Five-Year $600 Million Credit Agreement



 Exhibit 10.(b) 
  
 EXECUTION COPY 

 FIVE-YEAR 
  
 CREDIT AGREEMENT 
  
 among 
  
 HUMANA INC., 
  
 THE SEVERAL BANKS AND OTHER FINANCIAL INSTITUTIONS 
 FROM TIME TO TIME PARTIES HERETO, 
  
 and 
  
 JPMORGAN CHASE BANK, 
 as Agent and as CAF Loan Agent, 
  
 BANK OF AMERICA, N.A., 
  
 CITIBANK, N.A., 
  
 U.S. BANK NATIONAL ASSOCIATION 
  
 and 
  
 WACHOVIA BANK, National Association, 
  
 as Syndication Agents 
  
 and

  
 J.P. MORGAN SECURITIES INC., 
 as Sole Lead Arranger and Sole Lead Bookrunner 
 Dated as of September 29, 2004 
  








 TABLE OF CONTENTS 
  

							
	 	 	 	 	 	  	Page


	SECTION 1.	 	DEFINITIONS	  	1
				
	 	 	1.1	 	Defined Terms	  	1
	 	 	1.2	 	Other Definitional Provisions	  	16
			
	SECTION 2.	 	AMOUNT AND TERMS OF LOANS	  	17
				
	 	 	2.1	 	Revolving Credit Loans	  	17
	 	 	2.2	 	CAF Loans	  	17
	 	 	2.3	 	Repayment of Loans; Evidence of Debt	  	20
	 	 	2.4	 	Fees	  	21
	 	 	2.5	 	Termination or Reduction of Commitments	  	21
	 	 	2.6	 	Optional Prepayments	  	21
	 	 	2.7	 	Conversion Options; Minimum Amount of Loans.	  	22
	 	 	2.8	 	Interest Rate and Payment Dates for Loans	  	23
	 	 	2.9	 	Computation of Interest and Fees	  	23
	 	 	2.10	 	Inability to Determine Interest Rate	  	24
	 	 	2.11	 	Pro Rata Borrowings and Payments	  	25
	 	 	2.12	 	Illegality	  	26
	 	 	2.13	 	Requirements of Law	  	26
	 	 	2.14	 	Capital Adequacy	  	27
	 	 	2.15	 	Taxes	  	28
	 	 	2.16	 	Indemnity	  	29
	 	 	2.17	 	Application of Proceeds of Loans	  	29
	 	 	2.18	 	Notice of Certain Circumstances; Assignment of Commitments Under Certain Circumstances	  	29
	 	 	2.19	 	Regulation U	  	30
			
	SECTION 3.	 	LETTERS OF CREDIT	  	31
				
	 	 	3.1	 	L/C Sublimit	  	31
	 	 	3.2	 	Procedure for Issuance of Letters of Credit	  	32
	 	 	3.3	 	Fees, Commissions and Other Charges	  	32
	 	 	3.4	 	L/C Participation	  	32
	 	 	3.5	 	Reimbursement Obligation of the Company	  	33
	 	 	3.6	 	Obligations Absolute	  	33
	 	 	3.7	 	Letter of Credit Payments	  	34
	 	 	3.8	 	Application	  	34
			
	SECTION 4.	 	REPRESENTATIONS AND WARRANTIES	  	34
				
	 	 	4.1	 	Corporate Existence; Compliance with Law	  	34
	 	 	4.2	 	No Legal Obstacle to Agreement; Enforceability	  	34
	 	 	4.3	 	Litigation	  	35
	 	 	4.4	 	Disclosure	  	35
	 	 	4.5	 	Defaults	  	36

  

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	 	 	4.6	 	Financial Condition	  	36
	 	 	4.7	 	Changes in Condition	  	36
	 	 	4.8	 	Assets	  	36
	 	 	4.9	 	Tax Returns	  	36
	 	 	4.10	 	Contracts, etc	  	37
	 	 	4.11	 	Subsidiaries	  	37
	 	 	4.12	 	Burdensome Obligations	  	37
	 	 	4.13	 	Pension Plans	  	37
	 	 	4.14	 	Environmental and Public and Employee Health and Safety Matters	  	37
	 	 	4.15	 	Federal Regulations	  	38
	 	 	4.16	 	Investment Company Act; Other Regulations	  	38
	 	 	4.17	 	Solvency	  	38
	 	 	4.18	 	Casualties	  	38
	 	 	4.19	 	Business Activity	  	38
	 	 	4.20	 	Purpose of Loans	  	38
			
	SECTION 5.	 	CONDITIONS	  	39
				
	 	 	5.1	 	Conditions to the Closing Date	  	39
	 	 	5.2	 	Conditions to Each Loan	  	40
			
	SECTION 6.	 	AFFIRMATIVE COVENANTS	  	41
				
	 	 	6.1	 	Taxes, Indebtedness, etc	  	41
	 	 	6.2	 	Maintenance of Properties; Maintenance of Existence	  	42
	 	 	6.3	 	Insurance	  	42
	 	 	6.4	 	Financial Statements	  	42
	 	 	6.5	 	Certificates; Other Information	  	43
	 	 	6.6	 	Compliance with ERISA	  	44
	 	 	6.7	 	Compliance with Laws	  	44
	 	 	6.8	 	Inspection of Property; Books and Records; Discussions	  	44
	 	 	6.9	 	Notices	  	44
	 	 	6.10	 	Maintenance of Licenses, Etc	  	45
	 	 	6.11	 	Further Assurances	  	46
			
	SECTION 7.	 	NEGATIVE COVENANTS	  	46
				
	 	 	7.1	 	Financial Condition Covenants.	  	46
	 	 	7.2	 	Limitation on Subsidiary Indebtedness	  	46
	 	 	7.3	 	Limitation on Liens	  	47
	 	 	7.4	 	Limitations on Fundamental Changes	  	48
	 	 	7.5	 	Limitation on Sale of Assets	  	48
	 	 	7.6	 	Limitation on Distributions	  	49
	 	 	7.7	 	Transactions with Affiliates	  	49
	 	 	7.8	 	Sale and Leaseback	  	49
			
	SECTION 8.	 	DEFAULTS	  	49
				
	 	 	8.1	 	Events of Default	  	49
	 	 	8.2	 	Annulment of Defaults	  	52

  

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	 	 	8.3	 	Waivers	  	53
	 	 	8.4	 	Course of Dealing	  	53
			
	SECTION 9.	 	THE AGENT	  	53
				
	 	 	9.1	 	Appointment	  	53
	 	 	9.2	 	Delegation of Duties	  	53
	 	 	9.3	 	Exculpatory Provisions	  	53
	 	 	9.4	 	Reliance by Agent	  	54
	 	 	9.5	 	Notice of Default	  	54
	 	 	9.6	 	Non-Reliance on Agent and Other Banks	  	54
	 	 	9.7	 	Indemnification	  	55
	 	 	9.8	 	Agent and CAF Loan Agent in Its Individual Capacity	  	55
	 	 	9.9	 	Successor Agent and CAF Loan Agent	  	55
	 	 	9.10	 	Syndication Agents	  	56
			
	SECTION 10.	 	MISCELLANEOUS	  	56
				
	 	 	10.1	 	Amendments and Waivers	  	56
	 	 	10.2	 	Notices	  	56
	 	 	10.3	 	No Waiver; Cumulative Remedies	  	57
	 	 	10.4	 	Survival of Representations and Warranties	  	57
	 	 	10.5	 	Payment of Expenses and Taxes; Indemnity	  	57
	 	 	10.6	 	Successors and Assigns; Participations; Purchasing Banks	  	58
	 	 	10.7	 	Adjustments; Set-off	  	61
	 	 	10.8	 	Counterparts	  	62
	 	 	10.9	 	GOVERNING LAW	  	62
	 	 	10.10	 	WAIVERS OF JURY TRIAL	  	62
	 	 	10.11	 	Submission To Jurisdiction; Waivers	  	63
	 	 	10.12	 	Confidentiality of Information	  	63
	 	 	10.13	 	Existing Credit Agreements	  	63
	 	 	10.14	 	USA PATRIOT Act	  	63

  

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	 ANNEXES
	 	 
		
	 ANNEX A
	 	 Existing Letters of Credit

		
	 SCHEDULES
	 	 
		
	 SCHEDULE I
 SCHEDULE II
 SCHEDULE III
 SCHEDULE IV
 SCHEDULE V
 SCHEDULE VI
 SCHEDULE VII
 SCHEDULE VIII
	 	 Commitment Amounts and Percentages
 Pricing Grid
 Indebtedness
 Subsidiaries of the Company
 Liens
 Certain Acquisitions and Dispositions
 Other Regulations
 Business Activities

		
	 EXHIBITS
	 	 
		
	 EXHIBIT A
 EXHIBIT B
 EXHIBIT C
 EXHIBIT D
 EXHIBIT E
 EXHIBIT F
 EXHIBIT G
 EXHIBIT H
 EXHIBIT I-1
 EXHIBIT I-2
	 	 Form of Revolving Credit Note
 Form of Grid CAF Loan Note
 Form of Individual CAF Loan Note
 Form of CAF Loan Request
 Form of CAF Loan Offer
 Form of CAF Loan Confirmation Agreement
 Form of Commitment Transfer
Supplement
 Form of Closing Certificate
 Form of Company Counsel Opinion
 Form of Opinion of Fried, Frank, Harris, Shriver & Jacobson LLP


  

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 CREDIT AGREEMENT, dated as of September 29, 2004, among HUMANA INC., a Delaware corporation (the
“Company”), the several banks and other financial institutions from time to time parties to this Agreement (the “Banks”), and JPMORGAN CHASE BANK, a New York banking corporation, as administrative agent for the
Banks hereunder (in such capacity, the “Agent”) and as CAF Loan agent (in such capacity, the “CAF Loan Agent”). 
  
 W I T N E S S E T H: 
  
 WHEREAS, the Company has requested the Banks to provide a revolving credit facility in the aggregate principal amount of
$600,000,000; and 
  
 WHEREAS, the Banks are willing to provide
such credit facility upon and subject to the terms and conditions hereinafter set forth; 
  
 NOW, THEREFORE, the parties hereto hereby agree as follows: 
  
 SECTION 1. DEFINITIONS 
  
 1.1
Defined Terms. As used in this Agreement, the following terms have the following meanings: 
  
 “Admitted Asset”: with respect to any HMO Subsidiary or Insurance Subsidiary, any asset of such HMO subsidiary or
Insurance Subsidiary which qualifies as an “admitted asset” (or any like item) under the applicable Insurance Regulations and HMO Regulations. 
  
 “Affiliate”: as to any Person, any other Person (other than a Subsidiary) which, directly or indirectly, is in control
of, is controlled by, or is under common control with, such Person. For purposes of this definition, “control” of a Person means the power, directly or indirectly, either to direct or cause the direction of the management and policies of
such Person, whether by contract or otherwise. 
  
 “Aggregate Outstanding Extensions of Credit”: as to any Bank at any time, an amount equal to the sum of (a) the aggregate principal amount of all Loans made by such Bank then outstanding and (b) such Bank’s Commitment
Percentage of the L/C Obligations then outstanding. 
  
 “Agreement”: this Credit Agreement, as the same may be amended, supplemented or otherwise modified from time to time. 
  
 “Alternate Base Rate”: for any day, a rate per annum (rounded upwards, if necessary, to the next 1/16 of 1%) equal to the
greatest of (a) the Prime Rate in effect on such day, (b) the Base CD Rate in effect on such day plus 1% and (c) the Federal Funds Effective Rate in effect on such day plus 1/2 of 1%. For purposes hereof: “Prime Rate” shall mean the
rate of interest per annum publicly announced from time to time by the Agent as its prime rate in effect at its principal office in New York City (each change in the Prime Rate to be effective on the date such change is publicly announced);
“Base CD Rate” shall mean the sum of (a) the product of (i) the Three-Month Secondary CD Rate 







 and (ii) a fraction, the numerator of which is one and the denominator of which is one minus the C/D
Reserve Percentage and (b) the C/D Assessment Rate; “Three-Month Secondary CD Rate” shall mean, for any day, the secondary market rate for three-month certificates of deposit reported as being in effect on such day (or, if such day
shall not be a Business Day, the next preceding Business Day) by the Board of Governors of the Federal Reserve System (the “Board”) through the public information telephone line of the Federal Reserve Bank of New York (which rate
will, under the current practices of the Board, be published in Federal Reserve Statistical Release H.15(519) during the week following such day), or, if such rate shall not be so reported on such day or such next preceding Business Day, the average
of the secondary market quotations for three-month certificates of deposit of major money center banks in New York City received at approximately 10:00 A.M., New York City time, on such day (or, if such day shall not be a Business Day, on the next
preceding Business Day) by the Agent from three New York City negotiable certificate of deposit dealers of recognized standing selected by it; “C/D Reserve Percentage” shall mean, for any day, that percentage (expressed as a
decimal) which is in effect on such day, as prescribed by the Board (or any successor), for determining the maximum reserve requirement for a member bank of the Federal Reserve System in New York City with deposits exceeding one billion Dollars in
respect of new non-personal three-month certificates of deposit in the secondary market in Dollars in New York City and in an amount of $100,000 or more; “C/D Assessment Rate” shall mean, for any day, the net annual assessment rate
(rounded upward to the nearest 1/100th of 1%) determined by JPMorgan Chase Bank to be payable on such day to the Federal Deposit Insurance Corporation or any successor (“FDIC”) for FDIC’s insuring time deposits made in Dollars
at offices of JPMorgan Chase Bank in the United States; and “Federal Funds Effective Rate” shall mean, for any day, the weighted average of the rates on overnight federal funds transactions with members of the Federal Reserve System
arranged by federal funds brokers, as published on the next succeeding Business Day by the Federal Reserve Bank of New York, or, if such rate is not so published for any day which is a Business Day, the average of the quotations for the day of such
transactions received by the Agent from three federal funds brokers of recognized standing selected by it. Any change in the Alternate Base Rate due to a change in the Prime Rate, the Three-Month Secondary CD Rate or the Federal Funds Effective Rate
shall be effective on the effective day of such change in the Prime Rate, the Three-Month Secondary CD Rate or the Federal Funds Effective Rate, respectively. 
  

“Alternate Base Rate Loans”: Revolving Credit Loans hereunder at such time as they are made and/or being maintained at
a rate of interest based upon the Alternate Base Rate. 
  
 “Applicable LIBOR Auction Advance Rate”: in respect of any CAF Loan requested pursuant to a LIBOR Auction Advance Request, the London interbank offered rate for deposits in Dollars for the period commencing on the date of
such CAF Loan and ending on the maturity date thereof which appears on Telerate Page 3750 as of 11:00 A.M., London time, two Working Days prior to the beginning of such period. 
  
 “Applicable Margin”: for each Type of Revolving Credit Loan, the rate per annum applicable
to such type determined in accordance with the Pricing Grid. 
  

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 “Application”: any application, in such form as the Issuing Bank may
specify from time to time, requesting the Issuing Bank to open a Letter of Credit. 
  
 “Approved Fund”: as defined in subsection 10.6(d). 
  
 “Available Commitments”: at a particular time, an amount equal to the difference between
(a) the amount of the Commitments at such time and (b) the Aggregate Outstanding Extensions of Credit at such time. 
  
 “Bank Obligations”: as defined in subsection 8.1. 
  
 “Banks”: the several banks and other financial institutions from time to time parties to
this Agreement. 
  
 “Benefitted
Bank”: as defined in subsection 10.7. 
  
 “Borrowing Date”: any Business Day specified in a notice pursuant to subsection 2.1(b) or a CAF Loan Request pursuant to subsection 2.2(b) as a date on which the Company requests the Banks to make Revolving Credit Loans or
CAF Loans, as the case may be, hereunder. 
  
 “Business Day”: a day other than a Saturday, Sunday or other day on which commercial banks in New York City are authorized or required by law to close, provided, that with respect to notices and determinations in connection
with, and payments of principal and interest on, Eurodollar Loans, such day is also a day for trading by and between banks in Dollar deposits in the interbank eurodollar market. 
  
 “CAF Loan”: each CAF Loan made pursuant to subsection 2.2; the aggregate amount advanced by
a CAF Loan Bank pursuant to subsection 2.2 on each CAF Loan Date shall constitute one or more CAF Loans, as specified by such CAF Loan Bank pursuant to subsection 2.2(b)(vi). 
  
 “CAF Loan Assignee”: as defined in subsection 10.6(c). 
  
 “CAF Loan Assignment”: any assignment by a
CAF Loan Bank to a CAF Loan Assignee of a CAF Loan and related Individual CAF Loan Note; any such CAF Loan Assignment to be registered in the Register must set forth, in respect of the CAF Loan Assignee thereunder, the full name of such CAF Loan
Assignee, its address for notices, its lending office address (in each case with telephone and facsimile transmission numbers) and payment instructions for all payments to such CAF Loan Assignee, and must contain an agreement by such CAF Loan
Assignee to comply with the provisions of subsection 10.6(c), 10.6(h) and 10.12 to the same extent as any Bank. 
  
 “CAF Loan Banks”: Banks from time to time designated as CAF Loan Banks by the Company by written notice to the CAF Loan
Agent (which notice the CAF Loan Agent shall transmit to each such CAF Loan Bank). 
  
 “CAF Loan Confirmation”: each confirmation by the Company of its acceptance of one or more CAF Loan Offers, which CAF
Loan Confirmation shall be substantially in the form of Exhibit F and shall be delivered to the CAF Loan Agent in writing or by facsimile transmission. 
  

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 “CAF Loan Date”: each date on which a CAF Loan is made pursuant to
subsection 2.2. 
  
 “CAF Loan
Note”: a Grid CAF Loan Note or an Individual CAF Loan Note. 
  
 “CAF Loan Offer”: each offer by a CAF Loan Bank to make one or more CAF Loans pursuant to a CAF Loan Request, which CAF Loan Offer shall contain the information specified in Exhibit E and shall be
delivered to the CAF Loan Agent by telephone, immediately confirmed by facsimile transmission. 
  
 “CAF Loan Request”: each request by the Company for CAF Loan Banks to submit bids to make CAF Loans, which shall contain
the information in respect of such requested CAF Loans specified in Exhibit D and shall be delivered to the CAF Loan Agent in writing or by facsimile transmission, or by telephone, immediately confirmed by facsimile transmission. 
  
 “Capital Stock”: any and all shares,
interests, participations or other equivalents (however designated) of capital stock of a corporation, any and all equivalent ownership interests in a Person (other than a corporation) and any and all warrants or options to purchase any of the
foregoing. 
  
 “Change in
Control”: of any corporation, shall occur where (a) any Person or “group” (as defined in Section 13(d)(3) of the Securities Exchange Act of 1934, as amended), other than the Company, shall acquire more than 30% of the Voting Stock
of such corporation or (b) the Continuing Directors shall not constitute a majority of the board of directors of such corporation. 
  
 “Clocktower Building”: the real property located at 123 E. Main Street, Louisville, Kentucky 40202. 
  
 “Closing Date”: the date on which all of
the conditions precedent for the Closing Date set forth in Section 5 shall have been fulfilled. 
  
 “Code”: the Internal Revenue Code of 1986, as amended from time to time. 
  
 “Commercial Letter of Credit”: as defined
in subsection 3.1(a). 
  
 “Commitment”: as to any Bank, its obligation to make Revolving Credit Loans to the Company pursuant to subsection 2.1(a) and/or issue or participate in Letters of Credit issued on behalf of the Company in an aggregate
principal amount and/or face amount not to exceed at any one time outstanding the amount set forth opposite such Bank’s name in Schedule I, as such amount may be reduced or increased from time to time as provided herein. 
  
 “Commitment Percentage”: as to any Bank,
the percentage of the aggregate Commitments constituted by such Bank’s Commitment. 
  

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 “Commitment Period”: the period from and including the Closing Date to
but not including the Termination Date or such earlier date on which the Commitments shall terminate as provided herein. 
  
 “Commitment Transfer Supplement”: a Commitment Transfer Supplement, substantially in the form of Exhibit G. 

 
 “Commitment Utilization Percentage”
shall mean on any day, the percentage equivalent of a fraction (a) the numerator of which is the aggregate outstanding principal amount of the Loans and L/C Obligations and (b) the denominator of which is the aggregate Commitments for all Banks (or,
on any day after termination of the Commitments, the aggregate Commitments in effect immediately preceding such termination). 
  
 “Commonly Controlled Entity”: an entity, whether or not incorporated, which is under common control with the Company
within the meaning of Section 4001 of ERISA or is part of a group which includes the Company and which is treated as a single employer under Section 414 of the Code. 
  
 “Conduit Lender”: any special purpose corporation organized and administered by any Bank
for the purpose of making Loans otherwise required to be made by such Bank and designated by such Bank in a written instrument; provided, that the designation by any Bank of a Conduit Lender shall not relieve the designating Bank of any of
its obligations to fund a Loan under this Agreement if, for any reason, its Conduit Lender fails to fund any such Loan, and the designating Bank (and not the Conduit Lender) shall have the sole right and responsibility to deliver all consents and
waivers required or requested under this Agreement with respect to its Conduit Lender; and provided, further, that no Conduit Lender shall (a) be entitled to receive any greater amount pursuant to subsections 2.13, 2.14, 2.15, 2.16 or
10.5 than the designating Bank would have been entitled to receive in respect of the extensions of credit made by such Conduit Lender (and each Bank which designates a Conduit Lender shall indemnify the Company against any increased taxes, costs,
expenses, liabilities or losses associated with any payment thereunder to such Conduit Lender) or (b) be deemed to have any Commitment. 
  
 “Consolidated Assets”: the consolidated assets of the Company and its Subsidiaries, determined in accordance with GAAP.

  
 “Consolidated EBIT”: for any
period for which the amount thereof is to be determined, Consolidated Net Income for such period plus all amounts deducted in computing such Consolidated Net Income in respect of Consolidated Interest Expense and income taxes, all determined in
accordance with GAAP; provided, that for purposes of calculating Consolidated EBIT for any period of four full fiscal quarters, (i) the Consolidated EBIT attributable to any Person or business unit acquired by the Company or its Subsidiaries
during such period (such Consolidated EBIT to be calculated in the same manner as Consolidated EBIT for the Company and its Subsidiaries is calculated, mutatis mutandis, provided that amounts arising prior to the time such acquired
Person or business unit was acquired attributable to (a) any discontinued operations or products of the acquired Person or business unit or (b) operations or products of the acquired Person or business unit which the Company expects to discontinue
as disclosed in the 
  

 5 








 Company’s reports filed with the Securities and Exchange Commission within three months after the
date of acquisition of such Person or business unit shall be excluded in such calculation) shall be included on a pro forma basis for such period of four full fiscal quarters (assuming the consummation of each such acquisition and the
incurrence, assumption or repayment of any Indebtedness in connection therewith occurred on the first day of such period of four full fiscal quarters) and (ii) the Consolidated EBIT of any Person or business unit disposed of by the Company or its
Subsidiaries during such period (such Consolidated EBIT to be calculated in the same manner as Consolidated EBIT for the Company and its Subsidiaries is calculated, mutatis mutandis) shall be deducted on a pro forma basis for
such period of four full fiscal quarters (assuming the consummation of each such disposition and the repayment of any Indebtedness in connection therewith occurred on the first day of such period of four full fiscal quarters). 
  
 “Consolidated EBITDA”: for any fiscal
period for which the amount thereof is to be determined, Consolidated EBIT for such fiscal period plus, to the extent deducted from Consolidated Net Income for such fiscal period, depreciation and amortization for such fiscal period. 
  
 “Consolidated Interest Expense”: for any
period for which the amount thereof is to be determined, all amounts deducted in computing Consolidated Net Income for such period in respect of interest expense on Indebtedness determined in accordance with GAAP; provided, that for purposes
of calculating Consolidated Interest Expense for any period of four full fiscal quarters, (i) the Consolidated Interest Expense of any Person or business unit acquired by the Company or its Subsidiaries during such period (such Consolidated Interest
Expense to be calculated in the same manner as Consolidated Interest Expense for the Company and its Subsidiaries is calculated, mutatis mutandis, provided that amounts arising prior to the time such acquired Person or business unit
was acquired attributable to (a) any discontinued operations or products of the acquired Person or business unit or (b) operations or products of the acquired Person or business unit which the Company expects to discontinue as disclosed in the
Company’s reports filed with the Securities and Exchange Commission within three months after the date of acquisition of such Person or business unit shall be excluded in such calculation) shall be included on a pro forma basis
for such period of four full fiscal quarters (assuming the consummation of each such acquisition and the incurrence, assumption or repayment of any Indebtedness in connection therewith occurred on the first day of such period of four full fiscal
quarters) and (ii) the Consolidated Interest Expense of any Person or business unit disposed of by the Company or its Subsidiaries during such period (such Consolidated Interest Expense to be calculated in the same manner as Consolidated Interest
Expense for the Company and its Subsidiaries is calculated, mutatis mutandis) shall be deducted on a pro forma basis for such period of four full fiscal quarters (assuming the consummation of each such disposition and the
repayment of any Indebtedness in connection therewith occurred on the first day of such period of four full fiscal quarters). Consolidated Interest Expense shall in any event include the Synthetic Lease Interest Component of any Synthetic Lease
entered into by the Company or any of its Subsidiaries. 
  
