Hedge Counterparty that governs one or more Hedge Transactions entered into pursuant to Section 5.2, which agreement shall consist of a “Master Agreement” in a formpublished by the International Swaps and Derivatives Association, Inc., together with a “Schedule” thereto substantially in a form as the Administrative Agent shall approve in writing, and each “Confirmation” thereunderconfirming the specific terms of each such Hedge Transaction. 

“Increased Costs” means any amounts required to be paid bythe Borrower to an Affected Party pursuant to Section 2.12. 

“Indebtedness” means, with respectto the Borrower or the initial Servicer at any date, (a) all indebtedness of such Person for borrowed money or for the deferred purchase price of property or services (other than current liabilities incurred in the ordinary course of businessand payable in accordance with customary trade practices) or that is evidenced by a note, bond, debenture or similar instrument, (b) all obligations of such Person under capital leases, (c) all obligations of such Person in respect ofacceptances or letters of credit issued or created for the account of such Person, (d) all liabilities secured by any Adverse Claims on any property owned by such Person even though such Person has not assumed or otherwise become liable for thepayment thereof, and (e) all indebtedness, obligations or liabilities of that Person in respect of Derivatives, and (f) obligations under direct or indirect guaranties in respect of obligations (contingent or otherwise) to purchase orotherwise acquire, or to otherwise assure a creditor against loss in respect of, clauses (a) through (e) above. 

“Indemnified Amounts” is defined in Section 9.1. 

“Indemnified Party” is defined in Section 9.1. 

“Industry” means the industry of an Obligor as determined by reference to the Moody’s Industry Classifications. 

“Ineligible Loan” is defined in the Purchase Agreement. 

“ING” means ING Capital LLC, in its capacity either as a Lender or in its individual capacity, as applicable, and itssuccessors or assigns. 

 
27 

“Insolvency Event” means, with respect to a specified Person, (a) thefiling of a decree or order for relief by a court having jurisdiction in the premises in respect of such Person or any substantial part of its property in an involuntary case under any applicable Insolvency Law now or hereafter in effect, orappointing a receiver, liquidator, assignee, custodian, trustee, sequestrator or similar official for such Person or for any substantial part of its property, or ordering the winding-up or liquidation of suchPerson’s affairs, and such decree or order shall remain unstayed and in effect for a period of 60 consecutive days; or (b) the commencement by such Person of a voluntary case under any applicable Insolvency Law now or hereafter in effect,or the consent by such Person to the entry of an order for relief in an involuntary case under any such law, or the consent by such Person to the appointment of or taking possession by a receiver, liquidator, assignee, custodian, trustee,sequestrator or similar official for such Person or for any substantial part of its property, or the making by such Person of any general assignment for the benefit of creditors, or the failure by such Person generally to pay its debts as such debtsbecome due, or the taking of action by such Person in furtherance of any of the foregoing. 

“Insolvency Laws” means theBankruptcy Code and all other applicable liquidation, conservatorship, bankruptcy, moratorium, rearrangement, receivership, insolvency, reorganization, suspension of payments, or similar debtor relief laws from time to time in effect affecting therights of creditors generally. 

“Insolvency Proceeding” means any case, action or proceeding before any court orGovernmental Authority relating to an Insolvency Event. 

“Insurance Policy” means, with respect to any Loan included inthe Collateral, an insurance policy covering physical damage to or loss to any assets or Related Property of the Obligor securing such Loan. 

“Insurance Proceeds” means any amounts payable or any payments made, to the Borrower or to the Servicer on its behalf underany Insurance Policy. 

“Interest” means, for each Settlement Period and each Advance outstanding during such SettlementPeriod, the product of: 

 

IR x Px      AD

                                                   360 

where 

 
IR  
=                
  the Interest Rate applicable to such Advance, resetting as and when specified herein;P  
=                
  the principal amount of such Advance on the first day of such Settlement Period, or if such Advance was first made during such Settlement Period, the principal amount of such Advance on the day such Advance is made; andAD  
=                
  the actual number of days in such Settlement Period, or if such Advance was first made during such Settlement Period, the actual number of days beginning on the day such Advance was first made through the end of such SettlementPeriod;
 
28 

provided, however, that (i) no provision of this Agreement shall require or permit thecollection of Interest in excess of the maximum permitted by Applicable Law and (ii) Interest shall not be considered paid by any distribution if at any time such distribution is rescinded or must otherwise be returned for any reason. 

“Interest Collections” means any and all Collections which do not constitute Principal Collections. 

“Interest Coverage Ratio” means with respect to any Settlement Period, the percentage equivalent of a fraction, calculated asof the Determination Date for such Settlement Period, (a) the numerator of which is equal to the aggregate Interest Collections for such Settlement Period and (b) the denominator of which is equal to the aggregate amount payable pursuantto Section 2.8(a)(ii), (iv), (v) and (vii) hereunder. 

“Interest Rate” means for any Settlement Period and anyAdvance: 

(a) a rate per annum equal to the Adjusted Eurodollar Rate plus the Applicable Margin; provided, however, that theInterest Rate shall be the Base Rate plus the Applicable Margin if a Eurodollar Disruption Event occurs; and, provided, further, that the Interest Rate for the first two (2) Business Days following any Advance made by a Lendershall be the Base Rate plus the Applicable Margin unless such Lender has received at least two (2) Business Days’ prior notice of such Advance; or 

(b) notwithstanding anything in clause (a) to the contrary, following the occurrence and during the continuation of an Early TerminationEvent, the Interest Rate for all Advances shall be a rate equal to the Default Rate; or 

(c) for a Swing Advance, a rate equal to the BaseRate plus the Applicable Margin. 

“Interest Reset Date” means the Business Day which is two Business Days prior to thefirst day of each Settlement Period. 

“Investment” means, with respect to any Person, any direct or indirect loan,advance or investment by such Person in any other Person, whether by means of share purchase, capital contribution, loan or otherwise, excluding the acquisition of assets pursuant to the Purchase Agreement and excluding commission, travel andsimilar advances to officers, employees and directors made in the ordinary course of business. 

“Joinder Agreement” meansa joinder agreement substantially in the form set forth in Exhibit D hereto pursuant to which a new Lender Group becomes party to this Agreement. 

“KeyBank” means KeyBank National Association, in its capacity as a Lender, as a Managing Agent and as Administrative Agent,and its successors or assigns. 

 
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“Key Man Event” means (i) the failure to have at least two ApprovedOfficers serving in the capacity of executive officers of the Originator and actively involved in the operation of the Originator and (ii) such failure shall have continued for 180 consecutive days or more. 

“Last Out Loan” means a Loan that (a) constitutes an Eligible Loan which is a First Lien Loan, (b) is secured on apari passu basis with a First Out Loan by a perfected, first priority security interest in all or substantially all of the assets of the related Obligor, and (c) following the occurrence of a specified event or trigger under the applicable LoanDocuments, will be paid only after all or a portion of the related First Out Loan issued by the same Obligor has been paid in full, in accordance with a specified priority of payment; provided, however, that if (i) the Borrowerholds 100% of the interests in both the Last Out Loan and related First Out Loan of an Obligor, or (ii) 100% of the interests in both the Last Out Loan and the related First Out Loan of an Obligor are held by the Borrower and its Affiliates, inaccordance with that certain exemptive order granted by the SEC to the Originator in July 2012 to the extent that such order remains applicable to Originator and its Affiliates, then in either case, both Loans will be considered to be First LienLoans provided all other requirements of the definition of a First Lien Loan are satisfied. 

“Lender Group” means anygroup consisting of a Lender and its related Managing Agent. 

“Lenders” is defined in the preamble hereto. 

“Leverage Ratio” means, for any Eligible Loan, the ratio of Total Funded Debt to TTM EBITDA of such Eligible Loan. 

“LIBO Rate” means, for any Settlement Period and any Advance, an interest rate per annum equal to: 

(i) the ICE Benchmark Administration Limited London interbank offered rate per annum for deposits in Dollars for a period equal to one month asdisplayed in the Bloomberg Financial Markets System (or such other page on that service or such other service designated by the ICE Benchmark Administration Limited interbank offered rate for the display of such Administration’s Londoninterbank offered rate for deposits in Dollars) as of 11:00 a.m., (London time) on the applicable Interest Reset Date; provided, however, that 

(ii) if the Administrative Agent determines that the relevant foregoing sources are unavailable for the relevant Settlement Period, LIBO Rateshall mean the rate of interest reasonably determined by the Administrative Agent to be the average (rounded upward, if necessary, to the nearest 1/100th of 1%) of the rate per annum at which the Administrative Agent could borrow funds if it were todo so by asking for and then accepting interbank offers on the applicable Interest Reset Date in the London interbank market for Dollars as of 11:00 a.m. (New York City time) for delivery on the first day of such Settlement Period, for a periodcomparable to such Settlement Period in an amount comparable to the principal amount of such Advance; 

provided, further, however,that in no event shall such interest rate be less than zero. Subject to Section 2.18, if the LIBO Rate cannot be determined pursuant to clause (i) or (ii) above, then the LIBO Rate shall be a replacement indexestablished by the Administrative Agent in consultation with the Borrower, after giving due consideration to the then prevailing market convention for determining a rate of interest for similar loans in the United States at such time. 

 
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“Lien” means, with respect to any Collateral, (a) any mortgage, lien,pledge, charge, security interest or encumbrance of any kind in respect of such Collateral, or (b) the interest of a vendor or lessor under any conditional sale agreement, financing loan or other title retention agreement relating to suchCollateral. 

“Liquidation Expenses” means, with respect to any Defaulted Loan orCharged-Off Loan, the aggregate amount of out-of-pocket expenses reasonably incurred by the Borrower or on behalf of the Borrowerby the Servicer (including amounts paid to any subservicer) in connection with the repossession, refurbishing and disposition of any related assets securing such Loan including the attempted collection of any amount owing pursuant to such Loan. 

“Loan” means any senior or subordinate loan arising from the extension of (or participation in) credit to an Obligor by theOriginator in the ordinary course of the Originator’s business. 

“Loan Documents” means, with respect to any Loan,the related promissory note and any related loan agreement, security agreement, mortgage, assignment of mortgage, assignment of Loans, all guarantees, and UCC financing statements and continuation statements (including amendments or modificationsthereof) executed by the Obligor thereof or by another Person on the Obligor’s behalf in respect of such Loan and related promissory note, including, without limitation, general or limited guaranties. 

“Loan File” means, with respect to any Loan, each of the Loan Documents related thereto. 

“Loan List” means the Loan List provided by the Borrower to the Administrative Agent and the Collateral Custodian, as setforth in Schedule II hereto (which shall include the specific documents that should be included in each Loan File), as the same may be changed from time to time in accordance with the provisions hereof. 

“Lock-Box” means a post office box to which Collections are remitted for retrieval bya Lock-Box Bank and deposited by such Lock-Box Bank into a Lock-Box Account. 

“Lock-Box Account” means an account, subject to a Deposit Account Control Agreement,maintained in the name of the Borrower for the purpose of receiving Collections at a Lock-Box Bank. 

“Lock-Box Bank” means any of the banks or other financial institutions holding one ormore Lock-Box Accounts. 

“Managing Agent” means, as to any Lender, the financialinstitution identified as such on the signature pages hereof or in the applicable Assignment and Acceptance or Joinder Agreement. 

“Mandatory Prepayment” is defined in Section 2.4(a). 

“Market Servicing Fee” is defined in Section 7.20. 

 
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“Market Servicing Fee Differential” means, on any date of determination, anamount equal to the positive difference between the Market Servicing Fee and Servicing Fee. 

“Material Adverse Change”means, with respect to any Person, any material adverse change in the business, condition (financial or otherwise), operations, performance, properties or prospects of such Person. 

“Material Adverse Effect” means, with respect to any event or circumstance, an event or circumstance which would have orwould be reasonably expected to have a material adverse effect on (a) the business, condition (financial or otherwise), operations, performance or properties of the Servicer or the Borrower, (b) the validity, enforceability orcollectibility of this Agreement or any other Transaction Document or any Liquidity Agreement or the validity, enforceability or collectibility of the Loans, (c) the rights and remedies of the Administrative Agent or any Secured Party underthis Agreement or any Transaction Document or any Liquidity Agreement or (d) the ability of the Borrower or the Servicer to perform its obligations under this Agreement or any other Transaction Document, or (e) the status, existence,perfection, priority, or enforceability of the Administrative Agent’s or Secured Parties’ interest in the Collateral. 

“Maturity Date” means the earlier of (i) April 15, 2022 and (ii) the date that is the fifteen-monthanniversary of the Termination Date. The Advances Outstanding will be due and payable in full on the Maturity Date. 

“MaximumLawful Rate” is defined in Section 2.6(d). 

“Mezzanine Loan” means a Loan or anyassignment of, or participation interest or other interest in, a Loan that is not a First Lien Loan, First Out Loan, First Lien Qualifying Covenant-Lite Loan, Second Lien Loan, Last Out Loan or Second Lien Qualifying Covenant-Lite Loan. 

“Monthly Report” is defined in Section 7.11(a). 

“Moody’s” means Moody’s Investors Service, Inc., and any successor thereto. 

“Moody’s Industry Classifications” means the classifications as set forth in Exhibit N. The classification under whichan Eligible Loan is categorized shall be determined on the date of origination and may be updated from time to time thereafter in the reasonable discretion of the Borrower. 

“Multiemployer Plan” means a “multiemployer plan” as defined in Section 4001(a)(3) of ERISA that is or was atany time during the current year or the immediately preceding five years contributed to by the Borrower or any ERISA Affiliate on behalf of its employees. 

“1940 Act” is defined in Section 4.1(x). 

“Net Worth” means, with respect to the Performance Guarantor, the total of net assets (determined in accordance with GAAP)plus Subordinated Debt (determined in accordance with GAAP, but excluding for purposes of testing compliance with Section 7.18(a)(xiv) the impact of the election of ASC 825 or similar accounting guideline with respect to determining the fairvalue of the debt of the Performance Guarantor on a consolidated basis (for avoidance of doubt, the intent of this language is to cause the debt of the Performance Guarantor to be valued at par value rather than fair value)), less the total amountof any intangible assets, including without limitation, goodwill. 

 
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“Non-Defaulting Lender” means, atany time, each Lender that is not a Defaulting Lender at such time. 

“Non-QualifiedLoans” shall mean Excess Leverage Loans, (i) the Obligor of which does not have a TTM EBITDA of at least $50,000,000, or (ii) the market value of which is not determined by either (x) the bid price of at least one ApprovedDealer, (y) if such Loan is traded on an exchange, the closing price most recently posted on such exchange, or (z) a price designated by an Approved Pricing Service. 

“Non-Renewing Lender” is defined in Section 2.4(b). 

“Notes” is defined in Section 2.5(a). 

“Obligations” means all loans, advances, debts, liabilities and obligations, for monetary amounts owing by the Borrower tothe Lenders, the Administrative Agent, the Managing Agents or any of their assigns, as the case may be, whether due or to become due, matured or unmatured, liquidated or unliquidated, contingent ornon-contingent, and all covenants and duties regarding such amounts, of any kind or nature, present or future, arising under or in respect of any of this Agreement, any other Transaction Document or any FeeLetter delivered in connection with the transactions contemplated by this Agreement, or any Hedging Agreement, as amended or supplemented from time to time, whether or not evidenced by any separate note, agreement or other instrument. This termincludes, without limitation, all principal, interest (including interest that accrues after the commencement against the Borrower of any action under the Bankruptcy Code), Breakage Costs, Hedge Breakage Costs, fees, including, without limitation,any and all arrangement fees, loan fees, facility fees, and any and all other fees, expenses, costs or other sums (including attorney costs) chargeable to the Borrower under any of the Transaction Documents or under any Hedging Agreement. 

“Obligor” means, with respect to any Loan, the Person or Persons obligated to make payments pursuant to such Loan, includingany guarantor thereof. 

“Officer’s Certificate” means a certificate signed by any officer of the Borrower or theServicer, as the case may be, and delivered to the Administrative Agent. 

“Operating Account” means the Borrower’soperating account number 138831 at The Bank of New York Mellon Trust Company, N.A. or such other account subject to a Deposit Account Control Agreement and maintained at such bank as may be consented to from time to time by the Administrative Agentin its reasonable discretion. 

“Opinion of Counsel” means a written opinion of counsel, who may be counsel for theBorrower or the Servicer, as the case may be, and who shall be reasonably acceptable to the Administrative Agent. 

“Originator” means Gladstone Capital Corporation, a Maryland corporation. 

 
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“Outstanding Loan Balance” means with respect to any Loan, the thenoutstanding principal balance thereof, provided, however, that with respect to Current Pay Loans, the “Outstanding Loan Balance” of such Loans shall be equal to 70% of the outstanding principal balance thereof. 

“Participant” is defined in Section 11.1(f). 

“Payment Date” means the ninth (9th) day of each calendar month or, if such day is not a Business Day, the next succeedingBusiness Day; provided that for purposes of distributions required pursuant to Section 2.8(a)(viii) only, “Payment Date” shall mean any Business Day. 

“Performance Guarantor” is defined in the Performance Guaranty. 

“Performance Guaranty” means the Amended and Restated Performance Guaranty dated as of July 19, 2004, by the Originatorin favor of the Borrower and the Administrative Agent, as amended by (i) that certain Amendment No. 1 to Amended and Restated Performance Guaranty dated as of May 15, 2009, (ii) that certain Amendment No. 2 to Amended andRestated Performance Guaranty dated as of March 15, 2010 and (iii) that certain Amendment No. 3 to Amended and Restated Performance Guaranty dated as of July 10, 2019, and as the same may from time to time be further amended,restated, supplemented, waived or modified. 

“Permitted Investments” means any one or more of the following types ofinvestments: 

(a) marketable obligations of the United States, the full and timely payment of which are backed by the full faith and creditof the United States and that have a maturity of not more than 270 days from the date of acquisition; 

(b) marketable obligations, thefull and timely payment of which are directly and fully guaranteed by the full faith and credit of the United States and that have a maturity of not more than 270 days from the date of acquisition; 

(c) bankers’ acceptances and certificates of deposit and other interest-bearing obligations (in each case having a maturity of not morethan 270 days from the date of acquisition) denominated in dollars and issued by any bank with capital, surplus and undivided profits aggregating at least $100,000,000, the short-term obligations of which are ratedA-1 by S&P and P-1 by Moody’s; 

(d) repurchaseobligations with a term of not more than ten days for underlying securities of the types described in clauses (a), (b) and (c) above entered into with any bank of the type described in clause (c) above; 

(e) commercial paper rated at least A-1 by S&P and P-1 byMoody’s; and 

(f) demand deposits, time deposits or certificates of deposit (having original maturities of no more than 365 days) ofdepository institutions or trust companies incorporated under the laws of the United States or any state thereof (or domestic branches of any foreign bank) and subject to supervision and examination by federal or state banking or depositoryinstitution authorities; provided, however that at the time such investment, or the commitment to make such investment, is entered into, the short-term debt rating of such depository institution or trust company shall be at least A-1 by S&P and P-1 by Moody’s. 

 
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“Permitted Liens” means (i) Liens created pursuant to the TransactionDocuments in favor of the Administrative Agent, as agent for the Secured Parties, (ii) Liens created under the Loan Documents in favor of the Originator and its assigns, or (iii) Permitted Working Capital Liens. 

“Permitted Loan Amendment” shall mean, as to an otherwise Eligible Loan, an amendment to the applicable Loan Documents(a) the effect of which is to extend the time for payment of principal due solely to the scheduled maturity of such Loan or (b) that changes the interest rate, provides for interest only payments, changes the principal payments orprincipal amortization period, and/or otherwise changes the maturity date for such Eligible Loan, in each case, other than as provided in clause (a) above (e.g., a shortening of the maturity date or an extension of the maturity date coupledwith a change in the principal amortization period); provided, that any such amendment described in this clause (b) must be (A) consistent with prudent lending practices and then current market conditions, as reasonablydetermined by Borrower, and (B) necessary, in Borrower’s good faith judgment, to prevent the prepayment of such Eligible Loan and (C) has been consented to by the Administrative Agent (which consent, for avoidance of doubt, may be inthe form of an electronic communication) in its reasonable discretion; provided, that, if notice of any amendment described in this clause (b) shall have been given to the Administrative Agent and each Lender (which notice, foravoidance of doubt, may be in the form of an electronic communication), and no response shall have been received from the Administrative Agent within three (3) Business Days, the Administrative Agent shall be deemed to have consented to suchamendment. 

“Permitted Working Capital Lien” means, with respect to an Obligor that is a borrower under a First LienLoan, a security interest granted to secure a working capital loan for such Obligor in the accounts receivable and/or inventory (and the proceeds thereof) of such Obligor and any of its subsidiaries that are guarantors of such working capital loan;provided, that (i) such First Lien Loan has a junior priority lien on such accounts receivable and/or inventory (and the proceeds thereof), and (ii) such working capital facility is not secured by any other assets of such Obligorand does not benefit from any standstill rights or other similar creditor rights agreements (other than customary rights) with respect to any other assets of such Obligor. 

“Person” means an individual, partnership, corporation (including a statutory trust), limited liability company, joint stockcompany, trust, unincorporated association, sole proprietorship, joint venture, government (or any agency or political subdivision thereof) or other entity. 

“PIK Loan” means a Loan to an Obligor, which provides for a portion of the interest that accrues thereon to be added to theprincipal amount of such Loan for some period of the time prior to such Loan requiring the cash payment of interest on a monthly or quarterly basis. 

“Post-Termination Revolver Loan Advances” means an advance by the Lenders, made on or following the Revolver Loan FundingDate, which may be used for the sole purpose of funding committed advances requested by Obligors under the Revolver Loans. 

 
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“Preferred Stock” means outstanding shares of any series of preferred stockissued by the Performance Guarantor. 

“Prime Rate” means the rate publicly announced by KeyBank from time to time as itsprime rate in the United States, such rate to change as and when such designated rate changes. The Prime Rate is not intended to be the lowest rate of interest charged by KeyBank in connection with extensions of credit to debtors. 

“Principal Collections” means any and all amounts received in respect of any principal due and payable under any TransferredLoan from or on behalf of Obligors that are deposited into the Collection Account, or received by the Borrower or on behalf of the Borrower by the Servicer or Originator in respect of the Transferred Loans, including, without limitation, proceeds ofsales and any hedge termination payments, in the form of cash, checks, wire transfers, electronic transfers or any other form of cash payment. 

“Proceeds” means, with respect to any Collateral, whatever is receivable or received when such Collateral is sold, collected,liquidated, foreclosed, exchanged, or otherwise disposed of, whether such disposition is voluntary or involuntary, including all rights to payment with respect to any insurance relating to such Collateral. 

“Pro-Rata Share” means, with respect to any Lender on any day, the percentageequivalent of a fraction the numerator of which is such Lender’s Commitment and the denominator of which is the Group Advance Limit of the related Lender Group. 

“Purchase Agreement” means the Second Amended and Restated Purchase and Sale Agreement dated as of May 1, 2015, betweenthe Originator and the Borrower and as the same may from time to time be amended, restated, supplemented, waived or modified. 

“Purchase Date” is defined in the Purchase Agreement. 

“Purchased Loan Balance” means as of any date of determination and any Transferred Loan, the lesser of (i) theOutstanding Loan Balance of such Loan as of such date and (ii) the Fair Market Value of such Loan. 

“PurchasingLender” is defined in Section 11.1(b). 

“Qualified Institution” is defined inSection 7.4(e). 

“Qualifying Covenant-Lite Loan” means a Covenant-Lite Loan (a) theObligor of which has a TTM EBITDA of at least $50,000,000 and (b) the market value of which is determined by either (x) the bid price of at least one Approved Dealer, (y) if such Loan is traded on an exchange, the closing price mostrecently posted on such exchange or (z) a price designated by an Approved Pricing Service. 

“Real Estate Loan” meansa Transferred Loan that is secured primarily by a mortgage, deed of trust or similar lien on commercial real estate (other than hotels, restaurants and casinos) or residential real estate. 

 
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“Records” means, with respect to any Transferred Loans, all documents,books, records and other information (including without limitation, computer programs, tapes, disks, punch cards, data processing software and related property and rights) maintained with respect to any item of Collateral and the related Obligors,other than the Loan Documents. 

“Recoveries” means, with respect to any Defaulted Loan orCharged-Off Loan, Proceeds of the sale of any Related Property, Proceeds of any related Insurance Policy, and any other recoveries with respect to such Loan and Related Property, and amounts representing latefees and penalties, net of Liquidation Expenses and amounts, if any, received that are required to be refunded to the Obligor on such Loan. 

“Register” is defined in Section 11.1(d). 

“Regulatory Change” is defined in Section 2.12(a). 

“Related Property” means, with respect to a Loan, any property or other assets of the Obligor thereunder pledged ascollateral to the Originator to secure the repayment of such Loan. 

“Relevant Governmental Body” means the FederalReserve Board and/or the Federal Reserve Bank of New York, or a committee officially endorsed or convened by the Federal Reserve Board and/or the Federal Reserve Bank of New York or any successor thereto, including without limitation the AlternativeReference Rates Committee. 

“Replacement Lender” is defined in Section 2.15. 

“Reporting Date” means the date that is two (2) Business Days prior to each Payment Date. 

“Repurchase Price” means for any Transferred Loan purchased by the Servicer pursuant toSection 7.7, an amount equal to the outstanding principal balance of such Loan as of the date of purchase, plus all accrued and unpaid interest on such Loan. 

“Required Equity Investment” means the minimum amount of equity investment in the Borrower which shall be maintained by theOriginator, in the form of Eligible Loans and/or cash having an outstanding principal balance at all times prior to the Termination Date of an amount equal to the greater of (i) $100,000,000 or (ii) the sum of the Purchased Loan Balances of theEligible Loans made to the six Obligors having the largest Purchased Loan Balances. For purposes of calculating the Required Equity Investment, all Loans included in the Collateral or to become part of the Collateral the Obligor of which is anAffiliate of another Obligor shall be aggregated with all Loans of such other Obligor. 

“Required Lenders” means at aparticular time, Lenders with Commitments (including, for this purpose, Non-Renewing Lenders, who shall be deemed to have Commitments equal to their Lender Group’s Advances Outstanding at such time) inexcess of 66 2/3 % of the Facility Amount. The Commitments and any outstanding Advances of any Defaulting Lender shall be excluded for purposes of making a determination of Required Lenders. 

 
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“Required Minimum Obligors Test” means a test (a) which shall notapply if the Aggregate Outstanding Loan Balance is less than $100,000,000 and (b) is satisfied if, if the Aggregate Outstanding Loan Balance is (i) between $100,000,000 and $150,000,000, there shall be no fewer than 20 Obligors included inthe Collateral and (ii) $150,000,001 or more, there shall be no fewer than 25 Obligors included in the Collateral. 

“RequiredReports” means collectively, the Monthly Report, the Servicer’s Certificate, the annual and quarterly financial statements of the Servicer, the Originator or the Borrower and the quarterly valuation reports, in each case, required tobe delivered to the Borrower, the Managing Agents, the Administrative Agent and/or the Backup Servicer pursuant to Section 7.11 hereof. 

“Responsible Officer” means, as to the Borrower, David Gladstone, Terry Brubaker, Michael LiCalsi, Robert Marcotte, JayBeckhorn or Nicole Schaltenbrand and as to any other Person, any officer of such Person with direct responsibility for the administration of this Agreement and also, with respect to a particular matter, any other officer to whom such matter isreferred because of such officer’s knowledge of and familiarity with the particular subject. The Borrower may designate other Responsible Officers from time to time by notice to the Administrative Agent. 

“Revolver Loan” means each Loan with respect to which the Borrower has a revolving credit commitment to advance amounts tothe applicable Obligor during a specified term. 

“Revolver Loan Funding” is defined inSection 2.14. 

“Revolver Loan Funding Account” is defined inSection 2.14. 

“Revolver Loan Funding Account Shortfall” means, on any date, the amount, ifany, by which the Revolver Loan Unfunded Commitment Amount at such time exceeds the aggregate amount on deposit in the Revolver Loan Funding Accounts. 

“Revolver Loan Funding Account Surplus” means, on any date, the amount, if any, by which the amount on deposit in theRevolver Loan Funding Accounts exceeds the Revolver Loan Unfunded Commitment Amount at such time. 

“Revolver Loan FundingDate” means the Termination Date, if Revolver Loans are outstanding on such date. 

“Revolver Loan Funding Fee”is defined in Section 2.14. 

“Revolver Loan Unfunded Commitment Amount” means, at any time, theaggregate unfunded commitments under the Revolver Loans at such time. 

“Revolving Period” means the period commencing onthe Effective Date and ending on the day immediately preceding the Termination Date. 

“RIC/BDC Requirements” means therequirements the Performance Guarantor must satisfy to maintain its status as a “business development company,” within the meaning of the 1940 Act, and its election to be treated as a “regulated investment company” under theCode. 

 
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“Risk Rating” means, with respect to any Loan at any time, if the Obligorunder such Loan is at such time (i) rated by both S&P and Moody’s, the lower of such ratings, (ii) rated by either S&P or Moody’s, such rating or (iii) not rated by either S&P or Moody’s, the ratingdetermined by the Servicer’s risk rating model. 

“Rolling Three-Month Charged-OffRatio” means, for any day, the rolling three period average Charged-Off Ratio for the three immediately preceding Settlement Periods. 

“Rolling Three-Month Default Ratio” means, for any day, the rolling three period average Default Ratio for the threeimmediately preceding Settlement Periods. 

“S&P” means Standard & Poor’s Ratings Services, a divisionof The McGraw-Hill Companies, Inc. and any successor thereto. 

“Sanctions” means economic or financial sanctions or tradeembargoes imposed, administered or enforced from time to time by the U.S. government, including those administered by the Office of Foreign Assets Control of the U.S. Department of the Treasury or the U.S. Department of State. 

“Sanctioned Country” means, at any time, a country or territory which is itself the subject or target of any Sanctions. 

“Sanctioned Person” means, at any time, (a) any Person listed in any Sanctions-related list of designated Personsmaintained by the Office of Foreign Assets Control of the U.S. Department of the Treasury or the U.S. Department of State, (b) any Person subject to Sanctions by virtue of operating or being organized or resident in a Sanctioned Country or(c) any Person owned or controlled by any such Person or Persons described in the foregoing clauses (a) or (b). 

