exv10w1



 





Exhibit 10.1


CREDIT AGREEMENT




for $500,000,000 Credit Facility

dated as of October 14, 2005




among




EOP OPERATING LIMITED PARTNERSHIP,




THE BANKS LISTED HEREIN,




WACHOVIA BANK, NATIONAL ASSOCIATION,

as Administrative Agent,




BANK OF AMERICA, N.A.

as Syndication Agent,




WACHOVIA CAPITAL MARKETS, LLC,

as Joint Lead Arranger and Joint Bookrunner,




and




BANC OF AMERICA SECURITIES LLC,

as Joint Lead Arranger and Joint Bookrunner




 









 








TABLE OF CONTENTS




	 	 	 	 	 
	ARTICLE I

	DEFINITIONS

	 
	 	 	 	 
	SECTION 1.1. Definitions

	 	 	1	 
	SECTION 1.2. Accounting Terms and Determinations

	 	 	26	 
	SECTION 1.3. Types of Borrowings

	 	 	26	 
	 
	 	 	 	 
	ARTICLE II

	THE CREDITS

	 
	 	 	 	 
	SECTION 2.1. Commitments to Lend

	 	 	27	 
	SECTION 2.2. Notice of Borrowing

	 	 	27	 
	SECTION 2.3. Optional Increase in Commitments

	 	 	27	 
	SECTION 2.4. Intentionally Omitted

	 	 	28	 
	SECTION 2.5. Notice to Banks; Funding of Loans

	 	 	28	 
	SECTION 2.6. Notes

	 	 	30	 
	SECTION 2.7. Method of Electing Interest Rates

	 	 	30	 
	SECTION 2.8. Interest Rates

	 	 	32	 
	SECTION 2.9. Mandatory Prepayments

	 	 	32	 
	SECTION 2.10. Maturity Date

	 	 	33	 
	SECTION 2.11. Optional Prepayments

	 	 	33	 
	SECTION 2.12. General Provisions as to Payments

	 	 	34	 
	SECTION 2.13. Funding Losses

	 	 	34	 
	SECTION 2.14. Computation of Interest and Fees

	 	 	35	 
	SECTION 2.15. Use of Proceeds

	 	 	35	 
	 
	 	 	 	 
	ARTICLE III

	CONDITIONS

	 
	 	 	 	 
	SECTION 3.1. Closing

	 	 	35	 
	SECTION 3.2. Borrowings

	 	 	37	 
	 
	 	 	 	 
	ARTICLE IV

	REPRESENTATIONS AND WARRANTIES

	 
	 	 	 	 
	SECTION 4.1. Existence and Power

	 	 	38	 
	SECTION 4.2. Power and Authority

	 	 	38	 
	SECTION 4.3. No Violation

	 	 	39	 






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	SECTION 4.4. Financial Information

	 	 	39	 
	SECTION 4.5. Litigation

	 	 	40	 
	SECTION 4.6. Compliance with ERISA

	 	 	40	 
	SECTION 4.7. Environmental

	 	 	41	 
	SECTION 4.8. Taxes

	 	 	41	 
	SECTION 4.9. Full Disclosure

	 	 	41	 
	SECTION 4.10. Solvency

	 	 	41	 
	SECTION 4.11. Use of Proceeds

	 	 	41	 
	SECTION 4.12. Governmental Approvals

	 	 	42	 
	SECTION 4.13. Investment Company Act; Public
Utility Holding Company Act

	 	 	42	 
	SECTION 4.14. Principal Offices

	 	 	42	 
	SECTION 4.15. REIT Status

	 	 	42	 
	SECTION 4.16. Patents, Trademarks, etc

	 	 	42	 
	SECTION 4.17. Judgments

	 	 	42	 
	SECTION 4.18. No Default

	 	 	42	 
	SECTION 4.19. Licenses, etc

	 	 	43	 
	SECTION 4.20. Compliance With Law

	 	 	43	 
	SECTION 4.21. No Burdensome Restrictions

	 	 	43	 
	SECTION 4.22. Brokers’ Fees

	 	 	43	 
	SECTION 4.23. Labor Matters

	 	 	43	 
	SECTION 4.24. Insurance

	 	 	43	 
	SECTION 4.25. Organizational Documents

	 	 	44	 
	SECTION 4.26. Qualifying Unencumbered Properties

	 	 	44	 
	SECTION 4.27. Tax Shelter Regulations

	 	 	44	 
	 
	 	 	 	 
	ARTICLE V
	 	 	 	 
	AFFIRMATIVE AND NEGATIVE COVENANTS
	 	 	 	 
	 
	 	 	 	 
	SECTION 5.1. Information

	 	 	44	 
	SECTION 5.2. Payment of Obligations

	 	 	47	 
	SECTION 5.3. Maintenance of Property; Insurance; Leases

	 	 	47	 
	SECTION 5.4. Maintenance of Existence

	 	 	48	 
	SECTION 5.5. Compliance with Laws

	 	 	48	 
	SECTION 5.6. Inspection of Property, Books and Records

	 	 	48	 
	SECTION 5.7. Existence

	 	 	48	 
	SECTION 5.8. Financial Covenants

	 	 	49	 
	SECTION 5.9. Restriction on Fundamental Changes

	 	 	50	 
	SECTION 5.10. Changes in Business

	 	 	51	 
	SECTION 5.11. EOPT Status

	 	 	51	 
	SECTION 5.12. Other Indebtedness

	 	 	53	 






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	SECTION 5.13. Forward Equity Contracts

	 	 	53	 
	 
	 	 	 	 
	ARTICLE VI
	 	 	 	 
	DEFAULTS
	 	 	 	 
	 
	 	 	 	 
	SECTION 6.1. Events of Default

	 	 	53	 
	SECTION 6.2. Rights and Remedies

	 	 	56	 
	SECTION 6.3. Notice of Default

	 	 	57	 
	SECTION 6.4. Distribution of Proceeds after Default

	 	 	57	 
	 
	 	 	 	 
	ARTICLE VII
	 	 	 	 
	THE AGENTS
	 	 	 	 
	 
	 	 	 	 
	SECTION 7.1. Appointment and Authorization

	 	 	57	 
	SECTION 7.2. Agency and Affiliates

	 	 	57	 
	SECTION 7.3. Action by Administrative Agent and Lead Arrangers

	 	 	58	 
	SECTION 7.4. Consultation with Experts

	 	 	58	 
	SECTION 7.5. Liability of Administrative Agent

	 	 	58	 
	SECTION 7.6. Indemnification

	 	 	58	 
	SECTION 7.7. Credit Decision

	 	 	59	 
	SECTION 7.8. Successor Administrative Agent or Lead Arrangers

	 	 	59	 
	SECTION 7.9. Consents and Approvals

	 	 	60	 
	 
	 	 	 	 
	ARTICLE VIII
	 	 	 	 
	CHANGE IN CIRCUMSTANCES
	 	 	 	 
	 
	 	 	 	 
	SECTION 8.1. Basis for Determining Interest Rate Inadequate or Unfair

	 	 	61	 
	SECTION 8.2. Illegality

	 	 	61	 
	SECTION 8.3. Increased Cost and Reduced Return

	 	 	62	 
	SECTION 8.4. Taxes

	 	 	63	 
	SECTION 8.5. Base Rate Loans Substituted for Affected Euro-Dollar Loans

	 	 	65	 
	 
	 	 	 	 
	ARTICLE IX
	 	 	 	 
	MISCELLANEOUS
	 	 	 	 
	 
	 	 	 	 
	SECTION 9.1. Notices

	 	 	66	 
	SECTION 9.2. No Waivers

	 	 	66	 
	SECTION 9.3. Expenses; Indemnification

	 	 	66	 
	SECTION 9.4. Sharing of Set-Offs

	 	 	68	 
	SECTION 9.5. Amendments and Waivers

	 	 	68	 
	SECTION 9.6. Successors and Assigns

	 	 	69	 






iii









 






	 	 	 	 	 
	SECTION 9.7. Collateral

	 	 	71	 
	SECTION 9.8. Governing Law; Submission to Jurisdiction

	 	 	71	 
	SECTION 9.9. Counterparts; Integration;. Effectiveness

	 	 	72	 
	SECTION 9.10. WAIVER OF JURY TRIAL

	 	 	72	 
	SECTION 9.11. Survival

	 	 	72	 
	SECTION 9.12. Domicile of Loans

	 	 	72	 
	SECTION 9.13. Limitation of Liability

	 	 	72	 
	SECTION 9.14. Recourse Obligation

	 	 	72	 
	SECTION 9.15. Confidentiality

	 	 	73	 
	SECTION 9.16. Bank’s Failure to Fund

	 	 	73	 
	SECTION 9.17. Banks’ ERISA Covenant

	 	 	78	 
	SECTION 9.18. Administrative Agent May File Proofs of Claim

	 	 	79	 
	SECTION 9.19. USA Patriot Act

	 	 	79	 






SCHEDULE 1.1

SCHEDULE 4.4 (b)

SCHEDULE 4.6

SCHEDULE 5.11(c)(1)

SCHEDULE 5.11(c)(2)

SCHEDULE 5.11(c)(3)




iv









 





CREDIT AGREEMENT




     THIS CREDIT AGREEMENT (this “Agreement”) dated as of October 14, 2005 among EOP
OPERATING LIMITED PARTNERSHIP (the “Borrower”), the BANKS listed on the signature pages
hereof, WACHOVIA BANK, NATIONAL ASSOCIATION, as Administrative Agent, BANK OF AMERICA, N.A., as
Syndication Agent, WACHOVIA CAPITAL MARKETS, LLC, as Joint Lead Arranger and Joint Bookrunner, and
BANC OF AMERICA SECURITIES LLC, as Joint Lead Arranger and Joint Bookrunner.



W I T N E S S E T H




          The parties hereto agree as follows:




ARTICLE I




DEFINITIONS




          SECTION 1.1. Definitions. The following terms, as used herein, have the following
meanings:




          “Administrative Agent” shall mean Wachovia Bank, National Association, in its capacity as
Administrative Agent hereunder, and its permitted successors in such capacity in accordance with
the terms of this Agreement.




          “Administrative Questionnaire” means with respect to each Bank, an administrative
questionnaire in the form prepared by the Administrative Agent and submitted to the Administrative
Agent (with a copy to the Borrower) duly completed by such Bank.




          “Affiliate Qualified Institution” means one or more banks, finance companies, insurance or
other financial institutions which (A) has (or, in the case of a bank or other financial
institution which is a subsidiary, such bank’s or financial institution’s parent has) a rating of
its senior unsecured debt obligations of not less than Baa-1 by Moody’s or a comparable rating by a
rating agency acceptable to Administrative Agent and (B) has total assets in excess of Five Hundred
Million Dollars ($500,000,000).




          “Agent-Related Persons” means the Administrative Agent, together with its affiliates, and the
officers, directors, employees, agents and attorneys-in-fact of such Persons and Affiliates.




 









 








          “Agents” shall mean the Administrative Agent, the Syndication Agent and the Lead Arrangers,
collectively.




          “Agreement” shall mean this Credit Agreement as the same may from time to time
hereafter be modified, supplemented or amended.




          “Applicable Interest Rate” means (i) with respect to any Fixed Rate Indebtedness, the fixed
interest rate applicable to such Fixed Rate Indebtedness at the time in question, and (ii) with
respect to any Floating Rate Indebtedness, either (x) the rate at which the interest rate
applicable to such Floating Rate Indebtedness is actually capped (or fixed pursuant to an interest
rate hedging device), at the time of calculation, if Borrower has entered into an interest rate cap
agreement or other interest rate hedging device with respect thereto or (y) if Borrower has not
entered into an interest rate cap agreement or other interest rate hedging device with respect to
such Floating Rate Indebtedness, the greater of (A) the rate at which the interest rate applicable
to such Floating Rate Indebtedness could be fixed for the remaining term of such Floating Rate
Indebtedness, at the time of calculation, by Borrower’s entering into any unsecured interest rate
hedging device either not requiring an upfront payment or if requiring an upfront payment, such
upfront payment shall be amortized over the term of such device and included in the calculation of
the interest rate (or, if such rate is incapable of being fixed by entering into an unsecured
interest rate hedging device at the time of calculation, a fixed rate equivalent reasonably
determined by Administrative Agent) or (B) the floating rate applicable to such Floating Rate
Indebtedness at the time in question.




          “Applicable Lending Office” means with respect to any Bank, (i) in the case of its Base Rate
Loans, its Domestic Lending Office, and (ii) in the case of its Euro-Dollar Loans, its Euro-Dollar
Lending Office.




          “Applicable Margin” means with respect to each Loan, the respective percentages per annum
determined, at any time, based on the range into which Borrower’s Credit Rating then falls, in
accordance with the table set forth below. Any change in Borrower’s Credit Rating causing it to
move to a different range on the table shall effect an immediate change in the Applicable Margin.
In the event that Borrower receives only two (2) Credit Ratings, and such Credit Ratings are not
equivalent, the Applicable Margin shall be determined by the lower of such two (2) Credit Ratings.
In the event that Borrower receives more than two (2) Credit Ratings, and such Credit Ratings are
not all equivalent, the Applicable Margin shall be determined by the higher of the ratings from S&P
and Moody’s; provided that the rating from one of the other Rating Agencies shall be at least
equivalent to such higher rating; provided, further, that if the rating from one of
the other Rating Agencies is not at least equivalent to the higher of the ratings from S&P and
Moody’s, then the Applicable Margin shall be determined by the second (2nd) highest Credit Rating.
In the event that only one of the Rating Agencies shall have set Borrower’s Credit Rating, then the
Applicable Margin shall be based on such rating only.




2









 





	 	 	 	 	 	 	 	 	 
	Range of	 	Applicable	 	 
	Borrower’s	 	Margin for	 	Applicable
	Credit Rating	 	Base Rate	 	Margin for Euro
	(S&P/Moody’s	 	Loans	 	Dollar Loans
	Ratings)	 	(% per annum)	 	(% per annum)
	Non-Investment Grade
	 	 	0.0	 	 	 	1.10	 
	 
	 	 	 	 	 	 	 	 
	BBB-/Baa3
	 	 	0.0	 	 	 	0.75	 
	 
	 	 	 	 	 	 	 	 
	BBB/Baa2
	 	 	0.0	 	 	 	0.55	 
	 
	 	 	 	 	 	 	 	 
	BBB+/Baa1
	 	 	0.0	 	 	 	0.45	 
	 
	 	 	 	 	 	 	 	 
	A-/A3 or better
	 	 	0.0	 	 	 	0.40	 






          “Assignee” has the meaning set forth in Section 9.6(c).




          “Authorized Officer” means any of Maureen Fear, Sarah Byrnes, Sheri Zinkovich, Erin Shumacher,
Patty Noftz, or any other officer of Borrower who Borrower shall notify the Administrative Agent is
an Authorized Officer.




          “Balance Sheet Indebtedness” means with respect to any Person and assuming such Person is
required to prepare financial statements in accordance with GAAP, without duplication, the
Indebtedness of such Person which would be required to be included on the liabilities side of the
balance sheet of such Person in accordance with GAAP. Notwithstanding the foregoing, Balance Sheet
Indebtedness shall include current liabilities and all guarantees of Indebtedness of any Person,
but shall exclude all accounts payable, accrued interest and expenses, prepaid rents, security
deposits, and other miscellaneous liabilities included under “other liabilities” as shown on
Borrower’s consolidated balance sheet, and dividend and distributions declared but not yet paid.




          “Balloon Payments” shall mean with respect to any loan constituting Balance Sheet
Indebtedness, any required principal payment of such loan which is either (i) payable at the
maturity of such Indebtedness or (ii) in an amount which exceeds fifteen percent (15%) of the
original principal amount of such loan; provided, however, that the final payment
of a fully amortizing loan shall not constitute a Balloon Payment.




          “Bank” means each entity (other than Borrower) listed on the signature pages hereof, each
Assignee which becomes a Bank pursuant to Section 9.6(c), and their respective successors.





3









 








          “Bankruptcy Code” shall mean Title 11 of the United States Code, entitled “Bankruptcy”, as
amended from time to time, and any successor statute or statutes.




          “Base Rate” means, for any day, a fluctuating rate per annum equal to the higher of (a) the
Federal Funds Rate plus 1⁄2 of 1% and (b) the rate of interest in effect for such day as
publicly announced from time to time by the Bank serving as the Administrative Agent as its Prime
Rate.




          “Base Rate Loan” means a Loan to be made by a Bank as a Base Rate Loan in accordance with the
provisions of this Agreement.




          “Benefit Arrangement” means at any time an employee benefit plan within the meaning of Section
3(3) of ERISA which is not a Plan or a Multiemployer Plan and which is maintained or otherwise
contributed to by any member of the ERISA Group.




          “Borrower” means EOP Operating Limited Partnership, a Delaware limited partnership.




          “Borrower’s Share” means Borrower’s and EOPT’s share of the liabilities or assets, as the case
may be, of an Investment Affiliate as reasonably determined by Borrower based upon Borrower’s or
EOPT’s economic interest in such Investment Affiliate, as of the date of such determination.




          “Borrowing” has the meaning set forth in Section 1.3.




          “Business Day” means any day except a Saturday, Sunday or other day on which commercial banks
are authorized by law to close (i) in [Charlotte, North Carolina], and (ii) in the case of
Euro-Dollar Loans, in London, England and/or [Charlotte, North Carolina].




          “Capital Leases” as applied to any Person, means any lease of any property (whether real,
personal or mixed) by that Person as lessee which, in conformity with GAAP, is or should be
accounted for as a capital lease on the balance sheet of that Person.




          “Cash or Cash Equivalents” shall mean: (a) cash; (b) marketable direct obligations
issued or unconditionally guaranteed by the United States Government or issued by an agency thereof
and backed by the full faith and credit of the United States, in each case maturing within one (1)
year after the date of acquisition thereof; (c) marketable direct obligations issued by any state
of the United States of America or any political subdivision of any such state or any public
instrumentality thereof maturing within ninety (90) days after the date of acquisition thereof and,
at the time of acquisition, having one of the two highest ratings obtainable from any two of S&P,
Moody’s or Fitch (or, if at any time no two of the foregoing shall be rating such obligations, then
from such other nationally recognized rating services acceptable to Administrative Agent ); (d)
domestic corporate bonds, other than domestic corporate bonds issued by Borrower or any of its
Affiliates, maturing no more than two (2)




4









 







years after the date of acquisition thereof and, at the
time of acquisition, having a rating of at least A or the equivalent from any two (2) of S&P,
Moody’s or Fitch (or, if at any time no two of the foregoing shall be rating such obligations, then
from such other nationally recognized rating services acceptable to Administrative Agent); (e)
variable-rate domestic corporate notes or medium term corporate notes, other than notes issued by
Borrower or any of its Affiliates, maturing or resetting no more than one (1) year after the date
of acquisition thereof and having a rating of at least AA or the equivalent from two of S&P,
Moody’s or Fitch (or, if at any time no two of the foregoing shall be rating such obligations, then
from such other nationally recognized rating services acceptable to Administrative Agent); (f)
commercial paper (foreign and domestic) or master notes, other than commercial paper or master
notes issued by Borrower or any of its affiliates, and, at the time of acquisition, having a
long-term rating of at least A or the equivalent from S&P, Moody’s or Fitch and having a short-term
rating of at least A-1 and P-1 from S&P and Moody’s, respectively (or, if at any time neither S&P
nor Moody’s shall be rating such obligations, then the highest rating from such other nationally
recognized rating services acceptable to Administrative Agent); (g) domestic and foreign
certificates of deposit or domestic time deposits or foreign deposits or bankers’ acceptances
(foreign or domestic) in Dollars, Hong Kong Dollars, Singapore Dollars, British Pounds Sterling,
Euros, Japanese Yen or Australian Dollars that are issued by a bank (I) which has, at the time of
acquisition, a long-term rating of at least A or the equivalent from S&P, Moody’s or Fitch and (II)
if a domestic bank, which is a member of the Federal Deposit Insurance Corporation; and (h)
overnight securities repurchase agreements, or reverse repurchase agreements secured by any of the
foregoing types of securities or debt instruments, provided that the collateral supporting such
repurchase agreements shall have a value not less than 101% of the principal amount of the
repurchase agreement plus accrued interest; and money market funds invested in investments
substantially all of which consist of the items described in the foregoing clauses (a) through (h).




          “Cash Flow” means, for any period, EBITDA for such period, as adjusted for a normalized
recurring level of capital expenditures by Borrower for such period, which adjustment shall be at
the rate of Twenty cents ($0.20) per square foot per annum of office space occupied as of the
applicable date of determination for (i) all Office Properties of Borrower and Consolidated
Subsidiaries, and (ii) Borrower’s Share of each Office Property of an Investment Affiliate
(provided that, as to any Office Property acquired during such period such $0.20 per square foot
adjustment shall be pro-rated for the period of ownership).




          “CBD Properties” means real properties located in a “Central Business District”, as disclosed
in Borrower’s most recent supplemental securities disclosures.




          “Closing Date” means the date on which the conditions set forth in Section 3.1 shall have been
satisfied to the satisfaction of the Administrative Agent.





5









 








          “Code” shall mean the Internal Revenue Code of 1986, as amended, and as it may be further
amended from time to time, any successor statutes thereto, and applicable U.S. Department of
Treasury regulations issued pursuant thereto in temporary or final form.




          “Commitment” means with respect to each Bank, the amount set forth under the name of such Bank
on the signature pages hereof (and, for each Bank which is an Assignee, the amount set forth in the
Transfer Supplement entered into pursuant to Section 9.6(c) as the Assignee’s Commitment), as such
amount may be reduced from time to time pursuant to Section 2.11(c) or in connection with an
assignment to an Assignee.




          “Consolidated Subsidiary” means at any date any Subsidiary or other entity which is
consolidated with Borrower or EOPT in accordance with GAAP.




          “Contingent Obligation” as to any Person means, without duplication, (i) any contingent
obligation of such Person required to be shown on such Person’s balance sheet in accordance with
GAAP, and (ii) any obligation required to be disclosed in the footnotes to such Person’s financial
statements, guaranteeing partially or in whole any Non-Recourse Indebtedness, lease, dividend or
other obligation, exclusive of contractual indemnities (including, without limitation, any
indemnity or price-adjustment provision relating to the purchase or sale of securities or other
assets) and guarantees of non-monetary obligations (other than guarantees of completion) which have
not yet been called on or quantified, of such Person or of any other Person. The amount of any
Contingent Obligation described in clause (ii) shall be deemed to be (a) with respect to a guaranty
of interest or interest and principal, or operating income guaranty, the Net Present Value of the
sum of all payments required to be made thereunder (which in the case of an operating income
guaranty shall be deemed to be equal to the debt service for the note secured thereby), calculated
at the Applicable Interest Rate, through (i) in the case of an interest or interest and principal
guaranty, the stated date of maturity of the obligation (and commencing on the date interest could
first be payable thereunder), or (ii) in the case of an operating income guaranty, the date through
which such guaranty will remain in effect, and (b) with respect to all guarantees not covered by
the preceding clause (a), an amount equal to the stated or determinable amount of the primary
obligation in respect of which such guaranty is made or, if not stated or determinable, the maximum
reasonably anticipated liability in respect thereof (assuming such Person is required to perform
thereunder) as recorded on the balance sheet and on the footnotes to the most recent financial
statements of Borrower required to be delivered pursuant to Section 5.1 hereof. Notwithstanding
anything contained herein to the contrary, guarantees of completion shall not be deemed to be
Contingent Obligations unless and until a claim for payment or performance has been made
thereunder, at which time any such guaranty of completion shall be deemed to be a Contingent
Obligation in an amount equal to any such claim. Subject to the preceding sentence, (i) in the
case of a joint and several guaranty given by such Person and another Person (but only to the
extent such guaranty is recourse, directly or indirectly to Borrower), the amount of the guaranty
shall be deemed to be 100% thereof unless and only to the extent that such other Person has
delivered Cash or Cash Equivalents to secure all or any part of such Person’s guaranteed
obligations and (ii) in the case of a




6









 







guaranty (whether or not joint and several) of an obligation
otherwise constituting Indebtedness of such Person, the amount of such guaranty shall be deemed to
be only that amount in excess of the amount of the obligation constituting Indebtedness of such
Person. Notwithstanding anything contained herein to the contrary, “Contingent Obligations” shall
be deemed not to include guarantees of Unused
Commitments or of construction loans to the extent the same have not been drawn. All matters
constituting “Contingent Obligations” shall be calculated without duplication.




          “Convertible Securities” means evidences of shares of stock, limited or general partnership
interests or other ownership interests, warrants, options, or other rights or securities which are
convertible into or exchangeable for, with or without payment of additional consideration, common
shares of beneficial interest of EOPT or partnership interests of Borrower, as the case may be,
either immediately or upon the arrival of a specified date or the happening of a specified event.




          “Credit Rating” means the rating assigned by the Rating Agencies to Borrower’s senior
unsecured long term indebtedness.




          “Debt Restructuring” means a restatement of, or material change in, the amortization or other
financial terms of any Indebtedness of EOPT, the Borrower or any Subsidiary or Investment
Affiliate.




          “Debt Service” means, for any period and without duplication, Interest Expense for such period
plus scheduled principal amortization (excluding Balloon Payments) for such period on all Balance
Sheet Indebtedness of Borrower on a consolidated basis, plus Borrower’s Share of scheduled
principal amortization (excluding Balloon Payments) for such period on all Balance Sheet
Indebtedness of Investment Affiliates.




          “Default” means any condition or event which with the giving of notice or lapse of time or
both would, unless cured or waived, become an Event of Default.




          “Default Rate” has the meaning set forth in Section 2.8(d).




          “Development Activity” means (a) the development and construction of office buildings
and parking facilities by the Borrower or any of its Financing Partnerships or Joint Venture
Subsidiaries excluding Unimproved Assets, (b) the financing by the Borrower or any of its Financing
Partnerships or Joint Venture Subsidiaries of any such development or construction and (c) the
incurrence by the Borrower or any of its Financing Partnerships or Joint Venture Subsidiaries of
any Contingent Obligations in connection with such development or construction (other than purchase
contracts for Real Property Assets which are not payable until after completion of development or
construction). For purposes of Section 5.8(j) hereof, the “value” of Development Activity shall
mean (i) in the case of the development and construction by the Borrower or any of its Financing
Partnerships described in clause (a) of this definition, the full cost budget to complete such
development and construction, (ii) in




7









 







the case of the development and construction by a Joint
Venture Subsidiary of the Borrower described in clause (a) of this definition, an amount equal to
the product of (AA) the full cost budget to complete such development and construction, multiplied
by (BB) Borrower’s Share of such Joint Venture Subsidiary, (iii) in the case of the financing of
any development and construction by the Borrower or any of its Financing Partnerships described in
clause (b) of this definition, the
amount the Borrower or any Financing Partnership has committed to fund to pay the cost to
complete such development and construction, (iv) in the case of the financing of any development
and construction by a Joint Venture Subsidiary of the Borrower described in clause (b) of this
definition, an amount equal to the product of (AA) the amount such Joint Venture Subsidiary has
committed to fund to pay the cost to complete such development and construction, multiplied by (B)
Borrower’s Share of such Joint Venture Subsidiary, (v) in the case of the incurrence of any
Contingent Obligations in connection with any development and construction by the Borrower or any
of its Financing Partnerships described in clause (c) of this definition, the amount of such
Contingent Obligation of the Borrower or such Financing Partnership, (vi) in the case of the
incurrence of any Contingent Obligations in connection with any development and construction by a
Joint Venture Subsidiary of the Borrower described in clause (c) of this definition, an amount
equal to the product of (AA) the amount of such Contingent Obligation of such Joint Venture
Subsidiary, multiplied by (BB) Borrower’s Share of such Joint Venture Subsidiary.




          “Development Property(ies)” means any Real Property Asset (or, in the case of any Real
Property Asset being developed or redeveloped in phases, any phase thereof) under construction or
redevelopment (which shall be deemed to include the property commonly known as the Verizon Building
in New York City), until the earlier to occur of (a) the first day of the Fiscal Quarter
immediately succeeding the Fiscal Quarter in which the twelve (12) month anniversary of substantial
completion (which shall be deemed to be the date of the issuance of a certificate of occupancy for
the applicable Property) occurs, and (b) the first day of the Fiscal Quarter immediately succeeding
the Fiscal Quarter in which the applicable Property achieves an occupancy rate of not less than
93%.




          “Development Property Value” means an amount equal to the greater of (x) the aggregate amount
of the most recent quarter’s EBITDA with respect to such Development Property (or Borrower’s
Share thereof with respect to any Development Property owned by an Investment Affiliate) multiplied
by four, less $0.20 (or, in the case of Development Properties owned by an Investment Affiliate,
Borrower’s Share of $0.20) per square foot for occupied space for replacement reserves,
divided by a 7.50% capitalization rate for CBD Properties and an 8.75% capitalization rate for
non-CBD Properties, and (y) the undepreciated book value, determined in accordance with GAAP of
such Development Property (or Borrower’s Share thereof with respect to any Development Property
owned by an Investment Affiliate).




          “Dollars” and “$” means the lawful money of the United States.




          “Domestic Lending Office” means, as to each Bank, its office located at its address in the
United States set forth in its Administrative Questionnaire (or identified in its Administrative




8









 







Questionnaire as its Domestic Lending Office) or such other office as such Bank may hereafter
designate as its Domestic Lending Office by notice to the Borrower and the Administrative Agent.




          “EBITDA” means, for any period (i) Net Income for such period, plus (ii) depreciation and
amortization expense and other non-cash items deducted in the calculation of Net Income for such
period, plus (iii) Interest Expense deducted in the calculation of Net Income for such period, plus
(iv) Taxes (net of any Taxes actually paid to, or withheld by, any foreign jurisdiction with
respect to any Real Property Asset located outside of the United States) deducted in the
calculation of Net Income for such period, plus (v) Borrower’s Share of the Investment Affiliate
EBITDA for each Investment Affiliate, minus (vi) the gains (and plus the losses) from extraordinary
items or asset sales or write-ups or forgiveness of indebtedness included (or deducted) in the
calculation of Net Income for such period, all of the foregoing without duplication.




          “Environmental Affiliate” means any partnership, joint venture, trust or corporation in which
an equity interest is owned directly or indirectly by the Borrower and, as a result of the
ownership of such equity interest, Borrower may have recourse liability for Environmental Claims
against such partnership, joint venture, trust or corporation (or the property thereof).




          “Environmental Claim” means, with respect to any Person, any notice, claim, demand or similar
communication (written or oral) by any other Person alleging potential liability of such Person for
investigatory costs, cleanup costs, governmental response costs, natural resources damage, property
damages, personal injuries, fines or penalties arising out of, based on or resulting from (i) the
presence, or release into the environment, of any Materials of Environmental Concern at any
location, whether or not owned by such Person or (ii) circumstances forming the basis of any
violation, or alleged violation, of any Environmental Law, in each case (with respect to both (i)
and (ii) above) as to which there is a reasonable possibility of an adverse determination with
respect thereto and which, if adversely determined, would have a Material Adverse Effect.




          “Environmental Laws” means any and all federal, state, and local statutes, laws, judicial
decisions, regulations, ordinances, rules, judgments, orders, decrees, plans, injunctions, permits,
concessions, grants, licenses, agreements and other governmental restrictions relating to the
environment, the effect of the environment on human health or to emissions, discharges or releases
of Materials of Environmental Concern into the environment including, without limitation, ambient
air, surface water, ground water, or land, or otherwise relating to the manufacture, processing,
distribution, use, treatment, storage, disposal, transport or handling of Materials of
Environmental Concern or the clean up or other remediation thereof.




          “EOPT” means Equity Office Properties Trust, a Maryland real estate investment trust, the sole
managing general partner of the Borrower.




9









 








          “EOPT Guaranty” means the Guaranty of Payment, dated as of even date herewith, executed by and
between EOPT and Administrative Agent for the benefit of the Banks.




          “ERISA” means the Employee Retirement Income Security Act of 1974, as amended, or any
successor statute.




          “ERISA Group” means the Borrower, any Subsidiary, EOPT and all members of a controlled group
of corporations and all trades or businesses (whether or not incorporated) under common control and
all members of an “affiliated service group” which, together with the Borrower, any Subsidiary or
EOPT, are treated as a single employer under Section 414 of the Code or Section 4001(b)(1) of
ERISA.




          “Euro-Dollar Borrowing” has the meaning set forth in Section 1.3.




          “Euro-Dollar Lending Office” means, as to each Bank, its office, branch or affiliate located
at its address set forth in its Administrative Questionnaire (or identified in its Administrative
Questionnaire as its Euro-Dollar Lending Office) or such other office, branch or affiliate of such
Bank as it may hereafter designate as its Euro-Dollar Lending Office by notice to the Borrower and
the Administrative Agent.




          “Euro-Dollar Loan” means a Loan to be made by a Bank as a Euro-Dollar Loan in accordance with
the applicable Notice of Borrowing.




          “Euro-Dollar Rate” means for any Interest Period with respect to any Euro-Dollar Loan, a rate
per annum determined by Administrative Agent pursuant to the following formula:




	 	 	 	 	 
	 

	 	 	 	Euro-Dollar Base Rate
	 

	 	 	 	 
	 

	 	Euro-Dollar Rate =
	 	1.00 – Euro-Dollar Reserve Percentage






          Where,




          “Euro-Dollar Base Rate” means, for such Interest Period:




          (a) the rate per annum equal to the rate determined by the Administrative Agent to be the
offered rate that appears on the page of the Telerate screen (or any successor thereto) that
displays an average British Bankers Association Interest Settlement Rate for deposits in dollars
(for delivery on the first day of such Interest Period) with a term equivalent to such Interest
Period, determined as of approximately 11:00 a.m. (London time) two (2) Business Days prior to the
first day of such Interest Period, or




          (b) if the rate referenced in the preceding clause (a) does not appear on such page or
service or such page or service shall not be available, the rate per annum equal to the rate that
appears




10









 







on Reuters Screen LIBO Page as the London interbank offered rate for deposits in dollars
(for delivery on the first day of such Interest Period) with a term equivalent to such Interest
Period, determined as of approximately 11:00 a.m. (London time) two (2) Business Days prior to the
first day of such Interest Period; provided, however, if more than one rate is specified on Reuters
Screen LIBO page, the applicable rate shall be the arithmetic mean of all such rates, or




          (c) If the rates referenced in the preceding clauses (a) and (b) are not available, the rate
per annum determined by the Administrative Agent as the rate of interest at which deposits in
dollars for delivery on the first day of such Interest Period in same day funds in the approximate
amount of the Euro-Dollar Loan being made, continued or converted by the Banks, and with a term
equivalent to such Interest Period would be offered by Wachovia Bank, National Association’s London
Branch to major banks in the London interbank eurodollar market at their request at
approximately11:00 a.m. (London time) two (2) Business Days prior to the first day of such Interest
Period.