 “Consolidated Net Income”: for any period, the consolidated net income, if any, after taxes, of the Company and its Subsidiaries for such period determined in accordance with GAAP; provided, that, for
all purposes other than subsection 7.1(a), Consolidated 
  

 6 








 Net Income shall not be reduced or increased by the amount of any non-cash extraordinary charges or
credits that would otherwise be deducted from or added to revenue in determining such Consolidated Net Income. 
  
 “Consolidated Net Tangible Assets”: at any date, the total amount of assets (less applicable reserves and other properly
deductible items) after deducting therefrom (i) all current liabilities as disclosed on the consolidated balance sheet of the Company (excluding any thereof which are by their terms extendable or renewable at the option of the obligor thereon to a
time more than 12 months after the time as of which the amount thereof is being computed and excluding any deferred income taxes that are included in current liabilities), and (ii) all goodwill, trade names, trademarks, patents, unamortized debt
discount and expense and other like intangible assets, all as set forth on the most recent consolidated balance sheet of the Company and computed in accordance with GAAP. 
  
 “Consolidated Net Worth”: at any date, the stockholders’ equity of the Company and its
Subsidiaries at such date, determined in accordance with GAAP. 
  
 “Consolidated Total Debt”: the aggregate of all Indebtedness (including the current portion thereof) of the Company and its Subsidiaries on a consolidated basis. 
  
 “Continuing Director”: any member of the
Board of Directors of the Company who is a member of such Board on the date of this Agreement, and any Person who is a member of such Board and whose nomination as a director was approved by a majority of the Continuing Directors then on such Board.

  
 “Contractual Obligation”: as
to any Person, any provision of any security issued by such Person or of any agreement, instrument or undertaking to which such Person is a party or by which it or any of its property is bound. 
  
 “Control Group Person”: any Person which is
a member of the controlled group or is under common control with the Company within the meaning of Section 414(b) or 414(c) of the Code or Section 4001(b)(1) of ERISA. 
  
 “Default”: any of the events specified in subsection 8.1, whether or not any requirement
for the giving of notice, the lapse of time, or both, or any other condition, has been satisfied. 
  
 “Distribution”: (a) the declaration or payment of any dividend on or in respect of any shares of any class of Capital
Stock of the Company other than dividends payable solely in shares of common stock of the Company; (b) the purchase, redemption or other acquisition of any shares of any class of Capital Stock of the Company directly or indirectly through a
Subsidiary or otherwise; and (c) any other distribution on or in respect of any shares of any class of Capital Stock of the Company. 
  
 “Dollars” and”$”: dollars in lawful currency of the United States of America. 
  
 “Domestic Lending Office”: with respect to
each Bank the office of such Bank located within the United States which shall be making or maintaining Alternate Base Rate Loans. 
  

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 “ERISA”: the Employee Retirement Income Security Act of 1974, as amended
from time to time. 
  
 “Eurocurrency
Reserve Requirements”: for any day as applied to a Eurodollar Loan, the aggregate (without duplication) of the rates (expressed as a decimal fraction) of reserve requirements in effect on such day (including, without limitation, basic,
supplemental, marginal and emergency reserves under any regulations of the Board of Governors of the Federal Reserve System or other Governmental Authority having jurisdiction with respect thereto), dealing with reserve requirements prescribed for
eurocurrency funding (currently referred to as ”Eurocurrency Liabilities” in Regulation D of such Board) maintained by a member bank of such System. 
  

“Eurodollar Lending Office”: with respect to each Bank, the office of such Bank which shall be making or maintaining
Eurodollar Loans. 
  
 “Eurodollar
Loans”: Revolving Credit Loans hereunder at such time as they are made and/or are being maintained at a rate of interest based upon the Eurodollar Rate. 
  
 “Eurodollar Rate”: with respect to each day during each Interest Period pertaining to a
Eurodollar Loan, the rate per annum equal to the average (rounded upwards to the nearest whole multiple of one sixteenth of one percent) of the respective rates notified to the Agent by the Reference Banks as the rate at which each of their
Eurodollar Lending Offices is offered Dollar deposits two Working Days prior to the beginning of such Interest Period in the interbank eurodollar market where the eurodollar and foreign currency and exchange operations of such Eurodollar Lending
Office are then being conducted at or about 10:00 A.M., New York City time, for delivery on the first day of such Interest Period for the number of days comprised therein and in an amount comparable to the amount of the Eurodollar Loan of such
Reference Bank to be outstanding during such Interest Period. 
  
 “Eurodollar Tranche”: the collective reference to Eurodollar Loans having the same Interest Period (whether or not originally made on the same day). 
  
 “Event of Default”: any of the events
specified in subsection 8.1, provided that any requirement for the giving of notice, the lapse of time, or both, or any other condition, event or act has been satisfied. 
  
 “Excess Utilization Day” shall mean each day on which the Commitment Utilization Percentage
exceeds 50%. 
  
 “Existing Credit
Agreements”: the collective reference to (i) the Four-Year Credit Agreement, dated as of October 11, 2001, among the Company, the banks and other financial institutions parties thereto, The Chase Manhattan Bank, as administrative agent, and
others, as amended or otherwise modified; (ii) the Second Amended and Restated 364-Day Credit Agreement, dated as of October 1, 2003, among the Company, the banks and other financial institutions parties thereto, JPMorgan Chase Bank, as
administrative agent, and others, as amended or otherwise modified; and (iii) the Second Amended and Restated RFC Loan Agreement, dated as of October 1, 2003, among the Company, the banks and other financial institutions parties thereto,
Relationship Funding 
  

 8 








 Company, LLC, JPMorgan Chase Bank, as administrative agent, and others, as amended or otherwise modified
and the related Liquidity Agreement, dated as of October 11, 2001, among Relationship Funding Company, LLC, the liquidity institutions identified therein and The Chase Manhattan Bank, as administrative agent, as amended or otherwise modified.

  
 “Existing Issuing Bank”:
JPMorgan Chase Bank, as issuer of the Existing Letters of Credit. 
  
 “Existing Letters of Credit”: the letters of credit described in Annex A. 
  
 “Fee Payment Date”: (a) the third Business Day following the last day of each March, June, September and December and (b)
the last day of the Commitment Period. 
  
 “Financing Lease”: any lease of property, real or personal, if the then present value of the minimum rental commitment thereunder should, in accordance with GAAP, be capitalized on a balance sheet of the lessee. 

 
 “Fixed Rate Auction Advance Request”:
any CAF Loan Request requesting the CAF Loan Banks to offer to make CAF Loans at a fixed rate (as opposed to a rate composed of the Applicable LIBOR Auction Advance Rate plus or minus a margin). 
  
 “GAAP”: (a) with respect to determining
compliance by the Company with the provisions of subsections 7.1, 7.2 and 7.5, generally accepted accounting principles in the United States of America consistent with those utilized in preparing the audited financial statements referred to in
subsection 4.6 and (b) with respect to the financial statements referred to in subsection 4.6 or the furnishing of financial statements pursuant to subsection 6.4 and otherwise, generally accepted accounting principles in the United States of
America from time to time in effect. 
  
 “Governmental Authority”: any nation or government, any state or other political subdivision thereof and any entity exercising executive, legislative, judicial, regulatory or administrative functions of or pertaining to
government. 
  
 “Green Bay
Facility”: offices of the Company located at 1100 Employers Boulevard, De Pere, Wisconsin. 
  
 “Grid CAF Loan Note”: as defined in subsection 2.3(e). 
  
 “Guarantee Obligation”: of any Person, means, any arrangement whereby credit is extended to
one party on the basis of any promise of such Person, whether that promise is expressed in terms of an obligation to pay the Indebtedness of another, or to purchase an obligation owed by that other, to purchase assets or to provide funds in the form
of lease or other types of payments under circumstances that would enable that other to discharge one or more of its obligations, whether or not such arrangement is listed in the balance sheet of the obligor or referred to in a footnote thereto, but
shall not include endorsements of items for collection in the ordinary course of business. 
  
 “Headquarters”: the principal executive offices of the Company located at 500 West Main Street, Louisville, Kentucky
40202. 
  

 9 








 “HMO”: a health maintenance organization doing business as such (or
required to qualify or to be licensed as such) under HMO Regulations. 
  
 “HMO Regulation”: all laws, regulations, directives and administrative orders applicable under federal or state law specific to health maintenance organizations and any regulations, orders and
directives promulgated or issued pursuant thereto. 
  
 “HMO Regulator”: any Person charged with the administration, oversight or enforcement of an HMO Regulation. 
  
 “HMO Subsidiary”: any Subsidiary of the Company that is now or hereafter an HMO. 
  
 “Indebtedness”: of a Person, at a
particular date, the sum (without duplication) at such date of (a) all indebtedness of such Person for borrowed money or for the deferred purchase price of property or services or which is evidenced by a note, bond, debenture or similar instrument,
(b) all obligations of such Person under Financing Leases, (c) all obligations of such Person in respect of letters of credit, acceptances, or similar obligations issued or created for the account of such Person in excess of $1,000,000, (d) all
liabilities secured by any Lien on any property owned by the Company or any Subsidiary even though such Person has not assumed or otherwise become liable for the payment thereof, (e) the amount of any Synthetic Lease Obligations of such Person, (f)
all Guarantee Obligations relating to any of the foregoing in excess of $1,000,000, and (g) for purposes of subsection 8.1(e) only, all obligations of such Person in respect of Interest Rate Protection Agreements. 
  
 “Individual CAF Loan Note”: as defined in
subsection 2.3(e). 
  
 “Insolvency” or “Insolvent”: at any particular time, a Multiemployer Plan which is insolvent within the meaning of Section 4245 of ERISA. 
  
 “Insurance Regulation”: any law, regulation, rule, directive or order applicable and
specific to an insurance company. 
  
 “Insurance Regulator”: any Person charged with the administration, oversight or enforcement of any Insurance Regulation. 
  
 “Insurance Subsidiary”: any Subsidiary of the Company that is now or hereafter doing business (or required to qualify or
to be licensed) under Insurance Regulations. 
  
 “Interest Payment Date”: (a) as to any Alternate Base Rate Loan, the last day of each March, June, September and December, commencing on the first of such days to occur after Alternate Base Rate Loans are made or Eurodollar
Loans are converted to Alternate Base Rate Loans and the final maturity date of such Loan, (b) as to any Eurodollar Loan in respect of which the Company has selected an Interest Period of one, two or three months, the last day of such Interest
Period, (c) as to any CAF Loan in respect of which the Company has selected an Interest Period not exceeding 90 days or three months, as the case may be, the last day of such Interest Period and (d) as to any Eurodollar Loan in respect of which the
Company has selected a longer Interest Period than the periods described in clause (b) and as to any CAF Loan in respect of which the 
  

 10 








 Company has selected a longer Interest Period than the periods described in clause (c), each day that is
three months, or a whole multiple thereof, after the first day of such Interest Period, and the last day of such Interest Period. 
  
 “Interest Period”: (a) with respect to any Eurodollar Loans: 
  
 (i) initially, the period commencing on the borrowing or
conversion date, as the case may be, with respect to such Eurodollar Loans and ending one, two, three or six months thereafter (or, with the consent of all the Banks, nine or twelve months thereafter), as selected by the Company in its notice of
borrowing as provided in subsection 2.1(b) or its notice of conversion as provided in subsection 2.7(a), as the case may be; and 
  
 (ii) thereafter, each period commencing on the last day of the next preceding Interest Period applicable to such Eurodollar Loans and
ending one, two, three or six months thereafter (or, with the consent of all the Banks, nine or twelve months thereafter), as selected by the Company by irrevocable notice to the Agent not less than three Business Days prior to the last day of the
then current Interest Period with respect to such Eurodollar Loans; 
  
 provided that, all of the foregoing provisions relating to Interest Periods are subject to the following: 
  
 (1) if any Interest Period pertaining to a Eurodollar Loan would otherwise end on a day which is not a Business Day, such Interest Period
shall be extended to the next succeeding Business Day unless the result of such extension would be to carry such Interest Period into another calendar month in which event such Interest Period shall end on the immediately preceding Business Day;

  
 (2) if the Company shall fail to give notice
as provided above, the Company shall be deemed to have selected an Alternate Base Rate Loan to replace the affected Eurodollar Loan; 
  
 (3) any Interest Period pertaining to a Eurodollar Loan that begins on the last Business Day of a calendar month (or on a day for which
there is no numerically corresponding day in the calendar month at the end of such Interest Period) shall end on the last Business Day of a calendar month; 
  
 (4) any interest period pertaining to a Eurodollar Loan that would otherwise end after the Termination Date shall end on the Termination
Date; and 
  
 (5) the Company shall select
Interest Periods so as not to require a payment or prepayment of any Eurodollar Loan during an Interest Period for such Loan; and 
  
 (b) with respect to any CAF Loans, the period commencing on the Borrowing Date therefor and ending on the maturity date for such CAF Loans
as set forth in subsection 2.2(b)(i). 
  

 11 








 “Interest Rate Protection Agreement”: any interest rate protection
agreement, interest rate futures contract, interest rate option, interest rate cap or other interest rate hedge arrangement to or under which the Company or any of its Subsidiaries is a party or a beneficiary on the date hereof or becomes a party or
a beneficiary after the date hereof. 
  
 “Issuing Bank”: JPMorgan Chase Bank, in its capacity as issuer of any Letter of Credit, or any other Bank as may be selected by the Company, with the written consent of the Agent, such consent not to be unreasonably
withheld. 
  
 “L/C Obligations”:
at any time, an amount equal to the sum of (a) the aggregate then undrawn and unexpired amount of the then outstanding Letters of Credit and (b) the aggregate amount of drawings under Letters of Credit which have not then been reimbursed pursuant to
subsection 3.5. 
  
 “L/C
Participants”: the collective reference to all the Banks other than the Issuing Bank. 
  
 “L/C Sublimit”: $100,000,000. 
  

“Lender Affiliate”: (a) any Affiliate of any Bank, (b) any Person that is administered or managed by any Bank and that
is engaged in making, purchasing, holding or otherwise investing in commercial loans and similar extensions of credit in the ordinary course of its business and (c) with respect to any Bank which is a fund that invests in commercial loans and
similar extensions of credit, any other fund that invests in commercial loans and similar extensions of credit and is managed or advised by the same investment advisor as such Bank or by an Affiliate of such Bank or investment advisor. 

 
 “Letters of Credit”: as defined in
subsection 3.1(a). 
  
 “Leverage
Ratio”: at the last day of any full fiscal quarter of the Company, the ratio of (a) all Indebtedness of the Company and its Subsidiaries outstanding on such date to (b) Consolidated EBITDA for the period of four fiscal quarters of the
Company ended on such day. 
  
 “LIBOR
Auction Advance Request”: any CAF Loan Request requesting the CAF Loan Banks to offer to make CAF Loans at an interest rate equal to the Applicable LIBOR Auction Advance Rate plus or minus a margin. 
  
 “Lien”: any mortgage, pledge,
hypothecation, assignment, deposit arrangement, encumbrance, lien (statutory or other), or preference, priority or other security agreement or preferential arrangement that has the same practical effect as any of the foregoing (including, without
limitation, any conditional sale or other title retention agreement, or any financing lease having substantially the same economic effect as any of the foregoing). 
  
 “Loan”: any loan made by any Bank pursuant to this Agreement. 
  
 “Loan Documents”: this Agreement, the Notes
and the Applications. 
  

 12 








 “Margin Stock”: as defined in Regulation U. 
  
 “Margin Stock Collateral”: all Margin Stock
(other than Portfolio Margin Stock) of the Company and its Subsidiaries by which the Loans are deemed “indirectly secured” within the meaning of Regulation U. 
  
 “Material Adverse Effect”: any material adverse effect on (a) the business, assets,
operations or condition (financial or otherwise) of the Company and its Subsidiaries taken as a whole, (b) the ability of the Company to perform its obligations under this Agreement and the Notes or (c) the rights and remedies of the Banks with
respect to the Company and its Subsidiaries under any of the Loan Documents. 
  
 “Multiemployer Plan”: a Plan which is a multiemployer plan as defined in Section 4001(a)(3) of ERISA. 
  
 “Non-U.S. Bank”: as defined in subsection 2.15(b). 
  
 “Note”: any Revolving Credit Note or CAF Loan Note. 
  
 “Other Collateral”: all assets of the
Company and its Subsidiaries (other than Margin Stock) by which the Loans are deemed “indirectly secured” within the meaning of Regulation U. 
  
 “Participants”: as defined in subsection 10.6(b). 
  
 “Payment Sharing Notice”: a written notice from the Company, or any Bank, informing the
Agent that an Event of Default has occurred and is continuing and directing the Agent to allocate payments thereafter received from the Company in accordance with subsection 2.11(c). 
  
 “PBGC”: the Pension Benefit Guaranty Corporation established pursuant to Subtitle A of
Title IV of ERISA. 
  
 “Person”:
an individual, partnership, corporation, business trust, joint stock company, trust, unincorporated association, joint venture, Governmental Authority or other entity of whatever nature. 
  
 “Plan”: at a particular time, any employee benefit plan which is covered by Title IV of
ERISA and in respect of which the Company or a Control Group Person is (or, if such plan were terminated at such time, would under Section 4069 of ERISA be deemed to be) an “employer” as defined in Section 3(5) of ERISA. 
  
 “Portfolio Margin Stock”: Margin Stock held
by Insurance Subsidiaries or HMO Subsidiaries as portfolio investments, to which the restrictions of Section 7 shall not apply. 
  
 “Pricing Grid”: the Pricing Grid set forth in Schedule II. 
  
 “Purchasing Banks”: as defined in subsection 10.6(d). 
  

 13 








 “Reference Banks”: JPMorgan Chase Bank, Citibank N.A., Bank of America,
N.A., U.S. Bank National Association and Wachovia Bank, National Association. 
  
 “Register”: as defined in subsection 10.6(e). 
  
 “Regulation T”: Regulation T of the Board of Governors of the Federal Reserve System. 
  
 “Regulation U”: Regulation U of the Board
of Governors of the Federal Reserve System. 
  
 “Regulation X”: Regulation X of the Board of Governors of the Federal Reserve System. 
  
 “Reimbursement Obligation”: the obligation of the Company to reimburse the Issuing Bank pursuant to subsection 3.5 for
amounts drawn under Letters of Credit. 
  
 “Reorganization”: with respect to any Multiemployer Plan, the condition that such plan is in reorganization within the meaning of such term as used in Section 4241 of ERISA. 
  
 “Reportable Event”: any of the events set
forth in Section 4043(b) of ERISA, the occurrence of which could reasonably be expected to have a Material Adverse Effect, other than those events as to which the thirty day notice period is waived under subsections .22, .23, .25, .27 or .28 of PBGC
Reg. § 4043. 
  
 “Required
Banks”: (a) during the Commitment Period, Banks whose Commitment Percentages aggregate at least 51% and (b) after the Commitments have expired or been terminated, Banks whose outstanding Loans and L/C Obligations represent in the aggregate
at least 51% of all outstanding Loans and L/C Obligations. 
  
 “Requirement of Law”: as to any Person, the Certificate of Incorporation and By-Laws or other organizational or governing documents of such Person, and any law, treaty, rule or regulation or
determination of an arbitrator or a court or other Governmental Authority, in each case applicable to or binding upon such Person or any of its property or to which such Person or any of its property is subject. 
  
 “Responsible Officer”: the chief executive
officer, the president, any executive or senior vice president or vice president of the Company, the chief financial officer, treasurer or controller of the Company. 
  
 “Revolving Credit Loans”: as defined in subsection 2.1(a). 
  
 “Revolving Credit Notes”: as defined in
subsection 2.3(e). 
  
 “Riverview
Square”: the office building of the Company located at 201 West Main Street, Louisville, Kentucky 40202. 
  

 14 








 “Significant Subsidiary”: means, at any particular time, any Subsidiary
of the Company that would be a “significant subsidiary” of the Company within the meaning of Rule 1-02 under Regulation S-X promulgated by the Securities Exchange Commission. 
  
 “Single Employer Plan”: any Plan which is not a Multiemployer Plan. 
  
 “Solvent”: with respect to any Person (or
group of Persons) on a particular date, that on such date (i) the fair value of the property of such Person (or group of Persons) is greater than the total amount of liabilities, including, without limitation, contingent liabilities, of such Person
(or group of Persons), (ii) the present fair salable value of the assets of such Person (or group of Persons) is not less than the amount that will be required to pay the probable liability of such Person (or group of Persons) on its debts as they
become absolute and matured, (iii) such Person (or group of Persons) is able to pay its debts and other liabilities, contingent obligations and other commitments as they mature in the normal course of business, (iv) such Person (or group of Persons)
does not intend to, and does not believe that it will, incur debts or liabilities beyond such Person’s (or group of Person’s) ability to pay as such debts and liabilities mature, (v) such Person (or group of Persons) is not engaged in a
business or a transaction, and is not about to engage in a business or a transaction, for which such Person’s (or group of Person’s) property (after giving effect to any engagement in such business or transaction) would constitute
unreasonably small capital after giving due consideration to the prevailing practice in the industry in which such Person (or group of Persons) is engaged and (vi) such Person (or group of Persons) is solvent under all applicable HMO Regulations and
Insurance Regulations. In computing the amount of contingent liabilities at any time, it is intended that such liabilities will be computed at the amount which, in light of all the facts and circumstances existing at such time, represents the amount
that can reasonably be expected to become an actual or matured liability. 
  
 “Standby Letter of Credit”: as defined in subsection 3.1(a). 
  
 “Subsidiary”: as to any Person, a corporation of which shares of stock having ordinary voting power (other than stock
having such power only by reason of the happening of a contingency) to elect a majority of the board of directors or other managers of such corporation are at the time owned, or the management of which is otherwise controlled, directly or indirectly
through one or more intermediaries, or both, by such Person. Unless otherwise qualified, all references to a “Subsidiary” or to “Subsidiaries” in this Agreement shall refer to a Subsidiary or Subsidiaries of the Company.

  
 “Synthetic Lease”: each
arrangement, however described, under which the obligor accounts for its interest in the property covered thereby under GAAP as lessee of a lease which is not a capital lease under GAAP and accounts for its interest in the property covered thereby
for Federal income tax purposes as the owner. 
  
 “Synthetic Lease Interest Components”: with respect to any Person for any period, the portion of rent paid or payable (without duplication) for such period under Synthetic Leases for such Person that would be treated as
interest in accordance with Financial Accounting Standards Board Statement No. 13 if such Synthetic Leases were treated as capital leases under GAAP. 
  

 15 








 “Synthetic Lease Obligation”: as to any Person with respect to any
Synthetic Lease at any time of determination, the amount of the liability of such Person in respect of such Synthetic Lease that would (if such lease was required to be classified and accounted for as a capital lease on a balance sheet of such
Person in accordance with GAAP) be required to be capitalized on the balance sheet of such Person at such time. 
  
 “Taxes”: as defined in subsection 2.15. 
  
 “Termination Date”: the date one day before the fifth anniversary of the Closing Date (or,
if such date is not a Business Day, the next preceding Business Day). 
  
 “Transfer Effective Date”: as defined in each Commitment Transfer Supplement. 
  
 “Transferee”: as defined in subsection 10.6(g). 
  
 “Type”: as to any Revolving Credit Loan, its nature as an Alternate Base Rate Loan or
Eurodollar Loan. 
  
 “Uniform
Customs”: the Uniform Customs and Practice for Documentary Credits (1993 Revision), International Chamber of Commerce Publication No. 500, as the same may be amended from time to time. 
  
 “Voting Stock”: of any corporation, shares
of capital stock or other securities of such corporation entitled to vote generally in the election of directors of such corporation. 
  