“Santander” means Santander Bank, N.A., in its capacity either as a Lender or in its individual capacity, as applicable, andits successors or assigns. 

“Scheduled Payment” means, on any Determination Date, with respect to any Loan, each monthlypayment (whether principal, interest or principal and interest) scheduled to be made by the Obligor thereof after such Determination Date under the terms of such Loan. 

“Second Lien Qualifying Covenant Lite Loan” means a Second Lien Loan which is a Qualifying Covenant-Lite Loan. 

“Second Lien Loan” means a Loan (other than a First Lien Loan) that is entitled to the benefit of a first and/or second lienand first and/or second priority perfected security interest on all or substantially all of the assets of the respective Obligors. For the avoidance of doubt, Last Out Loans are considered Second Lien Loans. 

“Secured Party” means (i) each Lender, (ii) each Managing Agent, and (iii) each Hedge Counterparty that iseither a Lender or an Affiliate of a Lender if that Affiliate executes a counterpart of this Agreement agreeing to be bound by the terms of this Agreement applicable to a Secured Party. 

 
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“Servicer” means Gladstone Management Corporation, a Delaware corporation,and its permitted successors and assigns. 

“Servicer Advance” means an advance of Scheduled Payments made by the Servicerpursuant to Section 7.5. 

“Servicer Termination Event” is defined inSection 7.18. 

“Servicer’s Certificate” is defined inSection 7.11(b). 

“Servicing Duties” means those duties of the Servicer which are enumerated inSection 7.2. 

“Servicing Fee” means, for each Payment Date, an amount equal to the sum of theproducts, for each day during the related Settlement Period, of (i) the Outstanding Loan Balance of each Loan as of the preceding Determination Date, (ii) the applicable Servicing Fee Rate, and (iii) a fraction, the numerator of whichis 1 and the denominator of which is 360. 

“Servicing Fee Limit Amount” means, for each Payment Date, an amount equal to50% of the Servicing Fee for the related Settlement Period. 

“Servicing Fee Rate” means a rate equal to 1.50% per annum.

“Servicing Records” means all documents, books, records and other information (including, without limitation, computerprograms, tapes, disks, data processing software and related property rights) prepared and maintained by the Servicer with respect to the Transferred Loans and the related Obligors. 

“Settlement Period” means each period from and including a Payment Date to but excluding the following Payment Date. 

“SOFR” with respect to any day means the secured overnight financing rate published for such day by the Federal Reserve Bankof New York, as the administrator of the benchmark (or a successor administrator), on the Federal Reserve Bank of New York’s Website. 

“Solvent” means, as to any Person at any time, having a state of affairs such that all of the following conditions are met:(a) the fair value of the property owned by such Person is greater than the amount of such Person’s liabilities (including disputed, contingent and unliquidated liabilities) as such value is established and liabilities evaluated forpurposes of Section 101(32) of the Bankruptcy Code; (b) the present fair salable value of the property owned by such Person in an orderly liquidation of such Person is not less than the amount that will be required to pay the probableliability of such Person on its debts as they become absolute and matured; (c) such Person is able to realize upon its property and pay its debts and other liabilities (including disputed, contingent and unliquidated liabilities) as they maturein the normal course of business; (d) such Person does not intend to, and does not believe that it will, incur debts or liabilities beyond such Person’s ability to pay as such debts and liabilities mature; and (e) such Person is notengaged in business or a transaction, and is not about to engage in a business or a transaction, for which such Person’s property would constitute unreasonably small capital. 

 
40 

“Spread” means, with respect to Floating Rate Loans, the cash interestspread of such Floating Rate Loan over the LIBO Rate. 

“Structured Finance Obligation” means any Loan or security thepayment or repayment of which is based primarily upon the collection of payments from a specified pool of financial assets, either fixed or revolving, that by their terms convert into cash within a finite time period, together with any rights orother assets designed to assure the servicing or timely distribution of proceeds to security holders, including, in any event, any project finance security, any asset backed security and any future flow security. 

“Subordinated Debt” means any debt (i) that is subordinated in right of payment to other debt of the PerformanceGuarantor and (ii) does not require any payment or prepayment of principal thereon prior to the Maturity Date, including Preferred Stock. 

“Successor Servicer” is defined in Section 7.19(a). 

“Supplemental Interests” means, with respect to any Transferred Loan, any warrants, equity or other equity interests orinterests convertible into or exchangeable for any such interests received by the Originator from the Obligor in connection with such Transferred Loan. 

“Swap Breakage and Indemnity Amounts” means any early termination payments, taxes, indemnification payments and any otheramounts owed to a Hedge Counterparty under a Hedging Agreement that do not constitute monthly payments. 

“Swing Advance”means an Advance made by the Swingline Lender pursuant to Section 2.1(b). 

“Swing Prepayment Amount” is defined inSection 12.17(e). 

“Swingline Lender” means KeyBank, in its capacity as lender of Swing Advances hereunder. 

“Taxes” means any present or future taxes, levies, imposts, duties, charges, assessments or fees of any nature (includinginterest, penalties, and additions thereto) that are imposed by any Government Authority. 

“Termination Date” means theearliest to occur of (a) the date declared by the Administrative Agent or occurring automatically in respect of the occurrence of an Early Termination Event pursuant to Section 8.1, (b) a date selected by the Borrowerupon at least 30 days’ prior written notice to the Administrative Agent and each Managing Agent and (c) the Commitment Termination Date. 

“Termination Notice” is defined in Section 7.18. 

“Term SOFR” means the forward-looking term rate based on SOFR that has been selected or recommended by the RelevantGovernmental Body. 

 
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“Total Funded Debt” means, with respect to any Obligor, at any time thesame is to be determined, the sum (without duplication) at such time of (a) all indebtedness for borrowed money of such Obligor and its subsidiaries to Borrower; plus (b) all indebtedness for borrowed money of the Obligor and itssubsidiaries to any creditor other than the Borrower; provided, however, that any indebtedness for borrowed money which is (x) subordinated in right of payment of the Loans to such Obligor and (y) owed to a creditor otherthan the Originator or any of its Affiliates shall be excluded from this clause (b); plus (c) all indebtedness of any other Person, whether secured or unsecured, which (i) is directly or indirectly guaranteed by the Obligor or any of itssubsidiaries, (ii) the Obligor or any of its subsidiaries has agreed (contingently or otherwise) to purchase or otherwise acquire, or (iii) the Obligor or any of its subsidiaries has otherwise assured a creditor against loss;provided, however, that any indebtedness which is (A) subordinated in right of payment of the Loans to such Obligor and (B) owed to a creditor other than the Originator or any of its Affiliates shall be excluded from thisclause (c). 

“Transaction Documents” means this Agreement, the Purchase Agreement, all Hedging Agreements, the CustodyAgreement, the Backup Servicing Agreement, the Deposit Account Control Agreements for the Collection Account and the Operating Account, the Performance Guaranty and any additional document, letter, fee letter, certificate, opinion, agreement orwriting the execution of which is necessary or incidental to carrying out the terms of the foregoing documents. 

“TransferredLoans” means each Loan that is acquired or in which an interest is acquired by the Borrower under the Purchase Agreement and all Loans received by the Borrower in respect of the Required Equity Investment. Any Transferred Loan that is(i) repurchased or reacquired by the Originator pursuant to the terms of Section 6.1 of the Purchase Agreement, (ii) purchased by the Servicer pursuant to the terms of Section 7.7 or (iii) otherwisereleased from the lien of this Agreement pursuant to Section 6.3 shall not be treated as a Transferred Loan for purposes of this Agreement (provided, that the purchase or repurchase of any Defaulted Loan or Charged-Off Loan shall not alter such Transferred Loan’s status as a Defaulted Loan or Charged-Off Loan for purposes of calculating ratios for periods occurring prior tothe purchase or repurchase of such Transferred Loan). 

“Transition Costs” means the reasonable costs and expensesincurred by the Backup Servicer in transitioning to Servicer; provided, however, that the Administrative Agent’s consent shall be required if such Transition Costs exceed $50,000.00 in the aggregate. 

“TTM EBITDA” means, with respect to any Obligor, as of any particular date, the EBITDA of such Obligor for the precedingtwelve-month period. 

“UCC” means the Uniform Commercial Code as from time to time in effect in the specifiedjurisdiction or, if no jurisdiction is specified, the State of New York. 

“Unadjusted Benchmark Replacement” means theBenchmark Replacement excluding the Benchmark Replacement Adjustment. 

 
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“Undisclosed Administration” means in relation to a Lender or its parentcompany the appointment of an administrator, provisional liquidator, conservator, receiver, trustee, custodian or other similar official by a supervisory authority or regulator under or based on the law in the country where such person is subject tohome jurisdiction supervision if applicable law requires that such appointment is not to be publicly disclosed. 

“UnitedStates” means the United States of America. 

“Unmatured Termination Event” means an event that, with the givingof notice or lapse of time, or both, would become an Early Termination Event. 

“Unreimbursed Servicer Advances” means, atany time, the amount of all previous Servicer Advances (or portions thereof) as to which the Servicer has not been reimbursed as of such time pursuant to Section 2.8 and that the Servicer has determined in its solediscretion will not be recoverable from Collections with respect to the related Transferred Loan. 

“Unused Fee” means,for any Settlement Period, an amount equal to (x) 1.00% per annum on the daily unused amount of the Commitments if the average unused amount during such Settlement Period is more than sixty-five percent (65%), (y) 0.75% per annum on the daily unusedamount of the Commitments if the average unused amount during such Settlement Period is more than fifty percent (50%) and equal to or less than sixty-five percent (65%) and (z) 0.50% per annum on the daily unused amount of the Commitments if theaverage unused amount during such Settlement Period is equal to or less than fifty percent (50%). 

“Weighted Average FixedCoupon” means, as of any date of determination, the number, expressed as a percentage, obtained by summing the products obtained by multiplying the cash interest coupon of each Fixed Rate Loan (excluding Defaulted Loans) as of such date bythe Outstanding Loan Balance of such Loans as of such date, dividing such sum by the aggregate Outstanding Loan Balance of all such Fixed Rate Loans and rounding up to the nearest 0.01%. For the purpose of calculating the Weighted Average FixedCoupon, all Fixed Rate Loans that are not currently paying cash interest shall have an interest rate of 0%. 

“Weighted AverageFloating Spread” means, as of any date of determination, the number, expressed as a percentage, obtained by summing the products obtained by multiplying, in the case of each Floating Rate Loan (excluding Defaulted Loans) on an annualizedbasis, the Spread of such Loans (including commitment, letter of credit and all other fees), by the Outstanding Loan Balance of such Loans as of such date and dividing such sum by the aggregate Outstanding Loan Balance of all such Floating RateLoans and rounding the result up to the nearest 0.01%; provided that the Spread of any Revolver Loan which is not fully funded shall be the sum of: 

(a) the product of (1) the Spread payable on the funded portion of such Revolver Loan and (2) the percentageequivalent of a fraction the numerator of which is equal to the funded portion of such Revolver Loan and the denominator of which is equal to the commitment amount of such Revolver Loan; plus 

(b) the product of (1) the scheduled amounts (other than interest) of commitment fee, unused fee and/or facility feepayable on the unfunded portion of such Revolver Loan less any withholding tax, if any, on such fees and (2) the percentage equivalent of a fraction the numerator of which is equal to the Revolver Loan Unfunded Commitment Amount of suchRevolver Loan and the denominator of which is equal to the aggregate commitment amount of such Revolver Loan. 

 
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“Weighted Average Life” means, with respect to the Transferred Loans as ofany determination date, (i) the quotient obtained by dividing (A) the sum of the amounts calculated for each month (beginning with the month in which such determination is being made and ending with the month in which the last principalpayment is scheduled to be received with respect to the Transferred Loans), which amount for each such month shall be equal to the product of (x) the scheduled principal payment amount for the Transferred Loans for such month, multiplied by(y) the number of months that such month occurs from the month in which such determination date occurs (e.g., the month in which such determination date occurs shall have a value of 1, the month occurring immediately after the month in whichsuch determination date occurs shall have a value of 2 etc.) by (B) the total amount of all scheduled principal payments to be received under the Transferred Loans as of such determination date, divided by (ii) 12. 

“Weighted Average Spread” means, as of any date of determination, an amount (rounded up to the next 0.01%) equal to theweighted average of (a) for Floating Rate Loans, the Weighted Average Floating Spread of the Floating Rate Loans and (b) for Fixed Rate Loans, the excess of the Weighted Average Fixed Coupon of the Fixed Rate Loans over the then-currentweighted average strike rate under the Hedge Transactions, or, if there are no Hedge Transactions outstanding, over the then current LIBO Rate. 

“Write-Down and Conversion Powers” means, with respect to any EEA Resolution Authority, the write-down and conversion powersof such EEA Resolution Authority from time to time under the Bail-In Legislation for the applicable EEA Member Country, which write-down and conversion powers are described in the EU Bail-In Legislation Schedule. 

**Section 1.2 Other Terms.**

All accounting terms not specifically defined herein shall be construed in accordance with GAAP. To the extent any change in GAAP after theEffective Date resulting from the adoption of international accounting standards in the United States affects any computation or determination required to be made under or pursuant to this Agreement, including any computation or determination madewith respect to the Borrower or Servicer’s compliance with any covenant or condition hereunder, such computation or determination shall be made as if such change in GAAP had not occurred. All terms used in Article 9 of the UCC in the State ofNew York, and not specifically defined herein, are used herein as defined in such Article 9. 

**Section 1.3 Computation of TimePeriods.**

Unless otherwise stated in this Agreement, in the computation of a period of time from a specified date to a laterspecified date, the word “from” means “from and including” and the words “to” and “until” each mean “to but excluding.” 

 
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**Section 1.4 Interpretation.**

In each Transaction Document, unless a contrary intention appears: 

(i) the singular number includes the plural number and vice versa; 

(ii) reference to any Person includes such Person’s successors and assigns but, if applicable, only if such successors and assigns arepermitted by the Transaction Document; 

(iii) reference to any gender includes each other gender; 

(iv) reference to any agreement (including any Transaction Document), document or instrument means such agreement, document or instrument asamended, supplemented or modified and in effect from time to time in accordance with the terms thereof and, if applicable, the terms of the other Transaction Documents and reference to any promissory note includes any promissory note that is anextension or renewal thereof or a substitute or replacement therefor; and 

(v) reference to any Applicable Law means such Applicable Lawas amended, modified, codified, replaced or reenacted, in whole or in part, and in effect from time to time, including rules and regulations promulgated thereunder and reference to any section or other provision of any Applicable Law means thatprovision of such Applicable Law from time to time in effect and constituting the substantive amendment, modification, codification, replacement or reenactment of such section or other provision. 

**Section 1.5 LIBOR Notification.**

Subject to Section 2.6(b), the interest rate on Advances is determined by reference to the LIBO Rate, which isderived from the London interbank offered rate. The London interbank offered rate is intended to represent the rate at which contributing banks may obtain short-term borrowings from each other in the London interbank market. In July 2017, the U.K.Financial Conduct Authority announced that, after the end of 2021, it would no longer persuade or compel contributing banks to make rate submissions to the ICE Benchmark Administration (together with any successor to the ICE Benchmark Administrator,the “IBA”) for purposes of the IBA setting the London interbank offered rate. As a result, it is possible that commencing in 2022, the London interbank offered rate may no longer be available or may no longer be deemed an appropriatereference rate upon which to determine the interest rate on Advances in respect of which Interest accrues at a rate based on the LIBO Rate. In light of this eventuality, public and private sector industry initiatives are currently underway toidentify new or alternative reference rates to be used in place of the London interbank offered rate. In the event that the London interbank offered rate is no longer available or in certain other circumstances as set forth inSection 2.17 of this Agreement, such Section 2.17 provides a mechanism for determining an alternative rate of interest. The Administrative Agent will notify the Borrower, pursuant toSection 2.17, in advance of any change to the reference rate upon which the LIBO Rate is based. However, the Administrative Agent does not warrant or accept any responsibility for, and shall not have any liability withrespect to, the administration, submission or any other matter related to the London interbank offered rate or other rates in the definition of “LIBO Rate” or with respect to any alternative or successor rate thereto, or replacement ratetherefor or thereof, including, without limitation, whether the composition or characteristics of any such alternative, successor or replacement reference rate, as it may or may not be adjusted pursuant to Section 2.17,will be similar to, or produce the same value or economic equivalence of, the LIBO Rate or have the same volume or liquidity as did the London interbank offered rate prior to its discontinuance or unavailability. 

 
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**ARTICLE II**

**ADVANCES**

**Section 2.1 Advances.**

(a) Revolver Advances. On the terms and conditions hereinafter set forth, the Borrower may, by delivery of a Funding Request to theAdministrative Agent and each Managing Agent, from time to time on any Business Day during the Revolving Period, at its option, request that the Lenders make advances (each, an “Advance”) to it in an amount which, at any time, shallnot exceed the Availability in effect on the related Funding Date; provided, however, that the Borrower may not, without the consent of each Lender, request more than five (5) Advances per calendar month Such Funding Request shall be deliverednot later than 12:00 noon (New York City time) on the date which is two (2) Business Days prior to the requested Funding Date. Upon receipt of such Funding Request, each Managing Agent shall promptly forward such Funding Request to its relatedLenders, and the applicable portion of the Advance will be made by the Lenders in such Lender Group in accordance with their Pro-Rata Shares. Notwithstanding anything contained in thisSection 2.1 or elsewhere in this Agreement to the contrary, no Lender shall be obligated to make any Advance in an amount that would result in the aggregate Advances then funded by such Lender exceeding its Commitment thenin effect. The obligation of each Lender to remit its Pro-Rata Share of any such Investment shall be several from that of each other Lender, and the failure of any Lender to so make such amount available tothe Borrower shall not relieve any other Lender of its obligation hereunder. Each Advance to be made hereunder shall be made ratably among the Lender Groups in accordance with their Group Advance Limits. 

(b) Swing Advances. In addition to the foregoing, the Swingline Lender shall from time to time on any Business Day during the RevolvingPeriod (but not more than three (3) times per calendar month), upon the request of the Borrower by delivery of a Funding Request to the Administrative Agent, if the conditions precedent in Article III have been satisfied, make Swing Advances tothe Borrower in an aggregate principal amount at any time outstanding not exceeding $10,000,000; provided that, immediately after such Swing Advance is made, the aggregate principal amount of all Revolver Advances and Swing Advances shall not exceedthe lesser of the Facility Amount or the Borrowing Base at such time, nor shall the aggregate Advances Outstanding of the Swingline Lender exceed its Commitment. Each Swing Advance under this Section 2.1(b) shall be in an aggregate principalamount of $2,000,000 or any larger multiple of $1,000,000. Within the foregoing limits, the Borrower may borrow under this Section 2.1(b), prepay and reborrow under this Section 2.1(b) at any time before the Termination Date. Solely forpurposes of calculating fees under Section 2.7, Swing Advances shall not be considered a utilization of an Advance of the Swingline Lender or any other Lender hereunder. At any time, upon the request of the Swingline Lender, each Lender otherthan the Swingline Lender shall, on the third Business Day after such request is made, purchase a participating interest in Swing Advances in an amount equal to its Applicable Percentage of such Swing Advances. On such third Business Day, eachLender will immediately transfer to the Swingline Lender, in immediately available funds, the amount of its participation. Whenever, at any time after the Swingline Lender 

 
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has received from any such Lender its participating interest in a Swing Advance, the Administrative Agent receives any payment on account thereof, the Administrative Agent will distribute to suchLender its participating interest in such amount (appropriately adjusted, in the case of interest payments, to reflect the period of time during which such Lender’s participating interest was outstanding and funded); provided, however, that inthe event that such payment received by the Administrative Agent is required to be returned, such Lender will return to the Administrative Agent any portion thereof previously distributed by the Administrative Agent to it. Each Lender’sobligation to purchase such participating interests shall be absolute and unconditional and shall not be affected by any circumstance, including: (i) any set-off, counterclaim, recoupment, defense orother right which such Lender or any other Person may have against the Swingline Lender requesting such purchase or any other Person for any reason whatsoever; (ii) the occurrence or continuance of a Default or the termination of theCommitments; (iii) any adverse change in the condition (financial, business or otherwise) of the Borrower, the Performance Guarantor, the Servicer or any other Person; (iv) any breach of this Agreement by the Borrower, the Servicer or anyother Lender; or (v) any other circumstance, happening or event whatsoever, whether or not similar to any of the foregoing. The Borrower may, concurrent with the delivery of a Funding Request for a Swing Advance under thisSection 2.1(b) or at any time thereafter, deliver a Funding Request for a Revolver Advance pursuant to Section 2.1(a) and direct that all or any portion of such Revolver Advance be wired orcredited to Swing Lender immediately on the Funding Date of such Revolver Advance to prepay any Swing Advance then outstanding. 

**Section 2.2 Procedures for Advances.**

(a) In the case of the making of any Advance, the repayment of any Advance, or any termination, increase or reduction of the Facility Amountand prepayments of Advances, the Borrower shall give the Administrative Agent a Borrower Notice. Each Borrower Notice shall specify the amount (subject to Section 2.1 hereof) of Advances to be borrowed or repaid and theFunding Date or repayment date (which, in all cases, shall be a Business Day) and whether such Advance is a Revolver Advance or a Swing Advance. 

(b) Subject to the conditions described in Section 2.1, the Borrower may request an Advance from the Lenders bydelivering to the Administrative Agent at certain times the information and documents set forth in this Section 2.2. 

(c) No later than 10:00 a.m. (New York City time) five (5) Business Days prior to the proposed Funding Date for a Revolver Advance (orsuch shorter period of time or later date as may be agreed to by the Required Lenders), the Borrower shall notify (i) the Collateral Custodian by delivery to the Collateral Custodian of written notice of such proposed Funding Date, and(ii) the Administrative Agent by delivery to the Administrative Agent of a credit report and transaction summary for each Loan that is the subject of the proposed Advance setting forth the credit underwriting by the Originator of such Loan,including without limitation a description of the Obligor and the proposed loan transaction in the form of Exhibit M hereto; provided that, in the case of Advances funding Revolver Loans, the requirements of thisSection 2.2(c) shall apply only with respect to the first Advance to be made with respect to each such Revolver Loan. By 5:00 p.m. (New York City time) on the next Business Day, the Administrative Agent shall use its bestefforts to confirm to the Borrower the receipt of such items and whether it has reviewed such items and found them to be complete and in proper form. If the Administrative Agent makes a 

 
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determination that the items are incomplete or not in proper form, it will communicate such determination to the Borrower. Failure by the Administrative Agent to respond to the Borrower by 5:00on the day the related Funding Request is delivered by the Borrower shall constitute an implied determination that the items are incomplete or not in proper form. The Borrower will take such steps requested by the Administrative Agent to correct theproblem(s). In the event of a delay in the actual Funding Date due to the need to correct any such problems, the Funding Date shall be no earlier than three (3) Business Days after the day on which the Administrative Agent confirms to theBorrower that the problems have been corrected. 

(d) No later than 11:00 a.m. (New York, New York time) one (1) Business Day prior tothe proposed Funding Date for a Revolver Advance (or such shorter period of time or later date as may be agreed to by the Required Lenders), the Administrative Agent, each Managing Agent and the Collateral Custodian, as applicable, shall receive orshall have previously received the following: 

(i) a Borrower Notice in the form of Exhibit A; 

(ii) a wire disbursement and authorization form shall be delivered to the Administrative Agent; and 

(iii) a certification substantially in the form of Exhibit H concerning the Collateral Custodian’s receipt of certaindocumentation relating to the Eligible Loan(s) related to such Advance shall be delivered to the Administrative Agent, which may be delivered either as a separate document or incorporated in the Monthly Report. 

Each Funding Request for a Revolver Advance shall specify the aggregate amount of the requested Advance, which shall be in an amount equal to at least$1,000,000. 

(e) No later than 12:00 noon (New York, New York time) on the Business Day proposed for a Swing Advance, the AdministrativeAgent shall receive or shall have previously received the following: 

(i) a Borrower Notice in the form of Exhibit A; and 

(ii) a wire disbursement and authorization form. 

(f) Each Funding Request shall be accompanied by (i) a Borrower Notice, depicting the outstanding amount of Advances under this Agreementand representing that all conditions precedent for a funding have been met, including a representation by the Borrower that the requested Advance shall not, on the Funding Date thereof, exceed the Availability on such day, (ii) a calculation ofthe Borrowing Base as of the applicable Funding Date (which calculation may, for avoidance of doubt, take into account Loans which will become Transferred Loans on or prior to such Funding Date), (iii) an updated Loan List including each Loan thatis subject to the requested Advance, (iv) the proposed Funding Date, and (v) wire transfer instructions for the Advance; provided, however, the Funding Request for a Swing Advance shall be required to contain only the information describedin Section 2.2(e)(i) and (ii) above. A Funding Request shall be irrevocable when delivered; providedhowever, that if the Borrowing Base calculation delivered pursuant to clause (ii) above includes a Loan which does notbecome a Transferred Loan 

 
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on or before the applicable Funding Date as anticipated, and the Borrower cannot otherwise make the representations required pursuant to clause (i) above, the Borrower shall revise theFunding Request accordingly, and shall pay any loss, cost or expense incurred by any Lender in connection with the broken funding evidenced by such revised Funding Request. 

(g) On the Funding Date following the satisfaction of the applicable conditions set forth in this Section 2.2 andArticle III, the Lenders shall make available to the Administrative Agent at its address listed beneath its signature on its signature page to this Agreement (or on the signature page to the Joinder Agreement pursuant to which it became aparty hereto), for deposit to the account of the Borrower or its designee in same day funds, at the account specified in the Funding Request, an amount equal to such Lender’s ratable share of the Advance then being made (except that in the caseof a Swing Advance, the Swingline Lender will make available to the Borrower the amount of any such Swing Advance). Each wire transfer of an Advance to the Borrower shall be initiated by the applicable Lender no later than 3:00 p.m. (New York, NewYork time) on the applicable Funding Date. 

**Section 2.3 Optional Changes in Facility Amount; Prepayments.**

(a) The Borrower shall be entitled at its option, on any Payment Date prior to the occurrence of an Early Termination Event, to reduce theFacility Amount in whole or in part; provided that the Borrower shall give prior written notice of such reduction to the Administrative Agent and each Managing Agent as provided in paragraph (b) of this Section 2.3 and that any partialreduction of the Facility Amount shall be in an amount equal to $3,000,000 with integral multiples of $500,000 above such amount. The Lenders hereby agree that, unless otherwise agreed by the Lenders, the Commitment of each Lender shall be reducedratably in proportion to any such reduction in the Facility Amount. Any request for a reduction or termination pursuant to this Section 2.3 shall be irrevocable. Any reduction of the Facility Amount prior to thetwo-year anniversary of the Effective Date shall be accompanied by a payment of the applicable Commitment Make-Whole Fee. 

(b) From time to time during the Revolving Period, but not more often than three times in any calendar month, the Borrower may prepay anyportion or all of the Advances Outstanding, other than with respect to Mandatory Prepayments, by delivering to the Administrative Agent and each Managing Agent a Borrower Notice (i) in the case of any partial prepayment, at least two(2) Business Days prior to the date of such repayment and (ii) in the case of any prepayment in full, at least thirty (30) Business Days prior to the date of such prepayment (or, in each case, such later time as the applicableLenders, in their respective sole discretion, may agree), specifying the date and amount of the prepayment and certifying that, following such prepayment, the Borrower will be in compliance with the terms of this Agreement; provided, that no suchreduction shall be given effect unless the Borrower has complied with the terms of any Hedging Agreement requiring that one or more Hedge Transactions be terminated in whole or in part as the result of any such prepayment of the AdvancesOutstanding, and the Borrower has paid all Hedge Breakage Costs owing to the relevant Hedge Counterparty for any such termination. If any Borrower Notice relating to any prepayment is given, the amount specified in such Borrower Notice shall be dueand payable on the date specified therein, together with accrued Interest to the payment date on the amount prepaid and any Breakage Costs (including Hedge Breakage Costs) related thereto. Any partial prepayment by the Borrower of Advanceshereunder, other than with respect to 

 
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Mandatory Prepayments, shall be in a minimum amount of $500,000 with integral multiples of $100,000 above such amount. Any amount so prepaid may, subject to the terms and conditions hereof, bereborrowed during the Revolving Period. A Borrower Notice relating to any such prepayment shall be irrevocable when delivered. Each such optional prepayment shall be applied first to any Swing Line Advances outstanding and then to prepay ratably theRevolver Advances. 