          “Euro-Dollar Reserve Percentage” means, for any day during any Interest Period, the reserve
percentage (expressed as a decimal, carried out to five decimal places) in effect on such day,
whether or not applicable to any Lender, under regulations issued from time to time by the Federal
Reserve Board for determining the maximum reserve requirement (including any emergency,
supplemental or other marginal reserve requirement) with respect to Eurocurrency funding (currently
referred to as “Eurocurrency liabilities”). The Euro-Dollar Rate for each outstanding Euro-Dollar
Loan shall be adjusted automatically as of the effective date of any change in the Euro-Dollar
Reserve Percentage.




          “Event of Default” has the meaning set forth in Section 6.1.




          “Existing Revolving Credit Facility” shall mean the revolving credit facility evidenced by
that certain Revolving Credit Agreement, dated as of August 4, 2005 (the “Existing Credit
Agreement”), among Borrower, the Banks listed therein, Banc of America Securities LLC and J.P.
Morgan Securities Inc., as Joint Lead Arrangers and Joint Bookrunners, Bank of America, N.A., as
Administrative Agent, JPMorgan Chase Bank, as Syndication Agent, The Bank of Nova Scotia, US Bank
National Association and Wachovia Bank National Association, as Documentation Agents and others
with respect to Borrower’s existing $1,250,000,000 revolving credit facility, as the same may be
amended, modified, supplemented or replaced from time to time.




          “Federal Funds Rate” means, for any day, the rate per annum (rounded upward, if necessary, to
the nearest 1/100th of 1%) equal to the weighted average of the rates on overnight Federal funds
transactions with members of the Federal Reserve System arranged by Federal funds brokers on such
day, as published by the Federal Reserve Bank of New York on the Business Day next succeeding such
day, provided that (i) if such day is not a Business Day, the Federal Funds Rate for such day shall
be such rate on such transactions on the next preceding Business Day as so published on the next
succeeding Business Day, and (ii) if no such rate is so published on such next succeeding




11









 







Business
Day, the Federal Funds Rate for such day shall be the average rate quoted to the Administrative
Agent on such day on such transactions as determined by the Administrative Agent.




          “Federal Reserve Board” means the Board of Governors of the Federal Reserve System as
constituted from time to time.




          “Financing Partnerships” means any Subsidiary which is wholly-owned, directly or indirectly,
by Borrower or by Borrower and EOPT.




          “Fiscal Quarter” means a fiscal quarter of a Fiscal Year.




          “Fiscal Year” means the fiscal year of Borrower and EOPT.




          “Fitch” means Fitch, Inc., or any successor thereto.




          “Fixed Charges” for any Fiscal Quarter period means the sum of (i) Debt Service for such
period, (ii) dividends on preferred units payable by Borrower for such period, and (iii)
distributions made by Borrower in such period to EOPT for the purpose of paying dividends on
preferred shares in EOPT.




          “Fixed Rate Borrowing” has the meaning set forth in Section 1.3.




          “Fixed Rate Indebtedness” means all Indebtedness which accrues interest at a fixed rate.




          “Floating Rate Indebtedness” means all Indebtedness which is not Fixed Rate Indebtedness and
which is not a Contingent Obligation or an Unused Commitment.




          “GAAP” means generally accepted accounting principles recognized as such in the opinions and
pronouncements of the Accounting Principles Board and the American Institute of Certified Public
Accountants and the Financial Accounting Standards Board or in such other statements by such other
entity as may be approved by a significant segment of the accounting profession, which are
applicable to the circumstances as of the date of determination.




          “Governmental Authority” means any nation or government, any federal, state, local or other
political subdivision thereof, and any entity exercising executive, legislative, judicial,
regulatory or administrative functions of or pertaining to government.




          “Group of Loans” means, at any time, a group of Loans consisting of (i) all Loans which are
Base Rate Loans at such time, or (ii) all Euro-Dollar Loans having the same Interest Period at such
time; provided that, if a Loan of any particular Bank is converted to or made as a Base Rate Loan




12









 







pursuant to Section 8.2 or 8.5, such Loan shall be included in the same Group or Groups of Loans
from time to time as it would have been in if it had not been so converted or made.




          “Indebtedness” as applied to any Person (and without duplication), means (a) all
indebtedness, obligations or other liabilities of such Person for borrowed money, (b) all
indebtedness, obligations or other liabilities of such Person evidenced by Securities or other
similar instruments, (c) all Contingent Obligations of such Person, (d) all reimbursement
obligations and other liabilities of such Person with respect to letters of credit or banker’s
acceptances issued for such Person’s account or other similar instruments for which a
contingent liability exists, (e) all obligations of such Person to pay the deferred purchase price
of Property or services, (f) all obligations in respect of Capital Leases (including, without
limitation, ground leases to the extent such ground leases constitute Capital Leases) of such
Person, (g) all indebtedness obligations or other liabilities of such Person or others secured by a
Lien on any asset of such Person, whether or not such indebtedness, obligations or liabilities are
assumed by, or are a personal liability of such Person, (h) all indebtedness, obligations or other
liabilities (other than interest expense liability) in respect of Interest Rate Contracts and
foreign currency exchange agreements (other than Interest Rate Contracts purchased to hedge
Indebtedness), to the extent such liabilities are material and are reported or are required under
GAAP to be reported by such Person in its financial statements, (i) ERISA obligations currently due
and payable and (j) all other items which, in accordance with GAAP, would be included as
liabilities on the liability side of the balance sheet of such Person; exclusive, however, of all
dividends and distributions declared but not yet paid.




          “Indemnitee” has the meaning set forth in Section 9.3(b).




          “Initial Funding Date” means the date initial Loans are made in accordance with the provisions
of Section 3.1 hereof.




          “Interest Expense” means, for any period and without duplication, total interest expense,
whether paid, accrued or capitalized of Borrower, on a consolidated basis determined in accordance
with GAAP, plus Borrower’s Share of accrued, paid or capitalized interest with respect to any
Balance Sheet Indebtedness of Investment Affiliates (in each case, including, without limitation,
the interest component of Capital Leases but excluding interest expense covered by an interest
reserve established under a loan facility such as capitalized construction interest provided for in
a construction loan).




          “Interest Period” means: with respect to each Euro-Dollar Borrowing, the period commencing
on the date of such Borrowing specified in the Notice of Borrowing or on the date specified in the
applicable Notice of Interest Rate Election and ending 7, 14, 30, 60, 90, or 180 days thereafter
(or any other period less than 180 days with the reasonable approval of the Administrative Agent,
unless any Bank has previously advised Administrative Agent and Borrower that it is unable to enter
into Euro-Dollar Rate contracts for an Interest Period of the same duration), as the Borrower may
elect in the applicable Notice of Borrowing or Notice of Interest Rate Election; provided that:




13









 









     (a) any Interest Period which would otherwise end on a day which is not a Business Day
shall be extended to the next succeeding Business Day unless such Business Day falls in
another calendar month, in which case such Interest Period shall end on the next preceding
Business Day;




     (b) any Interest Period which 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; and




     (c) no Interest Period may end later than the Maturity Date.



          “Interest Rate Contracts” means, collectively, interest rate swap, collar, cap or similar
agreements providing interest rate protection.




          “Intracompany Indebtedness” means Indebtedness whose obligor and obligee are each the
Borrower, EOPT or a Consolidated Subsidiary.




          “Investment Affiliate” means any Person in whom EOPT or Borrower holds an equity interest,
directly or indirectly, whose financial results are not consolidated under GAAP with the financial
results of EOPT or Borrower on the consolidated financial statements of EOPT and Borrower.




          “Investment Affiliate EBITDA” means, for any period (i) the net earnings (or loss) of an
Investment Affiliate for such period calculated in conformity with GAAP, plus (ii) depreciation and
amortization expense and other non-cash items of such Investment Affiliate deducted in the
calculation of such net earnings (or loss) for such period, plus (iii) total interest expense,
whether paid, accrued or capitalized, of such Investment Affiliate deducted in the calculation of
such net earnings (or loss) for such period, plus (iv) Taxes of such Investment Affiliate deducted
in the calculation of such net earnings (or loss) for such period, minus (v) the gains (and plus
the losses) from extraordinary items or asset sales or write-ups or forgiveness of indebtedness
included (or deducted) in the calculation of Investment Affiliate Net Income for such period, all
of the foregoing without duplication.




          “Investment Grade Rating” means a rating for a Person’s senior long-term unsecured debt of
BBB- or better from S&P or a rating of Baa3 or better from Moody’s. In the event that Borrower
receives Credit Ratings only from S&P and Moody’s, and such Credit Ratings are not equivalent, the
lower of such two (2) Credit Ratings shall be used to determine whether an Investment Grade Rating
was achieved. In the event that Borrower receives more than two (2) Credit Ratings, and such
Credit Ratings are not all equivalent, the higher of the ratings from S&P and Moody’s shall be used
to determine whether an Investment Grade Rating was achieved, provided that the rating from one of
the other Rating Agencies shall be at least equivalent to such higher rating; provided,
further, that if the rating from one of the other Rating Agencies is not at least
equivalent to the higher of the ratings




14









 







from S&P and Moody’s, then the second (2nd) highest Credit
Rating shall be used to determine whether an Investment Grade Rating was achieved.




          “Investment Mortgages” means mortgages securing indebtedness with respect to Office Properties
and Parking Properties directly or indirectly owed to Borrower or any of its Subsidiaries,
including, without limitation, certificates of interest in real estate mortgage investment
conduits.




          “Joint Venture Interests” means partnership, joint venture interests, membership or other
equity issued by any Person which is an Investment Affiliate that is not a Subsidiary.




          “Joint Venture Parent” means Borrower or one or more Financing Partnerships of Borrower which
directly owns any interest in a Joint Venture Subsidiary.




          “Joint Venture Subsidiary” means any entity (other than a Financing Partnership) in which (i)
a Joint Venture Parent owns at least 20% of the economic interests and (ii) the sale or financing
of any Property owned by such Joint Venture Subsidiary is substantially controlled by a Joint
Venture Parent, subject to customary provisions set forth in the organizational documents of such
Joint Venture Subsidiary with respect to refinancings or rights of first refusal granted to other
members of such Joint Venture Subsidiary. For purposes of the preceding sentence, the sale or
financing of a Property owned by a Joint Venture Subsidiary shall be deemed to be substantially
controlled by a Joint Venture Parent if such Joint Venture Parent has the ability to exercise a
buy-sell right in the event of a disagreement regarding the sale or financing of such Property. In
addition, the relationship of a Joint Venture Parent as a tenant in common in any asset with other
tenants in common in the same asset shall be treated as if such relationship were a general
partnership for purposes of this definition. In addition, for purposes of the definitions of
“Unencumbered Asset Value”, a Joint Venture Subsidiary shall be deemed to include any entity (other
than a Financing Partnership) in which a Qualified Joint Venture Partner owns the balance of the
interests.




          “Lead Arrangers” means Wachovia Capital Markets, LLC and Banc of America Securities LLC, in
their capacity as joint lead arrangers and joint bookrunners hereunder.




          “Lien” means, with respect to any asset, any mortgage, lien, pledge, charge, security interest
or encumbrance of any kind, or any other type of preferential arrangement, in each case that has
the effect of creating a security interest, in respect of such asset. For the purposes of this
Agreement, the Borrower or any Consolidated Subsidiary shall be deemed to own subject to a Lien any
asset which it has acquired or holds subject to the interest of a vendor or lessor under any
conditional sale agreement, capital lease or other title retention agreement relating to such
asset.




          “Loan” means a loan made by a Bank pursuant to Section 2.1; provided that, if any such loan or
loans (or portions thereof) are combined or subdivided pursuant to a Notice of Interest Rate
Election, the term “Loan” shall refer to the combined principal amount resulting from such





15









 





combination or to each of the separate principal amounts resulting from such subdivision, as the
case may be; a Loan may be a Base Rate Loan or a Euro-Dollar Loan and Loans may be Base Rate Loans
or Euro-Dollar Loans or any combination of the foregoing.




          “Loan Documents” means this Agreement, the Notes and the EOPT Guaranty.




          “Loan Effective Date” has the meaning set forth in Section 8.3 hereof.




          “Majority Banks” means at any time Banks having at least 51% of the aggregate amount of the
Commitments, or if the Commitments shall have been terminated, holding Notes evidencing at least
51% of the aggregate unpaid principal amount of the Loans.




          “Management/Development Fee Value” means an amount equal to the quotient of all third party
management and development fees for any period, divided by a 20% capitalization rate.




          “Material Adverse Effect” means an effect resulting from any circumstance or event or series
of circumstances or events, of whatever nature (but excluding general economic conditions), which
does or could reasonably be expected to, materially and adversely (i) impair the ability of EOPT,
the Borrower and their Consolidated Subsidiaries, taken as a whole, to perform their respective
obligations under the Loan Documents, or (ii) the ability of Administrative Agent or the Banks to
enforce the Loan Documents.




          “Material Plan” means at any time a Plan or Plans having aggregate unfunded liabilities in
excess of $5,000,000.




          “Materials of Environmental Concern” means all substances defined as Hazardous
Substances, Oils, Pollutants or Contaminants in the National Oil and Hazardous Substances Pollution
Contingency Plan, 40 C.F.R. § 300.5, toxic mold, or defined as such by, or regulated as such
under, any Environmental Law.




          “Maturity Date” shall mean October 13, 2006.




          “Moody’s” means Moody’s Investors Services, Inc. or any successor thereto.




          “Multiemployer Plan” means at any time an employee pension benefit plan within the meaning of
Section 4001(a)(3) of ERISA to which any member of the ERISA Group is then making or accruing an
obligation to make contributions or has at any time after September 25, 1980 made contributions or
has been required to make contributions (for these purposes any Person which ceased to be a member
of the ERISA Group after September 25, 1980 will be treated as a member of the ERISA Group).




16









 








          “Negative Pledge” means, with respect to any Property, any covenant, condition, or other
restriction entered into by the owner of such Property or directly binding on such Property which
prohibits or limits the creation or assumption of any Lien upon such Property to secure any or all
of the Obligations; provided, however, that such term shall not include (a) any covenant, condition
or restriction contained in any ground lease from a Governmental Authority, (b) any financial
covenant (such as a limitation on secured indebtedness) given for the benefit of any Person that
may be violated by the granting of any Lien on any Property to secure any or all of the
Obligations, or (c) any covenant under the Existing Revolving Credit Agreement.




          “Net Bond Proceeds” means all cash received by EOPT or the Borrower as a result of the
issuance or offering of any unsecured note, bond or debt instrument (other than drawings under the
Existing Credit Agreement), less customary costs and discounts of issuance paid by EOPT or the
Borrower, as the case may be.




          “Net Income” means, for any period, the net earnings (or loss) after Taxes of any Person, on a
consolidated basis, before the deduction of minority interests and before the deduction of payment
of any preferred dividends, for such period calculated in conformity with GAAP.




          “Net Offering Proceeds” means all cash or other assets received by EOPT or Borrower as a
result of the sale of common shares of beneficial interest, preferred shares of beneficial
interest, partnership interests, limited liability company interests, Convertible Securities or
other ownership or equity interests in EOPT or Borrower less customary costs and discounts of
issuance paid by EOPT or Borrower, as the case may be.




          “Net Price” means, with respect to the purchase of any Property, without duplication, (i) the
aggregate purchase price paid as cash consideration for such purchase (without adjustment for
prorations), including, without limitation, the principal amount of any note received or other
deferred payment to be made in connection with such purchase (except as described in clause (ii)
below) and the value of any non-cash consideration delivered in connection with such purchase
(including, without limitation, shares or preferred shares of beneficial interest in EOPT and OP
Units or Preferred OP Units (as defined in Borrower’s partnership agreement)) and any amount
properly capitalized under GAAP, plus (ii) reasonable costs of purchase and non-recurring taxes
paid or payable in connection with such purchase, plus (iii) tenant improvement expenses for new
leases, leasing commissions to third party brokers, and other cash expenditures for capital
improvements paid or payable in connection with such Property.




          “Net Present Value” shall mean, as to a specified or ascertainable dollar amount, the present
value, as of the date of calculation of any such amount using a discount rate equal to the Base
Rate in effect as of the date of such calculation.




17









 








          “Non-Recourse Indebtedness” means Indebtedness with respect to which recourse for payment is
limited to (i) specific assets related to a particular Property or group of Properties encumbered
by a Lien securing such Indebtedness or (ii) any Subsidiary or Investment Affiliate (provided that
if a Subsidiary is a partnership, there is no recourse to Borrower or EOPT as a general partner of
such partnership); provided, however, that personal recourse of Borrower or EOPT for any such
Indebtedness for fraud, misrepresentation, misapplication of cash, waste, environmental claims and
liabilities and other circumstances customarily excluded by institutional lenders from exculpation
provisions and/or included in separate indemnification agreements in non-recourse financing of real
estate shall not, by itself, prevent such Indebtedness from being characterized as Non-Recourse
Indebtedness.




          “Notes” means the promissory notes of the Borrower, substantially in the form of Exhibit A
hereto, evidencing the obligation of the Borrower to repay the Loans, and “Note” means any one of
such promissory notes issued hereunder.




          “Notice of Borrowing” means a notice from Borrower, signed by an Authorized Officer in
accordance with Section 2.2 or Section 2.3(b)(i).




          “Notice of Interest Rate Election” has the meaning set forth in Section 2.7.




          “Obligations” means all obligations, liabilities, indemnity obligations and Indebtedness of
every nature of the Borrower, from time to time owing to Administrative Agent or any Bank under or
in connection with this Agreement or any other Loan Document.




          “Office Property” means any Property which constitutes primarily commercial office space other
than a Parking Property.




          “Parking Property” means any Property which is primarily used for parking.




          “Parent” means, with respect to any Bank, any Person controlling such Bank.




          “Participant” has the meaning set forth in Section 9.6(b).




          “PBGC” means the Pension Benefit Guaranty Corporation or any entity succeeding to any or all
of its functions under ERISA.




          “Permitted Holdings” means Unimproved Assets, Development Activity, Joint Venture Interests,
Investment Mortgages, Securities and Properties which constitute primarily warehouse distribution
facilities, but only to the extent permitted in Section 5.8.




18









 








          “Permitted Liens” means:





     a. Liens for Taxes, assessments or other governmental charges not yet due and payable
or which are being contested in good faith by appropriate proceedings promptly instituted
and diligently conducted in accordance with the terms hereof;




     b. statutory liens of carriers, warehousemen, mechanics, materialmen and other similar
liens imposed by law, which are incurred in the ordinary course of business for sums not
more than sixty (60) days delinquent or which are being contested in good faith in
accordance with the terms hereof;




     c. deposits made in the ordinary course of business in connection with worker’s
compensation, unemployment insurance and other social security legislation or to secure
liabilities to insurance carriers;




     d. utility deposits and other deposits to secure the performance of bids, trade
contracts (other than for borrowed money), leases, purchase contracts, construction
contracts, governmental contracts, statutory obligations, surety bonds, performance bonds
and other obligations of a like nature incurred in the ordinary course of business;




     e. Liens for purchase money obligations for equipment (or Liens to secure Indebtedness
incurred within 90 days after the purchase of any equipment to pay all or a portion of the
purchase price thereof or to secure Indebtedness incurred solely for the purpose of
financing the acquisition of any such equipment, or extensions, renewals, or replacements of
any of the foregoing for the same or lesser amount); provided that (i) the Indebtedness
secured by any such Lien does not exceed the purchase price of such equipment, (ii) any such
Lien encumbers only the asset so purchased and the proceeds upon sale, disposition, loss or
destruction thereof, and (iii) such Lien, after giving effect to the Indebtedness secured
thereby, does not give rise to an Event of Default;




     f. easements, rights-of-way, zoning restrictions, other similar charges or encumbrances
and all other items listed on Schedule B to Borrower’s owner’s title insurance policies,
except in connection with any Indebtedness, for any of Borrower’s Real Property Assets, so
long as the foregoing do not interfere in any material respect with the use or ordinary
conduct of the business of Borrower and do not diminish in any material respect the value of
the Property to which it is attached or for which it is listed;




     g. Liens and judgments (i) which have been or will be bonded (and the Lien on any cash
or securities serving as security for such bond) or released of record within thirty (30)
days after the date such Lien or judgment is entered or filed against EOPT, Borrower, or any
Subsidiary, or (ii) which are being contested in good faith by appropriate proceedings for



19









 






review and in which respect of which there shall have been secured a subsisting stay of
execution pending such appeal or proceedings and with respect to which reasonable reserves
have been established by EOPT, Borrower or such Subsidiary, as the case may be;




     h. Liens on Property of the Borrower or its Subsidiaries (other than Qualifying
Unencumbered Property) securing Indebtedness which may be incurred or remain outstanding
without resulting in an Event of Default hereunder; and




     i. Liens in favor of Borrower against any asset of any Financing Partnership or Joint
Venture Subsidiaries.



          “Person” means an individual, a corporation, a partnership, a limited liability company, an
association, a trust or any other entity or organization, including, without limitation, a
government or political subdivision or an agency or instrumentality thereof.




          “Plan” means at any time an employee pension benefit plan (other than a Multiemployer Plan)
which is covered by Title IV of ERISA or subject to the minimum funding standards under Section 412
of the Code and either (i) is maintained, or contributed to, by any member of the ERISA Group for
employees of any member of the ERISA Group or (ii) has at any time within the preceding five years
been maintained, or contributed to, by any Person which was at such time a member of the ERISA
Group for employees of any Person which was at such time a member of the ERISA Group.




          “Prime Rate” means the rate of interest publicly announced by the Administrative Agent from
time to time as its Prime Rate (it being understood that the same shall not necessarily be the best
rate offered by the Administrative Agent to customers).




          “Pro Rata Share” means, with respect to any Bank, a fraction (expressed as a percentage), the
numerator of which shall be the amount of such Bank’s Commitment and the denominator of which shall
be the aggregate amount of all of the Banks’ Commitments, as adjusted from time to time in
accordance with the provisions of this Agreement.




          “Property” means, with respect to any Person, any real or personal property, building,
facility, structure, equipment or unit, or other asset owned by such Person.




          “Qualified Institution” means a Bank, or one or more banks, finance companies, insurance or
other financial institutions which (A) has (or, in the case of a bank or other financial
institution which is a subsidiary, such bank’s or financial institution’s parent has) a rating of
its senior unsecured debt obligations of not less than Baa-1 by Moody’s or a comparable rating by a
rating agency acceptable to Administrative Agent and (B) has total assets in excess of Ten Billion
Dollars ($10,000,000,000).




20









 








          “Qualified Joint Venture Partner” means (a) pension funds, insurance companies, banks,
investment banks or similar institutional entities, each with significant experience in making
investments in commercial real estate, and (b) commercial real estate companies of similar quality
and experience.




          “Qualifying Unencumbered Property” means any Property (excluding Unimproved Assets)
from time to time which (i) is an operating Office Property or Parking Property or constitutes
primarily a warehouse distribution facility wholly-owned (directly or beneficially) by Borrower, a
Financing Partnership or a Joint Venture Subsidiary, (ii) is not subject (nor are any equity
interests in such Property that are owned directly or indirectly by Borrower, EOPT or any Joint
Venture Parent subject) to a Lien which secures Indebtedness of any Person other than Permitted
Liens, and (iii) is not subject (nor are any equity interests in such Property that are owned
directly or indirectly by Borrower, EOPT or any Joint Venture Parent subject) to any Negative
Pledge. In addition, in the case of any Property that is owned by a Subsidiary of Borrower and/or
EOPT, no such Property shall constitute Qualifying Unencumbered Property during any period of time
that such Subsidiary is in default beyond the expiration of any applicable grace or cure period in
the payment of any Indebtedness of such Subsidiary for borrowed money (other than Indebtedness with
respect to which recourse for
payment is limited to (i) specific assets related to a particular Property or group of Properties
encumbered by a Lien securing such Indebtedness, which Properties, in any event, do not constitute
Qualifying Unencumbered Properties, or (ii) any subsidiary of such Subsidiary (provided that if
such subsidiary of such Subsidiary is a partnership, there is no recourse to such Subsidiary as a
general partner of such partnership); provided, however, that personal recourse of
such Subsidiary for any such Indebtedness for fraud, misrepresentation, misapplication of cash,
waste, environmental claims and liabilities and other circumstances customarily excluded by
institutional lenders from exculpation provisions and/or included in separate indemnification
agreements in non-recourse financing of real estate (each, a “Recourse Carveout Event”)
shall not, by itself, cause such Indebtedness to be characterized as Indebtedness with respect to
which recourse for payment is not limited as described in clauses (i) or (ii) above; unless, as a
result of the occurrence of a Recourse Carveout Event, such Indebtedness becomes a recourse
obligation of such Subsidiary).




          “Rating Agencies” means, collectively, S&P, Moody’s and Fitch.




          “Real Property Assets” means as to any Person as of any time, the real property assets
(including, without limitation, interests in participating mortgages in which such Person’s
interest therein is characterized as equity according to GAAP) owned directly or indirectly by such
Person at such time.




          “Recourse Debt” shall mean Indebtedness that is not Non-Recourse Indebtedness.




          “Regulation U” means Regulation U of the Board of Governors of the Federal Reserve System, as
in effect from time to time.




21









 








          “REIT” means a real estate investment trust, as defined under Section 856 of the Code.




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




          “Secured Debt” means Indebtedness (but excluding Intracompany Indebtedness), the payment of
which is secured by a Lien (other than a Permitted Lien, except for those Permitted Liens described
in clauses (d) and (g) of the definition thereof) on any Property owned or leased by EOPT,
Borrower, or any Consolidated Subsidiary plus Borrower’s Share of Indebtedness (but excluding
Intracompany Indebtedness), the payment of which is secured by a Lien (other than a Permitted Lien,
except for those Permitted Liens described in clauses (d) and (g) of the definition thereof) on any
Property owned or leased by any Investment Affiliate.




          “Securities” means any stock, partnership interests, shares, shares of beneficial
interest, voting trust certificates, bonds, debentures, notes or other evidences of indebtedness,
secured or unsecured, convertible, subordinated or otherwise, or in general any instruments
commonly known as “securities,” or any certificates of interest, shares, or participations in
temporary or interim certificates for the purchase or acquisition of, or any right to subscribe to,
purchase or acquire any of the foregoing, but shall not include Joint Venture Interests, Investment
Mortgages, any interest in any Subsidiary of EOPT or Borrower, any interest in a Taxable REIT
Subsidiary, any Indebtedness which would not be required to be included on the liabilities side of
the balance sheet of EOPT or Borrower in accordance with GAAP, any Cash or Cash Equivalents or any
evidence of the Obligations.




          “Solvent” means, with respect to any Person, that the fair saleable value of such Person’s
assets exceeds the Indebtedness of such Person.




          “Subsidiary” means any corporation or other entity of which securities or other ownership
interests having ordinary voting power to elect a majority of the board of directors or other
persons performing similar functions are at the time directly or indirectly owned by the Borrower
or EOPT.




          “Syndication Agent” shall mean Bank of America, N.A., in its capacity as Syndication Agent
hereunder, and its permitted successors in such capacity in accordance with the terms of this
Agreement.




          “Taxes” means all federal, state, local and foreign income and gross receipts taxes.




          “Term” has the meaning set forth in Section 2.10(a).




          “Termination Event” shall mean (i) a “reportable event”, as such term is described in Section
4043 of ERISA (other than a “reportable event” not subject to the provision for 30-day notice




22









 







to
the PBGC), or an event described in Section 4062(e) of ERISA, (ii) the withdrawal by any member of
the ERISA Group from a Multiemployer Plan during a plan year in which it is a “substantial
employer” (as defined in Section 4001(a)(2) of ERISA), or the incurrence of liability by any member
of the ERISA Group under Section 4064 of ERISA upon the termination of a Multiemployer Plan, (iii)
the filing of a notice of intent to terminate any Plan under Section 4041 of ERISA, other than in a
standard termination within the meaning of Section 4041 of ERISA, or the treatment of a Plan
amendment as a distress termination under Section 4041 of ERISA, (iv) the institution by the PBGC
of proceedings to terminate, impose liability (other than for premiums under Section 4007 of ERISA)
in respect of, or cause a trustee to be appointed to administer, any Plan or (v) any other event or
condition that might reasonably constitute grounds for the termination of, or the appointment of a
trustee to administer, any Plan or the imposition of any liability or encumbrance or Lien on the
Real Property Assets or any member of the ERISA Group under ERISA or the Code.




          “Total
Asset Value” means, with respect to Borrower and without duplication, (i) for any
Properties (other than Unimproved Assets and Development Properties) owned by Borrower, any
Consolidated Subsidiary or Investment Affiliate which was neither acquired nor disposed of by
Borrower, a Consolidated Subsidiary or an Investment Affiliate in the Fiscal
Quarter most recently ended, exclusive of Properties, if any, that shall have produced a
negative EBITDA for the applicable period, the quotient obtained by dividing (a) (x) EBITDA
attributable to such Properties for the Fiscal Quarter most recently ended multiplied by four (4)
less (y) $0.20 (or, in the case of Office Properties owned by an Investment Affiliate, Borrower’s
Share of $0.20) per square foot of occupied office space within such Properties which are Office
Properties, by (b) 0.0750 for CBD Properties, or 0.0875 for non-CBD Properties, plus (ii) for any
Property which was acquired by Borrower or a Consolidated Subsidiary in the Fiscal Quarter most
recently ended, the Net Price of the Property paid by Borrower or the Consolidated Subsidiary for
such Property, plus (iii) for any Property which was acquired by an Investment Affiliate in the
Fiscal Quarter most recently ended, Borrower’s Share of the Net Price of the Property paid by such
Investment Affiliate for such Property, plus (iv) the value of any Cash or Cash Equivalent owned by
Borrower (including Cash or Cash equivalents in restricted Code Section 1031 accounts under the
control of Borrower or any Consolidated Subsidiary and Borrower’s Share of any Cash or Cash
equivalents in restricted Code Section 1031 accounts under the control of any Investment
Affiliate), plus (v) the value of any Unimproved Assets and any other tangible assets of Borrower
or its Consolidated Subsidiaries (including foreign currency exchange agreements, to the extent
such agreements are material and are reported or are required under GAAP to be reported by the
Borrower or its Consolidated Subsidiaries in their financial statements), as measured on a GAAP
basis, plus (vi) Borrower’s Share of the value of any Unimproved Assets and any other tangible
assets of any Investment Affiliate as measured on a GAAP basis, plus (vii) the Development Property
Value of Development Properties of Borrower or its Consolidated Subsidiaries, plus (viii) the
Borrower’s Share of the Development Property Value of Development Properties of any Investment
Affiliate. Anything in the foregoing to the contrary notwithstanding, in the event that Borrower,
a Consolidated Subsidiary or an Investment Affiliate disposes (for purposes of this definition of
“Total Asset Value”, each, a “Disposition”) of (x) an interest in any Property (which was not
acquired during the Fiscal




23









 







Quarter most recently ended), (y) a direct or indirect interest in the
owner of any such Property or (z) any such Property in such a manner that results in Borrower, a
Consolidated Subsidiary or an Investment Affiliate holding an interest in such Property or the
owner of such Property, then, for purposes of the foregoing calculation of Total Asset Value, such
Property shall be treated as follows:





               (A) if, following a Disposition, the Property or an undivided interest in the Property
is owned by Borrower or a Consolidated Subsidiary, then such Property or undivided interest
shall be treated as if Borrower or such Consolidated Subsidiary had owned such Property or
such undivided interest in the Property for the entire Fiscal Quarter most recently ended;




               (B) if, following a Disposition, the Property or an undivided interest in the Property
is owned by an Investment Affiliate, then such Property or undivided interest shall be
treated as if such Investment Affiliate had owned such Property or undivided interest for
the entire Fiscal Quarter most recently ended; and




               (C) and no such Property or undivided interest therein will be treated as having been
disposed of or acquired in such Fiscal Quarter.



          “Total Liabilities” means, as of the date of determination and without duplication, all
Balance Sheet Indebtedness of Borrower, on a consolidated basis, plus Borrower’s Share of all
Balance Sheet Indebtedness of Investment Affiliates.