 “Waterside Building”: the real property located at 101 East Main Street, Louisville, Kentucky 40202, including the
building housing insurance claim processing operations of the Company. 
  
 “Waterside Garage”: the parking garage of the Company located at 201 North Brook Street, Louisville, Kentucky 40202. 
  
 “Working Day”: any Business Day on which dealings in foreign currencies and exchange
between banks may be carried on in London, England. 
  
 1.2
Other Definitional Provisions. (a) Unless otherwise specified therein, all terms defined in this Agreement shall have the defined meanings when used in the Notes or any certificate or other document made or delivered pursuant hereto.

  
 (b) As used herein and in the other Loan Documents, and any
certificate or other document made or delivered pursuant hereto or thereto, accounting terms relating to the Company and its Subsidiaries not defined in subsection 1.1 and accounting terms partly defined in subsection 1.1, to the extent not defined,
shall have the respective meanings given to them under GAAP. 
  
 (c) The words “hereof”, “herein” and “hereunder” and words of similar import when used in this Agreement shall refer to this Agreement as a whole and not to any particular provision of this Agreement, and
Section, subsection, Schedule and Exhibit references are to this Agreement unless otherwise specified. 
  

 16 








 (d) The meanings given to terms defined herein shall be equally applicable to both the singular and
plural forms of such terms. 
  
 SECTION 2. AMOUNT AND TERMS OF
LOANS 
  
 2.1 Revolving Credit Loans. (a) Subject to the
terms and conditions hereof, each Bank severally agrees to make loans (“Revolving Credit Loans”) to the Company from time to time during the Commitment Period in an aggregate principal amount at any one time outstanding which, when
added to such Bank’s Commitment Percentage of the then outstanding L/C Obligations, does not exceed the Commitment of such Bank, provided that the Aggregate Outstanding Extensions of Credit of all Banks shall not at any time exceed the
aggregate amount of the Commitments. During the Commitment Period the Company may use the Commitments by borrowing, prepaying the Revolving Credit Loans in whole or in part, and reborrowing, all in accordance with the terms and conditions hereof.
The Revolving Credit Loans may be (i) Eurodollar Loans, (ii) Alternate Base Rate Loans or (iii) a combination thereof, as determined by the Company and notified to the Agent in accordance with subsection 2.1(b). Eurodollar Loans shall be made and
maintained by each Bank at its Eurodollar Lending Office, and Alternate Base Rate Loans shall be made and maintained by each Bank at its Domestic Lending Office. 
  
 (b) The Company may borrow under the Commitments during the Commitment Period on any Working Day if the borrowing is of
Eurodollar Loans or on any Business Day if the borrowing is of Alternate Base Rate Loans; provided that the Company shall give the Agent irrevocable notice (which notice must be received by the Agent (i) prior to 11:30 A.M., New York City
time three Working Days prior to the requested Borrowing Date, in the case of Eurodollar Loans, and (ii) prior to 12:00 P.M., New York City time, on the requested Borrowing Date, in the case of Alternate Base Rate Loans), specifying (A) the amount
to be borrowed, (B) the requested Borrowing Date, (C) whether the borrowing is to be of Eurodollar Loans, Alternate Base Rate Loans, or a combination thereof, and (D) if the borrowing is to be entirely or partly of Eurodollar Loans, the length of
the Interest Period therefor. Each borrowing pursuant to the Commitments shall be in an aggregate principal amount equal to the lesser of (i) $10,000,000 or a whole multiple of $1,000,000 in excess thereof and (ii) the then Available Commitments.
Upon receipt of such notice from the Company, the Agent shall promptly notify each Bank thereof. Each Bank will make the amount of its pro rata share of each borrowing available to the Agent for the account of the Company at the office of the Agent
set forth in subsection 10.2 prior to 2:00 P.M., New York City time, on the Borrowing Date requested by the Company in funds immediately available to the Agent. The proceeds of all such Revolving Credit Loans will then be promptly made available to
the Company by the Agent at such office of the Agent by crediting the account of the Company on the books of such office with the aggregate of the amounts made available to the Agent by the Banks. 
  
 2.2 CAF Loans. (a) The Company may borrow CAF Loans from time to time
on any Business Day (in the case of CAF Loans made pursuant to a Fixed Rate Auction Advance Request) or any Working Day (in the case of CAF Loans made pursuant to a LIBOR Auction Advance Request) during the period from the Closing Date until the
date occurring 14 days prior to the Termination Date in the manner set forth in this subsection 2.2 and in amounts such that the Aggregate Outstanding Extensions of Credit of all Banks at any time shall not exceed the aggregate amount of the
Commitments at such time. 
  

 17 








 (b) (i) The Company shall request CAF Loans by delivering a CAF Loan Request to the CAF Loan Agent, not
later than 12:00 Noon (New York City time) four Working Days prior to the proposed Borrowing Date (in the case of a LIBOR Auction Advance Request), and not later than 10:00 A.M. (New York City time) one Business Day prior to the proposed Borrowing
Date (in the case of a Fixed Rate Auction Advance Request). Each CAF Loan Request may solicit bids for CAF Loans in an aggregate principal amount of $10,000,000 or an integral multiple of $1,000,000 in excess thereof and for not more than three
alternative maturity dates for such CAF Loans. The maturity date for each CAF Loan (x) if made pursuant to a Fixed Rate Auction Advance Request, shall be not less than 7 days nor more than 360 days after the Borrowing Date therefor (and in any event
not after the Termination Date) and (y) if made pursuant to a LIBOR Auction Advance Request, shall be one, two, three, six, nine or twelve months after the Borrowing Date therefor (and in any event not after the Termination Date). The CAF Loan Agent
shall promptly notify each CAF Loan Bank by facsimile transmission of the contents of each CAF Loan Request received by it. 
  
 (ii) In the case of a LIBOR Auction Advance Request, upon receipt of notice from the CAF Loan Agent of the contents of such CAF Loan Request, any CAF Loan
Bank that elects, in its sole discretion, to do so, shall irrevocably offer to make one or more CAF Loans at the Applicable LIBOR Auction Advance Rate plus or minus a margin for each such CAF Loan determined by such CAF Loan Bank in its sole
discretion. Any such irrevocable offer shall be made by delivering a CAF Loan Offer to the CAF Loan Agent, before 9:30 A.M., New York City time, three Working Days before the proposed Borrowing Date, setting forth the maximum amount of CAF Loans for
each maturity date, and the aggregate maximum amount for all maturity dates, which such Bank would be willing to make (which amounts may, subject to subsection 2.2(a), exceed such CAF Loan Bank’s Commitment) and the margin above or below the
Applicable LIBOR Auction Advance Rate at which such CAF Loan Bank is willing to make each such CAF Loan; the CAF Loan Agent shall advise the Company before 10:00 A.M., New York City time, three Working Days before the proposed Borrowing Date of the
contents of each such CAF Loan Offer received by it. If the CAF Loan Agent in its capacity as a CAF Loan Bank shall, in its sole discretion, elect to make any such offer, it shall advise the Company of the contents of its CAF Loan Offer before 9:00
A.M., New York City time, three Working Days before the proposed Borrowing Date. 
  
 (iii) In the case of a Fixed Rate Auction Advance Request, upon receipt of notice from the Agent of the contents of such CAF Loan Request, any CAF Loan Bank that elects, in its sole discretion, to do so, shall
irrevocably offer to make one or more CAF Loans at a rate or rates of interest for each such CAF Loan determined by such CAF Loan Bank in its sole discretion. Any such irrevocable offer shall be made by delivering a CAF Loan Offer to the CAF Loan
Agent, before 9:30 A.M., New York City time, on the proposed Borrowing Date, setting forth the maximum amount of CAF Loans for each maturity date, and the aggregate maximum amount for all maturity dates, which such CAF Loan Bank would be willing to
make (which amounts may, subject to subsection 2.2(a), exceed such CAF Loan Bank’s Commitment) and the rate or rates of interest at which such CAF Loan Bank is willing to make each such CAF Loan; the CAF Loan Agent shall advise the Company
before 10:15 A.M., New York City time, on the proposed Borrowing Date of the contents of each such CAF Loan Offer received by it. If the CAF Loan Agent or any affiliate thereof in its capacity as a CAF Loan Bank shall, in its sole discretion, elect
to make any such offer, it shall advise the Company of the contents of its CAF Loan Offer before 9:15 A.M., New York City time, on the proposed Borrowing Date. 
  

 18 








 (iv) The Company shall before 11:00 A.M., New York City time, three Working Days before the proposed
Borrowing Date (in the case of CAF Loans requested by a LIBOR Auction Advance Request) and before 11:00 A.M., New York City time, on the proposed Borrowing Date (in the case of CAF Loans requested by a Fixed Rate Auction Advance Request) either, in
its absolute discretion: 
  
 (A) cancel such CAF
Loan Request by giving the CAF Loan Agent telephone notice to that effect, or 
  
 (B) accept one or more of the offers made by any CAF Loan Bank or CAF Loan Banks pursuant to clause (ii) or clause (iii) above, as the case may be, by giving telephone notice to the CAF Loan Agent (immediately
confirmed by delivery to the CAF Loan Agent of a CAF Loan Confirmation) of the amount of CAF Loans for each relevant maturity date to be made by each CAF Loan Bank (which amount for each such maturity date shall be equal to or less than the maximum
amount for such maturity date specified in the CAF Loan Offer of such CAF Loan Bank, and for all maturity dates included in such CAF Loan Offer shall be equal to or less than the aggregate maximum amount specified in such CAF Loan Offer for all such
maturity dates) and reject any remaining offers made by CAF Loan Banks pursuant to clause (ii) or clause (iii) above, as the case may be; provided, however, that (x) the Company may not accept offers for CAF Loans for any maturity date
in an aggregate principal amount in excess of the maximum principal amount requested in the related CAF Loan Request, (y) if the Company accepts any of such offers, it must accept offers strictly based upon pricing for such relevant maturity date
and no other criteria whatsoever and (z) if two or more CAF Loan Banks submit offers for any maturity date at identical pricing and the Company accepts any of such offers but does not wish to borrow the total amount offered by such CAF Loan Banks
with such identical pricing, the Company shall accept offers from all of such CAF Loan Banks in amounts allocated among them pro rata according to the amounts offered by such CAF Loan Banks (or as nearly pro rata as shall
be practicable after giving effect to the requirement that CAF Loans made by a CAF Loan Bank on a Borrowing Date for each relevant maturity date shall be in a principal amount of $5,000,000 or an integral multiple of $1,000,000 in excess thereof
provided that if the number of CAF Loan Banks that submit offers for any maturity date at identical pricing is such that, after the Company accepts such offers pro rata in accordance with the foregoing, the CAF Loans to be made
by such CAF Loan Banks would be less than $5,000,000 principal amount, the number of such CAF Loan Banks shall be reduced by the CAF Loan Agent by lot until the CAF Loans to be made by such remaining CAF Loan Banks would be in a principal amount of
$5,000,000 or an integral multiple of $1,000,000 in excess thereof). 
  
 (v) If the Company notifies the CAF Loan Agent that a CAF Loan Request is cancelled pursuant to clause (iv)(A) above, the CAF Loan Agent shall give prompt, but in no event more than one hour later, telephone notice thereof to the CAF Loan
Banks, and the CAF Loans requested thereby shall not be made. 
  
 (vi) If the Company accepts pursuant to clause (iv)(B) above one or more of the offers made by any CAF Loan Bank or CAF Loan Banks, the CAF Loan Agent shall promptly, but in no event more than one hour later, notify each CAF Loan Bank which
has made such an offer of the aggregate amount of such CAF Loans to be made on such Borrowing Date for each maturity date and of the acceptance or rejection of any offers to make such CAF Loans 
  

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 made by such CAF Loan Bank. Each CAF Loan Bank which is to make a CAF Loan shall, before 12:00 Noon, New York City time,
on the Borrowing Date specified in the CAF Loan Request applicable thereto, make available to the Agent at its office set forth in subsection 10.2 the amount of CAF Loans to be made by such CAF Loan Bank, in immediately available funds. The Agent
will make such funds available to the Company as soon as practicable on such date at the Agent’s aforesaid address. As soon as practicable after each Borrowing Date, the Agent shall notify each Bank of the aggregate amount of CAF Loans advanced
on such Borrowing Date and the respective maturity dates thereof. 
  
 (c) Within the limits and on the conditions set forth in this subsection 2.2, the Company may from time to time borrow under this subsection 2.2, repay pursuant to subsection 2.3, and reborrow under this subsection 2.2. 
  
 2.3 Repayment of Loans; Evidence of Debt. (a) The Company hereby
unconditionally promises to pay to the Agent for the account of each Bank (i) the then unpaid principal amount of each Revolving Credit Loan of such Bank on the Termination Date (or such earlier date on which the Loans become due and payable
pursuant to Section 8), and (ii) the principal amount of each CAF Loan made by such Bank on the maturity date therefor as set forth in the CAF Loan Request for such CAF Loan (or on such earlier date on which the Loans become due and payable pursuant
to Section 8). The Company hereby further agrees to pay interest on the unpaid principal amount of the Loans from time to time outstanding from the date hereof until payment in full thereof at the rates per annum, and on the dates, set forth in
subsection 2.8. 
  
 (b) Each Bank shall maintain in accordance
with its usual practice an account or accounts evidencing indebtedness of the Company to such Bank resulting from each Loan of such Bank from time to time, including the amounts of principal and interest payable and paid to such Bank from time to
time under this Agreement. 
  
 (c) The Agent shall maintain the
Register pursuant to subsection 10.6(e), and a subaccount therein for each Bank, in which shall be recorded (i) (A) the amount of each Revolving Credit Loan made hereunder, the Type thereof and each Interest Period applicable thereto and (B) the
amount of each CAF Loan made by such Bank, the maturity date therefor as set forth in the CAF Loan Request for such CAF Loan, the interest rate applicable thereto and each Interest Payment Date applicable thereto, (ii) the amount of any principal or
interest due and payable or to become due and payable from the Company to each Bank hereunder and (iii) both the amount of any sum received by the Agent hereunder from the Company and each Bank’s share thereof. 
  
 (d) The entries made in the Register and the accounts of each Bank maintained
pursuant to subsection 2.3(b) shall, to the extent permitted by applicable law, be prima facie evidence of the existence and amounts of the obligations of the Company therein recorded; provided, however, that the failure
of any Bank or the Agent to maintain the Register or any such account, or any error therein, shall not in any manner affect the obligation of the Company to repay (with applicable interest) the Loans made to such Company by such Bank in accordance
with the terms of this Agreement. 
  
 (e) The Company agrees that,
upon the request to the Agent by any Bank, the Company will execute and deliver to such Bank (i) a promissory note of the Company 
  

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 evidencing the Revolving Credit Loans of such Bank, substantially in the form of Exhibit A with appropriate insertions as
to payee, date and principal amount (a “Revolving Credit Note”), (ii) a promissory note of the Company evidencing the initial CAF Loan or Loans of such Bank, substantially in the form of Exhibit B with appropriate insertions (a
“Grid CAF Loan Note”), and/or (iii) a promissory note of the Company evidencing amounts advanced by such Bank pursuant to subsection 2.2 which have the same maturity date and interest rate as amounts advanced by such Bank evidenced
by a Grid CAF Loan Note and which such Bank wishes to constitute more than one CAF Loan (which principal amounts shall not be less than $5,000,000 for any such CAF Loans), substantially in the form of Exhibit C with appropriate insertions (an
“Individual CAF Loan Note”). Upon a Bank’s receipt of an Individual CAF Loan Note evidencing a CAF Loan, such Bank shall endorse on the schedule attached to its Grid CAF Loan Note the transfer of such CAF Loan from such Grid
CAF Loan Note to such Individual CAF Loan Note. 
  
 2.4
Fees. (a) The Company agrees to pay to the Agent, for the account of each Bank, on the last day of each fiscal quarter and on the Termination Date, a facility fee in respect of the average daily amount of the Commitment of such Bank during
such fiscal quarter. Such fee shall be computed at the applicable rate per annum set forth in the Pricing Grid. 
  
 (b) The Company agrees to pay to the Agent, for the account of each Bank, a utilization fee for each Excess Utilization Day at a rate per annum equal to
0.125% on the amount of such Bank’s Aggregate Outstanding Extensions of Credit on such Excess Utilization Day. Any accrued utilization fees shall be payable in arrears on the last day of March, June, September and December of each year,
commencing on the first such date to occur after the date hereof; provided that any utilization fees accruing after the date on which the Commitments terminate shall be payable on demand. All utilization fees shall be computed on the basis of
a year of 360 days and shall be payable for the actual number of days elapsed (including the first day but excluding the last day). 
  
 (c) The Company agrees to pay to the Agent the other fees in the amounts, and on the dates, agreed to by the Company and the Agent in the fee letter,
dated July 29, 2004, between the Agent and the Company. The Agent will distribute to the Banks their respective portions of upfront fees paid by the Company to the Agent, as agreed between the Agent and each Bank. 
  
 2.5 Termination or Reduction of Commitments. The Company shall have
the right, upon not less than five Business Days’ notice to the Agent, to terminate the Commitments or, from time to time, to reduce ratably the amount of the Commitments, provided that no such termination or reduction shall be permitted if,
after giving effect thereto and to any prepayments of the Loans made on the effective date thereof, the then outstanding principal amount of the Loans, when added to the then L/C Obligations, would exceed the amount of the Commitments then in
effect. Any such reduction shall be in an amount of $10,000,000 or a whole multiple of $1,000,000 in excess thereof, and shall reduce permanently the amount of the Commitments then in effect. 
  
 2.6 Optional Prepayments. The Company may at any time and from time to
time, prepay the Revolving Credit Loans, in whole or in part, without premium or penalty (subject to the provisions of subsection 2.16), upon at least three Business Days’ irrevocable notice to the Agent in the case of Eurodollar Loans and one
Business Day’s irrevocable notice to 
  

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 the Agent in the case of Alternate Base Rate Loans, specifying the date and amount of prepayment and whether the
prepayment is of Eurodollar Loans or Alternate Base Rate Loans or a combination thereof, and if of a combination thereof, the amount of prepayment allocable to each. Upon receipt of such notice the Agent shall promptly notify each Bank thereof. If
such notice is given, the payment amount specified in such notice shall be due and payable on the date specified therein, together with accrued interest to such date on the amount prepaid. Partial prepayments shall be in an aggregate principal
amount of $5,000,000, or a whole multiple thereof, and may only be made if, after giving effect thereto, subsection 2.7(c) shall not have been contravened. 
  
 2.7 Conversion Options; Minimum Amount of Loans. 
  
 (a) The Company may elect from time to time to convert Eurodollar Loans to Alternate Base Rate Loans by giving the Agent at least two Business Days’
prior irrevocable notice of such election (given before 10:00 A.M., New York City time, on the date on which such notice is required), provided that any such conversion of Eurodollar Loans shall, subject to the fourth following sentence, only
be made on the last day of an Interest Period with respect thereto. The Company may elect from time to time to convert Alternate Base Rate Loans to Eurodollar Loans by giving the Agent at least three Working Days’ prior irrevocable notice of
such election (given before 11:30 A.M., New York City time, on the date on which such notice is required). Upon receipt of such notice, the Agent shall promptly notify each Bank thereof. Promptly following the date on which such conversion is being
made each Bank shall take such action as is necessary to transfer its portion of such Revolving Credit Loans to its Domestic Lending Office or its Eurodollar Lending Office, as the case may be. All or any part of outstanding Eurodollar Loans and
Alternate Base Rate Loans may be converted as provided herein, provided that, unless the Required Banks otherwise agree, (i) no Revolving Credit Loan may be converted into a Eurodollar Loan when any Event of Default has occurred and is
continuing, (ii) partial conversions shall be in an aggregate principal amount of $5,000,000 or a whole multiple thereof, and (iii) any such conversion may only be made if, after giving effect thereto, subsection 2.7(c) shall not have been
contravened. 
  
 (b) Any Eurodollar Loans may be continued as such
upon the expiration of an Interest Period with respect thereto by compliance by the Company with the notice provisions contained in subsection 2.7(a); provided that, unless the Required Banks otherwise agree, no Eurodollar Loan may be
continued as such when any Event of Default has occurred and is continuing, but shall be automatically converted to an Alternate Base Rate Loan on the last day of the then current Interest Period with respect thereto. The Agent shall notify the
Banks promptly that such automatic conversion contemplated by this subsection 2.7(b) will occur. 
  
 (c) All borrowings, conversions, payments, prepayments and selection of Interest Periods hereunder shall be in such amounts and be made pursuant to such
elections so that, after giving effect thereto, the aggregate principal amount of the Loans comprising any Eurodollar Tranche shall not be less than $10,000,000. At no time shall there be more than six Eurodollar Tranches. 
  

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 2.8 Interest Rate and Payment Dates for Loans. (a) The Eurodollar Loans comprising each Eurodollar
Tranche shall bear interest for each day during each Interest Period with respect thereto on the unpaid principal amount thereof at a rate per annum equal to the Eurodollar Rate plus the Applicable Margin. 
  
 (b) Alternate Base Rate Loans shall bear interest for each day from and
including the date thereof on the unpaid principal amount thereof at a rate per annum equal to the Alternate Base Rate plus the Applicable Margin. 
  
 (c) CAF Loans shall bear interest from the Borrowing Date to the maturity date therefor as set forth in the CAF Loan Request for such CAF Loan on the
unpaid principal amount thereof at the rate of interest determined pursuant to subsection 2.2(b). 
  
 (d) If all or a portion of the (i) principal amount of any Loans, (ii) any interest payable thereon or (iii) any fee or other amount payable hereunder
shall not be paid when due (whether at the stated maturity, by acceleration or otherwise), such overdue amount shall bear interest at a rate per annum which is 2% above the Alternate Base Rate from the date of such non-payment until paid in full
(after as well as before judgment). If all or a portion of the principal amount of any Loans shall not be paid when due (whether at stated maturity, by acceleration or otherwise), each Eurodollar Loan shall, unless the Required Banks otherwise
agree, be converted to an Alternate Base Rate Loan at the end of the last Interest Period with respect thereto. 
  
 (e) Interest shall be payable in arrears on each Interest Payment Date. 
  
 2.9 Computation of Interest and Fees. (a) Interest in respect of Alternate Base Rate Loans shall be calculated on the
basis of a (i) 365-day (or 366-day, as the case may be) year for the actual days elapsed when such Alternate Base Rate Loans are based on the Prime Rate, and (ii) a 360-day year for the actual days elapsed when based on the Base CD Rate or the
Federal Funds Effective Rate. Interest in respect of Eurodollar Loans and CAF Loans shall be calculated on the basis of a 360-day year for the actual days elapsed. The Agent shall as soon as practicable notify the Company and the Banks of each
determination of a Eurodollar Rate. Any change in the interest rate on a Revolving Credit Loan resulting from a change in the Alternate Base Rate or the Applicable Margin or the Eurocurrency Reserve Requirements shall become effective as of the
opening of business on the day on which such change in the Alternate Base Rate is announced, such Applicable Margin changes as provided herein or such change in the Eurocurrency Reserve Requirements shall become effective, as the case may be. The
Agent shall as soon as practicable notify the Company and the Banks of the effective date and the amount of each such change. 
  
 (b) Each determination of an interest rate by the Agent pursuant to any provision of this Agreement shall be conclusive and binding on the Company and the
Banks in the absence of manifest error. The Agent shall, at the request of the Company, deliver to the Company a statement showing the quotations used by the Agent in determining any interest rate pursuant to subsection 2.8. 
  
 (c) If any Reference Bank’s Commitment shall terminate (otherwise than
on termination of all the Commitments), or its Revolving Credit Loans shall be assigned for any reason whatsoever, such Reference Bank shall thereupon cease to be a Reference Bank, and if, as 
  

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 a result of the foregoing, there shall only be one Reference Bank remaining, then the Agent (after consultation with the
Company and the Banks) shall, by notice to the Company and the Banks, designate another Bank as a Reference Bank so that there shall at all times be at least two Reference Banks. 
  
 (d) Each Reference Bank shall use its best efforts to furnish quotations of rates to the Agent as contemplated hereby. If
any of the Reference Banks shall be unable or otherwise fails to supply such rates to the Agent upon its request, the rate of interest shall be determined on the basis of the quotations of the remaining Reference Banks or Reference Bank. 

 
 (e) Facility fees shall be computed on the basis of a 365-day year for the
actual days elapsed. 
  