(c) Subject to the terms and conditions set forth herein, the Borrower shall have the right, at any time from theEffective Date until the Commitment Termination Date, to increase the Facility Amount by an amount up to $110,000,000 (for a total maximum Facility Amount of $250,000,000). The following terms and conditions shall apply to any such increase:(i) any such increase shall be obtained from existing Lenders or from other Eligible Assignees, in each case in accordance with the terms set forth below; (ii) the Commitment of any Lender may not be increased without the prior writtenconsent of such Lender; (iii) any increase in the Facility Amount shall be in a minimum principal amount of (x) if such increase shall be obtained from existing Lenders, $5,000,000 (or such lower amount as may be consented to by theAdministrative Agent) and (y) if such increase shall be obtained from Eligible Assignees who are not Lenders hereunder, $15,000,000 (or such lower amount as may be consented to by the Administrative Agent); (iv) the Borrower and Lenders shallexecute an acknowledgement (or in the case of the addition of a bank or other financial institution not then a party to this Agreement, a Joinder Agreement) in form and content satisfactory to the Administrative Agent to reflect the revisedCommitments and Facility Amount (the Lenders do hereby agree to execute such acknowledgement (or Joinder Agreement) without delay unless the acknowledgement purports to (A) increase the Commitment of a Lender without such Lender’s consentor (B) amend this Agreement or the other Transaction Documents other than as provided for in this Section 2.3); (v) the Borrower shall execute such promissory notes as are necessary to reflect the increase in orcreation of the Commitments; (vi) if any Advances are outstanding at the time of any such increase, the Borrower shall make such payments and adjustments on the Advances (including payment of any break-funding amount owing underSection 2.11 hereof) as necessary to give effect to the revised commitment percentages and outstandings of the Lenders; (vii) the Borrower may solicit commitments from Eligible Assignees that are not then a party tothis Agreement so long as such Eligible Assignees are reasonably acceptable to the Administrative Agent and execute a Joinder Agreement in form and content satisfactory to the Administrative Agent; (viii) the conditions set forth inSection 3.2 shall be satisfied in all material respects; (ix) after giving effect to any such increase in the Facility Amount, no Unmatured Early Termination Event or Early Termination Event shall have occurred;(x) the Borrower shall have provided to the Administrative Agent, at least 30 days prior to such proposed increase in the Facility Amount, written evidence demonstrating pro forma compliance with Section 8.1(q) of thisAgreement after giving effect to such proposed increase, such evidence to be satisfactory in the sole discretion of the Administrative Agent. The amount of any increase in the Facility Amount hereunder shall be offered first to the existing Lenders,and in the event the additional commitments which existing Lenders are willing to take shall exceed the amount requested by the Borrower, such excess shall be allocated in proportion to the commitments of such existing Lenders willing to takeadditional commitments. If the amount of the additional commitments requested by the Borrower shall exceed the additional commitments which the existing Lenders are willing to take, then the Borrower may invite other Eligible Assignees reasonablyacceptable to the Administrative Agent to join this Agreement as Lenders hereunder for the portion of commitments not taken by existing Lenders, provided that such Eligible Assignees shall enter into such joinder agreements to give effect thereto asthe 

 
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Administrative Agent and the Borrower may reasonably request. Unless otherwise agreed by the Administrative Agent and the Lenders, the terms of any increase in the Facility Amount shall be thesame as those in effect prior to any increase; provided, however, that should the terms of the increase agreed to be other than those in effect prior to the increase, then the Transaction Documents shall, with the consent of theAdministrative Agent and the Lenders, be amended to the extent necessary to incorporate any such different terms. Notwithstanding any of the foregoing, the Lenders hereby agree that, from the Effective Date until such date as the Commitment ofKeyBank is reduced to $75,000,000 (whether by assignment or otherwise), any syndication of the Facility Amount shall be effected pursuant to an assignment of the Commitment of KeyBank to the applicable Lender to the extent required to reduce suchCommitment of KeyBank to $75,000,000. 

**Section 2.4 Principal Repayments; Extension of Term.**

(a) The Advances Outstanding shall be repaid in accordance with Section 2.8, and shall be due and payable in full onthe Maturity Date. In addition, Advances Outstanding shall be repaid as and when necessary (first, to Swing Advances outstanding) to cause the Borrowing Base Test to be met, in accordance with Section 2.8 (each suchpayment, a “Mandatory Prepayment”), and any amount so repaid may, subject to the terms and conditions hereof, be reborrowed hereunder during the Revolving Period. 

(b) The Borrower may, at any time within 365 days, but no later than 45 days, prior to the then current Commitment Termination Date, bywritten notice to the Administrative Agent, make written requests for the Lenders to extend the Commitment Termination Date for an additional revolving period, which extension may be documented as part of a broader amendment to this Agreement or ona stand-alone basis. The Administrative Agent will give prompt notice to each Managing Agent of its receipt of such request, and each Managing Agent shall give prompt notice to each of the Lenders in its related Lender Group of its receipt of suchrequest for extension of the Commitment Termination Date. Each Lender shall make a determination, in its sole discretion and after a full credit review, not less than fifteen (15) days following receipt of such request as to whether or not itwill agree to extend the Commitment Termination Date; provided, however, that the failure of any Lender to make a timely response to the Borrower’s request for extension of the Commitment Termination Date shall be deemed toconstitute a refusal by such Lender to extend the Commitment Termination Date. In the event that at least one Lender agrees to extend the Commitment Termination Date, the Borrower, the Servicer, the Administrative Agent and the extending Lendersshall enter into such documents as the Administrative Agent and such extending Lenders and may deem necessary or appropriate to reflect such extension, and all reasonable costs and expenses incurred by such Lenders and the Administrative Agent(including reasonable attorneys’ fees) shall be paid by the Borrower. In the event that any Lender declines the request to extend the Commitment Termination Date (each such Lender being referred to herein, from and after the date of thedocumented extension of the Commitment Termination Date (the “Renewal Date”) by the consenting Lenders as a “Non-Renewing Lender”), and the Commitment of such Non-Renewing Lender is not assigned to another Person in accordance with the terms of Article XI prior to the Renewal Date, (i) such Non-Renewing Lender’sCommitment shall be reduced to an amount equal at all times to such Non-Renewing Lender’s Advances outstanding (declining as such amount is paid down), (ii) the Facility Amount shall be reduced by anamount equal to each such Non-

 
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Renewing Lender’s Commitment on the Renewal Date, (iii) the Group Advance Limits of the applicable Lender Groups shall be reduced by an amount equal to the applicable Non-Renewing Lender’s Commitment on the Renewal Date, and (iv) the Borrower shall, to the extent such Non-Renewing Lender shall not previously have been paidpursuant to Section 2.8, repay in full all Advances made by such Non-Renewing Lender and other Obligations owing to such Non-Renewing Lenderunder this Agreement on or before such Non-Renewing Lender’s original Commitment Termination Date (without giving effect to any extension thereof). 

(c) All repayments of any Advance or any portion thereof shall be made together with payment of (i) all Interest accrued and unpaid onthe amount repaid to (but excluding) the date of such repayment, (ii) any and all Breakage Costs, and (iii) all Hedge Breakage Costs and any other amounts payable by the Borrower under or with respect to any Hedging Agreement. 

**Section 2.5 The Notes.**

(a) The Advances made by the Lenders hereunder shall be evidenced by a duly executed promissory note of the Borrower payable to each ManagingAgent, on behalf of the applicable Lenders in the related Lender Group, in substantially the form of Exhibit B hereto (collectively, the “Notes”). The Notes shall be dated the Effective Date, or, if later, the date on which aLender becomes party to this Agreement and shall be in a maximum principal amount equal to the applicable Lender Group’s Group Advance Limit, and shall otherwise be duly completed. 

(b) Each Managing Agent is hereby authorized to enter on a schedule attached to its Notes the following notations (which may be computergenerated) with respect to each Advance made by each Lender in the applicable Lender Group: (i) the date and principal amount thereof and (ii) each payment and repayment of principal thereof, and any such recordation shall constitute*prima facie*evidence of the accuracy of the information so recorded. The failure of a Managing Agent to make any such notation on the schedule attached to the applicable Note shall not limit or otherwise affect the obligation of the Borrowerto repay the Advances in accordance with their respective terms as set forth herein. 

**Section 2.6 Interest Payments.**

(a) Interest shall accrue on each Advance during each Settlement Period at the applicable Interest Rate. The Borrower shall payInterest on the unpaid principal amount of each Advance for the period commencing on and including the Funding Date of such Advance until but excluding the date that such Advance shall be paid in full. Interest shall accrue during each SettlementPeriod and be payable on the Advances Outstanding on each Payment Date, unless earlier paid pursuant to (i) a prepayment in accordance with Section 2.3(b) or (ii) a repayment in accordance withSection 2.4(b). 

(b) Interest Rates shall be determined by the Administrative Agent in accordance with thedefinitions thereof, and the Administrative Agent shall advise the Servicer, on behalf of the Borrower, of each calculation thereof. 

 
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(c) If any Managing Agent, on behalf of the applicable Lenders, shall notify theAdministrative Agent that a Eurodollar Disruption Event as described in clause (a) of the definition of “Eurodollar Disruption Event” has occurred, and provided that such event is not a Benchmark Transition Event, the AdministrativeAgent shall in turn so notify the Borrower, whereupon all Advances in respect of which Interest accrues at the LIBO Rate plus the Applicable Margin shall immediately be converted into Advances in respect of which Interest accrues at the Base Rateplus the Applicable Margin. 

(d) Anything in this Agreement or the other Transaction Documents to the contrary notwithstanding, if at anytime the rate of interest payable by any Person under this Agreement and the Transaction Documents exceeds the highest rate of interest permissible under Applicable Law (the “Maximum Lawful Rate”), then, so long as the MaximumLawful Rate would be exceeded, the rate of interest under this Agreement and the Transaction Documents shall be equal to the Maximum Lawful Rate. If at any time thereafter the rate of interest payable under this Agreement and the TransactionDocuments is less than the Maximum Lawful Rate, such Person shall continue to pay interest under this Agreement and the Transaction Documents at the Maximum Lawful Rate until such time as the total interest received from such Person is equal to thetotal interest that would have been received had Applicable Law not limited the interest rate payable under this Agreement and the Transaction Documents. In no event shall the total interest received by a Lender under this Agreement and theTransaction Documents exceed the amount that such Lender could lawfully have received, had the interest due under this Agreement and the Transaction Documents been calculated since the Effective Date at the Maximum Lawful Rate. 

**Section 2.7 Fees.**

(a) The Borrower shall pay to the Administrative Agent from the Collection Account on each Payment Date, monthly in arrears in accordance withSection 2.8, the Unused Fee; and, from and after the Revolver Loan Funding Date, the Revolver Loan Funding Fee. 

(b) The Borrower shall pay to the Servicer from the Collection Account on each Payment Date, monthly in arrears in accordance withSection 2.8, the Servicing Fee. 

(c) The Backup Servicer shall be entitled to receive from the CollectionAccount on each Payment Date, monthly in arrears in accordance with Section 2.8, the Backup Servicing Fee. 

(d)The Collateral Custodian shall be entitled to receive from the Collection Account on each Payment Date, monthly in arrears in accordance with Section 2.8, the Collateral Custodian Fee. 

**Section 2.8 Settlement Procedures.**

On each Payment Date, the Servicer on behalf of the Borrower shall pay for receipt by the applicable Lender no later than 11:00 a.m. (New YorkCity time) to the following Persons, from (i) the Collection Account, to the extent of available funds, (ii) Servicer Advances, and (iii) amounts received in respect of any Hedge Agreement during such Settlement Period (the sum ofsuch amounts described in clauses (i), (ii) and (iii), minus any amounts required to be deposited to the Revolver Loan Funding Accounts in accordance with Section 2.14 below being the “AvailableCollections”) the following amounts in the following order of priority: 

 
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(a) During the Revolving Period, and in each case unless otherwise specified below, applyingInterest Collections first, and then Principal Collections: 

(i) FIRST, to the Borrower, the aggregate amount of fees(including up-front, continuing or success fees) received in respect of the Transferred Loans; 

(ii) SECOND, to each Hedge Counterparty, any amounts owing that Hedge Counterparty under its respective Hedging Agreement inrespect of any Hedge Transaction(s), for the payment thereof, but excluding, to the extent the Hedge Counterparty is not the same Person as the Administrative Agent, any Swap Breakage and Indemnity Amounts; 

(iii) THIRD, to the Servicer, in an amount equal to any Unreimbursed Servicer Advances, for the payment thereof; 

(iv) FOURTH, to the extent not paid by the Servicer, to the Backup Servicer and any Successor Servicer, as applicable,in an amount equal to any accrued and unpaid Backup Servicing Fee and, if any, accrued and unpaid Transition Costs, Backup Servicer Expenses and Market Servicing Fee Differential, each for the payment thereof; 

(v) FIFTH, to the extent not paid by the Servicer, to the Collateral Custodian in an amount equal to any accrued andunpaid Collateral Custodian Fee and Collateral Custodian Expenses, if any, for the payment thereof; 

(vi) SIXTH, tothe Servicer, in an amount equal to (A) if the Servicer is Gladstone Management Corporation or any of its Affiliates, its accrued and unpaid Servicing Fees to the end of the preceding Settlement Period, up to the Servicing Fee Limit Amount forsuch Settlement Period, for the payment thereof and (B) otherwise, its accrued and unpaid Servicing Fees to the end of the preceding Settlement Period for the payment thereof; 

(vii) SEVENTH, to the Administrative Agent for payment to each Managing Agent, on behalf of the related Lenders, in anamount equal to any accrued and unpaid Interest and Unused Fee for such Payment Date; 

(viii) EIGHTH, first, to theextent of available Principal Collections, and second, to the extent of available Interest Collections, to the Administrative Agent for payment to each Managing Agent, on behalf of the related Lenders, an amount equal to the excess, if any, ofAdvances Outstanding over the lesser of (i) the Borrowing Base or (ii) the Facility Amount, together with the amount of Breakage Costs incurred by the applicable Lenders in connection with any such payment (as such Breakage Costs arenotified to the Borrower by the applicable Lender(s)), *pro rata*; provided, however, that to the extent that (i) the Termination Date has not occurred and (ii) Advances Outstanding exceed the Facility Amount due to oneor more Lenders becoming Non-Renewing Lenders, to each Managing Agent on behalf of such Non-Renewing Lenders only, *pro rata* in accordance with their AdvancesOutstanding; 

 
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(ix) NINTH, to each Hedge Counterparty, any Swap Breakage andIndemnity Amounts owing that Hedge Counterparty; 

(x) TENTH, to the Administrative Agent for payment to eachManaging Agent, on behalf of the related Lenders, in the amount of unpaid Breakage Costs (other than Breakage Costs covered in clause (vii) above) with respect to any prepayments made on such Payment Date Increased Costs, and/or Taxes (if any);

(xi) ELEVENTH, to the Swingline Lender, for the portion of the Obligations constituting unpaid principal of theSwing Advances; 

(xii) TWELFTH, to the Administrative Agent, all other amounts or Obligations then due under thisAgreement or the other Transaction Documents (other than the Performance Guaranty) to the Administrative Agent, the Lenders, the Affected Parties or Indemnified Parties, each for the payment thereof; 

(xiii) THIRTEENTH, to the Servicer, in an amount equal to its accrued and unpaid Servicing Fees to the end of thepreceding Settlement Period not otherwise paid pursuant to priority SIXTH above; and 

(xiv) FOURTEENTH, allremaining amounts to the Borrower. 

(b) During the Amortization Period, to the extent of available Interest Collections: 

(i) FIRST, unless an Early Termination Event shall have occurred and be continuing, to the Borrower, the aggregateamount of fees (including up-front, continuing or success fees) received in respect of the Transferred Loans; 

(ii) SECOND, to each Hedge Counterparty, any amounts owing that Hedge Counterparty under its respective HedgingAgreement in respect of any Hedge Transaction(s), for the payment thereof, but excluding, to the extent the Hedge Counterparty is not the same Person as the Administrative Agent, any Swap Breakage and Indemnity Amounts; 

(iii) THIRD, to the Servicer, in an amount equal to any Unreimbursed Servicer Advances, for the payment thereof; 

(iv) FOURTH, to the extent not paid by the Servicer, to the Backup Servicer and any Successor Servicer, as applicable,in an amount equal to any accrued and unpaid Backup Servicing Fee and, if any, accrued and unpaid Transition Costs, Backup Servicer Expenses and Market Servicing Fee Differential, each for the payment thereof; 

(v) FIFTH, to the extent not paid by the Servicer, to the Collateral Custodian in an amount equal to any accrued andunpaid Collateral Custodian Fee and Collateral Custodian Expenses, if any, for the payment thereof; 

 
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(vi) SIXTH, to the Servicer, in an amount equal to (A) if theServicer is Gladstone Management Corporation or any of its Affiliates, its accrued and unpaid Servicing Fees to the end of the preceding Settlement Period, up to the Servicing Fee Limit Amount for such Settlement Period, for the payment thereof and(B) otherwise, its accrued and unpaid Servicing Fees to the end of the preceding Settlement Period for the payment thereof; 

(vii) SEVENTH, to the Administrative Agent for payment to each Managing Agent, on behalf of the related Lenders, in anamount equal to any accrued and unpaid Interest, Unused Fee and Revolver Loan Funding Fee for such Payment Date; 

(viii)EIGHTH, to the Administrative Agent for payment to each Managing Agent, on behalf of the related Lenders, an amount equal to the excess, if any, of Advances Outstanding over the lesser of (i) the Borrowing Base or (ii) the FacilityAmount, together with the amount of Breakage Costs incurred by the applicable Lenders in connection with any such payment (as such Breakage Costs are notified to the Borrower by the applicable Lender(s)), *pro rata*; 

(ix) NINTH, all remaining amounts shall be distributed to the Borrower, provided, however, that if an Early TerminationEvent has occurred and is continuing, all remaining amounts shall be applied as Principal Collections in accordance with clause (c) below. 

(c) During the Amortization Period, to the extent of available Principal Collections: 

(i) FIRST, to the parties listed above, any amount remaining unpaid pursuant to clauses FIRST through EIGHTH underclause (b) above, in accordance with the priority set forth thereunder; 

(ii) SECOND, following the occurrenceof the Termination Date, to the Swingline Lender, for the portion of the Obligations constituting unpaid principal of the Swing Advances in an amount to reduce the outstanding Swing Advances to zero; 

(iii) THIRD, following the occurrence of the Termination Date, to the Administrative Agent for ratable payment to eachManaging Agent, on behalf of the related Lenders, in an amount to reduce Advances Outstanding to zero and to pay any other Obligations in full; 

(iv) FOURTH, to each Hedge Counterparty, any Swap Breakage and Indemnity Amounts owing that Hedge Counterparty; 

(v) FIFTH, to the Administrative Agent for payment to each Managing Agent, on behalf of the related Lenders, in theamount of unpaid Breakage Costs (other than Breakage Costs covered in clause (b) above) with respect to any prepayments made on such Payment Date, Increased Costs and/or Taxes (if any); 

(vi) SIXTH, to the Administrative Agent, all other amounts or Obligations then due under this Agreement or the otherTransaction Documents (other than the Performance Guaranty) to the Administrative Agent, the Lenders, the Affected Parties or Indemnified Parties, each for the payment thereof; 

 
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(vii) SEVENTH, to the Servicer, if the Servicer is GladstoneManagement Corporation or any of its Affiliates, its accrued and unpaid Servicing Fees to the end of the preceding Settlement Period not otherwise paid pursuant to clause SIXTH of subsection (b) above; and 

(viii) EIGHTH, all remaining amounts to the Borrower. 

**Section 2.9 Collections and Allocations.**

(a) The Borrower or the Servicer on behalf of the Borrower shall promptly (but in no event later than two (2) Business Days after thereceipt thereof) identify any Collections received by it as being on account of Interest Collections or Principal Collections and deposit all such Interest Collections or Principal Collections received directly by it into the Collection Account. TheServicer on behalf of the Borrower shall make such deposits or payments on the date indicated by wire transfer, in immediately available funds. 

(b) Until the occurrence of an Early Termination Event, to the extent there are uninvested amounts deposited in the Collection Account, allamounts shall be invested in Permitted Investments selected by the Servicer on behalf of the Borrower that mature no later than the Business Day immediately preceding the next Payment Date; from and after (i) the occurrence of an EarlyTermination Event or (ii) the appointment of a Successor Servicer, to the extent there are uninvested amounts deposited in the Collection Account, all amounts may be invested in Permitted Investments selected by the Administrative Agent thatmature no later than the next Business Day. Any earnings (and losses) thereon shall be for the account of the Servicer on behalf of the Borrower. 

**Section 2.10 Payments, Computations, Etc.**

(a) Unless otherwise expressly provided herein, all amounts to be paid or deposited by the Borrower or the Servicer on behalf of the Borrowerhereunder shall be paid or deposited in accordance with the terms hereof no later than 10:00 a.m. (New York City time) on the day when due in lawful money of the United States in immediately available funds to the Agent’s Account. The Borrowershall, to the extent permitted by law, pay to the Secured Parties interest on all amounts not paid or deposited when due hereunder at a rate of interest equal to 2.0% per annum above the Base Rate plus the Applicable Margin, payable on demand;provided, however, that such interest rate shall not at any time exceed the Maximum Lawful Rate. All computations of interest and all computations of the Interest Rate and other fees hereunder shall be made on the basis of a year of360 days for the actual number of days (including the first but excluding the last day) elapsed. 

(b) Whenever any payment hereunder shallbe stated to be due on a day other than a Business Day, such payment shall be made on the next succeeding Business Day, and such extension of time shall in such case be included in the computation of payment of Interest, other interest or any feepayable hereunder, as the case may be. 

(c) All payments hereunder shall be made without set-offor counterclaim and in such amounts as may be necessary in order that all such payments shall not be less than the amounts otherwise specified to be paid under this Agreement (after withholding for or on account of any Taxes). 

 
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**Section 2.11 Breakage Costs.**

The Borrower shall pay to the Administrative Agent for the account of the applicable Managing Agent, on behalf of the related Lenders, upon therequest of any Managing Agent, any Lender or the Administrative Agent on each Payment Date on which a prepayment is made, such amount or amounts as shall, without duplication, compensate the Lenders for any loss, cost or expense (the“Breakage Costs”) incurred by the Lenders (as reasonably determined by the applicable Lender) as a result of any prepayment of an Advance (and interest thereon) arising under this Agreement. The determination by any Managing Agent,on behalf of the related Lenders, of the amount of any such loss or expense shall be set forth in a written notice to the Borrower delivered by the applicable Lender prior to the date of such prepayment in the case where notice of such prepayment isdelivered to such Lender in accordance with Section 2.3(b) or within two (2) Business Days following such prepayment in the case where no such notice is delivered (in which case, Breakage Costs shall include interestthereon from the date of such prepayment) and shall be conclusive absent manifest error. 

**Section 2.12 Increased Costs; CapitalAdequacy; Illegality.**

(a) If after the date hereof, any Managing Agent, Lender or any Affiliate thereof (each of which, an“Affected Party”) shall be charged any fee, expense or increased cost on account of the adoption of any applicable law, rule or regulation (including any applicable law, rule or regulation regarding capital adequacy or liquidity),any accounting principles or any change in any of the foregoing, or any change in the interpretation or administration thereof by any governmental authority, the Financial Accounting Standards Board, any central bank or any comparable agency chargedwith the interpretation or administration thereof, or compliance with any request or directive (whether or not having the force of law) of any such authority or agency (as clarified by the last sentence of thisSection 2.12(a) below, a “Regulatory Change”): (i) that subjects any Affected Party to any charge or withholding on or with respect to any Transaction Document or an Affected Party’s obligations undera Transaction Document, or on or with respect to the Advances, or changes the basis of taxation of payments to any Affected Party of any amounts payable under any Transaction Document (except for changes in the rate of tax on the overall net incomeof an Affected Party or taxes excluded by Section 2.13) or (ii) that imposes, modifies or deems applicable any reserve, assessment, insurance charge, special deposit or similar requirement against assets of, depositswith or for the account of an Affected Party, or credit extended by an Affected Party pursuant to a Transaction Document or (iii) that imposes any other condition the result of which is to increase the cost to an Affected Party of performingits obligations under a Transaction Document, or to reduce the rate of return on an Affected Party’s capital as a consequence of its obligations under a Transaction Document, or to reduce the amount of any sum received or receivable by anAffected Party under a Transaction Document or to require any payment calculated by reference to the amount of interests or loans held or interest received by it, then, upon demand by the applicable Managing Agent, Borrower shall pay to theAdministrative Agent, for payment to the applicable Managing Agent for the benefit of the relevant Affected Party, such amounts charged to such Affected Party or such amounts to otherwise compensate such Affected Party for such increased cost orsuch reduction. For avoidance of doubt, 

 
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“Regulatory Change” shall include the compliance, whether commenced prior to or after the date hereof, by any Affected Party with the requirements of (i) the final rule titledRisk-Based Capital Guidelines; Capital Adequacy Guidelines; Capital Maintenance: Regulatory Capital; Impact of Modifications to Generally Accepted Accounting Principles; Consolidation of Asset-Backed Commercial Paper Programs; and Other RelatedIssues, adopted by the United States bank regulatory agencies on December 15, 2009, or any rules, regulations, guidance, interpretations or directives promulgated or issued in connection therewith by such agency (whether or not having force oflaw), (ii) the Dodd-Frank Wall Street Reform and Consumer Protection Act adopted by Congress on July 21, 2010, or any existing or future rules, regulations, guidance, interpretations or directives from the United States bank regulatory agenciesrelating thereto (whether or not having the force of law), and (iii) the July 1988 paper or the June 2006 paper prepared by the Basel Committee on Banking Supervision as set out in the publication entitled: “International Convergence ofCapital Measurements and Capital Standards: a Revised Framework”, as updated from time to time, or any rules, regulations, guidance, interpretations or directives promulgated or issued in connection therewith by the United States bankregulatory agencies (whether or not having force of law) or any other request, rule, guideline or directive promulgated by the Bank for International Settlements, the Basel Committee on Banking Supervision (or any successor or similar authority) orthe United States or foreign regulatory authorities, in each case pursuant to Basel II or Basel III. 

(b) If as a result of any event orcircumstance similar to those described in clause (a) of this Section 2.12, an Affected Party is required to compensate a bank or other financial institution providing liquidity support, credit enhancement orother similar support or financing to such Affected Party in connection with this Agreement or the funding or maintenance of Advances hereunder, then within ten days after demand by such Affected Party, the Borrower shall pay to such Affected Partysuch additional amount or amounts as may be necessary to reimburse such Affected Party for any such amounts paid by it. 

(c) Indetermining any amount provided for in this section, the Affected Party may use any reasonable averaging and attribution methods. Any Affected Party making a claim under this section shall submit to the Borrower a certificate as to such additionalor increased cost or reduction, which certificate shall be subject to Section 12.12(a) and shall calculate in reasonable detail any such charges and shall be conclusive absent demonstrable error; provided, however. 

**Section 2.13 Taxes.**

(a) All payments made by the Borrower in respect of any Advance and all payments made by the Borrower under this Agreement will be made freeand clear of and without deduction or withholding for or on account of any Taxes, unless such withholding or deduction is required by law. In such event, the Borrower shall pay to the appropriate taxing authority any such Taxes required to bededucted or withheld and the amount payable to each Lender or the Administrative Agent (as the case may be) will be increased (such increase, the “Additional Amount”) such that every net payment made under this Agreement afterdeduction or withholding for or on account of any Taxes (including, without limitation, any Taxes on such increase) is not less than the amount that would have been paid had no such deduction or withholding been deducted or withheld. The foregoingobligation to pay Additional Amounts, however, will not apply with respect to, and the term “Additional Amount” shall be deemed not to include net income or franchise taxes imposed 

 
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on a Lender, any Managing Agent or the Administrative Agent, respectively, with respect to payments required to be made by the Borrower or Servicer on behalf of the Borrower under this Agreement,by a taxing jurisdiction in which such Lender, such Managing Agent or the Administrative Agent is organized, conducts business or is paying taxes as of the Effective Date (as the case may be). If a Lender, any Managing Agent or the AdministrativeAgent pays any Taxes in respect of which the Borrower is obligated to pay Additional Amounts under this Section 2.13(a), the Borrower shall promptly reimburse such Lender or Administrative Agent in full. 

(b) The Borrower will indemnify each Lender, each Managing Agent and the Administrative Agent for the full amount of Taxes in respect of whichthe Borrower is required to pay Additional Amounts (including, without limitation, any Taxes imposed by any jurisdiction on such Additional Amounts) paid by such Lender, Managing Agent or the Administrative Agent (as the case may be) and anyliability (including penalties, interest and expenses) arising therefrom or with respect thereto; provided, however, that such Lender, Managing Agent or the Administrative Agent, as appropriate, making a demand for indemnity payment,shall provide the Borrower, at its address set forth under its name on the signature pages hereof, with a certificate from the relevant taxing authority or from a Responsible Officer of such Lender, Managing Agent or the Administrative Agent statingor otherwise evidencing that such Lender, Managing Agent or the Administrative Agent has made payment of such Taxes and will provide a copy of or extract from documentation, if available, furnished by such taxing authority evidencing assertion orpayment of such Taxes. This indemnification shall be made within ten days from the date such Lender, Managing Agent or the Administrative Agent (as the case may be) makes written demand therefor. 

(c) Within 30 days after the date of any payment by the Borrower of any Taxes, the Borrower will furnish to the Administrative Agent, theManaging Agent or the Lender, as applicable, at its address set forth under its name on the signature pages hereof, appropriate evidence of payment thereof. 

(d) If a Lender is not created or organized under the laws of the United States or a political subdivision thereof, such Lender shall, to theextent that it may then do so under Applicable Laws, deliver to the Borrower with a copy to the Administrative Agent (i) within 15 days after the date hereof, or, if later, the date on which such Lender becomes a Lender hereof two (or suchother number as may from time to time be prescribed by Applicable Laws) duly completed copies of IRS Form W-8EC1 or Form W-8BEN or any successor forms or othercertificates or statements that may be required from time to time by the relevant United States taxing authorities or Applicable Laws), as appropriate, to permit the Borrower to make payments hereunder for the account of such Lender, as the case maybe, without deduction or withholding of United States federal income or similar Taxes and (ii) upon the obsolescence of or after the occurrence of any event requiring a change in, any form or certificate previously delivered pursuant to thisSection 2.13(d), two copies (or such other number as may from time to time be prescribed by Applicable Laws) of such additional, amended or successor forms, certificates or statements as may be required under ApplicableLaws to permit the Borrower to make payments hereunder for the account of such Lender, without deduction or withholding of United States federal income or similar Taxes. 

 
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(e) For any period with respect to which a Lender has failed to provide the Borrower withthe appropriate form, certificate or statement described in clause (d) of this section (other than if such failure is due to a change in law occurring after the date of this Agreement), such Lender, as the case may be, shall not beentitled to indemnification under clauses (a) or (b) of this section with respect to any Taxes. 

(f) Within 30 days ofthe written request of the Borrower therefor, the Administrative Agent, the Managing Agent or the Lender, as appropriate, shall execute and deliver to the Borrower such certificates, forms or other documents that can be furnished consistent with thefacts and that are reasonably necessary to assist the Borrower in applying for refunds of Taxes remitted hereunder; provided, however, that the Administrative Agent, the Managing Agent and the Lender shall not be required to deliversuch certificates forms or other documents if in their respective sole discretion it is determined that the delivery of such certificate, form or other document would have a material adverse effect on the Administrative Agent, the Managing Agent orthe Lender and providedfurther, however, that the Borrower shall reimburse the Administrative Agent, the Managing Agent or the Lender for any reasonable expenses incurred in the delivery of such certificate, form or otherdocument. 

(g) If, in connection with an agreement or other document providing liquidity support, credit enhancement or other similarsupport or financing to the Lenders in connection with this Agreement or the funding or maintenance of Advances hereunder, the Lenders are required to compensate a bank or other financial institution in respect of Taxes under circumstances similarto those described in this section then within ten days after demand by the Lenders, the Borrower shall pay to the Lenders such additional amount or amounts as may be necessary to reimburse the Lenders for any amounts paid by them. 