          “Unencumbered Asset Value” means the sum of (i) all Cash and Cash Equivalents of the
Borrower, all Financing Partnerships and Joint Venture Subsidiaries which are not subject to any
pledge, negative pledge, encumbrance, hypothecation or other restriction (provided that in the case
of Cash and Cash Equivalents of any Joint Venture Subsidiary which is not a Consolidated
Subsidiary, the amount of Cash and Cash Equivalents attributable to such Joint Venture Subsidiary
shall be reduced to a percentage equal to the Borrower’s percentage ownership interest (whether
direct or indirect) in such Joint Venture Subsidiary)(including Cash or Cash Equivalents in
restricted Code Section 1031 accounts under the control of Borrower or any Consolidated Subsidiary
and Borrower’s Share of any Cash or Cash equivalents in restricted Code Section 1031 accounts
under the control of any Investment Affiliate, plus (ii) for any Qualifying Unencumbered Properties
which were neither acquired or disposed of by Borrower, a Financing Partnership or a Joint Venture
Subsidiary in the Fiscal Quarter most recently ended exclusive of Qualifying Unencumbered
Properties, if any, that shall have produced a negative EBITDA for the applicable period, the
quotient of (a) (x) the aggregate EBITDA for such Fiscal Quarter attributable to such Qualifying
Unencumbered Properties for the Fiscal Quarter most recently ended multiplied by four (4) less (y)
$0.20 (or, in the case of Qualifying Unencumbered Properties owned by an Investment Affiliate,
Borrower’s Share of $0.20) per square foot of occupied office space within such Qualifying
Unencumbered Properties which are Office Properties, and less (z) in the case of any Qualifying
Unencumbered Property located outside of the United States, an amount




24









 








equal to the applicable
withholding taxes imposed by any foreign jurisdiction applicable to the EBITDA attributable to any
such Qualifying Unencumbered Property for the applicable period, divided by (b) .0750 for CBD
Properties, or 0.0875 for non-CBD Properties, plus (iii) for all Qualifying Unencumbered Properties
owned (directly or beneficially) by Borrower, any Financing Partnership or any Joint Venture
Subsidiary which were acquired (directly or indirectly) by the Borrower, any Financing Partnership
or any Joint Venture Subsidiary during the Fiscal Quarter most recently ended, the aggregate Net
Price of such Qualifying Unencumbered Properties paid by Borrower or its Affiliates for such
Qualifying Unencumbered Properties, plus (iv) the book value, determined in accordance with GAAP,
of Unimproved Assets, readily marketable securities and mortgage receivables, plus the Development
Property Value of any Qualifying Unencumbered Properties which are Development Properties, plus the
Management/Development Fee Value of any third party management and development fees;
provided, however, that, unless otherwise approved by the Majority Banks, (aa) in
the event any such Qualifying Unencumbered Property is owned by a Joint Venture Subsidiary which is
not a Consolidated Subsidiary, the amount of the EBITDA attributable to such Qualifying
Unencumbered Property for purposes of clause (i) above and the Net Price of such Qualifying
Unencumbered Property for the purposes of clause (iii) above shall be reduced to a percentage equal
to the Borrower’s percentage ownership interest (whether direct or indirect) in such Joint Venture
Subsidiary, (bb) the portion of the aggregate amount of the Unencumbered Asset Value
attributable to Qualifying Unencumbered Properties that are Qualifying Unencumbered Properties
owned by Joint Venture Subsidiaries (after first taking into account the adjustment provided in
clause (aa) of this proviso) which would cause such aggregate amount to exceed thirty-five percent
(35%) of the total Unencumbered Asset Value at such time (after making all adjustments required by
this proviso) will be disregarded in determining Unencumbered Asset Value, (cc) the portion of the
amount of the Unencumbered Asset Value attributable to all Qualifying Unencumbered Property located
outside of the United States (after first taking into account the adjustment provided in clause
(aa) of this proviso) which would cause such amount to exceed ten percent (10%) of the total
Unencumbered Asset Value at such time (after making all adjustments required by this proviso) will
be disregarded in determining Unencumbered Asset Value, (dd) the portion of the amount of the
Unencumbered Asset Value attributable to Unimproved Assets, readily marketable securities and
mortgage receivables, the Development Property Value of any Qualifying Unencumbered Properties
which are Development Properties, plus the Management/Development Fee Value of any third party
management and development fees which would cause such amount to exceed thirty percent (30%) of the
total Unencumbered Asset Value at such time (after making all adjustments required by this proviso)
will be disregarded in determining Unencumbered Asset Value, and (ee) the portion of the amount of
the Unencumbered Asset Value attributable to the Management/Development Fee Value of any third
party management and development fees which would cause such amount to exceed five percent (5%) of
the total Unencumbered Asset Value at such time (after making all adjustments required by this
proviso) will be disregarded in determining Unencumbered Asset Value. Anything in the foregoing to
the contrary notwithstanding, in the event that Borrower, a Financing Partnership or a Joint
Venture Subsidiary disposes (for purposes of this definition of “Unencumbered
Asset Value”, each, a
“Disposition”) of (x) an interest in any Qualified Unencumbered Property (which was not acquired




25









 








during the Fiscal Quarter most recently ended), (y) a direct or indirect interest in the owner of
any such Property or (z) any such Property in such a manner that results in Borrower holding a
direct or indirect interest in such Property or the owner of such Property, then, for purposes of
the foregoing calculation of Unencumbered Asset Value, such Property shall be treated as follows:





          (A) if, following a Disposition, an undivided interest in the Property is owned by
Borrower or a Financing Partnership, then such undivided interest shall be treated as if
Borrower or such Financing Partnership had owned such undivided interest in the Property for
the entire Fiscal Quarter most recently ended;




          (B) if, following a Disposition, the Property or an undivided interest in the Property
is owned by a Joint Venture Subsidiary, then such Property or undivided interest shall be
treated as if such Joint Venture Subsidiary had owned such Property for the entire Fiscal
Quarter most recently ended; and




          (C) and no such Property or undivided interest therein will be treated as having been
disposed of or acquired in such Fiscal Quarter.



          “Unimproved Assets” means Real Property Assets (or, in the case of any Real Property Assets to
be developed in phases, any phase thereof) containing no material improvements other than
infrastructure improvements such as roads, utility feeder lines and the like.




          “United States” means the United States of America, including the fifty states and the
District of Columbia.




          “Unsecured Debt” means the amount of Indebtedness (excluding Intracompany Indebtedness) for
borrowed money of EOPT Borrower and any Financing Partnership which is not Secured Debt, including,
without limitation, the amount of all then outstanding Loans, plus, for the purpose of calculating
the ratio of outstanding Unsecured Debt to Unencumbered Asset Value, an amount equal to the
Borrower’s percentage ownership interest (whether direct or indirect) in each Joint Venture
Subsidiary which is not a Consolidated Subsidiary times any Indebtedness (excluding Intracompany
Indebtedness) for borrowed money of such Joint Venture Subsidiary which is not Secured Debt.




          “Unused Commitments” shall mean an amount equal to all unadvanced funds (other than unadvanced
funds in connection with any construction loan) which any third party is obligated to advance to
Borrower or another Person or otherwise pursuant to any loan document, written instrument or
otherwise.




          SECTION 1.2. Accounting Terms and Determinations. Unless otherwise specified herein,
all accounting terms used herein shall be interpreted, all accounting determinations hereunder




26









 







shall be made, and all financial statements required to be delivered hereunder shall be prepared in
accordance with GAAP applied on a basis consistent (except for changes concurred in by the
Borrower’s independent public accountants) with the most recent audited consolidated financial
statements of the Borrower and its Consolidated Subsidiaries delivered to the Administrative Agent;
provided that for purposes of references to the financial results and information of “EOPT, on a
consolidated basis,” EOPT shall be deemed to own one hundred percent (100%) of the partnership
interests in Borrower; and provided further that, if the Borrower notifies the Administrative Agent
that the Borrower wishes to amend any covenant in Article V to eliminate the effect of any change
in GAAP on the operation of such covenant (or if the Administrative Agent notifies the Borrower
that the Majority Banks wish to amend Article V for such purpose), then the Borrower’s compliance
with such covenant shall be determined on the basis of GAAP in effect immediately before the
relevant change in GAAP became effective, until either such notice is withdrawn or such covenant is
amended in a manner reasonably satisfactory to the Borrower and the Majority Banks.




          SECTION 1.3. Types of Borrowings. The term “Borrowing” denotes the
aggregation of Loans of one or more Banks to be made to the Borrower pursuant to Article 2 on the
same date, all of which Loans are of the same type (subject to Article 8) and, except in the case
of Base Rate Loans, have the same initial
Interest Period. Borrowings are classified for purposes of this Agreement either by reference
to the pricing of Loans comprising such Borrowing (e.g., a “Fixed Rate Borrowing” is a
Euro-Dollar Borrowing, and a “Euro-Dollar Borrowing” is a Borrowing comprised of Euro-Dollar Loans)
or by reference to the provisions of Article 2 under which participation therein is determined
(i.e., a “Borrowing” is a Borrowing under Section 2.1 in which all Banks participate in
proportion to their Commitments.




ARTICLE II




THE CREDITS




          SECTION 2.1. Commitments to Lend. Each Bank severally agrees, on the terms and
conditions set forth in this Agreement, to make Loans to the Borrower pursuant to this Article in
amounts such that the aggregate principal amount of Loans by such Bank at any one time outstanding
shall not exceed the amount of its Commitment. The initial Borrowing under this Section 2.1 shall
be in the aggregate amount of the Commitments. Any amounts repaid may not be reborrowed.




          SECTION 2.2. Notice of Borrowing. With respect to initial Borrowing (which shall be
the only Borrowing), the Borrower shall give Administrative Agent notice not later than 11:00 a.m.
(Charlotte, North Carolina time) (x) one Business Day before a Base Rate Borrowing, or (y) three
Business Days before a Euro-Dollar Borrowing, specifying:




27









 









     (i) the date of such Borrowing, which shall be a Business Day in the case of a Base
Rate Borrowing or a Business Day in the case of a Euro-Dollar Borrowing,




     (ii) the aggregate amount of such Borrowing which, together with any other Borrowings
made simultaneously therewith, shall equal the aggregate amount of the Commitments,




     (iii) whether the Loans comprising such Borrowing are to be Base Rate Loans or
Euro-Dollar Loans, and




     (iv) in the case of a Euro-Dollar Borrowing, the duration of the Interest Period
applicable thereto, subject to the provisions of the definition of Interest Period.



          SECTION 2.3. Intentionally Omitted.




          SECTION 2.4. Intentionally Omitted.




          SECTION 2.5. Notice to Banks; Funding of Loans.




          (a) Upon receipt of a Notice of Borrowing from Borrower in accordance with Section 2.2
hereof, the Administrative Agent shall, on the date such Notice of Borrowing is received by the
Administrative Agent, notify each Bank of the contents thereof and of such Bank’s share of such
Borrowing, of the interest rate determined pursuant thereto and the Interest Period(s) (if
different from those requested by the Borrower) and such Notice of Borrowing shall not thereafter
be revocable by the Borrower, unless Borrower shall pay any applicable expenses pursuant to Section
2.13.




          (b) Not later than 1:00 p.m. (Charlotte, North Carolina time) on the date of each Borrowing as
indicated in the applicable Notice of Borrowing, each Bank shall (except as provided in subsection
(d) of this Section) make available its share of such Borrowing in Federal funds immediately
available in Charlotte, North Carolina, to the Administrative Agent at its address referred to in
Section 9.1.




          (c) Intentionally Omitted.




          (d) Unless the Administrative Agent shall have received notice from a Bank prior to the time of
any Borrowing that such Bank will not make available to the Administrative Agent such Bank’s share
of such Borrowing, the Administrative Agent may assume that such Bank has made such share available
to the Administrative Agent on the date of such Borrowing in accordance with of this Section 2.5
and the Administrative Agent may, in reliance upon such assumption, but shall not be obligated to,
make available to the Borrower on such date a corresponding amount on behalf of such Bank. If and
to the extent that such Bank shall not have so made such share available to the




28









 







Administrative
Agent, such Bank agrees to repay to the Administrative Agent forthwith on demand such corresponding
amount together with interest thereon, for each day from the date such amount is made available to
the Borrower until the date such amount is repaid to the Administrative Agent, at the rate of
interest applicable to such Borrowing hereunder. If such Bank shall repay to the Administrative
Agent such corresponding amount, such amount so repaid shall constitute such Bank’s Loan included
in such Borrowing for purposes of this Agreement. If such Bank shall not pay to Administrative
Agent such corresponding amount after reasonable attempts are made by Administrative Agent to
collect such amounts from such Bank, Borrower agrees to repay to Administrative Agent forthwith on
demand such corresponding amounts together with interest thereto, for each day from the date such
amount is made available to Borrower until the date such amount is repaid to Administrative Agent,
at the interest rate applicable thereto one (1) Business Day after demand. Nothing contained in
this Section 2.5(d) shall be deemed to reduce the Commitment of any Bank or in any way affect the
rights of Borrower with respect to any defaulting Bank or Administrative Agent. The failure of any
Bank to make available to the Administrative Agent such Bank’s share of any Borrowing in accordance
with Section 2.5(b) hereof shall not relieve any other Bank of its obligations to fund its
Commitment, in accordance with the provisions hereof.








          (e)
Subject to the provisions hereof, the Administrative Agent shall make
available each Borrowing to Borrower in Federal funds immediately
available in accordance with, and on the date set forth in, the
applicable Notice of Borrowing.


          SECTION 2.6. Notes.




          (a) The Loans of each Bank shall be evidenced by a single Note payable to the order of such
Bank for the account of its Applicable Lending Office.




          (b) Each Bank may, by notice to the Borrower and the Administrative Agent, request that its
Loans of a particular type be evidenced by a separate Note in an amount equal to the aggregate
unpaid principal amount of such Loans. Any additional costs incurred by the Administrative Agent,
the Borrower or the Banks in connection with preparing such a Note shall be at the sole cost and
expense of the Bank requesting such Note. In the event any Loans evidenced by such a Note are paid
in full prior to the Maturity Date, any such Bank shall return such Note to Borrower. Each such
Note shall be in substantially the form of Exhibit A hereto with appropriate modifications to
reflect the fact that it evidences solely Loans of the relevant type. Upon the execution and
delivery of any such Note, any existing Note payable to such Bank shall be replaced or modified
accordingly. Each reference in this Agreement to the “Note” of such Bank shall be deemed to refer
to and include any or all of such Notes, as the context may require.




          (c) Upon receipt of each Bank’s Note pursuant to Section 3.1(a), the Administrative Agent shall
forward such Note to such Bank. Each Bank shall record the date, amount, type and maturity of each
Loan made by it and the date and amount of each payment of principal made




29







 







by the Borrower with
respect thereto, and may, if such Bank so elects in connection with any transfer or enforcement of
its Note, endorse on the appropriate schedule appropriate notations to evidence the foregoing
information with respect to each such Loan then outstanding; provided that the failure of any Bank
to make any such recordation or endorsement shall not affect the obligations of the Borrower
hereunder or under the Notes. Each Bank is hereby irrevocably authorized by the Borrower so to
endorse its Note and to attach to and make a part of its Note a continuation of any such schedule
as and when required.




          (d) The Loans shall mature, and the principal amount thereof shall be due and payable, on the
Maturity Date.




          (e) There shall be no more than [ten (10)] Euro-Dollar Groups of Loans outstanding at any one
time.




          SECTION 2.7. Method of Electing Interest Rates.




          (a) The Loans included in each Borrowing shall bear interest initially at the type of rate
specified by the Borrower in the applicable Notice of Borrowing. Thereafter, the Borrower may from
time to time elect to change or continue the type of interest rate borne by each Group of Loans
(subject in each case to the provisions of Article VIII), as follows:




               (i) if such Loans are Base Rate Loans, the Borrower may elect to convert all or any portion of
such Loans to Euro-Dollar Loans as of any Business Day;



               (ii) if such Loans are Euro-Dollar Loans, the Borrower may elect to convert all or any
portion of such Loans to Base Rate Loans and/or elect to continue all or any portion of such Loans
as Euro-Dollar Loans for an additional Interest Period or additional Interest Periods, in each case
effective on the last day of the then current Interest Period applicable to such Loans, or on such
other date designated by Borrower in the Notice of Interest Rate Election provided Borrower shall
pay any losses pursuant to Section 2.13.


Each such election shall be made by delivering a notice (a “Notice of Interest Rate
Election”), signed by an Authorized Officer, to the Administrative Agent at least three (3)
Business Days before the conversion or continuation selected in such notice is to be effective. A
Notice of Interest Rate Election may, if it so specifies, apply to only a portion of the aggregate
principal amount of the relevant Group of Loans; provided that (i) such portion is allocated
ratably among the Loans comprising such Group, (ii) the portion to which such Notice applies, and
the remaining portion to which it does not apply, are each $500,000 or any larger multiple of
$100,000, (iii) there shall be no more than ten (10) Euro-Dollar Groups of Loans outstanding at any
time, (iv) no Loan may be continued as, or converted into, a Euro-Dollar Loan when any Event of
Default has occurred and is continuing, and (v) no Interest Period shall extend beyond the Maturity
Date.




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          (b) Each Notice of Interest Rate Election shall specify:




               (i) the Group of Loans (or portion thereof) to which such notice applies;



               (ii) the date on which the conversion or continuation selected in such notice is to be
effective, which shall comply with the applicable clause of subsection (a) above;



               (iii) if the Loans comprising such Group are to be converted, the new type of Loans and, if
such new Loans are Euro-Dollar Loans, the duration of the initial Interest Period applicable
thereto; and



               (iv) if such Loans are to be continued as Euro-Dollar Loans for an additional Interest Period,
the duration of such additional Interest Period.


Each Interest Period specified in a Notice of Interest Rate Election shall comply with the
provisions of the definition of Interest Period.




          (c) Upon receipt of a Notice of Interest Rate Election from the Borrower pursuant to subsection
(a) above, the Administrative Agent shall notify each Bank the same day as it receives such Notice
of Interest Rate Election of the contents thereof, the interest rates determined pursuant thereto
and the Interest Periods (if different from those requested by the Borrower) and such notice shall
not thereafter be revocable by the Borrower. If the Borrower fails to deliver a timely Notice of
Interest Rate Election to the Administrative Agent for any Group of Euro-Dollar Loans, such Loans
shall be converted into Base Rate Loans on the last day of the then current Interest Period
applicable thereto.




          SECTION 2.8. Interest Rates.




          (a) Each Base Rate Loan shall bear interest on the outstanding principal amount thereof, for
each day from the date such Loan is made until the date it is repaid or converted into a
Euro-Dollar Loan pursuant to Section 2.7, at a rate per annum equal to the Base Rate plus the
Applicable Margin for Base Rate Loans for such day.




          (b) Each Euro-Dollar Loan shall bear interest on the outstanding principal amount thereof, for
each day during the Interest Period applicable thereto, at a rate per annum equal to the sum of the
Applicable Margin for Euro-Dollar Loans for such day plus the Euro-Dollar Rate applicable to such
Interest Period.




          (c) Intentionally Omitted.




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          (d) In the event that, and for so long as, any Event of Default shall have occurred and be
continuing, the outstanding principal amount of the Loans, and, to the extent permitted by
applicable law, overdue interest in respect of all Loans, shall bear interest at the annual rate
equal to the sum of the Base Rate and four percent (4%) (the “Default Rate”).




          (e) The Administrative Agent shall determine each interest rate applicable to the Loans
hereunder. The Administrative Agent shall give prompt notice to the Borrower and the Banks of each
rate of interest so determined, and its determination thereof shall be conclusive in the absence of
demonstrable error.




          (f) Intentionally Omitted.




          (g) Interest on all Loans (other than Base Rate Loans) shall be payable on the last Business
Day of each applicable Interest Period (provided that in the event any Interest Period ends on the
date which is 60, 90 or 180 days after the date on which any Interest Period commences, interest on
all Loans (other than Base Rate Loans) shall be payable on the first Business Day of each calendar
month during such Interest Period and on the last day of such Interest Period) and interest on Base
Rate Loans shall be payable on the first Business Day of each calendar month.




          SECTION 2.9. Mandatory Prepayments. If at any time the Borrower, EOPT or any
Consolidated Subsidiary of either or both receives any Net Bond Proceeds, Borrower shall pay to the
Administrative Agent, for the account of the Banks, within thirty(30) days after the date of such
receipt, an amount equal to the Net Bond Proceeds (but in no event more than the outstanding
balance of the Loans). Borrower shall make such prepayment together with interest accrued to the
date of the prepayment on the principal amount prepaid. In connection with the prepayment of a
Euro-Dollar Loan prior to the maturity thereof, the Borrower shall also pay any applicable expenses
pursuant to Section 2.13. Each such prepayment shall be applied to prepay ratably the Loans of the
Banks. Amounts prepaid pursuant to this Section 2.9 may not be reborrowed and the Commitments
shall be deemed to have been reduced accordingly.




          SECTION 2.10. Maturity Date.




          (a) The term (the “Term”) of the Commitments (and each Bank’s obligations to make Loans
hereunder) shall terminate and expire on the Maturity Date.




          (b) Upon the date of the termination of the Term, any Loans then outstanding (together with
accrued interest thereon and all other Obligations) shall be due and payable on such date.




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          SECTION 2.11. Optional Prepayments.




          (a) The Borrower may, upon at least one (1) Business Day’s notice to the Administrative Agent,
prepay any Group of Base Rate Loans, in whole at any time, or from time to time in part in amounts
aggregating One Million Dollars ($1,000,000) or any larger multiple of One Hundred Thousand Dollars
($100,000), by paying the principal amount to be prepaid together with accrued interest thereon to
the date of prepayment. Each such optional prepayment shall be applied to prepay ratably the Loans
of the several Banks included in such Group or Borrowing.




          (b) The Borrower may, upon at least one (1) Business Days’ notice to the Administrative Agent,
prepay all or any portion of any Euro-Dollar Loan as of the last day of the Interest Period
applicable thereto. Except as provided in Article 8 and except with respect to any Euro-Dollar
Loan which has been converted to a Base Rate Loan pursuant to Section 8.2, 8.3 or 8.4 hereof, the
Borrower may not prepay all or any portion of the principal amount of any Euro-Dollar Loan prior to
the end of the Interest Period applicable thereto unless the Borrower shall also pay any applicable
expenses pursuant to Section 2.13. Any such prepayment shall be upon at least three (3) Business
Days notice to the Administrative Agent. Each such optional prepayment shall be in the amounts set
forth in Section 2.11(a) above and shall be applied to prepay ratably the Loans of the Banks
included in any Group of Euro-Dollar Loans, except that any Euro-Dollar Loan which has been
converted to a Base Rate Loan pursuant to Section 8.2, 8.3 or 8.4 hereof
may be prepaid without ratable payment of the other Loans in such Group of Loans which have
not been so converted.




          (c) Subject to the provisions of Section 2.3, any amounts so prepaid pursuant to Section
2.11(a) or (b) may not be reborrowed.




          SECTION 2.12. General Provisions as to Payments.




          (a) The Borrower shall make each payment of principal of and interest on the Loans and of fees
hereunder, not later than 11:00 a.m. (Charlotte, North Carolina time) on the date when due, in
Federal or other funds immediately available in Charlotte, North Carolina, to the Administrative
Agent at its address referred to in Section 9.1. The Administrative Agent will promptly (and in
any event within one (1) Business Day after receipt thereof) distribute to each Bank its ratable
share of each such payment received by the Administrative Agent for the account of the Banks. If
and to the extent that the Administrative Agent shall receive any such payment for the account of
the Banks on or before 12:00 Noon (Charlotte, North Carolina time) on any Business Day, and
Administrative Agent shall not have distributed to any Bank its applicable share of such payment on
such Business Day, Administrative Agent shall distribute such amount to such Bank together with
interest thereon, for each day from the date such amount should have been distributed to such Bank
until the date Administrative Agent distributes such amount to such Bank, at the Federal Funds
Rate. Whenever any payment of principal of, or interest on the Base Rate Loans or of fees shall be
due on a day which is not a Business Day, the date for payment thereof shall be extended to the
next succeeding Business Day.




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Whenever any payment of principal of, or interest on, the
Euro-Dollar Loans shall be due on a day which is not a Business Day, the date for payment thereof
shall be extended to the next succeeding Business Day unless such Business Day falls in another
calendar month, in which case the date for payment thereof shall be the next preceding Business
Day.




          (b) Unless the Administrative Agent shall have received notice from the Borrower prior to the
date on which any payment is due to the Banks hereunder that the Borrower will not make such
payment in full, the Administrative Agent may assume that the Borrower has made such payment in
full to the Administrative Agent on such date and the Administrative Agent may, in reliance upon
such assumption, cause to be distributed to each Bank on such due date an amount equal to the
amount then due such Bank. If and to the extent that the Borrower shall not have so made such
payment, each Bank shall repay to the Administrative Agent forthwith on demand such amount
distributed to such Bank together with interest thereon, for each day from the date such amount is
distributed to such Bank until the date such Bank repays such amount to the Administrative Agent,
at the Federal Funds Rate.




          SECTION 2.13. Funding Losses. If the Borrower makes any payment of principal
with respect to any Euro-Dollar Loan (pursuant to Article II, VI or VIII or otherwise) on any day
other than the last day of the Interest Period applicable thereto, or if the Borrower fails to
borrow any Euro-Dollar Loans after notice has been
given to any Bank in accordance with Section 2.5(a) or 2.4(f), as applicable, or if Borrower
shall deliver a Notice of Interest Rate Election specifying that a Euro-Dollar Loan shall be
converted on a date other than the first (1st) day of the then current Interest Period applicable
thereto, the Borrower shall reimburse each Bank within 15 days after certification of such Bank of
such loss or expense (which shall be delivered by each such Bank to Administrative Agent for
delivery to Borrower) for any resulting loss or expense incurred by it (or by an existing
Participant in the related Loan), including, without limitation, any loss incurred in obtaining,
liquidating or employing deposits from third parties, but excluding loss of margin for the period
after any such payment or failure to borrow, provided that such Bank shall have delivered to
Administrative Agent and Administrative Agent shall have delivered to the Borrower a certification
as to the amount of such loss or expense, which certification shall set forth in reasonable detail
the basis for and calculation of such loss or expense and shall be conclusive in the absence of
demonstrable error.




          SECTION 2.14. Computation of Interest and Fees. All interest based on the
Euro-Dollar Rate and fees shall be computed on the basis of a year of 360 days and paid for the
actual number of days elapsed (including the first day but excluding the last day). All interest
based on the Prime Rate shall be computed on the basis of a year of 365 days (or 366 days in a leap
year) and paid for the actual number of days elapsed (including the first day but excluding the
last day).




          SECTION 2.15. Use of Proceeds. The Borrower shall use the proceeds of the Loans for
general corporate purposes, including, without limitation, the repayment of Indebtedness, the
acquisition of real property to be used in the Borrower’s existing business and for general working
capital needs of the Borrower.




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ARTICLE III




CONDITIONS




          SECTION 3.1. Closing. The closing hereunder shall occur on the date when each of
the following conditions is satisfied (or waived in writing by the Administrative Agent and the
Banks), each document to be dated the Closing Date unless otherwise indicated:




          (a) the Borrower shall have executed and delivered to the Administrative Agent a Note for the
account of each Bank dated on or before the Closing Date complying with the provisions of Section
2.6;




          (b) the Borrower, EOPT and the Administrative Agent and each of the Banks shall have executed
and delivered to the Borrower, EOPT and the Administrative Agent a duly executed original of this
Agreement;




          (c) EOPT shall have executed and delivered to the Administrative Agent a duly executed original
of the EOPT Guaranty;




          (d) the Administrative Agent shall have received an opinion of DLA Piper Rudnick Gray Cary US
LLP, counsel for the Borrower and EOPT, acceptable to the Administrative Agent, the Banks and their
counsel;




          (e) the Administrative Agent shall have received all documents the Administrative Agent
may reasonably request relating to the existence of the Borrower and EOPT, the authority for and
the validity of this Agreement and the other Loan Documents, the incumbency of officers executing
this Agreement and the other Loan Documents and any other matters relevant hereto, all in form and
substance satisfactory to the Administrative Agent. Such documentation shall include, without
limitation, the agreement of limited partnership of the Borrower, as well as the certificate of
limited partnership of the Borrower, both as amended, modified or supplemented to the Closing Date,
certified to be true, correct and complete by a senior officer of the Borrower as of a date not
more than ten (10) days prior to the Closing Date, together with a certificate of existence as to
the Borrower from the Secretary of State (or the equivalent thereof) of Delaware, to be dated not
more than thirty (30) days prior to the Closing Date, as well as the declaration of trust of EOPT,
as amended, modified or supplemented to the Closing Date, certified to be true, correct and
complete by a senior officer of EOPT as of a date not more than ten (10) days prior to the Closing
Date, together with a good standing certificate as to EOPT from the Secretary of State (or the
equivalent thereof) of Maryland, to be dated not more than thirty (30) days prior to the Closing
Date;





35









 






          (f) the Borrower and EOPT each shall have executed a solvency certificate acceptable to the
Administrative Agent;




          (g) the Administrative Agent shall have received all certificates, agreements and other
documents and papers referred to in this Section 3.1 and the Notice of Borrowing referred to in
Section 3.2, if applicable, unless otherwise specified, in sufficient counterparts, satisfactory in
form and substance to the Administrative Agent in its sole discretion;




          (h) the Borrower shall have taken all actions required to authorize the execution and delivery
of this Agreement and the other Loan Documents and the performance thereof by the Borrower, and
EOPT shall have taken all actions required to authorize the execution and delivery of the EOPT
Guaranty and the other Loan Documents and the performance thereof by EOPT;




          (i) the Banks shall be satisfied that neither the Borrower, EOPT nor any Consolidated
Subsidiary is subject to any present or contingent environmental liability which could have a
Material Adverse Effect and the Borrower shall have delivered a certificate so stating;




          (j) the Administrative Agent shall have received, for its and any other Bank’s account, all
fees due and payable pursuant to Section 2.9 hereof on or before the Closing Date, and the
reasonable fees and expenses accrued through the Closing Date of Skadden, Arps, Slate, Meagher &
Flom LLP, if required by such firm and if such firm has delivered an invoice in reasonable detail
of such fees and expenses in sufficient time for Borrower to approve and process the same, shall
have been paid directly to Skadden, Arps, Slate, Meagher & Flom LLP;




          (k) the Borrower shall have delivered copies of all consents, licenses and approvals, if
any, required in connection with the execution, delivery and performance by the Borrower and EOPT,
and the validity and enforceability, of the Loan Documents, or in connection with any of the
transactions contemplated thereby, and such consents, licenses and approvals shall be in full force
and effect;




          (l) no Default or Event of Default shall have occurred;




          (m) the Borrower shall have delivered a certificate in form acceptable to Administrative Agent
showing compliance with the requirements of Section 5.8 as of the Closing Date; and




          (n) Borrower shall have satisfied all of the conditions to the obligation of a Bank to make a
Loan set forth in Section 3.2 hereof.




          SECTION 3.2. Borrowings. The obligation of any Bank to make a Loan is subject to
the satisfaction of the following conditions:




36









 







          (a) receipt by the Administrative Agent of a Notice of Borrowing as required by Section 2.2 or
Section 2.3(b)(i);




          (b) immediately after such Borrowing, the aggregate outstanding principal amount of the Loans
will not exceed the aggregate amount of the Commitments;




          (c) immediately before and after such Borrowing, no Default or Event of Default shall have
occurred and be continuing both before and after giving effect to the making of such Loans;




          (d) the representations and warranties of the Borrower contained in this Agreement (other than
representations and warranties which expressly speak as of a different date) shall be true and
correct in all material respects on and as of the date of such Borrowing both before and after
giving effect to the making of such Loans;




          (e) no law or regulation shall have been adopted, no order, judgment or decree of any
Governmental Authority shall have been issued, and no litigation shall be pending, which does or
seeks to enjoin, prohibit or restrain, the making or repayment of the Loans or the consummation of
the transactions contemplated by this Agreement; and




          (f) no event, act or condition shall have occurred after the date of the most recent financial
statements of Borrower which has had or is likely to have a Material Adverse Effect.



Each Borrowing hereunder shall be deemed to be a representation and warranty by the Borrower
on the date of such Borrowing as to the facts specified in clauses (b), (c), (d), (e) and (f) (to
the extent that Borrower is or should have been aware of any Material Adverse Effect) of this
Section, except as otherwise disclosed in writing by Borrower to the Banks. Notwithstanding
anything to the contrary, no Borrowing shall be permitted if such Borrowing would cause Borrower to
fail to be in compliance with any of the covenants contained in this Agreement or in any of the
other Loan Documents.




ARTICLE IV




REPRESENTATIONS AND WARRANTIES




          In order to induce the Administrative Agent and each of the other Banks which is or may become
a party to this Agreement to make the Loans, the Borrower makes the following representations and
warranties as of the Closing Date. Such representations and warranties shall survive the
effectiveness of this Agreement, the execution and delivery of the other Loan Documents and the
making of the Loans.




37









 








          SECTION 4.1. Existence and Power. The Borrower is a limited partnership, duly
formed and validly existing as a limited partnership under the laws of the State of Delaware and
has all powers and all material governmental licenses, authorizations, consents and approvals
required to own its property and assets and carry on its business as now conducted or as it
presently proposes to conduct and has been duly qualified and is in good standing in every
jurisdiction in which the failure to be so qualified and/or in good standing is likely to have a
Material Adverse Effect. EOPT is a real estate investment trust, duly formed, validly existing and
in good standing as a real estate investment trust under the laws of the State of Maryland and has
all powers and all material governmental licenses, authorizations, consents and approvals required
to own its property and assets and carry on its business as now conducted or as it presently
proposes to conduct and has been duly qualified and is in good standing in every jurisdiction in
which the failure to be so qualified and/or in good standing is likely to have a Material Adverse
Effect.




          SECTION 4.2. Power and Authority. The Borrower has the partnership power and
authority to execute, deliver and carry out the terms and provisions of each of the Loan Documents
to which it is a party and has taken all necessary partnership action, if any, to authorize the
execution and delivery on behalf of the Borrower and the performance by the Borrower of such Loan
Documents. The Borrower and
EOPT each have duly executed and delivered each Loan Document to which it is a party in
accordance with the terms of this Agreement, and each such Loan Document constitutes the legal,
valid and binding obligation of the Borrower and EOPT, enforceable in accordance with its terms,
except as enforceability may be limited by applicable insolvency, bankruptcy or other laws
affecting creditors rights generally, or general principles of equity, whether such enforceability
is considered in a proceeding in equity or at law. EOPT has the power and authority to execute,
deliver and carry out the terms and provisions of each of the Loan Documents to which it is a party
and has taken all necessary action to authorize the execution, delivery and performance of such
Loan Documents. EOPT has the power and authority to execute, deliver and carry out the terms and
provisions of each of the Loan Documents on behalf of the Borrower to which the Borrower is a party
and has taken all necessary action to authorize the execution and delivery on behalf of the
Borrower and the performance by the Borrower of such Loan Documents.




          SECTION 4.3. No Violation.




          (a) Neither the execution, delivery or performance by or on behalf of the Borrower of the Loan
Documents to which it is a party, nor compliance by the Borrower with the terms and provisions
thereof nor the consummation of the transactions contemplated by the Loan Documents, (i) will
materially contravene any applicable provision of any law, statute, rule, regulation, order, writ,
injunction or decree of any court or governmental instrumentality, (ii) will materially conflict
with or result in any breach of, any of the terms, covenants, conditions or provisions of, or
constitute a default under, or result in the creation or imposition of (or the obligation to create
or impose) any Lien upon any of the property or assets of the Borrower or any of its Consolidated
Subsidiaries pursuant to the terms of any indenture, mortgage, deed of trust, or other agreement or
other instrument to which the




38









 







Borrower (or of any partnership of which the Borrower is a partner)
or any of its Consolidated Subsidiaries is a party or by which it or any of its property or assets
is bound or to which it is subject (except for such breaches and defaults under loan agreements
which the lenders thereunder have agreed to forbear pursuant to valid forbearance agreements), or
(iii) will cause a material default by the Borrower under any organizational document of any Person
in which the Borrower has an interest, or cause a material default under the Borrower’s agreement
or certificate of limited partnership, the consequences of which conflict, breach or default would
have a Material Adverse Effect, or result in or require the creation or imposition of any Lien
whatsoever upon any Property (except as contemplated herein).