 2.10 Inability to Determine Interest
Rate. In the event that: 
  
 (i) the Agent
shall have determined in its reasonable judgment (which determination shall be conclusive and binding upon the Company) that, by reason of circumstances affecting the interbank eurodollar market generally, adequate and reasonable means do not exist
for ascertaining the Eurodollar Rate for any requested Interest Period; 
  
 (ii) only one of the Reference Banks is able to obtain bids for its Dollar deposits for such Interest Period in the manner contemplated by the term “Eurodollar Rate”; or 
  
 (iii) the Agent shall have received notice prior to the
first day of such Interest Period from Banks constituting the Required Banks that the interest rate determined pursuant to subsection 2.8(a) for such Interest Period does not accurately reflect the cost to such Banks (as conclusively certified by
such Banks) of making or maintaining their affected Loans during such Interest Period; 
  
 with respect to (A) proposed Revolving Credit Loans that the Company has requested be made as Eurodollar Loans, (B) Eurodollar Loans that will result from the requested conversion of Alternate Base Rate Loans into Eurodollar Loans or (C)
the continuation of Eurodollar Loans beyond the expiration of the then current Interest Period with respect thereto, the Agent shall forthwith give facsimile or telephonic notice of such determination to the Company and the Banks at least one day
prior to, as the case may be, the requested Borrowing Date for such Eurodollar Loans, the conversion date of such Loans or the last day of such Interest Period. If such notice is given (x) any requested Eurodollar Loans shall be made as Alternate
Base Rate Loans, (y) any Alternate Base Rate Loans that were to have been converted to Eurodollar Loans shall be continued as Alternate Base Rate Loans and (z) any outstanding Eurodollar Loans shall be converted, on the last day of the then current
Interest Period with respect thereto, to Alternate Base Rate Loans. Until such notice has been withdrawn by the Agent, no further Eurodollar Loans shall be made, nor shall the Company have the right to convert Alternate Base Rate Loans to Eurodollar
Loans. The Agent shall withdraw such notice upon its determination that the event or events which gave rise to such notice no longer exist. 
  

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 2.11 Pro Rata Borrowings and Payments. (a) Each borrowing by the Company of Revolving Credit Loans
shall be made ratably from the Banks in accordance with their Commitment Percentages. 
  
 (b) Whenever any payment received by the Agent under this Agreement or any Note is insufficient to pay in full all amounts then due and payable to the Agent and the Banks under this Agreement and the Notes, and the
Agent has not received a Payment Sharing Notice (or if the Agent has received a Payment Sharing Notice but the Event of Default specified in such Payment Sharing Notice has been cured or waived), such payment shall be distributed and applied by the
Agent and the Banks in the following order: first, to the payment of fees and expenses due and payable to the Agent under and in connection with this Agreement; second, to the payment of all expenses due and payable under subsection
10.5(a), ratably among the Banks in accordance with the aggregate amount of such payments owed to each such Bank; third, to the payment of fees due and payable under (i) subsection 2.4, ratably among the Banks in accordance with their
Commitment Percentages, (ii) the first sentence of subsection 3.3(a) ratably among the L/C Participants in accordance with their Commitment Percentage and (iii) the second sentence of subsection 3.3(a) to the Issuing Bank; fourth, to the
payment of interest then due and payable on the Loans, ratably among the Banks in accordance with the aggregate amount of interest owed to each such Bank; and fifth, to the payment of the principal amount of the Loans which is then due and
payable, ratably among the Banks in accordance with the aggregate principal amount owed to each such Bank. 
  
 (c) After the Agent has received a Payment Sharing Notice which remains in effect, all payments received by the Agent under this Agreement or any Note
shall be distributed and applied by the Agent and the Banks in the following order: first, to the payment of all amounts described in clauses first through third of the foregoing paragraph (b), in the order set forth therein;
and second, to the payment of the interest accrued on and the principal amount of all of the Loans, regardless of whether any such amount is then due and payable, ratably among the Banks in accordance with the aggregate accrued interest plus
the aggregate principal amount owed to such Bank. 
  
 (d) All
payments (including prepayments) to be made by the Company on account of principal, interest and fees shall be made without set-off or counterclaim and shall be made to the Agent, for the account of the Banks, at the Agent’s office set forth in
subsection 10.2, in lawful money of the United States of America and in immediately available funds. The Agent shall distribute such payments to the Banks promptly upon receipt in like funds as received. If any payment hereunder (other than payments
on the CAF Loans made pursuant to a LIBOR Auction Advance Request) becomes due and payable on a day other than a Business Day, such payment shall be extended to the next succeeding Business Day, and, with respect to payments of principal, interest
thereon shall be payable at the then applicable rate during such extension. If any payment on a CAF Loan made pursuant to a LIBOR Auction Advance Request becomes due and payable on a day other than a Working Day, the maturity thereof shall be
extended to the next succeeding Working Day unless the result of such extension would be to extend such payment into another calendar month in which event such payment shall be made on the immediately preceding Working Day. 
  
 (e) Unless the Agent shall have been notified in writing by any Bank prior to
a Borrowing Date that such Bank will not make the amount which would constitute its Commitment Percentage of the borrowing of Revolving Credit Loans on such date available to 
  

 25 








 the Agent, the Agent may assume that such Bank has made such amount available to the Agent on such Borrowing Date, and
the Agent may, in reliance upon such assumption, make available to the Company a corresponding amount. If such amount is made available to the Agent on a date after such Borrowing Date, such Bank shall pay to the Agent on demand an amount equal to
the product of (i) the daily average Federal Funds Effective Rate during such period as quoted by the Agent, times (ii) the amount of such Bank’s Commitment Percentage of such borrowing, times (iii) a fraction the numerator of which is the
number of days that elapse from and including such Borrowing Date to the date on which such Bank’s Commitment Percentage of such borrowing shall have become immediately available to the Agent and the denominator of which is 360. A certificate
of the Agent submitted to any Bank with respect to any amounts owing under this subsection 2.11(e) shall be conclusive, absent manifest error. If such Bank’s Commitment Percentage of such borrowing is not in fact made available to the Agent by
such Bank within three Business Days of such Borrowing Date, the Agent shall be entitled to recover such amount with interest thereon at the rate per annum applicable to Alternate Base Rate Loans hereunder, on demand, from the Company. 

 
 2.12 Illegality. Notwithstanding any other provisions herein, if
after the date hereof the adoption of or any change in any Requirement of Law or in the interpretation or application thereof shall make it unlawful for any Bank to make or maintain Eurodollar Loans as contemplated by this Agreement, (a) the Bank
shall, within 30 Working Days after it becomes aware of such fact, notify the Company, through the Agent, of such fact, (b) the commitment of such Bank hereunder to make Eurodollar Loans or convert Alternate Base Rate Loans to Eurodollar Loans shall
forthwith be cancelled and (c) such Bank’s Revolving Credit Loans then outstanding as Eurodollar Loans, if any, shall be converted automatically to Alternate Base Rate Loans on the respective last days of the then current Interest Periods for
such Revolving Credit Loans or within such earlier period as required by law. Each Bank shall take such action as may be reasonably available to it without material legal or financial disadvantage (including changing its Eurodollar Lending Office)
to prevent the adoption of or any change in any such Requirement of Law from becoming applicable to it. 
  
 2.13 Requirements of Law. (a) If after the date hereof the adoption of or any change in any Requirement of Law or in the interpretation or
application thereof or compliance by any Bank with any request or directive (whether or not having the force of law) after the date hereof from any central bank or other Governmental Authority: 
  
 (i) shall subject any Bank to any tax of any kind whatsoever
(other than a withholding tax) with respect to this Agreement, any Revolving Credit Note, any Letter of Credit, any Application or any Eurodollar Loans made by it, or change the basis of taxation of payments to such Bank of principal, facility fee,
interest or any other amount payable hereunder in respect of Revolving Credit Loans (except for changes in the rate of tax on the overall net income of such Bank); 
  
 (ii) shall impose, modify or hold applicable any reserve, special deposit, compulsory loan or similar
requirement against assets held by, or deposits or other liabilities in or for the account of, advances or loans by, or other credit extended by, or any other acquisition of funds by, any office of such Bank which are not otherwise included in the
determination of the Eurodollar Rate hereunder; or 
  
 (iii) shall impose on such Bank any other condition; 
  

 26 








 and the result of any of the foregoing is to increase the cost to such Bank, by any amount which such Bank reasonably
deems to be material, of making, renewing or maintaining advances or extensions of credit (including, without limitation, issuing or participating in Letters of Credit) or to reduce any amount receivable hereunder, in each case, in respect thereof,
then, in any such case, the Company shall promptly pay such Bank, upon its demand, any additional amounts necessary to compensate such Bank for such additional cost or reduced amount receivable; provided, however, that notwithstanding
anything contained in this subsection 2.13(a) to the contrary, such Bank shall not be entitled to receive any amounts pursuant to this subsection 2.13(a) that it is also entitled to pursuant to subsection 2.15(a). If a Bank becomes entitled to claim
any additional amounts pursuant to this subsection 2.13(a), it shall, within 30 Business Days after it becomes aware of such fact, notify the Company, through the Agent, of the event by reason of which it has become so entitled. A certificate as to
any additional amounts payable pursuant to the foregoing sentence submitted by such Bank, through the Agent, to the Company shall be conclusive in the absence of manifest error. Each Bank shall take such action as may be reasonably available to it
without legal or financial disadvantage (including changing its Eurodollar Lending Office) to prevent any such Requirement of Law or change from becoming applicable to it. This covenant shall survive the termination of this Agreement and payment of
the outstanding Revolving Credit Notes and all other amounts payable hereunder. 
  
 (b) In the event that after the date hereof a Bank is required to maintain reserves of the type contemplated by the definition of “Eurocurrency Reserve Requirements”, such Bank may require the Company to
pay, promptly after receiving notice of the amount due, additional interest on the related Eurodollar Loan of such Bank at a rate per annum determined by such Bank up to but not exceeding the excess of (i) (A) the applicable Eurodollar Rate divided
by (B) one minus the Eurocurrency Reserve Requirements over (ii) the applicable Eurodollar Rate. Any Bank wishing to require payment of any such additional interest on account of any of its Eurodollar Loans shall notify the Company no more
than 30 Working Days after each date on which interest is payable on such Eurodollar Loan of the amount then due it under this subsection 2.13(b), in which case such additional interest on such Eurodollar Loan shall be payable to such Bank at the
place indicated in such notice. Each such notification shall be accompanied by such information as the Company may reasonably request. 
  
 2.14 Capital Adequacy. If any Bank shall have determined that after the date hereof the adoption of or any change in any Requirement of Law
regarding capital adequacy or in the interpretation or application thereof or compliance by such Bank or any corporation controlling such Bank with any request or directive after the date hereof regarding capital adequacy (whether or not having the
force of law) from any central bank or Governmental Authority, does or shall have the effect of reducing the rate of return on such Bank’s or such corporation’s capital as a consequence of its obligations hereunder or under any Letter of
Credit to a level below that which such Bank or such corporation could have achieved but for such adoption, change or compliance (taking into consideration such Bank’s or such corporation’s policies with respect to capital adequacy) by an
amount which is reasonably deemed by such Bank to be material, then from time to time, promptly after submission by such Bank, through the Agent, to the Company of a written request therefor (such request shall include details reasonably sufficient
to establish the basis for such additional amounts payable and shall be submitted to the Company within 30 Working Days after it becomes aware of such fact), the Company shall promptly pay to such Bank such additional amount or amounts as will
compensate such Bank for such reduction. The agreements in this subsection 2.14 shall survive the termination of this Agreement and payment of the Loans and the Notes and all other amounts payable hereunder. 
  

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 2.15 Taxes. (a) All payments made by the Company under this Agreement shall be made free and clear
of, and without reduction or withholding for or on account of, any present or future income, stamp or other taxes, levies, imposts, duties, charges, fees, deductions or withholdings, now or hereafter imposed, levied, collected, withheld or assessed
by any Governmental Authority excluding, in the case of the Agent and each Bank, net income and franchise taxes imposed on the Agent or such Bank by the jurisdiction under the laws of which the Agent or such Bank is organized or any political
subdivision or taxing authority thereof or therein, or by any jurisdiction in which such Bank’s Domestic Lending Office or Eurodollar Lending Office, as the case may be, is located or any political subdivision or taxing authority thereof or
therein (all such non-excluded taxes, levies, imposts, deductions, charges or withholdings being hereinafter called “Taxes”). If any Taxes are required to be withheld from any amounts payable to the Agent or any Bank hereunder or under the
Notes, the amounts so payable to the Agent or such Bank shall be increased to the extent necessary to yield to the Agent or such Bank (after payment of all Taxes) interest or any such other amounts payable hereunder at the rates or in the amounts
specified in this Agreement and the Notes. Whenever any Taxes are payable by the Company, as promptly as possible thereafter, the Company shall send to the Agent for its own account or for the account of such Bank, as the case may be, a certified
copy of an original official receipt that is received by the Company showing payment thereof (or, if no official receipt is received by the Company, a statement of the Company indicating payment thereof). If the Company fails to pay any Taxes when
due to the appropriate taxing authority or fails to remit to the Agent the required receipts or other required documentary evidence, the Company shall indemnify the Agent and the Banks for any incremental taxes, interest or penalties that may become
payable by the Agent or any Bank as a result of any such failure, except to the extent such failure is attributable to a failure by a Non-U.S. Bank to comply with the form delivery and notice requirements of paragraph (b) below. 
  
 (b) Each Bank (or Transferee) that is not a citizen or resident of the United
States of America, a corporation, partnership or other entity created or organized in or under the laws of the United States of America (or any jurisdiction thereof), or any estate or trust that is subject to federal income taxation regardless of
the source of its income (a “Non-U.S. Bank”) shall deliver to the Company and the Agent (or, in the case of a Participant, to the Bank from which the related participation shall have been purchased) two copies of either U.S.
Internal Revenue Service Form W-8BEN or Form W-8ECI, or any subsequent versions thereof or successors thereto, properly completed and duly executed by such Non-U.S. Bank claiming complete exemption from, U.S. federal withholding tax on all payments
by the Company under this Agreement and the other Loan Documents. Such forms shall be delivered by each Non-U.S. Bank on or before the date it becomes a party to this Agreement (or, in the case of any Participant, on or before the date such
Participant purchases the related participation). In addition, each Non-U.S. Bank shall deliver such forms promptly upon the obsolescence or invalidity of any form previously delivered by such Non-U.S. Bank. Each Non-U.S. Bank shall promptly notify
the Company at any time it determines that it is no longer in a position to provide any previously delivered certificate to the Company (or any other form of certification adopted by the U.S. taxing authorities for such purpose). Notwithstanding any
other provision of this paragraph, a Non-U.S. Bank shall not be required to deliver any form pursuant to this paragraph that such Non-U.S. Bank is not legally able to deliver, provided, however, that in the event that the failure to be
able to deliver such form is not attributable to a change in law, the Company shall be relieved of the obligation to make additional payments under subsection 2.15(a) above. 
  

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 (c) The agreements in subsection 2.15 shall survive the termination of this Agreement and the payment of
the Loans and all other amounts payable hereunder. 
  
 2.16
Indemnity. The Company agrees to indemnify each Bank and to hold each Bank harmless from any loss or expense (other than any loss of anticipated margin or profit) which such Bank may sustain or incur as a consequence of (a) default by the
Company in payment when due of the principal amount of or interest on any Eurodollar Loans of such Bank, (b) default by the Company in making a borrowing or conversion after the Company has given a notice of borrowing in accordance with subsection
2.1(b) or a notice of continuation or conversion pursuant to subsection 2.7, (c) default by the Company in making any prepayment after the Company has given a notice in accordance with subsection 2.6 or (d) the making of a prepayment of a Eurodollar
Loan on a day which is not the last day of an Interest Period with respect thereto, including, without limitation, in each case, any such loss or expense arising from the reemployment of funds obtained by it to maintain its Eurodollar Loans
hereunder or from fees payable to terminate the deposits from which such funds were obtained. Any Bank claiming any amount under this subsection 2.16 shall provide calculations, in reasonable detail, of the amount of its loss or expense. This
covenant shall survive termination of this Agreement and payment of the outstanding Loans and all other amounts payable hereunder. 
  
 2.17 Application of Proceeds of Loans. Subject to the provisions of the following sentence, the Company may use the proceeds of the Loans for any
lawful general corporate purpose, including acquisitions. The Company will not, directly or indirectly, apply any part of the proceeds of any such Loan for the purpose of “purchasing” or “carrying” any Margin Stock within the
respective meanings of each of the quoted terms under Regulation U, or to refund any indebtedness incurred for such purpose, provided that the Company may use the proceeds of Loans for such purposes, if such usage does not violate Regulation U as
now and from time to time hereafter in effect. 
  
 2.18 Notice
of Certain Circumstances; Assignment of Commitments Under Certain Circumstances. (a) Any Bank claiming any additional amounts payable pursuant to subsections 2.13, 2.14 or 2.15 or exercising its rights under subsection 2.12, shall, in accordance
with the respective provisions thereof, provide notice to the Company and the Agent. Such notice to the Company and the Agent shall include details reasonably sufficient to establish the basis for such additional amounts payable or the rights to be
exercised by the Bank. 
  
 (b) Any Bank claiming any additional
amounts payable pursuant to subsections 2.13, 2.14 or 2.15 or exercising its rights under subsection 2.12, shall use reasonable efforts (consistent with legal and regulatory restrictions) to file any certificate or document requested by the Company
or to change the jurisdiction of its applicable lending office if the making of such filing or change would avoid the need for or reduce the amount of any such additional amounts which may thereafter accrue or avoid the circumstances giving rise to
such exercise and would not, in the reasonable determination of such Bank, be otherwise disadvantageous in any material respect to such Bank. 
  
 (c) In the event that the Company shall be required to make any additional payments to any Bank pursuant to subsections 2.13, 2.14 or 2.15 or any Bank
shall exercise its 
  

 29 








 rights under subsection 2.12, the Company shall have the right at its own expense, upon notice to such Bank and the
Agent, to require such Bank to transfer and to assign without recourse (in accordance with and subject to the terms of subsection 10.6) all its interest, rights and obligations under this Agreement to another financial institution (including any
Bank) acceptable to the Agent (which approval shall not be unreasonably withheld) which shall assume such obligations; provided that (i) no such assignment shall conflict with any Requirement of Law and (ii) such assuming financial
institution shall pay to such Bank in immediately available funds on the date of such assignment the outstanding principal amount of such Bank’s Loans together with accrued interest thereon and all other amounts accrued for its account or owed
to it hereunder, including, but not limited to additional amounts payable under subsections 2.4, 2.12, 2.13, 2.14, 2.15 and 2.16. 
  
 2.19 Regulation U. (a) If at any time the Company shall use the proceeds of any Loans for the purpose of “purchasing” or
“carrying” any Margin Stock within the respective meanings of each of the quoted terms under Regulation U, or to refund any indebtedness incurred for such purpose, and, after giving effect to such purchase or refund, more than 25% of the
value (determined in accordance with Regulation U) of the assets subject to the restrictions of Section 7 would be represented by Margin Stock, the Company shall give notice thereof to the Agent and the Banks, and thereafter the Loans made by each
Bank shall at all times be treated for purposes of Regulation U as two separate extensions of credit (the “A Credit” and the “B Credit” of such Bank and, collectively, the “A Credits” and the “B Credits”), as
follows: 
  
 (i) the aggregate amount of the A
Credit of such Bank shall be an amount equal to such Bank’s pro rata share (based on the amount of its Commitment Percentage) of the maximum loan value (as determined in accordance with Regulation U), of all Margin Stock Collateral; and

  
 (ii) the aggregate amount of the B Credit of
such Bank shall be an amount equal to such Bank’s pro rata share (based on the amount of its Commitment Percentage) of all Loans outstanding hereunder minus such Bank’s A Credit. 
  
 In the event that any Margin Stock Collateral is acquired or sold, the amount of the A Credit
of such Bank shall be adjusted (if necessary), to the extent necessary by prepayment, to an amount equal to such Bank’s pro rata share (based on the amount of its Commitment Percentage) of the maximum loan value (determined in accordance with
Regulation U) as of the date of such acquisition or sale) of the Margin Stock Collateral immediately after giving effect to such acquisition or sale. Nothing contained in this subsection 2.19 shall be deemed to permit any sale of Margin Stock
Collateral in violation of any other provisions of this Agreement. 
  
 (b) Each Bank will maintain its records to identify the A Credit of such Bank and the B Credit of such Bank, and, solely for the purposes of complying with Regulation U, the A and B Credits shall be treated as separate extensions of credit.
Each Bank hereby represents and warrants that the loan value of the Other Collateral is sufficient for such Bank to lend its pro rata share of the B Credit. 
  
 (c) The benefits of the indirect security in Margin Stock Collateral created by any provisions of this Agreement shall be allocated first to the
benefit and security of the payment of the principal of and interest on the A Credits of the Banks and of all other amounts payable by the Company under this Agreement in connection with the A Credits (collectively, 
  

 30 








 the “A Credit Amounts”) and second, only after the payment in full of the A Credit Amounts, to
the benefit and security of the payment of the principal of and interest on the B Credits of the Banks and of all other amounts payable by the Company under this Agreement in connection with the B Credits (collectively, the “B Credit
Amounts”). The benefits of the indirect security in Other Collateral created by any provisions of this Agreement, shall be allocated first to the benefit and security of the payment of the B Credit Amounts and second, only
after the payment in full of the B Credit Amounts, to the benefit and security of the payment of the A Credit Amounts. 
  
 (d) The Company shall furnish to each Bank at the time of each acquisition and sale of Margin Stock Collateral such information and documents as the Agent
or such Bank may require to determine the A and B Credits, and at any time and from time to time, such other information and documents as the Agent or such Bank may reasonably require to determine compliance with Regulation U. 
  
 (e) Each Bank shall be responsible for its own compliance with and
administration of the provisions of this subsection 2.19 and Regulation U, and the Agent shall have no responsibility for any determinations or allocations made or to be made by any Bank as required by such provisions. 
  
 SECTION 3. LETTERS OF CREDIT 
  
 3.1 L/C Sublimit. (a) Prior to the Closing Date, the Existing Issuing
Bank has issued the Existing Letters of Credit that, from and after the Closing Date, shall constitute Letters of Credit hereunder. Subject to the terms and conditions hereof, the Issuing Bank, in reliance on the agreements of the other Banks set
forth in subsection 3.4(a), agrees to issue letters of credit (the letters of credit issued on and after the Closing Date pursuant to this Section 3, together with the Existing Letters of Credit, collectively, the “Letters of
Credit”) for the account of the Company on any Business Day during the Commitment Period in such form as may be approved from time to time by the Issuing Bank; provided that the Issuing Bank shall have no obligation to issue any Letter of
Credit if, after giving effect to such issuance, (i) the L/C Obligations would exceed the L/C Sublimit or (ii) the Available Commitment would be less than zero. Each Letter of Credit shall (i) be denominated in Dollars, (ii) be either (A) a standby
letter of credit issued to support obligations of the Company or its Subsidiaries, contingent or otherwise (a “Standby Letter of Credit”) or (B) a commercial letter of credit issued in respect of the purchase of goods or services by
the Company or its Subsidiaries in the ordinary course of business (a “Commercial Letter of Credit”) and (iii) expire no later than the Termination Date. 
  
 (b) Each Letter of Credit shall be subject to the Uniform Customs and, to the extent not inconsistent therewith, the laws of
the State of New York. 
  
 (c) The Issuing Bank shall not at any
time be obligated to issue any Letter of Credit hereunder if such issuance would conflict with, or cause the Issuing Bank or any L/C Participant to exceed any limits imposed by, any applicable Requirement of Law. 
  
 (d) No Standby Letter of Credit shall have an expiry date more than 365 days
after its date of issuance, provided that any such Standby Letter of Credit may provide that it is automatically renewed on each anniversary of issuance thereof for additional one-year periods unless the beneficiary is otherwise notified by
the issuer of such Standby Letter of Credit. 
  

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 (e) No Commercial Letter of Credit shall have an expiry date more than 180 days after its date of
issuance. 
  
 3.2 Procedure for Issuance of Letters of
Credit. The Company may from time to time request that the Issuing Bank issue a Letter of Credit by delivering to the Issuing Bank at its address for notices specified herein an Application therefor, completed to the satisfaction of the Issuing
Bank, and such other certificates, documents and other papers and information as the Issuing Bank may request. Upon receipt of any Application, the Issuing Bank will process such Application and the certificates, documents and other papers and
information delivered to it in connection therewith in accordance with its customary procedures and shall promptly issue the Letter of Credit requested thereby (but in no event shall the Issuing Bank be required to issue any Letter of Credit earlier
than three Business Days after its receipt of the Application therefor and all such other certificates, documents and other papers and information relating thereto) by issuing the original of such Letter of Credit to the beneficiary thereof or as
otherwise may be agreed by the Issuing Bank and the Company. The Issuing Bank shall furnish a copy of such Letter of Credit to the Company promptly following the issuance thereof. 
  