**Section 2.14 Revolver Loan Funding.**

(a) Upon the occurrence of a Revolver Loan Funding Date, each Lender shall make an advance (each, a “Revolver Loan Funding”)in an amount equal to such Lender’s ratable share of the aggregate outstanding unfunded commitments under the Revolver Loans. Upon receipt of the proceeds of such Revolver Loan Funding, the Administrative Agent shall deposit such funds intosegregated accounts (each, a “Revolver Loan Funding Account”), in its name, referencing the name of such Lender, and maintained at a Qualified Institution. Each Lender hereby grants to the Administrative Agent full power andauthority, on its behalf, to withdraw funds from the applicable Revolver Loan Funding Account at the time of, and in connection with, the funding of any Post-Termination Revolver Loan Advances to be made to the Borrower, and to deposit to therelated Revolver Loan Funding Account any funds received in respect of each relevant Lender’s ratable share of principal payments under Section 2.8 hereof, all in accordance with the terms of and for the purposes setforth in this Agreement. The deposit of monies in such Revolver Loan Funding Account by any Lender shall not constitute an Advance (and such Lender shall not be entitled to interest on such monies except as provided in clause (d) below) unlessand until (and then only to the extent that) such monies are used to make Post-Termination Revolver Loan Advances pursuant to the first sentence of clause (b) below. On each Payment Date from and after the Revolver Loan Funding Date, theBorrower shall pay the Administrative Agent, for the benefit of the Lenders, a fee (the “Revolver Loan Funding Fee”) equal to the sum of (i) the LIBO Rate for such Settlement Period plus (ii) 3.0%, multiplied by the weightedaverage amount on deposit in the Revolver Loan Funding Accounts during the applicable Settlement Period, calculated on the basis of a year of 360 days for the actual number of days elapsed. 

 
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(b) From and after the establishment of a Revolver Loan Funding Account with respect to anyLender, and until the earlier of (i) the reduction to zero of all outstanding commitments in respect of Revolver Loans and (ii) one year following the Revolver Loan Funding Date, all Post-Termination Revolver Loan Advances to be made bysuch Lender hereunder shall be made by withdrawing funds from the applicable Revolver Loan Funding Account. On each Business Day during such time, the Administrative Agent shall, (i) if a Revolver Loan Funding Account Shortfall exists, depositthe lesser of (A) the amount allocable to the repayment of principal to the Lenders and (B) the Revolver Loan Funding Account Shortfall and (ii) if a Revolver Loan Funding Account Surplus exists, pay to the applicable Managing Agent,on behalf of each Lender, such Lender’s ratable share of the Revolver Loan Funding Account Surplus. Until the earlier of (i) the reduction to zero of all outstanding commitments in respect of Revolver Loans and (ii) one year followingthe Revolver Loan Funding Date, all remaining funds then held in such Revolver Loan Funding Account (after giving effect to any Post-Termination Revolver Loan Advances to be made on such date) shall be paid by the Administrative Agent to theapplicable Managing Agent, on behalf of such Lender, and thereafter all payments made in respect of the Loans (whether or not originally funded from such Lender’s Revolver Loan Funding Account) shall be paid directly to the applicable ManagingAgent, on behalf of such Lender, in accordance with the terms of Section 2.8. 

(c) The Administrative Agent may,its sole discretion, advance funds withdrawn from the Revolver Loan Funding Accounts to (i) the Borrower or (ii) the applicable Obligor directly, on behalf of the Borrower, and in either case, such funds shall be used solely for thepurpose of funding advances requested by an Obligor under a Revolver Loan. 

(d) Proceeds in a Revolver Loan Funding Account shall beinvested, at the written direction of the applicable Lender (or the applicable Managing Agent on its behalf) to the applicable Revolver Loan Funding Account bank, only in investments which constitute Permitted Investments. The investment earningswith respect to a Revolver Loan Funding Account shall accrue as the Lender and Revolver Loan Funding Account bank shall agree. The Administrative Agent shall direct the Revolver Loan Funding Account bank to pay all such investment earnings from therelevant account directly to the applicable Managing Agent, for the account of the applicable Lender. 

(e) Notwithstanding anything hereinto the contrary, none of the Administrative Agent, the other Managing Agents, the other Purchasers nor the Revolver Loan Funding Account bank shall have any liability for any loss arising from any investment or reinvestment made by it with respectto a Revolver Loan Funding Account in accordance with, and pursuant to, the provisions hereof. 

**Section 2.15 Replacement ofLenders.**

If (a) any Lender requests compensation under Section 2.12 or reimbursement underSection 2.13, or if the Borrower is required to pay any additional amount to any Lender or any Governmental Authority for the account of any Lender pursuant to Section 2.12 or underSection 2.13, or (b) any Lender is a Defaulting Lender, then the Borrower may, at its sole expense and effort, upon notice to such Lender and the Administrative Agent, require such Lender to assign and delegate,without recourse (in accordance with and subject to the restrictions set forth in 

 
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Section 11.1(b)), all of its interests, rights (other than its existing rights to payments pursuant to Section 2.12 or reimbursement underSection 2.13) and obligations under this Agreement to an assignee that shall assume such obligations (which assignee may be another Lender) (a “Replacement Lender”); provided that (i) the Borrowershall have received the prior written consent of the Administrative Agent, which consent shall not be unreasonably withheld, conditioned or delayed, (ii) such Lender shall have received payment of an amount equal to the outstanding principalamount of the portion of the Loan owed to it, accrued interest thereon, accrued fees and all other amounts payable to it hereunder from the assignee (in the case of such outstanding principal and accrued interest) and from the Borrower (in the caseof all other amounts), and (iii) in the case of a requirement by Borrower to replace a Lender based on such Lender’s claim for compensation under Section 2.12 or reimbursement underSection 2.13, the resulting assignment will result in a reduction in such compensation or payments. A Lender shall not be required to make any such assignment and delegation if, prior thereto, as a result of a waiver bysuch Lender or otherwise, the circumstances entitling the Borrower to require such assignment and delegation cease to apply. 

**Section 2.16 Discretionary Sales of Loans.**

On any Discretionary Sale Settlement Date, the Borrower shall have the right to prepay all or a portion of the Advances Outstanding inconnection with the sale and assignment by the Borrower of, and the release of the Lien by the Administrative Agent over, one or more Transferred Loans, in whole but not in part (and expressly excluding any sale of a Transferred Loan from theBorrower to the Originator required under the Purchase Agreement) (a “Discretionary Sale”), subject to the following terms and conditions and subject to the other restrictions contained herein: 

(a) any Discretionary Sale shall be made by the Borrower in a transaction (A) arranged by the Servicer (or, if a Successor Servicer shallhave been appointed pursuant to Section 7.19, arranged by the Borrower with the approval of the Administrative Agent) in accordance with the customary management practices of prudent institutions which manage financial assets similar to theTransferred Loans for their own account or for the account of others, (B) reflecting arm’s-length market terms, (C) in which the Borrower makes no representations, warranties or covenants andprovides no indemnification for the benefit of any other party to the Discretionary Sale (other than any representations, warranties or covenants relating to the Borrower’s ownership of or clean title to the Transferred Loans that are thesubject of the Discretionary Sale that are standard and customary in connection with such a sale or for which the Originator has agreed to fully indemnify the Borrower), (D) of which the Administrative Agent and the Required Lenders shall havereceived 2 Business Days’ (or such shorter period as the Required Lenders shall consent to) written notice (such notice, a “Discretionary Sale Notice”) which notice shall provide a description of the terms of the DiscretionarySale, and (E) if occurring after the Termination Date, which the Required Lenders shall have approved in writing (which approval shall not be unreasonably withheld or delayed); 

(b) after giving effect to the Discretionary Sale on the related Discretionary Sale Trade Date and the payment of funds from the sale into theCollection Account required under Section 2.16(d), (A) all representations and warranties of the Borrower contained in Section 4.1 shall be true and correct as of the Discretionary Sale Trade Date,(B) neither a Early Termination Event nor Unmatured Termination Event shall have occurred and be continuing, (C) the Borrowing Base 

 
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Test shall have been satisfied, and, if such Discretionary Sale Trade Date takes place during the Amortization Period, following the application of the funds described in clause (d) below,the ratio of the Borrowing Base to the Drawn Amount shall have been improved, (D) the Collateral Quality Test shall have been satisfied, and, if such Discretionary Sale Trade Date takes place during the Amortization Period, the CollateralQuality Test shall have been improved and (E) the Required Equity Investment shall be maintained; 

(c) on the Discretionary SaleTrade Date, the Borrower and the Servicer shall be deemed to have represented and warranted that the requirements of Section 2.16(b) shall have been satisfied as of the related Discretionary Sale Trade Date after givingeffect to the contemplated Discretionary Sale; and 

(d) on the related Discretionary Sale Settlement Date, the Administrative Agent shallhave received into the Collection Account, in immediately available funds, an amount (i) other than as described in clause (ii) below, equal to the sum of (A) the portion of the Advances Outstanding to be prepaid so that therequirements of Section 2.16(b) shall have been satisfied as of such Discretionary Sale Settlement Date plus (B) an amount equal to all unpaid Interest attributable to that portion of the Advances Outstanding tobe paid in connection with the Discretionary Sale plus (C) any Breakage Costs owed in connection with the payment and (ii) in the case of a sale of (x) Defaulted Loans or Charged-OffLoans in accordance with Section 7.7, or (y) any Transferred Loans following the end of the Revolving Period, equal to the proceeds of such Discretionary Sale. 

In connection with any Discretionary Sale, following receipt by the Administrative Agent of the amounts referred to inSection 2.16(d) above (receipt of which shall be confirmed to the Administrative Agent), there shall be released to the Borrower (for further sale to a purchaser) without recourse, representation or warranty of any kind allof the right, title and interest of the Administrative Agent and the Secured Parties in, to and under the portion of the Collateral subject to such Discretionary Sale and such portion of the Collateral so released shall be released from any Lien andthe Loan Documents (subject to the requirements set forth above in this Section 2.16). 

In connection with anyDiscretionary Sale, on the related Discretionary Sale Settlement Date, the Administrative Agent on behalf of the Secured Parties shall (i) execute such instruments of release with respect to the portion of the Collateral to be released to theBorrower, in recordable form if necessary, in favor of the Borrower as the Servicer on behalf of the Borrower may reasonably request, (ii) deliver any portion of the Collateral to be released to the Borrower in its possession to the Borrowerand (iii) otherwise take such actions, as are determined by the Borrower or Servicer to be reasonably necessary and appropriate to release the Lien on the portion of the Collateral to be released to the Borrower and release and deliver to theBorrower such portion of the Collateral to be released to the Borrower. 

 
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**Section 2.17 Acknowledgement and Consent toBail-In of EEA Financial Institutions.**

Notwithstanding anything to the contrary in anyLoan Document or in any other agreement, arrangement or understanding among any such parties, each party hereto acknowledges that any liability of any EEA Financial Institution arising under any Loan Document, to the extent such liability isunsecured, may be subject to the write-down and conversion powers of an EEA Resolution Authority and agrees and consents to, and acknowledges and agrees to be bound by: 

(a) the application of any Write-Down and Conversion Powers by an EEA Resolution Authority to any such liabilities arising hereunder which maybe payable to it by any party hereto that is an EEA Financial Institution; and 

(b) the effects of anyBail-in Action on any such liability, including, if applicable: 

(i) a reduction infull or in part or cancellation of any such liability; 

(ii) a conversion of all, or a portion of, such liability intoshares or other instruments of ownership in such EEA Financial Institution, its parent undertaking, or a bridge institution that may be issued to it or otherwise conferred on it, and that such shares or other instruments of ownership will beaccepted by it in lieu of any rights with respect to any such liability under this Agreement or any other Loan Document; or 

(iii) the variation of the terms of such liability in connection with the exercise of the write-down and conversion powers ofany EEA Resolution Authority. 

**Section 2.18 Effect of Benchmark Transition Event.**

(a) Benchmark Replacement. Notwithstanding anything to the contrary herein or in any other Loan Document, (i) upon thedetermination of the Administrative Agent (which shall be conclusive absent manifest error), or upon the written notice provided by the Required Lenders to the Administrative Agent, that a Benchmark Transition Event has occurred or (ii) uponthe occurrence of an Early Opt-in Election, as applicable, the Administrative Agent and the Borrower may amend this Agreement to replace LIBOR with a Benchmark Replacement, by a written document executed bythe Borrower and the Administrative Agent, subject to the requirements of this Section titled “Effect of Benchmark Transition Event.” Notwithstanding the requirements of Section 12.1(iii)(B) or anything else tothe contrary herein or in any other Loan Document, any such amendment with respect to a Benchmark Transition Event will become effective and binding upon the Administrative Agent, the Borrower and the Lenders at 5:00 p.m. on the fifth (5th) BusinessDay after the Administrative Agent has posted such proposed amendment to all Lenders and the Borrower so long as the Administrative Agent has not received, by such time, written notice of objection to such amendment from Lenders comprising theRequired Lenders, and any such amendment with respect to an Early Opt-in Election will become effective and binding upon the Administrative Agent, the Borrower and the Lenders on the date that Lenderscomprising the Required Lenders have delivered to the Administrative Agent written notice that such Required Lenders accept such amendment. No replacement of LIBOR with a Benchmark Replacement pursuant to this Section titled “Effect ofBenchmark Transition Event” will occur prior to the applicable Benchmark Transition Start Date. 

(b) Benchmark ReplacementConforming Changes. In connection with the implementation of a Benchmark Replacement, the Administrative Agent will have the right to make Benchmark Replacement Conforming Changes from time to time and, notwithstanding anything to the contraryherein or in any other Loan Document, any amendments implementing such Benchmark Replacement Conforming Changes will become effective without any further action or consent of any other party to this Agreement. 

 
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(c) Notices; Standards for Decisions and Determinations. The Administrative Agentwill promptly notify the Borrower and the Lenders in writing of (i) any occurrence of a Benchmark Transition Event or an Early Opt-in Election, as applicable, and its related Benchmark Replacement Dateand Benchmark Transition Start Date, (ii) the implementation of any Benchmark Replacement, (iii) the effectiveness of any Benchmark Replacement Conforming Changes and (iv) the commencement or conclusion of any Benchmark UnavailabilityPeriod. Any determination, decision or election that may be made by the Administrative Agent or Lenders pursuant to this Section 2.18, including, without limitation, any determination with respect to a tenor, comparablereplacement rate or adjustment, or implementation of any Benchmark Replacement Rate Conforming Changes, or of the occurrence or non-occurrence of an event, circumstance or date and any decision to take orrefrain from taking any action, will be conclusive and binding on all parties hereto absent manifest error and may be made in its or their sole discretion and without consent from any other party hereto, except, in each case, as expressly requiredpursuant to this Section 2.18 and shall not be a basis of any claim of liability of any kind or nature by any party hereto, all such claims being hereby waived individually be each party hereto. 

(d) Benchmark Unavailability Period. Upon the Borrower’s receipt of notice of the commencement of a Benchmark UnavailabilityPeriod, the Borrower may revoke any request for an Advance to be made or continued during any Benchmark Unavailability Period and, failing that, the Borrower will be deemed to have converted any such request into a request for an Advance of orconversion to an Advance in respect of which Interest accrues at the Base Rate plus the Applicable Margin. During any Benchmark Unavailability Period, the components of the Base Rate based upon LIBOR will not be used in any determination of the BaseRate. 

**ARTICLE III**

**CONDITIONS OF EFFECTIVENESS AND ADVANCES**

**Section 3.1 Conditions to Effectiveness and Advances.**

No Lender (including the Swingline Lender) shall be obligated to make any Advance hereunder from and after the Effective Date, nor shall anyLender, the Administrative Agent or the Managing Agents be obligated to take, fulfill or perform any other action hereunder, until the following conditions have been satisfied, in the sole discretion of, or waived in writing by, the Managing Agents:

(a) This Agreement and all other Transaction Documents or counterparts hereof or thereof shall have been duly executed by, and deliveredto, the parties hereto and thereto and the Administrative Agent shall have received such other documents, instruments, agreements and legal opinions as any Managing Agent shall reasonably request in connection with the transactions contemplated bythis Agreement, on or prior to the Effective Date, each in form and substance satisfactory to the Administrative Agent. 

 
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(b) Each Managing Agent shall be satisfied with the results of the due diligence reviewperformed by it and each Lender shall have received all necessary internal approvals. 

(c) The Borrower shall have paid all fees requiredto be paid by it on the Effective Date, including all fees required hereunder and under the Fee Letters to be paid as of such date, and shall have reimbursed each Lender and the Administrative Agent for all fees, costs and expenses related to thetransactions contemplated hereunder and under the other Transaction Documents, including the legal and other document preparation costs incurred by any Lender and/or the Administrative Agent. 

(d) The Required Equity Investment shall be maintained. 

The Administrative Agent shall promptly notify each Lender of the satisfaction or waiver of the conditions set forth above. 

**Section 3.2 Additional Conditions Precedent to All Advances.**

Each Advance shall be subject to the further conditions precedent that: 

(a) On the related Funding Date, the Borrower or the Servicer, as the case may be, shall have certified in the related Borrower Notice that:

(i) The representations and warranties set forth in Sections 4.1 and 7.8 are true and correct in allmaterial respects on and as of such date, before and after giving effect to such borrowing and to the application of the proceeds therefrom, as though made on and as of such date; and 

(ii) No event has occurred, or would result from such Advance or from the application of the proceeds therefrom, thatconstitutes an Early Termination Event or an Unmatured Termination Event. 

(b) The Termination Date shall not have occurred; 

(c) Before and after giving effect to such borrowing and to the application of proceeds therefrom the Collateral Quality Test shall besatisfied, as calculated on such date; 

(d) Before and after giving effect to such borrowing and to the application of proceeds therefromthe Borrowing Base Test shall be satisfied, as calculated on such date; 

(e) No (i) claim has been asserted or proceeding commencedchallenging enforceability or validity of any of the Transaction Documents or (ii) material claim has been asserted or proceeding commenced challenging enforceability or validity of any of the Loan Documents, in each case, excluding anyinstruments, certificates or other documents relating to Loans that were the subject of prior Advances; 

(f) There shall have been noMaterial Adverse Change with respect to the Borrower or the Servicer since the preceding Advance; 

 
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(g) Such Advance shall not cause the aggregate amount of Advances Outstanding to increase bymore than $40,000,000 during the 32-day period ending on the related Funding Date of such Advance; provided, that the foregoing amount set forth in this clause (g) may be increased (i) upon no lessthan 32 days prior written notice from the Borrower to the Administrative Agent or (ii) by the Administrative Agent in its sole discretion; and 

(h) The Servicer and Borrower shall have taken such other action, including delivery of approvals, consents, opinions, documents, andinstruments to the Managing Agents as each may reasonably request. 

**ARTICLE IV**

**REPRESENTATIONS AND WARRANTIES**

**Section 4.1 Representations and Warranties of the Borrower.**

The Borrower represents and warrants as follows: 

(a) Organization and Good Standing. The Borrower is a Delaware limited liability company duly organized, validly existing, and in goodstanding under the laws of the jurisdiction of its formation, and has full power, authority and legal right to own or lease its properties and conduct its business as such business is presently conducted. 

(b) Due Qualification. The Borrower is qualified to do business as a limited liability company, is in good standing, and has obtainedall licenses and approvals as required under the laws of all jurisdictions in which the ownership or lease of its property and or the conduct of its business (other than the performance of its obligations hereunder) requires such qualification,standing, license or approval, except to the extent that the failure to so qualify, maintain such standing or be so licensed or approved would not have a material adverse effect on the interests of the Lenders. The Borrower is qualified to dobusiness as a limited liability company, is in good standing, and has obtained all licenses and approvals as are required under the laws of all states in which the performance of its obligations pursuant to this Agreement requires suchqualification, standing, license or approval and where the failure to qualify or obtain such license or approval would have a material adverse effect on its ability to perform hereunder. 

(c) Due Authorization. The execution and delivery of this Agreement and each Transaction Document to which the Borrower is a party andthe consummation of the transactions provided for herein and therein have been duly authorized by the Borrower by all necessary action on the part of the Borrower. 

(d) No Conflict. The execution and delivery of this Agreement and each Transaction Document to which the Borrower is a party, theperformance by the Borrower of the transactions contemplated hereby and thereby and the fulfillment of the terms hereof and thereof will not conflict with or result in any breach of any of the terms and provisions of, and will not constitute (withor without notice or lapse of time or both) a default under, the Borrower’s limited liability company agreement or any material Contractual Obligation of the Borrower. 

 
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(e) No Violation. The execution and delivery of this Agreement and each TransactionDocument to which the Borrower is a party, the performance of the transactions contemplated hereby and thereby and the fulfillment of the terms hereof and thereof will not conflict with or violate, in any material respect, any Applicable Law. 

(f) No Proceedings. There are no proceedings or investigations pending or, to the best knowledge of the Borrower, threatened againstthe Borrower, before any Governmental Authority (i) asserting the invalidity of this Agreement or any Transaction Document to which the Borrower is a party, (ii) seeking to prevent the consummation of any of the transactions contemplatedby this Agreement or any Transaction Document to which the Borrower is a party or (iii) seeking any determination or ruling that could reasonably be expected to have a Material Adverse Effect. 

(g) All Consents Required. All material approvals, authorizations, consents, orders or other actions of any Person or of anyGovernmental Authority (if any) required in connection with the due execution, delivery and performance by the Borrower of this Agreement and any Transaction Document to which the Borrower is a party, have been obtained. 

(h) Reports Accurate. All Monthly Reports (if prepared by the Borrower, or to the extent that information contained therein is suppliedby the Borrower), information, exhibits, financial statements, documents, books, records or reports furnished or to be furnished by the Borrower to the Administrative Agent or a Lender in connection with this Agreement are true, complete andaccurate in all material respects. 

(i) Solvency. The transactions contemplated under this Agreement and each Transaction Documentto which the Borrower is a party do not and will not render the Borrower not Solvent. 

(j) Selection Procedures. No proceduresbelieved by the Borrower to be materially adverse to the interests of the Secured Parties were utilized by the Borrower in identifying and/or selecting the Loans that are part of the Collateral. 

(k) Taxes. The Borrower has filed or caused to be filed all Tax returns required to be filed by it. The Borrower has paid all Taxes andall assessments made against it or any of its property (other than any amount of Tax the validity of which is currently being contested in good faith by appropriate proceedings and with respect to which reserves in accordance with GAAP have beenprovided on the books of the Borrower), and no Tax lien has been filed and, to the Borrower’s knowledge, no claim is being asserted, with respect to any such Tax, fee or other charge. 

(l) Agreements Enforceable. This Agreement and each Transaction Document to which the Borrower is a party constitute the legal, validand binding obligation of the Borrower enforceable against the Borrower in accordance with their respective terms, except as such enforceability may be limited by Insolvency Laws and except as such enforceability may be limited by general principlesof equity (whether considered in a suit at law or in equity). 

 
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(m) No Liens. The Collateral is owned by the Borrower free and clear of any Liensexcept for Permitted Liens as provided herein, and the Administrative Agent, as agent for the Secured Parties, has a valid and perfected first priority security interest in the Collateral then existing or thereafter arising, free and clear of anyLiens except for Permitted Liens. No effective financing statement or other instrument similar in effect covering any Collateral is on file in any recording office except such as may be filed in favor of the Administrative Agent relating to thisAgreement or reflecting the transfer of the Collateral from the Originator to the Borrower. 

(n) Security Interest. The Borrowerhas granted a security interest (as defined in the UCC) to the Administrative Agent, as agent for the Secured Parties, in the Collateral, which is enforceable in accordance with Applicable Law. All filings (including, without limitation, such UCCfilings) as are necessary in any jurisdiction to perfect the interest of the Administrative Agent as agent for the Secured Parties, in the Collateral have been made. 

(o) Location of Offices. The Borrower’s jurisdiction of organization, principal place of business and chief executive office andthe office where the Borrower keeps all the Records is located at the address of the Borrower referred to in Section 12.2 hereof (or at such other locations as to which the notice and other requirements specified inSection 5.1(m) shall have been satisfied). 

(p) Tradenames. The Borrower has no trade names, fictitiousnames, assumed names or “doing business as” names or other names under which it has done or is doing business. 

(q) PurchaseAgreement. The Purchase Agreement is the only agreement pursuant to which the Borrower acquires Collateral (other than the Hedge Collateral). 

(r) Value Given. The Borrower gave reasonably equivalent value to the Originator in consideration for the transfer to the Borrower ofthe Transferred Loans under the Purchase Agreement, no such transfer was made for or on account of an antecedent debt owed by the Originator to the Borrower, and no such transfer is voidable or subject to avoidance under any Insolvency Law. 

(s) Accounting. The Borrower accounts for the transfers to it from the Originator of interests in the Loans under the PurchaseAgreement as sales of such Loans in its books, records and financial statements, in each case consistent with GAAP. 

(t) SeparateEntity. The Borrower is operated as an entity with assets and liabilities distinct from those of the Originator and any Affiliates thereof (other than the Borrower), and the Borrower hereby acknowledges that the Administrative Agent and theLenders are entering into the transactions contemplated by this Agreement in reliance upon the Borrower’s identity as a separate legal entity from the Originator and from each such other Affiliate of the Originator. 

(u) Investments. Except for Supplemental Interests or Supplemental Interests that convert into an equity interest in any Person, theBorrower does not own or hold directly or indirectly, any capital stock or equity security of, or any equity interest in, any Person. 

(v)Business. Since its formation, the Borrower has conducted no business other than the purchase and receipt of Loans and Related Property from the Originator under the Purchase Agreement, the borrowing of funds under this Agreement and suchother activities as are incidental to the foregoing. 

 
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(w) ERISA. The Borrower is in compliance with ERISA and has not incurred and does notexpect to incur any liabilities (except for premium payments arising in the ordinary course of business) payable to the Pension Benefit Guaranty Corporation under ERISA. 

(x) Investment Company Act. 

(i) The Borrower represents and warrants that the Borrower is exempt and will remain exempt from registration as an“investment company” within the meaning of the Investment Company Act of 1940, as amended (the “1940 Act”). 

(ii) The business and other activities of the Borrower, including but not limited to, the making of the Advances by theLenders, the application of the proceeds and repayment thereof by the Borrower and the consummation of the transactions contemplated by the Transaction Documents to which the Borrower is a party do not now and will not at any time result in anyviolations, with respect to the Borrower, of the provisions of the 1940 Act or any rules, regulations or orders issued by the SEC thereunder. 

(y) Government Regulations. The Borrower is not engaged in the business of extending credit for the purpose of “purchasing”or “carrying” any “margin security,” as such terms are defined in Regulation U of the Federal Reserve Board as now and from time to time hereafter in effect (such securities being referred to herein as “MarginStock”). The Borrower owns no Margin Stock, and no portion of the proceeds of any Advance hereunder will be used, directly or indirectly, for the purpose of purchasing or carrying any Margin Stock, for the purpose of reducing or retiringany Indebtedness that was originally incurred to purchase or carry any Margin Stock or for any other purpose that might cause any portion of such proceeds to be considered a “purpose credit” within the meaning of Regulation T, U or X ofthe Federal Reserve Board. The Borrower will not take or permit to be taken any action that might cause any Transaction Document to violate any regulation of the Federal Reserve Board. 

(z) Eligibility of Loans. As of the Effective Date, (i) the Loan List and the information contained in the Borrower Noticedelivered pursuant to Sections 2.1 and 2.2 is an accurate and complete listing in all material respects of all the Loans that are part of the Collateral as of the Effective Date, and the information contained therein with respect tothe identity of such Loans and the amounts owing thereunder is true and correct in all material respects as of such date and (ii) each such Loan is an Eligible Loan. On each Funding Date, the Borrower shall be deemed to represent and warrantthat any additional Loan referenced on the related Borrower Notice delivered pursuant to Sections 2.1 and 2.2 is an Eligible Loan. 

(aa) Anti-Corruption Laws and Sanctions. The Borrower has implemented and maintains in effect policies and procedures designed toensure compliance by the Borrower and its directors, officers, employees and agents with Anti-Corruption Laws and applicable Sanctions, and the Borrower and its officers and employees and, to the knowledge of the Borrower, its directors and agents,are in compliance with Anti-Corruption Laws and applicable Sanctions in all material respects. None of (a) the Borrower or the Servicer or (b) to the knowledge of the Borrower, any of the directors, officers or employees of the Borrower orthe Servicer, or any agent of the Borrower or the Servicer that will act in any capacity in connection with or benefit from the credit facility established hereby, is a Sanctioned Person. None of the Transactions will violate

 
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any Anti-Corruption Law or Sanctions that are applicable to the Borrower or the Servicer. Neither the Borrower nor any Affiliate of the Borrower is (1) a Person that resides or has a placeof business in a country or territory named on such lists or which is designated as a Non-Cooperative Jurisdiction by the Financial Action Task Force on Money Laundering (“FATF”), or whosesubscription funds are transferred from or through such a jurisdiction; (2) a “Foreign Shell Bank” within the meaning of the USA PATRIOT Act, i.e., a foreign bank that does not have a physical presence in any country and that is notaffiliated with a bank that has a physical presence and an acceptable level of regulation and supervision; or (3) a person or entity that resides in or is organized under the laws of a jurisdiction designated by the United States Secretary ofthe Treasury under Section 311 or 312 of the USA PATRIOT Act as warranting special measures due to money laundering concerns. 

**ARTICLE V**

**GENERALCOVENANTS OF THE BORROWER**

**Section 5.1 Covenants of the Borrower.**

The Borrower hereby covenants that: 

(a) Compliance with Laws. The Borrower will comply in all material respects with all Applicable Laws, including those with respect tothe Loans in the Collateral and any Related Property. 

(b) Preservation of Corporate Existence. The Borrower will preserve andmaintain its existence, rights, franchises and privileges in the jurisdiction of its formation, and qualify and remain qualified in good standing in each jurisdiction where the failure to maintain such existence, rights, franchises, privileges andqualification has had, or could reasonably be expected to have, a Material Adverse Effect. 