          (b) Neither the execution, delivery or performance by EOPT of the Loan Documents to which it
is a party, nor compliance by EOPT with the terms and provisions thereof nor the consummation of
the transactions contemplated by the Loan Documents, (i) will materially contravene any applicable
provision of any law, statute, rule, regulation, order, writ, injunction or decree of any court or
governmental instrumentality, (ii) will materially conflict with or result in any breach of, any of
the terms, covenants, conditions or provisions of, or constitute a default under, or result in the
creation or imposition of (or the obligation to create or impose) any Lien upon any of the property
or assets of EOPT or any of its Consolidated Subsidiaries pursuant to the terms of any indenture,
mortgage, deed of trust, or other agreement
or other instrument to which EOPT (or of any partnership of which EOPT is a partner) or any of
its Consolidated Subsidiaries is a party or by which it or any of its property or assets is bound
or to which it is subject (except for such breaches and defaults under loan agreements which the
lenders thereunder have agreed to forbear pursuant to valid forbearance agreements), or (iii) will
cause a material default by EOPT under any organizational document of any Person in which EOPT has
an interest, the consequences of which conflict, breach or default would have a Material Adverse
Effect, or result in or require the creation or imposition of any Lien whatsoever upon any Property
(except as contemplated herein).




          SECTION 4.4. Financial Information.




          (a) The consolidated balance sheets of EOPT and the Borrower as of December 31, 2004,
and the related statements of operations and cash flows of EOPT and the Borrower for the fiscal
year then ended, reported on by Ernst & Young LLP, fairly present, in conformity with GAAP, the
consolidated financial position of EOPT and the Borrower, as the case may be, as of such date and
the consolidated results of operations and cash flows for such fiscal year.




          (b) Since June 30, 2005, (i) except as may have been disclosed in writing to the Banks,
nothing has occurred prior to the Closing Date having a Material Adverse Effect, and (ii) except as
set forth on Schedule 4.4(b), neither the Borrower nor EOPT has incurred any material indebtedness
or guaranty on or before the Closing Date.




39









 








          SECTION 4.5. Litigation. Except as previously disclosed by the Borrower in writing
to the Banks, there is no action, suit, proceeding or investigation pending against, or to the
knowledge of the Borrower threatened against or affecting, (i) the Borrower, EOPT or any of their
Consolidated Subsidiaries, (ii) the Loan Documents or any of the transactions contemplated by the
Loan Documents or (iii) any of their assets, before any court or arbitrator or any governmental
body, agency or official in which there is a reasonable possibility of an adverse decision which
could, individually, or in the aggregate have a Material Adverse Effect or which in any manner
draws into question the validity of this Agreement or the other Loan Documents. As of the Closing
Date, no such action, suit or proceeding exists.




          SECTION 4.6. Compliance with ERISA. Except for a “prohibited transaction”
arising solely because of a Bank’s breach of the covenant set forth in Section 9.17 hereof, the
transactions contemplated by the Loan Documents will not constitute a nonexempt prohibited
transaction (as such term is defined in Section 4975 of the Code or Section 406 of ERISA) that
could subject the Administrative Agent or any of the Banks to any tax or penalty on prohibited
transactions imposed under Section 4975 of the Code or Section 502(i) of ERISA and such
transactions will not otherwise result in the Administrative Agent or any of the Banks being deemed
in violation of Sections 404 or 406 of ERISA or Section 4975 of the Code or in the Administrative
Agent or any of the Banks being a fiduciary or party in interest under ERISA or a “disqualified
person” as defined in Section
4975(e)(2) of the Code with respect to an “employee benefit plan” within the meaning of
Section 3(3) of ERISA or a “plan” within the meaning of Section 4975(e)(1) of the Code. No assets
of Borrower constitute “assets” (within the meaning of ERISA or Section 4975 of the Code,
including, but not limited to, 29 C.F.R. § 2510.3-101 or any successor regulation thereto) of
an “employee benefit plan” within the meaning of Section 3(3) of ERISA or a “plan” within the
meaning of Section 4975(e)(1) of the Code. In addition to the prohibitions set forth in this
Agreement and the other Loan Documents, and not in limitation thereof, Borrower covenants and
agrees that Borrower shall not use any “assets” (within the meaning of ERISA or Section 4975 of the
Code, including but not limited to 29 C.F.R. § 2510.3-101) of an “employee benefit plan”
within the meaning of Section 3(3) of ERISA or a “plan” within the meaning of Section 4975(e)(1) of
the Code to repay or secure the Note, the Loan, or the Obligations.




          SECTION 4.7. Environmental. The Borrower conducts reviews of the effect of
Environmental Laws on the business, operations and properties of the Borrower and its Consolidated
Subsidiaries when necessary in the course of which it identifies and evaluates associated
liabilities and costs (including, without limitation, any capital or operating expenditures
required for clean-up or closure of properties presently owned, any capital or operating
expenditures required to achieve or maintain compliance with environmental protection standards
imposed by law or as a condition of any license, permit or contract, any related constraints on
operating activities, and any actual or potential liabilities to third parties, including, without
limitation, employees, and any related costs and expenses). On the basis of this review, the
Borrower has reasonably concluded that such associated liabilities and costs, including, without
limitation, the costs of compliance with Environmental Laws, are unlikely to have a Material
Adverse Effect.




40









 








          SECTION 4.8. Taxes. The Borrower, EOPT and their Consolidated Subsidiaries have
filed all United States Federal income tax returns and all other material tax returns which are
required to be filed by them and have paid all taxes due pursuant to such returns or pursuant to
any assessment received by the Borrower, EOPT or any Consolidated Subsidiary, except such taxes, if
any, as are reserved against in accordance with GAAP, such taxes as are being contested in good
faith by appropriate proceedings or such taxes, the failure to make payment of which when due and
payable will not have, in the aggregate, a Material Adverse Effect. The charges, accruals and
reserves on the books of the Borrower, EOPT and their Consolidated Subsidiaries in respect of taxes
or other governmental charges are, in the opinion of the Borrower, adequate.




          SECTION 4.9. Full Disclosure. All information heretofore furnished by the Borrower
to the Administrative Agent or any Bank for purposes of or in connection with this Agreement or any
transaction contemplated hereby or thereby is true and accurate in all material respects on the
date as of which such information is stated or certified. The Borrower has disclosed to the
Administrative Agent, in writing any and all facts which have or may have (to the extent the
Borrower can now reasonably foresee) a Material Adverse Effect.




          SECTION 4.10. Solvency. On the Closing Date and after giving effect to the
transactions contemplated by the Loan Documents occurring on the Closing Date, the Borrower and
EOPT will be Solvent.




          SECTION 4.11. Use of Proceeds. All proceeds of the Loans will be used by the
Borrower only in accordance with the provisions hereof. Neither the making of any Loan nor the use
of the proceeds thereof will violate or be inconsistent with the provisions of regulations T, U, or
X of the Federal Reserve Board.




          SECTION 4.12. Governmental Approvals. No order, consent, approval, license,
authorization, or validation of, or filing, recording or registration with, or exemption by, any
Governmental Authority, or any subdivision thereof, is required to authorize, or is required in
connection with the execution, delivery and performance of any Loan Document or the consummation of
any of the transactions contemplated thereby other than those that have already been duly made or
obtained and remain in full force and effect or those which, if not made or obtained, would not
have a Material Adverse Effect;




          SECTION 4.13. Investment Company Act; Public Utility Holding Company Act. Neither
the Borrower, EOPT nor any Consolidated Subsidiary is (x) an “investment company” or a company
“controlled” by an “investment company”, within the meaning of the Investment Company Act of 1940,
as amended, (y) a “holding company” or a “subsidiary company” of a “holding company” or an
“affiliate” of either a “holding company” or a “subsidiary company” within the meaning of the
Public Utility Holding Company Act of 1935, as amended, or (z) subject to any other federal or
state law or regulation which purports to restrict or regulate its ability to borrow money.




41









 








          SECTION 4.14. Principal Offices. As of the Closing Date, the principal office,
chief executive office and principal place of business of the Borrower is Two North Riverside
Plaza, Chicago, Illinois 60606.




          SECTION 4.15. REIT Status. EOPT is qualified and EOPT intends to continue to
qualify as a real estate investment trust under the Code.




          SECTION 4.16. Patents, Trademarks, etc. The Borrower has obtained and holds in full
force and effect all patents, trademarks, servicemarks, trade names, copyrights and other such
rights, free from burdensome restrictions, which are necessary for the operation of its business as
presently conducted, the impairment of which is likely to have a Material Adverse Effect.




          SECTION 4.17. Judgments. There are no final, non-appealable judgments or decrees in
an aggregate amount of Five Million Dollars
($5,000,000) or more entered by a court or courts of competent jurisdiction against EOPT or
the Borrower or, to the extent such judgment would be recourse to EOPT or Borrower, any of its
Consolidated Subsidiaries (other than judgments as to which, and only to the extent, a reputable
insurance company has acknowledged coverage of such claim in writing or which have been paid or
stayed).




          SECTION 4.18. No Default. No Event of Default or, to the best of the Borrower’s
knowledge, Default exists under or with respect to any Loan Document and neither the Borrower nor
EOPT is in default in any material respect beyond any applicable grace period under or with respect
to any other material agreement, instrument or undertaking to which it is a party or by which it or
any of its property is bound in any respect, the existence of which default is likely to result in
a Material Adverse Effect.




          SECTION 4.19. Licenses, etc. The Borrower has obtained and does hold in full force
and effect, all franchises, licenses, permits, certificates, authorizations, qualifications,
accreditation, easements, rights of way and other consents and approvals which are necessary for
the operation of its businesses as presently conducted, the absence of which is likely to have a
Material Adverse Effect.




          SECTION 4.20. Compliance With Law. To the Borrower’s knowledge, the Borrower
and each of its Real Property Assets are in compliance with all laws, rules, regulations, orders,
judgments, writs and decrees, including, without limitation, all building and zoning ordinances and
codes, the failure to comply with which is likely to have a Material Adverse Effect.




          SECTION 4.21. No Burdensome Restrictions. Except as may have been disclosed by the
Borrower in writing to the Banks, Borrower is not a party to any agreement or instrument or subject
to any other obligation or any charter or corporate or partnership restriction, as the case may be,
which, individually or in the aggregate, is likely to have a Material Adverse Effect.




42









 








          SECTION 4.22. Brokers’ Fees. The Borrower has not dealt with any broker or finder
with respect to the transactions contemplated by this Agreement or otherwise in connection with
this Agreement, and the Borrower has not done any act, had any negotiations or conversation, or
made any agreements or promises which will in any way create or give rise to any obligation or
liability for the payment by the Borrower of any brokerage fee, charge, commission or other
compensation to any party with respect to the transactions contemplated by the Loan Documents,
other than the fees payable to the Administrative Agent, the Lead Arrangers and the Banks, and
certain other Persons as previously disclosed in writing to the Administrative Agent.




          SECTION 4.23. Intentionally Omitted.




          SECTION 4.24. Intentionally Omitted.




          SECTION 4.25. Organizational Documents. The documents delivered pursuant to Section
3.1(e) constitute, as of the Closing Date, all of the organizational documents (together with all
amendments and modifications thereof) of the Borrower and EOPT. The Borrower represents that it
has delivered to the Administrative Agent true, correct and complete copies, as of the Closing
Date, of each such documents, except for exhibits to Borrower’s partnership agreement identifying
the current list of partners which, with the permission of the Banks, has been omitted therefrom.
EOPT holds (directly or indirectly) an 89.06% ownership interest in the Borrower as of the date
hereof.




          SECTION 4.26. Qualifying Unencumbered Properties. As of [June 30, 2005],
each Property listed on Schedule 1.1 as a Qualifying Unencumbered Property (i) is an operating
Office Building or Parking Property wholly-owned or ground leased (directly or beneficially) by
Borrower, a Financing Partnership or a Joint Venture Subsidiary, (ii) is not subject (nor are any
equity interests in such Property that are owned directly or indirectly by Borrower, EOPT or any
Joint Venture Parent subject) to a Lien which secures Indebtedness of any Person, other than
Permitted Liens, and (iii) is not subject (nor are any equity interests in such Property that are
owned directly or indirectly by Borrower, EOPT or Joint Venture Parent subject) to any Negative
Pledge. All of the information set forth on Schedule 1.1 is true and correct in all material
respects.




43









 






ARTICLE V




AFFIRMATIVE AND NEGATIVE COVENANTS




          The Borrower covenants and agrees that, so long as any Bank has any Commitment hereunder or
any Obligations remain unpaid:




          SECTION 5.1. Information. The Borrower will deliver to the Administrative Agent (who
will promptly deliver copies of the same to each of the Banks):




          (a) as soon as available and in any event within five (5) Business Days after the same is
filed with the Securities and Exchange Commission (but in no event later than 125 days after the
end of each Fiscal Year of the Borrower) a consolidated balance sheet of the Borrower, EOPT and
their Consolidated Subsidiaries as of the end of such Fiscal Year and the related consolidated
statements of Borrower’s and EOPT’s operations and consolidated statements of Borrower’s and EOPT’s
cash flow for such Fiscal Year, setting forth in each case in comparative form the figures for the
previous Fiscal Year (if available), all reported in a manner acceptable to the Securities and
Exchange Commission on Borrower’s and EOPT’s Form 10K
and reported on by Ernst & Young LLP or other independent public accountants of nationally
recognized standing;




          (b) as soon as available and in any event within five (5) Business Days after the same is
filed with the Securities and Exchange Commission (but in no event later than 80 days after the end
of each of the first three quarters of each Fiscal Year of the Borrower and EOPT), (i) a
consolidated balance sheet of the Borrower, EOPT and their Consolidated Subsidiaries as of the end
of such quarter and the related consolidated statements of Borrower’s and EOPT’s operations and
consolidated statements of Borrower’s and EOPT’s cash flow for such quarter and for the portion of
the Borrower’s or EOPT’s Fiscal Year ended at the end of such quarter, all reported in the form
provided to the Securities and Exchange Commission on Borrower’s and EOPT’s Form 10Q, and (ii) and
such other information reasonably requested by the Administrative Agent or any Bank;




          (c) simultaneously with the delivery of each set of financial statements referred to in
clauses (a) and (b) above, a certificate of the chief financial officer of the Borrower (i) setting
forth in reasonable detail the calculations required to establish whether the Borrower was in
compliance with the requirements of Section 5.8 on the date of such financial statements; (ii)
certifying (x) that such financial statements fairly present in all material respects the financial
condition and the results of operations of the Borrower on the dates and for the periods indicated,
on the basis of GAAP, with respect to the Borrower subject, in the case of interim financial
statements, to normally recurring year-end adjustments, and (y) that such officer has reviewed the
terms of the Loan Documents and has made, or caused to be made under his or her supervision, a
review in reasonable detail of the business and condition of the Borrower during the period
beginning on the date through which the last such review was made pursuant to this Section 5.1(c)
(or, in the case of the first certification pursuant to this




44









 







Section 5.1(c), the Closing Date) and
ending on a date not more than ten (10) Business Days prior to the date of such delivery and that
(1) on the basis of such financial statements and such review of the Loan Documents, no Event of
Default existed under Section 6.1(b) with respect to Sections 5.8 and 5.9 at or as of the date of
said financial statements, and (2) on the basis of such review of the Loan Documents and the
business and condition of the Borrower, to the best knowledge of such officer, as of the last day
of the period covered by such certificate no Default or Event of Default under any other provision
of Section 6.1 occurred and is continuing or, if any such Default or Event of Default has occurred
and is continuing, specifying the nature and extent thereof and, the action the Borrower proposes
to take in respect thereof. Such certificate shall set forth the calculations required to
establish the matters described in clauses (1) and (2) above;




          (d) (i) within five (5) Business Days after any officer of the Borrower obtains knowledge of
any Default, if such Default is then continuing, a certificate of the chief financial officer, or
other executive officer of the Borrower setting forth the details thereof and the action which the
Borrower is taking or proposes to take with respect thereto; and (ii) promptly and in any event
within five (5) Business Days after the Borrower obtains knowledge thereof, notice of (x) any
litigation or governmental proceeding pending or threatened against the Borrower or its directly or
indirectly Real Property Assets as to which there is a reasonable possibility of an
adverse determination and which, if adversely determined, is likely to individually or in the
aggregate, result in a Material Adverse Effect, and (y) any other event, act or condition which is
likely to result in a Material Adverse Effect;




          (e) promptly upon the mailing thereof to the shareholders of EOPT generally, copies of all
financial statements, reports and proxy statements so mailed;




          (f) promptly upon the filing thereof and to the extent the same are not publicly available
(provided that in all events, Borrower shall provide notice to the Administrative Agent of any such
filing), copies of all registration statements (other than the exhibits thereto and any
registration statements on Form S-8 or its equivalent) and reports on Forms 10-K, 10-Q and 8-K (or
their equivalents) (other than the exhibits thereto, which exhibits will be provided upon request
therefor by any Bank) which EOPT shall have filed with the Securities and Exchange Commission;




          (g) promptly and in any event within thirty (30) days, if and when any member of the
ERISA Group: (i) gives or is required to give notice to the PBGC of any “reportable event” (as
defined in Section 4043 of ERISA) with respect to any Plan which might constitute grounds for a
termination of such Plan under Title IV of ERISA, or knows that the plan administrator of any Plan
has given or is required to give notice of any such reportable event, a copy of the notice of such
reportable event given or required to be given to the PBGC; (ii) receives notice of complete or
partial withdrawal liability under Title IV of ERISA or notice that any Multiemployer Plan is in
reorganization, is insolvent or has been terminated, a copy of such notice; (iii) receives notice
from the PBGC under Title IV of ERISA of an intent to terminate, impose liability (other than for
premiums under Section 4007 of ERISA) in respect of, or appoint a trustee to administer any Plan, a
copy of such notice; (iv) applies for




45









 







a waiver of the minimum funding standard under Section 412 of
the Code, a copy of such application; (v) gives notice of intent to terminate any Plan under
Section 4041(c) of ERISA, a copy of such notice and other information filed with the PBGC; (vi)
gives notice of withdrawal from any Plan pursuant to Section 4063 of ERISA, a copy of such notice;
or (vii) fails to make any payment or contribution to any Plan or Multiemployer Plan or in respect
of any Benefit Arrangement or makes any amendment to any Plan or Benefit Arrangement which has
resulted or could result in the imposition of a Lien or the posting of a bond or other security,
and in the case of clauses (i) through (vii) above, which event could result in a Material Adverse
Effect, a certificate of the chief financial officer or the chief accounting officer of the
Borrower setting forth details as to such occurrence and action, if any, which the Borrower or
applicable member of the ERISA Group is required or proposes to take;




          (h) promptly and in any event within ten (10) days after the Borrower obtains actual knowledge
of any of the following events, a certificate of the Borrower, executed by an officer of the
Borrower, specifying the nature of such condition, and the Borrower’s or, if the Borrower has
actual knowledge thereof, the Environmental Affiliate’s proposed initial response thereto: (i) the
receipt by the Borrower, or any of the Environmental Affiliates of any communication (written or
oral), whether from a Governmental Authority, citizens group,
employee or otherwise, that alleges that the Borrower, or any of the Environmental Affiliates,
is not in compliance with applicable Environmental Laws, and such noncompliance is likely to have a
Material Adverse Effect; (ii) the existence of any Environmental Claim pending against the Borrower
or any Environmental Affiliate and such Environmental Claim is likely to have a Material Adverse
Effect; or (iii) any release, emission, discharge or disposal of any Material of Environmental
Concern that is likely to form the basis of any Environmental Claim against the Borrower or any
Environmental Affiliate which in any such event is likely to have a Material Adverse Effect;




          (i) promptly and in any event within five (5) Business Days after receipt of any notices or
correspondence from any company or agent for any company providing insurance coverage to the
Borrower relating to any loss which is likely to result in a Material Adverse Effect, copies of
such notices and correspondence;




          (j) promptly after Borrower has notified the Administrative Agent of any intention by Borrower
to treat the Loans as being a “reportable transaction” (within the meaning of Treasury Regulation
Section 1.6011-4), a duly completed copy of IRS Form 8886 or any successor form; and




          (k) from time to time such additional information regarding the financial position or
business of the Borrower, EOPT and their Subsidiaries as the Administrative Agent, at the request
of any Bank, may reasonably request in writing, so long as disclosure of such information could not
result in a violation of, or expose the Borrower, EOPT or their Subsidiaries to any material
liability under, any applicable law, ordinance or regulation or any agreements with unaffiliated
third parties that are binding on the Borrower, EOPT or any of their Subsidiaries or on any
Property of any of them.




46









 








          SECTION 5.2. Payment of Obligations. The Borrower, EOPT and their Consolidated
Subsidiaries will pay and discharge, at or before maturity, all their respective material
obligations and liabilities including, without limitation, any obligation pursuant to any agreement
by which it or any of its properties is bound, in each case where the failure to so pay or
discharge such obligations or liabilities is likely to result in a Material Adverse Effect, and
will maintain in accordance with GAAP, appropriate reserves for the accrual of any of the same.




          SECTION 5.3. Maintenance of Property; Insurance; Leases.




          (a) The Borrower will keep, and will cause each Consolidated Subsidiary to keep, all property
useful and necessary in its business, including without limitation its Real Property Assets (for so
long as it constitutes Real Property Assets), in good repair, working order and condition, ordinary
wear and tear excepted, in each case where the failure to so maintain and repair will have a
Material Adverse Effect.




          (b) The Borrower shall maintain, or cause to be maintained, insurance at 100% replacement cost
insurance coverage (subject to customary deductibles) in respect of each of its Real Property
Assets, as well as commercial general liability insurance (including, without limitation,
“builders’ risk” where applicable) against claims for personal, and bodily injury and/or death, to
one or more persons, or property damage, as well as workers’ compensation insurance, in each case
with respect to liability and casualty insurance with insurers having an A.M. Best policyholders’
rating of not less than A-VII in amounts that prudent owners of assets such as Borrower’s directly
or indirectly owned Real Property Assets would maintain; provided, however, that such coverages and
amounts are available to Borrower at commercially reasonable rates. The Borrower will deliver to
the Administrative Agent upon the reasonable request of the Administrative Agent from time to time
(i) full information as to the insurance carried, (ii) within five (5) days of receipt of notice
from any insurer a copy of any notice of cancellation or material change in coverage from that
existing on the date of this Agreement and (iii) forthwith, notice of any cancellation or
nonrenewal (without replacement) of coverage by the Borrower.




          SECTION 5.4. Maintenance of Existence. The Borrower and EOPT each will preserve,
renew and keep in full force and effect, its partnership and trust existence and its respective
rights, privileges and franchises necessary for the normal conduct of business unless the failure
to maintain such rights and franchises does not have a Material Adverse Effect.




          SECTION 5.5. Compliance with Laws. The Borrower and EOPT will, and will cause
their Subsidiaries to, comply in all material respects with all applicable laws, ordinances, rules,
regulations, and requirements of governmental authorities (including, without limitation,
Environmental Laws, and all zoning and building codes with respect to its Real Property Assets and
ERISA and the rules and regulations thereunder and all federal securities laws) except where the
necessity of compliance therewith is contested in good faith by appropriate proceedings or where
the failure to do




47









 







so will not have a Material Adverse Effect or expose Administrative Agent or
Banks to any material liability therefor.




          SECTION 5.6. Inspection of Property, Books and Records. The Borrower will keep
proper books of record and account in which full, true and correct entries shall be made of all
dealings and transactions in relation to its business and activities in conformity with GAAP,
modified as required by this Agreement and applicable law; and will permit representatives of any
Bank at such Bank’s expense to visit and inspect any of its properties, including without
limitation its Real Property Assets, and so long as disclosure of such information could not result
in a violation of, or expose the Borrower, EOPT or their Subsidiaries to any material liability
under, any applicable law, ordinance or regulation or any agreements with unaffiliated third
parties that are binding on the Borrower, EOPT or any of their Subsidiaries or on any Property of
any of them, to examine and make abstracts from any of its books and records and to discuss its
affairs, finances and accounts with its officers and independent public accountants, all at such
reasonable times during normal business hours, upon reasonable prior notice and as often as may
reasonably be
desired. Administrative Agent shall coordinate any such visit or inspection to arrange for
review by any Bank requesting any such visit or inspection.




          SECTION 5.7. Existence. The Borrower shall do or cause to be done, all things
necessary to preserve and keep in full force and effect its, EOPT’s and their Consolidated
Subsidiaries’ existence and its patents, trademarks, servicemarks, tradenames, copyrights,
franchises, licenses, permits, certificates, authorizations, qualifications, accreditation,
easements, rights of way and other rights, consents and approvals the nonexistence of which is
likely to have a Material Adverse Effect.




          SECTION 5.8. Financial Covenants.




          (a) Total Debt to Total Asset Value. The Borrower shall not permit the ratio of Total
Debt to Total Asset Value of Borrower to exceed 0.60:1 at any time; provided, however, that with
respect to any Fiscal Quarter in which Borrower acquired any Real Property Assets, the ratio of
Total Debt to Total Asset Value of Borrower for such Fiscal Quarter and for the next succeeding
Fiscal Quarter may exceed 0.60:1, provided that such ratio in no event shall exceed 0.65:1, and
provided, further, that thereafter such ratio shall not exceed 0.60:1.




          (b) Cash Flow to Fixed Charges Ratio. Borrower shall not permit the ratio of Cash
Flow for the then most recently completed Fiscal Quarter to Fixed Charges for the then most
recently completed Fiscal Quarter to be less than 1.5:1.




          (c) Secured Debt to Total Asset Value. Borrower shall not permit the ratio of Secured
Debt to Total Asset Value of Borrower to exceed 0.40:1 at any time.




          (d) Unencumbered Pool. Borrower shall not permit the ratio of the outstanding
Unsecured Debt to Unencumbered Asset Value to exceed 0.60:1 at any time; provided, however, that





48









 







with respect to any Fiscal Quarter in which Borrower acquired any Real Property Assets, the ratio
of Unsecured Debt to Unencumbered Asset Value of Borrower for such Fiscal Quarter and for the next
succeeding Fiscal Quarter may exceed 0.60:1, provided that such ratio in no event shall exceed
0.65:1, and provided, further, that thereafter such ratio shall not exceed 0.60:1.




          (e) Permitted Holdings. Borrower’s primary business will be the ownership, operation
and development of Office Properties and Parking Properties and any other business activities of
Borrower and its Subsidiaries will remain incidental thereto. Notwithstanding the foregoing,
Borrower and its Subsidiaries may acquire or maintain Permitted Holdings if and so long as the
aggregate value of Permitted Holdings, whether held directly or indirectly by Borrower does not
exceed, at any time, thirty percent (30%) of Total Asset Value of Borrower unless a greater
percentage is approved by the Majority Banks (which approval shall not be unreasonably withheld,
conditioned or delayed).




          (f) No Liens. Borrower and EOPT shall not, and shall not allow any of their
Subsidiaries, Financing Partnerships or Joint Venture Subsidiaries to, allow any Qualifying
Unencumbered Property (or any equity interests in such Property that are owned directly or
indirectly by Borrower, EOPT or any Joint Venture Parent), that is necessary to comply with the
provisions of Section 5.8(d) hereof, to become subject to a Lien that secures the Indebtedness of
any Person, other than Permitted Liens or Liens securing obligations under the Existing Revolving
Credit Agreement.




          (g) Calculation. Calculations of ratios and financial requirements shall be made as of
the last day of each Fiscal Quarter.




          SECTION 5.9. Restriction on Fundamental Changes.




          (a) Neither the Borrower nor EOPT shall enter into any merger or consolidation without
obtaining the prior written consent thereto in writing of the Majority Banks, which consent shall
not be unreasonably withheld, conditioned or delayed, unless (i) the Borrower or EOPT is the
surviving entity, (ii) the entity which is merged into Borrower or EOPT is predominantly in the
commercial real estate business, (iii) the creditworthiness of the surviving entity’s long term
unsecured debt or implied senior debt, as applicable, is not lower than Borrower’s or EOPT’s
creditworthiness two months immediately preceding such merger, and (iv) the then fair market value
of the assets of the entity which is merged into the Borrower or EOPT is less than twenty-five
percent (25%) of the Borrower’s or EOPT’s then Total Asset Value following such merger. Neither
the Borrower nor EOPT shall liquidate, wind-up or dissolve (or suffer any liquidation or
dissolution), discontinue its business or convey, lease, sell, transfer or otherwise dispose of, in
one transaction or series of transactions, all or substantially all of its business or property,
whether now or hereafter acquired. Nothing in this Section shall be deemed to prohibit the sale or
leasing of portions of the Real Property Assets in the ordinary course of business.




49









 








          (b) The Borrower shall not amend its agreement of limited partnership or other organizational
documents in any manner that would have a Material Adverse Effect without the Majority Banks’
consent, which shall not be unreasonably withheld, conditioned or delayed. Without limitation of
the foregoing, no Person shall be admitted as a general partner of the Borrower other than EOPT.
EOPT shall not amend its declaration of trust, by-laws, or other organizational documents in any
manner that would have a Material Adverse Effect without the Majority Banks’ consent, which shall
not be unreasonably withheld, conditioned or delayed. The Borrower shall not make any “in-kind”
transfer of any of its property or assets to any of its constituent partners if such transfer would
result in an Event of Default under Section 6.1(b) by reason of a breach of the provisions of
Section 5.8.




          (c) Subject to the provisions of clause (b) above, the Borrower shall deliver to
Administrative Agent copies of all amendments to its agreement of limited partnership or to
EOPT’s declaration of trust, by-laws, or other organizational documents no less than ten (10)
days after the effective date of any such amendment.




          SECTION 5.10. Changes in Business.




          (a) Except for Permitted Holdings, neither the Borrower nor EOPT shall enter into any business
which is substantially different from that conducted by the Borrower or EOPT on the Closing Date
after giving effect to the transactions contemplated by the Loan Documents. The Borrower shall
carry on its business operations through the Borrower, its Consolidated Subsidiaries and its
Investment Affiliates.




          (b) Except for Permitted Holdings, Borrower shall not engage in any line of business other
than ownership, operation and development of Office Properties and Parking Properties and the
provision of services incidental thereto, whether directly or through its Consolidated Subsidiaries
and Investment Affiliates.




          SECTION 5.11. EOPT Status.




          (a) Status. EOPT shall at all times (i) remain a publicly traded company listed for
trading on the New York Stock Exchange, and (ii) maintain its status as a self-directed and
self-administered real estate investment trust under the Code.




          (b) Indebtedness. EOPT shall not, directly or indirectly, create, incur, assume or
otherwise become or remain directly or indirectly liable with respect to, any Indebtedness, except:





          (1) the Obligations; and



50









 






          (2) Indebtedness of Borrower for which there is recourse to EOPT which, after
giving effect thereto, may be incurred or may remain outstanding without giving rise to an
Event of Default or Default under any provision of this Article V.



          (c) Restriction on Fundamental Changes.





          (1) EOPT shall not have an investment in any Person other than (i) Borrower or
indirectly through Borrower, (ii) directly or indirectly in Financing Partnerships, and
(iii) the interests identified on Schedule 5.11(c)(1) as being owned by EOPT.




          (2) EOPT shall not acquire an interest in any Property other than (i) securities issued
by Borrower, Financing Partnerships and Persons formed solely for the purpose of holding
EOPT’s indirect investments in Financing Partnerships, and (ii) the interests identified on
Schedule 5.11(c)(2) attached hereto.




          (3) EOP-QRS Business Trust shall not have any investments or own any assets other than
(i) the interests in the Financing Partnerships identified on Schedule 5.11(c)(3) as being
owned by EOP-QRS Business Trust.



          (d) Environmental Liabilities. Neither EOPT nor any of its Subsidiaries shall become
subject to any Environmental Claim which has a Material Adverse Effect, including, without
limitation, any arising out of or related to (i) the release or threatened release of any Material
of Environmental Concern into the environment, or any remedial action in response thereto, or (ii)
any violation of any Environmental Laws. Notwithstanding the foregoing provision, EOPT shall have
the right to contest in good faith any claim of violation of an Environmental Law by appropriate
legal proceedings and shall be entitled to postpone compliance with the obligation being contested
as long as (i) no Event of Default shall have occurred and be continuing, (ii) EOPT shall have
given Administrative Agent prior written notice of the commencement of such contest, (iii)
noncompliance with such Environmental Law shall not subject EOPT or such Subsidiary to any criminal
penalty or subject Administrative Agent or any Bank to pay any civil penalty or to prosecution for
a crime, and (iv) no portion of any Property material to Borrower or its condition or prospects
shall be in substantial danger of being sold, forfeited or lost, by reason of such contest or the
continued existence of the matter being contested.




          (e) Disposal of Partnership Interests. EOPT will not directly or indirectly convey,
sell, transfer, assign, pledge or otherwise encumber or dispose of any of its partnership interests
in Borrower or any of its equity interest in any of the partners of the Borrower as of the date
hereof (except in connection with the dissolution or liquidation of such partners of the Borrower),
except for the reduction of EOPT’s interest in the Borrower arising from Borrower’s issuance of
partnership interests in the Borrower or the retirement of preference units by Borrower. EOPT will
continue to be the sole general partner of Borrower.




51









 







          SECTION 5.12. Other Indebtedness. Borrower and EOPT shall not allow any of
their Subsidiaries, Financing Partnerships or Joint Venture Subsidiaries that own, directly or
indirectly, any Qualifying Unencumbered Property to directly or indirectly create, incur, assume or
otherwise become or remain liable with respect to any Indebtedness other than trade debt incurred
in the ordinary course of business, Indebtedness owing to Borrower and obligations under the
Existing Revolving Credit Facility, if the resulting failure of such Property to qualify as a
Qualifying Unencumbered Property would result in an Event of Default under Section 5.8.




          SECTION
5.13. Forward Equity Contracts. If Borrower shall enter into any forward
equity contracts, Borrower may only settle the same by delivery of stock, it being agreed that if
Borrower shall settle the same with cash, the same shall constitute an Event of Default hereunder.