 3.3 Fees, Commissions and Other Charges. (a) The Company will pay to the Agent, for the account of the L/C
Participants to be shared by them ratably in accordance with their respective Commitment Percentages, a fee on the undrawn and unexpired amount of all outstanding Letters of Credit at a per annum rate equal to the Applicable Margin then in effect
with respect to Eurodollar Loans; such fee shall be payable quarterly in arrears on each Fee Payment Date after the issuance date of the applicable Letter of Credit. In addition, the Company shall pay to the Issuing Bank for its own account a
fronting fee of 0.125% per annum on the undrawn and unexpired amount of each Letter of Credit, payable quarterly in arrears on each Fee Payment Date after the issuance date of the applicable Letter of Credit. 
  
 (b) In addition to the foregoing fees, the Company shall pay or reimburse the
Issuing Bank for such normal and customary costs and expenses as are incurred or charged by the Issuing Bank in issuing, effecting payment under, amending or otherwise administering any Letter of Credit. 
  
 (c) The Agent shall, promptly following its receipt thereof, distribute to
the Issuing Bank and the L/C Participants all fees received by the Agent for their respective accounts pursuant to this subsection. 
  
 (d) Fees in subsection (a) above shall be computed on the basis of a 360-day year for the actual days elapsed. 
  
 3.4 L/C Participation. (a) The Issuing Bank irrevocably agrees to
grant and hereby grants to each L/C Participant, and, to induce the Issuing Bank to issue Letters of Credit hereunder, each L/C Participant irrevocably agrees to accept and purchase and hereby accepts and purchases from the Issuing Bank, on the
terms and conditions hereinafter stated, for such L/C Participant’s own account and risk an undivided interest equal to such L/C Participant’s Commitment Percentage in the Issuing Bank’s obligations and rights under each Letter of
Credit issued hereunder and the amount of each draft paid by the Issuing Bank thereunder. Each L/C 
  

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 Participant unconditionally and irrevocably agrees with the Issuing Bank that, if a draft is paid under any Letter of
Credit for which the Issuing Bank is not reimbursed in full by the Company in accordance with the terms of this Agreement, such L/C Participant shall pay to the Issuing Bank upon demand at the Issuing Bank’s address for notices specified herein
an amount equal to such L/C Participant’s Commitment Percentage of the amount of such draft, or any part thereof, which is not so reimbursed. 
  
 (b) If any amount required to be paid by any L/C Participant to the Issuing Bank pursuant to subsection 3.4(a) in respect of any unreimbursed portion of
any payment made by the Issuing Bank under any Letter of Credit is paid to the Issuing Bank within three Business Days after the date such payment is due, such L/C Participant shall pay to the Issuing Bank on demand an amount equal to the product of
(i) such amount, times (ii) the daily average Federal funds rate, as quoted by the Issuing Bank, during the period from and including the date such payment is required to the date on which such payment is immediately available to the Issuing Bank,
times (iii) a fraction the numerator of which is the number of days that elapse during such period and the denominator of which is 360. If any such amount required to be paid by any L/C Participant pursuant to subsection 3.4(a) is not in fact made
available to the Issuing Bank by such L/C Participant within three Business Days after the date such payment is due, the Issuing Bank shall be entitled to recover from such L/C Participant, on demand, such amount with interest thereon calculated
from such due date at the rate per annum applicable to Revolving Credit Loans that are Alternate Base Rate Loans hereunder. A certificate of the Issuing Bank submitted to any L/C Participant with respect to any amounts owing under this subsection
shall be conclusive in the absence of manifest error. 
  
 (c)
Whenever, at any time after the Issuing Bank has made payment under any Letter of Credit and has received from any L/C Participant its pro rata share of such payment in accordance with subsection 3.4(a), the Issuing Bank receives any
payment related to such Letter of Credit (whether directly from the Company or otherwise, including proceeds of collateral, if any, applied thereto by the Issuing Bank), or any payment of interest on account thereof, the Issuing Bank will distribute
to such L/C Participant its pro rata share thereof; provided, however, that in the event that any such payment received by the Issuing Bank shall be required to be returned by the Issuing Bank, such L/C Participant shall
return to the Issuing Bank the portion thereof previously distributed by the Issuing Bank to it. 
  
 3.5 Reimbursement Obligation of the Company. The Company agrees to reimburse the Issuing Bank on each date on which the Issuing Bank notifies the
Company of the date and amount of a draft presented under any Letter of Credit and paid by the Issuing Bank for the amount of (a) such draft so paid and (b) any taxes, fees, charges or other costs or expenses incurred by the Issuing Bank in
connection with such payment. Each such payment shall be made to the Issuing Bank at its address for notices specified herein in lawful money of the United States of America and in immediately available funds. Interest shall be payable on any and
all amounts remaining unpaid by the Company under this subsection from the date such amounts become payable (whether at stated maturity, by acceleration or otherwise) until payment in full at a rate per annum equal to the Alternate Base Rate plus
2%. 
  
 3.6 Obligations Absolute. The Company’s
obligations under this Section 3 shall be absolute and unconditional under any and all circumstances and irrespective of any set-off, counterclaim or defense to payment which the Company may have or have had against the Issuing Bank or any
beneficiary of a Letter of Credit. The Company also agrees with the Issuing 
  

 33 








 Bank that the Issuing Bank shall not be responsible for, and the Company’s Reimbursement Obligations under
subsection 3.5 shall not be affected by, among other things, the validity or genuineness of documents or of any endorsements thereon, even though such documents shall in fact prove to be invalid, fraudulent or forged, or any dispute between or among
the Company and any beneficiary of any Letter of Credit or any other party to which such Letter of Credit may be transferred or any claims whatsoever of the Company against any beneficiary of such Letter of Credit or any such transferee. The Issuing
Bank shall not be liable for any error, omission, interruption or delay in transmission, dispatch or delivery of any message or advice, however transmitted, in connection with any Letter of Credit, except for errors or omissions caused by the
Issuing Bank’s gross negligence or willful misconduct. The Company agrees that any action taken or omitted by the Issuing Bank under or in connection with any Letter of Credit or the related drafts or documents, if done in the absence of gross
negligence of willful misconduct and in accordance with the standards of care specified in the Uniform Commercial Code of the State of New York, shall be binding on the Company and shall not result in any liability of the Issuing Bank to the
Company. 
  
 3.7 Letter of Credit Payments. If any draft
shall be presented for payment under any Letter of Credit, the Issuing Bank shall promptly notify the Company of the date and amount thereof. The responsibility of the Issuing Bank to the Company in connection with any draft presented for payment
under any Letter of Credit shall, in addition to any payment obligation expressly provided for in such Letter of Credit, be limited to determining that the documents (including each draft) delivered under such Letter of Credit in connection with
such presentment are in conformity with such Letter of Credit. 
  
 3.8 Application. To the extent that any provision of any Application related to any Letter of Credit is inconsistent with the provisions of this Section 3, the provisions of this Section 3 shall apply. 
  
 SECTION 4. REPRESENTATIONS AND WARRANTIES 
  
 The Company hereby represents and warrants that: 
  
 4.1 Corporate Existence; Compliance with Law. Each of the Company and
its Subsidiaries (a) is duly organized, validly existing and in good standing under the laws of the jurisdiction of its organization, (b) has the corporate power and authority, and the legal right, to make, deliver and perform the Loan Documents to
which it is a party, to own and operate its property, to lease the property it operates as lessee and to conduct the business in which it is currently engaged, (c) is duly qualified as a foreign corporation and in good standing under the laws of
each jurisdiction where its ownership, lease or operation of property or the conduct of its business requires such qualification and (d) is in compliance with all Requirements of Law, including, without limitation, HMO Regulations and Insurance
Regulations, except to the extent that the failure to be so qualified or to comply therewith would not have a Material Adverse Effect. 
  
 4.2 No Legal Obstacle to Agreement; Enforceability. Neither the execution and delivery of any Loan Document, nor the making by the Company of any
borrowings hereunder, nor the consummation of any transaction herein or therein referred to or contemplated hereby or thereby nor the fulfillment of the terms hereof or thereof or of any agreement or 
  

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 instrument referred to in this Agreement, has constituted or resulted in or will constitute or result in a breach of any
Requirement of Law, including without limitation, HMO Regulations and Insurance Regulations, or any Contractual Obligation of the Company or any of its Subsidiaries, or result in the creation under any agreement or instrument of any security
interest, lien, charge or encumbrance upon any of the assets of the Company or any of its Subsidiaries. No approval, authorization or other action by any Governmental Authority, including, without limitation, HMO Regulators and Insurance Regulators,
or any other Person is required to be obtained by the Company or any of its Subsidiaries in connection with the execution, delivery and performance of this Agreement or the other Loan Documents or the transactions contemplated hereby or thereby, or
the making of any borrowing by the Company hereunder. This Agreement has been, and each other Loan Document will be, duly executed and delivered on behalf of the Company. This Agreement constitutes, and each other Loan Document when executed and
delivered will constitute, a legal, valid and binding obligation of the Company enforceable against the Company in accordance with its terms, except as enforceability may be limited by applicable bankruptcy, insolvency, reorganization, moratorium or
similar laws affecting the enforcement of creditors’ rights generally and by general equitable principles (whether enforcement is sought by proceedings in equity or at law). 
  
 4.3 Litigation. Except as disclosed in the Company’s Annual Report on Form 10-K for its fiscal year ended
December 31, 2003 and the Company’s Quarterly Reports on Form 10-Q for its fiscal quarters ended March 31, 2004 and June 30, 2004 filed with the Securities and Exchange Commission and previously distributed to the Banks or filed with the
Securities and Exchange Commission under EDGAR, as of the date hereof, there is no litigation, at law or in equity, or any proceeding before any federal, state, provincial or municipal board or other governmental or administrative agency, including
without limitation, HMO Regulators and Insurance Regulators, pending or to the knowledge of the Company threatened which, after giving effect to any applicable insurance, could reasonably be expected to have a Material Adverse Effect or which seeks
to enjoin the consummation of any of the transactions contemplated by this Agreement or any other Loan Document, and no judgment, decree, or order of any federal, state, provincial or municipal court, board or other governmental or administrative
agency, including without limitation, HMO Regulators and Insurance Regulators, has been issued against the Company or any Subsidiary which has, or may involve, a material risk of a Material Adverse Effect. 
  
 4.4 Disclosure. Neither this Agreement nor any agreement, document,
certificate or statement furnished to the Banks by the Company in connection herewith (including, without limitation, the information relating to the Company and its Subsidiaries included in the Confidential Information Memorandum dated September
2004 delivered in connection with the syndication of the credit facilities hereunder) contains as of the date hereof any untrue statement of material fact or, taken as a whole together with all other information furnished to the Banks by the
Company, omits to state a material fact necessary in order to make the statements contained herein or therein not misleading. All pro forma financial statements made available to the Banks have been prepared in good faith based upon reasonable
assumptions. There is no fact known to the Company which materially adversely affects or in the future could reasonably be expected to materially adversely affect the business, operations, affairs or condition of the Company and its Subsidiaries on
a consolidated basis, except to the extent that they may be affected by future general economic conditions. 
  

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 4.5 Defaults. Neither the Company nor any of its Subsidiaries is in default under or with respect
to any Requirement of Law or Contractual Obligation in any respect which has had, or could reasonably be expected to have, a Material Adverse Effect. No Default or Event of Default has occurred and is continuing. 
  
 4.6 Financial Condition. The Company has furnished to the Agent and
each Bank, or filed with the Securities and Exchange Commission under EDGAR, copies of the following: 
  
 (a) The Annual Report of the Company on Form 10-K for the fiscal year ended December 31, 2003; and 
  
 (b) the Quarterly Reports of the Company on Form 10-Q for
the fiscal quarters ended March 31, 2004 and June 30, 2004. 
  
 The financial
statements included therein, including the related schedules and notes thereto, have been prepared in accordance with GAAP applied consistently throughout the periods involved (except as disclosed therein). As of the date of such financial
statements, neither the Company nor any of its Subsidiaries had any known contingent liabilities of any significant amount which in accordance with GAAP are required to be referred to in said financial statements or in the notes thereto which could
reasonably be expected to have a Material Adverse Effect. During the period from December 31, 2003 to and including the date hereof, there has been no sale, transfer or other disposition by the Company or any of its consolidated Subsidiaries of any
asset reflected on the balance sheet referred to above that would have been a material part of its business or property and no purchase or other acquisition of any business or property (including any capital stock of any other Person) material in
relation to the consolidated financial condition of the Company and its consolidated Subsidiaries at December 31, 2003 other than as disclosed in Schedule VI. 
  

4.7 Changes in Condition. Since December 31, 2003, there has been no development or event nor any prospective development or event, which has
had, or could reasonably be expected to have, a Material Adverse Effect. 
  
 4.8 Assets. The Company and each Subsidiary have good and marketable title to all material assets carried on their books and reflected in the financial statements referred to in subsection 4.6 or furnished
pursuant to subsection 6.4, except for assets held on Financing Leases or purchased subject to security devices providing for retention of title in the vendor, and except for assets disposed of as permitted by this Agreement. 
  
 4.9 Tax Returns. The Company and each of its Subsidiaries have filed
all tax returns which are required to be filed and have paid, or made adequate provision for the payment of, all taxes which have or may become due pursuant to said returns or to assessments received. All federal tax returns of the Company and its
Subsidiaries through their fiscal years ended in 1999 have been audited by the Internal Revenue Service or are not subject to such audit by virtue of the expiration of the applicable period of limitations, and the results of such audits are fully
reflected in the balance sheets referred to in subsection 4.6. The Company knows of no material additional assessments since said date for which adequate reserves have not been established. 
  

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 4.10 Contracts, etc. Attached hereto as Schedule III is a statement of outstanding Indebtedness of
the Company and its Subsidiaries for borrowed money in excess of $2,000,000 as of the date set forth therein, and a complete and correct list of all agreements, contracts, indentures, instruments, documents and amendments thereto to which the
Company or any Subsidiary is a party or by which it is bound pursuant to which any such Indebtedness of the Company and its Subsidiaries is outstanding on the date hereof. Said Schedule III also includes a complete and correct list of all such
Indebtedness of the Company and its Subsidiaries outstanding on the date indicated in respect of Guarantee Obligations in excess of $2,000,000 and letters of credit in excess of $2,000,000, and there have been no increases in such Indebtedness since
said date other than as permitted by this Agreement. 
  
 4.11
Subsidiaries. As of the date hereof, the Company has only the Subsidiaries set forth in Schedule IV, all of the outstanding capital stock of each of which is duly authorized, validly issued, fully paid and nonassessable and owned as set forth
in said Schedule IV. Schedule IV indicates all Subsidiaries of the Company which are not Wholly-Owned Subsidiaries and the percentage ownership of the Company and its Subsidiaries in each such Subsidiary. The capital stock and securities owned by
the Company and its Subsidiaries in each of the Company’s Subsidiaries are owned free and clear of any mortgage, pledge, lien, encumbrance, charge or restriction on the transfer thereof other than restrictions on transfer imposed by applicable
securities laws and restrictions, liens and encumbrances outstanding on the date hereof and listed in said Schedule IV. 
  
 4.12 Burdensome Obligations. Neither the Company nor any Subsidiary is a party to or bound by any agreement, deed, lease or other instrument, or
subject to any charter, by-law or other corporate restriction which, in the reasonable opinion of the management thereof, is so unusual or burdensome as to in the foreseeable future have a Material Adverse Effect. The Company does not presently
anticipate that future expenditures of the Company and its Subsidiaries needed to meet the provisions of any federal or state statutes, orders, rules or regulations will be so burdensome as to have a Material Adverse Effect. 
  
 4.13 Pension Plans. Each Plan maintained by the Company, any
Subsidiary or any Control Group Person or to which any of them makes or will make contributions is in compliance with the applicable provisions of ERISA and the Code, except where failure to comply could not reasonably be expected to have a Material
Adverse Effect. Neither the Company, any Subsidiary, nor any Control Group Person has since August 31, 1987 maintained, contributed to or participated in any Multiemployer Plan, with respect to which a complete withdrawal would result in any
withdrawal liability which could reasonably be expected to have a Material Adverse Effect. The Company and its Subsidiaries have met all of the funding standards applicable to all Plans that are not Multiemployer Plans, except where failure to
comply could not reasonably be expected to have a Material Adverse Effect, and there exists no event or condition which would permit the institution of proceedings to terminate any Plan that is not a Multiemployer Plan which could reasonably be
expected to have a Material Adverse Effect. The current value of the benefits guaranteed under Title IV of ERISA of each Plan that is not a Multiemployer Plan does not exceed the current value of such Plan’s assets allocable to such benefits by
an amount greater than $50,000,000 at any one time. 
  
 4.14
Environmental and Public and Employee Health and Safety Matters. The Company and each Subsidiary has complied with all applicable Federal, state, and other laws, rules and regulations relating to environmental pollution or to environmental
regulation or 
  

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 control or to public or employee health or safety, except to the extent that the failure to so comply would not be
reasonably likely to result in a Material Adverse Effect. The Company’s and the Subsidiaries’ facilities do not contain, and have not previously contained, any hazardous wastes, hazardous substances, hazardous materials, toxic substances
or toxic pollutants regulated under the Resource Conservation and Recovery Act, the Comprehensive Environmental Response Compensation and Liability Act, the Hazardous Materials Transportation Act, the Toxic Substance Control Act, the Clean Air Act,
the Clean Water Act or any other applicable law relating to environmental pollution or public or employee health and safety, in violation of any such law, or any rules or regulations promulgated pursuant thereto, except for violations that would not
be reasonably likely to result in a Material Adverse Effect. The Company is aware of no events, conditions or circumstances involving environmental pollution or contamination or public or employee health or safety, in each case applicable to it or
its Subsidiaries, that would be reasonably likely to result in a Material Adverse Effect. 
  
 4.15 Federal Regulations. No part of the proceeds of any Loans will be used in any transaction or for any purpose which violates the provisions of Regulations T, U or X as now and from time to time hereafter in
effect. If requested by any Bank or the Agent, the Company will furnish to the Agent and each Bank a statement to the foregoing effect in conformity with the requirements of Form FR U-1 or Form FR G-3 referred to in Regulation U. 
  
 4.16 Investment Company Act; Other Regulations. The Company is not an
“investment company”, or a company “controlled” by an “investment company”, within the meaning of the Investment Company Act of 1940, as amended. Except as set forth in Schedule VII, the Company is not subject to
regulation under any Federal or State statute or regulation (other than Regulation X) which limits its ability to incur Indebtedness. 
  
 4.17 Solvency. Each of the Company, and the Company and its Subsidiaries taken as a whole, is Solvent. 
  
 4.18 Casualties. Neither the businesses nor the properties of the
Company or any of its Subsidiaries are affected by any fire, explosion, accident, strike, lockout or other material labor dispute, drought, storm, hail, earthquake, embargo, act of God or of the public enemy or other casualty (whether or not covered
by insurance) that could reasonably be expected to have a Material Adverse Effect. 
  
 4.19 Business Activity. Except as set forth on Schedule VIII, neither the Company nor any of its Subsidiaries is engaged in any line of business that is not related to the healthcare industry other than the
sale of life insurance in connection with the sale of medical insurance or other healthcare services, sale of long term care insurance, or any business or activity which is immaterial to the Company and its Subsidiaries on a consolidated basis.

  
 4.20 Purpose of Loans. The proceeds of the Loans shall
be used to repay any amounts outstanding under the Existing Credit Agreements and to finance any other lawful general corporate purpose, including commercial paper backup and acquisitions, provided that no part of the proceeds of any Loans
will be used in any transaction or for any purpose which violates the provisions of Regulation U as now and from time to time hereafter in effect. 
  

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 SECTION 5. CONDITIONS 
  
 5.1 Conditions to the Closing Date. The obligations of each Bank to make the Loans contemplated by subsections 2.1
and 2.2 and of the Issuing Bank to issue Letters of Credit contemplated by subsection 3.1 shall be subject to the compliance by the Company with its agreements herein contained and to the satisfaction, on or before October 1, 2004, of the following
conditions: 
  
 (a) Loan Documents. The Agent shall have
received this Agreement, executed and delivered by a duly authorized officer of the Company, with a counterpart for each Bank. 
  
 (b) Legal Opinions. The Agent shall have received, with a copy for each Bank, opinions rendered by (i) the assistant general counsel of the
Company, substantially in the form of Exhibit I-1, and (ii) Fried, Frank, Harris, Shriver & Jacobson LLP, counsel to the Company, substantially in the form of Exhibit I-2. 
  
 (c) Closing Certificate. The Agent shall have received, with a copy for each Bank, a Closing Certificate,
substantially in the form of Exhibit H and dated the Closing Date, executed by a Responsible Officer. 
  
 (d) Legality, etc. The consummation of the transactions contemplated hereby shall not contravene, violate or conflict with, any Requirement of Law
including, without limitation, HMO Regulations and Insurance Regulations, and all necessary consents, approvals and authorizations of any Governmental Authority or any Person to or of such consummation shall have been obtained and shall be in full
force and effect. 
  
 (e) Fees. The Agent shall have
received the fees to be received on the Closing Date referred to in subsection 2.4(c). 
  
 (f) Corporate Proceedings. The Agent shall have received, with a copy for each Bank, a copy of the resolutions, in form and substance reasonably satisfactory to the Agent, of the Board of Directors of the
Company authorizing (i) the execution, delivery and performance of this Agreement, the Notes and the other Loan Documents, and (ii) the borrowings contemplated hereunder, certified by the Secretary or an Assistant Secretary of the Company as of the
Closing Date, which certificate shall state that the resolutions thereby certified have not been amended, modified, revoked or rescinded and shall be in form and substance reasonably satisfactory to the Agent. 
  
 (g) Corporate Documents. The Agent shall have received, with a copy
for each Bank, true and complete copies of the certificate of incorporation and by-laws of the Company, certified as of the Closing Date as complete and correct copies thereof by the Secretary or an Assistant Secretary of the Company. 
  
 (h) No Material Litigation. Except as previously disclosed to the
Agent and the Banks pursuant to subsection 4.3, no litigation, inquiry, investigation, injunction or restraining order (including any proposed statute, rule or regulation) shall be pending, entered or threatened which, in the reasonable judgment of
the Required Banks, could reasonably be expected to have a Material Adverse Effect. 
  
 (i) Incumbency Certificate. The Agent shall have received, with a copy for each Bank, a certificate of the Secretary or an Assistant Secretary of the Company, dated the 
  

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 Closing Date, as to the incumbency and signature of the officers of the Company executing each Loan Document and any
certificate or other document to be delivered by it pursuant hereto and thereto, together with evidence of the incumbency of such Secretary or Assistant Secretary. 
  
 (j) Good Standing Certificates. The Agent shall have received, with a copy for each Bank, copies of certificates
dated as of a recent date from the Secretary of State or other appropriate authority of such jurisdiction, evidencing the good standing of the Company in its jurisdiction of incorporation and in Kentucky. 
  
 (k) No Change. There shall not have occurred any change or event, and
a Bank shall not have become aware of any previously undisclosed information regarding the Company and its Subsidiaries, which in each case, in the reasonable judgment of the Required Banks, could reasonably be expected to have a Material Adverse
Effect. 
  
 (l) Repayment of Outstanding Loans. On the
Closing Date, all Loans and other amounts outstanding under the Existing Credit Agreements, if any, shall be repaid contemporaneously with the making of Loans hereunder and all commitments to extend credit thereunder shall be terminated. 

 
 5.2 Conditions to Each Loan. The agreement of each Bank to make any
extension of credit requested to be made by it on any date is subject to the satisfaction of the following conditions precedent: 
  
 (a) Representations and Warranties. Each of the representations and warranties made by the Company and its Subsidiaries in or pursuant to the Loan
Documents shall be true and correct in all material respects on and as of such date as if made on and as of such date. 
  
 (b) No Default. No Default or Event of Default shall have occurred and be continuing on such date or after giving effect to the Loans requested to
be made on such date. 
  