(c) Security Interests. Except ascontemplated in this Agreement, the Borrower will not sell, pledge, assign or transfer to any other Person, or grant, create, incur, assume or suffer to exist any Lien on any Loan or Related Property that is part of the Collateral, whether nowexisting or hereafter transferred hereunder, or any interest therein. The Borrower will promptly notify the Administrative Agent of the existence of any Lien on any Loan or Related Property that is part of the Collateral and the Borrower shalldefend the right, title and interest of the Administrative Agent as agent for the Secured Parties in, to and under any Loan and the Related Property that is part of the Collateral, against all claims of third parties; provided,however, that nothing in this Section 5.1(c) shall prevent or be deemed to prohibit the Borrower from suffering to exist Permitted Liens upon any Loan or any Related Property that is part of the Collateral. 

(d) Delivery of Collections. The Borrower agrees to cause the delivery to the Servicer promptly (but in no event later than two(2) Business Days after receipt) all Collections (including any Deemed Collections) received by Borrower in respect of the Loans that are part of the Collateral. 

 
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(e) Activities of Borrower. The Borrower shall not engage in any business or activityof any kind, or enter into any transaction or indenture, mortgage, instrument, agreement, contract, Loan or other undertaking, which is not incidental to the transactions contemplated and authorized by this Agreement or the Purchase Agreement. 

(f) Indebtedness. The Borrower shall not create, incur, assume or suffer to exist any Indebtedness or other liability whatsoever,except (i) obligations incurred under this Agreement, under any Hedging Agreement required by Section 5.2(a), or the Purchase Agreement, or (ii) liabilities incident to the maintenance of its existence in goodstanding. 

(g) Guarantees. The Borrower shall not become or remain liable, directly or indirectly, in connection with anyIndebtedness or other liability of any other Person, whether by guarantee, endorsement (other than endorsements of negotiable instruments for deposit or collection in the ordinary course of business), agreement to purchase or repurchase, agreementto supply or advance funds, or otherwise. 

(h) Investments. The Borrower shall not make or suffer to exist any loans or advancesto, or extend any credit to, or make any investments (by way of transfer of property, contributions to capital, purchase of stock or securities or evidences of indebtedness, acquisition of the business or assets, or otherwise) in, any Person exceptfor purchases of Loans and Supplemental Interests pursuant to the Purchase Agreement, or for investments in Permitted Investments in accordance with the terms of this Agreement. 

(i) Merger; Sales. The Borrower shall not enter into any transaction of merger or consolidation, or liquidate or dissolve itself (orsuffer any liquidation or dissolution), or acquire or be acquired by any Person, or convey, sell, loan or otherwise dispose of all or substantially all of its property or business, except as provided for in this Agreement. 

(j) Distributions. The Borrower may not declare or pay or make, directly or indirectly, any distribution (whether in cash or otherproperty) with respect to any Person’s equity interest in the Borrower (collectively, a “Distribution”); provided, however, if no Early Termination Event has occurred and is continuing or will occur as a resultthereof, the Borrower may make Distributions, including, without limitation, distributions in cash to its members so as to permit the Performance Guarantor to make distributions in cash to the holders of its capital stock to the extent necessary tocomply with all applicable RIC/BDC Requirements and to avoid excise taxes imposed on RICs; and provided, further, that the Borrower may make a Distribution to the Performance Guarantor to be applied towards the redemption of thePerformance Guarantor’s 6.00% Series 2024 Term Preferred Stock so long as immediately before and after giving effect to such Distribution, (i) the Borrower is in compliance with all covenants under this Agreement after giving pro formaeffect to such Advance and (ii) if all or any portion of any Advance is applied toward any such Distribution, after giving effect to such Advance, the Availability is not less than $30,000,000. 

(k) Agreements. The Borrower shall not amend or modify (i) the provisions of its limited liability company agreement or(ii) the Purchase Agreement without the consent of the Administrative Agent and prior written notice to each Managing Agent, or issue any power of attorney except to the Administrative Agent or the Servicer. 

 
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(l) Separate Existence. The Borrower shall: 

(i) Maintain its own deposit account or accounts, separate from those of any Affiliate, with commercial banking institutions.The funds of the Borrower will not be diverted to any other Person or for other than corporate uses of the Borrower. 

(ii)Ensure that, to the extent that it shares the same persons as officers or other employees as any of its Affiliates, the salaries of and the expenses related to providing benefits to such officers or employees shall be fairly allocated among suchentities, and each such entity shall bear its fair share of the salary and benefit costs associated with all such common officers and employees. 

(iii) Ensure that, to the extent that it jointly contracts with any of its Affiliates to do business with vendors or serviceproviders or to share overhead expenses, the costs incurred in so doing shall be allocated fairly among such entities, and each such entity shall bear its fair share of such costs. To the extent that the Borrower contracts or does business withvendors or service providers when the goods and services provided are partially for the benefit of any other Person, the costs incurred in so doing shall be fairly allocated to or among such entities for whose benefit the goods and services areprovided, and each such entity shall bear its fair share of such costs. All material transactions between Borrower and any of its Affiliates shall be only on an arm’s length basis. 

(iv) Maintain a principal executive and administrative office through which its business is conducted separate from those ofits Affiliates. To the extent that Borrower and any of its Affiliates have offices in the same location, there shall be a fair and appropriate allocation of overhead costs among them, and each such entity shall bear its fair share of such expenses.

(v) Conduct its affairs strictly in accordance with its limited liability company agreement and observe all necessary,appropriate and customary legal formalities, including, but not limited to, holding all regular and special director’s meetings appropriate to authorize all action, keeping separate and accurate records of such meetings, passing all resolutionsor consents necessary to authorize actions taken or to be taken, and maintaining accurate and separate books, records and accounts, including, but not limited to, payroll and transaction accounts. 

(vi) Take or refrain from taking, as applicable, each of the activities specified or assumed in the Bass Berry Opinion, uponwhich the conclusions expressed therein are based. 

(vii) Maintain the effectiveness of, and continue to perform under thePurchase Agreement and the Performance Guaranty, such that it does not amend, restate, supplement, cancel, terminate or otherwise modify the Purchase Agreement or the Performance Guaranty, or give any consent, waiver, directive or approvalthereunder or waive any default, action, omission or breach under the Purchase Agreement or the Performance Guaranty or otherwise grant any indulgence thereunder, without (in each case) the prior written consent of the Administrative Agent and eachManaging Agent. 

 
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(m) Change of Name or Jurisdiction of Borrower; Records. The Borrower (x) shallnot change its name or jurisdiction of organization, without 30 days’ prior written notice to the Administrative Agent and (y) shall not move, or consent to the Servicer or Collateral Custodian moving, the Loan Documents without 30days’ prior written notice to the Administrative Agent and (z) will promptly take all actions required of each relevant jurisdiction in order to continue the first priority perfected security interest of the Administrative Agent as agentfor the Secured Parties (except for Permitted Liens) in all Collateral, and such other actions as the Administrative Agent may reasonably request, including but not limited to delivery of an Opinion of Counsel. 

(n) ERISA Matters. The Borrower will not (a) engage or permit any ERISA Affiliate to engage in any prohibited transaction forwhich an exemption is not available or has not previously been obtained from the United States Department of Labor; (b) permit to exist any accumulated funding deficiency, as defined in Section 302(a) of ERISA and Section 412(a) ofthe Code, or funding deficiency with respect to any Benefit Plan other than a Multiemployer Plan; (c) fail to make any payments to a Multiemployer Plan that the Borrower or any ERISA Affiliate may be required to make under the agreementrelating to such Multiemployer Plan or any law pertaining thereto; (d) terminate any Benefit Plan so as to result in any liability; or (e) permit to exist any occurrence of any reportable event described in Title IV of ERISA. 

(o) Originator Collateral. With respect to each item of Collateral acquired by the Borrower, the Borrower will (i) acquire suchCollateral pursuant to and in accordance with the terms of the Purchase Agreement, (ii) take all action necessary to perfect, protect and more fully evidence the Borrower’s ownership of such Collateral, including, without limitation,(A) filing and maintaining, effective financing statements (Form UCC-1) naming the Originator as seller/debtor and the Borrower as purchaser/creditor in all necessary or appropriate filing offices, andfiling continuation statements, amendments or assignments with respect thereto in such filing offices and (B) executing or causing to be executed such other instruments or notices as may be necessary or appropriate, including, withoutlimitation, Assignments of Mortgage, and (iii) take all additional action that the Administrative Agent may reasonably request to perfect, protect and more fully evidence the respective interests of the parties to this Agreement in theCollateral. 

(p) Transactions with Affiliates. The Borrower will not enter into, or be a party to, any transaction with any of itsAffiliates or Control Affiliates, except (i) the transactions permitted or contemplated by this Agreement, including, without limitation, Controlled Transactions, (ii) the Purchase Agreement and any Hedging Agreements, and (iii) othertransactions (including, without limitation, transactions related to the use of office space or computer equipment or software by the Borrower to or from an Affiliate or Control Affiliate) (A) in the ordinary course of business,(B) pursuant to the reasonable requirements of the Borrower’s business, (C) upon fair and reasonable terms that are no less favorable to the Borrower than could be obtained in a comparablearm’s-length transaction with a Person not an Affiliate or Control Affiliate of the Borrower, and (D) not inconsistent with the factual assumptions set forth in the Bass Berry Opinion, as suchassumptions may be modified in any subsequent opinion letters delivered to the Administrative Agent pursuant to Section 3.2 or otherwise. It is understood that any compensation arrangement for any officer or employee shallbe permitted under clause (iii)(A) through (C) above if such arrangement has been expressly approved by the managers of the Borrower in accordance with the Borrower’s limited liability company agreement. 

 
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(q) Change in the Transaction Documents. The Borrower will not amend, modify, waiveor terminate any terms or conditions of any of the Transaction Documents to which it is a party, without the prior written consent of the Administrative Agent. 

(r) Credit and Collection Policy. The Borrower will (a) comply in all material respects with the Credit and Collection Policy inregard to each Loan and the Related Property included in the Collateral, and in regard to compliance with Loan Documents, including determinations with respect to the enforcement of its rights thereunder, and (b) furnish to the AdministrativeAgent and each Managing Agent, at least 20 days prior to its proposed effective date, prompt notice of any material changes in the Credit and Collection Policy. The Borrower will not agree or otherwise permit to occur any material change in theCredit and Collection Policy, which change would impair the collectibility of any Loan or otherwise adversely affect the interests or remedies of the Administrative Agent or the Secured Parties under this Agreement or any other Transaction Document,without the prior written consent of the Administrative Agent (in its sole discretion). 

(s) Extension or Amendment of Loans. TheBorrower will not, except as otherwise permitted in Section 7.4(a) extend, amend or otherwise modify, or permit the Servicer on its behalf to extend, amend or otherwise modify, the terms of any Loan. 

(t) Reporting. The Borrower will furnish to the Administrative Agent and each Managing Agent: 

(i) as soon as possible and in any event within two (2) Business Days after the occurrence of each Early Termination Eventand each Unmatured Termination Event, a written statement, signed by a Responsible Officer, setting forth the details of such event and the action that the Borrower proposes to take with respect thereto; 

(ii) promptly upon request, such other information, documents, records or reports respecting the Transferred Loans or thecondition or operations, financial or otherwise, of the Borrower or Originator as the Administrative Agent may from time to time reasonably request in order to protect the interests of the Administrative Agent or the Secured Parties under or ascontemplated by this Agreement; and 

(iii) promptly, but in no event later than two (2) Business Days after itsreceipt thereof, copies of any and all notices, certificates, documents, or reports delivered to it by the Originator under the Purchase Agreement. 

(u) Compliance with Anti-Corruption Laws. The Borrower will, and will require the Servicer to, maintain in effect and enforce policiesand procedures designed to ensure compliance by the Borrower, the Servicer and their respective directors, officers, employees and agents with Anti-Corruption Laws and applicable Sanctions. The Borrower will not request any Advance, and the Borrowershall not use, and shall procure that its directors, officers, employees and agents shall not use, the proceeds of any Advance (A) in furtherance of an offer, payment, promise to pay, or authorization of the payment or giving of money, oranything else of value, to any Person in violation of any Anti-Corruption Laws, (B) for the purpose of funding, financing or facilitating any activities, business or transaction of or with any Sanctioned Person, or in any Sanctioned Country, or(C) in any manner that would result in the violation of any Sanctions applicable to the Borrower. 

 
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**Section 5.2 Hedging Agreement.**

(a) If at any time the aggregate Purchased Loan Balances of Fixed Rate Loans exceeds 20% of the Aggregate Purchased Loan Balance, the Borrowershall, with respect only to such Purchased Loan Balance of Fixed Rate Loans aggregating in excess of 20% of the Aggregate Purchased Loan Balance, enter into and maintain a Hedge Transaction with a Hedge Counterparty which Hedge Transaction shall:(i) be in the form of (A) interest rate caps having a notional amount equal to the Purchased Loan Balance of such Fixed Rate Loans and an amortization schedule that provides for payments through a date which is within three (3) monthsof the maturity of the applicable Fixed Rate Loans or (B) such other form as shall be approved by the Managing Agents and (ii) shall provide for payments to the Borrower to the extent that the LIBO Rate shall exceed a rate agreed uponbetween the Managing Agents and the Borrower. 

(b) As additional security hereunder, the Borrower hereby assigns to the AdministrativeAgent, as agent for the Secured Parties, all right, title and interest of the Borrower in any and all Hedging Agreements, any and all Hedge Transactions, and any and all present and future amounts payable by a Hedge Counterparty to the Borrowerunder or in connection with its respective Hedging Agreement and Hedge Transaction(s) (collectively, the “Hedge Collateral”), and grants a security interest to the Administrative Agent, as agent for the Secured Parties, in the HedgeCollateral. The Borrower acknowledges that, as a result of that assignment, the Borrower may not, without the prior written consent of the Administrative Agent, exercise any rights under any Hedging Agreement or Hedge Transaction, except for theBorrower’s right under any Hedging Agreement to enter into Hedge Transactions in order to meet the Borrower’s obligations under Section 5.2(a) hereof. Nothing herein shall have the effect of releasing the Borrowerfrom any of its obligations under any Hedging Agreement or any Hedge Transaction, nor be construed as requiring the consent of the Administrative Agent or any Secured Party for the performance by the Borrower of any such obligations. 

**ARTICLE VI**

**SECURITYINTEREST**

**Section 6.1 Security Interest.**

As collateral security for the prompt, complete and indefeasible payment and performance in full when due, whether by lapse of time,acceleration or otherwise, of the Obligations, the Borrower hereby assigns, pledges and grants to the Administrative Agent, as agent for the Secured Parties, a lien on and security interest in all of the Borrower’s right, title and interest in,to and under (but none of its obligations under) the Collateral, whether now existing or owned or hereafter arising or acquired by the Borrower, and wherever located. The assignment under this Section 6.1 does notconstitute and is not intended to result in a creation or an assumption by the Administrative Agent, the Managing Agents or any of the Secured Parties of any obligation of the Borrower or any other Person in connection with any or all of theCollateral or under any agreement or instrument relating thereto. Anything herein to the contrary notwithstanding, (a) the 

 
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Borrower shall remain liable under the Transferred Loans to the extent set forth therein to perform all of its duties and obligations thereunder to the same extent as if this Agreement had notbeen executed, (b) the exercise by the Administrative Agent, as agent for the Secured Parties, of any of its rights in the Collateral shall not release the Borrower from any of its duties or obligations under the Collateral, and (c) noneof the Administrative Agent, the Managing Agents or any Secured Party shall have any obligations or liability under the Collateral by reason of this Agreement, nor shall the Administrative Agent, the Managing Agents or any Secured Party be obligatedto perform any of the obligations or duties of the Borrower thereunder or to take any action to collect or enforce any claim for payment assigned hereunder. 

**Section 6.2 Remedies.**

The Administrative Agent (for itself and on behalf of the other Secured Parties) shall have all of the rights and remedies of a secured partyunder the UCC and other Applicable Law. Upon the occurrence and during the continuance of an Early Termination Event, the Administrative Agent or its designees may (i) deliver a notice of exclusive control to the Collateral Custodian;(ii) instruct the Collateral Custodian to deliver any or all of the Collateral to the Administrative Agent or its designees and otherwise give all instructions and entitlement orders to the Collateral Custodian regarding the Collateral;(iii) require that the Borrower or the Collateral Custodian immediately take action to liquidate the Collateral to pay amounts due and payable in respect of the Obligations; (iv) sell or otherwise dispose of the Collateral in acommercially reasonable manner, all without judicial process or proceedings; (v) take control of the Proceeds of any such Collateral; (vi) exercise any consensual or voting rights in respect of the Collateral; (vii) release, makeextensions, discharges, exchanges or substitutions for, or surrender all or any part of the Collateral; (viii) enforce the Borrower’s rights and remedies under the Custody Agreement with respect to the Collateral; (ix) institute andprosecute legal and equitable proceedings to enforce collection of, or realize upon, any of the Collateral; (x) remove from the Borrower’s, the Servicer’s, the Collateral Custodian’s and their respective agents’ place ofbusiness all books, records and documents relating to the Collateral; and/or (xi) endorse the name of the Borrower upon any items of payment relating to the Collateral or upon any proof of claim in bankruptcy against an account debtor. Forpurposes of taking the actions described in subsections (i) through (xi) of this Section 6.2 the Borrower hereby irrevocably appoints the Administrative Agent as its attorney-in-fact (which appointment being coupled with an interest is irrevocable while any of the Obligations remain unpaid), with power of substitution, in the name of the Administrative Agent or in thename of the Borrower or otherwise, for the use and benefit of the Administrative Agent, but at the cost and expense of the Borrower and without notice to the Borrower; provided that the Administrative Agent hereby agrees to exercise such power onlyso long as an Early Termination Event shall be continuing. The Administrative Agent and the other Secured Parties agree that the sale of the Collateral shall be conducted in good faith and in accordance with commercially reasonable practices. 

**Section 6.3 Release of Liens.**

(a) If (i) the Borrowing Base Test is met, and (ii) no Early Termination Event or Unmatured Termination Event has occurred and iscontinuing, at the same time as any Loan that is part of the Collateral expires by its terms and all amounts in respect thereof have been paid by the related Obligor and deposited in the Collection Account, the Administrative Agent as agent for

 
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the Secured Parties will, to the extent requested by the Borrower or the Servicer on behalf of the Borrower, release its interest in such Loan and any Supplemental Interests related thereto. Inconnection with any such release on or after the occurrence of the above, the Administrative Agent, as agent for the Secured Parties, will execute and deliver to the Borrower or the Servicer on behalf of the Borrower any termination statements andany other releases and instruments as the Borrower or the Servicer on behalf of the Borrower may reasonably request in order to effect the release of such Loan and Supplemental Interest; provided, that, the Administrative Agent asagent for the Secured Parties will make no representation or warranty, express or implied, with respect to any such Loan or Supplemental Interest in connection with such sale or transfer and assignment. 

(b) Upon any request for a release of certain Loans in connection with a proposed Discretionary Sale, if, upon application of the proceeds ofsuch transaction in accordance with Section 2.8, the requirements of Section 2.16 shall have been met, the Administrative Agent as agent for the Secured Parties will, to the extent requested by the Borrower or the Servicer on behalf of theBorrower, release its interest in such Loan and any Supplemental Interests related thereto. In connection with any such release on or after the occurrence of the above, the Administrative Agent, as agent for the Secured Parties, will execute anddeliver to the Borrower or the Servicer on behalf of the Borrower any termination statements and any other releases and instruments as the Borrower or the Servicer on behalf of the Borrower may reasonably request in order to effect the release ofsuch Loan and Supplemental Interest; provided, that, the Administrative Agent as agent for the Secured Parties will make no representation or warranty, express or implied, with respect to any such Loan or Supplemental Interest in connection withsuch sale or transfer and assignment. 

(c) Upon receipt by the Administrative Agent of the Proceeds of a repurchase of an Ineligible Loan(as such term is defined in the Purchase Agreement) by the Originator pursuant to the terms of Section 6.1 of the Purchase Agreement, the Administrative Agent, as agent for the Secured Parties, shall be deemed to have automatically released itsinterest in such Ineligible Loan and any Supplemental Interests related thereto without any further action on its part. In connection with any such release on or after the occurrence of such repurchase, the Administrative Agent, as agent for theSecured Parties, will execute and deliver to the Borrower or the Servicer on behalf of the Borrower any releases and instruments as the Borrower or the Servicer on behalf of the Borrower may reasonably request in order to effect the release of suchIneligible Loan and Supplemental Interest. 

(d) Upon receipt by the Administrative Agent of the Proceeds of a purchase of a TransferredLoan by the Servicer pursuant to the terms of Section 7.7, the Administrative Agent, as agent for the Secured Parties, shall be deemed to have automatically released its interest in such Transferred Loan and anySupplemental Interests related thereto without any further action on its part. In connection with any such release on or after the occurrence of such purchase, the Administrative Agent, as agent for the Secured Parties, will execute and deliver tothe Borrower or the Servicer on behalf of the Borrower any releases and instruments as the Borrower or the Servicer on behalf of the Borrower may reasonably request in order to effect the release of such Transferred Loan and Supplemental Interest.

 
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**Section 6.4 Assignment of the Purchase Agreement.**

The Borrower hereby represents, warrants and confirms to the Administrative Agent that the Borrower has assigned to the Administrative Agent,for the ratable benefit of the Secured Parties hereunder, all of the Borrower’s right and title to and interest in the Purchase Agreement. The Borrower confirms that following an Early Termination Event the Administrative Agent shall have thesole right to enforce the Borrower’s rights and remedies under the Purchase Agreement for the benefit of the Secured Parties, but without any obligation on the part of the Administrative Agent, the Secured Parties or any of their respectiveAffiliates to perform any of the obligations of the Borrower under the Purchase Agreement. The Borrower further confirms and agrees that such assignment to the Administrative Agent shall terminate upon the Collection Date; provided,however, that the rights of the Administrative Agent and the Secured Parties pursuant to such assignment with respect to rights and remedies in connection with any indemnities and any breach of any representation, warranty or covenants madeby the Originator pursuant to the Purchase Agreement, which rights and remedies survive the Termination of the Purchase Agreement, shall be continuing and shall survive any termination of such assignment. 

**ARTICLE VII**

**ADMINISTRATION AND SERVICING OF LOANS**

**Section 7.1 Appointment of the Servicer.**

The Borrower hereby appoints the Servicer to service the Transferred Loans and enforce its respective rights and interests in and under eachTransferred Loan in accordance with the terms and conditions of this Article VII and to serve in such capacity until the termination of its responsibilities pursuant to Section 7.18. The Servicer hereby agrees toperform the duties and obligations with respect thereto set forth herein. The Servicer and the Borrower hereby acknowledge that the Administrative Agent and the Secured Parties are third party beneficiaries of the obligations undertaken by theServicer hereunder. 

**Section 7.2 Duties and Responsibilities of the Servicer.**

(a) The Servicer shall conduct the servicing, administration and collection of the Transferred Loans and shall take, or cause to be taken, allsuch actions as may be necessary or advisable to service, administer and collect Transferred Loans from time to time on behalf of the Borrower and as the Borrower’s agent. 

(b) The duties of the Servicer, as the Borrower’s agent, shall include, without limitation: 

(i) preparing and submitting of claims to, and post-billing liaison with, Obligors on Transferred Loans; 

(ii) maintaining all necessary Servicing Records with respect to the Transferred Loans and providing such reports to theBorrower, the Managing Agents and the Administrative Agent in respect of the servicing of the Transferred Loans (including information relating to its performance under this Agreement) as may be required hereunder or as the Borrower, any ManagingAgent or the Administrative Agent may reasonably request; 

 
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(iii) maintaining and implementing administrative and operating procedures(including, without limitation, an ability to recreate Servicing Records evidencing the Transferred Loans in the event of the destruction of the originals thereof) and keeping and maintaining all documents, books, records and other informationreasonably necessary or advisable for the collection of the Transferred Loans (including, without limitation, records adequate to permit the identification of each new Transferred Loan and all Collections of and adjustments to each existingTransferred Loan); provided, however, that any Successor Servicer shall only be required to recreate the Servicing Records of each prior Servicer to the extent such records have been delivered to it in a format reasonably acceptable tosuch Successor Servicer; 

(iv) promptly delivering to the Borrower, any Managing Agent or the Administrative Agent, fromtime to time, such information and Servicing Records (including information relating to its performance under this Agreement) as the Borrower, such Managing Agent or the Administrative Agent from time to time reasonably request; 

(v) identifying each Transferred Loan clearly and unambiguously in its Servicing Records to reflect that such Transferred Loanis owned by the Borrower and pledged to the Administrative Agent; 

(vi) complying in all material respects with the Creditand Collection Policy in regard to each Transferred Loan; 

(vii) complying in all material respects with all ApplicableLaws with respect to it, its business and properties and all Transferred Loans and Collections with respect thereto; 

(viii) preserving and maintaining its existence, rights, licenses, franchises and privileges as a corporation in thejurisdiction of its organization, and qualifying and remaining qualified in good standing as a foreign corporation and qualifying to and remaining authorized and licensed to perform obligations as Servicer (including enforcement of collection ofTransferred Loans on behalf of the Borrower, Lenders, each Hedge Counterparty and the Collateral Custodian) in each jurisdiction where the failure to preserve and maintain such existence, rights, franchises, privileges and qualification wouldmaterially adversely affect (A) the rights or interests of the Borrower, Lenders, each Hedge Counterparty and the Collateral Custodian in the Transferred Loans, (B) the collectibility of any Transferred Loan, or (C) the ability of theServicer to perform its obligations hereunder; and 

(ix) notifying the Borrower, each Managing Agent and the AdministrativeAgent of any material action, suit, proceeding, dispute, offset, deduction, defense or counterclaim that is or is threatened to be (1) asserted by an Obligor with respect to any Transferred Loan; or (2) reasonably expected to have aMaterial Adverse Effect; and 

 
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(c) The Borrower and Servicer hereby acknowledge that the Secured Parties, theAdministrative Agent and the Collateral Custodian shall not have any obligation or liability with respect to any Transferred Loans, nor shall any of them be obligated to perform any of the obligations of the Servicer hereunder. 

**Section 7.3 Authorization of the Servicer.**

(a) Each of the Borrower, each Managing Agent, on behalf of itself and the related Lenders, the Administrative Agent and each HedgeCounterparty hereby authorizes the Servicer (including any successor thereto) to take any and all reasonable steps in its name and on its behalf necessary or desirable and not inconsistent with the pledge of the Transferred Loans to the Lender, eachHedge Counterparty, and the Collateral Custodian, in the determination of the Servicer, to collect all amounts due under any and all Transferred Loans, including, without limitation, endorsing any of their names on checks and other instrumentsrepresenting Collections, executing and delivering any and all instruments of satisfaction or cancellation, or of partial or full release or discharge, and all other comparable instruments, with respect to the Transferred Loans and, after thedelinquency of any Transferred Loan and to the extent permitted under and in compliance with Applicable Law, to commence proceedings with respect to enforcing payment thereof, to the same extent as the Originator could have done if it had continuedto own such Loan; provided, however, that the Servicer may not execute any document in the name of, or which imposes any direct obligation on, any Lender. The Borrower shall furnish the Servicer (and any successors thereto) with any powers ofattorney and other documents necessary or appropriate to enable the Servicer to carry out its servicing and administrative duties hereunder, and shall cooperate with the Servicer to the fullest extent in order to ensure the collectibility of theTransferred Loans. In no event shall the Servicer be entitled to make the Borrower, any Lender, any Managing Agent, any Hedge Counterparty, the Collateral Custodian or the Administrative Agent a party to any litigation without such party’sexpress prior written consent, or to make the Borrower a party to any litigation (other than any routine foreclosure or similar collection procedure) without the Administrative Agent’s consent. 

(b) After an Early Termination Event has occurred and is continuing, at the Administrative Agent’s direction, the Servicer shall takesuch action as the Administrative Agent may deem necessary or advisable to enforce collection of the Transferred Loans; provided, however, that the Administrative Agent may, at any time that an Early Termination Event has occurred andis continuing, notify any Obligor with respect to any Transferred Loans of the assignment of such Transferred Loans to the Administrative Agent and direct that payments of all amounts due or to become due to the Borrower thereunder be made directlyto the Administrative Agent or any servicer, collection agent or lock-box or other account designated by the Administrative Agent and, upon such notification and at the expense of the Borrower, theAdministrative Agent may enforce collection of any such Transferred Loans and adjust, settle or compromise the amount or payment thereof. The Administrative Agent shall give written notice to any Successor Servicer of the Administrative Agent’sactions or directions pursuant to this Section 7.3(b), and no Successor Servicer shall take any actions pursuant to this Section 7.3(b) that are outside of its Credit and Collection Policy. 

 
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**Section 7.4 Collection of Payments.**

(a) Collection Efforts, Modification of Loans. The Servicer will make reasonable efforts to collect all payments called for under theterms and provisions of the Transferred Loans as and when the same become due, and will follow those collection procedures which it follows with respect to all comparable Loans that it services for itself or others. The Servicer may not waive,modify or otherwise vary any provision of a Transferred Loan, except as may be in accordance with the provisions of the Credit and Collection Policy, including the waiver of any late payment charge or any other fees that may be collected in theordinary course of servicing any Loan included in the Collateral. 

(b) Acceleration. The Servicer shall accelerate the maturity ofall or any Scheduled Payments under any Transferred Loan under which a default under the terms thereof has occurred and is continuing (after the lapse of any applicable grace period) promptly after such Loan becomes a Defaulted Loan or such earlieror later time as is consistent with the Credit and Collection Policy. 

(c) Taxes and other Amounts. To the extent provided for inany Transferred Loan, the Servicer will use its best efforts to collect all payments with respect to amounts due for taxes, assessments and insurance premiums relating to such Transferred Loans or the Related Property and remit such amounts to theappropriate Governmental Authority or insurer on or prior to the date such payments are due. 

(d) Payments to Lock-Box Account: On or before the Closing Date, the Servicer shall have instructed all Obligors to make all payments in respect of Loans included in the Collateral to aLock-Box or directly to a Lock-Box Account or the Collection Account. 