ARTICLE VI




DEFAULTS




          SECTION 6.1. Events of Default. An “Event of Default” shall have occurred if one or
more of the following events shall have occurred and be continuing:




          (a) the Borrower shall fail to pay when due any principal of any Loan, or the Borrower shall
fail to pay when due interest on any Loan or any fees or any other amount payable to Administrative
Agent, Lead Arrangers or the Banks hereunder and the same shall continue for a period of five (5)
days after the same becomes due;




          (b) the Borrower (or in the case of Section 5.11, EOPT) shall fail to observe or perform any
covenant contained in Section 5.8, Section 5.9(a) or (b), Section 5.10, Section 5.11(a), (b), (c)
or (e), Section 5.12 or Section 5.13;




          (c) the Borrower shall fail to observe or perform any covenant or agreement contained in this
Agreement (other than those covered by clause (a), (b), (d), (e), (f), (g), (h), (j), (n) or (o) of
this Section 6.1) for 30 days after written notice thereof has been given to the Borrower by the
Administrative Agent, or if such default is of such a nature that it cannot with reasonable effort
be completely remedied within said period of thirty (30) days such additional period of time as may
be reasonably necessary to cure same, provided Borrower commences such cure within said thirty (30)
day period and diligently prosecutes same, until completion, but in no event shall such extended
period exceed ninety (90) days;




          (d) any representation, warranty, certification or statement made by the Borrower in
this Agreement or EOPT on the EOPT Guaranty or in any certificate, financial statement or other
document delivered pursuant to this Agreement shall prove to have been incorrect in any material




52









 







respect when made (or deemed made) and, with respect to such representations, warranties,
certifications or statements not known by the Borrower or EOPT, as applicable, at the time made or
deemed made to be incorrect, the defect causing such representation or warranty to be incorrect
when made (or deemed made) is not removed within thirty (30) days after written notice thereof from
Administrative Agent to Borrower or EOPT, as applicable;




          (e) the Borrower, EOPT, any Subsidiary or any Investment Affiliate shall default in the
payment when due (whether by scheduled maturity, required prepayment, acceleration, demand or
otherwise) of any amount owing in respect of any Recourse Debt (other than the Obligations) for
which the aggregate outstanding principal amount exceeds $50,000,000 and such default shall
continue beyond the giving of any required notice and the expiration of any applicable grace period
and such default has not been waived, in writing, by the holder of any such Debt; or the Borrower,
EOPT, any Subsidiary or any Investment Affiliate shall default in the performance or observance of
any obligation or condition with respect to any such Recourse
Debt or any other event shall occur or condition exist beyond the giving of any required
notice and the expiration of any applicable grace period, if the effect of such default, event or
condition is to accelerate the maturity of any such indebtedness or to permit (without any further
requirement of notice or lapse of time) the holder or holders thereof, or any trustee or agent for
such holders, to accelerate the maturity of any such indebtedness;




          (f) the Borrower or EOPT shall commence a voluntary case or other proceeding seeking
liquidation, reorganization or other relief with respect to itself or its debts under any
bankruptcy, insolvency or other similar law now or hereafter in effect or seeking the appointment
of a trustee, receiver, liquidate, custodian or other similar official of it or any substantial
part of its property, or shall consent to any such relief or to the appointment of or taking
possession by any such official in an involuntary case or other proceeding commenced against it, or
shall make a general assignment for the benefit of creditors, or shall fail generally to pay its
debts as they become due, or shall take any action to authorize any of the foregoing;




          (g) an involuntary case or other proceeding shall be commenced against the Borrower or EOPT
seeking liquidation, reorganization or other relief with respect to it or its debts under any
bankruptcy, insolvency or other similar law now or hereafter in effect or seeking the appointment
of a trustee, receiver, liquidator, custodian or other similar official of it or any substantial
part of its property, and such involuntary case or other proceeding shall remain undismissed and
unstayed for a period of 90 days; or an order for relief shall be entered against the Borrower or
EOPT under the federal bankruptcy laws as now or hereafter in effect;




          (h) one or more final, non-appealable judgments or decrees in an aggregate amount of Fifty
Million Dollars ($50,000,000) or more shall be entered by a court or courts of competent
jurisdiction against EOPT, the Borrower or, to the extent of any recourse to EOPT or the Borrower,
any of its Consolidated Subsidiaries (other than any judgment as to which, and only to the extent,
a reputable insurance company has acknowledged coverage of such claim in writing) and (i) any such




53









 







judgments or decrees shall not be stayed, discharged, paid, bonded or vacated within thirty (30)
days or (ii) enforcement proceedings shall be commenced by any creditor on any such judgments or
decrees;




          (i) the Board of Trustees of the EOPT shall cease to consist of a majority of
Continuing EOPT Trustees. “Continuing EOPT Trustees” shall mean the trustees of EOPT on
the Effective Date and each other trustee of EOPT if such trustee’s nomination for election to the
Board of Trustees of EOPT is recommended by a majority of the then Continuing EOPT Trustees or by a
majority of any nominating committee appointed by the then Continuing EOPT Trustees for the purpose
of nominating directors for election to the Board of Trustees of EOPT, unless such recommendation
is in connection with, or as a result of, the acquisition of a controlling interest in EOPT by a
third Person;




          (j) any Person (including affiliates of such Person) or “group” (as such term is defined in
applicable federal securities laws and regulations) shall acquire more than thirty percent (30%) of
the common shares of EOPT;




          (k) EOPT shall cease at any time to qualify as a real estate investment trust under the Code;




          (l) if any Termination Event with respect to a Plan, Multiemployer Plan or Benefit Arrangement
shall occur as a result of which Termination Event or Events any member of the ERISA Group has
incurred or may incur any liability to the PBGC or any other Person and the sum (determined as of
the date of occurrence of such Termination Event) of the insufficiency of such Plan, Multiemployer
Plan or Benefit Arrangement and the insufficiency of any and all other Plans, Multiemployer Plans
and Benefit Arrangements with respect to which such a Termination Event shall occur and be
continuing (or, in the case of a Multiple Employer Plan with respect to which a Termination Event
described in clause (ii) of the definition of Termination Event shall occur and be continuing and
in the case of a liability with respect to a Termination Event which is or could be a liability of
the Borrower or EOPT rather than a liability of the Plan, the liability of the Borrower or EOPT) is
equal to or greater than $20,000,000 and which the Administrative Agent reasonably determines will
have a Material Adverse Effect;




          (m) if, any member of the ERISA Group shall commit a failure described in Section 302(f)(1) of
ERISA or Section 412(n)(1) of the Code and the amount of the lien determined under Section
302(f)(3) of ERISA or Section 412(n)(3) of the Code that could reasonably be expected to be imposed
on any member of the ERISA Group or their assets in respect of such failure shall be equal to or
greater than $20,000,000 and which the Administrative Agent reasonably determines will have a
Material Adverse Effect;




          (n) at any time, for any reason the Borrower seeks to repudiate its obligations under any Loan
Document or EOPT seeks to repudiate its obligations under the EOPT Guaranty;




54









 









          (o) a default beyond any applicable notice or grace period under any of the other Loan
Documents;




          (p) any assets of Borrower shall constitute “assets” (within the meaning of ERISA or
Section 4975 of the Code, including but not limited to 29 C.F.R.
§ 2510.3-101 or any
successor regulation thereto) of an “employee benefit plan” within the meaning of Section 3(3) of
ERISA or a “plan” within the meaning of Section 4975(e)(1) of the Code; or




          (q) the Note, the Loan, the Obligations, the EOPT Guaranty or any of the Loan Documents or the
exercise of any of the Administrative Agent’s or any of the Bank’s rights in connection therewith
shall constitute a prohibited transaction under ERISA and/or the Code.




          SECTION 6.2. Rights and Remedies.




          (a) Upon the occurrence of any Event of Default described in Sections 6.1(f), (g), (p) or (q),
the Commitments shall immediately terminate and the unpaid principal amount of, and any and all
accrued interest on, the Loans and any and all accrued fees and other Obligations
hereunder shall automatically become immediately due and payable, with all additional interest
from time to time accrued thereon and without presentation, demand, or protest or other
requirements of any kind (including, without limitation, valuation and appraisement, diligence,
presentment, notice of intent to demand or accelerate and notice of acceleration), all of which are
hereby expressly waived by the Borrower; and upon the occurrence and during the continuance of any
other Event of Default, the Administrative Agent may (and upon the demand of the Majority Banks
shall), by written notice to the Borrower, in addition to the exercise of all of the rights and
remedies permitted the Administrative Agent and the Banks at law or equity or under any of the
other Loan Documents, declare that the Commitments are terminated and declare the unpaid principal
amount of and any and all accrued and unpaid interest on the Loans and any and all accrued fees and
other Obligations hereunder to be, and the same shall thereupon be, immediately due and payable
with all additional interest from time to time accrued thereon and (except as otherwise provided in
the Loan Documents) without presentation, demand, or protest or other requirements of any kind
(including, without limitation, valuation and appraisement, diligence, presentment, notice of
intent to demand or accelerate and notice of acceleration), all of which are hereby expressly
waived by the Borrower.




          (b) Notwithstanding anything to the contrary contained in this Agreement or in any other Loan
Document, the Administrative Agent, and the Banks each agree that any exercise or enforcement of
the rights and remedies granted to the Administrative Agent or the Banks under this Agreement or at
law or in equity with respect to this Agreement or any other Loan Documents shall be commenced and
maintained by the Administrative Agent on behalf of the Administrative Agent and/or the Banks. The
Administrative Agent shall act at the direction of the Majority Banks in connection with the
exercise of any and all remedies at law, in equity or under any of the Loan Documents or, if the





55










 





Majority Banks are unable to reach agreement, then, from and after an Event of Default, the
Administrative Agent may pursue such rights and remedies as it may determine.




          SECTION 6.3. Notice of Default. The Administrative Agent shall give notice
to the Borrower under Section 6.1(c) and 6.1(d) promptly upon being requested to do so by the
Majority Banks and shall thereupon notify all the Banks thereof. The Administrative Agent shall
not be deemed to have knowledge or notice of the occurrence of any Default or Event of Default
(other than nonpayment of principal of or interest on the Loans) unless Administrative Agent has
received notice in writing from a Bank or Borrower referring to this Agreement or the other Loan
Documents, describing such event or condition. Should Administrative Agent receive notice of the
occurrence of an Default or Event of Default expressly stating that such notice is a notice of an
Default or Event of Default, or should Administrative Agent send Borrower a notice of Default or
Event of Default, Administrative Agent shall promptly give notice thereof to each Bank.




          SECTION 6.4. Distribution of Proceeds after Default. Notwithstanding anything
contained herein to the contrary but subject to the provisions of Section 9.16 hereof, from and
after an Event of Default, to the extent proceeds are received by Administrative Agent, such
proceeds will be distributed to the Banks pro rata in accordance with the unpaid principal amount
of the Loans (giving effect to any participations granted therein pursuant to Section 2.3 and Section 9.4).




ARTICLE VII




THE AGENTS




          SECTION 7.1. Appointment and Authorization. Each Bank irrevocably appoints and
authorizes the Administrative Agent and the Syndication Agent to take such action as agent on its
behalf and to exercise such powers under this Agreement and the other Loan Documents as are
delegated to the Administrative Agent and the Syndication Agent by the terms hereof or thereof,
together with all such powers as are reasonably incidental thereto. Except as set forth in Sections
7.8 and 7.9 hereof, the provisions of this Article VII are solely for the benefit of Administrative
Agent, the Syndication Agent and the Banks, and Borrower shall not have any rights to rely on or
enforce any of the provisions hereof. In performing its functions and duties under this Agreement,
Administrative Agent and the Syndication Agent shall each act solely as an agent of the Banks and
do not assume and shall not be deemed to have assumed any obligation toward or relationship of
agency or trust with or for the Borrower.




          SECTION 7.2. Agency and Affiliates. Wachovia Bank, National Association shall have
the same rights and powers under this Agreement as any other Bank and may exercise or refrain from
exercising the same as though it were not the Administrative Agent, and Wachovia Bank, National
Association and its affiliates may accept deposits from, lend money to, and generally engage in any
kind




56









 







of business with the Borrower, EOPT or any Subsidiary or affiliate of the Borrower as if it
were not the Administrative Agent hereunder, and the term “Bank” and “Banks” shall include Wachovia
Bank, National Association in its individual capacity.




          SECTION 7.3. Action by Administrative Agent and Syndication Agent. The
obligations of the Administrative Agent and Syndication Agent hereunder are only those expressly
set forth herein. Without limiting the generality of the foregoing, the Administrative Agent and
Syndication Agent shall not be required to take any action with respect to any Default or Event of
Default, except as expressly provided in Article VI. The duties of Administrative Agent and
Syndication Agent shall be administrative in nature. Subject to the provisions of Sections 7.1,
7.5 and 7.6, Administrative Agent shall use the same care in the administration of the Loans in
the same manner as Administrative Agent uses in the administration of its own loans.




          SECTION 7.4. Consultation with Experts. As between Administrative Agent and
Syndication Agent on the one hand and the Banks on the other hand, the Administrative Agent and
Syndication Agent may
consult with legal counsel (who may be counsel for the Borrower), independent public
accountants and other experts selected by it and shall not be liable for any action taken or
omitted to be taken by it in good faith in accordance with the advice of such counsel, accountants
or experts.




          SECTION 7.5. Liability of Administrative Agent. As between Administrative Agent on
the one hand and the Banks on the other hand, none of the Administrative Agent nor any of its
affiliates nor any Agent-Related Person, shall be liable for any action taken or not taken by it in
connection herewith (i) with the consent or at the request of the Majority Banks or (ii) in the
absence of its own gross negligence or willful misconduct. As between Administrative Agent on the
one hand and the Banks on the other hand, none of the Administrative Agent nor any Agent-Related
Person, shall be responsible for or have any duty to ascertain, inquire into or verify: (i) any
statement, warranty or representation made in connection with this Agreement or any borrowing
hereunder; (ii) the performance or observance of any of the covenants or agreements of the
Borrower; (iii) the satisfaction of any condition specified in Article III, except receipt of items
required to be delivered to the Administrative Agent; or (iv) the validity, effectiveness or
genuineness of this Agreement, the other Loan Documents or any other instrument or writing
furnished in connection herewith. As between Administrative Agent and the Agent-Related Persons on
the one hand and the Banks on the other hand, neither the Administrative Agent nor the
Agent-Related Persons shall incur any liability by acting in reliance upon any notice, consent,
certificate, statement, or other writing (which may be a bank wire, telex or similar writing)
believed by it to be genuine or to be signed by the proper party or parties.




          SECTION 7.6. Indemnification. Each Bank shall, ratably in accordance with
its Commitment, indemnify the Administrative Agent and each Agent-Related Person and their
affiliates and its directors, officers, agents and employees (to the extent not reimbursed by the
Borrower) against any cost, expense (including, without limitation, counsel fees and
disbursements), claim, demand, action,





57









 







loss or liability (except such as result from such
indemnitee’s gross negligence or willful misconduct) that such indemnitee may suffer or incur in
connection with its duties as Administrative Agent under this Agreement, the other Loan Documents
or any action taken or omitted by such indemnitee hereunder. In the event that the Administrative
Agent or any Agent-Related Person shall, subsequent to its receipt of indemnification payment(s)
from Banks in accordance with this section, recoup any amount from the Borrower, or any other party
liable therefor in connection with such indemnification, the Administrative Agent or such
Agent-Related Person shall reimburse the Banks which previously made the payment(s) pro rata, based
upon the actual amounts which were theretofore paid by each Bank. The Administrative Agent or such
Agent-Related Person shall reimburse such Banks so entitled to reimbursement within two (2)
Business Days of its receipt of such funds from the Borrower or such other party liable therefor.




          SECTION 7.7. Credit Decision. Each Bank acknowledges that it has, independently
and without reliance upon the Administrative Agent, the Syndication Agent or any other Bank or
Agent-Related Person, and based on such
documents and information as it has deemed appropriate, made its own credit analysis and
decision to enter into this Agreement. Each Bank also acknowledges that it will, independently and
without reliance upon the Administrative Agent, the Syndication Agent or any other Bank or
Agent-Related Person, and based on such documents and information as it shall deem appropriate at
the time, continue to make its own credit decisions in taking or not taking any action under this
Agreement.




          SECTION 7.8. Successor Administrative Agent or Syndication Agent. The
Administrative Agent or the Syndication Agent may resign at any time by giving notice thereof to
the Banks, the Borrower and each other. In addition, the Administrative Agent shall resign in the
event its Commitment (without participations) is reduced to less than Thirty Million Dollars
($30,000,000), unless as a result of a cancellation or reduction in the aggregate Commitments.
Upon any such resignation, the Majority Banks shall have the right to appoint a successor
Administrative Agent or Syndication Agent, as applicable, which successor Administrative Agent or
successor Syndication Agent (as applicable) shall, provided no Event of Default has occurred and is
then continuing, be subject to Borrower’s approval, which approval shall not be unreasonably
withheld, conditioned or delayed. If no successor Administrative Agent or Syndication Agent (as
applicable) shall have been so appointed by the Majority Banks and approved by the Borrower, and
shall have accepted such appointment, within 30 days after the retiring Administrative Agent or
Syndication Agent (as applicable) gives notice of resignation, then the retiring Administrative
Agent, or retiring Syndication Agent (as applicable) may, on behalf of the Banks, appoint a
successor Administrative Agent or Syndication Agent (as applicable), which shall be the
Administrative Agent or the Syndication Agent as the case may be, who shall act until the Majority
Banks shall appoint an Administrative Agent or Syndication Agent. Any appointment of a successor
Administrative Agent or Syndication Agent by Majority Banks or the retiring Administrative Agent or
the Syndication Agent pursuant to the preceding sentence shall, provided no Event of Default has
occurred and is then continuing, be subject to the Borrower’s approval, which approval shall not be
unreasonably withheld, conditioned or delayed. Upon the





58









 







acceptance of its appointment as the
Administrative Agent or Syndication Agent hereunder by a successor Administrative Agent or
successor Syndication Agent, as applicable, such successor Administrative Agent, or successor
Syndication Agent, as applicable, shall thereupon succeed to and become vested with all the rights
and duties of the retiring Administrative Agent or retiring Syndication Agent, as applicable, and
the retiring Administrative Agent or the retiring Syndication Agent, as applicable, shall be
discharged from its duties and obligations hereunder. After any retiring Administrative Agent’s
or retiring Syndication Agent’s resignation hereunder, the provisions of this Article shall inure
to its benefit as to any actions taken or omitted to be taken by it while it was the Administrative
Agent or the Syndication Agent, as applicable. For gross negligence or willful misconduct, as
determined by all the Banks (excluding for such determination Administrative Agent in its capacity
as a Bank, as applicable), Administrative Agent or Syndication Agent may be removed at any time by
giving at least thirty (30) Business Days prior written notice to Administrative Agent, Syndication
Agent and Borrower. Such resignation or removal shall take effect upon the
acceptance of appointment by a successor Administrative Agent or Syndication Agent, as applicable, in
accordance with the provisions of this Section 7.8.




     SECTION 7.9. Consents and Approvals. All communications from Administrative Agent
to the Banks requesting the Banks’ determination, consent, approval or disapproval (i) shall be
given in the form of a written notice to each Bank, (ii) shall be accompanied by a description of
the matter or item as to which such determination, approval, consent or disapproval is requested,
or shall advise each Bank where such matter or item may be inspected, or shall otherwise describe
the matter or issue to be resolved, (iii) shall include, if reasonably requested by a Bank and to
the extent not previously provided to such Bank, written materials and a summary of all oral
information provided to Administrative Agent by Borrower in respect of the matter or issue to be
resolved, and (iv) shall include Administrative Agent’s recommended course of action or
determination in respect thereof. Each Bank shall reply promptly, but in any event within ten (10)
Business Days after receipt of the request therefor from Administrative Agent (the “Bank Reply
Period”). Unless a Bank shall give written notice to Administrative Agent that it objects to
the recommendation or determination of Administrative Agent (together with a written explanation of
the reasons behind such objection) within the Bank Reply Period, such Bank shall be deemed to have
approved of or consented to such recommendation or determination. With respect to decisions
requiring the approval of the Majority Banks or all the Banks, Administrative Agent shall submit
its recommendation or determination for approval of or consent to such recommendation or
determination to all Banks and upon receiving the required approval or consent shall follow the
course of action or determination of the Majority Banks or all the Banks (and each non-responding
Bank shall be deemed to have concurred with such recommended course of action), as the case may be.



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ARTICLE VIII




CHANGE IN CIRCUMSTANCES




          SECTION 8.1. Basis for Determining Interest Rate Inadequate or Unfair. If
on or prior to the first day of any Interest Period for any Euro-Dollar Borrowing the
Administrative Agent determines in good faith that deposits in dollars (in the applicable amounts)
are not being offered in the relevant market for such Interest Period, the Administrative Agent
shall forthwith give notice thereof to the Borrower and the Banks, whereupon until the
Administrative Agent notifies the Borrower that the circumstances giving rise to such suspension no
longer exist, the obligations of the Banks to make Euro-Dollar Loans shall be suspended. Unless
the Borrower notifies the Administrative Agent at least two Business Days before the date of any
Euro-Dollar Borrowing for which a Notice of Borrowing has previously been given that it elects not
to borrow on such date, such Borrowing shall instead be made as a Base Rate Borrowing.




          SECTION 8.2. Illegality. If, on or after the date of this Agreement, the adoption
of any applicable law, rule or regulation, or any change in any applicable law, rule or regulation,
or any change in the interpretation or administration thereof by any Governmental Authority,
central bank or comparable agency charged with the interpretation or administration thereof, or
compliance by any Bank (or its Euro-Dollar Lending Office) with any request or directive (whether
or not having the force of law) made after the Closing Date of any such authority, central bank or
comparable agency shall make it unlawful for any Bank (or its Euro-Dollar Lending Office) to make,
maintain or fund its Euro-Dollar Loans, the Administrative Agent shall forthwith give notice
thereof to the other Banks and the Borrower, whereupon until such Bank notifies the Borrower and
the Administrative Agent that the circumstances giving rise to such suspension no longer exist, the
obligation of such Bank in case of the event described above to make Euro-Dollar Loans, shall be
suspended. With respect to Euro-Dollar Loans, before giving any notice to the Administrative Agent
pursuant to this Section, such Bank shall designate a different Euro-Dollar Lending Office if such
designation will avoid the need for giving such notice and will not, in the judgment of such Bank,
be otherwise disadvantageous to such Bank. If such Bank shall determine that it may not lawfully
continue to maintain and fund any of its outstanding Euro-Dollar Loans to maturity and shall so
specify in such notice, the Borrower shall be deemed to have delivered a Notice of Interest Rate
Election and such Euro-Dollar Loan shall be converted as of such date to a Base Rate Loan (without
payment of any amounts that Borrower would otherwise be obligated to pay pursuant to Section 2.13
hereof with respect to Loans converted pursuant to this Section 8.2) in an equal principal amount
from such Bank (on which interest and principal shall be payable contemporaneously with the related
Euro-Dollar Loans of the other Banks), and such Bank shall make such a Base Rate Loan.




          If at any time, it shall be unlawful for any Bank to make, maintain or fund its Euro-Dollar
Loans, the Borrower shall have the right, upon five (5) Business Day’s notice to the Administrative
Agent, to either (x) cause a bank, reasonably acceptable to the Administrative Agent, to




60









 







offer to purchase the Commitments of such Bank for an amount equal to such Bank’s outstanding Loans, and to
become a Bank hereunder, or obtain the agreement of one or more existing Banks to offer to purchase
the Commitments of such Bank for such amount, which offer such Bank is hereby required to accept,
or (y) to repay in full all Loans then outstanding of such Bank, together with interest and all
other amounts due thereon, upon which event, such Bank’s Commitments shall be deemed to be canceled
pursuant to Section 2.11(e).




          SECTION 8.3. Increased Cost and Reduced Return.




          (a) If, on or after the date hereof in the case of Loans made pursuant to Section 2.1,
the adoption of any applicable law, rule or regulation, or any change in any applicable law, rule
or regulation, or any change in the interpretation or administration thereof by any Governmental
Authority, central bank or comparable agency charged with the interpretation or administration
thereof, or compliance by any Bank (or its Applicable Lending Office) with any request or directive
(whether or not having the force of law) made at the Closing Date of any
such authority, central bank or comparable agency shall impose, modify or deem applicable any
reserve (including, without limitation, any such requirement imposed by the Board of Governors of
the Federal Reserve System), special deposit, insurance assessment or similar requirement against
assets of, deposits with or for the account of, or credit extended by, any Bank (or its Applicable
Lending Office) or shall impose on any Bank (or its Applicable Lending Office) or on the interbank
market any other condition materially more burdensome in nature, extent or consequence than those
in existence as of the Loan Effective Date affecting such Bank’s Euro-Dollar Loans, its Note, or
its obligation to make Euro-Dollar Loans, and the result of any of the foregoing is to increase the
cost to such Bank (or its Applicable Lending Office) of making or maintaining any Euro-Dollar Loan,
or to reduce the amount of any sum received or receivable by such Bank (or its Applicable Lending
Office) under this Agreement or under its Note with respect to such Euro-Dollar Loans, by an amount
deemed by such Bank to be material, then, within 15 days after demand by such Bank (with a copy to
the Administrative Agent), the Borrower shall pay to such Bank such additional amount or amounts
(based upon a reasonable allocation thereof by such Bank to the Euro-Dollar Loans made by such Bank
hereunder) as will compensate such Bank for such increased cost or reduction to the extent such
Bank generally imposes such additional amounts on other borrowers of such Bank in similar
circumstances.




          (b) If any Bank shall have reasonably determined that, after the date hereof, the adoption of
any applicable law, rule or regulation regarding capital adequacy, or any change in any such law,
rule or regulation, or any change in the interpretation or administration thereof by any
Governmental Authority, central bank or comparable agency charged with the interpretation or
administration thereof, or any request or directive regarding capital adequacy (whether or not
having the force of law) made after the Closing Date of any such authority, central bank or
comparable agency, has or would have the effect of reducing the rate of return on capital of such
Bank (or its Parent) as a consequence of such Bank’s obligations hereunder to a level below that
which such Bank (or its Parent) could have achieved but for such adoption, change, request or
directive (taking into consideration its




61









 







policies with respect to capital adequacy) by an amount
reasonably deemed by such Bank to be material, then from time to time, within 15 days after demand
by such Bank (with a copy to the Administrative Agent), the Borrower shall pay to such Bank such
additional amount or amounts as will compensate such Bank (or its Parent) for such reduction to the
extent such Bank generally imposes such additional amounts on other borrowers of such Bank in
similar circumstances.




          (c) Each Bank will promptly notify the Borrower and the Administrative Agent of any
event of which it has knowledge, occurring after the date hereof, which will entitle such Bank to
compensation pursuant to this Section and will designate a different Applicable Lending Office if
such designation will avoid the need for, or reduce the amount of, such compensation and will not,
in the reasonable judgment of such Bank, be otherwise disadvantageous to such Bank. If such Bank
shall fail to notify Borrower of any such event within 90 days following the end of the month
during which such event occurred, then Borrower’s liability for any amounts described in this
Section incurred by such Bank as a result of such event shall be limited to those attributable to
the period occurring subsequent to the ninetieth (90th) day prior to the date upon which such Bank
actually notified Borrower of the
occurrence of such event. A certificate of any Bank claiming compensation under this Section
and setting forth a reasonably detailed calculation of the additional amount or amounts to be paid
to it hereunder shall be conclusive in the absence of demonstrable error. In determining such
amount, such Bank may use any reasonable averaging and attribution methods.




          (d) If at any time, any Bank shall be owed amounts pursuant to this Section 8.3, the Borrower
shall have the right, upon five (5) Business Day’s notice to the Administrative Agent to either (x)
cause a bank, reasonably acceptable to the Administrative Agent, to offer to purchase the
Commitments of such Bank for an amount equal to such Bank’s outstanding Loans, and to become a Bank
hereunder, or to obtain the agreement of one or more existing Banks to offer to purchase the
Commitments of such Bank for such amount, which offer such Bank is hereby required to accept, or
(y) to repay in full all Loans then outstanding of such Bank, together with interest and all other
amounts due thereon, upon which event, such Bank’s Commitment shall be deemed to be canceled
pursuant to Section 2.11(e).




          SECTION 8.4. Taxes.




          (a) Any and all payments by the Borrower to or for the account of any Bank or the
Administrative Agent hereunder or under any other Loan Document shall be made free and clear of and
without deduction for any and all present or future taxes, duties, levies, imposts, deductions,
charges or withholdings, and all liabilities with respect thereto, excluding, in the case of each
Bank and the Administrative Agent, taxes imposed on its income, and franchise taxes imposed on it,
by the jurisdiction under the laws of which such Bank or the Administrative Agent (as the case may
be) is organized or any political subdivision thereof and, in the case of each Bank, taxes imposed
on its income, and franchise or similar taxes imposed on it, by the jurisdiction of such Bank’s
Applicable Lending Office or any political subdivision thereof or by any other jurisdiction (or any
political




62









 





subdivision thereof) as a result of a present or former connection between such Bank or
Administrative Agent and such other jurisdiction or by the United States (all such non-excluded
taxes, duties, levies, imposts, deductions, charges, withholdings and liabilities being hereinafter
referred to as “Non-Excluded Taxes”). If the Borrower shall be required by law to deduct
any Non-Excluded Taxes from or in respect of any sum payable hereunder or under any Note, (i) the
sum payable shall be increased as necessary so that after making all required deductions
(including, without limitation, deductions applicable to additional sums payable under this Section
8.4) such Bank or the Administrative Agent (as the case may be) receives an amount equal to the sum
it would have received had no such deductions been made, (ii) the Borrower shall make such
deductions, (iii) the Borrower shall pay the full amount deducted to the relevant taxation
authority or other authority in accordance with applicable law and (iv) the Borrower shall furnish
to the Administrative Agent, at its address referred to in Section 9.1, the original or a certified
copy of a receipt evidencing payment thereof.




          (b) In addition, the Borrower agrees to pay any present or future stamp or documentary
taxes and any other excise or property taxes, or charges or similar levies which arise from any
payment made hereunder or under any Note or from the execution or delivery of, or otherwise with
respect to, this Agreement or any Note (hereinafter referred to as “Other Taxes”).




          (c) In the event that Non-Excluded Taxes not imposed on the Closing Date are imposed, or
Non-Excluded Taxes imposed on the Closing Date increase, the applicable Bank shall notify the
Administrative Agent and the Borrower of such event in writing within a reasonable period following
receipt of knowledge thereof. If such Bank shall fail to notify Borrower of any such event within
ninety (90) days following the end of the month during which such event occurred, then Borrower’s
liability for such additional Non-Excluded Taxes incurred by such Bank as a result of such event
(including payment of a make-whole amount under Section 8.4(a)(i)) shall be limited to those
attributable to the period occurring subsequent to the ninetieth (90th) day prior to, but
excluding, the date upon which such Bank actually notified Borrower of the occurrence of such
event.




          (d) The Borrower agrees to indemnify each Bank and the Administrative Agent for the full
amount of Non-Excluded Taxes or Other Taxes (including, without limitation, any Non-Excluded Taxes
or Other Taxes imposed or asserted by any jurisdiction on amounts payable under this Section 8.4)
paid by such Bank or the Administrative Agent (as the case may be) and, so long as such Bank or
Administrative Agent has promptly paid any such Non-Excluded Taxes or Other Taxes, any liability
for penalties and interest arising therefrom or with respect thereto. This indemnification shall
be made within 15 days from the date such Bank or the Administrative Agent (as the case may be)
makes demand therefor.




          (e) Each Bank organized under the laws of a jurisdiction outside the United States, on or
prior to the date of its execution and delivery of this Agreement in the case of each Bank listed
on the signature pages hereof and on or prior to the date on which it becomes a Bank in the case of
each other Bank, shall provide the Borrower with (A) two duly completed copies of Internal Revenue





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Service form 1001, or any successor form prescribed by the Internal Revenue Service, and (B) an
Internal Revenue Service Form W-8BEN or W-8ECI, as appropriate, or any successor form prescribed by
the Internal Revenue Service, and shall provide Borrower with two further copies of any such form
or certification on or before the date that any such form or certification expires or becomes
obsolete and after the occurrence of any event requiring a change in the most recent form
previously delivered by it to Borrower, certifying (i) in the case of a Form 1001, that such Bank
is entitled to benefits under an income tax treaty to which the United States is a party which
reduces the rate of withholding tax on payments of interest or certifying that the income
receivable pursuant to this Agreement is effectively connected with the conduct of a trade or
business in the United States, and (ii) in the case of being under Sections 1442(c)(1) and 1442(a)
of the Internal Revenue Code, that it is entitled to an exemption from United States backup
withholding tax. If the form provided by a Bank at the time such Bank first becomes a party to
this Agreement indicates a United States interest withholding tax rate in excess of zero,
withholding tax at such rate shall be considered excluded from “Non-Excluded Taxes” as defined in
Section 8.4(a).




          (f) For any period with respect to which a Bank has failed to provide the Borrower with
the appropriate form pursuant to Section 8.4(d) (unless such failure is due to a change in treaty,
law or regulation occurring subsequent to the date on which a form originally
was required to be provided), such Bank shall not be entitled to indemnification under Section
8.4(c) with respect to Non-Excluded Taxes imposed by the United States; provided,
however, that should a Bank, which is otherwise exempt from or subject to a reduced rate of
withholding tax, become subject to Non-Excluded Taxes because of its failure to deliver a form
required hereunder, the Borrower shall take such steps as such Bank shall reasonably request to
assist such Bank to recover such Taxes so long as Borrower shall incur no cost or liability as a
result thereof.




          (g) Upon reasonable demand by Borrower to the Administrative Agent or any Bank, the
Administrative Agent or Bank, as the case may be, shall deliver to the Borrower, or to such
government or taxing authority as the Borrower may reasonably direct, any form or document that may
be required or reasonably requested in writing in order to allow the Borrower to make a payment to
or for the account of such Bank or the Administrative Agent hereunder or under any other Loan
Document without any deduction or withholding for or on account of any Non-Excluded Taxes or with
such deduction or withholding at a reduced rate (so long as the completion, execution or submission
of such form or document would not materially prejudice the legal or commercial position of the
party in receipt of such demand), with any such form or document to be accurate and completed in a
manner reasonably satisfactory to the Borrower making such demand and to be executed and to be
delivered with any reasonably required certification.




          (h) If the Borrower is required to pay additional amounts to or for the account of any Bank
pursuant to this Section 8.4, then such Bank will change the jurisdiction of its Applicable Lending
Office so as to eliminate or reduce any such additional payment which may thereafter accrue if such
change, in the judgment of such Bank, is not otherwise disadvantageous to such Bank.