 (c) Additional Matters. All
corporate and other proceedings, and all documents, instruments and other legal matters in connection with the transactions contemplated by this Agreement and the other Loan Documents shall be reasonably satisfactory in form and substance to the
Agent, and the Agent shall have received such other documents, instruments, legal opinions or other items of information reasonably requested by it, including, without limitation, copies of any debt instruments, security agreements or other material
contracts to which the Company may be a party in respect of any aspect or consequence of the transactions contemplated hereby or thereby as it shall reasonably request. 
  
 (d) Regulations. In the case of any Loan the proceeds of which will be used, in whole or in part, to finance an
acquisition, such acquisition shall be in full compliance with all applicable requirements of law, including, without limitation, Regulations T, U and X of the Board of Governors of the Federal Reserve System. 
  
 (e) Governmental, Third Party Approvals. In the case of any Loan the
proceeds of which will be used, in whole or in part, to finance an acquisition, all necessary governmental and regulatory approvals, and all third party approvals the failure to obtain which would result in the acceleration of indebtedness unless
such indebtedness is paid when due, in connection with such acquisition or in connection with this Agreement shall have been obtained 
  

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 and remain in effect, and all applicable waiting periods with respect to antitrust matters shall have expired without any
action being taken by any competent authority which restrains such acquisition. 
  
 (f) No Restraints. In the case of any Loan the proceeds of which will be used, in whole or in part, to finance an acquisition, there shall exist no judgment, order, injunction or other restraint which would
prevent the consummation of such acquisition. 
  
 (g) Form FR
U-1; Form FR G-3. In the case of any Loan the proceeds of which will be used, in whole or in part, to purchase or carry Margin Stock, the Company shall have executed and delivered to the Agent and each Bank a statement on Form FR U-1 referred to
in Regulation U or, if applicable, Form FR G-3 referred to in Regulation U, showing compliance with Regulation U after giving effect to such Loan. 
  
 (h) Legal Opinion. In the case of any Loan the proceeds of which will be used, in whole or in part, to purchase or carry Margin Stock, the Agent
shall have received, with a copy for each Bank, a written legal opinion of Fried, Frank, Harris, Shriver & Jacobson LLP, counsel to the Company, or such other counsel reasonably acceptable to the Banks, to the effect that such Loan and the
Company’s use of the proceeds thereof does not violate Regulation U or Regulation X. 
  
 Each borrowing and each request for issuance of a Letter of Credit by the Company hereunder shall constitute a representation and warranty by the Company as of the date of such extension of credit that the conditions
contained in this subsection 5.2 have been satisfied. 
  
 SECTION
6. AFFIRMATIVE COVENANTS 
  
 The Company hereby agrees that, from
and after the Closing Date and so long as the Commitments remain in effect, any Loan or Letter of Credit remains outstanding and unpaid or any other amount is owing to any Bank or the Agent hereunder, the Company shall and (except in the case of
delivery of financial information, reports and notices) shall cause each of its Subsidiaries to: 
  
 6.1 Taxes, Indebtedness, etc. Duly pay, discharge or otherwise satisfy, or cause to be paid, discharged or otherwise satisfied, before the same
shall become in arrears, all taxes, assessments, levies and other governmental charges imposed upon such corporation and its properties, sales and activities, or any part thereof, or upon the income or profits therefrom; provided,
however, that any such tax, assessment, charge or levy need not be paid if the validity or amount thereof shall currently be contested in good faith by appropriate proceedings and if the Company or the Subsidiary in question shall have set
aside on its books appropriate reserves in conformity with GAAP with respect thereto. Each of the Company and its Subsidiaries will promptly pay when due, or in conformance with customary trade terms, all other Indebtedness, liabilities and other
obligations of whatever nature incident to its operations; provided, however, that any such Indebtedness, liability or obligation need not be paid if the validity or amount thereof shall currently be contested in good faith and if the
Company or the Subsidiary in question shall have set aside on its books appropriate reserves in conformity with GAAP with respect thereto. 
  

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 6.2 Maintenance of Properties; Maintenance of Existence. Keep its material properties in good
repair, working order and condition and will comply at all times with the provisions of all material leases and other material agreements to which it is a party so as to prevent any material loss or forfeiture thereof or thereunder unless compliance
therewith is being contested in good faith by appropriate proceedings and if the Company or the Subsidiary in question shall have set aside on its books appropriate reserves in conformity with GAAP with respect thereto; and in the case of the
Company or any Subsidiary of the Company while such Person remains a Subsidiary, will do all things necessary to preserve, renew and keep in full force and effect and in good standing its corporate existence and all rights, privileges and franchises
necessary to continue such businesses, except where failure to do so would not reasonably be expected to have a Material Adverse Effect. 
  
 6.3 Insurance. Maintain or cause to be maintained, with financially sound and reputable insurers including any Subsidiary which is engaged in the
business of providing insurance protection, insurance (including, without limitation, public liability insurance, business interruption insurance, reinsurance for medical claims and professional liability insurance against claims for malpractice)
with respect to its material properties and business and the properties and business of its Subsidiaries in at least such amounts and against at least such risks as are customarily carried under similar circumstances by other corporations engaged in
the same or a similar business; and furnish to each Bank, upon written request, full information as to the insurance carried. Such insurance may be subject to co-insurance, deductibility or similar clauses which, in effect, result in self-insurance
of certain losses, and the Company may self-insure against such loss or damage, provided that adequate insurance reserves are maintained in connection with such self-insurance. 
  
 6.4 Financial Statements. The Company will and will cause each of its Subsidiaries to maintain a standard modern
system of accounting in which full, true and correct entries will be made of all dealings or transactions in relation to its business and affairs in accordance with GAAP consistently applied, and will furnish (or make available via the IntraLinks
website or the Securities and Exchange Commission EDGAR website) the following to the Agent and each Bank (if not provided via IntraLinks, in duplicate if so requested): 
  
 (a) Annual Statements. As soon as available, and in any event within 100 days after the end of each fiscal year, the
consolidated balance sheet as at the end of each fiscal year and consolidated statements of profit and loss and of retained earnings for such fiscal year of the Company and its Subsidiaries, together with comparative consolidated figures for the
next preceding fiscal year, accompanied by reports or certificates of PricewaterhouseCoopers LLP, or, if they cease to be the auditors of the Company, of other independent public accountants of national standing and reputation, to the effect that
such balance sheet and statements were prepared in accordance with GAAP consistently applied and fairly present the financial position of the Company and its Subsidiaries as at the end of such fiscal year and the results of their operations and
changes in financial position for the year then ended and the statement of such accountants and of the treasurer of the Company that such said accountants and treasurer have caused the provisions of this Agreement to be reviewed and that nothing has
come to their attention to lead them to believe that any Default exists hereunder or, if such is not the case, specifying such Default or possible Default and the nature thereof. In addition, such financial statements shall be accompanied by a
certificate of the treasurer of the Company containing computations showing compliance with subsections 7.1, 7.2, 7.3 and 7.5. 
  

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 (b) Quarterly Statements. As soon as available, and in any event within 55 days after the close of
each of the first three fiscal quarters of the Company and its Subsidiaries in each year, consolidated balance sheets as at the end of such fiscal quarter and consolidated profit and loss and retained earnings statements for the portion of the
fiscal year then ended, of the Company and its Subsidiaries, together with computations showing compliance with subsections 7.1, 7.2, 7.3 and 7.5, accompanied by a certificate of the treasurer of the Company that such statements and computations
have been properly prepared in accordance with GAAP, consistently applied, and fairly present the financial position of the Company and its Subsidiaries as at the end of such fiscal quarter and the results of their operations and changes in
financial position for such quarter and for the portion of the fiscal year then ended, subject to normal audit and year-end adjustments, and to the further effect that he has caused the provisions of this Agreement and all other agreements to which
the Company or any of its Subsidiaries is a party and which relate to Indebtedness to be reviewed, and has no knowledge that any Default has occurred under this Agreement or under any such other agreement, or, if said treasurer has such knowledge,
specifying such Default and the nature thereof. 
  
 (c) ERISA
Reports. The Company will furnish the Agent with copies of any request for waiver of the funding standards or extension of the amortization periods required by Sections 303 and 304 of ERISA or Section 412 of the Code promptly after any such
request is submitted by the Company to the Department of Labor or the Internal Revenue Service, as the case may be. Promptly after a Reportable Event occurs, or the Company or any of its Subsidiaries receives notice that the PBGC or any Control
Group Person has instituted or intends to institute proceedings to terminate any Plan, or prior to the Plan administrator’s terminating such Plan pursuant to Section 4041 of ERISA, the Company will notify the Agent and will furnish to the Agent
a copy of any notice of such Reportable Event which is required to be filed with the PBGC, or any notice delivered by the PBGC evidencing its institution of such proceedings or its intent to institute such proceedings, or any notice to the PBGC that
a Plan is to be terminated, as the case may be. The Company will promptly notify each Bank upon learning of the occurrence of any of the following events with respect to any Plan which is a Multiemployer Plan: a partial or complete withdrawal from
any Plan which may result in the incurrence by the Company or any of is Subsidiaries of withdrawal liability which could reasonably be expected to have a Material Adverse Effect, or of the termination, insolvency or reorganization status of any Plan
which could reasonably be expected to have a Material Adverse Effect. In the event of such a withdrawal, upon the request of the Agent or any Bank, the Company will promptly provide information with respect to the scope and extent of such liability,
to the best of the Company’s knowledge. 
  
 6.5
Certificates; Other Information. Furnish to the Agent and each Bank (or make available via the IntraLinks website or, to the extent available, the Securities and Exchange Commission website): 
  
 (a) within five Business Days after the same are sent,
copies of all financial statements and reports which the Company sends to its stockholders, and within five Business Days after the same are filed, copies of all financial statements and reports which the Company may make to, or file with, the
Securities and Exchange Commission; 
  
 (b) not
later than thirty days prior to the end of each fiscal year of the Company, a schedule of the Company’s insurance coverage and such supplemental schedules with respect thereto as the Agent and the Banks may from time to time reasonably request;

  

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 (c) within five Business Days after the consummation of a transaction described in
subsection 7.4(c) or (d) or subsection 7.5(f) which, in each case, involves a Significant Subsidiary or assets which, if they constituted a separate Subsidiary, would constitute a Significant Subsidiary, a certificate of the treasurer or chief
financial officer of the Company demonstrating pro forma compliance with the financial covenants in this Agreement after giving effect to such transaction; and 
  

(d) promptly, such additional financial and other information as any Bank may from time to time reasonably request. 
  
 6.6 Compliance with ERISA. Each of the Company and its Subsidiaries
will meet, and will cause all Control Group Persons to meet, all minimum funding requirements applicable to any Plan imposed by ERISA or the Code (without giving effect to any waivers of such requirements or extensions of the related amortization
periods which may be granted), and will at all times comply, and will cause all Control Group Persons to comply, with the provisions of ERISA and the Code which are applicable to the Plans, in each case, except where failure to comply could not
reasonably be expected to have a Material Adverse Effect. At no time shall the aggregate actual and contingent liabilities of the Company under Sections 4062, 4063, 4064 and other provisions of ERISA (calculated as if the 30% of collective net worth
amount referred to in Section 4062(b)(1)(A)(i)(II) of ERISA exceeded the actual total amount of unfunded guaranteed benefits referred to in Section 4062(B)(1)(A)(i)(I) of ERISA) with respect to all Plans (and all other pension plans to which the
Company, any Subsidiary, or any Control Group Person made contributions prior to such time) be reasonably expected to have a Material Adverse Effect. 
  
 6.7 Compliance with Laws. Comply with all Contractual Obligations and Requirements of Law (including, without limitation, the HMO Regulations,
Insurance Regulations, Regulation X and laws relating to the protection of the environment), except where the failure to comply therewith could not, in the aggregate, reasonably be expected to have a Material Adverse Effect. 
  
 6.8 Inspection of Property; Books and Records; Discussions. Keep
proper books of records and account in which full, true and correct entries in conformity with GAAP, all Requirements of Law, including but not limited to, HMO Regulations and Insurance Regulations, and the terms hereof shall be made of all dealings
and transactions in relation to its business and activities; and permit, upon reasonable notice, representatives of any Bank to visit and inspect any of its properties and examine and make abstracts from any of its books and records at any
reasonable time and as often as may reasonably be desired and to discuss the business, operations, properties and financial and other condition of the Company and its Subsidiaries with officers and employees of the Company and its Subsidiaries and
with its independent certified public accountants. 
  
 6.9
Notices. Promptly give notice to the Agent and each Bank of: 
  
 (a) the occurrence of any Default or Event of Default; 
  

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 (b) any (i) default or event of default under any Contractual Obligation of the Company
or any of its Subsidiaries or (ii) litigation, investigation or proceeding which exists at any time between the Company or any of its Subsidiaries and any Governmental Authority (including, without limitation, HMO Regulators and Insurance
Regulators), which in either case, if not cured or if adversely determined, as the case may be, could reasonably be expected to have a Material Adverse Effect; 
  

(c) the commencement of any litigation or proceeding or a material development or material change in any ongoing litigation or
proceeding affecting the Company or any of its Subsidiaries as a result of which commencement, development or change the Company or one of its Subsidiaries could reasonably be expected to incur a liability (as a result of an adverse judgment or
ruling, settlement, incurrence of legal fees and expenses or otherwise) of $10,000,000 or more and not covered by insurance or in which material injunctive or similar relief is sought; 
  
 (d) the following events, as soon as possible and in any event within 30 days after the Company knows
thereof: (i) the occurrence or expected occurrence of any Reportable Event with respect to any Plan, or any withdrawal from, or the termination, Reorganization or Insolvency of any Multiemployer Plan or (ii) the institution of proceedings or the
taking of any other action by the PBGC or the Company or any Commonly Controlled Entity or any Multiemployer Plan with respect to the withdrawal from, or the terminating, Reorganization or Insolvency of, any Plan; 
  
 (e) a development or event which could reasonably be
expected to have a Material Adverse Effect; 
  
 (f) the material non-compliance with any Requirement of Law or material Contractual Obligation, including, without limitation, HMO Regulations and Insurance Regulations, that is not currently being contested in good faith by appropriate
proceedings; 
  
 (g) the revocation of any
material license, permit, authorization, certificate or, qualification of the Company or any Subsidiary by any Governmental Authority, including, without limitation, the HMO Regulators and Insurance Regulators; and 
  
 (h) any significant change in or material additional
restriction placed on the ability of a Significant Subsidiary to continue business as usual, including, without limitation, any such restriction prohibiting the payment to the Company of dividends by any Significant Subsidiary, by any Governmental
Authority, including, without limitation, the HMO Regulators and Insurance Regulators. 
  
 Each notice pursuant to this subsection shall be accompanied by a statement of a Responsible Officer setting forth details of the occurrence referred to therein and stating what action the Company proposes to take with respect thereto.

  
 6.10 Maintenance of Licenses, Etc. Preserve and
maintain, and cause each of its Subsidiaries to preserve and maintain, all licenses, permits, authorizations, certifications and qualifications (including, without limitation, those qualifications with respect to solvency and capitalization)
required under the HMO Regulations or the Insurance Regulations in connection with the ownership or operation of HMO’s or insurance companies except were the failure to do so would not reasonably be expected to result in a Material Adverse
Effect. 
  

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 6.11 Further Assurances. Execute any and all further documents, and take all further action which
the Required Banks or the Agent may reasonably request in order to effectuate the transactions contemplated by the Loan Documents. 
  
 SECTION 7. NEGATIVE COVENANTS 
  
 The Company hereby agrees that, from and after the Closing Date and so long as the Commitments remain in effect, any Loan or Letter of Credit remains
outstanding and unpaid or any other amount is owing to any Bank or the Agent hereunder, the Company shall not, and shall not permit any of its Subsidiaries to, directly or indirectly: 
  
 7.1 Financial Condition Covenants. 
  
 (a) Maintenance of Net Worth. Permit Consolidated Net Worth at any time to be less than 75% of its
Consolidated Net Worth of the Company and its consolidated subsidiaries as at March 31, 2004 plus 50% of Consolidated Net Income for each full fiscal quarter after March 31, 2004 (without any deduction for any such fiscal quarter in which such
Consolidated Net Income is a negative number). 
  
 (b) Interest Coverage. Permit the ratio of (i) Consolidated EBIT for any period of four consecutive fiscal quarters of the Company ending with any fiscal quarter to (ii) Consolidated Interest Expense for such period, to be less than
4.00 to 1.00. 
  
 (c) Maximum Leverage
Ratio. Permit the Leverage Ratio on the last day of any full fiscal quarter of the Company to be more than 3.00 to 1.00. 
  
 7.2 Limitation on Subsidiary Indebtedness. The Company shall not permit any of the Subsidiaries of the Company to create, incur, assume or suffer
to exist any Indebtedness, except: 
  
 (a)
Indebtedness of any Subsidiary to the Company or any other Subsidiary; 
  
 (b) Indebtedness of a corporation which becomes a Subsidiary after the date hereof, provided that (i) such indebtedness existed at the time such corporation became a Subsidiary and was not created in
anticipation thereof and (ii) immediately before and after giving effect to the acquisition of such corporation by the Company no Default or Event of Default shall have occurred and be continuing; or 
  
 (c) additional Indebtedness of Subsidiaries of the Company
not exceeding $125,000,000 in aggregate principal amount at any one time outstanding. 
  

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 7.3 Limitation on Liens. Create, incur, assume or suffer to exist any Lien upon any of its
property, assets or revenues, whether now owned or hereafter acquired, except for: 
  
 (a) Liens, if any, securing the obligations of the Company under this Agreement and the Notes; 
  
 (b) Liens for taxes not yet due or which are being contested
in good faith by appropriate proceedings, provided that adequate reserves with respect thereto are maintained on the books of the Company or its Subsidiaries, as the case may be, in conformity with GAAP; 
  
 (c) carriers’, warehousemen’s, mechanics’,
materialmen’s, repairmen’s or other like Liens arising in the ordinary course of business which are not overdue for a period of more than 60 days or which are being contested in good faith by appropriate proceedings; 
  
 (d) pledges or deposits in connection with workers’
compensation, unemployment insurance and other social security legislation; 
  
 (e) deposits to secure the performance of bids, trade contracts (other than for borrowed money), leases, statutory obligations, surety and appeal bonds, performance bonds and other obligations of a like nature
incurred in the ordinary course of business; 
  
 (f) easements, rights-of-way, restrictions and other similar encumbrances incurred in the ordinary course of business which, in the aggregate, are not substantial in amount and which do not in any case materially detract from the value of
the property subject thereto or materially interfere with the ordinary conduct of the business of the Company or such Subsidiary; 
  
 (g) Liens in existence on the Closing Date listed on Schedule V, securing Indebtedness in existence on the Closing Date, provided
that no such Lien is spread to cover any additional property or any material improvements to the property listed on Schedule V after the Closing Date and that the amount of Indebtedness secured thereby is not increased; 
  
 (h) Liens securing Indebtedness of the Company and its
Subsidiaries not prohibited hereunder incurred to finance the acquisition of fixed or capital assets, provided that (i) such Liens shall be created substantially simultaneously with the acquisition of such fixed or capital assets, (ii) such
Liens do not at any time encumber any property other than the property financed by such Indebtedness and (iii) the principal amount of Indebtedness secured by any such Lien shall at no time exceed 80% of the original purchase price of such property;

  
 (i) Liens on the property or assets of a
corporation which becomes a Subsidiary after the date hereof, provided that (i) such Liens existed at the time such corporation became a Subsidiary and were not created in anticipation thereof, (ii) any such Lien is not spread to cover any
other property or assets after the time such corporation becomes a Subsidiary and (iii) the amount of Indebtedness secured thereby, if any, is not increased; 
  

(j) Liens on the Headquarters, Riverview Square, the Waterside Garage, the Green Bay Facility, the Clocktower Building and the
Waterside Building; or 
  

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 (k) Liens not otherwise permitted under this subsection 7.3 securing obligations in an
aggregate amount not exceeding at any time 10% of Consolidated Net Tangible Assets as at the end of the immediately preceding fiscal quarter of the Company. 
  
 7.4 Limitations on Fundamental Changes. Enter into any merger, consolidation or amalgamation, or liquidate, wind up or dissolve itself (or suffer
any liquidation or dissolution), or make any material change in its method of conducting business, or purchase or otherwise acquire all or substantially all of the Capital Stock, or the property, business or assets, of any other Person (other than
any Subsidiary) or any business division thereof except: 
  
 (a) any Subsidiary of the Company may be merged or consolidated with or into the Company (provided that the Company shall be the continuing or surviving corporation) and any Subsidiary of the Company may be
merged or consolidated with or into any one or more wholly owned Subsidiaries of the Company (provided that the surviving corporation shall be a wholly owned Subsidiary); 
  
 (b) the Company may merge into another corporation owned by the Company for the purpose of causing the
Company to be incorporated in a different jurisdiction; 
  
 (c) the Company or a wholly owned Subsidiary of the Company may merge with another corporation, provided that (i) the Company or such wholly owned Subsidiary (subject to clause (ii)), as the case may be, shall
be the continuing or surviving corporation of such merger, (ii) in the case of a wholly owned Subsidiary of the Company which is merged into another corporation which is the continuing or surviving corporation of such merger, the Company shall cause
such continuing or surviving corporation to be a wholly owned Subsidiary of the Company and (iii) immediately before and after giving effect to such merger no Default or Event of Default shall have occurred and be continuing; or 
  
 (d) the Company and its Subsidiaries may purchase or
otherwise acquire all or substantially all of the Capital Stock, or the property, business or assets, of any other Person, or any business division thereof, so long as no Default or Event of Default shall have occurred and be continuing. 

 
 7.5 Limitation on Sale of Assets. Convey, sell, lease, assign,
transfer or otherwise dispose of any of its property, business or assets (including, without limitation, receivables and leasehold interests), whether now owned or hereafter acquired, except: 
  
 (a) obsolete or worn out property disposed of in the
ordinary course of business; 
  
 (b) the sale or
discount without recourse of accounts receivable arising in the ordinary course of business in connection with the compromise or collection thereof; 
  
 (c) the sale or other disposition of the Headquarters, Riverview Square, the Waterside Garage, the Green Bay Facility, the Clocktower
Building and the Waterside Building; 
  

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 (d) the sale or other disposition of securities held for investment purposes in the
ordinary course of business; 
  
 (e) any wholly
owned Subsidiary may sell, lease, transfer or otherwise dispose of any or all of its assets (upon voluntary liquidation or otherwise) to the Company or any other wholly owned Subsidiary of the Company (except to a Subsidiary referred to in
subsection 7.2(b)); or 
  
 (f) the sale or other
disposition of any other property so long as no Default or Event of Default shall have occurred and be continuing; provided that the aggregate book value of all assets so sold or disposed of in any period of twelve consecutive calendar months
shall not exceed in the aggregate 12% of the Consolidated Assets of the Company and its Subsidiaries as on the first day of such period. 
  
 7.6 Limitation on Distributions. The Company shall not make any Distribution except that, so long as no Default exists or would exist after giving
effect thereto, the Company may make a Distribution. 
  
 7.7
Transactions with Affiliates. Enter into any transaction (unless such transaction or a series of such transactions is immaterial) including, without limitation, any purchase, sale, lease or exchange of property or the rendering of any
service, with any Affiliate (other than the Company and its Subsidiaries) unless such transaction is otherwise permitted under this Agreement, is in the ordinary course of the Company’s or such Subsidiary’s business and is upon fair and
reasonable terms no less favorable to the Company or such Subsidiary, as the case may be, than it would obtain in an arm’s length transaction. 
  
 7.8 Sale and Leaseback. Enter into any arrangement with any Person providing for the leasing by the Company or any Subsidiary of real or personal
property which has been or is to be sold or transferred by the Company or such Subsidiary to such Person or to any other Person to whom funds have been or are to be advanced by such Person on the security of such property or rental obligations of
the Company or such Subsidiary, unless such arrangement is upon fair and reasonable terms no less favorable to the Company or such Subsidiary than would be obtained in a comparable arm’s length transaction between an informed and willing seller
or lessor under no compulsion to sell or lease and an informed and willing buyer or lessee under no compulsion to buy or lease. 
  