(e) Establishment of the Collection Account. The Borrower or the Servicer on its behalf shall cause to be established, on or before theClosing Date, and maintained in the name of the Borrower and assigned to the Administrative Agent as agent for the Secured Parties, with an office or branch of a depository institution or trust company organized under the laws of the United Statesor any one of the States thereof or the District of Columbia (or any domestic branch of a foreign bank) a segregated corporate trust account (the “Collection Account”) for the purpose of receiving Collections from the Collateral;provided, however, that at all times such depository institution or trust company shall be a depository institution organized under the laws of the United States or any one of the States thereof or the District of Columbia (or anydomestic branch of a foreign bank), (i) (A) that has either (1) a long-term unsecured debt rating of A- or better by S&P and A-3 or better by Moody’sor (2) a short-term unsecured debt rating or certificate of deposit rating of A-1 or better by S&P or P-1 or better by Moody’s, (B) the parentcorporation of which has either (1) a long-term unsecured debt rating of A- or better by S&P and A-3 or better by Moody’s or (2) a short-termunsecured debt rating or certificate of deposit rating of A-1 or better by S&P and P-1 or better by Moody’s or (C) is otherwise acceptable to theAdministrative Agent and (ii) whose deposits are insured by the Federal Deposit Insurance Corporation (any such depository institution or trust company, a “Qualified Institution”). 

 
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(f) Adjustments. If (i) the Servicer makes a deposit into the Collection Accountin respect of a Collection of a Loan in the Collateral and such Collection was received by the Servicer in the form of a check that is not honored for any reason or (ii) the Servicer makes a mistake with respect to the amount of any Collectionand deposits an amount that is less than or more than the actual amount of such Collection, the Servicer shall appropriately adjust the amount subsequently deposited into the Collection Account to reflect such dishonored check or mistake. AnyScheduled Payment in respect of which a dishonored check is received shall be deemed not to have been paid. 

**Section 7.5Servicer Advances.**

For each Settlement Period, if the Servicer determines that any Scheduled Payment (or portion thereof) thatwas due and payable pursuant to a Loan included in the Collateral during such Settlement Period was not received prior to the end of such Settlement Period, the Servicer may, but shall not be obligated to, make an advance in an amount up to theamount of such delinquent Scheduled Payment (or portion thereof) to the extent that the Servicer reasonably expects to be reimbursed for such advance; in addition, if on any day there are not sufficient funds on deposit in the Collection Account topay accrued Interest on any Advance the Settlement Period of which ends on such day, the Servicer may make an advance in the amount necessary to pay such Interest (in either case, any such advance, a “Servicer Advance”).Notwithstanding the preceding sentence, any Successor Servicer will not be obligated to make any Servicer Advances. The Servicer will deposit any Servicer Advances into the Collection Account on or prior to 11:00 a.m. (New York City time) on therelated Payment Date, in immediately available funds. 

**Section 7.6 Realization Upon Defaulted Loans or Charged-Off Loans.**

The Servicer will use reasonable efforts to repossess or otherwisecomparably convert the ownership of any Related Property with respect to a Defaulted Loan or Charged-Off Loan and will act as sales and processing agent for Related Property that it repossesses. The Servicerwill follow the practices and procedures set forth in the Credit and Collection Policy in order to realize upon such Related Property. Without limiting the foregoing, the Servicer may sell any such Related Property with respect to any Defaulted Loanor Charged-Off Loan to the Servicer or its Affiliates for a purchase price equal to the then fair market value thereof; any such sale to be evidenced by a certificate of a Responsible Officer of the Servicerdelivered to the Administrative Agent identifying the Defaulted Loan or Charged-Off Loan and the Related Property, setting forth the sale price of the Related Property and certifying that such sale price isthe fair market value of such Related Property. In any case in which any such Related Property has suffered damage, the Servicer will not expend funds in connection with any repair or toward the repossession of such Related Property unless itreasonably determines that such repair and/or repossession will increase the Recoveries by an amount greater than the amount of such expenses. The Servicer will remit to the Collection Account the Recoveries received in connection with the sale ordisposition of Related Property with respect to a Defaulted Loan or Charged-Off Loan. 

**Section 7.7 Optional Repurchase of Transferred Loans.**

(a) The Servicer may, at any time, notify the Borrower and the Administrative Agent that it (or its assignee) is requesting to purchase anyTransferred Loan with respect to which the Borrower or any Affiliate of the Borrower has received notice of the related Obligor’s intention to prepay such Transferred Loan in full within a period of not more than sixty (60) days from thedate of such notification. 

 
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(b) Either of the Originator or the Servicer (or its assignee) may, at its sole option, withrespect to any Transferred Loan that it determines, in the exercise of its reasonable discretion, will likely become a Defaulted Loan or a Charged-Off Loan, or that has become a Defaulted Loan or a Charged-Off Loan, notify the Borrower and the Administrative Agent that it is requesting to purchase each such Transferred Loan. 

(c) The Servicer (or its assignee) may request purchase of a Transferred Loan pursuant to paragraph (a) or (b) above, andthe Originator may request purchase of a Transferred Loan pursuant to paragraph (b) above, by providing five (5) Business Days’ prior written notice to Borrower and the Administrative Agent. The Borrower may agree to suchpurchase with the consent of the Administrative Agent (which consent shall not be unreasonably withheld). With respect to any such purchase of a Transferred Loan, the party providing the required written notice shall, on the date of purchase, either(i) remit to the Borrower in immediately available funds an amount equal to the Repurchase Price therefor or (ii) in the case of a purchase of a Transferred Loan by the Originator, cause an entry to be made in the books of the Borrower toshow a reduction in the Originator’s equity investment in the Borrower by an amount equal to the Repurchase Price for such Transferred Loan. Upon each purchase of a Transferred Loan pursuant to this Section 7.7, theBorrower shall automatically and without further action be deemed to transfer, assign and set-over to the purchaser thereof all the right, title and interest of the Borrower in, to and under such TransferredLoan and all monies due or to become due with respect thereto, all proceeds thereof and all rights to security for any such Transferred Loan, and all proceeds and products of the foregoing, free and clear of any Lien created pursuant to thisAgreement, all of the Borrower’s right, title and interest in such Transferred Loan, including any related Supplemental Interests. Each Lender shall receive five (5) Business Days’ notice of any repurchase that results in a prepaymentof all or a portion of any Advance. 

(d) The Borrower shall, at the sole expense of the party purchasing any Transferred Loan, executesuch documents and instruments of transfer as may be prepared by such party and take such other actions as shall reasonably be requested by such party to effect the transfer of the related Transferred Loan pursuant to thisSection 7.7. 

**Section 7.8 Representations and Warranties of the Servicer.**

The initial Servicer, and any Successor Servicer (mutatis mutandis), hereby represents and warrants as follows: 

(a) Organization and Good Standing. The Servicer is a corporation duly organized, validly existing and in good standing under the lawsof the jurisdiction of its incorporation with all requisite corporate power and authority to own its properties and to conduct its business as presently conducted and to enter into and perform its obligations pursuant to this Agreement. 

(b) Due Qualification. The Servicer is qualified to do business as a corporation, is in good standing, and has obtained all licensesand approvals as required under the laws of all jurisdictions in which the ownership or lease of its property and or the conduct of its business (other than the performance of its obligations hereunder) requires such qualification, standing, licenseor approval, except to the extent that the failure to so qualify, maintain such standing or be so licensed or approved would not have a material adverse effect on the interests of the Borrower 

 
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or of the Lenders. The Servicer is qualified to do business as a corporation, is in good standing, and has obtained all licenses and approvals as required under the laws of all states in whichthe performance of its obligations pursuant to this Agreement requires such qualification, standing, license or approval and where the failure to qualify or obtain such license or approval would have a material adverse effect on its ability toperform hereunder. 

(c) Power and Authority. The Servicer has the corporate power and authority to execute and deliver thisAgreement and to carry out its terms. The Servicer has duly authorized the execution, delivery and performance of this Agreement by all requisite corporate action. 

(d) No Violation. The consummation of the transactions contemplated by, and the fulfillment of the terms of, this Agreement by theServicer (with or without notice or lapse of time) will not (i) conflict with, result in any breach of any of the terms or provisions of, or constitute a default under, the articles of incorporation orby-laws of the Servicer, or any Contractual Obligation to which the Servicer is a party or by which it or any of its property is bound, (ii) result in the creation or imposition of any Adverse Claim uponany of its properties pursuant to the terms of any such Contractual Obligation (other than this Agreement), or (iii) violate any Applicable Law. 

(e) No Consent. No consent, approval, authorization, order, registration, filing, qualification, license or permit of or with anyGovernmental Authority having jurisdiction over the Servicer or any of its properties is required to be obtained by or with respect to the Servicer in order for the Servicer to enter into this Agreement or perform its obligations hereunder. 

(f) Binding Obligation. This Agreement constitutes a legal, valid and binding obligation of the Servicer, enforceable against theServicer in accordance with its terms, except as such enforceability may be limited by (i) applicable Insolvency Laws and (ii) general principles of equity (whether considered in a suit at law or in equity). 

(g) No Proceeding. There are no proceedings or investigations pending or threatened against the Servicer, before any GovernmentalAuthority (i) asserting the invalidity of this Agreement, (ii) seeking to prevent the consummation of any of the transactions contemplated by this Agreement or (iii) seeking any determination or ruling that might (in the reasonablejudgment of the Servicer) have a Material Adverse Effect. 

(h) Reports Accurate. All Servicer Certificates, Monthly Reports,information, exhibits, financial statements, documents, books, Servicer Records or other reports furnished or to be furnished by the Servicer to the Administrative Agent or a Lender in connection with this Agreement are and will be accurate, trueand correct in all material respects. 

**Section 7.9 Covenants of the Servicer.**

The Servicer hereby covenants that: 

(a) Compliance with Law. The Servicer will comply in all material respects with all Applicable Laws, including those with respect to theTransferred Loans and Related Property and Loan Documents or any part thereof. 

 
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(b) Preservation of Corporate Existence. The Servicer will preserve and maintain itscorporate existence, rights, franchises and privileges in the jurisdiction of its formation, and qualify and remain qualified in good standing as a foreign corporation in each jurisdiction where the failure to maintain such existence, rights,franchises, privileges and qualification has had, or could reasonably be expected to have, a Material Adverse Effect. 

(c) Obligationswith Respect to Loans. The Servicer will duly fulfill and comply with all material obligations on the part of the Borrower to be fulfilled or complied with under or in connection with each Loan and will do nothing to impair the rights of theBorrower or the Administrative Agent as agent for the Secured Parties or of the Secured Parties in, to and under the Collateral. 

(d)Preservation of Security Interest. The Servicer on behalf of the Borrower will execute and file (or cause the execution and filing of) such financing and continuation statements and any other documents that may be required by any law orregulation of any Governmental Authority to preserve and protect fully the interest of the Administrative Agent as agent for the Secured Parties in, to and under the Collateral. 

(e) Enforcement of Rights. The Servicer shall not permit any Person appointed by it to a position of control with respect to theObligor of a Transferred Loan to take or permit to be taken (to the extent within his or her control) any action which shall have (a) caused an equitable subordination of such Transferred Loan to another allowed claim under Section 510(c)of the Bankruptcy Code and (b) resulted in a loss to the Lenders that is not fully satisfied by or through the assertion of all available claims against the Borrower and through the liquidation of all available Collateral. Each of theparties agrees that under no circumstance shall a violation of this covenant give rise to a recourse obligation of the Servicer. 

(f)Change of Name or Jurisdiction; Records. The Servicer (i) shall not change its name or jurisdiction of incorporation, without 30 days’ prior written notice to the Borrower and the Administrative Agent, and (ii) shall not move,or consent to the Collateral Custodian moving, the Loan Documents relating to the Transferred Loans without 30 days’ prior written notice to the Borrower and the Administrative Agent and, in either case, will promptly take all actions requiredof each relevant jurisdiction in order to continue the first priority perfected security interest of the Administrative Agent as agent for the Secured Parties on all collateral, and such other actions as the Administrative Agent may reasonablyrequest, including but not limited to delivery of an Opinion of Counsel. 

(g) Credit and Collection Policy. The Servicer will(i) comply in all material respects with the Credit and Collection Policy in regard to each Transferred Loan and the Related Property included in the Collateral, and in regard to compliance with the Loan Documents, including determinations withrespect to the enforcement of the Borrower’s rights thereunder and (ii) furnish to each Managing Agent and the Administrative Agent, at least 20 days prior to its proposed effective date, prompt notice of any material change in the Creditand Collection Policy. The Servicer will not agree or otherwise permit to occur any material change in the Credit and Collection Policy, which change would impair the collectibility of any Transferred Loan or otherwise adversely affect the interestsor remedies of the Administrative Agent or the Secured Parties under this Agreement or any other Transaction Document, without the prior written consent of the Required Lenders (in their sole discretion). 

 
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(h) Early Termination Events. The Servicer will furnish to each Managing Agent andthe Administrative Agent, as soon as possible and in any event within three (3) Business Days after the occurrence of each Early Termination Event or Unmatured Termination Event, a written statement setting forth the details of such event andthe action that the Servicer proposes to take with respect thereto. 

(i) Extension or Amendment of Loans. The Servicer will not,except as otherwise permitted in Section 7.4(a), extend, amend or otherwise modify the terms of any Transferred Loan. 

(j) Other. The Servicer will furnish to the Borrower, any Managing Agent and the Administrative Agent such other information, documentsrecords or reports respecting the Transferred Loans or the condition or operations, financial or otherwise of the Servicer as the Borrower, such Managing Agent or the Administrative Agent may from time to time reasonably request in order to protectthe respective interests of the Borrower, such Managing Agent, the Administrative Agent or the Secured Parties under or as contemplated by this Agreement. 

**Section 7.10 Payment of Certain Expenses by Servicer.**

The Servicer, so long as it is an Affiliate of the Borrower, will be required to pay all expenses incurred by it in connection with itsactivities under this Agreement, including fees and disbursements of legal counsel and independent accountants, Taxes imposed on the Servicer, expenses incurred in connection with payments and reports pursuant to this Agreement, and all other feesand expenses not expressly stated under this Agreement for the account of the Borrower. In consideration for the payment by the Borrower of the Servicing Fee, the Servicer will be required to pay all reasonable fees and expenses owing to any bank ortrust company in connection with the maintenance of the Collection Account and the Backup Servicer Fee pursuant to the Backup Servicing Agreement and the Collateral Custodian Fee pursuant to the Custody Agreement. The Servicer shall be required topay such expenses for its own account and shall not be entitled to any payment therefor other than the Servicing Fee. 

**Section 7.11 Reports.**

(a) Monthly Report. With respect to each Determination Date and the related Settlement Period, the Servicer will provide to theBorrower, the Backup Servicer, each Managing Agent and the Administrative Agent, on the related Reporting Date, a monthly statement (a “Monthly Report”) signed by a Responsible Officer of the Servicer and substantially in the formof Exhibit E. Except as otherwise set forth in the Backup Servicing Agreement, the Backup Servicer shall have no obligation to review any information in the Monthly Report. 

(b) Servicer Certificate. Together with each Monthly Report, the Servicer shall submit to the Borrower, the Backup Servicer, eachManaging Agent and the Administrative Agent a certificate (a “Servicer’s Certificate”), signed by a Responsible Officer of the Servicer and substantially in the form of Exhibit F, which may be incorporated in the MonthlyReport. Except as otherwise set forth in the Backup Servicing Agreement, the Backup Servicer shall have no obligation to review any information in the Servicer Certificate. 

 
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(c) Annual Reporting. The Servicer shall deliver, within 180 days after the close ofeach of its respective fiscal years, audited, unqualified, consolidated financial statements of The Gladstone Companies, Ltd. (which shall include balance sheets, statements of income and retained earnings and statements of cash flows) andsupplementary information to include consolidating balance sheets and income statements, for such fiscal year certified in a manner acceptable to the Administrative Agent by independent public accountants acceptable to the Administrative Agent. Theprovisions of this paragraph (c) shall not apply to any Successor Servicer, including the Backup Servicer. 

(d) QuarterlyReporting. The Servicer shall deliver, within 45 days after the close of each quarterly period of each of its respective fiscal years, balance sheets as at the close of each such period and statements of income and retained earnings and astatement of cash flow for the period from the beginning of such fiscal year to the end of such quarter, all certified by its respective chief financial officer. The provisions of this paragraph (d) shall not apply to any Successor Servicer,including the Backup Servicer. 

(e) [Reserved]. 

(f) Quarterly Valuation Reports. The Borrower will, at least once per calendar quarter and within thirty Business Days after the datethe Servicer provides the quarterly valuations for its serviced portfolio received from the Originator pursuant to Section 5.1(l) of the Purchase Agreement, submit to the Backup Servicer, each Managing Agent and the Administrative Agent areport showing the calculation of the quarterly valuations for the Transferred Loans. Except as otherwise set forth in the Backup Servicing Agreement, the Backup Servicer shall have no duty to review any of the financial information set forth insuch valuation reports. 

(g) Financial Statements of the Originator and Borrower. The Borrower and Originator will submit to theBackup Servicer, each Managing Agent and the Administrative Agent, (i) within 45 days after the close of each quarterly period of each respective fiscal year, unaudited consolidating financial statements for such quarterly period, and(ii) within 90 days after the close of each respective fiscal year, unaudited consolidating financial statements for such fiscal year. 

**Section 7.12 Annual Statement as to Compliance.**

The Servicer will provide to the Borrower, each Managing Agent, the Administrative Agent, and the Backup Servicer, within 90 days followingthe end of each fiscal year of the Servicer, an annual report signed by a Responsible Officer of the Servicer certifying that (a) a review of the activities of the Servicer, and the Servicer’s performance pursuant to this Agreement, forthe period ending on the last day of such fiscal year has been made under such Person’s supervision and (b) the Servicer has performed or has caused to be performed in all material respects all of its obligations under this Agreementthroughout such year and no Servicer Termination Event has occurred and is continuing (or if a Servicer Termination Event has so occurred and is continuing, specifying each such event, the nature and status thereof and the steps necessary to remedysuch event, and, if a Servicer Termination Event occurred during such year and no notice thereof has been given to the Administrative Agent, specifying such Servicer Termination Event and the steps taken to remedy such event). 

 
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**Section 7.13 Limitation on Liability of the Servicer and Others.**

Except as provided herein, neither the Servicer (including any Successor Servicer) nor any of the directors or officers or employees or agentsof the Servicer shall be under any liability to the Borrower, the Administrative Agent, the Lenders or any other Person for any action taken                or forrefraining from the taking of any action expressly provided for in this Agreement; provided, however, that this provision shall not protect the Servicer or any such Person against any liability that would otherwise be imposed by reasonof its willful misfeasance, bad faith or gross negligence in the performance of duties or by reason of its willful misconduct hereunder. 

The Servicer shall not be under any obligation to appear in, prosecute or defend any legal action that is not incidental to its duties toservice the Transferred Loans in accordance with this Agreement that in its reasonable opinion may involve it in any expense or liability. The Servicer may, in its sole discretion, undertake any legal action relating to the servicing, collection oradministration of Transferred Loans and the Related Property that it may reasonably deem necessary or appropriate for the benefit of the Borrower and the Secured Parties with respect to this Agreement and the rights and duties of the parties heretoand the respective interests of the Borrower and the Secured Parties hereunder. 

**Section 7.14 The Servicer Not to Resign.**

The Servicer shall not resign from the obligations and duties hereby imposed on it except upon its determination that (i) theperformance of its duties hereunder is or becomes impermissible under Applicable Law and (ii) there is no reasonable action that it could take to make the performance of its duties hereunder permissible under Applicable Law. Any suchdetermination permitting the resignation of the Servicer shall be evidenced as to clause (i) above by an Opinion of Counsel to such effect delivered to the Borrower and the Administrative Agent. No such resignation shall become effectiveuntil a Successor Servicer shall have assumed the responsibilities and obligations of the Servicer in according with the terms of this Agreement. 

**Section 7.15 Access to Certain Documentation and Information Regarding the Loans.**

The Borrower or the Servicer, as applicable, shall provide to the Administrative Agent and each Managing Agent access to the Loan Documentsand all other documentation regarding the Loans included as part of the Collateral and the Related Property, such access being afforded without charge but only (i) upon reasonable prior notice, (ii) during normal business hours and(iii) subject to the Servicer’s normal security and confidentiality procedures. From and after (x) the Effective Date and periodically thereafter at the discretion of the Administrative Agent (but in no event limited to fewer thantwice per calendar year), the Administrative Agent, on behalf of and with the input of each Managing Agent, may review the Borrower’s and the Servicer’s collection and administration of the Loans in order to assess compliance by theServicer with the Servicer’s written policies and procedures, as well as with this Agreement and may conduct an audit of the Transferred Loans, Loan Documents and Records in conjunction with such a review, which audit shall be reasonable inscope and shall be completed in a reasonable period of time and (y) the occurrence, and during the continuation of an Early Termination Event, the Administrative Agent and each Managing Agent may review the Borrower’s and theServicer’s collection and 

 
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administration of the Transferred Loans in order to assess compliance by the Servicer with the Servicer’s written policies and procedures, as well as with this Agreement, which review shallnot be limited in scope or frequency, nor restricted in period. The Administrative Agent may also conduct an audit (as such term is used in clause (x) of this Section 7.15) of the Transferred Loans, LoanDocuments and Records in conjunction with such a review. The Borrower shall bear the cost of such reviews and audits. 

**Section 7.16 Merger or Consolidation of the Servicer.**

The Servicer shall not consolidate with or merge into any other Person or convey or transfer its properties and assets substantially as anentirety to any Person unless: 

(i) the Person formed by such consolidation or into which the Servicer is merged or thePerson that acquires by conveyance or transfer the properties and assets of the Servicer substantially as an entirety shall be, if the Servicer is not the surviving entity, organized and existing under the laws of the United States or any State orthe District of Columbia and shall expressly assume, by an agreement supplemental hereto, executed and delivered to the Borrower and the Administrative Agent in form satisfactory to the Borrower and the Administrative Agent, the performance of everycovenant and obligation of the Servicer hereunder (to the extent that any right, covenant or obligation of the Servicer, as applicable hereunder, is inapplicable to the successor entity, such successor entity shall be subject to such covenant orobligation, or benefit from such right, as would apply, to the extent practicable, to such successor entity); 

(ii) theServicer shall have delivered to the Borrower and the Administrative Agent an Officer’s Certificate that such consolidation, merger, conveyance or transfer and such supplemental agreement comply with this Section 7.16and that all conditions precedent herein provided for relating to such transaction have been complied with and an Opinion of Counsel that such supplemental agreement is legal, valid and binding with respect to the successor entity and that theentity surviving such consolidation, conveyance or transfer is organized and existing under the laws of the United States or any State or the District of Columbia. The Borrower and the Administrative Agent shall receive prompt written notice of suchmerger or consolidation of the Servicer; and 

(iii) after giving effect thereto, no Early Termination Event, UnmaturedTermination Event or Servicer Termination Event shall have occurred. 

**Section 7.17 Identification of Records.**

The Servicer shall clearly and unambiguously identify each Loan that is part of the Collateral and the Related Property in its computer orother records to reflect that the interest in such Loans and Related Property have been transferred to and are owned by the Borrower and that the Administrative Agent has the interest therein granted by Borrower pursuant to this Agreement. 

 
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**Section 7.18 Servicer Termination Events.**

(a) If any one of the following events (a “Servicer Termination Event”) shall occur and be continuing on any day: 

(i) any failure by the Servicer to make any payment, transfer or deposit as required by this Agreement and such failure shallcontinue for two (2) Business Days; 

(ii) any failure by the Servicer to give instructions or notice to the Borrower,any Managing Agent and/or the Administrative Agent as required by this Agreement or to deliver any Required Reports hereunder on or before the date occurring two Business Days after the date such instructions, notice or report is required to be madeor given, as the case may be, under the terms of this Agreement; 

(iii) any failure on the part of the Servicer duly toobserve or perform in any material respect any other covenants or agreements of the Servicer set forth in this Agreement or any other Transaction Document to which it is a party as Servicer that continues unremedied for a period of fifteen(15) days after the first to occur of (i) the date on which written notice of such failure requiring the same to be remedied shall have been given to the Servicer by the Administrative Agent, any Managing Agent or the Borrower and(ii) the date on which the Servicer becomes or reasonably should have become aware thereof; 

(iv) any representation,warranty or certification made by the Servicer in this Agreement or in any certificate delivered pursuant to this Agreement shall prove to have been false or incorrect in any material respect when made and such failure, if susceptible to a cure,shall continue unremedied for a period of fifteen (15) days after the first to occur of (i) the date on which written notice of such failure requiring the same to be remedied shall have been given to the Servicer by the AdministrativeAgent, any Managing Agent or the Borrower and (ii) the date on which the Servicer becomes or reasonably should have become aware thereof; 

(v) the Servicer shall fail to service the Transferred Loans in accordance with the Credit and Collection Policy; 

(vi) an Insolvency Event shall occur with respect to the Servicer; 

(vii) the Servicer agrees to materially alter the Credit and Collection Policy without the prior written consent of theRequired Lenders; 

(viii) any financial or asset information reasonably requested by the Administrative Agent or anyManaging Agent as provided herein is not provided as requested within five (5) Business Days (or such longer period as the Administrative Agent or such Managing Agent may consent to) of the receipt by the Servicer of such request; 

(ix) the rendering against the Servicer of a final judgment, decree or order for the payment of money in excess of U.S.$5,000,000 (individually or in the aggregate) and the continuance of such judgment, decree or order unsatisfied and in effect for any period of 30 consecutive days without a stay of execution; 

(x) the failure of the Performance Guarantor to make any payment due with respect to aggregate recourse debt or otherobligations with an aggregate principal amount exceeding U.S. $1,000,000 or the occurrence of any event or condition that would permit acceleration of such recourse debt or other obligations if such event or condition has not been waived; 

 
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(xi) any Guarantor Event of Default shall occur; 

(xii) any Material Adverse Change occurs in the financial condition of the Servicer or a material adverse change occurs withregard to the collectibility of the Transferred Loans, taken as a whole; 

(xiii) any Change-in-Control of the Servicer is made without the prior written consent of the Borrower and the Administrative Agent; 

(xiv) the Performance Guarantor shall fail to maintain a minimum Net Worth equal to the sum of (i) of $205,000,000 plus(ii) 50% of any equity and Subordinated Debt issued by the Performance Guarantor after the Effective Date minus (iii) 50% of any equity and Subordinated Debt retired or redeemed by the Performance Guarantor after the Effective Date; provided that,in no event shall the minimum Net Worth be less than $205,000,000; 

(xv) the Performance Guarantor shall fail to satisfythe RIC/BDC Requirements; 

(xvi) the Performance Guarantor shall fail to maintain “asset coverage” (as defined inand determined pursuant to Section 18 of the 1940 Act, as modified by Section 61 of the 1940 Act) of at least 150% (or such percentage as may be set forth in Section 18 of the 1940 Act, as modified by Section 61 of the 1940 Act);provided, that for purposes of testing compliance with this Section 7.18(a)(xvi) the impact of the election of ASC 825 or similar accounting guideline with respect to determining the fair value of the debt of the Performance Guarantor on aconsolidated basis shall be excluded (for avoidance of doubt, the intent of this language is to cause the debt of the Performance Guarantor to be valued at par value rather than fair value)); or 

(xvii) the Performance Guarantor shall pay any cash dividends; providedthat the Performance Guarantor shall bepermitted to pay cash dividends if the Servicer shall have caused the Performance Guarantor to have delivered a certificate to the Administrative Agent, substantially in the form of Exhibit G hereto, at least 10 Business Days prior to themaking of any such cash dividend to the effect that: 

(A) the amount of the declared dividend has been determined in goodfaith by the Board of Directors of the Performance Guarantor on the basis of the most current financial projections of the Performance Guarantor then available for the Related Period (as defined in Exhibit G hereof); 

(B) the amount of the declared dividend does not exceed the sum of (i) the net investment income and the net capital gainprojected to be realized by the Performance Guarantor for the Related Period based on the financial projections referred to in clause (A) above, and (ii) the amounts deemed by the Performance Guarantor to be considered as having been paidduring the prior year in accordance with Section 855(a) of the Code (together clauses (i) and (ii) comprising the “Projected Available Amount”); and 

 
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(C) to the extent the declared dividend referred to in clause (B) aboveexceeds the sum of (i) the net investment income and the net capital gain actually realized by the Performance Guarantor for the Related Period, plus (ii) the amounts deemed by Performance Guarantor to be considered as having been paidduring the prior year in accordance with Section 855(a) of the Code (the “Excess Payment”); then the proposed dividend to be declared by the Performance Guarantor for the immediately ensuing Related Period shall be reduced byany positive amount resulting from the following calculation: (x) the ensuing Related Period’s proposed declared dividend plus the Excess Payment minus (y) the ensuing Related Period’s Projected Available Amount. 

then, notwithstanding anything herein to the contrary, so long as any such Servicer Termination Events shall not have been remedied at the expiration of anyapplicable cure period, the Administrative Agent may, or at the direction of the Required Lenders shall, by written notice to the Servicer and the Backup Servicer (a “Termination Notice”), subject to the provisions ofSection 7.19, either (i) terminate all of the rights and obligations of the Servicer as Servicer under this Agreement or (ii) terminate all of the rights and obligations of the Servicer as Servicer under thisAgreement and simultaneously reappoint the Servicer for a period not to exceed one month (subject to renewal at the sole discretion of the Administrative Agent, acting at the direction of the Required Lenders), at the expiration of which appointmentthe Servicer’s rights and obligations hereunder shall automatically terminate without further action on the part of any party hereto. The Borrower shall pay all reasonable set-up and conversion costsassociated with the transfer of servicing rights to the Successor Servicer. 

**Section 7.19 Appointment of SuccessorServicer.**

(a) On and after the receipt by the Servicer of a Termination Notice pursuant toSection 7.18, the Servicer shall continue to perform all servicing functions under this Agreement until the date specified in the Termination Notice or otherwise specified by the Administrative Agent, to the Servicer andthe Backup Servicer in writing. The Administrative Agent may at the time described in the immediately preceding sentence in its sole discretion, appoint the Backup Servicer as the Servicer hereunder, and the Backup Servicer shall within seven(7) days assume all obligations of the Servicer hereunder, and all authority and power of the Servicer under this Agreement shall pass to and be vested in the Backup Servicer; provided, however, that any Successor Servicer(including, without limitation, the Backup Servicer) shall not (i) be responsible or liable for any past actions or omissions of the outgoing Servicer or (ii) be obligated to make Servicer Advances. The Administrative Agent may appoint(i) the Backup Servicer as successor servicer, or (ii) if the Administrative Agent does not so appoint the Backup Servicer, there is no Backup Servicer or the Backup Servicer is unwilling or unable to assume such obligations on such date,the Administrative Agent shall as promptly as possible appoint an alternate successor servicer to act as Servicer (in each such case, the “Successor Servicer”), and such Successor Servicer shall accept its appointment by a writtenassumption in a form acceptable to the Administrative Agent. 