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          (i) If at any time, any Bank shall be owed amounts pursuant to this Section 8.4, the Borrower
shall have the right, upon five (5) Business Day’s notice to the Administrative Agent to either (x)
cause a bank, reasonably acceptable to the Administrative Agent, to offer to purchase the
Commitments of such Bank for an amount equal to such Bank’s outstanding Loans, and to become a Bank
hereunder, or to obtain the agreement of one or more existing Banks to offer to purchase the
Commitments of such Bank for such amount, which offer such Bank is hereby required to accept, or
(y) to repay in full all Loans then outstanding of such Bank, together with interest and all other
amounts due thereon, upon which event, such Bank’s Commitment shall be deemed to be canceled
pursuant to Section 2.11(c).




          SECTION 8.5. Base Rate Loans Substituted for Affected Euro-Dollar Loans.
If (i) the obligation of any Bank to make Euro-Dollar Loans has been suspended pursuant to Section
8.2 or (ii) any Bank has demanded compensation under Section 8.3 or 8.4 with respect to its
Euro-Dollar Loans and the Borrower shall, by at least five Business Days’ prior notice to such Bank
through the Administrative Agent, have elected that the provisions of this Section shall
apply to such Bank, then, unless and until such Bank notifies the Borrower that the
circumstances giving rise to such suspension or demand for compensation no longer exist:




          (a) Borrower shall be deemed to have delivered a Notice of Interest Rate Election with respect
to such affected Euro-Dollar Loans and thereafter all Loans which would otherwise be made by such
Bank as Euro-Dollar Loans shall be made instead as Base Rate Loans (on which interest and principal
shall be payable contemporaneously with the related Euro-Dollar Loans of the other Banks), and




          (b) after each of its Euro-Dollar Loans has been repaid, all payments of principal which would
otherwise be applied to repay such Euro-Dollar Loans shall be applied to repay its Base Rate Loans
instead, and




          (c) Borrower will not be required to make any payment which would otherwise be required by
Section 2.13 with respect to such Euro-Dollar Loans converted to Base Rate Loans pursuant to clause
(a) above.




ARTICLE IX




MISCELLANEOUS




          SECTION 9.1. Notices. All notices, requests and other communications to any party
hereunder shall be in writing (including bank wire, telex, facsimile transmission followed by
telephonic confirmation or similar writing) and shall be given to such party: (x) in the case of
the Borrower, the Syndication Agent or the Administrative Agent, at its address, telex number or
facsimile number set





65









 







forth on Exhibit C attached hereto with a duplicate copy thereof, in the case
of the Borrower, to the Borrower, at Equity Office Properties Trust, Two North Riverside Plaza,
Suite 2100, Chicago, Illinois 60606, Attn: Chief Legal Counsel, and to DLA Piper Rudnick Gray Cary
US LLP, 203 North LaSalle Street, Suite 1900, Chicago, Illinois 60601, Attn: James M. Phipps, Esq.,
(y) in the case of any Bank, at its address, telex number or facsimile number set forth in its
Administrative Questionnaire or (z) in the case of any party, such other address, telex number or
facsimile number as such party may hereafter specify for the purpose by notice to the
Administrative Agent and the Borrower. Each such notice, request or other communication shall be
effective (i) if given by telex or facsimile transmission, when such telex or facsimile is
transmitted to the telex number or facsimile number specified in this Section and the appropriate
answerback or facsimile confirmation is received, (ii) if given by certified registered mail,
return receipt requested, with first class postage prepaid, addressed as aforesaid, upon receipt or
refusal to accept delivery, (iii) if given by a nationally recognized overnight carrier, 24 hours
after such communication is deposited with such carrier with postage prepaid for next day delivery,
or (iv) if given by any other means, when delivered at the address specified in this Section;
provided that notices to the Administrative Agent under Article II or Article VIII shall not be
effective until received.




          SECTION 9.2. No Waivers. No failure or delay by the Administrative Agent or
any Bank in exercising any right, power or privilege hereunder or under any Note shall operate as a
waiver thereof nor shall any single or partial exercise thereof preclude any other or further
exercise thereof or the exercise of any other right, power or privilege. The rights and remedies
herein provided shall be cumulative and not exclusive of any rights or remedies provided by law.




          SECTION 9.3. Expenses; Indemnification.




          (a) The Borrower shall pay within thirty (30) days after written notice from the
Administrative Agent, (i) all reasonable out-of-pocket costs and expenses of the Administrative
Agent (including, without limitation, reasonable fees and disbursements of special counsel Skadden,
Arps, Slate, Meagher & Flom LLP), in connection with the preparation of this Agreement, the Loan
Documents and the documents and instruments referred to therein, and any waiver or consent
hereunder or any amendment hereof or any Default or alleged Default hereunder, (ii) all reasonable
fees and disbursements of special counsel in connection with the syndication of the Loans, and
(iii) if an Event of Default occurs, all reasonable out-of-pocket expenses incurred by the
Administrative Agent and each Bank, including, without limitation, fees and disbursements of
counsel for the Administrative Agent and each of the Banks, in connection with the enforcement of
the Loan Documents and the instruments referred to therein and such Event of Default and
collection, bankruptcy, insolvency and other enforcement proceedings resulting therefrom;
provided, however, that the attorneys’ fees and disbursements for which Borrower is
obligated under this subsection (a)(iii) shall be limited to the reasonable non-duplicative fees
and disbursements of (A) counsel for Administrative Agent, and (B) counsel for all of the Banks as
a group; and provided, further, that all other costs and expenses for which Borrower is obligated
under this subsection (a)(iii) shall be limited to the reasonable non-duplicative costs and
expenses of Administrative Agent. For purposes of this Section 9.3(a)(iii), (1)





66









 







counsel for
Administrative Agent shall mean a single outside law firm representing Administrative Agent, and
(2) counsel for all of the Banks as a group shall mean a single outside law firm representing such
Banks as a group (which law firm may or may not be the same law firm representing Administrative
Agent).




          (b) The Borrower agrees to indemnify the Administrative Agent and each Bank, their
respective affiliates and the respective directors, officers, agents and employees of the foregoing
(each an “Indemnitee”) and hold each Indemnitee harmless from and against any and all
liabilities, losses, damages, costs and expenses of any kind, including, without limitation, the
reasonable fees and disbursements of counsel, which may be incurred by such Indemnitee in
connection with any investigative, administrative or judicial proceeding that may at any time
(including, without limitation, at any time following the payment of the Obligations) be asserted
against any Indemnitee, as a result of, or arising out of, or in any way related to or by reason
of, (i) any of the transactions contemplated by the Loan Documents or the execution, delivery or
performance of any Loan Document, (ii) any violation by the Borrower or the Environmental
Affiliates of any applicable Environmental Law, (iii) any Environmental Claim arising out of
the management, use, control, ownership or operation of property or assets by the Borrower or any
of the Environmental Affiliates, including, without limitation, all on-site and off-site activities
of Borrower or any Environmental Affiliate involving Materials of Environmental Concern, (iv) the
breach of any environmental representation or warranty set forth herein, but excluding those
liabilities, losses, damages, costs and expenses (a) for which such Indemnitee has been compensated
pursuant to the terms of this Agreement, (b) incurred solely by reason of the gross negligence,
willful misconduct bad faith or fraud of any Indemnitee as finally determined by a court of
competent jurisdiction, (c) arising from violations of Environmental Laws relating to a Property
which are caused by the act or omission of such Indemnitee after such Indemnitee takes possession
of such Property or (d) owing by such Indemnitee to any third party based upon contractual
obligations of such Indemnitee owing to such third party which are not expressly set forth in the
Loan Documents. In addition, the indemnification set forth in this Section 9.3(b) in favor of any
director, officer, agent or employee of Administrative Agent or any Bank shall be solely in their
respective capacities as such director, officer, agent or employee. The Borrower’s obligations
under this Section shall survive the termination of this Agreement and the payment of the
Obligations. Without limitation of the other provisions of this Section 9.3, Borrower shall
indemnify and hold each of the Administrative Agent and the Banks free and harmless from and
against all loss, costs (including reasonable attorneys’ fees and expenses), expenses, taxes, and
damages (including consequential damages) that the Administrative Agent and the Banks may suffer or
incur by reason of the investigation, defense and settlement of claims and in obtaining any
prohibited transaction exemption under ERISA or the Code necessary in the Administrative Agent’s
reasonable judgment by reason of the inaccuracy of the representations and warranties, or a breach
of the provisions, set forth in Section 4.6(b).




          SECTION 9.4. Sharing of Set-Offs. In addition to any rights now or hereafter
granted under applicable law or otherwise, and not by way of limitation of any such rights, upon
the occurrence and during the continuance of any Event of Default, each Bank is hereby authorized
at any time or from






67









 







time to time, without presentment, demand, protest or other notice of any kind
to the Borrower or to any other Person, any such notice being hereby expressly waived, but subject
to the prior consent of the Administrative Agent to set off and to appropriate and apply any and
all deposits (general or special, time or demand, provisional or final) and any other indebtedness
at any time held or owing by such Bank (including, without limitation, by branches and agencies of
such Bank wherever located) to or for the credit or the account of the Borrower against and on
account of the Obligations of the Borrower then due and payable to such Bank under this Agreement
or under any of the other Loan Documents, including, without limitation, all interests in
Obligations purchased by such Bank. Each Bank agrees that if it shall by exercising any right of
set-off or counterclaim or otherwise, receive payment of a proportion of the aggregate amount of
principal and interest due with respect to any Note held by it, which is greater than the
proportion received by any other Bank, the Bank receiving such proportionately greater payment
shall purchase such participations in the Notes held by the other Banks, and such other adjustments
shall be made, as may be required so that all such payments of principal and interest with respect
to the Notes held by the Banks shall be shared by the Banks pro rata; provided that nothing in this
Section shall
impair the right of any Bank to exercise any right of set-off or counterclaim it may have to
any deposits not received in connection with the Loans and to apply the amount subject to such
exercise to the payment of indebtedness of the Borrower other than its indebtedness under the
Notes. The Borrower agrees, to the fullest extent it may effectively do so under applicable law,
that any holder of a participation in a Note, whether or not acquired pursuant to the foregoing
arrangements, may exercise rights of set-off or counterclaim and other rights with respect to such
participation as fully as if such holder of a participation were a direct creditor of the Borrower
in the amount of such participation. Notwithstanding anything to the contrary contained herein, any
Bank may, by separate agreement with the Borrower, waive its right to set off contained herein or
granted by law and any such written waiver shall be effective against such Bank under this Section
9.4.




          SECTION 9.5. Amendments and Waivers. Any provision of this Agreement or the Notes
or other Loan Documents may be amended or waived if, but only if, such amendment or waiver is in
writing and is signed by the Borrower and the Majority Banks (and, if the rights or duties of the
Administrative Agent in its capacity as Administrative Agent are affected thereby, by the
Administrative Agent); provided that (A) no amendment or waiver of the provisions of Article V
(including, without limitation, any of the definitions of the defined terms used in Section 5.8
hereof) shall be effective unless signed by the Borrower and the Majority Banks and (B) no such
amendment or waiver with respect to this Agreement, the Notes or any other Loan Documents shall,
unless signed by all the Banks, (i) increase or decrease the Commitment of any Bank (except for a
ratable decrease in the Commitments of all Banks) or subject any Bank to any additional obligation,
(ii) reduce the principal of or rate of interest on any Loan or any fees hereunder, (iii) postpone
the date fixed for any payment of principal of or interest on any Loan or any fees hereunder or for
any reduction or termination of any Commitment, (iv) change the percentage of the Commitments or of
the aggregate unpaid principal amount of the Notes, or the number of Banks, which shall be required
for the Banks or any of them to take any action under this Section or any other provision of this
Agreement, (v) release the EOPT Guaranty or (vi) modify the provisions of this Section 9.5.





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          SECTION 9.6. Successors and Assigns.




          (a) The provisions of this Agreement shall be binding upon and inure to the benefit of the
parties hereto and their respective successors and assigns, except that the Borrower may not assign
or otherwise transfer any of its rights under this Agreement or the other Loan Documents without
the prior written consent of all Banks and the Administrative Agent and a Bank may not assign or
otherwise transfer any of its interest under this Agreement except as permitted in subsections (b),
(c) and (e) of this Section 9.6.




          (b) Prior to the occurrence of an Event of Default, any Bank may at any time from and
after the date that is six (6) months after the Closing Date, with (and subject to) the consent of
Borrower (which consent shall not be unreasonably withheld, conditioned or delayed), grant to an
existing Bank, one or more banks, finance companies, insurance companies or other
financial institutions (a “Participant”) in minimum amounts of not less than
$5,000,000 (or any lesser amount in the case of participations to an existing Bank) participating
interests in its Commitment or any or all of its Loans. After the occurrence and during the
continuance of an Event of Default, any Bank may at any time grant to any Person in any amount
(also a “Participant”), participating interests in its Commitment or any or all of its
Loans. Any participation made during the continuation of an Event of Default shall not be
affected by the subsequent cure of such Event of Default. In the event of any such grant by a Bank
of a participating interest to a Participant, whether or not upon notice to the Borrower and the
Administrative Agent, such Bank shall remain responsible for the performance of its obligations
hereunder, and the Borrower and the Administrative Agent shall continue to deal solely and directly
with such Bank in connection with such Bank’s rights and obligations under this Agreement. Any
agreement pursuant to which any Bank may grant such a participating interest shall provide that
such Bank shall retain the sole right and responsibility to enforce the obligations of the Borrower
hereunder including, without limitation, the right to approve any amendment, modification or waiver
of any provision of this Agreement; provided that such participation agreement may provide that
such Bank will not agree to any modification, amendment or waiver of this Agreement described in
clause (i), (ii), (iii), (iv) or (v) of Section 9.5 without the consent of the Participant. The
Borrower agrees that each Participant shall, to the extent provided in its participation agreement,
be entitled to the benefits of Article VIII with respect to its participating interest.




          (c) Any Bank may at any time assign to a Qualified Institution (in each case, an
“Assignee”) (i) prior to the occurrence of an Event of Default and from and after the date
that is six (6) months after the Closing Date, in minimum amounts of not less than Five Million
Dollars ($5,000,000) and integral multiple of One Million Dollars ($1,000,000) thereafter (or any
lesser amount in the case of assignments to an existing Bank) and (ii) after the occurrence and
during the continuance of an Event of Default, in any amount, all or a proportionate part of all,
of its rights and obligations under this Agreement, the Notes and the other Loan Documents, and, in
either case, such Assignee shall assume such rights and obligations, pursuant to a Transfer
Supplement in substantially the form of Exhibit B hereto executed by such Assignee and such
transferor Bank; provided, that if no Event of Default shall




69









 







have occurred and be continuing, such
assignment shall be subject to the Administrative Agent’s and the Borrower’s consent, which consent
shall not be unreasonably withheld, conditioned or delayed; and provided further that if an
Assignee is an affiliate of such transferor Bank and is an Affiliate Qualified Institution, or was
a Bank immediately prior to such assignment, no such consent shall be required. Upon execution and
delivery of such instrument and payment by such Assignee to such transferor Bank of an amount equal
to the purchase price agreed between such transferor Bank and such Assignee, such Assignee shall be
a Bank party to this Agreement and shall have all the rights and obligations of a Bank with a
Commitment as set forth in such instrument of assumption, and no further consent or action by any
party shall be required and the transferor Bank shall be released from its obligations hereunder to
a corresponding extent. Upon the consummation of any assignment pursuant to this subsection (c),
the transferor Bank, the Administrative Agent and the Borrower shall make appropriate arrangements
so that, if required, a new Note is issued to the Assignee. In connection with any such
assignment, the transferor Bank shall pay to the Administrative Agent
an administrative fee for processing such assignment in the amount of $2,500. If the Assignee
is not incorporated under the laws of the United States of America or a state thereof, it shall
deliver to the Borrower and the Administrative Agent certification as to exemption from deduction
or withholding of any United States federal income taxes in accordance with Section 8.4. Any
assignment made during the continuation of an Event of Default shall not be affected by any
subsequent cure of such Event of Default.




          (d) Intentionally Omitted.




          (e) Any Bank may at any time assign all or any portion of its rights under this Agreement and
its Note to a Federal Reserve Bank. No such assignment shall release the transferor Bank from its
obligations hereunder.




          (f) No Assignee, Participant or other transferee of any Bank’s rights shall be entitled to
receive any greater payment under Section 8.3 or 8.4 than such Bank would have been entitled to
receive with respect to the rights transferred, unless such transfer is made with the Borrower’s
prior written consent or by reason of the provisions of Section 8.2, 8.3 or 8.4 requiring such Bank
to designate a different Applicable Lending Office under certain circumstances or at a time when
the circumstances giving rise to such greater payment did not exist.




          (g) No Assignee of any rights and obligations under this Agreement shall be permitted to
further assign less than all of such rights and obligations. No participant in any rights and
obligations under this Agreement shall be permitted to sell subparticipations of such rights and
obligations.




          (h) Anything in this Agreement to the contrary notwithstanding, so long as no Event of Default
shall have occurred and be continuing, no Bank shall be permitted to enter into an assignment of,
or sell a participation interest in, its rights and obligations hereunder which would result in
such Bank holding a Commitment without participants of less than Five Million Dollars ($5,000,000)
(or in the




70









 







case of the Administrative Agent, Thirty Million Dollars ($30,000,000)) unless as a
result of a cancellation or reduction of the aggregate Commitments; provided,
however, that no Bank shall be prohibited from assigning its entire Commitment so long as
such assignment is otherwise permitted under this Section 9.6.




          SECTION 9.7. Collateral. Each of the Banks represents to the Administrative Agent
and each of the other Banks that it in good faith is not relying upon any “margin stock” (as
defined in Regulation U) as collateral in the extension or maintenance of the credit provided for
in this Agreement.




          SECTION 9.8. Governing Law; Submission to Jurisdiction.




          (a) THIS AGREEMENT AND THE OTHER LOAN DOCUMENTS AND THE RIGHTS AND OBLIGATIONS OF THE PARTIES
HEREUNDER AND THEREUNDER SHALL BE CONSTRUED IN ACCORDANCE WITH AND BE GOVERNED BY THE LAWS OF THE
STATE OF NEW YORK (WITHOUT GIVING EFFECT TO THE PRINCIPLES THEREOF RELATING TO CONFLICTS OF LAW
OTHER THAN SECTION 1401 OF THE NEW YORK GENERAL OBLIGATIONS LAW).




          (b) Any legal action or proceeding with respect to this Agreement or any other Loan
Document and any action for enforcement of any judgment in respect thereof may be brought in the
courts of the State of New York or of the United States of America for the Southern District of New
York, and, by execution and delivery of this Agreement, the Borrower hereby accepts for itself and
in respect of its property, generally and unconditionally, the non-exclusive jurisdiction of the
aforesaid courts and appellate courts from any thereof. The Borrower irrevocably consents to the
service of process out of any of the aforementioned courts in any such action or proceeding by the
hand delivery, or mailing of copies thereof by registered or certified mail, postage prepaid, to
the Borrower at its address set forth below. The Borrower hereby irrevocably waives any objection
which it may now or hereafter have to the laying of venue of any of the aforesaid actions or
proceedings arising out of or in connection with this Agreement or any other Loan Document brought
in the courts referred to above and hereby further irrevocably waives and agrees not to plead or
claim in any such court that any such action or proceeding brought in any such court has been
brought in an inconvenient forum. Nothing herein shall affect the right of the Administrative
Agent to serve process in any other manner permitted by law or to commence legal proceedings or
otherwise proceed against the Borrower in any other jurisdiction.




          SECTION 9.9. Counterparts; Integration;. Effectiveness. This Agreement may be
signed in any number of counterparts, each of which shall be an original, with the same effect as
if the signatures thereto and hereto were upon the same instrument. This Agreement constitutes the
entire agreement and understanding among the parties hereto and supersedes any and all prior
agreements and understandings, oral or written, relating to the subject matter hereof. This
Agreement shall become effective upon receipt by the Administrative Agent and the Borrower of
counterparts hereof signed by




71









 







each of the parties hereto (or, in the case of any party as to which
an executed counterpart shall not have been received, receipt by the Administrative Agent in form
satisfactory to it of telegraphic, telex or other written confirmation from such party of execution
of a counterpart hereof by such party).




          SECTION 9.10. WAIVER OF JURY TRIAL. EACH OF THE BORROWER, THE ADMINISTRATIVE AGENT,
THE SYNDICATION AGENT AND THE BANKS HEREBY IRREVOCABLY WAIVE ANY AND ALL RIGHT TO TRIAL BY JURY IN
ANY LEGAL PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT OR THE TRANSACTIONS CONTEMPLATED
HEREBY.




          SECTION 9.11. Survival. All indemnities set forth herein shall survive the
execution and delivery of this Agreement and the other Loan Documents and the making and repayment
of the Loans hereunder.




          SECTION 9.12. Domicile of Loans. Each Bank may transfer and carry its Loans at, to
or for the account of any domestic or foreign branch office, subsidiary or affiliate of such Bank.




          SECTION 9.13. Limitation of Liability. No claim may be made by the Borrower
or any other Person acting by or through Borrower against the Administrative Agent, the
Syndication Agent or any Bank or the affiliates, directors, officers, employees, attorneys or agent
of any of them for any punitive damages in respect of any claim for breach of contract or any other
theory of liability arising out of or related to the transactions contemplated by this Agreement or
by the other Loan Documents, or any act, omission or event occurring in connection therewith; and
the Borrower hereby waives, releases and agrees not to sue upon any claim for any such damages,
whether or not accrued and whether or not known or suspected to exist in its favor.




          SECTION 9.14. Recourse Obligation. This Agreement and the Obligations hereunder are
fully recourse to the Borrower. Notwithstanding the foregoing, no recourse under or upon any
obligation, covenant, or agreement contained in this Agreement shall be had against (i) any
officer, director, shareholder or employee of the Borrower or EOPT, or (ii) any general partner of
Borrower other than EOPT, in each case except in the event of fraud or misappropriation of funds on
the part of such officer, director, shareholder or employee or such general partner.




          SECTION 9.15. Confidentiality. The Administrative Agent and each Bank shall
use reasonable efforts to assure that information about Borrower, EOPT and its Subsidiaries and
Investment Affiliates, and the Properties thereof and their operations, affairs and financial
condition, not generally disclosed to the public, which is furnished to Administrative Agent or any
Bank pursuant to the provisions hereof or any other Loan Document is used only for the purposes of
this Agreement and shall not be divulged to any Person other than the Administrative Agent, the
Banks, and their affiliates and respective officers, directors, employees and agents who are
actively and directly participating in the evaluation, administration or enforcement of the Loan
and other transactions between such Bank




72









 







and the Borrower, except: (a) to their attorneys and
accountants, (b) in connection with the enforcement of the rights and exercise of any remedies of
the Administrative Agent and the Banks hereunder and under the other Loan Documents, (c) in
connection with assignments and participations and the solicitation of prospective assignees and
participants referred to in Section 9.6 hereof, who have agreed in writing to be bound by a
confidentiality agreement substantially equivalent to the terms of this Section 9.15, and (d) as
may otherwise be required or requested by any regulatory authority having jurisdiction over the
Administrative Agent or any Bank or by any applicable law, rule, regulation or judicial process.
Notwithstanding anything herein to the contrary, “information” shall not include, and the
Administrative Agent and each Bank may
disclose without limitation of any kind, any information with respect to the “tax treatment”
and “tax structure” (in each case within the meaning of Treasury Regulation Section 1.6011-4) of
the transactions contemplated hereby and all materials of any kind (including opinions and tax
analyses) that are provided to the Administrative Agent or such Bank relating to such tax treatment
and tax structure; provided that with respect to any document or similar item that in either case
contains information concerning the tax treatment or tax structure of the transaction as well as
other information, this sentence shall only apply to such portion of the documents or similar item
that relate to the tax treatment or tax structure of the Loans and transactions contemplated
hereby. The Administrative Agent and/or the Bank making any such disclosure shall endeavor to
notify Borrower prior to making any such disclosure of the fact that such disclosure is being made
and the nature of the disclosure. In addition, the Administrative Agent and/or such Bank shall
provide Borrower with a copy of the disclosure promptly after the same is made.




          SECTION 9.16. Bank’s Failure to Fund.




          (a) If a Bank does not advance to Administrative Agent such Bank’s Pro Rata Share of a Loan in
accordance herewith, then neither Administrative Agent nor the other Banks shall be required or
obligated to fund such Bank’s Pro Rata Share of such Loan.




          (b) As used herein, the following terms shall have the meanings set forth below:




               (i) “Defaulting Bank” shall mean any Bank which (x) does not advance to the Administrative
Agent such Bank’s Pro Rata Share of a Loan in accordance herewith for a period of five (5) Business
Days after notice of such failure from Administrative Agent, (y) shall otherwise fail to perform
such Bank’s obligations under the Loan Documents (including, without limitation, the obligation to
purchase participations pursuant to Section 2.3) for a period of five (5) Business Days after
notice of such failure from Administrative Agent, or (z) shall fail to pay the Administrative Agent
or any other Bank, as the case may be, upon demand, such Bank’s Pro Rata Share of any costs,
expenses or disbursements incurred or made by the Administrative Agent pursuant to the terms of the
Loan Documents for a period of five (5) Business Days after notice of such failure from
Administrative Agent, and in all cases, such failure is not as a result of a good faith dispute as
to whether such advance is properly required to be made pursuant to the provisions of this
Agreement, or as to whether such other performance or payment is properly required pursuant to the
provisions of this Agreement.



73









 





               (ii) “Junior Creditor” means any Defaulting Bank which has not (x) fully cured each and every
monetary default on its part under the Loan Documents and (y) unconditionally tendered to the
Administrative Agent such Defaulting Bank’s Pro Rata Share of all costs, expenses and disbursements
required to be paid or reimbursed pursuant to the terms of the Loan Documents.



               (iii) “Payment in Full” means, as of any date, the receipt by the Banks who are not Junior
Creditors of an amount of cash, in lawful currency of the United States, sufficient to indefeasibly
pay in full all Senior Debt.



               (iv) “Senior Debt” means (x) collectively, any and all indebtedness, obligations and
liabilities of the Borrower to the Banks who are not Junior Creditors from time to time, whether
fixed or contingent, direct or indirect, joint or several, due or not due, liquidated or
unliquidated, determined or undetermined, arising by contract, operation of law or otherwise,
whether on open account or evidenced by one or more instruments, and whether for principal,
premium, interest (including, without limitation, interest accruing after the filing of a petition
initiating any proceeding referred to in Section 6.1(f) or (g)), reimbursement for fees,
indemnities, costs, expenses or otherwise, which arise under, in connection with or in respect of
the Loans or the Loan Documents, and (y) any and all deferrals, renewals, extensions and refundings
of, or amendments, restatements, rearrangements, modifications or supplements to, any such
indebtedness, obligation or liability.



               (v) “Subordinated Debt” means (x) any and all indebtedness, obligations and liabilities of
Borrower to one or more Junior Creditors from time to time, whether fixed or contingent, direct or
indirect, joint or several, due or not due, liquidated or unliquidated, determined or undetermined,
arising by contract, operation of law or otherwise, whether on open account or evidenced by one or
more instruments, and whether for principal, premium, interest (including, without limitation,
interest accruing after the filing of a petition initiating any proceeding referred to in Section
6.1(f) or (g)), reimbursement for fees, indemnities, costs, expenses or otherwise, which arise
under, in connection with or in respect of the Loans or the Loan Documents, and (y) any and all
deferrals, renewals, extensions and refundings of, or amendments, restatements, rearrangements,
modifications or supplements to, any such indebtedness, obligation or liability.



          (c) Immediately upon a Bank’s becoming a Junior Creditor and until such time as such Bank
shall have cured all applicable defaults, no Junior Creditor shall, prior to Payment in Full of all
Senior Debt:




               (i) accelerate, demand payment of, sue upon, collect, or receive any payment upon, in any
manner, or satisfy or otherwise discharge, any Subordinated Debt, whether for principal, interest
and otherwise;



               (ii) take or enforce any Liens to secure Subordinated Debt or attach or levy upon any assets
of Borrower, to enforce any Subordinated Debt;



74









 





               (iii) enforce or apply any security for any Subordinated Debt; or



               (iv) incur any debt or liability, or the like, to, or receive any loan, return of capital,
advance, gift or any other property, from, the Borrower.



          (d) In the event of:




               (i) any insolvency, bankruptcy, receivership, liquidation, dissolution, reorganization,
readjustment, composition or other similar proceeding relating to Borrower;



               (ii) any liquidation, dissolution or other winding-up of the Borrower, voluntary or
involuntary, whether or not involving insolvency, reorganization or bankruptcy proceedings;



               (iii) any assignment by the Borrower for the benefit of creditors;




               (iv) any sale or other transfer of all or substantially all assets of the Borrower; or



               (v) any other marshaling of the assets of the Borrower;


each of the Banks shall first have received Payment in Full of all Senior Debt before any payment
or distribution, whether in cash, securities or other property, shall be made in respect of or upon
any Subordinated Debt. Any payment or distribution, whether in cash, securities or other property
that would otherwise be payable or deliverable in respect of Subordinated Debt to any Junior
Creditor but for this Agreement shall be paid or delivered directly to the Administrative Agent for
distribution to the Banks in accordance with this Agreement until Payment in Full of all Senior
Debt. If any Junior Creditor receives any such payment or distribution, it shall promptly pay over
or deliver the same to the Administrative Agent for application in accordance with the preceding
sentence.




          (e) Each Junior Creditor shall file in any bankruptcy or other proceeding of Borrower in which
the filing of claims is required by law, all claims relating to Subordinated Debt that such Junior
Creditor may have against Borrower and assign to the Banks who are not Junior Creditors all rights
of such Junior Creditor thereunder. If such Junior Creditor does not file any such claim prior to
forty-five (45) days before the expiration of the time to file such claim, Administrative Agent, as
attorney-in-fact for such Junior Creditor, is hereby irrevocably authorized to do so in the name of
such Junior Creditor or, in Administrative Agent’s sole discretion, to assign the claim to a
nominee and to cause proof of claim to be filed in the name of such nominee. The foregoing power
of attorney is coupled with an interest and cannot be revoked. The Administrative Agent shall, to
the exclusion of each Junior Creditor, have the sole right, subject to Section 9.5 hereof, to
accept or reject any plan proposed in any such proceeding and to take any other action that a party
filing a claim is entitled to take. In all such cases, whether in administration, bankruptcy or
otherwise, the Person or Persons






75









 







authorized to pay such claim shall pay to Administrative Agent the
amount payable on such claim and, to the full extent necessary for that purpose, each Junior
Creditor hereby transfers and assigns to the Administrative Agent all of the Junior Creditor’s
rights to any such payments or distributions to which Junior Creditor would otherwise be entitled.




          (f) (i) If any payment or distribution of any character or any security, whether in cash,
securities or other property, shall be received by any Junior Creditor in contravention of any of
the terms hereof, such payment or distribution or security shall be received in trust for the
benefit of, and shall promptly be paid over or delivered and transferred to, Administrative Agent
for application to the payment of all Senior Debt, to the extent necessary to achieve Payment in
Full. In the event of the failure of any Junior Creditor to endorse or assign any such payment,
distribution or security, Administrative Agent is hereby irrevocably authorized to endorse or
assign the same as attorney-in-fact for such Junior Creditor.




               (ii) Each Junior Creditor shall take such action (including, without limitation, the
execution and filing of a financing statement with respect to this Agreement and the execution,
verification, delivery and filing of proofs of claim, consents, assignments or other instructions
that Administrative Agent may require from time to time in order to prove or realize upon any
rights or claims pertaining to Subordinated Debt or to effectuate the full benefit of the
subordination contained herein) as may, in Administrative Agent’s sole and absolute discretion, be
necessary or desirable to assure the effectiveness of the subordination effected by this Agreement.



          (g) (i) Each Bank that becomes a Junior Creditor understands and acknowledges by its execution
hereof that each other Bank is entering into this Agreement and the Loan Documents in reliance upon
the absolute subordination in right of payment and in time of payment of Subordinated Debt to
Senior Debt as set forth herein.




               (ii) Only upon the Payment in Full of all Senior Debt shall any Junior Creditor be subrogated
to any remaining rights of the Banks which are not Defaulting Banks to receive payments or
distributions of assets of the Borrower made on or applicable to any Senior Debt.



               (iii) Each Junior Creditor agrees that it will deliver all instruments or other writings
evidencing any Subordinated Debt held by it to Administrative Agent, promptly after request
therefor by the Administrative Agent.



               (iv) No Junior Creditor may at any time sell, assign or otherwise transfer any Subordinated
Debt, or any portion thereof, including, without limitation, the granting of any Lien thereon,
unless and until satisfaction of the requirements of Section 9.6 above and the proposed transferee
shall have assumed in writing the obligation of the Junior Creditor to the Banks under this
Agreement, in a form acceptable to the Administrative Agent.



76









 





               (v) If any of the Senior Debt, should be invalidated, avoided or set aside, the subordination
provided for herein nevertheless shall continue in full force and effect and, as between the Banks
which are not Defaulting Banks and all Junior Creditors, shall be and be deemed to remain in full
force and effect.



               (vi) Each Junior Creditor hereby irrevocably waives, in respect of Subordinated Debt, all
rights (x) under Sections 361 through 365, 502(e) and 509 of the Bankruptcy Code (or any similar
sections hereafter in effect under any other Federal or state laws or legal or equitable principles
relating to bankruptcy, insolvency, reorganizations, liquidations or otherwise for the relief of
debtors or protection of creditors), and (y) to seek or obtain conversion to a different type of
proceeding or to seek or obtain dismissal of a proceeding, in each case in relation to a
bankruptcy, reorganization, insolvency or other proceeding under similar laws with respect to the
Borrower. Without limiting the generality of the foregoing, each Junior Creditor hereby
specifically waives (A) the right to seek to give credit (secured or otherwise) to the Borrower in
any way under Section 364 of the Bankruptcy Code unless the same is subordinated in all respects to
Senior Debt in a manner acceptable to Administrative Agent in its sole and absolute discretion and
(B) the right to receive any collateral security (including, without limitation, any “super
priority” or equal or “priming” or replacement Lien) for any Subordinated Debt unless the Banks
which are not Defaulting Banks have received a senior position acceptable to the Banks in their
sole and absolute discretion to secure all Senior Debt (in the same collateral to the extent
collateral is involved).