 SECTION 8. DEFAULTS 
  
 8.1 Events of Default. Upon the occurrence of any of the following events. 
  
 (a) any default shall be made by the Company in any payment in respect of: (i) interest on any of the Loans
or any fee payable hereunder as the same shall become due and such default shall continue for a period of five days; or (ii) any Reimbursement Obligation or principal of the Loans as the same shall become due, whether at maturity, by prepayment, by
acceleration or otherwise; or 
  

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 (b) any default shall be made by either the Company or any Subsidiary of the Company in
the performance or observance of any of the provisions of subsections 7.1, 7.2, 7.3, 7.4, 7.5, 7.6, 7.7 and 7.8; or 
  
 (c) any default shall be made in the due performance or observance of any other covenant, agreement or provision to be performed or
observed by the Company under this Agreement, and such default shall not be rectified or cured within a period of 30 days; or 
  
 (d) any representation or warranty made or deemed made by the Company herein or in any other Loan Document or which is contained in any
certificate, document or financial or other statement furnished at any time under or in connection with this Agreement shall have been untrue in any material respect on or as of the date made and the facts or circumstances to which such
representation or warranty relates shall not have been subsequently corrected to make such representation or warranty no longer incorrect in any material respect; or 
  
 (e) any default shall be made in the payment of any item of Indebtedness of the Company or any Subsidiary,
or under the terms of any agreement relating to any Indebtedness of the Company or any Subsidiary, and such default shall continue without having been duly cured, waived or consented to, beyond the period of grace, if any, therein specified;
provided, however, that such default shall not constitute an Event of Default unless the aggregate outstanding principal amount of such item of Indebtedness and all other items of Indebtedness of the Company and its Subsidiaries as to
which such defaults exist and have continued without being duly cured, waived or consented to beyond the respective periods of grace, if any, therein specified exceeds $25,000,000; or 
  
 (f) either the Company or any Subsidiary shall be involved in financial difficulties as evidenced:

  
 (i) by its commencement of a voluntary case
under Title 11 of the United States Code as from time to time in effect, or by its authorizing, by appropriate proceedings of its board of directors or other governing body, the commencement of such a voluntary case; 
  
 (ii) by the filing against it of a petition commencing an
involuntary case under said Title 11 which shall not have been dismissed within 60 days after the date on which said petition is filed or by its filing an answer or other pleading within said 60-day period admitting or failing to deny the material
allegations of such a petition or seeking, consenting or acquiescing in the relief therein provided; 
  
 (iii) by the entry of an order for relief in any involuntary case commenced under said Title 11; 
  
 (iv) by its seeking relief as a debtor under any applicable
law, other than said Title 11, of any jurisdiction relating to the liquidation or reorganization of debtors or to the modification or alteration of the rights of creditors, or by its consenting to or acquiescing in such relief; 
  

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 (v) by the entry of an order by a court of competent jurisdiction (i) finding it to be
bankrupt or insolvent, (ii) ordering or approving its liquidation, reorganization or any modification or alteration of the rights of its creditors, or (iii) assuming custody of, or appointing a receiver or other custodian for, all or a substantial
part of its property; 
  
 (vi) by its making an
assignment for the benefit of, or entering into a composition with, its creditors, or appointing or consenting to the appointment of a receiver or other custodian for all or a substantial part of its property; 
  
 (vii) the Company or any of its Subsidiaries shall generally
not, or shall be unable to, or shall admit in writing its inability to, pay its debts as they become due; or 
  
 (g) a Change in Control of the Company shall occur; 
  
 (h) (i) any Person shall engage in any “prohibited transaction” (as defined in Section 406 of ERISA or Section 4975 of the Code)
involving any Plan, (ii) any “accumulated funding deficiency” (as defined in Section 302 of ERISA), whether or not waived, shall exist with respect to any Plan, (iii) a Reportable Event shall occur with respect to, or proceedings shall
commence to have a trustee appointed, or a trustee shall be appointed, to administer or to terminate, any Single Employer Plan, which Reportable Event or commencement of proceedings or appointment of a trustee is, in the reasonable opinion of the
Required Banks, likely to result in the termination of such Plan for purposes of Title IV of ERISA, (iv) any Single Employer Plan shall terminate for purposes of Title IV of ERISA, (v) the Company or any Commonly Controlled Entity shall, or in the
reasonable opinion of the Required Banks is likely to, incur any liability in connection with a withdrawal from, or the Insolvency or Reorganization of, a Multiemployer Plan or (vi) any other event or condition shall occur or exist, with respect to
a Plan; and in each case in clauses (i) through (vi) above, such event or condition, together with all other such events or conditions, if any, could reasonably be expected to have a Material Adverse Effect; or 
  
 (i) one or more judgments or decrees shall be entered
against the Company or any of its Subsidiaries and such judgments or decrees shall not have been vacated, discharged, stayed or bonded pending appeal within 45 days from the entry thereof that (i) involves in the aggregate a liability (not paid or
to the extent not covered by insurance) of $25,000,000 or more, or (ii) could reasonably be expected to have a Material Adverse Effect; or 
  
 (j) (i) any material non-compliance by the Company or any Significant Subsidiary with any term or provision of the HMO Regulations or
Insurance Regulations pertaining to fiscal soundness, solvency or financial condition; or (ii) the assertion in writing by an HMO Regulator or Insurance Regulator that it is taking administrative action against the Company or any Significant
Subsidiary to revoke or suspend any contract of insurance, license, permit, certification, authorization, accreditation or charter or to enforce the fiscal soundness, solvency or financial provisions or requirements of the HMO Regulations or
Insurance Regulations against any of such entities and the Company or such Significant Subsidiary shall have been unable to cause such HMO Regulator or 
  

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 Insurance Regulator to withdraw such written notice within five Business Days following receipt of such
written notice by the Company or such Significant Subsidiary, in each of clauses (i) and (ii), to the extent such event will or is reasonably expected to have a Material Adverse Effect; or 
  
 (k) on or after the Closing Date, (i) for any reason any
Loan Document ceases to be or is not in full force and effect or (ii) the Company shall assert that any Loan Document has ceased to be or is not in full force and effect; 
  
 then, and in any such event, (A) if such event is an Event of Default specified in paragraph (f) above with respect to the Company,
automatically the Commitments shall immediately terminate and the Loans hereunder (with accrued interest thereon) and all other amounts owing under this Agreement (including, without limitation, all amounts of L/C Obligations, whether or not the
beneficiaries of the then outstanding Letters of Credit have presented the documents required thereunder) shall immediately become due and payable, and (B) if such event is any other Event of Default, either or both of the following actions may be
taken: (i) with the consent of the Required Banks, the Agent may, or upon the request of the Required Banks, the Agent shall, by notice to the Company, declare the Commitments to be terminated forthwith, whereupon the Commitments shall immediately
terminate; and (ii) with the consent of the Required Banks, the Agent may, or upon the request of the Required Banks, the Agent shall, by notice of default to the Company, declare the Loans hereunder (with accrued interest thereon) and all other
amounts owing under this Agreement (including, without limitation, all amounts of L/C Obligations, whether or not the beneficiaries of the then outstanding Letters of Credit shall have presented the documents required thereunder) (the “Bank
Obligations”) to be due and payable forthwith, whereupon the same shall immediately become due and payable. 
  
 With respect to all Letters of Credit as to which presentment for honor shall not have occurred at the time of an acceleration pursuant to the preceding
paragraph, the Company shall at such time deposit in a cash collateral account opened by the Agent an amount equal to the aggregate then undrawn and unexpired amount of such Letters of Credit. Amounts held in such cash collateral account shall be
applied by the Agent to the payment of drafts drawn under such Letters of Credit, and the unused portion thereof after all such Letters of Credit shall have expired or been fully drawn upon, if any, shall be applied to repay other obligations of the
Company hereunder and under the Notes. After all such Letters of Credit shall have expired or been fully drawn upon, all Reimbursement Obligations shall have been satisfied and all other obligations of the Company hereunder and under the Notes shall
have been paid in full, the balance, if any, in such cash collateral account shall be returned to the Company. 
  
 Except as expressly provided above in this Section, presentment, demand, protest and all other notices of any kind are hereby expressly waived.

  
 8.2 Annulment of Defaults. An Event of Default shall
not be deemed to be in existence for any purpose of this Agreement if the Agent, with the consent of or at the direction of the Required Banks, subject to subsection 10.1, shall have waived such event in writing or stated in writing that the same
has been cured to its reasonable satisfaction, but no such waiver shall extend to or affect any subsequent Event of Default or impair any rights of the Agent or the Banks upon the occurrence thereof. 
  

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 8.3 Waivers. The Company hereby waives to the extent permitted by applicable law (a) all
presentments, demands for performance, notices of nonperformance (except to the extent required by the provisions hereof), protests, notices of protest and notices of dishonor in connection with any Reimbursement Obligation or any of the Loans, (b)
any requirement of diligence or promptness on the part of any Bank in the enforcement of its rights under the provisions of this Agreement, any Letter of Credit or any Note, and (c) any and all notices of every kind and description which may be
required to be given by any statute or rule of law. 
  
 8.4
Course of Dealing. No course of dealing between the Company and any Bank shall operate as a waiver of any of the Banks’ rights under this Agreement or any Note. No delay or omission on the part of any Bank in exercising any right under
this Agreement or any Note or with respect to any of the Bank Obligations shall operate as a waiver of such right or any other right hereunder. A waiver on any one occasion shall not be construed as a bar to or waiver of any right or remedy on any
future occasion. No waiver or consent shall be binding upon any Bank unless it is in writing and signed by the Agent or such of the Banks as may be required by the provisions of this Agreement. The making of a Loan or issuance of a Letter of Credit
hereunder during the existence of a Default shall not constitute a waiver thereof. 
  
 SECTION 9. THE AGENT 
  
 9.1
Appointment. Each Bank hereby irrevocably designates and appoints JPMorgan Chase Bank as the Agent and CAF Loan Agent of such Bank under this Agreement, and each such Bank irrevocably authorizes JPMorgan Chase Bank, as the Agent and CAF Loan
Agent for such Bank, to take such action on its behalf under the provisions of this Agreement and to exercise such powers and perform such duties as are expressly delegated to the Agent or CAF Loan Agent, as the case may be, by the terms of this
Agreement, together with such other powers as are reasonably incidental thereto. Notwithstanding any provision to the contrary elsewhere in this Agreement, neither the Agent nor the CAF Loan Agent shall have any duties or responsibilities, except
those expressly set forth herein, or any fiduciary relationship with any Bank, and no implied covenants, functions, responsibilities, duties, obligations or liabilities shall be read into this Agreement or otherwise exist against the Agent or the
CAF Loan Agent. 
  
 9.2 Delegation of Duties. The Agent or
the CAF Loan 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. Neither the Agent nor the CAF Loan Agent
shall be responsible for the negligence or misconduct of any agents or attorneys-in-fact selected by it with reasonable care. 
  
 9.3 Exculpatory Provisions. Neither the Agent nor the CAF Loan Agent nor any of its officers, directors, employees, agents, attorneys-in-fact or
Affiliates shall be (a) liable for any action lawfully taken or omitted to be taken by it or such Person under or in connection with this Agreement (except for its or such Person’s own gross negligence or willful misconduct), or (b) responsible
in any manner to any of the Banks for any recitals, statements, representations or warranties made by the Company or any officer thereof contained in this Agreement or in any certificate, report, statement or other document referred to or provided
for in, or received by the Agent or the CAF Loan Agent under or in connection with, this Agreement or for the value, validity, effectiveness, genuineness, enforceability or sufficiency of this 
  

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 Agreement or the Notes or for any failure of the Company to perform its obligations hereunder. Neither the Agent nor the
CAF Loan Agent shall be under any obligation to any Bank to ascertain or to inquire as to the observance or performance of any of the agreements contained in, or conditions of, this Agreement, or to inspect the properties, books or records of the
Company. 
  
 9.4 Reliance by Agent. The Agent and the CAF
Loan Agent shall be entitled to rely, and shall be fully protected in relying, upon any Note, writing, resolution, notice, consent, certificate, affidavit, letter, cablegram, telegram, telecopy, telex or teletype message, statement, order or other
document or conversation believed by it to be genuine and correct and to have been signed, sent or made by the proper Person or Persons and upon advice and statements of legal counsel (including, without limitation, counsel to the Company),
independent accountants and other experts selected by the Agent or the CAF Loan Agent. The Agent may deem and treat the payee of any Note as the owner thereof for all purposes unless a written notice of assignment, negotiation or transfer thereof
shall have been filed with the Agent. The Agent and the CAF Loan Agent shall be fully justified in failing or refusing to take any action under this Agreement unless it shall first receive such advice or concurrence of the Required Banks as it deems
appropriate or it shall first be indemnified to its satisfaction by the Banks against any and all liability and expense which may be incurred by it by reason of taking or continuing to take any such action. The Agent and the CAF Loan Agent shall in
all cases be fully protected in acting, or in refraining from acting, under this Agreement and the Notes in accordance with a request of the Required Banks, and such request and any action taken or failure to act pursuant thereto shall be binding
upon all the Banks and all future holders of the Notes. 
  
 9.5
Notice of Default. The Agent shall not be deemed to have knowledge or notice of the occurrence of any Default or Event of Default hereunder unless the Agent has received notice from a Bank or the Company referring to this Agreement,
describing such Default or Event of Default and stating that such notice is a “notice of default”. In the event that the Agent receives such a notice, the Agent shall promptly give notice thereof to the Banks. The Agent shall take such
action with respect to such Default or Event of Default as shall be reasonably directed by the Required Banks; provided that, unless and until the Agent shall have received such directions, the Agent may (but shall not be obligated to) take such
action, or refrain from taking such action, with respect to such Default or Event of Default as it shall deem advisable in the best interests of the Banks. 
  
 9.6 Non-Reliance on Agent and Other Banks. Each Bank expressly acknowledges that neither the Agent nor the CAF Loan Agent nor any of its officers,
directors, employees, agents, attorneys-in-fact or Affiliates has made any representations or warranties to it and that no act by the Agent or the CAF Loan Agent hereinafter taken, including any review of the affairs of the Company, shall be deemed
to constitute any representation or warranty by the Agent to any Bank. Each Bank represents to the Agent and the CAF Loan Agent that it has, independently and without reliance upon the Agent or the CAF Loan Agent or any other Bank, and based on such
documents and information as it has deemed appropriate, made its own appraisal of and investigation into the business, operations, property, financial and other condition and creditworthiness of the Company and made its own decision to make its
Loans hereunder and enter into this Agreement. Each Bank also represents that it will, independently and without reliance upon the Agent or the CAF Loan Agent or any other Bank, and based on such documents and information as it shall deem
appropriate at the time, continue to make its own credit analysis, appraisals and decisions in taking or not taking action under this Agreement, 
  

 54 








 and to make such investigation as it deems necessary to inform itself as to the business, operations, property, financial
and other condition and creditworthiness of the Company. Except for notices, reports and other documents expressly required to be furnished to the Banks by the Agent or the CAF Loan Agent hereunder, neither the Agent nor the CAF Loan Agent shall
have any duty or responsibility to provide any Bank with any credit or other information concerning the business, operations, property, financial and other condition or creditworthiness of the Company which may come into the possession of the Agent
or the CAF Loan Agent or any of its officers, directors, employees, agents, attorneys-in-fact or Affiliates. 
  
 9.7 Indemnification. The Banks agree to indemnify the Agent and the CAF Loan Agent in its capacity as such (to the extent not reimbursed by the
Company and without limiting the obligation of the Company to do so), ratably according to the respective amounts of their then existing Commitments, from and against any and all liabilities, obligations, losses, damages, penalties, actions,
judgments, suits, costs, expenses or disbursements of any kind whatsoever which may at any time (including without limitation at any time following the payment of the Loans) be imposed on, incurred by or asserted against the Agent or the CAF Loan
Agent in any way relating to or arising out of this Agreement, or any documents contemplated by or referred to herein or the transactions contemplated hereby or any action taken or omitted by the Agent or the CAF Loan Agent under or in connection
with any of the foregoing; provided that no Bank shall be liable for the payment of any portion of such liabilities, obligations, losses, damages, penalties, actions, judgments, suits, costs, expenses or disbursements resulting from the Agent’s
or the CAF Loan Agent’s gross negligence or willful misconduct. The agreements in this subsection shall survive the payment of the Loans and all other amounts payable hereunder. 
  
 9.8 Agent and CAF Loan Agent in Its Individual Capacity. The Agent and the CAF Loan Agent and its Affiliates may make
loans to, accept deposits from and generally engage in any kind of business with the Company as though the Agent or the CAF Loan Agent were not the Agent or the CAF Loan Agent hereunder. With respect to its Loans made or renewed by it and any Note
issued to it and with respect to any Letter of Credit issued or participated in by it, the Agent and the CAF Loan Agent shall have the same rights and powers under this Agreement as any Bank and may exercise the same as though it were not the Agent,
and the terms “Bank” and “Banks” shall include the Agent or the CAF Loan Agent in its individual capacity. 
  
 9.9 Successor Agent and CAF Loan Agent. The Agent or the CAF Loan Agent may resign as Agent or CAF Loan Agent, as the case may be, upon 10
days’ notice to the Banks. If the Agent or the CAF Loan Agent shall resign as Agent or CAF Loan Agent, as the case may be, under this Agreement, then the Required Banks shall appoint from among the Banks a successor agent for the Banks which
successor agent shall be approved by the Company, whereupon such successor agent shall succeed to the rights, powers and duties of the Agent or CAF Loan Agent, as the case may be, and the term “Agent” or “CAF Loan Agent”, as the
case may be, shall mean such successor agent effective upon its appointment, and the former Agent’s or CAF Loan Agent’s rights, powers and duties as Agent or CAF Loan Agent shall be terminated, without any other or further act or deed on
the part of such former Agent or CAF Loan Agent or any of the parties to this Agreement or any holders of the Notes. After any retiring Agent’s or CAF Loan Agent’s resignation hereunder as Agent or CAF Loan Agent, the provisions of this
subsection 9.9 shall inure to its benefit as to any actions taken or omitted to be taken by it while it was Agent or CAF Loan Agent under this Agreement. 
  

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 9.10 Syndication Agents. None of the Syndication Agents shall have any duties or responsibilities
hereunder in their capacity as such. 
  
 SECTION 10. MISCELLANEOUS

  
 10.1 Amendments and Waivers. Neither this Agreement,
any Note, nor any terms hereof or thereof may be amended, supplemented or modified except in accordance with the provisions of this subsection. With the written consent of the Required Banks, the Agent and the Company may, from time to time, enter
into written amendments, supplements or modifications hereto for the purpose of adding any provisions to this Agreement or the Notes or changing in any manner the rights of the Banks or of the Company hereunder or thereunder or waiving, on such
terms and conditions as the Agent may specify in such instrument, any of the requirements of this Agreement or the Notes or any Default or Event of Default and its consequences; provided, however, that no such waiver and no such amendment,
supplement or modification shall (a) extend the maturity (whether as stated, by acceleration or otherwise) of any Loan, or reduce the rate or extend the time of payment of interest thereon, or reduce or extend the payment of any fee payable to the
Banks hereunder, or reduce the principal amount of any Loan, or change the amount of any Bank’s Commitment, or amend, modify, waive any provision of subsection 2.11(a), (b) or (c), in each case without the consent of each Bank directly affected
thereby, or (b) amend, modify or waive any provision of this subsection 10.1 or reduce the percentage specified in the definition of Required Banks or consent to the assignment or transfer by the Company of any of its rights and obligations under
this Agreement, in each case without the written consent of all the Banks, or (c) amend, modify or waive any provision of Section 9 without the written consent of the then Agent. Any such waiver and any such amendment, supplement or modification
shall apply equally to each of the Banks and shall be binding upon the Company, the Banks, the Agent and all future holders of any Loans. In the case of any waiver, the Company, the Banks and the Agent shall be restored to their former position and
rights hereunder and under the outstanding Notes, and any Default or Event of Default waived shall be deemed to be cured and not continuing; but no such waiver shall extend to any subsequent or other Default or Event of Default, or impair any right
consequent thereon. 
  
 10.2 Notices. All notices, requests
and demands to or upon the respective parties hereto to be effective shall be in writing (including by telecopy), and, unless otherwise expressly provided herein, shall be deemed to have been duly given or made when delivered by hand, or three
Business Days after being deposited in the mail, postage prepaid, or one Business Day after being deposited with an overnight courier service, or, in the case of telecopy notice, when sent, confirmation of receipt received, addressed (i) in the case
of notices, requests and demands to or upon the Company, the Agent, and the CAF Loan Agent, as set forth below and (ii) in the case of notices, requests and demands to or upon any Bank, as set forth in an administrative questionnaire delivered by
such Bank to the Agent, or, in each case, to such other address as may be hereafter notified by the respective parties hereto and any future holders of the Notes: 
  

							
	 	 	The Company:	 	Humana Inc.
	 	 	 	 	The Humana Building
	 	 	 	 	500 West Main Street
	 	 	 	 	Louisville, Kentucky 40202
	 	 	 	 	Attention:	    	James H. Bloem
	 	 	 	 	 	    	Senior Vice President and
	 	 	 	 	 	    	Chief Financial Officer
	 	 	 	 	Telecopy:	    	(502) 580-3615

  

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	 	 	 The Agent and
 CAF Loan Agent:
	 	JPMorgan Chase Bank
	 	 	 	 	1111 Fannin, 10th Floor
	 	 	 	 	Houston, TX 77272
				
	 	 	 	 	Attention:	    	Cherry Arnaez
	 	 	 	 	Telecopy:	    	(713) 750-2782
			
	 	 	with a copy to:	 	JPMorgan Chase Bank
	 	 	 	 	270 Park Avenue, 4th Floor
	 	 	 	 	New York, NY 10017
				
	 	 	 	 	Attention:	    	Dawn Lee Lum
	 	 	 	 	Telecopy:	    	(212) 270-5100

  
 provided that any notice,
request or demand to or upon the Agent or the Banks pursuant to Section 2 shall not be effective until received. 
  
 10.3 No Waiver; Cumulative Remedies. No failure to exercise and no delay in exercising, on the part of the Agent or any Bank, any right, remedy,
power or privilege hereunder, shall operate as a waiver thereof; nor shall any single or partial exercise of any right, remedy, power or privilege hereunder preclude any other or further exercise thereof or the exercise of any other right, remedy,
power or privilege. The rights, remedies, powers and privileges herein provided are cumulative and not exclusive of any rights, remedies, powers and privileges provided by law. 
  
 10.4 Survival of Representations and Warranties. All representations and warranties made hereunder and in any
document, certificate or statement delivered pursuant hereto or in connection herewith shall survive the execution and delivery of this Agreement and the Notes. 
  

10.5 Payment of Expenses and Taxes; Indemnity. (a) The Company agrees (i) to pay or reimburse the Agent for all its reasonable out-of-pocket
costs and expenses incurred in connection with the development, preparation and execution of, and any amendment, supplement or modification to, this Agreement and the Notes and any other documents prepared in connection herewith, and the
consummation of the transactions contemplated hereby and thereby, including, without limitation, the reasonable fees and disbursements of counsel to the Agent, (ii) to pay or reimburse each Bank and the Agent for all their reasonable costs and
expenses incurred in connection with the enforcement or preservation of any rights under this Agreement, the Notes and any such other documents, including, without limitation, reasonable fees and disbursements of counsel (including, without
limitation, the allocated cost of in-house counsel) to the Agent and to the several Banks, and (iii) to pay, indemnify, and hold each Bank and the Agent harmless from, any and all recording and filing fees and any and all liabilities with respect
to, or resulting from any delay in paying, stamp, excise and other taxes, if any, which may be payable or determined to be payable in connection with the execution and delivery of, or 
  

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 consummation of any of the transactions contemplated by, or any amendment, supplement or modification of, or any waiver
or consent under or in respect of, this Agreement, the Notes and any such other documents. 
  
 (b) The Company will indemnify each of the Agent and the Banks and the directors, officers and employees thereof and each Person, if any, who controls each one of the Agent and the Banks (any of the foregoing, an
“Indemnified Person”) and hold each Indemnified Person harmless from and against any and all claims, damages, liabilities and expenses (including without limitation all fees and disbursements of counsel (including without
limitation, the allocated cost of in-house counsel) with whom an Indemnified Person may consult in connection therewith and all expenses of litigation or preparation therefor) which an Indemnified Person may incur or which may be asserted against it
in connection with any litigation or investigation (whether or not such Indemnified Person is a party to such litigation or investigation) involving this Agreement, the use of any proceeds of any Loans under this Agreement by the Company or any
Subsidiary, any officer, director or employee thereof, excluding litigation commenced by the Company against any of the Agent or the Banks which (i) seeks enforcement of any of the Company’s rights hereunder and (ii) is determined adversely to
any of the Agent or the Banks (all such non-excluded claims, damages, liabilities and expenses, “Indemnified Liabilities”), provided that the Company shall have no obligation hereunder to any Indemnified Person with respect
to Indemnified Liabilities to the extent such Indemnified Liabilities resulted from the gross negligence or willful misconduct of such Indemnified Person. 
  