 
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(b) Upon its appointment as Successor Servicer, the Backup Servicer (subject toSection 7.19(a)) or the alternate successor servicer, as applicable, shall be the successor in all respects to the Servicer with respect to servicing functions under this Agreement, shall assume all Servicing Dutieshereunder and shall be subject to all the responsibilities, duties and liabilities relating thereto placed on the Servicer by the terms and provisions hereof, and all references in this Agreement to the Servicer shall be deemed to refer to theBackup Servicer or the Successor Servicer, as applicable. Any Successor Servicer shall be entitled, with the prior consent of the Administrative Agent, to appoint agents to provide some or all of its duties hereunder, provided that no suchappointment shall relieve such Successor Servicer of the duties and obligations of the Successor Servicer pursuant to the terms hereof and that any such subcontract may be terminated upon the occurrence of a Servicer Termination Event. 

(c) All authority and power granted to the Servicer under this Agreement shall automatically cease and terminate upon termination of theServicer under this Agreement and shall pass to and be vested in the Successor Servicer, and, without limitation, the Successor Servicer is hereby authorized and empowered to execute and deliver, on behalf of the Servicer, as attorney-in-fact or otherwise, all documents and other instruments, and to do and accomplish all other acts or things necessary or appropriate to effect the purposes of suchtransfer of servicing rights. The Servicer agrees to cooperate with the Successor Servicer in effecting the termination of the responsibilities and rights of the Servicer to conduct servicing on the Collateral. 

(d) Upon the Backup Servicer receiving notice that it is required to serve as the Successor Servicer hereunder pursuant to the foregoingprovisions of this Section 7.19, the Backup Servicer will promptly begin the transition to its role as Successor Servicer. 

(e) The Backup Servicer shall be entitled to receive its Transition Costs incurred in transitioning to Servicer. 

**Section 7.20 Market Servicing Fee.**

Notwithstanding anything to the contrary herein, in the event that a Successor Servicer is appointed Servicer, the Servicing Fee shall equalthe market rate for comparable servicing duties to be fixed upon the date of such appointment by such Successor Servicer with the consent of the Administrative Agent (the “Market Servicing Fee”). 

**ARTICLE VIII**

**EARLYTERMINATION EVENTS**

**Section 8.1 Early Termination Events.**

If any of the following events (each, an “Early Termination Event”) shall occur and be continuing: 

(a) the Borrower shall fail to (i) make payment of any amount required to be made under the terms of this Agreement and such failure shallcontinue for more than two (2) Business Days; or (ii) repay all Advances Outstanding on or prior to the Maturity Date; or 

 
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(b) the Borrowing Base Test shall not be met, and such failure shall continue for more thantwo (2) Business Days; or 

(c) (i) the Borrower shall fail to perform or observe in any material respect any other covenant or otheragreement of the Borrower set forth in this Agreement and any other Transaction Document to which it is a party, or (ii) the Originator shall fail to perform or observe in any material respect any term, covenant or agreement of such Originatorset forth in any other Transaction Document to which it is a party, in each case when such failure continues unremedied for more than fifteen (15) days after the first to occur of (i) the date on which written notice of such failurerequiring the same to be remedied shall have been given to such Person by the Administrative Agent, any Managing Agent or the Collateral Custodian and (ii) the date on which such Person becomes or should have become aware thereof; or 

(d) any representation or warranty made or deemed made hereunder shall prove to be incorrect in any material respect as of the time when thesame shall have been made; or 

(e) an Insolvency Event shall occur with respect to the Borrower or the Originator; or 

(f) a Servicer Termination Event occurs; or 

(g) any Change-in-Control of the Borrower or Originatoroccurs; or 

(h) the Borrower or the Servicer defaults in making any payment required to be made under any material agreement for borrowedmoney to which either is a party and such default is not cured within the relevant cure period; or 

(i) the Administrative Agent, as agentfor the Secured Parties, shall fail for any reason to have a valid and perfected first priority security interest in any of the Collateral; or 

(j) (i) a final judgment for the payment of money in excess of (A) $10,000,000 shall have been rendered against the Originator or (B) $250,000against the Borrower by a court of competent jurisdiction and, if such judgment relates to the Originator, such judgment, decree or order shall continue unsatisfied and in effect for any period of 30 consecutive days without a stay of execution, or(ii) the Originator or the Borrower, as the case may be, shall have made payments of amounts in excess of $10,000,000 or $250,000, respectively, in settlement of any litigation; or 

(k) the Borrower or the Servicer agrees or consents to, or otherwise permits to occur, any amendment, modification, change, supplement orrecession of or to the Credit and Collection Policy in whole or in part that could have a material adverse effect upon the Transferred Loans or interest of any Lender, without the prior written consent of the Required Lenders; or 

(l) any Material Adverse Change occurs with respect to the Borrower, the Originator or the Servicer; or 

(m) the Rolling Three-Month Default Ratio shall exceed 7.5%; or 

(n) the Rolling Three-Month Charged-Off Ratio shall exceed 5.0%; or 

 
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(o) the Borrower shall become an “investment company” subject to registrationunder the 1940 Act; or 

(p) the business and other activities of the Borrower or the Originator, including but not limited to, theacceptance of the Advances by the Borrower made by the Lenders, the application and use of the proceeds thereof by the Borrower and the consummation and conduct of the transactions contemplated by the Transaction Documents to which the Borrower orthe Originator is a party result in a violation by the Originator, the Borrower, or any other person or entity of the 1940 Act or the rules and regulations promulgated thereunder; or 

(q) on the Determination Dates falling in August, November, February and May, the Interest Coverage Ratio does not equal or exceed 200% andsuch failure continues on the next succeeding Determination Date; or 

(r) the Required Equity Investment shall not be maintained, and suchfailure shall continue unremedied for a period of five Business Days; or 

(s) a Key Man Event occurs; or 

(t) during the Revolving Period, the Required Diversity Test shall not be satisfied; 

then, and in any such event, the Administrative Agent shall, at the request, or may with the consent, of the Required Lenders, by notice to the Borrowerdeclare the Termination Date to have occurred, without demand, protest or future notice of any kind, all of which are hereby expressly waived by the Borrower, and all Advances Outstanding and all other amounts owing by the Borrower under thisAgreement shall be accelerated and become immediately due and payable, provided, that in the event that the Early Termination Event described in subsection (e) herein has occurred, the Termination Date shall automatically occur,without demand, protest or any notice of any kind, all of which are hereby expressly waived by the Borrower. Upon its receipt of written notice thereof, the Administrative Agent shall promptly notify each Lender of the occurrence of any EarlyTermination Event. 

**Section 8.2 Remedies.**

(a) Upon any such declaration or automatic occurrence of the Termination Date as specified under Section 8.1, nofurther Advances will be made, and the Administrative Agent and the other Secured Parties shall have, in addition to all other rights and remedies under this Agreement or otherwise, all rights and remedies provided under the UCC of each applicablejurisdiction and other Applicable Laws, including the right to sell the Collateral, which rights and remedies shall be cumulative. The Administrative Agent and the other Secured Parties agree that the sale of the Collateral shall be conducted ingood faith and in accordance with commercially reasonable practices. 

(b) Upon any such declaration or automatic occurrence of theTermination Date as specified under Section 8.1, the Borrower and the Servicer hereby agree that they will, at the expense of Borrower or, if such Termination Date occurred as a result of a Servicer Termination Event, atthe expense of the initial Servicer or any Affiliate of the initial Servicer if appointed as Successor Servicer hereunder, and upon request of the Administrative Agent, forthwith, (i) 

 
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assemble all or any part of the Collateral as directed by the Administrative Agent, and make the same available to the Administrative Agent, at a place to be designated by the AdministrativeAgent, and (ii) without notice except as specified below, sell the Collateral or any part thereof in one or more parcels at a public sale in accordance with commercially reasonable practices. If there is no recognizable public market for saleof any portion of Collateral, then a private sale of that Collateral may be conducted only on an arm’s length basis and in accordance with commercially reasonable practices. The Borrower agrees that, to the extent notice of sale shall berequired by law, at least ten days’ notice to the Borrower of the time and place of any public sale or the time after which any private sale is to be made shall constitute reasonable notification. The Administrative Agent shall not be obligatedto make any sale of Collateral regardless of notice of sale having been given. The Administrative Agent, may adjourn any public or private sale from time to time by announcement at the time and place fixed therefor, and such sale may, withoutfurther notice, be made at the time and place to which it was so adjourned. All cash Proceeds received by the Administrative Agent in respect of any sale of, collection from, or other realization upon, all or any part of the Collateral (afterpayment of any amounts incurred by the Administrative Agent or any of the Secured Parties in connection with such sale) shall be deposited into the Collection Account and applied against all or any part of the Obligations pursuant toSection 2.8. 

(c) If the Administrative Agent proposes to sell the Collateral or any part thereof in one or moreparcels at a public or private sale, the Borrower shall have the right of first refusal to repurchase the Collateral, in whole but not in part, prior to such sale at a price not less than the Obligations as of the date of such proposed repurchase.The aforementioned rights and remedies shall be without limitation, and shall be in addition to all other rights and remedies of the Administrative Agent and the Secured Parties otherwise available under any provision of this Agreement by operationof law, at equity or otherwise, each of which are expressly preserved. 

**ARTICLE IX**

**INDEMNIFICATION**

**Section 9.1 Indemnities by the Borrower.**

(a) Without limiting any other rights that any such Person may have hereunder or under Applicable Law, the Borrower hereby agrees to indemnifythe Administrative Agent, the Managing Agents, the Backup Servicer, any Successor Servicer, the Collateral Custodian, any Secured Party or its assignee and each of their respective Affiliates and officers, directors, employees, members and agentsthereof (collectively, the “Indemnified Parties”), forthwith on demand, from and against any and all damages, losses, claims, liabilities and related costs and expenses, including reasonable attorneys’ fees and disbursements(all of the foregoing being collectively referred to as “Indemnified Amounts”) awarded against or incurred by, any such Indemnified Party or other non-monetary damages of any such IndemnifiedParty any of them arising out of or as a result of this Agreement, excluding, however, Indemnified Amounts to the extent finally judicially determined by a court of competent jurisdiction to have been resulting from the gross negligence or willfulmisconduct on the part of any Indemnified Party. Without limiting the foregoing, the Borrower shall indemnify the Indemnified Parties for Indemnified Amounts relating to or resulting from: 

(i) any Loan treated as or represented by the Borrower to be an Eligible Loan that is not at the applicable time an EligibleLoan; 

 
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(ii) reliance on any representation or warranty made or deemed made by theBorrower, the Servicer (or one of its Affiliates) or any of their respective officers under or in connection with this Agreement, which shall have been false or incorrect in any material respect when made or deemed made or delivered; 

(iii) the failure by the Borrower or the Servicer (or one of its Affiliates) to comply with any term, provision or covenantcontained in this Agreement or any agreement executed in connection with this Agreement, or with any Applicable Law with respect to any Loan comprising a portion of the Collateral, or the nonconformity of any Loan, the Related Property with any suchApplicable Law or any failure by the Originator, the Borrower or any Affiliate thereof to perform its respective duties under the Loans included as a part of the Collateral; 

(iv) the failure to vest and maintain vested in the Administrative Agent a first priority perfected security interest in theCollateral; 

(v) the failure to file, or any delay in filing, financing statements or other similar instruments ordocuments under the UCC of any applicable jurisdiction or other Applicable Laws with respect to any Collateral whether at the time of any Advance or at any subsequent time and as required by the Transaction Documents; 

(vi) any dispute, claim, offset or defense (other than the discharge in bankruptcy of the Obligor) of the Obligor to thepayment of any Loan included as part of the Collateral that is, or is purported to be, an Eligible Loan (including, without limitation, (A) a defense based on the Loan not being a legal, valid and binding obligation of such Obligor enforceableagainst it in accordance with its terms or (B) the equitable subordination of such Loan); 

(vii) any failure of theBorrower or the Servicer (if the Originator or one of its Affiliates) to perform its duties or obligations in accordance with the provisions of this Agreement or any failure by the Originator, the Borrower or any Affiliate thereof to perform itsrespective duties under the Transferred Loans; 

(viii) any products liability claim or personal injury or property damagesuit or other similar or related claim or action of whatever sort arising out of or in connection with merchandise or services that are the subject of any Loan included as part of the Collateral or the Related Property included as part of theCollateral; 

(ix) the failure by Borrower to pay when due any Taxes for which the Borrower is liable, including withoutlimitation, sales, excise or personal property taxes payable in connection with the Collateral; 

(x) any repayment by theAdministrative Agent, any Managing Agent or a Secured Party of any amount previously distributed in reduction of Advances Outstanding or payment of Interest or any other amount due hereunder or under any Hedging Agreement, in each case which amountthe Administrative Agent, such Managing Agent or a Secured Party believes in good faith is required to be repaid; 

 
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(xi) any investigation, litigation or proceeding related to this Agreementor the use of proceeds of Advances or in respect of any Loan included as part of the Collateral or the Related Property included as part of the Collateral; 

(xii) any failure by the Borrower to give reasonably equivalent value to the Originator in consideration for the transfer bythe Originator to the Borrower of any Transferred Loan or the Related Property or any attempt by any Person to void or otherwise avoid any such transfer under any statutory provision or common law or equitable action, including, without limitation,any provision of the Bankruptcy Code, or 

(xiii) the failure of the Borrower, the Originator or any of their respectiveagents or representatives to remit to the Servicer or the Administrative Agent, Collections on the Collateral remitted to the Borrower or any such agent or representative in accordance with the terms hereof or the commingling by the Borrower or anyAffiliate of any collections. 

(b) Any amounts subject to the indemnification provisions of this Section 9.1shall be paid by the Borrower to the applicable Indemnified Party within two (2) Business Days following the Administrative Agent’s demand therefor. 

(c) If for any reason the indemnification provided above in this Section 9.1 is unavailable to the Indemnified Partyor is insufficient to hold an Indemnified Party harmless, then the Borrower, shall contribute to the amount paid or payable by such Indemnified Party as a result of such loss, claim, damage or liability in such proportion as is appropriate toreflect not only the relative benefits received by such Indemnified Party on the one hand and the Borrower, on the other hand but also the relative fault of such Indemnified Party as well as any other relevant equitable considerations. 

(d) The obligations of the Borrower under this Section 9.1 shall survive the removal of the Administrative Agent orany Managing Agent and the termination of this Agreement. 

(e) The parties hereto agree that the provisions ofSection 9.1 shall not be interpreted to provide recourse to the Borrower against loss by reason of the bankruptcy or insolvency (or other credit condition) of, or default by, an Obligor on, any Transferred Loan. 

**Section 9.2 Indemnities by the Servicer.**

(a) Without limiting any other rights that any such Person may have hereunder or under Applicable Law, the Servicer hereby agrees to indemnifyeach Indemnified Party, forthwith on demand, from and against any and all Indemnified Amounts (calculated without duplication of Indemnified Amounts paid by the Borrower pursuant to Section 9.1 above) awarded against orincurred by any such Indemnified Party by reason of any acts, omissions or alleged acts or omissions of the Servicer, including, but not limited to (i) any representation or warranty made by the Servicer under or in connection with anyTransaction Documents to which it is a party, any Monthly Report, Servicer’s Certificate or any other information or report delivered by or on behalf of the Servicer pursuant hereto, which shall have been false, incorrect or misleading in anymaterial 

 
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respect when made or deemed made, (ii) the failure by the Servicer to comply with any Applicable Law, (iii) the failure of the Servicer to comply with its duties or obligations inaccordance with the Agreement or (iv) any litigation, proceedings or investigation against the Servicer, excluding, however, (a) Indemnified Amounts to the extent resulting from gross negligence or willful misconduct on the part of suchIndemnified Party, and (b) under any Federal, state or local income or franchise taxes or any other Tax imposed on or measured by income (or any interest or penalties with respect thereto or arising from a failure to comply therewith) requiredto be paid by such Indemnified Party in connection herewith to any taxing authority. The provisions of this indemnity shall run directly to and be enforceable by an injured party subject to the limitations hereof. If the Servicer has made anyindemnity payment pursuant to this Section 9.2 and such payment fully indemnified the recipient thereof and the recipient thereafter collects any payments from others in respect of such Indemnified Amounts, the recipientshall repay to the Servicer an amount equal to the amount it has collected from others in respect of such indemnified amounts. 

(b) If forany reason the indemnification provided above in this Section 9.2 is unavailable to the Indemnified Party or is insufficient to hold an Indemnified Party harmless, then Servicer shall contribute to the amount paid orpayable to such Indemnified Party as a result of such loss, claim, damage or liability in such proportion as is appropriate to reflect not only the relative benefits received by such Indemnified Party on the one hand and Servicer on the other handbut also the relative fault of such Indemnified Party as well as any other relevant equitable considerations. 

(c) The obligations of theServicer under this Section 9.2 shall survive the resignation or removal of the Administrative Agent or any Managing Agents and the termination of this Agreement. 

(d) The parties hereto agree that the provisions of this Section 9.2 shall not be interpreted to provide recourse tothe Servicer against loss by reason of the bankruptcy or insolvency (or other credit condition) of, or default by, the related Obligor, on any Transferred Loan. 

(e) The Servicer shall not be permitted to liquidate any of the Collateral to pay any indemnification payable by the Servicer pursuant to thisSection 9.2. 

**ARTICLE X**

**THE ADMINISTRATIVE AGENT AND THE MANAGING AGENTS**

**Section 10.1 Authorization and Action.**

(a) Each Secured Party hereby designates and appoints KeyBank as Administrative Agent hereunder, and authorizes KeyBank to take such actionsas agent on its behalf and to exercise such powers as are delegated to the Administrative Agent by the terms of this Agreement together with such powers as are reasonably incidental thereto. The Administrative Agent shall not have any duties orresponsibilities, except those expressly set forth herein, or any fiduciary relationship with any Secured Party, and no implied covenants, functions, responsibilities, duties, obligations or liabilities on the part of the Administrative Agent shallbe read into this Agreement 

 
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or otherwise exist for the Administrative Agent. In performing its functions and duties hereunder, the Administrative Agent shall act solely as agent for the Secured Parties and does not assumenor shall be deemed to have assumed any obligation or relationship of trust or agency with or for the Borrower or any of its successors or assigns. The Administrative Agent shall not be required to take any action that exposes the AdministrativeAgent to personal liability or that is contrary to this Agreement or Applicable Law. The appointment and authority of the Administrative Agent hereunder shall terminate at the indefeasible payment in full of the Obligations. 

(b) Each Lender hereby designates and appoints the Managing Agent for such Lender’s Lender Group as its Managing Agent hereunder, andauthorizes such Managing Agent to take such actions as agent on its behalf and to exercise such powers as are delegated to the Managing Agents by the terms of this Agreement together with such powers as are reasonably incidental thereto. No ManagingAgent shall have any duties or responsibilities, except those expressly set forth herein, or any fiduciary relationship with any Lender, and no implied covenants, functions, responsibilities, duties, obligations or liabilities on the part of theapplicable Managing Agent shall be read into this Agreement or otherwise exist for the applicable Managing Agent. In performing its functions and duties hereunder, each Managing Agent shall act solely as agent for the Lenders in the related LenderGroup and does not assume nor shall be deemed to have assumed any obligation or relationship of trust or agency with or for the Borrower or any of its successors or assigns. No Managing Agent shall be required to take any action that exposes it topersonal liability or that is contrary to this Agreement or Applicable Law. The appointment and authority of each Managing Agent hereunder shall terminate at the indefeasible payment in full of the Obligations. 

**Section 10.2 Delegation of Duties.**

(a) The Administrative Agent may execute any of its duties under this Agreement by or through agents or attorneys-in-fact and shall be entitled to advice of counsel concerning all matters pertaining to such duties. The Administrative Agent shall not be responsible for the negligence or misconduct of any agentsor attorneys-in-fact selected by it with reasonable care. 

(b) Each Managing Agent may execute any of its duties under this Agreement by or through agents or attorneys-in-fact and shall be entitled to advice of counsel concerning all matters pertaining to such duties. No Managing Agent shall be responsible for the negligence or misconduct of any agents or attorneys-in-fact selected by it with reasonable care. 

**Section 10.3 Exculpatory Provisions.**

(a) Neither the Administrative Agent nor any of its directors, officers, agents or employees shall be (i) liable for any action lawfullytaken or omitted to be taken by it or them under or in connection with this Agreement (except for its, their or such Person’s own gross negligence or willful misconduct or, in the case of the Administrative Agent, the breach of its obligationsexpressly set forth in this Agreement), or (ii) responsible in any manner to any of the Secured Parties for any recitals, statements, representations or warranties made by the Borrower contained in this Agreement or in any certificate, report,statement or other document referred to or provided for in, or received under or in connection with, this Agreement for the value, validity, effectiveness, genuineness, enforceability or sufficiency of this Agreement or any other document

 
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furnished in connection herewith, or for any failure of the Borrower to perform its obligations hereunder, or for the satisfaction of any condition specified in Article III. TheAdministrative Agent shall not be under any obligation to any Secured Party to ascertain or to inquire as to the observance or performance of any of the agreements or covenants contained in, or conditions of, this Agreement, or to inspect theproperties, books or records of the Borrower. The Administrative Agent shall not be deemed to have knowledge of any Early Termination Event unless the Administrative Agent has received notice of such Early Termination Event, in a document or otherwritten communication titled “Notice of Early Termination Event” from the Borrower or a Secured Party. 

(b) Neither any ManagingAgent nor any of its respective directors, officers, agents or employees shall be (i) liable for any action lawfully taken or omitted to be taken by it or them under or in connection with this Agreement (except for its, their or suchPerson’s own gross negligence or willful misconduct or, in the case of a Managing Agent, the breach of its obligations expressly set forth in this Agreement), or (ii) responsible in any manner to the Administrative Agent or any of theSecured Parties for any recitals, statements, representations or warranties made by the Borrower contained in this Agreement or in any certificate, report, statement or other document referred to or provided for in, or received under or inconnection with, this Agreement or for the value, validity, effectiveness, genuineness, enforceability or sufficiency of this Agreement or any other document furnished in connection herewith, or for any failure of the Borrower to perform itsobligations hereunder, or for the satisfaction of any condition specified in Article III. No Managing Agent shall be under any obligation to the Administrative Agent or any Secured Party to ascertain or to inquire as to the observance orperformance of any of the agreements or covenants contained in, or conditions of, this Agreement, or to inspect the properties, books or records of the Borrower. No Managing Agent shall be deemed to have knowledge of any Early Termination Eventunless such Managing Agent has received notice of such Early Termination Event, in a document or other written communication titled “Notice of Early Termination Event” from the Borrower, the Administrative Agent or a Secured Party. 

(c) None of the Administrative Agent, any Managing Agent or any Lender shall be deemed to have any fiduciary relationship with the Borrower orthe Servicer under this Agreement, and no implied covenants, functions, responsibilities, duties, obligations or liabilities creating any such fiduciary relationship shall be inferred from or in connection with this Agreement except as otherwiseprovided herein or under Applicable Law. 

**Section 10.4 Reliance.**

(a) The Administrative Agent shall in all cases be entitled to rely, and shall be fully protected in relying, upon any document orconversation 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, without limitation, counsel to the Borrower), independentaccountants and other experts selected by the Administrative Agent. The Administrative Agent shall in all cases be fully justified in failing or refusing to take any action under this Agreement or any other document furnished in connection herewithunless it shall first receive such advice or concurrence of the Required Lenders or all of the Secured Parties, as applicable, as it deems appropriate or it shall first be indemnified to its satisfaction by the Lenders, provided, that,unless and until the Administrative Agent shall have received such advice, the Administrative Agent may 

 
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take or refrain from taking any action, as the Administrative Agent shall deem advisable and in the best interests of the Secured Parties, The Administrative Agent shall in all cases be fullyprotected in acting, or in refraining from acting, in accordance with a request of the Required Lenders or all of the Secured Parties, as applicable, and such request and any action taken or failure to act pursuant thereto shall be binding upon allthe Secured Parties. 

(b) Each Managing Agent shall in all cases be entitled to rely, and shall be fully protected in relying, upon anydocument 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, without limitation, counsel to the Borrower),independent accountants and other experts selected by such Managing Agent. Each Managing Agent shall in all cases be fully justified in failing or refusing to take any action under this Agreement or any other document furnished in connectionherewith unless it shall first receive such advice or concurrence of the Lenders in its related Lender Group as it deems appropriate or it shall first be indemnified to its satisfaction by the Lenders in its related Lender Group, provided thatunless and until such Managing Agent shall have received such advice, the Managing Agent may take or refrain from taking any action, as the Managing Agent shall deem advisable and in the best interests of the Lenders in its Lender Group. EachManaging Agent shall in all cases be fully protected in acting, or in refraining from acting, in accordance with a request of the Lenders in such Managing Agent’s Lender Group and such request and any action taken or failure to act pursuantthereto shall be binding upon all the Lenders in such Managing Agent’s Lender Group. 

**Section 10.5 Non-Reliance on Administrative Agent, Managing Agents and Other Lenders.**

Each Secured Partyexpressly acknowledges that neither the Administrative Agent, any other Secured Party nor any of their respective officers, directors, employees, agents,attorneys-in-fact or affiliates has made any representations or warranties to it and that no act by the Administrative Agent or any other Secured Party hereafter taken,including, without limitation, any review of the affairs of the Borrower, shall be deemed to constitute any representation or warranty by the Administrative Agent or any other Secured Party. Each Secured Party represents and warrants to theAdministrative Agent and to each other Secured Party that it has and will, independently and without reliance upon the Administrative Agent or any other Secured Party and based on such documents and information as it has deemed appropriate, made itsown appraisal of and investigation into the business, operations, property, prospects, financial and other conditions and creditworthiness of the Borrower and made its own decision to enter into this Agreement. 

**Section 10.6 Reimbursement and Indemnification.**

The Lenders agree to reimburse and indemnify the Administrative Agent, and the Lenders in each Lender Group agree to reimburse the ManagingAgent for such Lender Group, and their respective officers, directors, employees, representatives and agents ratably according to their Commitments, as applicable, to the extent not paid or reimbursed by the Borrower (i) for any amounts forwhich the Administrative Agent, acting in its capacity as Administrative Agent, or any Managing Agent, acting in its capacity as a Managing Agent, is entitled to reimbursement by the Borrower hereunder and (ii) for any other expenses incurredby the Administrative Agent, in its capacity as Administrative Agent, or any Managing Agent, acting in its capacity as a Managing Agent, and acting on behalf of the related Lenders, in connection with the administration and enforcement of thisAgreement and the other Transaction Documents. 

 
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**Section 10.7 Administrative Agent and Managing Agents in their IndividualCapacities.**

The Administrative Agent, each Managing Agent and each of their respective Affiliates may make loans to, acceptdeposits from and generally engage in any kind of business with the Borrower or any Affiliate of the Borrower as though the Administrative Agent or such Managing Agent, as the case may be, were not the Administrative Agent or a Managing Agent, asthe case may be, hereunder. With respect to the acquisition of Advances pursuant to this Agreement, the Administrative Agent, each Managing Agent and each of their respective Affiliates shall have the same rights and powers under this Agreement asany Lender and may exercise the same as though it were not the Administrative Agent or a Managing Agent, as the case may be, and the terms “Lender” “Lender” “Lenders” and “Lenders” shall include theAdministrative Agent or a Managing Agent, as the case may be, in its individual capacity. 

**Section 10.8 SuccessorAdministrative Agent or Managing Agent.**

(a) The Administrative Agent may, upon 5 days’ notice to the Borrower and theSecured Parties, and the Administrative Agent will, upon the direction of all of the Lenders resign as Administrative Agent. If the Administrative Agent shall resign, then the Required Lenders during such5-day period shall appoint from among the Secured Parties a successor agent. If for any reason no successor Administrative Agent is appointed by the Required Lenders during such5-day period, then effective upon the expiration of such 5-day period, the Secured Parties shall perform all of the duties of the Administrative Agent hereunder and theBorrower shall make all payments in respect of the Obligations or under any Fee Letter delivered by the Borrower to the Administrative Agent and the Secured Parties directly to the applicable Managing Agents, on behalf of the Lenders in theapplicable Lender Group and for all purposes shall deal directly with the Secured Parties. After any retiring Administrative Agent’s resignation hereunder as Administrative Agent, the provisions of Article IX and Article X shallinure to its benefit as to any actions taken or omitted to be taken by it while it was Administrative Agent under this Agreement. 

(b) AnyManaging Agent may, upon 5 days’ notice to the Borrower, the Administrative Agent and the related Lenders, and any Managing Agent will, upon the direction of all of the related Lenders resign as a Managing Agent. If a Managing Agent shallresign, then the related Lenders during such 5-day period shall appoint from among the related Lenders a successor Managing Agent. If for any reason no successor Managing Agent is appointed by such Lendersduring such 5-day period, then effective upon the expiration of such 5-day period, such Lenders shall perform all of the duties of the related Managing Agent hereunder.After any retiring Managing Agent’s resignation hereunder as a Managing Agent, the provisions of Article IX and Article X shall inure to its benefit as to any actions taken or omitted to be taken by it while it was a ManagingAgent under this Agreement. 

 
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**ARTICLE XI**

**ASSIGNMENTS; PARTICIPATIONS**

**Section 11.1 Assignments and Participations.**

(a) Neither Borrower nor the Servicer shall have the right to assign its rights or obligations under this Agreement. 