          (h) (i) In addition to and not in limitation of the subordination effected by this Section
9.16, the Administrative Agent and each of the Banks which are not Defaulting Banks may in their
respective sole and absolute discretion, also exercise any and all other rights and remedies
available at law or in equity in respect of a Defaulting Bank; and




               (ii) The Administrative Agent shall give each of the Banks notice of the occurrence of a
default under this Section 9.16 by a Defaulting Bank and if the Administrative Agent and/or one or
more of the other Banks shall, at their option, fund any amounts required to be paid or advanced by
a Defaulting Bank, the other Banks who have elected not to fund any portion of such amounts shall
not be liable for any reimbursements to the Administrative Agent and/or to such other funding
Banks.



          (i) Notwithstanding anything to the contrary contained or implied herein, a Defaulting Bank
shall not be entitled to vote on any matter as to which a vote by the Banks is required hereunder,
including, without limitation, any actions or consents on the part of the Administrative Agent as
to which the approval or consent of all the Banks or the Majority Banks is required under Article
VIII, Section 9.5 or elsewhere, so long as such Bank is a Defaulting Bank; provided,
however, that in the case of any vote requiring the unanimous consent of the Banks, if all
the Banks other than the Defaulting Bank shall have voted in accordance with each other, then the
Defaulting Bank shall be deemed to have voted in accordance with such Banks.





77









 








          (j) Each of the Administrative Agent and any one or more of the Banks which are not Defaulting
Banks may, at their respective option, (i) advance to the Borrower such Bank’s Pro Rata Share of
the Loans not advanced by a Defaulting Bank in accordance with the Loan Documents, or (ii) pay to
the Administrative Agent such Bank’s Pro Rata Share of any costs, expenses or disbursements
incurred or made by the Administrative Agent pursuant to the terms of this Agreement not
theretofore paid by a Defaulting Bank. Immediately upon the making of
any such advance by the Administrative Agent or any one of the Banks, such Bank’s Pro Rata
Share and the Pro Rata Share of the Defaulting Bank shall be recalculated to reflect such advance.
All payments, repayments and other disbursements of funds by the Administrative Agent to Banks
shall thereupon and, at all times thereafter be made in accordance with such Bank’s recalculated
Pro Rata Share unless and until a Defaulting Bank shall fully cure all defaults on the part of such
Defaulting Bank under the Loan Documents or otherwise existing in respect of the Loans or this
Agreement, at which time the Pro Rata Share of the Bank(s) which advanced sums on behalf of the
Defaulting Bank and of the Defaulting Bank shall be restored to their original percentages.




          SECTION 9.17. Banks’ ERISA Covenant. Each Bank, by its signature hereto or
on the applicable Transfer Supplement, hereby agrees (a) that on the date any Loan is disbursed
hereunder no portion of such Bank’s Pro Rata Share of such Loan will constitute “assets” within the
meaning of 29 C.F.R. § 2510.3-101 of an “employee benefit plan” within the meaning of Section
3(3) of ERISA or a “plan” within the meaning of Section 4975(e)(1) of the Code, and (b) that
following such date such Bank shall not allocate such Bank’s Pro Rata Share of any Loan to an
account of such Bank if such allocation (i) by itself would cause such Pro Rata Share of such Loan
to then constitute “assets” (within the meaning of 29 C.F.R. § 2510.3-101) of an “employee
benefit plan” within the meaning of Section 3(3) of ERISA or a “plan” within the meaning of Section
4975(e)(1) of the Code and (ii) by itself would cause such Loan to constitute a prohibited
transaction under ERISA or the Code (which is not exempt from the restrictions of Section 406 of
ERISA and Section 4975 of the Code and the taxes and penalties imposed by Section 4975 of the Code
and Section 502(i) of ERISA) or any Agent or Bank being deemed in violation of Section 404 of
ERISA.




          SECTION 9.18. Administrative Agent May File Proofs of Claim. In case of the
pendency of any receivership, insolvency, liquidation, bankruptcy, reorganization, arrangement,
adjustment, composition or other judicial proceeding relative to Borrower or any party to the EOPT
Guaranty, the Administrative Agent (irrespective of whether the principal of any Loan shall then be
due and payable as herein expressed or by declaration or otherwise and irrespective of whether the
Administrative Agent shall have made any demand on Borrower) shall be entitled and empowered, by
intervention in such proceeding or otherwise:





(a) to file and prove a claim for the whole amount of the principal and interest owing and
unpaid in respect of the Loans and all other Obligations that are owing and unpaid and to
file such other documents as may be necessary or advisable in order to have the claims of
the Banks and the Administrative Agent (including any claim for the reasonable compensation,



78









 






expenses, disbursements and advances of the Banks and the Administrative Agent and their
respective agents and counsel and other amounts due the Banks and the Administrative Agent
hereunder allowed in such judicial proceeding); and




(b) to collect and receive any monies or other property payable or deliverable on any such
claims and to distribute the same;


and any custodian, receiver, assignee, trustee, liquidator, sequestrator or other similar official
in any such judicial proceeding is hereby authorized by each Bank to make such payments to the
Administrative Agent and, in the event that the Administrative Agent shall consent to the making of
such payments directly to the Banks, to pay to the Administrative Agent any amount due for the
reasonable compensation, expenses, disbursements and advances of the Administrative Agent and its
agents and counsel and other amounts due the Administrative Agent
hereunder.

Nothing contained herein shall be deemed to authorize the Administrative Agent to authorize or
consent to or accept or adopt on behalf of any Bank any plan of reorganization, arrangement,
adjustment or composition affecting the Obligations or the rights of any Bank or to authorize the
Administrative Agent to vote in respect of the claim of any Bank in any such proceeding.




          SECTION 9.19. USA Patriot Act. Each Bank hereby notifies the Borrower 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 Borrower, which information includes the name and address of the Borrower and
other information that will allow such Bank to identify the Borrower in accordance with the Act.




          SECTION 9.20. Public/Private Information. The Borrower hereby acknowledges that (a)
the Administrative Agent and/or the Syndication Agent will make available to the Banks materials
and/or information provided by or on behalf of the Borrower hereunder (collectively, “Borrower
Materials”) by posting the Borrower Materials on IntraLinks or another similar electronic system
(the “Platform”) and (b) certain of the Banks may be “public-side” lenders (i.e., Banks that do not
wish to receive material non-public information with respect to the Borrower or its securities)
(each, a “Public Lender”). The Borrower hereby agrees that (w) all Borrower Materials that are to
be made available to Public Lenders shall be clearly and conspicuously marked “PUBLIC” which, at a
minimum, shall mean that the word “PUBLIC” shall appear prominently on the first page thereof; (x)
by marking Borrower Materials “PUBLIC”, the Borrower shall be deemed to have authorized the
Administrative Agent, the Syndication Agent, and the Banks to treat such Borrower Materials as not
containing any material non-public information with respect to the Borrower or its securities for
purposes of United States Federal and state securities laws (provided, however, that to the extent
such Borrower Materials constitute Information, they shall be treated as set forth in Section
9.15); (y) all Borrower Materials marked “PUBLIC” are permitted to be made available through a
portion of the Platform marked “PUBLIC” or through a portion of the Platform designated “Public
Investor;” and (z) the Administrative Agent and the Syndication Agent shall be entitled to treat
any Borrower Materials that are not marked





79









 







“PUBLIC” as being suitable only for posting on a portion
of the Platform not designated “Public Investor.”




[SIGNATURE PAGE FOLLOWS]




80









 








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




	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	EOP OPERATING LIMITED PARTNERSHIP,	 	 	 	 
	 	 	a Delaware limited partnership	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	By:	 	Equity Office Properties Trust, a Maryland real estate	 	 
	 	 	 	 	investment trust, its general partner	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	 	By:	 	 	 	/s/ Maureen Fear	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	Name:  Maureen
Fear	 	 	 	 
	 	 	 	 	Title:  Senior
Vice President, Treasurer	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	Facsimile number: (312) 559-5009	 	 	 	 
	 	 	Address:	 	Two North Riverside Plaza	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	Suite 2100	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	Chicago, Illinois 60606	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	Attn: Chief Financial Officer	 	 	 	 	 	 






FOR PURPOSES OF AGREEING TO BE

BOUND BY THE PROVISIONS OF

SECTION 5.11 HEREOF ONLY:




	 	 	 	 	 
	EQUITY OFFICE PROPERTIES TRUST, a Maryland	 	 
	real estate investment trust	 	 
	 
	 	 	 	 
	By:

	 	/s/ Maureen Fear	 	 
	 

	 	 	 	 
	 

	 	Name:  Maureen Fear	 	 
	 

	 	Title:  Senior Vice
President, Treasurer	 	 






	 	 	 	 	 
	TOTAL COMMITMENTS:

	 	$	500,000,000	 






S-1









 






	 	 	 	 	 
	 	WACHOVIA BANK, NATIONAL ASSOCIATION, as Administrative Agent and as a Bank

 	 
	 	By:  	/s/ David M. Blackman	 
	 	Name:  	David M. Blackman	 
	 	Title:  	Managing Director	 
	 	 	 	 	 
	 	Commitment:  $250,000,000 	 



S-2









 






	 	 	 	 	 



	 	 	 	 	 
	 	BANK OF AMERICA, N.A., as
Syndication Agent and as a Bank

 	 
	 	By:  	/s/ E. Namordi	 
	 	Name:  	Eyal Namordi	 
	 	Title:  	Vice President	 
	 	 	 	 	 
	 	Commitment:  $250,000,000 	 



S-3









 






Schedule 1.1




Qualifying Unencumbered Property




Unencumbered Properties as of June 30, 2005




	 	 	 
	60 Spear Street

	 	 
	Intercontinental Center
	 	 
	Four Forest
	 	 
	Northborough Tower
	 	 
	Community Corporate Center
	 	 
	Denver Corporate Center II & III
	 	 
	Three Stamford Plaza
	 	 
	San Jacinto Center
	 	 
	North Central Plaza Three
	 	 
	The Quadrant
	 	 
	Canterbury Green
	 	 
	One North Franklin
	 	 
	One Stamford Plaza
	 	 
	Two Stamford Plaza
	 	 
	300 Atlantic
	 	 
	1700 Higgins
	 	 
	One Congress
	 	 
	One Crosswoods
	 	 
	One Lakeway Center
	 	 
	Two Lakeway Center
	 	 
	Three Lakeway Center
	 	 
	28 State
	 	 
	C10770 Smith Barney Building
	 	 
	9400 NCX Building
	 	 
	Four Stamford Plaza
	 	 
	1920 Main Plaza
	 	 
	Paces West
	 	 
	2010 Main Plaza
	 	 
	1100 Executive Tower
	 	 
	One American Center
	 	 
	580 California
	 	 
	Two California Plaza
	 	 
	One Phoenix Plaza
	 	 
	49 East Thomas
	 	 
	177 Broad Street
	 	 
	Oakbrook Terrace Tower
	 	 
	Maritime Plaza
	 	 
	201 Mission
	 	 
	30 N. Lasalle
	 	 
	1111 West 22nd Street
	 	 
	Presidents Plaza
	 	 
	Civic Opera House
	 	 
	Tri State International
	 	 
	200 W. Adams
	 	 
	10960 Wilshire
	 	 
	10880 Wilshire
	 	 
	Lake Marriott Business Park
	 	 
	Sunnyvale Business Center
	 	 
	225 Franklin Street
	 	 






 









 






	 	 	 
	150 Federal Street
	 	 
	175 Federal Street
	 	 
	Russia Wharf
	 	 
	Center Plaza
	 	 
	2 Oliver/147 Milk
	 	 
	South Station
	 	 
	Wellesley Office Park
	 	 
	New England Executive Park
	 	 
	Ten Canal Park
	 	 
	Crosby Corporate Center
	 	 
	One Canal Park
	 	 
	Riverview
	 	 
	1616 North Fort Myer
	 	 
	1300 N. 17th Street
	 	 
	John Marshall I
	 	 
	Centerpointe
	 	 
	Lakeside Office Atlanta
	 	 
	101 N. Wacker
	 	 
	Riverside
	 	 
	150 California
	 	 
	Crosby Corporate Center II
	 	 
	John Marshall III
	 	 
	Wellesley Office Park 5-7
	 	 
	Wellesley Office Park 8
	 	 
	New England Executive Park 17
	 	 
	Texaco Center
	 	 
	601 Garage
	 	 
	Lakeside Square
	 	 
	Fair Oaks Plaza
	 	 
	8080 N. Central Expressway
	 	 
	2500 City West
	 	 
	Brookhollow Central
	 	 
	Nordstrom Medical Tower
	 	 
	Wells Fargo Center-Seattle
	 	 
	Second & Seneca
	 	 
	1111 Third Avenue
	 	 
	Rainier Plaza
	 	 
	One Bellevue Center
	 	 
	Congress Center
	 	 
	550 S. Hope
	 	 
	One Lafayette
	 	 
	LaSalle Plaza
	 	 
	100 Summer Street
	 	 
	The Tower at NEEP
	 	 
	Denver Post Tower
	 	 
	410 Building
	 	 
	Trinity Place
	 	 
	Tabor Building
	 	 
	4949 S. Syracuse
	 	 
	Metropoint I
	 	 
	Terrace Building
	 	 
	Dominion Plaza
	 	 






 









 






	 	 	 
	Millennium Building
	 	 
	Polk & Taylor Buildings
	 	 
	Second & Spring
	 	 
	Worldwide Plaza
	 	 
	City Center Bellevue
	 	 
	Worldwide Plz-Amty-NYCCA LP
	 	 
	Palo Alto-BS
	 	 
	Three Stamford Health Club
	 	 
	177 Broad Health Club
	 	 
	Presidents Plaza Health Club
	 	 
	Central Park Health Club
	 	 
	Stamford Common Costs
	 	 
	Perimeter Common Costs
	 	 
	Tabor Law Library Corp
	 	 
	Lakeway Health Club
	 	 
	110 Atrium Place
	 	 
	Wells Fargo CenterSacramento
	 	 
	Exposition Centre
	 	 
	Island Corporate Center
	 	 
	Norris Tech
	 	 
	One & Two ADP Plaza
	 	 
	Corporate Centre
	 	 
	PeopleSoft Plaza
	 	 
	Pruneyard Office Towers
	 	 
	Pruneyard Inn
	 	 
	Pruneyard Shopping Center
	 	 
	Ten Almaden
	 	 
	18301 Von Karman
	 	 
	2677 North Main
	 	 
	429 Santa Monica Boulevard
	 	 
	Searise Office Tower
	 	 
	200 Galleria
	 	 
	527 Madison Avenue
	 	 
	60 State Street
	 	 
	One Lincoln Centre
	 	 
	Bay Park Plaza I & II
	 	 
	One Bay Plaza
	 	 
	120 Montgomery
	 	 
	Market Square
	 	 
	191 Peachtree Tower
	 	 
	222 Berkley
	 	 
	500 Boyleston
	 	 
	Perimeter Ctr Health Club
	 	 
	Three Lafayette
	 	 
	Metropoint II REIT
	 	 
	Sunset North Health Club
	 	 
	2 Lafayette
	 	 
	Sunset North REIT
	 	 
	191 Peachtree Interco Loan
	 	 
	500 Orange Tower
	 	 
	Santa Clara Office Center I
	 	 
	Stender Way II
	 	 






 









 






	 	 	 
	Santa Clara Office Center
	 	 
	Gateway Office-Phase I
	 	 
	Scott Boulevard
	 	 
	Santa Clara Office Center III
	 	 
	Gateway Office-Phase II
	 	 
	Creekside
	 	 
	North First Office Center
	 	 
	Cupertino Business Center
	 	 
	Santa Clara Office Ctr IV
	 	 
	Aspect Telecommunications
	 	 
	Gateway Oaks II
	 	 
	Gateway Oaks I
	 	 
	The Orchard
	 	 
	455 University Avenue
	 	 
	555 University Avenue
	 	 
	575 + 601 University Ave
	 	 
	655 University Avenue
	 	 
	740 University Avenue
	 	 
	701 University
	 	 
	Emeryville Tower IV Dev
	 	 
	Patrick Henry Drive
	 	 
	SMBP 2951 28th Street
	 	 
	Lockheed Building
	 	 
	Xerox Campus
	 	 
	Foothill Research
	 	 
	Skyport West Hotel
	 	 
	2180 Sand Hill Road
	 	 
	1900 McCarthy
	 	 
	Redwood Shores
	 	 
	Point West Commercentre
	 	 
	Meier Mountain View
	 	 
	Meier Sunnyvale-Bldg 18
	 	 
	Ridder Park
	 	 
	Gateway Oaks III
	 	 
	4900 + 5000 Meadows-Cons
	 	 
	One Pacific Heights
	 	 
	Bayside Corporate Center
	 	 
	American River Drive
	 	 
	Inwood Park
	 	 
	2290 North First Street
	 	 
	Dove Street
	 	 
	Fairchild Corporate Center
	 	 
	Central Park Plaza
	 	 
	Wood Island Office Complex
	 	 
	Ravendal at Central
	 	 
	The City
	 	 
	Emeryville Tower
	 	 
	Brea Park Centre
	 	 
	The City-3800 Chapman
	 	 
	555 Twin Dolphin Plaza
	 	 
	Metro Plaza
	 	 
	Fountaingrove Center
	 	 






 









 






	 	 	 
	Pasadena Financial
	 	 
	Century Square
	 	 
	Brea Corporate Plaza
	 	 
	Point West Corporate Center
	 	 
	3280 E. Foothill Blvd.
	 	 
	Gateway Office-Phase III
	 	 
	Arboretum Courtyard
	 	 
	Brea Financial Commons
	 	 
	Brea Corporate Place
	 	 
	Brea Beach Athletic Club-YMCA
	 	 
	790 Colorado
	 	 
	Tower Seventeen
	 	 
	Gateway Oaks IV
	 	 
	Nobel Corporate Plaza
	 	 
	San Mateo BayCenter I
	 	 
	Johnson Ranch Corporate Ctr
	 	 
	California Circle II
	 	 
	Stadium Towers Plaza
	 	 
	Pacific Corporate Park
	 	 
	Westridge I
	 	 
	Borregas Avenue
	 	 
	Roseville Corporate Ctr Land
	 	 
	Park Plaza
	 	 
	LaJolla Centre I
	 	 
	Vintage Park-Cons (BU)
	 	 
	Vintage Park #393 (BU)
	 	 
	VP-323 Vintage Park Drive
	 	 
	VP-353 Vintage Park Drive
	 	 
	VP-363 VIntage Park Drive
	 	 
	VP-373 Vintage Park Drive
	 	 
	VP-383 Vintage Park Drive
	 	 
	Vintage Park-Industrial (BU)
	 	 
	Douglas Corporate Center
	 	 
	San Mateo BayCenter II
	 	 
	Concourse / San Mateo Bay Center II
	 	 
	City Tower
	 	 
	City Plaza
	 	 
	Cerritos Towne Center
	 	 
	2600 Michelson
	 	 
	18581 Teller
	 	 
	Skyport Plaza
	 	 
	Metro Center Tower
	 	 
	San Mateo BayCenter III
	 	 
	Skyway Landing
	 	 
	Larkspur Landing Office Park
	 	 
	Drake’s Landing
	 	 
	The Tower in Westwood
	 	 
	Lincoln Exec Ctr II + III Cons
	 	 
	Bellevue Gateway I
	 	 
	Bellevue Gateway II
	 	 
	Main Street Building
	 	 
	10700 Building
	 	 






 









 






	 	 	 
	Southgate Office Plaza
	 	 
	Plaza Center
	 	 
	Gateway 405 Building
	 	 
	Eastgate Office Park
	 	 
	Lincoln Executive Center
	 	 
	Plaza East
	 	 
	I-90 Bellevue
	 	 
	hiver Forum I+II
	 	 
	RiverSide Centre
	 	 
	5550 Macadam Building
	 	 
	4000 Kruse Way Place
	 	 
	4004 Kruse Way Place
	 	 
	4949 Meadows
	 	 
	Nimbus Corporate Center
	 	 
	One Pacific Square
	 	 
	Kruse Way Plaza
	 	 
	Kruse Woods
	 	 
	4800 Meadows
	 	 
	Kruse Oaks
	 	 
	Benjamin Franklin Plaza
	 	 
	Lincoln Center
	 	 
	Bellefield Office Park
	 	 
	Griffin Towers I (REIT)
	 	 
	Skyport Plaza East
	 	 
	Liberty Place
	 	 
	Ferry Bldg (FBA)
	 	 
	10880 Ground LLC
	 	 
	Ferry Bldg Investors (FBI)
	 	 
	Central Park Health Club-NR
	 	 
	Columbia Center Parking
	 	 
	Central Park Health Club
	 	 
	Army and Navy Club Building
	 	 
	Kruse Oaks Health Club
	 	 
	Towers @ Shores
	 	 
	US Bank Tower
	 	 
	US Bank Tower — Law Library
	 	 
	3 Bellevue
	 	 
	Opus Center
	 	 
	Douglas Corporate Center II
	 	 
	American Center
	 	 
	Kruse Woods V
	 	 
	Central Park
	 	 
	One Market
	 	 
	1740 Technology
	 	 
	Independent Road Warehouse
	 	 
	Benicia Ind II
	 	 
	717 Fifth Ave
	 	 
	Olympus Corporate Center
	 	 
	Redstone Plaza
	 	 
	Commerce Plaza
	 	 
	5800 & 6000 Meadows
	 	 
	LaJolla Executive Tower
	 	 






 









 






	 	 	 
	Westech 360
	 	 
	Shoreline Office Center
	 	 
	Meier Central South
	 	 
	Meier North Santa Clara
	 	 
	2727 Augustine
	 	 
	Applied Materials
	 	 
	3045 Stender Way
	 	 
	Summit at Douglas Ridge I
	 	 
	Park 22
	 	 
	Summit at Douglas Ridge II
	 	 
	Research Park Plaza I & II
	 	 
	Golden Gate Plaza
	 	 
	Woodside Office Center
	 	 
	1179 North McDowell
	 	 
	Parkway Plaza (aka 3850 & 3880 Brickway)
	 	 
	Oak Valley Business Center
	 	 






Equity Method JVs




	 	 	 
	10+30 S. Wacker-Equity

	 	 
	One Post-Equity
	 	 
	161 N Clark Eqt
	 	 
	Prominence at Buckhead Eqt
	 	 
	World Trade Center Eqt (BU)
	 	 
	Bridge Pointe Eqt
	 	 
	Treat Towers Eqt
	 	 
	Parkshore Eqt
	 	 
	1620 L St Equity
	 	 
	Rowes Wharf Equity Method
	 	 
	1111 E 19th Equity
	 	 
	1333 H St Equity
	 	 
	Yahoo Center
	 	 






 









 






SCHEDULE 4.4 (b)




Disclosure of

Additional Material Indebtedness





	1.	 	Drawings under this Agreement.
	 
	2.	 	Drawings under the Existing Revolving Credit Agreement




 









 











SCHEDULE 5.11(c)(1)




EOPT Investments




EOP-QRS Trust

BeaMetFed, Inc. (80.6% voting shares or .8102% of the overall ownership)

EOP-Worldwide Plaza, Inc.

EOP-NYCCA, Inc.




 









 





SCHEDULE 5.11(c)(2)




EOPT Investments




EOP-QRS Trust

BeaMetFed, Inc. (80.6% voting shares or .8102% of the overall ownership)

EOP-Worldwide Plaza, Inc.

EOP-NYCCA, Inc.





 










 






SCHEDULE 5.11(c)(3)




FINANCING PARTNERSHIPS OWNED BY EOP-QRS TRUST



Properties in which EOP-QRS Trust is a 1% Limited Partner:



PA-1601 Market Street Limited Partnership, a Delaware limited partnership

     (1601 Market Street, Philadelphia, Pennsylvania)



Properties in which EOP-QRS Trust is a 0.1% General Partner or Managing Member:



DC-1627 Eye Street Limited Partnership, a Delaware limited partnership

     (Army/Navy Building, Washington, D.C.)

OR-5550 Macadam Building Limited Partnership, a Delaware limited partnership

      (5550 Macadam Building, Portland, Oregon)

OR-BF Plaza Limited Partnership, a Delaware limited partnership

      (Benjamin Franklin Plaza, Portland, Oregon)

OH-Community Corporate Center Limited Partnership, a Delaware limited partnership

      (Community Corporate Center, Columbus, Ohio)

OH-One Crosswoods Limited Partnership, a Delaware limited partnership

      (One Crosswoods Center, Columbus, Ohio)

DC-One Lafayette Limited Partnership, a Delaware limited partnership

      (One Lafayette, Washington, D.C.)

DC-Two Lafayette Limited Partnership, a Delaware limited partnership

      (Two Lafayette, Washington, D.C.)

DC-Three Lafayette Limited Partnership, a Delaware limited partnership

      (Three Lafayette, Washington, D.C.)

OR-River Forum Limited Partnership, a Delaware limited partnership

      (River Forum I & II, Portland, Oregon)

OR-Riverside Portland Limited Partnership

      (Riverside Centre, Portland, Oregon)

OR-One Pacific Square Limited Partnership

      (Pacific Square, Portland, Oregon)

LA-Lakeway I, L.L.C., a Delaware limited liability company

      (Lakeway Center I, Metairie, Louisiana)

LA-Lakeway II, L.L.C., a Delaware limited liability company

      (Lakeway Center II, Metairie, Louisiana)

LA-Lakeway III, L.L.C., a Delaware limited liability company

      (Lakeway Center III, Metairie, Louisiana)






 









 








NOTE




	 	 	 
	$250,000,000

	 	Chicago, Illinois
	 
	 	 
	 

	 	October 14, 2005






          For value received, EOP OPERATING LIMITED PARTNERSHIP, a Delaware limited partnership (the
“Borrower”), promises to pay to the order of Wachovia Bank, National Association (the
“Bank”) the unpaid principal amount of each Loan made by the Bank to the Borrower pursuant
to the Credit Agreement referred to below on the maturity date provided for in the Credit
Agreement). The Borrower further promises to pay interest on the unpaid principal amount of each
such Loan from the date advanced until such principal amount is paid in full on the dates and at
the rate or rates provided for in the Credit Agreement. All such payments of principal and
interest shall be made in lawful money of the United States in Federal or other immediately
available funds to Wachovia Bank, National Association, for the account of the Bank, pursuant to
the following wire transfer instructions:



Wachovia Bank, National Association

ABA#053000219

Beneficiary Account Name: Technology

REF: Equity Office Term Loan

Acct#145916 8116011

Attn: Beth Dunn



          All Loans made by the Bank, the respective types and maturities thereof and all repayments of
the principal thereof shall be recorded by the Bank and, if the Bank so elects in connection with
any transfer or enforcement hereof, appropriate notations to evidence the foregoing information
with respect to each such Loan then outstanding may be endorsed by the Bank on the schedule
attached hereto, or on a continuation of such schedule attached to and made a part hereof;
provided that the failure of the Bank to make any such recordation or endorsement shall not
affect the obligations of the Borrower hereunder or under the Credit Agreement.




          This note is one of the Notes referred to in, and is executed and delivered pursuant to
and subject to all of the terms of, the Credit Agreement, dated as of October 14, 2005, among the
Borrower, the banks listed on the signature pages thereof, Wachovia Bank, National Association, as
Administrative Agent, Bank of America, N.A., as Syndication Agent, and Wachovia Capital Markets,
LLC and Banc of America Securities LLC, as Joint Lead Arrangers and Joint Bookrunners (as the same
may be amended from time to time, the “Credit Agreement”). Capitalized terms used herein
but





 









 







not otherwise defined shall have the meanings ascribed to them in the Credit Agreement. The
terms and conditions of the Credit Agreement are hereby incorporated in their entirety by reference
as though fully set forth herein. Upon the occurrence
of certain Events of Default as more particularly described in the Credit Agreement, the
unpaid principal amount evidenced by this Note shall become, and upon the occurrence and during the
continuance of certain other Events of Default, such unpaid principal amount may be declared to be,
due and payable in the manner, upon the conditions and with the effect provided in the Credit
Agreement.




          Demand, presentment, diligence, protest and notice of nonpayment are hereby waived by the
Borrower.




          THIS NOTE SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW
YORK.




[SIGNATURE PAGE FOLLOWS]






 









 








	 	 	 	 	 	 	 
	 	 	EOP OPERATING LIMITED PARTNERSHIP,
	 	 	     a Delaware limited partnership
	 
	 	 	 	 	 	 
	 	 	By:	 	Equity Office Properties Trust, a Maryland real estate
	 	 	 	 	investment trust, its general partner
	 
	 	 	 	 	 	 
	 

	 	 	 	By:	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	 	 	Name:
	 

	 	 	 	 	 	Title:






 









 






Note (cont’d)




LOANS AND PAYMENTS OF PRINCIPAL




	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Amount of	 	 	 	 
	 	 	Amount of	 	Type of	 	Principal	 	Maturity	 	Notation
	Date	 	Loan	 	Loan	 	Repaid	 	Date	 	Made By
	 
	 
	 	 	 	 	 	 	 	 	 	 
	 
	 
	 	 	 	 	 	 	 	 	 	 
	 
	 
	 	 	 	 	 	 	 	 	 	 
	 
	 
	 	 	 	 	 	 	 	 	 	 
	 
	 
	 	 	 	 	 	 	 	 	 	 
	 
	 
	 	 	 	 	 	 	 	 	 	 
	 
	 
	 	 	 	 	 	 	 	 	 	 
	 
	 
	 	 	 	 	 	 	 	 	 	 
	 
	 
	 	 	 	 	 	 	 	 	 	 
	 
	 
	 	 	 	 	 	 	 	 	 	 
	 
	 
	 	 	 	 	 	 	 	 	 	 
	 
	 
	 	 	 	 	 	 	 	 	 	 
	 
	 
	 	 	 	 	 	 	 	 	 	 
	 
	 
	 	 	 	 	 	 	 	 	 	 
	 
	 
	 	 	 	 	 	 	 	 	 	 
	 
	 
	 	 	 	 	 	 	 	 	 	 
	 





 









 






EXHIBIT B




TRANSFER SUPPLEMENT




          TRANSFER SUPPLEMENT (this “Transfer Supplement”) dated as of                     , 200_, between
                         (the “Assignor”) and                          having an address at
                             (the “Purchasing Bank”).




W
I T N E S S E
T H:




          WHEREAS, the Assignor has made loans to EOP Operating Limited Partnership, a Delaware limited
partnership (the “Borrower”), pursuant to the Credit Agreement, dated as of October 14,
2005, among the Borrower, the banks listed on the signature pages thereof, Wachovia Bank, National
Association, as Administrative Agent, Bank of America, N.A., as Syndication Agent, and Wachovia
Capital Markets, LLC and Banc of America Securities LLC, as Joint Lead Arrangers and Joint
Bookrunners (as the same may be amended from time to time, the “Credit Agreement”). All
capitalized terms used and not otherwise defined herein shall have the respective meanings set
forth in the Credit Agreement;




          WHEREAS, the Purchasing Bank desires to purchase and assume from the Assignor, and the
Assignor desires to sell and assign to the Purchasing Bank, certain rights, title, interest and
obligations under the Credit Agreement;




          NOW, THEREFORE, IT IS AGREED:




          1. In consideration of the amount set forth in the receipt (the “Receipt”) given by
Assignor to Purchasing Bank of even date herewith, and transferred by wire to Assignor, the
Assignor hereby assigns and sells, without recourse, representation or warranty except as
specifically set forth herein, to the Purchasing Bank, and the Purchasing Bank hereby purchases and
assumes from the Assignor, a ___% interest (the “Purchased Interest”) of the Loans
constituting a portion of the Assignor’s rights and obligations under the Credit Agreement as of
the Effective Date (as defined below) including, without limitation, such percentage interest of
the Assignor in any Loans owing to the Assignor, any Note held by the Assignor, any Loan Commitment
of the Assignor and any other interest of the Assignor under any of the Loan Documents.




          2. The Assignor: (i) represents and warrants that as of the date hereof the aggregate
outstanding principal amount of its share of the Loans owing to it (without giving effect to
assignments thereof which have not yet become effective) is $               ; (ii) represents and warrants
that it is the legal and beneficial owner of the interests being assigned by it hereunder and that
such interests are free and clear of any adverse claim; (iii) represents and warrants that it has
not received





 









 







any notice of Default or Event of Default from the Borrower; (iv) represents and
warrants that is has full power and authority to execute and deliver, and perform under, this
Transfer Supplement, and all necessary corporate and/or partnership action has been taken to
authorize, and all approvals and consents have been obtained for, the execution, delivery and
performance thereof; (v) represents and warrants that this Transfer Supplement constitutes its
legal, valid and binding obligation enforceable in accordance with its terms; (vi) makes no
representation or warranty and assumes no responsibility with respect to any statements, warranties
or representations (or the truthfulness or accuracy thereof) made in or in connection with the
Credit Agreement, or the other Loan Documents or the execution, legality, validity, enforceability,
genuineness, sufficiency or value of the Credit Agreement, or the other Loan Documents or any other
instrument or document furnished pursuant thereto; and (vii) makes no representation or warranty
and assumes no responsibility with respect to the financial condition of the Borrower or the
performance or observance by the Borrower of any of its obligations under the Credit Agreement or
the other Loan Documents or any other instrument or document furnished pursuant thereto. Except as
specifically set forth in this Paragraph 2, this assignment shall be without recourse to Assignor.




          3. The Purchasing Bank: (i) confirms that it has received a copy of the Credit Agreement, and
the other Loan Documents, together with such financial statements and such other documents and
information as it has deemed appropriate to make its own credit analysis and decision to enter into
this Transfer Supplement and to become a party to the Credit Agreement, and has not relied on any
statements made by Assignor; (ii) agrees that it will, independently and without reliance upon any
of the Administrative Agent, the Assignor or any other Bank and based on such documents and
information as it shall deem appropriate at the time, continue to make its own appraisal of and
investigation into the business, operations, property, prospects, financial and other conditions
and creditworthiness of the Borrower and will make its own credit analysis, appraisals and
decisions in taking or not taking action under the Credit Agreement, and the other Loan Documents;
(iii) appoints and authorizes the Administrative Agent to take such action as agent on its behalf
and to exercise such powers under the Credit Agreement, and the other Loan Documents as are
delegated to such agents by the terms thereof, together with such powers as are incidental thereto;
(iv) agrees that it will be bound by and perform in accordance with their terms all of the
obligations which by the terms of the Credit Agreement are required to be performed by it as a
Bank; (v) specifies as its addresses for notices, its Domestic Lending Office and its Eurodollar
Lending office, the addresses and offices set forth beneath its name on the signature page hereof;
(vi) represents and warrants that it has full power and authority to execute and deliver, and
perform under, this Transfer Supplement, and all necessary corporate and/or partnership action has
been taken to authorize, and all approvals and consents have been obtained for, the execution,
delivery and performance thereof; (vii) represents and warrants that this Transfer Supplement
constitutes its legal, valid and binding obligation enforceable in accordance with its terms; and
(viii) represents and warrants that the interest being assigned hereunder is being acquired by it
for its own account, for investment purposes only and not with a view to the public distribution
thereof and without any present intention of its resale in either case that would be in violation
of applicable securities laws.