 (c) The agreements in this subsection 10.5 shall survive repayment of the Loans and all other amounts payable hereunder. 
  
 10.6 Successors and Assigns; Participations; Purchasing Banks. (a)
This Agreement shall be binding upon and inure to the benefit of the Company, the Banks, the Agent, all future holders of the Notes and their respective successors and assigns, except that the Company may not assign or transfer any of its rights or
obligations under this Agreement without the prior written consent of each Bank. 
  
 (b) Any Bank other than a Conduit Lender may, in the ordinary course of its commercial banking business and in accordance with applicable law, at any time sell to one or more banks or other entities
(“Participants”) participating interests in any Loans owing to such Bank, any Notes held by such Bank, any Commitments of such Bank and/or any other interests of such Bank hereunder and under the other Loan Documents. In the event
of any such sale by a Bank of a participating interest to a Participant, such Bank’s obligations under this Agreement to the other parties under this Agreement shall remain unchanged, such Bank shall remain solely responsible for the
performance thereof, such Bank shall remain the holder of any such Notes for all purposes under this Agreement, and the Company and the Agent shall continue to deal solely and directly with such Bank in connection with such Bank’s rights and
obligations under this Agreement and under the other Loan Documents. The Company agrees that if amounts outstanding under this Agreement and the Notes are due or unpaid, or shall have been declared or shall have become due and payable upon the
occurrence of an Event of Default, each Participant shall be deemed to have the right of offset in respect of its participating interest in amounts owing under this Agreement and any Notes to the same extent as if the amount of its participating
interest were owing directly to it as a Bank under this Agreement or any Notes, provided that such right of offset shall be subject to the obligation of such Participant to share with the Banks, and the Banks agree to share with such
Participant, as provided in subsection 
  

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 10.7. The Company also agrees that each Participant shall be entitled to the benefits of subsections
2.13, 2.14 and 2.15 with respect to its participation in the Commitments and the Eurodollar Loans outstanding from time to time; provided that no Participant shall be entitled to receive any greater amount pursuant to such subsections than
the transferor Bank would have been entitled to receive in respect of the amount of the participation transferred by such transferor Bank to such Participant had no such transfer occurred. No Participant shall be entitled to consent to any
amendment, supplement, modification or waiver of or to this Agreement or any Note, unless the same is an amendment, supplement, modification or waiver described in clause (a) of the proviso to subsection 10.1. 
  
 (c) Any Bank other than any Conduit Lender may, in the ordinary course of its
commercial banking business and in accordance with applicable law, at any time assign to one or more banks or other entities (“CAF Loan Assignees”) any CAF Loan owing to such Bank and any Individual CAF Loan Note held by such Bank
evidencing such CAF Loan, pursuant to a CAF Loan Assignment executed by the assignor Bank, the CAF Loan Assignee and the Agent (and, in the case of a CAF Loan Assignee that is not then a Bank, a Lender Affiliate or an Approved Fund, by the Company
(which consent shall not be unreasonably withheld)); provided, that no consent of the Company shall be required while an Event of Default is continuing. Upon such execution, from and after the date of such CAF Loan Assignment, the CAF Loan
Assignee shall, to the extent of the assignment provided for in such CAF Loan Assignment, be deemed to have the same rights and benefits of payment and enforcement with respect to such CAF Loan and Individual CAF Loan Note and the same rights of
offset pursuant to subsection 10.7 and under applicable law and obligation to share pursuant to subsection 10.7 as it would have had if it were a Bank hereunder; provided that unless such CAF Loan Assignment shall otherwise specify and a copy
of such CAF Loan Assignment shall have been delivered to the Agent for its acceptance and recording in the Register in accordance with subsection 10.6(f), the assignor thereunder shall act as collection agent for the CAF Loan Assignee thereunder,
and the Agent shall pay all amounts received from the Company which are allocable to the assigned CAF Loan or Individual CAF Loan Note directly to such assignor without any further liability to such CAF Loan Assignee. A CAF Loan Assignee under a CAF
Loan Assignment shall not, by virtue of such CAF Loan Assignment, become a party to this Agreement or have any rights to consent to or refrain from consenting to any amendment, waiver or other modification of any provision of this Agreement or any
related document; provided that if a copy of such CAF Loan Assignment shall have been delivered to the Agent for its acceptance and recording in the Register in accordance with subsection 10.6(f), neither the principal amount of, the interest
rate on, nor the maturity date of any CAF Loan or Individual CAF Loan Note assigned to the CAF Loan Assignee thereunder will be modified without the written consent of such CAF Loan Assignee. If a CAF Loan Assignee has caused a CAF Loan Assignment
to be recorded in the Register in accordance with subsection 10.6(f), such CAF Loan Assignee may thereafter, in the ordinary course of its business and in accordance with applicable law, assign such Individual CAF Loan Note to any Bank, to any
affiliate or subsidiary of such CAF Loan Assignee or to any other financial institution that has total assets in excess of $1,000,000,000 and that in the ordinary course of its business extends credit of the type evidenced by such Individual CAF
Loan Note, and the foregoing provisions of this subsection 10.6(c) shall apply, mutatis mutandis, to any such assignment by a CAF Loan Assignee. Except in accordance with the preceding sentence, CAF Loans and Individual CAF Loan Notes may not
be further assigned by a CAF Loan Assignee, subject to any legal or regulatory requirement that the CAF Loan Assignee’s assets must remain under its control. 
  

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 (d) Any Bank other than a Conduit Lender may, in the ordinary course of its commercial banking business
and in accordance with applicable law, at any time sell to one or more additional banks or financial institutions or Approved Funds (“Purchasing Banks”) all or any part of its rights and/or obligations under this Agreement and the
Notes pursuant to a Commitment Transfer Supplement, executed by such Purchasing Bank, such transferor Bank, the Issuing Bank and the Agent (which consent shall not be unreasonably withheld) (and, in the case of a Purchasing Bank that is not then a
Bank, a Lender Affiliate or an Approved Fund, by the Company (which consent shall not be unreasonably withheld)); provided, however, that (i) the Commitments purchased by such Purchasing Bank that is not then a Bank, a Lender Affiliate
or an Approved Fund shall be equal to or greater than $5,000,000, (ii) the transferor Bank which has transferred less than all of its Loans and Commitments to any such Purchasing Bank shall retain a minimum Commitment, after giving effect to such
sale, equal to or greater than $10,000,000 and (iii) no consent of the Company shall be required while an Event of Default is continuing. For purposes of the proviso contained in the previous sentence, the amounts described therein shall be
aggregated in respect of each Bank, its Lender Affiliates and Approved Funds, if any. Upon (i) such execution of such Commitment Transfer Supplement, (ii) delivery of an executed copy thereof to the Company and (iii) payment by such Purchasing Bank,
such Purchasing Bank shall for all purposes be a Bank party to this Agreement and shall have all the rights and obligations of a Bank under this Agreement, to the same extent as if it were an original party hereto with the Commitment Percentage of
the Commitments set forth in such Commitment Transfer Supplement. Such Commitment Transfer Supplement shall be deemed to amend this Agreement to the extent, and only to the extent, necessary to reflect the addition of such Purchasing Bank and the
resulting adjustment of Commitment Percentages arising from the purchase by such Purchasing Bank of all or a portion of the rights and obligations of such transferor Bank under this Agreement and the Notes. Upon the consummation of any transfer to a
Purchasing Bank, pursuant to this subsection 10.6(d), the transferor Bank, the Agent and the Company shall make appropriate arrangements so that, if required, replacement Notes are issued to such transferor Bank and new Notes or, as appropriate,
replacement Notes, are issued to such Purchasing Bank, in each case in principal amounts reflecting their Commitment Percentages or, as appropriate, their outstanding Loans as adjusted pursuant to such Commitment Transfer Supplement. Notwithstanding
the foregoing, any Conduit Lender may assign at any time to its designating Bank hereunder without the consent of the Company or the Agent any or all of the Loans it may have funded hereunder and pursuant to its designation agreement and without
regard to the limitations set forth in the first sentence of this subsection 10.6(d). 
  
 For the purpose of this subsection 10.6(d), “Approved Fund” means any Person (other than a natural person) that is engaged in making, purchasing, holding or investing in bank loans and similar
extensions of credit in the ordinary course of its business and that is administered or managed by (a) a Bank, (b) an Affiliate of a Bank or (c) an entity or an Affiliate of an entity that administers or manages a Bank. 
  
 (e) The Agent shall maintain at its address referred to in subsection 10.2
copy of each CAF Loan Assignment and each Commitment Transfer Supplement delivered to it and a register (the “Register”) for the recordation of (i) the names and addresses of the Banks and the Commitment of, and principal amount of
the Loans owing to, each Bank from time to time, and (ii) with respect to each CAF Loan Assignment delivered to the Agent, the name and address of the CAF Loan Assignee and the principal amount of each CAF Loan owing to such CAF Loan Assignee. The
entries in the Register shall be conclusive, in the absence of manifest error, and 
  

 60 








 the Company, the Agent and the Banks may treat each Person whose name is recorded in the Register as the owner of the
Loan recorded therein for all purposes of this Agreement. The Register shall be available for inspection by the Company or any Bank or CAF Loan Assignee at any reasonable time and from time to time upon reasonable prior notice. 
  
 (f) Upon its receipt of a CAF Loan Assignment executed by an assignor Bank
and a CAF Loan Assignee, together with payment to the Agent of a registration and processing fee of $2,500, the Agent shall promptly accept such CAF Loan Assignment, record the information contained therein in the Register and give notice of such
acceptance and recordation to the assignor Bank, the CAF Loan Assignee and the Company. Upon its receipt of a Commitment Transfer Supplement executed by a transferor Bank, a Purchasing Bank and the Agent (and, in the case of a Purchasing Bank that
is not then a Bank, a Lender Affiliate or an Approved Fund, by the Company (so long as no Event of Default is continuing)) together with payment to the Agent of a registration and processing fee of $3,500, the Agent shall (i) promptly accept such
Commitment Transfer Supplement (ii) on the Transfer Effective Date determined pursuant thereto record the information contained therein in the Register and give notice of such acceptance and recordation to the Banks and the Company. 
  
 (g) The Company authorizes each Bank to disclose to any Participant, CAF Loan
Assignee or Purchasing Bank (each, a “Transferee”) and any prospective Transferee any and all financial information in such Bank’s possession concerning the Company which has been delivered to such Bank by the Company pursuant
to this Agreement or which has been delivered to such Bank by the Company in connection with such Bank’s credit evaluation of the Company prior to entering into this Agreement. 
  
 (h) If, pursuant to this subsection 10.6, any interest in this Agreement or any Note is transferred to a Non-U.S. Bank, the
transferor Bank shall cause such Transferee, concurrently with the effectiveness of such transfer to comply with the provisions of subsection 2.15. 
  
 (i) For the avoidance of doubt, the parties to this Agreement acknowledge that the provisions of this subsection 10.6 concerning assignments relate only
to absolute assignments and that such provisions do not prohibit assignments creating security interests, including any pledge or assignment by a Bank to any Federal Reserve Bank in accordance with applicable law. 
  
 (j) Each of the Company, each Bank and the Agent hereby confirms that it will
not institute against a Conduit Lender or join any other Person in instituting against a Conduit Lender any bankruptcy, reorganization, arrangement, insolvency or liquidation proceeding under any state bankruptcy or similar law, for one year and one
day after the payment in full of the latest maturing commercial paper note issued by such Conduit Lender; provided, however, that each Bank designating any Conduit Lender hereby agrees to indemnify, save and hold harmless each other party
hereto for any loss, cost, damage or expense arising out of its inability to institute such a proceeding against such Conduit Lender during such period of forbearance. 
  
 10.7 Adjustments; Set-off (a) Except to the extent that this Agreement provides for payments to be allocated to a
particular Bank or Banks, if any Bank (a “Benefitted Bank”) shall at any time receive any payment of all or part of its Loans or the Reimbursement 
  

 61 








 Obligations owing to it, or interest thereon, or receive any collateral in respect thereof (whether voluntarily or
involuntarily, by offset, pursuant to events or proceedings of the nature referred to in subsection 8.1(f), or otherwise) in a greater proportion than any such payment to and collateral received by any other Bank, if any, in respect of such other
Bank’s Loans or the Reimbursement Obligations owing to it, or interest thereon, such Benefitted Bank shall purchase for cash from the other Banks such portion of each such other Bank’s Loans or the Reimbursement Obligations then owing to
it, or shall provide such other Banks with the benefits of any such collateral, or the proceeds thereof, as shall be necessary to cause such Benefitted Bank to share the excess payment or benefits of such collateral or proceeds ratably with each of
the Banks; provided, however, that if all or any portion of such excess payment or benefits is thereafter recovered from such Benefitted Bank, such purchase shall be rescinded, and the purchase price and benefits returned, to the extent of such
recovery, but without interest. The Company agrees that each Bank so purchasing a portion of another Bank’s Loan may exercise all rights of a payment (including, without limitation, rights of offset) with respect to such portion as fully as if
such Bank were the direct holder of such portion. 
  
 (b) In
addition to any rights and remedies of the Banks provided by law, at any time when an Event of Default is in existence, each Bank shall have the right, without prior notice to the Company, any such notice being expressly waived by the Company to the
extent permitted by applicable law, upon any amount becoming due and payable by the Company hereunder (whether at the stated maturity, by acceleration or otherwise), to set off and appropriate and apply against such amount any and all deposits
(general or special, time or demand, provisional or final), in any currency, and any other credits, indebtedness or claims, in any currency, in each case whether direct or indirect, absolute or contingent, matured or unmatured, at any time held or
owing by such Bank or any branch or agency thereof to or for the credit or the account of the Company, as the case may be. Each Bank agrees promptly to notify the Company and the Agent after any such setoff and application made by such Bank,
provided that the failure to give such notice shall not affect the validity of such setoff and application. 
  
 10.8 Counterparts. This Agreement may be executed by one or more of the parties to this Agreement on any number of separate counterparts and all of
said counterparts taken together shall be deemed to constitute one and the same instrument. A set of the copies of this Agreement signed by all the parties shall be lodged with the Company and the Agent. 
  
 10.9 GOVERNING LAW. THIS AGREEMENT AND THE NOTES AND THE RIGHTS AND
OBLIGATIONS OF THE PARTIES UNDER THIS AGREEMENT AND THE NOTES SHALL BE GOVERNED BY, AND CONSTRUED AND INTERPRETED IN ACCORDANCE WITH, THE LAW OF THE STATE OF NEW YORK. 
  
 10.10 WAIVERS OF JURY TRIAL. THE COMPANY, THE AGENT, THE CAF LOAN AGENT AND THE BANKS EACH HEREBY IRREVOCABLY AND
UNCONDITIONALLY WAIVE TRIAL BY JURY IN ANY LEGAL ACTION OR PROCEEDING RELATING TO THIS AGREEMENT, THE NOTES OR ANY OTHER LOAN DOCUMENT AND FOR ANY COUNTERCLAIM THEREIN. 
  

 62 








 10.11 Submission To Jurisdiction; Waivers. The Company hereby irrevocably and unconditionally:

  
 (a) submits for itself and its property in
any legal action or proceeding relating to this Agreement, or for recognition and enforcement of any judgment in respect thereof, to the non-exclusive general jurisdiction of the Courts of the State of New York, the courts of the United States of
America for the Southern District of New York, and appellate courts from any thereof; and 
  
 (b) consents that any such action or proceeding may be brought in such courts, and waives any objection that it may now or hereafter have
to the venue of any such action or proceeding in any such court or that such action or proceeding was brought in an inconvenient court and agrees not to plead or claim the same. 
  
 10.12 Confidentiality of Information. Each Bank acknowledges that some of the information furnished to such Bank
pursuant to this Agreement may be received by such Bank prior to the time such information shall have been made public, and each Bank agrees that it will keep all information so furnished confidential and shall make no use of such information until
it shall have become public, except (a) in connection with matters involving operations under or enforcement of this Agreement or the Notes, (b) in accordance with each Bank’s obligations under law or regulation or pursuant to subpoenas or
other process to make information available to governmental or regulatory agencies and examiners or to others, (c) to each Bank’s Affiliates, employees, agents (including accountants, legal counsel and other advisors) and Transferees and
prospective Transferees so long as such Persons agree to be bound by this subsection 10.12 and (d) with the prior written consent of the Company. 
  
 10.13 Existing Credit Agreements. Each Bank which is a Bank party to any Existing Credit Agreement and the Company acknowledge that the commitments
under each of the Existing Credit Agreements will terminate on the Closing Date, and each such Bank hereby waives any requirement of any Existing Credit Agreement that the Company give any notice of such termination. 
  
 10.14 USA PATRIOT Act. Each Bank hereby notifies the Company that
pursuant to the requirements of the USA Patriot Act (Title III of Pub. L. 107-56 (signed into law October 26, 2001)) (the “Act”), it is required to obtain, verify and record information that identifies the Company, which information
includes the name and address of the Company and other information that will allow such Bank to identify the Company in accordance with the Act. 
  

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 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed and delivered by
their proper and duly authorized officers as of the day and year first above written. 
  

			
	HUMANA INC.
		
	By:	 	 /s/ James H. Bloem


	Name:	 	James H. Bloem
	Title:	 	Sr. Vice President & Chief Financial Officer


  
 Humana 2004 Five
Year Credit Agreement 








			
	JPMORGAN CHASE BANK, as Agent, as CAF Loan Agent and as a Bank
		
	By:	 	 /s/ Dawn Lee Lum


	Name:	 	Dawn Lee Lum
	Title:	 	Vice President


  
 Humana 2004 Five
Year Credit Agreement 








			
	Bank of America, N.A., as a Bank
		
	By:	 	 /s/ Joseph L.Corah


	Name:	 	Joseph L. Corah
	Title:	 	Principal


  
 Humana 2004 Five
Year Credit Agreement 








			
	CITIBANK, N.A., as Syndication Agent and as a Bank
		
	By:	 	 /s/ David A. Dodge


	Name:	 	David A. Dodge
	Title:	 	Managing Director


  
 Humana 2004 Five
Year Credit Agreement 








			
	U.S. BANK NATIONAL ASSOCIATION, as Syndication Agent and as a Bank
		
	By:	 	 /s/ Sandra J. Hartay


	Name:	 	Sandra J. Hartay
	Title:	 	Vice President


  
 Humana 2004 Five
Year Credit Agreement 








			
	WACHOVIA BANK, NATIONAL ASSOCIATION, as Syndication Agent and as a Bank
		
	By:	 	 /s/ Kimberly Shaffer


	Name:	 	Kimberly Shaffer
	Title:	 	Director


  
 Humana 2004 Five
Year Credit Agreement 








			
	National City Bank of Kentucky, as a Bank
		
	By:	 	 /s/ Deroy Scott


	Name:	 	Deroy Scott
	Title:	 	Senior Vice President


  
 Humana 2004 Five
Year Credit Agreement 








			
	PNC Bank, National Association, as a Bank
		
	By:	 	 /s/ Richard M. Ellis


	Name:	 	Richard M. Ellis
	Title:	 	Senior Vice President


  
 Humana 2004 Five
Year Credit Agreement 








			
	SUMITOMO MITSUI BANKING CORPORATION
		
	By:	 	 /s/ Edward McColly


	Name:	 	Edward McColly
	Title:	 	Vice President & Department Head


  
 Humana 2004 Five
Year Credit Agreement 








			
	Branch Banking and Trust Co., as a Bank
		
	By:	 	 /s/ Johnny L. Perry


	Name:	 	Johnny L. Perry
	Title:	 	Senior Vice President


  
 Humana 2004 Five
Year Credit Agreement 








			
	Fifth Third Bank (Louisville)
		
	By:	 	 /s/ Richard G. Whipple


	Name:	 	Richard G. Whipple
	Title:	 	Assistant Vice President


  
 Humana 2004 Five
Year Credit Agreement 








			
	William Street Commitment Corporation, as a Bank (Recourse only to assets of William Street Commitment Corporation)
		
	By:	 	 /s/ Jennifer M. Hill


	Name:	 	Jennifer M. Hill
	Title:	 	Chief Financial Officer


  
 Humana 2004 Five
Year Credit Agreement 








			
	The Bank of New York, as a Bank
		
	By:	 	 /s/ William M. Barnum


	Name:	 	William M. Barnum
	Title:	 	Vice President


  
 Humana 2004 Five
Year Credit Agreement 








			
	UMB Bank, n.a., as a Bank
		
	By:	 	 /s/ Charles J. Wolf


	Name:	 	Charles J. Wolf
	Title:	 	Senior Vice President


  
 Humana 2004 Five
Year Credit Agreement 








			
	Wells Fargo Bank, National Association, as a Bank
		
	By:	 	 /s/ Horace S. Jennings


	Name:	 	Horace S. Jennings
	Title:	 	Vice President
		
	By:	 	 /s/Alex Idichandy


	Name:	 	Alex Idichandy
	Title:	 	Vice President


  
 Humana 2004 Five
Year Credit Agreement 








			
	Hibernia National Bank, as a Bank
		
	By:	 	 /s/ Katharine G. Kay


	Name:	 	Katharine G. Kay
	Title:	 	Vice President


  
 Humana 2004 Five
Year Credit Agreement 







 SCHEDULE I 
  

Commitment Amounts and Percentages 
  
 Commitment Amounts and Percentages 
  

							
	 Name of Bank

	  	 Commitment
 Amount

	  	 Commitment
 Percentage

	 
	 JPMORGAN CHASE BANK
	  	$	75,000,000	  	12.50	%
	 BANK OF AMERICA, N.A.
	  	 	60,000,000	  	10.00	%
	 CITIBANK, N.A.
	  	 	60,000,000	  	10.00	%
	 US BANK NATIONAL ASSOCIATION
	  	 	60,000,000	  	10.00	%
	 WACHOVIA BANK, NATIONAL ASSOCIATION
	  	 	60,000,000	  	10.00	%
	 NATIONAL CITY BANK OF KENTUCKY
	  	 	45,000,000	  	7.50	%
	 PNC BANK, NATIONAL ASSOCIATION
	  	 	45,000,000	  	7.50	%
	 SUMITOMO MITSUI BANKING CORPORATION
	  	 	45,000,000	  	7.50	%
	 BRANCH BANKING & TRUST CO.
	  	 	22,500,000	  	3.75	%
	 FIFTH THIRD BANK
	  	 	22,500,000	  	3.75	%
	 GOLDMAN SACHS
	  	 	22,500,000	  	3.75	%
	 THE BANK OF NEW YORK
	  	 	22,500,000	  	3.75	%
	 UMB BANK, N.A.
	  	 	22,500,000	  	3.75	%
	 WELLS FARGO BANK
	  	 	22,500,000	  	3.75	%
	 HIBERNIA NATIONAL BANK
	  	 	15,000,000	  	2.50	%
	 	  	
	
	  	
	

	 TOTAL
	  	$	600,000,000	  	100.00	%
	 	  	
	
	  	
	









 SCHEDULE II 
  

PRICING GRID 
  

							
	 Public Debt Ratings
 S&P/Moody’s

	 	 Alternate Base
 Rate Margin

	  	 Eurodollar Margin

	  	 Facility Fee


	 Level 1 3 BBB+/Baa1
	 	0 bps	  	50.0 bps	  	12.5 bps
	 Level 2 3 BBB/Baa2
	 	0 bps	  	60.0 bps	  	15.0 bps
	 Level 3 3 BBB-/Baa3
	 	0 bps	  	80.0 bps	  	20.0 bps
	 Level 4 3 BB+/Ba1
	 	0 bps	  	100.0 bps	  	25.0 bps
	 Level 5 < BB+/Ba1
	 	12.5 bps	  	112.5 bps	  	37.5 bps

  
 Pricing will be determined based upon
the higher of the ratings from S&P or Moody’s; provided, that (i) in the event the Company’s ratings are more than one Level apart, the pricing will be determined by using the rating which is one Level above the lower rating,
(ii) if on any day the rating of only one of S&P or Moody’s is available, then the Level of such rating shall be applicable for such day and (iii) if on any day a rating is available from neither of S&P or Moody’s, then Level 5
shall be applicable for such day. Any change in the applicable Level resulting from a change in the rating of a S&P or Moody’s shall become effective on the date such change is publicly announced by S&P or Moody’s, as applicable.