(b) Any Lender may at any time and from time to time assign to one or more Persons (“Purchasing Lenders”) all or any part ofits rights and obligations under this Agreement pursuant to an assignment agreement, substantially in the form set forth in Exhibit C hereto (the “Assignment and Acceptance”) executed by such Purchasing Lender and suchselling Lender with the consent of the Administrative Agent (such consent not to be unreasonably withheld or delayed). In addition, except with respect to an assignment to an Affiliate of such Lender, so long as no Early Termination Event orUnmatured Termination Event has occurred and is continuing at such time, the consent of the Borrower (such consent not to be unreasonably withheld or delayed) shall be required prior to the effectiveness of any such assignment; provided, that theBorrower shall be deemed to have consented to any such assignment unless it shall object thereto by written notice to the Administrative Agent and the assigning Lender within ten (10) Business Days after having received written notice thereof.Each assignee of a Lender must be an Eligible Assignee and must agree to deliver to the Administrative Agent, promptly following any request therefor by the Managing Agent for its Lender Group, an enforceability opinion in form and substancesatisfactory to such Managing Agent. Upon delivery of the executed Assignment and Acceptance to the Administrative Agent, such selling Lender shall be released from its obligations hereunder to the extent of such assignment. Thereafter thePurchasing Lender shall for all purposes be a Lender party to this Agreement and shall have all the rights and obligations of a Lender under this Agreement to the same extent as if it were an original party hereto and no further consent or action byBorrower, the Lenders or the Administrative Agent shall be required. The Lenders agree that any assignments arranged by the Borrower or any of its Affiliates occurring (i) between the Effective Date and the date on which KeyBank’sCommitment is reduced to $75,000,000 or less shall be offered to KeyBank, and if accepted by it in its sole discretion, shall be made by KeyBank alone, and (ii) thereafter, unless the Lenders shall otherwise agree, shall be offered to theLenders ratably, and if accepted by each Lender in its sole discretion, shall be made by the Lenders ratably. Notwithstanding the foregoing, no assignment shall be made to (A) the Borrower or any of the Borrower’s Affiliates, (B) toany Defaulting Lender or (C) a natural person. 

(c) By executing and delivering an Assignment and Acceptance, the Purchasing Lenderthereunder and the selling Lender thereunder confirm to and agree with each other and the other parties hereto as follows: (i) other than as provided in such Assignment and Acceptance, such selling Lender makes no representation or warranty andassumes 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 anyother instrument or document furnished pursuant hereto; (ii) such Purchasing Lender confirms that it has received a copy of this Agreement, together with copies of such financial statements and other documents and information as it has deemedappropriate to make its own credit analysis and decision to enter into such Assignment and Acceptance; (iii) such 

 
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Purchasing Lender will, independently and without reliance upon the Administrative Agent or any Managing Agent, the selling Lender or any other Lender and based on such documents and informationas it shall deem appropriate at the time, continue to make its own credit decisions in taking or not taking action under this Agreement; (iv) such Purchasing Lender and such selling Lender confirm that such Purchasing Lender is an EligibleAssignee; (v) such Purchasing Lender appoints and authorizes each of the Administrative Agent and the applicable Managing Agent to take such action as agent on its behalf and to exercise such powers under this Agreement as are delegated to suchagent by the terms hereof, together with such powers as are reasonably incidental thereto; and (vi) such Purchasing Lender agrees that it will perform in accordance with their terms all of the obligations which by the terms of this Agreementare required to be performed by it as a Lender. 

(d) The Administrative Agent shall maintain at its address referred to herein a copy ofeach Assignment and Acceptance delivered to and accepted by it and a register for the recordation of the names and addresses of the Lenders and the Commitment of, and principal amount of, each Advance owned by each Lender from time to time (the“Register”). The entries in the Register shall be conclusive and binding for all purposes, absent manifest error, and the Lenders, the Borrower and the Managing Agents may treat each Person whose name is recorded in the Register asa Lender hereunder for all purposes of this Agreement. The Register shall be available for inspection by the Lenders, any Managing Agent or the Borrower at any reasonable time and from time to time upon reasonable prior notice. 

(e) Subject to the provisions of this Section 11.1, upon their receipt of an Assignment and Acceptance executed by aselling Lender and a Purchasing Lender, the Administrative Agent shall, if such Assignment and Acceptance has been completed and is in substantially the form of Exhibit C hereto, accept such Assignment and Acceptance, and the AdministrativeAgent shall then (i) record the information contained therein in the Register and (ii) give prompt notice thereof to each Managing Agent. 

(f) Any Lender may, in the ordinary course of its business at any time sell to one or more Persons (each a “Participant”)participating interests in its Pro-Rata Share of the Advances of the Lenders or any other interest of such Lender hereunder. Notwithstanding any such sale by a Lender of a participating interest to aParticipant, such Lender’s rights and obligations under this Agreement shall remain unchanged, such Lender shall remain solely responsible for the performance of its obligations hereunder, and the Borrower, the other Lenders, the ManagingAgents and the Administrative Agent shall continue to deal solely and directly with such Lender in connection with such Lender’s rights and obligations under this Agreement. Each Lender agrees that any agreement between such Lender and any suchParticipant in respect of such participating interest shall not restrict such Lender’s right to agree to any amendment, supplement, waiver or modification to this Agreement, except for any amendment, supplement, waiver or modification set forthin Section 12.1(iii) of this Agreement. 

(g) Each Lender may, in connection with any assignment or participationor proposed assignment or participation pursuant to this Section 11.1, disclose to the assignee or participant or proposed assignee or participant any information relating to the Borrower or Servicer furnished to suchLender by or on behalf of the Borrower or the Servicer. 

 
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(h) Nothing herein shall prohibit any Lender from pledging or assigning as collateral any ofits rights under this Agreement to any Federal Reserve Bank or other central bank having jurisdiction over such Lender in accordance with Applicable Law and any such pledge or collateral assignment may be made without compliance withSection 11.1(b) or Section 11.1(c). 

(i) In the event any Lender causes increasedcosts, expenses or taxes to be incurred by the Administrative Agent or Managing Agents in connection with the assignment or participation of such Lender’s rights and obligations under this Agreement to an Eligible Assignee then such Lenderagrees that it will make reasonable efforts to assign such increased costs, expenses or taxes to such Eligible Assignee in accordance with the provisions of this Agreement. 

**ARTICLE XII**

**MISCELLANEOUS**

**Section 12.1 Amendments and Waivers.**

Except as provided in this Section 12.1, no amendment, waiver or other modification of any provision of thisAgreement shall be effective without the written agreement of the Borrower, the Administrative Agent, the Swingline Lender, the Managing Agents and the Required Lenders; provided, however, that (i) without the consent of theLenders in any Lender Group (other than the Lender Group to which such Lenders are being added), the Administrative Agent, the Swingline Lender and the applicable Managing Agent may, with the consent of Borrower, amend this Agreement solely to addadditional Persons as Lenders hereunder, (ii) any amendment of this Agreement that is solely for the purpose of increasing the Commitment of a specific Lender or increase the Group Advance Limit of the related Lender Group may be effected withthe written consent of the Borrower, the Administrative Agent and the affected Lender, and (iii) the consent of each Lender shall be required to: (A) extend the Commitment Termination Date for such Lender, or the date of any payment ordeposit of Collections by the Borrower or the Servicer, (B) reduce the amount (other than by reason of the repayment thereof) or extend the time of payment of Advances Outstanding or reduce the rate or extend the time of payment of Interest (orany component thereof), (C) reduce any fee payable to the Administrative Agent, the Swingline Lender or any Managing Agent for the benefit of the Lenders, (D) amend, modify or waive any provision of the definition of Required Lenders orSections 2.11, 11.1(b), 12.1, 12.9, or 12.10, (E) consent to or permit the assignment or transfer by the Borrower of any of its rights and obligations under this Agreement, (F) amend or waive any ServicerTermination Event or Early Termination Event, (G) change the definition of “Borrowing Base,” “Charged-Off Ratio,” “Default Ratio,” “Eligible Loan” or“Settlement Date,” or (H) amend or modify any defined term (or any defined term used directly or indirectly in such defined term) used in clauses (A) through (G) above in a manner that would circumvent the intention of therestrictions set forth in such clauses. Any waiver or consent shall be effective only in the specific instance and for the specific purpose for which given. Notwithstanding anything to the contrary herein, no Defaulting Lender shall have any rightto approve or disapprove any amendment, waiver, or consent hereunder (and any amendment, waiver, or consent which by its terms requires the consent of all Lenders may be effected with the consent of all Lenders other than Defaulting Lenders)provided that, without in any way limiting Section 12.17, any such amendment, waiver, or consent that would increase or extend the term of the Commitment or Advances of such Defaulting Lender, extend the date fixed for thepayment of 

 
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principal or interest owing to such Defaulting Lender hereunder, reduce the principal amount of any obligation owing to such Defaulting Lender, reduce the amount of or the rate or amount ofinterest on any amount owing to such Defaulting Lender or of any fee payable to such Defaulting Lender hereunder, or alter the terms of this proviso, shall require the consent of such Defaulting Lender. 

Notwithstanding anything to the contrary, unless signed by the Administrative Agent and the Swingline Lender, no amendment, waiver or consentshall affect the rights or duties of the Administrative Agent or the Swingline Lender, as applicable, under this Agreement or any other Loan Document. 

No amendment, waiver or other modification (i) affecting the rights or obligations of any Hedge Counterparty or (ii) having amaterial effect on the rights or obligations of the Collateral Custodian or the Backup Servicer (including any duties of the Servicer that the Backup Servicer would have to assume as Successor Servicer) shall be effective against such Person withoutthe written agreement of such Person. The Borrower or the Servicer on its behalf will deliver a copy of all waivers and amendments to the Collateral Custodian and the Backup Servicer. 

**Section 12.2 Notices, Etc.**

All notices and other communications provided for hereunder shall, unless otherwise stated herein, be in writing (including communication byelectronic mail or facsimile copy) and mailed, sent by overnight courier, transmitted or hand delivered, as to each party hereto, at its address set forth under its name on the signature pages hereof or specified in such party’s Assignment andAcceptance or Joinder Agreement or at such other address as shall be designated by such party in a written notice to the other parties hereto. All such notices and communications shall be effective, upon receipt, or in the case of (a) notice bymail, five days after being deposited in the United States mail, first class postage prepaid, (b) notice by courier mail, when it is officially recorded as being delivered to the intended recipient by return receipt, proof of delivery orequivalent, or (c) notice by facsimile copy, when verbal communication of receipt is obtained, except that notices and communications pursuant to this Article XII shall not be effective until received with respect to any notice sent bymail. 

**Section 12.3 No Waiver, Rights and Remedies.**

No failure on the part of the Administrative Agent or any Secured Party or any assignee of any Secured Party to exercise, and no delay inexercising, any right or remedy hereunder shall operate as a waiver thereof; nor shall any single or partial exercise of any right or remedy hereunder preclude any other or further exercise thereof or the exercise of any other right. The rights andremedies herein provided are cumulative and not exclusive of any rights and remedies provided by law. 

**Section 12.4 BindingEffect.**

This Agreement shall be binding upon and inure to the benefit of the Borrower, the Administrative Agent, the SecuredParties and their respective successors and permitted assigns and, in addition, the provisions of Section 2.8 shall inure to the benefit of each Hedge Counterparty, whether or not that Hedge Counterparty is a Secured Party,and the provisions relating to the Backup Servicer, including Sections 2.8, 7.18, 9.1 and 9.2 shall inure to the benefit of the Backup Servicer. 

 
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**Section 12.5 Term of this Agreement.**

This Agreement, including, without limitation, the Borrower’s obligation to observe its covenants set forth in Article V, and theServicer’s obligation to observe its covenants set forth in Article VII, shall remain in full force and effect until the Collection Date; provided, however, that the rights and remedies with respect to any breach of anyrepresentation and warranty made or deemed made by the Borrower pursuant to Articles III and IV and the indemnification and payment provisions of Article IX and Article X and the provisions ofSection 12.9 and Section 12.10 shall be continuing and shall survive any termination of this Agreement. 

**Section 12.6 GOVERNING LAW; CONSENT TO JURISDICTION; WAIVER OF OBJECTION TO VENUE.**

THIS AGREEMENT SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK. EACH OF THE SECURED PARTIES, THEBORROWER AND THE ADMINISTRATIVE AGENT HEREBY AGREES TO THE NON-EXCLUSIVE JURISDICTION OF ANY FEDERAL COURT LOCATED WITHIN THE STATE OF NEW YORK. EACH OF THE PARTIES HERETO AND EACH SECURED PARTY HEREBY WAIVESANY OBJECTION BASED ON FORUM NON CONVENIENS, AND ANY OBJECTION TO VENUE OF ANY ACTION INSTITUTED HEREUNDER IN ANY OF THE AFOREMENTIONED COURTS AND CONSENTS TO THE GRANTING OF SUCH LEGAL OR EQUITABLE RELIEF AS IS DEEMED APPROPRIATE BY SUCH COURT.

**Section 12.7 WAIVER OF JURY TRIAL.**

TO THE EXTENT PERMITTED BY APPLICABLE LAW, EACH OF THE SECURED PARTIES, THE BORROWER AND THE ADMINISTRATIVE AGENT WAIVES ANY RIGHT TO HAVE AJURY PARTICIPATE IN RESOLVING ANY DISPUTE, WHETHER SOUNDING IN CONTRACT, TORT, OR OTHERWISE BETWEEN THE PARTIES HERETO ARISING OUT OF, CONNECTED WITH, RELATED TO, OR INCIDENTAL TO THE RELATIONSHIP BETWEEN ANY OF THEM IN CONNECTION WITH THISAGREEMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY. INSTEAD, ANY SUCH DISPUTE RESOLVED IN COURT WILL BE RESOLVED IN A BENCH TRIAL WITHOUT A JURY. 

**Section 12.8 Costs, Expenses and Taxes.**

(a) In addition to the rights of indemnification granted to the Administrative Agent, the Managing Agents, the other Secured Parties and itsor their Affiliates and officers, directors, employees and agents thereof under Article IX hereof, the Borrower agrees to pay on demand all reasonable costs and expenses of the Administrative Agent, the Managing Agents and the other SecuredParties incurred in connection with the preparation, execution, delivery, administration (including periodic auditing), amendment or modification of, or any waiver or consent issued in connection with, this Agreement and the other documents to bedelivered hereunder or in connection herewith, including, without limitation, the reasonable fees and out-of-pocket expenses

 
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of counsel for the Administrative Agent, the Managing Agents and the other Secured Parties with respect thereto and with respect to advising the Administrative Agent, the Managing Agents and theother Secured Parties as to their respective rights and remedies under this Agreement and the other documents to be delivered hereunder or in connection herewith, and all costs and expenses, if any (including reasonable counsel fees and expenses),incurred by the Administrative Agent, the Managing Agents or the other Secured Parties in connection with the enforcement of this Agreement and the other documents to be delivered hereunder or in connection herewith (including any Hedge Agreement).

(b) The Borrower shall pay on demand any and all stamp, sales, excise and other taxes and fees payable or determined to be payable inconnection with the execution, delivery, filing and recording of this Agreement, the other documents to be delivered hereunder or any agreement or other document providing liquidity support, credit enhancement or other similar support to the Lenderin connection with this Agreement or the funding or maintenance of Advances hereunder. 

(c) The Borrower shall pay on demand all othercosts, expenses and taxes (excluding income taxes) (“Other Costs”), including, without limitation, all reasonable costs and expenses incurred by the Administrative Agent or any Managing Agent in connection with periodic audits ofthe Borrower’s or the Servicer’s books and records, which are incurred as a result of the execution of this Agreement. 

**Section 12.9 No Proceedings.**

Each of the parties hereto (other than the Administrative Agent and the Secured Parties) hereby agrees that it will not institute against, orjoin any other Person in instituting against the Borrower any Insolvency Proceeding so long as there shall not have elapsed one year and one day since the Collection Date. 

**Section 12.10 Recourse Against Certain Parties.**

(a) No recourse under or with respect to any obligation, covenant or agreement (including, without limitation, the payment of any fees or anyother obligations) of the Administrative Agent or any Secured Party as contained in this Agreement or any other agreement, instrument or document entered into by it pursuant hereto or in connection herewith shall be had against any manager oradministrator of such Person or any incorporator, affiliate, stockholder, officer, employee or director of such Person or of the Borrower or of any such manager or administrator, as such, by the enforcement of any assessment or by any legal orequitable proceeding, by virtue of any statute or otherwise. 

(b) The provisions of this Section 12.10 shallsurvive the termination of this Agreement. 

 
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**Section 12.11 Protection of Security Interest; Appointment of AdministrativeAgent as Attorney-in-Fact.**

(a) The Borrowershall, or shall cause the Servicer to, cause this Agreement, all amendments hereto and/or all financing statements and continuation statements and any other necessary documents covering the right, title and interest of the Administrative Agent asagent for the Secured Parties and of the Secured Parties to the Collateral to be promptly recorded, registered and filed, and at all time to be kept recorded, registered and filed, all in such manner and in such places as may be required by lawfully to preserve and protect the right, title and interest of the Administrative Agent as agent for the Secured Parties hereunder to all property comprising the Collateral. The Borrower shall deliver or, shall cause the Servicer to deliver, to theAdministrative Agent file-stamped copies of, or filing receipts for, any document recorded, registered or filed as provided above, as soon as available following such recording, registration or filing. The Borrower and the Servicer shall cooperatefully in connection with the obligations set forth above and will execute any and all documents reasonably required to fulfill the intent of this Section 12.11. 

(b) The Borrower agrees that from time to time, at its expense, it will promptly execute and deliver all instruments and documents, and takeall actions, that may reasonably be necessary or desirable, or that the Administrative Agent may reasonably request, to perfect, protect or more fully evidence the security interest granted to the Administrative Agent, as agent for the SecuredParties, in the Collateral, or to enable the Administrative Agent or the Secured Parties to exercise and enforce their rights and remedies hereunder. 

(c) If the Borrower or the Servicer fails to perform any of its obligations hereunder after five Business Days’ notice from theAdministrative Agent, the Administrative Agent or any Lender may (but shall not be required to) perform, or cause performance of, such obligation; and the Administrative Agent’s or such Lender’s reasonable costs and expenses incurred inconnection therewith shall be payable by the Borrower (if the Servicer that fails to so perform is the Borrower or an Affiliate thereof) as provided in Article IX, as applicable. The Borrower irrevocably authorizes the Administrative Agentand appoints the Administrative Agent as its attorney-in-fact to act on behalf of the Borrower, (i) to execute on behalf of the Borrower as debtor and to filefinancing statements necessary or desirable in the Administrative Agent’s sole discretion to perfect and to maintain the perfection and priority of the interest of the Secured Parties in the Collateral and (ii) to file a carbon,photographic or other reproduction of this Agreement or any financing statement with respect to the Collateral as a financing statement in such offices as the Administrative Agent in its sole discretion deems necessary or desirable to perfect and tomaintain the perfection and priority of the interests of the Lenders in the Collateral. This appointment is coupled with an interest and is irrevocable. 

(d) Without limiting the generality of the foregoing, Borrower will, not earlier than six (6) months and not later than three(3) months prior to the fifth anniversary of the date of filing of the financing statement referred to in Section 3.1 or any other financing statement filed pursuant to this Agreement or in connection with any Advancehereunder, unless the Collection Date shall have occurred: 

(i) execute and deliver and file or cause to be filed anappropriate continuation statement with respect to such financing statement; and 

(ii) deliver or cause to be delivered tothe Administrative Agent an opinion of the counsel for Borrower, in form and substance reasonably satisfactory to the Administrative Agent, confirming and updating the opinion delivered pursuant to Section 3.1 with respectto perfection and otherwise to the effect that the Collateral hereunder continues to be subject to a perfected security interest in favor of the Administrative Agent, as agent for the Secured Parties, subject to no other Liens of record except asprovided herein or otherwise permitted hereunder, which opinion may contain usual and customary assumptions, limitations and exceptions. 

 
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**Section 12.12 Confidentiality.**

(a) Each of the Administrative Agent, the Managing Agents, the other Secured Parties and the Borrower shall maintain and shall cause each ofits employees and officers to maintain the confidentiality of the Agreement and the other confidential proprietary information with respect to the other parties hereto and their respective businesses obtained by it or them in connection with thestructuring, negotiating and execution of the transactions contemplated herein, except that each such party and its officers and employees may (i) disclose such information to its external accountants and attorneys and as required by anApplicable Law, as required to be publicly filed with SEC, or as required by an order of any judicial or administrative proceeding, (ii) disclose the existence of this Agreement, but not the financial terms thereof, (iii) disclose theAgreement and such information in any suit, action, proceeding or investigation (whether in law or in equity or pursuant to arbitration) involving any of the Transaction Documents, Loan Documents or any Hedging Agreement for the purpose of defendingitself, reducing its liability, or protecting or exercising any of its claims, rights, remedies, or interests under or in connection with any of the Transaction Documents, Loan Documents or any Hedging Agreement and (iv) disclose suchinformation to its Affiliates to the extent necessary in connection with the administration or enforcement of this Agreement or the other Transaction Documents. 

(b) Anything herein to the contrary notwithstanding, the Borrower hereby consents to the disclosure of any nonpublic information with respectto it for use in connection with the transactions contemplated herein and in the Transaction Documents (i) to the Administrative Agent or the Secured Parties by each other, (ii) by the Administrative Agent or the Secured Parties to anyprospective or actual Eligible Assignee or participant of any of them or in connection with a pledge or assignment to be made pursuant to Section 11.1(h) or (iii) by the Administrative Agent or the Secured Parties to any provider of asurety, guaranty or credit or liquidity enhancement to a Secured Party and to any officers, directors, members, employees, outside accountants and attorneys of any of the foregoing, provided each such Person is informed of the confidential nature ofsuch information and agrees to be bound hereby. In addition, the Secured Parties and the Administrative Agent may disclose any such nonpublic information pursuant to any law, rule, regulation, direction, request or order of any judicial,administrative or regulatory authority or proceedings, including, without limitation, at the request of any self-regulatory authority having jurisdiction over a Lender. 

(c) The Borrower and the Servicer each agrees that it shall not (and shall not permit any of its Affiliates to) issue any news release or makeany public announcement pertaining to the transactions contemplated by this Agreement and the Transaction Documents without the prior written consent of the Administrative Agent (which consent shall not be unreasonably withheld) unless such newsrelease or public announcement is required by law, in which case the Borrower or the Servicer shall consult with the Administrative Agent and each Managing Agent prior to the issuance of such news release or public announcement. The Borrower and theServicer each may, however, disclose the general terms of the transactions contemplated by this Agreement and the Transaction Documents to trade creditors, suppliers and other similarly-situated Persons so long as such disclosure is not in the formof a news release or public announcement. 

 
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**Section 12.13 Execution in Counterparts; Severability; Integration.**

This Agreement may be executed in any number of counterparts and by different parties hereto in separate counterparts, each of which when soexecuted shall be deemed to be an original and all of which when taken together shall constitute one and the same agreement. In case any provision in or obligation under this Agreement shall be invalid, illegal or unenforceable in any jurisdiction,the validity, legality and enforceability of the remaining provisions or obligations, or of such provision or obligation in any other jurisdiction, shall not in any way be affected or impaired thereby. This Agreement contains the final and completeintegration of all prior expressions by the parties hereto with respect to the subject matter hereof and shall constitute the entire agreement among the parties hereto with respect to the subject matter hereof, superseding all prior oral or writtenunderstandings other than any Fee Letter. 

**Section 12.14 Amendment and Restatement.**

This Agreement amends and restates in its entirety that certain Third Amended and Restated Credit Agreement dated as of May 15, 2009,among the Borrower, the Servicer, the lenders party thereto, the managing agents named therein, and KeyBank National Association, as administrative agent. 

**Section 12.15 Future Amendment Contemplated.**

The parties to this Agreement hereby acknowledge that the Borrower intends to request a further amendment of this Agreement permitting non-revolving lenders to execute Joinder Agreements and to make advances hereunder. Any such amendment shall be in form and substance satisfactory to the Borrower, the Servicer, the Lenders, the Administrative Agentand any non-revolving lenders becoming parties hereto, and shall be subject to the requirements of Section 12.1 hereof, including, without limitation, the consent of the existing Lenders. 

**Section 12.16 Patriot Act.**

Each Lender that is subject to the USA PATRIOT Act and the Administrative Agent (for itself and not on behalf of any Lender) hereby notifiesthe Borrower and the Servicer that pursuant to the requirements of the USA PATRIOT Act, it is required to obtain, verify and record information that identifies the Borrower and the Servicer, which information includes the name and address of theBorrower and the Servicer and other information that will allow such Lender or the Administrative Agent, as applicable, to identify the Borrower and the Servicer in accordance with the USA PATRIOT Act. 

 
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**Section******** 12.17****Defaulting Lenders****.**Notwithstanding anything contained in this Agreement, if any Lender becomes a Defaulting Lender, then, until such time as such Lender is no longer a Defaulting Lender, to the extent permitted by Applicable Law: 

(a) Waivers and Amendments. Such Defaulting Lender’s right to approve or disapprove any amendment, waiver or consent with respectto this Agreement shall be restricted as set forth in Section 12.1. 

(b) Defaulting Lender Waterfall.Until such time as the Default Excess with respect to such Defaulting Lender shall have been reduced to zero, except as otherwise provided in this Section 12.17, any payment of principal, interest, fees, or other amountsreceived by the Administrative Agent for the account of such Defaulting Lender (whether voluntary or mandatory, at maturity, pursuant to Article VIII or otherwise, and including any amounts made available to the Administrative Agent by suchDefaulting Lender pursuant to Section 12.17), shall be deemed paid to and redirected by such Defaulting Lender to be applied at such time or times as may be determined by the Administrative Agent as follows: 

first, to the payment of any amounts owing by such Defaulting Lender to the Administrative Agent hereunder; 

second, to the payment on a pro rata basis of any amounts owing by such Defaulting Lender to the Swingline Lender hereunder; 

third, as the Borrower may request (so long as no Early Termination Event exists), to the funding of any Advance in respect of whichsuch Defaulting Lender has failed to fund its portion thereof as required by this Agreement, as determined by the Administrative Agent; 

fourth, if so determined by the Administrative Agent and the Borrower, to be held in a deposit account and released pro rata in order tosatisfy such Defaulting Lender’s potential future funding obligations with respect to Advances under this Agreement; 

fifth, tothe payment of any amounts owing to the Lenders or the Swingline Lender as a result of any judgment of a court of competent jurisdiction obtained by any Lender or the Swingline Lender against such Defaulting Lender as a result of such DefaultingLender’s breach of its obligations under this Agreement; 

sixth, so long as no Early Termination Event exists, to the paymentof any amounts owing to the Borrower as a result of any judgment of a court of competent jurisdiction obtained by the Borrower against such Defaulting Lender as a result of such Defaulting Lender’s breach of its obligations under thisAgreement; and 

seventh, to such Defaulting Lender or as otherwise directed by a court of competent jurisdiction; provided that if(x) such payment is a payment of the principal amount of any Advances in respect of which such Defaulting Lender has not fully funded its appropriate share, and (y) such Advances were made at a time when the conditions set forth inSection 3.2 were satisfied or waived, such payment shall be applied solely to pay the Advances of all Non-Defaulting Lenders on a pro rata basis prior to being applied to the paymentof any Advances of such Defaulting Lender until such time as all Advances and funded and unfunded participations in Swing Advances are held by the Lenders pro rata in accordance with the Commitments without giving effect toSection 12.17(d). 

 
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(c) Unused Fee. No Defaulting Lender shall be entitled to receive any Unused Fee forany period during which that Lender is a Defaulting Lender (and the Borrower shall not be required to pay any such fee that otherwise would have been required to have been paid to that Defaulting Lender). 

(d) Reallocation of Participations to Reduce Fronting Exposure. All or any part of such Defaulting Lender’s participation in SwingAdvances shall be reallocated among the Non-Defaulting Lenders in accordance with their respective Applicable Percentages (calculated without regard to such Defaulting Lender’s Commitment) but only to theextent that (x) the conditions set forth in Section 3.2 are satisfied at the time of such reallocation (and, unless the Borrower shall have otherwise notified the Administrative Agent at such time, the Borrower shallbe deemed to have represented and warranted that such conditions are satisfied at such time), and (y) such reallocation does not cause the aggregate Credit Exposure of any Non-Defaulting Lender to exceedsuch Non-Defaulting Lender’s Commitment. Subject to Section 2.17, no reallocation hereunder shall constitute a waiver or release of any claim of any party hereunder against a Defaulting Lenderarising from that Lender having become a Defaulting Lender, including any claim of a Non-Defaulting Lender as a result of such Non-Defaulting Lender’s increasedexposure following such reallocation. 

(e) Repayment of Swing Advances. If the reallocation described inSection 12.17(d) above cannot, or can only partially, be effected, the Borrower shall, without prejudice to any right or remedy available to it hereunder or under law, prepay Swing Advances in an amount equal to theSwingline Lender’s Fronting Exposure (the “Swing Prepayment Amount”). Borrower shall pay the Swing Prepayment Amount within forty-five (45) days of written demand from the Administrative Agent; provided, however, upon theoccurrence of an Early Termination Event, the Swing Prepayment Amount, if any, shall be immediately due and payable by Borrower. 

(f)Defaulting Lender Cure. If the Borrower, the Administrative Agent and the Swingline Lender agree in writing that a Lender is no longer a Defaulting Lender, the Administrative Agent will so notify the parties hereto, whereupon as of theeffective date specified in such notice and subject to any conditions set forth therein, that Lender will, to the extent applicable, purchase at par that portion of outstanding Advances of the other Lenders or take such other actions as theAdministrative Agent may determine to be necessary to cause the Advances and funded and unfunded participations in Swing Advances to be held pro rata by the Lenders in accordance with the Commitments (without giving effect toSection 12.17(d)), whereupon such Lender will cease to be a Defaulting Lender; provided that no adjustments will be made retroactively with respect to fees accrued or payments made by or on behalf of the Borrower while thatLender was a Defaulting Lender; and provided, further, that except to the extent otherwise expressly agreed by the affected parties, no change hereunder from Defaulting Lender to Lender will constitute a waiver or release of any claim of any partyhereunder arising from that Lender’s having been a Defaulting Lender. 

(g) New Swing Advances. So long as any Lender is aDefaulting Lender, the Swingline Lender shall not fund Swing Advances unless (i) each Non-Defaulting Lender shall have consented thereto, and (ii) the Swingline Lender is satisfied that it will haveno Fronting Exposure after giving effect to such Swing Advance and any reallocation to other Lenders. 

 
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IN WITNESS WHEREOF, the parties have caused this Agreement to be executed by theirrespective officers thereunto duly authorized, as of the date first above written. 

 
BORROWER:  GLADSTONE BUSINESS LOAN, LLC  By     Title: President   Gladstone Business Loan, LLC