 









 








          4. This Transfer Supplement shall be effective on the date (the “Effective
Date”) on which all of the following have occurred: (i) it shall have been executed and
delivered by the parties hereto; (ii) copies hereof shall have been delivered to the Administrative
Agent and the Borrower; (iii) the Purchasing Bank shall have received an original Note; and (iv) the
Purchasing Bank shall have paid to the Assignor the agreed purchase price as set forth in the
Receipt.




          5. On and after the Effective Date, (i) the Purchasing Bank shall be a party to the Credit
Agreement and, to the extent provided in this Transfer Supplement, have the rights and obligations
of a Bank thereunder and be entitled to the benefits and rights of the Banks thereunder and (ii)
the Assignor shall, to the extent provided in this Transfer Supplement as to the Purchased
Interest, relinquish its rights and be released from its obligations under the Credit Agreement.




          6. From and after the Effective Date, the Assignor shall cause the Administrative Agent to
make all payments under the Credit Agreement, and the Notes in respect of the Purchased Interest
assigned hereby (including, without limitation, all payments of principal, fees and interest with
respect thereto and any amounts accrued but not paid prior to such date) to the Purchasing Bank.




          7. This Transfer Supplement may be executed in any number of counterparts which, when taken
together, shall be deemed to constitute one and the same instrument.




          8. Assignor hereby represents and warrants to Purchasing Bank that it has made all payments
demanded to date by Wachovia Bank, National Association, as Administrative Agent in connection with
the Assignor’s Pro Rata Share of the obligation to reimburse the Agent for its expenses and made
all Loans required. In the event Wachovia Bank, National Association, as Administrative Agent,
shall demand reimbursement for fees and expenses from Purchasing Bank for any period prior to the
Effective Date, Assignor hereby agrees to promptly pay Wachovia Bank, National Association, as
Administrative Agent, such sums directly, subject, however, to Paragraph 12 hereof.




          9. Assignor will, at the cost of Assignor, and without expense to Purchasing Bank, do,
execute, acknowledge and deliver all and every such further acts, deeds, conveyances, assignments,
notices of assignments, transfers and assurances as Purchasing Bank shall, from time to time,
reasonably require, for the better assuring, conveying, assigning, transferring and confirming unto
Purchasing Bank the property and rights hereby given, granted, bargained, sold, aliened, enfeoffed,
conveyed, confirmed, assigned and/or intended now or hereafter so to be, on which Assignor may be
or may hereafter become bound to convey or assign to Purchasing Bank, or for carrying out the
intention or facilitating the performance of the terms of this Agreement or for filing, registering
or recording this Agreement.




          10. The parties agree that no broker or finder was instrumental in bringing about this
transaction. Each party shall indemnify, defend the other and hold the other free and harmless
from and against any damages, costs or expenses (including, but not limited to, reasonable
attorneys’ fees





 









 







and disbursements) suffered by such party arising from claims by any broker or
finder that such broker or finder has dealt with said party in connection with this transaction.




          11. Subject to the provisions of Paragraph 12 hereof, if, with respect to the Purchased
Interest only, Assignor shall on or after the Effective Date receive (a) any cash, note,
securities, property, obligations or other consideration in respect of or relating to the Loan or
the Loan Documents or issued in substitution or replacement of the Loan or the Loan Documents, (b)
any cash or non-cash consideration in any form whatsoever distributed, paid or issued in any
bankruptcy proceeding in connection with the Loan or the Loan Documents or (c) any other
distribution (whether by means of repayment, redemption, realization of security or otherwise),
Assignor shall accept the same as Purchasing Bank’s agent and hold the same in trust on behalf of
and for the benefit of Purchasing Bank, and shall deliver the same forthwith to Purchasing Bank in
the same form received, with the endorsement (without recourse) of Assignor when necessary or
appropriate. If the Assignor shall fail to deliver any funds received by it within the same
Business Day of receipt, unless such funds are received by Assignor after 4:00 p.m., Eastern
Standard Time, then the following Business Day after receipt, said funds shall accrue interest at
the Federal Funds Rate and in addition to promptly remitting said amount, Assignor shall remit such
interest from the date received to the date such amount is remitted to the Purchasing Bank.




          12. Assignor and Purchasing Bank each hereby agree to indemnify and hold harmless the other,
each of its directors and each of its officers in connection with any claim or cause of action
based on any matter or claim based on the acts of either while acting as a Bank under the Credit
Agreement. Promptly after receipt by the indemnified party under this Section of notice of the
commencement of any action, such indemnified party shall notify the indemnifying party in writing
of the commencement thereof. If any such action is brought against any indemnified party and that
party notifies the indemnifying party of the commencement thereof, the indemnifying party shall be
entitled to participate therein, and to the extent that it may elect by written notice delivered to
the indemnified party promptly after receiving the aforesaid notice from such indemnified party, to
assume the defense thereof, with counsel satisfactory to such indemnified party, and after receipt
of notice from the indemnifying party to such indemnified party of its election so to assume the
defense thereof, the indemnifying party will not be liable to such indemnified party under this
Section for any legal or other expenses subsequently incurred by such indemnified party in
connection with the defense thereof. In no event shall the indemnified party settle or consent to
a settlement of such cause of action or claim without the consent of the indemnifying party.




          13. THIS TRANSFER SUPPLEMENT AND THE RIGHTS AND OBLIGATIONS OF THE PARTIES HEREUNDER SHALL BE
CONSTRUED IN ACCORDANCE WITH AND BE GOVERNED BY THE LAWS OF THE STATE OF NEW YORK.






 









 








          14. On or promptly after the Effective Date, Borrower, Administrative Agent, Assignor and
Purchasing Bank shall make appropriate arrangements so that a Note executed by Borrower, dated the
Effective Date is issued to Purchasing Bank.




          [15. On or before the Effective Date, Purchasing Bank shall comply with the provisions of
Section 8.4(d) of the Credit Agreement.] [Include only if Purchasing Bank is a foreign
institution.]




	 	 	 	 	 
	 	 	[Purchasing Bank]
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:
	 

	 	 	 	Title:
	 
	 	 	 	 
	 	 	Notice Address:
	 	 	Domestic Lending Office:
	 	 	Eurodollar Lending Office:
	 
	 	 	 	 
	 	 	[Assignor]
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:
	 

	 	 	 	Title:






Receipt
Acknowledged this

                     day of                     , 200_:




WACHOVIA BANK, NATIONAL ASSOCIATION, as Administrative Agent




	 	 	 	 	 
	By:
	 	 	 	 
	 

	 	 

Name:
	 	 
	 

	 	Title:	 	 






 









 






[TO THE EXTENT APPLICABLE]

Approved this

                     day of                     , 200_:




EOP OPERATING LIMITED PARTNERSHIP,

a Delaware limited partnership





	 	 	 
	By:

	 	Equity Office Properties Trust, a Maryland real estate investment
trust, its general partner
	 
	 	 
	By:
	 	 
	 

	 	Name:
	 

	 	Title:






 









 






EXHIBIT C




NOTICE ADDRESSES




	 	 	 
	Borrower:	 	Administrative Agent:
	Two North Riverside Plaza

	 	 
	Suite 2100
	 	 
	Chicago, Illinois 60606
	 	 
	Attn: Chief Financial Officer
	 	 
	Facsimile: (312) 559-5008
	 	 







 









 






GUARANTY OF PAYMENT




          GUARANTY OF PAYMENT, made as of October 14, 2005 (this “Guaranty”), between EQUITY
OFFICE PROPERTIES TRUST, a Maryland real estate investment trust, having an address at Two North
Riverside Plaza, Suite 2100, Chicago, Illinois 60606 (“Guarantor”), and WACHOVIA BANK,
NATIONAL ASSOCIATION, as administrative agent (the “Administrative Agent”) for the banks
(the “Banks”) listed on the signature pages of the Credit Agreement, dated as of October
14, 2005, among EOP Operating Limited Partnership (“Borrower”), the banks listed on the
signature pages thereof, Wachovia Bank, National Association, as Administrative Agent, Bank of
America, N.A., as Syndication Agent, and Wachovia Capital Markets, LLC and Banc of America
Securities LLC, as Joint Lead Arrangers and Joint Bookrunners (as the same may be amended from time
to time, the “Credit Agreement”).




W I T N E S S E T H:




          WHEREAS, the Banks have agreed to make loans to Borrower in the aggregate principal amount not
to exceed Five Hundred Million Dollars ($500,000,000) (hereinafter collectively referred to
as the “Loans”);




          WHEREAS, the Loans are evidenced by certain promissory notes (the “Notes”) of Borrower
made to each of the Banks in accordance with the terms of the Credit Agreement;




          WHEREAS, the Credit Agreement and the Notes and any other documents executed in connection
therewith are hereinafter collectively referred to as the “Loan Documents”;




          WHEREAS, capitalized terms used herein and not otherwise defined shall have the meanings
ascribed thereto in the Credit Agreement;




          WHEREAS, Guarantor is the sole general partner of Borrower; and




          WHEREAS, as a condition to the execution and delivery of the Loan Documents, the Banks have
required that Guarantor execute and deliver this Guaranty; and




          NOW THEREFORE, in consideration of the premises and the benefits to be derived from the making
of the Loans by the Banks to Borrower, and in order to induce the Administrative Agent, and the
Banks to enter into the Credit Agreement and the other Loan Documents, the Guarantor hereby agrees
as follows:




          1. Guarantor, on behalf of itself and its successors and assigns, hereby irrevocably,
absolutely and unconditionally guarantees the full and punctual payment when due, whether at stated
maturity or otherwise, of all Obligations of Borrower now or hereafter existing under the






 









 







Notes and
the Credit Agreement, for principal and/or interest as well as any and all other amounts due
thereunder, including, without limitation, all indemnity obligations of
Borrower thereunder, and any and all reasonable costs and expenses (including, without
limitation, reasonable attorneys’ fees and disbursements) incurred by the Administrative Agent or
the Banks in enforcing their rights under this Guaranty (all of the foregoing obligations being the
“Guaranteed Obligations”).




          2. It is agreed that the Guaranteed Obligations of Guarantor hereunder are primary and this
Guaranty shall be enforceable against Guarantor and its successors and assigns without the
necessity for any suit or proceeding of any kind or nature whatsoever brought by the Administrative
Agent or any of the Banks against Borrower or its respective successors or assigns or any other
party or against any security for the payment and performance of the Guaranteed Obligations and
without the necessity of any notice of non-payment or non-observance or of any notice of acceptance
of this Guaranty or of any notice or demand to which Guarantor might otherwise be entitled
(including, without limitation, diligence, presentment, notice of maturity, extension of time,
change in nature or form of the Guaranteed Obligations, acceptance of further security, release of
further security, imposition or agreement arrived at as to the amount of or the terms of the
Guaranteed Obligations, notice of adverse change in Borrower’s financial condition and any other
fact which might materially increase the risk to Guarantor), all of which Guarantor hereby
expressly waives; and Guarantor hereby expressly agrees that the validity of this Guaranty and the
obligations of Guarantor hereunder shall in no way be terminated, affected, diminished, modified or
impaired by reason of the assertion of or the failure to assert by the Administrative Agent or any
of the Banks against Borrower or its respective successors or assigns, any of the rights or
remedies reserved to the Administrative Agent or any of the Banks pursuant to the provisions of the
Loan Documents. Guarantor agrees that any notice or directive given at any time to the
Administrative Agent or any of the Banks which is inconsistent with the waiver in the immediately
preceding sentence shall be void and may be ignored by the Administrative Agent and the Banks, and,
in addition, may not be pleaded or introduced as evidence in any litigation relating to this
Guaranty for the reason that such pleading or introduction would be at variance with the written
terms of this Guaranty, unless the Administrative Agent has specifically agreed otherwise in a
writing, signed by a duly authorized officer. Guarantor specifically acknowledges and agrees that
the foregoing waivers are of the essence of this transaction and that, but for this Guaranty and
such waivers, the Administrative Agent and the Banks would have declined to execute and deliver
the Loan Documents.




          3. Guarantor waives, and covenants and agrees that it will not at any time insist upon,
plead or in any manner whatsoever claim or take the benefit or advantage of, any and all appraisal,
valuation, stay, extension, marshalling-of-assets or redemption laws, or right of homestead or
exemption, whether now or at any time hereafter in force, which may delay, prevent or otherwise
affect the performance by Guarantor of its obligations under, or the enforcement by the
Administrative Agent or any of the Banks of, this Guaranty. Guarantor further covenants and agrees
not to set up or claim any defense, counterclaim, offset, setoff or other objection of any kind to
any action, suit or proceeding in law, equity or otherwise, or to any demand or claim that may be
instituted or made by the Administrative Agent or any of the Banks other than the defense of the
actual timely payment and







2









 







performance by Borrower of the Guaranteed Obligations hereunder;
provided, however, that the foregoing shall not be deemed a waiver of Guarantor’s
right to assert any compulsory counterclaim, if such counterclaim is compelled under local law
or rule of procedure, nor shall the foregoing be deemed a waiver of Guarantor’s right to assert any
claim which would constitute a defense, setoff, counterclaim or crossclaim of any nature whatsoever
against Administrative Agent or any Bank in any separate action or proceeding. Guarantor
represents, warrants and agrees that, as of the date hereof, its obligations under this Guaranty
are not subject to any counterclaims, offsets or defenses against the Administrative Agent or any
Bank of any kind.




          4. The provisions of this Guaranty are for the benefit of the Administrative Agent and the
Banks and their successors and permitted assigns, and nothing herein contained shall impair as
between Borrower and the Administrative Agent and the Banks the obligations of Borrower under the
Loan Documents.




          5. This Guaranty shall be a continuing, unconditional and absolute guaranty and the liability
of Guarantor hereunder shall in no way be terminated, affected, modified, impaired or diminished by
reason of the happening, from time to time, of any of the following, although without notice or the
further consent of Guarantor:





     (a) any assignment, amendment, modification or waiver of or change in any of the terms,
covenants, conditions or provisions of any of the Guaranteed Obligations or the Loan
Documents or the invalidity or unenforceability of any of the foregoing; or




     (b) any extension of time that may be granted by the Administrative Agent to Borrower,
any guarantor, or their respective successors or assigns, heirs, executors, administrators
or personal representatives; or




     (c) any action which the Administrative and/or the Banks may take or fail to take under
or in respect of any of the Loan Documents or by reason of any waiver of, or failure to
enforce any of the rights, remedies, powers or privileges available to the Administrative
Agent under this Guaranty or available to the Administrative Agent and/or the Banks at law,
equity or otherwise, or any action on the part of the Administrative Agent and/or the Banks
granting indulgence or extension in any form whatsoever; or




     (d) any sale, exchange, release, or other disposition of any property pledged,
mortgaged or conveyed, or any property in which the Administrative Agent and/or the Banks
have been granted a lien or security interest to secure any indebtedness of Borrower to the
Administrative Agent and/or the Banks; or




     (e) any release of any person or entity who may be liable in any manner for the
payment and collection of any amounts owed by Borrower to the Administrative Agent and/or



3









 





     the Banks; or




     (f) the application of any sums by whomsoever paid or however realized to any amounts
owing by Borrower to the Administrative Agent and/or the Banks under the
Loan Documents in such manner as the Administrative Agent shall determine in its sole
discretion; or




     (g) Borrower’s or any guarantor’s voluntary or involuntary liquidation, dissolution,
sale of all or substantially all of their respective assets and liabilities, appointment of
a trustee, receiver, liquidator, sequestrator or conservator for all or any part of
Borrower’s or Guarantor’s assets, insolvency, bankruptcy, assignment for the benefit of
creditors, reorganization, arrangement, composition or readjustment, or the commencement of
other similar proceedings affecting Borrower or any guarantor or any of the assets of any of
them, including, without limitation, (i) the release or discharge of Borrower or any
guarantor from the payment and performance of their respective obligations under any of the
Loan Documents by operation of law, or (ii) the impairment, limitation or modification of
the liability of Borrower or any guarantor in bankruptcy, or of any remedy for the
enforcement of the Guaranteed Obligations under any of the Loan Documents, or Guarantor’s
liability under this Guaranty, resulting from the operation of any present or future
provisions of the Bankruptcy Code or other present or future federal, state or applicable
statute or law or from the decision in any court; or




     (h) any improper disposition by Borrower of the proceeds of the Loans, it being
acknowledged by Guarantor that the Administrative Agent or any Bank shall be entitled to
honor any request made by Borrower for a disbursement of such proceeds and that neither the
Administrative Agent nor any Bank shall have any obligation to see the proper disposition by
Borrower of such proceeds.



          6. Guarantor agrees that if at any time all or any part of any payment at any time received by
the Administrative Agent from Borrower or Guarantor under or with respect to this Guaranty is or
must be rescinded or returned by the Administrative Agent or any Bank for any reason whatsoever
(including, without limitation, the insolvency, bankruptcy or reorganization of Borrower or
Guarantor), then Guarantor’s obligations hereunder shall, to the extent of the payment rescinded or
returned, be deemed to have continued in existence notwithstanding such previous receipt by such
party, and Guarantor’s obligations hereunder shall continue to be effective or reinstated, as the
case may be, as to such payment, as though such previous payment had never been made.




          7. Until this Guaranty is terminated pursuant to the terms hereof, Guarantor (i) shall
have no right of subrogation against Borrower or any entity comprising same by reason of any
payments or acts of performance by Guarantor in compliance with the obligations of Guarantor
hereunder, (ii) waives any right to enforce any remedy which Guarantor now or hereafter shall have
against Borrower or any entity comprising same by reason of any one or more payment or acts of
performance in compliance with the obligations of Guarantor hereunder and (iii) from and after an
Event





4









 







of Default (as defined in the Credit Agreement), subordinates any liability or indebtedness
of Borrower or any entity comprising same now or hereafter held by Guarantor or any affiliate of
Guarantor to the obligations of Borrower under the Loan Documents. The foregoing, however, shall
not be deemed in any way to limit any rights that
Guarantor may have pursuant to the Agreement of Limited Partnership of Borrower or which it
may have at law or in equity with respect to any other partners of Borrower.




          8. Guarantor represents and warrants to the Administrative Agent and the Banks with the
knowledge that the Administrative Agent and the Banks are relying upon the same, as follows:





     (a) as of the date hereof, Guarantor is the sole general partner of Borrower;




     (b) based upon such relationships, Guarantor has determined that it is in its best
interests to enter into this Guaranty;




     (c) this Guaranty is necessary and convenient to the conduct, promotion and attainment
of Guarantor’s business, and is in furtherance of Guarantor’s business purposes;




     (d) the benefits to be derived by Guarantor from Borrower’s access to funds made
possible by the Loan Documents are at least equal to the obligations undertaken pursuant to
this Guaranty;




     (e) Guarantor is solvent and has full power and legal right to enter into this Guaranty
and to perform its obligations under the term hereof and (i) Guarantor is organized and
validly existing under the laws of the State of Maryland, (ii) Guarantor has complied with
all provisions of applicable law in connection with all aspects of this Guaranty, and (iii)
the person executing this Guaranty has all the requisite power and authority to execute and
deliver this Guaranty;




     (f) to the best of Guarantor’s knowledge, there is no action, suit, proceeding, or
investigation pending or threatened against or affecting Guarantor at law, in equity, in
admiralty or before any arbitrator or any governmental department, commission, board,
bureau, agency or instrumentality (domestic or foreign) which is likely to materially and
adversely impair the ability of Guarantor to perform its obligations under this Guaranty;




     (g) the execution and delivery of and the performance by Guarantor of its
obligations under this Guaranty have been duly authorized by all necessary action on the
part of Guarantor and do not (i) violate any provision of any law, rule, regulation
(including, without limitation, Regulation U or X of the Board of Governors of the Federal
Reserve System of the United States), order, writ, judgment, decree, determination or award
presently in effect having applicability to Guarantor or the organizational documents of
Guarantor the consequences of which violation is likely to materially and adversely impair
the ability of Guarantor to perform its



5









 





obligations under this Guaranty or (ii) violate or
conflict with, result in a breach of or constitute (with due notice or lapse of time or
both) a default under any indenture, agreement or other instrument to which Guarantor is a
party, or by which Guarantor or any of its property is bound, the consequences of which
violation, conflict, breach or default is likely to
materially and adversely impair the ability of Guarantor to perform its obligations
under this Guaranty;




     (h) this Guaranty has been duly executed by Guarantor and constitutes the legal, valid
and binding obligation of Guarantor, enforceable against it in accordance with its terms
except as enforceability may be limited by applicable insolvency, bankruptcy or other laws
affecting creditors’ rights generally or general principles of equity, whether such
enforceability is considered in a proceeding in equity or at law;




     (i) no authorization, consent, approval, license or formal exemption from, nor any
filing, declaration or registration with, any Federal, state, local or foreign court,
governmental agency or regulatory authority is required in connection with the making and
performance by Guarantor of this Guaranty, except those which have already been obtained;
and




     (j) Guarantor is not an “investment company” as that term is defined in, nor is it
otherwise subject to regulation under, the Investment Company Act of 1940, as amended.



          9. Guarantor and Administrative Agent each acknowledge and agree that this Guaranty is a
guarantee of payment and performance and not of collection and enforcement in respect of any
obligations which may accrue to the Administrative Agent and/or the Banks from Borrower under the
provisions of any Loan Document.




          10. Subject to the terms and conditions of the Credit Agreement, and in conjunction therewith,
the Administrative Agent or any Bank may assign any or all of its rights under this Guaranty. In
the event of any such assignment, the Administrative Agent shall give Guarantor prompt notice of
same. If the Administrative Agent or any Bank elects to sell all the Loans or participations in
the Loans and the Loan Documents, including this Guaranty, the Administrative Agent or any Bank may
forward to each purchaser and prospective purchaser all documents and information relating to this
Guaranty or to Guarantor, whether furnished by Borrower or Guarantor or otherwise, subject to the
terms and conditions of the Credit Agreement.




          11. Guarantor agrees, upon the written request of the Administrative Agent, to execute
and deliver to the Administrative Agent, from time to time, any modification or amendment hereto or
any additional instruments or documents reasonably considered necessary by the Administrative Agent
or its counsel to cause this Guaranty to be, become or remain valid and effective in accordance
with its terms, provided, that, any such modification, amendment, additional instrument or document
shall not increase Guarantor’s obligations or diminish its rights hereunder and shall be reasonably
satisfactory as to form to Guarantor and to Guarantor’s counsel.





6









 








          12. The representations and warranties of Guarantor set forth in this Guaranty
shall survive until this Guaranty shall terminate in accordance with the terms hereof.




          13. This Guaranty contains the entire agreement among the parties with respect to the subject
matter hereof and supersede all prior agreements relating to such subject matter and may not be
modified, amended, supplemented or discharged except by a written agreement signed by Guarantor and
the Administrative Agent.




          14. If all or any portion of any provision contained in this Guaranty shall be determined to
be invalid, illegal or unenforceable in any respect for any reason, such provision or portion
thereof shall be deemed stricken and severed from this Guaranty and the remaining provisions and
portions thereof shall continue in full force and effect.




          15. This Guaranty may be executed in counterparts which together shall constitute the same
instrument.




          16. All notices, requests and other communications to any party hereunder shall be in writing
(including bank wire, telex, facsimile transmission followed by telephonic confirmation or similar
writing) and shall be addressed to such party at the address set forth below or to such other
address as may be identified by any party in a written notice to the others:




	 	 	 
	If to Guarantor

	 	Equity Office Properties Trust
	 

	 	Two North Riverside Plaza
	 

	 	Suite 2100
	 

	 	Chicago, Illinois 60606
	 

	 	Attn: Chief Financial Officer
	With Copies of
	 	 
	Notices to Guarantor to:

	 	Equity Office Properties Trust
	 

	 	Two North Riverside Plaza
	 

	 	Suite 2100
	 

	 	Chicago, Illinois 60606
	 

	 	Attn: Chief Legal Counsel
	 

	 	              and
	 

	 	DLA Piper Rudnick Gray Cary US LLP
	 

	 	203 North LaSalle Street
	 

	 	Suite 1900
	 

	 	Chicago, Illinois 60601
	 

	 	Attn: James M. Phipps, Esq.






7









 






	 	 	 
	If to the
	 	 
	Administrative Agent:

	 	Wachovia Bank, National Assocation
	 

	 	301 South College Street
	 

	 	Mail Code NC0172
	 

	 	Charlotte, NC 28288
	 

	 	Attn: David Blackman
	 

	 	Facsimile: (704) 374-3300






          Each such notice, request or other communication shall be effective (i) if given by telex or
facsimile transmission, when such telex or facsimile is transmitted to the telex number or
facsimile number specified in this Section and the appropriate answerback or facsimile confirmation
is received, (ii) if given by certified registered mail, return receipt requested, with first
class postage prepaid, addressed as aforesaid, upon receipt or refusal to accept delivery, (iii)
if given by a nationally recognized overnight carrier, 24 hours after such communication is
deposited with such carrier with postage prepaid for next day delivery, or (iv) if given by any
other means, when delivered at the address specified in this Section.




          17. Any acknowledgment or new promise, whether by payment of principal or interest or
otherwise by Borrower or Guarantor, with respect to the Guaranteed Obligations shall, if the
statute of limitations in favor of Guarantor against the Administrative Agent shall have commenced
to run, toll the running of such statute of limitations, and if the period of such statute of
limitations shall have expired, prevent the operation of such statute of limitations.




          18. This Guaranty shall be binding upon Guarantor and its successors and assigns and shall
inure to the benefit of the Administrative Agent and the Banks and their successors and permitted
assigns.




          19. The failure of the Administrative Agent to enforce any right or remedy hereunder, or
promptly to enforce any such right or remedy, shall not constitute a waiver thereof, nor give rise
to any estoppel against the Administrative Agent, nor excuse Guarantor from its obligations
hereunder. Any waiver of any such right or remedy to be enforceable against the Administrative
Agent must be expressly set forth in a writing signed by the Administrative Agent.




          20. (a) THIS GUARANTY AND THE RIGHTS AND OBLIGATIONS OF THE PARTIES HEREUNDER SHALL BE
CONSTRUED IN ACCORDANCE WITH AND BE GOVERNED BY THE LAWS OF THE STATE OF NEW YORK.




               (b) Any legal action or proceeding with respect to this Guaranty and any action for
enforcement of any judgment in respect thereof may be brought in the courts of the State of New
York or of the United States of America for the Southern District of New York, and, by execution
and delivery of this Guaranty, the Guarantor hereby accepts for itself and in respect of its



8









 




property, generally and unconditionally, the non-exclusive jurisdiction of the aforesaid courts and
appellate courts from any thereof. The Guarantor irrevocably consents to the service of process
out of any of the aforementioned courts in any such action or proceeding by the mailing of copies
thereof by registered or certified mail, postage prepaid, to the Guarantor at its address for
notices set forth herein. The Guarantor hereby irrevocably waives any objection which it may now
or hereafter have to the laying of venue of any of the aforesaid actions or proceedings arising out
of or in connection with this Guaranty brought in the courts referred to above and hereby further
irrevocably waives and agrees not to plead or claim in any such court that any such action or
proceeding brought in any such court has been brought in an inconvenient forum. Nothing herein
shall affect the right of the Administrative Agent to serve process in any
other manner permitted by law or to commence legal proceedings or otherwise proceed against
the Guarantor in any other jurisdiction.




               (c) GUARANTOR HEREBY WAIVES ITS RIGHTS TO A JURY TRIAL OF ANY AND ALL CLAIMS OR CAUSES OF
ACTION BASED UPON OR ARISING OUT OF THIS GUARANTY. IT IS HEREBY ACKNOWLEDGED BY GUARANTOR THAT THE
WAIVER OF A JURY TRIAL IS A MATERIAL INDUCEMENT FOR THE ADMINISTRATIVE AGENT TO ACCEPT THIS
GUARANTY AND THAT THE LOANS MADE BY THE BANKS ARE MADE IN RELIANCE UPON SUCH WAIVER. GUARANTOR
FURTHER WARRANTS AND REPRESENTS THAT SUCH WAIVER HAS BEEN KNOWINGLY AND VOLUNTARILY MADE, FOLLOWING
CONSULTATION WITH LEGAL COUNSEL. IN THE EVENT OF LITIGATION, THIS GUARANTY MAY BE FILED BY THE
ADMINISTRATIVE AGENT IN COURT AS A WRITTEN CONSENT TO A NON-JURY TRIAL.



               (d) Guarantor does hereby further covenant and agree to and with the Administrative Agent that
Guarantor may be joined in any action against Borrower in connection with the Loan Documents and
that recovery may be had against Guarantor in such action or in any independent action against
Guarantor (with respect to the Guaranteed Obligations), without the Administrative Agent first
pursuing or exhausting any remedy or claim against Borrower or its successors or assigns.
Guarantor also agrees that, in an action brought with respect to the Guaranteed Obligations in any
jurisdiction, it shall be conclusively bound by the judgment in any such action by the
Administrative Agent (wherever brought) against Borrower or its successors or assigns, as if
Guarantor were a party to such action, even though Guarantor was not joined as a party in such
action.



               (e) Guarantor agrees to pay all reasonable expenses (including, without limitation, attorneys’
fees and disbursements) which may be incurred by the Administrative Agent or the Banks in
connection with the enforcement of their rights under this Guaranty, whether or not suit is
initiated.



          21. Notwithstanding anything to the contrary contained herein, this Guaranty shall
terminate and be of no further force or effect upon the full performance and payment of the
Guaranteed





9









 







Obligations hereunder and the termination of the Commitments under the Credit Agreement.
Upon termination of this Guaranty in accordance with the terms of this Guaranty, the
Administrative Agent promptly shall deliver to Guarantor such documents as Guarantor or Guarantor’s
counsel reasonably may request in order to evidence such termination.




          22. All of the Administrative Agent’s rights and remedies under each of the Loan Documents or
under this Guaranty are intended to be distinct, separate and cumulative and no such right or
remedy therein or herein mentioned is intended to be in exclusion of or a waiver of any other right
or remedy available to the Administrative Agent.




          23. The Guarantor shall not use any assets of an “employee benefit plan” within
the meaning of Section 3(3) of ERISA or a “plan” within the meaning of Section 4975(e)(1) of
the Internal Revenue Code (the “Code”) to repay or secure the Loan, the Note, the
Obligations or this Guaranty. The Guarantor shall not assign, sell, pledge, encumber, transfer,
hypothecate or otherwise dispose of any of its rights or interests (direct or indirect) in
Borrower, or attempt to do any of the foregoing or suffer any of the foregoing, or permit any party
with a direct or indirect interest or right in Borrower to do any of the foregoing, if such action
would cause the Note, the Loan, the Obligations, this Guaranty, or any of the Loan Documents or the
exercise of any of the Administrative Agent’s or Bank’s rights in connection therewith, to
constitute a prohibited transaction under ERISA or the Code (unless the Guarantor furnishes to the
Administrative Agent a legal opinion satisfactory to the Administrative Agent that the transaction
is exempt from the prohibited transaction provisions of ERISA and the Code (and for this purpose,
the Administrative Agent and the Banks, by accepting the benefits of this Guaranty, hereby agree to
supply Guarantor all relevant non-confidential, factual information reasonably necessary to such
legal opinion and reasonably requested by Guarantor) or would otherwise result in the
Administrative Agent or any of the Arrangers or Banks being deemed in violation of Sections 404 or
406 of ERISA or Section 4975 of the Code or would otherwise result in the Administrative Agent or
the Banks being a fiduciary or party in interest under ERISA or a “disqualified person” as defined
in Section 4975(e)(2) of the Code with respect to an “employee benefit plan” within the meaning of
Section 3(3) of ERISA or a “plan” within the meaning of Section 4975(e)(1) of the Code. The
Guarantor shall indemnify and hold each of the Administrative Agent and the Banks free and harmless
from and against all loss, costs (including attorneys’ fees and expenses), expenses, taxes and
damages (including consequential damages) that each of the Administrative Agent and the Banks may
suffer by reason of the investigation, defense and settlement of claims and in obtaining any
prohibited transaction exemption under ERISA necessary in Administrative Agent’s reasonable
judgment as a result of Guarantor’s action or inaction or by reason of a breach of the foregoing
provisions by Guarantor.




          24. This Guaranty shall become effective simultaneously with the making of the initial Loans
under the Credit Agreement.




[SIGNATURE PAGE FOLLOWS]




10









 








          IN WITNESS WHEREOF, the parties hereto have executed and delivered this Guaranty as of the
date and year first above written.




	 	 	 	 	 	 	 
	 	 	GUARANTOR:	 	 
	 	 	EQUITY OFFICE PROPERTIES TRUST
	 
	 	 	 	 	 	 
	 

	 	By:	 	/s/ Maureen Fear
	 	 	 	 	 
	 

	 	 	 	Name:
	 	Maureen Fear
	 

	 	 	 	Title:
	 	Senior Vice President and
	 

	 	 	 	 	 	Treasurer






	 	 	 	 	 
	ACCEPTED:	 	 
	 
	 	 	 	 
	WACHOVIA BANK, NATIONAL ASSOCIATION,	 
	as Administrative Agent	 
	 
	 	 	 	 
	By:
	 	/s/ David M. Blackman
	 

	 	 
	 
	 

	 	Name:	David M. Blackman	 
	 

	 	Title:	Managing Director	 







11









 








ACKNOWLEDGMENT FOR GUARANTOR




	 	 	 	 
	STATE OF ILLINOIS
	 	)
	 
	 	)       SS.
	COUNTY OF COOK
	 	)






          On
October 11, 2005, before me personally came Maureen Fear, to me known to be the person who
executed the foregoing instrument, and who, being duly sworn by me, did depose and say that she is
Senior Vice President and Treasurer of Equity Office Properties Trust, and that she executed the
foregoing instrument in the organization’s name, and that she had authority to sign the same, and
she acknowledged to me that she executed the same as the act and deed of said organization for the
uses and purposes therein mentioned.




[Seal]




	 	 	 
	 

	 	/s/ Debra Hudson
	 

	 	 
	 

	 	Notary Public





OFFICIAL SEAL

DEBRA HUDSON

NOTARY PUBLIC, STATE OF ILLINOIS

MY COMMISSION EXPIRES 10-17-2008







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